Chalice Mining Limited · ASX:CHN
Chalice Mining — Chalice Gold Mines — Shareholder Meeting (November 2011)
20 slides from Chalice Mining's shareholder meeting presentation, Nov 22, 2011
Slide 1: Annual General Meeting Presentation
For personal use only Annual General Meeting Presentation 22 November 2011 1
Slide 2: Snapshot of Chalice
Snapshot of Chalice For personal use only Mine Development and Exploration in Eritrea Hi h High‐grade, d low l costt gold ld development d l t project j t (Koka)*: (K k )* Open pittable 760,000 oz Probable Reserve @ 5.1g/t Au Forecast gold production of 104,000 oz p.a. over 7 years for Koka alon
Slide 3: Highlights 2010/2011
Highlights 2010/2011 For personal use only Key agreements including Shareholders’ Agreement and Mining Agreement Mining licence imminent – opens way for development commencing 2012 and production in 2013 EPC Contractor tender process nearing completion Discussions with potential lenders unde
Slide 4: Corporate Strategy
Corporate Strategy For personal use only Koka Gold Mine development Fast track development to first gold pour in late 2013 Organic growth (near mine focus) Koka South extension Koka‐Konate Corridor exploration Aggressive regional exploration program Gold (Zara Project and regional targ
Slide 5: The Arabian Nubian Shield
The Arabian Nubian Shield For personal use only Centamin Barrick Sukari Jabal Sayid 15 year 10 year 500 koz k pa AuA 61 kt pa Cu La Mancha Chalice Hassai Zara Nevsun Sunridge Bisha 6 year Asmara 7 year 156 koz pa + VMS 104 koz pa Au 5 year >10 year Cu Zn Ag Au Au, Ag, Cu, Zn Long mining history (>
Slide 6: Current Ground Position
Current Ground Position For personal use only 1372 sq km 6
Slide 7: Koka Gold Mine – Key Metrics
Koka Gold Mine – Key Metrics For personal use only Gold price base case US$900 O milled Ore ill d 4 6 Mt 4.6 Grade 5.10g/t Au Strip ratio 10.4:1 Gold recovery 96.30% Life of mine 7 years Mill throughput 700,000tpa Average annual gold production 104,000 oz Total gold produced 730,000 oz Capex US$122M
Slide 8: Koka Gold Mines – Reserves & Resources
Koka Gold Mines – Reserves & Resources For personal use only Category Lower grade cut‐ Tonnes Grade Contained Gold off (g/t Au) (Mt) (g/t Au) (Oz) Indicated Resource 1.2 5 5.3 840,000 P b bl Reserve Probable R 12 1.2 46 4.6 51 5.1 760 000 760,000 N Near‐term t strategy t t to t increase i R Reserves
Slide 9: Koka Gold Mines – Development Strategy
Koka Gold Mines – Development Strategy For personal use only Q4/2013 production target based on original feasibility Process and schedule optimisation Plant Site Dump pA through EPC contract strategy and Dump B ROM Pad contractor solutions (not gold‐ Open plated....’fit for purpose’) Pit EPC C
Slide 10: Koka Development Schedule
Koka Development Schedule For personal use only Permitting, engineering, construction contracts and financing Construction Production d C l d Year Calendar Y 2011 2012 2013 2014 EPC Financing Construction Completion of Shareholders Mining > 100,000 oz production Contract (April) Ramp up construction
Slide 11: Koka Gold Mine – Financing Strategy
Koka Gold Mine – Financing Strategy For personal use only Seeking a majority debt financing solution Aim is to limit equity component of financing Multiple interested financiers identified Chalice share of overall development costs ~US$100 million Net proceeds from ENAMCO sale may be contr
Slide 12: Eritrean Exploration Portfolio
Eritrean Exploration Portfolio For personal use only Multiple high‐grade high grade gold targets Koka South Debre Tsaeda Konate –Alidar Zara North prospects p p Potential high tonnage, low‐grade gold targets Debre Konate VHMS targets VTEM conductors on Mogoraib North Jani prospect on Z
Slide 13: Koka-Konate Corridor Drilling
Koka‐Konate Corridor Drilling For personal use only 13
Slide 14: Koka South – Long Section
Koka South – Long Section For personal use only Narrow high grade system Drill‐indicated strike length of 250m and open to south andd att d depth th Drill results include: 1m @168g/t Au 5m @86.2g/t Au 4m @29.6g/t Au 8m @ 7.36g/t Au Diamond drilling ongoing until the end of 2011 Aim
Slide 15: Debre Konate – a new style of mineralisation?
Debre Konate – a new style of mineralisation? For personal use only Located 3km south of Koka within Koka‐Konate corridor Coincident soil gold & lead anomalies, artisanal workings and IP resistivity target g Multiple narrow mineralised veins intersected within broad alteration envelope Poten
Slide 16: Debre Tsaeda Prospect
Debre Tsaeda Prospect For personal use only 16
Slide 17: Mogoraib North Project
Mogoraib North Project For personal use only Located ~10 km north of Nevsun’s Bisha VHMS Project with similar geological setting VTEM survey completed mid 2011 ~3825 line kilometres Numerous bedrock conductor targets identified – possible VHMS Follow‐up ground geophysics and soil geochem und
Slide 18: Summary
Summary For personal use only Low cost, high grade gold developer Production planned for late 2013 Strategy to organically grow production to >100,000 100,000 oz per year Aggressive exploration program underway 18
Slide 19: Disclaimer and Competent Persons Statement
Disclaimer and Competent Persons Statement For personal use only This presentation does not include all available Information on Chalice Gold Mines Limited and should not be used in isolation as a guide to investing in the Company. Any potential investor should also refer to Chalice Gold Mines Limit
Slide 20: Forward Looking Statements
Forward Looking Statements For personal use only This document may contain forward‐looking forward looking information within the meaning of Canadian securities legislation and forward‐forward looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995
Chalice Gold Mines — Shareholder Meeting (November 2011) on 6ix