Labrador Iron Mines Limited

Transcription

1 Labrador Iron Mines Limited IRON ORE IN NORTHWESTERN LABRADOR Bringing Sustainable Development to Newfoundland and Labrador

2 Cautionary Statement - Forward Looking Information: This document contains certain forward-looking information which involves known and unknown risks and uncertainties. This forward looking information includes, or may be based upon, estimates, forecasts, and statements as to management s expectations with respect to, among other things, the size and quality of the company s mineral resources, future trends for the company, progress in development of mineral properties, the issue of permits, future production and sales volumes, capital and mine production costs, transportation and shipping costs, demand and market outlook for metals, future metal prices and treatment and refining charges, general market conditions, access to capital and the financial results of the company. Actual results may differ materially from those expressed or implied by forward looking statements. Historical estimates of resources and reserves may not comply in all respects with the standards contained in National Instrument Standards of Disclosure for Mineral Projects of the Canadian Securities Administrators. Mineral resources that are not mineral reserves do not have demonstrated economic viability. Inferred mineral resources are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as mineral reserves. There is no certainty that mineral resources will be converted into mineral reserves. 2

3 Company Profile James Bay Hydro James Bay ONTARIO N Hudson Bay Deception Bay LIM Projects Labrador City QUEBEC Ungava Bay Port Cartier Atlantic Kuujjuaq Labrador Trough Schefferville LABRADOR Wabush Sept-lles Ocean Gulf of St. Lawrence Labrador Iron Mines Limited ( LIM ) is a natural resource company with the primary business objective of exploring, developing and mining direct shipping iron ore projects in Canada The Schefferville Project is located in Northwestern Labrador, near Schefferville, in the heart of the Labrador Trough The Labrador Trough is a geological feature in the Quebec-Labrador Peninsula with significant potential for iron ore deposits and is home to three of Canada s largest iron ore mines comprising over 90% of Canadian iron ore production 3

4 Schefferville Area Major producer of iron ore (Quebec and Labrador) for 28 years ( ) by IOCC ~150 million tons ore mined & shipped by IOCC LIM has mineral claims in Labrador containing an estimated 100 million tons iron ore Contained in 8 separate deposits To be developed in 3 stages 4

5 Development Approach Develop small-scale, sustainable mining operation Produce direct shipping high grade iron ores Rail transportation of ore to Sept-îles by Tshieutin Rail Transportation Inc. (TSH) Onward shipment to European and Asian steel mills First Phase of production (James & Redmond Deposits) First year production at 1-2 million tonnes Increasing to 3.5 million tonnes/year Production increases to 6.5 million tonnes/year after Phase 3 5

6 Producing Iron Mines and Deposits in Quebec and Labrador Lake Jeannine Manic 5 To To Baei Comeau Schefferville LIM Projects CAROL LAKE Labrador City MONT WRIGHT PEPPLER LAKE MT REED Railway Railway QCM Port Cartier Producing iron mine Iron deposit Wabush WABUSH Fermont FIRE LAKE QUÉBEC Sept-Iles Churchill Falls Twin Falls LABRADOR QNS & L N Kilometres Pointe Noire St. Lawrence River Shipping terminal James Bay Hydro James Bay ONTARIO N Hudson Bay Deception Bay LIM Projects QUEBEC Ungava Bay Labrador City Detailed Map Area Port Cartier Atlantic Kuujjuaq Labrador Trough Schefferville Ocean LABRADOR Wabush Sept-lles Gulf of St. Lawrence 6

7 Phase 1 Deposits Schefferville KNOB JAMES REDMOND HOUSTON 7

8 Phase 1: 5 Deposits, 18 million tonnes, 5 year production schedule Phase 1a James North, James South & Redmond Phase 1b Houston & Knob Approximately 3-5 km southwest of the town of Schefferville Houston Deposit is 18 km from the town James Deposit Redmond Deposit 8 Accessible by existing roads and close to railway (2 km) Some deposits are partially pre-stripped and ready for development Knob Lake Deposit Houston Deposit

9 James Deposit Sp ur Li n er ail Be d Ro ad 9

10 Redmond Deposit RDP9 Abandoned Railway Turnaround RDP6 Transmission Line Corridor 10 RDP7 Drill Hole

11 Phase 2 & 3 4 Deposits 75 million tonnes, 15 year production schedule Approximately km northwest and 60km southeast of the town of Schefferville Howse & Kivivic are accessible by existing roads requires railway to be extended Astray and & Sawyer require new road access Howse Deposit Production will increase to 6 million tonnes/yr Astray Deposit 11

12 Phase 2: 2 Deposits million tons Schefferville Located at Sawyer and ASTRAY LAKE SAWYER LAKE 12 Astray Lakes, approximately 65 km southeast of Schefferville 2 higher grade deposits million tonnes Mining claims covering 400 hectares Currently accessible by float plane and helicopter

13 Phase 3: 2 deposits 50 million tons at Kivivik and Howse ASTRAY LAKE HOWSE 13

14 Exploration & Resource Verification Excavation Operations Drilling Operations Drilling Operations 14

15 Infrastructures 15 Schefferville Electricity Menehek Hydro Plant Town Site and Airport Power Lines Crossing Property 35km from the Project Fuel Stations Port Facilities at Sept-Îles TSH Railway Near all Processing Sites Ship Loading with Existing Installations Freight from Sept-Îles to Schefferville

16 Transportation Between Sept-Îles & Schefferville Schefferville LIM s PROJECTS 560 km railroad connects Schefferville to port of Sept-Îles TSH operates 200 km of rail between Schefferville and Ross Bay Junction QNS&L operates 360 km of rail from Ross Bay Junction and Lab City to Sept-Îles TSH currently operates passenger and light freight traffic between Schefferville and Sept-Îles Opportunity to improve rail service Pointe-Noire Sept-Îles LIM has entered into a Memorandum of Understanding ( MOU ) with TSH to provide rail transportation and other related infrastructure services MOU includes storage and loading facilities 200 Km 16 services at the port of Sept-Îles

17 Community Advantages The aboriginal community was effectively excluded from the former IOCC mine operations LIM plans to develop a sustainable & environmentally responsible mining operation in partnership with all stakeholders, to provide: Economic development and new business opportunities Facilitation of partnerships (aboriginal procurement policy) Preferential employment (direct and contract) during construction and ±20 years of planned operations (~ places) Development of rail (TSH) and other transportation opportunities Facilitating education and training for job opportunities Protection & enhancement of culture & heritage 17

18 Development Proposal Explore and develop a number of small high grade iron ore deposits in the Schefferville area of Labrador Produce direct shipping iron ore products Use conventional open pit mining with crushing & washing of ore Only water will be used in the process - no chemicals Development will be respectful of the environment (properly planned and approved mine closure & rehabilitation) Develop the use of existing rail transportation, shipping facilities & local infrastructure Operations will be of a scale that is compatible and sustainable for the communities (small-scale compared to former IOCC mines a depanneur rather than a Wal-Mart ) 18

19 Conceptual Flow Sheet Run-of-Mine (ROM) Ore Stockpiles Primary Crusher Secondary Crusher Separation Options Spiral, Washer, Cyclone, Screen, Washer or a Combination of Heavy Media, Sink Float, other Secondary Crusher Option to Crush Lump Ore to -6mm +50mm Screens mm -6mm Lump Ore Stockpile Fines Sinter Fine Stockpile 19 Rail Transport to Sept-Îles Rail Cars

20 Silver Yard Conceptual Development Layout Looking West at Yard Entrance from Grade to Silver Yard JAMES JAMES 20 Silver Yard Railbed

21 Management Team John Kearney Bill Hooley Terence McKillen Danesh Varma Neil Steenberg Marc Duclos Linda Wrong Joseph Lanzon Joanne Robinson Erick Chavez John Rogers 21 Chairman and Chief Executive Officer President and Chief Operating Officer Executive Vice-President Chief Financial Officer Corporate Secretary Vice-President, Transport Services Vice-President, Environmental and Permitting Affairs Manager of Government & Community Affairs Senior Mining Engineer Senior Geologist Controller

22 Management Team John Kearney, Chairman and Chief Executive Officer, LIM Mining executive with over 30 years experience in the industry - Chairman of several public resource companies including Canadian Zinc Corp., Conquest Resources Limited, Scandinavian Minerals Limited, Sulliden Exploration Inc. and Anglesey Mining plc and Director of the Mining Association of Canada Formerly Chairman, CEO and director of Northgate Exploration Limited, Campbell Resources Inc. and Sonora Gold Corp. Holds degrees in Law and Economics from University College, Dublin and an MBA from Trinity College, Dublin Bill Hooley, President and Chief Operating Officer, LIM Professional mining engineer with 40 year experience worldwide including executive positions with several European and Australian mining and service companies Currently Chief Executive of Anglesey Mining plc and formerly Managing Director for Micon International Limited Terence McKillen, Executive Vice-President, LIM Mining executive and professional geologist with 40 years experience and is currently President, CEO and Director of Orca Minerals Limited, Conquest Resources Limited and Executive Director Minco Plc. Formerly Vice President of Exploration of Northgate Exploration Limited and Campbell Resources Inc. Director of several public resource companies Danesh Varma, Chief Financial Officer, LIM Qualified accountant in UK and Canada with over 20 years experience in the mining finance industry Currently CFO of Canadian Zinc Corporation and Conquest Resources Limited Previously employed with Brookfield Asset Management, Northgate Exploration Limited, Westfield Minerals Ltd. and The Dundee Bank Director of several resource companies including American Resource Corporation and Anglesey Mining plc 22

23 Management Team Marc Duclos. Vice-President Transport Services Professional engineer with extensive experience in bulk materials handling, railroad operations and port management Formerly held senior positions with CN, Via Rail and Quebec North Shore & Labrador Railway and managed IOCC s port terminal at Sept-Iles Linda Wrong, Vice-President, Environmental & Permitting Affairs Professional geoscientist (P.Geo. BC and NL) with over 20 years in mineral exploration and over 15 years in Environmental Assessment and mining-related environmental issues. Has over 8 years experience in mining-related environmental issues on various projects (iron ore, uranium) in Newfoundland, Labrador and Northern Quebec Formerly North American Mining Services Technical Lead at EarthTech and Manager of Environment and Engineering Liaison at Aurora Energy Resources Joseph Lanzon, Manager of Government & Corporate Affairs Has extensive experience in governmental affairs and in facilitating the development of community partnerships in the natural resource sector. Mr. Lanzon has worked for the Federal Government of Canada, the NWT Government, House of Commons and the Senate of Canada Erick H. Chavez, Senior Geologist Professional geologist with 15 years international exploration experience Mr. Chavez is a graduate of Universidad Nacional de San Agustin de Arequipa, Peru and holds a M.Sc. degree from the University of Toronto 23

24 Board of Directors John Kearney Chairman Richard Lister Lead Director Bill Hooley Terence McKillen Matthew Coon Come Gerald Gauthier Eric Cunningham 24

25 Corporate Contacts Labrador Iron Mines Limited Suite 1002, 111 Richmond Street West Toronto, Ontario, Canada M5H 2G4 Tel: Fax: Website : Contacts: John F. Kearney Chairman and Chief Executive Officer (416) Bill Hooley President and Chief Operating Officer Terence McKillen Executive Vice President (416)

26 Labrador Iron Mines Limited IRON ORE IN NORTHWESTERN LABRADOR Bringing Sustainable Development to the Labrador Area