Saturn Metals Ltd. · ASX:STN
Saturn Metals — IPO Roadshow (January 2018)
22 slides from Saturn Metals's IPO roadshow presentation, January 2018
Slide 1: Spin-Out and IPO
Spin-Out and IPO A new Australian gold explorer in a multi million ounce gold province ASX:STN Ian Bamborough Managing Director January 2018 www.saturnmetals.com.au
Slide 2: Investment Highlights
Investment Highlights • Saturn Metals Limited (“Saturn Metals” or the “Company”) is a spin-out of Peel Mining Limited’s (ASX:PEX) 100% owned Apollo Hill Gold Project (“Apollo Hill”) located in Western Australia. • Premium land position in a multi million ounce gold province - Apollo Hill is located
Slide 3: Experienced Board
Experienced Board IAN BAMBOROUGH (BSc (Hons), MSc, MBA, MAIG, GAICD) Managing Director Mr Bamborough is a geologist with 20 years leadership experience in the mining industry. Mr Bamborough developed his career with Newmont Mining Corporation and was more recently managing director of ASX listed Spe
Slide 4: Apollo Hill Gold Project
Apollo Hill Gold Project • Excellent location 50km south-east of Leonora in Western Australia in world class multi million ounce gold province close to existing gold infrastructure Leonora – Wiluna Belt • 100% ownership of more than 1,000km2 of 44Moz contiguous ground • Existing 2012 JORC compliant
Slide 5: Apollo Hill
Apollo Hill A major gold system poised for rapid growth • IPO funds will used to rapidly test for additional ounces and new higher grade ounces • Expansive gold mineralised system at 40m-70m wide - Drilling to Only 200m deep - More than 1.2kms long • The system remains open in all directions • Favou
Slide 6: Apollo Hill – Resource Picture (0.5Moz)
Apollo Hill – Resource Picture (0.5Moz) • JORC (2012) compliant inferred resource of 17.2Mt at 0.9g/t for 505,000 ounces of gold using a 0.5g/t cut-off with a maximum depth of 180m1 View Along Strike to the North (composite section) – Drilling and Gold g/t (Disc size proportional to gold grade withi
Slide 7: Apollo Hill – Potential for Resource Upgrade
Apollo Hill – Potential for Resource Upgrade Potential for rapid growth Open • Extensional drilling has yielded extremely exciting N results: • 5m @ 26g/t Au - 5m @ 600m step out - 25.9g/t Au from 52m; northerly strike AA090 extension 8m @ 0.19g/t • Only shallow sparse historic Au from RAB AC Drilli
Slide 8: Apollo Hill - Potential for Resource Upgrade
Apollo Hill - Potential for Resource Upgrade Next steps: • Infill/extensional drill programs • Targeting a material resource upgrade to the current >505koz Plan View – Drilling and Gold g/t 8
Slide 9: Stacked, High-Grade Gold Lodes – A New Theory
Stacked, High-Grade Gold Lodes – A New Theory Requires high priority drill testing • Drilling could see upgrade to the grade profile with opportunities for narrower vein, high-grade gold • A stacked system of gold bearing structures is interpreted to dissect the Apollo and Ra gold system from North
Slide 10: Stacked, High-Grade Gold Lodes – A New Theory
Stacked, High-Grade Gold Lodes – A New Theory Proof of concept could see an increase to the overall grade of the Mineral Inventory N S 0m Surface ~-100m • Intersections on these interpreted structures (see previous slide) include: ~-200m ▪ 2m @ 69.26 g/t Au from 146m; ▪ 3m @ 17.9 g/t Au from 260m; ▪
Slide 11: Apollo Hill - Simple Metallurgy
Apollo Hill - Simple Metallurgy Metallurgical test work has shown excellent gold extraction characteristics for easily recoverable gold Conventional • More than 60% recovery by gravity separation alone • Greater than 92% gold recovery via conventional gravity/cyanidation combination (at only 300 µm
Slide 12: Apollo Hill – Early production study
Apollo Hill Early production study • Higher-grade oxide/transitional open pit potential • At a 1.2g/t Au cut-off, approximately 2.4Mt of material at 1.6g/t Au for 126Koz of gold is available within the 2012 JORC Inferred Resource estimate • This material is localised in a limited numnber of distinct
Slide 13: Key Strategic Location
Generalised Tenement Map – Adapted from DMP Tengraph Source Data; 10 November 2017 Key Strategic Location First class neighbours St Barbara Dacian Saracen • Central position in Eastern Goldfields Kin • Surrounded by gold majors and SATURN successful mid-tier gold producers METALS Anglo LTD • Multipl
Slide 14: Bobs Bore
Bobs Bore Highly prospective regional targets • Bobs Bore – 9m @ 10.9g/t Au near bottom of hole • Located 3.5km NE of Apollo-Ra deposits on the Keith Kilkenny Structure • Located directly on the gold prospective Keith Kilkenny Lineament • Sparse Drilling – only one section of three AC/RC holes • Und
Slide 15: Yerilla Shear
Yerilla Shear Highly prospective regional targets • 17m @ 6.04g/t Au from 86m; fence line RC intersection with only limited follow up work • 5km Long Trend of Significant Intersections on the Yerilla Shear and folded rocks • Historic production from the greater area over 17,700 oz • Strong geophysic
Slide 16: 40G Trend
40G Trend Highly prospective regional target • ~4km Trend with limited historic drilling • Peak gold values in rock chips include: ▪ 42.9 g/t Au (over 1.3oz Au) ▪ 10.9 g/t Au ▪ and 7.39 g/t Au • 40G RAB Intersection of 8m @ 0.9g/t Au from bottom of hole (mineralisation open to the south) • Two percu
Slide 17: Capital Structure and Raising
Capital Structure and Raising • Saturn Metals is seeking to raise a minimum of A$4.5 million (and up to a maximum of A$7 million) through the issue of at least 22.5 million ordinary fully paid shares at an issue price of 20c per share (and up to a maximum of 35 million shares at an issue price of 20
Slide 18: Planned Exploration Schedule 2018
Planned Exploration Schedule 2018 • Targeting ~20,000m of drilling • Multiple drilling phases – scheduled results flow • Clear strategy to add shareholder value - 3 pronged approach will aim to: ▪ grow existing Apollo Hill resources base by targeting along strike potential; hits along strike from th
Slide 19: Use of IPO Funds
Use of IPO Funds Allocation of funds $4.5m $7m Mineral Exploration 2,692,500 4,433,500 Expenses of the IPO 562,000 712,000 Administration costs 950,000 1,050,000 Working capital 295,500 804,500 Total Proceeds 4,500,000 7,000,000 19
Slide 20: Indicative Timetable
Indicative Timetable Event 2018 Lodgment of Prospectus with ASIC & ASX 10 January Exposure Period begins 10 January Priority Offer Record Date 9 January Opening Date (Priority Offer) 18 January Closing Date (Priority Offer) 5 February Opening Date (Public Offer) 6 February Closing Date (Public Offer
Slide 21: ASX Peer Comparison
ASX Peer Comparison Company ASX Code Market Cap EV EV/Resources Gold Road Resources GOR $600m $345.7m $102.28/oz Echo Resources EAR $153m $152.9m $88.9/oz Capricorn Metals CMM $60m $54.2m $111.83/oz Saturn Metals STN $8.5m $4m $8/oz Source: Bloomberg, ASX Announcements 21
Slide 22: Disclaimer
Disclaimer The Company has prepared this presentation. Whilst the information contained in this presentation has been prepared with all reasonable care from information provided by the Company and from sources, which the Company believes are reliable, no responsibility or liability is accepted by th