Aeon Metals — Investor Presentation (April 2014)
25 slides from Aeon Metals's investor presentation, April 2014
Slide 1: Transforming into a premier base metals company
Transforming into a premier base metals company Investor Presentation ASX Code AQR April 2014 Aeon Metals Limited | ASX: AQR | www.aeonmetals.com.au
Slide 2: Disclaimer
Disclaimer Important Information This document has been prepared by Aeon Metals Limited (Aeon) for the purpose of providing a comprehensive company and technical overview to interested analysts and investors. This document is not a prospectus and should not be considered an offer or an invitation to
Slide 3: Transaction Overview – Aston Metals acquisition
Transaction Overview – Aston Metals acquisition • Aeon Metals buying Aston Metals (Qld) Ltd from Receiver • Aeon acquires loan (Notes) from secured creditor, consideration: - A$20m loan: 3-year maturity, capitalised interest, non-recourse, secured by Aston assets - 48.275m AQR shares at 14.5c - Warr
Slide 4: Aston Metals – Projects Overview
Aston Metals – Projects Overview • Extensive exploration tenement portfolio in proven producing North West Queensland Minerals Province • Priority: Walford Creek Project - JORC Inferred & Indicated Resource - Pathway to project development – open pittable • Other Projects: Linked by significant faul
Slide 5: Walford Creek – Extensive drilling undertaken
Walford Creek – Extensive drilling undertaken Inferred & Indicated Indicated • 215 shallow holes drilled • 34,190m in 3 phases of work • ~$8m drilling program for 14,929m during 2010-12 - Private hands - 2013 – no holes drilled due to corporate difficulty Company Period Drilling 1) WMC 1989-96 93 ho
Slide 6: Walford Creek – JORC Resource
Walford Creek – JORC Resource Mineral Category Tonnes Cu Pb Zn Ag Co (mt) (%) (%) (%) (gpt) (ppm) Combined Indicated 14.7 0.46 0.83 1.04 20.1 920 Inferred 33.6 0.36 0.83 0.81 20.5 648 Total 48.3 0.39 0.83 0.88 20.4 731 At 0.5% Cu-Eq cut off based on A$3.00/lb - Cu, A$0.75 /lb - Pb, A$0.75 /lb- Zn, A
Slide 7: Walford Creek – Drill result samples
Walford Creek – Drill result samples • WFDD 87: 26.6m @ 1.55% Cu, 26 gpt Ag, 0.36% Co, 1.87% Pb and 1.14% Zn from 75.7m • WFPD 90: 15m @ 2.19% Cu, 22 gpt Ag and 0.13% Co from 189m • WFPD 98: 20m @ 1% Cu, 20 gpt Ag, 0.07% Co from 166m • WFPD 100: 14m @ 1.54% Cu, 22 gpt Ag and 0.24% Co, 0.89% Zn from
Slide 8: Walford Creek – Fault bound mineralisation extending +25kms
Walford Creek – Fault bound mineralisation extending +25kms Indicated Inferred Exploration Potential Aeon Metals Limited | ASX: AQR | www.aeonmetals.com.au Commercial in Confidence
Slide 9: Walford Creek – Mine development pathway
Walford Creek – Mine development pathway 2014 2015 Walford Creek Activity Q2 Q3 Q4 Q1 Q2 Q3 Q4 6,000m drill program – Resource extension Mining pit optimisation/scheduling review Infrastructure studies Metallurgical testing, process flowsheet 6,000m drill program ` Environmental studies Pre-Feasibil
Slide 10: Transaction Rationale – A pathway to value creation
Transaction Rationale – A pathway to value creation Value-accretive acquisition provides significant scale and sustained growth potential • Resource base to increase 89% to 1,420,000t Cu-Equiv • Attractive price and structure: - Distressed seller - Purchase price equates to US$0.016/lb Cu-Equiv –
Slide 11: Transaction Rationale – A pathway to value creation (continued)
Transaction Rationale – A pathway to value creation (continued) Favourable market timing Continuity of Management • Bottom-of-the-market buying of large JORC Complementary asset base Resources • Growth of Queensland focused base metals • Leverage to any base metals upswing portfolio S&P/ASX 30
Slide 12: Combined Queensland Assets – Significant growth potential
Combined Queensland Assets – Significant growth potential Aston Metals Aeon Metals • World class copper • Large copper province district in close proximity to existing infrastructure • Walford Creek Project (100%): • Growing JORC Resource base • JORC Resource - 475,000t of copper • 48mt @ 1.42% Cu -
Slide 13: Moving up the resource curve!
Moving up the resource curve! Acquisition brings Increased Reserves Increased Cu-Equiv to 1.42mt Source: Ord Minnett Aeon Metals Limited | ASX: AQR | www.aeonmetals.com.au Commercial in Confidence 13
Slide 14: Equity Raising Overview
Equity Raising Overview • Raised A$8m Shares Options (m) (m) • Institutional and sophisticated investors Current Issued Capital (IC) 182.112 14.333 • Use of proceeds Placement @ - Walford Creek ~ $5M $0.12 cps 66.666 Drill program Aston Consideration Infrastructure study • Shares @ $0.145 48.275
Slide 15: Experienced Board and Management
Experienced Board and Management • Thomas Mann, Non-Exec Chairman • John Goody, Exec Director, Exploration Over 30 years’ experience in financial markets Over 35 years’ experience in mining industry. and global trade; established global trading Has been responsible for the development of corporation
Slide 16: Appendices
Appendices www.aeonmetals.com.au Aeon Metals Limited | ASX: AQR | www.aeonmetals.com.au
Slide 17: Appendix A: Corporate Overview of Aeon Metals
Appendix A: Corporate Overview of Aeon Metals Capital Structure 12-month Share Price Chart $0.35 1,200,000 • Aeon Metals Limited (ASX:AQR) $0.30 1,000,000 • 182m shares on issue Volume traded $0.25 Share price 800,000 $0.20 • 14.3m unlisted options 600,000 $0.15 • Share Price: $0.14 (as at 24 Feb 20
Slide 18: Aeon's Existing Resource Inventory
Aeon’s Existing Resource Inventory • The combined Greater Whitewash-Ben Hur resources have contained metal of approximately: - 475,000t of copper; - 14,800,000oz of silver; and - 158Mlbs of molybdenum • These resources are all within a 15km radius of each other and within a contiguous tenement packa
Slide 19: Next Long Term Copper Province
Next Long Term Copper Province • Large Copper Province in close proximity to existing infrastructure - 150km by road to Gladstone port - Overhead powerlines - Major mining service providers servicing nearby Bowen Basin coal industry - Nearby regional airport serviced by Qantas • Growing JORC resourc
Slide 20: Aeon projects – Ben Hur Copper Project
Aeon projects – Ben Hur Copper Project • Maiden November 2013 Mineral Resource estimate for the John Hill copper-silver- molybdenum deposit within the Ben Hur Project JORC Classification Tonnage Cu Grade Mo Grade Ag Grade Cu Mo Ag (@ 0.24% Cu cut-off) (Mt) (%) (%) (g/t) (t) (Mlb) (Moz) Inferred 62 0
Slide 21: Aeon projects – 7B, a new discovery
Aeon projects – 7B, a new discovery • Greenfields discovery (Nov 2012) of previously unknown high grade outcropping copper mineralisation at 7B, 20km west of Whitewash • 3 drilling programs completed – 55 holes for 5,464m • Significant copper grade mineralisation from surface • Mineralisation has be
Slide 22: Aeon projects – Greater Whitewash Project
Aeon projects – Greater Whitewash Project • Large resource base ~10km from Ben Hur Project • MDL Status • The resource remains open at depth, along strike and across strike in many places • Molybdenum leverage • Additional drilling could materially increase resource • Next steps: - Combine resources
Slide 23: Appendix B: Walford Creek Competent Person Statement
Appendix B: Walford Creek Competent Person Statement Competent Person Statement The data in this report that relates to Mineral Resource Estimates for the Walford Creek Deposit is based on information evaluated by Mr Simon Tear who is a Member of The Australasian Institute of Mining and Metallurgy (
Slide 24: Appendix C: Aeon Competent Persons Statement
Appendix C: Aeon Competent Persons Statement Competent Person Statement The information in this report that relates to Exploration Results and Mineral Resources for Ben Hur is based on information compiled by Mr Robin Simpson, a Competent Person who is a Member of the Australian Institute of Geoscie
Slide 25: Contact us
Contact us Corporate Advisors: Palladion Partners Aeon Metals Limited Suite 14, 234 George Street Suite 11, Level 3, 88 Pitt Street Sydney NSW 2000 Sydney NSW 2000 Andrew Bald, MD Hamish Collins, MD info@palladion.com.au info@aeonmetals.com.au Aeon Metals Limited | ASX: AQR | www.aeonmetals.com.au w