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Highbank Resources Ltd (HBK-TSXV)(HBKRF-OTC) to capitalize on $40 Billion Infrastrucutre expansion to the Port of Prince Rupert.

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The Port of Prince Rupert is undergoing a unprecedented Infrastructure expansion which now stands at $40 Billion(announced) and a additional $75 Billion(in the planning and permitting stage) over the …

The Port of Prince Rupert is undergoing a unprecedented Infrastructure expansion which now stands at $40 Billion(announced) and a additional $75 Billion(in the planning and permitting stage) over the next 12years.Highbank Resources Ltd. (HBK-TSXV)(HBKRF -OTC) has developed the largest,nearest and most accessible aggregate deposit to this project and is now moving toward production to capitalize of this construction bonanza.To get a scope of how big this project is ..the Chunnel (France to England) $22 Billion the Panama Canal $8.75 Billion (inflation adjusted) This project is bigger than those projects combined! #1 construction material ? answer Construction Aggregate

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  • 1. March 2013
  • 2. STOCK SNAPSHOTSector: ResourcesProperty Type: Construction AggregateStock Market Symbol: TSXV: HBK; Frankfurt: V7O52-Wk Trading Range: C$ 0.025 - C$ 0.13Shares I&O: 72,943,999 (as at February 28, 2013)Market Capitalization: C$5.47 million (approx.) 2
  • 3. CONSTRUCTION AGGREGATE• Sand, gravel, crushed stone• Essential for road building and concrete• Construction aggregate is world’s most mined material• Annual Canadian consumption of aggregate 10 to 15 tons per person• 2010 BC Production 38 million tonnes valued at C$322million• BC Production expected to exceed previous years 3
  • 4. WESTERN CANADIAN AGGREGATE STOCKSAthabasca Minerals (TSXV:ABM)Price: $1.3752-Wk Range: $0.33-$2.40Market Cap: $45.0mmP/E: 10.8P/Rev: 2.5Polaris Minerals (TSXV:PLS)Price: $0.9552-Wk Range $0.20-$1.19Market Cap: $39.1mmP/E: NAP/Rev: 1.4 4
  • 5. HIGHBANK’S AGGREGATE PROJECT: SWAMP POINT NORTH• Full Working Interest earned Swamp• $2.1 million of capitalized costs Point• Proximity to Prince Rupert – high demand for aggregate• NI 43-101 compliant• 72 million tonnes measured and indicated• First sales commitment received• Cooperative agreement in place with First Nations• Near-term production, pending final permits and financing 5
  • 6. LOCATION• East side of Portland Canal fjord on protected, year round ice free tidewater• Site access by helicopter, float equipped aircraft, or boat• 78 miles north of Prince Rupert (by sea)• 38 miles south of the Port of Stewart• Prince Rupert is the nearest west coast port to developing Asian markets by approx. 33 hours and therefore, ideally placed to meet these demands 6
  • 7. RESOURCE – NI 43-101 compliant Classification Tonnes Measured 62,936,877 Indicated 8,775,166 Measured and Indicated 71,712,043 Inferred 2,246,464 7
  • 8. ECONOMIC POTENTIAL • PRINCE RUPERT AREA – HAS LIMITED SUPPLIES OF QUALITY SAND AND GRAVEL • HIGHBANK’S SWAMP POINT DEPOSIT MEETS SPECIFICATIONS FOR CONSTRUCTION AGGREGATE• NEAREST, LARGEST AND MOST ACCESSIBLE SOURCE WITH LOW COST TRANSPORTATION • PRICE RANGE $20 - $32.50 / Tonne 8
  • 9. TARGET MARKET• Primary Target Region Prince Rupert-Kitimat, B.C. and Alaska• Competitive Advantage Proximity to the Port of Prince Rupert’s construction projects facilitates port to port transportation – most economic mode of delivery Highbank Off loading Location• Highbank’s First Sales Contract To West Fraser Concrete. 100,000 tonnes. Signed March 2012. 9
  • 10. MAJOR PRINCE RUPERT-KITIMAT CONSTRUCTION PROJECTS TOTAL $80 BILLION (VANCOUVER SUN - SEPT. 2012)• 10 year expansion plan of Prince Rupert Port Authority - $1.3 billion Federal Initiative• Spectra – BG, 850-km pipeline project - $6-$8 billion• Canpotex potash terminal - $400 million• Watson Island Industrial Site Redevelopment - $90 million• Ridley Terminals coal expansion - $200 Vancouver Sun image million and $90 million road and infrastructure projects• Global TV video clip on multi-billion dollar projects in Prince Rupert-Kitimat http://tinyurl.com/9q4syyx 10
  • 11. MAJOR PRINCE RUPERT-KITIMAT CONSTRUCTION PROJECTS – CONT.• Kitimat LNG and Pacific Trails pipelines• Shell Oil LNG facility - $12 billion• Apache Oil LNG facility - $5 billion• Region’s share of BC provincial govt’s $25 billion Pacific Gateway Transportation Strategy investment• Rio Tinto expansion of Alcan smelter - C$3.3 billion 11
  • 12. AGGREGATE PRODUCTION: SHORT-TERM RAMP-UP SCHEDULEHighbank, upon completion of a C$3 million financing and receiptof permits, will ramp up Swamp Point North production:Months 1-12 - Stage One development - stripping, constructionof processing plant, conveying systems and development ofproduct stockpilesTrial mining phase at rates of up to 235,000 tonnes per year 12
  • 13. AGGREGATE PRODUCTION: MEDIUM-TERM OBJECTIVES• Months 12-24 - Completion of Stage Two and ramp-up of production to 1,500,000 annual tonnes 1,500,000 tonnes of annual production potentially by Year 4• Years 3-20 - Large-scale mining of the aggregate and commence export sales 13
  • 14. PROPOSED FINANCING & USE OF PROCEEDSSource of FundsDebt Financing C$3,000,000Use of FundsSwamp Point North Start-up Costs C$2,550,000General Working Capital C$ 450,000Total C$3,000,000 14
  • 15. CASH FLOW OBJECTIVES JANUARY - DECEMBER 2013Inflows• C$ 3 million financing• C$2.616 M exercise of warrants at $0.10/$0.15/$0.20,• C$5.3 million in aggregate sales, less C$500,000 royalties, from sale of 235,000 tonnesOutflows*• C$2.55 million on start-up capital costs• C$4,9 million of operating expenses from production of 280,000 tonnes• C$300,000 for Highbank overhead expenses of (C$25,000/month)• C$480,000 in gross royalties (Q3 and Q4) *excluding interest payments and taxes 15
  • 16. MEDIUM/LONG-TERM OBJECTIVESYears 2 and 3 (through December 2015)• 540,000 tonnes per annum• $12.150million per year in revenue• $1.6million per year in operating profit* *prior to interest, Highbank overhead, taxesFull-Scale Production By 2016 (without major expansion)• 1,500,000 tonnes per annum• $33.75million per year in revenue• $4.425million per year in operating profit * * prior to interest, Highbank overhead, taxes 16
  • 17. MANAGEMENT• Victor N. Bryant, I.Eng; MAusIMM, President/CEO/Director 40+ years mining experience incl. with Micon, Fluor Daniel• Gary Musil, Secretary/CFO/Director 30 years financial and management consulting experience• Stan Spletzer, VP of Aggregate Operations 30 years contracting experience incl. for Canfor, Houston Forest Products, and BC Ministry of Forests• Luard J Manning, P.Eng (Mining) Director 50 years mining experience and as a consultant as President of L.J. Manning and Associates since 1967• Jake Bottay, Director, past President of Highbank Mining and project financing experience as director or officer of numerous public companies 17
  • 18. CONTACT INFORMATION #600 - 625 Howe Street, Vancouver, B.C. V6C 2T6 Gary Musil, CFO, Secretary/Director t. (604) 683-6648/f. (604) 683-1350 highbank@telus.net www.highbankresources.comThis document contains certain forward-looking statements and information relating to Highbank that are based onthe beliefs of management as well as assumptions made by and information currently available to management.When used in this document, the words "anticipate," "believe," "estimate," "expect," and "intend" and similarexpressions, as they relate to Highbank or its management, are intended to identify forward-looking statements. Suchstatements reflect the current view of Highbank respecting future events such as the antcipated completion of certainPrince Rupert-Kitimat construction projects, the company’s ramp-up schedule, various stages of financing by thecompany, completion of stage two and any production estimates, the company’s use of proceeds calculation,projected cashflow forecasted revenue and production dates, revenue and profit, and are subject to certain risks,uncertainties and assumptions, including the risks and uncertainties noted. Should one or more of these risks oruncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially fromthose described herein as anticipated, believed, estimated, expected or intended. 18