Peel Mining Limited · ASX:PEX
Peel Mining — Noosa Mining Conference (July 2019)
26 slides from Peel Mining's conference presentation, Jul 18, 2019
Slide 1: High Grade Base Metals in the Cobar Basin
HIGH GRADE BASE METALS IN THE COBAR BASIN Investor Presentation
Slide 2: Disclaimer
DISCLAIMER This presentation contains an overview of Peel Mining Ltd and its associated entities (Peel) and their respective activities and operations. The contents of this presentation, including matters relating to the geology of Peel’s projects, may rely on various assumptions and subjective inte
Slide 3: Corporate Snapshot
CORPORATE SNAPSHOT Capital Structure - ASX: PEX 2 Year Share Price Performance Shares on issue: 242 million Options: 10 million Market cap (@ $0.32/sh): $77 million Cash on hand: ~$8 million Other: 31% of ASX: STN Substantial Shareholders St Barbara Ltd 16% Hampton Hill Mining and assoc. 15% Board &
Slide 4: 12 Years of Money into the Ground
12 YEARS OF MONEY INTO THE GROUND Exploration vs Admin Exploration Admin 12000 10000 8000 $000s 6000 4000 2000 0 30.6.2007 30.6.2008 30.6.2009 30.6.2010 30.6.2011 30.6.2012 30.6.2013 30.6.2014 30.6.2015 30.6.2016 30.6.2017 30.6.2018 30.6.2019 (est) Metres Drilled RC DD 60000 Three discoveries in sev
Slide 5: An Efficient Targeted Company
AN EFFICIENT TARGETED COMPANY Our Exploration Approach • Money into the ground • Open minded to target styles and methodology • Continual innovation and R&D improves our chances • Dominate what we do and where we are • Partnerships are part of our success Our Ground • Cobar track record: 150 years o
Slide 6: Cobar – 150 Years of High-Grade Metals
COBAR – 150 YEARS OF HIGH-GRADE METALS Peel Dominates the Exploration Landscape 50 km Endeavor CSA Ag = Cobar >200 Peak Pb = Moz Zn = >2.7Mt >4.5Mt Three discoveries in seven years Au = >6.5Moz Wirlong x Hera Cu = >2Mt x Mallee Bull Wagga Tank x Cobar Basin Metal Endowment (Recovered or Current Reso
Slide 7: The Prize: High-Grade – Long-Life – World-Class
THE PRIZE: HIGH-GRADE – LONG-LIFE – WORLD-CLASS
Slide 8: 2019-2020 Focus
2019-2020 FOCUS Unlocking The Cobar Basin’s Next Mine Development Opportunities Wagga Tank / Southern Nights • A Rapidly Emerging High-Grade Zinc-Lead-Silver Mineral System • Maiden JORC Resource announced July 2019 (3.5% ZnEq cutoff) o 3.8Mt @ 5.5% Zn, 2.1% Pb, 75g/t Ag, 0.31g/t Au (9.2% ZnEq1) • H
Slide 9: Southern Nights-Wagga Tank
SOUTHERN NIGHTS-WAGGA TANK A Major Zinc-Rich Mineral System 100% owned - Smart Acquisition • Non-dilutive acquisition (2% NSR + $40k) in 2016 • Royalty purchased for $3m in October 2018 Under Explored Tenure • High-grade, economic mineralisation discovered mid-1970s • Land banked with no drilling fr
Slide 10: Southern Nights-Wagga Tank JORC Resource
SOUTHERN NIGHTS-WAGGA TANK JORC RESOURCE Bringing Critical Mass to Peel’s Cobar Basin Endeavours • Maiden JORC Resource^ provides robust platform to immediately commence Scoping Studies • Potential development scenarios include both stand- alone and dig-and-truck processing options • High-grade zone
Slide 11: Australian VMS and Cobar Deposits
AUSTRALIAN VMS AND COBAR DEPOSITS Southern Nights-Wagga Tank Resource Geologically & Economically Significant • Peel’s Wagga Tank–Southern Nights maiden JORC Resource forms the basis for potential long-life mine ➢ 3.8Mt @ 9.2% ZnEq1 = ~348kt contained ZnEq1 metal • Mineralisation extent delineated t
Slide 12: Southern Nights - High Grade Core
SOUTHERN NIGHTS - HIGH GRADE CORE Central Zone Underwrites Production Potential • Within the Central Zone, 290kt @ 21.5% Zn, 9.1% Pb, 215g/t Ag, 0.57g/t Au, 0.27% Cu (32.9% ZnEq1) exists as a discrete massive sulphide lens commencing 150m below surface 18.2m @ 40.3% Zn, 15.7% Pb, 0.97% Cu, Drilling
Slide 13: Southern Nights Central Zone
SOUTHERN NIGHTS CENTRAL ZONE Very High-Grade Zn-Pb-Ag-Au-Cu Core
Slide 14: Wagga Tank-Southern Nights
WAGGA TANK-SOUTHERN NIGHTS Extensive High-Grade System – Open Down-Dip and Along Strike The Wagga Tank-Southern Nights JORC Mineral Resource long section showing >4% Zn domains.
Slide 15: Wagga Tank Regional Potential
WAGGA TANK REGIONAL POTENTIAL A Camp-Scale Mineral System The Bird Strong Geophysical Indications for a Large System • Strong 3km x 4km circular magnetic and gravity anomaly • Large buried magnetic feature possibly represents “heat source/engine” driving mineral system Wagga Tank • Strong historic a
Slide 16: Southern Nights-Wagga Tank Forward Program 2019/2020
SOUTHERN NIGHTS-WAGGA TANK Forward Program 2019/2020 Key Milestones: • Resource definition drilling Completed April ‘19 • Maiden Mineral Resource Estimate Completed July ‘19 • Scoping study Underway • Additional Exploration Proximal to Resource Underway • Substantial metallurgical testwork Underway
Slide 17: Mallee Bull
MALLEE BULL One Of The Highest-Grade Undeveloped Copper Resources In Australia JV Partner • 50:50 JV with CBH Resources (CBH spent $8.33m to earn 50%) • CBH owns the Endeavor Mine and processing facility located 150km away (substantial surplus milling capacity). Low Capex Development Underway • Deve
Slide 18: Mining Mallee Bull
MINING MALLEE BULL Lower Risk, Lower Capital Cost Exploration Decline Pathway • Exploration decline provides a low risk pathway to developing Mallee Bull • Silver Ray exists between 60m and 130m below surface, characterised by high-grade Zn-Pb-Ag: o 13.5m @ 21.1% Zn, 14.1% Pb, 268g/t Ag from 82m o 1
Slide 19: Mallee Bull Copper Resource
MALLEE BULL COPPER RESOURCE The Prize at Depth • Global Resource of 6.76Mt @ 2.6% CuEq • Infill drilling of Upper Mallee Bull lode returned strong copper results including: o 14.15m @ 4.27% Cu, 51 g/t Ag, 0.25 g/t Au from 262m o 11m @ 9.02% Cu, 114 g/t Ag, 0.37 g/t Au from 296m • Stage 1 of Explorat
Slide 20: JOGMEC JV
JOGMEC JV Wirlong Copper Discovery • 50:50 JV with JOGMEC (Japanese Government - $7m for 50%) • Hallmarks of high-grade “Cobar-style” copper discovery at Wirlong; drill highlights include: o 9m @ 3.29% Cu, 18 g/t Ag from 70m o 27m @ 5.3% Cu, 23 g/t Ag from 286m o 31m @ 3.19% Cu, 11 g/t Ag from 299m
Slide 21: An Efficient Targeted Company
AN EFFICIENT TARGETED COMPANY Money Into The Ground (Top 10% of ASX Junior Resource Cos) Drill Deal • CBH Resources • >210 km since listing in 2007 • JOGMEC • >90 km since 2017 • Wagga Tank (MMG) • St Barbara Ltd Discover Deliver • Mallee Bull • Dominant Land Position • Wirlong • High Grade Mine • W
Slide 22: Competent Persons Statements
COMPETENT PERSONS STATEMENTS The information in this report that relates to Exploration Results is based on information compiled by Rob Tyson who is a fulltime employee of the company. Mr Tyson is a member of the Australasian Institute of Mining and Metallurgy. Mr Tyson has sufficient experience of
Slide 23: JORC Code Information: Mallee Bull Resource Table
JORC CODE INFORMATION Mallee Bull Resource Table Grade Contained Metal Cutoff Resource Domain Kt CuEq Ag Au CuEq Cu Ag Au Pb Zn CuEq Category Cu % Pb % Zn % % g/t g/t kt kt Moz koz kt kt Indicated 270 3.08 0.10 51 0.22 2.30 4.00 8.3 0.3 0.44 1.9 6.2 11 HW Pb/Zn Inferred 150 2.0 0.3 23 0.5 1.3 2.2 3.
Slide 24: JORC Code Information: Wagga Tank-Southern Nights Resource Table
JORC CODE INFORMATION Wagga Tank-Southern Nights Resource Table Mineral Resource Estimate for the Southern Nights Deposit Resource Classification Tonnes Zn (%) Pb (%) Ag (g/t) Cu (%) Au (g/t) ZnEq (%) Indicated 1,126,000 8.8 3.5 107 0.28 0.44 14.3 Inferred 2,106,000 4.5 1.5 69 0.14 0.13 7.2 Total Re
Slide 25: JORC Code Information: Metal Equivalent Calculations
JORC CODE INFORMATION Mallee Bull metal equivalent calculations The information in this report includes metal equivalent calculations for Mallee Bull incorporating copper, silver, gold, lead and zinc values. The copper equivalent grades are based on copper, silver, gold, lead and zinc prices of US$5
Slide 26: Thank You for Your Consideration
THANK YOU FOR YOUR CONSIDERATION