Kefi Gold And Copper Plc · LSE:KEFI
Kefi Gold And Copper — KEFI Minerals — Conference Presentation (November 2017)
38 slides from Kefi Gold And Copper's conference presentation, Nov 14, 2017
Slide 1: Tulu Kapi Gold Project: A History of Repeated Discoveries in Western Ethiopia
Emerging Gold Miner TULU KAPI GOLD PROJECT: A HISTORY OF “REPEATED” DISCOVERIES IN WESTERN ETHIOPIA Fabio Granitzio, Jeff Rayner (presenter), Tadesse Aregay www.KEFI-minerals.com
Slide 2: Disclaimer
DISCLAIMER The information contained in this document (“Presentation”) has been prepared by KEFI Minerals plc (the “Company”). While the information contained herein has been prepared in good faith, neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers g
Slide 3: About KEFI Minerals plc
ABOUT KEFI MINERALS PLC LSE AIM:KEFI Focused on gold & copper in the under-explored Precambrian Arabian-Nubian Shield (ANS) Principal projects: Tulu Kapi gold deposit in Ethiopia and Jibal Qutman gold deposit in Saudi Arabia; ETHIOPIA (TULU KAPI: KEFI 75% AND THE GOV’T 25%): Tulu Kapi finalizing fin
Slide 4: About KEFI Minerals plc: Saudi Arabia
ABOUT KEFIDisclaimer MINERALS PLC SAUDI ARABIA : GOLD & MINERALS JV ARTAR 60% TO KEFI 40% Mining Licence Application (MLA) at Jibal Qutman to develop an initial 200,000 oz Au heap leach mine to treat oxide ore. Total Mineral Resources are 28.4Mt at 0.80g/t gold for 0.73 Moz Au. There is potential to
Slide 5: The Selib North Discovery & Its Implication
THE SELIB NORTH DISCOVERY & IT’S IMPLICATION In 2012, KEFI in the G&M JV in Saudi Arabia discovered new gold mineralisation associated with albite alteration at the contact and within felsic to intermediate dykes at its Selib North project. Best trench results included 17m @3.4 g/t Au. Follow up dri
Slide 6: The Arabian Nubian Shield: Historical Mining Activity
THE ARABIAN NUBIAN SHIELD : HISTORICAL MINING ACTIVITY Pharaohs’ Gold The ANS has been exploited for gold since the Pharaohs of Ancient Egypt. From 3,000 BC, the Pharaohs defined North Ethiopia as the Land of Punt, rich in gold, myrrh and ivory Queen of Sheba A local prospector led British archaeolo
Slide 7: History of the Exploitation of the Tulu Kapi Gold Deposit
HISTORY OF THE EXPLOITATION OF THE TULU KAPI GOLD DEPOSIT The Tulu Kapi gold project is located in the West Oromia region of Ethiopia, approximately 550km west of Addis Ababa; Tulu Kapi has had a stop-start history of exploitation due to its modest grade in ancient times, wars, civil uprising, commu
Slide 8: Ethiopia 1934–1941: Italian Mining Activity
ETHIOPIA 1934 – 1941: ITALIAN MINING ACTIVITY In 1935, Fascist Italy invaded Ethiopia, commencing a war which ended with the annexation of the country to the Italian Colonial Empire, but only briefly until 1941; In 1936, the Colonial Mining Service (SMC) was set up to carry out rapid exploration of
Slide 9: 1934–1941: Italian Mining Activity: S.A.P.I.E.
1934 – 1941: ITALIAN MINING ACTIVITY: S.A.P.I.E. In 1939, S.A.P.I.E. reported reserves of c. 37,000 oz Au in alluvials, saprolite and in quartz veins at Tulu Kapi (UNDP, 1980); The area of saprolite mining is located in the centre of the planned open cut at Tulu Kapi; Italian mining initiatives howe
Slide 10: 1934–1941: Italian Mining Activity: S.A.P.I.E.
1934 – 1941: ITALIAN MINING ACTIVITY: S.A.P.I.E. 10
Slide 11: Early Mapping and Exploration Drilling by the Italian Corps
EARLY MAPPING AND EXPLORATION DRILLING BY THE ITALIAN CORPS “Perforation by drilling on the 11 research of a vein”
Slide 12: Exploration Technology & Mining Infrastructure
EXPLORATION TECHNOLOGY & MINING INFRASTRUCTURE “local labour digging a trench for research” Construction of a water canal, presumably from the Birbir River to Tulu Kapi 12
Slide 13: 1969 to Current: Modern Exploration. UNDP
1969 TO CURRENT: MODERN EXPLORATION. UNDP Modern exploration and prospecting works started in the area after the creation of the Geological Survey of Ethiopia in 1968. Reconnaissance and detailed mapping and mineral surveys were carried out by the United Nations Development Program (UNDP) from 1969
Slide 14: 1969 to Current: Modern Exploration TTR & GPMC
1969 TO CURENT: MODERN EXPLORATION TTR & GPMC In 1996, Canadian company Tan-Range Resource (TRR) was granted the first privately owned exploration licence in the Tulu Kapi area. Despite encouraging surface and test drilling results, TRR abandoned the licence area in 1998, possibly due to a significa
Slide 15: Modern Exploration: GPMC to Nyota
1969 TO CURENT: MODERN EXPLORATION GPMC TO NYOTA C “The discovery”: GPMC (May 2005 to August 2009) Golden Prospect Mining Company (GPMC), acquired the exploration licence (20sq km), in May 2005. At Tulu Kapi GPMC carried out further detailed exploration including geological mapping, trenching, and g
Slide 16: Modern Exploration: Nyota
1969 TO CURENT: MODERN EXPLORATION NYOTA By Dec 2012, Nyota had drilled a total of 305 diamond holes for 71,015m and 401 RC holes for a total of 51,543m, including 70 hydro RC holes totaling 6,202m, and excavated 16 trenches for a total length of 349m and had spent a total of ca. US$50M; The Oct 201
Slide 17: Greatest Value Created from Early Discovery and Fast Track to Development
GREATEST VALUE CREATED FROM EARLY DISCOVERY AND FAST TRACK TO DEVELOPMENT KEFI Minerals (December 2013 to date) The “discovery” by KEFI was essentially one of geological interest as KEFI had discovered several new gold occurrences in its JV exploration properties in Saudi Arabia that were associated
Slide 18: Reducing Capex and Opex
REDUCING CAPEX AND OPEX KEFI’s subsequent desk-top study in 2013 confirmed KEFI’s earlier notion that the Tulu Kapi deposit should be an economic 1Moz Au open cut mine. The 2012 DFS had a reasonable SR of 9:1, metallurgical recoveries of 93%, cheapest electricity in the world (3c/kWh), and reasonabl
Slide 19: 2013 to Current: KEFI Minerals Adding Value
2013 to CURRENT: KEFI MINERALS ADDING VALUE After acquiring Tulu Kapi in December 2013, KEFI reviewed and interpreted the extensive previous data assembled, carried out trenching and limited drilling to increase geological understanding and to verify the previous resource model; In March 2014 using
Slide 20: 2013: KEFI Minerals Adding Value
2013: KEFI MINERALS ADDING VALUE To support this new resource estimate and geological interpretation, KEFI carried out trenching and RC drilling from Feb to May 2014. 82 trenches (1,050m) and 30 RC holes (4,283m) in the open pit area; Results confirmed the north-east strike continuity of mineralisat
Slide 21: Tulu Kapi Resources & Reserves
TULU KAPI RESOURCES & RESERVES
Slide 22: Comparison of Project Parameters
COMPARISON OF PROJECT PARAMETERS KEFI pursued an alternative approach for Tulu Kapi aimed at significantly reducing the anticipated aggregate capital and operating expenditure, which provides less start-up risk and a higher overall return. Further refinements since the 2017 DFS Update further lifted
Slide 23: Tulu Kapi: Geology, Alteration and Mineralisation
TULU KAPI: GEOLOGY, ALTERATION AND MINERALISATION The Tulu Kapi region has typical Precambrian geology which is characterised by prominent hills of intrusive rocks and deeply incised valleys containing meta-sediments and meta- volcanic rocks; At Tulu Kapi gold is hosted in quartz-albite alteration z
Slide 24: Tulu Kapi: Deposit Type
TULU KAPI: DEPOSIT TYPE Tulu Kapi deposit comprises a series of stacked gold bearing quartz-pyrite- carbonate veins within albite altered zones that dip 20-30° WNW Section looking to Stereographic plot: 015 (A) Pole to mineralised veins Max= 030/27NW (B) Pole to mineralised shears (015/22 NW) High G
Slide 25: Alteration and Mineralisation
ALTERATION AND MINERALISATION The mineralisation commonly occurs in veins, crackle zones and minor breccia zones. The typical Tulu Kapi gold mineralisation is associated with sulphide-bearing albite alteration and quartz veins (replacement and fracture fillings). Albite occurs as overgrowths on orig
Slide 26: Tulu Kapi: Mineralisation and Alteration
TULU KAPI: MINERALISATION AND ALTERATION Sulphide assemblage, reflected light: TKBH_014, (Taylor, 2008) Gold cluster, reflected light: TKBH_014 (Taylor, 2008) • Sulphides represented mainly by pyrite often associated with Ilmenite, lesser marcasite bornite,) sphalerite, galena and trace of chalcopyr
Slide 27: %Na and Au
%Na and Au Further research for similar deposit styles in Saudi and the ANS resulted in KEFI’s attention on the Tulu Kapi prospect in Ethiopia. 27
Slide 28: Underground Mine Potential
UNDERGROUND MINE POTENTIAL POTENTIAL TO EXTEND LIFE AND INCREASE GRADE The underground provides strong upside Thick, high-grade gold zones below open pit Preliminary studies based on current resource only: Current underground resource1 o Open Pit + Underground production ≈ c. 200Koz pa o Additional
Slide 29: Tulu Kapi: The 'Deeps'
TULU KAPI: THE ‘DEEPS’ “Deeps” mineralisation a plunging shoot to NNE TKBH_293 89 m @ 2.8 g/t Au TKBH_125 • intersection of mineralisation 140 m down-plunge of Deeps shoot • Hole was not targeting the Deeps
Slide 30: Tulu Kapi: The 'Deeps'
TULU KAPI: THE ‘DEEPS’ BHID FROM TO Au Ag Ratio As Bi Cd Cu Fe In Mo Pb Sb Se Te Zn TKBH_285 378 379 10.45 3.98 0.38 23.4 0.04 0.17 117 7.4 0.01 1.49 82.2 0.77 0.7 0.02 13 TKBH_285 379 380 5.52 2.97 0.54 44.3 0.17 2.24 101 5.71 0.01 1.36 373 1.19 0.6 0.03 461 TKBH_285 380 381 9.29 3.1 0.33 39.1 0.18
Slide 31: Tulu Kapi Near-Mine Exploration: Guji-Komto Belt
TULU KAPI NEAR-MINE EXPLORATION FURTHER TESTING OF GUJI-KOMTO BELT NEAR-TERM GOLD PRODUCTION OPPORTUNITIES KEFI can quickly add to Tulu Kapi low-cost, open-pit gold production Shallow gold resources within trucking distance of TK processing plant or as a stand- alone heap-leach operations Potential
Slide 32: Ethiopia: Thriving Regional Economy; Exploration: Guji
ETHIOPIA: THRIVING REGIONAL ECONOMY EXPLORATION: GUJI PRIORITISED MINING SECTOR VG in Guji drill sample Limonitised quartz stockwork: Komto primary gold mineralisation 32
Slide 33: Proximal Gold Targets
PROXIMAL GOLD TARGETS • Eight gold targets proximal to Tulu Kapi (from 2 to 15 km) with significant and encouraging trench and drill intersections • Longer term target to increase Tulu Kapi Mine life Targets Best Trench Best Drill Remarks Guji 19.3 m @ 4.4g/t Au 10 m @2.85 g/t Significant intersecti
Slide 34: New VMS Cu District Identified Near Tulu Kapi
NEW VMS Cu DISTRICT IDENTIFIED NEAR TULU KAPI High grade copper in new VMS prospect within 50km of Tulu Kapi Mining Licence; United Nations identified 6 new Cu bearing gossans in 1974 and drilled 6 diamond drill holes in the 1970’s over a 600m strike in one gossan; Best intercept of 14.3m at 3.2% Cu
Slide 35: Early Days for Modern Mining Industry in Ethiopia: An Emerging Gold Province
EARLY DAYS FOR MODERN MINING INDUSTRY IN Disclaimer ETHIOPIA: AN EMERGING GOLD PROVINCE Artisanal mines, prospects and major Au and Cu deposits in Ethiopia • Highly prospective - limited modern exploration • Lege Dembi is the only operating Au mine • Dish Mountain and Ashashire represent an undevelo
Slide 36: Conclusions
CONCLUSIONS KINGDOM OF SAUDI ARABIA Discovery of Tulu Kapi was a culmination of many factors over a long period of time. The Arabian-Nubian Shield was long known to host many thousands of gold and base metal occurrences and was a good place to explore, which brought the initial Italian interest. The
Slide 37: Thank You
KEFI MINERALS
Slide 38: Contacts
CONTACTS Harry Anagnostaras-Adams, Executive Chairman Wayne Nicoletto, Chief Operating Officer John Leach, Finance Director Cyprus - Group corporate team Ethiopia - Development and exploration teams Saudi Arabia - Exploration team Email: info@kefi-minerals.com Website: www.kefi-minerals.com IFC Advi
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