Rox Resources Ltd · ASX:RXL
Rox Resources — Australian Nickel Conference 2017
24 slides from Rox Resources's conference presentation, Oct 17, 2017
Slide 1: Waiting for the Nickel Bounce
ASX: RXL For personal use only Waiting for the Nickel Bounce Australian Nickel Conference 17 October 2017 Ian Mulholland - Managing Director 1
Slide 2: Who is Rox?
Who is Rox? For personal use only An awarded Australian exploration company Strong Financial Positon: Cash of ~$13 million & receivables of ~$4 million, no debt JORC Mineral Resources of Nickel and Gold All projects in Australia Committed management with “skin in the game” 2
Slide 3: Key Points
Key Points For personal use only JORC Mineral Resources of 64,100t NiEq1 Rox’s two nickel projects are only 70km apart – synergies for development Known gold mineralisation (and Resources) on tenements Plenty of cash (~$13 million) Nickel price heading upwards Poised and waiting for the nickel price
Slide 4: Money in the Ground
Money in the Ground For personal use only ~70% of funds into exploration since inception ~80% of funds into exploration over the last 5 years (~$20 million) 4
Slide 5: Corporate Information
Corporate Information For personal use only Key Information ASX Code: RXL Share Price: A$0.014 Shares: 1,244M Unlisted Options: 83.8M Market Cap: $17.4M Cash (at 30 Sept 2017): $12.9M EV: $4.5M Top 20: 26% 5
Slide 6: Rox Growth Projects
Rox Growth Projects For personal use only Fisher East Nickel Sulphide Reward Zinc-Lead Project Project Sale • Resource of 50,000t (110 Mlb) of • $19.73 million sale on $2 contained nickel, 2.0 Mt @ 2.5% million investment Ni1 • Cash $15.97 million paid • Potential to increase resources • $3.75 cash
Slide 7: Nickel Projects
Nickel Projects For personal use only Two nickel sulphide projects in WA’s northern goldfields Fisher East is a new nickel province – discovered in 2013 by Rox Collurabbie discovered in 2004 by WMC – but relatively unexplored Fisher East and Collurabbie are just 70km apart – project development syne
Slide 8: Development Studies
Development Studies For personal use only Low technical risk project: o Toll milling – truck ore to nearby plant (two plants within 200km) o Build a plant on site – truck concentrate for sale Decline to underground mine ~100m depth to sulphides Standard underground mining techniques and costs (A$130
Slide 9: Fisher East Nickel
Fisher East Nickel For personal use only X Four deposits discovered so far, Musket, Cannonball, Camelwood & Sabre Total Mineral Resource* on three deposits of 2.0 Mt @ 2.5% Ni, for 50,000 tonnes Ni metal * See Appendix for Mineral Resource details 9
Slide 10: Exploration Targets
Exploration Targets For personal use only Known deposits open at depth Fresh sulphides in aircore at Mt Tate Resource to be drilled out at 10m @ 1.9% Ni Sabre Resource to be drilled Exploration out at Sabre ongoing on multiple targets along 25km of strike Looking to double total resource base 10
Slide 11: Collurabbie Acquisition
Collurabbie Acquisition For personal use only 123km2 of prospective tenure Main discovery at Olympia deposit Widespread Ni-Cu-PGE mineralisation over ~15km strike length on multiple stratigraphic horizons Drill targets for Ni-Cu-PGE Drill targets for Gold Quality datasets of drilling and extensive g
Slide 12: Exploration Potential
Exploration Potential For personal use only Olympia Mineral Resource of 573,000 tonnes @ 1.6% Ni, 1.2% Cu, 0.08% Co and 2.3 g/t Pt+Pd, 2.3% NiEq* High grade drill intercepts Open at depth Exploration potential over 15km of strike Aircore drilling just completed * See ASX:RXL 18 August 2017 for resou
Slide 13: Exploration Results
Exploration Results For personal use only Aircore drilling has defined several anomalies, including Olympia North and Ortus. o 32m @ 0.60% Ni, 0.36% Cu, 272ppb Pt, 405ppb Pd o 24m @ 0.56% Ni, 0.12% Cu, 178ppb Pt, 212ppb Pd 600m long gold anomaly at Naxos (2m @ 2.4g/t Au) Olympia horizon defined nort
Slide 14: Is Nickel Primed For a Recovery?
Is Nickel Primed For a Recovery? For personal use only Jim has spoken! Rox is poised to take advantage of any nickel price recovery Current uncertainty about nickel supply Spot price has risen (marginally) from low a year ago (roller coaster) Nickel supply predicted to go into deficit soon? Chinese
Slide 15: Attractive Gold Potential
Attractive Gold Potential For personal use only JORC Mineral Resource of 86,000 ounces* on Rox’s ground Large scale gold-in-regolith anomaly along complex western shear zone (Damsel-Dam-Shiva) – 10km long Number of strong gold targets at intersections of shear zone and cross- cutting faults and shea
Slide 16: Yilgarn Gold Model
Yilgarn Gold Model For personal use only Bronzewing is a group of gold deposits in Yandal Belt – 3.6 Moz Distance is ~75km from Mt Fisher Footprint of Bronzewing deposits quite small 100m x 50m Aircore/RAB drilling required to properly define anomalies Large low grade gold halo (~100 ppb Au) – but s
Slide 17: Mt Fisher vs. Bronzewing
Mt Fisher vs. Bronzewing For personal use only Dam Central Prospect Oxide 100 ppb Au 300 ppb Au Fresh Target Zone Comparison of Mt Fisher with Bronzewing shows similar features at a number of prospects Potential for a deeper gold systems at Mt Fisher beneath Aircore/RAB gold anomalies Reference: Ana
Slide 18: Bonya Copper Project
Bonya Copper Project For personal use only High grade copper sulphides at the Bonya prospect 11m @ 4.4% Cu, incl. 3m @ 6.1% Cu 38m @ 4.4% Cu, incl. 6m @ 8.8% Cu and 8m @ 7.9% Cu 5m @ 9.1% Cu, incl. 3m @ 13.4% Cu and 11m @ 3.9% Cu Open at depth Rox 51%, Arafura 49% Numerous untested prospects 18
Slide 19: Jervois North
Jervois North For personal use only Jervois North Bonya Mine Ground Gravity survey shows Jervois mineralized trend continues into Rox JV ground Strong drilling target 19
Slide 20: Waiting for the Nickel Bounce
Waiting for the Nickel Bounce For personal use only Rox is under-valued based on the size and grade of our nickel resources compared to our peers Poised for a re-rating as the nickel price recovers Ready (and have finances) to progress nickel projects quickly – when the time comes Value for other pr
Slide 21: Value Proposition
Value Proposition For personal use only ~$17 million in cash and receivables (cash backing) Outstanding gold and nickel assets located in WA, the world’s #1 jurisdiction1 Looking to double Ni resources to >100,000 tonnes contained nickel Studies demonstrate a technically robust project at Fisher Eas
Slide 22: Thank You
For personal use only Thank You Rox Resources Limited Level 1, 34 Colin Street, West Perth, WA, 6005 AUSTRALIA T: (08) 9226 0044 F: (08) 9322 6254 E: admin@roxresources.com.au W: www.roxresources.com.au 22
Slide 23: Disclaimers
Disclaimers For personal use only Forward-Looking Statements Competent Person Statements This presentation has been prepared by Rox Resources Limited. This document contains background information Resource Statements about Rox Resources Limited current at the date of this presentation. The presentat
Slide 24: Appendix – Mineral Resources
Appendix – Mineral Resources For personal use only Fisher East Nickel, ASX:RXL 5 February 2016 Mt Fisher Gold, ASX:RXL 10 February 2012 Deposit Category Tonnes Uncut Cut Deposit Category Tonnes (Mt) Ni% Ni (kt) Grade Metal Grade Metal Value (g/tAu) (Ozs) (g/tAu) (Ozs) (g/tAu) Indicated 0.99 2.56 25.