Chalice Mining Limited · ASX:CHN
Chalice Mining — Chalice Gold Mines — Mines & Money London 2010
21 slides from Chalice Mining's conference presentation, Nov 29, 2010
Slide 1: Mines & Money
For personal use only Mines & Money 29 November 2010 www.chalicegold.com
Slide 2: Disclaimer and Competent Persons Statement
Disclaimer and Competent Persons Statement For personal use only This presentation may contain value references and "forward looking statements“ which are subject to various risks and uncertainties that could cause actual results and future events to differ materially from those expressed or implied
Slide 3: Corporate Snapshot and Capability
Corporate Snapshot and Capability For personal use only Capital Structure ASX: CHN; TSX: CXN Share price A$0.62 Shares on issue 211 million Market capitalisation ~A$130 A$130 million Options on issue 13.1 million Debt ‐ Cash A$14m Board Substantial Shareholders Tim Goyder Executive Chairman Franklin
Slide 4: Eritrea Project Snapshot
Eritrea Project Snapshot For personal use only Chalice is a gold development company in the highly prospective and underexplored p Arabian‐Nubian Shield Chalice is developing the high‐grade, low cost Zara Project in Eritrea Feasibility completed completed, permitting underway Open pit ‐ 760,000oz Or
Slide 5: The Opportunity
The Opportunity For personal use only Chalice will be a high grade, low cost producer 6 800 750 717 718 5 700 Reserve Graade (g/t) Cash Co 4 573 600 532 osts (US$/ozz) 495 3 500 453 462 426 2 400 R 338 1 300 ‐ 200 Chalice SEMAFO Perseus Banro Adamus MDL Centamin Avocet Crew Cluff Noble Cash Costs Gr
Slide 6: Comparative Market Valuations
Comparative Market Valuations For personal use only However, Chalice trades significantly below its African peers 2,543 700 600 EV / Reserves (A$/oz) 500 400 300 200 100 ‐ Banro Chalice Crew Noble Adamus Centamin Avocet Perseus MDL Cluff SEMAFO Enterprise values adjusted for in‐the‐money options. 5
Slide 7: Where is Eritrea?
For personal use only 6 Where is Eritrea?
Slide 8: The Arabian-Nubian Shield
The Arabian‐Nubian Shield For personal use only Centamin Sukari Citadel Jabal Sayid 15 year 10 year 500 koz pa Au 61 kt pa Cu La Mancha Hassai Chalice Zara Nevsun 6 year Bisha 156 koz pa + VMS 7 year 104 koz pa Au >10 year Au, Ag, Cu, Zn The Zara Project is located within southern Arabian‐Nubian Shi
Slide 9: Arabian-Nubian Shield Companies
Arabian‐Nubian Shield Companies For personal use only Chalice set for significant growth Market Capitalisation Growth Company DFS Completion First Production A$2,926 m at Centamin A$646 m 353% Growth last trade A$1,093 m at Nevsun A$386 m 183% Growth last trade Subject to A$1.25 billion Citadel A$53
Slide 10: Zara Project Location
Zara Project Location For personal use only ZARA Bisha 9
Slide 11: The Mine Site
For personal use only 10 The Mine Site
Slide 12: Koka Gold Deposit
Koka Gold Deposit For personal use only Indicated Resource of contained gold 840,000 , Oz ~600m strike length Probable Reserve of contained gold 760,000 Oz *Both based on 1.2 g/t cut‐off 11
Slide 13: Koka Outstanding Returns
Koka Outstanding Returns For personal use only 160000 900 Production 140000 800 US$/oz) Production (koz) 120000 700 Cash costs 600 Cash Costs (U 100000 500 80000 400 60000 300 40000 200 20000 100 0 0 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 150 Distributions Cash flow to equity Cash Flow (U
Slide 14: Koka Development Schedule
Koka Development Schedule For personal use only Calendar Year 2010 2011 2012 2013 Quarter Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Maiden Reserve Feasibility Study COMPLETED Release 43‐101 TSX listing Zara Permitting Funding Period Construction Pre‐Strip First Production 13
Slide 15: ENAMCO Interest
ENAMCO Interest For personal use only ENAMCO has elected to acquire a 30% paid participating interest in Koka (+10% carried interest) Participating interest to be acquired at “fair value” Process undertaken by ENAMCO and Nevsun R Resources ffor th the Bi Bisha h PProject j t expected t d tto sett th
Slide 16: Exploration Potential
Exploration Potential For personal use only Zara North BLEG & ‐80# gold anomalies Rock‐chips to 11 g/t Au Koka 840,000 oz Resource 3D IP Survey Konate Intersections to 7m @ 22.3g/t Fah Soil sampling 2 km 15
Slide 17: Koka 3D IP – Near Mine Targets
Koka 3D IP – Near Mine Targets For personal use only W E 14
Slide 18: Zara North Gold Anomaly
Zara North Gold Anomaly For personal use only 16
Slide 19: Exploration Timeline
Exploration Timeline For personal use only Exploration program to generate strong news flow Calendar Year 2010 2011 Quarter Q2 Q3 Q4 Q1 Q2 Q3 Q4 Induced Polarisation (IP) Survey Aero Magnetics Aero‐Magnetics & Radiometrics Geochemical Sampling & Geological Mapping Drilling 18
Slide 20: Analysts Covering the Chalice Story
Analysts Covering the Chalice Story For personal use only A Australia li Southern Cross Equities Peter Chapman E: p pchapman@sceq.com.au p q T: +612 9231 0880 Paterson Securities Limited Simon Tonkin E: STonkin@psl.com.au T: +618 9225 2816 Argonaut Limited Troy Irvin E: troy@argonautlimited.com T: +
Slide 21: Building an African Gold Mining Powerhouse
S Building an African Gold Mining Powerhouse S November 2010 www.chalicegold.com Ce BAe Cu G Ot OD MitiN E §