for personal use only 22 november 20112011/11/22 · resource upgrade for personal use only...
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AGM AGM Perth, WAPerth, WA22 November 201122 November 2011F
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Annual HighlightsAnnual Highlights
� Developing the 100%-owned NiWest Nickel Laterite Project (Western
Australia)
� World-class resource base with over 1.0Mt contained Ni, 85kt Co and
further upside
� Successful exploration for gold and nickel
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� Resource upgrades for nickel
� Further testing of Direct SX/EW to refine nickel flowsheet
� Developing potential gold open pit
� Gold metallurgical test work
� Ongoing discussions with strategic investors to assist development of
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Broome
Port Hedland
Karratha Over 500km2 of tenements
165,000 metres of exploration drilling to date
NiWest Nickel Laterite ProjectNiWest Nickel Laterite ProjectAdjacent to road, rail, gas and waterAdjacent to road, rail, gas and water
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Carnarvon
Geraldton
PERTH
Albany
Esperance
NiWest NickelLaterite Project
to date
7 Project areas
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MMJV Plant
MMJV North
Wanbanna GME
Project location next to Australia’s second largest Nickel producer
MMJV Haul
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Hepi GME
MMJV East
MMJV South
Eucalyptus GME
Kilkenny GME
MMJV Haul Road
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Large Defined Resource..Large Defined Resource..20 year ore supply 20 year ore supply
0.7% COG
CATEGORY
Tonnes
(Millions) %Ni %Co
Ni Metal
(tonnes)
Co Metal
(tonnes)
TOTAL Measured 45.86 0.96 0.06 441,692 28,229
Indicated 32.28 0.92 0.06 295,631 18,502
Inferred 30.32 0.89 0.06 270,250 19,600
Combined 108.46 0.93 0.06 1,007,573 66,331
0.8% COG
CATEGORY
Tonnes
(Millions) %Ni %Co
Ni Metal
(tonnes)
Co Metal
(tonnes)
TOTAL Measured 34.22 1.04 0.07 355,198 23,037
Indicated 22.41 0.99 0.06 222,273 14,189
Inferred 19.09 0.96 0.06 184,038 11,303
Combined 75.73 1.01 0.06 761,509 48,529
1.0% COG Tonnes Ni Metal Co Metal
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1.0% COG
CATEGORY
Tonnes
(Millions) %Ni %Co
Ni Metal
(tonnes)
Co Metal
(tonnes)
TOTAL Measured 19.21 1.19 0.08 228,996 15,215
Indicated 8.47 1.14 0.08 96,299 6,461
Inferred 5.07 1.14 0.07 57,741 3,786
Combined 32.74 1.17 0.08 383,036 25,463
1.2% COG CATEGORY Tonnes
(Millions)
%Ni %Co Ni Metal
(tonnes)
Co Metal
(tonnes)
TOTAL Measured 7.43 1.37 0.09 101,534 6,681
Indicated 2.23 1.31 0.09 29,165 1,981
Inferred 1.29 1.28 0.09 16,591 1,106
Combined 10.96 1.34 0.09 147,290 10,067
Resource increases of up to 18% achieved. Focus on high grade zones
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Hepi Project
6 metres @ 1.98% Ni9 metres @ 1.77% Ni6 metres @ 1.72% Ni9 metres @ 1.71% Ni
Hepi drilling 2010
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Resource upgrade completed
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Eucalyptus drilling 2011
12 km strike length
31 million tonnes resource ( to be updated)
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Murrin built new haul road
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Mt Kilkenny•25 metres @ 1.46% Ni from 0 m in MKC0661•20 metres @ 1.07% Ni from 14 m in MKC0658Waite Kauri•11 metres @ 1.11% Ni from 19 m in WKRC0310•3 metres @ 1.39% Ni from 8 m in WKRC0318
Other Nickel projects drilled during the year
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•3 metres @ 1.39% Ni from 8 m in WKRC0318•3 metres @ 1.32% Ni from 11 m in WKRC0313Mertondale•5 metres @ 1.38% Ni from 9 m in MDRC107•11 metres @ 1.33% Ni from 3 m in MDRC105
Resource updates on all projects drilled during the year, Eucalyptus pendingF
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Sulphur Storage
Power Station
Acid Plant
MCC
Reclaimer
Security
Administration
LabWarehouse
Crib Room
Workshop Mixed Sulphide Filter
NeutralisationSulphide Precipitation Acid Regeneration
PLS Pond Heap Feed Pond
ILS Pond 1
Gypsum Residue Filter
Sulphide Reagent
Water Treatment
Solution Bleed
Calcrete
Process OverviewProcess Overview
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Heap Leach Pad
ON-OFF Pads
ILS Pond 2
Environmental (Storm) Pond
Water Treatment
Flocculent Calcrete Stockpile
Flare Tower
Stacker
Leach Ore Transfer
Energy Self Sufficient
Reviewing modularisation approach
Precipitation with H2S to MSP ( 55% metal high value product)
Neutralisation, precipitation and materials handling work completed
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• Heap leach is a lower capital-cost alternative to HPAL
• Relatively simple technology
• Downstream flowsheet to MSP is well understood
• Low Capex: $US670 million capex (excluding contingencies), for a 3.5Mtpa throughput plant producing 30,000t Ni per annum
• Low operating costs below $US5.00/lb, and lower with Co credits
Why Heap Leach?Why Heap Leach?
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HEAP LEACH to provide a solution to the Ni supply dilemma
Heap leach is the preferred expansion option at Murrin Murrin JV (Glencore) and proposed process for a number of international projects.
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Significant project development towards a feasibility study completed
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5.4
4.04.0
5.0
6.0
Nickel Laterite Development Projects
The NiWest Project remains one of the few globally significant nickel laterite developments that is independently owned.
Key:IndependentAligned with a major
Con
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Globally significant nickel laterite development projects
NiWest – large resource , low capital
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2.4
1.8 1.71.4
1.0 0.9 0.8
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1.0
2.0
3.0
Project Name KNP1 Koniambo Ravensthorpe Wingellina Ambatovy Ramu NiWest Dutwa Acoje2 Caldag
Company Name Heron Xstrata First Quantum Metals X Sherritt MCC3 GME African Eagle ENK ENK
Estimated capex (US$b)4 3.62 5.00 2.30 2.33 5.50 1.40 0.80 0.55 0.50 0.50
Processing method HPAL Fe-Ni smelter HPAL HPAL HPAL HPAL Heap Leach Heap Leach Heap Leach Heap Leach
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capital
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Market UpdateMarket Update
NPI : represents a floor at $9 - $10/lb
•Chinese Ni demand up 12% 2010 and F/C 5% 2011.
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2010 and F/C 5% 2011.•China worlds largest car maker. Currently 20M units –40M by 2020.•Ni demand for batteries continues to be strong•50% global Ni supply from laterites•Stock levels continue to fall
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Strong outlook for resource demandStrong outlook for resource demand
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Gold results including:•6 metres @ 6.60 g/t Au from
18m in DVR206•6 metres @ 12.26 g/t Au from 19m in DVR214
Including 3m @ 22 g/t Au
Recovery test work•Over 92% extraction
Devon Gold project
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Over 92% extraction
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Competent persons statementCompetent persons statement
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The information in this report that relates to Exploration Results and Mineral Resources is based on informationcompiled by Mr Stephen Hyland and Mr Shaheen Shahnaz. Mr Hyland is a member of The Australasian Instituteof Mining and Metallurgy. Mr Hyland is a Principal Consultant with Ravensgate Minerals Industry Consultants whoconsults to the Company. Mr Shahnaz is employed by GME Resources. Mr Shahnaz and Mr Hyland havesufficient experience, which is relevant to the style of mineralization and type of deposit under consideration andto 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 Mineral Resources and Ore Reserves. Mr Shahnaz and Mr Hyland consent tothe inclusion in the report of the matters based on information provided in the form and context in which itappears.F
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GME Resources
David Varcoe
Thank YouThank You
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David Varcoe
ABN 62 009 260 315
Phone: +618 94444 396
www.gmeresources.com.au
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