Sunstone Metals Ltd · ASX:STM
Sunstone Metals — Avalon Minerals — Mining 2016 Resources Convention
28 slides from Sunstone Metals's conference presentation, August 2016
Slide 1: Mining 2016 Resources Convention, Brisbane, Australia
Mining 2016 Resources Convention Brisbane, Australia August June2016 2016
Slide 2: Disclaimer
DISCLAIMER DISCLAIMER FORWARD-LOOKING STATEMENTS To the maximum extent permitted by law, no This Presentation includes certain statements that may representation, warranty or undertaking, express or be deemed “forward-looking statements”. All implied, is made and, to the maximum extent permitted sta
Slide 3: Corporate
CORPORATE TICKER ASX:AVI Top 10 shareholders hold 55% of shares on issue Frankfurt:AL9 Board and management hold 3.3% and have SHARE PRICE* A$0.046 participated in recent placements SHARES ON ISSUE 520.4 million European and UK shareholders total 43% MARKET CAP A$24M CASH# A$2.3M SUBSTANTIAL SHAREHO
Slide 4: Key Points
KEY POINTS Portfolio of lithium, gold and copper projects in Sweden and Finland Geographic focus in countries with a long history of mining and outstanding infrastructure Can explore, develop and mine all year round – no weather restrictions Kietyönmäki Lithium Project - a higher than averag
Slide 5: Geographic Focus, Mining Countries
GEOGRAPHIC FOCUS, MINING COUNTRIES Viscaria Copper Project – Scoping Study completed; significant exploration upside Ladum Lithium Project Kaustinen Lithium Project Seinäjoki Lithium Project Kietyönmäki Lithium Project (JV) – Resource estimate drilling underway; Satulinmäki Gold Project (JV) 5
Slide 6: Tammela Lithium & Gold Project
TAMMELA LITHIUM & GOLD PROJECT 100km 6
Slide 7: Tammela Lithium Project Kietyönmäki Deposit
TAMMELA LITHIUM PROJECT KIETYÖNMÄKI DEPOSIT Lithium pegmatite dyke swarm with significant upside to the currently drilled Main Dyke 7
Slide 8: Tammela Lithium Project Kietyönmäki Deposit
TAMMELA LITHIUM PROJECT KIETYÖNMÄKI DEPOSIT 8
Slide 9: Tammela Lithium Project Kietyönmäki Deposit
TAMMELA LITHIUM PROJECT KIETYÖNMÄKI DEPOSIT 9
Slide 10: Tammela Lithium Project Kietyönmäki Deposit
TAMMELA LITHIUM PROJECT KIETYÖNMÄKI DEPOSIT Resource drilling underway – proposed drill holes shown here in pink • 15 holes, • 3,000 meters, • 2 months work 10
Slide 11: Tammela Lithium Project Kietyönmäki Deposit: GTK assay results
TAMMELA LITHIUM PROJECT KIETYÖNMÄKI DEPOSIT GTK assay results From To Interval Li2O Hole ID (m) (m) (m) % R307 14.1 37.1 23.0 1.53 R310 11.7 14.7 3.0 1.23 R310 65.0 83.0 18.0 1.79 including 68.0 77.0 9.0 2.60 including 70.0 73.0 3.0 4.35 R311 20.3 41.9 21.6 1.42 R308 3.7 11.3 7.6 1.37 R309 3.0 10.5
Slide 12: Tammela Gold Opportunity Satulinmäki & Riukka Prospects
TAMMELA GOLD OPPORTUNITY SATULINMÄKI & RIUKKA PROSPECTS Gold opportunities are compelling and will be advanced during 2016 with an expected Q4 drilling schedule 12
Slide 13: Satulinmäki Prospect
SATULINMAKI PROSPECT AVALON
Slide 14: Satulinmäki Prospect
SATULINMÄKI PROSPECT Drilling is planned • to test the depth extension ‘Target Zone’ • expected to be undertaken during Q4, 2016 14
Slide 15: Viscaria Copper Project
VISCARIA COPPER PROJECT PROJECT SITE KIRUNA TOWN PUBLIC ACCESS ELECTRIC RAIL LOW COST HYDRO POWER 15
Slide 16: Kiruna and Viscaria Location Map
KIRUNA AND VISCARIA LOCATION MAP Viscaria Kiruna LKAB Copper orebodies shown in orange 16
Slide 17: Viscaria Copper: Mineral Resource Estimate and Mining Inventory
VISCARIA COPPER: MINERAL RESOURCE ESTIMATE AND MINING INVENTORY Mineral Resource Estimate Tonnes (Mt) Grade (% Cu) Total 52.4 1.2 65% Measured and Indicated Mining Inventory Tonnes (Mt) 2016 Grade (% Cu) 2016 Combined A & B Zone Open Pit^ 8.0 0.9 D Zone Open Pit@ 1.6 0.9 D Zone Underground @^ 5.0 1.
Slide 18: Viscaria Copper: Updates to 2015 Scoping Study
VISCARIA COPPER: UPDATES TO 2015 SCOPING STUDY The 2015 Scoping Study confirmed the project description to begin ESIA process (Refer ASX Announcement 14 December 2015 ) Target Case A Process plant size 2.0Mtpa scenario Strip ratio (LOM) 6.0 Process Crush, grind and copper flotation plant Recovery ra
Slide 19: D Zone: Extremely Confident It Will Be Larger
D ZONE: EXTREMELY CONFIDENT IT WILL BE LARGER Clear message from 2015 – orebody is getting better as we go deeper The northern target zone has the potential to deliver 3-5Mt of mineralised rock, at grades comparable to those seen in VDD 195 (21.5m @ 1.5% Cu) Similarly the southern target zone has th
Slide 20: D Zone: Extremely Confident It Will Be Larger
D ZONE: EXTREMELY CONFIDENT IT WILL BE LARGER N D Zone D Zone copper host is orebody; black 50-70% magnetite – dashed line simple process to model D Zone Magnetic host to deliver orebody model; green, blue, geometry yellow domains 3-D and plate modelling of magnetic data demonstrates very clearly th
Slide 21: Viscaria - Timetable
VISCARIA - TIMETABLE 2015 2016 2017 Copper Production + 18 months Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 STUDIES AND EXPLORATION Decision to Mine Exploration (discretionary) Scoping Study Updated Scoping Study Accelerate Feasibility Study PERMITTING ESIA Baselines ESIA Assessments and Application ESIA review to
Slide 22: Key Points
KEY POINTS Lithium, gold and copper in Scandinavia Long history of mining and outstanding infrastructure No weather restrictions Kietyönmäki Lithium Project Higher than average grade deposit Drilling in progress Viscaria Copper Project Advanced stage copper development opportunity wi
Slide 23: Investment Proposition
INVESTMENT PROPOSITION High quality team Advanced stage projects supported by outstanding infrastructure Low sovereign risk Geographic focus, commodity spread Strong shareholder base Low market capitalisation 23
Slide 24: Competent Persons Statement
COMPETENT PERSONS STATEMENT Competent Persons Statement The information in this report that relates to exploration targets and results is based upon information reviewed by Mr Malcolm Norris who is a Fellow of the Australasian Institute of Mining and Metallurgy. Mr Norris is a full-time employee of
Slide 25: Appendices
APPENDICES 25
Slide 26: A High Quality Leadership Team
A HIGH QUALITY LEADERSHIP TEAM Chairman Resources executive. Broad global experience with large companies and building juniors Graham Ascough Current Musgrave, PNX Metals, Mithril; Previous Falconbridge-Noranda CEO and Managing Director Geologist and Business Development. Track record of discovery a
Slide 27: Viscaria Copper: Mineral Resource Estimates and Mining Inventory
VISCARIA COPPER: MINERAL RESOURCE ESTIMATES AND MINING INVENTORY Mineral Resource Tonnes (Mt) Grade (% Cu) A Zone# 21.6 1.5 B Zone# 19.7 0.8 D Zone Open Pit* 3.1 0.8 D Zone Underground* 8.0 1.4 Total 52.4 1.2 65% Measured and Indicated overall 89% M+Ind for A Zone 93% M+Ind for D Zone Mining Invento
Slide 28: Viscaria Copper: Updates to 2015 Scoping Study
VISCARIA COPPER: UPDATES TO 2015 SCOPING STUDY The 2015 Scoping Study confirmed the project description to begin ESIA process (Refer ASX Announcement 14 December 2015 ) 2015 Scoping Study Target Case A and Expanded Case Process plant size 1.2Mtpa scenario 2.0Mtpa scenario 3.0Mtpa scenario Strip rati