Wiluna Mining Corporation Ltd · ASX:WMC
Wiluna Mining — Blackham Resources — Fremantle Explorers Conference 2015
35 slides from Wiluna Mining's conference presentation, February 2015
Slide 1: Matilda Gold Project
BLACKHAM Resources Limited MATILDA GOLD PROJECT FREMANUILES EXPLORERS CONFI Féb2015 —_— ASX.» BLK® as ee fis Mer Go.
Slide 2: Blackham – an emerging gold producer
BLACKHAM – an emerging gold producer 4.7Moz Au resource, 55kms of strike & 780km2 landholding 1.3Mtpa plant & infrastructure unlocks value in Matilda Gold Project allowing production over 100,000ozpa Working towards a 10 year mine life focusing on the free milling ores Production within 13 m
Slide 3: Corporate Overview
CORPORATE OVERVIEW CAPITAL STRUCTURE BOARD OF DIRECTORS Market cap. @ A$0.125 A$22M Paul Murphy Independent Non-Exec Chairman Shares on issue 177.9M Bryan Dixon Managing Director Options @ A$0.12 – A$0.35 20.3M Alan Thom Executive Director - Development Cash & liquids @ 31 Dec 2014 A$1.1M Greg Miles
Slide 4: Regional Endowment
REGIONAL ENDOWMENT The right address - low sovereign risk Large, highly prospective tenement holding in the Northern Yilgarn, Western Australia Regional endowment >40Moz 8.7Moz endowment in the expanded Matilda project including 4Moz production Positioned for new discoveries and economic d
Slide 5: Matilda Gold Project
MATILDA GOLD PROJECT Resource 44Mt @ 3.3 g/t for 4.7Moz Au – 45% indicated resource level All deposits within 20km of BLK’s gold plant with existing haul roads Mix of open pit & high grade underground ore 4Moz of historical production +780 km2 of tenure & 55km of mine sequence strike Little sy
Slide 6: Matilda's Extensive Infrastructure
MATILDA’S EXTENSIVE INFRASTRUCTURE Plant 1.3Mtpa capable of 100kozpa1 Gas power station & diesel backup Permitted borefields and infrastructure 350 person village Sealed airstrip and roads Biox circuit capable of treating refractory ores UG infrastructure already in place Operating a
Slide 7: WGP Processing Circuit – 100% Owned
WGP PROCESSING CIRCUIT – 100% OWNED Mill 2 Circuit 550,000tpa Underground Ore Mill 1 750,000tpa Oxide Ore 1.3 Mtpa milling capacity in C&M since June 2013
Slide 8: Matilda Strategy: Free milling focus
MATILDA STRATEGY: Free milling focus Stage 1 – Free milling production >100,000ozpa Free milling resources 23Mt @ 2.0g/t for 1.43Moz Au includes priority high grade quartz reefs, a growing resource of 1.0Mt @ 4.9g/t for 171,000oz Au for open pit and underground mining Upgrade Mining Inventory
Slide 9: Development & Economics
DEVELOPMENT & ECONOMICS PFS $3M & 3mths DFS $5M & 5mths Development 4mths $25M Drilling ($1.4M) Drilling ($2.3M) Plant refurb ($11.6M) Metallurgy & mining Metallurgy & mining Power Supply ($1.3M) studies studies Mine Development & Overheads Overheads working cap ($12.1M) 13 months & $33M = 100,000oz
Slide 10: Growing the Matilda Mine Life
Growing the Matilda Mine Life Mineral Inventory Matilda [email protected]/t for 454,000oz Golden Age and growing fast Galaxy, Williamson Resource Calvert [email protected]/t for 4.7Moz Mining studies Matilda Extensions, (45% Indicated) in progress Bulletin Happy Jack, East & West Lodes, Regent Brown fields Republic,
Slide 11: Growing the Matilda Mine Life
Growing the Matilda Mine Life Free milling exploration & inventory targets Exploration Targets* Budget to Tonnes (Mt) Grade (g/t) Ounces (koz) Inferred Low High Low High Low High $'000 Republic Reef 0.3 1 6 10 65 320 $ 225 Brothers Reef 0.3 1 6 10 65 320 $ 225 Caledonia Reef 0.5 2.0 6 10 100 650 $ 3
Slide 12: Matilda Mine - Near term mining opportunity
MATILDA MINE - Near term mining opportunity Production (1987-1993): 2.2 Mt@ 2.6g/t = 181,000oz au mostly oxide material mined to < 50m Mineral Inventory 77% indicated resource level 1.9g/t diluted head grade g/t Oz Gravity & leach recoveries 92% RESOURCES Mt Au Au Mining ready in sho
Slide 13: Matilda Mine Centre
MATILDA MINE CENTRE Currently drilling yellow targets Very limited drilling of down plunge targets Looking to discovery of new lodes between pits Pit convergence lowering stripping ratios and driving pits deeper 13
Slide 14: Matilda M4 Deposit – high grade shallow results
MATILDA M4 DEPOSIT – high grade shallow results along strike Shallow mineralisation extends 1,000m north of the old pit & still open Historical mining: 386,000t @ 2.2g/t Au to < 50m depth Resource 204,000oz with 93% < 160m from surface Recent high grade shallow drill results likely to pull t
Slide 15: Golden Age – high grade quartz reef
GOLDEN AGE – high grade quartz reef Produced 160,000oz Au @ 9g/t Resource [email protected]/t for 120,000oz Republic Reef Brothers Reef 6m @ 4.5g/t Gravity leach recovery +95% 0.6m @ 11.2g/t 1.6m @ 12.7g/t 2.5m @ 8.3g/t Mine access ready – capex cost sunk Republic & Brothers Reefs require further
Slide 16: Republic – high grade quartz reef
REPUBLIC – high grade quartz reef 150m off the existing Golden Age UG development Previously open cut mined 800m strike and 600m dip Drill composite average grade 7.1g/t Au Exploration target 65,000- 320,000oz* Drilling programme awaiting approvals * The potential quantity & grade of thi
Slide 17: Galaxy – shallow high grade quartz reef system
GALAXY – shallow high grade quartz reef system Resource 550kt @ 2.9g/t for 51,000oz Au 13kms NNW of WGP plant Mineral Inventory - 80% indicated resource level 3.3g/t diluted head grade and gravity & leach recoveries 96% Northern extent of a 15km quartz reef system including Golden Age, Repub
Slide 18: Caledonian Trend – Caledonia Pit
CALEDONIAN TREND CALEDONIA PIT – high grade in pit floor 18
Slide 19: Williamson Deposit – up to 40m wide ore body
WILLIAMSON DEPOSIT – up to 40m wide ore body Historically produced 660kt @ 2g/t Au RESOURCES Mt g/t Au Oz Au High-grade shear zones bounding monzogranite Indicated 2.7 1.7 148,000 stockwork up to 40m wide, free-milling ore Inferred 3.6 1.8 202,000 High-grade mineralisation beneath current pit
Slide 20: Lake Way – very large mineralized system
LAKE WAY – very large mineralized system 19km south along strike from Wiluna – large tonnage potential 350koz resource - structural setting similar to Wiluna – potential cluster of deposits Williamson south mineralisation extends for 1.5km south of pit Carroll-Prior drilling identified conti
Slide 21: Bulletin – good grade, shallow deposit
BULLETIN – good grade, shallow deposit Resource 2.6Mt @ 3.4g/t for 280koz (32% indicated) structures open at depth over the 1.5km-long Bulletin- Happy Jack trend. Mining pit study underway Bulletin OP Production 743kt @ 2.9g/t for 70,000oz Long section looking west - Bulletin & Happy Jack open p
Slide 22: Australian Gold Peers
AUSTRALIAN GOLD PEERS Peer Company Valuations? - Explorers & Developers Whilst there was no change in average valuation multiples for Explorers and Developers, this hides a dramatic increase in Gold Road’s multiple (from A$29/oz to A$43/oz) as the company rose 51% during the month of January MC/Reso
Slide 23: Australian Gold Producers
AUSTRALIAN GOLD PRODUCCERS BLK $3/oz BLK $40/oz* *BLK per Oz of Mineral Inventory 23
Slide 24: Blackham's Matilda Vision
BLACKHAM’S MATILDA VISION 4.7Moz gold resource - 45% indicated resource Acquisition of plant with capacity for > 100,000ozpa1 puts Blackham in a new peer group Existing plant & infrastructure minimises capex and risk Working towards a 10 year mine life focusing on the free milling ores Pro
Slide 25: Disclaimers & Important Information
DISCLAIMERS & IMPORTANT INFORMATION This presentation includes certain statements that may be deemed ‘forward-looking statements’. All statements that refer to any future production, resources or reserves, exploration results and events or production that Blackham Resources Ltd (‘Blackham’ or ‘the C
Slide 26: Contact Details
CONTACT DETAILS Project partners: Bryan Dixon Managing Director Blackham Resources Ltd E: [email protected] T: +61 8 9322 6418 | F: +61 8 9322 6398 A: Level 2, 38 Richardson Street, West Perth WA 6005 P: PO Box 1412, West Perth WA 6872 W: www.blackhamresources.com.au ASX Code: BLK 26
Slide 27: Directors & Management
DIRECTORS & MANAGEMENT Paul Murphy – Independent Non Executive Chairman Mike Robbins - CFO / Company Secretary Mr Murphy is a former banker with extensive experience in Mr Robbins has well over 20 years resource industry experience finance, strong relationships within the banking, finance and gather
Slide 28: Appendix A: Gold Resources
APPENDIX A: GOLD RESOURCES Table 2. Matilda Gold Project Resource Summary Measured Indicated Inferred Total 100% Mining Centre g/t Koz g/t g/t Mt Mt g/t Au Koz Au Mt Koz Au Mt Koz Au Au Au Au Au Matilda Mine 0.1 2.4 9 4.7 2.0 300 8.2 1.7 450 13 1.8 760 Williamson Mine 2.7 1.7 150 3.6 1.7 200 6.3 1.7
Slide 29: Matilda M1 Deposit
MATILDA M1 DEPOSIT High-grade mineralisation in pit floor Outstanding drill results: [email protected]/t (114m) incl 12m@ 9.1g/t [email protected]/t (244m) High grade UG extensions priority target 29 12
Slide 30: Matilda Extensions & Mentelle Shear
MATILDA EXTENSIONS & Mentelle Shear Historical drilling identified 4m @ 13.9 g/t (64m) mineralisation up to 3km from the mine area Strike extensions partly covered by drainage – impediment to historical exploration = opportunity Mentelle trend… parallel structure? Mentelle prospect potential
Slide 31: Caledonian Trend
CALEDONIAN TREND 3km strike from plant to Caledonian Pit Drilling indicates potential for open-pit resources. Quartz hosted – free milling 7m @ 7.15 from 40m Very shallow RAB drilling (~5m) & 5m @ 5.01 from 20m limited RC to 60m - little surface expression to 20m with most drilling ineffective
Slide 32: Matilda Stage 2: High grade refractory ores
MATILDA Stage 2: High grade refractory ores to complement free milling ores Underground and open pit refractory ore will extend mine life Refractory resources 22Mt @ 4.6g/t for 3.3Moz Au - 2g/t bottom cut East & West Lode resources 5.2Mt @ 6.1g/t for 1.0Mt - 4g/t bottom cut Substantial mine
Slide 33: Regent – robust resource
REGENT – robust resource Considerable scope to increase deposit 700m of strike and still open Excellent grades and widths – steep dilatant structures open at depth Good continuity, robust deposit Additional extension drilling down plunge required RESOURCES Tonnes g/t Au Contained Oz Au Indic
Slide 34: History of Wiluna Goldfield
HISTORY OF WILUNA GOLDFIELD ► Long History of Production +4Moz ► Historical Oxide, Quartz, Tailings ~1Moz ► 1897 – 1924 Oxide & Quartz 186,000 oz ► 1984 – 1993 Oxide & Tailings 770,000 oz ► BIOX Fitted to Existing Oxide Plant (Com May 1993) ► 2007 Oxiana (Oz Minerals) acquires Agincourt ► 2007: Proj
Slide 35: Wiluna Nickel
NICKEL WILUNA NICKEL • The Matilda Project sits on the northern end of one of the worlds major nickel provinces. • Project covers over 40 km of ultramafic sequence with potential for massive sulphides and disseminated nickel orebodies • Main body of nickel laterite resource extends over 19 km, avera
Blackham Resources — Fremantle Explorers Conference 2015 on 6ix