Aurelia Metals Limited · ASX:AMI
Aurelia Metals — Investor Presentation (January 2020)
24 slides from Aurelia Metals's investor presentation, Jan 29, 2020
Slide 1: Building the Next Mid-Tier Gold and Base Metals Producer
Building the Next Mid-Tier Gold and Base Metals Producer Investor Presentation - January 29-31, 2020 ASX Code: AMI
Slide 2: Forward looking statements
Forward looking statements This presentation has been prepared by Aurelia Metals Limited (“AMI” or the “Company”). It should not be considered as an 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 to those
Slide 3: Corporate snapshot
Corporate snapshot ASX code: AMI Share price (22 Jan 2020) $0.435 Shares on issue 873.4m Major shareholders Market capitalisation A$380m Australian Super 6% First Sentier 6% Board and management Managing Director and CEO Dan Clifford Non-Executive Chairman Cobb Johnstone Share register composition L
Slide 4: Building Value in the Cobar Basin
Regional foothold Highly strategic asset base in the polymetallic Cobar Basin with two major processing plants possessing a combined capacity of 1.3Mtpa Building Value in High margin output Established, high-value gold and base metals production profile the Cobar Basin Leveraging a strategic asset N
Slide 5: Key assets
Key assets Located in the highly mineralised and productive Cobar Region Bourke Endeavour Zn/Pb/Ag (CBH- Toho) Australia CSA Cu (Glencore) NSW Nyngan Cobar Peak Au/Cu/Pb/Zn Mines Cobar Nymagee Cu Project Basin Hera Au/Pb/Zn Mine Federation Zn-Pb-Au-Cu-Ag Wonawinta Ag Mallee Bull Cu/Pb/Zn Project (Pe
Slide 6: December 2019 quarter dynamics
December 2019 quarter dynamics Expected low-grade phase of Peak schedule ▪ Renewed focus on improving group safety performance ▪ Group gold production: Dec 19 Qtr: 15.3koz YTD: 44.6koz ▪ Group AISC: Dec 19 Qtr: A$1,977/oz YTD: A$1,358/oz ▪ Impacted by well-flagged lower grade phase of Peak mine sche
Slide 7: December 2019 quarter dynamics
December 2019 quarter dynamics Peak Pb/Zn plant upgrade nearing completion Peak ▪ Ore predominantly sourced from lower grade gold stopes in Jubilee and Perseverance ▪ 1,650m lateral development achieved, 9% increase on previous quarter ▪ Kairos decline on track and 310m complete at quarter end (furt
Slide 8: Building for extension and growth
Building for extension and growth Heavy investment phase set to deliver ▪ 1H FY19 saw major investment in the business: Peak plant upgrade, accelerating UG development and access to Kairos (Peak Deeps), exploration spend increased ▪ Set to deliver higher Peak throughput and lower unit costs from 2H
Slide 9: Water solutions
Water solutions Mitigating allocation risks at both operations ▪ Peak requires approx. 780ML/y of water ▪ Traditionally sourced 100% from high security water allocation via Cobar Council ▪ Site has implemented pumping of ground water from New Cobar and water recycling to reduce reliance on high secu
Slide 10: A look at FY20: group level
A look at FY20: group level Guidance on track FY19 actual FY20 outlook Estimated FY20 Group AISC of A$1,050 to A$1,250/oz is based on reference Gold (koz) 118 85 – 95 base and silver metal prices equivalent to those used for the Company’s June 2019 Ore Reserves estimation: lead A$3,000/t, zinc A$3,4
Slide 11: A look ahead
A look ahead FY21 and beyond ▪ Annual throughput at Peak in FY21 expected to be approaching nameplate 800ktpa capacity ▪ Accelerated UG development expected to deliver access to base of Kairos towards end of FY20; strong potential for prioritisation and mining of high margin tonnes from Kairos in FY
Slide 12: Building value
Building value 01 02 03 04 Robust operational Upgrade and Near-mine inventory Regional exploration base efficiency projects additions success ▪ Peak: 4 year Reserve life ▪ Peak: Pb/Zn plant ▪ Chronos Extensions, ▪ Federation upgrade Pb/Zn ▪ Hera: 4 year Reserve life ▪ Dominion ▪ Peak: increasing min
Slide 13: Exploration
Exploration 13
Slide 14: The exploration value driver
The exploration value driver Significant recent drilling success ▪ Enhanced financial ability and growing geological understanding of controls on mineralisation ▪ High-grade Kairos deposit ▪ High-grade copper below Kairos ▪ Upper Chronos extensions ▪ Ongoing results at Federation; large-scale, polym
Slide 15: Kairos: high-margin drilling success
Kairos: high-margin drilling success The next Chronos? ▪ Discovered early 2019; directly beneath Peak decline development ▪ Mineralisation style and geological setting similar to Chronos ▪ Open down-dip ▪ Very high grade intercepts(1), including: ▪ 16m at 71.6g/t Au & 8.5% Pb+Zn ▪ 6m at 196.0g/t Au
Slide 16: Kairos: high-grade Cu at depth
Kairos: high-grade Cu at depth Rhyolite hosted, analogous to Peak and Perseverance ▪ New zone of strong copper mineralisation 150m below current Kairos Resource ▪ 25m at 3.0% Cu & 9g/t Ag(1), includes 12m @ 4.1% Cu & 11g/t Ag ▪ Surface drilling program underway to further test depth potential (1) th
Slide 17: Federation discovery
Federation discovery Accelerating evaluation work ▪ Very recent discovery (April 2019) ▪ 10km south-southwest of Hera ▪ Multiple high grade intercepts(1) include: ▪ 18m at 24.7% Pb+Zn, 0.3g/t Au ▪ 26m at 16.4% Pb+Zn, 0.1g/t Au ▪ 20m at 11.9% Pb+Zn, 0.1g/t Au ▪ 5m at 22.6% Pb+Zn & 3.1g/t Au ▪ 6m at 2
Slide 18: Appendix
Appendix 18
Slide 19: Senior leadership transition completed
Senior leadership transition completed New MD/CEO and COO commenced during quarter ▪ Dan Clifford assumed Managing Director & CEO role on 25 November 2019 ▪ Mining engineer with more than 25 years’ experience in the mining industry ▪ Most recently was Managing Director of ASX-listed Stanmore Coal Li
Slide 20: Quarterly Metrics
Quarterly Metrics Aurelia Metals Production Summary Units Jun 19 Qtr Sep 19 Qtr Dec 19 Qtr Dec-19 YTD Hera gold produced oz 13,864 10,535 11,068 21,603 Hera gold sold oz 11,071 12,789 11,476 24,265 Hera lead produced t 1,313 2,276 2,510 4,787 Hera zinc produced t 2,241 3,201 3,259 6,460 Hera AISC $/
Slide 21: Peak Mine Corridor
Peak Mine Corridor +——— Southern Mine Corridor | Northern Mine Corridor New New Perseverance Peak North Prospects Occidental Proteus Prospects Chesney Cobar Jubilee Great Cobar > Peak Northeast TREE ri & 2 ™ r > Lady Greaves £ s—— bf Y » Deep Whip , “\ © An > SAMSON targets ee = bs i met Jubilee Che
Slide 22: Mineral Resources estimates (June 2019)
Mineral Resources estimates (June 2019) Peak 2019 Mineral Resources Tonnes NSR Au Cu Pb Zn Ag Class (kt) (A$/t) (g/t) (%) (%) (%) (g/t) Measured 1,919 204 1.7 1.3 0.6 0.7 11 Indicated 7,402 219 1.6 1.3 1.1 1.3 10 Inferred 4,889 207 1.3 1.6 0.5 0.8 7 Total 14,210 213 1.5 1.4 0.9 1.1 9 Utilises A$120/
Slide 23: Ore Reserves estimates (June 2019)
Ore Reserves estimates (June 2019) Peak 2019 Ore Reserves Tonnes NSR Au Cu Pb Zn Ag Class (kt) (A$/t) (g/t) (%) (%) (%) (g/t) Proved 376 181 1.2 1.7 0.3 0.6 11 Probable 2,458 232 2.1 1.0 2.0 2.1 16 Total 2,834 225 2.0 1.1 1.8 1.9 15 Utilises NSR cut-offs of A$150/t (Peak and Perseverance) and A$130/
Slide 24: Competent Person(s) Statements
Competent Person(s) Statements Hera Mineral Resource Estimate Compilation of the drilling database, assay validation and geological interpretations for the Mineral Resource update were completed by Adam McKinnon, BSc (Hons), PhD, MAusIMM, who is a full time employee of Aurelia Metals Limited. The Mi
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