Skylark Minerals Limited · ASX:SKM
Skylark Minerals — Ironbark Zinc — Non-Deal Roadshow (November 2010)
22 slides from Skylark Minerals's roadshow presentation, November 2010
Slide 1: Becoming a Major Base Metal Miner
Discoveryy zone: Ironbark g geologist g at mineralised sulphide p outcrop p BECOMING A MAJOR BASE METAL MINER Investor Roadshow November 2010 ASX:IBG
Slide 2: Disclaimer
Disclaimer • The following information is for shareholders and not intended to guide any investment decisions in Ironbark Zinc Limited (Ironbark). • This material contains certain forecasts and forward-looking information, includingg regarding g g ppossible or assumed future pperformance, costs, pro
Slide 3: Director's and Management
Director’s and Management • Peter Bennetto - Chairman Peter has over thirty years experience in banking and investment. investment He has had deep involvement in capital capital, currency and commodity markets with Societe Generale and Banque Indosuez. Peter has held company director positions in ex
Slide 4: Capital Structure
Capital Structure Issued Capital Major Shareholders Nyrstar NV 30.49% Shares on Issue 320,392,667 320 392 667 Glencore AG 13.76% Options on issue 3,700,000 Bedford Resources 4.85% (20c-85c 2012exp) UBS 2.13% Share price 25c (as at November 4th 2010) Standard Bank 2.09% Market Capitalisation ~$80M $
Slide 5: Investment Highlights
Investment Highlights Wholly owned +10 Billion pounds of zinc (Zn) and lead (Pb) andd growing i Medium Grade - 56.0Mt @ 6.1% Zn + Pb at a 3.5% Zn cut-off Including High-grade - 22.6Mt @ 8.2% Zn + Pb at a 5% Zn cut-off (greater than 50% indicated) Within a: Global Resource - 101.7Mt @ 4.7% Zn + Pb at
Slide 6: Supportive Government & Secure Tenure
Supportive Government & Secure Tenure • Geologically Prospective • Home Rule – Danish/Greenland Government – negligible sovereign risk • Exploration to Exploitation License • BMP exceptionally p y supportive pp – looking to minerals and petroleum to support move to Nanisivik Independence 1.3B lbs Zn
Slide 7: Citronen Camp
Citronen New camp – Fully owned camp, drill Field Camp rigs and equipment
Slide 8: Citronen Drilling
Citronen Drilling Deep water open to Ocean
Slide 9: Citronen Drilling: High grade and continuous ore zones
Citronen Drilling High grade and continuous ore zones allow low cost mining techniques with majority of development in ore
Slide 10: Advancing the project
Advancing the project • 2010 development work ongoing • BFS Target completion 4th quarter 2010 • Resource upgrade in 4th quarter 2010 • Evaluating E l ti 3Mtpa 3Mt andd 5Mt 5Mtpa processing i scenarios i
Slide 11: Indicative Mine Plan
Indicative Mine Plan Mineable Inventory L2: 17Mt @ 7.1% Zn+Pb & L3: 10Mt @ 5.5% Zn+Pb scheduled for +10% Zn+Pb mine feed first 3 years pre-DMS treatment Mineral Inventory L3: 20Mt @ 6% Zn+Pb pre DMS treatment pre-DMS Beach Zone South not in current mine plan, potential for ongoing exploration succes
Slide 12: Processing Breakthrough - exceptional ore upgrade
Processing Breakthrough- exceptional ore upgrade • Simple gravity sorting (DMS) removes barren material (2.7 t/m³) from heavy ore (~5 t/m³)
Slide 13: Mining Process
Mining Process 6% Zn+Pb 3Mtpa ~1.5Mtpa 1.5Mtpa ~1.5Mtpa ~12% Zn+Pb
Slide 14: Industry Proven & Simple Process Flow Sheet
Industry Proven & Simply Process Flow Sheet
Slide 15: Excellent Metallurgical Characteristics
Excellent Metallurgical Characteristics • 50% Zn concentrate with 90% recoveries achieved • Saleable to wide range of smelters with target concentrate grade of ~60%
Slide 16: Production Advantages
Production Advantages • Resource Size • Resource Mineability • Resource Upgradeability • Very low Sovereign Risk
Slide 17: Logistics
Logistics • Proximity to numerous smelters in Europe and North America • 3 Month shipping window • Benign environment – warmer than Yellowknife (mining centre in Canada) • Permanent rock with minimal precipitation (0.4m per annum) • Protected deep water fjord – 0.5m tidal variation • Typical arctic
Slide 18: Citronen Estimated 'C1' Costs Net of By-products
Citronen Estimated ‘C1’ Costs Net of By-products** Well positioned to become a major mining operation 120 100 b) Net C1 Cassh Cost (c/lb 80 3.0Mtpa 60 40 20 0 0 10 20 30 40 50 60 70 80 90 100 Cumulative Production (%) (Source: Anglo American Presentation, 20/01/09) *Excluding pre-strip mine schedule
Slide 19: Exploration Targets
Exploration Targets • First mover advantage • Numerous large exploration targets – almost every drill hole is mineralised • Defined ore bodies are open p ended • SEDEX deposits typically occur in district scale camps of multiple clusters • 100% owned o ned exploration licenses’ oover e 2,500 ,500 km
Slide 20: Ironbark Resource Base
Ironbark Resource Base • The current JORC compliant resource for Citronen (Nov 2008) is detailed as follows: 55.8 million tonnes at 6.1% zinc (Zn) + lead (Pb) Indicated resource of 29.9Mt 29 9Mt @ 5.8% 5 8% Zn and 0.6% 0 6% Pb Inferred resource of 25.9Mt @ 5.0% Zn and 0.7% Pb Using inverse distance
Slide 21: Other Opportunities
Other Opportunities Washington Land Explored by RIO in 1998 •Channel sample of 25m @ 8.9% Zn, 11.1% Pb and 95 g/t Ag • Single drill hole returned 1.2m @ 8.4% Zn and 94 g/t Ag. Mestersvig Historical mining at Blyklippen •Life of mine +12% Pb for 6 years. •Alteration mapped pp for possible repeat. Fie
Slide 22: Becoming a Major Base Metal Miner
Becoming a Major Base Metal Miner Jonathan Downes Managing Director 08 6461 6350 [email protected] The information in this presentation that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr A Byass, B.Sc Hons(Geol), B.Econ, FSEG, MAIG an emp