Centaurus Metals Limited · ASX:CTM
Centaurus Metals — Shareholder Meeting (November 2009)
23 slides from Centaurus Metals's shareholder meeting presentation, Nov 23, 2009
Slide 1: Annual General Meeting
Annual General Meeting Monday 23 November 2009
Slide 2: Disclaimer and Important Notice
DISCLAIMER AND IMPORTANT NOTICE This presentation does not constitute investment advice. Neither this presentation nor the information contained in it constitutes an offer, invitation, solicitation or recommendation in relation to the purchase or sale of shares in any jurisdiction. This presentation
Slide 3: JORC Statement
JORC STATEMENT The information in this presentation that relates to Exploration Results and Mineral Resources of Centaurus’ Itambe and Passabem Iron Ore Projects is based on information compiled by Mr Ian Cullen, who is a Member of AUSIMM. Mr Ian Cullen is a full time employee of Centaurus Resources
Slide 4: The Centaurus Opportunity
THE CENTAURUS OPPORTUNITY Glengarry established a number of key parameters to review new project opportunities Established resources Capable of production within 24 months High grade project so as to produce low operating costs Commodity to be gold, iron ore or base metals A number of Projects have
Slide 5: Centaurus Resources - Overview
CENTAURUS RESOURCES - OVERVIEW Emerging iron ore producer focused on developing its iron ore strategy in Brazil • Centaurus is focused on developing projects in/around Brazil’s “Iron Quadrangle” • Two projects are targeted to commence production over the next 2-3 years – Itambé Project: Early mining
Slide 6: Centaurus Overview – Project Location
CENTAURUS OVERVIEW – PROJECT LOCATION Brazil IRON QUADRANGLE 20ks 20 kms
Slide 7: Centaurus Overview - Itabirite Ore
CENTAURUS OVERVIEW - ITABIRITE ORE Itabirite ore produced from Centaurus’ operations have favourable qualities • Metamorphosed iron formation composed of iron oxides with abundant quartz Itabirite run of mine ore is lower grade when mined… • Iron Quadrangle itabirites typically comprise Fe % SiO2% P
Slide 8: Centaurus Overview – Brazilian Steel Industry
CENTAURUS OVERVIEW – BRAZILIAN STEEL INDUSTRY Centaurus aims to become a provider of choice to the large and growing Brazilian steel market • Market Dynamics – Brazil is Latin America’s largest economy with a rapidly growing population (currently approximately 200 million) – ‘BRIC’ economy – growth
Slide 9: Centaurus Overview - Itambé Project
CENTAURUS OVERVIEW - ITAMBÉ PROJECT Itambé is Centaurus’ most advanced iron ore project • The Itambé Project is comprised of 10 tenements which covers an area of 164km2 • Work to date has focussed on the Itambé-1 tenement: Initial JORC Inferred Resource at Itambé- 1 is estimated at 15.5 Mt @ 37.2% F
Slide 10: Itambé Project - Scoping Study Results
CENTAURUS OVERVIEW - ITAMBÉ PROJECT Recently completed Scoping Study has shown positive results • The Itambé Scoping Study was based on • Based on these positive results, Centaurus plans producing 500ktpa of product, selling ore to target commencement of production under into the domestic Brazilian
Slide 11: Centaurus Overview – Passabem Iron Ore Project
CENTAURUS OVERVIEW – PASSABEM IRON ORE PROJECT • Laterally continuous 5.2km iron formation. Northern tenement recently granted. • Up dip exposures of up to 150m • Ore beneficiates to high grade +65% Fe product • 500m of southern zone drilled for JORC resource of 2.6mt @ 31.2% Fe • Targeting a total
Slide 12: Centaurus Overview – Passabem Iron Ore Project
CENTAURUS OVERVIEW – PASSABEM IRON ORE PROJECT • 500 metre section at the southern end of the deposit drilled so far representing approximately 10% of the ore body. • All holes intersected itabirite ore zone with in ground grades around 31% Fe with average width around 15 metres • Previous beneficia
Slide 13: Centaurus Overview – Passabem Iron Ore Project
CENTAURUS OVERVIEW – PASSABEM IRON ORE PROJECT Insert
Slide 14: Passabem Iron Ore Project
CENTAURUS OVERVIEW – PASSABEM IRON ORE PROJECT Passabem Iron Ore Project
Slide 15: Centaurus Overview – Other Iron Ore Projects
CENTAURUS OVERVIEW – OTHER IRON ORE PROJECTS Other development projects to expand resource base beyond 250Mt • Ferros Project – Potential for high grade lump product with immediate trial mining potential. Likely to be the next iron ore project to be developed after Itambé and Passabem • Rio Pardo Pr
Slide 16: Centaurus Overview – Other Non Ferrous Projects
CENTAURUS OVERVIEW – OTHER NON FERROUS PROJECTS Centaurus holds tenements prospective for manganese, gold and copper in Brazil and Australia • Ponte de Pedra Manganese Project – Two drill campaigns and an Induced Polarisation survey were completed in 2009, resulting in the identification of anomalie
Slide 17: Centaurus Resources - Merger Terms
CENTAURUS RESOURCES - MERGER TERMS 8 new Glengarry shares for every 1 Centaurus share on issue Merger Terms Offer represented $0.416 per share for Centaurus shares (premium of 22% to the 6 Nov closing price) Offer for options on the same 8:1 basis Off-market takeover bid for Centaurus shares and opt
Slide 18: The Merged Entity Board of Directors
THE MERGED ENTITY BOARD OF DIRECTORS The Merged company will be headed up by an accomplished and highly experienced team with extensive global iron ore experience. The proposed Board members of the Merged company are as follows: Didier Murcia Darren Gordon Peter Freund Geoff Clifford Keith McKay Ric
Slide 19: Merger with Centaurus – Near Term Production Potential
MERGER WITH CENTAURUS – NEAR TERM PRODUCTION POTENTIAL Well Funded Iron Ore Strategy. The proposed merger provides Glengarry shareholders with the opportunity to participate in Centaurus’ strong , well established Brazilian iron ore strategy Near Term Production. Pipeline of near-term production and
Slide 20: Capital Structure Post Transaction
CAPITAL STRUCTURE POST TRANSACTION Value Shares on Issue 603 million Implied Market Capitalisation 1 $31 million Debt $0 Cash 2 $8.5 million Enterprise Value $22.5 million Options 3 101 million 1. Based on closing price of Glengarry shares on 6 November of 5.2 cents 2. After merger transaction costs
Slide 21: Indicative Timetable
INDICATIVE TIMETABLE Indicative Date Announcement of proposed merger 11 November 2009 Glengarry to Finalise Due Diligence 24 November 2009 Dispatch of Glengarry’s Bidder’s Statement Early/mid December 2009 Dispatch of Centaurus’ Target’s Statement Early/mid December 2009 Offers Open Mid December 200
Slide 22: Summary
SUMMARY The key benefits for Glengarry Shareholders include: Near-term production iron ore assets in Brazil with production expected to commence in late 2010 Strategically located iron ore projects, close to steel mills, infrastructure and availability of labour Production target of 3-4Mtpa of +65%
Slide 23: For further information please contact
For further information please contact Mr Darren Gordon Managing Director +618 9322 4929
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