KGL Resources (ASX:KGL) Investor Presentation September 2014
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Transcript of KGL Resources (ASX:KGL) Investor Presentation September 2014
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September 2014
17 September, 2014
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Corporate Overview
ASX code KGL
Issued shares 140.0 million
Options 4.3 million
Average daily volume 1.4 million
Market capitalization (15 Sep 14) $52 million
Cash (30 June 2014) $14.8 million
Debt Nil
Enterprise Value $37.2 million
Board of Directors & Management
Andrew Daley Chairman
Simon Milroy Managing Director
Chris Bain Non-Executive Director
Brad Ellis Non-Executive Director
John Taylor Non-Executive Director
Top Shareholders Shares %
KMP Investments Pte Ltd 27.3%
HSBC Custody Nominees (Aust) 6.5%
JP Morgan Nominees Australia 3.9%
National Nominees 3.5%
Top 20 shareholders 59.5%
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Trading VolumeShare Price
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On the Plenty Highway
Concentrate to be trucked from
site to Alice Springs then
transported by rail to Darwin port
In the 1960’s, ore was trucked
from Jervois to Mt Isa
Jervois Project Setting
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Jervois Project
12km strike length
30,000m drilling completed
Resource update September 2014
Pre-Feasibility Study scheduled for
Q4 2014
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Jervois Project Setting
Existing Mining Lease due to
historical mining activities on site
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Geological Setting
• Hosted by Bonya Schist in Eastern
Arunta
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Resource Upgrade
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25.3 mt @ 1.1% Copper and 22 g/t Silver
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May 2011 July 2011 Jan 2012 Nov 2012 Sep 2014
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Silver Indicated Silver Inferred Exploration Potential
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Co
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Copper Indicated Copper Inferred Exploration Potential
Mineral Resources Update
+64%
25.3 Mt @ 1.1% Cu for 280,000 t Cu 25.3 Mt @ 22 g/t Ag for 18 Moz Ag
+61%
The potential quantity and grade of the Exploration Potential is conceptual in nature and there has been insufficient exploration to define a Mineral Resource. It is
uncertain if further exploration will result in the determination of a Mineral Resource.
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Weighted Average: 0.49% Cu
0.0
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0 200 400 600 800 1,000
Copper
Gra
de (
%C
u)
Copper Contained in Resources (Mt)
Size and grade of undeveloped copper projects
Jervois 1.12%
First Quartile Second Quartile Third Quartile Fourth Quartile
Source: SNL Mining & Metals, Terra Studio. Undeveloped copper projects with more then 250,000t of contained copper metal (open pit only)
High Grade Resources
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Source: SNL Mining & Metals, Terra Studio. Most recent mineral resources available, copper only. Bubble size according to copper metal contained.
Excluded mines and projects: Carrapateena, Cobar, Eloise, Northparkes, Olympic Dam
High Grade Resources
Mt Isa
Nifty
Mt Oxide Mt GordonErnest Henry
Pilbara Mt GunsonOsborne
Prominent Hill
Mt Lyell
Jervois
Mutooroo
MaroochydoreWhite Range
EinasleighKanmantoo
E1-Monakoff
Lady Annie
Mt Elliott
Hillside
RosebyKalman Browns
Rocklands
Kalkaroo
Nanadie WellBushranger Copper Hill Temora
0.0
0.5
1.0
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2.0
2.5
3.0
3.5
10,000,000 100,000,000
Copper
Gra
de (
g/t)
Mineral Resources (tonnes, log scale)
Australian Copper Mines and Projects
Underground
OP+UG
Open Pit
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Four parallel mineralised trends defined
from North to South:
Morley
Reward East
Marshall-Reward
Green Parrot
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Morley
Reward East
Marshall-Reward
Green Parrot
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1.5 km strike length
Marshall-Reward
Copper Grade x Thickness
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1.5 km strike length
Marshall-Reward
Lead+Zinc x Thickness
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Green Parrot
Copper Grade x Thickness
JOC076 6m @ 8.55% Cu, 15.08% Pb, 10.95%
Zn, 679.7g/t Ag, 4.87g/t Au from 48 m
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Bellbird
Copper Grade x Thickness
1.0 km strike length
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Jervois Flowsheet
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72 RC drill holes
6,000m
Drilling underway
Kileen
Bellbird North
Reward
Bellbird
Green Parrot
Reward
North
Morley
Current Drilling Areas
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Investment Highlights
Significant resource upgrade
Project in first quartile in terms of copper grade globally (open pit projects)
One of the highest copper grade open pit projects in Australia
Significant silver credits
Lead and zinc potential
6,000 metres drilling underway
Extension
In-fill
Pre-Feasibility Study underway
Strong cash position ($14.8m as at 30 June 2014)
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Forward-Looking Statements:
This presentation includes certain “Forward-Looking Statements”. All statements, other than statements of historical fact, included herein, including without
limitation, statements regarding forecast cash flows and potential mineralisation, resources and reserves, exploration results and future expansion plans
and development objectives of KGL Resources are forward-looking statements that involve various risks and uncertainties. There can be no assurance that
such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.
Simon Milroy on +61 7 3071 9003
or visit www.kglresources.com
ASX code: KGL
Level 7, 167 Eagle Street
Brisbane, QLD 4000
AUSTRALIA
For more information contact
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Mineral Resources
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The Jervois Resources information was first released to the market on 15 September 2014 an complies with JORC 2012.
The data in this report that relates to Mineral Resource Estimates for Jervois is based on information evaluated by Mr Simon Tear who is a Member of
The Australasian Institute of Mining and Metallurgy (MAusIMM) and who has sufficient experience relevant to the style of mineralisation and type of
deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the
Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the “JORC Code”). Mr Tear is a full-time employee of
H&S Consultants Pty Ltd and he consents to the inclusion in the report of the Mineral Resource in the form and context in which they appear.
The exploration data in this report relating to the Jervois project is based on information compiled by Rudy Lennartz, who is a Member of the Australian
Institute of Mining and Metallurgy and a full time employee of Kentor Minerals (NT) Pty Ltd. Mr. Lennartz has sufficient experience which is relevant to
the style of the mineralisation and the type of deposit under consideration and to the activity to which he is undertaking, to qualify as a Competent
Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the “JORC
Code”). Mr. Lennartz has consented to the inclusion of this information in the form and context in which it appears in this report.
The data in this report that relates to Jervois cut off grades and mining assumptions is based on information evaluated by Mr Simon Milroy who is a
Member of the Australasian Institute of Mining and Metallurgy (MAusIMM) and who has sufficient experience relevant to the style of mineralisation and
type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the
Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the “JORC Code”). Mr Milroy is a full-time employee of
KGL Resources Limited and he consents to the inclusion in the report of the cut off grades and mining assumptions in the form and context in which
they appear
Competent Person Statement