Andromeda Metals Limited · ASX:ADN
Andromeda Metals — Adelaide Resources — Investor Presentation (May 2006)
39 slides from Andromeda Metals's investor presentation, May 25, 2006
Slide 1: ee So = = Oe oo a a — Be Seer — po eS
ee So 5 = = Oe oo a a — Be Seer — po eS e— Oe s—SC
Slide 2: Vital Statistics
Vital Statistics * ASX Code: ADN * Shares issued: 69.58 million * Unlisted options: 4.67 million * Cash: $4.2 million Shareholders: ~1300 Major Shareholders: Troy Resources NL (17%) Keith Yates (8.3%) 12 month trading: 19 to 72 cents Market capitalisation: $29.9 million (43 cents) Board members left
Slide 3: Mission
Mission To create shareholder value by minerals discovery
Slide 4: Profile
Profile South Australian based diversified mineral explorer listed since 1996 Experienced Board and Management - well funded Exciting mineral sands discovery in late 2005 Range of projects - gold-copper, uranium, iron ore - at promising stages Joint ventures with reputable majors
Slide 5: Exploration Activity
Exploration Activity [BE Joint Venture Exploration ~~ ©) Adelaide Resources Expenditure ($ million) 96-97 97-98 98-99 99-00 00-01 04-02 02-03 03-04 04-05 @ RC/Diamond _ 88 RAB/Aircore ! Drilling (metres) 96-97 97-98 98-99 99-00 00-01 01-02 02-03 03-04 04-05
Slide 6: nabama ~~ Copper
nabama ~~ Copper ~ Copper/Gold Warramboo ~ /ron Ore
Slide 7: With Iluka Resources Limited
With Iluka Resources Limited spending $1.0M to earn 51% (expected mid 2006) Resource drill-out in progress
Slide 8: What are mineral sands?
What are mineral sands? * Mineral sands deposits are concentrations of heavy minerals generated by wave action on beaches * These beaches can be modern day or as old as 40-50 million years * The valuable components are typically zircon and the titanium bearing minerals rutile and illmenite
Slide 9: Zircon Products
aT ii .), Sa Ge ee ee Zircon Products ® nw 5 L © Soe © a £ ® ” ® = a w Seu ro o See 7) s Resources Limited Adelaide
Slide 10: Pigment / Titanium products
ee | v) ~ o > x?) ‘°) pe O. - Pigmen << — oo lum = See itan T Adelaide Resources Limited
Slide 11: suing
suing ye Q a oo
Slide 12: Zircon producers market share
Adelaide Resources Limited RBM 20% lluka 38% Ticor 11% Namakwa 10% DuPont 5% Others 16% (courtesy lluka Resources)
Slide 13: Zircon Market
Adelaide Zircon Market Resources Limited Zircon Market Dynamics Supply remains very tight: Historical 7 ircon Price $US - delay of some projects #100 - flat {declining output from F200. existing producers: $00 oo $6 00- #200 Supply shortage started In 2008 and will continue through 2006. ~ stocks st
Slide 14: ee GG
ee GG lL oy a p Lo 7 oe Le) as eee ESS a j oe — a oF — 7 7, iy TU ea 1 Be TL a Le y (courtesy liuka Resources)
Slide 15: Premier zircon source
S$ premier zircon source 3, BUA ten 3 2 = s Seg © £ iS) a. = (= 12 in Eucla Bas iscoveries Tripitaka Adelaide/lluka Ha Wester, ata ide Be lluka d Adela Resources Limited
Slide 16: Adelaide Eucla Basin Tenements
ri Adelaide Eucla Basin Tenements Resources Limited Eucla Basin Outline “hit oe an JACINTH & AMBROSIA Adelaide Resources Iluka Resources GULLIVER’S
Slide 17: Adelaide Regional Location
Adelaide Regional Location Resources Limited “Frane Avetriwr Ria Ambrosia he 90km from Ceduna to Tripitaka turn-off
Slide 18: Ancient Shoreline
Ancient \ Shoreline. JACINTH AND AMBROSIA DISCOVERIES (Late 2004) Shuttle Radar Topography Mission (SRTM) data image TRIPITAKA DISCOVERY
Slide 19: _ (Adelaide Resources)
EL 3346 _ (Adelaide Resources) Traverse 5085SE y y ee a pe aloe BOG ee i a a Le ie EL 3233 (lluka Resources)
Slide 20: Tripitaka traverse 5085SE
Adelaide Resources Limited TRIPITAKA traverse EC85SE iq a = = A | | a 5: 21m @ 5.6%HM incl 3 @ 15.4%HM
Slide 21: Significant Intersections (>1% HM) Line 5085SE
Adelaide Significant Intersections (>1% HM) Line 5085SE Resources Limited / : 654 "Adelaide | YE0613 ° ‘Adelaide 3 “Adelaide Alok YE0623 _ YEO615 © Traverse % Zircon %Leucoxene* % Ilmenite 5085SE 68 12 11 “The leucoxene percentage contains a rutile component yet to be defined.
Slide 22: ‘Adelaide
‘Adelaide
Slide 23: 2006 drilling (currently underway)
iA 2006 drilling (currently underway) Previous drilling >1% HM * <1% HM 2006 drilling Pd Drill traverse El. 3233 (Iluka) 1000 metres
Slide 24: Colona Central
Adelaide Colona Central Resources pnvrosia LOCALITY Limited EL, 2000 (Hua 10 kiformetres, Jacinth EB-119 ° Traverse 2840-1 me ayy Colona Joint Venture EL 2840 Lo Fenemonts ” (Adelaide) L_] Huka Tenements - Traverse 5689 a ne 400 kitometres Traverse 5614 OOLDEA EL 2644 (Adetaide) Fraverse 5605 Heavy
Slide 25: Colona JV - What next?
Colona JV - What next? Resource drill-out - completion in May Regional exploration near Tripitaka and Colona Central follows Laboratory analysis of samples and resource estimation Resource announcement expected end September qtr iluka will earn 51% during this program - ADN will then contribute to h
Slide 26: Mineral sands provinces comparison
Province Company %Zircon, %Rutile | %limenitd” | USSit cond” | US$/t in ground Stradbroke Is“ lluka 11% 14% 45% 176 1.58 Murray Basin” Nuka 10% 13% 48% 167 19.19 Murray Basin @ Bemax 10% 17% 53% 189 5.48 Murray Basin © Aust. Zircon 19% 11% 66% 232 7.48 WA mid-west Nuka 11% 6% 52% 146 7.57 WA south-w
Slide 27: What if Iluka's Jacinth / Ambrosia were gold deposits?
What if Iluka’s Jacinth / Ambrosia were gold deposits? Using a gold price of US$650/oz the combined in-ground zircon resources of Jacinth and Ambrosia would be equivalent to a ~4 mill oz gold deposit. And this in deposits that are very close to surface Zircon only in-ground value ~$A4 billion
Slide 28: Slide 28
Slide 29: Resources
Resources Adelaide ; ' ; Locality Limited
Slide 30: Eyre Peninsula Gold
Eyre Peninsula Gold BARNS 24m @ 2.19g/t Au 12m @ 3.38git Au 2m @ 67.6g.t Au WHITE TANK 17m @ 3.47git Au 7m @10.0g/t Au BAGGY GREEN 8m @ 4.79git Au 24m @ 2.33g/t Au | ™s Calcrete gold anomaly WUD2 CENTRAL _. 1m@ 37.81git Au Exploration focus 65 x 25 km
Slide 31: Eyre Peninsula Uranium
Eyre Peninsula Uranium iijjjj, Palaeochannel INI! prospective for Uranium AdRes Tenements AdRes Tenements (Basement Uranium)
Slide 32: Toro
Adelaide Resources Limited Adelaide Resources Toro
Slide 33: Tennant Creek Block
Adelaide Resources Limited Cambrian Wiso Basin Tennant Creek Block &® Operating mine ® Historic mine Warramunga | Formation 20 kilometres
Slide 34: Tennant Creek - Major Producers
Tennant Creek - Major Producers Mine Tonnes Au (02) Warrego 6,750,000 . 1,475,000 Nobles Nob 1,996,000 1,110,000 Juno 452,000 815,000 White Devil 1,618,000 761,000 Peko 3,676,000 . 414,000 Tennant Creek orebodies are company makers!
Slide 35: Creek Field
Creek Field (2.5M ounces) yy Rover Field (? ounces)
Slide 36: R12 Section 339850E
Adelaide R12 Section 339850E Resources Limited R12 Magnetic contours ..RVIZARD2 : en oc RVIZARDI RV12ARD3." 300 metres contours in nt “Wiso Basin | _- Sediments Uncoptormty
Slide 37: Rover Project
Rover Project An exciting gold-copper play in a district renowned for company making discoveries More drilling this year!
Slide 38: What Next?
Nei What Next? Resource drilling of Tripitaka mineral sands discovery lluka’s highest Eucla Basin priority for 2006 (Mar 06) Eucla Basin exploration drilling (June 06) Drilling recommences at Rover gold/copper (Q3-06) Tripitaka resource estimate (Q3) Eyre Peninsula Uranium (watch this space) Ongoing
Slide 39: Adelaide Resources Limited
Adelaide Resources Limited Providing shareholders with discovery opportunities! adelaideresources.com.au
Adelaide Resources — Investor Presentation (May 2006) on 6ix