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“Advancing Palmer: A High-Grade Polymetallic Project, Southeast Alaska”
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Advancing Palmer: A High -Grade Polymetallic Project, Southeast - - PowerPoint PPT Presentation
TSX.V : CEM OTCQB: CNSNF Advancing Palmer: A High -Grade Polymetallic Project, Southeast Alaska TSX.V : CEM Forward Looking Statements Forward looking statements: This presentation contains certain forward -looking information within
TSX.V : CEM
TSX.V : CEM OTCQB: CNSNF
Forward looking statements: This presentation contains certain “forward-looking information within the meaning of Canadian securities legislation and "forward- looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively "forward looking statements") concerning Constantine’s plans for its properties, operations and other matters. Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as “seek”, “anticipate”, “believe”, “plan”, “estimate”, "forecast", “expect”, "potential", "project", "target", "schedule", budget" and “intend” and statements that an event or result “may”, “will”, “should”, “could” or “might” occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact, including, without limitation, statements regarding potential mineralization, the estimation
exploration activities generally, the timing and results of future resource estimates, permitting time lines, metal prices and currency exchange rates, availability of capital to Constantine and its joint venture partner, government regulation of exploration operations, environmental risks, reclamation, title, statements with respect to the future price of gold and other metals, and future plans and objectives of Constantine are forward-looking statements that involve various risks and
anticipated in such statements. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Constantine’s expectations include actual exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms to Constantine and its joint venture partner, general economic, market or business conditions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and
attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward-looking statements, there may be
prove to be accurate and accordingly readers are cautioned not to place undue reliance on forward-looking statements. Darwin Green P.Geo, Vice President Exploration for Constantine Metal Resources Ltd. and a qualified person as defined by Canadian National Instrument 43- 101, has reviewed and approved the technical information contained in this presentation. James N. Gray of Advantage Geoservices Ltd. is the Qualified Person as defined by NI 43-101 for the resource estimate.
Electrum 21%
14% Management 9% Other 53% Altius Minerals 3%
ISSUED & OUTSTANDING: 44.0 million
Warrants/Options: 17.6 million Fully Diluted: 61.7 million
MARKET CAPITALIZATION: C$27M CASH: C$7.9M*
*As of July 31, 2018 (most recent financial statement)
SHARE STRUCTURE
Major Shareholders
Strong Management & Technical team Tight Share Structure Cash in the Bank Project Endorsement: JV with Japan’s largest Zinc company (49%) Roster of High Quality Shareholders News Flow: New Resource update, PEA, 10,000m of drilling Fundamental Value + Exploration Upside + Spin-out of Gold Assets
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New resource update & maiden PEA underway
Drill expansion of a 2nd deposit; maiden resource 2018
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End of Year
See news release dated September ##, 2018. Net Smelter Return (“NSR”) equals (US$16.01 x Zn% + US$48.67 x Cu% + US$23.45 x Au g/t + US$0.32 x Ag g/t). NSR formula is based on estimated metallurgical recoveries, assumed metal prices, and assumed offsite costs that include transportation of concentrate, smelter treatment charges, and refining charges .Assumed metal prices are US$1.15/lb for zinc (Zn), US$3.00/lb for copper (Cu), US$1250/oz for gold (Au), US$16/oz for silver (Ag). Estimated metal recoveries are 93.1% for zinc, 89.6% for copper, 90.9% for silver (70.8% to the Cu concentrate and 20.1% to the Zn concentrate) and 69.6% for gold (49.5% to the Cu concentrate and 20.1% to the Zn concentrate) as determined by 2018 metallurgical locked cycle flotation tests.. Zinc equivalent (ZnEq%) and Copper equivalent (CuEq%) calculated based on NSR formula plus assumed barite net-value of US$0.566 x BaSO4% (e.g. CuEq = (total NSR value + BaSO4 net-value)/US$48.67
* Based on 2018 Palmer Indicated Resource grade and NSR formula with assumed metal prices of $3/lb Cu, $1.15/lb Zn,
$1250/oz Au, $16/oz Ag (Does NOT include estimated net-value of BaSO4 which equals $0.566 per percent BaSO4) ** Conceptual Mine Operating Costs inclusive of mill processing and G&A, based on costs reported for operating mines, and PEA to FS projects for comparable underground mining projects and assumed mining methods at Palmer – a formal mine cost analysis to 43-101 reporting standards is NOT currently available for Palmer.
Metallurgy: Excellent recoveries & clean concentrates at mod to coarse grind size Mining Method: 10 to >20m wide, subvertical ore zones amenable to longhole mining Lateral Access: No shaft = lower capex; limited development to start mining Ore Pass: Mine from bottom up, gravity assist (reduced haulage cost) Mining Rate: 2500 to 3500 tpd Transportation & Access: Short 60km haul on existing road to deepwater port No Remote Project Costs: Town nearby with excess capacity & mining workforce State Support: AIDEA funds infrastructure for mines (e.g. ports, power, roads)
Pacific Ocean (Lutak Inlet) FUEL STORAGE STATE HIGHWAY PORT FACILITY OIL PIPELINE MARINE TERMINAL (historic) LUMBER DOCK
Metallurgy: Excellent recoveries & clean concentrates at mod to coarse grind size Mining Method: 10 to >20m wide, subvertical ore zones amenable to longhole mining Lateral Access: No shaft = lower capex; limited development to start mining Ore Pass: Mine from bottom up, gravity assist (reduced haulage cost) Mining Rate: 2500 to 3500 tpd Transportation & Access: Short 60km haul on existing road to deepwater port No Remote Project Costs: Town nearby with excess capacity & mining workforce State Support: AIDEA funds infrastructure for mines (e.g. ports, power, roads)
Proposed Exploration Portal Site AG ZONE PALMER DEPOSIT SOUTH WALL ZONE
89m @ 9.5% ZnEq
45.4m @ 2.5% Cu, 7.4% Zn 18.7m @ 2.3% Cu, 6.9% Zn
2 km
24.6m @ 260 g/t (8.3 opt) Silver 17.8m @ 11.3% Zinc
large Massive Sulphide Boulders
AG Zone Long Section
doubled strike length to over 450m
intersections
directions
New Acquisition announced June 2018
Croesus Mine Sample (>10,000 opt)
Anchorage Johnson Tract
Location Inset Map
DRILLHOLE LENGTH GOLD ZINC COPPER LEAD SILVER (meters) (g/t) (%) (%) (%) (g/t) JR82-04 102.6 10.9 8.0 0.8 2.1 8.5 includes 14.0 59.1 9.8 0.9 3.1 18.2 JR82-07 36.0 13.4 2.0 0.4 0.2 3.6 JR83-12 45.8 9.1 7.5 0.9 0.2 6.7 includes 9.9 40.7 24.8 1.8 0.0 11.5 JR84-28 18.6 6.3 19.6 0.5 0.2 10.1 JR88-34 71.4 20.9 5.2 1.2 1.5 9.8 includes 8.9 88.5 9.2 5.6 0.1 22.1 JR93-65 99.7 10.1 6.3 0.9 1.3 6.7 includes 13.0 28.1 3.7 1.5 1.4 10.8 JR93-68 112.2 10.3 5.0 0.7 1.5 6.4 includes 8.0 39.2 9.6 1.1 2.5 12.7 JR93-69 92.6 9.2 3.0 0.7 1.4 6.6 includes 9.0 51.6 6.9 3.0 0.9 22.2
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no potential penalty or problematic elements
API specifications for drilling-mud
The deposit responded very well to conventional metallurgy. Tests yielded marketable copper and zinc concentrates, with high metal recoveries produced at moderate grind sizes.
areas protected for resource economy and areas protected for conservation value
stewardship, and responsible exploration that has built broad local support
carbonate-rich, environmentally benign host rocks. A unique low-sulphide VMS with more barite than pyrite (actually a sulphide-sulphate deposit)
1. The Alaska Mental Health Trust Authority is a state corporation that administers a perpetual trust created to ensure that Alaska has a comprehensive mental health program. The Haines Block leased by Constantine represents about 40% of the mineral lands owned by the Trust to generate revenues for mental health programs 2. AS 41.15.305 created for the establishment of the Haines State Forest Resource Management Area and the Alaska Chilkat Bald Eagle Preserve; the intent for balance between conservation and resource development clearly stated in the legislation
Jurassic-aged volcaniclastic rocks
Resources evaluating direct shipping ore to Premier mill in Stewart, BC
underexplored satellite prospects
an Alaskan Native Corporation
five, escalating to $150,000 from year six onwards
least US$7.5 million within the first 6 years
construct a mine, CIRI has the one time right to back-in to the project and participate to a maximum 25% interest
and a gold price adjusted NSR royalty of 2.5% to 4% Sophie Minich, CIRI President and CEO states, “CIRI is excited to work with Constantine Metal Resources on the Johnson Tract project. CIRI prides itself on projects that deliver economic benefits to our shareholders while respecting and preserving the land. With Constantine’s excellent reputation for responsible mineral exploration and development activities, we know we have chosen the ideal partner. ”
For additional information, please contact: Naomi Nemeth, VP Investor Relations Naomi@constantinemetals.com W: +1 604 629 2348 ext. 1413 M: +1 416 567 5151 Or visit our website at www.constantinemetals.com Follow us on Twitter @CEM_metals