Silver Mines Limited · ASX:SVL

Silver Mines — Shareholder Meeting (November 2017)

38 slides from Silver Mines's shareholder meeting presentation, Nov 28, 2017

  1. Slide 1: Annual General Meeting

    For personal use only Annual General Meeting Sydney, Australia 28th November 2017

  2. Slide 2: Disclaimer

    Disclaimer For personal use only The material in this presentation contains certain forecasts and forward-looking information, including regarding possible or assumed future performance or potential growth of Silver Mines Limited (“SVL”). Such information is not a guarantee of future performance and

  3. Slide 3: 2017 Financial Year in Review

    2017 Financial Year in Review For personal use only Corporate • First year of Bowdens Silver ownership. • Purchase of residual 15% interest of Bowdens Silver to move to 100%. • ~A$8 million capital raised. Project • Feasibility Study commenced for completion early 2018. • Environmental Impact Statem

  4. Slide 4: Silver Mines Limited Introduction

    Silver Mines Limited Introduction For personal use only • Late Stage Feasibility for the development of one of the largest undeveloped precious metals deposits in Australia and one of the largest new silver developments globally. • Recent major resource upgrade with 275 Moz silver equivalent resourc

  5. Slide 5: Silver Mines Limited Snapshot

    Silver Mines Limited Snapshot For personal use only Capital Structure ASX:SVL Shares on Issue 444.0m Options Current Share Price A$0.093 Jun 2018 @ $0.30 10.7m Undiluted Market Capitalisation A$41.3m Jun 2019 @ $0.30 8.0m Cash Oct 2017 A$4.0m Directors (refer to Appendix 4) Institutional Shareholder

  6. Slide 6: Quality Jurisdiction

    Quality Jurisdiction For personal use only 6

  7. Slide 7: Silver Mines Strategy

    Silver Mines Strategy For personal use only 1. Rapidly progress Bowdens Silver through Feasibility and Permitting • Definitive Feasibility Study (‘DFS’) works advanced. • Environmental Impact Statement (‘EIS’) works advanced. • DFS and EIS completion early 2018. • Fast track to mine development. 2.

  8. Slide 8: Bowdens Silver: The Largest Undeveloped Silver Project in Australia

    For personal use only Bowdens Silver The Largest Undeveloped Silver Project in Australia 8

  9. Slide 9: Bowdens Silver Project – Brief History

    Bowdens Silver Project – Brief History For personal use only • Originally discovered by CRA, and drilled by Silver Standard. • Purchased by Silver Mines in June 2016 from Kingsgate. • The largest undeveloped silver deposit in Australia. • Approximately A$70 million (US$55 million) spent on the proje

  10. Slide 10: The Permian of Eastern Australia

    The Permian of Eastern Australia For personal use only • The Permian volcanics of eastern Australia contain high-grade, epithermal and porphyry related gold, copper, silver and base-metal deposits. • The Bowdens Silver Project is a SILVER rich system but has geological affinities to GOLD and COPPER

  11. Slide 11: Quality Jurisdiction

    Quality Jurisdiction For personal use only • New South Wales, Australia a first order jurisdiction. • Major minerals projects in the state include; • Cadia/Ridgeway, Newcrest (650,000oz Au, 65,000t Cu pa) • Cowel, Evolution (260,000oz Au pa) • Northparkes, CMOC (60,000t Cu, 50,000oz Au pa) • Plus co

  12. Slide 12: Regional Geology

    Regional Geology For personal use only • Extensive tenement holding (1,654 km2 = 408,000 acres). • Northeast corner of Lachlan Fold Belt, coal bearing Sydney and Gunnedah basins to the east. • Wide range of prospective deposit types over different time periods (Siluro-Devonian, Carboniferous, Permia

  13. Slide 13: Drilling

    Drilling For personal use only Silver Mines drilling has focused on: • Both infill and extensional drilling. • Oriented core drilling enabling a detailed structural interpretation of high-grade zones. • Drilling intersecting basement Ordovician rocks resulting in new discoveries at depth. • Metallur

  14. Slide 14: Bowdens Silver Resource as at September 2017

    Bowdens Silver Resource as at September 2017 (subsequent to year end) For personal use only 30 g/t Ag Eq Cut Tonnes Silver Silver Zinc Lead Million Million (Mt) Eq. (g/t) (%) (% ) Ounces Ounces (g/t) Silver Silver Eq. Measured 76 72 45 0.37 0.25 111 175 Indicated 29 59 31 0.38 0.25 29 55 Measured &

  15. Slide 15: Bowdens Silver Resource (as at September 2017)

    Bowdens Silver Resource (as at September 2017 ) For personal use only Cut off g/t Ag Eq Tonnes Silver Silver Zinc Lead Million Million (Mt) Eq. (g/t) (%) (% ) Ounces Ounces (g/t) Silver Silver Eq. 60 46.1 106.3 69.1 0.51 0.36 102 158 80 25.1 135.5 93.4 0.57 0.42 75 109 100 15.1 163.7 117.5 0.62 0.47

  16. Slide 16: Bowdens Silver Resource

    Bowdens Silver Resource (Refer to Appendix 1 for further details) For personal use only 16

  17. Slide 17: Block Model

    17 For personal use only Block Model

  18. Slide 18: Block Model

    18 For personal use only Block Model

  19. Slide 19: Bowdens Silver: Fast Track through Feasibility to Development

    For personal use only Bowdens Silver Fast Track through Feasibility to Development Mine plan to initially focus on high-grade / near surface 19

  20. Slide 20: Bowdens Silver Project Development

    Bowdens Silver Project Development For personal use only • Definitive Feasibility Study works by GR Engineering, AMC and ATC Williams. • Smaller, more robust lower impact development planned. • 2.0 million tonnes per annum ore. • Production around 5 million ounces per year plus zinc and lead credits

  21. Slide 21: Bowdens Silver Project Development

    Bowdens Silver Project Development For personal use only • Development will focus on high grade proportion of the deposit being 46Mt @ 106 g/t Ag Eq. • Flat lying deposit at surface – easy to mine and very low strip ratio. • Feasibility Study nearing completion. • Environmental Impact Statement near

  22. Slide 22: Bowdens Silver Development

    Bowdens Silver Development For personal use only 22

  23. Slide 23: Exploration Upside – Building a World Class Mineral Field

    For personal use only Bowdens Silver Exploration Upside ̶ Building a World Class Mineral Field 23

  24. Slide 24: Bowdens Silver High Grade Resource extensions NW

    Bowdens Silver High Grade Resource extensions NW For personal use only • New coherent high-grade discovery within and north of existing deposit and beneath proposed pit​. • Entirely open and to be followed up early 2018​. 24

  25. Slide 25: Drilling: Resource extensions at depth

    Drilling: Resource extensions at depth For personal use only 25

  26. Slide 26: Massive Sulphide Discovery – Bowdens Deeps

    Massive Sulphide Discovery – Bowdens Deeps For personal use only • Massive to semi-massive sulphide discovery made in Feb/Mar 2017. • ~100 metres below the previous resource. • Significant gold content. • Results include 31.25m @ 23g/t Ag, 3.24% Zn, 1.88% Pb 0.3g/t Au (218g/t AgEq). • Zoned hydrothe

  27. Slide 27: Major IP Anomaly Identified - Undrilled

    Major IP Anomaly Identified - Undrilled For personal use only 27

  28. Slide 28: Major IP Anomaly Identified - Undrilled

    Major IP Anomaly Identified - Undrilled For personal use only • New IP survey suggests a major accumulation of sulphide minerals beneath the deposit to the south. • Is there a deep Mt Leyshon equivalent (>3mOz Au) or better? • Massive sulphide intersections on northern edge of IP anomaly. • Spectral

  29. Slide 29: Major IP Anomaly – Drilling Commenced

    Major IP Anomaly – Drilling Commenced For personal use only • Drilling commenced. • First results due late November. • Initial 16 drill holes adjusted as results returned. • BRD17023 and DRB17083 BRD17023 complete assays pending. • Reverse circulation pre- BRD17083 collars with diamond tails. • Each

  30. Slide 30: Major IP Anomaly – Drilling Commenced

    Major IP Anomaly – Drilling Commenced For personal use only • BRD17023 complete. • Mineralisation zone extends for approximately 300 metres down hole. • The zone includes intervals of higher intensity base metal mineralisation over an approximate 80 metre interval down hole. • Assays pending. 30

  31. Slide 31: Regional Targets

    Regional Targets For personal use only • Silver Mines developing regional intrusive phase mapping. • Identification of potential sites for caldera proximal deposits such as Bowdens Silver and Barabolar Coomber. Cu-Mo-Ag Porphyry • Barabolar Cu-Mo-Ag porphyry Target target currently being worked up 3

  32. Slide 32: Regional Targets

    Regional Targets For personal use only • Bowdens analogue targets: – Coomber – Gulgowra • Cu+Mo+Ag porphyry target – Barabolar • Pb+Zn>Ag targets – Bara – Mt Laut • Au+Cu basement targets – Bara Deeps – Mt Laut Deeps 32

  33. Slide 33: Annual General Meeting

    For personal use only Annual General Meeting Sydney, Australia 28th November 2017 For further information please contact: Anthony McClure, Managing Director 33

  34. Slide 34: Appendix - Silver Mines Resource Inventory

    Appendix 1 - Silver Mines Resource Inventory For personal use only Deposit name Tonnes Silver Eq. Silver Silver Silver Eq. Status (Mt) (g/t) (g/t) (Moz) (Moz) Bowdens Silver 128 67 40 163 275 100% owned Webbs1 1.5 345 245 11.7 16.5 100% owned Conrad1 2.6 206 105.4 9.0 17.5 100% owned Total 184 309 1

  35. Slide 35: Appendix – Bowdens Silver Resource

    Appendix 2 – Bowdens Silver Resource For personal use only 30 g/t Ag Eq Cut Tonnes Silver Silver Zinc Lead Million Million (Mt) Eq. (g/t) (%) (% ) Ounces Ounces (g/t) Silver Silver Eq. Measured 76 72 45 0.37 0.25 111 175 Indicated 29 59 31 0.38 0.25 29 55 Measured & Indicated 105 68 41 0.37 0.25 140

  36. Slide 36: Appendix - Bowdens Silver Resource

    Appendix 3 - Bowdens Silver Resource For personal use only Cut off g/t Ag Eq Tonnes Silver Silver Zinc Lead Million Million (Mt) Eq. (g/t) (%) (% ) Ounces Ounces (g/t) Silver Silver Eq. 0 397.2 30.7 17.6 0.18 0.12 225 392 10 261.7 43.7 25.2 0.26 0.17 212 368 20 185.2 54.6 31.7 0.32 0.21 189 325 30 1

  37. Slide 37: Appendix – Board of Directors

    Appendix 4 ̶ Board of Directors For personal use only Keith Perrett, Chairman Mr Perrett has had a long involvement in agriculture as a producer and industry leader at local, state, national and international levels. He was formerly Chairman of the Grains Research and Development Corporation (GRDC),

  38. Slide 38: Competent Persons Statements

    Competent Persons Statements For personal use only Bowdens Silver Resource Estimation The information in this report that relates to mineral resources is based on work compiled by Mr Arnold van der Heyden who is a Director of H & S Consultants Pty Ltd. Mr van der Heyden is a member and Chartered Pro

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