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ROX RESOURCES LIMITED — Investor Presentation 2013
Feb 12, 2013
65741_rns_2013-02-12_841bc932-535c-4953-9fb0-5e9aedaa0e32.pdf
Investor Presentation
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ASX: RXL
ROX RESOURCES LIMITED PRESENTATION
Ian Mulholland, Managing Director RIU Explorer’s Conference – 13 February 2013
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Competent Person Statement
The information in this report that relates to Exploration Results and Mineral Resources is based on information compiled by Mr Ian Mulholland BSc (Hons), MSc, FAusIMM, FAIG, FSEG, MAICD, who is a Fellow of The Australasian Institute of Mining and Metallurgy and a Fellow of the Australian Institute of Geoscientists. Mr Mulholland 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 of Exploration Results, Mineral Resources and Ore Reserves”. Mr Mulholland is a full time employee of the Company and consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
*Exploration Targets
The potential quantity and grades of the exploration targets listed in this presentation are conceptual in nature, although they are based on reasonable expectations, but insufficient exploration to define a Mineral Resource has been carried out at this point in time, and it is uncertain whether further exploration will result in the determination of a Mineral Resource.
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Company Snapshot
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Rox Resources Capital Structure ASX Code: RXL Issued Shares (post 590.8m Placement): Market Cap: $38m (at 6.5c) Cash (post Placement): $6.4m Enterprise Value: $31.6m $0.10 200 $0.08 $0.06 100 $0.04 $0.02 $0.00 0
Experienced Board & Management
| Managing Director: | ||||
|---|---|---|---|---|
| Ian Mulholland_(Geologist)_ Chairman: |
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| Jeff Gresham_(Geologist)_ | ||||
| Finance Director: | ||||
| Brett Dickson_(Accountant)_ Senior Geologist: |
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| Will Belbin | ||||
| Major Shareholders | ||||
| Avoca Resources | 4.0% | |||
| Rox Directors | 3.7% | |||
| Phillip Coulson | 3.0% | |||
| Top 20 | 29.5% |
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Investment Highlights
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Four large scale projects with multi-commodity exposure covering nickel, gold, copper, zinc, & lead & phosphate
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Significant nickel sulphide discovery at Fisher East – validation of exploration model
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Tremendous exploration upside
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Experienced Board and Management
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Projects
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- Mt Fisher Gold-
Nickel Project acquired from Avoca in 2011, plus Option to Purchase
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Reward Zinc Project, Earn-in by Teck for $15m
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Bonya Copper
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Project earn-in by Rox for $1.5m
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Marqua Phosphate Project pegged in 2009
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Fisher East Nickel Project
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Initial RC drilling intersected nickel sulphides all in 5 holes drilled:
20m @ 1.1% Ni from 159m, incl. 6m @ 1.4% Ni and 5m @ 1.5% Ni 2m @ 1.6% Ni from 130m 4m @ 2.0% Ni from 212m 2m @ 2.2% Ni from 152m 1m @ 3.0% Ni from 147m
+ 2 more recent RC holes
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Mt Fisher Nickel Location
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Mt Fisher Project located 150km northeast of Leinster, WA in North Eastern Goldfields of WA
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Mt Fisher Greenstone Belt, 300km long, 655km[2] tenement area
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Significant regional endowment of nickel (and gold)
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Agnew-Wiluna Belt , major nickel mines ( 55% of WA Ni total ; 7Mt out of 12.7Mt), 10 Moz gold,
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Yandal Belt 17 Mozs gold , almost no Ni (except Waterloo)
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Nickel sulphide discovery at Fisher East – major new area
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Ni Occurrences
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Mt Fisher Geology
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Magnetics define Fisher East ultramafic belt Gold Zone well defined
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Fisher East VTEM
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VTEM flown over 3 areas: 2 gold areas and the Fisher East ultramafic belt
Large VTEM anomalies along Fisher East Ultramafic 2 stages of RAB drilling
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Camelwood Drill Plan
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Initially 3 lines of RAB at Camelwood RAB anomaly coincident with VTEM conductor
RAB anomaly included 8m @ 0.4% Ni, with values up to 0.5% Ni, 500ppm Cu and 100ppb PGE
Ground EM conductor showed highly conductive central zone Shallow RC drilling on 6 x 100m sections over RAB anomaly > 500m of strike Nickel sulphide intercepts in all 7 holes drilled –> supergene mineralisation Deeper drilling now underway to test primary (fresh rock) zone –> MFED001
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Camelwood Drill Section
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RC drilling beneath RAB intercepts confirmed continuity of nickel sulphide mineralisation
Ultramafic contact (over-turned) with Felsic Metasediment footwall is classic nickel sulphide model position EM conductor coincident with nickel sulphides
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Mineralisation open at depth and along strike Deeper drilling commenced
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Camelwood Long Section
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Initial drilling is only shallow and has only tested top of EM conductor Open at depth and along strike RC and deeper diamond drilling commenced Diamond drilling RC drilling
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Emerging Exploration Story
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VTEM Plan
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Significant follow-up exploration now underway
Fixed loop ground EM along Fisher East Ultramafic belt – 8 loops of 600m x 1km Strong EM anomalies confirmed at Camelwood, Corktree and Silverbark RC (2,000m) & diamond (1,200m) drilling at Camelwood, Corktree & Silverbark
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Testing RC samples – dark
material is nickel sulphide
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Mt Fisher Gold Project
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17 Moz
10 Moz 5-10
Moz?
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Norseman-Wiluna Belt , northern end 10 Moz gold
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Yandal Belt 17 Mozs gold
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Mt Fisher Belt currently ~ 0.5 Moz gold – heavily weathered so general lack of exploration
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Mt Fisher Belt potential 5-10 Moz?
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4 gold plants within 150kms
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Rox gold resource ~ 0.1 Moz – but early days of exploration
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Dam-Damsel area gold-in-regolith anomaly 7km strike length
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Damsel Area Gold Anomalies
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Three parallel structures Multiple “hot spots” Similar geological sequence to Bronzewing deposit (3.6 Moz)
Damsel
- Shallow resource of ~54,000 oz , open at depth
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Dam Central
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Drill intercepts* include:
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9m @ 7.1 g/t
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3m @ 17.4 g/t
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4m @ 9.0 g/t, and
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8m @ 4.1 g/t
WA DME funding for deep diamond hole
- Drawn from the Company’s 120,000m, 3,500 hole database
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Myrtle/Reward Zinc Project
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Adjacent to McArthur River Mine Extensive infrastructure in place Teck $15M Earn-in (to 70%) Myrtle Resource 43.6 Mt @ 4.05% Zn, 0.95% Pb, 5.04% Zn+Pb, 2.2 Mt zinc + lead metal
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Strong historic drilling results from Teena prospect incl. 11.3m @ 10.9% Zn+Pb
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Myrtle/Reward
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4,500m diamond drilling scheduled at Teena in 2013 – funded by Teck Exploration Target* 100-200 Mt @ 10-12% Zn+Pb
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Teena Deposit
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In September 2012, significant unreported historic drilling results (from 1976-1978) were uncovered at the Teena prospect.
Results confirm Teena as a significant, potentially high grade, mineralised zone including:
11.3m @ 10.9% Zn+Pb, 14g/t Ag; and
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22.2m @ 7.18% Zn+Pb, 19g/t Ag
Teena Basin dimensions 1.5 x 1.0 km
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Bonya Copper Project
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Similar in style to nearby Jervois deposits (13.5 Mt @ 1.3% Cu, 25 g/tAg)
Outcrops of visible copper mineralisation at numerous locations Assays up to 33% Cu and 55 g/tAg Very little prior exploration for copper Walk up drill target at old Bonya mine Rox can earn 51% for $500K (2 years) and 70% for extra $1 million (further 2 years)
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279km[2] tenement package Geochemical and geophysical surveys, and then drill (2,000m RC) by mid 2013
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Summary
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Four large scale projects with multi-commodity exposure covering nickel, gold, copper, zinc, lead & phosphate Significant nickel sulphide discovery at Fisher East – validation of exploration model
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Multiple untested drill ready nickel targets identified Active drilling program (3,200m RC & diamond) commenced at Fisher East
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Additional drilling at Bonya (2,000m RC) and Teena (4,500m diamond) in 2[nd] and 3[rd] quarters 2013
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