True North Copper Limited · ASX:TNC
True North Copper — Investor Presentation (November 2024)
45 slides from True North Copper's investor presentation, Nov 25, 2024
Slide 1: Recapitalisation and Equity Raising Presentation
Recapitalisation and Equity Raising Presentation ASX: TNC November 2024 Not for release to US wire services or distribution in the United States 1
Slide 2: Important Notices and Disclaimer
IMPORTANT NOTICES AND DISCLAIMER This presentation (Presentation), together with any information communi cated by True North Copper Limited ABN 28 119 421 868 (subject to FORWARD LOOKING STATEMENTS deed of company arrangement) (the Company or True North), i n any presentation or discussion relating
Slide 3: Investment Highlights
To be updated Investment Highlights Highly prospective portfolio of copper assets in prolific Cloncurry Copper Project remains underexplored with dozens of drill Cloncurry/ Mt Isa region of north-west QLD, supported by infrastructure ready targets, including near pit opportunities to expand the curr
Slide 4: True North Copper Mt Oxide Project
True North Copper Mt Oxide Project TIER 1 JURISDICTION CLONCURRY COPPER PROJECT (100% TNC) ▪ Existing infrastructure at the Great Australia Capricorn Flamingo Mine (GAM) includes oxide heap leach and Copper (Concentrator) solvent extraction plant, mining/support facilities and existing power. ▪ Mini
Slide 5: Reset to Explore, Optimise and Add Value
Reset to Explore, Optimise and Mt Oxide District Sed Hosted Cu-Ag-Co Vero Add Value PROJECT AREA Capricorn Copper MT OXIDE1 ▪ Drilling new open-pittable targets along Mt Oxide trend identified from 2024 exploration campaign. Cloncurry ▪ Expand high grade Resource base. District ▪ Advanced high grade
Slide 6: Recapitalisation & Equity Raising
RECAPITALISATION & EQUITY RAISING INVESTOR PRESENTATION | NOVEMBER 2024 6
Slide 7: Recapitalisation Summary
Recapitalisation Summary ▪ Extinguish all of the Company’s debt and discharge the claims of certain creditors of the Company. Purpose of the ▪ Provide funding for the Company’s Revised Business Strategy to undertake an extensive exploration and resource definition drilling campaign. Recapitalisation
Slide 8: Equity Raising Summary
Equity Raising Summary ▪ Fully underwritten conditional placement to raise ~A$50.3 million (“Conditional Placement”), via the issue of ~10.06 billion new fully paid ordinary shares (“New Shares”) at an offer price of A$0.005 (“Offer Price”)1. This includes A$50.0m cash plus $300,000 drill-for-equity
Slide 9: Sources & Uses of Funding
Sources & Uses of Funding Uses of Funding Sources of Funds3 (A$m) Proceeds from the Placement will primarily be used to extinguish debt and Conditional Placement proceeds 50.3 fund the Company’s Revised Business Strategy for the next +18 months. Specifically, proceeds will be used as follows: Total
Slide 10: Forward Program Summary
Exploration & Resource Development Forward Program Summary AIMS: ▪ Rapidly grow the Cloncurry Copper Project Life of Mine through discovery of additional new resources adjacent to current pits and infrastructure. ▪ At Mt Oxide, build a regionally significant district of multiple new shallow high-gra
Slide 11: Pro Forma Financial Position
Pro Forma Financial Position Following the Recapitalisation, True North will have an Enterprise Value of ~A$40 million and no debt Partial Repayment of Partial Repayment of Scrip Payment of TNC – Current5 Equity Raising (A$50m)6 Debt-to-Equity Conversion Senior Debt & Repayment TNC- Pro Forma7 Unsec
Slide 12: Indicative Recapitalisation & Equity Raising Timetable
Indicative Recapitalisation & Equity Raising Timetable Event Time (AEDT) / Date SPP Record Date 7pm on Thursday, 21 November 2024 NoM released and announcement of Conditional Placement and Recapitalisation Friday, 22 November 2024 SPP Offer Opens Wednesday, 4 December 2024 SPP Offer Closes Tuesday,
Slide 13: Corporate Snapshot
ASX: TNC CORPORATE SNAPSHOT Corporate Structure1 Board of Directors Pre Post Paul Cronin Non-Executive Chairman (Elect) Shares on issue 1,029.9M 12,169.9M Bevan Jones Managing Director Options/Performance Rights on issue 15.4M 565.4M Tim Dudley Non-Executive Director Warrants on issue 46.4M 46.4M Di
Slide 14: Mt Oxide Project
Mt Oxide Project Vero 2024 Resource 15.03 Mt at 1.46% Cu & 10.59 g/t Ag for 220 kt Cu & 5.13 Moz Ag Lady (Indicated and Inferred)2 Annie Capricorn Copper Mt Oxide Project Mount Kelly Mount Isa Corridor ▪ Drill new targets Mount Gordon Corridor ▪ Expand high grade resources Mount Remarkable Corridor
Slide 15: Vero Resource
Long section Vero Copper-Silver Resource S N Mt Oxide MOXD217 Ivena Vero Resource Vero Pit 200 mRL The Mt Oxide Project hosts the Vero Resource of 15.03 Mt @ 0 mRL 1.46% Cu2, (Inferred and Indicated), a Mt Isa style sediment hosted Cu-Ag-Co system. Analogues include Capricorn Copper and Mt Isa Coppe
Slide 16: Vero Resource vs Capricorn Copper
Mt Oxide Vero Resource vs Capricorn Copper * Capricorn Copper 62.2Mt @ 1.8% Cu and 9g/t Ag 6 A Vero 15.03Mt @ 1.46% Cu & 10.59g/t Ag2 A’ Southwest Northeast Long Section Camp Gossans Vero Ivena North Camp Gossans 6 Prospect Vero high grade shoot Prospect +300 m in length 500 mRL Fe-Mn Fe-Silica Fe-S
Slide 17: Mt Oxide - Underexplored +10km Prospective Trend
Mt Oxide - Underexplored +10km Prospective Trend 330,000 mE 335,000 mE 7,850,000 mN ▪ Limited systematic modern exploration outside of the Vero Mt Gordon Resource. ▪ Significant opportunity to apply leading-edge exploration to build a larger copper inventory in a well-endowed mineral Aquila system.
Slide 18: Mt Oxide – Next Steps - Drill Testing
Mt Oxide – Next Steps - Drill Testing Mt Gordon 6 medium & low priority RC for a total of 1,300m Future Exploration Program Aquila AIM: 6 RC holes including 4 high priority holes for a Target new zones of shallow oxide/supergene sulphide open-pittable total of 1,300m mineralisation of the same size
Slide 19: Mt Oxide - Camp Gossans
Mt Oxide - Camp Gossans A 1.8 km long trend of intermittently outcropping fault breccias with numerous geochemically anomalous gossanous breccias outcrops & 1km to geophysical anomalies Vero Pit ▪ Multiple gossanous breccia structures up to 16m wide located 1.1 km SE of Vero Resource along the major
Slide 20: Mt Oxide - Camp Gossans & Black Marlin
Mt Oxide - Camp Gossans & Black Marlin ▪ Multiple large scale geophysical anomalies in prospective geological settings similar to Vero → Untested Vero scale targets on both lines at Vero and Camp Gossans. ▪ Reconnaissance mapping of geophysical target identified the NEW BLACK MARLIN target outcroppi
Slide 21: Mt Oxide - Aquila
Mt Oxide - Aquila A 1.5 km long and 250 m wide zone adjacent to the Mt Gordon Fault Zone with similar structural setting to Capricorn Copper Ore Bodies, 4.5 km along strike from Vero ▪ Six zones of anomalous Cu, Co & As associated with multiple gossanous breccia structures that are up to 30m wide, i
Slide 22: Cloncurry Copper Project (CCP)
u r r y O pe r a t io n s H u b C lon c Ernest Henry 30 km trucking radius Cloncurry Copper Rocklands Cu Cloncurry Operations Hub Great Australia Project (CCP) Mt Isa Salebury 82 km Rocklands South GAM Orphan Taipan Shear Barkly Hwy Tanbah ▪ Extend mine life ▪ Grow/convert resource base Marimo Trend
Slide 23: Previous Mine Plan
CCP Wallace North Mining Start GAM & Taipan Expand Scale Previous Mine Plan TNC ML 2695 Great Australia Resource Orphan Shear Resource Wallace North Resource 4.7 Mt at 0.88% Cu & 0.07 g/t Au 1.59 Mt @ 1.31% Cu & 0.78 g/ t Au 1.0 Mt at 0.56% Cu & 0.04 g/t Au → 41.1 kt Cu & 10.5 koz Au5 → 5.8 kt Cu &
Slide 24: Wallace North Operations
CCP Wallace North Operations ▪ Mining placed on Care & Maintenance, review of operations & mine plan pending refinancing. ▪ ~ 250k Bank Cubic Metres (BCM) of overburden mined since mining commenced July 2024. ▪ Oxide ore processed at the company’s 100% owned Great Australia Mine processing facility.
Slide 25: Opportunities for Growth
CCP Opportunities for Growth The February 2024 CCP Restart Study was effectively the 'starter pit' economics which is not reflective of the opportunity at Cloncurry. The feasibility study will improve from: ▪ Optimise processing options and routes. ▪ Opportunities to extend mine life via resource co
Slide 26: Regional Exploration
Cloncurry Copper Project C lo n c u r r y O pe r a t i o n s H u b Ernest Henry Exploration 30 km trucking radius Strategic exploration package in Cloncurry, drilling targets and exploration of large scale mineral systems. GREAT Eight high priority drill ready targets at Cloncurry Great Australia Re
Slide 27: CCP - Wallace North and Surrounds
CCP - Wallace North and Surrounds Target 1 Target 2 Target 3 New near-resource targets indicate larger under-explored Iron Chargeability - Conductivity Chargeability drill Chargeability - Sulphide Copper Gold (ISCG) mineral system Target 150 m north of the Wallace North Resource10 target with mapped
Slide 28: Wallace North – Exploration Targets
Wallace North – Exploration Targets Analogue to Jericho* AIC Jericho – EM – Discovery Hole Wallace North – EM & IP Drill Targeting 14.1 Mt @ 2.0% Cu, 0.4g/t Au, 2.2 g/t Ag 12 Target 1 Target 2 Target 3 Chargeability - Conductivity Wallace North 2023 Chargeability drill Chargeability - Target 150 m n
Slide 29: Great Australia Mine Complex – Compelling IP targets
Great Australia Mine Complex – Compelling IP targets Orphan Shear Eight high priority drill ready targets at the CCP 1.0 Mt at 0.56% Cu & 0.04 g/t Au Indicated and Inferred ▪ Under-explored large Scale IOCG Cu + Co-Au Mineral System on 2023 DDIP L7709135 Pr ojected to sur face F G H I → 5.8 kt Cu &
Slide 30: Great Australia Mine Complex – Compelling IP targets
Great Australia Mine Complex – Compelling IP targets Multiple strong shallow chargeability anomalies drill tested → high priority near mine growth targets West Greater Australian Target Insitu Taipan Resource East X X’ 200 mRL < 150 m to top of target Coppermine < 150 m to Creek Fault top of target
Slide 31: Thank you
Thank you Bevan Jones Bevan.Jones@truenorthcopper.com.au TNC is primed to become Australia's next copper producer ASX: TNC
Slide 32: Appendices
APPENDICIES INVESTOR PRESENTATION | NOVEMBER 2024 32
Slide 33: Appendix 1: Wallace North – Resource Extension Targets
APPENDIX 1: Wallace North – Resource Extension Targets ML 90236 & 100077 AIM: Grow open-pittable resource base, confirm depth potential 6 holes for 1,000m to test for offset continuations of the → Extend the shallow open-pittable Wallace North Resource along strike Target 1 Wallace Resource T1 1 hol
Slide 34: Appendix 2: GAM– Drill ready targets for Resource Expansion
APPENDIX 2: GAM– Drill ready targets for Resource Expansion Copperhead Targets Future Exploration Program H–K 750m AIM: Rapidly expand the on ML resource base, optimise mining → Expand GAM cutback/openpit depth through discovery at Copperhead Targets (H-J) and EM target H I J K → Expand Orphan Shear
Slide 35: Appendix 3: CCP - Copper JORC Resources
APPENDIX 3: CCP - Copper JORC Resources Table 1. TNC Cloncurry Copper Project Mineral Resource Estimates Summary – Copper Resources Cut-off Tonnes Cu Au Co Ag Cu Au Co Ag Resource Category (% Cu) (Mt) (%) (g/t) (%) (g/t) (kt) (koz) (kt) (Moz) IMPORTANT NOTICE REGARDING RETRACTION OF 2024 CCP RESTART
Slide 36: Appendix 4: Mt Oxide Project - Vero JORC Resources
APPENDIX 4: Mt Oxide Project - Vero JORC Resources Table 1. TNC Mt Oxide Mineral Resource Estimates Summary – Copper & Silver Cut-off Tonnes Cu Au Co Ag Cu Au Co Ag Resource Category (% Cu) (Mt) (%) (g/t) (%) (g/t) (kt) koz) (kt) (Moz) Mt Oxide – Vero Copper-Silver Indicated 0.5 10.74 1.68 - - 12.48
Slide 37: Appendix 5: CCP - JORC Gold Resources
APPENDIX 5: CCP - JORC Gold Resources Table 1. TNC Cloncurry Copper Project Mineral Resource Estimates Summary – Gold Resources Cut-off Tonnes Au Au Resource Category (Au g/t) (Mt) (g/t) koz Wallace South - Gold Resource Measured 0.5 0.01 1.9 0.6 Indicated 0.5 0.25 1.9 14.6 Inferred 0.5 0.002 0.9 0.
Slide 38: Appendix 6: Key Risks
APPENDIX 6: KEY RISKS Future Capital Requirements and On completion of the recapitalisation, the Directors believe that the Company will have sufficient funds to satisfy short and medium term working capital requirements. However, the Company may Funding Risk require further financing to continue to
Slide 39: Appendix 6: Key Risks (Continued)
APPENDIX 6: KEY RISKS (CONTINUED) Financial Assurance Bond The financial provisioning scheme administered under the Mineral and Energy Resources (Financial Provisioning) Act 2018 (QLD) requires holders of environmental authorities to provide financial assurance (as security) to the state of Queensla
Slide 40: Appendix 6: Key Risks (Continued)
APPENDIX 6: KEY RISKS (CONTINUED) Commodity Price Volatility and Exchange Rate The Company’s operating results, economic and financial prospects and other factors will affect the trading price of the Shares. In addition, the price of Shares is subject to varied and Risks often unpredictable influenc
Slide 41: Appendix 7: International Offer Restrictions
APPENDIX 7: INTERNATIONAL OFFER RESTRICTIONS This document does not constitute an offer of new ordinary shares (“New Shares”) of the Company in any jurisdiction in European Union (excluding Austria) which it would be unlawful. In particular, this document may not be distributed to any person, and th
Slide 42: Appendix 7: International Offer Restrictions (Continued)
APPENDIX 7: INTERNATIONAL OFFER RESTRICTIONS (CONTINUED) United Kingdom This document has been given to you on the basis that you are an “institutional investor” or an “accredited investor” (as such terms are defined in the SFA). If you are not such an investor, please return this document immediate
Slide 43: Appendix 8: Summary of Underwriting Agreement
APPENDIX 8: SUMMARY OF UNDERWRITING AGREEMENT Overview As at the date of this Presentation, all restructuring documentation, other than the Glencore Agreements and Nebari Restructuring Agreement, have been executed. Pursuant to the underwriting agreement dated 22 November 2024 (Underwriting Agreemen
Slide 44: Appendix 8: Summary of Underwriting Agreement (Cont.)
APPENDIX 8: SUMMARY OF UNDERWRITING AGREEMENT (CONT.) TNC must also pay or reimburse the Joint Lead Managers for certain reasonable out-of-pocket expenses (provided • it becomes illegal or commercially impossible for the Joint Lead Managers to satisfy a material obligation under that, in respect of
Slide 45: References
REFERENCES 1. True North Copper Limited. ASX (TNC): ASX Announcement 29 November 2023: TNC 69.95m @ 1.91% Cu and 16.75m @ 5.30% Cu, Vero. 2. True North Copper Limited. ASX (TNC): ASX Announcement 9 August 2024: TNC Updates Mt Oxide Vero Copper Silver Resource. 3. True North Copper Limited. ASX (TNC)
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