Group Eleven Resources Corp. · TSXV:ZNG
Group Eleven Resources — Investor Presentation (May 2017)
36 slides from Group Eleven Resources's investor presentation, May 2017
Slide 1: New Zinc Company Focused on Ireland
RESOURCES CORP. New Zinc Company Focused on Ireland May 2017 1
Slide 2: Disclaimer - Important Notice
Disclaimer - Important Notice This Presentation is given by Group Eleven Resources Corp. (“the Company”), incorporation number BC1098004 and with the registered office at 2200-885 West Georgia Street, Vancouver, BC, Canada, V6C 3E8, made subject to the terms outline below. By retaining this Presenta
Slide 3: Executive Summary
Executive Summary Overview Group Eleven Resources Corp. (G11) - private, registered in B.C. (owns 100% of Irish subsidiary) Rolling up the Irish zinc exploration space Largest zinc ground position in SW Ireland, the overlooked part of the camp First mover advantage – began staking at bottom
Slide 4: Brownfield Zinc Exploration in Ireland
Brownfield Zinc Exploration in Ireland Navan Ballinalack (Boliden) (Teck) Tynagh(shut) 0 25 50 kilometres Silvermines Galmoy(Lundin,shut) Silvermines(shut) Lisheen(Vedanta,shut) PallasGreen(Glencore) Gortdrum(Cu,shut) PG West Tralee G11 property Zinc deposit Zinc – small deposit or major occurrence
Slide 5: Highlights - Assets (and Ireland)
Highlights - Assets (and Ireland) (1) Among largest license holders in Ireland (82 licenses, over 2,700 square km in 3 main properties) − Silvermines Best intercepts include 7.3m @ 16.0% Zn/Pb Adjacent to historic Silvermines zinc mine Hosts Cooleen discovery, high-priority drill-targets nev
Slide 6: Team
Team Synopsis Extensive experience - exploring and developing zinc deposits in Ireland and Europe (including Olza in Poland) Home team advantage – three of four directors based in Ireland Fresh Thinking – intentional blend of Irish and non-Irish expertise Market expertise – mix of technical
Slide 7: Irish Zinc District
Irish Zinc District 7
Slide 8: Irish Zinc District
Irish Zinc District Strokestown Clonabreeny Glenamaddy Sion Hill Allenwood Rickardstown Rapla (Cu) Tralee G11 property Zinc - deposit Zinc – major occurrence Source: modified from EMD 8
Slide 9: Irish-style Zinc Deposits (Cross-Section)
Irish-style Zinc Deposits (Cross-Section) Metal-rich fluids migrate up steep faults and mix with saline solutions at the base of the Waulsortian limestone Base of the Waulsortian tends to undergo dolomitization (introduction of magnesium) and brecciation (fragmentation) – creating BMB (black mat
Slide 10: Mines and Advanced Assets in Ireland
Mines and Advanced Assets in Ireland Company Asset # of PL Notes Largest zinc mine in Europe ~20 surrounding PLs and ~50 other PLs through ‘midlands’ Tara Mine 70 region 2014 production of 150,000 tonnes of zinc, 22,000 tonnes of lead and 2,400 kg of silver Shut down in November 2015 Lisheen
Slide 11: Zinc Deposits / New Discoveries in Ireland
Zinc Deposits / New Discoveries in Ireland New Discovery Intercept Zn Pb Cu Ag BaSo4 Discovery Status Discovery Date (m) (%) (%) (%) (gpt) (%) Technique Kilbricken 2008 10.0 13.8 5.5 - 63 - Geology Pre-resource Stonepark 2007 4.0 11.6 3.5 - - - Geology, IP Pre-resource Discovery Tonnes Zn Pb Cu Ag B
Slide 12: Exploration Projects
Exploration Projects INN BS GROUP ELEVEN
Slide 13: Silvermines Project – Fertile Region
Silvermines Project – Fertile Region Tynagh zinc mine (shut) Recently applied by G11 Crinkill (ironstone deposit with zinc) Derrykearn zinc prospect Silvermines Rapla zinc prospect Cooleen (Vedanta) zinc mine deposit / target (shut) Galmoy zinc mine (shut) G11 Lisheen zinc mine (shut) Waulsortian li
Slide 14: Silvermines: Cooleen – high priority targets
Silvermines: Cooleen – high priority targets G11 license (released from Waulsortian limestone long-term moratorium only recently) Cooleen Target 3 deposit area Target 1 Target 2 Long-section Target 4 Cross-section Silvermines deposit Off limits for staking Drill targets defined by Ennex in 1996 (not
Slide 15: Silvermines: Cooleen cross-section
Silvermines: Cooleen cross-section (1) SE NX-3 NX-18 NX-11 NX-16 NW 0 75 150 metres Cherty limestone 0.9m @ 5.2% Zn+Pb 1.5m @ 1.8% Zn+Pb 0.3m @ 5.5% Zn+Pb Waulsortian limestone Breccia 7.3m @ 2.3% Zn+Pb 2.7m @ 2.9% Zn+Pb ABL 364m 7.3m @ EOH 401m 16.0% EOH Zn+Pb 435m 432m EOH EOH Source: Ennex, G11 1
Slide 16: Silvermines: Cooleen long-section
Silvermines: Cooleen long-section SSW NX-11 NX-14 4503-1 NNE Cherty limestone Waulsortian Breccia limestone 44.9m @ 0.9% Zn+Pb (including 2.0m @ 4.9% Breccia Zn+Pb) (2) 9.2m @ 1.9% Zn+Pb(1) 7.3m @ 16.0% 2.1m @ 10.7% Zn+Pb (1) Zn+Pb (1) 432m EOH 437m 428m ABL EOH EOH Source: Ennex, G11 16
Slide 17: Hole 4503-1 (2016, drilled by G11)
Hole 4503-1 (2016, drilled by G11) large pyrite blebs large pyrite blebs Hydrothermal dolomite Semi-massive pyrite massive pyrite 17
Slide 18: Hole 4503-1 (2016, drilled by G11)
Hole 4503-1 (2016, drilled by G11) pyrite zinc base of Waulsortian zinc intense black matrix breccia black matrix breccia zinc zinc 18
Slide 19: Tralee Project – Overlooked Yet Prospective
Tralee Project – Overlooked Yet Prospective Northern Anticline Waulsortian limestone Pierce’s Island − “Best lead mine in Ireland” Ferry Bridge (Zn/Pb) (c.1687), lead and silver Ferry Bridge Pierce’s Island (Pb/Ag) − Abundant drill intercepts (late Ballinglanna (Pb) 1970s) with sporadic zinc and
Slide 20: Tralee Project – Shallow High-Grade
Tralee Project – Shallow High-Grade Pierce’s Island Castlemaine “Best lead mine in Ireland” as per Sir Richard Open pit, three shafts (Annagh, Meanus and un-named) Cox (c.1687) Discovered in 1788, mined 400-800t of silver-rich galena Drilling in 1982 intersected significant (during 1790s, 18
Slide 21: Tralee – Castlemaine: Kilbricken analog?
Tralee – Castlemaine: Kilbricken analog? Bleeder veins? - zinc at top of Waulsortian – 51% Zn + 19 g/t Ag in grab from old spoils Calcite-cap (130m intercept) – most Irish zinc deposits don’t have fugitive calcite caps (except Kilbricken) WMB and grey breccias – G11 hole contains possible WMB
Slide 22: Tralee – Fairy Gate: bleeders from below?
Tralee – Fairy Gate: bleeders from below? High-grade zone (in cherty gravel, black oily mud: Tynagh-style?) (1) - 1.5m @ 16.6% Zn/Pb, 0.73% Cu, 185 g/t Ag (F4) Low-grade (in cherty gravels) - 3.0m @ 10.7% Zn/Pb, 0.22% Cu (F1) 0.1% to 0.3% Zn/Pb (+/-Cu) - 4.6m @ 3.3% Zn/Pb, 0.32% Cu (FG-73-4) over 1m
Slide 23: PG West Project – Amid an Emerging District
PG West Project – Amid an Emerging District Killeen Legend Lackamore Zinc Non-zinc (silver, lead, copper) Waulsortian limestone GLENCORE Hollyford F TECK Area C – Croom(1) 1.0m of 0.3% A Zn+Pb next to a hole with 89m of C white clay gouge; BMB, organics, abund py, tr cpy, D B tr aspy, 50m of mafic i
Slide 24: PG West: Carrickittle-Oola corridor
PG West: Carrickittle-Oola corridor Carrickittle (1) Oola veins (1) Shallow, small (<100kt) resource (1965) - 17 veins (1-2 km in strike) and 10 shafts with high-grade drill intercepts: noted in historic literature - 4.9 m of 12.8% Zn/Pb - Mined for lead, silver and copper - 4.6 m of 12.1% Zn/Pb and
Slide 25: PG West: Oola veins – rich mining history
PG West: Oola veins – rich mining history Source: Geol. Survey of Ireland, 1878 (Thomas Tonkin) 8 9 4 Q11 7 Q5N Q6 5 1 Q2 3 Q1 OOLA MINE Q3 ENGINE SHAFT LODE (OPEN PIT) Old Mine Workings CENTRAL LODE LEGEND Mouth of Adit Historic drilling (Tara, 1960s) Costean (trench) Shaft Adit 25
Slide 26: PG West: Area B (Tipperary) – drill target
PG West: Area B (Tipperary) – drill target NNW 00-468-5 FM-2654-1 SSE Basalt ? Supra-Waulsortian Waulsortian limestone Partially dolomitized 468m ? EOH ABL ? TARGET ? AREA 55m (360-415m) (1) 599m EOH ? incl. sphalerite, 80m (470-550m) (1) galena and pyrite, incl. sphalerite, 0 125 250 BMB, WMB galen
Slide 27: Catalysts (Next 12 Months)
Catalysts (Next 12 Months) Corporate − Go-public transaction in Canada (TSX-V) – 2017E − Continue looking at M&A opportunities Silvermines Project − Further drilling to expand Cooleen zone − Geophysical survey (ground magnetics) - ongoing − Inversion, analysis and re-interpretation of historic g
Slide 28: Appendix
Appendix Notes: (1) Historic drill results have not been verified by a qualified person as the samples forming the basis of such results are not available to G11, and accordingly no quality assurance programs or quality control measures were applied by G11. (2) Results from drill hole DDH-4503-1 hav
Slide 29: Appendix - Capital Structure
Appendix - Capital Structure Shares outstanding (31Mar17) Options / Warrants / Performance Escrow Basic 24,553,055 Outstanding Available to Exercise Expiry Dilution 7,082,950 exercise Price (€) Fully Diluted 31,636,005 1,300,000 1,300,000 0.020 11-Nov-18 1,000,000 333,333 0.020 11-Nov-21 3,382,950 3
Slide 30: Appendix – Board Biographies
Appendix – Board Biographies Board Strategic Advisors Technical Advisors John Barry, P.Geo, EurGeol - Chairman 27 years experience - precious and base metal / generation and development Based in Ireland / expertise in zinc/lead exploration, public company executive CEO of Rathdowney (RTH-V; Hu
Slide 31: Appendix – Board Biographies (con’t)
Appendix – Board Biographies (con’t) Board Strategic Advisors Technical Advisors David Furlong, P.Geo – General Manager 20 years of industry experience - geologist Dublin-based - expertise in the design, implementation and management of mineral exploration programs Seven years (2007-2014) work
Slide 32: Appendix – Advisors Biographies
Appendix – Advisors Biographies Board Strategic Advisors Technical Advisors David Whitehead, C.Eng 45 years experience - successful explorationist and mining executive Including 26 years at Billiton/BHP as senior executive (exploration, development and operations) Associated with Tynagh and Ta
Slide 33: Appendix – Technical Advisors Biographies
Appendix – Technical Advisors Biographies Board Strategic Advisors Technical Advisors Peter Megaw, Ph.D. World renowned expert in carbonate replacement silver, lead-zinc deposits in Mexico Co-founder of MAG Silver (Fresnillo) and Excellon Resources (Platosa mine) Responsible for discoveries of
Slide 34: Appendix - Fresh Thinking to Exploration
Appendix - Fresh Thinking to Exploration RAB sampling (machine allows for inexpensive bog/base of till/bedrock Deep Soils / Bedrock Interface sampling, no trenching required) Sampling C$28/m, up to 100m depth (per 12hr shift), cuts through till, ideal for bog (no disturbance) Never tried befor
Slide 35: Zinc – Long Term View
Zinc – Long Term View Management believes that zinc inventories over the next few years could be drawn down to levels seen in 2006 – 2008, implying much higher prices Zinc prices peaked in late 2007 at US$2.08/lb Zinc Price & LME Inventory Levels (20 years) $2.50 1,400 1,200 $2.00 1,000 LME inve
Slide 36: Contact details
RESOURCES CORP. Contact details Bart Jaworski, CEO E: b.jaworski@groupelevenresources.com M: +353-85-833-2463 Andrew Farncomb, Corporate Development E: a.farncomb@groupelevenresources.com M: +1-647-255-1346 36
Group Eleven Resources — Investor Presentation (May 2017) on 6ix