Regulus Resources Inc · TSXV:REG
Regulus Resources — Investor Presentation (February 2021)
33 slides from Regulus Resources's investor presentation, February 2021
Slide 1: The AntaKori Copper-Gold Project
THE ANTAKORI COPPER-GOLD PROJECT TSX.V:REG OTCQX:RGLSF BVL:REG CORPORATE PRESENTATION – FEB 2021
Slide 2: Disclaimer
DISCLAIMER Forward-Looking Information Forward‐Looking Information. Certain statements regarding Regulus, including management's assessment of future plans and operations, may constitute forward-looking statements under applicable securities laws and necessarily involve known and unknown risks and u
Slide 3: What is the opportunity at the AntaKori project?
WHAT IS THE OPPORTUNITY AT THE ANTAKORI PROJECT? ANTAKORI EXCELLENT LOCATION AND INFRASTRUCTURE • Peru is the 2nd largest copper producing country in the world. A Brownfield Copper-Gold Deposit • AntaKori is a large copper-gold project in a well endowed with Blue-sky Potential region of the Andes an
Slide 4: How does Regulus compare to peers?
HOW DOES REGULUS COMPARE TO PEERS? Market Cap EV/lb CuEq US CuEq Grade SOLGOLD GT GOLD 0.027 REGULUS 0.70% GT GOLD SOLGOLD 0.021 Avg of top 3 FILO is $0.022/lb WESTERN FILO 0.017 SOLGOLD FILO JOSEMARIA 0.012 GT GOLD JOSEMARIA REGULUS 0.010 CANDENTE LOS ANDES WESTERN 0.008 LOS ANDES REGULUS 84.3 LOS
Slide 5: Recent and near-term catalysts at AntaKori
RECENT AND NEAR-TERM CATALYSTS AT ANTAKORI Obtain Strategic Investment and Technical Endorsement C$16.6 MM investment by Osisko Gold Royalties See News Oct 1 Further Consolidate the District Option to acquire additional ground from Gold Fields See News Feb 16 Grow Mineralization on Regulus Ground Re
Slide 6: Where is the AntaKori project?
WHERE IS THE ANTAKORI PROJECT? TOP GLOBAL COPPER-GOLD PRODUCER Peru is the second largest copper producing country in the world and largest gold producer in South America. GEOLOGICALLY WELL-ENDOWED The region is geologically well endowed with large copper and gold projects and operations including Y
Slide 7: What is the AntaKori project?
WHAT IS THE ANTAKORI PROJECT? 3D map looking to northwest AntaKori Tantahuatay Oxide Mine Sulphides Exploration Tantahuatay Sulphides AntaKori – Brownfield Exploration Tantahuatay – Sulphides exploration • 100% owned by Regulus • Significant Resource calculated in 2019 • Owner, Coimolache1, expects
Slide 8: What is the opportunity at the AntaKori project?
WHAT IS THE OPPORTUNITY AT THE ANTAKORI PROJECT? 3D map looking to northwest Tantahuatay Oxide Mine AntaKori Sulphides Exploration Tantahuatay Sulphides AntaKori – Brownfields Exploration • Focus of exploration 2017-2018 2019 Regulus 2019 “Out-of-Pit” Mineralized Blocks Conceptual Pit (Not Reported)
Slide 9: What is the opportunity at Anta Norte?
WHAT IS THE OPPORTUNITY AT ANTA NORTE? 3D map looking to northwest Tantahuatay Oxide Mine AntaKori Anta Norte Sulphides Sulphides Exploration Exploration Tantahuatay Sulphides Anta Norte Greenfield Exploration • Drill testing a large ~1.2 km x 1.6 km geophysical target to north of previous drilling.
Slide 10: What is the opportunity at Anta Norte?
WHAT IS THE OPPORTUNITY AT ANTA NORTE? 3D map looking to southeast Tantahuatay Oxide Mine Anta Norte AntaKori Sulphides Sulphides Exploration exploration Anta Norte - Greenfield Exploration • Potential to expand the pit to capture existing Tantahuatay resource blocks and find new mineralization in S
Slide 11: What is the opportunity at Anta Norte?
WHAT IS THE OPPORTUNITY AT ANTA NORTE? Anta Norte AntaKori Sulphides Exploration Sulphides Exploration Anta Norte - Greenfield Exploration Tantahuatay • Potential to expand the pit to capture existing Sulphides resource blocks and find new mineralization in this area • Drill testing a large ~1.2 km
Slide 12: How does AntaKori drilling compare?
HOW DOES ANTAKORI DRILLING COMPARE? Many of the Best Reported Copper Equivalent Intersections from Juniors Since January 2018 Rank Property Hole ID Company From (m) To (m) Interval (m) Cu % Au g/t Ag g/t CuEq % CuEq x m 1 Cascabel CSD-18-067 SolGold 886.00 1,914.00 1,028.00 0.710 0.910 NA 1.36 1,397
Slide 13: Where is the exploration upside?
WHERE IS THE EXPLORATION UPSIDE? Mineralization Is Open to the North Large Geophysical • To date the majority of drilling has been Anomaly focused on southern claims. • The permit was received in early 2020 to AK45 access northern targets but drill program AK44 start up was delayed by COVID-19 restr
Slide 14: What do first Anta Norte drill holes show us?
WHAT DO FIRST ANTA NORTE DRILL HOLES SHOW US? Large Step Out Holes at Anta Norte Have Extended the Mineralized Footprint • AK37 to AK44 distance 369.47m • AK44 to AK45 distance 226.36m AK34, AK37, AK41 370 m 225 m • Reportable mineralization 2019 Regulus intercepted in all holes Resource Pit Limit A
Slide 15: Agreements to consolidate property position
AGREEMENTS TO CONSOLIDATE PROPERTY POSITION 1. Coimolache Agreement • Collaborative Exploration Agreement – Data/Access sharing (grey area on map) • Allows Regulus to model and constrain, with an open pit, the combined sulphide resource and report the portion that falls on Regulus ground* • Allows C
Slide 16: Interim resource with significant growth potential
INTERIM RESOURCE WITH SIGNIFICANT GROWTH POTENTIAL Resource Tonnes Cu Au Ag CuEq Cu Au Ag CuEq Conceptual Pit Models Both Regulus and Coimolache Category (millions) (%) (g/t) (g/t) (%) (B lbs) (M oz) (M oz) (B lbs) Mineralization – We Only Report for Regulus Indicated 250 0.48 0.29 7.5 0.74 2.6 2.3
Slide 17: What does the interim resource show us?
WHAT DOES THE INTERIM RESOURCE SHOW US? Section Section Section line line Looking to southwest CONCEPTUAL 60,000 TPD PIT • Utilizes both Regulus and Coimolache data (within area of interest) to model entire deposit (Regulus only reports what is on Regulus ground) • Significant high-grade mineralizat
Slide 18: What is the future for the region?
WHAT IS THE FUTURE FOR THE REGION? DISTRICT MAP Projected Regional Developments in the Next 5 Years • TANTAHUATAY TRANSITION TO SULPHIDES (Coimolache: Southern Copper; Buenaventura; ESPRO) Currently a heap leach oxide operation, mining the oxide cap of a large copper-gold sulphide resource. Coimolac
Slide 19: What is the district timeline?
WHAT IS THE DISTRICT TIMELINE? Potential Monetization of Regulus and the AntaKori Project 2021 2025 2030 AntaKori Cu-Au Sulphides Exploration AntaKori Cu-Au Sulphides Development to Production Tantahuatay Transition to Sulphides Production Tantahuatay Cu-Au Sulphides (Estimated Closure of Oxide Oper
Slide 20: What is the demand for new copper mines?
WHAT IS THE DEMAND FOR NEW COPPER MINES? By 2025 New Copper Mines are Required to Meet Demand Requirements Mt 30 Probable Copper Projects 28 Base Case Copper Production 26 24 Primary Copper Demand 22 20 18 16 14 12 10 2010 2015 2020 2025 2030 Source: Wood Mackenzie - Global Copper Long Term Outlook
Slide 21: Who are we?
WHO ARE WE? Team With a History of Creating Value • Converted Haquira from small copper • Converting AntaKori from a moderate oxide deposit to a Tier 1 porphyry copper sulphide deposit to a Tier 1 deposit sulphide/porphyry-skarn deposit • Upon completion of PEA, sold to First • Better location, bett
Slide 22: Does management have skin in the game?
DOES MANAGEMENT HAVE SKIN IN THE GAME? Significant Ownership, Aligned With Shareholders REG Shareholders Shares issued 101,849,844 Management & Directors, 13.23% Fully Diluted 127,042,420 Cash (Dec 1, 2020) C$18 MM Share price Route One (Feb 16 , 2021) C$1.05 Investment Corp, Other Regulus 24.11% Ma
Slide 23: What is Regulus' approach?
WHAT IS REGULUS’ APPROACH? A Focus on the End Game; Work to Create Sustainable Long-term Value for All Stakeholders ACTIVELY INVOLVED IN LARGE DEPOSIT WITH POTENTIAL A TECHNICAL APPROACH THAT LONG-TERM COMMUNITY AND FOR MULTIGENERATIONAL WILL FACILITATE MINING ENVIRONMENTAL PROJECTS MINE LIFE ANTAKO
Slide 24: Appendix
APPENDIX TSX.V: REG OTCQX:RGLSF 24
Slide 25: What is our long-term strategy?
WHAT IS OUR LONG-TERM STRATEGY? Adding Value Through Discovery and De-risking 1 2 3 Acquire Mineral Add Value by Monetize By Resources with Expanding Resource & Selling to a Overlooked Potential Project De-Risking Major Mining Co. The Team’s Companies & Key Projects 2005 2005-2010 2010 Antares Miner
Slide 26: Innovative strategic partner
INNOVATIVE STRATEGIC PARTNER Via Strategic Partnership with Osisko Gold Royalties (see news release Oct 1, 2020) ✓ US$12.5 MM (C$16.6 MM) paid to Regulus. IMMEDIATE INJECTION ✓ Company fully financed for Phase II drill OF CAPITAL program. % REDUCTION IN ✓ Reduced royalty on Mina Volare claim of Anta
Slide 27: What is the geologic setting?
WHAT IS THE GEOLOGIC SETTING? Skarn Mineralization Overlain by High Sulphidation Epithermal Mineralization AntaKori Mineralization • A Cu-Au-Ag calcic skarn developed in Cretaceous sedimentary rocks associated with massive replacement sulphide bodies • A high sulphidation epithermal system with Cu-A
Slide 28: Where is the arsenic?
WHERE IS THE ARSENIC? SW Cross Section Displaying Cu/As Ratio NE Arsenic is Mostly Constrained Within Volcanic Rocks to the South • Arsenic is primarily contained within the volcanic sequence as high sulphidation epithermal mineralization • Dominant arsenic bearing mineral is enargite • Skarn minera
Slide 29: What is an example of arsenic being treated?
WHAT IS AN EXAMPLE OF ARSENIC BEING TREATED? Yanacocha Installing an Autoclave 35 km From the AntaKori Project Historically the largest gold mine in South America – oxide mine utilizing heap leach processing 35km Running out of oxides and need to transition to a high arsenic, copper-gold sulphide mi
Slide 30: How will AntaKori offset arsenic treatment cost?
HOW WILL ANTAKORI OFFSET ARSENIC TREATMENT COST? Project Has Several Factors That Lead to Higher Revenue and Lower Capex/Opex HIGH-GRADE MINERALIZATION LOW STRIP RATIO • Attractive Copper, Gold and Silver Grades • Combined project with Coimolache has • High-grade mineralization right at surface reso
Slide 31: Who are we? An experienced management team
WHO ARE WE? An Experienced Management Team John Black Mark Wayne CEO and Director CFO and Director B.Sc., M.Sc., 35+ years international exploration experience – Kennecott, Rio Tinto, WMC, LLB, CFA, 35+ years capital market experience, founding CFO of Antares Minerals, former founding President/CEO
Slide 32: Who are we? A multi-disciplinary board of directors
WHO ARE WE? A Multi-Disciplinary Board of Directors John Black Mark Wayne CEO and Director CFO and Director B.Sc., M.Sc., 35+ years international exploration experience – Kennecott, LLB, CFA, 35+ years capital market experience, founding CFO of Antares Rio Tinto, WMC, founding President/CEO of Antar
Slide 33: Please contact us with any questions
TSX.V:REG PLEASE CONTACT US WITH ANY QUESTIONS: John Black, CEO & Director | john.black@regulusresources.com | +1 303-618-7797 Laura Brangwin, Investor Relations | laura.brangwin@regulusresources.com | +1 646-583-1404 www.regulusresources.com TSX.V: REG OTCQX:RGLSF 33
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