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MCS SERVICES LIMITED — Investor Presentation 2012
Sep 5, 2012
65377_rns_2012-09-05_cd3db3c6-68ca-48ec-89ca-02fd2f71ce19.pdf
Investor Presentation
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Investor Presentation September 2012
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Acknowledgement & Disclosure
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This presentation may contain certain statements and projections provided by or on behalf of Red Gum Resources Ltd (RGX) with respect to the anticipated future undertakings. These forward-looking statements reflect various assumptions by or on behalf of RGX. Accordingly, these statements are subject to significant business, economic and competitive uncertainties and contingencies associated with exploration and/or mining which may be beyond the control of RGX which could cause actual results or trends to differ materially, including but not limited to price fluctuations, exploration results, ore reserve and mineral resource estimation, environmental risks, physical risks, legislative and regulatory changes, political risks, project delay or advancement, ability to meet additional funding requirements, factors relating to title to properties, native title and aboriginal heritage issues, dependence on key personnel, share price volatility, approvals and cost estimates. Consequently, there can be no assurance that such statements and projections will be realised. Neither RGX, or any of its affiliates, advisers, consultants, agents or any of their respective officers or employees ( Relevant Parties ) make any representations as to the accuracy or completeness of any such statement of projections or that any forecasts will be achieved.
Additionally, RGX makes no representation or warranty, express or implied, in relation to, and to the fullest extent permitted by law, no responsibility or liability (whether for negligence, under statute or otherwise) is or will be accepted by RGX as to or in relation to the accuracy or completeness of the information, statements, opinions or matters (express or implied) arising out of, contained in or derived from this Presentation or any omission from this Presentation or of any other written or oral information or opinions provided now or in the future to any Recipient or its advisers. In furnishing this presentation, RGX undertakes no obligation to provide any additional or updated information whether as a result of new information, future events or results or otherwise. Nothing in this material should be construed as either an offer to sell or a solicitation of an offer to buy or sell securities.
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Corporate Snapshot
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| Shareholder | % | |
|---|---|---|
| RGX | Torey Marshall Family A/C | 18.07 |
| $0.055 | Shaw Jones Super Fund A/C | 10.00 |
| $4.12m | ||
| Norman Joseph Zillman | 9.34 | |
| 74.98m | ||
| Tigermoth Investments Ltd | 3.63 | |
| 4m | ||
| Sakura Capital Ltd | 3.33 | |
| Warman Investments Pty Ltd | 3.02 | |
| $2.79m @ 30.6.12 | ||
| Rockmaster Pty Ltd | 1.93 | |
| Mr Ross James Thomas | 1.89 | |
| Washington H Soul Pattinson and Company Limited |
1.67 |
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Company Overview
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• Corporate Strategy
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Explore and exploit multi-commodity assets in Latin America
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Provide risk diversification
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Growth to be achieved through systematic exploration and effective project identification
• Potent Execution Strategy
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Since Jan. 2012 IPO, RGX has confirmed polymetallic mineralisation at its La Negra Project in Chile
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Demonstrated operational capability following successful completion of La Negra Project drilling program
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High grade metals confirmed in surface sampling at Cerro Huancash Project in Peru
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Capitalising on strong in-house Latin American expertise and networking to guarantee flow of further, high quality, counter-cyclical opportunities
• Diverse Portfolio of Assets - Base and Precious Metals in South America
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Latin American focus; high value exploration ground held in Chile and Peru
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100% ownership of tenements providing effective funding optionality
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High-Grade Zinc / Lead / Copper / Silver / Gold project pipeline
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Chile
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La Negra Mineralisation Discovery
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Polymetallic (Zn, Pb, Ag + Au) mineralisation confirmed by 12 holes (totalling 2,520m) of current year drilling along 400 m segment of breccia unit
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Significant Upside - with total outcropping mineralised breccia strike length exceeding 1300 m
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Mineralised breccia conforms to anomalous surface geochemistry halos and chargeability anomaly mapped in 3D induced polarisation survey
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Relatively thin oxidised zone overlying sulphide resource target
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Independent preliminary metallurgical testing by
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La Negra ‐ Location
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Cerro Verde
Cuajone
Quellaveco
Toquepala
Mocha
Cerro Colorado Copaquire
Quebrada Blanca
Rosario
El Abra
Chuquicamata
Spence
Sierra Gorda
Centinela Gaby
Polo Sur
Zaldivar
ANTOFAGASTA
Chimborazo
Escondida
Lomas Bayas
El Penon
Guanaco
El Salvador
Manto Verde
Potrerillos
Los Azules
La Coipa
Candelaria Refugio
La Fortuna
Relincho
Pascua
El Indio
LA SERENA
Andacollo
Copper Deposits
La Negra
Los Pelambres Gold Deposits
Chile
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SANTIAGO
La Negra – Geochem. and Drilling
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La Negra – Drilling in Detail
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La Negra – Drilling in Detail
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BEST RESULTS
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RDN‐001 from 25.0 to 50.0 metres downhole: 25.0 metres assaying 2.40% zinc, 0.71% lead, 0.23% copper and 20.3 g/t silver, including higher grade intervals up to 2.0 metres wide grading 7.22% zinc, 1.32% lead 0.45% copper and 30.3 g/t silver;
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RDN‐002 from 0 to 40.0 metres downhole: 40.0 metres assaying 2.94% zinc, 1.55% lead and 20.2 g/t silver, including higher grade intervals up to 5.0 metres wide grading 7.34% zinc, 5.67% Lead, 0.23% copper and 78 g/t silver;
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RDN‐005 from 51.0 to 87.0 metres downhole: 36.0 metres assaying 1.63% zinc, 1.47% lead, 12.0 g/t silver and 0.49 g/t gold;
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RDN‐010 from 18.0 to 54.0 metres downhole: 36.0 metres assaying 0.74% zinc, 0.61% lead, 0.11% copper, 7.0 g/t silver and 0.15 g/t gold.
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La Negra – Summary
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RGX successfully operated drilling program via Combarbalá field office
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Drilling program has realised a number of potentially economic baseprecious metal intersections
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Favourable metallurgical characteristics indicated by preliminary test work
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Near surface mineralisation suggests La Negra very amendable to future open-cut exploitation
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RGX now owns Project 100% following exercise of option
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Large mining companies (eg. Vale, Antofagasta, Glencore) operating nearby and La Negra is located close to key infrastructure and the coast
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La Negra represents a substantial polymetallic zone which requires further drilling for resource definition
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Field results will form the basis for 3[rd] party introduction and funding of future drilling resource delineation
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Peru – ‘Mining Country’
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Cerro Huancash and Chongos Projects
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Targeting polymetallic (Zn, Pb, Ag + Au) mineralisation
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Projects owned 100% by Red Gum
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Cerro Huancash Project immediately adjacent to Southern Peaks Mining copper-zinc-gold-silver development project
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Located in world class Central Peruvian Metallogenic Belt.
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Cerro Huancash & Chongos
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Peru – ‘Mining Country’
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Projects located within the proven Central Peruvian Polymetallic Belt and hub of booming exploration activity
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Close to infrastructure including road, rail, refineries and processing plants
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Neighbours include Glencore, Pan American Silver,Southern Peaks and Chinalco
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Two projects in four licences
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• Located in “miner friendly” region of Peru
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Access agreements in place with local landowners
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CERRO DE PASCO
-11 °
PACIFIC
CERRO
HUANCASH
OCEAN
LA OROYA
KEY
-12 °
LIMA
SMELTER
MAJOR MINE/ DEPOSIT
RAILWAY
CHONGOS
HIGHWAY
0 100
HUANCAVELICA
kms
-77 ° -76 ° -75 °
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Cerro Huancash Project
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| 0 | • 1 |
One licence of 575.6 hectares |
|---|---|---|
| • km |
Zinc, lead, copper, silver, gold | |
| targets over 3 kms of prospective | ||
| “Ariana Corridor” | ||
| • | Southern Peaks Mining recently | |
| announced preliminary non 43- | ||
| 101 resources: | ||
| • | Ariana Norte:19.74 Mt @ 1.65% | |
| copper, 2.06% zinc, 0.09% lead, | ||
| 0.79g/t gold and 31g/t silver | ||
| • | Ariana Sur:0.329 Mt @ 0.15% | |
| copper, 1.97% zinc, 1.04% lead and | ||
| 230 g/t silver | ||
| • | Southern Peaks Mining currently | |
| undertaking development drilling | ||
| a few hundred metres north of | ||
| RGX claim boundary (funded by | ||
| Barclays Finance) |
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Cerro Huancash Project
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0 1
km
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Geological Mapping, Ground Magnetics and Rock Sampling supports the extension of the “Ariana Corridor”, an emerging new polymetallic trend in central Peru, traversing the Cerro Huancash Project
Rock Sampling conducted by RGX reported high grade Zn, Pb, Cu, Ag, + Au from old workings hosted by discontinuous skarn outcrops over +1.2 x 0.4 km area:
- Zn assays up to 19.0%, Pb up to 17.75%, Cu up to 0.89%, with 17 (41%) of the samples reporting >1% of Zn or Pb (or both)
• Ag assays up to 2,460 g/t, with 12 (29%) of samples reporting >100 g/t Ag and 5 reporting >500 g/t Ag
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Chongos Project
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Located 180 kilometres southeast of Lima
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Comprises three separate blocks covering approx. 9 kms strike length of strong zinc and lead anomalism in ironand manganese-stained sequence of folded limestones
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100% held by Red Gum
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Why Invest in Red Gum?
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Demonstrated ability to execute business strategy
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Demonstrated ability to identify superior exploration opportunities
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Strong in-house Latin American expertise ensures sound operational abilities and flow of new, high-quality, opportunities
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Identified potential commercial, polymetallic mineralisation at the previously undrilled La Negra site
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Substantially upgraded the prospectivity of the Cerro Huancash Project in Peru, demonstrating continuation of the Ariana polymetallic mineralisation zone currently being developed in adjacent tenement
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100% ownership of projects provides future funding optionality
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Significant upside, and extremely competitively priced relative to junior explorer peers
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Contact
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Red Gum Resources Limited (ASX : RGX) Suite 9 Lester Court 75a Angas Street Adelaide, SA, 5000
Dr Paul Pearson, Managing Director [email protected] Tel: 08 8212 5724