Vault Minerals Limited · ASX:VAU
Vault Minerals — Red 5 — Corporate Update (November 2009)
33 slides from Vault Minerals's corporate update, Nov 24, 2009
Slide 1: Siana Gold Project - Philippines
For personal use only RED 5 Limited Siana Gold Project - Philippines 90% beneficial interest Greg Edwards – Managing Director November 2009 RED5 Limited
Slide 2: Competent persons
Competent persons For personal use only The information in this Public Report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on, and accurately reflects, information compiled by Mr G C Edwards, Mr A L Govey and Mr W Darcey who are full-time employees of Red 5 Limited
Slide 3: Red 5 - at a glance
Red 5 - at a glance…. For personal use only RED – ASX (23 Nov): 18.5 cents Market cap: A$122m Issued shares: 659.2m Cash : A$21.4m Enterprise value (per LOM plan ounce): US$105 Largest Shareholders: Mathews Capital 19.5% AngloGold Ashanti 10.2% R Stanley 9.5% RED5 Limited
Slide 4: Highly prospective location
Highly prospective location For personal use only 100 million ounce equivalent potential in Surigao del Norte Excellent local infrastructure Strong Community support (history of mining) Strategic land position Secure mining title (Mineral Production Sharing Agreement) Red 5 in Philippine
Slide 5: Momentum increase
Momentum increase… For personal use only Last twelve months: Reserves doubled with underground resource upgrade Positive feasibility study delivered Environmental Compliance Certificate issued Mapawa MPSA granted – satellite resource potential Final permitting completed … business de-risk
Slide 6: Consultants to the study
Consultants to the study… For personal use only Resource estimation - Hellman & Schofield, Cube Consulting, Perth Geotechnical - Mining One, Melb, Peter O’Bryan & Associates, Perth Hydrology - Meyer Water & Environmental Solutions, Perth Open Pit mine design - RSG Global (Coffey Mining), Per
Slide 7: Project description
Project description… For personal use only Life-of-mine - 10 year operating life producing 849,000 ounces at US$351 per ounce - open pit at 750,000 tpa, underground phased in at 400,000tpa Capital cost to first gold pour - US$63 Million - add US$10M for working capital to sustainable positive ca
Slide 8: Site layout
Site layout For personal use only RED5 Limited
Slide 9: Open pit and underground design
Open pit and underground design For personal use only RED5 Limited
Slide 10: Probable Ore Reserves
Probable Ore Reserves For personal use only Stockpile Open Pit Underground Total* Tonnes (M) 0.08 3.10 1.94 5.1 Au g/t 1.33 3.42 5.82 4.3 Ag g/t 10.67 8.71 9.08 8.9 Ounces Au 3,549 341,000 363,000 708,000 Ounces Ag 28,000 870,000 566,000 1,465,000 *contains minor rounding errors 88 diamond drill h
Slide 11: Long term mine plan
Long term mine plan For personal use only Underground Stockpile Open Pit (Long term Total mine plan) Tonnes (M) 0.08 3.10 3.36 6.55 Au g/t 1.33 3.42 5.83 4.6 Ag g/t 10.67 8.71 9.12 8.9 Ounces Au 3,549 341,000 630,000 975,000 Ounces Ag 28,000 870,000 986,000 1,885,000 RED5 Limited
Slide 12: Resource still open
Resource still open… For personal use only RED5 Limited
Slide 13: Summary production schedule
Summary production schedule For personal use only Year 1 Year 2 Year 3 Year 4 Year 5-10 Total Ore Milled (tonnes) 594,000 750,000 921,000 1,092,000 3,199,000 6,556,000 Grade (g/t) Gold 2.88 3.48 3.56 4.21 5.90 4.63 Grade (g/t) Silver 15.0 10.1 6.2 5.9 10.0 9.0 Plant Recovery 83.0 85.9 85.7 86.1 88.3
Slide 14: Project financials (pre-tax)
Project financials (pre-tax) For personal use only Base case: Gold US$800 per ounce - NPV US$ 146 million - IRR 38% Gold US$1000 per ounce - NPV US$252 million - IRR 55% Tax holiday - under negotiation RED5 Limited
Slide 15: Capital cost to first gold pour
Capital cost to first gold pour For personal use only Capital Item US$m* Mining Open Cut - Dewatering 2.5 - Equipment & pre-strip 17.3 Total Mining Open Cut 19.8 Process Plant 35.0 Infrastructure 4.3 Misc Capital 3.4 Total 62.5 * including contingency RED5 Limited
Slide 16: Operating cost breakdown
Operating cost breakdown For personal use only LOM Mining 28.34 Processing 12.64 Administration 4.03 Excise Tax 2.53 Total Cost (US$/tonne) 47.54 Total Cash Cost (US$/ounce) 351 RED5 Limited
Slide 17: Gold recovery
Gold recovery For personal use only Gravity and CIL leach: open pit - 85 % recovery, 1.2 kg/t cyanide usage underground - low zinc - 88 %, 2.2 kg/t CN - high zinc - 84 %, 2.4 kg/t CN Gravity, zinc flotation, conc. and tail leach: underground high zinc – 83.4 %, 2.45 kg/t CN RED5 Limited
Slide 18: Underground mining method
Underground mining method For personal use only Underhand cut and fill (top down) Road header in ore (more productive in soft ground than conventional drill and blast) - additional benefit less explosive on site Drill and blast for hard material Paste fill ground support - cement available l
Slide 19: Mine method illustration
Mine method illustration For personal use only RED5 Limited
Slide 20: Strong community support
Strong community support… For personal use only Clean water project RED5 Limited
Slide 21: ...through health assistance
...through health assistance For personal use only RED5 Limited
Slide 22: ... education programmes
… education programmes For personal use only RED5 Limited
Slide 23: ... welfare
… welfare For personal use only RED5 Limited
Slide 24: ...and agricultural assistance
…and agricultural assistance For personal use only RED5 Limited
Slide 25: Requirements to operate
Requirements to operate… For personal use only Environmental Compliance Certificate granted SDMP (Social Development Management Plan) - approved EPEP (Environmental Protection and Enhancement Programme) - approved FMRDP (Final Mine Rehabilitation and Decommissioning Plan) - approved Notice
Slide 26: Implementation
Implementation For personal use only Permitting and finance 4Q 2009 Plant construction commences Mar 2010 Open pit commences May 2010 First gold production Mar 2011 Underground portal commences 2Q 2013 Underground ore production 4Q 2013 RED5 Limited
Slide 27: Opportunities
Opportunities For personal use only Further Siana underground extensions - 3 metres at 31.6 g/t, 5 metres at 25.4 g/t not in resource data base Zinc concentrate production from underground mining phase - bi-product credit potential … and Mapawa MPSA satellite ore 3 - 4 Mt potential near surface
Slide 28: Mapawa – LSY prospect
Mapawa – LSY prospect For personal use only RED5 Limited
Slide 29: LSY prospect
LSY prospect For personal use only RED5 Limited
Slide 30: Mapawa - LSY surface results
Mapawa - LSY surface results For personal use only RED5 Limited
Slide 31: Summary
Summary For personal use only Technically and economically viable project 10 year operating life delivering 850,000 recovered ounces of low cost production Upside with Mapawa licence grant Community acceptance and environmentally benign Knowledgeable supportive shareholder base Permit to
Slide 32: Contact details - Australia
Contact details - Australia For personal use only Level 2, 35 Ventnor Avenue West Perth, Western Australia 6005 PO Box 1911 West Perth, WA 6872 Ph: + 61 8 9322 4455 Fax: + 61 8 9481 5950 Web Site: www.red5limited.com Email: info@red5limited.com RED5 Limited
Slide 33: Contact details - Philippines
Contact details - Philippines For personal use only Greenstone Resources Corporation Level 5, NOL Tower Commerce Ave, cnr Acacia Ave Madrigal Business Park Muntinlupa City, Manila, Philippines 1770 Ph: + 63 2 807 2790 Fax: + 63 2 807 6658 Web Site: www.red5limited.com Email: info@r