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CONICO LTD — Investor Presentation 2022
May 11, 2022
64678_rns_2022-05-11_3b645906-a4ad-41d4-b398-46c452f545d1.pdf
Investor Presentation
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Corporate Presentation 12 May 2022 The East Greenland Poly-Metallic Explorer ASX: CNJ
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Certain statements made during or in connection with this communication, including, without limitation, those concerning the economic outlook for the exploration industry, expectations regarding commodity prices, production, cash costs and other operating results, growth prospects and the outlook of Conico Ltd (“CNJ”) operations; contain or comprise certain forward-looking statements regarding CNJ ’s exploration operations, economic performance and financial condition.
Although CNJ believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct.
Accordingly, results or outcomes could differ materially from those set out in the forward-looking statements as a result other in economic and market success of, among factors, changes conditions, of business and operating initiatives, changes in the regulatory environment and other government actions, fluctuations in commodity prices and exchange rates and business and operational risk management. CNJ undertakes no obligation to update publicly or release any revisions to these forward-looking statements to reflect events or circumstances after today’s date or to reflect the occurrence of unanticipated events.
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Early entrant. Conico has 100% ownership of two district-scale land positions.
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Scale. We explore for world-class deposits, a requirement for operating in a remote location, and believe our projects contain that potential.
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Strategic metals. Our projects contain known occurrences of nickel, copper, cobalt, palladium, gold, lead, zinc and silver and are adjacent to projects containing significant resources of palladium-gold and molybdenum.
Knowledge. Our full-time staff and consultants have . over 35 years combined Greenland experience
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Pioneering. New prospects have been generated in locations . where no explorer has stepped before
Ryberg Project. Contains 6 significant prospects in an underexplored Large Igneous Province (LIP) that is . known to be prospective for Ni, Cu, PGE and Au
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Publicly listed. Conico is listed on the Australian Securities Exchange (ASX: CNJ) and is tradable on the Frankfurt Exchange (BDD.F).
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Mestersvig Project. Exploration focused on a ~13 km long structure containing a past-producing Zn-Pb mine. District potential for sediment-hosted Cu and Pb-Zn.
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European jurisdiction , the interface between North America and Europe.
Significant mineral potential but underexplored – particularly East Greenland.
Pro-mining , except for radioactive elements (not present in Conico’s portfolio).
Industry well regulated with high ESG standards.
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Participates actively in Nordic co-operation, Arctic co-operation, the UN, the WTO, the EU and is a member of the Overseas Countries and Territories Association (OCTA).
Two new international airports being built : at the capital Nuuk, and in the southern capital Qaqartoq.
The world’s largest island, but with a population of only 56,000.
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Attractive fiscal terms. 25% corporate tax rate, 2.5% government royalty , no VAT (except on fuel) and indefinite carry forward of losses.
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Increasing international geopolitical and corporate attention: Has attracted mining companies . including Anglo American and IGO
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RYBERG ①
100% owned. 4,521 km[2]
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Game-changing regional magnetic-radiometric survey completed in 2021
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Nearby to Major Precious Metals’ (NEO: SIZE) Skaergaard Pd-Au project
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Contains 6 identified standalone prospects
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Known occurrences of nickel, copper, palladium, platinum and gold
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②
①
640 km
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MESTERSVIG ②
100% owned. 1,447 km[2]
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Contains an historic mine that produced 545 kt @ 9.9% Zn & 9.3% Pb that is open along ~13km of strike and at depth
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Adjacent to Greenland Resources’ (NEO:MOLY) Malmbjerg molybdenum project and nearby to IGO’s (ASX: IGO) Frontier copper project
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Contains an additional 2 stand-alone prospects
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Known occurrences of zinc, lead, copper and silver
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Ryberg
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M I K I ① ( s l i d e s 8 - 9 )
Magmatic sulphide occurrences (Cu-Ni-Co-Pd-Au)
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S O R T E K A P ② ( s l i d e s 1 0 - 1 1 )
Magmatic sulphide + orogenic gold occurrences (Ni-Co, Au)
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P Y R A M I D ③ ( s l i d e 1 2 )
A significant magnetic bullseye (2021 survey) and gossan at surface.
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C A S C A T A ④ ( s l i d e 1 3 )
Layered mafic intrusion discovered by drilling in 2021 with lithological similarity to Major Precious Metals’ (NEO: SIZE) Skaergaard Pd-Au project.
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Q U E S T ⑤ ( s l i d e 1 4 )
- A significant magnetic feature (2021 survey) with historical geochemical anomalies; possible mafic/ultramafic intrusion with potential for magmatic sulphide mineralisation (Ni-Cu-Co-PGE).
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Q I T E R P I A A N E Q ⑥ ( s l i d e 1 4 )
- A significant magnetic feature (2021 survey) that may represent a previously unrecognised layered mafic intrusion (PGE-Au) or an alkaline intrusive complex (REEs).
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6
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Skaergaard
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Ryberg
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AUGUST-SEPTEMBER
Assay results received and geological interpretation.
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JULY
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JUNE
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Drilling commences. Handheld XRF used to identify priority intervals MAY and samples dispatched for analysis on a regular basis.
Mobilise to site and prepares the onshore camp. Drill rigs + fuel are already in position (imported in 2021).
Drilling continues in conjunctional with field assessment of new prospects.
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Ryberg
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2022 Proposed Activities: Diamond drilling
Mineralisation Style: Magmatic sulphide (Cu-NiCo-Pd-Au)
Datasets:
Electromagnetic (EM) surveys (VTEM 2017 & ground-borne 2020)
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Multispectral satellite data (2019 & 2020)
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Rock samples from the Miki Dyke grading up to 2.2% copper, 0.8% nickel, 0.1% cobalt, 3.3g/t palladium & 0.2g/t gold
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- 9 x diamond drill-holes (2021) tested EM targets but did not intersect the Miki Dyke Magnetic-radiometric survey (2021)
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Ryberg
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2021 Drill Results: EM anomalies tested by drilling were found to be pyrrhotite in basement host rock. Drilling did not intersect the Miki Dyke and the magmatic sulphides in the dyke remain to be drill tested.
2022 Drill Locations: Results from the 2021 magnetic-radiometric geophysical survey, received after the 2021 drilling, provide better definition of geological structure and identified several distinct local anomalies. This data has been combined with a re-interpretation of the EM data, geochemistry, and satellite imagery to identify priority drill targets for 2022 including:
Several local magnetic features
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Up-slope source areas for mineralised rock samples
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The Miki Dyke for magmatic sulphides
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New targets from re-interpreted EM data
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Priority drill
locations
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Ryberg
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2022 Proposed Activity: Diamond drilling
Mineralisation Style: Magmatic sulphide (Ni-Co) and orogenic gold
Datasets:
Rock samples grading up to 0.33% nickel, 0.52% copper, 0.03% cobalt and 2.7g/t gold Multispectral satellite data (2019 & 2020)
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Induced polarisation (IP) survey (2020)
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SODD001: nickel sulphide mineralisation
3 x diamond drill-holes (2021)
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Magnetic-radiometric survey (2021)
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SODD001 and SODD002 Designed to intersect an IP anomaly. SODD001 encountered mafic and ultramafic lithologies containing stringer and vein nickel sulphide mineralisation. SODD002 intersected a barren dyke.
Notable intercept = 15m @ 0.23% Ni & 0.013% Co from 195m in SODD001
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SODD003 Designed to intersect gold/bearing quartz veins in amphibolite.
Notable intercepts = 1m @ 2.58g/t Au from 41m
1m @ 42.81g/t Au from 63m
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Ryberg
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2022 Drill Locations: Results from the 2021 magneticradiometric geophysical survey, received after the 2021 drilling, provide better definition of geological structure and identified several distinct local anomalies. This data has been combined with the IP data, geochemistry, and satellite imagery to identify priority drill targets for 2022 including:
Several local magnetic features
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Areas of mineralised rock samples
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Mafic-ultramafic units for magmatic sulphides New targets from re-interpreted IP data
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Priority drill
locations
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Ryberg
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Zone of gossanous weathering
Strong magnetic anomalies
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Images show the same location as a satellite image and the satellite image overlaid by the 2021 magnetic data.
History: A standout magnetic feature from the 2021 magneticradiometric geophysical survey. No previous field activities are known at Pyramid.
2022 Proposed Activity: Field investigation followed by possible diamond drilling.
Mineralisation Style: Unknown, but a significant magnetic feature and gossanous appearance (possible oxidation of sulphide minerals) make it a priority target.
Datasets:
Multispectral satellite data (2019 & 2020)
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Magnetic-radiometric survey (2021)
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Ryberg
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Mineralisation Style: Layered mafic intrusion that bears lithological similarity to Major Precious Metals’ adjacent Skaergaard Pd-Au project.
Datasets:
Multispectral satellite data (2019 & 2020) Surface and drill-hole geochemistry (2021) Magnetic-radiometric survey (2021)
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2021 Results: Drilling encountered a thick volcanosedimentary sequence located above a previously unknown layered mafic intrusion.
2022 Proposed Activity: Assessment of the geochemistry of the mafic intrusion to determine potential layered intrusion reef-style precious metal mineralisation (work currently ongoing). If potential is confirmed then additional drilling will be planned contingent on drilling at the other Ryberg prospects.
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Layered gabbro from drill-hole CADD001 at Cascata.
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Simplified cross section of the adjacent Skaergaard gabbroic intrusion, where mineralisation is hosted in the ‘Triple Group’ (highlighted in red).
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Ryberg
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⑤ Quest
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Quest (in red) and historic stream sediment anomalies.
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Quest (deep blue circular feature) in the magnetic data.
⑥ Qiterpiaaneq
History: Identified within the regional magnetic-radiometric geophysical survey. An obvious magnetic anomaly situated at the interface of underlying basement gneiss and overlying sediments.
Datasets:
Multispectral satellite data (2019 & 2020)
Magnetic-radiometric survey (2021)
History: Identified within the regional magnetic-radiometric geophysical survey. A circular magnetic anomaly interpreted to be an igneous intrusion. Elevated levels of chrome and nickel were noted in this area by previous explorers.
Datasets:
Stream sediment geochemistry (1991)
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2022 Proposed Activities at Quest and Qiterpiaaneq:
Field investigation early in the season to confirm mineralisation by prospecting and base-metal analysis by handheld XRF in the field.
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Multispectral satellite data (2019 & 2020)
Magnetic-radiometric survey (2021)
If mineralisation is confirmed drilling will be planned contingent on drilling at the other Ryberg prospects.
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Ryberg
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The Project area is in an area suitable for mining development on the east Greenland coast at the closest point to Iceland (365km).
Drill rigs and fuel on site, ready to drill in 2022
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: Deep-Water Fjord ideal for a future port
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Maintained 600m Airstrip: can be extended to accommodate larger aircraft (Dash-8)
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Site : Adjacent to large flat-lying valley with abundant aggregate material – ideal for a production facility
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Fresh Water : available in numerous lakes and rivers recharged by seasonal snow-melt
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Not in a National Park or culturally sensitive area
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Not close to a settlement
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Mestersvig
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Mestersvig Brownfields Project: Containing the historic Blyklippen mine (Zn-Pb ± Ag, Cu) with mineralisation open along strike and to depth. The mine produced 545,000 tonnes of ore @ 9.9% Zn & 9.3% Pb between 1956 and 1962.
Critical Mineral: Zinc added to the United States Geological Survey (USGS) critical minerals list for 2022.
Demand for Greenland Product: Preliminary approval given from EXIM bank to provide up to US$657M in debt funding to develop Ironbark Zinc’s (ASX: IBG) Citronen Fjord lead-zinc project located in NE Greenland.
Mestersvig Existing Infrastructure: Several camps and buildings usable from previous exploration. Working harbour, 1,800m gravel airstrip (military) within 10km.
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Miners ready to go underground at the Blyklippen Mine, circa 1956-1962. Photo: Jorge Christensen, ´Blyminen i Mesters Vig´, published by Atuagkat, 2005.
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Mestersvig
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SEPTEMBER
JUNE
Mobilise to site and prepares the onshore camp. Fuel is already in position (imported in 2021).
JULY
Import drill rig(s) and handheld XRF used to identify priority intervals and samples dispatched for analysis on a regular basis.
AUGUST
Drilling commences in conjunctional with field assessment of new prospects.
Initial assay results anticipated. Continued drilling and preparation to depart site late-September.
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Mestersvig
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BLYK LIPPEN
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Historic Zn-Pb ± Ag, Cu mine, vein-hosted
S ORTEBJERG
Vein-hosted Zn-Pb ± Ag, Cu occurrence
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Historic drilling included 5.2m @ 18.6% combined Zn+Pb
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NU LDAL
Vein-hosted Zn-Cu-Ag occurrence 2020 surface sample graded up to 69.5% lead, 0.9% copper and 282g/t silver
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Blyklippen
Mine
Nuldal
Oksedal
Sortebjerg
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OK S EDAL
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Strata-bound Zn-Pb-Cu-Ba
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Greenland Resources Inc. (NEO:MOLY) Malmbjerg Molybdenum project Measured and indicated resource of 281 Mt @ 0.18% MoS2 containing 661 Mlbs Mo.*. *Mineral Resource Estimate Update, NI 43-101 Report, for the Malmbjerg Property, Greenland. Tetra Tech, October 2021. Rift-related alkalic porphyry system.
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Mestersvig
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Mestersvig has the potential to host a very large mineralised system.
Datasets:
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Steeply inclined baryte vein with Pb-Zn at the historic Blyklippen Mine.
Surface samples
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Historic diamond drill-holes from Blyklippen and Sortebjerg
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EM & magnetic geophysical survey (1997 & 2012) Multispectral satellite data (2020)
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Gravity geophysical survey (2020)
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2022 Proposed Activities:
Diamond drilling to test:
Along strike (south) of the historic Blyklippen mine Along strike (north) of Sortebjerg
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Blyklippen and Sortebjerg are believed to sit on a single structure that extends ~13km between the two locations
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Beneath and along strike from mineralised rock samples at Nuldal
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Field assessment of mineralisation at Oksedal and drilling if justified
Field assessment of additional targets for potential porphyry-Mo mineralisation
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Mestersvig
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Suitable for mining development on the east coast of Greenland, only 10km from the Mestersvig Military Base.
Has an existing harbour and airfield.
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- Traversable by foot/4x4 from the harbour to key prospects
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- All wheel drive vehicles proposed to be imported in 2022 to reduce helicopter use
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Existing camp buildings
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- Existing underground workings and historic drill core at the historic Blyklippen Mine
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300 barrels of fuel imported to site in 2021
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Activity at the Mestersvig Military Base.
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Gregory Solomon
Non-Exec. Chairman – Conico Ltd LLB
Has practised as a commercial/corporate lawyer for more than 40 years, is managing partner with Solomon Brothers Lawyers and executive director of Tasman Resources. Gregory has a broad range of experience including mining, technology, corporate, commercial, finance and property law.
Guy Le Page
Exec. Director – Conico Ltd
BA, B.Sc., B. App..Sc.. (Hons), MBA, M.Fin.Plan, GradDipAppFin, FFIN, MAusIMM
Guy is a geologist and corporate financier/advisor, having been in the industry for more than 25 years. He is a director of RM Capital and non-executive director of Tasman Resources. Guy is a practicing expert witness and has significant experience in mergers, acquisitions, IPOs, valuations and advisory roles.
Douglas Solomon
Non-Exec. Director – Conico Ltd B Juris, LLB (Hons)
Douglas is a commercial/litigation lawyer with more than 40 years, is a partner with Solomon Brothers Lawyers and nonexecutive director of Tasman Resources. He has a broad range of experience including finance, securities, environmental, construction, commercial litigation and contract law.
James Richardson
Non-Exec. Director – Conico Ltd
James is a corporate financier/advisor, having been in the industry for more than 25 years. He is a director of RM Capital and has significant experience in the development and implementation of financial instruments that encompass multiple sectors of the investment market.
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Thomas Abraham-James
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CEO – Longland Resources Ltd BSc (Hons), FAusIMM (CP Geo), FSEG, FGSL
Thomas has over 15 years’ experience in both corporate and technical capacities, educated at the Australian National University. He began his career with Rio Tinto (Argyle Diamonds) before switching to exploration and becoming exploration manager for Platina Resources Ltd where he worked for 5 years at the Skaergaard Project in Greenland. Thomas later resided in Tanzania and left employment to co-found Helium One Global Ltd (LSE: HE1), and later founded Longland Resources Ltd that was since acquired by Conico in 2020.
Höskuldur Jónsson
Operations Manager - Longland Resources Ltd BA
Höskuldur is an expedition leader, guide and logistics export educated at University College Birmingham. He has over 19 years’ experience operating in the Arctic, including Greenland, Iceland and Norway (mainland, plus Svalbard and Jan Mayen). He is a qualified skipper and first visited the Ryberg Project in 2008. Höskuldur has managed operations for the 2020 and 2021 Greenland field seasons.
Thomas Sant
Exploration Manager – Longland Resources Ltd BSc (Hons), FGSL, (CGeol), FSEG, EurGeol
Tom is a geologist with 28+ years of professional experience in mineral exploration covering target generation through to resource assessment in Australia, Europe and Asia. He has held technical roles with Rio Tinto, Ivanhoe Mines, and Nautilus Minerals, an exploration manager role with Eldorado Gold, and has operated as an independent consultant to projects in Serbia, Chad, Mongolia and Turkey. Tom operated on the east coast of Greenland during the 2021 season providing on-site management of a multi-rig resource drilling project.
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Gregory Solomon (Non-Exec. Chairman) Guy Le Page (Exec. Director) James Richardson (Non-Exec. Director) Douglas Solomon (Non-Exec. Director)
BOARD:
COMPANY SECRETARY: Aaron Gates TOP 10 SHAREHOLDERS: BNP Paribas Nominees Pty Ltd 15.4% Tasman Resources Ltd 9.9% BNP Paribas Nominees Pty Ltd 4.7% Douglas Solomon 3.9% Gregory Solomon 3.8% James Richardson 3.6% Thomas Abraham-James 3.3% Guy Le Page 2.9% BNP Paribas Nominees Pty Ltd 1.9% D M Middleton Pty Ltd 1.5% TOTAL 50.9%
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PRO-FORMA CAPITAL STRUCTURE Cash AUD$6.3M Share Price AUD$0.015 52-week high AUD$0.103 52-week low AUD$0.01 Market Cap. AUD$15M Shares on Issue 1,000,214,874 Options on Issue 1,000,000 @ $0.022 (exp. 21/9/23) 8,500,000 @ $0.04 (exp. 24/11/23) 2,300,000 @ $0.04 (exp. 15/1/24) 60,496,307 @ $0.07 (exp. 20/1/24) 10,000,000 @ $0.04 (exp. 30/9/24) 33,500,000 @ $0.10 (exp. 30/11/24) ASX: CNJ
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Level 15, 197 St Georges Terrace PERTH WA 6000 Australia Postal Address PO Box 7055 Cloisters Square WA 6850 Australia +61-8-9282-5888
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[email protected] www.conico.com.au
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The information contained in this presentation relating to exploration results relates to information compiled or reviewed by Thomas Abraham-James, a full-time employee of Longland Resources Ltd. Mr. Abraham-James has a B.Sc. Hons (Geol) and is a Chartered Professional (CPGeo) and Fellow of the Australasian Institute of Mining and Metallurgy (FAusIMM). Mr. Abraham-James has sufficient experience of relevance to the styles of mineralisation and the types of deposit under consideration, and to the activities undertaken to qualify as a Competent Person as defined in the 2012 edition of the Joint Ore Reserve Committee (JORC) “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr. Abraham-James consents to the inclusion in this presentation of the matters based on information in the form and context in which it appears.
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