Alchemy Resources Limited · ASX:ALY
Alchemy Resources — Shareholder Meeting (November 2019)
18 slides from Alchemy Resources's shareholder meeting presentation, Nov 22, 2019
Slide 1: AGM Presentation
AGM Presentation ASX: ALY 22 November 2019
Slide 2: Alchemy Projects: Renewed Goldigoets
Alchemy Projects: Renewed|Goldigoets KARONIE PROJECT 794km? of exploration ground © Alchemy 100% © Immediately along strike of Breaker’s © 1,.0Moz Au Bombora deposit Surrounds Silver Lake’s e Aldiss Mining Centre 590Koz Au resources BRYAH BASIN JV's 488km* of exploration ground Sandfire Base Metal J
Slide 3: Capital Structure
Capital Structure Listed on ASX Nov 2007 Cash (30 Sept 2019) $1.5m SFR Drilling Shares on Issue (21 Nov 2019) 550.5m Overflow Diamond Drilling West Lynn Commencement SFR Drilling Rights Results Issue Karonie Drilling Commencement Ni-Co Summervale Resource Al Resource Options - unlisted (ex. 4c – 12c
Slide 4: Staff-Admin-Corporate Costs maintained at low levels
❑ Staff-Admin-Corporate Costs maintained at low levels ❑ Exploration Expenditure to Total Cost ratios have improved and remain high (2017 = 59%, 2018 = 73%, 2019 = 65%) ❑ 2019 exploration statistics: 1,932m of drilling (RC & RAB) and 291 geochemistry samples 4
Slide 5: Karonie Project: quality gold project near Kalgoorlie
❑ Quality gold project in well established gold province 100km east of Kalgoorlie ❑ Surrounds Silver Lake’s Aldiss Mining Centre (mining ongoing) ❑ 38km strike of Claypan Shear Zone (Bombora host structure): ✓ fertile shear zone within a poorly explored greenstone belt covered by shallow transported
Slide 6: 7 high quality gold targets
❑ 7 high quality gold targets (aircore, RC & diamond drilling planned) ✓ Parmelia (initial drilling completed – results pending) ✓ KZ5 (initial drilling completed – results pending) ✓ Taupo (initial drilling completed – results pending) ✓ Gilmore ✓ Aldiss ✓ Esplanade ✓ Challenger ❑ Strike extensions
Slide 7: Overflow and West Lynn Projects
❑ Alchemy 51% - earning 80% interest by $0.4M spend before May 2021 ❑ Overflow Project ✓ Existing thick, high grade gold and base metal drill intercepts ✓ Drilling planned for 2020 ❑ West Lynn Project ✓ JORC inferred resources established 21.3Mt @ 0.84% Ni, 0.05% Co 1 6.6Mt @ 20.8% Al2O3 (HPA) 2 ✓ A
Slide 8: Cobar and Hera style deposits
Hera / Cobar-style Attribute Overflow ❑ Cobar and Hera style deposits - high grade, long life ❑ Polymetallic (Ag-Au-Cu-Pb-Zn) ✓ underground mining operations. ❑ Proximity to major structures ✓ ❑ Shear hosted ✓ Chlorite-silica alteration ✓ ❑ Hera style deposits are typified by lead-zinc rich upper ❑
Slide 9: High grade gold and base metal mineralisation open down plunge
❑ High grade gold and base metal mineralisation open down plunge ❑ Drilling planned Plan showing >1g/t Au grade shell, previous drilling and proposed drilling over satellite image Ref. Alchemy Resources ASX Announcement 30 January 2018 9
Slide 10: West Lynn inferred JORC 2012 resource
❑ West Lynn inferred JORC 2012 resource 21Mt @ 0.84% Ni, 0.05% Co* Deposit Cut Off Ore (Mt) Ni% Ni (t) Co% Co (t) Fe % West Lynn 0.6% Ni 14.7 0.85 124,962 0.05 7,360 20.2 Summervale 0.6% Ni 6.6 0.82 54,440 0.04 2,920 19.7 Total 0.6% Ni 21.3 0.84 179,291 0.05 10,280 20.0 ❑ Good correlation between el
Slide 11: Good initial metallurgical recoveries using nitric acid leach
❑ Good initial metallurgical recoveries using nitric acid leach (patented DNi Process™) ❑ Composite blended laterite/saprolite samples returned average recoveries of 87.1% for nickel and 86.9% for cobalt* ❑ West Lynn average Fe grade (20%) is ~half that of typical WA laterite deposits which facilita
Slide 12: Summervale inferred JORC 2012 resource
❑ Summervale inferred JORC 2012 resource ❑ 6.6Mt @ 20.8% Al2O3* Deposit Cut Off Ore (Mt) Al2O3% Al2O3 (Mt) Fe2O3% TiO2% SiO2% Summervale 18% Al2O3 6.6 20.8 1.4 2.8 1.15 64 ❑ Mineralisation open in all directions ❑ Potential for grade increase with beneficiation of ore ❑ Up to 70% aluminium extractio
Slide 13: Excellent infrastructure
❑ Mitchell Highway runs through the tenement ❑ 7km from Nyngan railway line (linked to Sydney & Newcastle) ❑ Summervale 3km from Nyngan- Bourke power line ❑ West Lynn 7km from Nyngan-Cobar power line ❑ 7km from Bogan Weir water pipelines (fed by Macquarie River) ❑ 12km from Nyngan township (>2,000 p
Slide 14: Sandfire and Superior Gold Joint Ventures
❑ Sandfire Resources NL (ASX: SFR) Farm-in expenditure >$6M over the past year ❑ Joint Venture now formed with Alchemy’s 20% interest free carried to PFS, up to $5M to DFS, then 20% share of costs to production repaid from 50% of Alchemy’s share of profit 1 ❑ Superior Gold Inc. (TSX-V: SGI) Joint Ve
Slide 15: Bryah Basin drilling continuing
❑ Aircore and follow-up RC drilling across a 35km strike of the De Grussa host rocks is continuing (Phase 2 AC - 800m & 400m drill line spacing) ❑ Significant intercepts to date include 1: 5m @ 6.4g/t Au 30m @ 0.5g/t Au (incl. 5m @ 0.69g/t Au, 0.15% Cu) 5m @ 2.7g/t Au 5m @ 1.6g/t Au ❑ MLEM continuin
Slide 16: Alchemy Activity Timeline & Newsflow
Alchemy Activity Timeline & Newsflow Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Sandfire drilling & results ✓ ✓ ✓ ✓ Karonie RC/AC drilling completion & results ✓ ✓ Karonie RAB drilling commencement ✓ Karonie RAB drilling & results ✓ ✓ ✓ Overflow extens
Slide 17: Gold and Base Metal Potential; Nickel-Cobalt and HPA Value
❑ Gold and Base Metal Potential; ✓ Karonie Gold Project – quality drill targets, close to existing resources and processing infrastructure ✓ Overflow Project – Hera style high grade gold/base metal drill targets ✓ Sandfire Resources Bryah Basin JV – high intensity, fully funded base metal exploratio
Slide 18: Disclaimer
ABN 17 124 444 122 Disclaimer This presentation has been prepared by Alchemy Resources Limited (Alchemy or the Company). This document contains background information about Alchemy current at the date of this presentation. The presentation is in summary form and does not purport to be all inclusive
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