AUSQUEST LIMITED — AGM Information 2013

Nov 25, 2013

Fraser Range

Annual General Meeting 26[th] November 2013

Managing Director Presentation

Peru

D I S C L A I M E R S

Forward‐Looking Statements

This presentation contains forward looking statements concerning the projects owned by AusQuest Limited. Statements concerning mining reserves and resources may also be deemed to be forward looking statements in that they involve estimates based on specific assumptions. Forward‐looking statements are not statements of historical fact and actual events and results may differ materially from those described in the forward looking statements as a result of a variety of risks, uncertainties and other factors. Forward looking statements are based on management’s beliefs, opinions and estimates as of the dates the forward looking statements are made and no obligation is assumed to update forward looking statements if these beliefs, opinions and estimates should change or to reflect other future developments. Data and amounts shown in this presentation relating to capital costs, operatingcosts and project timelines are internally generated best estimates only. All such information and data is currently under review as part of AusQuest Limited’s ongoing development and feasibility studies. Accordingly, AusQuest Limited cannot guarantee the accuracy and/or completeness of the figures or data included in the presentation until the feasibility studies are completed.

Competent Person’s Statement

The information in this presentation that relates to Exploration Results and Mineral Resources is based on information compiled by Mr Graeme Drew who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Drew is employed by AusQuest Limited and is the Company’s Managing Director. Mr Drew has sufficient experience which is relevant to the style of mineralisation and the type of deposits under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Drew consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

JORC – Exploration Targets

It is common practice for a company to comment on and discuss its exploration in terms of target size and type. The information in this presentation relating to exploration targets should not be misunderstood or misconstrued as an estimate of Mineral Resources or Ore Reserves. Hence the terms Resource(s) or Reserve(s) have not been used in this context. The potential quantity and grade is conceptual in nature, since there has been insufficient work completed to define them beyond exploration targets and that it is uncertain if further exploration will result in the determination of a Mineral Resource.

Currency

All dollar amounts shown in this presentation are in Australian dollars unless otherwise stated.

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C A P I TA L S T R U C T U R E ( p o s t p l a c e m e n t * & S P P )

AusQuest Limited	AusQuest Limited	AusQuest Limited	Shareholders	Shareholders	Shareholders
ASX Code		AQD	Chris Ellis (NED)		9.5%
Shares on Issue		297.5 million	Hamersley Holdings (Rio Tinto Plc)		3.5%
			Top 20		33%
Options on Issue		76.7 million
			Directors
Market Cap.(at 2.7 cents)		~$8.0 million
Cash (est. end Nov 2013)		~$2.8 million	Greg Hancock	Non Exec. Chairman
			Graeme Drew	Managing Director
Debt		Nil
			John Ashley	Non Exec. Director
Enterprise Value		$5.2 million
			Chris Ellis	Non Exec. Director
0 2,000,000 4,000,000 6,000,000 8,000,000 10,000,000 12,000,000 Volume (shares traded per day)
			$000 $0.01 $0.02 $0.03 $0.04 $0.05 $0.06 $0.07 $0.08 AQD Share Price

* Assumes T2 approved by shareholders

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I N T R O D U C T I O N

• Successful capital raising ‐ $2.75M (pending shareholder approval) provides funds for drilling at Fraser Range and Peru

• Focus on large provincial Nickel‐Copper‐Gold plays

• In Australia ‐ 4 Fraser Range Ni‐Cu targets to be drilled between Dec 2013 & Jan 2014

• In Peru ‐ 8 Large Copper‐Gold targets identified with drilling planned throughout 2014

• Partnered with large international mining house (Cliffs Natural Resources) in Peru

• High impact / low overheads exploration

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F I V E L A R G E F R A S E R R A N G E N I - C U T A R G E T S

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80km
Dundas
Project
(100%
AQD)
Tenement
Package
Dundas
The 5
Project
Alpha, Beta,
(100%
Omega,
AQD)
Lambda and
Tenement
Zeta
Package
Anomalies
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F R A S E R R A N G E N I - C U P R O J E C T , W A

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Extensive cover
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• Shallow drilling and magnetics outline possible mafic/ultramafic sequences

• VTEM and ground EM locates drill targets

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D U N D A S M A G N E T I C S & V T E M I M A G E S

EM Targets in structurally complex area close to dome-like structure &/or intrusion?

• Alpha, Beta, Omega & Zeta located by VTEM Survey

• Lambda located by ground EM

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D U N D A S S U R F A C E G E O C H E M I S T R Y

Low level Ni, Cu anomalism at surface in the general area of EM targets

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F R A S E R R A N G E E M D R I L L T A R G E T S

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Lambda – strong conductor - 800m long
& 50m to 150m wide - plunges north –
shallowest depth ~200m
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F R A S E R R A N G E E M D R I L L T A R G E T S

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Alpha
Beta
• Strong EM responses
•
Targets are discrete but
sizeable (400m‐800m)
•
Shallow targets ‐ 50m to
Omega
200m depth
•
Drilling early December
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P E R U C U - A U T A R G E T S

• Large scale porphyry and/or IOCG Cu‐Au targets identified by mapping sampling and ground geophysics

• 4 targets under JV with Cliffs recommended for drilling

• 4 targets within 100% owned AQD titles ‐ 3 ready for drilling

• JV advice expected in December ‐ Permitting for drilling underway in 3 areas

COPPER GOLD TARGETS IN PERU	8 Prospects	AQD %	Partner	Manager
	Lana	100	‐	AQD
	El Jaguay	100	‐	AQD
	Azucar	100	‐	AQD
	Pinguino	100	‐	AQD
	Cerro de Fierro	30 *	Cliffs	AQD
	Colorada	30 *	Cliffs	AQD
	Cardonal	30 *	Cliffs	AQD
	Puite	30 *	Cliffs	AQD

* CNRE election to sole fund drill programs to secure 70% equity or return 100% to AQD.

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P E R U – T H E P L A C E T O B E

• Excellent copper pedigree

• Contains some of the world’s largest copper deposits

• The world’s third largest copper producer – 1250ktpa Cu and rising

• A mining friendly jurisdiction encouraging exploration

• Comparatively under explored especially in covered areas

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T A R G E T I N G P O R P H Y R Y C O P P E R / I O C G S

• Major producers of copper (70% global production)

• Large scale low cost mines with mine lives in the decades

• Attractive exploration targets – large footprint – Elephant country – Deposits occur in clusters

• “ ”

• • Find one and there are likely to be more

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R I G H T A R E A – R E A D Y F O R D R I L L I N G

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Cerro de Fierro
IOCG Target
Drill ready
Lana
IOCG Target
Drill ready
Pinguino
Porphyry Cu &
IOCG Targets
El Jaguay‐Azucar
2 Magnetic Targets
Drill ready
Colorada, Cardonal, Puite
3 Porphyry Cu Targets
Drill ready
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U N D E R C O V E R – T H E R E A L O P P O R T U N I T Y

• Covered areas restricted historic exploration

• More Cu deposits to be found under cover

• Aeromagnetics used for area selection

• Mapping & sampling used to prioritise prospects

• Magnetic gravity & IP targets ready for drilling

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L A R G E TA R G E T S U N D E R C O V E R

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CERRO DE FIERRO LANA
•
Multiple targets confirmed
by ground geophysics
•
Large scale targets with no
1.5km
surface expression 4km
•
Potential IOCG or porphyry
Cu‐Au systems
•
AQD 100% ‐ Lana, Azucar El
Jaguay
AZUCAR EL JAGUAY
1.8km
1.5km
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C E R R O D E F I E R R O M A G N E T I C T A R G E T

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South
‐400m
‐0m
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L A N A G R AV I T Y TA R G E T
Granodiorite and andesitic volcanics
Moquegua Fm Sediments
Milo Fm Sediments
Sencca Volcanics
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M U L T I P L E C O P P E R T A R G E T S

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AQD
Prospect
Location
THREE LARGE PORPHYRY CU
TARGETS TO BE DRILLED
10km
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P O R P H Y R Y C U T A R G E T – R E A D Y T O D R I L L

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COLORADA PROSPECT COLORADA PROSPECT
•
Targets defined by combination of
anomalous copper and alteration at
surface – Magnetic and/or IP
anomalies at depth
3.0km
CARDONAL PROSPECT CARDONAL PROSPECT
PUITE PROSPECT PUITE PROSPECT
1.2km
2.0km
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S T A N L E Y M A N G A N E S E P R O J E C T

• Cliffs 70% ‐ AQD 30% and operator

• • Reduced title (600km²) to retain priority targets

• • 18 targets outlined by VTEM Surveys

• • Shallow drilling planned for late 2013 and 2014

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W E S T A F R I C A – G O L D U P D A T E

• Six Exploration Permits being renewed for a further 3 years

• New gold prospects found at Kapogouan and Noumousso

• Numerous gold prospects still to be tested

• Considering opportunities to maximise value for shareholders

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PLANNED KEY DRILLING ACTIVITIES

Fraser Range (Dundas Ni-Cu Project)

• •Drill site and access preparation in progress

• •Diamond drilling (7 holes/~2000m) to commence in early December

• •4 priority EM targets to be tested

• •DHEM surveys to support drill program

Peru (Porphyry Cu and/or IOCG Projects)

• •Permitting in progress at 3 prospects - Puite, Cardonal and Lana

• •3 large porphyry Cu &/or IOCG targets to be tested by initial drilling

• •Diamond &/or RC drilling at these sites planned for early 2014 – pending permit approvals

• •Drilling of remaining 4 prospects planned for later in 2014

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