Regis Resources Limited · ASX:RRL
Regis Resources — Shareholder Meeting (December 2006)
27 slides from Regis Resources's shareholder meeting presentation, Dec 8, 2006
Slide 1: David Walker, Managing Director – AGM 8 December 2006
David Walker Managing Director AGM 8 December 2006 8 December 2006 AGM
Slide 2: Developing the Duketon Gold Project
“Developing the Duketon Gold Project” 8 December 2006 AGM
Slide 3: Regis History
Regis History 1986 JWM formed Feb 04 identification of JWM opportunity (mkt cap $4m) Aug 04 Regis created, raise $3m equity, new Board Mar 05 restructure of Duketon JVs with Newmont Jun 05 gain exploration management of Duketon Jan 06 raise $11m equity Jan 06 upgrade Moolart Well resource to 1moz go
Slide 4: WA Properties – Gold and Nickel
WA Properties – Gold and Nickel ¾ Duketon JV’s (Regis 100%) ¾ The major landholding in the Duketon Belt ¾ Laverton Region – 20moz in production ¾ Gold – Duketon region ¾ Nickel – Collurabbie belt ¾ Copper Well JV (Regis manager, 50% earning 85%) ¾ Melita JV (Regis manager, earning 70%) 8 December 20
Slide 5: Duketon Gold Resources (RRL 100%)
Duketon Gold Resources (RRL 100%) ¾ North Laverton Tectonic Zone. ¾ Over 450 granted mineral licences and licence applications ¾ In excess of 3,000 sq km of prospective ground ¾ 8 joint ventures + 100% ground ¾ Area mined by Aurora in the 1990’s ¾ Rosemont extended in 1996 ¾ Moolart Well discovered
Slide 6: Moolart Well – 4300mN (east section)
Moolart Well – 4300mN (east section) W E Looking North 8 December 2006 AGM
Slide 7: Moolart Well – Laterite Zone (to 20m)
Moolart Well – Laterite Zone (to 20m) ¾ + Four kilometre mineralised zone ¾ 500-1500m wide ¾ Discovered by Newmont ¾ JORC indicated resource of 428,000 ozs down to 20 m vertical depth ¾ Usually less than 5m of cover ¾ Average ore thickness of 4m ¾ 28,500/oz per vertical m ¾ ~50% coarse gravity gold
Slide 8: Moolart Well – Lancaster Pit area
Moolart Well – Lancaster Pit area Ore Thickness (m) Grade (g/t Au) ¾ Average cover 5m ¾ Average min laterite thickness 8m ¾ More infill required ¾ Potential 200m wide pit, all ore ¾ Strip ratio < 1:1 ¾ Potential for 1mt, 50- 100koz down to 20m ¾ Early cashflow option ¾ 4 other similar zones to the n
Slide 9: Moolart Well – Saprolite Zone (20-70m)
Moolart Well – Saprolite Zone (20-70m) ¾ Saprolite zone distribution, beneath laterite resource cap ¾ 580,000oz at 2.07 g/t in JORC inferred resource ¾ Down to 70m base of drilling ¾ Some zones open along strike and most open at depth ¾ Significant high grade intersections > 1oz/t ¾ Up to 80% coarse
Slide 10: Moolart Well – Diamond Drilling
Moolart Well – Diamond Drilling 8 December 2006 AGM
Slide 11: Moolart Well – Diamond Drilling
Moolart Well – Diamond Drilling ¾ 52 hole program ¾ All holes in the resource area ¾ Most designed to core laterite and saprolite ore ¾ Some pushed on into basement ¾ All assays not received ¾ DD007 – 22.5m downhole intersection ¾ DD013, 014 015 intersected primary zones 8 December 2006 AGM
Slide 12: Duketon Gold Resources
Duketon Gold Resources m grade gold cut-off type tonnes g/t koz g/t category source Moolart Well laterite 9.0 1.48 428 0.5 ind+inf Golder saprolite 8.7 2.07 580 0.8 inferred Golder Moolart Well sub-total 17.7 1.77 1,008 Satellite Deposits Rosemont ox+sulph 14.7 1.72 815 0.5 ind+inf GMS Dogbolter ox+
Slide 13: Moolart Well – Pit Optimisation
Moolart Well – Pit Optimisation 2.5mtpa run 8 December 2006 AGM
Slide 14: Moolart Well Feasibility Study
Moolart Well Feasibility Study ¾ Commenced June 2005 ¾ Resource Stage 1 evaluation and upgrade completed (Jan 06) ¾ Metallurgy stage 1 completed (Jan 06) ¾ Preliminary Mining Optimisation completed (Apr 06) ¾ Metallurgy Stage 2 grind tests completed (May 06) ¾ 197 hole laterite drilling program comp
Slide 15: Moolart Well – Laterite Test Pit
Moolart Well – Laterite Test Pit 8 December 2006 AGM
Slide 16: Duketon Gold Project – Development
Duketon Gold Project – Development ¾ Two-path strategy: • Key contractors/consultants all appointed • Pre-construction, camp, all-weather access, communications underway • Permitting, Native Title, Environmental baseline underway 1. Build New Plant • Long-lead items identified, critical path identif
Slide 17: Gold Exploration Upside
Gold Exploration Upside 6965000mN ¾ Laverton Tectonic Zone north # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # ## # ## # # ### ## ## # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # #
Slide 18: Collurabbie Ni Project (100%)
Collurabbie Ni Project (100%) ¾ Regis 100% and manager ¾ Also three other joint ventures ¾ Southern extension of Olympia ¾ Two possible repeats to the east ¾ Regis have 35 strike kms of prospective ultramafics ¾ strong geochem and conductor targets 8 December 2006 AGM
Slide 19: Moolart Well – Resource Drilling
Moolart Well – Resource Drilling 8 December 2006 AGM
Slide 20: Collurabbie Ni Project (100%)
Collurabbie Ni Project (100%) ¾ completed 479 line km TEM ¾ Completed 34,513m of drilling ¾ Compiled 17,000m of drilling and 75,000 soil samples ¾ strong geochem and conductor targets ¾ Tasman zone priority ¾ Caltra, Sligo anomalies TEM coverage 8 December 2006 AGM
Slide 21: Tasman TEM Conductor Anomalies
Tasman TEM Conductor Anomalies ¾ 10km strike area ¾ 1970’s nickel prospect ¾ Strong TEM conductors ¾ Two anomaly groups ¾ 1/ in eastern sequence ¾ 2/ adjacent to ultramafics ¾ Anomalous results in old geochem holes ¾ Aircore drilling underway ¾ Diamond drilling shortly 8 December 2006 AGM
Slide 22: Newmont transaction
Newmont transaction ¾ Regis exercised call option for 26% of Newmont Duketon for $24.8m ¾ Newmont exercised put option for last 25% for $22.1m ¾ Takes Regis to 100% and control of: ¾ Newmont Duketon Pty Ltd ¾ Moolart Well gold project ¾ Collurabbie Ni project (minorities) ¾ Most Duketon exploration
Slide 23: Capital Structure – post completion
Capital Structure – post completion Ord 5c opt 10c opt 20c opt RRL RRLO RRLOB RRLOA 2014 2012 2012 Newmont 558 49% 9 Institutions 344 30% 60 10 Public 220 20% 7 5 9 Directors 15 1% 30 24 17 Total 1,137 97 39 26 also 14m unlisted staff options 8 December 2006 AGM
Slide 24: Company Growth: Market Capitalisation - Share Price
Company Growth A$m Regis Resources NL $ps Market Capitalisation - Share Price 120 0.18 0.16 100 0.14 80 0.12 0.10 60 0.08 40 0.06 0.04 20 0.02 0 0.00 Apr-04 Jun-04 Aug-04 Oct-04 Jul-05 Nov-05 Apr-06 Jun-06 Aug-06 Oct-06 Jan-04 Jan-05 May-05 Feb-04 Dec-04 Mar-05 Sep-05 Dec-05 Feb-06 Dec-06 8 December
Slide 25: Emerging Gold Producers: Capitalisation per Resource ounce
Company Growth A$/oz BBY Emerging Gold Producers Capitalisation per Resource ounce 220 200 180 160 140 120 100 80 60 40 20 0 AAM AVO TAM NAV RNG DEG RRL* FML RRL MDS CRE WTE GLN IGR CRK 8 December 2006 AGM
Slide 26: Value Added
Value Added Original Market Cap: $14m Aug04 Raised new equity: $19m Bought 80% Duketon: $28m Feb06 $47m Dec06 Total added $94m Total $108m Market cap at 0.11cps $140m 8 December 2006 AGM
Slide 27: Summary
Summary ¾ 2.3 moz in resource in eight deposits ¾ 1.0 moz at Moolart Well ¾ Moolart Well Laterite zone gives an immediate, low- cost development option ¾ Significant early cash flow potential ¾ Feasibility study well underway ¾ Significant gold exploration upside beneath Moolart Well and in the Mool
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