Davidson Project (April 2008) Blue Pearl Mining - Minerals North

Davidson Project
(April 2008)
Blue Pearl Mining
Smithers, British Columbia

Cautionary Statement
This presentation contains “forward-looking information” which may include, but is not limited to, statements with respect to the
future financial or operating performance of Blue Pearl, its subsidiaries and its projects, the future price of molybdenum, the
estimation of mineral reserves and resources, the realization of mineral reserve estimates, the timing and amount of estimated
future production, costs of production, capital, operating and exploration expenditures, costs and timing of the development of
new deposits, costs and timing of future exploration, requirements for additional capital, government regulation of mining
operations, environmental risks, reclamation expenses, title disputes or claims and limitations of insurance coverage. Often, but
not always, forward-looking statements can be identified by the use of words such as “plans”, “expects”, “is expected”, “budget”,
“scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”, or “believes” or variations (including negative variations) of such
words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be
achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements of Blue Pearl and/or its subsidiaries to be materially different from any future results,
performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others,
general business, economic, competitive, political and social uncertainties; the anticipated benefits of the acquisition not occurring
in the expected time frame or at all; the actual results of current exploration activities; actual results of reclamation activities;
conclusions of economic evaluations; changes in project parameters as plans continue to be refined; future prices of molybdenum;
possible variations of ore grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents,
labor disputes and other risks of the mining industry; political instability, insurrection or war; delays in obtaining governmental
approvals or financing or in the completion of development or construction activities, as well as those factors discussed in the
section entitled “Risk Factors” in Blue Pearl’s short form prospectus dated October 13, 2006 which is available on SEDAR at
www.sedar.com. Although Blue Pearl has attempted to identify important factors that could cause actual actions, events or results
to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or
results to differ from those anticipated, estimated or intended. Forward-looking statements contained herein are made as of the
date of this presentation and Blue Pearl disclaims any obligation to update any forward-looking statements, whether as a result of
new information, future events or results or otherwise. There can be no assurance that forward-looking statements will prove to
be accurate, as actual results and future events could differ materially from those anticipated in such statements. Blue Pearl
undertakes no obligation to update forward-looking statements if circumstances or management’s estimates or opinions should
change. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements.
Readers should refer to Blue Pearl’s short form prospectus dated October 13, 2006 available at www.sedar.com for further information on mineral reserves and
mineral resources, which is subject to the qualifications and notes set forth therein.
Cautionary Note to United States Investors Concerning Estimates of Measured, Indicated and Inferred Resources: This presentation uses the
terms “Measured”, “Indicated” and “Inferred” Resources. United States investors are advised that while such terms are recognized and required by
Canadian regulations, the United States Securities and Exchange Commission does not recognize them. “Inferred Mineral Resources” have a great amount of
uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Mineral Resource will
ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or other economic
studies. United States investors are cautioned not to assume that all or any part of Measured or Indicated Mineral Resources will ever be
converted into Mineral Reserves. United States investors are also cautioned not to assume that all or any part of an Inferred Mineral
Resource exists, or is economically or legally mineable.
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Davidson Project
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Blue Pearl History
• Yorke-Hardy Property, named after W. Yorke-Hardy; name changed
to Davidson Property by Blue Pearl
• Property originally developed by Amax / Climax – 1957 to 1980
• 190,000 ft of diamond drilling from surface and underground
• Optioned by Blue Pearl Mining in 2005
• 43-101 Report based on available data
• Underground diamond drilling – 2006 to 2007
• Plan to haul ore to Endako at 2000 tonnes per day
• Blue Pearl bought Thompson Creek Metals – Oct 2006
• Company became an integrated molybdenum producer
• Name changed to Thompson Creek Mining – May 2007
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Map of Properties
Davidson Deposit
• High Grade
Underground Deposit
British
Columbia
Endako (75%)
• Open Pit Mine
• Concentrator
• Roasting Facility
Idaho
Canada
Thompson Creek
• Open Pit Mine
• Concentrator
Pennsylvania
United States
of America
Langeloth
• Metallurgical Facility
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Endako Operation British Columbia
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Thompson Creek Operation Idaho
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Langeloth Metallurgical Facility
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Davidson Project
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Geology
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Mineralization

Davidson Project Description Summary
• Underground molybdenum mine
• Nine kilometers north of Smithers, BC
• 2000 metric tonnes of ore per day
• 10 year mine life used for Feasibility Study
• Year round operation (365 days)
• Small project footprint (less than 50 hectares)
• Ore accessed via a new lower adit (700 Adit)
• Offsite ore processing at Endako
• Ore transported to Endako by truck (~200 km)
• 7 km new haul road avoids residential community
• Mine water will be treated on-site and discharged via
pipeline to the Bulkley River
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Davidson Project Feasibility
• Feasibility study completed
• Economics indicate a cut-off grade of 0.173% Mo
• Measured + Indicated resources of 22.7 Mt of 0.234% Mo
at a cut-off grade of 0.18% Mo
• Initial plan to mine to mine 7.3 Mt of ore and 0.5 Mt of subgrade
material, average grade 0.265% Mo
• If permits are issued by late 2008, full production by
April 2010
• Capital expenditure of C$109 million
• Average cash cost estimated at US$9.46 per lb of Mo
• Assumes average Mo price of US$16.13
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Project Components
• Underground Mine
• Mine Site, Loadout and Water Treatment Plant
• Utilities
• Ore Hauling
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Underground Mine
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Underground Mine
• Production: 730,000 tonnes per year; 2,000 tonnes per day
• Enlarge 1066 Adit to 3.8 x 4.9 x 1,850 m; currently 2.4 x 2.4 m x
1,850 m long
• Drive 700 Adit (5.5 x 5.5 x 2,900 m)
• Develop access ramps and drifts to ore body
• Sublevel stoping
• Main ventilation fan located underground near portal of 1066 Adit
• Mine air will exhaust from 700 Adit
• Mine air will be heated by natural gas
• Water demands met from water sources within the underground
workings
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Davidson Underground Workings
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Mining Method
– Sublevel stoping
– Stopes up to 25 m
width, 200m length,
and 80 m height
– ANFO or slurried
explosives (stored
underground)
– Broken ore loaded by
diesel powered loadhaul-dump
units
– Ore transported to
surface by trucks
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Typical Stope Design
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Davidson Project Mine Infrastructure
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Mine Site & Loadout
• 11.5 and 1.2 hectares of new footprint at the 700 m and
1066 m elevations
• New footprint (1066 m elevation)
– 1066 Development Rock Storage Pile
– Water management facilities
• New footprint (700 m elevation)
–Loadout
– Portal of the 700 Adit, temporary development rock
storage pile, water management and treatment
facilities, office, changehouse, shop, mine site roads
and parking lot, utilities, ancillary facilities

Mine Site & Loadout and Existing Switchback Road

Loadout
• Underground trucks will deliver ore to surface loadout
(700 m elevation)
• 3,000 tonnes ore storage
• Engineered sound barrier

Davidson Project Ore Loadout and Truck Loading Station

Development Rock Storage
• 279,000 tonnes from 700 adit
• 171,000 tonnes from 1066 adit
• Rock storage on HDPE pads
• Runoff collected and piped to water treatment facilities
• Rock back-hauled underground during operations

Water Treatment Facilities (Operational Water)
• Active treatment for dissolved molybdenum and coprecipitation
of dissolved arsenic
• Proven technology for treatment of dissolved moly and
arsenic (Brenda Mine)
• Treatment for TSS to 15 mg/L
• Discharge to Bulkley River near Smithers Sewage
Treatment Plant via diffuser

Utilities
• Electrical Power Line
– Single pole, follows haul road alignment
• Natural Gas Pipeline
– Tie into existing natural gas pipeline near the west
end of Slack Road (~4.1 km from Mine Site and
Loadout)
• Mine Water Discharge Pipeline
– Discharge via diffuser to the Bulkley River
– ~ 8.0 km mine water pipeline to the Bulkley River

Davidson Project Utilities

Ore Hauling
• New Haul Road
– 7 km of new haul road north of the Mine Site and
Loadout to Highway 16
– Single lane gravel road
– 40 tonne capacity highway legal trucks to Endako Mine
– 50 round trips per day
– Nine stream crossings
– CNR crossing near Highway 16
• Existing Haul Road
– Highway 16 south through Smithers, Telkwa, Houston
and Burns Lake
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Davidson Project Haul Route to Endako Mine
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Project Development Schedule
• Phase 1 (Mine Water Treatment Facilities)
– Site clearing and water management
– Clearing of utilities corridor
– Construction of mine water treatment facilities
(retention pond, treatment plant, etc.)
– Construction of utility line (mine water discharge
pipeline, natural gas line)
– Diffuser in the Bulkley River
– Mine water pipeline from 1066 m elevation to mine
water treatment facilities
– Mine waste rock storage facilities
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Project Development Schedule
• Phase 2 (Underground Mine and New Haul Road)
– New 700 Adit will be driven (2,900 m long) at ~ 11%
grade
– 1066 Adit will be expanded over its 1,850 m length
– Develop mining area accesses
– New haul road will be developed and will require a 25
m clearing
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Thank You!
www.thompsoncreekmetals.com
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