Superior Resources Limited · ASX:SPQ
Superior Resources — Investor Presentation (October 2014)
37 slides from Superior Resources's investor presentation, Oct 15, 2014
Slide 1: Superior Resources Limited Investor Presentation October 2014
For personal use only Superior Resources Limited Investor Presentation October 2014
Slide 2: Limitations & JORC
Limitations & JORC For personal use only This presentation has been prepared by the management of Superior Resources Limited (the Company) for the benefit of brokers, analysts and investors and not as specific advice to any particular party or persons. The information is based on publicly available
Slide 3: Investment Highlights
Investment Highlights For personal use only Investment Highlights • 5 “company-making” projects in Queensland • Potential immediate opportunity for early cash flow from Tick Hill Gold Project • Commanding position in Zinc exploration acreage (NW Qld projects) • Maiden JORC resource of 13Mt @ 0.42%Cu
Slide 4: Corporate Summary
Corporate Summary For personal use only ASX CODE: SPQ Share Structure Ordinary shares 176.9 million Options (listed/unlisted) Nil Market cap. 1.8 million Cash and listed assets A$350,000 7,000,000 DYL Shares A$100,000 Debt Nil Shareholders 494 Total top 20 holders: 68.29%
Slide 5: Board & Management
Board & Management For personal use only • Carlos Fernicola – Chairman – Over 30 years in accounting, taxation audit financial services industry, Chartered Company Secretary • Peter Hwang – Managing Director – 13 years in resources and corporate law, 6 years in mineral exploration • Ken Harvey – Exp
Slide 6: Projects
Projects For personal use only Darwin Greenvale NWQ Base Metals Townsville Tick Hill Brisbane Perth Sydney Adelaide 0 1000km Melbourne
Slide 7: Tick Hill Project
Tick Hill Project For personal use only Tick Hill Project High-Grade Gold
Slide 8: Tick Hill Gold Project Summary
Tick Hill Gold Project For personal use only Summary • 110km SE Mount Isa • Three granted mining leases (renewed for 10 years) • Diatreme Resources Limited is purchasing the leases from Glencore • SPQ farming in ($750k expenditure for 50% equity) • SPQ rights and access subject to transfer of MLs to
Slide 9: Tick Hill Gold Mine (circa 1993) looking easterly
Tick Hill Gold Project Tick Hill Gold Mine (circa 1993) looking easterly For personal use only
Slide 10: Tick Hill Open Pit – North End
Tick Hill Open Pit – North End For personal use only Decline Portal (Capped) Footwall Quartzite Biotite-Scapolite Schist Calc-Silicates
Slide 11: Tick Hill Ore (Laminite or Galahstone)
Tick Hill Gold Project Tick Hill Ore (Laminite or Galahstone) For personal use only Gold band Gold band
Slide 12: Gold Mineralisation
Tick Hill Gold Project For personal use only Gold Mineralisation • Very good continuity • Abruptly terminates at depth (fault) • Faulted extension likely to be similar grade and width Fault
Slide 13: Pit and Underground View
Tick Hill Gold Project For personal use only Pit and Underground View • 3D View looking grid east - down at -40° • Open pit (70m deep) • Decline from pit ramp • Underground stope • Lode shows a fault truncation on southern end at depth • Lode curved along fault to west • Superior proposes to drill o
Slide 14: Indicative Financial Analysis
Tick Hill Gold Project For personal use only Tick Hill Indicative Financial Analysis 1995 Figures (actual) A$ Cost/oz Total value of gold at A$560/ oz gold $280m Total capital cost (excluding exploration) $25m Total operating costs $62m $120/oz Total exploration cost (estimated) $8m Net cash generat
Slide 15: High grade historic gold production
Tick Hill Gold Project For personal use only High grade historic gold production 513,333 ounces of gold at a recovered grade of 22.6 g/t gold At $1350/ounce worth A$693 million If found today, a similar ore body would generate $A389 million net cash Granted Mining Leases with previous mining history
Slide 16: Development Opportunity
Tick Hill Gold Project For personal use only Development Opportunity 1. Old mine tailings - (immediate opportunity) 2. Adjacent alluvial deposits - (immediate opportunity) 3. Mine rock dumps - (immediate opportunity) 4. Potential residual underground ore 5. 500,000oz exploration target Immediate Opp
Slide 17: Tick Hill Gold Mine (circa 1993) looking easterly
Tick Hill Gold Project Tick Hill Gold Mine (circa 1993) looking easterly For personal use only
Slide 18: Soil Sampling
Tick Hill Gold Project For personal use only Tick Hill Soil Sampling Gold
Slide 19: Northwest Queensland Copper Lead Zinc Project
Northwest Queensland For personal use only Northwest Queensland Copper Lead Zinc Project
Slide 20: NWQ – Base Metal Prospects
NWQ – Base Metal Prospects Walford Creek (Pb,Zn,Ag) 138° E 140° E 15670 For personal use only 18° S 18203 • Located north and south of Mount Isa Nicholson Project Walford South - Cu, Pb, Zn Bluebush Mount (Pb,Zn,Ag) Isa style target Nicholson West - Cu, Pb, Zn South of Walford Creek 2009 - 3 X 800m
Slide 21: Leakage Into Cambrian
Leakage Into Cambrian For personal use only 550 Ma
Slide 22: Targeting Mount Isa Copper
Targeting Mount Isa Copper For personal use only Simplified Exploration Model Copper Source – Basic Volcanics – Anomalous in airborne Magnetics Productive Hosts – Fine grained carbonaceous dolomitic sediments – Anomalous in airborne Electromagnetics if carbon occurs as graphite or sediments are pyri
Slide 23: Mount Isa to Century - Mag (RTP) and Gravity
Mount Isa to Century - Mag (RTP) and Gravity For personal use only Major Structure Major Structure Magnetics and Gravity Magnetics and Gravity MI2 Magnetic Anomaly Basalts? – Copper Source Magnetic Anomaly Eastern Creek Volcanics Basalts – Copper Source Mount Isa – within sediments adjacent or over
Slide 24: Mount Isa to Century - Lead and Zinc
Mount Isa to Century - Lead and Zinc For personal use only Major Lead Anomaly MI2 in Cambrian Major Lead Anomaly Mount Isa
Slide 25: Tomahawk Creek Mag (RTP) Soil Lead Anomalies
Tomahawk Creek Mag (RTP) For personal use only Soil Lead Anomalies
Slide 26: Zinc trends
For personal use only Zinc trends
Slide 27: Northwest Queensland Current Situation
Northwest Queensland Current Situation For personal use only Closure of Century Mine in 2015 – loss of 500,000 tonnes of zinc and loss of jobs Closure of Mount Isa underground copper about 2021 – loss of 200,000 tonnes copper and loss of jobs Closure of Mt Isa copper smelter about 2016 – loss of job
Slide 28: Conclusions
Conclusions For personal use only Superior has identified very significant potential for a new Mount Isa type deposit in the area 170km northwest of Mount Isa. Five advanced prospects with potential for large Mount Isa style copper and lead-zinc-silver deposits. Four high priority drill targets defi
Slide 29: Greenvale Project Copper – Zinc
Greenvale Project For personal use only Greenvale Project Copper – Zinc
Slide 30: Greenvale Project Summary
Greenvale Project 144° E 145° E 146° E Summary For personal use only Superior Resources Mount Garnet Limited • 250km WNW Townsville, 0 25 50km • Mining Lease, EPM & EPMA LEGEND 18° S 18° S • Good location (bitumen road, Exploration Permit - granted Exploration Permit - application Greenvale township
Slide 31: Greenvale Project
Greenvale Project For personal use only Location 250 km WNW Townsville, northeast Queensland Tenements ML6750 “One Mile”, EPMA18987 “Cockie Creek”, EPM19247 ”Cassidy Creek” Targets Volcanogenic massive sulphide (VMS) deposits, disseminated copper deposits and Broken Hill type deposits. One Mile Larg
Slide 32: Greenvale Project
Greenvale Project For personal use only Wyandotte Last explored in 1975 Significant results: 5.8m @ 7.8% Cu and 13.4m @ 3.6% Cu Hall’s Reward Historic mining: 12,800 tonnes @ 17% Cu, 5g/t Au and 23g/t Ag Copper Mine 1995 exploration (CRAE): discovered previously unknown additional mineralised lode o
Slide 33: One Mile Project Summary
One Mile Project For personal use only Summary • Outcropping VMS gossan • Large sulphide (pyrite) body • Near-economic Cu-Au-Zn-Ag intersections • Target - thickened area of the sulphide body with better copper and gold grades • Prospective basic to intermediate volcanic host sequence • Other geophy
Slide 34: One Mile Project – Main Lode
One Mile Project – Main Lode For personal use only Gossans and Drill Holes on Magnetics • Gossan/Lode extends over 800m strike length • Improvement in width and grade of the massive and semi-massive sulphides to the south down the plunge of the sulphide body • Best intersection from drilling in hole
Slide 35: One Mile Project – Main Lode Cross Section 1850N
One Mile Project – Main Lode For personal use only Cross Section 1850N • Gossanous lode outcrop • Hole SPOM016 - narrow pyritic alteration zone enclosing a thin massive / semi- massive sulphide lode (0.83% Cu eq.) • Hole SPOM023 - wide pyritic alteration zone enclosing a wide massive / semi-massive
Slide 36: Cockie Creek Copper Prospect
Cockie Creek Copper Prospect For personal use only • Inferred resource 13Mt @ 0.42% Cu • Good continuity and true widths to 60m • Potential at depth and along strike • Best target at depth below thickened areas • Significant potential, ready to be tested Surface Copper Mineralisation at 1950N
Slide 37: In Summary
In Summary For personal use only • Positioned well to leverage recovery in resources sector and to grow shareholder value • High quality, company-making projects • Over $6m already spent on the projects • Dedicated management team • Tightly held share register • Priced at close to shell value • Low
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