Meeka Metals Limited · ASX:MEK
Meeka Metals — Investor Presentation (September 2024)
32 slides from Meeka Metals's investor presentation, Sep 3, 2024
Slide 1: High Margin, Expandable Gold Operation
High Margin, Expandable Gold Operation Development underway, first gold mid-2025 Tim Davidson | Managing Director ASX:MEK 3 September 2024 meekametals.com.au
Slide 2: Important Information – Disclaimer
IMPORTANT INFORMATION Disclaimer This information contained in this presentation is issued by Meeka Metals Limited (“Meeka” or the “Company”). The information contained herein is confidential and proprietary to the Company and is provided to recipients on the terms and conditions set out in this dis
Slide 3: High Margin, Straightforward, Expanded Development
High Margin, Straightforward, Expanded Development Tier 1 mining jurisdiction of Western Australia. DFS completed May ’24, low-capex restart, up to 64,000oz pa. First gold targeted for mid-2025. Undiscounted pre-tax free cash flow of $577M, NPV8% $344M, IRR 127% and 7-month payback. Processing capac
Slide 4: Corporate Snapshot before Placement
Corporate Snapshot before Placement $0.07 12.0 $0.06 $0.062 10.0 1,235m $0.05 Price (A$/share) 8.0 SHARE PRICE Volume (m) (29 August 2024) SHARES $0.04 6.0 $0.03 4.0 $0.02 $77m1 113M $0.01 2.0 MARKET CAP OPTIONS $- - $3.0m $2.2m CASH Ownership before Placement (30 June 2024) DEBT (August 2024) 7.7%
Slide 5: Leadership
Leadership Have invested $3M in the Company to date and have applied for $480k in the Placement. Board Management Paul Chapman Chris Davidson - Chief Development Officer Non-Executive Chairman MINING ENGINEER ACCOUNTANT Mine manager for Silver Lake Resources responsible for developing their newest C
Slide 6: Murchison Gold Project – Production Ready
Murchison Gold Project – Production Ready 100% MEK ownership in: Upgrade underway based on increased processing • 1.2Moz @ 3.0g/t Au Mineral Resource capacity and additional • 305koz @ 3.8g/t Au Ore Reserve drilling. Oxide open pits (St Anne’s / Turnberry) and existing underground (Andy Well) operat
Slide 7: DFS Outlines Strong Cash Flows
DFS Outlines Strong Cash Flows Expected to get better with increased production in Dec ’24 DFS update. 650 650 May 2024 DFS cash flows @ $3,500/oz: $577M 550 550 • Undiscounted free cash flow of $577M pre- tax and $413M post-tax. 450 450 Recommissioning • NPV8% of $344M pre-tax and $244M post- phase
Slide 8: Bigger Mill = Improved Outcome in updated DFS in Dec ’24
Bigger Mill = Improved Outcome in updated DFS in Dec ’24 • 30% increase in processing capacity from original DFS with purchase of larger 750kW / 640ktpa ball mill, motor, gearbox (+spare) and ancillary equipment for $318k in July 2024. • Other equipment including accommodation village, change house,
Slide 9: DFS Economics Likely to Improve with Updated Dec ’24 DFS
DFS Economics Likely to Improve with Updated Dec ’24 DFS Project Economics from DFS Gold Price $/oz 3,000 3,250 3,500 Revenue $M 1,169 1,267 1,364 EBITDA $M 624 717 809 Free Cash Flow (Pre-tax) $M 392 485 577 Free Cash Flow (Post-tax) $M 284 348 413 NPV8% (Pre-tax) $M 225 284 344 NPV8% (Post-tax) $M
Slide 10: Production Increase Anticipated in Updated Dec ’24 DFS
Production Increase Anticipated in Updated Dec ’24 DFS 700 700 Additional production sources available to fill increased 640ktpa processing capacity: 600 600 • 52,000oz @ 1.3g/t Au – expanded open pit mining within a $3,500/oz optimised pit shell. 500 500 • 61,000oz @ 3.3g/t Au – 2023 underground Or
Slide 11: Low-risk Re-start of Existing Processing Plant
Low-risk Re-start of Existing Processing Plant Minimal work required to re-commission 640ktpa CIL processing capacity. 11
Slide 12: Permitted Infrastructure, Rapid Restart
Permitted Infrastructure, Rapid Restart Existing infrastructure: • 640ktpa CIL processing plant • Mill workshop, stores building • Powerhouse • Water source, storage, reticulation infrastructure Andy Well process plant commissioned in July 2013, Mill Workshop / Stores kept in excellent condition. Po
Slide 13: Development activities are well advanced
Open Pit Mining Area – 19km Underground Mine Processing plant and administration complex Development infrastructure arriving Installation of 116-person accommodation village well underway Development activities are well advanced 13
Slide 14: Site Layout and Access
Site Layout and Access 9 year initial plan: • New open pits at Turnberry and St Anne’s. • Restart high-grade Andy Well underground mine. Road access via the Great Northern Highway. Processing plant at Andy Well. 20km haul road between Andy Well and Turnberry on a granted Miscellaneous Licence. Minin
Slide 15: Low Risk, Low-Cost Oxide Open Pits in First 12 Months
Low Risk, Low-Cost Oxide Open Pits in First 12 Months DFS = 55koz @ 2.6g/t Au ▪ Recent drilling focused on near-surface open pit $2,300/oz pit shells resource = 10,882m (121 holes) of infill drilling. ▪ 360koz @ 1.4g/t Au open pit Mineral Resource (86% M&I). ▪ Only oxide ore considered in DFS mine p
Slide 16: Further Drilling Below Turnberry Open Pits is Expected to Deliver Underground Growth
Further Drilling Below Turnberry Open Pits is Expected to Deliver Underground Growth ~8km underground growth drilling commencing in October 2024 average 1,600 OVM’s to a depth of 200m (where density of drilling reduces) Lack of drilling below 200m growth drilling growth drilling target area growth d
Slide 17: Andy Well Underground
Andy Well Underground High-grade, low capital re-start from existing decline development. • High-grade 505koz @ 8.6g/t Au Mineral Resource (73% M&I). • Initial 7 years of production planned. • Andy Well closed in 2017 at ~A$1,550/oz gold price. • Re-access underground mine in Jan-25. • All lodes rem
Slide 18: Andy Well Underground
Andy Well Underground Rapid, low risk re-start in CY25. • Accelerated production schedule following expansion in available processing capacity. • Mining to commence in first half of CY25. First +12 months of mining – all from existing capital development. Oblique view • Low capital re-start with exi
Slide 19: Andy Well Growth
Andy Well Growth Drilling to deliver resource growth in CY25. Stage 1 Drilling: up-dip extension of high- grade shoot Au ppm 11.4m @ 14.2g/t Au up to 1,500 OVM’s in top 400m 3.5m @ 34.4g/t Au Stage 2: growth drilling down Stage 3: infill plunge high- and extend grade shoot 3.9m @ 9.4g/t Au high-grad
Slide 20: Looking Forward
Looking Forward Planned work through FY26. FY25 FY26 Q1 Q2 Q3 Q4 Q1 Q2 Studies DFS Update - expanded processing capacity Turnberry growth drilling targeting UG extensions Drilling Open pit grade control drilling Andy Well growth drilling from UG drill platforms Camp / support infrastructure installa
Slide 21: Overview of $38M Auramet Facility
Overview of $38M Auramet Facility $26M gold loan and $12M gold stream. Facility Amount $26,000,000 9,000* ounces of gold (12x monthly deliveries of 750* ounces of gold) Gold Repayments *Repayment ounces are to be adjusted based on the average forward price per ounce of gold over the Gold Delivery Pe
Slide 22: Overview of Equity Raising
Overview of Equity Raising Two-tranche institutional placement to raise $35M. • Two tranche institutional placement to raise up to $35M (Placement). o Tranche 1 of the Placement to raise ~$10.8M utilising existing Placement capacity under Listing Rules 7.1 and 7.1A. o Tranche 2 of the Placement to r
Slide 23: Sources and Uses of Funds
Sources and Uses of Funds $73M funding package including $38M Auramet Facility and $35M institutional placement. Sources of Funds $M Cash (30 June 2024) 3 Gross proceeds of Placement and Auramet investment 35 Gross proceeds of Gold Loan and Stream Funding 38 Total Sources 76 Uses of Funds $M Corpora
Slide 24: Indicative Pro-forma Capital Structure
Indicative Pro-forma Capital Structure Pro-forma capital structure including the Gold Loan and $35M institutional placement. Units Current Pro-forma Market capitalisation1 $M 77 77 Institutional Placement (inc. Auramet investment) $M 35 Market capitalisation $M 77 112 Cash2,3,4 $M 3 74 Debt (bridgin
Slide 25: Proposed Equity Raising Timetable
Proposed Equity Raising Timetable Indicative timetable. Event Date Announcement Tuesday, 3 September 2024 Placement tranche one settlement date Friday, 6 September 2024 Placement tranche one allotment date Monday, 9 September 2024 General meeting for approval of tranche two, including Director Monda
Slide 26: Key Risks
Key Risks Set out in this section are potential risks associated with Company, the Placement, the industry in which the Company operates and an investment in the Company’s shares. It is not an exhaustive list of every risk faced by the Company now or in the future. Global economic Changes in global
Slide 27: Key Risks Continued
Key Risks Continued The Company’s success depends on the continued services of its key personnel. Due to management’s experience and the important role they have taken in developing the Company’s mining, business and financial plans, the Company could be adversely affected if any of the key manageme
Slide 28: Key Risks Continued
Key Risks Continued The Company’s business is subject to a number of risks and hazards generally, including adverse environmental conditions, industrial accidents, labour disputes, code of conduct breaches, unusual or unexpected geological conditions, ground or slope failures and natural phenomena s
Slide 29: Offer Jurisdictions
Offer Jurisdictions This document does not constitute an offer of new ordinary shares (“New Shares”) of the Company in any jurisdiction in which it would be unlawful. In particular, this document may not be distributed to any person, and the New Shares may not be offered or sold, in any country outs
Slide 30: Offer Jurisdictions continued
Offer Jurisdictions continued This document constitutes an offering of New Shares only in the Provinces of British Columbia, Ontario and Quebec (the “Provinces”), only to persons to whom New Shares may be lawfully distributed in the Provinces, and only by persons permitted to sell such securities. T
Slide 31: Offer Jurisdictions continued
Offer Jurisdictions continued This document has not been, and will not be, registered with or approved by any securities regulator in the European Union. Accordingly, this document may not be made available, nor may the New Shares be offered for sale, in the European Union except in circumstances th
Slide 32: Contact
Moon ASX:MEK (08) 6388 2700 info@meekametals.com.au meekametals.com.au DISCOVER GROW DEVELOP
Meeka Metals — Investor Presentation (September 2024) on 6ix