ASX ANNOUNCEMENT
By Electronic Lodgement
ASX: BFE By Electronic Lodgement 17th November 2011 Company Announcements Office ASX Limited SHARE INFORMATION 2 The Esplanade Perth WA 6000 Issued Shares: 117.4m
Unlisted Options: 17.0m ANNUAL GENERAL MEETING PRESENTATION
BOARD OF DIRECTORS Please find attached the presentation to be given today at the
Chairman: A. Baillieu Company’s Annual General Meeting by Executive Director, Mr Simon Rigby. Exec: S. Rigby Non-Exec: M. Chester Non-Exec: M. Clifford Simon Rigby Executive Director
PRINCIPAL CONTACTS
SHAREHOLDER RELATIONS
Anthony Baillieu – Chairman Phone: +61 4504 54446
TECHNICAL & CORPORATE
Simon Rigby – Executive Director Phone: +61 (8) 9216 1030
FURTHER INFORMATION bl ac k fi r e mi n er al s. c o m. au
REGISTERED OFFICE
Level 7, 1 William Street Perth, Western Australia
PRINCIPAL OFFICE
Level 2, 9 Colin Street West Perth, Western Australia Phone: +61 (8) 9216 1030
Fax: +61 (8) 9481 7939
REGISTRY ENQUIRIES
Computershare Investor Services
Level 2, 45 St Georges Tce Perth
Phone: +61 (8) 9323 2000 For personal use only use personal For
1 | P a g e
AGM Presentation 17th November 2011
Building Sustainable For personal use only use personal For Value From Quality Projects Disclaimer BLACK FIRE This presentation contains only a brief overview of Black Fire Minerals Limited and its associated entities (“Black Fire") and their respective activities. The contents of this presentation, including matters relating to the geology of the projects, may rely on various assumptions and subjective interpretations which it is not possible to detail in this presentation and which have not been subject to any independent verification.
This presentation contains a number of forward-looking statements. Known and unknown risks and uncertainties, and factors outside of Black Fire’s control, may cause the actual results, performance and achievements of Black Fire to differ materially from those expressed or implied in this presentation.
To the maximum extent permitted by law, Black Fire does not warrant the accuracy, currency or completeness of the information in this presentation, nor the future performance of Black Fire, and will not be responsible for any loss or damage arising from the use of the information.
The information contained in this presentation is not a substitute for detailed investigation or analysis of any particular issue. Current and potential investors and shareholders should seek independent advice before making any investment decision in regard to Black Fire or its activities.
Quoted Exploration Targets (*) are conceptual in nature and there has been insufficient exploration to define a Mineral Resource under the JORC Code and it is uncertain if further exploration will result in the determination of a Mineral Resource. Competent Person Statement
The information in this presentation that relates to Exploration Results & Targets is based on information compiled by Mr. S.
For personal use only use personal For Rigby, who is a Member of the Australian Institute of Geoscientists and has had sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves‘. Mr. Rigby is an employee of Black Fire Minerals and consents to the inclusion in the presentation of the matters based on his information in the form and context in which it appears. 2 2011FY Milestones – A Year Of Growth
BLACK FIRE
Rights to three new quality projects acquired covering high demand commodities ; Kangeshi Copper-Silver Project Pilot Mountain Tungsten-Copper Project Longonjo Rare Earth Project
Importantly, Kangeshi and Pilot Mountain represent ADVANCED projects at which the Company aims to deliver maiden JORC resources by the end of June 2012. Drilling to commence at both projects over next few weeks.
Company mineral tenement (licence) package increased by 75% to 4,900km2.
6,000m of drilling completed across three prospects at Mystique. Torquata Prospect remains highly prospective for a significant gold discovery.
For personal use only use personal For Board augmented with the addition of further highly experienced Non-Executive Directors, Mr Anthony Baillieu (Chairman) & Mr Mick Clifford.
Substantial exploration programs planned over the next 12 months. 3 2012FY Planned Activities – Building Value
BLACK FIRE
Q4 - 2011 Q1 - 2012 Q2 - 2012 Q3 - 2012 Q4 - 2012
KANGESHI PROJECT Resource Drilling Resource/Metallurgy Scoping Study & Infill Drilling? Kangeshi
Other Prospects Review & Prioritise Drill Testing?
PILOT MT PROJECT Desert Scheelite Resource Drilling Resource/Metallurgy Scoping Study?
Garnet/Gunmetal Resource Drilling
Other Prospects Review & Prioritise
LONGONJO PROJECT Start date Longonjo Carbonatite yet to be Drill Testing? Resource Drilling? confirmed Other Prospects Ground Assessment & Prioritise? Drill Testing?
MYSTIQUE PROJECT
Torquataonly use personal For Drilling Follow-up?
Planned activities are subject to change depending on results of previous completed activity 4 Projects Snapshot
BLACK FIRE
Kangeshi Copper-Silver Project (JV), DRC
Pilot Mt Tungsten-Copper Project, Nevada
Longonjo REE Project (JV), Angola Mystique Gold Project (JV), WA
Karibib Lithium Project, Namibia
COPPER TUNGSTEN GOLD RARE EARTHS
Project Name Kangeshi Pilot Mountain Mystique Longonjo
BFE Equity Acquiring 54% Acquiring 100% Earning 75% Acquiring 70%
Rift Valley Minerals Inc Pacific Gold Corp PacMag Metals Sable Minerals Partner / Vendor TSM Entreprise SPRL Resource Resource Drill Testing Drill Testing Exploration Stage Definition Definition
25-35Mt @ 0.8-1.2% Cu Exploration Target* 7-9Mt @ 0.3-0.37% WO3 Pending Pending For personal use only use personal For & 15-20g/t Ag
Following-up significant Historically drilled, feasibility Following-up very large and Following-up very large shallowly dipping copper- studied and trial mined by robust gold soil anomaly in and robust REE soil Comments silver mineralisation Union Carbide in early 1980’s. the Tropicana Belt of WA. anomaly in Angola. Rock defined by Vale in 9 drill Mothballed due to collapse in chip results to 18% TREO. holes over 5km tungsten prices in mid 1980’s 5 Kangeshi Copper-Silver Project
BLACK FIRE Democratic Republic of Congo (DRC)
Advanced 270 km2 Cu-Ag project located in highly copper endowed Katanga Province of the DRC.
Kangeshi Prospect Exploration Target of 25-35Mt @ 0.8-1.2% Cu and 15-20g/t Ag* based on 9 broadly spaced diamond holes drilled by Vale in 2008. Five other prospects yet to be assessed.
Walk-up drill target with aim to deliver maiden JORC resource in June half 2012. DRC
Black Fire holds staged Options to Purchase over a KINSHASA total 54% project equity (combined direct and Kangeshi
indirect) from Canadian private companies Rift For personal use only use personal For Valley Minerals Inc (60% and manager) and Lubumbashi Labrador Copper Holdings (10%) and private DRC company TSM Entreprise SPRL (30%). 6
Kangeshi – Prospective Location
BLACK FIRE Located in Central African Copperbelt – current known endowment of +240m tonnes of copper with increasing production profile and new
discoveries. For personal use only use personal For
7 Kangeshi – Project Background
BLACK FIRE Copper occurrence recorded in early 1900’s but not subjected to any modern exploration until 2008 under a JV with Vale. +10km long outcrop returning +1% copper and +10g/t Ag assay results. 9 diamond holes drilled by Vale at the Kangeshi Prospect in 2008 with very encouraging results for a bulk tonnage system.
Chalcocite is main copper
mineral (Cu2S) - simple Vale Rock Chip Copper Results metallurgy and generally delivers a +40% Cu concentrate. Significant exploration upside outside of primary Kangeshi
For personal use only use personal For Kangeshi Prospect Prospect.
2.5km 8 Kangeshi – Outcropping Mineralisation
BLACK FIRE
~5m Thick Copper Mineralised Horizon With
Extensive Green Copper Oxides (Malachite) For personal use only use personal For
Malachite Mineralisation Malachite Mineralisation Chalcocite Mineralisation 9 Kangeshi – Vale Drill Results &
BLACK FIRE Primary Target
Initial Exploration Target is 25-35Mt @ 0.8-1.2% Cu
& 15-20g/t Ag* For personal use only use personal For
10 Kangeshi – Planned Activities
BLACK FIRE Diamond drilling program comprising 45 holes for 5,000m to commence in November – Drilling contractor currently mobilizing to site. Aiming to deliver maiden JORC resource by end of the June 2012.
Area Of Planned Drilling
Q4 - 2011 Q1 - 2012 Q2 - 2012 Q3 - 2012 Q4 - 2012
KANGESHI PROJECT For personal use only use personal For Resource Drilling Resource/Metallurgy Scoping Study & Infill Drilling? Kangeshi Prospect
Other Prospects Review & Prioritise Drill Testing?
Planned activities are subject to change depending on results of previous completed activity 11 Pilot Mountain Tungsten-Copper Project
BLACK FIRE Nevada, USA
Advanced, resource definition stage tungsten- copper project located in favorable regulatory jurisdiction of Nevada, USA.
Drilled-out, feasibility studied and trial mined by Union Carbide Corp in early 1980’s.
BFE Initial Exploration Target across the three Nevada
main historic prospects of 7-9Mt @ 0.30 – RENO 0.37% WO3 *. Pilot Mt Subject to an Option to Purchase agreement Las Vegas with Pacific Gold Corp under which BFE may
acquire 100% for US$2m over 4 years or For personal use only use personal For revert to a 50:50 JV for US$1.5m over 3 years.
12 Why Pilot Mountain Project?
BLACK FIRE Project covers significant tungsten, copper & silver skarn-style mineralisation discovered in 1916 and explored by Duval & Union Carbide between 1977 and 1983.
Union Carbide completed a feasibility study and trial 1920’s Adits At Garnet open pit before decommissioning the project in the mid 1980’s due to the collapse of tungsten prices.
There has been no significant exploration undertaken since this time.
1950’s Ore Bin At Gunmetal Excellent opportunity to capitalise on the extensive work undertaken by Duval & Union Carbide at a time of record tungsten prices (up 700% since 2002).
For personal use only use personal For
1980’s Trial Pit At Desert Scheelite 13 Pilot Mt – Primary Prospect Locations
BLACK FIRE
Desert Scheelite Gunmetal Garnet
Pilot Peak – 9,000’
Pilot Mountain Project, February 2011 – Looking southwest
3 main historic prospects the subject of Union Carbide’s Feasibility Study – Desert Scheelite, Gunmetal and Garnet.
11 other prospects known within the 13km2 project area. For personal use only use personal For
Project less than 20km from intrastate highway and grid power.
14 Pilot Mt – Desert Scheelite Prospect
BLACK FIRE
Steeply northerly dipping skarn style mineralisation.
Duval and Union Carbide drilled +100 diamond holes and completed feasibility studies and trial mining.
Historic resources are not compliant with the JORC Code and cannot be Skarn Mineralisation reported. However, the average grade of mineralisation reported from drilling
was 0.33% WO3 + significant copper and silver.
Extensive historic data available
For personal use only use personal For providing a clear “starting point” for modern exploration.
Desert Scheelite Trial Open Pit Looking West 15 Pilot Mt – Desert Scheelite Prospect Geology & Historic Drilling
BLACK FIRE
Union Carbide Planned Open Pit 424000E
A’
Desert Scheelite Shaft OPEN
A 4248000N
Union Carbide Trial Pit
200m For personal use only use personal For
Hornfels Pediment - gravels Historic Drill Hole Limestone Tungsten-copper-silver “skarn” mineralisation
Marble Quartz monzonite intrusives 16 Pilot Mt – Desert Scheelite Prospect Drill X-Section A-A’
BLACK FIRE
A’ A
37 60.3m (TW~20.0m*) @ 0.26% WO3 , NSA Ag, NSA Cu
7 18
38
9 11.6m (TW~6.6m*) @ 0.14% WO3, 0.17oz/t Ag, NSA Cu
2100mRL 33.0m (TW~12.6m*) @ 0.59% WO3, 0.32oz/t Ag, 0.48% Cu
19.0m (TW~8.3m*) @ 0.31% WO3, 3.97oz/t Ag, NSA Cu
7.6m (TW~5.0m*) @ 0.22% WO3, 0.32oz/t Ag, NSA Cu BOCO 29.3m (TW~6.6m*) @ 0.35% WO3, 0.37oz/t Ag, 0.24% Cu
57.6m (TW~16.6m*) @ 0.40% WO3, 1.63oz/t Ag, 0.42% Cu 2000mRL
38.3m (TW~10.0m*) @ 0.38% WO3, 0.54oz/t Ag, 0.20% Cu
12.5m (TW~5.0m*) @ 0.49% WO3, 0.42oz/t Ag, 0.24% Cu
24.3m (TW~13.3m*) @ 0.37% WO3, 2.87oz/t Ag, 0.10% Cu Down-hole intersections converted from feet to metres. * Estimated True Width “TW” 1900mRL
Pediment - gravels
For personal use only use personal For Tungsten-copper-silver “skarn” mineralisation
Quartz monzonite intrusives
Hornfelsed limestone, siltstone, sandstone 1800mRL OPEN 17 Pilot Mt – Garnet & Gunmetal Prospects
BLACK FIRE Historic Gunmetal Underground Workings Outcropping, shallowly dipping skarn style mineralisation in side of hill.
Skarn Mineralisation First modern exploration by Union Carbide Corp.
Average grade of mineralisation reported from drilling at Garnet was
0.37% WO3 & 0.43% WO3 at Gunmetal. Silver, copper and zinc credits were also reported.
Tungsten-Copper Skarn Mineralisation For personal use only use personal For
1cm 18 Pilot Mountain – Planned Activities
BLACK FIRE 18 hole diamond drilling program for 4,000m to commence at the Desert Scheelite Prospect in December. Permits and drilling contractor secured.
Drilling program designed to twin selected historic holes along extent of known mineralisation to confirm historic database.
Aiming to deliver maiden JORC resource by end of the June 2012.
Work will commence on Garnet and Gunmetal resource drilling and general exploration of other prospects at end of winter (Q2).
Q4 - 2011 Q1 - 2012 Q2 - 2012 Q3 - 2012 Q4 - 2012
PILOT MT PROJECT
Desert Scheelite Resource Drilling Resource/Metallurgy Scoping Study? For personal use only use personal For Garnet/Gunmetal Resource Drilling
Other Prospects Review & Prioritise
Planned activities are subject to change depending on results of previous completed activity 19 Longonjo Rare Earth (REE)-Copper Project
BLACK FIRE Angola Relatively early stage 3,670Km2 Rare Earth Element (REE), copper and gold project located in Huambo Province of Angola, 650km SSE of the capital of Luanda & 200km east of the port of Lobito.
DRC Primary target is the >3.5km x 1.7km +0.5% REO soil anomaly at the Longonjo Carbonatite representing a “walk-up drill target”. LUANDA
Initial trenching & pitting program returned highly Angola encouraging results including; Huambo 17m @ 3.72% TREO, 4.3% P O & 0.29% Nb 2 5 Longonjo
19m @ 3.54% TREO, 4.3% P2O5 & 0.30% Nb Zambia Pit 6 – 18.91% TREO & Pit 4 – 18.06% TREO
For personal use only use personal For Namibia BFE may acquire 70% of the project for various payments totaling A$543k cash and A$1.75m in BFE shares over 18 months. 20 Longonjo – Project Background
BLACK FIRE 3,670Km2 concession held by Angolan private company, Discovery Grupo Lda.
Limited exploration completed under JV between 2006 and 2008 focussing on the Cassenha Hill Copper-Gold Prospect and Longonjo Carbonatite REE Prospect.
JV broke-down in 2008 in response to the GFC effectively mothballing the project until 2010 when a 70% equity option was granted to private Australian company, Sable Minerals Pty Ltd.
Under the current agreement, Black Fire may purchase Sable Minerals and thereby their 70% project equity.
New formal joint venture For personal use only use personal For agreement signed between the parties in October 2011.
21 Longonjo – Geology & Prospects
BLACK FIRE
HUAMBO Longonjo REE Carbonatite Tchindjenje
Longonjo Cuvelai
Ganda
Bongo Gold Target
Guima
Cambumbula Iron Target Cassenha Hill Copper-Gold Target
Granite Porphyry
For personal use only use personal For
Carbonatite Elluvials Granite
Granite Metavolcanics
Archaean Kimberlites Limestone/Sediment
Proterozoic Cretaceous Metasediments Eocene 22 Longonjo – REE Prospect Location
BLACK FIRE & Infrastructure
Sealed Highway Railway Line
Outline of completed 100m x 100m soil geochemical survey area defining a 3.5km x 1.7km +0.5% TREO anomaly
Longonjo Town Longonjo
Carbonatite For personal use only use personal For
1km 23 Longonjo – REE Prospect Panoramic
BLACK FIRE Looking West
Longonjo Town
Longonjo Carbonatite
Railway Line Paralleling Road
Main Road between Huambo City & Port of Lobito For personal use only use personal For
24 Longonjo – REE Prospect Geochemistry
BLACK FIRE Soil, Rock-chip, Trench & Pit Results For personal use only use personal For
25 Longonjo – Other Prospects
BLACK FIRE Very little modern exploration within the 3,670km2 licence area.
Extensive Proterozoic (Birimian) age rocks which are the primary host to extensive mineralisation across Sub-Saharan Africa - prospective for gold, copper and iron.
Cassenha Hill Prospect – Historic copper-gold workings with rock chip sampling returning up to 6g/t Au and 9% Cu – requires review.
Cambumbula Iron Prospect – Hematite-magnetite outcrops reported over 10km - requires mapping & sampling.
Bongo Gold-Tungsten Prospect – 10km long shear system with visible gold in stream sediment sampling – requires completion of stream sediment sampling program.
Remainder of licence area requires first pass evaluation and geochemical screening. For personal use only use personal For
Visible Gold Copper (malachite) Cassenha Hill Mineralisation Cassenha Hill
26 Longonjo – Planned Activities
BLACK FIRE Currently completing corporate set-up in Angola and dealing with other administrative issues. In field exploration will commence upon completion of these activities with the timing of specific programs also being weather dependent.
Planned activities at the Longonjo REE Prospect include; Further geochemical assessment. 5,000m aircore and 2,000m RC drilling program to broadly test the 3.5km x 1.7km REE soil anomaly. Activities at the other currently identified prospects will involve geological and geochemical review to define drill targets.
Q4 - 2011 Q1 - 2012 Q2 - 2012 Q3 - 2012 Q4 - 2012
LONGONJO PROJECT Start date yet to be Drill Testing? Resource Drilling? Longonjo REE For personal use only use personal For confirmed
Other Prospects Ground Assessment& Prioritise? Drill Testing?
Planned activities are subject to change depending on results of previous completed activity 27 Mystique Gold JV Project BLACK FIRE Western Australia
Early stage gold project located within the highly prospective Albany-Fraser Belt 240km ESE of Kalgoorlie.
Under-explored, very large, robust gold soil anomaly at the Torquata Prospect. Exciting drill target.
JV with PacMag Metals Ltd over two granted EL’s for 433km2.
Black Fire can earn up to 75% For personal use only use personal For equity by spending A$2.5m on exploration over 5 years.
28 Mystique Gold JV Project
BLACK FIRE Gold Soil Geochemistry – Priority Target
Torquata Prospect
Coherent gold in calcrete “soil” anomaly 4km x 2.2km @ +10ppb. Peak result 600ppb Au (Tropicana defined by +30ppb anomaly).
Gold Results (ppb) For personal use only use personal For
29 Mystique Gold JV Project – Torquata
BLACK FIRE Gold Soil Geochemical Anomaly
+100ppb 50m Tertiary Cover Historic vertical AC on 200m x 30m Tertiary Cover 100m with some infill highlighted 10ppb Planned 2011 Drill Hole potential “depleted” bedrock
5ppb source in south.
Bedrock intersections include 3m @ 2.92g/t, 1m @ 0.62g/t Au, 6m @ 0.2g/t Au & 1m @ 0.84g/t Au.
Prospect totally covered by Tertiary sediments causing RC drilling problems – abandoned holes before target depth.
+0.1g/t Au in bedrock Currently plan to drill 4 – 5 diamond holes to overcome ground
For personal use only use personal For conditions and to bring prospect to decision point. 500m Imaged Gold Soil Geochemistry 30 Mystique Gold JV Project
BLACK FIRE Planned Activities
Diamond drilling program comprising 4-5 holes for 1,000m planned at the Torquata Prospect.
Program to be completed during this summer.
Subsequent follow-up work will be dependent on results of first drill program.
Q4 - 2011 Q1 - 2012 Q2 - 2012 Q3 - 2012 Q4 - 2012
MYSTIQUE PROJECT
Torquataonly use personal For Drilling Follow-up?
Planned activities are subject to change depending on results of previous completed activity
31 Summary
BLACK FIRE
A team with a proven track record and the drive and industry networks to build a value accretive diversified resources company.
A business model that will allow Black Fire and its shareholders to capture maximum value from current and future opportunities.
Substantial news flow expected over next 6-8 months;
Two advanced projects (Kangeshi & Pilot Mt) to commence resource drilling programs with the aim of delivering maiden JORC resources by the end of June 2012. If successful, the objective is to fast track to scoping/feasibility studies.
Longonjo REE project showing strong early signs of size and grade to make it a genuine contender in the REE market.
Mystique Gold Project is a high risk-high reward target with real potential
to deliver a new discovery. Drilling to commence during coming summer. For personal use only use personal For The Board is committed to building sustainable value.
32 Further Information
BLACK FIRE
For Further Information Please Contact:
Simon Rigby Executive Director Black Fire Minerals Ltd P: +61 8 9216 1030 E: [email protected]
Anthony Baillieu Non-Executive Chairman Black Fire Minerals Ltd P: +61 4504 54446
E: [email protected] For personal use only use personal For www.blackfireminerals.com.au
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