Theta Gold Mines Ltd. · ASX:TGM
Theta Gold Mines — Denver Gold Forum 2019
28 slides from Theta Gold Mines's conference presentation, Sep 16, 2019
Slide 1: 6 Moz Resource & near term potential gold production profile
For personal use only THETA GOLD MINES LTD 6 Moz Resource & near term potential gold production profile Denver Gold Forum – September 15th – 18th 2019
Slide 2: Forward looking and cautionary statements
Forward looking and cautionary statements For personal use only This announcement or presentation may refer to the intention of Theta Gold Mines regarding estimates or future events which could be considered forward looking statements. Forward looking statements are typically preceded by words such
Slide 3: Disclaimer and Competent Persons Statement
Disclaimer and Competent Persons Statement For personal use only This announcement or presentation has been prepared by and issued by Theta Gold Mines Limited (ASX:TGM) to assist in informing interested parties about the Company and should not be considered as an offer or invitation to subscribe for
Slide 4: Corporate Overview
Corporate Overview For personal use only Capital structure Theta Gold Mines Limited (ASX: TGM, TGMO) Ordinary shares ~410 million ASX listed since 2012 Listed Options (TGMO), Expiration Oct 2020, $0.30 exercise (m) 31.4 Strong technical board with production & South Unlisted Options and Perfor
Slide 5: Investment Overview: Low CapEx, near term production
Investment Overview: For personal use only Low CapEx, near term production Sustainable resources: As an ASX‐listed junior, Theta Gold Gold 6 Moz ‐ 44.78 Mt @ 4.18g/t. (1.3 Moz OC, 4.5Moz UG) Mines has one of the largest JORC 2012 A massive under explored ground holding across the Sabie resources
Slide 6: The Journey
The Journey For personal use only 2018 ‐ 2019 2017 ‐ 2018 2017 Name changed to Theta Gold Current / Next 6 months 18,000metres drilling completed, Breakthrough discovery of Open‐ Mines; Resource upgrade to Theta amended OC mining multiple Resource upgrades, first cut opportunities, multiple 6Moz; re
Slide 7: South Africa – Three Major Goldfields
South Africa – Three Major Goldfields For personal use only Sabie Pilgrim’s Rest Goldfields (predominantly owned by Theta Gold Mine subsidiary TGME, near surface ‐ flat TGME Gold Projects reef systems). Producing: 1873 – 1940[?], 1980s, 90s and should soon be producing again. Witwatersrand: 1886 – C
Slide 8: Emergence of an established mining jurisdiction
Emergence of an established mining jurisdiction For personal use only South Africa has produced more gold than any other country with over two billion ounces produced from its goldfields (> 50% of world’s gold production) New pro‐mining President elected in South Africa – President Cyril Ramapho
Slide 9: Success Stories – South Africa
Success Stories – South Africa For personal use only Pan African Resources Plc / gold producer (AIM/JSE. BMN， £260m MC / eqv. ~A$490m) 170Kozpa gold producer (2019FY) 150km South of Theta’s project in the Barberton Greenstone Belts. World’s very first Biox‐gold operation Effective interest i
Slide 10: Mining Rights and Resources
Mining Rights and Resources For personal use only 620sqkm tenements Northern tenements Open Cut Theta Project (MR83) Southern tenements Group JORC Resources of 6Moz Au (44.8Mt @ 4.18g/t Au): 1.3Moz open cut resources (13.08Mt @ 3.12g/t Au) 4.5Moz underground resources (26.3Mt @ 5.4g/t Au) Init
Slide 11: Production Profiling
Production Profiling For personal use only >50kozpa >100kozpa >150kozpa Theta Project Theta Expanded, Additional OC Vaalhoek open‐ starter + South Theta + Resource from cut and Other OC + high Columbia Hill Columbia Hill rest of Rietfontein/Beta grade UG mines open‐cut (MR83 (MR83/341) MR83/341 UG n
Slide 12: Theta Project Feasibility – Low CapEx
Theta Project Feasibility – Low CapEx For personal use only Unlocking large 6Moz resource base: starting from open cut mining, then shallow underground BHID Sample From To Width Estimated Recovery Au_Final Intersection Open Cut Theta Project – startup Feasibility Study No. m m m g/t m Au g/t DDBH21
Slide 13: Theta Project Feasibility – All-in-sustaining cost
Theta Project Feasibility – All‐in‐sustaining cost For personal use only LOM AISC of US$764/oz (lower in first two years) Minimal drill/blast allowed Simple crush/grind and standard CIL processing with high recovery (>91%) Operating cashflow to potential self‐ fund for multiple pit openings
Slide 14: AISC Comparison
AISC Comparison For personal use only Note: flags for main Exchange Listing September 2019 14 ASX: TGM, TGMO
Slide 15: Theta Project Feasibility – Production Summary
Theta Project Feasibility – Production Summary For personal use only Production Summary over 57 months‐ Ore Mined & Head Grade 2.52Mt @ 2.71g/t Au Total material moved 36.2 Mt (13.4x) (effective strip ratio) Total ounces recovered 200,904oz LOM gold recovery assumption 91.6% Average annual productio
Slide 16: Scalability – Gold plant expansion strategy
Scalability – Gold plant expansion strategy For personal use only Optimisation of Phase 1 Plant – to support scalability Phase 1: 500,000tpa Open Cut Oxide CIL Plant (Theta Project FS Design May 2019) Phase 2: Permitted plant space to expand Open Cut Oxide CIL Plant to 1 Mtpa Phase 3: Permit
Slide 17: Scalability – Theta Project open cut upside
Scalability – Theta Project open cut upside For personal use only Only 16.7% of Theta’s open‐cut resource are included in the Feasibility mine plan to date and only 57% of Theta’s current Open‐cut Indicated Resources Open‐cut resources have increased by 30% since 2018 to 1.3Moz, further potentia
Slide 18: Scalability – Near term resource development
Scalability – Near term resource development For personal use only Near term open cut expansion priorities Additional Theta Hill & Columbia Hill (MR83/341 inclusive)‐ reserve conversions‐ o currently 879.6 Koz @ 2.7g/t Indicated/Inferred Resources o only 35% of resources in MR83 included in rese
Slide 19: Scalability – Drill-to-validate exploration model
Scalability – Drill‐to‐validate exploration model For personal use only Drill‐to‐validate Model – Exploration cost 12 USD Indicated JORC Gold Ounce 1. Digitise 130 years of mining data – So far over 75,000 +underground samples and 1,281 drill holes in data base 2. Maps and underground plans scanned
Slide 20: Re-rating Potential / Why buy TGM?
Re‐rating Potential / Why buy TGM? For personal use only 1. Transitioning from Explorer to Developer to Producer “Status” A re‐rating of resources/reserves in‐ground Rand (ZAR) Gold Price also trading at all time high at ~ZAR23,351/Oz (as at 1 September 2019) 2. Low capital expenditure startup L
Slide 21: APPENDICES
For personal use only APPENDICES o Corporate Structure o Project Company Board o General Geology o JORC Resource Tables
Slide 22: Corporate Structure
Corporate Structure For personal use only The Black Economic Incorporate in Empowerment (“BEE”) Australia: ASX Parent shareholding in general company comprise of: Incorporated: 100% Employees Trust SA wholly‐owned (Employee/labour subsidiary Incentives), Incorporated: South Africa Landholders, o
Slide 23: Project Company Board of Directors
Project Company Board of Directors For personal use only Project company Board of Directors at our subsidiary Transvaal Gold Mining Estates Ltd Bill Guy (“TGME”) (Chairman duties) (Chairman ‐ Theta Board) CEO ‐ George Jenkins Director ‐ Terrence Director ‐ Natasha MD ‐ Rob Thomson Mokale Director ‐
Slide 24: Appendix – Geology, Two Gold Systems
Appendix – Geology, Two Gold Systems For personal use only Under Explored – No modern geophysical surveys TGME Goldfield ‐ metallogenic province extends for approximately 140 km in a north‐north‐easterly direction, Gold system One over a width of 30 km . Gold System One ‐Epigenetic gold minerali
Slide 25: Appendix A - Resources
Appendix A ‐ Resources For personal use only Combined Mineral Resources as at 16 May 2019 Notes: Mineral Resource Tonnage Gold Grade Gold Content Type of Operation • Columns may not add up due to Classification rounding. Mt g/t Kg koz • Gold price used for the cut-off Measured Underground 0.091 5.37
Slide 26: Appendix A - Resources
Appendix A ‐ Resources For personal use only Reef Reef Reef Mineral Grade Width Content Tonnes Au Content Total Theta Project ‐ Mineral Resources, 16 May Resource Open Pit Mine Reef 2019 Classification g/t cm cmgt Mt Kg koz Theta & Browns Hill Shale 1.02 200 204 0.439 402 12.9 Theta & Browns Hill Be
Slide 27: Appendix A - Resources
Appendix A ‐ Resources For personal use only Theta Project Ore Reserves for MR83 only, 16 May 2019 (The Ore Reserves exclude Inferred Mineral Resources) Mineral Resource Reef Notes: Grade Au Content Category in LoM Pit Tonnes • Totals in the Ore Reserve may not add‐up due to Plan g/t kt kg oz roundi
Slide 28: CHEERS MATE, BYE
For personal use only CHEERS MATE, BYE Bill Guy – CHAIRMAN info@thetagoldmines.com www.thetagoldmines.com Michael Porter - US Investor Relations mike@plrinvest.com (Porter, Levay & Rose Inc.)