Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
Mining	  Infrastructure	  Investment	  opportuni3es	  on	  the	                       Braemar	  Iron	  Forma3on	          ...
Braemar   Braemar            2011 7 7Braemar            Andrew Woskett Minotaur              (ASX: MEP)
Cautionary StatementsThis	   presenta,on	   has	   been	   prepared	   by	   the	   management	   of	   Minotaur	   Explor...
Braemar         Minotaur   (MEP)     ,                                         MEPMEP                MEP                  ...
Braemar Iron Formation: Location               2	  new	  maps	  to	  be	  inserted	  here	  
Braemar          2	  new	  maps	  to	  be	  inserted	  here	                                                              ...
Braemar Iron: The Investment background1.    The Braemar Iron Alliance: members and objectives2.    The Braemar Iron Forma...
Braemar           :1.  Braemar   :2.  Braemar   :             §    §    §    §    §    § 
Braemar Iron AllianceTheBraemar Iron Alliance comprises:       The Braemar Iron Alliance will:    Bonython Metals Group (p...
BraemarBraemar                                       Braemar    Bonython              (   )    Carpentaria           (ASX:...
Braemar Iron: Australia’s next big Iron provinceThis presentation is based on a range of views held and assumptions made b...
Braemar             :          Braemar                           JORC       2004                        JORC      (2004) C...
Braemar Iron: Australia’s next big Iron provinceThe Braemar Iron Formation is a regionally extensive sequence of magnetise...
Braemar          :Braemar                                       300      200                                              ...
Braemar Iron: resource development activity² Iron mineralisation stretches for over 200km from SW of Broken Hill to Peter...
Braemar      ²          Broken    Peterborough     200            ²             Upper Spencer   Pirie
Braemar Iron: the potential mining scale                           ² Alliance members foresee potential for up to 50     ...
Braemar   :              ²                  500              ²              5         5000                       1000   ...
Braemar Iron: Water for 25Mtpa concentrate outputWater Supply scenario:	  ๏  magnetite processing and magnetic recovery ci...
Braemar                                                        :                :๏ ๏                                      ...
Braemar Iron: Power for 25Mtpa concentrate output Power Supply scenario:	   ๏  power demand of 500MW for 5 mines    (Olymp...
Braemar                    :๏                           500MW     (Olympic Dam                    650MW      )๏           ...
Braemar Iron: Transporting iron products to Port                            ๏ Rail:                            •  Main con...
Braemar          ๏           •                                Braemar          •              Pirie             150      –...
Braemar Iron: Concentrate transfer to Port                                                                            ๏ Sl...
Braemar   :                                    ๏                :                                    •                    ...
Braemar Iron: Concentrate conversion into Pellets                                                            CITIC Stacker...
Braemar   :                   CITIC Stacker Reclaimer Feb 2011                   photo sourced from www.citicpacificmining...
Braemar Iron: Port for bulk loading of iron productsBiggest	  challenge	  to	  development	  of	  new	  mines	  is	  lack	...
Braemar                 :•  Adelaide :                      170•  Pirie :                           800•  Bonython     (  ...
Braemar Iron: Sea Freight 5,300 nautical miles
Braemar   5300
Braemar Iron: Infrastructure Investment scenarios      Item	                                         Scale	             Ca...
Braemar            :                           500MW        $2,250                                 50Gl    $500           ...
Mining	  Infrastructure	  Investment	  opportuni3es	  on	  the	                      Braemar	  Iron	  Forma3on	           ...
Braemar          MinotaurBraemar              Andrew Woskett Minotaur               (ASX: MEP)
and,	  there	  are….	  Mining	  Investment	  opportuni3es	  with	  Minotaur	  Explora3on	                      Minotaur	  ...
……	  	  Minotaur	                                                                        	          Minotaur              ...
Upcoming SlideShare
Loading in …5
×

Braemar iron alliance chinese investment congress 7 july 2011 translation

1,954 views

Published on

  • Be the first to comment

  • Be the first to like this

Braemar iron alliance chinese investment congress 7 july 2011 translation

  1. 1. Mining  Infrastructure  Investment  opportuni3es  on  the   Braemar  Iron  Forma3on   A  Presenta3on  from  the  Braemar  Iron  Alliance   Australian  Resources  Chinese  Investment  Conference,    Adelaide     7  July  2011 Andrew  WoskeG,  Spokesman  for  the  Braemar  Iron  Alliance   Managing  Director,  Minotaur  Explora3on  Ltd  (ASX:  MEP)  
  2. 2. Braemar Braemar 2011 7 7Braemar Andrew Woskett Minotaur (ASX: MEP)
  3. 3. Cautionary StatementsThis   presenta,on   has   been   prepared   by   the   management   of   Minotaur   Explora,on   Limited   (MEP)   on   behalf   of   the   Braemar   Iron   Alliance,   an  unincorporated  body,  for  the  general  benefit  of  analysts  and  industry  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  and  Alliance  members  specifically  disclaim  and  exclude  all  liability  (to  the  extent  permiIed  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  or  the  Alliance  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   and   the   Alliance   disclaim   any   obliga,on   to   advise   any   person   if   it   or   they  become  aware  of  any  inaccuracy  in  or  omission  from  any  forecast  or  to  update  such  forecast.   The following presentation is a visualisation of possible infrastructure solutions to support potential future iron ore mine developments. Locations nominated for the provision of infrastructure facilities are for illustration purposes only and should not be considered viable technical, economic, environmental, social or State solutions for any future requirements  
  4. 4. Braemar Minotaur (MEP) , MEPMEP MEP MEP  
  5. 5. Braemar Iron Formation: Location 2  new  maps  to  be  inserted  here  
  6. 6. Braemar 2  new  maps  to  be  inserted  here    
  7. 7. Braemar Iron: The Investment background1.  The Braemar Iron Alliance: members and objectives2.  The Braemar Iron Formation: Australia’s next big Iron ore province  3.  Mining development scenarios  4.  Infrastructure needs:   §  Water §  Power §  Rail haulage of concentrates and lump ore §  Concentrate Slurry transfer §  Port §  Sea Freight5.  Investment opportunities
  8. 8. Braemar :1.  Braemar :2.  Braemar :     §  §  §  §  §  § 
  9. 9. Braemar Iron AllianceTheBraemar Iron Alliance comprises: The Braemar Iron Alliance will: Bonython Metals Group (private) Define and articulate the demand case to Carpentaria Exploration (ASX: CAP) governments and infrastructure investors Havilah Resources (ASX: HAV) for coordinated common user infrastructure Minotaur Exploration (ASX: MEP) Royal Resources (ASX: RRL) to suit the needs of the iron ore mining Sinosteel PepinNini JV (SPCM) industry along the Braemar Iron Formation
  10. 10. BraemarBraemar Braemar Bonython ( ) Carpentaria (ASX: CAP) Havilah (ASX: HAV) Minotaur (ASX: MEP) Braemar Royal (ASX: RRL) Sinosteel PepinNini (SPCM)
  11. 11. Braemar Iron: Australia’s next big Iron provinceThis presentation is based on a range of views held and assumptions made by members of the Braemar Iron Alliance, none of which are yet supported by definitive feasibility studies into potential development of mineral resources.The integrated, multi-user infrastructure facilities envisaged herein are hypothetical in nature and scope and there can be no level of certainty that this or any concept may eventuate The  term  "Explora(on  Target”  used  herein  should  not  be  misconstrued  as  an  es3mate  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  explora3on  will  result  in  the  determina3on  of  a  Mineral  Resource.   Refer  Cl  18  of  the  JORC  Code  (2004).  
  12. 12. Braemar : Braemar JORC 2004 JORC (2004) Cl 18
  13. 13. Braemar Iron: Australia’s next big Iron provinceThe Braemar Iron Formation is a regionally extensive sequence of magnetised sedimentary siltstones, with pervasive beds of magnetite mineralisation, often up to 300m thick, stretching over a distance exceeding 200km, as shown in red on the Total Magnetic Image below. Linear strike length of the tightly folded magnetised siltstone layers is well over 300km. 400km   The  Braemar  Iron  Alliance  "Explora(on  Target”  across  the  Braemar  Iron  Forma3on  is  for  25  –  50  billion  tonnes  of  the   magne3te  form  of  iron  
  14. 14. Braemar :Braemar 300 200 300 400km   Braemar Braemar 250 500
  15. 15. Braemar Iron: resource development activity² Iron mineralisation stretches for over 200km from SW of Broken Hill to Peterborough in SA   ² The formation straddles the heavy duty E-W rail link to Port Pirie on Upper Spencer Gulf
  16. 16. Braemar ²  Broken Peterborough 200 ²  Upper Spencer Pirie
  17. 17. Braemar Iron: the potential mining scale ² Alliance members foresee potential for up to 50 billion tonnes of magnetite iron resources to be defined through exploration over the next decade (refer ‘Exploration Target’ disclaimer on earlier slide) ² with scope for say 5 pits each mining 50 million tonnes of ore p.a. and beneficiating around 10Mtpa of concentrate each ² for total annualised output of ~50Mtpa of blast furnace quality magnetite concentrates grading 65% - 70% Fe, exceptionally low in impurities ² and with a foreseeable 100 year life of mining across the Braemar Iron Formation
  18. 18. Braemar : ²  500 ²  5 5000 1000 ²  5000 65% 70% ²  Braemar 100
  19. 19. Braemar Iron: Water for 25Mtpa concentrate outputWater Supply scenario:  ๏  magnetite processing and magnetic recovery circuits use vast amounts of clean water ๏  process circuits will consume ~50Gl per year (50,000 Mega litres pa or 135 Mega litres per day)๏  A Desalination plant will be required on Spencer Gulf๏  350km transfer pipeline, 1m diameter, plus 3 pump stations to deliver water to process facilities(BHPB s proposed Desalination facility forOlympic Dam’s new mine is to supply anadditional 200 Ml/day from PortBonython area in Upper Spencer Gulf) CITIC Desalination Plant Feb 2011 Proposed  Olympic  Dam  Expansion  Desalina3on  Plant,  Point  Lowly,  200Ml  per  day  capacity   photo sourced from www.citicpacificmining.com/en/news/progress-images Source:  ODX  EIS  p136-­‐154,  Fig  5.32  
  20. 20. Braemar : :๏ ๏  ~50Gl ( 50,000 Mega 135 Mega )๏  Spencer๏  350 BHPB Olympic Dam 200MIUpper Spencer Bonython CITIC Desalination Plant Feb 2011 Proposed  Olympic  Dam  Expansion  Desalina3on  Plant,  Point  Lowly,  200Ml  per  day  capacity   photo sourced from www.citicpacificmining.com/en/news/progress-images Source:  ODX  EIS  p136-­‐154,  Fig  5.32  
  21. 21. Braemar Iron: Power for 25Mtpa concentrate output Power Supply scenario:   ๏  power demand of 500MW for 5 mines (Olympic Dam’s new mine requires additional 650MW of power generation) ๏  consuming 3,000 GWh pa (Olympic Dam new mine to consume additional 4,400 GWh pa) ๏  Potential for renewable power supplies from just north of the Braemar Iron Formationgraphics sourced from www.petratherm.com.au/expmodel.html ๏  potential for geothermal energy from shallow ‘hot rocks’ nearby at Petratherm s Paralana project ๏  a meshed 275kV transmission NEM network between Paralana-Port Augusta-Broken Hill, supplying 500MW into grid ๏ total 1,000km of new HV transmission network   Disclosure:  MEP  holds  an  economic  interest  in Petratherm  (ASX:  PTR)    
  22. 22. Braemar :๏  500MW (Olympic Dam 650MW )๏  3,000 GWh (Olympic Dam 4,400 GWh )๏  Braemar www.petratherm.com.au/expmodel.html ๏  Petratherm Paralana ๏  Paralana Augusta Broken 275kV NEM 500MW ๏  1,000 HV MEP Petratherm (ASX:PTR)
  23. 23. Braemar Iron: Transporting iron products to Port ๏ Rail: •  Main continental E-W standard gauge rail line runs right through the Braemar Iron Formation •  Deposits are a 150km - 300km rail trip to Port Pirie where a Pellet Plant could be established •  rail line to be upgraded in 2012 •  existing spare line capacity of 10Mtpa •  rail access to each mine requires a 35km spur’ •  ‘balloon loop required at each mine for train turn around and 24 hour loading/unloading •  For 25Mtpa ore haul capacity, need; •  9 train sets each comprising 5 x 4,000hp Traction locomotives & 162 wagons •  1990 train trips per year •  5 hour load/unload turnaround time (max) •  line duplication needed to provide sufficient train paths beyond 10Mtpa •  need significant stockpile hardstand and negative pressure storage sheds at Port or Pellet plant
  24. 24. Braemar ๏  •  Braemar •  Pirie 150 – 300 Pirie •  2012 •  1000 •  35 •  24 •  2500 •  9 5 x 4,000hp 162 •  1990 •  5 •  1000 • 
  25. 25. Braemar Iron: Concentrate transfer to Port ๏ Slurry Pipeline: •  Slurry transfer is a cost effective alternative to rail haulage for a long-term mining project •  Slurry transfer can be used for concentrate movements from mine to port •  we envisage a 300km long buried pipeline to a Pellet plant near Port Pirie or 380km to a deep water port location •  25Mtpa requires a 600mm diameter Concentrate delivery pipe + Return Water Line •  Example: ✴  Minas Rio iron project, Brazil; 600mm diameter pipeline is 522km long, to transport 24.5Mtpa of concentrate •  2-3 intermediate Pump Stations •  Port Dewatering station & Concentrate Slurry  loading  via  a  floa3ng  Stockpile  vessel   storage Photo  courtesy  Royal  Resources  Ltd   •  both rail and slurry line solutions could be used to transport >25Mtpa of concentrate
  26. 26. Braemar : ๏  : •  •  •  300 Pirie 380 •  2500 600mm •  ✴  Minas Rio ; 600mm 522 2450 •  2-3 •  Dewatering •  2500    Royal  
  27. 27. Braemar Iron: Concentrate conversion into Pellets CITIC Stacker Reclaimer Feb 2011 photo sourced from www.citicpacificmining.com/en/news/progress-imagesPelletisation๏  Pellet plants are common in China๏  Concentrate is agglomerated to form pellets for direct injection into a steel making Blast Furnace๏  Pelletisation adds value to the concentrate product๏  Pellets are easier to ship (no moisture content), less likely to release fugitive dust emissions๏  Australia is underweight in downstream value-add components of the steel making supply chain
  28. 28. Braemar : CITIC Stacker Reclaimer Feb 2011 photo sourced from www.citicpacificmining.com/en/news/progress-images๏ ๏ ๏ ๏ ๏ 
  29. 29. Braemar Iron: Port for bulk loading of iron productsBiggest  challenge  to  development  of  new  mines  is  lack  of  bulk  handling  port  infrastructure:  •  Port  Adelaide:  capacity  is  only  1.7Mtpa  •  Port  Pirie:  capacity  expanding  to  8Mtpa,  but  has  very  shallow  dra`  •  Port  Bonython  (proposed):  sub-­‐op3mal;  extra  rail  distance  incurs  addi3onal  haulage  charges  Braemar Iron Alliance sees an emerging requirement to berth 200,000 DWT Cape Size’vessels for sea freight of iron concentrates & Pellets: ª  Minimum 50Mtpa port capacity ª  up to 250 ships loaded per year ª  6,000tph loading rate ª  320m long, double sided berth ª  20m draft accessible in Spencer Gulf ª  Need new deep water port in Spencer Gulf, south of Port Pirie ª  jetty length ~3km ª  Capital cost around $750 million
  30. 30. Braemar :•  Adelaide : 170•  Pirie : 800•  Bonython ( ):Braemar 200 000 DWT ª  5000 ª  250 ª  6000 ª  320 ª  Spencer 20 ª  Pirie Spencer ª  3 ª  7 5000
  31. 31. Braemar Iron: Sea Freight 5,300 nautical miles
  32. 32. Braemar 5300
  33. 33. Braemar Iron: Infrastructure Investment scenarios Item   Scale   Capital  Cost  A$  million   Power  &  Transmission   500MW   $2,250   Desalina3on  Water   50Gl/year   $500   Slurry  Pipelines   25Mtpa   $650   Rail  expansion  to  25Mtpa   380km   $750   Locomo3ves  &  Wagons   9  train  sets   $550   hauling  25Mtpa   Port  for  200,000  DWT   50Mt   $750   Pellet  Plant   10Mt   $1,250   Total  Capital  Investments   ±$6,650  
  34. 34. Braemar : 500MW $2,250 50Gl $500 2500 $650 380 $750 2500 9 $550 2500 200,000 DWT 50Mt $750 10Mt $1,250 ±$6,650
  35. 35. Mining  Infrastructure  Investment  opportuni3es  on  the   Braemar  Iron  Forma3on   Interested?   Please  see  me  at  the  Minotaur  Explora3on  display  Booth   Andrew  WoskeG,  Spokesman  for  the  Braemar  Iron  Alliance   Managing  Director,  Minotaur  Explora3on  Ltd  (ASX:  MEP)  
  36. 36. Braemar MinotaurBraemar Andrew Woskett Minotaur (ASX: MEP)
  37. 37. and,  there  are….  Mining  Investment  opportuni3es  with  Minotaur  Explora3on   Minotaur  Explora3on  has  a  diverse  resources  project  porjolio.  We  seek  long-­‐term  investment  partnerships  to  help  develop  our  resources  and  build   for  wealth  and  prosperity.     Interested?   Please  come  and  talk  to  the  Minotaur  team  at  the  Minotaur  Explora3on  display  Booth   Andrew  WoskeG   Managing  Director,  Minotaur  Explora3on  Ltd  (ASX:  MEP)  
  38. 38. ……    Minotaur     Minotaur          Minotaur     Andrew  WoskeE   Minotaur   (ASX:  MEP)  

×