Andean Silver Limited · ASX:ASL
Andean Silver — Investor Presentation (December 2023)
32 slides from Andean Silver's investor presentation, Dec 1, 2023
Slide 1: Cerro Bayo Silver-Gold Project Investor Presentation
INVESTOR PRESENTATION November 2023 CERRO BAYO SILVER-GOLD PROJECT A high-grade Chilean silver-gold mining project positioned to supply long-term critical minerals World Class Minerals province Poised for rapid resource growth with ~25Moz AgEq Inferred Resource A$150M Existing Infrastructure i
Slide 2: Disclaimers
DISCLAIMERS This presentation has been prepared by Mitre Mining Corporation Limited (ACN 645 578 454) (Company) based on information from its own information involves known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or and third party sources
Slide 3: Disclaimers
DISCLAIMERS FINANCIAL DATA All dollar values are in Australian dollars (A$ or AUD) unless otherwise stated. The information contained in this Presentation may not necessarily be in statutory format. Amounts, totals and change percentages are calculated on whole numbers and not the rounded amounts pr
Slide 4: Cerro Bayo Silver-Gold Project: A Transformational Acquisition
CERRO BAYO SILVER-GOLD PROJECT A TRANSFORMATIONAL ACQUISITION ‣ A significant ready-to-go underground & open pit silver-gold mine in the Deseado Massif, Chile ‣ A world class mining province host to Newmont, Yamana, Anglo Ashanti, McEwen Mining ‣ Rapid and immediate resource growth potential THE OPP
Slide 5: Board and Management
BOARD AND MANAGEMENT Proven leadership team in the resource sector Maddison Cramer Company Secretary Bellevue Gold, Cygnus Metals, Auteco Minerals, Midas Minerals Sue Field Financial Controller Alicanto Minerals, Cygnus Metals, Riedel Resources Patrick Gowans Ray Shorrocks Carl Travaglini Tim Laneyr
Slide 6: Silver – Critical in Everyday Life
SILVER – CRITICAL IN EVERYDAY LIFE 1600 800 Anticipated 1400 700 US demand only 1200 600 1000 Moz SIlver 500 800 Moz Silver 400 600 300 400 Global Silver Demand in Solar Industry 200 200 0 100 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023E 0 Mine (Moz) Recycling (Moz) Demand (Moz) 2014 2015 2016
Slide 7: Low-cost acquisition of a quality mid-tier scale Silver-Gold project
INVESTMENT HIGHLIGHTS Low-cost acquisition of a quality mid-tier scale Silver-Gold project Upside Resources and Mines Infrastructure Significant Resource Growth Shallow high-grade Silver-Gold with A$150M of infrastructure & investment in place multiple mining fronts Large strategic landholding of
Slide 8: Chile – A World Class Endowment
CHILE – A WORLD CLASS ENDOWMENT PREMIER 30Moz GOLD EQUIVALENT RESOURCES AND RESERVES Location of the Cerro Bayo Project in the Deseado Massif and Historic Production *Significant historic and operating mines with approximate past production-remaining resources
Slide 9: Cerro Bayo – A Premier Mining District
CERRO BAYO – A PREMIER MINING DISTRICT • Cerro Bayo project represents ~300km2 of highly prospective tenure • Historic combined silver and gold production of 91Moz Silver Equivalent between 1995- 2017 (~0.65Moz Au and ~45Moz Ag)1 • 2 mining districts within the package, to be 100% owned by MMC • Lag
Slide 10: Cerro Bayo – District Scale Potential
CERRO BAYO – DISTRICT SCALE POTENTIAL Pegaso 6 & 8 veins rock chips: 2km • 16,547 g/t Ag & 19.1 g/t Au Brillantes high-grade vein rock chips: • 4.326 g/t Ag & 15.2 g/t Au • 1,311 g/t Ag & 5.56 g/t Au • 4,240 g/t Ag & 10.3 g/t Au • 704 g/t Ag & 4.2 g/t Au • 2,797 g/t Ag & 10.1 g/t Au • 556.5 g/t Ag &
Slide 11: High Grade Open Pit Resource - Taitao Pit
HIGH GRADE OPEN PIT RESOURCE - TAITAO PIT JORC Inferred Resource of 3.81Mt @ 206g/t for 24.7Moz AgEq Open pit broad breccia target zone with high grade underground feeder veins Resource from surface with open pit average depth of 45m Optimised pit crest within 100m of processing facility S
Slide 12: Immediate High-Grade Growth - Delia Veins
IMMEDIATE HIGH-GRADE GROWTH - DELIA VEINS ‣ High-grade mineralisation OPEN ‣ Vein width typically up to 5.2m ‣ Current Resource open to the south and down plunge ‣ Number of high-grade veins parallel and oblique to Delia not in resource ‣ Drill testing of southerly strike and plunge extensions and b
Slide 13: Immediate High-Grade Growth - Coyita Veins
IMMEDIATE HIGH-GRADE GROWTH - COYITA VEINS ‣ High-grade mineralisation OPEN ‣ Exceptional grades underpin a high value resource ‣ Coyita veins over 1.3km of strike ‣ Access via the established Coyita Decline ‣ Drilling will test the southerly plunge and strike extensions which remain untested
Slide 14: Cerro Bayo – District Scale Potential
CERRO BAYO – DISTRICT SCALE POTENTIAL Pegaso 6 & 8 veins rock chips: 2km • 16,547 g/t Ag & 19.1 g/t Au Brillantes high-grade vein rock chips: • 4.326 g/t Ag & 15.2 g/t Au • 1,311 g/t Ag & 5.56 g/t Au • 4,240 g/t Ag & 10.3 g/t Au • 704 g/t Ag & 4.2 g/t Au • 2,797 g/t Ag & 10.1 g/t Au • 556.5 g/t Ag &
Slide 15: Huge Regional Upside – Cerro Diablo and Los Domos
HUGE REGIONAL UPSIDE – CERRO DIABLO AND LOS DOMOS Cerro Diablo Regional Permit Los Domos Regional Permit ~20km Northwest of the Cerro Bayo Mill ~50km by road Southeast of Cerro Bayo Mill • Large Permit area undrilled. • Exception high grade surface rock chips including; • Large Permit with high prio
Slide 16: Ready to Go A$150M Mine Infrastructure
READY TO GO A$150M MINE INFRASTRUCTURE Situated 20km by road west of the mining town of Chile Chico (population 5,000) CERRO BAYO MINE COMPLEX PROCESSING FACILITY SITE INFRASTRUCTURE MINING EQUIPMENT • 2 Mining districts • 1,650tpd floatation plant in excellent • 1,600m2 mine administration complex
Slide 17: Potential Re-Rate Through Rapid Growth and Near-Term Production
POTENTIAL RE-RATE THROUGH RAPID GROWTH AND NEAR-TERM PRODUCTION EXPLORERS/DEVELOPERS PRODUCERS $600 $594 8.0 1,200 Mill $546 EV/OZ 7.0 MI&I Grade No Mill Global Resoruce GRade (Ageq g/t) 1,000 $500 6.0 Comparable high-grade Explorers Axis EV/Oz Ageq (A$) 800 $400 $376 5.0 EV/oz ~ A$2.25 $316 EV (A$m
Slide 18: A World Class Deposit in the Making
Silver Equivilant (Moz) 50 0 100 150 200 250 Immaculda (HOC) La Coipita (ABRA) Refer to Appendix B for comparative data. San Dimas (FR) immediately Dolly Varden (DV) through drilling starting Las Chispas (SIL) Rapid low-cost resource growth Azuca (HOC) Terronera (EDV) Pallancata (HOC) Zgounder (AYA)
Slide 19: Catalyst Rich - Months Newsflow
CATALYST RICH - 12 MONTHS NEWSFLOW First 12 months of works is to create value with the drill rig Multiple high-grade silver and gold targets with rapid low-cost and high-grade resource growth. MILESTONE DETAILS Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Transaction Execution Transaction execut
Slide 20: Cerro Bayo Silver-Gold Project: A Transformational Acquisition
CERRO BAYO SILVER-GOLD PROJECT A TRANSFORMATIONAL ACQUISITION Highlights ‣ A significant ready-to-go silver-gold mine in the Deseado Massif, Chile ‣ A world class mining province host to Newmont, Yamana, Anglo Ashanti, McEwen Mining ‣ Rapid and immediate resource growth potential – Drilling to start
Slide 21: Equity Raising Overview
MITRE MINING CORPORATION ty Raising Ove
Slide 22: Equity Raising Overview
EQUITY RAISING OVERVIEW ‣ Two-tranche institutional placement to raise up to A$8.3 million (before costs) ("Placement" or "Offer") ‣ The Placement will comprise the issue of approximately 36.5m new fully paid ordinary shares ("New Shares") ‣ Tranche 1 to raise approximately A$2.3 million utilising t
Slide 23: Sources and Uses
SOURCES AND USES Sources A$M Existing Cash (30 September 2023) 2.1 Placement Proceeds 8.3 Total Sources 10.4 Uses A$M Cash Consideration for Acquisition 3.5 Resource & Exploration Expansion Drilling 3.0 Care & Maintenance Costs 2.0 Working Capital and Costs of the Offer 1.9 Total Sources 10.4
Slide 24: Pro-Forma Capital Structure
PRO-FORMA CAPITAL STRUCTURE Units Current Pro-Forma No. of Ordinary Shares1,4 M 45,350,100 86,850,100 Market Capitalisation at Offer Price1 A$M 10.0 17.3 Cash and Equivalents1,2,3 A$M 2.1 6.9 Enterprise Value1,2,3,4 A$M 7.9 10.4 1. Assumes A$8.3 million raised under the Placement at an issue price o
Slide 25: Indicative Equity Raising Timetable
INDICATIVE EQUITY RAISING TIMETABLE Event Date Trading Halt and launch of Placement bookbuild Wednesday, 29 November 2023 Announcement of Equity Raising and recommencement of trading Friday, 1 December 2023 Settlement of Tranche 1 Thursday, 7 December 2023 Tranche 1 Placement Shares allotted and com
Slide 26: Cerro Bayo Transaction
CERRO BAYO TRANSACTION Mitre has entered into definitive transaction documentation to acquire all the assets of the Cerro Bayo Group from Equus Mining Limited (“Equus”) (the “Acquisition”). Consideration • Total upfront consideration payable under the Acquisition agreement of A$4.0 million to be p
Slide 27: Appendices
Appendices A. Infrastructure Overview B. Silver-Gold Company Comparisons C. Silver Deficit Comparisons D. Mineral Resources
Slide 28: Appendix A – Infrastructure Overview
APPENDIX A – INFRASTRUCTURE OVERVIEW 500ktpa FLOAT PLANT & POWER SAG MILL ROUGHER SCAVENGER BALL MILL THICKENER VERTI MILL TANK CLEANER Current Power Grid (6 x 1MW installed + 3 Disconnected backup Power Grid (6 x 1MW Wind power (1.8MW total) spare + 1 x 500KW) New Filter Press (installed diesel Gen
Slide 29: Appendix A – Infrastructure Overview
APPENDIX A – INFRASTRUCTURE OVERVIEW COYITA AND DELIA MINE INFRASTRUCTRE DELIA SUR MINE COYITA NORTE MINE
Slide 30: Appendix B – Silver-Gold Deposit Comparisons
APPENDIX B – SILVER-GOLD DEPOSIT COMPARISONS Deposit country Company Tonnes (Mt) Ag (g/t) Au (g/t) Contained Ag (Moz) Contained Au (koz) Ageq (g/t) Ageq (Moz) SOURCE Immaculda Peru HOC 18.9 124 3.1 75.0 1864 381 231 https://www.hochschildmining.com/where-we-operate/reserves-resources/ La Coipita Arg
Slide 31: Appendix C – Silver Statistics
APPENDIX C – SILVER STATISTICS Global Silver production versus demand Year Mine (Moz) Recycling (Moz) Demand (Moz) Deficit (Moz) 2014 882 160.4 1110 -67.6 2015 896 146.9 1153 -110.1 2016 899.8 145.6 1074 -28.6 2017 863.6 147 1053 -42.4 2018 850.3 148.5 1081 -82.2 2019 836.6 148 1086 -101.4 2020 782.
Slide 32: Appendix D – Laguna Verde Project Mineral Resources
APPENDIX D – LAGUNA VERDE PROJECT MINERAL RESOURCES Inferred Mineral Resource Estimate as at 31 March 2020 Tonnes (kt) Au (g/t) Ag (g/t) AgEq (g/t) Au (koz) Ag (koz) AgEq (koz) Open Pit 2,915 1.6 38 171 148 3,602 15,886 Underground 901 2.7 77 301 79 2,242 8,799 Total - Inferred 3,816 1.9 48 206 227
Andean Silver — Investor Presentation (December 2023) on 6ix