African Mining & Exploration Plc
Investor Presentation March 2013
African Mining & Exploration Plc Investor Presentation March - - PowerPoint PPT Presentation
African Mining & Exploration Plc Investor Presentation March 2013 Disclaimer These presentation slides (the Slides) do not comprise an admission document, listing particulars or a prospectus relating to African Mining & Exploration
African Mining & Exploration Plc
Investor Presentation March 2013
These presentation slides (“the Slides”) do not comprise an admission document, listing particulars or a prospectus relating to African Mining & Exploration plc (“the Company”) or any subsidiary of the Company, do not constitute an offer or invitation to purchase or subscribe for any securities of the Company and should not be relied on in connection with a decision to purchase or subscribe for any such securities. The Slides and the accompanying verbal presentation do not constitute a recommendation regarding any decision to sell or purchase securities in the Company. The Slides and the accompanying verbal presentation are confidential and the Slides are being supplied to you solely for your information and may not be reproduced or distributed to any other person or published, in whole or in part, for any purpose. No reliance may be placed for any purpose whatsoever on the information contained in the Slides and the accompanying verbal presentation or the completeness or accuracy of such information. No representation or warranty, express or implied, is given by or on behalf of the Company or their respective shareholders, directors, officers or employees or any other person as to the accuracy or completeness of the information or
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March 2013 l African Mining & Exploration l Investor Presentation 2
African Mining & Exploration plc is a gold exploration company focussed on West
solid portfolio of assets in Mali up the resource development curve and evaluating exploration investment opportunities and partnerships to expand its geographical focus and provide significant value uplift potential for investors.
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AIM quoted West African gold exploration company with solid portfolio of assets in Mali, Africa's third largest gold producer Portfolio of projects including flagship 207 sq km Kossanto Gold Project Defined exploration and development programme to delineate a maiden JORC compliant resource in H1 2013 Well funded for future exploration with in house RAB drilling capabilities to de-risk future work and investment Premier gold district hosting major gold deposits. Regional operators include:
Evaluating additional projects Proven Board with a track record of developing world class resource projects globally
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March 2013 l African Mining & Exploration l Investor Presentation 5 Market AIM Ticker AME Share Price (as at 15.03.13) 4.125p Market Capitalisation £3.47m Shares in issue 84,213,306 Cash (as at 31.12.12) £1.76m Warrants outstanding 58,940,493 Options 8,690,000 Shares not in public hands 38.8%
Major Shareholders
Praetorian Portfolio holding L.P - 20.1% Fiske - 12.4% New City Investment Managers - 7.9% Other Shareholders -59.6%
“AME’s goal is to establish a leading gold exploration company in West Africa, utilising the strengths of experienced professionals and partners to deliver significant investment return with managed risk”
Rapidly advance primary Kossanto project Delineate a resource of over 500,000oz Au within the next two years Use its knowledge of working in emerging economies to continue to expand its portfolio of assets through the judicious selection and acquisition of projects with low entry costs Control costs Build shareholder value
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Mike Johnson
Chairman
(Emeritus) Professor Mike Johnson was previously the Director of Environmental Science and the Botanic Gardens at the University of Liverpool. He was Chairman of Glebe Mines Ltd (2000-2008) and is currently a Director of Columbus Copper Corp. Professor Johnson presently holds a number of business and environmental advisory positions including with Rio Tinto plc, New Boliden SA and Lundin Mining Corporation, and is an adviser on sustainable development programmes for several governments, UNEP and the World Bank.
Mark Jones
Chief Executive Officer
A graduate of the Camborne School of Mines, Mark is a mining engineer with over 30 years’ experience in mining production and associated businesses including explosives and heavy industrial equipment, over 20 of them in Africa. His global exposure to mining spans all continents, with specific expertise in gold and base metals in West Africa, Zimbabwe, South Africa and the former Soviet Union. Mark has an MBA and is currently a non-executive director of Aurum Mining plc , Tulpar Gold plc and Antracor Mining Ltd.
Charlie Cannon- Brookes
Non Exec Director
Charlie is the Investment Director of Arlington Group Asset Management Limited and the Investment Manager
resources sector. Previously he acted as investment manager to Arlington Special Situations Fund; a Cayman domiciled OEIC (2005-2010). For the previous five years (2000 – 2005), he ran Arlington Group Plc.’s proprietary trading book, managing all of its public equity exposure. He has extensive fund management experience and has advised and sat on the board of a number of other funds and trusts in a non-executive capacity.
Clive Harrison
Non Exec Director
A graduate of Cambridge University. Joined the London Stockbrokers Panmure Gordon in 1961. Became a member of the London Stock Exchange in 1965. Founded Fiske & Co Stockbrokers in 1973 and has been successively Senor Partner, Chief Executive and Chairman of what is now Fiske Plc.
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Michael McGarty Chief Financial Officer
A graduate in Finance from Manchester University’s Business School, and a qualified accountant (Chartered Institute of Management Accountants, UK), Michael gained 16 years of experience working with Ingersoll Rand (NYSE:IR), a leading global diversified manufacturer of industrial and engineered products. During this time he has worked in roles of increasing responsibility, covering all areas of accounts payable / receivable and financial / management accounting. He led the European implementation of the Sarbanes Oxley compliance initiative and has served for 7 years as financial controller for businesses covering Europe, Middle East and Africa, including the provision of business partner support and strategic planning. Michael has 2 years’ experience in West African exploration.
Dominic Doherty Regional Manager
Dominic was awarded a Queen's commission from the Royal Military Academy Sandhurst, retiring as a Captain after serving 8 years as a Regular Officer in the British Army. During a distinguished Army career he was involved in combat and service operations throughout the world, including Europe, North America, West Africa and the Middle East. He is professionally trained in information and intelligence gathering and analysis and academically trained as a lawyer with a degree in Law from Exeter University. During service in Sierra Leone Dominic forged a strong bond with West Africa and relationships from that time have led him back to the region several times over the past 15 years. As one of the founding partners of Roc Resources, Dominic developed an alluvial gold opportunity in Mali which he managed for 2 years. Prior to working in Mali, Dominic was Head of Business Development for the Government of Dubai, and took a leading role interfacing with African Producers for the UAE Government's “Masterplan for Diamonds” and enabling the Kimberley Process in Africa and the Middle East.
Rasmané Kaboré Head of Exploration
Rasmané, a masters graduate in Fundamental and Applied Geology from the University of Ouagadougou in Burkina Faso, has extensive experience gained from roles of increasing seniority in mineral exploration in West Africa. The core of his experience has been in orogenic deposits, managing exploration programmes for gold and base metals. As regional exploration manager for Volta Resources he was instrumental in the discovery and the definition of a number of precious and base metal prospects including the Nassara gold project. Rasmané has attained the level of Master in Mining Project Evaluation from Cespromin, Paris School of Mines and is a member of Anciens Stagiaires du CESMAT. He holds a certificate in Computer Assisted Exploration from CESMAT and a post graduate certificate in statistics and geostatistics from the Centre for Geosciences in Fontainebleau. In addition to his extensive experience in exploration, Rasmané has been involved in mineral resources estimation, mine scoping studies and property evaluation. During his roles as project geologist he has held responsibility for the implementation of QA/QC as well as Health, Safety and Environmental
and analysis.
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AME Projects
Primary Target
Kossanto 207 sq km Gourbassi Kobokoto Farikounda Koussikoto Kobokoto-est (under renewal)
Additional Licences
Karan 250 sq km Diatissan 16 sq km Donbaleya 78 sq km Daounabee 91 sq km
Pipeline Evaluating Opportunities
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Excellent in country team Strong treasury Own RAB and auger rig Strong institutional support Highly prospective portfolio Active resource exploration programme Proven board track record Trading at small premium to cash Excellent in country team
A Region of Global Significance:
discovered
codes and legislation
but under-explored geology
Mali – At the Heart of the Region:
producer in Africa
Greenstone
discovered so far
servicing region
and services
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KOSSANTO
207 sq km project located in the highly prospective Kenieba inlier in western Mali, a block of ancient greenstones and granites hosting many significant gold deposits in Mali and Senegal. 5 licences with 3 highly prospective target areas identified:
100%
forming a significant landholding on the main transcurrent shear zone (MTZ). Extensive historical exploration work and drill data:
3,136 metre drilling programme executed in December 2012 to define a JORC resource in 2013.
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Massakama Gourbassi West Gourbassi East
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Gourbassi East
mineralised zone with significant gold grades located within a body of felsic volcanics (Rhyolite) bounded to the East and West by more mafic units
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mineralised zone with significant gold grades located within a body of felsic volcanics (Rhyolite) bounded to the East and West by more mafic units.
Gourbassi East
mineralised zone with significant gold grades located within a body of felsic volcanics (Rhyolite) bounded to the East and West by more mafic units Soil Sampling:
geochemical signature;
area of 500 x 600 metres.
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mineralised zone with significant gold grades located within a body of felsic volcanics (Rhyolite) bounded to the East and West by more mafic units. Soil Sampling:
geochemical signature;
area of 500 x 600 metres
Gourbassi East
mineralised zone with significant gold grades located within a body of felsic volcanics (Rhyolite) bounded to the East and West by more mafic units. Soil Sampling:
geochemical signature;
area of 500 x 600 metres
Trenching and first pass RC Drilling:
revealed mineralisation coincident with contact zone
economic mineralisation
2.18 g/t
metres with a high degree of confidence
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Gourbassi East
mineralised zone with significant gold grades located within a body of felsic volcanics (Rhyolite) bounded to the East and West by more mafic units. Geophysics Surveys: Induced Polarisation surveys identify a highly resistive and chargeable anomaly coincident with mineralisation.
prospection.
delineates the NNW structure along with cross cutting lineaments.
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Gourbassi East
RC Drilling 2012 Based on the results of previous RC drilling, trenches and geophysics, a follow up phase of RC was designed.
total 2246 m
near surface mineralisation
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Gourbassi East
RC Drilling 2012 Based on the results of previous RC drilling, trenches and geophysics, a follow up phase of RC was designed.
total 2246 m
near surface mineralisation Results exceeded expectations and produced significantly higher grades than previously achieved. Significant RC intercepts included:
15.75 g/t
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Gourbassi East
RC Drilling 2012
at the Gourbassi ‘Main Zone’ over a strike length
Rhyolite and provides an excellent exploration target
structure has been confirmed by coincidence of multiple indicators
16m @ 0.99 g/t intersected to the south of the hill, suggesting an extension of over 200m
commissioning of a resource estimation from Wardell Armstrong International
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Gourbassi East
tested and proven to contain economic mineralisation
discovering new drill targets
across the Main Zone to better understand the mineralised structures
the hill to trace the continuation of the Main Zone
Main Zone and surrounding area is ongoing
abundant Randgold soil anomalies
increase quality and size of resource to commence April / May
Massakama Gourbassi West Gourbassi East
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Gourbassi West
The Gourbassi West prospect lies approximately 3.7 km WNW of Gourbassi E and appears to be analogous with its clear NNW striking zone of mineralisation associated with felsic volcanic rocks (pillow lavas). Originally identified as requiring follow up work due to anomalous Au values in soil geochemistry.
NW concurring with regional picture.
Gourbassi West
The Gourbassi West prospect lies approximately 3.7 km WNW of Gourbassi E and appears to be analogous with its clear NNW striking zone of mineralisation associated with felsic volcanic rocks (pillow lavas). Originally identified as requiring follow up work due to anomalous Au values in soil geochemistry.
NW concurring with regional picture. Trenching:
across the geochemical anomalies and revealed significant lengths and continuity of mineralisation.
Gourbassi West
The Gourbassi West prospect lies approximately 3.7 km WNW of Gourbassi E and appears to be analogous with its clear NNW striking zone of mineralisation associated with felsic volcanic rocks (pillow lavas). Geophysics:
chargeable structure, which correlates to the NNW trending mineralisation seen in the trenches. RC Drilling:
intercepts and IP structure, was completed over the best trench results and NNW striking chargeability anomaly.
significant mineralisation and areas of strong alteration and sulphidisation. Drilling revealed peak intercepts of:
g/t
RC Drilling 2012
trenches and geophysics, a follow up phase of RC was designed.
and completed for a total 890 m to increase knowledge and data for this large zone .
intercepted in 9 of the holes, including peak intercepts of:
km has now been identified, open along strike to NNW and SSE
understand the mineralisation and structural controls before more drilling is considered.
Gourbassi West
Massakama Gourbassi West Gourbassi East
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Massakama
volcanics and mafic to felsic intrusions.
contacts between intrusive bodies and the host rock.
anomalous zones of Au soil geochemical signatures:
concentrated +100 ppb zones
area demonstrate high grade recovery from surface to 10m depth.
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Massakama Main Zone
where the most encouraging results have been located.
+100 ppb Au-in-soil anomalies where artisanal workings revealed mineralised silicified green rhyolite.
identified a significant low magnetic anomaly coinciding with the soil geochemical signature. Trenching
proved the presence of in situ gold mineralisation.
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Massakama Main Zone
RC Drilling
based on previous trench results
seen throughout, with one ‘bonanza’ hole, MRC08 returning a very high intercept.
partial replacement of gold-bearing pyrite and chalcopyrite within strongly silicified intrusives
mineralisation, different from the typical shear zone hosted gold of the Birimian
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Massakama Main Zone
Interpretations
the mineralisation at Massakama is still not fully understood
exploration
mineralisation and a strong magnetic low seen in the ground magnetic survey indicates an encouraging correlation for the locating of other targets in the Kossanto area Work Program
accompanied with re-logging of the RC chips to fully understand the geology of this zone
above
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Exploration: Strong potential to locate new targets in the existing Kossanto area due to an identified correlation between soil geochemical anomalies, in situ mineralisation and a strong magnetic low seen in the ground magnetic survey Additional portfolio opportunities in South and West Mali: Diatissan - 16 sq km with trench results of up to 8.34 g/t; Donbaleya - 78 sq km; Daounabere - 91 sq km Ongoing Review of Opportunities: Evaluating additional opportunities to expand portfolio and geographical focus Favourable Strategic Options Firmly Within Company’s Control: In house skills to develop from exploration to mine Earn-in Joint venture Strategic alliance partner Monetize
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Recent 3,136m drilling programme completed in at flagship Kossanto Project confirmed gold mineralisation and reported significant intercepts – intention to establish a maiden JORC resource in 2013 Highly prospective portfolio of gold assets in western Mali which offer near-term value uplift potential through exploration and resource delineation Effective yet low cost model for exploration and corporate costs Strong treasury and institutional support Targeted growth plan – evaluating additional exploration opportunities Experienced Board and in country team with proven experience of developing world class resource projects globally Strong news flow will continue for 2013
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Contact: CEO Mark Jones African Mining and Exploration PLC 2nd Floor 3 Shepherd Street London W1J 7HL T +44 (0) 20 7499 5881 E: info@ameplc.co.uk
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