Red Hill Minerals Ltd · ASX:RHI
Red Hill Minerals — Red Hill Iron — Investor Presentation (July 2010)
31 slides from Red Hill Minerals's investor presentation, Jul 26, 2010
Slide 1: Investor Presentation cover letter to ASX
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 Limited
RED HILL For personal use only IRON LIMITED ABN: 44 114 553 392 RED HILL IRON LIMITED
Slide 3: Disclaimer and Warning
RED HILL DISCLAIMER IRON LIMITED For personal use only ABN: 44 114 553 392 Disclaimer and Warning 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, conclusio
Slide 4: The Presentation
RED HILL THE PRESENTATION IRON LIMITED For personal use only ABN: 44 114 553 392 ☼ The Company o Structure, Performance ☼ The JV Arrangement ☼ The Product ☼ DFS Results ☼ Location ☼ Regional Play ☼ The Assets o Inside The JV o Resources o Outside the JV ☼ The Way forward RED HILL IRON LIMITED
Slide 5: The Company
RED HILL THE COMPANY IRON LIMITED For personal use only ABN: 44 114 553 392 Red Hill Iron Substantial Shareholders 4-Feb-10 AQA 8,532,229 Listed Ordinary shares on issue: 43,915,686 AMCI 8,082,422 ASX Code: RHI Pitt & Assoc 7,984,864 Options: Nil Others 19,316,171 Share price 23-Jul-10 $3.10 Total S
Slide 6: Share Price
SHARE PRICE For personal use only $8.00 9000 High $7.00 May ‘08 $7.00 8000 $6.00 7000 $5.00 6000 Australian All Ords Red Hill Iron $4.00 5000 $3.00 4000 $3.10 23 Jul ‘10 $2.00 3000 $1.00 2000 $0.00 1000 Jan 06 Jul 06 Jan 07 Jul 07 Jan 08 Jul 08 Jan 09 Jul 09 Jan 10 Jul 10 RED HILL IRON LIMITED
Slide 7: RHIO JV and the Joint Ventures
RHIO JV and THE JOINT VENTURES West Pilbara Iron Ore Project For personal use only AMCI INVESTSMENTS 51% PTY LTD AQUILA FIRST AMCI PITT RESOURCES PUBLIC RESERVE CORP & ASSOCIATES LIMITED (POSCO)? POSCO 49% 50% 50% 19.9% 9.2% 42.6% 9.2% 19% CULLEN API PROJECT REDHILL IRON LIMITED RESOURCES MANAGER 43
Slide 8: RHIO JV and the Joint Ventures: Mineral Resources
RHIO JV and THE JOINT VENTURES West Pilbara Iron Ore Project For personal use only RHIO Mineral Resources Deposit Mt Cochrane 33 RHI owns 40% of the Red Hill Iron Ore Joint Venture Jewel 28 This will reduce to 20% on first ore shipment. Ken's Bore 119 Cardo Bore N 6 Cardo Bore E 45 RHI is fully
Slide 9: The Product
THE PRODUCT Resource Estimate RHIOJV Tonnes Fe% SiO2% Al2O3% P% LOI% Mn% MgO% For personal use only 421,889,000 56.63 6.11 3.70 0.072 8.56 0.03 0.09 The West Pilbara Iron Ore Project will produce a direct shipping fine iron ore product. This will be similar to Rio’s West Pilbara Iron ore Project fin
Slide 10: The DFS June 2010
THE DFS June 2010 DFS Complete June 2010 For personal use only Highlights of the study included: ☼ Definitive Feasibility Study (“DFS”) reports technical and financial viability of a 30Mtpa 1st Stage iron ore project in the West Pilbara ☼ The DFS estimates an NPV10 of $2.2 billion and an IRR of 16.4
Slide 11: Key Findings
KEY FINDINGS For personal use only Capital Expenditure Capital Area Cost Average annual Project EBITDA of $1.8 billion at 30Mtpa ($millions) There are two possible routes for Red Hill Iron to consider: Mine, Processing and Infrastructure 1,863 Railway and Rolling Stock 1,695 1.Participate in the pro
Slide 12: Location
LOCATION For personal use only Port Headland Cape Lambert Anketel Dampier FMG Rail BHP Rio Rail Cape Preston Rail RHIOJV RED HILL IRON LIMITED Source: RHI and FMG Dec 09
Slide 13: Regional Play
REGIONAL PLAY For personal use only Port Hedland Cape Lambert RESOURCE Anketel Dampier Tonnes are Cape Preston Millions Proposed BHP Mesa A Mesa J 200 270 RIO Bungaroo 1,500 Solomon FMG Buckland 5,900 50 Mt Elvire Chichester 600 6,000 West Hub RHIOJV 4,800 Yandi Tom Price Red Hill 1,260 Area C Other
Slide 14: Regional Play: Port Development - Anketell
REGIONAL PLAY Port Development - Anketell For personal use only Western Hub FMG Dec ‘09 API API Regional Play FMG RED HILL IRON LIMITED Source: RHI, Cullen, API and FMG Dec 09
Slide 15: Assets – in the JV
ASSETS – in the JV RESOURCES For personal use only Deposit KT Fe% Al2O3% Cardo Bore North 5,555 57.63 3.62 Catho Well North 6,010 55.20 2.81 Jewel 28,472 56.46 3.90 Cochrane 32,705 57.31 4.01 Cardo Bore East 44,726 58.72 3.65 33Mt Upper Cane 78,959 58.07 3.19 28Mt 20km Trinity Bore 106,560 54.62 3.8
Slide 16: Assets – Outside the JV
ASSETS – Outside the JV For personal use only RED HILL IRON LIMITED PANNAWONICA CID PROJECT RHI OWNING 100% OF CID RIGHTS RED HILL IRON LIMITED
Slide 17: Pannawonica Project Assets – Outside the JV
PANNAWONICA PROJECT ASSETS – Outside the JV Drill Hole Locations For personal use only Phase 1 : RC drilling To test the CID mesas and surrounding aprons. Phase 2 : RC drilling 100 metre x 200 metre infill RC drilling (contingent on the results of Phase 1), and broad spaced Aircore drilling to test
Slide 18: Whitegate
WHITEGATE For personal use only RED HILL IRON LIMITED
Slide 19: Redgate
REDGATE For personal use only RED HILL IRON LIMITED
Slide 20: Whitegate Redgate
For personal use only WHITEGATE REDGATE RED HILL IRON LIMITED
Slide 21: Whitegate Drilling
For personal use only WHITEGATE Drilling RED HILL IRON LIMITED
Slide 22: Whitegate Drilling
Whitegate Drilling For personal use only WHITEGATE APPEARS MODEST First phase drilling was restricted to portions of the smaller Whitegate CID as the Company awaited heritage surveying and drill site preparation for more extensive programs. The drilling so far at Whitegate has revealed a good develo
Slide 23: Redgate Central – North Face
For personal use only REDGATE CENTRAL – North Face RED HILL IRON LIMITED
Slide 24: Redgate
For personal use only REDGATE RED HILL IRON LIMITED
Slide 25: Redgate
For personal use only REDGATE RED HILL IRON LIMITED
Slide 26: WPIO Project Update
WPIO Project Update West Pilbara Iron Ore Project For personal use only ☼ Tests indicate the potential to substitute West Pilbara Fines (WPF®) for current sources of sinter feed. ☼ The Premier of WA announced the Government’s approval for development of a multi-user port facility at Anketell Point,
Slide 27: The Market
The Market Steel Intensity Per Capita Grows Strongly As A Nation Becomes Wealthier For personal use only RED HILL IRON LIMITED
Slide 28: The Market: China and emerging nations drive steel consumption
China and other emerging nations The Market will drive steel consumption growth For personal use only 1000 China 900 1,800 800 Western Europe 1,700 700 200 1,600 150 600 100 1,500 50 500 CHINA 0 1,400 2000 2008 2020 400 1,300 300 North America 1,200 ME and Africa 200 200 120 150 1,100 80 100 100 40
Slide 29: The Way Forward
THE WAY FORWARD For personal use only West Pilbara Iron Ore Project – Stage 1 ☼ Stage 1 of the WPIOP is based on CID Deposits SW of Pannawonica ☼ A Definitive Feasibility Study for mine, rail and Anketell Port completed June 2010 ☼ Public Environmental Reviews submitted early 2010 ☼ Government appro
Slide 30: Competent Person Statement
RED HILL Competent Person Statement IRON LIMITED For personal use only ABN: 44 114 553 392 Competent Person Statement The information in this announcement that relates to the Catho Well North, Cardo Bore East, Cardo Bore North, Cochrane, Jewel, Kens Bore and Upper Cane Mineral Resources is based on
Slide 31: For personal use only
RED HILL For personal use only IRON LIMITED ABN: 44 114 553 392 RED HILL IRON LIMITED