investor presentation

3 Large Fraser Range
Nickel-Copper Targets
for Drilling
Alpha
Beta
8 Large Peru CopperGold Targets
for Drilling
Omega
Lana
I N V E S T O R P R E S E N TAT I O N
October 2013
Huge Leverage to Large Copper and Nickel Targets
INTRODUCTION
• Focus on large provincial Nickel-Copper plays
• 3 Large Fraser Range Ni-Cu targets to be drilled Dec 2013 – Jan
2014
• 8 Large Copper-Gold targets to be drilled in Peru throughout 2014
• High impact / low overheads exploration
• Enterprise Value $2.8m. Huge leverage to success
• Partnered with large international mining house (Cliffs Natural
Resources) in Peru
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C A P I TA L S T R U C T U R E
AusQuest Limited
ASX Code
Shares on Issue
Options on Issue1
Shareholders
AQD
160 million
8 million
Chris Ellis (NED)
7.1%
Hamersley Holdings (Rio Tinto Plc)
6.5%
Top 20
36%
Market Cap. (at 2.3 cents)
$3.7 million
Directors
Cash (31 Aug 2013)
$0.9 million
Greg Hancock
Non Exec. Chairman
Graeme Drew
Managing Director
John Ashley
Non Exec. Director
Chris Ellis
Non Exec. Director
Debt
Nil
Enterprise Value
weighted exercise price of 24 cents and volume weighted time to expiry 11 months
Volume (shares traded per day)
3,000,000
2,500,000
$0.08
$0.07
$0.06
2,000,000
1,500,000
1,000,000
$0.05
$0.04
$0.03
AQD Share Price
1. Volume
$2.8 million
$0.02
500,000
0
$0.01
$0.00
3
THREE
LARGE FRASER RANGE NI -CU TARGETS
80km
Dundas
Project
(100%
AQD)
Tenement
Package
Dundas
Project
(100%
AQD)
Tenement
Package
The 3
Alpha, Beta,
Omega
Anomalies
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ALPHA
D R I L L TA R G E T- F R A S E R R A N G E
ALPHA
100% AQD Tenements
Mafic/ultramafic rocks
from RAB drill results
•
Defined by a combination of groundbased fixed loop EM and soil sampling
surveys
•
Strong discrete conductor
•
Strike length 400m, target depth 100m
•
To be drilled Dec 2013 – Jan 2014
RAB Drill Coverage
EM Drill Target
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OMEGA
D R I L L TA R G E T- F R A S E R R A N G E
OMEGA
100% AQD Tenements
Mafic/ultramafic rocks
from RAB drill results
•
Defined by a combination of groundbased fixed loop EM and soil sampling
surveys
•
Strong discrete conductor
•
Strike length 400m, target depth 150m
•
To be drilled Dec 2013 – Jan 2014
RAB Drill Coverage
EM Drill Target
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B E TA
D R I L L TA R G E T- F R A S E R R A N G E
BETA
100% AQD Tenements
Mafic/ultramafic rocks
from RAB drill results
•
Defined by a combination of groundbased fixed loop EM and soil
sampling surveys
•
Strong discrete conductor
•
Strike length 800m, target depth 50m
•
To be drilled Dec 2013 – Jan 2014
RAB Drill Coverage
EM Drill Target
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EIGHT
LARGE PERU CU -AU DRILL TARGETS
8 Prospects
AQD %
Partner
Manager
Lana
100
-
AQD
El Jaguay
100
-
AQD
Azucar
100
-
AQD
Pinguino
100
-
AQD
Cerro de Fierro
30 *
Cliffs
AQD
Colorada
30 *
Cliffs
AQD
Cardonal
30 *
Cliffs
AQD
Puite
30 *
Cliffs
AQD
COPPER GOLD
TARGETS IN
PERU
* CNRE election to sole fund drill programs to secure 70% equity or return 100% to AQD.
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PERU – THE PLACE TO BE
• Excellent copper pedigree
• Contains some of the world’s
largest copper deposits
• The world’s third largest
copper producer – 1250ktpa
Cu and rising
• A mining friendly jurisdiction
encouraging exploration
• Comparatively under explored
especially in covered areas
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TARGETING
PORPHYRY COPPER / IOCGS
• Major producers of copper (70% global production)
• Large scale low cost mines with mine lives in the decades
• Attractive exploration targets – large footprint – Elephant
country – Deposits occur in clusters
• “Find one and there are likely to be more”
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RIGHT
AREA – READY FOR DRILLING
Cerro de Fierro
IOCG Target
Drill ready
Lana
IOCG Target
Drill ready
Pinguino
Porphyry Cu &
IOCG Targets
El Jaguay-Azucar
2 Magnetic Targets
Drill ready
Colorada, Cardonal, Puite
3 Porphyry Cu Targets
Drill ready
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UNDERCOVER
– THE REAL OPPORTUNITY
• Covered areas restricted
historic exploration
• More Cu deposits to be found
under cover
• Aeromagnetics used for area
selection
• Mapping & sampling used to
prioritise prospects
• Magnetic gravity & IP targets
ready for drilling
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L A R G E TA R G E T S U N D E R C O V E R
LANA
CERRO DE FIERRO
•
Multiple targets confirmed
by ground geophysics
•
Large scale targets with no
surface expression
1.5km
AZUCAR
•
Potential IOCG or porphyry
Cu-Au systems
•
AQD 100% - Lana, Azucar El
Jaguay
4km
EL JAGUAY
1.8km
1.5km
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M U LT I P L E
C O P P E R TA R G E T S
AQD
Prospect
Location
THREE LARGE PORPHYRY CU
TARGETS TO BE DRILLED
10km
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PORPHYRY
C U TAR G ET – R EAD Y TO D R IL L
• Targets defined by combination of
anomalous copper and alteration at
surface – Magnetic and/or IP
anomalies at depth
CCARDONAL
A R D O N APROSPECT
L PROSPECT
C OCOLORADA
L O R A D APROSPECT
PROSPECT
3.0km
PROSPECT
P U I T E P R OPUITE
SPEC
T
2.0km
1.2km
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SUMMARY
• Focus on large provincial Nickel-Copper plays
• Experienced geological team - high impact / low overheads
exploration
• 3 Large Fraser Range Ni-Cu targets to be drilled Dec 2013 – Jan
2014
• 8 Large Copper-Gold targets to be drilled in Peru throughout 2014
• Enterprise Value $2.8m. Huge leverage to success
• Partnered with large international mining house (Cliffs Natural
Resources) in Peru
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C O N TA C T
Graeme Drew
Managing Director
8 Kearns Cres, Ardross, WA, 6153
Tel: +61 (8) 9364 3866
Email: [email protected]
www.ausquest.com.au
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DISCLAIMERS
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 based on specific assumptions. Forward-looking statements
are not statements of historical fact and actual events and results may differ materially from those described in the forward looking statements as a result of a
variety of risks, uncertainties and other factors. Forward looking statements are based on management’s beliefs, opinions and estimates as of the dates the
forward looking statements are made and no obligation is assumed to update forward looking statements if these beliefs, opinions and estimates should
change or to reflect other future developments. Data and amounts shown in this presentation relating to capital costs, operating costs and project timelines
are internally generated best estimates only. All such information and data is currently under review as part of AusQuest Limited’s ongoing development and
feasibility studies. Accordingly, AusQuest Limited cannot guarantee the accuracy and/or completeness of the figures or data included in the presentation until
the feasibility studies are completed.
Competent Person’s Statement
The information in this presentation that relates to Exploration Results and Mineral Resources is based on information compiled by Mr Graeme Drew who is a
Member of the Australasian Institute of Mining and Metallurgy. Mr Drew is employed by AusQuest Limited and is the Company’s Managing Director. Mr Drew
has sufficient experience which is relevant to the style of mineralisation and the type of deposits under consideration and to the activity which he is
undertaking to qualify as a Competent Person as defined in the 2004 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources
and Ore Reserves. Mr Drew consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
JORC – Exploration Targets
It is common practice for a company to comment on and discuss its exploration in terms of target size and type. The information in this presentation relating
to exploration targets should not be misunderstood or misconstrued as an estimate of Mineral Resources or Ore Reserves. Hence the terms Resource(s) or
Reserve(s) have not been used in this context. The potential quantity and grade is conceptual in nature, since there has been insufficient work completed to
define them beyond exploration targets and that it is uncertain if further exploration will result in the determination of a Mineral Resource.
Currency
All dollar amounts shown in this presentation are in Australian dollars unless otherwise stated.
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