Amarc Resources Ltd. · TSXV:AHR
Amarc Resources — Investor Presentation (November 2014)
57 slides from Amarc Resources's investor presentation, November 2014
Slide 1: Amarc Resources Ltd. – An Important New Discovery
Amarc Resources Ltd. An Important New Discovery The Value Creation Cycle Begins IKE Copper‐Molybdenum‐Silver Discovery British Columbia November 2014
Slide 2: Cautionary and Forward-Looking Statement Information
Cautionary and Forward‐Looking Statement Information This presentation includes certain statements that may be deemed ʺforward‐looking statementsʺ. All such statements, other than statements of historical facts that address exploration drilling, exploitation activities and other related events or de
Slide 3: Amarc – An Important New Discovery – Value Creation Begins
Amarc – An Important New Discovery – Value Creation Begins A recently completed nine hole (5,400 metre) drill program has discovered a major bulk tonnage copper‐molybdenum‐silver deposit at IKE in south‐central British Columbia New geophysical and geochemical surveys just completed over the IKE
Slide 4: Assay Results from Nine Exploration Holes Indicate Potential for Important Resource Volumes
IKE – Assay Results from Nine Exploration Holes Indicate Potential for Important Resource Volumes 2014 Discovery Drill Holes Plan View 4
Slide 5: Discovery Hole Results Indicate IKE will be an Important BC Porphyry Deposit
IKE – Discovery Hole Results Indicate IKE will be an Important BC Porphyry Deposit 2014 Discovery Drill Holes Selected Assay Intervals Drill Hole Interval2,3 (m) CuEQ1 (%) Cu (%) Mo (%) Ag (g/t) 14001 247 0.42 0.28 0.030 2.0 14002 234 0.43 0.26 0.040 1.7 14003 92 0.41 0.31 0.020 2.1 14005 194 0.49 0
Slide 6: Lifecycle of a Mining Share
Amarc – Now at the Key Point of Entry for Investors Value Creation Begins Lifecycle of a Mining Share 6
Slide 7: Amarc – Low Market Capitalization
Amarc – Low Market Capitalization Listed TSXV: AHR OTCBB: AXREF Shares Issued 139 million Management Owns ~19% Working Capital $1.0 million An HDI Associated Company 7
Slide 8: HDI – A Leading Explorer, Developer & Operator in BC
HDI – A Leading Explorer, Developer & Operator in BC Hunter Dickinson Inc. has been successfully exploring, developing and operating mines in BC for over 25 years Legacy Projects Golden Bear Mine Mt. Milligan Mine Kemess Mine Amarc Resources Ltd. IKE Project Newton Project Constantia
Slide 9: IKE – Location and Infrastructure
IKE – Location and Infrastructure 50 Kilometres 9
Slide 10: Amarc Negotiated Favourable Property Acquisition Terms
IKE – Amarc Negotiated Favourable Property Acquisition Terms Amarc is the operator of the IKE mineral property under the terms of an Option to Purchase Agreement with two geologist vendors Amarc will acquire a 100% interest in IKE before November 30, 2015 by: Completing $1.86 million in explor
Slide 11: Project is Located 44 Kilometres Northwest of Gold Bridge
IKE – Project is Located 44 Kilometres Northwest of Gold Bridge Resource Development Operations Provide Access into IKE Region Looking Westerly IKE Logging Operations Gold Bridge Source: Google 11
Slide 12: Comprehensive Approach to Engagement
IKE – Comprehensive Approach to Engagement Committed to meaningful engagement and building positive relationships with Aboriginal groups in our project area Explore potential partnerships and where appropriate negotiate agreements with Aboriginal groups Engage and work with local communities
Slide 13: Outside of Tsilhqot'in Proven Title Area
IKE – Outside of Tsilhqot’in Proven Title Area Drill Permit located 50 km outside of Title Area 13
Slide 14: Aboriginal Considerations
IKE – Aboriginal Considerations Several Aboriginal groups have overlapping interests in the IKE area Amarc has completed comprehensive ethnohistorical research to inform our approach to Aboriginal engagement One of the Aboriginal groups, the Tsilhqot’in Nation, has expressed opposition to deve
Slide 15: HDI Aboriginal Agreements
HDI Aboriginal Agreements Golden Bear, an HDI legacy project, was the first project in Canada to sign an IBA Since 2011, 12 Agreements have been signed between Aboriginal groups and HDI companies across Canada for projects at various stages of development SKI KM LAX HA NATION Brigade TSAY KEH DE
Slide 16: Looking East From Granite Creek Across Historical Drill Program
IKE – Looking East From Granite Creek Across Historical Drill Program Cat Roads at Discovery Important Porphyry Cu‐Mo‐Ag System Drill Permit Granite Creek Source: Google 16
Slide 17: Extensive Mineralized Porphyry System is Evident
IKE – Extensive Mineralized Porphyry System is Evident Looking Easterly Hole 11‐1 Hole 81‐2 Hole 11‐2 3 Key Historical Drill Holes 17
Slide 18: Three Key Historical Drill Holes Intercepted Significant Cu-Mo-Ag Mineralization
IKE – Three Key Historical Drill Holes Intercepted Significant Cu‐Mo‐Ag Mineralization Looking Easterly NORTH SOUTH OPEN OPEN OPEN 1. Copper equivalent calculations use metal prices of: Cu US$3.00/lb, Mo US$12.00/lb and Ag US$20.00/oz. Metallurgical recoveries and net smelter returns are assumed to
Slide 19: Looking Northwesterly Over IKE
IKE – Looking Northwesterly Over IKE 19
Slide 20: Amarc has Drilled 5,400 Metres in Exploration Core Holes
IKE – Amarc has Drilled 5,400 Metres in 9 Exploration Core Holes 2014 Drill Hole Plan OPEN WEST EAST OPEN OPEN OPEN 20
Slide 21: Assay Results Indicate Potential for Important Resource Volumes
IKE – Assay Results Indicate Potential for Important Resource Volumes 2014 Discovery Drill Holes Plan View 21
Slide 22: Long, Continuously Mineralized Intersections
IKE – Long, Continuously Mineralized Intersections 2014 Discovery Drill Holes Assay Results Drill Hole Incl. From (m) To (m) Interval2,3 (m) CuEQ1 (%) Cu (%) Mo (%) Ag (g/t) 55.0 213.7 158.7 0.38 0.27 0.020 2.5 242.0 489.0 247.0 0.42 0.28 0.030 2.0 incl. 242.0 275.0 33.0 0.43 0.35 0.011 4.1 14001 in
Slide 23: Long, Continuously Mineralized Intersections
IKE – Long, Continuously Mineralized Intersections 2014 Discovery Drill Holes Assay Results Drill Hole Incl. From (m) To (m) Interval2,3 (m) CuEQ1 (%) Cu (%) Mo (%) Ag (g/t) 14004 128.0 189.0 61.0 0.29 0.13 0.036 0.9 32.0 80.0 48.0 0.27 0.23 0.007 1.4 269.4 552.3 282.9 0.44 0.29 0.038 0.7 14005 incl
Slide 24: Long, Continuously Mineralized Intersections
IKE – Long, Continuously Mineralized Intersections 2014 Discovery Drill Holes Assay Results Drill Hole Incl. From (m) To (m) Interval2,3 (m) CuEQ1 (%) Cu (%) Mo (%) Ag (g/t) 7.9 24.9 17.0 0.31 0.22 0.020 1.1 139.5 167.0 27.5 0.27 0.06 0.051 0.5 14007 223.0 274.0 51.0 0.24 0.05 0.048 0.5 304.0 411.9
Slide 25: Cross Section A-A', Looking North
IKE – Cross Section A‐A’, Looking North Cu and Mo Grades A A’ 25
Slide 26: Cross Section A-A', Looking North
IKE – Cross Section A‐A’, Looking North CuEQ Grades A A’ 1 1. Copper equivalent calculations use metal prices of: Cu US$3.00/lb, Mo US$12.00/lb and Ag US$20.00/oz. Metallurgical recoveries and net smelter returns are assumed to be 100%. 26
Slide 27: Cross Section B-B', Looking East
IKE – Cross Section B‐B’, Looking East Cu and Mo Grades B B’ 27
Slide 28: Cross Section B-B', Looking East
IKE – Cross Section B‐B’, Looking East CuEQ Grades B B’ 1 1. Copper equivalent calculations use metal prices of: Cu US$3.00/lb, Mo US$12.00/lb and Ag US$20.00/oz. Metallurgical recoveries and net smelter returns are assumed to be 100%. 28
Slide 29: Example Cu and Au Grade Distribution for a BC Operating Mine
Example Cu and Au Grade Distribution for a BC Operating Mine Mt. Milligan Deposit: West‐East Section 2013 Mt. MilliganE Reserves at a $4.10/t NSR cut‐off 478 M tonnes grading 0.44% CuEQ comprised of 0.20% Cu and 0.39 g/t Au West East Au Cu Au Cu Au Cu Au Cu Au reference line @ 0.40 g/t; Max @ 1.00 g
Slide 30: Historical Airborne ZTEM Indicates Extensive Rock Alteration
IKE – Historical Airborne ZTEM Indicates Extensive Rock Alteration 30
Slide 31: New Airborne Magnetic Survey Indicates Important Size Porphyry System
IKE – New Airborne Magnetic Survey Indicates Important Size Porphyry System IKE Porphyry System Magnetite Destruction Zones Magnetite Destruction Zone 31
Slide 32: New IP Survey Indicates Mineralization Open to Major Expansion
IKE – New IP Survey Indicates Mineralization Open to Major Expansion IKE Porphyry System Magnetite Destruction Zones Magnetite Destruction Zone 32
Slide 33: 3D Modelled IP Sections Indicate Important Mineralized System
IKE – 3D Modelled IP Sections Indicate Important Mineralized System OPEN 1 Kilometre OPEN 33
Slide 34: Coinciding Geophysical Anomalies Indicate Important Potential Resource Volumes
IKE – Coinciding Geophysical Anomalies Indicate Important Potential Resource Volumes 34
Slide 35: Talus Fines Sampling Confirms Widespread Mineralization
IKE – Talus Fines Sampling Confirms Widespread Mineralization 35
Slide 36: Intrusive Rocks are the Main Hosts for Chalcopyrite and Molybdenite
IKE – Intrusive Rocks (Hornblende Granodiorite and Quartz‐Monzonite) are the Main Hosts for Chalcopyrite and Molybdenite IK14008‐557m. Potassic altered biotite quartz‐monzonite. Primary, igneous biotite and hornblende are replaced by hydrothermal biotite and chalcopyrite. In addition, chalcopyrite o
Slide 37: Characteristics of Cu and Mo Mineralization Indicate Standard Low Cost Processing Likely
IKE – Characteristics of Cu and Mo Mineralization Indicate Standard Low Cost Processing Likely Molybdenite Chalcopyrite Pyrite Chalcopyrite Disseminated Vein Controlled The majority of the chalcopyrite‐molybdenite mineralization is disseminated throughout the intrusions with other mineralization a
Slide 38: BC Porphyry Copper Mines and Projects
BC Porphyry Copper Mines and Projects Infrastructure! Infrastructure! Infrastructure! 38
Slide 39: BC Porphyry Copper Mines Host CuEQ Grades Ranging from 0.32% - 0.54%
BC Porphyry Copper Mines Host CuEQ Grades Ranging from 0.32% ‐ 0.54% RESOURCES AND RESERVES AT SELECTED BC MINES AND PROJECTS2 Name Million tonnes Cu % Mo % Au g/t Ag g/t CuEQ%1 Red ChrisA 288 0.37 ‐ 0.28 ‐ 0.54 New ProsperityB 831 0.23 ‐ 0.41 ‐ 0.48 Mt. PolleyC 87 0.29 ‐ 0.30 0.4 0.48 MorrisonD 267
Slide 40: Porphyry Copper Deposits Often Occur in Clusters
Porphyry Copper Deposits Often Occur in Clusters Highland Valley (current) 673Mt at 0.29% Cu & 0.008% Mo Highland Valley Copper Size and Distribution of Mineralized Zones 4 Kilometres 40
Slide 41: Amarc has Acquired Mineral Tenures Over the Entire District
Amarc has Acquired Mineral Tenures Over the Entire District 41
Slide 42: New District-Wide Copper-in-Silt Results Identify Compelling Targets
New District‐Wide Copper‐in‐Silt Results Identify Compelling Targets 42
Slide 43: New District-Wide Molybdenum-in-Silt Results Identify Compelling Targets
New District‐Wide Molybdenum‐in‐Silt Results Identify Compelling Targets 43
Slide 44: Rowbottom – A Porphyry Cu-Mo System has been Discovered
Rowbottom – A Porphyry Cu‐Mo System has been Discovered Rowbottom Located ~ 5 km northwest of IKE Porphyry Cu‐Mo system identified by historical surveys and drilling Underexplored with sporadic early‐stage type exploration from 1969 to 1990 A 700 m x 300 m IP target is co‐incident with a cop
Slide 45: Rowbottom – Historical Drilling Indicates Strong Potential for a Porphyry Cu-Mo Deposit
Rowbottom – Historical Drilling Indicates Strong Potential for a Porphyry Cu‐Mo Deposit Galore Property Great Quest Property Well Mineralized Mineralized S‐62 S‐63 S‐24 Not Mineralized S‐64 S‐22 S‐23 S‐21 S‐20 S‐26 S‐61 S‐25 Hole Depth Interval Width2 Cu Mo CuEQ1 Number (ft) (ft) (ft) (%) (%) (%) S‐
Slide 46: Mad Major – A Porphyry Cu-Mo-Ag System has been Discovered
Mad Major – A Porphyry Cu‐Mo‐Ag System has been Discovered Mad Major Located ~ 6 km east of IKE Porphyry Cu‐Mo‐Ag target in a favorable geological setting Underexplored with limited, early‐stage exploration from 1963‐1991 Extensive 4 km2 strong Cu and Mo in soils geochemical anomaly Limite
Slide 47: Mad Major – New Airborne Magnetic Results Show Exciting Discovery Potential
Mad Major – New Airborne Magnetic Results Show Exciting Discovery Potential Mad Major G10 – Historical Drill Hole Hydrothermal System 224 m of 0.14% CuEQ1 @ 0.12% Cu, 0.005% Mo, 0.5 g/t Ag 1. Copper equivalent calculations use metal prices of: Cu US$3.00/lb, Mo US$12.00/lb and Ag US$20.00/oz. Metall
Slide 48: Amarc – An Important New Discovery – Value Creation Begins
Amarc – An Important New Discovery – Value Creation Begins A recently completed nine hole (5,400 metre) drill program has discovered a new major bulk tonnage copper‐molybdenum‐silver deposit at IKE in south‐ central British Columbia A new, post drilling, induced polarization survey over the IKE
Slide 49: Amarc – Team is Focused on IKE and Fully Committed to Create Value
Amarc – Team is Focused on IKE and Fully Committed to Create Value for Shareholders and Stakeholders Lifecycle of a Mining Share 49
Slide 50: References
References A. Greg Gillstrom P.Eng., Raj Anand, M.Eng. P.Eng., Steve Robertson, P.Geo., “2012 Technical Report on the Red Chris Copper-Gold Project”, February 14, 2012 B. Scott Jones, P.Eng., “Technical Report on the 344 million tonne Increase in Mineral Reserves at the Prosperity Gold-Copper Projec
Slide 51: Contact Information
Contact Information Investor Relations 15th Floor Phone: 604‐684‐6365 1040 West Georgia Street Fax: 604‐684‐8092 Vancouver, BC TF: 1‐800‐667‐2114 Canada V6E 4H1 Email: info@hdimining.com Website: www.amarcresources.com 51
Slide 52: Appendices
Appendices 52
Slide 53: New District-Wide Airborne Magnetic Survey has Outlined a Number of Compelling Targets
New District‐Wide Airborne Magnetic Survey has Outlined a Number of Compelling Targets 53
Slide 54: Inter-Batholithic District Hosts Prolific Mineral Prospects
Inter‐Batholithic District Hosts Prolific Mineral Prospects Source: Mineral occurrence from MINFILE Mineral Inventory provided by the BC Geological Survey, regional geology from BC Geological Survey. 54
Slide 55: New District-Wide Tungsten-in-Silt Results Identify Compelling Targets
New District‐Wide Tungsten‐in‐Silt Results Identify Compelling Targets 55
Slide 56: Silver-in-Silt Results Indicate Region of Potential Epithermal Ag-Au Mineralization
Silver‐in‐Silt Results Indicate Region of Potential Epithermal Ag‐Au Mineralization ? 56
Slide 57: Mad Major – Compelling Historical Copper-in-Soil Anomaly
Mad Major – Compelling Historical Copper‐in‐Soil Anomaly OPEN OPEN OPEN 1. Copper equivalent calculations use metal prices of: Cu US$3.00/lb, Mo US$12.00/lb and Ag US$20.00/oz. Metallurgical recoveries and net smelter returns are assumed to be 100%. 57
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