GREATLAND GOLD PLC (AIM:GGP) Investor Presentation 21 st June 2016 - - PowerPoint PPT Presentation
GREATLAND GOLD PLC (AIM:GGP) Investor Presentation 21 st June 2016 - - PowerPoint PPT Presentation
GREATLAND GOLD PLC (AIM:GGP) Investor Presentation 21 st June 2016 DISCLAIMER Some statements contained in this presentation or in documents referred to in it are or may be forward-looking statements. Actual results may differ from those
Some statements contained in this presentation or in documents referred to in it are or may be forward-looking statements. Actual results may differ from those expressed in such statements, depending
- n a variety of factors.
Past performance of Greatland Gold plc or its shares is not a guide to future performance. Any forward-looking information contained in this presentation has been prepared on the basis of a number of assumptions which may prove to be incorrect, and accordingly, actual results may vary. This presentation does not constitute, or form part of or contain any invitation or offer to any person to underwrite, subscribe for, otherwise acquire, or dispose of any shares in Greatland Gold plc or advise to persons to do so in any jurisdiction, nor shall it, or any part of it, form the basis of or be relied on in any connection with or act as an inducement to enter into any contract or commitment therefore. No reliance may be placed for any purpose whatsoever on the information or opinions contained in this presentation or on its completeness and no liability whatsoever is accepted for any loss howsoever arising from any use of this presentation or its contents otherwise in connection therewith. This presentation has been prepared in compliance with English law and English courts will have exclusive jurisdiction over any disputes arising from or connected with this presentation.
DISCLAIMER
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CORPORATE AND CAPITAL STRUCTURE
KEY STATISTICS Listed on AIM - GGP – July 2006 Number Of Securities in Issue – 1,485,099,848 Number Of Management Options In Issue – 100,000,000 @ 0.2p – 25,000,000 @ 0.5p Number Of Investor Warrants In Issue – 200,000,000 at 0.2p – 25,000,000 at 0.5p Market Cap – GBP £4.4m (at a share price of 0.29p) Significant Shareholders – Metal Tiger 150,000,000 10.1% – Starvest 85,333,333 5.7% – Johnson 86,500,000 5.8% – Bell 37,452,284 2.5% – Baxter 24,572,951 1.7% – Borelli 13,000,000 0.9% – Sunvest 12,000,000 0.8% – Heddle 3,000,000 0.2%
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Nomad Spark Advisory Partners Broker SI Capital Bankers Coutts
CALLUM BAXTER – Executive MSc MAusIMM MAIG Callum is an experienced geologist and investor. He has over twenty years exposure to capital markets and the natural resources sector specialising in early stage exploration. Callum is also Chairman/CEO of investee company Starvest PLC. ANDREW BELL – Non-executive Chairman MA LLB Andrew is Executive Chairman of Red Rock Resources PLC and Regency Mines PLC. Andrew has much experience encompassing fund management, advisory work, corporate finance, private equity and capital
- markets. Of late, his primary focus has been directorships within the resource industry.
ALEX BORRELLI – Non-executive Director FCA Alex is also Chairman and CEO of BMR Group PLC. Alex is a qualified Chartered Accountant with many years experience in investment banking encompassing flotations, takeovers, and mergers and acquisitions for private and quoted companies. PAUL JOHNSON – Non-executive Director CCA Paul is Chief Executive Officer of investee company Metal Tiger PLC. Paul is a chartered accountant and an Associate of the Chartered Institute of Loss Adjusters and of the Chartered Insurance Institute. He is co- founder of MiningMaven, and he has been actively investing in many companies for more than 10 years. GERVAISE HEDDLE – Non-executive Director BEc(Hons) BA (Juris) CFA Gervaise is an experienced investor and market commentator and is the Managing Director of Bletchley
- Economics. Gervaise was a Division Director of Macquarie Bank and a Fund Manager at Merrill Lynch
Investment Managers. Gervaise is a CFA charterholder and has extensive financial market experience.
BOARD OF DIRECTORS
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- Greatland Gold team believes that we are at or near the bottom of the
commodities cycle
- Actively seeking new opportunities to capitalise on the current
depressed valuations within the sector
- Accelerating plans to exploit existing pipeline of exploration projects
- Preparatory ground work (pre-drilling) has commenced at Bromus nickel
prospect in WA, expect drilling to commence soon
- Current activities fully-funded with GBP875,000 cash at hand (no debt)
OVERVIEW
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Doom and gloom for gold? Not really… The gold price has risen dramatically over past 15 years Despite the recent bear market in gold, gold prices have increased fourfold from 2000/01 levels GOLD: HISTORICAL PERSPECTIVE
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Gold price, in USD, weekly. Source: Kitco.com
Gold price has soared
- ver past 15 years, but
recent bear market in gold stocks wiped out a decade worth of gains Surge in gold stocks over past six month creates short term risk for the
- sector. However, recent
move only takes index back to 2004 levels! OPPORTUNITY IN THE GOLD STOCKS?
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PHLX gold/silver index, weekly. Source: Marketwatch
The chart opposite tracks the ratio of the PHLX gold/silver index to the gold price over the past 32 years (chart ends December 2015) Index has collapsed relative to underlying commodity price. In last six months, ratio has bounced to 0.07, still well below historical range (0.2 - 0.3) GOLD STOCKS RELATIVE TO GOLD
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XAU to gold ratio, end Dec 2015, source: macrotrends.net
TODAY
Headline reductions in mining capex don’t tell the whole story While maintenance capex has remained stable, expansion capex has collapsed Exploration activity across the industry slowed dramatically as money dried up INDUSTRY SUPPLY RESPONSE
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- Industry valuations are still relatively depressed and the natural supply
response is occurring
- Greatland Gold is seeking attractive entry points into early stage
projects where Greatland can bring technical and management expertise
- Primary focus will be on projects that are suitable for a company of this
size and that represent an excellent return on invested capital if successful
- Greatland Gold in a strong position to do transactions with GBP875,000
cash at hand (no debt) and supportive core shareholder base NEW OPPORTUNITIES
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Bromus Project (nickel) Western Australia [100% owned] – Large nickel target identified – Pre-drilling work has commenced on the ground – Four EM anomalies targeted for initial drilling Ernest Giles Project (gold and nickel) Western Australia [100% owned] – Highly encouraging results from early work – Multiple targets for follow-up work Firetower Project (gold) Northern Tasmania [100% owned] Warrentinna Project (gold), North Eastern Tasmania [100% owned]
EXISTING PROJECTS
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Greatland Gold currently has 4 gold and nickel projects in Australia
Large nickel target identified
- Recently released government aeromagnetics
- utlined a 4.5km long ultramafic unit
- Historical records confirm consistently high nickel
levels at surface
- No previous exploration work to date for nickel
BROMUS NICKEL PROJECT
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- A fixed-loop SAM EM survey was conducted
- 78.9 line km of coverage over 49 survey lines
using three large transmitter loops
BROMUS NICKEL PROJECT
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Nickel-sulphide targets identified
- Several conductors detected and modelling of
nickel-sulphide targets completed
- Targeting based on conductance, size,
- rientation and depth
- Four highly prospective drill targets selected for
next stage of exploration
- Targets range from 100m to 400m strike length
& 60m to 180m width/depth extent
Located 250 km NE of Laverton in the Yilgarn Ernest Giles is a large unexplored area spanning 270km²
- Major mines in the region include:
– Laverton +25mil oz – Tropicana +5mil oz – Yamarna (Gruyere) +6mil oz
- Gold mineralisation identified
- Over 30km of gold prospective stratigraphy
- The Board of Greatland believes that Ernest
Giles could deliver significant shareholder value with the discovery of +5 mil oz gold camp
ERNEST GILES GOLD PROJECT
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Detailed Airborne Geophysics Acquired and Targeting Completed.
- Drilling by Greatland revealed large
alteration systems and gold mineralisation +1g/t gold.
- Targets identified
- Interpretation of aeromagnetics has
- utlined numerous gold prospective
targets
- Results so far are very encouraging
considering the unexplored nature of the property
- Further drilling required
ERNEST GILES GOLD PROJECT
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Detailed Airborne Geophysics Acquired
- Target resembles geophysical signature and size
- f Sirius‘ Nova deposit
- Scout drill hole intersected mafic intrusive rocks
with very strong heamatite and magnetite alteration
- Analytical results highlight the potential for a
magmatic nickel-sulphide deposit
CARNEGIE NICKEL TARGET
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Ernest Giles Nickel Target : Carnegie
Sirius Nova Depoit to same scale 10.2Mt at 2.4% Ni, 1.0% Cu & 0.08% Co for 242,000 tonnes Ni, 100,000 tonnes Cu & 7,700 tonnes Co based
- n
a 0.6% nickel equivalent cut-off.
The Firetower Project returned to Greatland Gold control
- Two contiguous licences covering an area of
62km² in central-north Tasmania
- The project hosts significant gold and copper
mineralisation at several sites over 12km strike length
- 400m x 80m target mineralised zone open in all
directions
- Further work scheduled for Firetower will
include detailed surface geochemistry and 3D IP
FIRETOWER GOLD PROJECT
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Project area covers 20km of strike prospective for gold
- Host rocks equivalent to the goldfields in
Victoria, south-eastern Australia (+50mil oz gold)
- Derby North - RC drilling has returned
results including 1m at 103g/t gold and 5m @ 29.2 g/t gold
- Mineralisation is from surface
- Many other prospect to be fully evaluated
- Potential for open pittable gold resources
WARRENTINNA GOLD PROJECT
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- Greatland Gold team believes that we are at or
near the bottom of the commodities cycle
- Actively seeking new opportunities to capitalise on
the current depressed valuations within the sector
- Accelerating plans to exploit existing pipeline of
exploration projects
- Bromus (nickel target) – Expect drilling to
commence shortly
- Current activities fully-funded with GBP875,000
cash at hand (no debt)
CONCLUSION
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