Ausquest Limited · ASX:AQD
Ausquest — Shareholder Meeting (November 2018)
28 slides from Ausquest's shareholder meeting presentation, Nov 21, 2018
Slide 1: AQD - South32 Strategic Alliance
For personal use only AQD - SOUTH32 STRATEGIC ALLIANCE > A$10.0M Exploration Spend - 2018 Eleven Projects subject to SOUTH32 S.A.A. Five Projects being Drilled in 2018 $11.5 MILLION MARKET CAPITALISATION
Slide 2: Disclaimers
DISCLAIMERS For personal use only Forward-Looking Statements This presentation contains forward looking statements concerning the projects owned by AusQuest Limited. Statements concerning mining reserves and resources may also be deemed to be forward looking statements in that they involve estimates
Slide 3: Capital Structure
C A P I TA L S T R U C T U R E AusQuest Limited Significant Shareholder For personal use only Chris Ellis (NED) 19.84% ASX Code AQD Directors (Incl C.E.) 23.28% Shares on Issue 526.5 million Citicorp Nominees Pty Ltd 2.16% Options on Issue Nil Top 20 (approx) 43.73% Market Cap. (at 2.2 cents) ~$11.5
Slide 4: South32 Strategic Alliance
S O U T H 3 2 S T R AT E G I C A L L I A N C E For personal use only • South32 fund drill targeting (US$0.5M) of selected prospects & drilling of agreed targets (US$4.0M for 70%) • Bonus payments help finance Project Generation • AusQuest manage programs including drilling • Strong support for early
Slide 5: Alliance Projects - 10/18
ALLIANCE PROJECTS - 10/18 Projects Location Target STATUS Current Program For personal use only Chololo Peru Cu S32 right to earn 70% DDH (10/5300m) – Assessing results Cerro de Fierro Peru Cu-Au S32 right to earn 70% Drilling in progress (7/3500m) Los Otros Peru Cu S32 Expl. Opportunity Under Asses
Slide 6: Peru Projects – Copper Country
PERU PROJECTS – COPPER COUNTRY For personal use only 6
Slide 7: Chololo – Porphyry Cu Prospect
CHOLOLO – PORPHYRY CU PROSPECT For personal use only • Close to infrastructure – road, rail, power - 20km from Ilo port – 1100m RL • Initial drilling completed (10/5300m) – final results & assessment in progress 7
Slide 8: Chololo – Schematic Drill Intercepts
C H O L O L O – S C H E M AT I C D R I L L I N T E R C E P T S For personal use only • Wide spaced drilling (+500m) intersected large scale porphyry alteration • Alteration provides vectors to mineralisation • Advanced argillic in CDDH04, 06, 09, 11 • Phyllic in CDDH06, 04 & 09 • Pyrite & base metal
Slide 9: Chololo - Porphyry Indicators
C H O L O L O - P O R P H Y RY I N D I C ATO R S For personal use only Alunite Pyrophyllite Dickite Pyrophyllite Pyrophyllite ❑ Lithocap (intense depletion of Mn, Mg, Zn etc) plus high Temp minerals implies proximity to porphyry
Slide 10: Chololo – Porphyry Cu Targets?
C H O L O L O – P O R P H Y RY C U TA R G E T S ? For personal use only • Initial indicators suggest possible porphyry centre(s) close to the Chololo Fault 10
Slide 11: Cerro de Fierro – New IOCG Target(s)
C E R R O D E F I E R R O – N E W I O C G TA R G E T ( S ) For personal use only • Close to Marcona (Fe), Mina Justa, Pampa Pongo (Fe-Cu-Au) & Los Chapitos (Cu) • Magnetic target(s) identified from Company’s proprietary airborne data • Extensive Cu & regional scale potassic alteration implies IOCG p
Slide 12: Cerro de Fierro – Drill Program
CERRO DE FIERRO –DRILL PROGRAM For personal use only A H G B • Large scale IP / magnetic target associated Cu-Au anomalies – IOCG / Manto? • Second target to be drilled in Peru under Strategic Alliance (S32) 12
Slide 13: Cerro de Fierro – Drill Progress
CERRO DE FIERRO –DRILL PROGRESS For personal use only • Four holes completed (~2000m) – three (~1500m) to be drilled – finish in December
Slide 14: Cerro de Fierro – Cu in Hole CFD03
CERRO DE FIERRO – CU in HOLE CFD03 For personal use only Cpy in veins Cpy in vugs Cu (Mn) on fractures Disseminated cpy
Slide 15: Parcoy – Drill Targeting with IP
P A R C O Y – D R I L L TA R G E T I N G W I T H I P For personal use only • Regional K alteration & Cu (+/- Au) identified along structures – IP survey planned
Slide 16: Peru – New Opportunities
PERU – NEW OPPORTUNITIES For personal use only
Slide 17: Australia – Projects (South32)
AUSTRALIA – PROJECTS (South32) For personal use only • Focus on large scale base metal projects (WA - QLD) • 7 projects being tested under Strategic Alliance in 2018 • Drilling at Blue Billy JV for sediment-hosted Zn • Drilling of Ni-Cu targets at Balladonia & Jimberlana • Target definition for Cu-N
Slide 18: Blue Billy JV (South) – Sedex Zinc
B L U E B I L LY J V ( S o u t h 3 2 ) – S E D E X Z I N C For personal use only • Wide-spaced (1 to 2km) RC drilling tested structural targets (fault bound synclines) for an increase in Zn mineralisation 18
Slide 19: Blue Billy JV – Drill Section A-B
B L U E B I L LY J V – D r i l l S e c t i o n A - B B A For personal use only Target horizon - black mudrocks NW Central SE Compartment Compartment Compartment f? f? • Zinc content of target horizon shows slight increase to NW where target horizon deepens • Thickness of target horizon remains const
Slide 20: Jimberlana (South32) Ni-Cu Project
JIMBERLANA (South32) NI-CU PROJECT For personal use only • Large (200km x 1-2km) highly fertile (Ni) mafic intrusion defined by mag/gravity • Drilling (2 holes/716m) & DHEM confirmed fertility of intrusion but failed to locate massive sulphides 20
Slide 21: Balladonia (South32) Ni-Cu Project
BALLADONIA (South32) NI-CU PROJECT For personal use only • Large tenement holding (1040km²) in Fraser Range Region of WA • Six drill targets identified by EM Surveys • Diamond (~1200m) & Aircore (~1300m) (see insert) drilling to commence end November 21
Slide 22: Yallum Hill Cu (Ni) Project
YALLUM HILL CU (NI) PROJECT For personal use only • Distinct Magnetic Target close to Yilgarn Craton Margin & Proterozoic age granite
Slide 23: Yallum Hill – Proposed Drill Target
YALLUM HILL – Proposed Drill target For personal use only • Discrete EM target overlying strong magnetic response defines potential IOCG drill target – similar anomalies associated with Cu deposits in NW Qld
Slide 24: Hamilton IOCG Prospect – NW Qld
HAMILTON IOCG PROSPECT – NW QLD For personal use only • K alteration in historic drill holes infers near-miss IOCG ~120km south of Cannington
Slide 25: Hamilton IOCG Prospect – NW Qld
HAMILTON IOCG PROSPECT – NW QLD For personal use only WD02009 - K Alteration • Preliminary IP data identify sulphide target NE of WD2009 - coincident with gravity
Slide 26: Possible Drill Timetable (Est.)
P O S S I B L E D R I L L T I M E TA B L E ( E s t . ) Projects Sep Oct Nov Dec Jan Feb Mar April For personal use only Chololo (S32) Drilling ✓ Assess Results ✓ New Drill ? Cu – Peru Cerro de Fierro (S32) Drilling ✓ Assess Results Cu-Au - Peru Blue Billy JV (S32) Drilling ✓ Assess Results ✓ Drill?
Slide 27: Why Add AQD to Your Watchlist?
W H Y A D D A Q D TO Y O U R WAT C H L I S T ? For personal use only • High Levels of Activity • Strategic Alliance Funding • Material Opportunities • High leverage – Low EV • Many Market Catalysts 27
Slide 28: Contact
C O N TA C T For personal use only Graeme Drew Managing Director 8 Kearns Cres, Ardross, WA, 6153 Tel: +61 (8) 9364 3866 Email: graeme@ausquest.com.au www.ausquest.com.au 28