Chalice Mining Limited · ASX:CHN
Chalice Mining — Chalice Gold Mines — Investor Presentation (July 2009)
22 slides from Chalice Mining's investor presentation, Jul 2, 2009
Slide 1: The New East African-Focused Gold Company
For personal use only “The New East African- African-Focused Gold Company” www.chalicegold.com Corporate Presentation July 2009
Slide 2: Disclaimer
Disclaimer For personal use only The material used in this presentation is intended to be a summary of the proposed merger between Chalice Gold Mines Limited and Sub-Sahara Resources NL and includes activities that are current and proposed based on the information available to Chalice Gold Mines Lim
Slide 3: Overview
Public company developing the Zara Gold Project For personal use only in Eritrea, East Africa Targeting 100,000 ozpa production from known 944,000oz resource Merger with Sub-Sahara Resources NL to be completed in August 2009 (subject to shareholder approval) Strategic landholding in emerging Arabian
Slide 4: Merger Overview
Chalice and Sub-Sahara to merge via Scheme of For personal use only Arrangement; fully supported by both Boards Scheme consideration to comprise 1 Chalice share for 10.73 Sub-Sahara shares Merger to combine Chalice’s strong cash position with Sub- Sahara’s 69% interest in the Zara Gold Project Chali
Slide 5: Post Merger Snapshot
Post Merger Board Approx 121M shares on issue For personal use only Tim Goyder (Executive Chairman) Doug Jones (Managing Director) Market Cap of ~A$30M (based on Mike Griffiths (Executive Director) Chalice share price of $0.25) Anthony Kiernan (Non-executive Director) Studies commenced to rapidly pr
Slide 6: Gold in the Arabian-Nubian Shield
Emerging gold and base metal province – current gold endowment For personal use only >20Mozs Numerous multi-million oz gold deposits and mines dating back to ancient times Largely unexplored in modern times Centamin’s 13Moz Sukari Gold Mine in Egypt commenced production Nevsun’s $250M Bisha gold & b
Slide 7: Zara Gold Project – Location
For personal use only Zara Gold Project – Location 7
Slide 8: Eritrea Overview
Stable operating and social For personal use only environment Proactive Government stance on mining developments – “open for business” Modern Mining Code Increasing foreign exploration & mining investment – 13 groups now active in country Eritrea Overview 8
Slide 9: Zara Project – Regional Setting
Major regional scale structural For personal use only corridor controls gold Koka Prospect occurrences Konate Prospect Fah Prospect Tenements cover 50km strike Debre Keyih Debre Tsaeda Prospect on this corridor (600km²) Prospect Numerous prospects identified from artisanal gold workings Koka Deposit
Slide 10: The Koka Gold Deposit
Koka Deposit - JORC compliant resource of 5 Mt at 5.8 g/t gold for 944,000 oz For personal use only Based on results from 109 diamond drill holes (~18,000m drilled) 600m strike length, 20-30m wide and open at depth Only drilled to 250m below surface Bulk of resource shallower than 150m Category Lowe
Slide 11: Koka Gold Deposit - looking north
For personal use only Koka Gold Deposit - looking north
Slide 12: Koka Deposit - Mineralisation
Galena Visible Gold For personal use only Pyrite Quartz stockwork veins cutting microgranite; similar in style to Sukari gold mineralisation Visible gold & high gold values associated with sulphides in quartz veins Limited oxide – bulk of resource is primary sulphide Metallurgically simple - prelimi
Slide 13: Koka Deposit – 3D Model
For personal use only Koka Deposit – 3D Model 13
Slide 14: Koka Deposit – Section 9840N
For personal use only 33m @ 4.17 g/t 28m @ 8.16 g/t 18m @ 9.46 g/t 7m @ 23.29 g/t Koka Deposit – Section 9840N 14
Slide 15: Koka Deposit – Section 9520N
W E For personal use only 10m @ 76.8 g/t 11m @ 14.7 g/t 6m @ 42.3 g/t Koka Deposit – Section 9520N 15
Slide 16: Koka Exploration – 'near mine'
Exploration to date For personal use only focused on Koka Main Zone – very little drilling outside this target Other targets identified include: Koka Main Zone Koka East Koka East – artisanal workings on high-grade quartz vein Koka South Ext. Koka South Extension – IP Resistivity anomaly Koka Explor
Slide 17: Koka Exploration – IP Resistivity
Koka Main Zone associated For personal use only with IP Resistivity anomaly Koka Reflects silica alteration Main Zone associated with mineralization Strong IP Resistivity anomaly identified 500m to the south Ground follow-up confirmed Koka South Ext zone of silica-sericite altered Resistivity Anomal
Slide 18: Koka South Extension – Geochemistry
Anomalous gold values For personal use only associated with Koka Sth Ext resistivity and alteration zone Koka Koka Drill holes into northern South East Ext Ext end of zone confirmed Koka-style alteration and mineralization Potentially the top of a ‘blind’ system open to south and down plunge Koka Ea
Slide 19: Regional Exploration … virtually untouched
• No exploration in district For personal use only before 1998 when Koka discovered Koka Prospect • Koka geological setting Konate Prospect extends throughout 600km2 Fah Prospect Debre Keyih tenement block Debre Tsaeda Prospect Prospect • Numerous prospects identified from artisanal gold workings •
Slide 20: Forward Program
Complete Scoping Study in October 2009 For personal use only Complete Feasibility Study in May 2010 o 5,000m of drilling to upgrade resource o Hydrological drilling – contract let o Metallurgical testwork commenced o Socio-economic studies & EIS ongoing Lycopodium appointed to lead engineering studi
Slide 21: Summary
Focused growth strategy via merger with Sub-Sahara For personal use only Rare opportunity to develop a high-grade gold project with major exploration upside Strategic ground position in highly gold endowed, under- explored Arabian-Nubian Shield Targeting 100,000 ozpa production from known 944,000oz
Slide 22: Competent Persons Statement
Competent Persons Statement For personal use only The information in this report that relates to Exploration Results is based on information compiled by Dr Doug Jones, a full-time employee and Director of Chalice Gold Mines Limited, who is a Member of the Australasian Institute of Mining and Metallu
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