Stavely Minerals Ltd · ASX:SVY
Stavely Minerals — Shareholder Meeting (November 2014)
52 slides from Stavely Minerals's shareholder meeting presentation, Nov 20, 2014
Slide 1: AGM Presentation
For personal use only AGM Presentation 20 November 2014 BDO Offices 38 Station Street Subiaco
Slide 2: Disclaimer
STAVELY MINERALS For personal use only Disclaimer This presentation contains only an overview of Stavely Minerals Limited (“Stavely" or the “Company”) and its activities and operations. The contents of this presentation, including matters relating to the geology and exploration potential of the Comp
Slide 3: Corporate snapshot and directors
STAVELY MINERALS For personal use only ASX Code – SVY Shares on Issue – 80.4M Share Price - $0.34 Market Cap - $27.34M Cash (30/09/14) - $2.27M Excludes Titeline Drilling agreement* $0.80 700,000 Directors Volume $0.70 600,000 Close Bill Plyley $0.60 Non-executive Chairman 500,000 Chris Cairns $0.50
Slide 4: Why Copper?
For personal use only WHY COPPER?
Slide 5: Gold not attractive
STAVELY MINERALS For personal use only Gold not attractive – price in US$ down ~40% from high
Slide 6: Iron ore even less attractive
STAVELY MINERALS For personal use only Iron Ore even less attractive – down over 50% from high
Slide 7: Copper steady in A$ terms
STAVELY MINERALS Copper though has For personal use only been remarkably steady in A$ terms and has increased over the past 6 months
Slide 8: Copper supply and A$ price outlook
STAVELY MINERALS For personal use only Should copper become supply constrained and the lower prices for coal, iron ore and gold result in a depreciation of the A$, the A$ copper price could see a material price appreciation.
Slide 9: Our Strategy
For personal use only OUR STRATEGY
Slide 10: Strategy
STRATEGY For personal use only 1. Acquire copper / copper + other metals projects with quality Mineral Resources with two key attributes: i. The known mineralisation is not sufficient to develop ii. There is excellent exploration upside 2. Implement an intensive exploration programme to discover fur
Slide 11: Projects
For personal use only PROJECTS
Slide 12: Project Location
PROJECT LOCATION For personal use only The Mount Stavely Volcanic Complex is considered a northern extension of the Mt Read Volcanics in Tasmania
Slide 13: Project Location
PROJECT LOCATION For personal use only Total area owned and applied for tenure: 770 square kilometres
Slide 14: Mineral Resources
1 MINERAL RESOURCES For personal use only At the Ararat Project, hosted in Besshi-style VMS: • Inferred Mineral Resources of 1.2Mt at 2.0% copper, 0.5 g/t gold, 0.4% zinc and 6 g/t silver for 30kt of contained copper At the Stavely Project hosted in a secondary chalcocite enriched blanket: • Inferre
Slide 15: Ararat Project
For personal use only ARARAT PROJECT
Slide 16: Ararat
ARARAT PROJECT For personal use only Hosts the: Mt Ararat Besshi-style copper-gold VMS and the Langi Logan - Stawell Gold Mine look-alike target
Slide 17: Mount Ararat VMS
For personal use only MOUNT ARARAT VMS
Slide 18: Besshi-style VMS as ancient sea-floor black smoker
ARARAT PROJECT Mt Ararat Besshi-style copper-gold VMS is an ancient sea- For personal use only floor ‘black smoker’
Slide 19: Ararat VMS deposits occur in clusters
ARARAT PROJECT For personal use only Mt Ararat Besshi-style copper-gold VMS is an ancient sea- floor ‘black smoker’ – they tend to occur in clusters of typically 6-8 deposits
Slide 20: Ararat
ARARAT PROJECT For personal use only • Mt Ararat Besshi-style VMS – Inferred Mineral Resource of 1.2Mt at 2.0% copper, 0.5g/t gold, 0.4% zinc and 6g/t silver • The Degrussa deposit is considered a Besshi-style VMS • Open at depth and along strike
Slide 21: Known mineralisation looks distal
ARARAT PROJECT Known mineralisation looks distal but can be very good tenor when massive For personal use only Penz003 – 119.4m-120.5m 1.1m @ 1.2g/t gold, 6.85% Cu and 0.63% Zn Penz003 – 120.5m – 120.9m 0.4m @ 6.6g/t gold, 17% Cu and 1.2% Zn
Slide 22: Ararat
ARARAT PROJECT For personal use only • Known mineralisation expressed as fine sulphide laminations interlayered with pelitic sediments – quiescent distal interpretation • More massive zones can have exceptional grades: MA28 – 4.45m at 8.1g/t gold and 12% copper from 32.25m • The prize is the thick
Slide 23: Ararat
ARARAT PROJECT For personal use only Mt Ararat Mineral Resource is over 350m strike extent at the southern end of a 4 kilometre long airborne VTEM conductor and coincident soil copper-zinc anomalism (gold not analysed). Ground EM confirms significant undrilled extensions to the north of the existing
Slide 24: Mt Ararat VMS ground EM conductor plates
ARARAT PROJECT For personal use only Mt Ararat VMS ground EM conductor plates • Mt Ararat existing Mineral Resource has a ground EM conductor to 500m depth (red). • Carroll’s prospect (blue) has a ground EM conductor 2km along strike and to 800m depth. • South Pole prospect (green) has ground EM con
Slide 25: Mt Ararat VMS has compelling exploration potential
ARARAT PROJECT Mt Ararat VMS has compelling exploration potential For personal use only Immediately along strike to the north from an Inferred Mineral Resource with attractive grades of 1.2Mt at 2% copper, 0.5 g/t gold and 0.4% Zn: VTEM conductors confirmed by ground EM over 3.5 km long Coincide
Slide 26: Recent RC drilling results
ARARAT PROJECT For personal use only Recent RC drilling results1 from northern extensions to the Mt Ararat Mineral Resource: 5m at 2.10% copper, 0.56 g/t gold, 0.48% zinc and 9 g/t silver, including • 2m at 3.37% copper, 0.73 g/t gold, 0.47% zinc and 14 g/t silver 3m at 2.64% copper, 0.17 g/t go
Slide 27: Recent Drilling
ARARAT PROJECT For personal use only Recent Drilling Unexpectedly, drill hole SARC001 also intersected 12m @ 0.97 g/t gold (to EoH) within a broader 13m interval*, including a significant higher grade zone of: • 3m at 3.04 g/t gold *one x 1 metre sample was destroyed at the lab and is being re-sampl
Slide 28: Prospective VMS horizon over 15 kilometres
ARARAT PROJECT For personal use only • Prospective VMS copper- gold horizon extends over 15 kilometres within Stavely Minerals tenements. • Very little exploration under shallow cover.
Slide 29: Langi Logan Gold Target
For personal use only LANGI LOGAN GOLD TARGET
Slide 30: Stawell Gold Mine
For personal use only STAWALL GOLD MINE
Slide 31: Stawell Gold Mine
STAWALL GOLD MINE For personal use only • Not a ‘nuggety’ Bendigo / Ballarat ‘ladder reef’ type mine • A much more continuous style of contact mineralisation = very consistent production = far more desirable!
Slide 32: Ararat Goldfield
ARARAT GOLDFIELD For personal use only • Produced +600,000oz • No hardrock source identified. Langi Logan basalt dome Major deep lead production shafts
Slide 33: Langi Logan
For personal use only LANGI LOGAN
Slide 34: Work programme status for the Ararat Project
ARARAT PROJECT For personal use only Work programme status for the Ararat Project • At the Mt Ararat VMS prospect, drill ground EM conductors 3.5 kilometres along strike to the north of the existing resources • 5,000 metres of RC drilling - Phase 1 complete • Diamond tails - Complete • DHEM survey -
Slide 35: Stavely Project
For personal use only STAVELY PROJECT
Slide 36: Why look for porphyries in western Victoria?
STAVELY PROJECT Why look for porphyries in western Victoria? For personal use only • Porphyries are the major deposit type for global copper production • Porphyries are large metal systems with a well understood alteration zonation typically an order of magnitude larger than the deposit itself – ie.
Slide 37: Stavely Project
For personal use only STAVELY PROJECT
Slide 38: Porphyry copper deposits form above subduction zones
STAVELY PROJECT For personal use only Porphyry copper +/- gold deposits form above subduction zones
Slide 39: Porphyry copper deposits form above subduction zones
STAVELY PROJECT For personal use only Porphyry copper deposits form above subduction zones
Slide 40: Thursday's Gossan resource and prospects
STAVELY PROJECT For personal use only • Thursday’s Gossan chalcocite enriched blanket – Inferred Mineral Resource of 28Mt at 0.4% copper containing 107kt copper • Thursday’s Gossan porphyry • Junction porphyry • Newly interpreted Mt Stavely porphyry • Fairview Gold prospect • Wickliffe VMS prospect
Slide 41: Mt Stavely Volcanic Complex and Mt Read Volcanics
STAVELY PROJECT For personal use only • Mt Stavely Volcanic Complex considered the northern extension of the Mt Read Volcanics in Tasmania – demonstrated by Tony Crawford. • MRV hosts the Mount Lyell, Rosebery, and Henty copper-gold deposits. • In the Thursday’s Gossan area a very major intersection
Slide 42: Thursday's Gossan chalcocite blanket and porphyry
STAVELY PROJECT For personal use only Thursday’s Gossan chalcocite blanket (red) and location of porphyry intrusion at depth (blue) controlled by long-lived structures – regional structural controls expressed at local scale.
Slide 43: Exploration upside premise
STAVELY PROJECT • Stavely bought these projects primarily For personal use only for the exploration upside. • Stavely’s premise was that previous explorers had failed to recognise the high-level of exposure – ie. The porphyry was down deeper than existing drilling.
Slide 44: Significant drill intercepts into leakage structures
STAVELY PROJECT For personal use only Significant drill intercepts into ‘leakage’ structures: • ‘D’ veins in the porphyry terminology of Gustafson and Hunt, 1975 • 7.7 metres at 4.14% copper, 1.08 g/t gold and 77g/t silver • 9.5 metres at 2.93% copper, 0.44g/t gold and 42 g/t silver
Slide 45: Evidence for alkalic copper-gold porphyries
STAVELY PROJECT But what evidence that the Stavely Volcanic Belt For personal use only hosts alkalic copper-gold porphyries? • Zones of pervasive hematite alteration • Strongly negative 34 sulphur isotope values • Metal ratios – gold and silver rich – 5m @ 1.4% copper, 0.25g/t gold and 11 g/t silve
Slide 46: First drill holes into Thursday's Gossan and Junction
STAVELY PROJECT For personal use only First drill holes into the Thursday’s Gossan prospect intercepted broad intervals of low-level ‘wall rock’ copper mineralisation in phyllic over propylitic alteration: • 82.3m at 0.12% copper • 45.9m at 0.19% copper, and • 196m at 0.13% copper First drill hole h
Slide 47: Stavely has compelling exploration potential
STAVELY PROJECT Stavely has compelling exploration potential For personal use only Porphyry targets with: Gravity lows IP chargeability anomalies Alteration mineralogy indicating high-level of exposure in porphyry system Almost no drilling below 250m depth in key areas Sulphur isotope valu
Slide 48: Hole SMD004 vector toward porphyry core
STAVELY PROJECT For personal use only Drill hole SMD004 at Thursday’s Gossan was providing an excellent ‘vector’ towards the porphyry core at depth to the south but this would be disrupted by the low-angle structure at ~400m depth We were very close, now to use every piece of evidence we can get
Slide 49: Low-angle structure intercepted at ~400m
STAVELY PROJECT For personal use only Drilling intercepted low- angle structure at ~400m depth Alteration and sulphides were indicating close proximity to target potassic core Challenge can be overcome with good geology – we have the tools we need see ASX announcements dated 28 August 2014 and
Slide 50: Results to date
STAVELY PROJECT Results to date For personal use only Thursday’s Gossan Very positive results from drilling the IP chargeability anomaly – increasingly intense alteration, very ‘busy’ core, low-grade copper mineralisation Intercepted a low-angle structure at ~400m depth – now using alteration zo
Slide 51: Other targets
STAVELY PROJECT For personal use only Other targets: • Patanga porphyry target – drill intercept of 10 metres at 0.32% copper and 0.4 g/t gold • Wickliffe VMS target – drill intercept of 3.15 metres at 2.27 g/t gold, 4.9% zinc, 0.2% copper and 7 g/t silver
Slide 52: Thank You
STAVELY MINERALS For personal use only Thank You Contact Us: Stavely Minerals Limited Level 1, 168 Stirling Highway Nedlands WA 6009 www.stavely.com.au info@stavely.com.au Ph: 08 9287 7630 The information is extracted from information available to view on www.stavely.com.au. The company confirms tha
Stavely Minerals — Shareholder Meeting (November 2014) on 6ix