INDUSTRIAL METALS, MINERALS
& MINEABLE ENERGY
INVESTMENT SUMMIT
IRONMONGERS’ HALL, CITY OF LONDON ● THURSDAY, 3 NOV 2011
w...
Size, Grade, Infrastructure – A World Class Combination
Objective Capital Conference – London
November 3 - 2011
All statements and other information contained in this document related
to Ferrum Americas Mining Inc. (“FAM”), as well as...
Laurence Curtis, Ph.D Geologist and company founder with more than 40 years experience in
Non-Executive Chairman global mi...
 Chinese demand drives prices
 China’s urbanization policies fuel
construction growth
 RTZ forecast 800 mt Fe ore
deman...
 Cerro Rojo part of Fe trend
extending across from Brazil
 Vale’s Urucum mine in operation
and ships product via barge
c...
 RTZ discovery in 1999 following regional Fe
recon program
 Cerro Rojo identified as part of a “new iron ore
province......
 Sampling of BIF suggests +50% Fe grades in hematite/magnetite
 Gentle dip scarp slope suggests good open pit potential
...
Strikes for more than 4.5 km
Scarp dip slope up to 1.5 km
 Mapping of BIF
outcrop shows
potential for resource
growth
 R...
 Cerro Rojo grades rank high on global
scale
 Resource increase will push Cerro up
rank
 Combination of grade, size pot...
 Located near Puerto Suarez, Bolivia by Brazil
 Project is 8 km from rail line
 55 km by rail to port
 Excellent road ...
 Barge convoys provide shipping solution to Panamax load out at Rosario, Argentina
 Ample land available for major stora...
 Major river artery to Atlantic
Ocean
 Project is 55 km from river
 Low cost barge convoys
attractive for bulk transpor...
 A rich and diverse mining history and economy
 Government supports private mining as this sector
encompasses thousands ...
Sumitomo-San Cristobal
Orvana – Don Mario
 US$1.3 billion capex
 600,000 tonnes conc/year
 Production October 2007
 Ma...
 Dr. Rolando Kempff is a Governor and Director of
the Banco National de Bolivia
 Owns and manages Terrasur – one of Boli...
Kempff family are partners and vendors
 Cash: US$10.5 million over three years (1)
 On IPO, issue $1 million in shares
...
 Complete 4,000 m phased drill program. Outline and confirm deposit footprint
150 kg of surface sample in lab for first ...
$0.11
$0.16 $0.18 $0.19
$0.25
$0.31 $0.32
$0.42
$0.52
$0.70
$0.99
$1.14
$1.39
$1.90
Mean
US$0.61/t Fe
Source: Thomson One,...
Ferrum Americas is currently a private Ontario corporation and is finalizing an RTO transaction with a
company listed on t...
 Cerro Rojo project has potential for +600 mt grading +50% Fe
 Cerro Rojo has an infrastructure advantage over far more ...
For additional Information please contact:
Nick Tintor
Ferrum Americas Mining Inc.
120 Adelaide Street West -Suite 2400
To...
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Building the iron dragon: exploring for iron ore in Bolivia

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Objective Capital's Industrial Metals, Minerals & Mineable Energy Investment Summit 2011

Ironmongers' Hall, City of London
3 November 2011
Speaker: Nick Tintor, Ferrum Americas Mining

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Building the iron dragon: exploring for iron ore in Bolivia

  1. 1. INDUSTRIAL METALS, MINERALS & MINEABLE ENERGY INVESTMENT SUMMIT IRONMONGERS’ HALL, CITY OF LONDON ● THURSDAY, 3 NOV 2011 www.ObjectiveCapitalConferences.com Building the iron dragon: exploring for iron ore in Bolivia Nick Tintor– Ferrum Americas Mining
  2. 2. Size, Grade, Infrastructure – A World Class Combination Objective Capital Conference – London November 3 - 2011
  3. 3. All statements and other information contained in this document related to Ferrum Americas Mining Inc. (“FAM”), as well as other statements about anticipated future events or results, constitute forward-looking statements. Forward-looking statements often, but not always, are identified by the use of words such as “seek”, “anticipate”, “believe”, “plan”, “estimate”, “expect”, “intend”, “forecast”, “project”, “likely”, “potential”, “targeted” and “possible” and statements that an event or result “may”, “will”, “would”, “should”, “could” or “might” occur or be achieve and other similar expressions. Forward-looking statements are subject to known and unknown business and economic risks and uncertainties and other factors that could cause actual results of operations to differ materially from those expressed or implied by the forward-looking statements. Forward-looking statements are based on estimates and opinions of management at the date the statements are made. FAM does not undertake any obligation to update forward-looking statements even if circumstances or management’s estimates or opinions should change. For the reasons set forth above, investors should not place undue reliance on forward-looking statements.
  4. 4. Laurence Curtis, Ph.D Geologist and company founder with more than 40 years experience in Non-Executive Chairman global mineral exploration. Laurie is also the founder and a director of Intrepid Minerals and is an analyst at Dundee Securities. Alistair Maxwell Investment banker with more than 15 years experience. Alistair was the Vice Chairman founder and President and CEO, of Clarus Securities for the past 8 years. Nick Tintor, B.Sc. Geologist and company founder. Nick has been involved for the past 20 President, CEO years in project generation and financing of exploration companies. He is and Director also a director of Cerro Resources, Southern Andes Energy Inc. and is Managing Director of RG Mining Investments Inc. Barry Lavin, P. Eng Mining engineer with more than 25 years experience in all facets of mine Director project development and management. Most recently, Barry spent 18 years with Rio Tinto where he was Head – Technical Services and was General Manager, Iron Ore Business Development in Australia. Stephen M. Gledhill Certified Management Accountant with over 25 years of financial control and Chief Financial Officer reporting experience. He has acted as CFO for numerous publically-traded small to mid-cap mineral exploration companies and is Managing Director and CFO of RG Mining Investments Inc. Michael Bennett Former RTZ geologist with +20 years project management experience in Bolivia Consultant and Brazil. Jim McNamee Bolivia-based geologist for the past 30 years with exploration experience in a variety Project Manager of geological environments across Latin America.
  5. 5.  Chinese demand drives prices  China’s urbanization policies fuel construction growth  RTZ forecast 800 mt Fe ore demand increase over next 8 years  Steel production forecast to soar 25% by 2015 to 750 million tonnes in accordance with latest Five Year Plan (1) Appendix (1) The Australian, May 31, 2011 quoting the China Iron and Steel Association
  6. 6.  Cerro Rojo part of Fe trend extending across from Brazil  Vale’s Urucum mine in operation and ships product via barge convoy down river  Jindal is developing Mutun  Suarez Bolivia area being readied for Fe development
  7. 7.  RTZ discovery in 1999 following regional Fe recon program  Cerro Rojo identified as part of a “new iron ore province...” (1)  RTZ program included 64 surface samples averaging +50% Fe  Large shallow dipping scarp slope strikes for 4.5 km and up to 1.5 km in width  Target potential resources exceed 250 million tonnes  Cerro Lejo and Cerro Chico projects host lower grade BIF’s: 30%-40% Fe. (1)RTZ Internal Memorandum – Iron Ore Project, Eastern Bolivia, December 11, 1999 ValeJindal
  8. 8.  Sampling of BIF suggests +50% Fe grades in hematite/magnetite  Gentle dip scarp slope suggests good open pit potential  Colluvium cover on dip slope possible enriched starter ore?  Left photo: walking up dip slope  Right photo: BIF scarp edge with dip to left
  9. 9. Strikes for more than 4.5 km Scarp dip slope up to 1.5 km  Mapping of BIF outcrop shows potential for resource growth  RTZ exploration target of 250 mt is conservative  Mapping suggests +600 mt potential  Rights over Cerro Chico and Cerro Lejos deposits in same trend.  Cerros Chico and Lejos host lower grading BIFs ranging 30%-40%
  10. 10.  Cerro Rojo grades rank high on global scale  Resource increase will push Cerro up rank  Combination of grade, size potential and logistic advantages suggests a world class project
  11. 11.  Located near Puerto Suarez, Bolivia by Brazil  Project is 8 km from rail line  55 km by rail to port  Excellent road access to site  Excellent local infrastructure including gas power lines Rail crossing near project site Gas line parallels rail line
  12. 12.  Barge convoys provide shipping solution to Panamax load out at Rosario, Argentina  Ample land available for major storage and loading infrastructure
  13. 13.  Major river artery to Atlantic Ocean  Project is 55 km from river  Low cost barge convoys attractive for bulk transport of Fe  Convoys up to 50,000 t capacity  Vale’s Corumba uses barge convoys to transport Fe to Rosario
  14. 14.  A rich and diverse mining history and economy  Government supports private mining as this sector encompasses thousands of small private mining entities – crucial to Bolivia’s economy  Santa Cruz province is pro-business Foreign companies include:  Sumitomo  British Gas – BG Group  Jindal Steel  TOTAL Energy  Gazprom  Opportunity to develop a world class iron ore project complemented by superb logistics
  15. 15. Sumitomo-San Cristobal Orvana – Don Mario  US$1.3 billion capex  600,000 tonnes conc/year  Production October 2007  Major tax generator in Bolivia  US$21 million capex  1,900 tpd operation  Production started July, 2003 Coeur – San Bartolome  US$238 million capex  Production June 2008 Pan American –San Vincente  US$72 million capex  Production March 2009
  16. 16.  Dr. Rolando Kempff is a Governor and Director of the Banco National de Bolivia  Owns and manages Terrasur – one of Bolivia’s largest real estate companies.  Dr. Oscar Kempff is Bolivia’s most respected geologist credited with numerous discoveries such Don Mario  Parque Nacional Noel Kempff Mercado, is named in honour of the late Bolivian biologist and conservationist, Professor Noel Kempff  The Kempff family have deep roots in Bolivia and are key partners in the development of Cerro Rojo Dr. Oscar KempffDr. Rolando Kempff
  17. 17. Kempff family are partners and vendors  Cash: US$10.5 million over three years (1)  On IPO, issue $1 million in shares  First anniversary of IPO, $1.5 million in shares  Bonus payments capped at $10 million (2) (1) Three year option period begins on receipt of all operating and environmental permits (2) Bonus based on $0.02 per tonne on next 100 mt grading +50% Fe above threshold of 150 mt. On next 100 mt, bonus paid is $0.03 per tonne. All bonuses owing are only payable on receipt of positive bankable feasibility study and arrangement of project financing.
  18. 18.  Complete 4,000 m phased drill program. Outline and confirm deposit footprint 150 kg of surface sample in lab for first phase beneficiation test work  Complete additional beneficiation work to determine final product and process  52% Fe is “marginal” DSO. Determine process to upgrade to +58%-63%  Complete initial resource estimate by 4th quarter 2012
  19. 19. $0.11 $0.16 $0.18 $0.19 $0.25 $0.31 $0.32 $0.42 $0.52 $0.70 $0.99 $1.14 $1.39 $1.90 Mean US$0.61/t Fe Source: Thomson One, Metals Economics Group, SEDAR, and Company Reports Ferrum Americas valuation assumed based on current RTO LOI with RAP and assumes a $10M financing. Resources are potential resources based on historic exploration (270Mt @ 52% Fe)
  20. 20. Ferrum Americas is currently a private Ontario corporation and is finalizing an RTO transaction with a company listed on the TSXV. On the close of the RTO transaction and a contemporaneous minimum financing of $3 million at $0.50 per share, the capital structure of Ferrum Americas is estimated as follows: Pre-financing Post Financing Shares % Shares (1) % Ferrum Shareholders & Option holders 24,952,500 91 24,952,500 74.9 RAP Shareholders, Option holders and Warrant holders 2,348,300 9 2,348,300 7.1 Financing - - 6,000,000 18.0 Total 27,300,800 100 33,300,800 100 Post Market Capitalization: $16.65 million
  21. 21.  Cerro Rojo project has potential for +600 mt grading +50% Fe  Cerro Rojo has an infrastructure advantage over far more remote projects in the world.  Proximity to the Hidrovia - Latin America's Mississippi River system – an attractive shipping option for bulk commodities.  Located in Santa Cruz province, the pro-business centre of Bolivia.  Kempff family are our partners. Key advantage in governmental relations  Strategic plan – advance Cerro Rojo in 2012 and build our Fe asset base in the Americas  Ferrum’s small capitalization provides opportunity for significant growth as projects are advanced
  22. 22. For additional Information please contact: Nick Tintor Ferrum Americas Mining Inc. 120 Adelaide Street West -Suite 2400 Toronto, Ontario – M5H 1T1 Telephone: 416 987 0855 Email: ntintor@rgmi.ca

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