Aurelia Metals Limited · ASX:AMI
Aurelia Metals — Investor Presentation (May 2015)
32 slides from Aurelia Metals's investor presentation, May 14, 2015
Slide 1: An Emerging High Grade, Multi-Commodity Mining Company
For personal use only AN EMERGING HIGH GRADE, MULTI-COMMODITY MINING COMPANY MAY 2015 1
Slide 2: Disclaimer
DISCLAIMER • This presentation has been prepared by Aurelia Metals Limited (“AMI” or the “Company”). It should not be considered as an For personal use only offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or invitation with respect
Slide 3: Compliance Statement - Listing Rules 5.16-5.18
COMPLIANCE STATEMENT LISTING RULES 5.16-5.18 This investor presentation contains forecast rates for the production of gold, lead and zinc from the Hera For personal use only Project. These production targets were developed under a Definitive Feasibility Study (‘DFS’) as announced to the ASX on the 1
Slide 4: Corporate Snapshot
CORPORATE SNAPSHOT For personal use only CAPITAL STRUCTURE Shares on issue (ASX:AMI) 387.3 million Options & Performance Rights 4.2 million Market Capitalisation (at 24cps) $93 million Est. Cash – (March 15) $12.4million Drawn Funding Facilities1 $105 million Undrawn Funding facilities (Nymagee) 1 $
Slide 5: Cobar Superbasin Deposits
COBAR SUPERBASIN DEPOSITS SCHEMATIC For personal use only COBAR BASIN DEPOSITS – HIGH GRADE + LONG LIFE COBAR SUPERBASIN METAL INVENTORY 6.4Moz Au, 200Moz Ag, 2.2Mt Cu, 4Mt Zn, 3Mt Pb Australia NSW 5
Slide 6: Hera and Nymagee Projects
HERA AND NYMAGEE PROJECTS FULLY FUNDED HIGH-GRADE DEVELOPMENT WITH MAJOR EXPLORATION UPSIDE For personal use only STAGE 1: HERA DEPOSIT (AMI-100%) – IN PRODUCTION • High grade gold-lead-zinc-silver production in NSW • Commercial Production declared from 1st April 2015 • Scaling up to average product
Slide 7: Aurelia's Achievements
AURELIA’S ACHIEVEMENTS PURCHASE, DELIVERY, EXTENSION PROJECT PURCHASE – SEPTEMBER 2009 For personal use only NYMAGEE DISCOVERY – OCTOBER 2010 HERA DFS – SEPTEMBER 2011 HERA PERMITTING APPROVAL – JULY 2012 PROJECT FINANCING– NOVEMBER 2012 CONSTRUCTION COMMENCEMENT – JAN 2013 FIRST GOLD POUR– SEPT 201
Slide 8: Hera DFS Key Metrics
HERA DEVELOPMENT For personal use only HERA DFS KEY METRICS – STAGE 1 HERA DEVELOPMENT Resources (April 2015) 3.2Mt @ 3.75g/t Au, 3.5% Pb, 4.6% Zn and 33g/t Ag Reserves (September 2011) 1.8Mt @ 3.6g/t Au, 2.5% Pb, 3.5% Zn and 15g/t Ag Initial Mine Life 7.3 years from portal - + 2 years implied Estim
Slide 9: Mine: Gold-Lead-Zinc
HERA MINE GOLD-LEAD-ZINC For personal use only Gold-Silver DFS production pa: Gold: 39,000oz Silver: 154,800oz Lead-Zinc DFS production pa: Lead: 7,800t Zinc: 10,800t 9
Slide 10: Improving Base Metals Market
HERA MINE GOLD-LEAD-ZINC • Improving Base Metals Market For personal use only • Broad consensus on improving market – particularly for Zinc Zinc price vs Zinc Stocks Chinese Galvanised Sheet Production Source: Wood Mackenzie Source: Wood Mackenzie Aurelia share price ($AUD) v's Zinc price ($USD) $0.
Slide 11: Volatile Gold Market
HERA MINE GOLD-LEAD-ZINC • Volatile Gold Market For personal use only • Downside protected with A$1500/oz put options – 26,445oz • Prudent forward sales of 8,900oz Au at A$1591 Forward sales Put Options 11
Slide 12: Mine Layout
HERA MINE - LAYOUT For personal use only BOXCUT WASTE ROCK DUMP POWER STATION ROM PAD PROCESS PLANT PYBAR PROCESS WATER DAM ADMIN NORTH 12
Slide 13: Village
HERA VILLAGE For personal use only Hera Village – 80 permanent rooms 13
Slide 14: Underground
HERA UNDERGROUND For personal use only Hera Underground 14
Slide 15: Process Plant
HERA PROCESS PLANT For personal use only Hera Process Plant 15
Slide 16: Process Facility
HERA MINE PROCESS FACILITY CONCENTRATE LEACH TANKS GRINDING AND GRAVITY MODULE For personal use only 34% GOLD RECOVERY (TOTAL 94%) 60% GRAVITY GOLD RECOVERY 47% SILVER RECOVERY TERTIARY CRUSHING FLOTATION CIRCUIT 56% LEAD + ZINC BULK CONCENTRATE PRIMARY AND SECONDARY 91% LEAD RECOVERY CRUSHING - 120
Slide 17: Process Facility - Ramp Up
HERA MINE PROCESS FACILITY – RAMP UP Commercial Production declared from 1st April 2015 Throughput: For personal use only • Mill throughput for the March quarter was 84% of the design rate of 350,000 t per annum, • Reaching 100% of design throughput in early May. Further minor capital projects to im
Slide 18: Exploration
HERA EXPLORATION For personal use only Massive zinc sulphides – Hera North 18
Slide 19: Gold-Lead-Zinc Deposit Exploration Potential
HERA GOLD-LEAD-ZINC DEPOSIT EXPLORATION POTENTIAL PEAK GOLD MINES COBAR HERA DEPOSIT For personal use only SCHEMATIC LONG SECTION SCHEMATIC LONG SECTION Hera: 2.44Mt @ 4.1g/t Au, 6.6% Pb+Zn Western Lead Zinc 0.9Mt @ 6.8g/t Au, 2% Pb+Zn 500m Peak (pre-mining) 5.2Mt @ 9.1g/t Au, 0.8% Cu POTENTIAL? 100
Slide 20: Mine and Resource: Resource Upgrade April 2015
HERA MINE AND RESOURCE RESOURCE UPGRADE – APRIL 2015 Decline commenced January For personal use only 2013. Underground ahead of schedule with eight (8) production levels fully or partially developed New Resource Estimate April 2015 • 32% increase in tonnes • 27% increase in Pb grade • 19% increase i
Slide 21: Regional Exploration
HERA REGIONAL EXPLORATION For personal use only HERA DEPOSIT N 500m HEBE MAGNETIC ANOMALY Magnetic Image map showing the location of drill hole Drill core from HBRC001 approx 490m, showing intense HBRDC001. Existing drill traces shown in blue. chlorite alteration (khaki colour) with zinc sulphide (b
Slide 22: Prospectivity: Hera-Nymagee Corridor
PROSPECTIVITY HERA-NYMAGEE CORRIDOR For personal use only • Hera-Nymagee corridor remains highly prospective • The Hera & Nymagee deposits are both marked by prominent gravity highs • Numerous gravity targets now defined by detailed ground gravity along 20km of strike • Potential for Hera-Nymagee co
Slide 23: Nymagee Copper Deposit
NYMAGEE COPPER DEPOSIT 3D ISOMETRIC • Historical production ~ 420,000t @ 5.8% Cu For personal use only • AMI discovered high grade copper in Oct 2010 • Maiden JORC Nymagee Resource in Dec 2011 • 8.1Mt @ 1.2% Cu, 0.3% Pb, 0.7% Zn & 9g/t Ag • Open to the north and at depth • Represents an analogue to
Slide 24: Nymagee Copper Deposit vs CSA
NYMAGEE COPPER DEPOSIT vs CSA SCHEMATIC CROSS SECTION COMPARISON - LOOKING NORTH For personal use only • Nymagee evolving as MAIN SHAFT SHALLOW COPPER ZONE the upper part of a ‘CSA’ style Cobar CSA – Cross Section >1.5Mt Cu Production Pb-Zn-Ag Lens deposit >12mt @ 5% Cu Resource (off section) Nymage
Slide 25: Nymagee Copper Deposit: Open to North and at Depth
NYMAGEE COPPER DEPOSIT OPEN TO NORTH AND AT DEPTH – NYMAGEE LONG SECTION • Deep drilling at For personal use only Nymagee confirms continuity of copper mineralisation >700m • Nymagee North mineralisation increasing intensity with depth • Multiple untested DHEM conductor 2 targets at depth 1 3 25
Slide 26: Building a Mid-Tier Mining Company
For personal use only BUILDING A MID-TIER MINING COMPANY ASX:AMI 2 Corporation Place ORANGE NSW 2800 T: +61 2 6363 5200 E: office@aureliametals.com www.aureliametals.com 26
Slide 27: Appendix 1: Resources and Reserves
APPENDIX 1: RESOURCES AND RESERVES For personal use only MINERAL RESOURCE ESTIMATE - HERA APRIL 2015 Category Tonnes NSR ($/t) Au (g/t) Ag (g/t) Cu (%) Pb (%) Zn (%) Total Measured 840,000 310 5.58 15.9 0.24 3.12 3.64 Total Indicated 1,270,000 222 3.40 16.0 0.13 2.78 4.28 Total Inferred 1,122,000 23
Slide 28: Appendix 2: Board of Directors
APPENDIX 2: BOARD OF DIRECTORS For personal use only Partner of PricewaterhouseCoopers Australia (Coopers & Lybrand) for 19 years specialising in the Anthony Wehby provision of corporate finance advice. Anthony is based in Sydney and maintains a consulting practice Non-Executive Chairman providing a
Slide 29: Appendix 3: Hera Development DFS
APPENDIX 3: HERA DEVELOPMENT DFS – SEPTEMBER 2011 For personal use only HERA DFS 3D view of Hera Mine Design showing mine capital development, Diluted Reserve (tonnes) 1,875,918 final stope design and CRF fill. Diluted Reserve Grade Net Smelter Return (NSR) $218 / tonne Mine Life (box cut to last
Slide 30: Appendix 4: Cobar Superbasin Deposits
APPENDIX 4: COBAR SUPERBASIN DEPOSITS For personal use only Pb-Zn-Ag rich COOLER HOTTER Cu rich 30
Slide 31: Appendix 5: Glencore Funding Structure
APPENDIX 5: GLENCORE FUNDING STRUCTURE For personal use only Facility A Limit: A$20 million Converting Note Facility Conversion: Convertible at AMI’s option at $0.251 Interest Rate: 3M AUD BBSW + 4% Use of Funds: Hera Development, Nymagee feasibility study and development, working capital Maturity D
Slide 32: Appendix 6: Competent Persons Statements
APPENDIX 6: COMPETENT PERSONS STATEMENTS Competent Persons Statement – Exploration Results For personal use only The information in this report that relates to Exploration Results is based on information compiled by Rimas Kairaitis, who is a Member of the Australasian Institute of Mining and Metallu