Middle Island Resources Limited · ASX:MDI
Middle Island Resources — Investor Presentation (August 2016)
20 slides from Middle Island Resources's investor presentation, Aug 25, 2016
Slide 1: Exploring Golden Frontiers
For personal use only Exploring Golden Frontiers Middle Island Resources Sandstone Gold Project
Slide 2: Disclaimer Notice and Competent Person’s Statement
Disclaimer Notice and Competent Person’s Statement For personal use only Disclaimer Notice The material in this presentation (“material”) is not and does not constitute an offer, invitation or recommendation to subscribe for, or purchase any security in Middle Island Resources Limited (“MDI”) nor do
Slide 3: Capital Structure
Capital Structure ASX Code: MDI For personal use only Shares on Issue ~469M Unlisted Options 0.8M Number of Shareholders ~560 Top 20 Shareholders ~65% Institutions ~20% Directors ~20% Cash (as at 30 June 2016) ~A$3.6M Market Cap (at ~A$0.08) ~A$38M 3 3
Slide 4: Board and Management Team
Board and Management Team • Retired Solicitor • Corporate and commercial mining industry advice since For personal use only Peter Thomas 1980 • Served on boards of various listed companies since the 1980s (Non-Executive Chairman) • Founding Chairman of Sandfire Resources NL • Currently Chairman of t
Slide 5: Sandstone Gold Project - Summary
Sandstone Gold Project - Summary For personal use only • Acquired a 100% interest in the Sandstone gold project in Western Australia. • Comprises two adjacent, granted and fully permitted Mining Leases collectively covering 20 square kilometres. • Mineral Resources (JORC 2004) of ~11Mt grading 1.4g/
Slide 6: Location & Tenure
Location & Tenure For personal use only • Proximal to the settlement of Sandstone, 600km northeast of Perth. • Town lies on all-weather, sealed road between the towns of Mt Magnet and Leinster. • Processing facility situated some 12km to the south of Sandstone. • Two granted (2031) Mining Leases of
Slide 7: Geology
Geology • Gold mineralisation is For personal use only hosted within the Archaean Sandstone greenstone belt. • Triangular shaped belt within the Southern Cross Province that forms the central spine of the Archaean Yilgarn Block. • Sandstone greenstone belt forms a classic ‘hourglass’ structure at th
Slide 8: Transaction Summary
Transaction Summary For personal use only • Headline value of A$2.5M (A$2.4M) under a binding asset sale agreement (ASA) with Black Oak Minerals Limited (in Liquidation) (Receivers and Managers appointed) (Black Oak), which is to be paid as follows:- A$250,000 non-refundable deposit, paid 8 May 20
Slide 9: Processing Plant
Processing Plant • Constructed in 1994 with a For personal use only capacity of 250,000tpa. • Upgraded to 600,000tpa by Troy in 1999. • Troy operated plant from 1999 to 2010. • Processed 4.4Mt to produce ~508,000 ounces at 3.6g/t Au. • Plant placed on care & maintenance in September 2010. • Conventi
Slide 10: Infrastructure
Infrastructure • Contracted diesel- For personal use only generated power plant. • Fuel tanks, workshops, laboratory & mine offices. • Substantial inventory of equipment & spares. • Permitted in-pit tailings facility with ~12 months’ capacity. • Permitted bore field. • Three equipped camps in nearby
Slide 11: Production Potential
Production Potential • SXG completed pit optimisations For personal use only on Two Mile, Shillington & Shillington North deposits in 2013. • Modelling based on treating ~500,000tpa from Shillington & Two Mile open pit cut-backs & extensions. • Average stripping ratio of ~5:1 over an initial period
Slide 12: Brownfields Targets - Two Mile
Brownfields Targets - Two Mile • Two Mile Hill tonalite; For personal use only 372.7m at 1.52g/t 230.4m at 1.62g/t 353.3m at 1.04g/t 141.0m at 2.30g/t 156.3m at 1.14g/t • Adjacent, obliquely intersecting BIF some 200m below surface; 8.5m at 49g/t 13.7m at 26g/t 4.5m at 25g/t 3.4m at 30g/t 3.5m at 20
Slide 13: Resource Potential - Two Mile
Resource Potential - Two Mile For personal use only 13 13
Slide 14: Resource Potential - Two Mile
Resource Potential - Two Mile For personal use only 14 14
Slide 15: Resource Potential - Two Mile
Resource Potential - Two Mile For personal use only 15 15
Slide 16: Exploration Potential
Exploration Potential • Additional open pit For personal use only potential at Goat Farm (potential new TSF) & Eureka deposits. • Potential mineralised repetitions within prospective Shillington BIF. • Significant geochemical targets associated with BIF & tonalite at Mt Klemptz & Macintyre; 11m at 3
Slide 17: Post-acquisition Progress
Post-acquisition Progress For personal use only • Hiatus in physical activity between announcement & completion, but busy corporately. • $400,000 placement simultaneous with announcement to cover cash deposit and immediate working capital requirements. • Further $5.05M (before costs) raised via plac
Slide 18: Key Milestones
Key Milestones For personal use only • Complete resource definition drilling (153 holes, ~4,200m); August 2016. • Pre-pay deferred payment under ASA ($400k); October 2016. • Complete initial diamond core drilling of Two Mile BIF target; October 2016. • Complete Pre-feasibility Study; December 2016.
Slide 19: Investment Highlights
Investment Highlights For personal use only • Acquisition equates to a cost of only US$4 per resource ounce of gold. • Planned near-term gold production requiring minimal capital. • Considerable resource & exploration upside. • Opportunity to deal on or toll-treat stranded, third-party deposits with
Slide 20: Thank you & questions
For personal use only Unit 1, 2 Richardson Street West Perth Thank you & questions Western Australia, 6005 Tel +61 (08) 9322 1430 Fax +61 (08) 9322 1474 www.middleisland.com.au
Middle Island Resources — Investor Presentation (August 2016) on 6ix