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GATEWAY MINING LIMITED — Investor Presentation 2020
Feb 17, 2020
64999_rns_2020-02-17_f08826e7-341a-4c2b-8814-ba58b7533cdb.pdf
Investor Presentation
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700km[2] greenstone-scale WA gold
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Initial 240koz Resource with strong
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Systematic, multi-pronged
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18, 19 & 20 February 2020
Forward Looking Statements
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This presentation has been prepared by Gateway Mining Ltd (GML). The information contained in this presentation is a professional opinion only and is given in good faith. Certain information in this document has been derived from third parties and through Gateway Mining has no reason to believe that it is not accurate, reliable or complete, it has not been independently audited or verified by GML.
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This presentation is in summary form and does not purport to be all inclusive or complete. Recipients should conduct their own investigations and perform their own analysis in order to satisfy themselves as to the accuracy and the completeness of the information, statements and opinions contained.
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This is for information purposes only. Neither this nor the information contained in it constitutes an offer, invitation, solicitation or recommendation in relation to the purchase or sale of GML shares in any jurisdiction. This does not constitute investment advice and has been prepared without taking into account the recipient’s investment objectives, financial circumstances or particular needs and the opinions and recommendations in this presentation are not intended to represent recommendations of particular investments to particular persons. Recipients should seek professional advice when deciding if an investment is appropriate. All securities transactions involve risks, which include (among others) the risk of adverse or unanticipated market, financial or political developments.
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To the fullest extent permitted by law, GML, its officers, employees, related bodies corporate, agents and advisors do not make any representations or warranty, express or implied, as to the currency, accuracy, reliability or completeness of any information, statements, opinions, estimated, forecasts or other representations contained in this presentation. No responsibility for any errors or omissions from this arising out of negligence or otherwise is accepted.
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Any forward looking statements included in this document involve subjective judgment and analysis and are subject to uncertainties, risks and contingencies, many of which are outside the control of, and may be unknown to, GML. In particular, they speak only as of the date of this document, they assume the success of GML’s strategies, and they are subject to significant regulatory business, competitive and economic uncertainties and risks. Actual events may vary materially from the forward-looking statements and the assumptions on which the forward-looking statements are based. Recipients of this document are cautioned to not place undue reliance on such forward-looking statements.
Competent Person Statement
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The information in this presentation that relates to Exploration Results and Mineral Resources has been extracted from various GML ASX announcements and are available to view on the GML website at www.gatewaymining.com.au or through the ASX website at www.asx.com.au (using ticker code “GML”)
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GML confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement. The company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original market announcement.
Exploration Targets Cautionary Statement
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This presentation may comment on and discuss Gateway Mining Limited’s exploration in terms of target size and type. The information relating to Exploration Targets should not be misunderstood or misconstrued as an estimate of Mineral Resources or Ore Reserves. The potential quantity and quality of material discussed as Exploration Targets is conceptual in nature since there has been insufficient work completed to define them as Mineral Resources or Ore Reserves. It is uncertain if further exploration work will result in the determination of a Mineral Resource or Ore Reserve.
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Any Exploration Targets referred to in this presentation are not Mineral Resources. The Potential quantity and grade of the Exploration targets are conceptual in nature and there has been insufficient exploration to determine a Mineral Resource. There is no certainty that additional exploration work will result in the estimation and reporting of Mineral Resources.
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Key asset: 700km[2] Gidgee Gold Project , 800km NE of Perth
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Emerging large-scale gold system with minimal modern exploration
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Successful consolidation of large ground package and key structures in a “forgotten” Greenstone Belt
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Multiple mineralisation styles and exploration targets defined – recent RC results confirm the potential
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Initial 240,000oz Inferred Resource at 2.2g/t across two deposits
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Systematic exploration approach to unlock project value, with funding in place
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Experienced and successful management team
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CAPITAL STRUCTURE
| ASX Ticker | GML |
|---|---|
| Shares on Issue | 1,339,616,036 |
| Options attached to Entitlements Issue (3c) | 63,684,593 |
| Executive Performance Options | 30,000,000 |
| Cash @ 31 December 2019 | $2.7m |
| Share Price | $0.015 |
| Market Capitalisation | $20.1m |
MAJOR SHAREHOLDERS
| Harmanis Holdings | 10.69% |
|---|---|
| OMNI GeoX | 10.58% |
| L11 Capital | 4.54% |
| Crest Investment Group | 2.89% |
| Top 10 | 37.22% |
| Directors(Directly & Indirectly) | 19.49% |
12-MONTH SHARE PRICE
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BOARD OF DIRECTORS
| Trent Franklin | Non-Executive Chairman |
|---|---|
| Peter Langworthy | Managing Director |
| Mark Cossom | Executive Technical Director |
| Debbie Fullarton | Non-Executive Director |
| Scott Brown | Non-Executive Director |
| Kar Chua | Company Secretary |
Highly Successful and Experienced Leadership Team
Trent Franklin
Non-Exec Chairman
Peter Langworthy Managing Director
Mark Cossom Exec. Technical Director
Debbie Fullarton Non Exec Director
Scott Brown
Non Exec Director
Kar Chua
Company Secretary
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Experienced Corporate Advisor holding qualifications in Geology/Geophysics, Finance, Financial Planning and Insurance Broking
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33-year experienced explorer and project developer
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Led the highly successful exploration team at nickel producer Jubilee Mines
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12 years of exploration and operational experience at WMC
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Former Technical Director at Talisman Mining Ltd
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Founding Director at Capricorn Metals Ltd
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Founding Director at Northern Star Resources Ltd
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23 year experienced geologist with a background in gold exploration, mine geology and corporate management
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Led the exploration and mine geology teams at Doray Minerals
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Principal Geologist (SE Asia) at Harmony Gold Ltd
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Chartered Accountant with 25 years experience in various senior corporate and financial roles
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• Currently Chief Financial Officer for Westgold Ltd
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Company Director with 25 years a broad experience in both public and private sector
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Chartered Accountant with extensive experience in company secretarial & finance roles
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Located in the heart of WA's prolific Murchison and Northern Goldfields
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Tier-1 jurisdiction for gold exploration
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Extensive, greenstone-scale Archaean gold system
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Close proximity to several multi-million ounce gold camps (Wiluna, Big Bell, Mt Magnet, Agnew/Lawlers)
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Shallow oxide resources mined in the late 1980s, but very limited exploration history since then
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No previous systematic exploration – consolidated land package the catalyst to unlock potential
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Recent discoveries in the region – e.g. Spectrum Metals
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Why is this opportunity still there and why is the project so under-explored?
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Five pits mined between 1988 and 1992,
- ~150koz produced – gold price ~$500/oz
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Herald Resources moved its plant and focus to Sandstone
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Project gradually sold/JV’d to Gateway
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Gateway was previously focused on East Coast projects/commodities
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Project consolidated for first time in 2018 and refocused
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The result is a significantly mineralised project which has been on the sidelines for 25 years
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Herald Resources
Mining Operations
2018 – Gateway
Reset
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Grow the current Mineral Resource base – currently 240k oz Au – by:
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Developing a pipeline of targets from Resource Extensions – Advanced Targets – New Targets
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Systematically drilling and interrogating data
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Identifying opportunities for regional add-ons
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Systematic, disciplined approach to building a sustainable gold company
New Targets
Advanced Targets
Resource Extensions
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Victory Bore
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Gidgee South
• Kashmir Data
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Granodiorite Margin
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New Nth Tenements
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Achilles
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Caledonian Corridor
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• Montague
Armada
Data • Whistler
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Whistler South
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Achilles
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Caledonian NE Pit
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Flametree
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Data
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Prime geological target, with clear analogues
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Existing deposits discovered in windows where bedrock outcrops
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Several styles of mineralisation present
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Lack of previous exploration presents a unique opportunity
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Expand existing deposits for Mineral Resource additions
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Apply systematic exploration tools to target the larger prize
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Whistler
Montague
Achilles
Howards
● Gateway (GML)
● No effective exploration in last 28 years
● Massive gold signature
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Goanna
GS
Windich
Tarmoola
Open Pit
● Red5 (ASX: RED) ● Current owner Goldfields Ltd
● Exploration driven uplift over 18 months ● First discovery in a +20Moz goldfield
● Market Cap $70m to $400m ● 10 years of exploration till discovery
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Montague Granodiorite – Multiple Mineralisation Styles
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Achilles combines the old Rosie Castle Pit, NE Pit and S-bend prospect into one coherent target area
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A series of related mineralised structures
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Previous drilling over extensions ineffective
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Recent Gateway RC drilling proves the concept and opens up Achilles for delineation of potential new Resource:
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21 metres @ 2.1g/t Au from 32 metres
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13 metres @ 3.4g/t Au from 5 metres
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11 metres @ 3.0g/t Au from 32 metres
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6 metres @ 3.8g/t Au from 17 metres
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10 metres @ 3.8g/t Au from 31 metres
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Open 600m further along strike to the north
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Drilling to be completed along strike, and over S-bend, Airport zone
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Inferred Resource 1.725Mt @ 2.18g/t for 120,000oz Au
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Mineralisation in granodiorite stockwork and mafic shear
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October 2019 RC drilling successfully targeted extensions to the higher grade, mafic hosted lode:
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10 metres @ 13.0g/t Au from 65 metres
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6 metres @ 2.7g/t Au from 94 metres
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5 metres @ 3.1g/t Au from 114 metres
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2 metres @ 3.1g/t Au from 123 metres
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Down-dip extensions still open, including the Caledonian shear intersection
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Inferred Resource 1.70Mt @ 2.23g/t for 120,000oz Au
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Mineralisation hosted in granodiorite stockwork on contact with mafics
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Recent RC drilling focused on extending the footprint of the known system south and north
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Mineralisation on the Whistler trend now identified over 900m along strike:
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13 metres @ 1.6g/t Au from 58 metres
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6 metres @ 1.9g/t Au from 28 metres (BoH)
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6 metres @ 1.7g/t Au from 12 metres (BoH)
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Mineralisation in the Whistler hangingwall:
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7 metres @ 1.0g/t Au from 53 metres
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2 metres @ 3.6g/t Au from 62 metres
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10 metres @ 1.0g/t Au from 43 metres
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Whistler Resource Area – Nearly 1km of Strike and Open
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Located on the largely untested eastern granodiorite margin
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Sits in the “mirror-image” position of the Montague deposits
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Immediately along strike of the Howards Deposit (200k oz Au – HRN)
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1.8km coincident gold-silver soil anomaly
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Never been drilled
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Requires first-pass aircore drilling
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Further exploration along eastern margin – highly prospective geological position
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Significant expanded landholding over a broad area of the Gidgee Greenstone Belt
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Limited to no first-pass exploration conducted
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Numerous gold targets present in obvious structural positions
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Several excellent candidates for quick, low cost exploration techniques
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Forms part of current structural-geophysicalgeochemical compilation and targeting exercise
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Gateway is an active operator within a regionally strategic area with fragmented ownership
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Immediate Gidgee/Sandstone/Youanmi belts have remained dormant since early 2000’s
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Still endowed with significant gold deposits
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Other active explorers have made recent discoveries – e.g. Spectrum, Rox/Venus
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“If you drill holes, the gold is still there to be found”
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Centrally located to several active mining operations
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Mt Magnet (RMS)
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Cue (WGX)
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Meekatharra (WGX)
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Wiluna (BLK)
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Agnew/Lawlers (GFI)
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- Geologically exciting with clear WA analogues
● Existing deposits previously mined at <$500/oz gold price
PROSPECTIVE
● Recently defined Mineral Resources
● Significant results in advanced prospects away from Resource areas
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Strong technical team with proven exploration and mine development background
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RESOURCED Cashed up with strong backing
● Strong share register with top-20 holders owning >50%
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Divestment of non-core assets over past 18 months
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Significant expansion of Gidgee Project via low-cost pegging and acquisition strategy
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● Commenced first systematic exploration effort over the project
FOCUSED
- Development of prospect pipeline to expand Resources as well as make new discoveries
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18, 19 & 20 February 2020