Rox Resources Ltd · ASX:RXL
Rox Resources — Conference Presentation (February 2017)
23 slides from Rox Resources's conference presentation, Feb 23, 2017
Slide 1: Acquire, Explore, Develop: The Rox Formula for Growth
ASX: RXL For personal use only Acquire, Explore, Develop The Rox Formula for Growth 22 February 2017 Ian Mulholland - Managing Director 1
Slide 2: Corporate Information
Corporate Information For personal use only Key Information ASX Code: RXL Share Price: A$0.017 Shares: 1,236M Market Cap: $21.0M Unlisted Options: 83.8M Cash + Net Receivables: $19.6M EV: $1.4M Top 20: 26% 2
Slide 3: Who is Rox?
Who is Rox? For personal use only One of Australia’s most awarded exploration companies Strong Financial Positon Cash & receivables of ~$20 million, no debt JORC Resources of Nickel and Gold Portfolio of excellent Australian exploration projects Discovered the Fisher East Nickel Province in Western
Slide 4: Cash & Receivables
Cash & Receivables For personal use only Reward Project Sale Proceeds Cash Payment Now $8.00m No more capital Cash in lieu of Shares Now $2.73m raisings!* Promissory Note Paid Now $5.25m TOTAL PROCEEDS $15.97m Plus Cash (31 Dec 16) $0.88m Minus Cash Burn Q1 (lawyers, corporate, admin) $1.00m Plus De
Slide 5: Committed Management
Committed Management For personal use only Management are major shareholders with “skin in the game” Executive Directors have been with Rox since inception Small, committed and experienced management team and Board Left: Ian Mulholland and Will Belbin (Rox Exploration Manager) 5
Slide 6: Award-Winning Explorer
Award-Winning Explorer For personal use only Joint Winner - AMEC Prospector Award 2016 (shared with Teck Australia) Australian Mining Prospector of the Year Award, 2015 Left: Right: Ian Mulholland with the 2015 Mike Taylor (Teck), Ian Sandl Australian Mining Prospector (Teck, above left) and Ian of
Slide 7: Spot the Opportunity
Spot the Opportunity For personal use only Obvious relationship between EV/t Ni and Ni grade – need to take development stage into account RXL should be valued at ~$300 EV/t (i.e. $23.4m) based on grade of nickel resource Cash & receivables total ~$19.6m Rox’s market cap should be >$40.0m (>3.0 cent
Slide 8: Value Equation
Value Equation For personal use only Projects = $23.4M Cash = $19.6M Total = ~$43M Market Cap of $21 million? Go Figure!! 8
Slide 9: Rox Growth Projects
Rox Growth Projects For personal use only Fisher East Nickel Sulphide Reward Zinc-Lead Project Project Sale • Resource of 78,000t (172 Mlb) of • $19.73 million cash contained nickel, 4.2 Mt @ 1.9% Ni1 • Cash $15.97 million now • Potential to increase resources • $3.75 million in 6 years • High quali
Slide 10: Nickel Primed For Recovery?
Nickel Primed For Recovery? For personal use only Current uncertainty about nickel – Indonesia, Philippines Spot price has risen from low a year ago, but recent fall Inventories & production in falling trend, but recent rise Nickel supply predicted to go into deficit over next 4 years Chinese stainl
Slide 11: Nickel Projects
Nickel Projects For personal use only Two nickel sulphide projects in WA’s northern goldfields Fisher East is a new nickel province – discovered in 2013 by Rox Collurabbie discovered in 2004 by WMC – but relatively unexplored Fisher East and Collurabbie are just 70km apart – project development syne
Slide 12: Fisher East Nickel
Fisher East Nickel For personal use only Four deposits discovered so far, Camelwood, Cannonball, Musket & Sabre Total Mineral Resource* of 4.2 Mt @ 1.9% Ni, for 78,000 tonnes Ni metal High grade portion of 0.5 Mt @ 4.6% Ni across 3 of the orebodies Grades of massive sulphide up to 20% Ni Strong expl
Slide 13: Exploration Upside
Exploration Upside For personal use only Diamond core drilling at Sabre, Camelwood & Musket RC drilling at new targets - Cutlass, Sabre X X X North, Tomahawk, Mt 10m @ 1.9% Ni Tate, Horatio, and Claymore Fresh sulphides in aircore at Mt Tate Targeting massive nickel Potential to double sulphides tot
Slide 14: Collurabbie Acquisition
Collurabbie Acquisition For personal use only 123km2 of prospective tenure Underdone previous exploration Widespread Ni-Cu-PGE mineralisation over ~15km strike length on multiple stratigraphic horizons Drill targets for Ni-Cu-PGE and gold Quality datasets of drilling and extensive geophysics Cheap*
Slide 15: Olympia Deposit
Olympia Deposit For personal use only High grade Olympia lens 5.8m @ 3.0% Ni, 2.0% Cu, 5.3 g/t PGE 3.8m @ 2.2% Ni, 1.8% Cu, 3.5 g/t PGE 1.9m @ 3.6% Ni, 2.8% Cu, 7.0 g/t PGE Elevated Co values ~ 0.1 – 0.2% Untested downhole EM anomalies Exploration potential over 15km of strike Regional aircore
Slide 16: Mt Fisher Gold
Mt Fisher Gold For personal use only $10M JV with Doray Minerals $1M minimum expenditure in Year 1 before withdrawal (30 June 2017) Poorly explored Mt Fisher greenstone belt 17 Moz Norseman-Wiluna Belt, northern end (Agnew-Wiluna) = 0.5 Moz 10 Moz 10 Moz Yandal Belt = 17 Mozs Potential for Mt Fisher
Slide 17: Attractive Gold Potential
Attractive Gold Potential For personal use only Large scale gold-in-regolith anomaly along complex western shear zone (Damsel-Dam-Shiva) – 10km long Strong gold signatures at intersections of structures 55,000 oz oxide resource at Damsel Potential for more oxide gold resources, plus deeper sulphide
Slide 18: Value Proposition
Value Proposition For personal use only ~$20 million in cash and receivables1 Outstanding gold and nickel assets located in WA, the world’s #1 jurisdiction2 Independent Research3 has valued the Company at $47 million Studies demonstrate a technically robust project at Fisher East Focus on growing sh
Slide 19: The Formula for Growth
The Formula for Growth For personal use only • Cash Well funded - cash & receivables of ~$20M • Corporate Acquire new growth assets • Nickel Exploration success through drilling will provide leverage to an improving price – cautious progress - development when the price is right • Gold Drilling for
Slide 20: Thank You
For personal use only Thank You Rox Resources Limited Level 1, 34 Colin Street, West Perth, WA, 6005 AUSTRALIA T: (08) 9226 0044 F: (08) 9322 6254 E: admin@roxresources.com.au W: www.roxresources.com.au 20
Slide 21: Disclaimers
Disclaimers For personal use only Forward-Looking Statements Competent Person Statements This presentation has been prepared by Rox Resources Limited. This document contains background information Resource Statements about Rox Resources Limited current at the date of this presentation. The presentat
Slide 22: Appendix: Mineral Resources
Appendix For personal use only Mineral Resources Fisher East Nickel, ASX:RXL 5 February 2016 Mt Fisher Gold, ASX:RXL 10 February 2012 Deposit Category Tonnes Uncut Cut Deposit Category Tonnes (Mt) Ni% Ni (kt) Grade Metal Grade Metal Value (g/tAu) (Ozs) (g/tAu) (Ozs) (g/tAu) Moray Reef Measured 25,70
Slide 23: Appendix: Nickel Resource EV/t Comparison
Appendix For personal use only Resource/Reserve EV/t Market Company ASX Resource Reserve Grade Res Grade Rsv Net Cash EV EV/tNi Res EV/tNi Rsv Comments Reference Cap kt Ni kt Ni %Ni %Ni $M $M $M 21-Feb-17 31-Dec-16 BHP Nickel West BHP 6,144 388 0.61 0.67 NA NA Part of a Major Multi-national company
Rox Resources — Conference Presentation (February 2017) on 6ix