Slide 1: Moving From Explorer to Producer
For personal use only Moving From Explorer to Producer Penny’s Find Project Empire Resources Ltd June 2016 1
Slide 2: Disclaimer
Disclaimer This presentation is for information purposes only. For personal use only This presentation has been prepared by Empire Resources Limited (“Empire” or the “Company”) and contains general background information about Empire’s activities current as at the date of this presentation (“Informa
Slide 3: Empire's Projects
For personal use only Assets Empire’s Projects • Penny’s Find Gold Project – 60% ERL (Eastern Goldfields) JV Partner 40% Brimstone Resources Ltd (contributing) • Yuinmery Copper/Gold Project – 100% ERL (Murchison Province) Empire Resources Ltd 3
Slide 4: Capital Structure
For personal use only Capital Structure • Shares on Issue: 324,201,475 • Unlisted Options on Issue: 10,000,000 exc 4 cents by 31 Aug 2016 10,000,000 exc 5 cents by 31 Aug 2016 10,000,000 exc 6 cents by 31 Aug 2016 22,102,000 exc 2.5 cents by 3 May 2019 • Market Capitalisation: $8.1M (on 17 June 2016
Slide 5: Board & Management Team
For personal use only Board & Management Team • Over 100 years mining and exploration experience amongst Board and management. • Numerous high value discoveries made by the team across various commodities. • Gold exploration and mining expertise that dates back to 1973. the team across various commo
Slide 6: Board of Directors
For personal use only Board of Directors Tom Revy Chairman (Non-Executive) – BAppSc. Grad Dip Bus. Mr Revy is an internationally experienced mining professional with in excess of 30 years experience in the mining industry. He is highly skilled in technical aspects of project operations as well as co
Slide 7: Executive Management
For personal use only Executive Management Simon Storm Company Secretary – BCom. BCompt(Hons). CA, FCIS • …. Over 100 years mining and exploration experience on 3 member Board of Directors Mr Storm is a Chartered Accountant with over 30 years of Australian and international experience in the account
Slide 8: Project – a 2016 Development
Penny’s Find Project – a 2016 Development Production planned to For personal use only commence in 2016. • Joint Ventures over mining and exploration activities signed with Brimstone Resources Ltd. • Permitting completed. • Approval for mine development received. • Mining & toll milling contractors/o
Slide 9: Progress to date
Progress to date Requirements For Feasibility and Permitting For personal use only • New JORC 2012 resource. (Done) • Flora/fauna study. (Done) • Geotechnical drilling for pit wall stability. (Done) • Hydrological studies. (Done) • Metallurgical study. (Done) • Road diversion design approved by Coun
Slide 10: Penny's Find Gold Project: High grade, shallow pit, open at depth
Penny’s Find – long section Penny’s Find Gold Project : High grade, shallow pit, open at depth For personal use only • 146,000 tonnes at 4.62 g/t Au - Open Pit Reserve (2016 model). • Mineralised system has a surface trace of 300 metres along strike and extends to a minimum 240 metres below surface.
Slide 11: Proposed Open Pit Development
Penny’s Find – Proposed Open Pit Development Pit design and ore block model – high grade (>2.5g/t Au) For personal use only ore blocks coloured red. Dimensions : • Length 350m • Width 200m • Depth 85m Geotechnical drilling completed to confirm pit wall angles. Mining inventory – 146,000 tonnes @ 4.6
Slide 12: Proposed Site Layout
Penny’s Find - proposed Site Layout Mine layout within granted Mining Lease (M27/156) For personal use only • Road diversion design – 1.8 km in length – approved. • Easy access – main road. • Close to infrastructure, services and utilities (Kalgoorlie 45kms west). • Close to multiple processing faci
Slide 13: Underground Potential
Penny’s Find – Underground Potential Significant underground development potential appears to exist. For personal use only • Indicative design - spiral decline, 15m level intervals, up- hole benching stope method. • Indicated & Inferred underground resource of 170,000 tonnes @ 5.4 g/t Au. • Still su
Slide 14: Underground Potential
Penny’s Find – Underground Potential Significant underground development potential appears to exist. For personal use only • Open Pit - Year 1 21,700 reserve ounces. • Underground – Years 2, 3 29,500 resource ounces Indicated and Inferred • Underground – Years 4, 5 subject to further exploration • S
Slide 15: Key Project Parameters
For personal use only Penny’s Find – Key Project Parameters • Open Pit reserve 21,700 ounces. • Underground resource 29,500 ounces. • Capex – open pit – $1.5M. • Capex – underground development – $5M. • Initial first year net cash flow – $7.6M using a gold price of $1500 per ounce. • System remains
Slide 16: Investment Case
Penny’s Find – Investment Case • Initial open pit operation with proposed u/g extension For personal use only to follow. • Near term production/cash flow (scheduling 2016 start). • Close to Kalgoorlie, minimal additional infrastructure required. • Simple free milling ore (high recovery). • Establish
Slide 17: Pre-Production Operational Budget
For personal use only Pre-Production Operational Budget ACTIVITY START DURATION PERIODS Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Week 9 Week 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50
Slide 18: Notes – Penny's Find Reserve
Notes – Penny’s Find Reserve Notes on the Penny’s Find Reserve For personal use only A probable ore reserve for Penny’s Find of 142,000 tonnes @ 4.62g/t Au for 21,700 ounces of gold was announced to the ASX on the 15 February 2016. The Feasibility Study was based on the ore reserve being contained w
Slide 19: Resource Estimate
Penny’s Find – Resource Estimate Notes on the existing Penny’s Find Resource For personal use only NEW RESOURCE CALCULATION FROM DEVELOPMENT STUDIES UNDERWAY An updated resource estimate for the Penny’s Find gold mineralisation using the 2012 JORC Code was completed and announced to the market on 15