Red Hill Minerals Ltd · ASX:RHI
Red Hill Minerals — Red Hill Iron — Corporate Update (November 2011)
18 slides from Red Hill Minerals's corporate update, Nov 7, 2011
Slide 1: ASX cover letter: Company Update
Exploration Office: Ground Floor, 43 Ventnor Ave, West Perth WA 6005 Registered Office: Level 2, 9 Havelock Street, West Perth WA 6005 ABN: 44 114 553 392 Postal Address: PO Box 1160, West Perth WA 6872 Telephone: (61 8) 9481 8628 Facsimile: (61 8) 9481 8445 E-mail: redhillinfo@redhilliron.com.au We
Slide 2: Red Hill Iron Update November 2011
RED HILL IRON Limited RED HILL IRON Update N November b 2011 1
Slide 3: Disclaimer and Warning
RED HILL IRON DISCLAIMER Limited Di l i Disclaimer and d Warning W i No representation or liability: No representation or warranty is made as to the fairness, currency, accuracy, completeness, reliability or reasonableness of this presentation, or any opinions, conclusions and forward‐looking statem
Slide 4: About Red Hill Iron
RED HILL IRON ABOUT RED HILL IRON Limited ABN: 44 114 553 392 ● The WPIO Project size is substantial – RHI has ~5 mtpa of the ~30mtpa project ● Product is direct‐ship haematite haematite, – Tested and in demand, ● Infrastructure is well‐founded – Part P off a new 350 mtpa port, ● Red Hill Iron is Fr
Slide 5: Corporate
RED HILL IRON CORPORATE Limited ABN: 44 114 553 392 Structure RHI SHAREHOLDING 30 Sep 11 PUBLIC 41.6% PITT & ASSOCS 20.1% Listed Ordinary shares on issue: 43,915,686 AQUILA AND ASSOCS 19.9% ASX Code: RHI FRC AUSTRALIAN 9.2% Options: Nil BRISBANE INVESTMENTS I 4.6% Share Price 03‐Nov‐11 2.15 BRISBANE
Slide 6: Share Price
SHARE PRICE ASX: RHI $8.00 9,000. High $7.00 May 08 $7.00 8 000 8,000. $6.00 7,000. 6,000. , ds Australian All Ord $ $5.00 ed Hill Iron 5,000. $4.00 4,000. Re $3 00 $3.00 3,000. $2.00 $2.15 on 02 Nov 11 2,000. $1 00 $1.00 1,000. All ORD $0.00 0. Jull ‘06 Jull ‘09 Jull ‘10 Jull ‘11 Jull ‘07 Jull ‘08
Slide 7: The West Pilbara Opportunity
THE WEST PILBARA OPPORTUNITY Anketell Port will unlock several very significant iron ore projects in the West Pilbara. +350 Mtpa potential iron ore export As well as the RHIOJV, projects held by Proposed FMG, IOH, API and others stand to benefit PORT AND RAIL ‐ UNLOCKING STRANDED DEPOSITS 6
Slide 8: CID – Simple, Low Risk
CID – SIMPLE,, LOW RISK 100m 4m@58.7% 18m@57.2% 8m@58.5% m@56.1% 57.7% 16m@58..0% 100m 20m@58.0% 18m 28m@5 14m@58.6 16m@58.8% 18m@57.6% 10m@57.7% o Channel Iron Deposits are in Mesas and have a low strip ratio o The Resource is predictable o Dry Mining o Several Sources for blending o C Conventional
Slide 9: Resources and Reserves: Pannawonica
RESOURCES AND RESERVES PANNAWONICA PANNAWONICA PROJECT INFERRED MINERAL RESOURCES Red R d Hill Iron I has h C t ff Fe% Cut‐off F % Mt F % Al2O3% P% SiO2% Fe% 48 137 51.7 5.5 0.04 10.2 Resources of 71mt of 50 106 53.1 5.1 0.05 9.4 modest grade CID haematite on 52 71 54.1 4.8 0.05 8.5 Source: RHI 29 O
Slide 10: RHIOJV Resources and Reserves
RHIOJV RESOURCES AND RESERVES RESOURCES RESERVES Stage 1 WPIOP RESOURCE Stage 1 WPIOP RESERVE Mt Fe% Al2O3% SiO2% P% Mt Fe% Al2O3% SiO2% P% 01‐Nov‐10 687 56.6 6.1 3.7 0.07 03‐Dec‐10 445 57.1 5.8 3.4 0.07 Source ASX: Source: ASX AQA 01 Nov 2010 Source AQA:ASX Source: AQA ASX 03 Dec '10 Includes Mt St
Slide 11: Port and Rail Development
PORT AND RAIL DEVELOPMENT The Port Master Plan has objectives to develop an open access, multi‐user, 350 Mtpa capacity bulk commodity export port, with an industrial area and a corridor for transport and services to accommodate a range of users and different mineral commodities. The Master Plan prov
Slide 12: Project is Well Advanced
PROJECT IS WELL ADVANCED Approvals Environmental – EPA Recommend Approval 2011 2012 2013 2014 2015 o Primary Approvals expected to be granted by Q4 2011 Design and Engineer o Preparatory work for secondary approvals underway Operational o The EPA has recommended conditional approval for Primary Appr
Slide 13: Demand for Iron Ore Remains Strong
DEMAND FOR IRON ORE REMAINS STRONG Many Large Chinese provinces are just beginning to climb the steel intensity curve. Chinese Regional Steel Intensity Steel use per capita 2009 (kg) 1400 ‐ Beijing 1200 ‐ 18m 1000 ‐ Shanghai g Sh d Shandong 19m 800 ‐ 95m Henan 100m 600 ‐ 400 ‐ Guangdong Shanghai 96m
Slide 14: Red Hill Iron: Pathway to Re-rating
RED HILL IRON – Pathwayy to Re-ratingg Red Hill Iron: Possible Incremental value ‐add We anticipate that as the project API Lock up Funding progresses into production there Announce GO may be several incremental value‐ add occasions. xpand Reserves Expand Complete DFS These represent the de‐risking
Slide 15: Implied Value of RHI
IMPLIED VALUE OF RHI Other Transactions and RHI Implied Value – Transaction Based – $12.00 RHI's 20% of RHIOJV for 118Mt +71Mt at Pan. Incl KBE Val per sharetle $10.00 $8.00 $6.00 $ $5.02 Based on contained Fe units, units Implied RHI V $4.00 recent transactions imply a value $2.00 for Red Hill Iron
Slide 16: Red Hill Iron's Edge
RED HILL IRON’S EDGE 9 Project Size is substantial: RHI has a stake in the West Pilbara Iron Ore Project which has 445 Mt of ore reserves and will ship >30 mtpa ore. ore In addition, RHI has a 100% owned CID resource nearby. 9 Product is appropriate Ore is direct shipping haematite ,has been rigorou
Slide 17: Competent Person Statement
COMPETENT PERSON STATEMENT Competent Person Statement The information in this presentation is based on information compiled by Mr Doug Stewart, who is a Fellow of The Australasian Institute of Mining and Metallurgy and is an employee of Red Hill Iron Limited Limited. Mr Stewart has sufficient experi
Slide 18: Red Hill Iron Update November 2011
RED HILL IRON Limited RED HILL IRON Update November 2011 17