east pilbara district of the pilbara riu explorers conference … · 2019. 2. 19. · this...

calidus.com.au

ABOUT CALIDUS RESOURCES

Calidus Resources is an ASX listed gold exploration company which controls the Warrawoona Gold Project in the East Pilbara district of the Pilbara Goldfield in Western Australia.

DIRECTORS AND MANAGEMENT

Mr Mark Connelly NON-EXECUTIVE CHAIRMAN

Mr David Reeves MANAGING DIRECTOR

Mr Adam Miethke NON-EXECUTIVE DIRECTOR

Mr Keith Coughlan NON-EXECUTIVE DIRECTOR Ms Jane Allen GEOLOGY MANAGER

Ms Julia Beckett COMPANY SECRETARY

calidus.com.au

ASX : CAI

+61 8 6245 2050

[email protected]

Suite 12, 11 Ventnor Ave West Perth WA 6005 AUSTRALIA

19 February 2019

RIU Explorers Conference Presentation

Calidus Resources Limited (CAI) (Calidus or the Company) advises that Managing Director, Mr David Reeves, will be presenting at the RIU Explorers Conference at 2:00pm today. The Presentation is attached and is also available on the Company’s website:

www.calidus.com.au For further information please contact:

Dave Reeves Managing Director

[email protected]

About Calidus Resources

Calidus Resources (ASX:CAI) is an ASX listed gold exploration company which controls the entire Warrawoona Gold Project in the East Pilbara district of the Pilbara Goldfield in Western Australia.

The Warrawoona Gold Project hosts a total Mineral Resource of 1,248,000 ozs at 1.83g/t Au (Indicated Mineral Resource of 13.5 Mt @ 1.83 g/t Au for 795,000 ozs, Inferred Mineral Resource of 7.7Mt @ 1.81g/t Au for 453,000 ozs) defined over a continuous 5km of strike which remains open in all directions. The Company controls approximately 781 square kilometres of prospective tenements that host over 200 historic workings and three satellite Mineral Resources at Fieldings Gully, Copenhagen and Coronation.

The Directors believe that the Company is well positioned to grow the current resource base around the existing resources and via regional exploration. This is positioning the Company to become a new Australian focussed gold development company.

http://www.calidus.com.au/

http://www.calidus.com.au/

mailto:[email protected]


https://www.calidus.com.au/investors/company-presentations/


ASX:CAI

1.25 Moz HIGH - GRADE, SHALLOW WA GOLD PROJECTPROGRESSING TO DEVELOPMENTRIU PRESENTATION FEBRUARY 2019

DISCLAIMER

DISCLAIMER

This presentation does not constitute investment advice. Neither this presentation nor the information contained in it constitutes an offer, invitation, solicitation or recommendation in relation to the purchase or sale of shares in any jurisdiction. This presentation does not take into account any person's particular investment objectives, financial resources or other relevant circumstances and the opinions and recommendations in this presentation are not intended to represent recommendations of particular investments to particular persons. All securities transactions involve risks, which include (among others) the risk of adverse or unanticipated market, financial or political developments.

To the fullest extent permitted by law, Calidus Resources Limited (the Company or Calidus) does not make any representation or warranty, express or implied, as to the accuracy or completeness of any information, statements, opinions, estimates, forecasts or other representations contained in this presentation. No responsibility for any errors or omissions from this presentation arising out of negligence or otherwise is accepted.

This presentation may include forward looking statements. Forward looking statements are only predictions and are subject to risks, uncertainties and assumptions which are outside the control of Calidus. These risks, uncertainties and assumptions include commodity prices, currency fluctuations, economic and financial market conditions in various countries and regions, environmental risks and legislative, fiscal or regulatory developments, political risks, project delay or advancement, approvals and cost estimates. Actual values, results or events may be materially different to those expressed or implied in this presentation. Given these uncertainties, readers are cautioned not to place reliance on forward looking statements. Any forward looking statements in this presentation speak only at the date of issue of this presentation. Subject to any continuing obligations under applicable law and the ASX Listing Rules, Calidus does not undertake any obligation to update or revise any information or any of the forward looking statements in this presentation or any changes in events, conditions or circumstances on which any such forward looking statement is based.

COMPLIANCE STATEMENT

The information in this presentation that relates to Exploration Results and Mineral Resources released previously on the ASX.

The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcements and that, in the case of mineral resources estimates, all material assumptions and technical parameters underpinning the estimates continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original market announcements.

Mr Daniel Saunders is principal and a full time employee of GeoServ Consulting Pty Ltd, and is a Member of the AusIMM. Mr Daniel Saunders has sufficient experience that is relevant to the style of mineralisation and types of deposit under consideration and to the activities undertaken to qualify as a Competent Person as defined in the 2012 Edition of the JORC Code.

Ms Jane Allen is a full time employee of the Company, and is a member of the AusIMM. Ms Jane Allen has sufficient experience that is relevant to the style of mineralisation and type of deposits under consideration and to the activates undertaken to qualify as a Competent Person as defined in the 2012 Edition of the JORC Code.

PAGE 2

3

PROGRESSING TOWARDS PRODUCTION

SNAPSHOT

• 1.25 Moz resource at 1.83 g/t Au including 1.1Moz at 2.37g/t

• 795,000oz of Indicated Resources (64%)

• 203% increase in resource since listing June 2017 (412,000oz)

• Fully funded Pre-feasibility Study (PFS) commenced, completion due Q3 2019

• PFS will enable rapid transition to Definitive Feasibility Study (DFS)

• Environmental monitoring well advanced, applications for permits to be submitted Q3 2019

• Significant exploration upside both adjacent to existing resources and in greenfields areas on 781 km2 tenement package being targeted in 2019

PAGE 3 CORPORATE PRESENTATION FEBRUARY 2019

DRIVING DEVELOPMENT PROGRESSA CENTURY OF EXPERIENCE IN PRECIOUS- METAL PROJECT DEVELOPMENT


MARK CONNELLYNON-EXECUTIVE CHAIRMAN

Over 30 years’ resource industry experience in CEO and Managing Director roles across multiple jurisdictions including Australia, West Africa, North America and Europe. Currently Non-Executive Chairman at West African Resources Ltd

KEITH COUGHLAN NON-EXECUTIVE DIRECTOR

30 years’ experience in stockbroking and funds management on ASX, AIM and TSX. Currently the MD of European Metals Holdings and recently retired as chairman of TalgaResources

ADAM MIETHKENON-EXECUTIVE DIRECTOR

Over 15 years’ experience in exploration and mine geology, funds management and corporate advisory. Previous technical and corporate roles at Rio Tinto, Snowden, Regent Pacific Group and Argonaut

BOARD

EXECUTIVE MANAGEMENT

DAVE REEVESMANAGING DIRECTOR

30 years’ mining experience in Australia, Africa and Europe. Previous roles at GCM, Delta Gold, Zimplatsand European Metals Holdings. Instrumental in the progression of four mining projects through feasibility to project development

FERNANDO MOUTINHOPROJECT MANAGER30 years’ international experience with GRD Minproc, Sheffield Resources, Syrah Resources, New Century Resources

JANE ALLENGEOLOGY MANAGER30 years’ international mining experience with Anglogold Ashanti, Resolute Mining, Avion Gold Corporation and GCM

CORPORATE OVERVIEW

CAPITAL STRUCTURESHARES ON ISSUE 1,419

Million

MARKET CAP(undiluted at A$0.027)

$38.3Million

CASH (as at 31 Dec 2018)

$3.9Million

LISTED INVESTMENTS $2.9Million

ENTERPRISE VALUE $31.5Million

OPTIONS(will raise $6.9m if exercised)

254Million3

PERFORMANCE SHARES

275 Million4

CAPITAL STRUCTURE AND SHAREHOLDERS

1. Using share price of $0.26 as at 4 Feb 20192. CAI board and management own 18 % of Keras3. 118m @ 2.5c, 50m @ 2.0c, 70m @ 3.5c and 16m @ 3.0c 4. Performance Shares vest on completion of a positive PFS5. ALK cash balance as at 31 December 2018

KEY SHAREHOLDERS KERAS RESOURCES2

(AIM:KRS) 32.3%

ALKANE RESOURCES (ASX:ALK) 10.2%

NOVO RESOURCES (TSX: NVO) 4.0%

PAGE 5

WELL FUNDED• Cash reserves of $3.9m• Investment in Pacton Gold (TSX: PAC) valued at $2.9m1

• 2.5c exercisable options to raise $2.2m due June 2019

STRONG CORPORATE MINING SUPPORT• Keras Resources – London listed exploration company2

• Alkane Resources – ASX listed Australian domiciled gold producer with c.$80m in cash reserves and investments5

• Novo Resources – Canadian listed, well funded Pilbara Gold explorer with nearby gold properties and JORC resources

TIGHTLY HELD SHARE REGISTER• Over 15% Tier 1 institutional ownership • Top 20 hold 70%

CORPORATE PRESENTATION FEBRUARY 2019

LOCATED IN AREA WITH PROVEN RESOURCE POTENTIAL WARRAWOONA GOLD PROJECT


780KM 2 OF CONTIGUOUS TENURECONTROL OF PROVEN GREENSTONE BELT


780km2 under control, application or option

• +200 historic mines located on tenements

• Very limited previous exploration focused around the Klondyke workings

• Majority of package not covered by any soil sampling or drilling

KLONDYKE DEPOSIT


76% INCREASE IN GLOBAL RESOURCE BASE TO 1.15 MozKlondyke (0.5g/t cut-off summary)

Cut-off Indicated Inferred Total

Au g/t Mt g/t Au Ozs Mt g/t Au Ozs Mt g/t Au Ozs

Klondyke Open Pit 0.5 12.3 1.69 670,000 5.5 1.47 260,000 17.8 1.62 930,000

Klondyke Underground 2.0 0.8 3.3 80,000 1.4 3.03 140,000 2.2 3.13 220,000

Total 13.1 1.78 750,000 6.9 1.79 400,000 20.0 1.79 1,150,000

Deposit (0.8g/t cut-off summary)

Cut-off Indicated Inferred Total

Au g/t Mt g/t Au Ozs Mt g/t Au Ozs Mt g/t Au Ozs

Klondyke Open Pit 0.8 8.4 2.19 590,000 3.1 2.16 210,000 11.4 2.19 800,000

Klondyke Underground 2.0 0.8 3.3 80,000 1.4 3.03 140,000 2.2 3.13 220,000

Total 9.1 2.21 670,000 4.5 2.44 350,000 13.6 2.23 1,020,000

HIGH GRADE MINERALISATION REMAINS OPEN AT DEPTH

KLONDYKE DEPOSIT


UPDATED MINERAL RESOURCE


CONTINUOUS OUTCROPPING RESOURCE OPEN IN ALL DIRECTIONS

MULTIPLE HIGH GRADE SATELLITE TARGETS, WITHIN 10KM OF KLONDYKEREGIONAL UPSIDE – LARGELY UNTESTED


Deposit Cut-off Indicated Inferred Total

Au g/t Mt g/t Au Ozs Mt g/t Au Ozs Mt g/t Au OzsCopenhagen 0.5 0.2 5.27 36,000 0.1 1.84 3,000 0.3 4.65 39,000Coronation 0.5 - - - 0.5 2.19 34,000 0.5 2.19 34,000

Fieldings Gully 0.5 0.2 1.65 9,000 0.3 1.62 16,000 0.5 1.63 24,000

Total 0.4 3.70 45,000 0.9 1.96 53,000 1.3 2.53 98,000

Deposit Cut-off Indicated Inferred Total

Au g/t Mt g/t Au Ozs Mt g/t Au Ozs Mt g/t Au OzsCopenhagen 0.5 0.2 5.27 36,000 0.1 1.84 3,000 0.3 4.65 39,000Coronation 0.5 - - - 0.5 2.19 34,000 0.5 2.19 34,000

Fieldings Gully 0.5 0.2 1.65 9,000 0.3 1.62 16,000 0.5 1.63 24,000

Total 0.4 3.70 45,000 0.9 1.96 53,000 1.3 2.53 98,000

RAPID PROGRESSION OF PFS, SCHEDULED FOR Q3 2019 COMPLETION

METALLURGICAL TESTWORK• High gold recoveries (96.7% leach

recoveries), conventional processing methods & variability testing underway

ENVIRONMENTAL• Flora and fauna studies

commenced as have discussions with regulator & MAF/PAF testing

HYDROLOGICAL• Initial water monitoring bores drilled

& hydrological model completed –production bores to be drilled in 2019

HERITAGE• Heritage clearance work completed

over area of disturbance

TAILINGS• Thickening testwork and geotechnical

testing complete, further confirmatory work planned, initial designs & locations finalised

PRE- FEASIBILITY STUDY INPUTS

PAGE 12

GEOTECHNICAL• Majority of geotechnical drilling

complete & analysis underway


13

WELL SERVICED BY EXISTING INFRASTRUCTURE


ASSISTS WITH RAPID COST EFFECTIVE DEVELOPMENT

MINING REGISTRAR LOCATED IN TOWN

SEALED AIRSTRIPIN MARBLE BAR

2 HOURS DRIVE FROM PORT HEDLAND ON SEALED ROAD (AUSTRALIA’S LARGEST PORT)

LOCATED 20KM SOUTH EAST OF MARBLE BAR

• All weather, council maintained road from Marble Bar to leases

• Access to trucked LNG from NW Shelf

• 100 rooms available in town

• All weather airstrip

PARALLEL WORKSTREAMS TO PROVIDE CONSISTENT NEWSFLOWDEVELOPMENT TIMELINEEXPLORATION TIMELINE


Yandal, EAR

Karlawinda, CMM

Bombora, BRB

Warrawoona (0.5 g/t Au

cut-off grade)

Leonora, KIN

Warrawoona (0.8g/t Au cut-off grade)

Katanning, AUC

1.0

1.2

1.4

1.6

1.8

2.0

2.2

2.4

2.6

1,000 1,050 1,100 1,150 1,200 1,250 1,300 1,350 1,400 1,450 1,500

Reso

urce

Gra

de (g

/t A

u)

Mineral Resource Ounces (koz)

ONE OF FEW HIGH GRADE INDEPENDENT DEVELOPMENT PROJECTSAUSTRALIAN OPEN PIT DEVELOPERS


UNDEVELOPED OPEN-PIT WA PROJECTS (>1Moz Au)1

Scarcity of independent ASX open pit gold developers with Resource bases over 1Moz Au

1. Data as at 18 February 2019

* Bubble size represents Enterprise Value

175

123111

98

73

45 4028 24

0

25

50

75

100

125

150

175

200

BGL EXU VAN EAR BRB CMM GMD CAI KIN

EV/R

esou

rce

(A$/

oz)

VALUE GROWTH ASSOCIATED WITH DEVELOPMENTNEAR-TERM DEVELOPMENT

1. Data as at 18 February 20192. Calidus EV doesn’t account for listed investments of c.$2.9m


UNDERVALUED COMPARED TO DEVELOPMENT PEERS Completed Feasibility Study

Prior to Feasibility Study

Average = $86/oz

BGL EXU VAN EAR BRB CMM GMD CAI KIN

Key Project Bellevue Tampia Trident Yandal Bombora Karlawinda Ulysses Warrawoona Leonora

Stage Resource Development Feasibility Resource

Development Feasibility PFS Commenced Financing Feasibility PFS Commenced Resource Development

Mkt Cap (A$m) 239 85 90 143 86 51 36 38 31

EV (A$m) 268 83 91 138 79 50 31 342 25

Resource (koz) 1,530 675 825 1,405 1,084 1,114 760 1,248 1,023

Grade (g/t) 11.8 1.8 3.1 2.1 1.4 1.1 3.3 1.8 1.4

Mine Type Underground Open-pit Underground Open-pit Open-pit Open-pit UndergroundOpen-pit &

Underground Potential

Open-pit

17PAGE 17

WEST AUSTRALIAN 1.25Moz HIGH - GRADE, SHALLOW GOLD DEVELOPER

REASONS TO INVEST


• Critical mass for a standalone development achieved

• High grade open pit outcropping resource

• Excellent metallurgy

• Experienced mine development team

• Fully funded through to Pre-feasibility Study completion

•Located in close proximity to high quality infrastructure and operating mines

•Greenfields exploration has significant potential for new discoveries given lack of modern or systematic exploration

•Uniquely positioned as one of few remaining high grade open-pit gold development companies on the ASX

east pilbara district of the pilbara riu explorers conference … · 2019. 2. 19. · this...

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