Ardea Resources Ltd. · ASX:ARL
Ardea Resources — Shareholder Meeting (November 2018)
25 slides from Ardea Resources's shareholder meeting presentation, Nov 29, 2018
Slide 1: Annual General Meeting Presentation
Aragea Resources Annual General Meeting Presentation — 29t* November 2018 www.ardearesources.com.au Ardea Resources Limited Suite 2, 45 Ord St, West Perth WA 6005, AUSTRALIA +61 8 6244 5136
Slide 2: Important notice
Important notice This presentation contains general information only and is, or is based upon, information which has been released to ASX or is contained in the Company's prospectus dated 9 November 2016 (including supplementary prospectuses dated 18 November 2016 and 6 January 2017), the Goongarrie
Slide 3: FY2018 highlights
Significant resource Exceptional PFS results Scoping Study Commencement and upgrade at from completed studies completed for completion of Goongarrie for 1.0 and 1.5Mtpa 2.25Mtpa expansion successful Pilot Plant processing options case trial FY 2018 FY 2018 On-specification Maiden reserve Search for
Slide 4: Capital structure, board and management
Capital Structure Experienced management team with global experience in corporate fundraising, Shares on Issue 104,990,413 processing and engineering for laterite nickel-cobalt deposits, laterite geology and Share Price (28 Nov 2018) $0.675 geometallurgy, ensures the right mix to make Goongarrie suc
Slide 5: Project portfolio in Western Australia and NSW
Porphyry & Epithermal Nickel-Cobalt Laterites, WA Copper-Gold Projects, NSW Goongarrie Nickel Cobalt Project Lachlan Fold Belt, NSW is Other deposits also under assessment: Australia’s premier address for Black Range, Kalpini, Yerilla, Boyce Creek, porphyry and epithermal WESTERN copper-gold project
Slide 6: Goongarrie part of the broader Kalgoorlie Nickel Project
✓ The Goongarrie Nickel Cobalt Project is part of the broader Kalgoorlie Nickel Project (KNP) ✓ KNP has a globally significant nickel and cobalt resource* ✓ 5.6 million tonne contained Nickel ✓ 405,000 tonne contained Cobalt ✓ Potential for multiple processing hubs and multi- decade mine life ✓ Prox
Slide 7: Goongarrie ore and project advantages
✓ Ore type is uniform with goethite dominant, high levels of cobalt, scandium credit and low acid consumption ✓ No screen upgrade required, which is a significant point of difference and caused problems for other WA laterite projects ✓ Onsite neutralizer recovered during laterite mining ✓ Environmen
Slide 8: Building on $50 million spent by Vale and Heron
Building on the $50 Million spent by Vale and Heron on 2005-2009 PFS Geology ✓ Resource upgrade at Goongarrie ✓ Maiden reserve announced for Goongarrie ✓ 47,239m of drilling to date by Ardea since listing Metallurgy ✓ Variability and Rheology test work to date favourable ✓ Pilot Plant testing succes
Slide 9: Activities for the next six months
Activities for the next six months • Strategic Partner process • Goongarrie Resource Upgrade • High Grade Mine Schedule based on Resource Upgrade • Mineralised Neutraliser study • Extensive Variability Program planned to extend the geo- metallurgy database to reflect the ore LOM • Water studies • Ta
Slide 10: Gold exploration programs at Mount Zephyr and BTZ
✓ Drill programs ready to go at Mount Zephyr • Gale (gold) and Dunn’s North (gold) awaiting permitting, expected shortly • Jones Area A (gold & Ni-Cu sulphides) and Paul’s Find (gold) permitted, awaiting sample assay results ✓ Gold targeting program at Bardoc Tectonic Zone (BTZ) at Goongarrie • New
Slide 11: Laterite cover has obscured the BTZ's true potential
✓ One of the major structures of the Eastern Goldfields Province ✓ 80 km long gold-producing regional shear / fault system ✓ Hosts Paddington gold mine, Goongarrie, Menzies, and Comet Vale historic gold mining centres ✓ Contiguous with Boulder-Lefroy Fault, host to Kalgoorlie, New Celebration, St Iv
Slide 12: Laterite cover provides a golden opportunity at Goongarrie
✓ Historic gold mining in outcrops below breakaways near Lake Goongarrie. ✓ Magnetics show continuity of features throughout – no change under cover. ✓ No reason for gold mineralisation to stop under cover. ✓ Gold occurrences in laterite cover from GNCP drilling support this. Laterite cover provides
Slide 13: Big Four gold deposit
✓ Historic early 1900s mine in outcrop window through laterite. ✓ Gold hosted in fractures in a porphyry within ultramafic sequence. ✓ Currently small but good grades and depth continuity: • 3m @ 10.47 g/t Au • 6m @ 8.56 g/t Au • 4m @ 20.14 g/t Au • Open at depth ✓ Proof of concept for gold minerali
Slide 14: Structural gold targets from new aeromagnetics
✓ Laterite cover means surface sampling is ineffective ✓ Get smart • High-resolution geophysics • Target definition • Drilling mandatory ✓ New 25m line spacing aeromagnetic dataset due shortly ✓ Preliminary imagery already showing structural gold targets… Comparison of the new preliminary high-resol
Slide 15: Mount Zephyr prime exploration opportunity
✓ Prime exploration opportunity for Ardea, virtually no systematic gold exploration since 1990s. ✓ Belt-wide assessment • New regional geology defined, basis for targeting. • Open file data collation completed. • Parallels drawn between Mount Windarra area, Yamarna region, Kalgoorlie area, are highl
Slide 16: Gale gold prospect
✓ Outcropping gold-mineralised granite: • Exceptional 900 x 300 m outcrop-limited anomaly at gold over 0.1 g/t (up to 1.49 g/t at surface) • Sericite, pyrite, hematite alteration. • Gold, arsenic, copper and barium anomalism. • Parallels with Dacian’s Jupiter mine & Gold Field’s Wallaby mine. ✓ 2-ph
Slide 17: Dunn's North target
✓ Soil-covered area, zero outcrop. ✓ Virgin target defined by Ardea. ✓ Intense demagnetisation over an area measuring ~3.2 km by 1.4 km: • Potentially very large hydrothermal system. • Gold mineralised? Let’s find out. ✓ Drill permitting expected shortly, early 2019 drilling. ✓ Inexpensive aircore d
Slide 18: Other Mt Zephyr drill programs ready to go
✓ Other Mt Zephyr drill programs ready to go • Jones Area A – outcropping Ni-Cu gossans • Paul’s Find – porphyry is a possible gold source for extensive alluvial gold workings ✓ Systematic assessment and ranking of all non-nickel cobalt laterite projects during 2019 • Taurus, Bedonia, Ghost Rocks (o
Slide 19: Upcoming news flow
Advancing the Goongarrie Nickel Cobalt Project • Resource update including mineralised neutraliser and scandium • Updated Mine Schedule • Strategic Partner update • EPA referral WA Exploration • Commencement of drilling at Mt Zephyr • Drill results Mt Zephyr • Commencement of drilling at BTZ • Drill
Slide 20: Summary
✓ Ardea continues to advance Goongarrie towards development ✓ Goongarrie is an advanced Nickel Cobalt Project with a very large resource in an attractive location ✓ Strategic Partner process is ongoing with pressure building on battery supply chains ✓ Targeted programs continuing at Goongarrie focus
Slide 21: Contact details
Suite 2, 45 Ord St, West Perth WA 6005, AUSTRALIA +61 8 6244 5136 21 Email us at ardea@ardearesources.com.au
Slide 22: Goongarrie Nickel Cobalt Project mineral resources
Study component of the Ardea PFS. Summary TableofError! total mineral No textresources within style of specified the Goongarrie in document.-1 – Summary Nickel Cobalt Project area, comprising of total resources at mineral resources within the Goongarrie Hill, Goongarrie Goongarrie South, Project Nic
Slide 23: Goongarrie ore reserves
Goongarrie Nickel Cobalt Project, Ore Reserves based on 25 year mine life at 1.5 Mtpa. Size Cobalt Nickel Deposits Class (Mt) (%) (%) Goongarrie South Proven 8.95 0.10% 0.96% Probable 17.26 0.09% 0.79% Total 26.22 0.10% 0.85% Big Four Proven — — — Probable 13.92 0.09% 0.77% Total 13.92 0.09% 0.77% T
Slide 24: KNP nickel-cobalt mineral resource
KNP nickel-cobalt mineral resource (JORC 2012), Ardea Annual Report 2017 Quantity Cobalt Nickel Contained Contained Resource Category (Mt) (%) (%) cobalt (t) nickel (t) Measured 9.6 0.10 1.02 9,700 98,800 Indicated 232.9 0.06 0.75 141,200 1,759,700 Inferred 530.5 0.05 0.68 254,400 3,600,000 KNP Tota
Slide 25: PFS and expansion study results
1.0Mtpa 1.5Mtpa 2.25Mtpa Outstanding results delivered from PFS* and Expansion Studies completed in 2018: Status PFS PFS ES ✓ PFS of 1Mtpa and 1.5Mtpa base case over a 25- No. Trains 1 1 1 year mine life completed US$ 1.13 US$ 1.52 US$ 2.4 ✓ Expansion study of 2.25Mtpa with a 25-year mine Pre Tax NP
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