Wiluna Mining Corporation Ltd · ASX:WMC
Wiluna Mining — Blackham Resources — Non-Deal Roadshow (February 2016)
31 slides from Wiluna Mining's roadshow presentation, February 2016
Slide 1: Matilda Gold Production Rapidly Approaching
MATILDA GOLD PRODUCTION RAPIDLY APPROACHING Institutional Roadshow Feb 2016 ASX : BLK
Slide 2: Near Term Gold Producer Focused on Shareholder Value
NEAR TERM GOLD PRODUCER FOCUSED ON SHAREHOLDER VALUE 4.7Moz Au resource & 780km2 landholding in Australia’s biggest gold belt 1.3Mtpa plant & infrastructure unlocks value in Matilda Gold Project allowing production over 100,000ozpa PFS confirms Robust Economics with low risk start up strategy
Slide 3: 2nd best performing Aussie gold stock in 2015
2nd best performing Aussie gold stock in 2015 CAPITAL STRUCTURE BOARD OF DIRECTORS Market cap. @ A$0.30 A$61M Bryan Dixon Managing Director Mining Develop’t & Corporate Alan Thom Director – COO Mining Develop’t & Operation Shares on issue 202M Milan Jerkovic Non-Exec Chairman Mining Develop’t & Oper
Slide 4: Blackham & Matilda Strategy
Blackham & Matilda Strategy Blackham Strategy Western Australia’s next +100,000ozpa producer AISC A$1,100/oz. and normalised EBITDA $45Mpa Strengthen and lengthen reserves profile Growing the under head frame resources Game changing discoveries Opportunistic bolt on acquisitions Matilda
Slide 5: Regional Endowment
Regional Endowment Large, highly prospective tenement holding in Australia’s biggest gold belt Australia’s largest gold belt stretches from Norseman – Kalgoorlie – Leinster to Wiluna Regional endowment > 40Moz Matilda project has global 9Moz endowment including >4.3Moz of past production P
Slide 6: History of Wiluna Goldfield
HISTORY OF WILUNA GOLDFIELD ► Long History of Production +4.3Moz ► Historical Oxide, Quartz, Tailings ~1Moz 1897 – 1924 Oxide & Quartz 186,000oz 1984 – 1993 Oxide & Tailings 770,000oz ► BIOX Fitted to Existing Oxide Plant (Com May 1993) ► 2007: Project broken up - Wiluna mine assets sold to Apex for
Slide 7: Matilda Gold Project an embarrassment of riches
Matilda Gold Project an embarrassment of riches Resource 45Mt @ 3.3 g/t for 4.7Moz Au – 49% indicated resource level Re-consolidated Wiluna goldfield All deposits within 20km of plant with existing haul roads in place Mix of open pit & high grade UG ore +780 km2 of tenure & 55km of mine se
Slide 8: Blackham & Matilda Strategy
Blackham & Matilda Strategy Matilda Progress to date Dec 2014, published scoping study June 2015, BLK completed $38.5M deal with Orion Mine Finance in June 2014 Oct 2015, released PFS growing the Mineral Inventory to 6.0Mt @ 2.8g/t for 540,000oz Au Significant drilling success over the last
Slide 9: Matilda's extensive infrastructure minimizes capex
Matilda’s extensive infrastructure minimizes capex Free milling Plant 1.3Mtpa capable of 100kozpa1 Gas power station & diesel backup Permitted borefields and infrastructure 350 person village Sealed airstrip and roads Biox circuit capable of treating 850tpa refractory ores UG infrastru
Slide 10: Matilda PFS Production Schedule
Matilda PFS Production Schedule PFS demonstrated robust economics Low risk start up processing free milling ores Matilda & Quartz reefs ore Crush, grind, gravity & CIL growth to smooth profile Oxide base load from Matilda Mine Supplemented with high grade quartz reef ores from Golden Age a
Slide 11: Matilda Mine – base load ore and growing
Matilda Mine – base load ore and growing 7kms stacked, repeating gold lodes Soft, deeply weathered oxide ore Ineffective historical RAB requiring RC follow up along strike and at depth Production (1987-1993): 2.2 Mt@ 2.6g/t = 181,000oz au Mineral Inventory - 90% indicated resource 1.8g
Slide 12: Matilda - high grade shallow repeat lodes
Matilda - high grade shallow repeat lodes Lodes repeating along strike and at depth
Slide 13: Matilda regional stacking & repeating lodes
Matilda regional stacking & repeating lodes 4m @ 13.9 g/t (64m) Historical drilling identified mineralisation up to 3km from the mine area Strike extensions partly covered by drainage – impediment to historical exploration = opportunity Mentelle trend… parallel structure? Mentelle 4m @ 13.4 g/
Slide 14: High grade quartz reefs strategy
High grade quartz reefs strategy Commence UG mining Golden Age Expand resource and reserve base Commence Galaxy open pit Commence 2nd UG mining area Stabilize 50,000ozpa from these reefs 14
Slide 15: Golden Age – High grade quartz reef
Golden Age – High grade quartz reef Golden Age Middle Resource Produced 160,000oz Au @ 9.0g/t 185kt @ 9.0g/t for 53,000oz Middle Resource 183kt @ 9.0g/t for 53,000oz Drill composites in middle average 14.0g/t DFS gravity leach recovery 93% 2,700m extensional drilling programme ongoing g/t
Slide 16: Galaxy – shallow high grade quartz reef
Galaxy – shallow high grade quartz reef Northern extent of a 15km quartz reef system including Golden Age, Republic, Brothers, Caledonia & Golden Age North Resource 787kt @ 2.6g/t for 66,000oz Au 13kms NNW of Wiluna plant Mineral Inventory - 89% indicated resource level. Rest of pit has been d
Slide 17: Lake Way - large mineralized system
Lake Way - large mineralized system 19km south along strike from Wiluna large tonnage potential structural setting similar to Wiluna with potential for a cluster of deposits Williamson historically produced 660kt @ 2.0g/t for 42,000Au Resources RESOURCES Mt g/t Au Oz Au Indicated 2.7 1.7 148
Slide 18: Carroll Prior Trend – large tonnage potential
Carroll Prior Trend – large tonnage potential 2.5kms of strike with continuous mineralisation Potential large tonnage, near surface, infill drilling required SAM’s surveys defined structure. Existing auger & air core. Gravity surveys to be competed shortly. Very limited drilling into primary
Slide 19: Stage 2 - High grade Wiluna sulphide ores a big prize
Stage 2 - High grade Wiluna sulphide ores a big prize Underground and open pit sulphide ore will extend mine life Sulphide resources - 22Mt@ 4.6g/t for 3.3Moz - 2g/t bottom cut Underground 11Mt @ 6.3g/t for 2.3Moz - 4g/t bottom cut Limited drilling required with 49% of resources indicated
Slide 20: East West UG Mine Design
East West UG Mine Design 1.5Moz historical production Stopes up to 30m wide Long hole open stoping with +600m strike >500m deep, short haul, own portal & decline 2 separate mining areas maximises production PFS confirmed AISC < A$1,100/oz East West long section looking west showing old stopes and PF
Slide 21: Bulletin DFS UG study nearing completion
Bulletin DFS UG study nearing completion >600m deep, short haul, own portal & decline Bottom up long hole open stoping Existing development = 4 month payback Long section looking west - Bulletin UG showing old stopes and DFS planned stopes 21
Slide 22: Just scratching the surface
Just scratching the surface 22
Slide 23: Growing the mine life
Growing the mine life Mineral Inventory 6Mt @ 2.8g/t Matilda for 540koz & growing Golden Age Galaxy, Williamson Bulletin, East & West Lodes Resource 45Mt @ 3.3g/t for 4.7Moz (49% Indicated) Matilda Extensions Mining studies in progress Bulletin OP, Happy Jack, Creek Shear & Regent Brown fields Lake
Slide 24: Australian Gold Producer Peers
Australian Gold Producer Peers Source: Avg A$66/oz BLK A$14/oz Avg A$212/oz BLK A$129/oz of Mineral Inventory 24
Slide 25: Blackham Developer Peers
Blackham Developer Peers Developer GOR DCN BLK Market Cap A$M $270 $113 $61 Dev Cap* A$M $255 $157 $28 Fully Funded EV A$M $525 $270 $89 Gold Resources Mt 134 42 44 g/t 1.405 2.2 3.3 Moz 6.1 3.0 4.7 FFEV/resource oz $/oz $87 $90 $19 Annual production ozkpa 250 222 102 Existing Plant & Infrastructure
Slide 26: Blackham's Matilda Vision
Blackham’s Matilda Vision Blackham is focused on its 100% owned Matilda Gold Project in Western Australian with 4.7Moz resources Plan for 100,000ozpa1 gold production with low risk start up Working towards a 10 year mine life focusing on the free milling ores at the front end Very low capita
Slide 27: Disclaimers & Important Information
Disclaimers & Important Information This presentation includes certain statements that may be deemed ‘forward-looking statements’. All statements that refer to any future production, resources or reserves, exploration results and events or production that Blackham Resources Ltd (‘Blackham’ or ‘the C
Slide 28: Contact Details
Contact Details BRYAN DIXON MANAGING DIRECTOR Project partners: Office Level 2, 38 Richardson Street West Perth WA 6005 Post PO Box 1412, West Perth WA 6872 Email admin@blackhamresources.com.au Tel (+61 8) 9322 6418 | Fax (+61 8) 9322 6398 Website www.blackhamresources.com.au ASX Code: BLK 28
Slide 29: Directors & Management
Directors & Management Mr Milan Jerkovic Non-Executive Chairman Mr Richard Boffey Matilda General Manager Mining Engineer Mr Jerkovic has over 30 years of experience in the mining industry with frontline Mr Boffey is an internationally experienced mining executive with over 26 years’ experience buil
Slide 30: Appendix A: Gold Resources
Appendix A: Gold Resources Matilda Gold Project Resource Summary Measured Indicated Inferred Total 100% Mining Centre g/t g/t g/t g/t Mt Koz Au Mt Koz Au Mt Koz Au Mt Koz Au Au Au Au Au Matilda Mine 0.2 2.1 13 7.4 1.8 426 5.3 1.7 285 12.9 1.8 724 Williamson Mine 2.7 1.7 150 3.6 1.7 200 6.3 1.7 350 R
Slide 31: Appendix B: Gold Reserves
Appendix B: Gold Reserves Tonnes Grade Metal Mine Classification (t) (g/t) (oz. Au) OPEN PIT Matilda Pits Proved 175,000 1.9 10,900 Matilda Pits Probable 2,296,000 1.8 131,700 Total Matilda Pits Total 2,471,000 1.8 142,600 Galaxy Probable 184,000 3.0 18,100 Total Open Pits Total 2,655,000 1.9 160,70
Blackham Resources — Non-Deal Roadshow (February 2016) on 6ix