PO Box 598 T: +61 8 9481 2122 West Perth F: +61 8 9481 2322 WA - - PDF document
PO Box 598 T: +61 8 9481 2122 West Perth F: +61 8 9481 2322 WA 6872 www.shmining.com.au 9 March 2011 Australian Securities Exchange Level 8 Exchange Plaza 2 The Esplanade PERTH WA 6000 Dear Sir/Madam Investor Presentation Trevor
PO Box 598 T: +61 8 9481 2122 West Perth F: +61 8 9481 2322 WA 6872 www.shmining.com.au
9 March 2011 Australian Securities Exchange Level 8 Exchange Plaza 2 The Esplanade PERTH WA 6000 Dear Sir/Madam Investor Presentation Trevor Tennant (Chairman and Managing Director) will be presenting the below at the Euroz Rottnest conference today. Yours faithfully SOUTHERN HEMISPHERE MINING LIMITED Derek Hall Company Secretary
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Disclaimer Notice
This Presentation contains certain forward – looking information and forecasts. Such forecasts, projections and information are not a guarantee of the Company’s future performance and include unknown risks and uncertainties. Accordingly, the actual results and developments may differ from those expressed or implied. Southern Hemisphere Mining Limited makes no representation and can give no assurance, guarantee or warranty, express or implied, as to, and take no responsibility and assume no liability for, the authenticity, validity, accuracy, suitability or completeness of, or any errors in or omission, from any information, statement or opinion contained in this presentation. Nothing in this presentation should be construed as either an offer to sell or a solicitation of an offer to buy or sell securities. This document does not constitute an offer in any place in which, or to any person to whom, it would not be lawful to make such an offer. You should conduct your own analysis in order to satisfy yourself as to the accuracy and completeness of the information, statements and opinion contained in this presentation.
Competent Person Statement
Information of a scientific or technical nature in this report was prepared under the supervision of Trevor Tennant, Managing Director of Southern Hemisphere, a “qualified person” under National Instrument 43-101 – “Standards of Disclosure for Mineral Projects”, and is a member of the Australasian Institute of Mining and Metallurgy. Mr. Tennant has sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration, and to the activity 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. Tennant has reviewed and approved the information contained in this report. For further information regarding the projects, including a description of Southern Hemisphere’s quality assurance program, quality control measures, the geology, samples collected and testing procedures in respect of Southern Hemisphere’s projects please refer to the technical reports which are available under the Company’s profile at www.sedar.com.
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Copper Strategy
close to the city of La Serena
100% Chile-based Well funded with a strong Board Short-Term Valuation Catalysts
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Ordinary Shares (1) 151,224,122 Market Capitalisation @ $0.50 AU $75M Cash (2) AU$18M Debt (2) $0.0 Enterprise Value (Fully Diluted) AU$57M
(1) Excludes 17m options and warrants at various exercise prices and dates between CA $0.20 and CA $0.40 and December 2010 and January 2013 (2) As of February 28, 2011
Capitalisation Summary
SUH Historical Share Price Performance (ASX)
Iron Sands Project Copper/Gold Project Los Pumas Manganese Project
SUH Project Locations
Source: IRESS
1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 $0.00 $0.10 $0.20 $0.30 $0.40 $0.50 $0.60 $0.70 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11
Volume (RHS) SUH Price (LHS)
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Company Copper Properties
900km2 of mineral permits over a 2,000km strike length in Chile
porphyry style copper/copper-gold deposits
work at four priority projects:
targeting:
cluster tenements close to the city of La Serena
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Large Porphyry Target: Chitigua
Central Cluster: El Arrayan Santa Gracia Tres Cruces Romerral Gold: El Chacay
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Chitigua Project Regional Setting
West Fault – host to several of the world’s largest copper deposits (Escondida, Gaby, Chuquicamata, Collahuasi)
system
and Freeport’s El Abra2 deposits, situated 70km to the north and 30km to the south respectively
have been defined 6km’s apart (Chitigua North and Iglesia) a further target has been identified 6km’s to the south of Iglesia
Notes:
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Continental Sediment (Cretaceous) West Fault Riolite & Dacite Triazico (Carboniferous– Triassic) Diorite intrusive (Tertiary?) With stockwork quartz- magnetite, with intense chloritic alteration. Stockwork de Cpy – Cc - OxCu Granite Cordon del Millo (Paleozoic)
Iglesia Target geological setting and drill hole locations
spatially related to the borders and contacts of the dioritic stocks
abundant specularite (hematite), magnetite, quartz, calcite, copper
iron
and some chalcopyrite and chalcocite.
70° E / 60° NW to subvertical and N 10-30° E / subvertical (West Fissure trend).
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strategy
nearby porphyry copper mine at Andacollo (owned by Teck Cominco)
program
first six drill holes for which results have been received
0.47% Cu, best 12m @ 0.65% Cu from 71m
1.00% Cu, best 26m @ 1.54%
0.55% Cu, best 15m @ 0.64% Cu from 119m
0.93% Cu, best 6m @ 1.79% Cu from 105m
interpretation
El Arrayan geological setting and drill hole locations
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cluster strategy
target in the La Serena Region (nearby to the Company’s El Arrayan Project)
Sebastian) are on the Company’s property
Company’s property and new areas applied for – opportunity for SUH to increase its footprint
targets
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Project
Chacay as a deeper magmatic- hydrothermal system than Santa Gracia, where La Cuyana could be the higher expression of the deposit
samples submitted for testing
deposit
not own but surround
N° Sample East North Level wide Au g/t DS1 293.991 6.719.791 1.014 5,00 0,17 DS2 293.995 6.719.789 1.015 3,45 0,18 DS3 294.001 6.719.788 1.012 5,40 0,07 DS4 294.019 6.719.770 1.007 5,17 0,13 DS5 297.006 6.719.793 1.019 1,10 3,33 DS6 294.088 6.719.807 1.016 1,50 1,06 DS7 293.998 6.719.805 1.020 3,50 0,61 DS8 293.990 6.719.807 1.022 4,90 0,14 DS9 293.937 6.719.796 1.026 0,58 0,07 DS10 293.914 6.719.796 1.023 1,00 0,84 DS11 293.915 6.719.791 1.018 0,50 0,63 DS12 293.936 6.719.777 1.013 0,80 0,03 DS13 293.941 6.719.770 1.013 0,80 0,22 DS14 293.931 6.719.768 1.011 0,80 0,07 DS15 293.924 6.719.760 1.009 2,40 2,51 DS16 293.915 6.719.754 1.011 0,80 1,69 DS17 293.903 6.719.750 1.005 0,80 9,11 DS18 293.902 6.719.739 1.003 1,20 1,53 DS19 293.907 6.719.730 1.003 0,90 0,83 DS20 293.906 6.719.724 1.003 0,90 2,73 DS21 293.881 6.719.696 992 0,53 6,05 DS22 293.906 6.719.693 981 1,17 0,31 DS23 293.922 6.719.683 985 1,50 0,23 DS24 293.908 6.719.703 993 1,40 0,32 DS25 293.923 6.719.511 992 3,50 6,86 DS26 293.866 6.719.596 967 1,10 0,70 DS27 293.875 6.719.580 965 0,65 0,94 DS28 293.909 6.719.540 952 0,85 0,32 DS29 293.855 6.719.522 953 1,00 0,34 DS30 293.900 6.719.529 955 0,90 0,19 DS31 293.959 6.719.413 960 1,50 0,07 Average 1,36
Channel sampling results
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through a positive Preliminary Assessment Study prepared by Coffey Mining with assistance from SNC-Lavalin and Mineral Processors
@7.58% Manganese
Manganese
deposit:
contamination
Feasibility Study indicates the potential for increasing metal recovery by reducing product sizing
a development decision will be made
5 10 15 20 25 Jan-10 May-10 Oct-10 Feb-11 Mn (million tonnes)
Los Pumas Resource Growth
Measured & Indicated Inferred
Taapaca Volcano Los Pumas Project Area Huaylas Formation (Msh) Lauca Ignimbrite (PII) Taapaca Volcanic Complex (TVC) Taapaca Volcano Los Pumas Project Area Huaylas Formation (Msh) Lauca Ignimbrite (PII) Taapaca Volcanic Complex (TVC) Taapaca Volcano Los Pumas Project Area Huaylas Formation (Msh) Lauca Ignimbrite (PII) Taapaca Volcanic Complex (TVC)
Los Pumas Major Geological Features
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Results expected Q2 2011
city of La Serena