Bird-in-Hand Gold Project

Transcription

1 Bird-in-Hand Gold Project Terramin Australia Limited Economic Opportunities and Regional Development 2 nd August 2017 Presented by: Martin Janes Chief Executive Officer Terramin Australia Limited TERRAMIN AUSTRALIA LIMITED SLIDE No. 1

2 Terramin Australia Limited Adelaide Headquartered South Australian company ASX listed Market Capitalisation $320 million Operating in Adelaide Hills since 2003 Quality base metal project and gold portfolio q Bird-in-Hand Gold Project Resource of 252,000 ounces at 13.3g/t (588kt) q Angas Zinc Mine In care and maintenance: Resource of 1.29 million tonnes at 4.6% Zinc, 1.1% Lead q Gawler Ranges Project - $6.0 million exploration program in Gawler Ranges q Tala Hamza Zinc Project - Resource of 68.6 million tonnes at 4.6% Zinc, 1.1% Lead (3.9 million + tonnes of zinc and lead metal), Algeria TERRAMIN AUSTRALIA LIMITED SLIDE No. 2

3 Project Concept Establish a low impact conventional underground mining operation at Woodside Road Haulage of ore to Angas Mine Processing Plant (& licensed tailings storage facility) at Strathalbyn Produce Gold concentrate for domestic processing or export TERRAMIN AUSTRALIA LIMITED SLIDE No. 3

4 Bird-in-Hand 1880 s TERRAMIN AUSTRALIA LIMITED SLIDE No. 4

5 Project History q 1880 s Bird-in-Hand Mine (BiH) one of 17 Goldmines in Woodside q BiH produced 10,000oz of the 30,000oz from the area q Modern exploration commenced in 1997 (Capricorn) q Terramin purchased the project from Maximus in 2013 q Commenced project design, community engagement and environmental baseline studies immediately TERRAMIN AUSTRALIA LIMITED SLIDE No. 5

6 Project area Bird-in-Hand Site q 2 km east of Woodside q Historic mining in q 5 Shaft and drifts excavated chasing high grade gold q Victoria Shaft extends 120m q Mineral Claim (MC) granted in 2009 under Maximus Resources q Terramin has applied for MC in own name to progress Mining Lease Application 2015 Terramin purchase 37ha Goldwyn property TERRAMIN AUSTRALIA LIMITED SLIDE No. 6

7 Mine Design Portal (mine entrance) Ventilation Shafts Emergency egress shaft Metres above sea level Underground magazine Decline Old BiH Mine Ore Body ( Reef ) Lower decline TERRAMIN AUSTRALIA LIMITED SLIDE No. 7

8 Mine Design TERRAMIN AUSTRALIA LIMITED SLIDE No. 8

9 Site Layout TERRAMIN AUSTRALIA LIMITED SLIDE No. 9

10 Transport q Existing Traffic Volumes Heavy vehicles on Pfeiffer Rd Total av. daily traffic Pfeiffer Rd 981 Traffic into Nairne total 6300 and heavy vehicles 250 q Project Traffic Volumes per day Haulage vehicles 24 movements Other trucks (e.g. supply trucks) 4 movements Company light vehicles 10 movements Employee vehicles 30 movements Visitors 6 movements In total, 74 movements per day on Pfeiffer Rd and the surrounding road network. This 0.2% - 2% increase is not likely to materially affect the existing traffic conditions. TERRAMIN AUSTRALIA LIMITED SLIDE No. 10

11 Processing of Ore q Ore to be crushed and processed at the existing Angas Zinc Mine. Utilising existing processing plant to float gold Produce a salable gold concentrate q Will comply with existing lease conditions q Existing Tailings Storage Facility has capacity to hold gold ore tailings q SCCC quarterly meetings discussing the transformation Angas Zinc Mine (AZM) to Angas Processing Facility (APF) TERRAMIN AUSTRALIA LIMITED SLIDE No. 11

12 Plan to progress to Mining Lease DSD Process Ø Ø Ø Development Operations Closure TERRAMIN AUSTRALIA LIMITED SLIDE No. 12

13 Understanding the Environment q Critical component to understand for Federal (EPBC Act) State and Local Government approvals q Small footprint (total 11ha, operational 4.5ha) low impact (No native veg clearance required) q Baseline data collection commenced December 2013 Installed weather station on site Air quality surveys: noise and dust Developed a groundwater monitoring program across 37 neighbouring properties (included drilling test bores) Flora and Fauna Spring Break studies Baseline vegetation health transects and soil sampling Traffic movement TERRAMIN AUSTRALIA LIMITED SLIDE No. 13

14 Tourism TERRAMIN AUSTRALIA LIMITED SLIDE No. 14

15 Commerce in Local Region q Surface construction capital cost estimate ~ $8.4M includes: Offices, workshops, road construction etc. Tenders from local civil and construction companies q Other capital cost ~ $49.3M includes: escape routes, equipment, ventilation and decline access Concrete suppliers, cable, piping, steel mesh, hardware, safety equip. q Operating cost ~ $30M per annum q Employment: 140 FTE - Salaries $6.7m/annum 60 Direct at the BiH site, 40 Employed at Strathalbyn site 23 Permanent Contractors q High grade Resource at 13g/t excellent financial attributes TERRAMIN AUSTRALIA LIMITED SLIDE No. 15

16 Bird-in-Hand Annual Budget FTE Employment:140 $30M per annum NB: 67% of Angas Employees from Adelaide Hills Region Typical Local Business Drilling Earth Moving/Civil Uniform suppliers Safety suppliers Hardware/auto Freight Couriers Haulage & Transport Supermarkets Local Hotels Local Bakery Labour hire Engineering and maintenance Explosive Suppliers Fuel Suppliers Equipment Manufacturers TERRAMIN AUSTRALIA LIMITED SLIDE No. 16

17 TERRAMIN AUSTRALIA LIMITED SLIDE No. 17

18 Summary q High Grade Economic deposit of Gold Mineable by Underground methods q Groundwater protected by law and proven water management methods q $57.6M in capital construction over current life of mine q $30M per annum Operating spend q $6.7M per annum Salaries q Broad range of engagement methods are used q Woodside Community Consultation Committee established Questions? TERRAMIN AUSTRALIA LIMITED SLIDE No. 18