Skip to main content

AI assistant

Sign in to chat with this filing

The assistant answers questions, extracts KPIs, and summarises risk factors directly from the filing text.

CORAZON MINING LIMITED Investor Presentation 2016

Jun 20, 2016

64747_rns_2016-06-20_fc059ec8-497f-42b4-80fd-e54791aa8fd3.pdf

Investor Presentation

Open in viewer

Opens in your device viewer

Acquisition of the Mt Gilmore Project New South Wales, Australia

Company Presentation

ASX : CZN

21 June 2016

  • This presentation has been prepared by Corazon Mining Limited (“Corazon”). It contains forecasts and forward looking statements which are not a guarantee of future performance and which involve certain risks. Actual results and future outcomes will in all likelihood differ from those outlined herein. The presentation should not be construed as an offer or invitation to subscribe for or purchase securities in Corazon. Nor is it an inducement to make an offer or an invitation with respect to said securities.

  • Forward-looking statements are statements that are not historical facts. Words such as “expect(s)”, “feel(s)”, “believe(s)”, “will”, “may”, “anticipate(s)” and similar expressions are intended to identify forward-looking statements. These statements include, but are not limited to statements regarding future production, resources or reserves and exploration results. All such statements are subject to certain risks and uncertainties, many of which are difficult to predict and generally beyond the control of the Company, that could cause actual results to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. These risks and uncertainties include, but are not limited to: (i) those relating to the interpretation of drill results, the geology, grade and continuity of mineral deposits and conclusions of economic evaluations, (ii) risks relating to possible variations in reserves, grade, planned mining dilution and ore loss, or recovery rates and changes in project parameters as plans continue to be refined, (iii) the potential for delays in exploration or development activities or the completion of feasibility studies, (iv) risks related to commodity price and foreign exchange rate fluctuations, (v) risks related to failure to obtain adequate financing on a timely basis and on acceptable terms or delays in obtaining governmental approvals or in the completion of development or construction activities, and (vi) other risks and uncertainties related to the Company’s prospects, properties and business strategy. Our audience is cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof, and we do not undertake any obligation to revise and disseminate forward-looking statements to reflect events or circumstances after the date hereof, or to reflect the occurrence of or non-occurrence of any events.

NEW HIGH GRADE COBALT-COPPER-GOLD PROJECT

ASX : CZN – PAGE 3

Exclusive right to earn up to an 80% interest in the Mt Gilmore Project

Corazon can earn an initial 51% interest by:

  • Issuing Providence 25 million Corazon Mining Limited shares

  • Paying cash reimbursements of costs totalling $100,000, and

  • Spending $200,000 on exploration within the first 12 months.

Corazon can earn a further 29% interest (totalling 80%) by:

  • Completing $2M in exploration within 3 years from commencement of the Agreement,

  • Paying $150,000 in cash or shares upon the earlier of the commencement of the third year and Corazon spending a minimum of $500,000 on exploration, and

  • Paying $250,000 in cash or shares upon earning 80% equity in the Project.

  • Corazon has the opportunity to extend this earn-in period by one year by paying $50,000 in cash or shares.

  • Upon the Company earning 80% equity in the Project, Providence will be free carried until a decision to mine is made.

  • Once a decision to mine is made, Providence will then have the opportunity to contribute to expenditure requirements according to its working interest, or dilute to a net smelter royalty of 2.0%. Corazon has the right to purchase 1% of the royalty for $3M at any stage.

Current Capital Structure Current Capital Structure Current Capital Structure
Market Cap. @ 0.7 cps A$ 4.7M
Shares on Issue # 527M
Options on Issue # 7.5M
Cash(approximate) A$ 0.5M
52 week share trading range A$ $0.003 – 0.010
Post Acquisition & Raising Capital Structure Post Acquisition & Raising Capital Structure Post Acquisition & Raising Capital Structure
Market Cap. @ 0.9 cps A$ 5.8M
Shares on Issue # 648.4M(1)
Options on Issue # 27.5M(1)
Cash(approximate) A$ 1.5M
52 week share trading range A$ $0.003 – 0.010
Board & Management Board & Management
Clive Jones Non Executive Chairman
Brett Smith Managing Director
Jonathan Downes Non-Executive Director
Adrian Byass Non-Executive Director
Rob Orr Company Secretary

Company Focus

ASX listed exploration company

New project acquisition – NSW Australia

  • Cobalt-copper-gold

  • Advanced high-grade cobalt deposit

Placement – for project acquisition & exploration

  • Raising up to ~A$1 million[(1)]

  • ~181.8 million new shares[(1)]

  • Issue price at 0.55 cents per share

Canadian brown-fields exploration project

  • Nickel-copper-cobalt

  • Development opportunity

  • Good exploration upside potential

(1) Tranche 2 and Options subject to Shareholder approval

Future Cobalt Requirements

  • The rechargeable battery market remains the industry’s growth driver, with demand from this sector up 11.7% in 2015.

  • Automotive related battery demand rapidly gaining momentum; Chinese sales of “New Energy Vehicles” up 343% in 2015.

  • Cobalt is the preferred cathode element in lithium ion batteries which currently offer the best commercially accepted energy storage capacity.

  • Refiners are shifting resources and capacity from “lithium cobalt oxide” material production to “lithium nickel manganese cobalt oxide” - market to increase 4-fold by 2020.

Supply / Demand Balance

  • Demand growth outpaced supply growth in 2015 – despite suppressed traditional cobalt usage. Market balance expected to move into deficit territory from 2016 onwards.

  • China imports 93% of its cobalt from the DRC – possible supply chain issues. No new cobalt bearing mining projects expected before 2018-2019.

  • Pressure to reduce supply of nickel; 65% of producers under-water at current metal prices.

Cobalt as a by-product of nickel production also to be affected.

References:

Darton Commodities Limited – Cobalt Market Review 2015-2016 J Petersen Investor Intel.com April, 2016

Macquarie Wealth Management – Commodities Comment – 12 May 2016

Good possibility for healthier demand fundamentals from growth in the battery sector

==> picture [585 x 126] intentionally omitted <==

----- Start of picture text -----

2016: Pessimistic projection for 2017: Includes the
demand growth – continued recommencement of operations
slow-down previously closed
----- End of picture text -----

Location

  • North-eastern NSW 35km NW from Grafton

Tenure

  • Granted Exploration Licence

  • 100% Providence Gold and Minerals Pty Ltd

Access

  • Daily flights from Sydney

  • Sealed road access to Project

  • Logging tracks, farm roads and mine roads provide excellent access

Landform

  • Open rolling pasture paddocks, stock grazing, steeper wooded bush land, some steep dense areas of thicker native vegetation.

Located in the New England Orogen

  • Significant eastern Australia mineral province Gold endowment +35M ounces

  • Potential to host large copper-gold systems Mt Morgan Cu-Au Mine (+50Mt @ 5.9 g/t Au and 0.7% Cu) Mt Rawdon Au Mine (50Mt @ 0.71 g/t Au)

Located in the New England Orogen

  • Significant eastern Australia mineral province Gold endowment +35M ounces

  • Potential to host large copper-gold systems

  • Mt Morgan Cu-Au Mine (+50Mt @ 5.9 g/t Au and 0.7% Cu) Mt Rawdon Au Mine (50Mt @ 0.71 g/t Au)

Mt Gilmore - a district scale opportunity

  • Emerging Cu-Au province

  • Mineralised “Mt Gilmore Trend” 18km strike

  • Poorly explored and largely undrilled

  • +25 historic Cu-Au-Co-Fe workings and small mines

  • Five large Cu-Au targets identified to date

  • Target models include tourmaline breccia hosted Cu-Au deposits, Cu-Au-Fe skarns and quartzsulphide vein system (such as porphyry Cu-Au deposits)

Corazon’s initial focus is a small high-grade Co-Cu-Au deposit – Cobalt Ridge

==> picture [321 x 424] intentionally omitted <==

----- Start of picture text -----

Mt Gilmore
Trend 18km
Strike
Pulganbar Prospect
NSW TMI RTP Magnetic Image
Cobalt Ridge
----- End of picture text -----

==> picture [387 x 407] intentionally omitted <==

----- Start of picture text -----

Pulganbar – Cobalt drill holes & Co soil anomalies on air photo
Open
Open
Open
Open
Flintoff
Co-Cu-Au
Prospect
Cobalt Ridge
Co-Cu-Au
Prospect
Open
Glamorgan
Co-Cu-Au
Prospect
Cobalt in Soils
>50ppm
>100ppm
>200ppm
----- End of picture text -----

Advanced High-Grade Cobalt Project

Multiple zones of sulphide mineralisation. Drilled over 300m strike and open -

Extensions indicated by geophysics.

Width 50 to 120m -

Main Zone approximately 20m wide. Potential to “bulk out” deposit or focus on narrow higher grade material.

Multiple drill results of +1% Co,

Maximum individual 1m drill results of 3.38% Co, 3.18% Cu & 4.92 g/t Au,

Historical mining records report grades up to 14.7% Co and 1.7 oz/ton Au.

Numerous nearby surface cobalt anomalies provide upside potential.

Table 1 : Significant drilling intercepts as reported by Central West Gold NL between 2006 and 2008. Results >0.10% Co, utilizing a >500ppm cut-off and <3m internal dilution. Drill hole collar details presented in Table 2 attached.

==> picture [318 x 287] intentionally omitted <==

----- Start of picture text -----

Outcropping quartz-
tourmaline breccia
----- End of picture text -----

==> picture [340 x 203] intentionally omitted <==

----- Start of picture text -----

Cobalt Ridge Co – Cu – Au Prospect
Wireframes of Mineralisation
----- End of picture text -----

– Cobalt Ridge is part of a much larger system the Pulganbar Prospect

  • Large (>2.5km x >1km) zoned, Cu-Au-Co rich hydrothermal alteration zone.

  • Numerous historic Cu-Co-Au workings with significant shafts, drives and adits.

  • Mineralisation defined by mining, drilling and trenching may be marginal to a much larger and higher grade Cu-Au centre.

  • Gold in historic trench sampling confirm the tourmaline breccia system is a fertile gold rich system.

  • 5m @ 2.28 g/t Au, Incl 1m @ 7.1g/t Au

  • 6m @ 5.6g/t Au

  • 4m @ 3.26g/t Au

  • 6m @ 4.27g/t Au & 0.3% Cu, Incl. 1m @ 9.2g/t Au

  • Large, high tenor, semi-coincident Au-Cu-As-Co-Te soil anomalies increase in intensity and remain open up to the base of sedimentary cover.

  • Drilled Cu-Au intersections and a coincident IP chargeability anomaly remain open up to the base of cover.

==> picture [351 x 469] intentionally omitted <==

----- Start of picture text -----

Cobalt
Ridge
Pulganbar Cobalt Ridge
Cu-Co-Au Intersections with IP
anomaly
Federal Hg-Sb-
As Lodes
Conceptual Cu-Au
Deposit
(Tourmaline
Breccia Hosted
Conceptual Cu-
Au Porphyry
System
----- End of picture text -----

Sample
ID
Prospect Cu Au Ag Fe Mo Sb
% ppm ppm % ppm ppm
Pulganbar
MG0045 Federal Cu Lodes 8.50 0.1 30.9 28.3 474 3.08
MG0076 Federal Cu Lodes 6.37 0.041 32.6 20.7 46.2 >10000
MG0052 Federal Cu Lodes 4.79 0.142 44.7 15.1 158 >10000
MG0054 Federal Cu Lodes 3.13 0.056 30.6 10.55 225 >10000
MG0044 Federal Cu Lodes 2.16 0.168 22.1 17.35 241 2.19
MG0047 Federal Cu Lodes 1.65 0.011 13.05 4.56 2.59 353
MG0056 Federal Cu Lodes 1.61 0.121 43.9 10.75 42.2 >10000
MG0050 Federal Cu Lodes 1.58 0.008 6.71 27.6 58.5 7140
MG0051 Federal Cu Lodes 1.17 0.018 5.93 10.85 88.4 4800
MG0049 Federal Cu Lodes 1.13 0.024 9.78 22.1 211 6790
MG0057 Federal Cu Lodes 1.02 0.068 24.8 6.64 57.1 3330
MG0055 Federal Cu Lodes 0.40 0.038 4.93 30.3 847 574
MG0048 Federal Cu Lodes 0.08 0.027 1.07 3.11 5.99 238
MG0046 Federal Cu Lodes 0.04 0.191 1.07 3.54 23.8 >10000
MG0053 Federal Cu Lodes 0.02 0.004 0.21 4.92 2.49 74.8
MG0058 Glamorgan Cu Mine 13.55 0.003 66 4.82 9.69 61
MG0067 Pulganbar 0.07 0.266 0.41 8.85 1.12 44.4
MG0070 Pulganbar 0.05 0.183 0.68 7.24 0.36 6.16
MG0069 Pulganbar 0.04 0.41 0.59 7.44 2.06 21.8
MG0068 Pulganbar 0.03 0.131 0.39 7.88 3.06 23.4

High grade copper and cobalt mineralisation is part of a large hydrothermal system

  • Recent rock-chip sampling has supported historical production grades and surface sampling results.

  • A 2km zone with multiple high-grade Cu lodes identified between Glamorgan and Federal prospects.

==> picture [389 x 274] intentionally omitted <==

----- Start of picture text -----

Rock chip
(ppmCu)
Federal Lodes
Pulganbar
Cobalt Ridge
Soil Sampling
Glamorgan Mine
----- End of picture text -----

A ‘window’ through to basement rocks identifies exceptional prospectivity

  • Large (>1.5km x >1.5km), zoned silica-tourmalinelimonite (after sulphide) breccia / hydrothermal alteration zone

  • Possibly part of an intrusive related Cu-Au mineralised system.

  • Numerous small scale prospecting pits associated with gossanous, silica-tourmaline-limonite cemented breccia & skarn style hydrothermal alteration, including massive magnetite and limonite (after sulphide) skarn float.

  • Historic rock chips samples up to 1.2g/t Au, 26.8% Cu, 440g/t Ag & 350ppm Mo , with recent fpXRF ‘spot’ analysis returning up to ~1500ppm Mo & 0.78% Cu.

  • Orientation fpXRF soil geochemical survey returned open Cu (>400m long, up to 333ppm Cu), Mo (>300m long, up to 15ppm Mo), As (>200m x >240m) up to 231ppm As, and 792ppm Co soil geochemical anomalies.

==> picture [102 x 133] intentionally omitted <==

----- Start of picture text -----

Hassans Cu-
EL8379 Mo-Au Target
----- End of picture text -----

==> picture [94 x 63] intentionally omitted <==

----- Start of picture text -----

Magnetic High
Contours
up to 1.2g/t Au, 26.8%
Cu, 440g/t Ag &
350ppm Mo in rock
chips
----- End of picture text -----

==> picture [331 x 423] intentionally omitted <==

----- Start of picture text -----

up to 1.2g/t Au, 26.8%
Cu, 440g/t Ag &
350ppm Mo in rock
chips
‘Mt Gilmore
Cu-Au Trend’
Prospecting Pit
fpXRF As ±Cu soil 200m
anomaly - open
Magnetite-sulphide
skarn
Mesozoic
Sedimentary
Prospecting Pit Cover
fpXRF ‘spot’ analysis
up to 0.78% Cu &
1500ppm Mo +
fpXRF Cu-Mo soil
anomaly - open Late Permian
Towgan Grange
Batholith
(Qtz Diorite – Tonalite) Silica-tourmaline
breccia (blue)
Hassans Cu-Mo-Au Target:
Schematic Geology Plan ASX : CZN – PAGE 15
----- End of picture text -----

Significant Cu-Au mineralisation associated with silica-tourmaline-chalcopyrite-pyrite cemented breccias

  • Large intrusive related, hydrothermal alteration zone associated with a topographic high (>1.8km x >1.0km)

  • Historic Fine Flower, Gem & Pluck Cu-Au mines with multiple shafts, drives, adits & smelter site.

  • Mineralisation at Gem, Pluck & Fine Flower are considered to represent ‘leakage structures’ related to a much larger Cu-Au system  the Gordonbrook Hill Cu-Au Target

  • Considered prospective for silica-tourmalinechalcopyrite breccia hosted Cu-Au deposits & transitional epithermal to porphyry type, quartzcarbonate-sulphide vein hosted Cu-Au deposits, including porphyry Cu-Au deposits.

  • Very limited previous exploration & undrilled.

==> picture [109 x 110] intentionally omitted <==

----- Start of picture text -----

Gordonbrook
Hill Au-Cu
EL8379
Target
----- End of picture text -----

==> picture [273 x 414] intentionally omitted <==

----- Start of picture text -----

‘Mt Gilmore
Cu-Au Trend’
Pluck Cu-Au
Mine
Fine Flower Cu-
Au Mine Gem Cu-Au Mine
~1.8km
Gordonbrook Hill
Cu-Au Target
Domain
----- End of picture text -----

Pluck Cu-Au Mine

  • Cu-Au mine with two shafts, two adits and two drives 15m & 24m below surface. ~200m strike.

No previous drill testing reported Walk up drill target

  • Opened 1883, smelter constructed in 1907. Grade of 13% Cu is reported between 1903-1907.

  • 18 historic rock chips from waste dumps averaged 0.36g/t Au & 2.31% Cu with up to 1.68g/t Au & 9.1% Cu.

Gem Cu-Au Mine

  • Cu-Au mine with two sizeable shafts and adits (backfilled) - production unknown.

  • Significant copper (malachite azurite chalcopyrite) observed at surface.

Gem Cu-Au Mine

Pluck Cu-Au Mine – Shaft #1

Fine Feather Cu-Au Mine

  • Cu-Au mine discovered in 1905 with reverbatory furnace constructed in 1909.

  • Three shafts with at least 100 tons of ore produced before smelter closed. 7 tons graded 23% Cu, 0.84 g/t Au & 11g/t Ag.

  • Four historic rock chips returned up to 0.60% Cu & 0.13g/t Au

Quartz-tourmaline-chalcopyrite cemented, breccia (Sample MG0016)

Semi massive chalcopyrite – pyrite – carbonate vein in pervasive chl-act-biot altered basalt (Sample MG0017).

Mineralisation at Gem, Pluck & Fine Flower possible ‘leakage structures’ from large Cu-Au system

Sample
ID
Prospect Cu Au Ag Fe Mo Sb
% ppm ppm % ppm ppm
MG0039 Pluck Cu-Au Mine 7.35 1.29 87.5 8.92 1.36 20.5
MG0036 Pluck Cu-Au Mine 4.98 0.901 76.9 11.95 1.44 7.76
MG0016 Pluck Cu-Au Mine 3.95 0.028 25.4 7.58 6.68 41.9
MG0017 Pluck Cu-Au Mine 2.00 0.121 17.9 14 3.59 1.95
MG0042 Pluck Cu-Au Mine 1.67 0.442 53.4 7.84 2.61 18.5
MG0019 Pluck Cu-Au Mine 1.56 0.178 20.4 4.37 0.86 14.6
MG0018 Pluck Cu-Au Mine 1.29 0.332 17.05 4.79 1.05 24.6
MG0040 Pluck Cu-Au Mine 0.95 0.063 8.23 7.54 1.98 2.79
MG0037 Pluck Cu-Au Mine 0.83 0.014 9.52 7.1 0.93 25.9
MG0038 Pluck Cu-Au Mine 0.60 0.006 7.39 4.33 0.71 13.75
MG0023 Pluck Cu-Au Mine 0.57 0.013 9.09 9.03 6.54 6.3
MG0041 Pluck Cu-Au Mine 0.46 0.05 4.16 6.36 2.23 11.05
MG0008 Fine Flower Cu Mine 0.02 0.068 0.83 10.2 6.29 13.55
MG0009 Fine Flower Cu Mine 0.01 0.065 0.39 7.32 7.86 7.95
MG0034 Regional - Fine Flower Cu 0.06 0.005 0.12 19.8 0.79 1.44
MG0007 Regional - Fine Flower Cu 0.03 0.009 0.14 25.2 0.95 4.22
MG0010 Regional - Fine Flower Cu 0.02 0.002 0.27 10.2 5.54 1.08
MG0033 Regional - Fine Flower Cu 0.02 0.006 0.14 15.25 1.08 2.82
MG0035 Regional - Fine Flower Cu 0.01 0.008 0.11 4.82 3.08 1.43
MG0006 Regional - Fine Flower Cu <0.01 0.002 0.06 14.7 1.41 0.99
MG0012 Gem Cu-Au Mine 16.30 0.079 238 14.8 4.62 14.5
MG0014 Gem Cu-Au Mine 5.43 0.042 107 12.45 3.5 41.1
MG0011 Gem Cu-Au Mine 1.69 0.043 16.05 8.13 1.71 27.6
MG0015 Gem Cu-Au Mine 1.37 0.033 34.8 9.8 2.8 27.4
MG0013 Gem Cu-Au Mine 1.19 0.037 31.7 10.95 2.7 19.15

==> picture [324 x 207] intentionally omitted <==

----- Start of picture text -----

Pluck Mine
Gem Mine
Fine Flower
----- End of picture text -----

==> picture [130 x 44] intentionally omitted <==

----- Start of picture text -----

Fine Flower
Regional
----- End of picture text -----

==> picture [119 x 107] intentionally omitted <==

----- Start of picture text -----

EL8379 Iron Mountain
Cu-Au-Fe
Skarn Target
----- End of picture text -----

Large coincident geophysical and geochemical anomaly

==> picture [133 x 48] intentionally omitted <==

----- Start of picture text -----

Iron Mountain Cu-Au
Target: Schematic
Geology Plan
----- End of picture text -----

==> picture [630 x 429] intentionally omitted <==

----- Start of picture text -----

Historic iron ore (magnetite) mine, with >700m strike. Target: Schematic
Geology Plan
pyrite & chalcopyrite is associated with the
skarn in the southern quarry on a face 11m Cu-Au Trend’‘Mt Gilmore
11 grab samples averaged 0.64 g/t Au & 0.64%
Cu, including up to 3.8 g/t Au & 2.08% Cu. Calcareous
basaltic - andesite
Channel sampling quarry face returned: volcano-sedimentary rocks &
qtz diorite porphyry
apophyses
8m @ 0.57% Cu & 0.12 g/t Au
Iron Mountain Fe Mines
Incl. 2m @ 1.52% Cu & 0.26 g/t Au. (Cu-Au Magnetite Cu-Au Shafts
Skarns) QDR
(Tourmaline-
Copper
Breccia’s)
~700m
Wiley’s Cu Shaft
1986 Sampling
8m @ 0.57% Cu & 0.12g/t Au, Incl.
2m @ 1.52% Cu & 0.26g/t Au
Reference – Minsaco Resources
(DIGS GS1986_249)
Friday’s Find
Fe Prospect Late Permian Busy Bee
Cu-Au Shaft
Towgan Grange
Batholith
(Qtz Diorite – Tonalite)
1km
ASX : CZN – PAGE 19
----- End of picture text -----

  • Historic iron ore (magnetite) mine, with >700m strike. Exposed pyrite & chalcopyrite is associated with the magnetite skarn in the southern quarry on a face 11m high by 25m long:

Incl. 2m @ 1.52% Cu & 0.26 g/t Au. Target undrilled.

Large coincident geophysical and geochemical anomaly

  • High amplitude ‘bullseye’ and linear magnetic high anomalies occur across the target domain.

  • Semi-coincident with magnetite-sulphide CuAu skarns and historic Cu-Au workings.

  • These represent high priority reconnaissance targets given the magnetite association with Cu sulphides.

  • Several magnetic low embayments are semicoincident with Cu-Au workings with silicatourmaline-malachite-chalcopyrite breccia on mullock dumps.

  • A regional gravity high anomaly is also coincident with the Cu-Au skarns and magnetic high anomalies.

Tenterfield TMI Aeromagnetic Image

==> picture [356 x 411] intentionally omitted <==

----- Start of picture text -----

Magnetic Low
Empayments
Untested
bullseye
magnetic high
anomaly
(~0.5km Cu-Au
diameter) Cu
Cu-Au
Exposed
magnetite-
sulphide Cu-Au Fe
skarn on
Cu
southern margin
of high priority Cu-Au
magnetic high
anomaly
----- End of picture text -----

Large coincident geophysical and geochemical anomaly

  • Highly prospective for Cu-Au-Fe skarn and porphyry style Cu-Au deposits.

  • Very limited previous exploration and undrilled.

  • Historic Cu-Au-Fe workings including three shafts and an adit within a 300m x 150m ‘topographic window’ exposed in a valley.

  • Rock chips up to 3.0g/t Au & 0.53% Cu , - -

  • associated with chalcopyrite bornite magnetite in extensive skarn style hydrothermal alteration assemblages (garnet-actinolite-epidote-carbonatechlorite-magnetite-hematite-sericitechalcopyrite-bornite).

  • Cu-Au associated with high amplitude >3km long, linear and 0.6km x 0.4m bullseye magnetic high anomalies, rimmed by a regionally significant magnetic low anomaly – classic porphyry Cu-Au magnetic

  • signature.

==> picture [251 x 15] intentionally omitted <==

----- Start of picture text -----

1km
Granodiorite
----- End of picture text -----

==> picture [42 x 8] intentionally omitted <==

----- Start of picture text -----

Serpentinite
----- End of picture text -----

Late Permian May Queen Dumbudgery Creek ‘Bullseye’ Intrusive Complex Magnetic High (Granodiorite) Cu-Au Target

3km

May Queen Cu-Au Target EL8379

May Queen Cu-Au Workings, Incl. 300m x 150m magnetite skarn subcrop & float 3 Shafts, rock chips up to 3.0 g/t Au & 0.53% Cu

Calcareous Basaltic - Andesite ‘Mt Gilmore Volcaniclastic Cu-Au Trend’ Rocks Tenterfield TMI RTP Magnetic Image

==> picture [491 x 151] intentionally omitted <==

----- Start of picture text -----

1.3% Cu
----- End of picture text -----

==> picture [465 x 124] intentionally omitted <==

----- Start of picture text -----

16.3% Cu 5.4% Cu 3.9% Cu
----- End of picture text -----

Current Placement

Tranche 2 expected to be completed by the end of July, 2016 (subject to Shareholder approval)

Due Diligence Process

Completed by end of June, 2016

Proposed Exploration Activities – Cobalt Ridge

Database generation

Determination of required drilling & associated work for resource estimation Drill program approval process

Resource definition drilling

  • Extension of soil geochemical surveys Metallurgical studies

Focussed on determining size & value of the Cobalt Ridge deposit

Proposed Exploration Activities – Regional Target Generation

  • Compilation of exploration datasets Analysis of existing targets

  • Identification of additional targets

Determine exploration required to advance and rank targets

Competent Person

The information in this report that relates to Exploration Results and Targets is based on information compiled by Mr Brett Smith, B.Sc Hons (Geol), Member AusIMM, Member AIG and an employee of Corazon Mining Limited. Mr Smith is an employee of Corazon Mining Limited and has sufficient experience that is relevant to the style of mineralisation, type of deposit under consideration and to the activity being undertaken, to qualify as a Competent Person as defined in the 2012 edition of the Australasian Code for Reporting of Exploration, Results, Mineral Resource and Ore Reserves (JORC Code 2012).

Contacts

Brett Smith

Managing Director Corazon Mining Limited P: +61 (8) 6142 6366

James Moses

Media and Investor Relations P: +61 (0) 420 991 574 E: [email protected]

Corazon Mining Limited

T : +61 (8) 6142 6366

A : Level 1, 329 Hay Street, Subiaco WA 6008 | P : PO Box 8187, Subiaco WA 6008

E : [email protected] | W : www.corazon.com.au