CORPORATE PRESENTATION NOVEMBER 2017

Transcription

1 AIM:TETH TSX-V:TETH CORPORATE PRESENTATION NOVEMBER 2017 Tethyan is a Junior Explorer a with a focus on gold and copper in the Balkan region of the great Tethyan Metallogenic Belt

2 DISCLOSURE These presentation slides (the Slides ) do not comprise a prospectus or other form of offering document relating to Tethyan Resources plc ( the Company ), and do not constitute an offer or invitation to purchase or subscribe for any securities of the Company or any other 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 of the Company or any other company. Your attention is drawn to the risk factors set out below. This presentation may contain forward-looking statements including, but not limited to, comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, and other related matters. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. The Company s current projects in Serbia are at an early stage and all estimates and projections are based on limited, and possibly incomplete data. More work is required before geological and economic aspects can be confidently modelled. Actual results may differ materially from those currently anticipated in this present tion. No representation or prediction is intended as to the results of future work, nor can there be any guarantee that estimates and projections herein will be sustained in future work or that the Project will otherwise prove to be economic. The Slides and their contents are directed only at persons who fall within the exemptions from appl cable securities laws and persons to whom distribution may otherwise lawfully be made. Any investments, inves ment activity or controlled activity to which the Slides relate is available only to such persons and will be engaged in only with such persons. Peter Mullens Fellow AUSIMM. is a qualified person and has reviewed the technical information contained herein. 2

3 COMPANY OVERVIEW Tethyan Resources is a junior exploration company dual-listed on the TSX-V and London AIM markets. Concentrating on building shareholder value by acquiring a portfolio of early stage precious and base metals projects in the Balkans in Europe, with a focus on proven mineralisation and compelling drill targets. * Tethyan will no longer be listed on the AIM market as of 10 th November Focus on the Balkan region of the Western Tethyan Mineral belt Consolidating exploration licenses in the Raska Ore District, Serbia Historic mining district Drilling at new targets at Suva Ruda and Gokcanica projects o Potential for major copper-gold porphyry at Suva Ruda Attention to delivering shareholder value Management and shareholders aligned with Directors owning 10% of equity (bought) Agile and experienced Management team Proven track record High quality local Serbian team Project developer model Developing a portfolio of projects up the value curve 3

4 STRATEGY MARKET: TEAM: PROJECTS: PIPELINE: Using recent downturn in commodities markets to discover or acquire a quality portfolio of exploration projects which can be quickly moved to development stage. Established an efficient and capable local team to progress our projects. Directors have wide-ranging expertise, having been involved in numerous exploration and mine development successes. The Balkan region is emerging as a highly prospective yet underexplored area for copper-gold and base metal deposits. Tethyan has acquired projects with known mineralisation in proven mining districts in order to fast track to drilling and exploration success. Tethyan is actively reviewing new targets and intends to stake or acquire permits over promising mineralised systems in Serbia and the wider Balkan region (Bulgaria, Kosovo, Macedonia). CORPORATE RESTRUCTURING: Recently listed on the TSX-V for better access to North American exploration and mining market, and proposed 6:1 roll-back and de-listing from AIM Market approved by shareholder vote on 1 st November. 4

5 WHERE TETHYAN IS EXPLORING 5

6 Region of Tethyan s exploration WESTERN TETHYAN MINERAL BELT The Tethyan Mineral Belt extends over 10,000km from Asia to the Balkans and is comparable to the Andes and Western US & Canada yet significantly less explored Cretaceous and Tertiary age porphyry & epithermal copper, gold & base metal belts Number of significant districts & deposits: o Chelopech/Elatsite region - Bulgaria o Bor/Timok region Serbia o Trepca region Serbia & Kosovo o Rosia Montana Romania Under explored with modern geophysics and geochemistry, particularly for gold 6

7 SERBIA - A Welcoming Mining Jurisdiction A rare combination: stable government, pro-mining, low tax, good geology and open for investment in exploration Favourable new Mining Law enacted December 2015 : o Practical new law developed by interaction with stakeholders including local and international mining companies o 15% corporate tax o 5% net smelter royalty o 100% foreign ownership and repatriation of profits Favourable business jurisdiction as an EU candidate with political stability Excellent infrastructure and easy access to markets In-country expertise Low-cost operating environment Other active companies: o Eldorado Gold o Rio Tinto o Freeport McMoRan o Nevsun o Dundee Precious Metals 7

8 THE PROJECTS 8

9 RAŠKA DISTRICT Vojvodina The Raška District, situated in the south-west of the country, is one of the 29 administrative districts of Serbia. A region of historical mining, as a part of the former Trepca lead-zinc mining complex Pro-mining local workforce Existing infrastructure including: water source, grid electricity, roads, railway line to Adriatic Coast Identified copper-gold porphyry and epithermal vein deposits which are designated by Serbian Government as strategic minerals and therefore receive increased support for development Tethyan s Suva Ruda & Gokcanica Projects Kosovo 9

10 Acquired 297km² in Emerging Porphyry- Epithermal Belt CONSOLIDATING THE RAŠKA ORE DISTRICT Promising exploration licenses situated in a well-known historic mining district: Suva Ruda Project: Tethyan holds an option to buy 100% to December 2023 o 2 annual payments of Euro 100k to September 2019 o 100% buy-out for Euro 6 million, plus bonus payments to underlying owner relative to mine construction cost Potential for major porphyry copper-gold project at Rudnitza Tethyan recently drilled at Rudnitza: o 0.28% copper & 0.45 g/t gold (RDD-001) from surface Includes 1.45% copper & 0.4 gold (oxide) Gokcanica Project: Very large altered and mineralised system (7km x 3km), believed to host porphyry potential Kosovo Projects: Recently acquired grassroots exploration licenses containing lead and zinc occurrences in historic geology mapping 10

11 Total Alteration System 1500m SUVA RUDA PROJECT - RUDNITZA PORPHYRY Total alteration system covers 1500m by 600m area defined by coincident copper - gold - molybdenum anomaly in soil sampling, with two zones of greater than 0.1 g/t gold in soils: Southern porphyry zone Drillhole RDD-001 returned 567m at 0.28% copper and 0.45 g/t gold (includes 1.45% copper & 0.4 gold) 600m Northern Porphyry Zone Mineralisation remains open in all directions with little drilling to date Northern porphyry zone New 600m by 400m geochemical anomaly discovered by soil sampling in the north Never drill tested 750m Southern Porphyry Zone Possible double-headed porphyry with potential at depth Figure: The Rudnitza porphyry area, contoured gold in soil results highlight the two porphyry centres. Results for drillholes RDD-005 to RDD-008 are pending. 11

12 SUVA RUDA - DRILLING RESULTS Table below is to display the Rudnitza copper-gold porphyry drilling results in gold terms : Hole ID From Length (m) Cu (%) Gold (g/t) Gold Equivalent (g/t) RDD RDD RDD RDD RDD RDD RDD RDD Notes on calculations: 10m min comp length. 10m internal waste max, 0.3 trigger value AuEq Au $ 1200 per ounce Gold equiv Cu %* 1.57 Cu $ 2.75 lb 12

13 SUVA RUDA PROJECT RUDNITZA PORPHYRY GEOPHYSICS Tethyan recently ran Quantec s proprietary TITAN 24 IP technology in 10 lines over the Rudnitza porphyry to identify potential mineralisation. MT Resistivity Cross-Section to 1,500m Depth Interpretation of the data shows a significant coincident chargeability high and resistivity low from 300m depth to more than 1,500m. Individual anomalies combine into one large anomaly at depth. These results represent a significant exploration target for drilling in

14 SUVA RUDA PROJECT LEAD - ZINC POTENTIAL Two historic lead-zinc mines adjacent to the Suva Ruda License with combined historic (non-compliant) resources estimated in excess of 7Mt Kizevak mine mineralisation strikes onto the Suva Ruda License, historic drilling indicates good grades on the Suva Ruda license boundary Drilling peripheral to the Rudnitza porphyry intersected multiple lead-zinc veins as shown in table below: Drill Hole PDRC From (m) To (m) Intercept (m) Pb (%) Zn (%) Pb+Zn (%) Ag (g/t)

15 GOKCANICA PROJECT Tethyan has entered into a joint venture over the Gokcanica permits Vein outcropping over 150m returned up to 8.3 g/t gold in rock-chip samples, currently being mapped and sampled, possible drill target for early 2018 Porphyry-epithermal target situated 15km north of Rudnitza Roman workings on epithermal gold and silver targets Historic silver mine: Tethyan rock-chips up to 189 g/t silver and 0.73 g/t gold Deal o Spend $500k by 31st Decemeber 2018 to earn 51% o Complete PEA for 70% o Complete Feasibility study for 80% o JV partner fund or dilute to 1.5% NSR capped at $5 million TITAN geophysical survey completed in September

16 THE NEXT 6-12 MONTHS September 2017: Completed dual-listing on TSX-V o o Expected increased liquidity on share trading Gain access to North American Investors and Funds Late-September 2017: Completed major geophysical programme at the Rudnitza porphyry o o Tethyan have contracted Quantec s proprietary TITAN IP system, penetrating to 1,000m depth searching for high-grade porphyry core Interpretation of results expected early-november 1 st November: Shareholder meeting approved AIM de-listing and share roll-back (6:1) Early 2018: Drill programme o o Drilling IP targets for buried high-grade porphyry system & build the size of known resource 5 to 10 drill holes, 600m to 800m depth Ongoing: exploration on early-stage targets o o o Gokcanica project: high-grade gold veins recently discovered Lead & zinc targets within the Suva Ruda exploration license Kremic gold-copper-molybdenum anomaly: porphyry target 16

17 INVESTMENT CASE 17

18 INVESTMENT CASE Management has a proven track record of delivering shareholder value o They are an experienced and nimble team Focused on acquiring and developing projects and moving projects up the value curve Portfolio approach Consolidating Raska flagship area o Known mining district o Have potential flagship development project at Suva Ruda o Continuous news flow in Well established in the Balkan region of the Western Tethyan Mineral belt o Focused on Serbia a significant historic mining country o Ongoing exploration of wider Balkan region Strategy aims to create and develop shareholder value 18

19 Market Cap CAD$ Millions PEERS WITH PORPHYRY CU-AU PROJECTS Stages of Company Development Our Goal is for Tethyan to be re-rated higher price (Current market cap $C9 million). $640 $320 $160 $80 Lumina Gold, Cangrejos 202 m 0.1% Cu, 0.62 g/t Au Euromax 256 m 0.21% Cu, 0.32 g/t Au Sol Gold - Cascabel Norsemont, Constancia Cordoba Minerals 53 m 0.7% Cu, 0.37 g/t Au Antares, Haquira $40 $20 Mundoro Capital Medgold Panoro Minerals 521 m 0.29% Cu 0.18 g/t Au Rugby Mining $10 $5 Black Sea Staking Acquisition Tethyan First Drilling Resources Major Resource Buy Out 19

20 COMPANY CONTACT DETAILS For further information please visit or contact: Tethyan Resources plc SP Angel (Broker) + 44 (0) Cairn Financial Advisors LLP (Nomad) +44 (0) Blytheweigh (Financial PR) +44 (0)

21 APPENDIX 21

22 CORPORATE STRUCTURE & FINANCIALS Current corporate structure Share Price Graph - 12 month period Ordinary Shares in issue Shares not in public hands Total Directors Holding 168,182,052 70,433,336 (41.88%) 11.97% Warrants in issue Options Current Market Cap 105,560 at 3.48p & 2,341,500 at C$ ,100,000 at 5p & 3,400,000 at 2.4p 5 million (at 3p) Major Shareholders % Southern Arc Minerals 29.91% Pat DiCapo 5.4% Frank Brewer 5.3% Peter Mullens (CEO) 5.1% Khuanchai Siphakanlaya 4.0% Alan Fairless 3.0% Didier Fohlen 3.0 % 22

23 SUSTAINABILITY IS GOOD BUSINESS ENVIRONMENTAL STEWARDSHIP Management of drill pads includes: o environmental clean-up is continually carried out, including proper management of waste and safe disposal of drilling muds o rehabilitation of drill pads and access roads if the site is no longer needed Per agreements signed in June 2017 regarding use and maintenance of local roads, we pay for repair of damage to roads caused by contractors drilling rigs and mobile equipment SOCIAL RESPONSIBILITY Since May 2017, Tethyan has employed a full time Community and Land Officer in Raska Regular stakeholder engagement taking place with local authorities in Raska and community leaders in local villages Community newsletters are regularly prepared and disseminated locally Policies and procedures regarding land access, damage compensation, grievance management and community support initiatives publicly disclosed For exploration activities requiring access to private land, proper compensation is paid to owners in a fair and transparent way 23

24 BOARD OF DIRECTORS JOHN PROUST - Non-Executive Chairman John received the designation of Chartered Director (C.Dir.) from McMaster University, Directors College, Michael G. DeGroote School of Business. He is the founder and principal shareholder of numerous public and private companies. He has directed, managed and advised public and private companies regarding corporate strategy and structure, debt and equity financing, mergers and acquisitions, and corporate restructuring since Mr. Proust has held senior positions and served on the boards of many private and TSX-V/CSE listed companies. He is currently Chairman and CEO of Japan Gold Corp., Chairman and CEO of Southern Arc Minerals Inc., Chairman of Canada Energy Partners Inc., Interim President & CEO and a director of Outrider Energy Corp., and a director of Q Investments Ltd. FABIAN BAKER - Director, President & CEO BSc Applied Geology, MSc Economic Geology (ongoing). Experience in grassroots exploration through to completion of Bankable Feasibility in frontier and developing countries. Previous roles include Chief Geologist at Lydian International s newly discovered Amulsar gold deposit and Exploration Manager for Tigris Resources, an exploration company with a focus on an emerging gold and copper district in SE Turkey. Fabian was responsible for identifying the opportunities that lead to Tethyan s entry into the region and in his previous capacity as COO the management of exploration in Serbia and neighbouring countries was managed by Fabian. PETER MULLENS - Director, Senior Vice-President Exploration & Development Peter has over 30 years of extensive mining and exploration industry experience. He has successfully developed four Canadian-listed exploration companies and is credited with the discovery drill hole of Pico Machay in Peru and the acquisition of Navidad (700Moz silver), Calcatreu in Argentina (1Moz gold-silver) and Westmoreland in Australia (50Mlb s uranium). He has strong experience as a geologist and also in the commercial aspects of junior exploration companies including the evaluation of ore reserves, financial studies, mine plans, and the financing of junior exploration companies. He is currently the CEO of AIM listed Tethyan Resources (TSX.V:TETH) and also a Non-Executive Chairman of Royal Road Minerals Ltd (TSX.V:RYR). 24

25 BOARD OF DIRECTORS GOKHAN KANTARCIGIL - Non-Executive Director Gokhan has over 15 years experience in the gold trading, coal trading and mining industry. In 2007 he was one of the founders of a private Turkish mining and exploration company called VTG Holdings of which he was CEO until Gokhan has been involved in the discovery, construction and production of the Brummersheim coal project in South Africa which is currently producing in excess of 1 million tons of export quality thermal coal per year. In 2011, he bought the Caldag Nickel project located in Western Turkey from AIM listed ENK. He moved the project forward to a production decision and acquired all mining permits, environmental permits and social licenses needed and in 2014, he sold the project to a Turkish private company. Gokhan currently invests into gold and copper exploration projects in Eastern Europe and Latin America. DR MIKE ANDREWS - Non-Executive Director Mike is a geologist with more than 35 years of research and mining industry experience in gold, copper, coal and iron exploration. He holds an honours degree in Geology from the University of Reading, and a doctorate in exploration geochemistry from the University of Wales. Mike is currently President and Chief Operating Officer of Southern Arc Minerals, President and Chief Operating of Japan Gold, and a Director of Q Investments. He played an instrumental role in the discovery, exploration, feasibility and development of the Way Linggo Gold Mine in Indonesia. He also held the positions of executive director and chief geologist of AuIron Energy Ltd., Director of Gold Operations for Meekatharra Minerals Ltd., and managed the Teck-MM Gold Indonesian Joint Venture, an exploration portfolio of thirteen gold and copper projects in Indonesia. He also held senior exploration positions with Ashton Mining Ltd, Aurora Gold Ltd and Muswellbrook Energy and Minerals Ltd. 25

26 MANAGEMENT SOL THACKER - Chief Financial Officer & Corporate Secretary Sol is a Chartered Accountant and Member of the Institute of Chartered Accountants in Australia and holds a Bachelor of Business from the Queensland University of Technology. Sol has managed the accounts and administration of the Company s principal trading subsidiary, Tethyan Resources Jersey Ltd, for the past four years and therefore has detailed knowledge of the Company s operations. Additionally Sol has extensive experience in UK accounting standards and previously held the position of CFO of TSX-V listed Royal Road Minerals Ltd, making him well suited to the role. ALEKSA DJOKOVIC - Project Geologist With MSc equivalent in geology, Aleksa has 5 years of experience with exploration companies including Mineco, Dunav Resources and Avala Resources (now Dundee). Through this work he gained experience in various different types of mineral deposits in Serbia. Most recently he was a part of Mineco s Project Delivery Team where he gained significant experience from both underground and open pit operations and also strengthened his management and project leading skills. ANDJELIJA VUJOVIC - Office Manager Andjelija is a Serbian national, with a BSc in Management from London School of Economics (LSE) and an MBA degree from the International University of Monaco. She has more than 20 years of experience in public relations, public speaking, marketing and consulting specializing in innovation, place branding and place management. Andjelija has worked for Societe des Bains de Mer de Monaco and Fairmont Hotel, Monte Carlo, Monaco, as a strategy and innovation consultant, and was involved in overseeing innovation implementation. She is currently managing Tethyan s Belgrade office and assisting with local Serbian and international marketing and investor relations. 26

27 MANAGEMENT NICK SAVIC - Regional Manager A Serbian national, Nick qualified as a geologist in the late 70 s, following which he emigrated to Western Australia where he worked for a number of major companies for 20 years. Nick was approached by Dundee Precious Metals in the early 2000 s and asked to establish Dundee Precious Metals in Bulgaria and Serbia where Nick remained as Country Manager for a number of years. More recently Nick managed the country entry for First Quantum Minerals into Serbia. Nick has unparalleled exploration and related administrative experience in the Balkans region and is assisting and advising Tethyan on all local administrative aspects in Serbia and Bulgaria. MARKO MILETIC - Community & Land Officer Born Serbian and local to the Raska district (where the Suva Ruda project is located), Marko has been working for decades on administrative, and operations management jobs in Serbia and abroad. This experience in marketing, trade, and logistics industry has enabled him to gain valuable skills, such as leadership, organizational and time managing skills. Furthermore, working abroad (Africa) made him comfortable working in multinational and multicultural environment. Additionally he fluently speaks Serbian, English, and Spanish. Marko is leading Tethyan s community engagement and implementation of our environmental policy. TIJANA MOMCILOVIC - Geologist With MSc equivalent in geology, Tijana has more than 4 years experience with international and local exploration and mining companies in Serbia. Through this work she gained experience in different types of mineral deposits in Serbia, mostly porphyry and epithermal deposits. Tijana is focused on exploring for new areas of mineralisation within the Suva Ruda permit. 27