Aic Mines Limited · ASX:A1M
Aic Mines — Investor Presentation (August 2021)
26 slides from Aic Mines's investor presentation, Aug 31, 2021
Slide 1: Transformational Acquisition of the Eloise Copper Mine
Transformational Acquisition of the Eloise Copper Mine 31 August 2021
Slide 2: Important Information
Important Information This presentation has been prepared by AIC Mines Limited (“the Company” or “AIC Mines”) to provide summary information about AIC Mines and its activities at the date of this presentation. The information contained in this presentation does not purport to be complete, and it sho
Slide 3: AIC to acquire the Eloise Copper Mine
AIC to acquire the Eloise Copper Mine Binding Agreement to acquire the Eloise Copper Mine from private company FMR Investments Pty Ltd1. Eloise is a high-grade operating underground mine located 60km southeast of Cloncurry in North Queensland. Production commenced in 1996 and the mine has prod
Slide 4: Acquisition Rationale
A transformational acquisition Creates a new junior ASX copper miner with strong free cashflow to add value through exploration success, resource growth, Eloise operational reliability and regional consolidation. A great time to be a copper producer Copper Strong demand and price outlook for copper.
Slide 5: Eloise Copper Mine Overview
Eloise Copper Mine Overview The mine is currently producing 11,500t Cu and 7,000oz Au annually and generating strong free cashflow. AIC is targeting an annual production rate of approximately 12,500t Cu and 6,500oz Au at a C1 operating cost of approximately A$3.30/lb Cu (equivalent to US$2.50/lb
Slide 6: Eloise Copper Mine Operations
Eloise Copper Mine Operations Production History Units FY20 FY21 Ore Mined t 519,074 662,775 Operations consist of an underground mine accessed via decline. The upper levels are mined by longhole open stoping and the lower Ore Milled t 499,719 622,795 levels by sublevel caving. Cu feed grade % 1.7
Slide 7: Eloise Copper Mine Ore Reserve Estimate
Eloise Copper Mine Ore Reserve Estimate Current ore reserves total 1.4Mt containing 30,300t of copper and 26,700oz of gold1. Mineralised zones occur as steeply plunging lenticular bodies with strike lengths between 100m and 200m and attaining a maximum width of 25m. The main zone of mineralisa
Slide 8: Eloise Copper Mine Mineral Resource Estimate
Eloise Copper Mine Mineral Resource Estimate Current mineral resources total 2.7Mt containing 65,500t of copper and 60,00oz of gold1. Eloise has a long production history and the orebody is remarkably consistent and continuous. Historically FMR did not drill-out a large resource inventory ahead
Slide 9: Significant exploration upside
Eloise Copper Mine Significant exploration upside Exploration expenditure has been constrained over the past 3 – 5 years. AIC’s exploration strategy for Eloise will focus on both extensions to the known resource areas and the discovery of new satellite lodes. Immediate potential extensions to
Slide 10: Significant exploration upside
Eloise Copper Mine Significant exploration upside The exploration potential of the Eloise tenement holding was one of the main features that attracted AIC to the acquisition. AIC plans to reinvigorate exploration activities at Eloise. The search for new satellite lodes: Macy Far North Wynb
Slide 11: Next steps
Next steps 1. Shareholder Approval 2. Capital Raising 3. ASX Recompliance 11
Slide 12: Shareholder Approval
Shareholder Approval There are two “hurdles” to complete the Transaction Hurdle 1 AIC will commission Indicative timetable Date On completion of the Transaction, FMR will an Independent Expert Notice of General Meeting sent to hold approx. 28% - 30% of AIC. Under the Report and convene a AIC Shareho
Slide 13: Capital Raising
Capital Raising $30M capital $35M capital Source of funds ($M) Use of funds raise ($M) raise ($M) AIC Cash at Bank Eloise Acquisition – Cash 4.3 5.0 5.0 (30 June 2021) Consideration Following shareholder approval AIC Capital Raising will undertake a minimum Capital (Min – Max) 30.0 - 35.0 Working
Slide 14: ASX Recompliance
ASX Recompliance Indicative Timetable1 Date The Transaction will constitute a change to the nature Notice of General Meeting sent to the 22 September 2021 and scale of the Company's business and will require Company’s shareholders shareholder approval under Chapter 11 of the ASX Listing Rules. Lod
Slide 15: Company Overview
Company Overview An experienced management team focused on building a new Australian mid-tier copper and gold miner through exploration, development and acquisition ASX Code A1M Board of Directors 4 Share Price 1 22.5c Josef El-Raghy Chairman Shares on Issue 1 68.7M Aaron Colleran Managing Director
Slide 16: Current Projects
Current Projects Exploring for gold and copper in WA Lamil Joint Venture 1,280km2 tenement package located 30km west of the world- class Telfer Gold-Copper Mine Displays all the ingredients required to host a Telfer-style deposit Maiden drilling program completed December 2020 AIC earning up
Slide 17: Lamil Project
Lamil Project Phase 2 drilling program to commence in September What we learnt: Confirmed the presence of prospective basement lithologies including metasedimentary rocks (quartz sandstones, siltstones, quartzite) and mafic intrusives (gabbro and dolerite) Above: NQ2 core from diamond drillhole
Slide 18: Lamil Project Drilling Program
Lamil Project Phase 2 Drilling Program – September Quarter 2021 A program of up to 10,000m of RC drilling is planned to both extend and infill the Lamil Main Dome and Lamil NE prospects and will also test three new key targets1: Goodenia – a conceptual base metal target defined by co-incident ma
Slide 19: Marymia Project
Marymia Project Prospective for gold and copper Copper Hills Prospect The Copper Hills Belt makes up the northern third of the Marymia Project area. It is considered to be a preserved portion of Paleoproterozoic basin, equivalent to that hosting the DeGrussa mine. It hosts the Copper Hills Pro
Slide 20: Marymia Project Copper Hills Prospect
Marymia Project Copper Hills Prospect The Copper Hills Prospect is part of an extensive trend of surficial copper oxide mineralisation defined in soils extending some 7km along strike to the west of the main prospect, before it is obscured by younger cover rocks, and remains open to the east. Th
Slide 21: Marymia Project Gold Prospects
Marymia Project Gold Prospects Middle Island - located on the southern margin of the Plutonic-Marymia Greenstone Belt, in an endowed belt. Plutonic South - the interpreted southern extension of the Plutonic-Marymia Greenstone Belt at depth. Marymia NE – numerous untested areas along a 3km stri
Slide 22: Growth Strategy
Growth Strategy A disciplined acquisition strategy Build a portfolio of mines through exploration, development and acquisition Our strategy is to target late-stage Australian gold and copper projects where we can add value through exploration and development. Portfolio approach Start small. Us
Slide 23: Investment Thesis
Investment Thesis Highly credentialed team. A transformational acquisition at Eloise – creates a new junior copper miner with strong free cashflow to add value through exploration success, resource growth, operational reliability and regional consolidation. A great time to be a copper producer
Slide 24: Appendix
Appendix Eloise Mineral Resource & Ore Reserve 24
Slide 25: Eloise Mineral Resource and Ore Reserve
Eloise Mineral Resource and Ore Reserve Eloise Mineral Resources and Ore Reserves are reported and classified in accordance with the JORC Code (2012). Further information is provided in the ASX announcement released by AIC Mines “Transformational Acquisition - AIC to Acquire the Eloise Copper Mine”
Slide 26: Contact
Contact P: +61 (8) 6269 0110 E: info@aicmines.com.au A: A8, 435 Roberts Rd, Subiaco, WA, 6008 ABN: 11 060 156 452 www.aicmines.com.au 26