Golden Cross Resources Ltd · ASX:GCR
Golden Cross Resources — Investor Presentation (July 2015)
27 slides from Golden Cross Resources's investor presentation, Jul 22, 2015
Slide 1: Value delivery from the Copper Hill Project
For personal use only Value delivery from the Thank you Copper Hill Project
Slide 2: Corporate Directory
Corporate Directory For personal use only Golden Cross Resources Limited (ASX: GCR) Board of Directors Jingmin Qian Non Executive Director & Interim Chairman Ian Buchhorn Non Executive Director Li Xiaoming Non Executive Director Li Yan Alternate Director for Mr Li Wang Yuanheng Non Executive Directo
Slide 3: Disclaimer and Competent Person Statement
Disclaimer and Competent Person Statement For personal use only • This material contains certain forecasts and forward-looking information, including information about possible or assumed future performance, exploration results, resources or potential growth of Golden Cross Resources Ltd, industry g
Slide 4: Revised Strategic Direction
Revised Strategic Direction For personal use only • Move from large portfolio of exploration tenements across Australia and off-shore to Copper Hill focus. • Retain core projects and (potential) income generating assets such as royalties • Assess short to medium term development options for Copper H
Slide 5: Copper Hill – Cu/Au
Copper Hill – Cu/Au For personal use only • Large porphyry system within a very well endowed mineral province • 100% owned by GCR • Resources outlined and positive Scoping Study completed based on mining and processing 2 – 3Mtpa of higher grade mineralisation • Next step is Pre- feasibility Study
Slide 6: Overview Geology and Structure
Overview Geology and Structure For personal use only • NW (GN) trending intrusive suite (pink) in host Ordovician volcanics (green) • Detailed surface mapping and orientated core analysis • Dominant GNW, GN-S structures with subordinate GNE set.
Slide 7: Mineralisation Stages and Style
Mineralisation Stages and Style For personal use only • 6 Stages of mineralisation recognised – 5 primary and one weathering event • Stages 1 – 3 are the key mineralising events • Stage 1 – disseminated Cu • Stage 2 – GNS related Cu, Mo • Stage 3 – dominantly GNW Au, Cu associated with qtz magnetite
Slide 8: Excellent Results from 2014 Drilling
Excellent Results from 2014 Drilling For personal use only Hole From (m) To (m) Interval Copper % Gold g/t (m) (ppm) 470 11 166 155 0.93% 2.5 • Broad zones of >0.5% Cu intersected including 11 71 60 1.83% 5.4 in all holes 470 171 210 39 0.61% 0.09 • Shallow high grade 471 126 138 13 0.74% 0.43 miner
Slide 9: 2015 Resource Estimate
2015 Resource Estimate For personal use only • Update completed to include; – Excellent results from 2014 drilling – Recent improvements in geological, geochemical and structural understanding of the mineralisation (360 Geoscience and GCR) – Mineralisation types, geometry and extent (previous model
Slide 10: 2015 (JORC 2012) Resource Estimate
2015 (JORC 2012) Resource Estimate For personal use only • 28Mt of high grade resource at 0.56% Cu and 0.53 g/t Au • Global resource 87Mt @ 0.36% Cu and 0.32 g/t Au • Unclassified material of 25Mt @ 0.28% Cu and 0.19 g/t Au • Resource remains open at depth and source of post Stage 3 mineralisation n
Slide 11: Mineralisation and Pit Constrained Resource
Mineralisation and Pit Constrained Resource For personal use only • Overall Grid NNW strike and steep easterly dip • High grade zones Grid N-S and NW strike – mimic structural directions • Strongest depth continuity down plunge of intersection of N-S and NW structures • Includes flat lying high grad
Slide 12: Whittle Pit Optimisation - Summary
Whittle Pit Optimisation ‐ Summary For personal use only Base Case Revenue Factor 1 Shell 36 • Mine life of 12 years Ore Tonnes 24,049,836 for 2 Mtpa option Tonnes Grade Au (ppm) 0.50 and 9 years for 3 to Mill Grade Cu (%) 0.5% Mtpa Mine Life 12.0 • Strip ratio ~ 2:1 Product Au (g) 8,423,363 • Under
Slide 13: Strategic Mining Schedules (2 & 3 Mtpa)
2 & 3 Mtpa Strategic Mining Schedules For personal use only • Strategic Schedules reflect early access to higher grade near surface • 90t truck fleet and 200t excavator sufficient for all 2Mtpa and most 3Mtpa years
Slide 14: Metallurgical Testwork History – Stages
Metallurgical Testwork History – 4 Stages For personal use only • Stage 1 (Perkins) – Selective Flotation of Higher Grade Samples – Excellent Results from GCRH 64 - Cu grades 0.56-2.15% – Recoveries 87-94% & Gold recoveries 77-84% – Copper concentrate grade range of 27-33% • Stage 2 (Kellet) – Bulk
Slide 15: Metallurgical Testwork Results - Summary
Metallurgical Testwork Results ‐ Summary For personal use only Modelling Cu Grade v's Recovery • Virtually all testwork done on 100 grades of 0.2 – 0.3%Cu • Variable results especially in early 90 programs – sample impacts? 80 Recovery % • Significant historically test work 70 Testwork Results deter
Slide 16: Metallurgical Testwork Historical Sample Analysis
Metallurgical Testwork Historical Sample Analysis For personal use only • Some samples contained significant intervals outside the likely ore feed and possibly influenced results – especially variability • Low grade of feed has led to exploring multiple options % of Intervals Outside the Number of I
Slide 17: Metallurgical Testwork – Next Steps
Metallurgical Testwork – Next Steps For personal use only • Flotation Flowsheet Optimisation – Historic testwork has not provided optimal flowsheet for higher grade mineralisation • Concentrate Quality – Generally OK but silica levels in AOG4 testwork at Bernie were high ‐ will need to be address wi
Slide 18: Process Plant – CPC Updated Flowsheet
Process Plant – CPC Updated Flowsheet For personal use only • SAG mill and Ball mill configuration • Flotation – As per Calder Study replaces 3 stage crushing and Ball mill • Cleaner Scavenger • Regrind + Cleaner + Re-Cleaner • Reduced CAPEX and improved operability Further Optimisation of the Proce
Slide 19: Concentrator Capital Cost Estimate (2 & 3 Mtpa)
2 & 3 Mtpa Concentrator Capital Cost Estimate For personal use only 2Mtpa CAPEX 3Mtpa CAPEX A$M A$M • CPC updated Process PROCESS PLANT COSTS Plant Costs led to a 20% PROCESS PLANT DIRECT COSTS 53.9 68.8 saving in Mechanical NON PROCESS PLANT DIRECT COSTS 3.7 4.7 Equipment Costs PROCESS PLANT INDIRE
Slide 20: Operating Unit Cost Summary
Operating Unit Cost Summary For personal use only • Mining OPEX Unit 2 and 3Mtpa Mining OPEX Average Mining Unit Cost $/t Moved (Ore and Waste) 2.86 Grade Control Cost $/t Mill Feed 1.20 • Process Plant OPEX 2Mtpa Unit 3Mtpa Unit Area Unit Cost Cost Process Plant Variable $/t Mill Feed 8.96 8.96 Mai
Slide 21: Copper Hill - PFS Work Plan (1)
Copper Hill - PFS Work Plan (1) For personal use only • Geology – In-fill drilling to improve resource definition in sparsely drilled areas, increase density data and twin historical RC holes to support updating the Resource Estimate. – Further studies in conjunction with Stuart Hayward and Greg Cor
Slide 22: Copper Hill - PFS Work Plan (2)
Copper Hill - PFS Work Plan (2) For personal use only • Mining Studies – Project Support Optimisations and Strategic Scheduling based on the updated resource model • Pre-Feasibility Level Engineering Studies – Comminution Circuit option analysis – Concentrator throughput reviews (2 to 4Mtpa) – Updat
Slide 23: Copper Hill - PFS
Copper Hill - PFS For personal use only • Management – Team as for 2015 Scoping Study led by CEO – Study Manager, Consulting Metallurgist, Geologist and Data Base/GIS • Contractors – Resource Estimate – Mining Study – Environmental and Hydrology – Tailings Characterisation and Storage Design – PFS L
Slide 24: Copper Hill Exploration Upside
Copper Hill Exploration Upside For personal use only • Source of over-print alteration on Stage 3 mineralisation not yet intersected in drilling – deeper porphyry system? • Buckley’s Hill at depth • Anomalous target zones east of Buckley’s Hill (Copper Hill North) and the IP and copper- gold soil an
Slide 25: Cargo – Au/Cu (GCR 100%)
Cargo – Au/Cu (GCR 100%) For personal use only • 12 km west of the Cadia- Ridgeway gold -copper mining operation. • Large mineralised porphyry with gold-bearing alteration systems. • Historic gold production of 10,000 ounces since 1858. • Near-surface Inferred Resource* estimate of 4.0 million tonne
Slide 26: Cargo – Au/Cu
Cargo – Au/Cu For personal use only • All lodes drilled to date are mineralised • JORC 2004 resource of 4 million tonnes at 1.19g/t gold (0.8g/t Au lower cut) containing 154,000 ounces of gold at Spur Dalcoath • Broad zones of low grade Cu mineralisation in broadly spaced drilling • Next Steps • Geo
Slide 27: Thank you for your support
For personal use only Thank you for your support Thank you
Golden Cross Resources — Investor Presentation (July 2015) on 6ix