Minotaur Demonstration Slides

ANNUAL GENERAL MEETING
22 November 2010

Monday, 22 November 2010

22 November 2010
Andrew Woskett, Managing Director

Minotaur Exploration Limited
ACN: 108 483 601
ASX: MEP


Background
MINOTAUR
EXPLORATION

I joined Minotaur on 1 March 2010 and I am delighted to be part of such a great team
I am an engineer with 30 years multi-disciplinary, mining industry experience & in technology
plus a Masters in Commercial Law, Fellow of AusIMM
I have been directly responsible for creating numerous large, new gold & copper processing
operations, such as:
Bougainville Copper concentrator & mine area infrastructure
Kalgoorlie Super Pit, Fimiston plant & Gidgee fluidised bed Roaster
Kanowna Belle
Marymia, Granny Smith mods
Ballarat Goldfields
Iv’e managed studies for a range of new projects in gold, silica, coal, iron ore, copper and
coal-to-liquid fuels, such as:
Cockatoo Island - restructured the high grade {64% Fe} iron ore fines operation, defined new
mineable reserves and extended the life of mine by several years, saving it from closure
Olympic Dam - planned the new open pit operation & organisation (for WMR)
Pilbara Iron - planned the Hamersley iron expansion to 230Mtpa
Extension Hill - PFS for a 5Mtpa hematite/magnetite plant and open pit mine
Eneabba Coal - PFS for a 500ktpa DRI pig iron nugget plant & open pit mine
www.minotaurexploration.com.au


today’s Agenda:
MINOTAUR
EXPLORATION



today’s Agenda:
MINOTAUR
EXPLORATION

1. About Minotaur today; facts & ﬁgures
2. Minotaur’s achievements through 2010
3. Minotaur’s aims for the end of 2011
4. Minotaur’s aims for the end of 2012
5. Cloncurry IOCG exploration
6. Mutooroo Fe exploration and a regional perspective
7. Poochera Kaolin; the pathway to commercialisation
8. usual Disclaimer
9. Q&A



About Minotaur
MINOTAUR
EXPLORATION

Equity: 92.7M shares on issue
Top 5 hold 23.7%: Oz Minerals (8.67%); Newmont (5.74%)
52 week range: 16.5c - 38c
Last Price (as @ 19 Nov): $0.245
Market Capitalisation: $22.7M
Cash (31 Oct): $6.2M
Listed Investments: $7.5M
Enterprise Value: =$9.0M (the disturbingly low value that the market ascribes to our real assets)
Exploration Assets valued @: $0.097 per share (as @ 19 November 2010)



Minotaur’s priorities through 2010:
MINOTAUR
EXPLORATION



MINOTAUR
EXPLORATION

exploration mainly in:

Queensland
New South Wales
South Australia
and
Victoria



MINOTAUR
EXPLORATION

exploration mainly in: where the focus has been on:

Queensland deﬁning and drilling new IOCG Copper-gold targets
New South Wales deﬁning and drilling new Base metals (Pb, Zn) targets
South Australia investigating IOCG style (Cu-Au), Magnetite, Kaolin,
and and Gold prospects
Victoria acquiring new VMS style base metal targets & Gold



Minotaur ‘s achievements in 2010:
MINOTAUR
EXPLORATION



Minotaur ‘s achievements in 2010:
MINOTAUR
EXPLORATION

Project diversity, well funded by JV’s, investing $7 million through 2010:

Cloncurry (Qld): geophysics completed on multiple IOCG targets, ﬁrst drillhole
successfully completed, but program now hampered by early
onset of ‘wet‘ season
Aphrodite (SA): IOCG target 35km SE of Olympic Dam. Access approvals gained.
Drilled to 829m depth in October. The gravity anomaly was
tested but not explained by core. New downhole geophysical
methods needed to assess and understand the anomaly
Border (SA): AEM & EM surveys completed on base metals targets, drill in 2011
Mutooroo (SA): High quality sedimentary hosted magnetite deposit discovered.
Drilling delayed by wet, to re-commence in January 2011
Poochera (SA): Highest quality, ‘world class’ kaolin resource characterised.
Planning for a new mine operation from end 2012; +50 year life.
Production to ramp from 50,000 tpa @ start up to +100,000 tpa
(assumes 2 x wet processing modules)
Victoria: Successfully tendered for new VMS tenure; Option taken on
exploration & acquisition of 2 historic gold ﬁelds, drilling started


Minotaur’s vision for end 2011:
MINOTAUR
EXPLORATION



MINOTAUR
EXPLORATION

Project outcomes:

Cloncurry: drill testing done on multiple IOCG anomalies for new mineral deposits
Mutooroo: have completed a Scoping Study of 1 billion tonne Magnetite target with
possible mineralisation upside to 3 billion tonnes. An initial JORC
Inferred resource reported.
A case made to JV to proceed to PFS from March 2012
Poochera: have completed PFS & DFS studies into Kaolin commercialisation.
Oﬀtake agreements in place, ready to make an Investment
decision to proceed to design, construction and commissioning in 2012
Victoria: have delineated and drilled VMS style base metals targets.
Identiﬁed Gold resource and potential production prospects



MINOTAUR
EXPLORATION



MINOTAUR
EXPLORATION

Project outcomes:

Cloncurry: intensive drilling completed on several new IOCG mineral deposits
Mutooroo: PFS completed. A case made to JV for progression of a $50M BFS, from
March 2013, into a 40Mtpa magnetite mining & processing operation
Poochera: design, construction & commissioning complete; readying for ﬁrst
commercial production early in 2013
Victoria: VMS base metals targets advanced to new discovery stage.
Gold resources advanced to production proposition



Cloncurry IOCG
MINOTAUR
EXPLORATION

Australia’s most productive

copper belt, but

surface deposits are depleted

vast areas are under cover (obscured)

and are under-explored

geophysics “sees through” the cover

to locate potentially mineralised

targets (anomalies)

looking for ‘Ernest Henry’ style iron oxide,
copper-gold (IOCG) orebodies
multiple IOCG targets over 546 km2
Ernest Henry
30km N of Ernst Henry IOCG mine
JV with Japan Oil Gas & Metals Corp
JOGMEC earning 51%
Cloncurry
JOGMEC funding $4M over 3 years


Cloncurry IOCG
MINOTAUR
EXPLORATION

ground geophysics

completed

geophysical anomalies

selected for drilling

aka Eloise, Osborne,

Ernest Henry

drilling to resume in

2011, after Wet season
Drill Targets at:
Gypsy Plains, drilled 12 Nov to
401.5m target depth, core being
transported to Adelaide for full
technical assessment
Cormorant
Cotswold
Woolshed Flat



Cloncurry
MINOTAUR
EXPLORATION

Cloncurry River ﬂows (Saturday 13 November) as a result of ﬁrst rains overnight


Mutooroo Fe
MINOTAUR
EXPLORATION

a major new magnetite deposit
JV: Minotaur 40.1%, Sumitomo 59.9%
Australia’s next big iron province?
90km SW of Broken Hill
35km from E-W rail line
Heavy duty rail link 300km to Port
Pirie
a case could well arise for regional
consolidation of new infrastructure to
deliver multi-user Processing, Rail, Port,
Power, Water supply facilities etc,
supporting all magnetite mines in the
area



Mutooroo Fe
MINOTAUR
EXPLORATION

2 RC holes drilled to 200m
thick magnetite beds
intersected under thin cover
consistently high quality (~69%)
magnetite concentrates made
from composited drill chips
low level Heli-Mag data reveals
extensive regional arrangement
of magnetised siltstone beds
Work Plan (rain delayed):
★ 8 x RC & Diamond holes
planned along 40km strike
extent of highly magnetised
sedimentary beds
★ Concentrate quality testing
★ to estimate size of the
potential Exploration Target(s);
aiming for ~3b tonnes
The
term
"Explora/on
Target"
should
not
be
misconstrued
as
an
es/mate
of
Mineral
Resources
and
Reserves
as
deﬁned
by

the
JORC
Code
(2004),
and
the
term
has
not
been
used
in
that
context.
It
is
uncertain
if
further
explora/on
will
result
in
the

www.minotaurexploration.com.au determina/on
of
a
Mineral
Resource.
Refer
Cl
18
of
the
JORC
Code
(2004).


Mutooroo Fe
MINOTAUR
EXPLORATION

08RCMUT-‐02 08RCMUT-‐01



Mutooroo Fe
MINOTAUR
EXPLORATION

Magnetite Pellet Fines - Quality Criteria08RCMUT-‐01
08RCMUT-‐02
BF Pellet
MUT01/02
Species fines grade Comment Result
(target %) DTRC %

Fe >60.0 69.3 pure magnetite is 72.4% Fe (maximum grade achievable)
FeO >25 ~26.4 calculated by differences

SiO2<5% preferred for Blast Furnace (‘BF’) feed.
SiO2 <5.5 3.57
For DRI grade Si+Al <2% (preferred) and certainly <3%

Al2O3 1.0-1.5 0.36 low Al2O3 can be considered ‘preferred’ by BF

CaO <3.0 0.10 moderate CaO can offset flux addition in BF
MgO <3.0 0.05 moderate MgO can offset flux addition in BF
TiO2 <0.75 0.06 Concentrate is unsaleable if TiO2 > 1%
Mn <0.050 0.02 Mn increases coke rate in BF
P <0.030 0.01 P<0.08% preferred as P reports to pig iron smelt
S <0.010 <0.01 S contributes to acid rain (SO2) gases in BF exhaust

DTRC: Davis Tube Recovery Concentrate

Mutooroo DTRC grade, to date, ticks all the boxes
BF:

Blast Furnace; a steel making furnace


Mutooroo Fe
MINOTAUR
EXPLORATION

A Regional Vision:
Australia’s next big iron province?
several aspiring developers side-by-side
multiple zones each potentially hosting
hundreds of millions of tonnes of
magnetite rich siltstones
Regional potential for ~10bt ore, with a
foreseeable 100 year life of mining @
nominal 100Mtpa mining rate, producing
25Mtpa of concentrate, comprising:
4-5 processing operations for 5-10Mtpa
concentrate each, at ~$2b Capex each, or 6 autogenous grinding mills @ 28MW each
one 25Mtpa Super Plant and assoc
infrastructure at ~$6b, saving ~$5b
overall, with scale to include a Pellet Plant
(producing a value added product)
equal to CITIC’s $5.5b for 28Mtpa huge
magnetite project at Cape Preston, WA
(see photos)
450MW Power station, combined cycle, gas ﬁred
www.minotaurexploration.com.au (photos sourced from http://www.citicpaciﬁcmining.com/resources/news)


Poochera Kaolin
MINOTAUR
EXPLORATION

Granite decomposes to granitic kaolin through tropical weathering

!

Finished product size is 92% passing 2 microns
(or 2 thousandths of one millimetre).
World trade of highest quality ‘China Clay’
exceeds 10 million tonnes per year.
Used in plastics, paints, paper coatings, tyres,
www.minotaurexploration.com.au pharmaceuticals, ceramics

Poochera Kaolin, ‘world class’
MINOTAUR
EXPLORATION

MEP 100%
Poochera kaolin ticks all the quality boxes
20Mt Inferred Kaolin resource
5m - 30m below surface, soft digging
92% < 2um hydrous kaolin product
world class ‘Ultra white’ & ‘Ultra bright’
hydrous kaolin qualities;
Reflectance (ISO): R457 = 90.7
pilot plant producing world class
calcined product: R457 = 92.4
potential for new operation
producing +100kt pa for over 50 years * *

100km from Port Thevenard, SA
marketing exposure expected to
lead to preliminary Offtake discussions Note: * elevated Alumina level is beneficial

Pre-feasibility study in H1 of 2011


so, to conclude......Minotaur has:
MINOTAUR
EXPLORATION

a divers ified portfolio with real growth as s ets



Disclaimer and Competent Person’s Statement
MINOTAUR
EXPLORATION

This
presenta/on
has
been
prepared
by
the
management
of
Minotaur
Explora/on
Limited
(ASX:
MEP)
for
the
general
benefit
of
analysts,
brokers

and
investors
and
does
not
cons/tute
specific
advice
to
any
par/cular
party
or
persons.
Informa/on
herein
is
based
on
publicly
available

informa/on,
internally
developed
data
and
other
sources.
Where
an
opinion,
projec/on
or
forward
looking
statement
is
expressed
in
this

presenta/on,
it
is
based
on
the
assump/ons
and
limita/ons
men/oned
herein
and
is
an
expression
of
present
opinion
only.
No
warran/es
or

representa/ons
are
made
or
implied
as
to
origin,
validity,
accuracy,
completeness,
currency
or
reliability
of
the
informa/on.
MEP
specifically

disclaims
and
excludes
all
liability
(to
the
extent
permiVed
by
law)
for
losses,
claims,
damages,
demands,
costs
and
expenses
of
whatever
nature

arising
in
any
way
out
of
or
in
connec/on
with
the
informa/on,
its
accuracy,
completeness
or
by
reason
of
reliance
by
any
person
on
any
of
it.

Where
MEP
expresses
or
implies
an
expecta/on
or
belief
as
to
the
success
of
future
explora/on
and
the
economic
viability
of
future
project

evalua/ons,
such
expecta/on
or
belief
is
expressed
in
good
faith
and
is
believed
to
have
a
reasonable
basis.
However,
such
projected
outcomes

are
subject
to
risks,
uncertain/es
and
other
factors
which
could
cause
actual
results
to
differ
materially
from
projected
future
results.
Such
risks

include,
but
are
not
limited
to,
explora/on
success,
metal
price
vola/lity,
changes
to
current
mineral
resource
es/mates
or
targets,
changes
to

assump/ons
for
capital
and
opera/ng
costs
as
well
as
poli/cal
and
opera/onal
risks
and
government
regulatory
outcomes.
MEP
disclaims
any

obliga/on
to
advise
any
person
if
it
becomes
aware
of
any
inaccuracy
in
or
omission
from
any
forecast
or
to
update
such
forecast.

Information in the foregoing presentation that relates to Exploration Results, Mineral Resources or Ore Reserves
is based on information compiled by Dr A. P. Belperio, who is a Director and full-time employee of the Company
and a Fellow of the Australasian Institute of Mining and Metallurgy. Dr A. P. Belperio has a minimum of 5 years
experience, which is relevant to the style of mineralisation and type of deposit under consideration and to the
activity that he is undertaking, to qualify as a Competent Person as defined in the 2004 Edition of the
“Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Dr A. P. Belperio
consents to inclusion in the presentation of matters based on his information in the form and context in which it
appears.



and if imitation is the highes t form of flattery....
MINOTAUR
EXPLORATION



22 November 2010

Questions please............then a cup of tea.

Minotaur Exploration Limited
ACN: 108 483 601
ASX: MEP


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