Sunstone Metals Ltd · ASX:STM
Sunstone Metals — Investor Presentation (November 2024)
46 slides from Sunstone Metals's investor presentation, Nov 18, 2024
Slide 1: Update to gold-copper discovery announcement and retraction of information
ASX ANNOUNCEMENT 18 NOVEMBER 2024 Update to gold-copper discovery announcement at Bramaderos; and update to MMC presentation and retraction of information. Sunstone Metals Ltd (ASX: STM) (Sunstone or the Company) refers the announcement “New gold-copper porphyry discovery at Bramaderos” (Announcemen
Slide 2: ASX Announcement contact details
ASX ANNOUNCEMENT For further information, please visit www.sunstonemetals.com.au Mr Patrick Duffy Media: Managing Director Paul Armstrong Sunstone Metals Ltd Read Corporate Tel: 07 3368 9888 +61 8 9388 1474 Email: info@sunstonemetals.com.au 2
Slide 3: New gold-copper porphyry discovery points to more growth at Bramaderos
ASX ANNOUNCEMENT 12 NOVEMBER 2024 Bramaderos Gold-Copper Project, Southern Ecuador New gold-copper porphyry discovery points to more growth at Bramaderos The Copete discovery takes the Bramaderos mineralised cluster to 2km x 1.8km, highlighting scope for large open pit operation Key Points • Trench
Slide 4: The Copete target remains largely under-explored
ASX ANNOUNCEMENT The Copete target remains largely under-explored, with no drilling by Sunstone – but now with a coherent and wide mineralised trench intersection, a 3-D modelled magnetic anomaly plunging to the SE comparable to that seen at Brama and mapped stockwork veining interpreted to represen
Slide 5: Figure 2: Melonal–Copete porphyry cluster long section
ASX ANNOUNCEMENT Figure 2: Northwest to Southeast tending long section on the Melonal – Copete porphyry cluster. The long section graphic shows three porphyry systems that plunge steeply southeast to sub-vertical based on 3-D modelling of magnetics data. Multiple datasets define the porphyry centers
Slide 6: Trench ML-01 results and project locations
ASX ANNOUNCEMENT Trench Length Au Cu Ag Au-Eq Comments (m) (g/t) (%) (g/t) (Au-Ag-Cu) (g/t) ML-01 214 0.37 0.08 1.1 0.50 Local higher-grade copper; peak gold over 2m is 2.2g/t includes 113 0.51 0.07 1.2 0.64 Table 1: Assay results from the recent trench sampling program at Copete. Figure 3: Location
Slide 7: About Sunstone Metals
ASX ANNOUNCEMENT About Sunstone Metals Sunstone Metals Limited (“Sunstone” or “Company”) is an ASX-listed mineral exploration company with two world-class gold and copper projects in Ecuador: 1. The Bramaderos Project, located in Southern Ecuador, has both at-surface and deeper porphyry gold- copper
Slide 8: Strategy
ASX ANNOUNCEMENT Strategy The porphyry projects at Bramaderos and El Palmar have the potential to evolve into multi-decade gold- copper mining centres. At Bramaderos, the Limon epithermal deposit has been prioritised as a potential near- surface high-grade gold-silver development opportunity. This s
Slide 9: Exploration target details
ASX ANNOUNCEMENT considered to a depth of 500m. The Melonal target straddles the approved Bramaderos-01 and Bramaderos- 02 concessions. Sunstone has drilled 8 effective diamond holes at the Limon porphyry target. Mineralisation has been intersected in a number of holes. A trench (LM_TR_01) was compl
Slide 10: Exploration target basis and Competent Persons Statement
ASX ANNOUNCEMENT and grade ranges in available diamond drill holes. The volumes were multiplied by a specific gravity of 2.72g/cc (the average density of the T1 resource) to determine the tonnage range of the target. Grade ranges were determined with reference to drill intersection and surface rock
Slide 11: JORC Table 1 – Section 1: Sampling Techniques and Data
ASX ANNOUNCEMENT TABLE 1 – Section 1: Sampling Techniques and Data Criteria JORC Code explanation Commentary Sampling • Nature and quality of sampling (e.g. cut channels, • The new results announced here are from trench random chips, or specific specialised industry standard samples. The trench samp
Slide 12: JORC Table 1 – Sampling Techniques (continued)
ASX ANNOUNCEMENT Criteria JORC Code explanation Commentary Vancouver (Unit 1, 20120 102nd Avenue, Langley, BC V1M 4B4, Canada) for gold and base metal analysis. • The sample preparation is carried out according to industry standard practices using highly appropriate sample preparation techniques. •
Slide 13: JORC Table 1 – Data spacing and distribution
ASX ANNOUNCEMENT Criteria JORC Code explanation Commentary Parameter Value Reference Ellipsoid International 1924 Semi Major Axis Inverse Flattening (1/f) UTM Zone -17S (Datum Type of Projection PSAD56) Central Meridian: -81.0000 Latitude of Origin 0.0000 Scale on Central Meridian 0.9996 False North
Slide 14: JORC Table 1 – Section 2: Exploration Results
ASX ANNOUNCEMENT TABLE 1 – Section 2: Exploration Results Criteria JORC Code explanation Commentary Mineral • Type, reference name/number, location and ownership • The Bramaderos Exploration Concession is located in including agreements or material issues with third the Loja Province of southern Ecu
Slide 15: JORC Table 1 – Exploration Results (continued)
ASX ANNOUNCEMENT Criteria JORC Code explanation Commentary Relationship • If the geometry of the mineralisation with respect to the • Figures 1-2 show the interpreted strike orientation of the drill-hole angle is known, its nature should be mineralised lodes based on mapping and interpretation betwe
Slide 16: El Palmar: A Major Tier 1 Au-Cu Discovery
STM El Palmar Melb Mining Club A Major Tier 1 Patrick Duffy, MD & CEO Au-Cu Discovery 12 November 2024
Slide 17: Disclaimer
Disclaimer DISCLAIMER FORWARD-LOOKING STATEMENTS To the maximum extent permitted by law, no representation, warranty or This Presentation includes certain statements that may be deemed undertaking, express or implied, is made and, to the maximum extent “forward-looking statements”. All statements in
Slide 18: A compelling major Gold & Copper opportunity
A compelling major Gold & Copper opportunity El Palmar Scope for Tier-1 scale global opportunity • Maiden MRE1 of 1.2Moz AuEq2 • Maiden Exploration Target of 15M – 45M oz’s AuEq3 • Potential to start as a large open pit mine, sitting above and adjacent to other large porphyry systems Bramaderos Targ
Slide 19: Strategy: grow Resources and pursue partnerships
Strategy: grow Resources and pursue partnerships Proven team of exploration and development El Palmar Establish MRE, evaluate strategic options experts, with considerable success to date • Maiden El Palmar MRE adding ounces to Sunstone’s Resource base • The Oct-24 Exploration Target1 has demonstrate
Slide 20: Board/Mgmt Team with exceptional track record
Board/Mgmt Team with exceptional track record Patrick Duffy Malcolm Norris Neal O’Connor Stephen Stroud Managing Director Non-Executive Non-Executive Non-Executive & CEO (Apr-24) Chair (Sept-24) Director (Apr-24) Director Ex-Red 5, Glencore and Ex-WMC, Intrepid and Former Xstrata Copper Chief Mr Str
Slide 21: Ecuador – rapidly emerging mining jurisdiction
Ecuador – rapidly emerging mining jurisdiction… Pro-responsible mining government • President actively encouraging responsible mining • Single national mining department Forms part of the worlds most endowed copper gold belt • 2 world-class operating mines – Fruta del Norte, Mirador • All majors pre
Slide 22: Ecuador – with a low-cost strategic advantage
Ecuador – …with a low-cost strategic advantage Ecuador has two world-class, lowest cost-quartile Comparable energy prices (Dec 2023)1 operating mines $0.25 $1.17 $1.50 $1.06 • Fruta del Norte Gold Mine (Lundin Gold) $0.20 $1.01 $1.20 US$/litre US$/kWh • Mirador Copper Mine (Chinese-owned) $0.15 $0.9
Slide 23: El Palmar & Verde Chico, northern Ecuador
1.El Palmar & Verde Chico, northern Ecuador 3,671 Ha under two concessions • 3-hour drive from Quito • Fully permitted for drilling • Access to water and power • Remote agricultural communities are supportive of the project 8 8 ASX:STM
Slide 24: El Palmar & Verde Chico, northern Ecuador
1.El Palmar & Verde Chico, northern Ecuador Highly prospective mineralised district related to the Toachi Fault Zone Tier 1 regional deposits • 2.7Bt Alpala copper-gold porphyry deposit (0.53% CuEq) at Cascabel • 0.53Bt Tandayama-America copper-gold porphyry deposit (0.36% CuEq) at Cascabel • 1Bt Ll
Slide 25: El Palmar: clear potential to be a Tier 1 deposit
1. El Palmar: clear potential to be a Tier 1 deposit Maiden Mineral Resource estimate (MRE) of 1.2Moz AuEq1 establishes a strong platform on which to build a world-scale resource inventory • Pit-constrained MRE is based solely on the outcropping T1 gold-copper porphyry deposit 64Mt at 0.60g/t AuEq
Slide 26: El Palmar: Maiden MRE of 1.2Moz AuEq
1. El Palmar: Maiden MRE of 1.2Moz AuEq1 Based on only 17,699 meters of drilling Significant potential to expand the T1 MRE and pit shell: • Areas within the pit shell still to be drilled • Targets adjacent to and directly below the pit shell will expand the pit size over time • Expectation of a ver
Slide 27: El Palmar: Exploration Target 15-45 Moz AuEq
1. El Palmar: Exploration Target 15-45 Moz AuEq1 Prepared in accordance with JORC code and is in addition to the maiden MRE of 1.2Moz AuEq2 The areas of mineralisation captured in the Exploration Target are of high conviction, geologically robust domains consistent with high aspect ratio, clustered
Slide 28: Tier 1 potential – what does this mean?
1. Tier 1 potential – what does this mean? Comparable ore bodies - Contained metal AuEq (Moz)1 (bubble size) 15M – 45M oz AuEq 1.0 Cadia Hill FID MRE (1997), 10M El Palmar Exploration Target 0.9 demonstrates potential to Candelaria OP MRE, 15M Solgold - Cascabel rank alongside Tier 1 global MRE, 100
Slide 29: Verde Chico is complimentary to El Palmar
1. Verde Chico is complimentary to El Palmar Potential to define both porphyry copper-gold and epithermal gold opportunities Exploration at Verde Chico has commenced with initial follow-up to the known high-grade gold mineralisation Historical exploration from the 1990’s includes: • Perdida vein - 6
Slide 30: Bramaderos, Southern Ecuador
2.Bramaderos, Southern Ecuador 4,984 ha concessions at ~900m above sea level (asl) The project is supported by excellent infrastructure Adjacent to the Pan American Highway ~100km’s from Loja Airport 93% of Ecuador’s power is generated from renewables Potential for low-carbon footprint m
Slide 31: Bramaderos – targeting 10M+oz AuEq
2.Bramaderos – targeting 10M+oz AuEq Immediate priority is to establish a high-grade Mineral Resource Estimate for the Limon epithermal system Bramaderos Project, Au-Equivalents (Moz’s) 14 12 Potential to deliver MRE 0.9 - 1.7 2 growth by converting 10 the Exploration Target 8 through further drilli
Slide 32: Brama-Alba + Limon – mineralisation from surface
2.Brama-Alba + Limon – mineralisation from surface Brama-Alba: 1.6km long Brama- 1.6 km mineralised porphyry system Alba • Outcropping gold-copper-silver Limon; just behind hill • MRE undertaken by Tier 1 Alba consultants CSA • Attractive mining metrics Brama Very low strip ratio Higher grade do
Slide 33: Limon high-grade at-surface discovery
2. Limon high-grade at-surface discovery Limon is a very significant discovery - delivers the potential at-surface higher- grade front end for a larger multi-decade development at Bramaderos • Large 1.7km x 1.0km alteration zone of Hills in background epithermal gold-silver-base metal mineralisation
Slide 34: Limon drilling to establish maiden Resource
2. Limon drilling to establish maiden Resource1 Hills in background 1: ~17k m’s of drilling to-date 19 (12k m’s in the Limon epithermal) ASX:STM
Slide 35: Pathway to a multi-decade mining centre
2. Pathway to a multi-decade mining centre Bramaderos is a world-class gold and copper discovery with multiple pathways to establishing a large 10M+oz AuEq mining centre in southern Ecuador Stage 1: Limon to provide the Establish Limon revenue and balance sheet epithermal as a higher- to fund larger
Slide 36: Momentum in Gold and Copper markets
Momentum in Gold and Copper markets Geopolitical and macroeconomic factors will continue to World is faced with enormous challenge to satisfy future drive up the price of gold global copper demand has been decades in the making Regional conflicts, trade restrictions, shift from USD New copper su
Slide 37: Significant room for value appreciation
Significant room for value appreciation Sunstone is a gold and copper company in the Three clear catalysts to drive share price: world-class Ecuador Andean Copper Belt 1. Maiden El Palmar MRE and ASX STM Exploration Target 2. Advance discussions with strategic Shares on Issue 5,123M partners for ass
Slide 38: Exemplary reputation, strong community support
Exemplary reputation, strong community support Sunstone appreciates the strong community support that it has at its projects and takes its environmental, social and governance issues very seriously. Inaugural Sunstone Sustainability Report released 27 November 2023 • Significant environmental monito
Slide 39: About Sunstone Metals
About Sunstone Metals Sunstone has an advanced portfolio of exploration projects in Ecuador. The portfolio comprises: 1. The Bramaderos Gold-Copper Project Sunstone owns an 87.5% interest, and SolGold Canada, Inc. (formerly Cornerstone Capital Resources) a subsidiary of SolGold, holding 12.5% (loan
Slide 40: About Sunstone Metals
About Sunstone Metals Sunstone has an advanced portfolio of exploration projects in Ecuador. The portfolio comprises: 2. The El Palmar Gold-Copper Project Sunstone holds 74.5% of the highly prospective 800ha El Palmar gold-copper porphyry project in Ecuador. Sunstone can acquire 100% through a Stage
Slide 41: Competent Persons Statement
Competent Persons Statement Competent Persons Statement - Bramaderos The information in this report that relates to Mineral Resources is based on information compiled by Mr Aaron Meakin. Mr Aaron Meakin is a full-time employee of CSA Global Pty Ltd and is a Member and Chartered Professional of the A
Slide 42: Information on Exploration Targets
Information on Exploration Targets Bramaderos areas of somewhat coincident gold, silver, zinc, lead, copper, tellurium and arsenic. Target areas have also been The Bramaderos porphyry Exploration Target within the Bramaderos concession is estimated from 3 areas – the strengthened using alteration mi
Slide 43: Peer Comparison Data (page 13)
Peer Comparison Data (page 13) Mineral Resources Measured Indicated Inferred Total Tonnes Grade Grade Grade Grade Grade Ounces Tonnes Grade Grade Grade Grade Grade Ounces Tonnes Grade Grade Grade Grade Grade Ounces Tonnes Grade Grade Grade Grade Grade Ounces g/t Moz g/t Moz g/t Moz g/t Moz Company M
Slide 44: Peer Comparison Data (page 22)
Peer Comparison Data (page 22) Ordinay Fully Mineral ASX Share price Paid Shares on Date of Market Cap Enterprise Resource EV/ Ticker Company Name ($/share)* issue (M) Appendix 2A ($M) Net Debt Value Moz AuEq Oz AUEq Comments STM Sunstone Metals 0.007 5,149 01-Nov-24 36 (3) 33 3.9 9 Net Debt Source:
Slide 45: Ecuador
Ecuador Capital Quito Population 18,320,382 (2024) Form Of Government Multiparty republic with one legislative house (National Assembly) Official Language Spanish Total Area (Sq Km) 256,700 Length 650km (~Sydney to Cobar, or ~Perth to Kalgoorlie) Monetary Unit US dollars Density: Persons Per Sq Km 7
Slide 46: Call, Email, Web
CALL EMAIL WEB ASX:STM +61 3 7044 2627 info@sunstonemetals.com.au sunstonemetals.com.au
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