Indico Resources Ltd. · TSXV:IDI.H
Indico Resources — Investor Presentation (July 2012)
24 slides from Indico Resources's investor presentation, Jul 17, 2012
Slide 1: Porphyry Copper Gold Exploration Projects
TSX-V: IDI OTCQx: IDIFF PORPHYRY COPPER GOLD EXPLORATION PROJECTS
Slide 2: Disclaimer
DISCLAIMER TSX-V: IDI Certain statements contained in this document, including, without limitation, those concerning the economic outlook for the mining industry, expectations regarding metal prices and production, the completion and commencement of commercial operations of certain of Indico Resourc
Slide 3: Contents
TSX-V: IDI company structure Peru copper contents Ocaña project project generation summary 3
Slide 4: Company Structure
COMPANY STRUCTURE TSX-V: IDI 1 Year Chart July 2012 Shares Issued 27.6 million Options 2.7 million Warrants 0.2 million Fully Diluted 30.5 million 52 week high/low $0.60/$0.11 Market Cap $4.3 million Outstanding Incentive Stock Options Expiry Price Amount Proceeds 07/03/2013 $0.53 1,150,000 $ 675,00
Slide 5: Management & Staff
MANAGEMENT & STAFF TSX-V: IDI ROBERT BAXTER President, CEO & Director Mr. Baxter brings over 25 years of experience, principally in Latin America, in the mining industry. Mr. Baxter is the General Manager of Baxter Consultants Engineering, a consulting company located in Peru. From May 2000 to Septe
Slide 6: Board of Directors
BOARD OF DIRECTORS TSX-V: IDI HENK VAN ALPHEN Director Mr. van Alphen has been in the mining business for 24 years. He began his career as a successful exploration/drilling contractor, and then became the President of Pacific Rim Mining Corp. ("Pacific Rim") where he laid the foundation for Pacific
Slide 7: Contents
TSX-V: IDI company structure Peru copper contents Ocaña project project generation summary 7
Slide 8: Peru Investment & Mining
PERU INVESTMENT & MINING TSX-V: IDI PERU MINING Mining Regulations 2010 Morgan Stanley Country • Extractive industries equal 15% of GDP Rating* Chile 77 • Stable mining administration – ranked 2nd Peru 74 in Latin America (source: Morgan Stanley 2010) Mexico 71 Brasil 66 • >100 mining companies acti
Slide 9: Peru Copper Production
PERU COPPER PRODUCTION TSX-V: IDI #2 In terms of operating mines and funded projects #2 In Annual Production 8% of Global Production Copper Operating Costs in Peru Below Global Average 9
Slide 10: Southern Peru Porphyry Copper Belt
SOUTHERN PERU PORPHYRY COPPER BELT TSX-V: IDI TOQUEPALA MINE (Southern Copper) 3,734 million tonnes @ 0.46% copper 0.46%Cu = $US 26 per tonne value* Total value of $US 97 billion QUELLAVECO PROJECT (Anglo American) 947 million tonnes @ 0.8% copper 50 km 0.8%Cu = $US 45 per tonne value* T
Slide 11: Contents
TSX-V: IDI company structure Peru copper contents Ocaña project project generation summary 11
Slide 12: Location and Infrastructure
LOCATION AND INFRASTRUCTURE TSX-V: IDI Ocaña Zafranal Transmission Lines 500 kv 220 kv Cerro Verde 138 kv 60 kv 50km Cuajone Quellaveco Matarani Port Toquepala Ilo Port Water : Rio Ocoña (10 km away) or water- saturated gravels within the property Power : National Grid + 160Mw hydroelectric plant un
Slide 13: Ocaña Property
OCAÑA PROPERTY TSX-V: IDI OPTION AGREEMENT Year Cash Shares TSX-V Approval $387,272 Year 1 $322,727 200,000 Year 2 (paid) $451,818 300,000 Year 3 $516,364 500,000 Year 4 $580,909 1,000,000 Year 5 $15,490,909 6,500,000 TOTAL $17,750,000 8,500,000 Currently operating within Year 2 INDICO CLAIMS 11
Slide 14: Ocaña Property - Overview
OCAÑA PROPERTY - OVERVIEW TSX-V: IDI Looking Northeast Outline of clay and iron oxide alteration Adit Camp Good Logistics Low elevation: between 1700 and 2200 m.a.s.l. Desert environment allows for easy road-making & construction of drill platforms Water for drilling 10km away, or from wells i
Slide 15: Satellite Image - Clay Alteration Intensity
SATELLITE IMAGE - CLAY ALTERATION INTENSITY TSX-V: IDI Phase 1 Drillholes Concession limit Jimena Prospect Waka Waka Prospect CLAY ALTERATION INTENSITY Red colors indicate most intense clay alteration – effectively outline the porphyry system Intense anomalies are coincident with surface geochem
Slide 16: Clay Alteration Intensity + Talus Fines Moly
CLAY ALTERATION INTENSITY + TALUS FILES MOLY TSX-V: IDI CLAY ALTERATION INTENSITY Phase 1 Drillholes Concession limit Jimena Prospect Waka Waka Prospect TALUS FINES MOLYBDENUM Jimena Prospect has good correlation of Mo and clay alteration Note that Phase 1 drilling only tested half the anomaly
Slide 17: Clay Alteration Intensity + Talus Fines Copper
CLAY ALTERATION INTENSITY + TALUS FILES COPPER TSX-V: IDI Phase 1 Drillholes Concession limit Jimena Prospect Waka Waka Prospect TALUS FINES COPPER Jimena Prospect has uneven correlation of Cu and clay alteration: expected in leached setting Note high Cu values from east of Phase 1 drilling: evi
Slide 18: Ocaña Schematic Section A – A'
OCAÑA SCHEMATIC SECTION A – A’ TSX-V: IDI West East A Waka Waka Target A’ Argillic cap Supergene oxide & sulphide at surface Jimena Exotic Target Cu ? 0.2 km High- grade at 1 km Depth ? Gravels Phreatic Breccia Tiabaya Granodiorite mhvb Drill holes Porphyritic Tonalite Mafic Gneiss NOTE: vertically
Slide 19: Ocaña Geology and Phase 1 Drill Results
OCAÑA GEOLOGY AND PHASE 1 DRILL RESULTS TSX-V: IDI Phase 1 Drilling 2200 m in 5 holes Mineralization starts near surface Significant copper oxide in shallow supergene zone along south margin Phase 2 Proposed 5000 m in 12-14 holes Begin with near surface supergene target End with deep hyp
Slide 20: Ocaña Sections
OCAÑA SECTIONS TSX-V: IDI INCREASING GRADE AT EOH *Copper equivalent calculations represent the total metal value for each metal, multiplied by the conversion factor, summed and expressed in equivalent copper percentage. These results are exploration results only and no allowance is made from recove
Slide 21: Supergene Target
SUPERGENE TARGET TSX-V: IDI Waka Waka Analogue to Zafranal Supergene Mineralization Jimena oxide OKA-3 OKA-2 100m thick supergene OKA-1 hypogene OKA-4 OKA-5 From OKA-2 platform: phyllic alteration with Malachite + Jarosite + Goethite ± Hematite ± Chalcosite 21
Slide 22: Project Generation
PROJECT GENERATION TSX-V: IDI PROJECT PIPELINE Company intends to focus on porphyry copper exploration in Peru Continual review of copper projects, mostly within the coastal porphyry belt 22
Slide 23: Summary
SUMMARY TSX-V: IDI OCAÑA ACQUISITION • Prospective location on extension of known porphyry belt • 110 sq.km project size with significant porphyry mineralization • Excellent deal structure – 76% shares and 87% cash paid in year 5 • Right to ultimately earn 100% interest in prospective area OCAÑA EXP
Slide 24: Contact Information
CONTACT INFORMATION TSX-V: IDI Michael Pound [email protected] 24