Talon Metals Corp. · TSX:TLO
Talon Metals — Investor Presentation (March 2018)
37 slides from Talon Metals's investor presentation, March 2018
Slide 1: Tamarack Project March 2018
Tamarack Project March 2018 Nickel-Copper-PGE www.talonmetals.com TSX: TLO TAMARACK
Slide 2: Conditions of Presentation
Conditions of Presentation • This presentation has been prepared by Talon Metals Corp. (“Talon” or the “Company”) and is being delivered for informational purposes only. The information contained herein may be subject to updating, completion, revision, verification and further amendment. Except as m
Slide 3: Forward Looking Information
Forward Looking Information • This presentation contains certain “forward-looking statements”. All statements, other than statements of historical fact that address activities, events or developments that Talon believes, expects or anticipates will or may occur in the future are forward looking stat
Slide 4: Technical Reference
Technical Reference • The mineral resource figures disclosed in this presentation are estimates and no assurances can be given that the indicated levels of nickel, copper, cobalt, platinum, palladium and gold will be produced. Such estimates are expressions of judgment based on knowledge, mining exp
Slide 5: Experienced Management Team with a Track Record Of Project Delivery
Experienced Management Team with a Track Record Of Project Delivery Warren Newfield • Founded Platexco (platinum exploration) in 1997, sold to Impala in 2000 for C$191MM • Founded AfriOre Ltd. (platinum exploration) in 2001, sold to Lonmin in 2007 for C$496MM (Executive Chairman) • Founded CIC Energ
Slide 6: Executive Summary
EXECUTIVE SUMMARY TAMARACK 6
Slide 7: Executive Summary
Executive Summary • In January 2018, Talon and Kennecott, entered into the Mining Venture Agreement which governs the joint venture relationship between the parties in respect of the Tamarack Project. • As of March 2018, Talon owns an 18.45% interest in the Tamarack Ni-Cu-PGE Project (includes the T
Slide 8: Executive Summary - Continued
Executive Summary - Continued • In March 2018, Talon Metals announced an updated mineral resource estimate on the Tamarack North Project (all within an area called the Tamarack Zone), with: • 3.639 million tonnes in the indicated category at 2.45% Ni Eq; and • An additional 4.382 million tonnes in t
Slide 9: Joint Venture with Kennecott Exploration Company
JOINT VENTURE WITH KENNECOTT EXPLORTION COMPANY TAMARACK 9
Slide 10: Talon Owns an 18.45% Interest in the Tamarack Project
Talon Owns an 18.45% Interest in the Tamarack Project • Talon has spent a total of US$25.5 million to earn an 18.45% interest in the Tamarack Project. All of the funds advanced are being used to fund exploration expenditures, a one-time US$1 million upfront payment to Kennecott and certain land acqu
Slide 11: Mining Venture Agreement
Mining Venture Agreement • Beginning with the first program and budget under the Mining Venture Agreement, each proposed program and budget must provide for an annual expenditure of at least US$6.15 million until the completion of a Feasibility Study (as defined under the Mining Venture Agreement).
Slide 12: The Tamarack Project
THE TAMARACK PROJECT TAMARACK 12
Slide 13: Tamarack Project: Excellent Infrastructure with Grid Power and a Railway Line on Site
Tamarack Project: Excellent Infrastructure with Grid Power and a Railway Line on Site The Tamarack Project is located adjacent to the town of Tamarack in north-central Minnesota approximately 85 km west of Duluth and 200 km north of Minneapolis, in Aitkin and Carlton Counties Tamarack Igneous Comple
Slide 14: Extremely Large – 18km of Strike Length
The Tamarack Igneous Complex is Extremely Large – 18km of Strike Length The Tamarack Igneous Complex (TIC) is comparable, in footprint size, to some of the world’s largest and most prolific nickel-copper-platinum intrusive complexes TAMARACK 14
Slide 15: Tamarack North Project
TAMARACK NORTH PROJECT TAMARACK 15
Slide 16: Tamarack North Project
Tamarack North Project • The Tamarack Zone with an updated (Feb 15, 2018) independent mineral resource estimate (see slides 18-19). • Recent drilling (2014-2016) has focused on expanding the MSU in Talon Metals the Tamarack Zone. • Numerous exploration holes have tested zones along strike (142, 164,
Slide 17: The Tamarack Zone: Mineralized units of SMSU, MSU and 138 Zone
The Tamarack Zone: Mineralized units of SMSU, MSU and 138 Zone Semi Massive Sulphide Unit: Net textured to disseminated sulphide mineralization, (80-30% sulphide) within two imbricated tubular bodies: the Upper SMSU body (400 m long, SMSU: 40 m to 80 m wide and 40 to 70 m vertically) and the Lower S
Slide 18: NI 43-101 Resource in Tamarack and 138 Zones
NI 43-101 Resource in Tamarack and 138 Zones • Successful drilling in the MSU since 2014, consistent with Talon’s interpretation, has extended the MSU to the northeast as well as to the South. • The recently published 2018 resource update (effective date: February 15, 2018) represents an approximate
Slide 19: Mineral Resources and Grades at Various Cut-Off Grades
Mineral Resources and Grades at Various Cut-Off Grades (Effective February 15, 2018)1 NiEq Cut-Off Tonnes Ni Cu Co Pt Pd Au NiEq Classification (%) (000) (%) (%) (%) (g/t) (g/t) (g/t) (%) 0.7 Indicated 3,711 1.81 0.98 0.05 0.42 0.26 0.20 2.43 0.7 Inferred 5,263 1.40 0.82 0.04 0.26 0.17 0.15 1.88 0.8
Slide 20: Exploration Successes based on Geological Model
Exploration Successes based on Geological Model Tamarack Zone • Extended MSU on the east Flank, North of hole 211. • Bridged a previous gap in the MSU. • Tamarack Zone MSU still remains open to North and South of current mineralization. Plan view Plan view Plan view showing showing showing the 2014
Slide 21: Tamarack Zone – North East extension of the MSU trend
Tamarack Zone – North East extension of the MSU trend (drill results)1 Northeastern MSU extension Drill results (+150m): • 16TK0243: 10.50 m of MMS at 5.88 % Ni, 2.32% Cu, 0.93 g/t PGE’s, 0.09g/t Au • 16TK0235: 10.83 m of MMS at 4.90% Ni, 2.47% Cu, 0.76 g/t PGE and 0.14 g/t Au • 16TK0235A: 11.26 m o
Slide 22: Tamarack Zone – Extension of the South Eastern MSU trend toward 138 Zone
Tamarack Zone – Extension of the South Eastern MSU trend toward 138 Zone (drill results)1 MSU Gap drill results (~140m) linking the two MSU : • 16TK0233A: 9.00 m of 4.94% Ni 2.08% Cu, 1.00 g/t PGE’s and 0.24 g/t Au. • 16TK0234: 5.05 m of 4.49% Ni, 1.86% Cu, 1.11g/t PGE’s and 0.27g/t Au • 16TK0246: 4
Slide 23: Tamarack Zone – SMSU intersections
Tamarack Zone – SMSU intersections (drill results)1 New SMSU intersections support the SMSU mineralization outlined by Talon TAMARACK 1 See Talon’s Press Release dated Nov 22, 2016 23
Slide 24: Tamarack Zone – Extension of the 138 Zone
Tamarack Zone – Extension of the 138 Zone (drill results)1 138 Zone mineralization extension Drill results: • 16TK0245; 117 m of 0.63% Ni, 0.46% Cu, 0.37 g/t PGE’s and 0.12 g/t Au • 16TK0248; 130 m of 0.87%Ni, 0.60% Cu, 0.35 g/t PGE’s and 0.15 g/t Au • 16TK0250; 91 m of 0.62% Ni, 0.42% Cu, 0.25g/t P
Slide 25: 221 Zone – New Mineralized Target 1.8km north of Tamarack Zone
221 Zone – New Mineralized Target 1.8km north of Tamarack Zone (2015 drilling)1 • Defined by a gravity anomaly that corresponds with the underlying CGO intrusion. • Discovery hole 15TK0221 intercepted massive nickel-copper-PGE sulphide mineralization with an associated DHEM off-hole anomaly located
Slide 26: 221 Zone (cont.) - 2016 Drilling
221 Zone (cont.) - 2016 Drilling 1 Continued success with 2016 drilling • 16TK0231; 4.74 m at 1.77% Ni, 1.22% Cu, 1.02g/t PGEs and 0.31g/t Au from 684m depth • Including 1.31m at 3.78% Ni, 1.65% Cu, 1.20 g/t PGE’s and 0.31 g/t Au from 687.43m depth. • 16TK0239; 2.26 m of 1.28% Ni, 0.80% Cu, 0.31 g/t
Slide 27: CGO Bend – Shallow target up-dip of Tamarack Zone
CGO Bend – Shallow target up-dip of Tamarack Zone1 • Massive sulphide mineralization at base of FGO on both east and west flanks of the CGO as demonstrated by historical drill holes. • 16TK0238: 2.2 m of 1.75% Ni, 0.89% Cu, 0.32 g/t PGE’s and 0.12 g/t Au from depth 117.72 m • DHEM conductor2 from 16
Slide 28: CGO Bend – Exploration results (cont.)
CGO Bend – Exploration results (cont.) 1 • Potential continuity of mineralization also demonstrated by coincident: • DHEM conductors2 • Time domain electromagnetic (TDEM) anomaly from survey on eastern flank • Shallow and up-dip connection to the Tamarack Zone make the target potentially strategic f
Slide 29: 480 Zone
480 Zone • Potentially shallow target 3 to 4.5 km north of the Tamarack Zone. Previous drilling had intersected wide zones of disseminated mineralization at depths 40-75m. • Drill holes 15TK0215 and 15TK02251 were drilled approximately 3 km north of the Tamarack Zone Platexco Talonprominent targetin
Slide 30: 164 Zone
164 Zone • Previous drilling has intersected mixed zones of disseminated and massive sulphide mineralization at the base of the FGO and mixed zone (MZ) intrusions. • The target is an MSU hosted along an axis (keel) at the base of the FGO. • Targeting of this keel can be guided through geochemistry P
Slide 31: 142 Zone
142 Zone • Drill hole 15TK0226 was drilled as part of the 2015 winter exploration program and is located 2km south of the Tamarack Zone1. • It targeted a DHEM off-hole anomaly, surveyed previously, from drill hole 12LV0142. Platexco Talon Metals • The FGO-sediment contact was intersected at a higher
Slide 32: Tamarack South Project
Platexco TAMARACK SOUTH PROJECT TAMARACK 32
Slide 33: Tamarack South Project
Tamarack South Project Tamarack South Project consists of two areas: • The “Neck” Platexco • The “Bowl” - large layered lopolith to the south. In 2015, 3 holes were drilled in the “Neck” and “Bowl” In 2016, a further 2 holes and 4 deflections were drilled in the Neck, 33 TAMARACK 33
Slide 34: Tamarack South: The Neck: Exploration Potential Confirmed
Tamarack South: The Neck: Exploration Potential Confirmed1 • The “Neck” is located approximately 3.5 km south of the Tamarack Zone on a large gravity anomaly. • It has been interpreted based on similar geochemistry, as a possible entry point to the larger “Bowl” or lopolithic intrusion to the south,
Slide 35: Tamarack South: The Neck; Results (cont.)
Tamarack South: The Neck; Results (cont.)1 15TK0218; targeting the gravity high, provided evidence for sulphide settling at base of FGO and an association with strong DHEM conductor to the west. 15TK0218A; deflection with 50m step-out targeting DHEM conductor to west. Intersected a thicker zone of d
Slide 36: Talon Capital Structure
TALON CAPITAL STRUCTURE (as of March 2018) TAMARACK 36
Slide 37: Talon Capital Structure
Talon Capital Structure TSX:TLO Issued Shares: 129.6 million Total Diluted Shares: 155.9 million 1 Royalty: • Receive up to 30 million S.A. Rand (~US$2.5 million) from its royalty on the Boikarabelo Coal Mine in South Africa owned by Resource Generation Ltd (ASX:RES) RCF Convertible Loan: • On Decem