St. George Mining Ltd. · ASX:SGQ
St. George Mining — Australian Nickel Conference 2018
25 slides from St. George Mining's conference presentation, Oct 23, 2018
Slide 1: Nickel-Copper Sulphide Discovery Continues to Grow
Nickel-Copper Sulphide Discovery Continues to Grow Australian Nickel Conference 23 October 2018 ASX: SGQ
Slide 2: St George – Growth Nickel Stock
St George – Growth Nickel Stock Nickel-copper sulphide discovery in WA Major Drilling to expand re-rating resource potential of St George Upswing in nickel price On right: Diamond drilling at Mt Alexander 2
Slide 3: St George – Corporate Overview
St George – Corporate Overview 3
Slide 4: Market Profile and Capital Structure
Market Profile and Capital Structure Listed shares (SGQ): 298,116,211 Share Ownership Listed options (SGQOB): 24,579,714 Top 10: 19% Top 20: 27% SGQOB - exercise price of 20c, expiring on 30 Sept 2020. Directors: 6% Market cap: A$39m (@12 per share) Cash: A$3.8m (at 30 Sept 2018) Largest Shareholder
Slide 5: Highly Qualified Team
Highly Qualified Team Directors, Management and Consultants with a Track Record of Success John PRINEAS, Executive Chairman – founding shareholder with over 25 years experience in mining, and the banking and legal sectors servicing the resources industry. Tim HRONSKY, Technical Director – over 25 ye
Slide 6: The Discovery at Mt Alexander
The Discovery at Mt Alexander 6
Slide 7: Mt Alexander
Mt Alexander Favourable Location Three Projects in Western Australia: • Stable and reliable mining jurisdiction MT ALEXANDER DISCOVERY • Exceptional discovery in Western Australia • High-grade nickel-copper sulphides Favourable Location: • Located S-SW of world class nickel and gold mines of the Agn
Slide 8: Exceptional Nickel-Copper Sulphide Discovery
Exceptional Nickel-Copper Sulphide Discovery Cathedrals Belt Discovery at Shallow Depths: • Massive sulphide mineralisation 30m from surface • Deeper drilling is underway to scope continuity at depth High Grade and Polymetallic: • Nickel sulphide plus copper, cobalt and PGEs • Key battery/EV metals
Slide 9: Large Mineral System
Large Mineral System • Investigators, Stricklands and Cathedrals Prospects are located within the 4.5km strike of the Cathedrals Belt – each with increasing resource potential • Definition drilling underway to fully scope the scale of the discovery Above: Mt Alexander tenements against RTP magnetics
Slide 10: Drilling Success Continues
Drilling Success Continues Wide intersections of high-grade Ni-Cu-Co-PGEs 2017 – some of the best intersections (with assays): MAD71 (Stricklands Prospect): 17.45m @ 3.01%Ni, 1.31%Cu, 0.13%Co and 1.68g/t total PGEs from 37.45m, including 5.3m @ 4.39%Ni, 1.45%Cu, 0.21%Co and 2.09g/t total PGEs from 3
Slide 11: Extensions of High-Grade Mineralisation
Extensions of High-Grade Mineralisation 11
Slide 12: Investigators Prospect
Investigators Prospect Multiple high-grade hits over a 1,500m strike High powered SAMSON electromagnetic (EM) survey identifies large areas of EM conductivity indicating potential for extensive sulphide mineralisation Mineralised ultramafic unit dips 30 degrees to the north Drilling on three n
Slide 13: Plunge Increased by Latest Drilling
Plunge Increased by Latest Drilling Drilling and downhole EM surveys used concurrently to identify more high-grade mineralisation at depth MAD60 Line (approx. 231225E) has down plunge strike of high- grade mineralisation to 320m DHEM in MAD119, a 150m step- out to the north, has identified a str
Slide 14: Stricklands Prospect
Stricklands Prospect +400m strike with wide intercepts Multiple high-grade hits including drill hole MAD71: 17.45m @ 3.01%Ni, 1.31%Cu, 0.13%Co and 1.68g/t PGEs from 37.45m, including the massive sulphide zones of: 5.3m @ 4.39%Ni, 1.45%Cu, 0.21%Co and 2.09g/t PGEs from 39.3m; and 2.02m @ 5.05%Ni, 2
Slide 15: Cathedrals Prospect
Cathedrals Prospect High grade mineralisation on two surfaces Numerous intersections of nickel-copper sulphides on two surfaces – the Cathedrals ultramafic and the footwall fault below including MAD56: 7.5m @ 3.90%Ni, 1.74%Cu, 0.12%Co and 3.32g/t total PGEs from 57.8m, including 3.15m @ 6.36%Ni, 2
Slide 16: Metallurgical Testwork
Metallurgical Testwork High Recoveries from Ore: • >99% recoveries of Ni and Cu to concentrates from preliminary testwork on massive sulphides Clean Concentrate: • No deleterious elements like MgO, talc or arsenic Standard Flotation: • Separate nickel and copper concentrates produced by standard flo
Slide 17: Opportunity for Low Cost/High Margin Project
Opportunity for Low Cost/ High Margin Project Shallow Mineralisation Existing Infrastructure Clean Concentrate Low cost drilling/ low Nearby processing High grade Ni and Cu cost potential mining plants plus cobalt and PGEs Well defined zones of Close to existing roads, Excellent metallur
Slide 18: Upside with Regional Exploration
Upside with Regional Exploration 18
Slide 19: Mt Alexander Belt
Mt Alexander Belt Underexplored belt with proven massive nickel sulphides Mt Alexander Belt is north-northwest trending with a strike of 7km Historical drilling has intersected widespread nickel sulphides including massive sulphides Prior drilling completed mostly as wide-spaced drill holes (u
Slide 20: Northern Areas
Northern Areas Newly recognised magnetic trends, never explored New high resolution magnetic data for the northern tenements – E29/548 and E29/954 – has recognised east-northeast structures parallel to the Cathedrals Belt These structures may represent ultramafic sequences similar to the Cathedr
Slide 21: Nickel Market Dynamics are Changing
Nickel Market Dynamics are Changing 21
Slide 22: EV Demand Surges
EV Demand Surges Demand Rises on Electric Vehicle Revolution: • 1Mt deficit in nickel by 2025 • price pressure building On right: Forecast nickel deficit (McKinsey Basic Materials Institute) UBS, Miner’s Price Review, June 2018: “EV battery demand is emerging faster than expected. Inventory is falli
Slide 23: Nickel Price to Outperform
Nickel Price to Outperform UBS, Miner’s Price Review, June 2018: Best Commodities on Risk/Return ? “Nickel is our preferred play on a >12 month view.” Commodity Units Current Price LT Forecast ‘Upside’ LT v. Current Cobalt US$/t 62,750 43,200 (32%) Copper US$/t 5,972 7,280 22% Nickel Nickel US$/t 12
Slide 24: St George Mining: creating shareholder wealth through exploration success
St George Mining: creating shareholder wealth through exploration success Above: diamond drill rig at Stricklands, Cathedrals Belt. Right: Drill core from MAD108. 24
Slide 25: Disclaimer: Competent Person Statement
DISCLAIMER: Certain statements contained in this presentation, including information as to the future financial or operating performance of St George Mining Limited (ASX:SGQ) and its projects, are forward looking statements: -may include, among other things, statements regarding targets, estimates a