HAVILAH. the land where gold comes. Acknowledgement to PIRSA-BHEI for image

Transcription

1 November 2008

2 Curnamona Province HAVILAH the land where gold comes from Acknowledgement to PIRSA-BHEI for image

3 Havilah Copper Gold Strategy Kalkaroo + Nth Portia + Mutooroo = 55,000 tpa Cu + 100,000 oz Au

4 Kalkaroo Copper Gold Project Feasibility study in progress expected completion early holes for 38,000 metres completed for resource delineation, metallurgy and geotechnical purposes Current working on process plant design and JORC resource finalisation Joint Venture with Glencore International (14%) Close to railway (50 kms) and infrastructure (120 kms from Broken Hill) Five hours (by car) from Adelaide

5 Kalkaroo Geology Carbonate sequence (80m thick) is a replacement host Sandwiched between thick black shale sequence and footwall albitite. Breccia Zone Footwall can be traced for many kilometres using detailed aeromagnetic data Transected by mineralised fault breccia zones with increased gold content

6 Kalkaroo Orebody MAIN ZONE Stratiform orebody 35 north dipping lode horizon. Upper part oxidised with abundant native copper and free gold WEST and EAST KALKAROO Gold rich breccia zone likely site for box cut and first production Over 300 holes drilled to establish an opencut JORC resource and prove a minimum 20 year ore reserve Oblique view of Kalkaroo orebodies

7 Kalkaroo Cross Section A-A TOP Oxidised copper and gold ore (green) BOTTOM Primary copper ore (red)

8 Kalkaroo Cross Section B-B TOP Oxidised copper and gold ore (green) BOTTOM Primary copper ore (red)

9 Kalkaroo Cross Section C-C TOP Oxidised copper and gold ore (green) MIDDLE Transitional copper ore (brown) BOTTOM Primary copper ore (red)

10 Native Copper From drilling Metallurgy Test

11 Primary Chalcopyrite

12 Processing Metallurgy STAGE 1: Initial low cost plant to extract gold & native copper from upper part of the orebody STAGE 2: Plant to mill primary ore & float sulphides from lower part of the orebody

13 Preliminary Flowchart for Kalkaroo Ore Kalkaroo Conceptual Flowsheet ROM Pad Front End Loader Saprolite Au Circuit Trommel - Saprolite Au Ore 1 Stage Crushing Native Copper Circuit Native Copper Scrubbing / Screening at nominal 2mmm Option to process through main gravity /flotation plant. 3 Stage Crushing Main Plant Chalcocite / Chalcopyrite Circuit High Throughput Milling two stages, SAG, Ball, Stirred Mills Ball Milling - Cyclone Cyclone Leach / CIP Circuit Gravity Concentration Gravity Concentrate Flotation Rougher Concentrate Regrind and 1 or 2 stage Cleaning Gravity Concentration (Au and/or Copper) Falcon Gold Ingot Native Copper Flotation 1 stage Cleaning Flotation Copper Concentrate Gravity Concentrate C / A Flotation Copper Concentrate Tails Storage

14 Infrastructure and Logistics 50 km to Mingary rail siding Grid power connected to Honeymoon mine 1.5hourdrive to Broken Hill Ultimately 100K tpa sulphide concentrate shipped

15 Kalkaroo Project Timetable PROJECT ELEMENTS CY 2008 Qtr 3 Qtr 4 CY 2009 CY 2010 Qtr 1 Qtr 2 Qtr 3 Qtr 4 Qtr 1 Qtr 2 Qtr 3 Qtr 4 CY 2011 Qtr 1 Qtr 2 Qtr 3 Qtr 4 CY 2012 Qtr 1 Qtr 2 Qtr 3 Qtr 4 Preliminary Plant Engineering & Process Study Baseline Environmental Studies Completion of Feasibility Study Oxide Ore (Gold-Native Copper) Design Engineering Gold-Native Copper MARP for ML Gold-Native Copper Plant Construction Initial Overburden Removal and Earthworks Gold-Native Copper Production Sulphide Plant MARP Sulphide Plant Engineering Design Sulphide Plant Construction Stage 1 Order Lead time Sulphide Plant Commissioning Copper Sulphide Concentrate Production

16 Kalkaroo Summary Havilah Resources plans to develop the Kalkaroo mine as a source of copper, gold and molybdenum given favourable economics Feasibility study well advancedd completion by early 2009 Target gold/native copper pro duction by Q12010 Over 20 years of mine life based on known deposit Several development options, including starting with gold and copper rich oxidised ore for minimal capital outlay. Joint Venture partner remains supportive

17 Mutooroo Copper / Cobalt / Acid Project Opencut massive sulphide deposit containing over 10 mt grading ~35% Sulphur, ~1.5% 15% copper and ~0.2% cobalt Close to railway (16 km) and infrastructure (50km from Broken Hill)

18 Mutooroo Physical Environment Ore body crops out on surface historic workings Historic drilling by BH South thlt late 60 s Lode extends for > 2 km strike

19 Mutoorooo Geology 9.5m Massive pyrrhotite lode dipping 45 west in shear between amphibolite and gneiss 32m 1.4%Cu > 300 holes drilled during FS to establish minimum 10 year life Opencut to 200m likely to be feasible with ore beyond 300m depth Only 50% of 2km strike drilled to depth Oblique view of Mutooroo orebodies

20 Feasibility Study Drilling MTDD m 2.3%Cu 0.25%Co MTDD m 1.3%Cu 0.13%Co

21 Mutooroo Lode Ore up to 28m thick in single or multiple lodes Pyrrhotite, pyrite (Co), chalcopyrite (Cu) andquartz ore mineralogy Low impurities such as arsenic & cadmium Sulphide ore density approx 4.2 tonnes per cubic metre CPY PYH QZ Massive sulphide ore

22 Cross Section

23 Cross Section

24 Mutooroo Massive Sulphide Ore quartz pyrrhotite chalcopyrite Massive sulphide ore: Pyrrhotite, Pyrite (Co), Chalcopyrite(Cu) Quartz Very heavy = lot of tonnes for small mining volume

25 Sulphide Processing Metallurgy Conventional open pit mining 600K tpa Crushing and gravity beneficiation to remove quartz Roast sulphide ore to produce 540K tpa sulphuric acid Leach calcine residue to produce around 10,000 tpa copper and 1,200 tpa of cobalt Final residue is 63% Fe2O3 for sale as iron ore or direct reduction pig iron feed

26 Mutooroo Project Timetable PROJECT ELEMENTS CY 2008 Qtr 3 Qtr 4 Qtr 1 CY 2009 CY 2010 Qtr 2 Qtr 3 Qtr 4 Qtr 1 Qtr 2 Qtr 3 Qtr 4 CY 2011 Qtr 1 Qtr 2 Qtr 3 Qtr 4 Preliminary Plant Engineering & Process Study Baseline Environmental Studies Preliminary Acid Feasibility Study??? Acid Plant Government & Regulatory Approvals Acid Plant Definitive Study & Engineering Design Acid Plant Construction Acid Plant Commissioning Acid Production Copper-cobalt Production Need to complete FS and find a partner to assist with roasting plant financing and sulphuric acid marketing

27 Summary Mutooroo will be developed as a source of sulphuric acid, copper, cobalt and iron ore given favourable economics Feasibility study well advancedd completion temporarily on hold pending completion of Kalkaroo FS Over 10 years of mine life with ih expectation of 20 year life. Will complement other Havilah projects ultimately allowing treatment of cobalt rich pyrite (0.28% Co) from the Kalkaroo and Benagerie copper gold projects. Development of a South Australian sulphuric acid industry to meet future demand for OD, ISL uranium mines and fertilizers

28 Capital Structure & Management Capital Structure (ASX:HAV) Ordinary Shares: 81.9 Market Cap: $25m Board: Bob Johnson: Chairman Chris Giles: Technical Director Ken Williams: Non exec Director Major shareholders Lion Selection: 18.6% Footnote : trading at below liquid asset backing = no value for mineral projects cash $15m 45.4% CUY $ 5m 66.3% GHT $ 5m TOTAL $25m

29 Disclaimer The information contained in this presentation is not financial product advice. The presentation is for information purposes and is of a general and summary nature only. Havilah Resources NL (Havilah) nor any member of the Havilah Group of companies, gives no warranties in relation to the statements and information in this presentation. Investors should seek appropriate advice on their own objectives, financial situation and needs. This presentation contains certain statements which may constitute forward looking statements. Such statements are only predictions i and are subject to inherent risks ik and uncertainties which could cause actual values, performance or achievements to differ materially from those expressed, implied or projected in any forward looking statements. Havilah disclaims any intent or obligation to update publicly any forward looking statements, whether as a result of new information, future events or results or otherwise. Investors are cautioned that forward looking statements are not guarantees of future performance and investors are cautioned not to put undue reliance on forward looking statements due to the inherent uncertainty therein.