Andromeda Metals Limited · ASX:ADN
Andromeda Metals — Adelaide Resources — Shareholder Meeting (November 2016)
38 slides from Andromeda Metals's shareholder meeting presentation, Nov 30, 2016
Slide 1: 2016 Annual General Meeting – Managing Director's presentation
adelaideresources.com.au For personal use only 2016 Annual General Meeting 30 November 2016 Managing Director’s presentation Drill – Discover – Develop
Slide 2: 12 Month Report
adelaideresources.com.au 12 Month Report For personal use only • Commodity focus on gold, with copper and lithium secondary targets • Maiden Mineral Resource estimated for the Barns gold deposit on the Eyre Peninsula. Comparable ounce inventory to other SA deposits (Portia and Tarcoola) now in produ
Slide 3: Adelaide Resources – 2016 share price summary
adelaideresources.com.au Adelaide Resources – 2016 share price summary For personal use only 3.0 2.5 2.0 Cents 1.5 1.0 0.5 0.0 31‐Dec 31‐Jan 29‐Feb 31‐Mar 30‐Apr 31‐May 30‐Jun 31‐Jul 31‐Aug 30‐Sep 31‐Oct Jan Nov 2016 2016 Drill – Discover – Develop 3
Slide 4: Adelaide Resources' share price cf. Small Resources Index
adelaideresources.com.au Adelaide Resources’ share price cf. Small Resources Index For personal use only 250 200 150 Index 100 50 0 31‐Dec 31‐Jan 29‐Feb 31‐Mar 30‐Apr 31‐May 30‐Jun 31‐Jul 31‐Aug 30‐Sep 31‐Oct Jan Nov 2016 XSR ADN 2016 Drill – Discover – Develop 4
Slide 5: Gold – month price summary
adelaideresources.com.au Gold – 12 month price summary For personal use only 1,900 1,850 1,800 1,750 1,700 A$/oz 1,650 1,600 1,550 1,500 1,450 1,400 30/11/2015 29/02/2016 31/05/2016 31/08/2016 30/11/2016 Nov Nov 2015 ~8.7% increase 2016 Data source: InfoMine.com Drill – Discover – Develop 5
Slide 6: Asset portfolio
adelaideresources.com.au Asset portfolio Focused suite of Australian prospects For personal use only Gold • Eyre Peninsula (SA) – large land position, maiden Mineral Resource and multiple prospects • Drummond (QLD) – drill ready epithermal gold targets in high grade district Copper • Moonta (SA) – h
Slide 7: Eyre Peninsula gold
adelaideresources.com.au Eyre Peninsula gold Large project in Central Gawler Gold Province For personal use only • Substantial 2,807km2 project • Barns Camp gold deposits (Barns, Baggy Green, White Tank) all 100% owned • Deposits found in early 2000’s when gold was ~A$550/ounce. Increase to price of
Slide 8: A$ gold price – last years
adelaideresources.com.au A$ gold price ‐ last 16 years For personal use only Baggy Green discovery White Tank discovery Barns discovery Drill – Discover – Develop 8
Slide 9: Barns – resource deposit model
adelaideresources.com.au Barns – resource deposit model Detailed deposit modelling completed in Q1 2016 For personal use only • 3‐D model used to estimate maiden Mineral Resource Barns mineralisation model looking NE. Intersecting drill holes shown as pins. Drill – Discover – Develop 9
Slide 10: Barns gold deposit – maiden Mineral Resource estimate
adelaideresources.com.au Barns gold deposit – maiden Mineral Resource estimate 107,000 ounce maiden For personal use only Mineral Resource announced July 2016 • Mining Plus Pty Ltd and Adelaide Resources Ltd jointly responsible for resource estimate (1) Full JORC 2012 compliance information was disc
Slide 11: Barns – comparison with other SA gold projects
adelaideresources.com.au Barns – comparison with other SA gold projects For personal use only Portia(1) Tarcoola(2) Barns(3) Company Havilah Resources (HAV) WPG Resources (WPG) Adelaide Resources (ADN) Resource 720Kt @ 2.90g/t Au 973Kt @ 3.12g/t Au 2,100Kt @ 1.60g/t Au Resource Ounces 67,000 97,500
Slide 12: Barns gold deposit summary
adelaideresources.com.au Barns gold deposit summary Current status For personal use only • Discovery and early delineation when gold around A$550/oz • Increase in gold price to >A$1,600/oz dramatically improves economics • 107,000 ounce maiden Mineral Resource estimated July 2016 • Comparable gold o
Slide 13: Barns – part of a larger gold camp
adelaideresources.com.au Barns – part of a larger gold camp Additional shallow gold resources near Barns would improve project robustness For personal use only • Past drilling has discovered other prospects that can build local resource base • Recent successful RC drilling programme at Baggy Green D
Slide 14: Baggy Green prospect history
adelaideresources.com.au Baggy Green prospect history Located <6km from Barns For personal use only • Originally indicated as 3km long gold anomaly in regional calcrete geochemical survey • Systematic aircore drilling defined coherent zones of gold mineralisation in saprolite beneath shallow cover s
Slide 15: Baggy Green – cross section through southern target zone
adelaideresources.com.au Baggy Green – cross section through southern target zone Principal mineralised shear structure is well defined For personal use only • Average true width of primary zone is 27 metres • Gentle dip – 450m west of eastern limit, the mineralised zone is still <200m below surface
Slide 16: Baggy Green – recent RC programme
adelaideresources.com.au Baggy Green – recent RC programme Recent drilling programme completed For personal use only • Results include the two best intersections achieved to date at Baggy Green • Down‐dip and along strike continuity of mineralised zone confirmed Drill – Discover – Develop 16
Slide 17: Baggy Green – plan projection of area now drilled in detail
adelaideresources.com.au Baggy Green – plan projection of area now drilled in detail For personal use only Detailed drill coverage over 500m x 250m zone • Most intersections commence <100m below surface (shallow ? ounces) • Variable grade in plane ? of mineralised structure (high grade shoots) • Min
Slide 18: Baggy Green – preliminary 3-D model
adelaideresources.com.au Baggy Green – preliminary 3‐D model Recent RC programme confirms Baggy Green can materially add to local resource base For personal use only • Model boundaries interpreted using nominal 0.5g/t gold cut‐off (Barns used same cut‐off) • Preliminary model volume is in excess of
Slide 19: Baggy Green – potential for much bigger target
adelaideresources.com.au Baggy Green – potential for much bigger target For personal use only Area of detailed drilling is part of a much larger potential target. • The southern zone is interpreted to have a strike of 2000 metres and remains open to the SW • Assuming consistent dip and width, to 200
Slide 20: Eyre Peninsula Gold summary
adelaideresources.com.au Eyre Peninsula Gold summary For personal use only • JORC Code 2012 compliant maiden Mineral Resource for Barns totals 2.11 million tonnes at 1.6g/t gold for 107,000 ounces at a 0.5g/t cut‐off • Metallurgical testing of Barns mineralised material is currently underway to esta
Slide 21: Thurlga Joint Venture with Investigator Resources
adelaideresources.com.au Thurlga Joint Venture – part of broader Eyre Peninsula project with Investigator Resources Limited For personal use only • IVR can earn 75% equity by spending $750,000 prior to 30 June 2017 • $600,000 spent to end September Quarter 2016 • IVR manage and operate JV • Six targ
Slide 22: Drummond epithermal gold
adelaideresources.com.au Drummond epithermal gold For personal use only Classic epithermal gold targets • 100% owned, 833 km2 project • Targeting high grade gold hosted by epithermal quartz veins (eg Pajingo, Yandan and Wirralie) • Original tenements (black borders) secure the emerging “Glenroy Fiel
Slide 23: What is an epithermal gold system?
adelaideresources.com.au What is an epithermal gold system? • Form during periods of active For personal use only volcanism associated with subduction of tectonic plates • Gold deposited in quartz veins at relatively shallow depths below the surface • Fluids vent on surface as hot springs Active epi
Slide 24: General model of an epithermal gold system
adelaideresources.com.au General model of an epithermal gold system For personal use only Arsenic Zone Gold Zone (At depth below arsenic zone) (After Buchanan (1981), Morrison et al. (1990) and Corbett & Leach (1997)). Drill – Discover – Develop 24
Slide 25: Glenroy Field
adelaideresources.com.au Glenroy Field For personal use only • Drummond Basin Cycle 1 geology – main epithermal gold host in region • Numerous sizable gold‐bearing epithermal systems outcrop at surface in the Glenroy Field • Level of systems exposed at today’s land surface range from palaeosurface (
Slide 26: Bunyip drill target
adelaideresources.com.au Bunyip drill target For personal use only • Prospect discovered in late 2015 • Surface rock chips to 19.65g/t gold • Over 2,000 metres of quartz veins exposed at surface • Strong associated arsenic and molybdenum pathfinder metal anomalism • Nearby outcrop of palaeo‐surface
Slide 27: Additional drill targets delineated in early 2016
adelaideresources.com.au Additional drill targets delineated in early 2016 For personal use only • Poppi’s Prospect – surface rock chips include 6.04g/t, 4.06g/t, 3.54g/t and 2.70g/t gold. Silver to 22.7g/t present. (Gold zone exposed at surface) • Roo Tail – rock chips include 2.19g/t and 1.09g/t g
Slide 28: Drummond summary
adelaideresources.com.au Drummond summary • Land holding 100% owned and significantly expanded in 2016 For personal use only • Original tenements secure the Glenroy epithermal field – multiple epithermal systems identified • The Glenroy systems are generally not deeply eroded ‐ target gold zones lik
Slide 29: Rover copper gold project - NT
adelaideresources.com.au Rover copper gold project ‐ NT Farm‐in and joint venture agreement with Emmerson Resources announced 15 Nov 2016 For personal use only Principal terms of the Rover Farm‐in and Joint Venture include • ERM will sole fund $2.0 million within 3 years to earn a 51% equity • ERM c
Slide 30: Rover copper gold farm-in and joint venture
adelaideresources.com.au Rover copper gold farm‐in and joint venture A highly prospective land position in the Tennant Creek district idle since early 2012 For personal use only • 100% owned, 287km2 project • Typical Tennant Creek style deposits (ironstone hosted – bonanza gold grades) • Potential o
Slide 31: Moonta copper project - SA
adelaideresources.com.au Moonta copper project ‐ SA Efforts to attract third party interest continue For personal use only • Large 819km2 tenement in world class iron oxide copper‐ gold province • Historical production from Moonta and Kadina mines estimated to be 373kt Cu and 79koz Au • Thin cover s
Slide 32: Davenport project - NT
adelaideresources.com.au Davenport project ‐ NT For personal use only Tenement pegged for lithium • Reconnaissance trip completed under “Preliminary Exploration” provisions of NT Mining Act • Significant tungsten in rock chip samples taken at Juggler • Anomalous W in FPXRF soils ‐ presents a low cos
Slide 33: Coolgardie project - WA
adelaideresources.com.au Coolgardie project ‐ WA For personal use only Coolgardie region pegmatites • Geological setting analogous to Lepidolite Hill deposit • No previous recorded lithium exploration but pegmatites known to be present • Tenement also has gold and nickel sulphide potential (Prince o
Slide 34: Summary
adelaideresources.com.au Summary For personal use only • Maiden 107,000 gold ounce Mineral Resource estimated at Barns • Metallurgical testing of Barns material underway • RC programme at Baggy Green confirms it can add to the local resource base in the Barns Camp • Four drill ready targets on expan
Slide 35: Forward programme
adelaideresources.com.au Forward programme* For personal use only • Further resource focussed drilling at Baggy Green to test extensions to currently defined deposit • Estimation of maiden Mineral Resource at Baggy Green • Incorporation of metallurgical results and Baggy Green resource into new roun
Slide 36: Andromeda Metals Limited
adelaideresources.com.au Andromeda Metals Limited • Adelaide Resources has completed its 20th year on listing For personal use only • The Board composition and exploration portfolio of the company has changed considerably since listing • We are taking the opportunity to rebrand ourselves to reflect
Slide 37: Disclaimer, Competent Person's statement and JORC statements
adelaideresources.com.au Disclaimer, Competent Person’s statement and JORC statements Disclaimer For personal use only The information in this presentation is published to inform you about Adelaide Resources Limited (“Adelaide Resources” or the “Company”) and its activities. Some statements in this
Slide 38: For personal use only
adelaideresources.com.au For personal use only Contact: Chris Drown 0427 770 653 adelaideresources.com.au Drill – Discover – Develop
Adelaide Resources — Shareholder Meeting (November 2016) on 6ix