Hammer Metals Limited · ASX:HMX
Hammer Metals — Investor Presentation (February 2017)
27 slides from Hammer Metals's investor presentation, February 2017
Slide 1: Hammer Metals Limited Presentation
Hammer Metals Limited ABN. 87 095 092 158 Presentation February 2017
Slide 2: Corporate Summary (February 2017)
CORPORATE SUMMARY (February 2017) Russell Davis Alex Hewlett Nader El-Sayed Simon Bodensteiner Chairman Executive Director Director Director Technical Commercial Finance Mining Corporate Snap Shot Significant Shareholders ASX Code HMX Deutsche Rohstoff ≈ 17.8% Resource Capital Fund VI ≈ 12.7% Ordina
Slide 3: Mount Isa Project Overview
MOUNT ISA PROJECT OVERVIEW Major land position (2850km2) located in the Mount Isa province “sandwiched” between several major players; • Glencore (Mount Isa, E1, George Fisher, Ernest Henry) • South 32 (Cannington) • Chinova Resources (Osborne, Merlin, Mt Elliott, Starra) • CopperChem (Mt Colin, Clo
Slide 4: Corporate Strategy
STRATEGY Corporate Strategy: • To make large copper-gold discoveries in the Mount Isa Mineral Province How: • Through sustained and systematic exploration of a large tenement position within a known major copper province • By drilling holes • Hammer is well funded to explore with $2.4 M cash in the
Slide 5: Mt Isa District Hub
MT ISA DISTRICT HUB Objective: To define as many copper gold resources as possible near Kalman How: Fast track exploration targets through to thorough drill testing Priority Targets: • Kalman Extensions • Serendipity • Overlander • Python • Millennium • Pindora South • Pelican • Tiny Boot • Western
Slide 6: Millennium - A New Cobalt Deposit
MILLENNIUM- A NEW COBALT DEPOSIT • Hammer has drilled 23 RC holes since acquisition in May 2016 to deliver a new cobalt-copper-gold resource in December 2016 • 1.5km of strike tested with another 1.5km yet to be tested in northern leases • Situated adjacent to major Pilgrim Fault zone and 19km from
Slide 7: Millennium - A New Cobalt Deposit
MILLENNIUM- A NEW COBALT DEPOSIT HAMMER METALS LTD | 7
Slide 8: Millennium - Size Potential
MILLENNIUM- SIZE POTENTIAL • 1.5 km of strike remaining to be drilled to the north • Parallel structure to the east at Federal untested. • Extensions to high grade zones (+ 0.5% Co) to be tested by drilling • Excellent potential to grow current resource of 5.9Mt Mineralised Quartzite at Millennium i
Slide 9: Millennium Cobalt-Copper-Gold Deposit
MILLENNIUM COBALT-COPPER-GOLD DEPOSIT • Cobalt price improving on increasing demand • An essential metal in a growing lithium battery market • Production supply squeeze • Where will cobalt pricing be in six months time? HAMMER METALS LTD | 9
Slide 10: Kalman South Drilling
KALMAN SOUTH DRILLING • K140 completed at 904 metres depth • Target is extensions to high grade copper zones in K106 • Down-hole EM indicates drilled below conductive body • Daughter holes to test DHEM conductor under consideration Rig on K-140 HAMMER METALS LTD | 10
Slide 11: Kalman High Grade Copper
KALMAN HIGH GRADE COPPER • High-grade copper-gold: ̶ 7.6m at 23.4% Cu, 0.5g/t Au & 20g/t Ag from 581.65m in K106A ̶ 77m at 1.4% Cu & 1.3g/t Au from 700m in K106A ̶ 53m at 2.1% Cu and .52g/t Au including 25m at 3.8% Cu & 0.94g/t Au from 712m in K106C High Grade Copper from Copper-Gold Zone HAMMER MET
Slide 12: Kalman - High Grade Mo-Re
KALMAN - HIGH GRADE Mo-Re Extensions of high-grade molybdenum and copper-gold zones enhance open pit mining potential • High grade molybdenum & rhenium intersections: - 62 metres at 0.65% Mo, 11.4g/t Re, 0.16% Cu, 0.07g/t Au and 1.5g/t Ag (62 m at 4.3% CuEq*) from 152 metres, - including 7 metres at
Slide 13: New Kalman Resource
NEW KALMAN RESOURCE Kalman Deposit Mineral Resource Estimate (Reported at 0.3% CuEq cut-off above 100m RL and 1.0% CuEq cut-off below 100m RL) Refer to ASX release dated 27/9/16 for details Mining Tonnes Classification CuEq (%) Method (t) Indicated Open Pit 7,100,000 1.5 Inferred Open Pit 6,200,000
Slide 14: Overlander – IOCG Target
OVERLANDER – IOCG TARGET • RC and diamond drilling has identified zones of high grade Cu with Co from surface at Overlander North • Large system - 6km of strike • 6km west of Kalman • Strong IOCG alteration intersected in diamond drill holes OVD001 – OVD003 • Coincident geochemistry, magnetic, gravi
Slide 15: Overlander North Deposit
OVERLANDER NORTH DEPOSIT • Last 3 RC holes intersected: OVRC29 – 75m at 1.33% Cu including 28m at 1.91% Cu and 16m at 1.92% Cu OVRC30 – 87m at 0.74% Cu including 27m at 1.4% Cu OVRC31 – 89m at 1.1% Cu including 56m at 1.4% Cu and 11m at 2.4% Cu and 10m at 1.6% Cu • Open to the north and south and at
Slide 16: Overlander North Deposit
OVERLANDER NORTH DEPOSIT Vertical zone on eastern edge of magnetic – gravity anomaly. OVD001 – Intersects IOCG target – 21m @ 1.7% Cu from 435m – 97.3m @ .54 Cu from 359.5m HAMMER METALS LTD | 16
Slide 17: Overlander North Diamond Holes
OVERLANDER NORTH DIAMOND HOLES OVD001 - Magnetite, Albite, Chalcopyrite, Pyrite Rock OVD001 - Chlorite, Biotite, Albite, Chalcopyrite, Pyrite Breccia Location of OVD001-003 with modelled magnetics (in red showing 0.3, 0.25 and 0.2 SI iso-surfaces) and surface soil copper contours (in green at 400 an
Slide 18: Tourist Zone
TOURIST ZONE • Similar geological position to Overlander and 2km to west • Mineralised breccias, silicification and ‘red rock’ alteration • Previous drilling returned: • 26m at 1.04% Cu and 0.24g/t Au in TRC-11 and • 35m at 1% Cu and 0.18g/t Au in TRC-19 Shaft sunk on red rock breccia at Tourist Zon
Slide 19: Hammertime
HAMMERTIME • Coincident soil geochemistry (Cu and Au) and IP anomaly • 3.4km in length and 1km in width • Prospect crosses the tenement boundary with Glencore Copper Red rock Alteration (left) , Hammertime Topography (Top) HAMMER METALS LTD | 19
Slide 20: Hammertime
HAMMERTIME • Intersected thick zone of alteration and mineralisation in first RC hole – 216m @ 0.17% Cu and 0.05g/t Au Ballara Fault HAMMER METALS LTD | 20
Slide 21: Dronfield
DRONFIELD • Williams granite suite • Coincident gravity - magnetic and IP anomalies • Copper - gold anomalism • 2m @ 6.1% Cu + 1.54g/t Au from 37m in HDRC001 Rock Chip Sample Western Anomaly area containing 2% Cu and 3ppb Au HAMMER METALS LTD | 21
Slide 22: Dronfield
DRONFIELD • Geochemical, Gravity, Magnetic and NEWDAS (IP) Surveys completed • Drilling target outlined at Dronfield West • Drilling anticipated late Q1 2017 Rock Chip Sample Western Anomaly area containing 0.54g/t Au, 0.37% Co, 0.72% Cu HAMMER METALS LTD | 22
Slide 23: New Acquisition
NEW AQUISITION • Agreement reached to purchase Chinalco’s Mount Isa region tenement interests • Includes Elaine Dorothy Copper-Gold Deposit, Gem Copper Deposit and several IOCG targets • Priority is high-grade gold potential of Elaine Dorothy Sulphide mineralisation at Elaine Dorothy – MKED-036 (353
Slide 24: Disclaimer & Competent Person Statements
DISCLAIMER & COMPETENT PERSON STATEMENTS Disclaimer Overlander North + South Resource Estimate The information in this presentation that relates to This presentation by its nature contains summarised Mr Downing consents to the inclusion in the report of the matters based on the information in the fo
Slide 25: Kalman Resource Estimate & Notes on Copper Equivalence Calculation
KALMAN RESOURCE ESTIMATE & NOTES ON COPPER EQUIVALENCE CALCULATION The Kalman Mineral Resource Estimate was updated in August 2016 in accordance with the JORC Code (2012 Edition). (Refer to the ASX Release dated 27th September 2016 for full details of the Resource Estimate.) Kalman Deposit Inferred
Slide 26: Kalman Resource Estimate & Notes on Metallurgical Recoveries
KALMAN RESOURCE ESTIMATE & NOTES ON METALLURGICAL RECOVERIES Assumed Metallurgical Recoveries Based on the testing completed and the current understanding of the material characteristics it has been assumed that the Kalman material can be processed using a “typical” concentrator process flowsheet. T
Slide 27: Millennium Resource Estimate & Notes on Copper Equivalence Calculation
MILLENNIUM RESOURCE ESTIMATE & NOTES ON COPPER EQUIVALENCE CALCULATION The Millennium Mineral Resource Estimate was conducted in December 2016 in accordance with the JORC Code (2012 Edition). (Refer to the ASX Release dated 6th December 2016 for full details of the Resource Estimate.) Millennium Dep
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