Aurelia Metals Limited · ASX:AMI
Aurelia Metals — Investor Presentation (May 2016)
22 slides from Aurelia Metals's investor presentation, May 17, 2016
Slide 1: The 2016 Turnaround – High Grade Gold-Lead-Zinc Production
For personal use only THE 2016 TURNAROUND – HIGH GRADE GOLD-LEAD-ZINC PRODUCTION MAY 2016 1
Slide 2: Disclaimer
DISCLAIMER • This presentation has been prepared by Aurelia Metals Limited (“AMI” or the “Company”). It should not be considered as an For personal use only offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or invitation with respect
Slide 3: Corporate Snapshot
CORPORATE SNAPSHOT CAPITAL STRUCTURE SHARE PRICE HISTORY For personal use only Shares on issue (ASX:AMI) 388 million $0.30 25,000,000 $0.25 Agreement 20,000,000 Options 50 million* reach with $0.20 Glencore 15,000,000 Glencore Options 108 million ** $0.15 10,000,000 $0.10 Market Capitalisation (at 1
Slide 4: Investment Summary
INVESTMENT SUMMARY COMMISSIONING RISK BEHIND US For personal use only • 10 months of Hera operations with continuous improvement HERA MINE PERFORMING STRONGLY • March 2016 EBITDA of $10.9 million • March Qtr gold production of 14,184 oz at an average grade of 6.6 g/t Au • Hera ore body out-performin
Slide 5: Hera Mine
HERA MINE HIGH GRADE GOLD-LEAD-ZINC-SILVER For personal use only 5
Slide 6: 2016 Turnaround Underway
2016 TURNAROUND UNDERWAY SETTLEMENT AND FUNDING AGREEMENT WITH GLENCORE** For personal use only • All legal disputes dismissed • All existing debt repayments deferred for at least until March 2018 • All interest on new and existing finance facilities suspended until March 2018 • Net $21.5m new fundi
Slide 7: March 2016 - A Watershed Quarter for Hera
2016 TURNAROUND UNDERWAY MARCH 2016 - A WATERSHED QUARTER FOR HERA For personal use only • Record quarterly production • 14,184 ounces gold • 5,874 tonnes of Pb-Zn concentrate • Gold grades consistently out performing estimate - March 16 Qtr = Gold grade 166% of predicted • Consistent quarterly impr
Slide 8: Hera Ore-Body: A High Grade Quality Asset
HERA ORE-BODY A HIGH GRADE QUALITY ASSET CONSISTENT POSITIVE GOLD RECONCILIATION For personal use only • Gold grades consistently out performing estimate – March 16 Qtr = 166% • Updated Resource Estimate imminent Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Predicted gold grade (g/
Slide 9: Business Plan
BUSINESS PLAN Increase throughput For personal use only • Steady increase in the mining and process rate to 370 ktpa by December 2016 Increase production • Approx. annual production of 50,000 oz gold and 31,000 tonnes of base metal concentrates (grading +50% Pb+Zn) Complete capital optimisation proj
Slide 10: Hera Exploration
HERA EXPLORATION For personal use only Massive zinc sulphides – Hera North Pod 10
Slide 11: Cobar Superbasin Deposits
COBAR SUPERBASIN DEPOSITS SCHEMATIC For personal use only COBAR BASIN DEPOSITS – HIGH GRADE + LONG LIFE COBAR SUPERBASIN METAL INVENTORY 6.4Moz Au, 200Moz Ag, 2.2Mt Cu, 4Mt Zn, 3Mt Pb Australia NSW 11
Slide 12: Hera Gold-Lead-Zinc Deposit: Exploration Potential
HERA GOLD-LEAD-ZINC DEPOSIT EXPLORATION POTENTIAL PEAK GOLD MINES COBAR HERA DEPOSIT For personal use only SCHEMATIC LONG SECTION SCHEMATIC LONG SECTION Hera: 2.44Mt @ 4.1g/t Au, 6.6% Pb+Zn Western Lead Zinc 0.9Mt @ 6.8g/t Au, 2% Pb+Zn 500m Peak (pre-mining) 5.2Mt @ 9.1g/t Au, 0.8% Cu POTENTIAL 1000
Slide 13: Hera Gold-Lead-Zinc Deposit: Exploration Potential
HERA GOLD-LEAD-ZINC DEPOSIT EXPLORATION POTENTIAL • North Pod infill drilling commencing 2H CY2016 For personal use only • ‘Beyond’ target – potential Hera repetition, still untested down plunge North 100m Hera long section showing North Pod drilling results and the untested ‘Beyond’ target 13
Slide 14: Prospectivity: Hera-Nymagee Corridor
PROSPECTIVITY HERA-NYMAGEE CORRIDOR For personal use only • Hera-Nymagee corridor remains highly prospective • The Hera & Nymagee deposits are both marked by prominent gravity highs • Numerous gravity targets now defined by detailed ground gravity along 20km of strike • Potential for Hera-Nymagee co
Slide 15: Nymagee Copper Deposit
NYMAGEE COPPER DEPOSIT OPEN TO NORTH AND AT DEPTH – NYMAGEE LONG SECTION • Deep drilling at For personal use only Nymagee confirms continuity of copper mineralisation >700m • Nymagee North mineralisation increasing intensity with depth • Multiple untested DHEM conductor 2 targets at depth 1 3 15
Slide 16: Summary
SUMMARY SUMMARY For personal use only On track in 2016: • Legal and financial uncertainty resolved • Hera performing strongly • Strongly cash generation • High grade Hera deposit out-performing • Additional funding secured if required • Significant exploration upside remains GROWTH CATALYSTS FOR CY2
Slide 17: The 2016 Turnaround
For personal use only THE 2016 TURNAROUND ASX:AMI 2 Corporation Place ORANGE NSW 2800 T: +61 2 6363 5200 E: office@aureliametals.com www.aureliametals.com 17
Slide 18: Appendix 1: Board of Directors & Senior Management
APPENDIX 1: BOARD OF DIRECTORS & SENIOR MANAGEMENT Partner of PricewaterhouseCoopers Australia (Coopers & Lybrand) for 19 years specialising in the For personal use only Anthony Wehby provision of corporate finance advice. Anthony is based in Sydney and maintains a consulting practice Non-Executive
Slide 19: Appendix 2: Resources and Reserves
APPENDIX 2: RESOURCES AND RESERVES For personal use only MINERAL RESOURCES ESTIMATE - HERA JULY 2015 Category Tonnes NSR ($/t) Au (g/t) Ag (g/t) Cu (%) Pb (%) Zn (%) Measured 658,000 277.9 5.14 15.59 0.24 2.96 3.40 Indicated 958,000 220.0 3.37 17.97 0.15 3.02 4.51 Inferred 890,000 224.9 2.37 73.91 0
Slide 20: Appendix 3: Competent Persons Statements
APPENDIX 3: COMPETENT PERSONS STATEMENTS Competent Persons Statement – Exploration Results For personal use only The information in this report that relates to Exploration Results is based on information compiled by Rimas Kairaitis, who is a Member of the Australasian Institute of Mining and Metallu
Slide 21: Appendix 4: Glencore Settlement and Funding Agreement Terms
APPENDIX 4: GLENCORE SETTLEMENT AND FUNDING AGREEMENT TERMS Drawn Balance (including First Qtrly Facility Principal Convertibility Maturity capitalised interest) Repayment Due For personal use only at $0.23 at AMI's election until Facility A $20,000,000 $10,079,871 Mar-18 Sep-20 maturity at 60 day V
Slide 22: Appendix 4: Glencore Settlement and Funding Agreement Terms
APPENDIX 4: GLENCORE SETTLEMENT AND FUNDING AGREEMENT TERMS • Amortisation payments and interest on Facilities A, B, C and E are suspended to March 2018 subject to an upside For personal use only payment mechanism • Glencore providing an additional A$20m Secured Converting Loan (Facility F) on the s