Chesterfield Resources Plc · LSE:CHF
Chesterfield Resources — Investor Presentation (September 2020)
32 slides from Chesterfield Resources's investor presentation, September 2020
Slide 1: Advanced copper and gold exploration in Cyprus
Advanced copper and gold exploration in Cyprus Corporate Presentation September 2020
Slide 2: Disclaimer
Disclaimer 2 These slides and the accompanying oral presentation (the “Presentation”) have not been approved by an authorised person within the meaning of the Financial Services and Markets Act 2000 (“FSMA”). If any person is in any doubt as to the contents of this Presentation, they should seek ind
Slide 3: What is Chesterfield?
What is Chesterfield? 3 • Chesterfield Resources (CHF.L) is a new venture. It was Standard listed on the LSE as a shell company in August 2017. It obtained a number of mineral licences in Cyprus via an RTO in July 2018 to explore for copper. It has since greatly expanded its licence area in Cyprus.
Slide 4: The copper price has bounced back to pre-Covid levels
The copper price has bounced back to pre-Covid levels 4 • The copper has price has moved • Copper discoveries are much in demand by mid-tier through $6,000, and is up over 25% miners. Ariana Resources in April 2020 farmed into this quarter. Why? For three reasons: a nearby project in Cyprus • China’
Slide 5: Cyprus
Cyprus 5 • “Copper” comes from the Latin name for Cyprus, “Cuprum”. It was the world centre of copper and gold in classical times. • A long tradition of mining, and part of Tethyan belt. Cyprus was a major copper mining centre in the twentieth century. From 1920 - 1974 over 74 million tonnes were ex
Slide 6: A major mining industry in the 1960s and 1970s
A major mining industry in the 1960s and 1970s 6 Old mines litter the Troodos hills in Cyprus
Slide 7: Mining and exploration mostly halted in 1974
Mining and exploration mostly halted in 1974 7 • Modern mining commenced in the 1920's with approximately 1.3 million tonnes of copper metal extracted in a 60-year period (source: Cyprus Mine Services) • Mavrovouni is the largest known deposit where 16.5 Mt at approximately 4.5% Cu was officially re
Slide 8: VMS mineralogy outcropping on surface, a common sight
VMS mineralogy outcropping on surface, a common sight 8 A highly mineralized VMS area
Slide 9: What is a VMS (volcanogenic massive sulphide) deposit?
What is a VMS (volcanogenic massive sulphide) deposit? 9 VMS lens forming Hydrothermal vent from vented mineral precipitation from smoker. Zn Cu Zinc deposited at outer layers Au in root zone Underwater black smokers dump a “lens” of mineralisation
Slide 10: VMS deposits form in clusters, stacks and districts
VMS deposits form in clusters, stacks and districts 1 0 • Black smokers tend to occur in groups (left). VMS lenses are often then covered by lava flows or sedimentary deposits. Later, further black smokers can erupt, forming stacks of VMS lenses within host rocks. A “massive” sulphide is defined as
Slide 11: Numerous historical mines, but only discovered at surface
Numerous historical mines, but only discovered at surface…. 11 • There are over 200 historic mines and deposits on Cyprus’s prospective belt, on the flanks of the Troodos mountains. These were discovered by mineralisation outcropping at surface. 1.3 M tonnes of copper was extracted in the last centu
Slide 12: The hunt for buried VMS deposits in the Troodos foothills
The hunt for buried VMS deposits in the Troodos foothills 12 • Image to right: a clear example of a massive sulphide orebody trapped below a basalt flow • In the last 30 years there have been huge advances in geological understanding and exploration techniques for VMS deposits buried 50-200 below su
Slide 13: Initial focus on our Troodos West license area
Initial focus on our Troodos West license area 13 • Chesterfield has a combination of drilling permits and exploration licences in application. All are 100% owned. All are purchased directly from the government. • The initial focus is on the Troodos West license group, which has the bulk of the perm
Slide 14: Troodos West: over 30 buried VMS targets now defined
Troodos West: over 30 buried VMS targets now defined 14 Extensive target list at Troodos West the culmination of 12 months work in the field, the archives and on desktop. Targets closely grouped for potential centralised plant. Area dominated by 10km long structure with multiple targets in various s
Slide 15: Target ranking: multiple layering of coincident data evidence
Target ranking: multiple layering of coincident data evidence 15 Exploration tool box Satellite remote sensing Archive data Analysis of fresh core Mapping and XRF survey Soil sampling Stream sampling Mag drones and IP GIS data collation and interpretation Difference sources of data combine to identi
Slide 16: Gold: The forgotten metal of Cyprus
Gold: The forgotten metal of Cyprus 16 • Cyprus produced no gold during its • Because Cyprus was still considered risky after the mining boom in the 1960s and 1970s invasion it did not benefit from the new wave of explorers because the gold price was fixed at just searching both for buried deposits
Slide 17: First pass exploratory drilling: strong gold results
First pass exploratory drilling: strong gold results 17 Evliomeini – 29.8 m grading 1.1g/t Au from 8.8m Double 7 – 18.9m grading 1.3 g/t Au 13.2 g/t Ag, 0.62% Cu from 100m Mavroyi – 20.2m grading 0.89 g/t Au from 56.0m Surprise gold encounters from multiple drill holes
Slide 18: Cyprus VMS systems are gold rich, producing a clean product
Cyprus VMS systems are gold rich, producing a clean product 18 • Gold price has risen over 40% since • Gold is booming once again. Price likely to remain Chesterfield’s 2018 drilling. robust this year as uncertainty persists. Chesterfield ready to resume drilling quickly after lock-down • Company’s
Slide 19: Five gold occurrences already identified in target area
Five gold occurrences already identified in target area 19 • Gold occurrences spread over 4km strike length on a major prospective structure. • Double 7: 11.1 and 18.9m thick grading 1.29 g/t Au, sample intervals up to 2.99 g/t Au. • Kinousa Underground Mine (historic): 2.57 and 6.48 g/t Au. • Pourn
Slide 20: Evlim: an example of co-incident Chesterfield target development
Evlim: an example of co-incident Chesterfield target development 20 • Remote satellite sensing indicates target between two historic abandoned mines, the Evloimeni Pit and Limni pit (hence name ”Evlim”). • Archive research reveals Limni Pit produced and estimated 150,000 tonnes of copper and closed
Slide 21: Evlim: search of the archives yields BRGM historic data
Evlim: search of the archives yields BRGM historic data 21 • Historic BRGM document discovered in Government archives. • Area to the right shows where copper bearing sulfides have been mined. Remnant root zones were drilled by Evlin target area: downfaulted copper and gold Chesterfield late 2018 rev
Slide 22: Evlim: Mapping, geophysics, geochemistry and archival work combine
Evlin: Mapping, geophysics, geochemisty and archival work combine 22 • Soil sampling of basal group provides Section line 3 further targeting guidance. • An IP survey was conducted in July 2019 to test theory of downfaulted mine extension. A positive result. • Section line 3: extent and size of the
Slide 23: Advanced testing by percussion drill
Advanced testing by percussion drill 23 • Percussion drilling is a cost-effective and rapid method to investigate targets at depths of up to 200m. Drill costs are around just 15% those of diamond drilling, with no mobilisation costs. It is also quite rapid. A hole can usually be drilled in a day. •
Slide 24: Evlim: 30-40m intersections of sulphide mineralisation at three holes
Evlim: 30-40m intersections of sulphide mineralisation at three holes 24 • All three percussion holes drilled at Evlim in July 2020 intersected significant zones of mineralised sulphides, of widths of between approximately 30m and 40m. The target is now a high priority for diamond drilling • At EW6
Slide 25: Percussion drilling at Hillside
Percussion drilling at Hillside 25 • Four percussion holes were drilled at target Hillside, of which two encountered sulphide deposits that displayed evidence of mineralisation via XRF gun analysis at site. • While the other two holes missed the VMS deposit, they provided valuable information about
Slide 26: AMT geophysics programme commissioned
AMT geophysics programme commissioned 26 • AMT is an advanced technology that measures the natural electro-magnetic signals in the earths crust, which have been induced by lightening strikes over time. The method is capable of imaging the sub-surface with resolutions good enough to detect features a
Slide 27: Targets to be tested with initial 2,000m of diamond drilling
Targets to be tested with initial 2,000m of diamond drilling 27 • Diamond drilling is to commence in mid Three level test programme through September and October September on targets in the Troodos will co-ordinate AMT geophysics, percussion drilling and West area. diamond drilling. Diamond hole dep
Slide 28: World class geologists combine in a junior explorer
World class geologists combine in a junior explorer 28 Unusually for a junior, Chesterfield has very senior exploration team drawn from some of the world’s best known exploration and mining companies. Neil O’Brien: Previously Head of Exploration at Lundin Mining. Neil was one of the longest serving
Slide 29: Executive team
Executive team 29 Martin French Mike Parker* Executive Chairman Managing Director • Over 30 years of experience in investment banking and • Over 30 years experience in mining and exploration mining • 20 year career with First Quantum Minerals developing • Previously at Merrill Lynch and country mana
Slide 30: Low market cap provides good leverage for growth
Low market cap provides good leverage for growth 30 Listing Standard List of LSE Ticker Symbol LSE:CHF Canada 40% UK 50% Shares outstanding 73,933,334 Warrants and options 14,914,334 Europe 10% 52 week price range 8.40p – 1.50p HNW Mining Price 6.85p Investors 73% Market capitalisation £5.1m Fully d
Slide 31: Why invest in Chesterfield?
Why invest in Chesterfield? 31 • A very strong target list A junior explorer with the geological team of a major. Three world class geologists have spent a year developing its target list that is now ready to drill • A comprehensive drill progame through the summer that will commence immediately. Pe
Slide 32: Contact details
Martin French, Executive Chairman E: martin@chesterfieldplc.com Michael Parker, COO E: michael.parker@chesterfieldplc.com Peter Demouni, Director E: peter@chesterfieldplc.com T: +44 20 3004 0693 www.chesterfieldresourcesplc.com
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