AI assistant
RAREX LIMITED Investor Presentation 2007
65681_rns_2007-10-29_0e620e76-9940-4dc5-bfe0-27a593ea4bbd.pdf
Investor Presentation
Open in viewerOpens in your device viewer
October 2007 Gordon Barnes –Exploration Manager Mark Stewart –Managing Director
| Disclaimer |
|---|
| woTininrhiteithvedsndoisstprutclmedesposetrionteurontinr weadatCtodioritarelantenyncss("noPytcorehethEnssxpecerentirclopantraatumortytioiofstn"Cna)laNLtnchaencdithessyAe. TobeCr tNfheehia1nnysin05prPpfoe5reaparm78sertreicat7ntuldio56atafonrio(cor tinn"Cdhentnolaivasidncrinoitsuaedy"lecpl o)hoaurrentnderepoentdntinseityoeismosoayfnofexbateprgecausesnerredsiyraoafnsl nnyoroatraigfurnyinhteoteoathrefndepustisrfpublnoicrrpotatosioen |
| seTinrePhirevicoctstaseiomPtionntmren70atesendtoio8nttnatofheatisiotiofRhenonor tecCisrhenipoanrpieotuofontaserafeopotiorrrofbyanssppenyCAecrsolactothtuncns(esCyrtothpeoor)rotwrs2ahohe00nyonmro1todtthaisuhendeclndprosisperoeourrtrsviaenlsiokeydonofoantocutroferaremantenscedentracipisainclttiondtobyosanispurotneerrarssuotdonsotbsnscuacolocrbemtioibecatnentateokeisfordrofnninsefetootAcubrr,useqenorittrauiieras.reisliaitdTaunhinsder |
| Aotrelimrhemitaecarwintioipsisien)econttm'shanfadridt:eqeethntueaveiastarel;ilafciaoblndpir,eeantinndthacisrgoPecrennreeesecipsetttioontofatnke, twiohieithnpscoreaPremnynfseaidfinurentsntthatthiaeioerl tninprhecoveoinpensstfortyigtitrmatutoioesatfnCioaoflannncCcoagylantrencaeinymedfoentinras, itnclohislungPdareingsseth(wntatithatiniooutfonrmoration |
| TismhisuaysedPofesretseirehisntinPatareionsenindontveatesstionignatotwiopillnurnofpootCbrtelatonctabkeyenaCll-aslainancclnyusyfreivoseermorvor tesfocotcohemntrmaigitminhtatellontinoafomnrmethndatetiopahenrtinthoffoatCarmlapatncroioyspntoecprpovtivroideceedinedvewTstheithor |
any offer or other transaction.
Clancy is not:
A junior float with rapidly compiled assets to exploit the latest commodity fad
Clancy is an innovative greenfieldsexplorer searching for world-class:
- Copper-gold deposits in NSW
- Base metal and tin deposits in Tasmania
Clancy is the product of four years of:
- Strategic planning
- Optimised exploration targeting and ground acquisition
Clancy aims to improve the odds of exploration success:
- Our edge: unique targeting methodology
- The Geoinformatics Process
- Our aim is to discover world-class deposits
About Geoinformatics
Geoinformatics (GXL) is the majority shareholder in Clancy (48%):
- GXL employs 20 top-class geoscientists in four offices worldwide
- Active mineral explorer in North America, listed on the TSX-V
- Market cap of $30M USD
- Clancy is a spin-out from Geoinformatics
The Geoinformatics Process is a proprietary targeting methodology:
- Incorporates risk and uncertainty into the target models
- Quantifies the probability of potential mineral discoveries
- Clancy has priority access to the Geoinformatics Process
The Geoinformatics Process is a proven targeting strategy….
4
Targeting validation
The Goldcorp Challenge 2001:
- 6 targets defined around the Red Lake gold mine, Ontario Canada
- Drilling on 5 of these hit high-grade gold intercepts (+2 Oz/tonne)
- Six million ounces of gold discovered
- Goldcorp went from a minnow to a +$3 billion USD market cap
Geoinformatics North American targets:
- 11 targets drilled
- Drilling intersected virgin miner alized systems on10 of those targets
- New kimberlite discovery in the Northwest Territories (Sanatana, October 2007)
Clancy targeting in NSW and Tasmania:
- All significant porphyry deposits / prospec ts in NSW were targeted in top 10
- Intrusive systems identified under cover in NSW, confirmed by drilling
- 9 targets drill tested in Tasmania (Bass Metals), 5 of which warrant follow-up
- Significant new mineralisation identified in the Hellyer – Que River corridor
been independently endorsed by SRK (NSW) and Snowdens(Tasmania) The targeting is working exceptionally well and the methodology has
| C |
|---|
| o |
| r |
| p |
| or |
| a |
| te |
| S |
| n |
| a |
| p |
| s |
| h |
| o |
| t |
| Cash$4.2M | frExopmlodraatetioonfSlipsetinndg:(i$n7c.4ludMinfgoJrV | -Top20Holding74.8 | -DamprplinInvestments2.1 | --ACrniticoold&NRoumthinGeeestz22.7.3 | -MartinPlace2.8 | --HSeoBCNomaincese7.8 | ToGp5Sinhfoarmrehtiolders(23/10/047)7.7 | 12monthrange:10cents–21c | $8.62Mmarketcapitalisation( | SharePrice:18.5cents(26/10/07) | 47.8Mshares,4.6Moptions | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| p2yartenaersrs) | % | % | %% | % | % | % | ents | at18cents) |
Board & Management
Non-Exec. Chairman Dr. James Macdonald
- •Global Geoscience Leader BHP Billiton 2001-05
- •Former exploration & Billiton executive with Homestake
- •Non-executive director Mantle Diamonds Ltd (UK)
Managing Director Mark Stewart
VP Business Development Geoinformatics
•
•Former executive Business and Acquisitions Division
Anglo American plc
Non-Exec. Director Dr. Nick Archibald
- •CEO Geoinformatics
- •Former MD Fractal
- Graphics •Non-Executive director SanatanaDiamonds (UK)
Non-Exec. Director Mark Lester
- • Auditing / finance accounting firm background with major
- Former Company Secretary Research Ltd and CFO Meditech
•
7
Collaborative partnerships –positioned for growth
Investment Highlights
Large strategic ground position in world-class mineral provinces
Developed over several years, over 1000km 2 of ground turned over
A rigorous, risk-managed approach to targeting
- Pipeline of quality targets; prioritised and ranked
- Improving the odds of exploration success
Aggressive exploration spend on ~$7.4M in two years from listing
- JV plus IPO funds
- Exceptional leverage of exploration spend to IPO funding
- Drilling in progress now
Experienced and talented team, committed to discovery
Exploration Strategy
Exploration strategy
All-of-belt approach that rigorously integrates all regional data
Apply state-of-the art targeting techniques –the Geoinformatics Process
- Reduces exploration cost and risk
- Provides a pipeline of highly-ranked targets
- We know exactly where we want to be and where we don't want to be
Assemble the best regional ground position and explore it effectively
- Exceptional focus on highest ranked targets
- Follow-up or move on
Aggressive target monitoring
- We are ready when competitor's tenements lapse
- We have increased the area of A-Class targets held by 66% in the last year
Lachlan Fold Belt –our main focus
We chose the Lachlan Fold Belt because:
- Rich +100 year mining history, largest deposits discovered relatively recently
- Exceptional data quality –regional geophysics, geology, geochemistry etc
- Good ground availability (in 2003)
- Low title, political and environmental risk
- Supportive government
The Macquarie Arc in the Lachlan Fold Belt –a richly endowed terrane:
- Ordovician porphyry copper-gold and related deposits
- Gold endowment >45Moz and growing
- Copper endowment > 6Mt and growing
- Big systems discovered in the last 15 years
The Target in the Macquarie Arc
Cadia –Ridgeway Ordovician porphyry copper-gold systems
- Ridgeway is Australia's most profitable gold mine
- 2006 production: >360,000 oz gold, >39,000 t copper
- Cadia Valley endowment
•
-
35Moz Au, >4.9Mt Cu and growing
- Production >615,000oz Au, >62,000t Cu per annum
- Current mine life 30 years and growing
- Resources and reserves (June 2006)
•
- Ridgeway 3.5Moz Au and 430,000t Cu
- Cadia 27.5Moz Au and 4Mt Cu
Project Portfolio
- Lachlan Fold Belt, NSW 17 Exploration Licences in the
- 12 NSW projects 100% owned
•
- 3 JV's with Gold Fields
- Tasmania Mount Read Volcanic Belt, 12 Exploration Licences in the
•
Metals (BSM earning 75%) 7 TAS projects areas JV'dto Bass
•
the NSW projects presentation will focus on The remainder of the
Our tenement position in NSW
- Macquarie Arc, Lachlan Fold Belt, NSW
- 17 Exploration Licenses (1850km2) in 12 project areas
–
- Macquarie Arc Targeting Ordovician porphyry copper-gold systems in the
- Clancy manager JV on 3 projects with Gold Fields earning 80% by spending $5M,
- Nine projects are funded and managed by Clancy
central section of Lachlan Fold Belt
Geoinformatics 3D geology model Clancy magnetic inversion and stratigraphic model Boundary prospect
Project pipeline –NSW projects
Active projects
Gobondery IP surveys and diamond drilling at
•
at Orange East Soil sampling on Silurian gold target
•
Soil sampling at Wellington North
•
- on core and chips: Core re-logging and spectral studies
- Myall
- Fairholme
Very busy next few months…..
Drilling
Diamond and RC drilling:
- Gobondery •
- Illabunda and Spring Creek
- Orange East (depending on results)
•
Aircore drilling (possibly with diamond tails):
- Cowal East
- Myall
- fieldwork on most tenements will have completed or commenced By the end of the 1st quarter 2008 we
Busy period and good news flow
IP surveys
Gobondery:
• completed 3D, gradient array and 2D follow-up
Fairholme, Goobang and Cowal East:
characteristics Trial 2D lines to check signal
•
Wellington North and Cundumbul:
• 3D as required Gradient array with follow-up 2D or
IP anomaly over Ridgeway
Ridgeway
•
•
- orebody ~ 250m wide Tightly constrained Cu-Au pipelike
- Outer pyrite shell extends for up to 600m away from orebody
- Detectable at ~6ms
•
Ridgeway orebody starts at 550m vertical The top of the shell is about 100m vertical. The This is the outer pyrite shell at Ridgeway (6ms).
Gobondery EL6534
- of Northparkes Covers prospective arc rocks 47km west
- Northparkes Similar geology and setting to
- style rocks, alteration and mineralisation Clancy drilling in 2006 defined porphyry-
•
two significant anomalies IP surveys recently completed defined
•
Diamond drilling in progress
•
24
