Cu-Co-Ag Mining Project South Australias Next Copper Mine August - PowerPoint PPT Presentation

Mount Gunson Cu-Co-Ag Mining Project “ South Australia’s Next Copper Mine” August 2016 Torrens Mining Limited Resource Innovation

World Class Olympic Copper Province 130km Port Augusta 45km Woomera Mt Gunson Cu-Co-Ag Mining Project M63/15 Torrens Mining Limited 2

Two distinct copper deposit types: Sedimentary-hosted deposits in Cover Sequence IOCG (Olympic Dam) deposits in basement rocks (up to 1 km deep) O’Brien 2006b Torrens Mining Limited 3

Tenements Tenement Granted Expiry Area (sq.km) EL5636 25-10-2015 24-10-2017 463 (prev. EL4460) EL5108 29-10-2012 28-10-2017 70 (prev. EL3937) EL5333 7-10-2013 6-10-2018 291 Total 824 Torrens Mining Limited 4

Wall collapse Established s site: Electrical Power Scheme water Phone 40km to Woomera Air services Sealed Stuart Hwy Torrens Mining Limited 5

Open-cut mining inventory * Dolomitic black shale Cu-Co-Ag sulphide ore Torrens Mining Limited 6

MG14 Resource Open to NW 500m Indicated Resource 1.6Mt @ 1.4%Cu, 0.04%Co, 14g/t Ag 117 drill holes Torrens Mining Limited 7

Windabout Resource 1 km Indicated Resource 18.7Mt @ 1.0%Cu, 0.05%Co, 10g/t Ag 195 drill holes Torrens Mining Limited 8

MG14 & Windabout Resources • 20.3M tonnes @ 1.0%Cu, .05%Co & 10g/t Ag, for 465 M lb Cu (>200Kt), & 26 M lb Co • Estimated Mineable 13.1M tonnes @ 1.1%Cu, .05%Co & 16g/t Ag Torrens Mining Limited 9

Why have these Deposits not been developed??? Torrens Mining Limited 10

Plus… • Readily marketable commodities • Established mineral resources >200kt Cu • Shallow starter pit (MG14) • Excellent infrastructure • Supportive community Torrens Mining Limited 11

Minus… • High Stripping Ratio Windabout (circa 20:1) • Conventional float methods has not been able to demonstrate a commercially acceptable process route. Torrens Mining Limited 12

Solutions…? • Use proven Coal Mining technology for mining • Adopt a hydrometallurgical leach route for the processing Torrens Mining Limited 13

Windabout Waste Mining Considerations: Option 1 – Bucket Wheel Excavator Strip Ratio av. 20:1 Free dig overburden Grid power available Option 2 – IPC & Excavator Long mine life (>12yrs) Essentially flat orebody Torrens Mining Limited 14

Ore Mining • Surface Miner • Ideal - mining flat orebody • Low dilution • Soft ore = low pick wear Torrens Mining Limited 15

Float - Leach - Strip Process Key steps: Undersize CYCLONE 1) Ore milling ORE LOG WASHER 2) Deslime Feed to Float 3) Float Cu & Co sulphides Float concentrates 4) Leach Float tails & slimes FLOAT PLANT Slimes Float tails 5) GlySmelt TM float cons GLYCINE CONCENTRATE LEACH PLANT Cobalt carbonate Silver in residues 6) Products: EW Copper & Cobalt Carbonate CYANIDE LEACH COPPER EW PLANT Tailings Copper Cathodes Torrens Mining Limited 16

LOM Project Plan • Production 2019 • Mine life 14 years (at 1 Mtpa) • Recoveries*: 90% of Copper & Cobalt; ~50% Silver *Based on Bench Testing to date • Torrens Mining Limited 17

LOM Production (1mtpa for 14 yrs) • Copper cathode: 290M lb • Cobalt : 15Mlb • Silver: 3.4 Moz Estimated Gross Revenue >AU$1,400M Torrens Mining Limited 18

Exploration Upside • High potential for Sedimentary Copper • Proven exploration potential for IOCG (Olympic Dam) • Brownfields opportunities • Established regional targets Torrens Mining Limited

Mount Gunson Cu-Co-Ag Mining Project “ South Australia’s Next Copper Mine” August 2016 Torrens Mining Limited Resource Innovation