Arctic Star Exploration Corp. · TSXV:ADD
Arctic Star Exploration — Investor Presentation (June 2018)
33 slides from Arctic Star Exploration's investor presentation, June 2018
Slide 1: Corporate Presentation June 2018
TSX-V: ADD | FRA: A182.F | OTCQB: ASDZF CORPORATE PRESENTATION JUNE 2018
Slide 2: Cautionary Statement on Forward Looking Information
CAUTIONARY STATEMENT ON FORWARD LOOKING INFORMATION These presentation materials (“the Presentation Materials”) are being supplied to you for information purposes only on Arctic Star. (the “Company”). These Presentation Materials have been prepared by and are the sole responsibility of the Company.
Slide 3: Capital Structure
CAPITAL STRUCTURE Ticker TSX-V: ADD Shares Outstanding 105,448,863 Options 9,341,661 Warrants 43,708,767 Average Volume ,000 FINLAND RATED AS WORLD’S #1 MINING JURISDICTION BY FRASER INSTITUTE 2017 3
Slide 4: Board of Directors & Management
BOARD OF DIRECTORS & MANAGEMENT Scott Eldridge Patrick Power Buddy Doyle Roy Spencer PRESIDENT & CEO, EXECUTIVE CHAIRMAN, VP EXPLORATION, COUNTRY MANAGER, DIRECTOR DIRECTOR DIRECTOR DIRECTOR Thomas Yingling Sean Charland Bill Ferreira Jared Lazerson DIRECTOR DIRECTOR DIRECTOR DIRECTOR 4
Slide 5: Diamond Pipeline
DIAMOND PIPELINE Rough Diamonds Polished Jewelry Cutting Jewelry Production Sales and Sales manufacture Retail polishing Top 5 ~5,000 ~10,000 35% of Market No. of Players Control 70% ~100 Controlled by largest Retailers Typical 28% 2% 4% 4% to 10% Margins $US Value $15B per annum $80B per annum Sour
Slide 6: Diamonds Rough Prices
DIAMONDS ROUGH PRICES • Rough diamond price and demand rebounding from record highs in 2011-2013 • Recently prices retreated: 1) Indian currency crisis 2) Quantitative easing lead to bidding wars using debt, banks closed in Antwerp 3) Slightly less USA holiday demand • Prices have now rebounded: 1)
Slide 7: Diamond Production Forecast
DIAMOND PRODUCTION FORECAST The world consumes 127 million carats of rough per year The equivalent to the entire reserves of a medium size mine per year Argyle will close this year, Undachnya and Mir closed Very little global diamond exploration since the 2008 GFC No new significant discovery since
Slide 8: Overview Synthetics
OVERVIEW SYNTHETICS • Synthetics have been around since the 1980’s they have improved in quality but De Beers and the GIA have developed identification methods and now every natural cut diamond is certified • There is no resale market for synthetics and difficult to insure for purchase price Some Sy
Slide 9: Company Overview
COMPANY OVERVIEW • Arctic Star Exploration Corp. is a junior natural resource company engaged in the acquisition, exploration, and development of mineral properties. The Company has four mining projects primarily focused on Diamonds. Timantti • Timantti Project, located in Finland was discovered aft
Slide 10: Proven Track Record Finding Diamond Mines: Grib Mine
PROVEN TRACK RECORD GRIB MINE FINDING DIAMOND MINES Roy Spencer (Photo above) led the team that discovered the Grib Diamond Mine in Russia sold for $1.5B. The Timantti Project is on the same geological provinance as Grib and Lomonosov Diamond Mines. Roy has worked in diamonds since 1970s with De Bee
Slide 11: Proven Track Record Finding Diamond Mines: Diavik Mine
PROVEN TRACK RECORD DIAVIK MINE FINDING DIAMOND MINES Buddy Doyle (Photo above) led the exploration team that found the Diavik diamond mine in Canada. Buddy has worked with Diamonds since the 1980s 11
Slide 12: Location the Right Address
LOCATION THE RIGHT ADDRESS • Finland was recently ranked as world’s #1 mining jurisdiction in the world by The Fraser Institute • 100% interest 243 Ha Exploration Permit. No royalties • District scale land package: 193,700 Ha Exploration Reservation exclusive rights for 2 years • Same geological pro
Slide 13: Land Position Exploration
LAND POSITION EXPLORATION • Arctic Star has 2,000 km2 of RUSSIA Exploration Reservations • Covers the extend of the large kimberlite indicator plume known from the Russian border, public Wolves data thought to outline the extend of Timantti project ARCTIC kimberlite field KUUSAMO ICE DIRECTION AND L
Slide 14: Infrastructure
INFRASTRUCTURE • 17km away from Kuusamo 400m off the highway • You can use UBER to get to the Wolf Kimberlites from Kuusamo international airport • Flat and easy terrain to access the property • Grid Power 14
Slide 15: Timantti Phase 1 Work Program Results
TIMANTTI PHASE 1 WORK PROGRAM RESULTS • Currently underway with ongoing results focus on Exploration Permit • Ground geophysics: have generated multiple excavator and drill targets • Excavator till sampling: has discovered multiple kimberlite bodies • Drill program: has discovered multiple kimberlit
Slide 16: Timantti Caustic Fusion Results
TIMANTTI CAUSTIC FUSION RESULTS Sample +0.106 +0.15 +0.212 +0.3 +0.425 +.60 +.85 +1.18 Total Kimberlite Weight mm mm mm mm mm mm mm mm Stones Notes: (Kg1,2,3) Grey1.WolfSamples 99.98 28 processed 18 at 20 Microlithics 8 1 Laboratories 2 0 Inc., 1of Thunder 76 Bay, ON (“Microlithics”). Microlithics i
Slide 17: Timantti White Wolf Fusion Results
TIMANTTI WHITE WOLF FUSION RESULTS Sample +0.106 +0.15 +0.212 +0.3 +0.425 +.60 +.85 +1.18 Total Kimberlite Weight mm mm mm mm mm mm mm mm Stones Kg White Wolf 79.95 53 24 17 4 6 0 0 1 105 current White Wolf 67.55 70 61 24 15 3 5 0 1 169 previous White Wolf 147.60 123 85 41 19 9 5 0 2 274 total Notes
Slide 18: Timantti White Wolf Kimberlite Intercepts
TIMANTTI WHITE WOLF KIMBERLITE INTERCEPTS Bearing/Di Easting Northing Total From To Kimberlite Hole No. p Description (m) (m) Depth (m) (m) (m) (degrees) WW-001 4470858 7335700 55/45 56.5 4.2 47.75 43.55 Kimberlite WW-001B 4470858 7335700 55/60 56.5 5.1 23.3 18.2 Kimberlite WW-002 4470874 7335713 55
Slide 19: Timantti Phase 1 Completed Ground Mag
TIMANTTI PHASE 1 COMPLETED GROUND MAG Vasa Wolf Pack 19
Slide 20: Timantti Drill Collars
TIMANTTI DRILL COLLARS Vasa Dykes • Location of drill collars and kimberlites discovered to date • Grey background digital elevation model • Note the ice direction and drumlins Grey Wolf • Scale bar 500m White Wolf Black Wolf 20
Slide 21: Timantti Vasa EM
TIMANTTI VASA EM • The Vasa Dykes coincide with an EM anomaly conductor • All the red zones are prospective in particular those that are on hills (swamps can be false anomalies) Vaasa Dykes • Grey background digital elevation model • Contours magnetics • Scale bar 500m 21
Slide 22: Timantti Ground Mag: The Wolves
TIMANTTI GROUND MAG: THE WOLVES Meteor Target White Black Grey • Wolves are moderate magnetic highs • Many other similar untested targets, Meteor being the higher priority • Large mag in SE is a gabbro not a kimberlite • Scale bar is 100m 22
Slide 23: Timantti Ground Gravity Wolves
TIMANTTI GROUND GRAVTIY WOLVES • Wolves are gravity lows • Grey Wolf stronger gravity signature • Scale bar is 100m • Image is gravity gradient • Black contours mag Grey 23
Slide 24: Timantti Phase 1 Excellent Start
TIMANTTI PHASE 1 EXCELLENT START • Commenced November 2017 • Ground geophysics: magnetic, gravity and EM surveys • Excavator till sampling: approximately 20 samples ~50lbs • Drill program: approximately 600 Metres • Two new kimberlite bodies found by excavator • Grey Wolf and the Vasa Dyke swarm • K
Slide 25: New Discovery Just the Beginning
NEW DISCOVER JUST THE BEGINNING Two Pyropes in the Kimberlite Drill Core Indicator Minerals in the Core Expect about 1 tonne total of diamond results from the Wolf Kimberlites. Results May-June, next stage of work will be to explore and understand this new kimberlite field expected to stretch over 5
Slide 26: Diagras Project Location
DIA GRAS PROJECT LOCATION • Diavik Diamond Mine recently sold for $1.2B • Magnetics was the principal tool in the 1990’s. Arctic Star is using gravity and EM methods to detect missed phases • Each kimberlite phase can have different geophysical signatures, often non- magnetic 26
Slide 27: Diagras Joint Venture
DIAGRAS JOINT VENTURE • Arctic Star & Margret Lake: Diagras property in purple (ADD 40%) • Green Diamonds are known kimberlites • The Blue Diamonds are known kimberlites with mine plans that have greater than 1ct/t • Property lies along the ”Diavik” economic kimberlite corridor • The Exploration par
Slide 28: Stein Project Location
STEIN PROJECT LOCATION The STEIN project is Taloyoak located 85 km northwest of Taloyoak, Nunavut on the southern Boothia Peninsula, 45 km from tide water 28
Slide 29: Indicator Minerals and Geochemistry
INDICATOR MINERALS AND GEOCHEMISTRY High quality indicator minerals down ice from drill targets Strong diamond indicator minerals 29
Slide 30: Airborne Magnetics
AIRBORNE MAGNETICS • Low level heli-borne magnetics. 100 meter line spacing with anomaly specific 50 meter infill • Numerous discrete magnetic anomalies up-ice of geochemistry • Drill Ready, geophysics complete 30
Slide 31: Cap Project
CAP PROJECT • 21 mineral tenures covering an area of 10,482ha • 85 km northeast of Prince George BC, good infrastructure, forestry land • Recently discovered a Niobium bearing Carbonatite vomplex • Outcropping 0.96% Nb 31
Slide 32: Highlights of Drill Results
HIGHLIGHTS OF DRILL RESULTS • Highlights from drill hole CAP17-004 are summarized as follows: • 85.24 meters to 95.66 meters -- 0.35 per cent Nb2O5 across 10.42 meters, including 2.26 meters of 0.63 per cent Nb2O5 • 98.87 meters to 118.50 meters -- 19.63 meters of 9.94 per cent P2O5, including 2.55
Slide 33: Contact: Vancouver, B.C. office
14TH FLOOR - 1111 W. GEORGIA ST. VANCOUVER, B.C. V6E 4M3 WWW.ARCTICSTAR.CA 604-689-1799 INFO@ARCTICSTAR.CA 33
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