ROCKEX MINING CORPORATION

Transcription

1 ROCKEX MINING CORPORATION September 2011 RXM:TSX

2 COMPANY OVERVIEW 1 Billion tonnes grading 29% soluble iron ( December/2010); additional historical tonnage and exploration upside. 300km northwest of Thunder Bay/ Lake Superior; excellent proximity to infrastructure and end users in Great Lakes Basin Pre-Feasibility started in 2011; Production as early as 2016 Favourable market cap of $19 million ($0.41- Sept. 2) = 6 cents per tonne/iron Favourable industry fundamentals TSX initial listing in March 2011 (RXM:T) Rockex Mining Corporation 2

3 PROPERTY LOCATION Within Close Proximity to Excellent Infrastructure 23 contiguous claims covering 5,392 ha. Located in northwestern Ontario, between Sioux Lookout and Pickle Lake Eagle Island - 40 kms from Highway 599 to Pickle Lake 50 km from 115Kv power line 80 km north of CNR transcontinental railway 170 km from Trans- Canada main gas line 300 km to Lake Superior with 10 months of shipping via Great Lakes Rockex Mining Corporation 3

4 PROPERTY HISTORY (Lake St Joseph) Surface exploration followed-up by diamond drilling Property acquired by Lake St. Joseph Iron Ltd.; magnetic surveys, diamond drilling and extensive trenching. Early 1960s Ontario Research Foundation and M.A. Hanna Mining estimate an open pit reserve of 240 M tons to 400 ft depth grading 35% iron Algoma Steel (Algoma) options & explores the property Algoma performs diamond drilling and microscopic work on WLSJ illustrating mainly hematite and magnetite in a 1:1 ratio Algoma conducts pilot plant tests on 375 ton bulk sample and produces commercial grade concentrate grading 65-67% Fe with 85% Fe recoveries to concentrate. Reserves at Eagle and Fish islands estimated at >1 billion tons grading 30% soluble Fe. Late 1970 s Stelco, Dofasco, and Steep Rock Iron Mines agree to put property into production in the late 1980s Algoma lets claims lapse May 2008 Rockex acquires the Lake St. Joseph iron ore property Rockex conducts drill program and acquires all Algoma Steel property data Rockex Mining Corporation 4

5 LAKE ST. JOSEPH PROPERTIES 100% of 3 Advanced-Stage Iron Ore Projects Western Lake St. Joseph explored by Algoma in the 60 s and 70 s Soule s Bay East (768 ha) Doran Lake Between WLSJ and SBE projects Soule s Bay East Area feasibility study by Bechtel (1971) on Soule s Bay project Recently staked by Rockex Western Lake St. Joseph (5,392 ha) Doran Lake (832 ha) km Rockex Mining Corporation 5

6 LAKE ST. JOSEPH PROPERTY Large In Situ Mineral Resource Tons (M) Sol Fe (%) Total Iron (M tons) Western Lake St-Joseph 1 1, Fish Island Doran Lake Soule`s Bay East Total 1, Resource calculated by Watts Griffis on Eagle Island (excludes Fish Island) 2. Potential mineralization (non-ni compliant) based on archives of historic work 3. For consistency, all numbers in Imperial units due to use of imperial system for reporting of historical results Rockex Mining Corporation 6

7 LAKE ST. JOSEPH PROPERTIES Western Lake St. Joseph Property Historic Results (1956 to 1978) Well developed mineral resource and engineering studies 19,104 m of historic drilling and trenches Eagle Island: 1, % Sol Fe Fish Island: % Sol Fe* Magnetite to hematite ratio: 1:1 Metallurgical testing: pellets grade 66% Fe * Not NI compliant Fish Island Eagle Island Rockex Mining Corporation 7

8 LAKE ST. JOSEPH PROPERTIES Eagle Island Western Lake St. Joseph A large zone of folded iron formation Eagle Island: > 2.0 km long Up to 400 m wide Up to 300 m deep Remains open at depth Potential for Large Open Pit Mine Rockex Mining Corporation 8

9 LAKE ST. JOSEPH PROPERTIES Fish Island Western Lake St. Joseph Two large zones with potential to increase resources along strike and at depth Fish Island: 1.6 km long Up to 200 m wide Up to 180 m deep Remains open at depth % Sol Fe Rockex Mining Corporation 9

10 PROPOSED DEVELOPMENT PROGRAM Advance the Projects Towards Near-term Production Initial focus on Western Lake St. Joseph due to its size and grade Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Restructuring Rockex NI Resource and PEA Drilling and metallurgical testing Feasibility study Environmental study and permitting Financing / Partnership / Sale Project construction Commissioning and production Rockex Mining Corporation 10

11 PROPOSED TIMELINES Target Program Status Dec/2010 NI resource report Dec/2010 RTO with Enviropave Dec/2010 Raise $3mm flow- through Jan/2011 Raise $1mm hard March/2011 TSX listing Sept/2011 Preliminary Economic Assessment Oct/2011 Drill program starts (2,000 M) Oct/2011 Management Team finalized 4 th Q/2011 Metallurgical testing 4 th Q/2011 Raise $ for Pre-Feasibility 4 th Q/2011 Begin Pre-Feasibility Rockex Mining Corporation 11

12 SHARE STRUCTURE Share capitalization: Shares currently issued basic 45.6 M Warrants 2.0 M Options 3.4 M Fully Diluted 51.0 M Shareholders 68% management and directors 26% retail 6% institutional Recent Issuances February $1.7 M private $0.90 December $3.0 M private placement $0.90 Rockex Mining Corporation 12

13 VALUATION Company Symbol Shares Price Mkt Cap Resource Grade Contained Iron Mkt Cap/ton (MM) (Sept 2 ) ($MM) (MM/ton) Fe (MM/T) ($/ton) Consolidated Thompson 1 CLM 240 $ $ 4, % 264 $ Labrador Iron Mines LIM 54 $ 8.35 $ % 87 $ 5.18 Baffinland Iron Mines 2 BIM 390 $ 1.50 $ % 562 $ 1.04 New Millenium NML 176 $ 1.86 $ 327 9,108 30% 2,732 $ 0.22 Alderon Resource ADV 83 $ 3.60 $ % 70 $ 4.24 Champion Minerals CHM 87 $ 1.32 $ 115 1,178 29% 342 $ 0.34 Adriana Resources ADI 149 $ 1.03 $ 153 6,260 29% 1,815 $ 0.09 Oceanic Iron Ore FEO 150 $ 0.29 $ 43 2,070 36% 735 $ 0.06 Advance Exploration AXI 148 $ 0.35 $ % 100 $ 0.52 Rockex Mining Corp. RXM 45 $ 0.41 $ 19 1,006 29% 293 $ 0.06 with historical 1,706 29% 486 $ Acquired by Cliffs Natural Resources Inc. Completed in May Acquired by Arcelor-Mittal and Iron Ore Holdings in March 2011 Rockex Mining Corporation 13

14 PEOPLE Proven, Successful Executives and Board of Directors Pierre Gagné Chairman & Director 25 years experience in construction and mining industries. Founder - construction company specializing in design/execution of custom civil and mining projects Donald Alexander Sheldon CEO & Director Toronto-based mining lawyer with 35 years experience in corporate finance and securities law Director and/or officer of several publicly listed corporations Gilles Filion - Director & technical advisor P. Eng with 25 years international experience, including VP Exploration for Goldcorp Inc. Involved in development of Red Lake High Grade Zone Chris Dougherty - Director & technical advisor P. Eng with 23 years international mine engineering and metallurgical experience. Principal, founder and senior engineer of Nordmin Engineering, Thunder Bay, ON Jon Tondeur- Director London-based business man with expertise in insurance, finance, and corporate development Bruce Reid Director BSc in Geology with 30 years experience in mining, exploration, and finance - President & CEO of Carlisle Gold and director of several publicly listed companies Armando Plastino Director Director and formerly President and CEO of Essar Steel Algoma Inc. Rockex Mining Corporation 14

15 Disclaimer The following presentation may include certain forward-looking statements within the meaning of applicable Canadian Securities Laws and the United States Private Litigation Reform Act of All statements, other than statements of historical fact, included in the presentation, including, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of the Company are forwardlooking statements. Words such as expect, anticipate, estimate, may, will, should, intend, believe and other similar expressions are forward-looking statements. Forwardlooking statements are not guarantees of future results and conditions but rather reflect the Company s current views with respect to future events and are subject to risks uncertainties conditions but rather reflect the Company s current view with respect to risks, uncertainties, assumptions and other factors. Actual results and future events could differ materially from those anticipated in such forward-looking statements. There can be no assurance that such forward-looking statements will prove to be accurate. The historical resource estimate for total tonnage, soluble iron and total iron for the Fish Island, Doran Lake and Soule s Bay East properties is based on data and reports prepared by previous operators and information provided by government ministries. The Company has not yet completed the work necessary to have the historical estimates verified by a Qualified Person. The Company is not treating the estimates as a current NI defined resources and the historical estimate should not be relied upon. The properties will require additional exploration which the Company and its consultants intend to carry out in due course. Rockex Mining Corporation 15