Vital Metals Ltd · ASX:VML
Vital Metals — Shareholder Meeting (November 2011)
24 slides from Vital Metals's shareholder meeting presentation, Nov 21, 2011
Slide 1: Vital Metals Limited AGM Presentation
VITAL METALS LIMITED For personal use only Tungsten Developer Gold Explorer AGM Presentation 21 November 2011 ASX:VML ASX:VML www.vitalmetals.com.au www.vitalmetals.com.au 1
Slide 2: Forward-looking Statement
Forward-looking Statement For personal use only Disclaimer: Certain oral and written statements contained or incorporated by reference in this presentation, including information as to the future financial or operating performance of the Company and its projects, constitute forward-looking statement
Slide 3: Experienced Board and Management
Experienced Board and Management For personal use only David Macoboy (Non Executive Chairman) Senior finance executive with over 40 years of experience in the areas of corporate strategy, finance, treasury, risk management and international fund raising. Mark Strizek (Managing Director and CEO) Geol
Slide 4: Corporate Overview
Corporate Overview For personal use only Capital Structure Major Shareholders Citicorp Nominees – 9.16% ASX: VML Rex Harbour – 7.66% Shares on Issue JP Morgan Nominees – 6.01% 228.40 million shares Consolidated Minerals – 5.5% 5 million unlisted options HSBC Custody Nominees – 4.73% National Nom
Slide 5: Vital's Vision
Vital’s Vision For personal use only “To develop high quality, low cost projects that can be brought into production quickly, creating value for our shareholders. Achieving this via a project portfolio diversified by commodity, country and development stage to minimise risk and provide maximum oppor
Slide 6: 2011 - A Watershed Year
2011 - A Watershed Year For personal use only Watershed Tungsten Project, Queensland JOGMEC joined as JV partner in August 2011. Agreed to fund DFS study to earn a 30% interest in the project Tungsten prices at all time high as Chinese demand overtakes ROW Work on DFS study has commenced with
Slide 7: Two Strong Commodities
Two Strong Commodities For personal use only 600 2000 Tungsten APT (EU) $/mtu price 500 1700 Spot Gold US$/oz price 400 1400 $/mtu $/oz 300 1100 200 800 100 500 0 200 2001 2003 2006 2009 2011 Source: APT prices Metal-Pages YEAR Gold prices Perth Mint ASX:VML www.vitalmetals.com.au 7
Slide 8: Tungsten – Demand driven by the Dragon
Tungsten – Demand driven by the Dragon For personal use only Global demand for tungsten is forecast to continue growing strongly, particularly in hard metal and cutting tool utilization. Global deep well drilling is also increasing demand. Global supply of tungsten is forecast to grow at 6% per
Slide 9: Watershed – Targeting Production in 2014
Watershed – Targeting Production in 2014 For personal use only Definitive Feasibility Study (DFS) scheduled for completion H2 2012 – Targeting production in 2014 Indicated JORC Code Compliant Resource - 15.1mt @ 0.46% WO3 (0.1% WO3 cut-off undiluted) open at depth and along strike ASX:VML www.vi
Slide 10: Watershed – Scheelite hosted in Vein Swarms
Watershed – Scheelite hosted in… For personal use only Vein Swarms Coarse scheelite in veins Disseminated mineralisation ASX:VML www.vitalmetals.com.au 10
Slide 11: Watershed – Geology and Resources
Watershed – Geology and Resources For personal use only Watershed deposit is part of a large structural system that is largely unexplored. Vital’s exploration package now covers 600 sq km Walk up exploration prospects at the Watershed South, Desailly and Desailly North. Drill spacing over the
Slide 12: Watershed – Potential Exists at Depth
Watershed – Potential Exists at Depth For personal use only Vital geological team confident in significant scope for extending mineralisation at depth. Trend observed for mineralisation to increase with depth as in hole MWD119 - intersected 20m @ 1.27 % WO3 from 302m Vital developed the Waters
Slide 13: Watershed – Simple Flowsheet
Watershed – Simple Flowsheet For personal use only Simple flowsheet – exploits scheelite fluorescence and density: – Ore crushed from ore stockpiles fed to – X-Ray ore sorter which removes around ~50% of waste. – Retained feed will be split in spirals and then cleaned using tables, magnetic separa
Slide 14: Watershed – DFS Current Work Program
Watershed – DFS Current Work Program For personal use only Drilling a 2,200m diamond drill program designed to close off mineralisation. New data will be used to update resource model which will feed into pit optimisation studies Confirmatory metallurgical test-work testing variability and float
Slide 15: Watershed – DFS Schedule
Watershed – DFS Schedule For personal use only 2012 2013 2014 Met Testing Environmental/ Permitting Design & Engineering Procurement Earthworks & Plant Construction 1st Concentrate ASX:VML www.vitalmetals.com.au 15
Slide 16: Burkina Faso – Open for Business
Burkina Faso – Open for Business For personal use only Presidential Democracy since 1990 Rule of Law, rising standard of living. Transparent mining code based on WA Mines Act 70,000 sq km of Birimian Greenstone Belts Significant potential for growth in gold resources support services ava
Slide 17: Burkina Faso – Located on a Proven Gold System
Burkina Faso – Located on a Proven Gold System For personal use only Vital selected the tenements in Burkina Faso due to their location in favourable geotectonic settings at, or near to, the intersection of the Markoye Fault Corridor and the Bole shear zone These systems host the Essakane, Bombo
Slide 18: Burkina Faso – Impressive Gold Results
Burkina Faso – Impressive Gold Results For personal use only Strategic tenement package with potential for further gold discoveries Early exploration success including exciting gold intersections: – 44m at 6.39 g/t gold from 8m 1; and – 32m at 2.44 g/t gold from 36m 2 12,000m of RC drilling comp
Slide 19: Burkina Faso – Vital Metals Tenements
Burkina Faso – Vital Metals Tenements For personal use only Joint Venture Tenements (Vital 60%, Ampella 40%, earning 80%) Doulnia (247 km2) – Kollo Gold Prospect – Boungou South Gold Prospect – Nabenia Zinc Prospect – Loubel Zinc Prospect – Koubongo Zinc Prospect Kampala (216 km2) – AVV Zinc Pro
Slide 20: Burkina Faso – Kollo Gold Prospect
Burkina Faso – Kollo Gold Prospect For personal use only Over 3km of strike length at Kollo, active artisanal mining along trend First round of RC drilling completed, project best intercept of 4m at 58.03 g/t gold from 24m (KRC210) Significant areas remain untested along strike – more drilling
Slide 21: Burkina Faso – Kollo Gold Prospect
Burkina Faso – Kollo Gold Prospect For personal use only All results reported previously 25/5/2010, 24/3/2011, 9/6/2011, 3/8/2011 ASX:VML www.vitalmetals.com.au 21
Slide 22: Burkina Faso – Boungou South Gold Prospect
Burkina Faso – Boungou South Gold Prospect For personal use only Boungou South is located around 6km to the south east of the Kollo Gold Prospect First pass exploration drilling is scheduled to test a 1.2km gold-in- soil anomaly Gold-in-soil anomaly (located in Birimian Greenstones adjacent to
Slide 23: Burkina Faso – Drilling has Started
Burkina Faso – Drilling has Started For personal use only 6,000m reverse circulation (RC) drilling program starting in Burkina Faso. The drilling program has a budget of around A$600,000 and is expected to be completed by January 2012 – RC Drilling program (4,500m) over the Kollo gold prospect to
Slide 24: Vital Metals – The Investment Case
Vital Metals – The Investment Case For personal use only Fully funded DFS (JOGMEC) is due for completion in H2 2012 Fast tracking to tungsten concentrate production by 2014 Access to off-take partner and project finance via JOGMEC farm-in Robust project metrics and low capital cost from prev