Regis Resources Limited · ASX:RRL
Regis Resources — Investor Presentation (March 2005)
20 slides from Regis Resources's investor presentation, March 2005
Slide 1: Market Update
Market Update Market Update David Walker March 2005
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains “forward-looking statements”. Such forward-looking statements may include, without limitation: y Estimates of future results of exploration activities; y Estimates of future cash flow; y Estimates of future capital expenditure and resources; y Es
Slide 3: Snapshot
Snapshot Assets - 59% of major Duketon province - 1.74 Moz of resources (RRL share 1.03 Moz) - 59% Collurabie Ni-Cu-PGE province exposure - A1 Minerals Brightstar down-dip/parallel position - Melita JV (earn 70%), Copper Well JV (earn 70%) Financial - $3.0m of cash - Debt free - Significant tax loss
Slide 4: Board and Management
Board and Management ¾ MICHAEL FOLIE (Non Executive Chairman) BE(Civil), DIC, MSc(Econ) PhD, FAICD) Dr Folie has had a distinguished career in the resource sector and is currently Deputy Chairman of InterOil Corporation and a Director of the Australian Research Council and the Institute of Public Af
Slide 5: Balance Sheet (SFP)
Balance Sheet (SFP) Mar-04 Oct-04 Dec-04 $'000 $'000 $'000 CURRENT ASSETS ¾ Transactions: Cash 31 815 3,034 ª Raised $3m of equity (Aug 04) Receivables 31 173 74 62 988 3,108 ª Debt reconstruction (Aug 04) z Pay $1m debt cash NON-CURRENT ASSETS z Convert $5.5m to equity at $0.07 ps Receivables 66 69
Slide 6: Capital Structure
Capital Structure Ord 5c opt 10c opt 20c opt Public 179.0 4.0 0.7 2.9 Directors 18.0 30.0 22.5 15.0 Gutnick interests 128.8 62.7 15.7 7.9 Total 325.8 96.7 39.0 25.8 Newmont 266.5 Total expanded 592.3 Page 6
Slide 7: Newmont Transaction Announced
Newmont Transaction Announced “Tripled our Duketon interests, less than doubled our shares” ¾ Acquire 49% of Newmont Duketon Pty Ltd ª 1 board seat out of 3 (Newmont retains control) ¾ 20% direct equity + 39.2% (49% x 80%) indirect equity = 59.2% total equity in Duketon JV’s ¾ Newmont to be issued w
Slide 8: WA Properties
WA Properties ¾ Duketon JV’s (Regis 59% and manager, Newmont 41%) ¾ The major landholding in the Duketon Belt ¾ 1.7Moz in JORC code resources in eight deposits (RRL equity 1.03Moz) ¾ Copper Well JV (Regis manager, earning 70%) ¾ Melita JV (Regis manager, earning 70%) Page 8
Slide 9: Duketon Resources
Duketon Resources RRL Resources type RRL m cut-off interest tonnes grade koz g/t category source Moolart Well laterite 59% 14.1 1.00 458 0.5 ind+inf RSG Rosemont ox+sulph 59% 14.7 1.72 815 0.5 ind+inf RSG Rosemont Satellites Dogbolter ox+sulph 59% 0.9 2.91 87 1.0 ind+inf NEWM King John ox+sulph 59%
Slide 10: Duketon Joint Ventures (RRL 59%)
Duketon Joint Ventures (RRL 59%) ¾ Moolart Well Project (Regis 59% and manager, Newmont 41%). ¾ Over 250 granted mineral licences and licence applications ¾ In excess of 2,000 sq km of prospective ground ¾ Over 10 years of exploration by JWM, 7 years by Newmont. ¾ Newmont earned-in 1998, went to 80%
Slide 11: Duketon Joint Ventures
Duketon Joint Ventures ¾ Regis 59.2% and Manager ¾ Two joint ventures ¾ Multi –metal focus ¾ 1.7Moz in JORC code resources in eight deposits (RRL equity 1.03Moz) ¾ Moolart Well has laterite resource (458koz) ¾ Duketon JV’s ª Key Duketon Zone 40km x 10km ª Moolart Well at the north end ª Rosemont min
Slide 12: Moolart Well (59%) – Laterite
Moolart Well (59%) – Laterite ¾ Six kilometre zone of anomalous gold mineralisation ¾ Discovered by Newmont ¾ JORC inferred resource of 14.1 mt at 1.00g/t gold at a 0.5 g/t cut-off for 458,000 ozs, to 31 Dec 2003 ¾ Resource upgrade expected ¾ Representative sample of laterite ore returned 94% - 98%
Slide 13: Moolart Well (59%) – Oxide zones
Moolart Well (59%) – Oxide zones ¾ Oxide zone distribution ¾ Average grade contours ¾ Above BOCO, 30-50m depth ¾ 3 main zones of interest ¾ None have been drilled out Page 13
Slide 14: Moolart Well (59%) – Sulphide intersections
Moolart Well (59%) – Sulphide intersections ¾ Only sporadic basement drilling ¾ High grade intersections ¾ Not one zone drilled out ¾ Below BOCO 50-80m ¾ Two zones coincide with oxide zones above Page 14
Slide 15: Moolart Well (59%) - Sections
Moolart Well (59%) - Sections ¾ Sections 6944300N and 6944600N ¾ Indications of 4-5 oxide zones in the Southern Panel ¾ Oxide resource drilling program completed ¾ Untested sulphide potential ¾ Major mineralised zones remain to be tested Page 15
Slide 16: Rosemont Group (59%)
Rosemont Group (59%) ¾ Historical/Discovered by JWM in the 1990’s ¾ Rosemont has a JORC inferred resource of 12.6 mt at 1.92g/t gold for 779,000 ozs ¾ Rosemont satellites have an inferred resource of 4.4 mt at 3.31 g/t gold for 467,000 ozs ¾ Further non-JORC mineralisation at Rosemont and Rosemont s
Slide 17: Copper Well (RRL manager, earning 70%)
Copper Well (RRL manager, earning 70%) ¾ Regis earning 70% and manager ¾ JV partner Creasey/others ¾ Major position adjacent Keith-Kilkenny fault ¾ Over $2m spent to date ¾ Gold in outcrop ¾ Area of current major exploration interest Page 17
Slide 18: Melita JV (RRL manager, earning 70%)
Melita JV (RRL manager, earning 70%) ¾ Regis earning 70% and manager ¾ JV partner Great Gold NL ¾ Major position south of Leonora ¾ Significant gold potential ¾ Early stage ¾ Little work undertaken Page 18
Slide 19: 2004-5 Exploration Program
2004-5 Exploration Program 2004 ¾ Drilled 86,000m ¾ 70% of expenditure on advanced gold projects (Moolart Well) ¾ Large deposit focus (+3moz) ¾ Increasing regional focus 2005 ¾ Regis new manager, budgets not yet completed ¾ Likely to be at least same level of activity as 2004, if not more ¾ Immediat
Slide 20: Funding Options
Funding Options ¾ $3m cash ¾ $5m exploration budget during calendar 2005 (RRL sole funding) ¾ Newmont have the right to pro rata contribute to capital raisings (47%) ¾ Strong US investor interest ¾ Strong interest from other corporates ¾ 136m options in the money (raise $8.7m if exercised) Page 20