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PRODIGY GOLD NL AGM Information 2017

Nov 28, 2017

65615_rns_2017-11-28_7f82a22c-d530-4df0-b1f4-cd2a0160266e.pdf

AGM Information

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Tanami Region - Unlocking the Discovery Potential

AGM Presentation

November 2017

Matt Briggs Managing Director

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Investor Presentation
November 2017
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IMPORTANT INFORMATION

This presentation has been prepared by ABM Resources NL (“ABM” or the “Company”). This presentation is for information purposes only and should not be considered as an offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or invitation with respect to those securities. No agreement to subscribe for securities in the Company will be entered into on the basis of this presentation.

This presentation contains forecasts and forward looking statements and information which are based on internal business data and information obtained from external sources. Forward looking statements may be identified by the use of words such as “anticipate”, “expect”, “estimate”, “planned”, “forecast”, “likely”, “intend” and other similar expressions. Such forecasts and information are not a guarantee of future performance and involve unknown risks, uncertainties and contingencies which may impact future outcomes on the Company. Actual results and developments will therefore almost certainly differ materially from those expressed or implied. ABM has not audited or investigated the accuracy or completeness of the information, statements and opinions contained in this presentation. Accordingly, to the maximum extent permitted by law, ABM makes no representation and gives no assurance, guarantee or warranty, express or implied, as to, and takes no responsibility and assumes no liability for, the authenticity, validity, accuracy, suitability or completeness of, or any errors in or omission from, any information, statement or opinion contained in this presentation.

The information in this presentation is given in summary form and does not purport to be all inclusive or contain all information which you may require in order to make an informed assessment of the Company’s prospects. Nothing contained in this presentation constitutes investment advice, financial product advice or legal, tax, accounting or other advice, nor does it take into account the financial situation, objectives or needs of any person. ABM is not licensed to provide financial product advice.

You should not act or refrain from acting in reliance on this presentation material. You should conduct your own investigation, perform your own analysis and obtain independent professional advice, in order to satisfy yourself as to the accuracy and completeness of the information, statements and opinions contained in this presentation and in making any investment decision in respect of ABM.

COMPETENT PERSONS STATEMENT

The information in this presentation relating to exploration targets and exploration results are based on information reviewed and checked by Mr Matt Briggs who is a Member of The Australasian Institute of Mining and Metallurgy. Mr Briggs is a full time employee of ABM Resources NL and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 edition of the “Australasian Code for Reporting Exploration Results, Mineral Resources and Ore Reserves”. Mr Briggs consents to the inclusion in the documents of the matters based on this information in the form and context in which it appears.

The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement and, in the case of estimates of Mineral Resources that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement continue to apply and have not materially changed. 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.

Refer to previous Company ASX announcements for full resource estimation details, drill hole details, and intercept calculations.

Investor Presentation November 2017

2

ABM Resources has what an explorer needs and a producer wants

Unique Greenfields and New team are actively hunting for a major discovery in highly prospective underexplored belts
Brownfields Exploration Portfolio Massive strategic land holding in proven multi-million ounce district (Callie Mine - Newmont)
Quality Resources - +1Moz Existing value underpinned by over 1.0Moz @ 2.1g/t of shallow Resources with growth potential
and Growing Surrounded by Majors – Newmont & Northern Star
Aggressive Exploration Program
Aggressive work program planned to screen all priority projects for large deposits
6 drilling campaigns planned in 2018 + JV partners activity
Active JV Partner IGO to spend $6M to earn 70% of Lake Mackay – IGO 9.1% holder of ABM shares
North Arunta – Exploration Agreement executed with Thunderbird Metals
Strong Investor Support
~$3.7 million cash at 30 September 2017 (excluding A$2.5m cash reserved for environmental bonds)
46% of the company’s shares held by top four long term shareholders

Investor Presentation November 2017

3

Section 1

Overview

Investor Presentation November 2017

4

Capital Structure Capital Structure
Shares on Issue 375.2m
Unlisted options 21m
Net Cash1 A$3.7m
Market Cap2 A$35m

Shareholding Structure[3]

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18.2%
Pacific Road Capital
APAC Resources Capital
13.6%
53.9% Independence Group NL
Craton Capital
9.1% Other ABM Shareholders
5.3%
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  • 1 Available cash excludes A$2.5m cash reserved for required cash backing of environmental bonds as at 30 September 2017

  • 2 Based on closing share price of $0.094 as at 28 November 2017

Board of Directors Board of Directors Board of Directors
Tommy McKeith Non-Executive Chairman Appointed 27/06/16
Matt Briggs Managing Director Commenced 3/10/16
Brett Smith Non-Executive Director Appointed 9/5/16
Mark Faul Non-Executive Director Appointed 12/6/17

Historical Share Price

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18 3
Volume
16
2.5
14
12 2
10
1.5
8
6 1
4
0.5
2
0 0
Cents Millions
Nov 16 Dec 16 Jan 17 Feb 17 Mar 17 Apr 17 May 17 Jun 17 Jul 17 Aug 17 Sep 17 Oct 17 Nov 17
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  • 3 Substantial shareholders as at 31 October 2017

Investor Presentation November 2017

5

ABM focus on large stand alone targets – monetise other Resources

1. Tanami Ground Package

  • 6 drill programs in 2018 + geophysics

  • Same corridors as Callie 12Moz (NEM) and Groundrush 1.7Moz (NST)

  • Extensive tenement package

  • 1Moz of Resources within 100km of mills

  • Low exploration intensity

  • Large scale anomalies not bedrock tested

2. Lake Mackay JV – IGO

  • Cu-Au and Orogenic Au potential

  • Only 4% screened with EM

  • 2 of 5 targets tested hit mineralisation

3. North Arunta & Reynolds Range

  • Early stage

  • Likely Cu-Au mineralisation

  • Exploration agreement signed with Thunderbird Metals to earn up to a 70% interest in the North Arunta project

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1. Tanami Ground Package
Targeting Callie lookalikes
3. North Arunta JV
3. Reynolds Range
2. Lake Mackay JV
Base metal and Copper – Gold Targets
500km
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Investor Presentation

November 2017

6

Section 2

Tanami

Investor Presentation November 2017

7

ABM is focused on undertaking a systematic work plan prioritising large scale targets (>1Moz)

Home of World Class Deposits

  • Callie is a world class gold deposit with 8Moz mined and current mine life of 12 years

  • Annual production of 459kozpa and AISC US$739/oz[1]

  • Discovery through bedrock geochemistry and >50ppb gold anomaly under cover

ABM’s Prospective Tenure

  • Same structural corridors and rocks as world class Callie 12Moz (NEM) and Groundrush 1.7Moz (NST)

  • Proximal to regional structures that control the major deposits

  • Divested by Newmont in 2010 before they “unlocked” the geology at Callie Mine

ABM Project Areas

  • Low exploration intensity - underexplored

  • Large scale anomalies not bedrock tested – many with coincident arsenic and/or gold anomalism

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Basement Geology
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1NEM 2016 Annual Report

Investor Presentation

November 2017

8

Bedrock testing required to detect Callie style

systems

  • Shallow cover over 80% of the Tanami

  • Previous exploration used soil sampling to screen / prioritise targets – not effective

Limited bedrock testing undertaken historically

  • Only tested residual anomalies and direct extensions

  • Majority of areas with cover have no bedrock testing

  • 78% of tenure does not have a single RC or Diamond hole

Investor Presentation November 2017

9

Exploring for >1Moz Callie style deposits in the Tanami

  • Systematic work plan prioritising large scale targets (>1Moz)

  • Review geochemistry with gravity and magnetic anomalism critical for predictive targeting

  • Field mapping, geochemistry, alteration mapping, geophysics, structural interpretation

  • Prospectivity analysis to drive acquisition of new geophysics and focus areas

  • Ranking of Prospects

  • Geological parameters

  • Strength of anomalism

  • Progress compelling high ranked targets

  • Future work programs include:

  • Magnetics and soils over large scale conceptual targets

  • Reconnaissance RAB (1km x 1km AC/RAB)

  • Anomaly definition (infill AC)

  • Advanced targets (RC & DD)

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prior to 2017
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Investor Presentation

November 2017

>1 Moz of shallow Resources updated under current management

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  • High quality Resources underpin current value – 15.3Mt @ 2.1g/t for 1Moz gold

 >1Moz of Resources within 100km of mills

 Strategic Suplejack resource (4.5Mt at 2.1g/t for 310koz of gold ) located only 19km from Groundrush and 58km from Central Tanami JV Plant (Northern Star)  Growth potential on all Resources – 1,600m RC Program completed at Suplejack  Negotiations on divestments are continuing

Indicated Indicated Indicated Inferred Inferred Inferred Total Total Total
Area Cut Off
(g/t)
Tonnes
(Mt)
Grade
(g/t Au)
Ounces
(koz Au)
Tonnes
(Mt)
Grade
(g/t Au)
Ounces
(koz Au)
Tonnes
(Mt)
Grade
(g/t Au)
Ounces
(koz Au)
Suplejack Total 0.8 0.93 2.34 70.2 3.58 2.08 239.6 4.51 2.14 309.9
Twin Bonanza Total 1.0 1.2 1.86 72 9.52 2.1 630 10.76 2.0 700
ABM Resources Total Various 2.1 2.1 142.2 13.1 2.1 869.1 15.27 2.1 1,010

Resources may not sum to equal totals due to rounding. Refer to announcement 1 September 2017.

Investor Presentation

November 2017

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Section 3

2017 Activities

Investor Presentation November 2017

12

2017 Aims

  • Screen for other target positions

  • Define shoot controls

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Resource growth
2016 2017
Diamond Drilling Suplejack Resource Update RC Drilling AC Drilling
• 7 holes • 22 holes • 179 holes
• 1,906 metres • 3,952 metres
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Geochem study co-
funded with the CSIRO
and Dept. of Industry
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Lithological control Supplejack Seuss drilled over 300m
of grade recognised 4.5Mt @2.1g/t for 310koz 5m @ 60.9g/t
6m @ 19.4g/t
Seuss • Increase of 53% 3m @ 19.9g/t
13m @ 5.6g/t • First indicated Resource 8m @ 5.4g/t
Hyperion South • First resource on Seuss 7m@ 4.7 g/t
9m @ 5.4g/t
Shoot controls defined
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Tested 6 target areas Seuss structure defined over 800m Extensions to Hyperion South & Stoney Ridge

Suplejack confirmed to be Mt Charles Fm.

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2018
RC Drilling Suplejack
• 10 holes Resource Update
• 1,608 metres
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Quartz breccia in RC chips

Investor Presentation November 2017

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Drilling for strike extensions and additional shoots

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  • New structure recognised by combining structure and stratigraphic controls of mineralisation

  • Anomalism demonstrates multiple similar targets and extensions

  • Shallow, oxide and sulphide hosted high grade faults

  • Recently extended to >800 metres strike in aircore drilling

  • Open along strike and down plunge

  • June 2017 RC drill results[1] suggest underground potential

  • Results include:

  • SSRC100008 – 5 metres at 60.9g/t gold

  • SSRC100007 – 6 metres at 19.4g/t gold

  • SSRC100019 – 3 metres at 19.9g/t gold

  • SSRC100015 – 8 metres at 5.4g/t gold & 7 metres at 4.7g/t gold

 An additional 1,600m RC drilling program has been completed

1ASX 8 June 2017

Investor Presentation

November 2017

14

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September Aircore Results
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Recent RC Drilling
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g/t Nov. 2017 RC Hole

Investor Presentation

See announcement ASX 13 September and 20 November 2017 for details

November 2017

15

2017 Aims

  • Test DPG anomaly

  • Re-target with updated Database

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Commence systematically screening priority targets
2017
Loading of historic data Homestead cofounded CGSG and ABM Tanami Capstan AC Drilling Bluebush AC Drilling
and re-targeting diamond hole targeting study • 95 holes • 64 holes
Thick basalt cover Dead Bullock Fm. Large scale gold Tested 4 target areas
intersected confirmed anomalism defined
Source of DPIL over 8km All results are pending
anomaly not Prior shallow holes
detected shown to be
ineffective
Target
deprioritised Confirmed Dead
Bullock Fm.
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Investor Presentation November 2017

DPG - Deep Penetrating Geochemistry

16

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  • Folded Dead Bullock Fm. in faulted antiform hinges

  • Same rock type and structural setting as the Callie Mine  5 Targets tested – 159 holes completed late October  Rapidly screening priority target areas  Wide spaced and targeted drilling  Results for Wild Turkey, Big Cuban, Indefatigable & Hornblower expected in Q4

Investor Presentation November 2017

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Capstan Results

  • 8km of bedrock gold anomalism[1]

  • Thick intersections

  • Same rocks and structural setting as Callie

  • Aggressively drill at the start of 2018

  • Demonstrates historic post and vacuum drilling is ineffective

1ASX 21 November 2017

Investor Presentation November 2017

18

Section 4

Lake Mackay JV

Investor Presentation November 2017

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Systematic exploration program currently being executed and funded by IGO

  • A belt scale opportunity with the potential to host gold and base metal deposits

  • IGO to fund $6 million by May 2020 to earn a 70% interest

  • To date IGO have completed an initial screening of only 4% of the project area and have demonstrated the prospectivity of Lake Mackay with high grade results

  • Remainder of 2017 activities:

  • Soil sampling

  • Orientation airborne EM

Lake Mackay Project location plan focused on the Proterozoic Warumpi margin covering 200km strike of prospective geology, centred on a continent-scale geophysical gravity ridge.

Ground electromagnetic survey and initial drilling identified mineralisation (9/12 holes anomalous at Grapple):

Bumblebee (15LMAC031)[1] : 7 m at 3.3g/t gold, 37.7g/t silver, 3.2% copper, 0.9% lead, 1.3% zinc and 0.08% cobalt Grapple (16GRRC007)[2] : 6m at 8.98 g/t gold, 23.5 g/t silver, 1.45% copper, 0.26% lead, 1.40% zinc and 0.15% cobalt Grapple (16GRRC010)[2] : 9m at 5.23 g/t gold, 12.8 g/t silver, 1.4% copper, 0.23% lead, 0.57% zinc and 0.07% cobalt Grapple (17GRDD001)[2] : 11m at 7.9 g/t gold, 20.7 g/t silver, 0.8% copper, 0.5% lead, 1.1% zinc and 0.1% cobalt

Investor Presentation

1ASX 6 October 2015 2ASX 20 December 2016

November 2017

20

6 hole diamond drilling program completed[1]

  • First diamond hole 17GRDD001 intersected 11.4m @ 7.9 g/t gold, 20.7g/t silver, 0.8% copper, 1.1% zinc, 0.5% lead and 0.1% cobalt

  • 6 hole program extended strike length to 800 metres and open to the west

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17GRDD005 - pyrrhotite-chalcopyrite breccia

Hole Name From
(m)
Interval
(m)
Au
(g/t)
Ag
(g/t)
Cu
(%)
Zn
(%)
Pb
(%)
17GRDD001 284.9 11.40 7.9 20.7 0.8 1.1 0.5
including 288.8 3.45 18.3 13.1 1.1 0.3 0.2
17GRDD001 348.0 14.40 1.8 6.0 1.1 0.3 0.1
including 348.0 2.00 7.2 1.0 0.2 0.1 0.0

Investor Presentation November 2017

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1ASX 15 November 2017

Section 5

Forward Program

Investor Presentation November 2017

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Q4 Q1 Q2 Q3 Q4
2017 2018
Tanami Projects Bluebush Bluebush RAB Bluebush RAB RC
Bluebush Aircore 15,000m 15,000m drilling
Suplejack RC Suplejack Tregony & Nth
Tanami Projects RC Suplejack RAB RC Resource
program Resource Suplejack
Suplejack 1,600m Update Review drilling 15,000m drilling Update
Airborne Soil Sampling &
Lake Mackay JV RC/DD Drilling
EM Trial Airborne EM
North Arunta JV
Due Diligence
Announcement
Investor Presentation
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Investor Presentation November 2017

23

  • Grapple Diamond drilling results

  • Suplejack RC drilling underway

  • Capstan Reconnaissance aircore results

  • Lake Mackay JV airborne EM trial

  • Wild Turkey aircore results

  • Indie/Hornblower aircore results

  • Suplejack RC Results

Investor Presentation November 2017

24

ABM is well positioned with a clear strategy to unlock the discovery potential in the Tanami

Over 8,000km2 of granted tenure§
Large contiguous tenure over Over 13,000km2 application tenure§
under-explored gold district Located in belts containing major gold deposits e.g. Callie (Newmont) and Groundrush (Northern Star/Tanami Gold)
>1.0 million ounces of Mineral Resources
A team with a demonstrated
track record of discovery


Highly qualified and motivated management and exploration team involved in several major gold discoveries
Significant experience operating in the Tanami region
Focus on progressing rapidly to drill testing using a predictive approach based on structural geology and multi-element geochemistry
Well funded with strong
investor support


As at 30 September 2017 ~$3.7 million cash excluding A$2.5m cash reserved for required cash backing of environmental bonds
A strong focus on putting $$ in the ground
46% of the company’s shares held by top four long term investors
Focus exploration within the Extend and delineate mineralisation at the Suplejack project
Tanami Project Systematically explore and drill test targets at the Tanami project
Successful Lake Mackay JV Independence Group NL has successfully demonstrated Lake Mackay1 is an emerging metallogenic province
Rationalise portfolio to drive
value
Divest or farm-out the early stage target areas and Resource projects

ABM Resources has what an explorer needs and a producer wants

1 Independence will earn a 70% interest in Lake Mackay project by sole funding $6 million in exploration expenditure by May 2020 § ABM managed tenure

Investor Presentation

November 2017

25

Contacts

WWW.ABMRESOURCES.COM.AU

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Investor Presentation
November 2017
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Section 6

Appendices

Investor Presentation November 2017

27

Successful explorers that understand what it takes to make a mine

Non-Executive Chairman - Mr Tommy McKeith BSc Hons (Geol), GDE (Mining), MBA, Fellow AusIMM

  • Resource company executive with 28 years’ experience in various exploration, business development, mine geology and executive leadership roles

  • Led exploration teams to several significant discoveries and concluded several significant business development transactions

  • Formerly Executive Vice President: Growth and International Projects for Gold Fields Ltd, CEO of Troy Resources Ltd and held non-executive director roles at Sino Gold Ltd and Avoca Resources

  • Non-executive director of Evolution Mining Ltd

Managing Director - Mr Matt Briggs BSc (Geology), Member AusIMM

  • 20 years’ experience in Australia and internationally in various aspects of mine geology, exploration, project management and strategic leadership in the gold industry

  • • Recently headed Group Strategic Planning for Gold Fields Limited

  • Directly involved or managed teams that have discovered several multi-million ounce gold deposits

Exploration Manager - Mr Neil Jones MSc (Geology)

  • Geologist with 18 years’ experience including greenfields and brownfields exploration

  • Recent roles as a geologist for Gold Fields, PMI Gold and Troy Resources exploring primarily for gold

  • Extensive experience in Paleoproterozoic and Archean terrains around the globe

Other Key Management
Jutta Zimmermann CFO and Company Secretary
Alwin van Roij Senior Exploration Geologist
Consultants
James Davis Generative Geologist
Investor Presentation
November 2017
Oliver Kreuzer (CGSG)
Generative Geologist

28

Old Pirate Mineral Resource Estimate by Classification (Au > 1g/t)

Old Pirate Resource estimation at 1g/t cut-off Old Pirate Resource estimation at 1g/t cut-off Old Pirate Resource estimation at 1g/t cut-off Old Pirate Resource estimation at 1g/t cut-off
Category Tonnes
(Mt)
Grade
(g/t Au)
Contained
Ounces
Indicated 0.04 4.6 6,500
Inferred 0.72 4.7 108,500
Total 0.76 4.7 114,900

Resources may not sum to equal totals due to rounding. Refer to announcement 19 August 2016.

Buccaneer Mineral Resource Estimate by Classification (Au > 1g/t)

Buccaneer Higher Grade Zone Resources at 1g/t cut-off Buccaneer Higher Grade Zone Resources at 1g/t cut-off Buccaneer Higher Grade Zone Resources at 1g/t cut-off Buccaneer Higher Grade Zone Resources at 1g/t cut-off
Category Tonnes
(Mt)
Grade
(g/t Au)
Contained
Ounces
Indicated 1.2 1.67 65,000
Inferred 8.8 1.84 521,000
Total 10.0 1.82 586,000

Resources may not sum to equal totals due to rounding. Refer to announcement 1 September 2017.

Investor Presentation November 2017

29

Suplejack Mineral Resource Estimate Feb 17 by Classification and Domain

Suplejack-Project – Mineral Resource Estimate – February 2017 Suplejack-Project – Mineral Resource Estimate – February 2017 Suplejack-Project – Mineral Resource Estimate – February 2017 Suplejack-Project – Mineral Resource Estimate – February 2017 Suplejack-Project – Mineral Resource Estimate – February 2017 Suplejack-Project – Mineral Resource Estimate – February 2017 Suplejack-Project – Mineral Resource Estimate – February 2017 Suplejack-Project – Mineral Resource Estimate – February 2017 Suplejack-Project – Mineral Resource Estimate – February 2017 Suplejack-Project – Mineral Resource Estimate – February 2017
Area Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces
Million t Au g/t Oz Million t Au g/t Oz Million t Au g/t Oz
Indicated Inferred Total
Oxide
Hyperion-Tethys 0.04 1.70 2,300 0.21 3.01 20,500 0.25 2.79 22,800
Seuss 0.17 2.48 13,600 0.17 2.48 13,600
Hyperion South 0.03 1.19 1,300 0.03 1.19 1,300
Total 0.04 1.7 2,300 0.42 2.65 35,400 0.46 2.56 37,700
Transitional
Hyperion-Tethys 0.30 1.69 16,400 0.78 2.16 54,200 1.08 2.03 70,600
Seuss 0.14 2.78 12,800 0.14 2.78 12,800
Hyperion South 0.09 1.31 3,800 0.09 1.31 3,800
Total 0.30 1.69 16,400 1.00 2.17 70,800 1.32 2.06 87,200
Fresh
Hyperion-Tethys 0.59 2.72 51,600 1.59 1.69 86,100 2.18 1.97 137,600
Seuss 0.31 3.07 30,900 0.31 3.07 30,900
Hyperion South 0.25 2.07 16,400 0.25 2.07 16,400
Total 0.59 2.72 51,600 2.15 1.93 133,400 2.74 2.10 184,900
Deposit Total
Hyperion-Tethys 0.93 2.34 70,200 2.58 1.94 160,800 3.51 2.04 231,000
Seuss 0.63 2.85 57,300 0.63 2.85 57,300
Hyperion South 0.37 1.80 21,500 0.37 1.80 21,500
Total 0.93 2.34 70,200 3.58 2.08 239,600 4.51 2.14 309,900

Suplejack Project Area reported above 0.8g/t cut-off and above the 230mRL. Resources may not sum to equal totals due to rounding. Refer to announcement 17 February 2017.

Investor Presentation November 2017

30

Aim

Multiple Targets to be tested (>1Moz)

ABM Core Focus

Tanami – Area Of Operational Focus

  • Consolidate 1Moz of Suplejack Resources by screening for additional shoots

  • Bedrock test of large scale anomalies

Partnered Assets

Divest or JV

Lake Mackay JV (IGO) Develop understanding of the emerging mineral province

Expedite discovery or source external funding

  • Regional reconnaissance exploration program targeting Callie scale mineralised systems

Area

Activity

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Targets
7 Advanced Targets
Bluebush
Suplejack 5 Bedrock intersections
Tobruk
47 Anomaly Defined
26 Camp Scale Targets
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145,000 metres of RAB/Aircore + Geochemistry Targeted RC and DD

Tanami Focus

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Lake Mackay
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Old Pirate Buccaneer North Arunta Reynolds Range

Exploration Agreement executed for North Arunta Targeting additional JV or divestment

Airborne & Ground EM Soil Sampling RC/DD Drilling

Expedite Discovery or funding

Investor Presentation

31

November 2017