WML Investor Presentation - Woomera Mining · 2019. 9. 5. · This Presentation provides general...
Transcript of WML Investor Presentation - Woomera Mining · 2019. 9. 5. · This Presentation provides general...
Woomera Mining LimitedInvestor Presentation
June 2019
Woomera Mining Limited
Investor Presentation
June 2019
Important Notice
This Presentation
The information in this presentation (Presentation) has been prepared by Woomera Mining Limited (Company).
The mineral tenements of the Company as described in this Presentation (Tenements) are at various stages of exploration, and potential investors should understand that mineral
exploration and development are high risk undertakings. There can be no assurance that exploration of the Tenements, or any other tenements that may be acquired in the future, will
result in the discovery of economic ore deposits.
General Information Only
This Presentation provides general information to assist you with your own evaluation of the Company’s exploration assets. This Presentation is not, and is not intended to be, advice on
legal, financial, taxation or investment matters nor is it intended to be financial product advice from the Company or any of its directors, employees, agents or advisers.
No Recommendation
This Presentation is not intended to be and is not a recommendation from either the Company or its directors, employees, agents or advisers regarding the Company.
Competent persons statement
The exploration results reported herein, insofar as they relate to mineralisation, are based on information compiled by Mr Gerard Anderson, Managing Director of Woomera Mining Limited.
Mr Anderson is a Member of the Australasian Institute of Mining and Metallurgy who has over forty-two years experience in the field of activity being reported. Mr Anderson has sufficient
experience which is relevant to the styles of mineralisation and types of deposit under consideration and to the activity that he is undertaking to qualify as a Competent Person as defined
in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ relating to the reporting of Exploration Results. Mr
Anderson consents to the inclusion in the report of matters based on his information in the form and context in which it appears.
Forward looking statements
The information in this presentation is published to inform you about Woomera Mining Limited and its activities. Some statements in this presentation regarding estimates or future events
are forward looking statements. Although Woomera Mining Limited believes that its expectations reflected in these forward-looking statements are reasonable, such statements involve
risks and uncertainties and no assurance can be given that actual results and outcomes will be consistent with these forward-looking statements.
Cautionary Statement and Further Disclosures About Mt Venn
➢ The Exploration Results for the Mt Venn Project have been reported by the former owner CAZ rather than the acquirer WML;
➢ The Exploration Results may not conform to the requirements in the JORC Code 2012;
➢ WML directs investors to the cautionary statement below about the reliability of the Exploration Results;
➢ WML at this time continues to evaluate the exploration work that needs to be completed to report the Exploration Results in accordance with the JORC Code 2012;
➢ The proposed timing of any evaluation and/or exploration work that WML intends to undertake is set out in the Exploration Timeline on slide 17 and WML intends to fund that work
from existing cash and the proposed capital raising;
➢ Mr Gerard Anderson, a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ states
that the information in this investor presentation concerning the Mt Venn Project is an accurate representation of the available data and studies for the project.
➢ WML makes the following cautionary statement about the Mt Venn Project:
▪ the Exploration Results have not been reported in accordance with the JORC Code 2012;
▪ a Competent Person has not done sufficient work to disclose the Exploration Results in accordance with the JORC Code 2012;
▪ it is possible that following further evaluation and/or exploration work that the confidence in the prior reported Exploration Results may be reduced when reported under the
JORC Code 2012;
▪ that nothing has come to the attention of WML that causes it to question the accuracy or reliability of the former owner’s Exploration Results; but
▪ WML has not independently validated the former owner’s Exploration Results and therefore is not to be regarded as reporting, adopting or endorsing those results.
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Company Overview
Woomera Mining Ltd (ASX.WML) (“WML”) is a diversified mining exploration company. Woomera management have extensive experience in
identifying, developing and then monetising early-stage exploration assets.
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➢ Musgrave Alcurra-Tieyon Project
➢ Gawler Craton
➢ Labryinth
➢ Carulinia
➢ Nawa
➢ Lithium Brine Prospects
➢ Hard Rock Lithium Prospects
➢ Pilgangoora
➢ Mt Cattlin
➢ Cowan
➢ Recently executed a Binding Heads of Agreement to acquire 80% of the Mt
Venn Gold Project (“Mt Venn”) from Cazaly Resources Ltd (ASX:CAZ)
(“CAZ”)
Corporate Structure
Current share price* $0.035
Shares on Issue 112,704,433
Market Capitalisation $3.9m
Cash and cash equivalents (31-Mar-19) $1.1m
Debt -
Enterprise Value $2.9m
Board of Directors
Neville Martin Non-Exec. Chairman▪Former partner of Minter Ellison
corporate team
Gerard
AndersonManaging Director
▪Former MD of Archer, Centrex
Metals
David Lindh Non-Exec. Director▪Several former Chair roles of
ASX listed companies
Don Triggs Exec. Director▪Former General Manager of
Primary Resources Ltd
Joe Fekete Non-Exec Director▪ 20+ years experience in business
advisory / accounting
* Share Price as at 29 May 2019
Mt Venn Gold – Base Metal Project
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Binding Heads of Agreement
➢ WML 80% : CAZ 20% in joint venture
➢ Cash payment of A$900,000 comprising a deposit of A$20,000 paid on
execution of Heads of Agreement & balance of A$880,000 payable at
Completion
➢ Deferred cash payment of A$100,000 upon the ground covered by the
Expired Prospecting Licences being amalgamated into E38/3111
➢ The issue of 7,000,000 fully paid ordinary shares in WML at Completion
(to be subject to a voluntary escrow of 12 months from the date of issue
of the shares)
Mt Venn Gold Project
➢ Mt Venn belt associated with the Yamarna Shear, adjacent to Gold Road
Resources’ (ASX:GOR) (“GOR”) emerging world class Gruyere deposit
➢ Approximately 50km of strike in a greenstone belt in Western Australia
with little modern systematic exploration
✓ EXTENSIVE GROUND POSITION
✓ SEVERAL HIGH GRADE GOLD TARGETS
✓ “GRUYERE” LOOK ALIKE TARGETS
✓ SEVERAL EM NICKEL ANOMALIES
➢ Yamarna owns E38/3111 and E38/3150 and has applied for the
ground formerly covered by expired prospecting licences P38/4149,
P38/4050, P38/4151 and P38/4195 to be amalgamated into E38/3111
Mt Venn Greenstone Belt
Mt Venn – High Grade Gold Anomalies
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Mt Venn Gold Project Cont.
➢ Recent drilling conducted by CAZ at Three Bears intercepted gold
mineralisation of very wide zones up to 40m thick
➢ Mineralised zones included intercepts of 12m @ 1.19g/t Au,
40m @ 0.36g/t Au & 36m @ 0.47g/t Au1
➢ Several high-grade gold anomalies that have not been drilled:
▪ Chapman’s Reward: sampling from pit walls and dump
material by the State Prospecting Party (“SPP”) returned
assays up to 201g/t Au2
▪ Lang’s Find: rock chip samples conducted by SPP returned
assays up to 208g/t Au2
▪ Mount Cumming: rock chip sampling conducted by Elmina
between 1995 – 1997 returned 8.4g/t Au3
▪ Jutson Rocks: rock chip sampling conducted by Elmina
between 1995 – 1997 returned 20.5g/t Au3
Nickel-Copper & Platinum Group Element (“PGE”) Targets
➢ Tholeiitic basalts with concordant intrusions of pyroxenite, gabbro and
dolerite, known as the Mount Warren Sill and Mount Cornell Sill,
which comprise the Mount Cumming Mafic Complex
➢ In 2010-12 airborne geophysics (VTEM) by Global Nickel Investments
NL generated anomalies, followed up with ground EM surveys
➢ Soil and rock chip sampling define anomalous PGEs over a 5km
strike within the Mount Warren Sill. Soil sampling identified an
additional PGE anomaly within the Mount Cornell Sill
➢ These anomalies represent “walk up” drill targets for the project
High
grade
gold
anomalies
require
drill
testing
1Source: CAZ ASX releases 27 Feb 2017, 8 June 20172Source: The WA Department of Mines 1923 Annual Report3Source: WAMEX Report A064708
Mt Venn – Magnetics and Soils
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Mt Venn Gold Project - recent work
➢ Good regional geophysical & geochemical
databases generated by previous explorers –
solid base to work from
➢ Global Metals Exploration conducted regional
soil sampling and auger, RAB, Aircore and RC
drilling. Airborne magnetics & radiometrics and
airborne and ground EM
➢ Only two geochemical anomalies followed up
with shallow drilling (≤.50m)
➢ Great majority of widespread gold in soil/auger
anomalies remain untested
➢ CAZ instigated work in 2017 drilling some
specific gold and base metal targets
Detailed reassessment and analysis of existing data plus recent re-processing of geophysics by CAZ has highlighted key areas of
focus with district-scale gold targets generated
Gold in soils Magnetics
Mt Venn – Three Bears gold target
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Three Bears Gold Target
➢ Exploration defined a major, +5km corridor of coincident, soil, auger &
historic drilling anomalism at Three Bears
➢ CAZ drilled at Three Bears intersecting wide gold zones up to 40m
thick
➢ Mineralised zones included intercepts of 12m @ 1.19g/t Au, 40m
@ 0.36g/t Au & 36m @ 0.47g1
➢ Major mineralised structures appear to extend for multiple kilometres
➢ Only prospect in the Wartu Granite area to have been drilled to any
extent
➢ CAZ puts Three Bears in exactly the postulated ‘Gruyere’ position, no
drilling into fresh rock
1Source: CAZ ASX releases 27 Feb 2017, 8 June 2017
Mt Venn – Other Gold targets
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Chapman’s Reward - high grade drill target with visible gold that has never been drilled
➢ First discovery of gold reported in 1923 by the SPP discovery of several existing pits
➢ Numerous high-grade quartz veins up to 5m in width carrying fine visible gold
➢ Sampling from pit walls and dump material by the SPP returned assays up to 201g/t Au1
➢ From 1925, a total of 26.65 ounces of gold was recovered from 15.24 tonnes of ore at an average grade of 54.39 g/t
Lang’s Find - high grade drill target with visible gold
➢ Rock chip samples conducted by SPP returned assays up to 208g/t Au1
➢ Adjacent soil anomalies have never been drilled
Mount Cumming
➢ During 1995 to 1997 Elmina undertook rock chip sampling. All of these samples were associated with quartz veins in outcrop areas at Jutson
Rocks (20.5g/t and 15.8g/t)2 and Mount Cumming (8.4g/t Au, 3.2% Cu and 3g/t Ag)2
➢ During 1996, a regional soil sampling (1000m by 250m grid) was completed by Elmina which identified two large anomalous areas (Lang’s Find
and Mount Cumming) and several small anomalies
➢ Infill soil sampling the following year (500m by 100m grid) identified four main anomalous clusters, located at Lang’s Find, south-west of Mount
Cumming, west of Rutter’s Soak and east of Mount Scott
➢ Most of the gold assays occurred in the 3 to 20ppb range, with the highest value of 720ppb being located 250m east of the above rock chip sample
of 8.4g/t Au at Mount Cumming2
None of the adjacent geochemical soil anomalies to Mount Cumming have been drilled.
1Source: The WA Department of Mines 1923 Annual Report2Source: WAMEX Report A064708
Gold Road Resources Ltd (ASX:GOR) – The Gruyere Story
➢ Dorothy Hills Greenstone Belt – largely ignored until GOR
➢ Market Capitalisation in Sept 2009 prior to Central Bore discovery
drill program: ~$8.2m
➢ JV and Sale Agreement Gruyere Central Hub, 50 / 50 with Gold
Fields Ltd, December 2016: $250m cash, $100m construction
contribution
➢ GOR retains 100% of Northern and Central Hubs - still delivering
➢ Current market Capitalisation: ~$535m
➢ Predicted production from JV of 135koz PA, mine life 13 years. First
production 2Q19
➢ GOR conducted exploration drilling in 2018 of 165,000
➢ The Mt Venn Gold Project holds many similarities to the Gruyere
6m+ Oz. gold deposit:
✓ NARROW BELT
✓ FAVOURABLE HOST LITHOLOGIES
✓ LARGE INTERNAL GRANITES
✓ ‘INFLECTIONS’ ALONG KEY MAJOR SHEAR ZONES
The Gruyere Story
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1Source: https://www.goldroad.com.au/
Musgrave Alcurra-Tieyon Project
Musgrave Alcurra-Tieyon Project Tenements
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TMI VRMI
VRMI shows remarkable fit
Musgrave Alcurra-Tieyon Project
➢ Four tenements covering 3,063km2 prospective for nickel, copper, cobalt,
gold, silver-lead-zinc, PGE and rare earths
➢ Recent discoveries in western Musgrave: Oz Minerals & Cassini
Resources Joint Venture Nebo-Babel (203Mt @ 0.41% Ni 0.42% Cu)
and Metals X Wingellina (187 Mt @ 1% Ni)
➢ Numerous anomalies identified from geophysics and government drilling
Giles Complex ultramafic / mafic intrusives with good potential for
magmatic Ni-Cu-Co deposits
➢ Rocks have highly variable magnetic signatures, primarily due to the
remanent components of the ultramafic / mafic intrusives. WML has
applied the VRMI transform to compensate for the remanence observed
in the TMI
➢ The below images using data from the 1994 CRAE survey show the TMI
on the left highlight large areas where there is a change to the apparent
susceptibility
➢ Fourier function is derived to fit the TMI surface so that the orthogonal
components of the TMI can be extracted at any point of the TMI surface
Musgrave Alcurra-Tieyon Project Cont.
➢ NTMA signed
➢ Ethnographic Survey completed in June 2018
➢ RC drilling at Gallagher, Healy and Walsh returned anomalous
nickel-copper-cobalt
Cavanagh Drill Target
➢ Strong remanent magnetism at Cavanagh
➢ The reverse dipole as observed in the TMI was investigated by
CRAE around 1995 with a single RC drill hole which returned
high assay values of Ni, Cr, Co, Cu and Pd
➢ Using 3D Inversion methods and VRMI filters WML has
modelled the magnetically susceptible body that causes the
dipole
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TMI Magnetic Dipole
Modelled body with CRAEdrill hole (~400m wide)
O’Mahony Drill Target
➢ EM identified several conductors
Musgrave Alcurra-Tieyon Project – Targets
WA - Based Lithium Tenements
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Pilgangoora area one of the World’s largest pegmatite-hosted lithium
provinces
Lithium Brine Prospects
➢ Tenements on lakes Cowan and Dundas that have been
identified by Geoscience Australia for their concentrations of
lithium in brine
Hard-Rock Lithium Prospects
➢ Pilbara tenements in the Pilgangoora province which hosts
several major hard rock lithium deposits
➢ Ravensthorpe tenements close to the Mt Cattlin lithium /
tantalum mine owned Galaxy Lithium Australia Ltd
➢ Cowan tenement close to Bald Hill lithium-tantalum mine
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Lithium map produced for E45/4790 and E45/4796 from field data collected
from work programs during November 2018 and March/April 2019.
Magenta representing the most anomalous areas.
Hard Rock Lithium - Pilgangoora
Pilgangoora Hard-Rock Lithium Prospects Work Plan
➢ On-ground Heritage Survey completed - 4 June 2019
➢ Submission of Work Plan - July 2019
➢ Tender RC drilling - July 2019
➢ RC drilling of 8 targets – August / September 2019
Mount Cattlin Tenements and Geology
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Cowan
➢ Locally, Archean granitic rocks are dominated by massive to
moderately foliated monzogranites
➢ Bald Hill lithium-tantalum mine located 15 kms east of E15/1562
has an Indicated and Inferred Mineral Resource of 18.9Mt at
1.18% Li2O and 149ppm Ta2O5 at a 0.5% Li2O cut-off 2
➢ Given the proximity to Bald Hill and abundance of pegmatite
dykes, WML considers there is good potential for pegmatite
hosted mineralisation
➢ In discussions with the Ngadju Native Title Corporation
Location of WML’s existing E15/1532 and the tenement
application E15/1652 relative to prospective geology
Hard Rock Lithium - Mount Cattlin & Cowan
Mt Cattlin
➢ In the same volcanic province that hosts the Mount Cattlin
spodumene mine owned by Galaxy Lithium Australia Ltd
➢ Mt Cattlin deposit 16Mt @ 1.08% Li2O and 149 ppm Ta2O51
➢ Cross cutting faults and shear zone similar to Mt Cattlin
➢ E74/599 and E75/632 mostly crop farms. Landowners visited
regarding soil sampling program once 2019 harvest gathered
1Source: Galaxy Resources Annual Report 20162Source: Tawana Resources Limited website
Gawler Craton
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Modelling outlined a large high density shell 1.2 km x 0.5 km NB previous
drill hole intersected trace chalcopyrite throughout the entire hole
Predicted body –
Magnetic
(Susceptibility (0.06 SI
units)
Predicted body –
Gravity
(density contrast 1.5)
Previous drill
hole
(303m))
Labyrinth – coincident magnetic and gravity anomaly
➢ CRAE drilling (1988) intersected a sequence of volcanics and
mafic / ultramafic rocks at 69 metres and intersected trace chalcopyrite
throughout the entire drill hole
Nawa – coincident magnetic and gravity anomaly
➢ Coincident magnetic and gravity anomalies tested by BHP in 1992
with drill hole CR9214 (264m)
➢ Intersected basement at 236m and terminated in Mount Woods
complex which hosts Prominent Hill - Pyritic gneiss 254 to 262m
(best assays 130ppm Cu, 26ppm Zn and 20ppm Pb
➢ Prospective for IOCG, BIF and gold deposits
Magnetic Anomaly Gravity Anomaly
Area circled in red highlights coincident magnetic and gravity
anomalies
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Carulinia Gravity Profile
Carapateena Gravity Profile
Carulinia – Coincident Magnetic gravity anomalies
➢ ~3km diameter 14 Mgal gravity anomaly
Carulinia – Exploration Targets
➢ Previous drilling has not explained the gravity or magnetic anomaly
➢ Lithologies intersected in previous drilling open to interpretation
➢ The centre of the gravity anomaly is 1km south of previous drillholes
➢ The magnetic source is clearly a complex body
➢ The gravity / magnetic anomaly appears to be truncated by a major
structure
➢ Possible drillhole locations for further exploration shown as
Gawler Craton
Exploration Timeline
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Exploration Timeline – Consistent News Flow
➢ WML’s exploration programs will deliver consistent news flow to shareholders
June 2019
▪Submission of Pilgangoora work plan
▪1st Draft of Mt Venn acquisition transaction documents
July 2019
▪Tender for Pilgangoora RC Drilling
August 2019
▪Complete Mt Venn acquisition
▪Commence Pilgangoora RC Drilling Program
September 2019
▪Complete Heritage Survey at Mt Venn
▪Commence drilling at Musgrave targets; Cavanagh & O’Mahony
October 2019
▪Commence drilling at Mt Venn
▪Receive Heritage clearance at Gawler Craton targets; Labryinth & Nawa
November 2019
▪Commence drilling at Labryinth & Nawa
Key Contacts
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Gerard Anderson Peter Taylor
Managing Director Investor Relations
Woomera Mining Ltd NWR Communications
[email protected] [email protected]
+61 404 672 393 +61 412 036 231
Woomera Mining Ltd
Suite 116, 147 Pirie Street
Adelaide, SA 5000
www.woomex.com.au
Stuart McClure
+61 7 5655 5331
Mark Gwynne
+61 409 881 470
Rupert de Crespigny
+61 437 953 248