Slide 1: Asset Development Strategy
Asset Development Strategy March 2012 Andrej Karpinski Executive Chairman www.korab.com.au ASX:: KOR ASX
Slide 2: Value Proposition
Value Proposition Investment • Lugansk – 1 million ounce gold resource, with exploration upside • Winchester – 17 million tonnes magnesite, development phase • Geolsec – phosphate, development phase • Melrose and others – early to advanced stage exploration for copper, gold, and base metals • Market
Slide 3: Korab Overview
Korab Overview Market Cap: $11.8 million $0.35 $0.30 ASX : KOR $0.25 Shares on issue: 88 million $0.20 Options on issue: Nil $0.15 Last price: $0.135 $0.10 $0.05 Top 20 shareholding: 52% $0.00 Directors shareholding: 31% Board & Management Andrej Karpinski • Background in resources financing, commod
Slide 4: Project Portfolio
PROJECT PORTFOLIO 3 www.korab.com.au ASX:: KOR ASX
Slide 5: Current Portfolio
Current Portfolio Lugansk – Gold • Bobrikovo gold and silver mine and deposit in Ukraine • JORC compliant resource of 1,012,000 ounces of gold (see Appendix, slide 17) • Mining and stockpiling of the oxide ore has been in progress since March 2010 • Recently increased project area Geolsec – Phosphat
Slide 6: Current Portfolio
Current Portfolio Winchester – Magnesium • Located 70 km from Darwin port, all infrastructure on site • Low operating cost potential • Large JORC compliant resource base sufficient for 50 year mine life (see slide 10) • 1st Stage - initial focus on MgO based building products at a rate of 75,000 tpa
Slide 7: Lugansk (gold)
Lugansk (gold) Bobrikovo project status and characteristics • Korab has a 68 per cent interest in Lugansk Gold Ltd, which owns the Bobrikovo gold and silver deposit in eastern Ukraine • Bobrikovo has a JORC compliant resource of 20m tonnes at an average grade of 1.55g/tonne, for 1,012,000 ounces of
Slide 8: Lugansk (gold)
Lugansk (gold) Open pit operations at Bobrikovo 7 www.korab.com.au ASX:: KOR ASX
Slide 9: Geolsec (phosphate)
Geolsec (phosphate) Project status • The Geolsec phosphate project is located within Korab’s Rum Jungle mining leases, 70 kilometres by road from Darwin’s port with good access to required infrastructure • Korab is working on authorisations to conduct quarrying • The phosphate deposit extends from t
Slide 10: Geolsec (phosphate)
Geolsec (phosphate) Project development • Korab is aiming to develop the Geolsec deposit as a simple quarrying operation that utilises modern techniques to reduce environmental impacts • Korab anticipates capital expenditure and start-up costs will be approximately $200,000–$300,000 Simple quarrying
Slide 11: Winchester (magnesium)
Winchester (magnesium) Winchester deposit • The Winchester magnesium project is located within Korab’s Rum Jungle exploration leases • Large resource base sufficient for 50 year mine life: • Indicated Resource of 12.2Mt at 43.1% Magnesium Oxide • Inferred Resource of 4.4Mt at 43.6% Magnesium Oxide T
Slide 12: Winchester (magnesium)
Winchester (magnesium) Project status • Project has been through feasibility study process, including: • Mine planning and design • Preparation of environmental impact statement • Design of process flow chart and design of the processing and crushing plant • Test mining, construction of the pilot pr
Slide 13: Melrose (gold)
Melrose (gold) Project status • Korab holds a 96 per cent interest in Melrose Gold Mines Ltd • Melrose controls several gold projects in the eastern Goldfields, Gascoyne and Pilbara region of Western Australia, and within the Pine Creek Orogen in the Northern Territory • The Melrose gold project in
Slide 14: Corporate Strategy
CORPORATE STRATEGY 13 www.korab.com.au ASX:: KOR ASX
Slide 15: Asset Development Strategy
Asset Development Strategy Corporate strategy to build a resource house that will locate and acquire undervalued commodities projects • Develop to production or successful value creation for Korab shareholders • Successful track record of acquisitions including: • Winchester magnesium project • Melr
Slide 16: Conclusion
Conclusion Asset Developer • Corporate model to locate, acquire, advance and crystallise value from resources projects • Develop to production or successful value creation for Korab shareholders Track Record • Successful track record of identifying and adding value to resources projects, including;
Slide 17: Appendices
APPENDICES 16 www.korab.com.au ASX:: KOR ASX
Slide 18: JORC Resource Table
JORC Resource Table Bobrikovo Project The Bobrikovo deposit resource estimate is as follows: Bobrikovo Resource (above 0.5g/t) Classification Tonnes Au g/t Ounces Measured 1,660,326 2.05 109,614 Indicated 4,110,366 2.77 365,271 Inferred 14,475,234 1.15 537,337 Total 20,245,926 1.55 1,012,222 Melrose
Slide 19: Contacts
Contacts Shane Murphy & Adrian Watson, FTI Consulting Andrej K. Karpinski Phone: +618 9386 1233 Executive Chairman +61 420 945 291 Perth office: +618 9474 6166 +61 419 040 807 E-mail: akk@korab.com.au Email: shane.murphy@fticonsulting.com adrian.watson@fticonsulting.com Korab Resources Ltd, Korab Ho
Slide 20: Important Information
Important Information This presentation has been prepared by Korab Resources Limited (“Korab” or the “Company”). It should not be considered as an offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or invitation with respect to those s