Sheffield Resources Limited · ASX:SFX

Sheffield Resources — 12th Annual AJM Mineral Sands Conference 2011

28 slides from Sheffield Resources's conference presentation, Nov 23, 2011

  1. Slide 1: Mineral Sands Conference Presentation announcement

    ACN 125 811 083 14 Prowse Street ,West Perth, Western Australia 6005 t: +61 8 6424 8440 f: +61 8 9321 1710 w: sheffieldresources.com.au e: info@sheffieldresources.com.au For personal use only ASX: SFX 23 November 2011 Company Announcement Office Australian Securities Exchange Level 4, 20 Bridge Stre

  2. Slide 2: New Growth in the West

    For personal use only SHEFFIELD RESOURCES LTD ASX:SFX NEW GROWTH IN THE WEST 12th Annual Mineral Sands Conference Adelaide 23 November 2011

  3. Slide 3: Competent Persons & Forward Looking Statements

    COMPETENT PERSONS & FORWARD LOOKING STATEMENTS For personal use only COMPETENT PERSONS’ STATEMENT – EXPLORATION RESULTS The information in this presentation that relates to exploration results has been compiled by Bruce McQuitty and David Archer. Each of Mr McQuitty and Mr Archer has consented to th

  4. Slide 4: Corporate Snapshot

    CORPORATE SNAPSHOT For personal use only Cash Position $3.3m (at 30/9/2011) Board & Management Will Burbury Chairman Capital Structure Bruce McQuitty Managing Director Market Cap $17m (undiluted, at 29cps) David Archer Technical Director Shares 58.7m David Boyd Exploration Manager Options 27.2m (20c

  5. Slide 5: Project Summary

    PROJECT SUMMARY For personal use only HEAVY • Exploration Target2 of 450-850Mt @ 5-10% HM (Dampier) MINERAL • Exploration Target2 of 1.5Bt-2.5Bt @ 1.1-1.3% HM (McCalls) SANDS • Resource inventory totals 4.1Mt HM1 (HMS) • Scoping work commenced, drilling continues IRON ORE • East Pilbara focus for ex

  6. Slide 6: HMS Growth Opportunity in WA

    HMS GROWTH OPPORTUNITY IN WA For personal use only  Western Australian mineral sands production in decline  Large producers shift focus to Eucla and Murray Basins  Sheffield quick to seize opportunity in Western Australia 4

  7. Slide 7: Seizing the Opportunity

    SEIZING THE OPPORTUNITY For personal use only First Resource at Yandanooka Acquisition of McCalls HMS Project Acquisition of West North Perth Basin Eneabba HMS HMS Tenement Projects from Iluka Applications ASX Listing Dampier Tenement Applications (Pricing data compiled by Sheffield from various ope

  8. Slide 8: Project Locations

    PROJECT LOCATIONS For personal use only  Over 6,000km2 of tenure in WA  Large consolidated tenement holdings  Focus on regions with infrastructure advantages 6

  9. Slide 9: Tier Assets: Dampier and McCalls

    TIER 1 ASSETS For personal use only DAMPIER AND McCALLS  Large Projects – potential company makers  Greenfields projects with prior drilling  Longer development timeframes  Larger Capex  Close to infrastructure  Short term strategy is to prove up resources and undertake metallurgical testwork

  10. Slide 10: Dampier: Large Zircon Project

    DAMPIER For personal use only  Large Zircon Project  Located 60km west of Derby port  Ex Rio Tinto project, dropped during GFC  Sheffield applied for tenements in Dec 2010  Total project area 1,440 km2  Located on Crown Land (pastoral lease) outside Kimberley Heritage areas  Mineralisation ho

  11. Slide 11: Dampier Exploration Target

    DAMPIER For personal use only  Exploration Target1 of 450-850Mt @ 5.0- 10.0% HM (Thunderbird)  Based on 8 drill intersections including: 45m @ 9.85% HM from 3m (JD073), 27m @ 7.00% HM from 1.5m (JD023), and 27m @ 7.92% HM from 9m (JD003)  Dimensions 6 x 5 km, av. width 24.5m  Drilling and thoriu

  12. Slide 12: Dampier In Situ Zircon Content

    DAMPIER For personal use only  High average in situ zircon content of In Situ % Zircon 0.63% from RIO drilling* 2  Ranks in top tier of undeveloped zircon 1.5 SFX projects 1  Fine grainsize of HM (D50 62µm) and 0.5 iron cementation may present some recovery issues 0  However high zircon content

  13. Slide 13: McCalls: Large High TiO2 Ilmenite Project

    MCCALLS For personal use only  Large high TiO2 ilmenite project  Drilled by BHP in early 1990s  Exploration Target1 of 1.5-2.5 billion tonnes @ 1.1-1.3% HM  Sheffield’s drilling improved on BHP’s results: • Thicker (av. 44m thick) • Higher grade (av. 1.35% HM)  Resource estimate due Q4 2011 1Sh

  14. Slide 14: McCalls Mineral Assemblage and Testwork

    MCCALLS For personal use only  BHP’s work indicates mineral assemblage of: ilmenite 74.2% (@ 62.6% TiO2), zircon 4.37%, rutile 0.52% and leucoxene 4.08%  Sheffield’s preliminary metallurgical testwork confirmed high TiO2 content of ilmenite  Higher value ilmenite, potentially suitable for chlorid

  15. Slide 15: Tier Assets: North Perth Basin Projects

    TIER 2 ASSETS For personal use only NORTH PERTH BASIN PROJECTS  Medium sized projects  4.1Mt contained HM1 in resource inventory  Near term development and early cash flow potential  Strategy is to identify sufficient contained HM in district to support annual production of 100-200Kt HM  Scopin

  16. Slide 16: Resource Inventory

    RESOURCE INVENTORY For personal use only Sheffield’s contained Valuable HM (VHM)* Resource inventory (0.9% HM cutoff) Deposit Resource Zircon Rutile Leuc. Ilmenite Total VHM Category (‘000t) (‘000t) (‘000t) (‘000t) (‘000t) Yandanooka Indicated 201 117 168 1,072 1,558 Yandanooka Inferred 12 8.5 15 73

  17. Slide 17: North Perth Basin Competitive Advantages

    NORTH PERTH BASIN For personal use only COMPETITIVE ADVANTAGES  Established mineral sands mining district  Good quality, high value HM products  Mostly broadacre farmland  Proximity to roads & rail  “Open” ports  Close to Asian markets  Available energy sources  Abundant groundwater  Proxim

  18. Slide 18: Yandanooka

    YANDANOOKA For personal use only  Total resource of 71.75 million tonnes @ 2.6% HM1 for 1.84Mt contained HM comprising: 61Mt @ 2.8% HM (Indicated) 10.75Mt @ 1.1% HM (Inferred)  Includes High Grade core of 37.5Mt @ 3.8% HM (Indicated)  High value mineral assemblage: 11.5% zircon, 6.9% rutile, 10.2

  19. Slide 19: Durack

    DURACK For personal use only  Similar dimensions to Yandanooka deposit  25km south of Yandanooka  Limited prior drilling by Iluka Resources  Mineralised at or near surface  Drilling planned Q1 2012 17

  20. Slide 20: Ellengail

    ELLENGAIL For personal use only  Inferred Resource1,2 of 46.45 Mt @ 2.2% HM, containing 1.04Mt HM  Includes High Grade core of 11.25Mt @ 5.0% HM, containing 560,000t HM (Inferred)  High value assemblage: 8.9% zircon, 8.7% rutile, 63.5% ilmenite and 1.9% leucoxene  Scoping work has commenced 1Ref

  21. Slide 21: West Mine North

    WEST MINE NORTH For personal use only  Total Resource1,2 of 42.58Mt @ 2.8% HM for 1.2Mt contained HM comprising: 6.47Mt @ 5.6% HM (Measured) 36.11Mt @ 2.3% HM (Indicated)  Includes high-grade core of 10.09Mt @ 7.7% HM (Measured and Indicated)  High value mineral assemblage: 7.9% zircon, 10.1% rut

  22. Slide 22: Drummond Crossing

    DRUMMOND CROSSING For personal use only  New discovery in Eneabba field  Sheffield’s drilling outlined mineralised zone 3km x 1.5km, av. 9m thick  Intersections include: 6m @ 5.24% HM from 0m (DCAC0025) 12m @ 2.74% HM from 0m (DCAC0024) 10.5m @ 3.16% HM from 0m (DCAC0020)  Open along strike to n

  23. Slide 23: Irwin

    IRWIN For personal use only  Located 80km south of Geraldton  Sheffield’s initial drilling confirmed 5km long x 2-3km wide, av. 10m thick zone of mineralisation >1% HM1  Open for another 10km along strike  Mineralisation is dunal style – low slimes  Awaiting mineral assemblage results  Further

  24. Slide 24: High TiO2 Ilmenite

    HIGH TiO2 ILMENITE For personal use only  Preliminary metallurgical testwork shows ilmenite from Yandanooka, West Mine North and McCalls contains 60-66% TiO2  Higher value ilmenite, potentially suitable for chloride route / synthetic rutile processing  Sources of chloride ilmenite are relatively

  25. Slide 25: Exploration & Evaluation Timetable

    EXPLORATION & EVALUATION TIMETABLE For personal use only Project 2011 Q3 2011 Q4 2012 Q1 2012 Q2 2012 Q3 2012 Q4 Tier 1 Dampier Drilling Resource Est Scoping McCalls Resource Est Scoping Prefeasibility Tier 2 Yandanooka Resource Est (done) Scoping Prefeasibility Feasibility Ellengail Resource Est (d

  26. Slide 26: Conclusions

    CONCLUSIONS For personal use only  Sheffield quick to seize opportunity in Western Australia  A rapidly emerging player in resurgent Mineral Sands sector  Multiple projects with near-term production potential in North Perth Basin  Targeting high TiO2 ilmenite to supply chloride market  Dampier

  27. Slide 27: HMS Mineral Resources Tabulation

    APPENDIX 1 HMS MINERAL RESOURCES TABULATION For personal use only Sheffield Resources’ Mineral Resource1 inventory at a 0.9% HM cutoff as at 7 November 2011. Deposit Resource Material Bulk HM Slimes Osize In-situ Zircon Rutile Leuc. Ilmenite Category (Mt)* Density % % % HM % % % % (Mt)* Yandanooka I

  28. Slide 28: Uses & Markets

    APPENDIX 2 USES & MARKETS For personal use only Two distinct product streams: Zircon ($2,400-$2,600/t)  Main use in the manufacture of ceramics and refractory linings  Global market 1.4Mtpa  Acute shortage of supply Titanium Minerals  Rutile: >95% TiO2 ($1,300-$1,400/t)  Leucoxene: 85-95% TiO2

Sheffield Resources — 12th Annual AJM Mineral Sands Conference 2011 on 6ix