corporate presentation october 2015 - pasinex · 2018-06-19 · exploration companies larry seeley...

Resources Limited

Corporate Presentation October 2015 CSE: PSE | FSE: PNX

October 2015 1

Resources Limited

Disclaimer

The information contained in this presentation is provided by Pasinex Resource Limited. (“Pasinex”) for informational purposes only and does not constitute an offer to issue or arrange to issue, or the solicitation of an offer to issue, securities of Pasinex or other financial products. The information contained herein is not investment or financial product advice and is not intended to be used as the basis for making an investment decision. The views, opinions and advice provided in this presentation reflect those of the individual presenters, and are provided for information purposes only. The presentation has been prepared without taking into account the investment objectives, financial situation or particular needs of any particular person. No representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and conclusions contained in this presentation. To the maximum extent permitted by law, none of Pasinex nor its directors officers, employees or agents, nor any other person accepts any liability, including, without limitation, any liability arising out of fault or negligence, for any loss arising from the use of the information contained in this presentation. Except for statements of historical fact, this presentation contains certain “forward-looking information” within the meaning of applicable securities laws. Forward-looking information is frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate” and other similar words, or statements that certain events or conditions “may” or “will” occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking statements, including, among others, the accuracy of mineral grades and related assumptions, planned expenditures, proposed exploration and development at the Golcuk Copper/Silver Project, the Horzum Zinc/Lead Project and the Dadak Copper / Gold Project. Pasinex undertakes no obligation to update forward-looking information if circumstances or management’s estimates or opinions should change except as required by law. The reader is cautioned not to place undue reliance on forward-looking statements. This presentation includes industry, market and competitive position data from industry journals and publications, data on websites maintained by private and public entities, including independent industry associations, general publications and other publicly available information. Pasinex believes that all of these sources are reliable, but we have not independently verified any of this information and cannot guarantee its accuracy or completeness. Industry publications and surveys generally state that they have obtained information from sources believed to be reliable, but do not guarantee the accuracy and completeness of such information. Further, because certain of these organizations are industry organizations, they may present information in a manner that is more favourable to the industry than would be presented by an independent source. In addition, forecasts are often inaccurate, especially over long periods of time. References in this presentation to research reports or articles should not be construed as depicting the complete findings of the entire referenced report or article. The information in each report or article is not incorporated by reference into this presentation.

2 October 2015 2 CSE: PSE | FSE: PNX

Resources Limited

Capital Structure


SHARE STRUCTURE AS OF MARCH 2015

Shares Issued & Outstanding 82.7 M

Warrants 12.2 M

Options 3.1 M

Shares Fully Diluted 98.0 M

52 Week Range $0.05 – $0.17

*>70% of the shares held by management & insiders ** Warrants range from 0.10 CAD to 0.20 CAD; see Appendix *** Options @ 0,14 CAD

Resources Limited

Positioned for Growth in Zinc & Base Metals

Focus on historic zinc belt

in south-east Turkey (Adana)

Pipeline of high grade projects

near historic Horzum Zinc Mine

(around 1 Mt @ 28% Zn)

• Pinargozu (Starter Project)

• Akkaya and 8 new properties

Direct shipping high grade zinc product

Cash flow in 2015

District potential in Horzum area

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Akmetal visitor group at Pasinex booth, PDAC 2014

October 2015 4 CSE: PSE | FSE: PNX

Resources LimitedPositioned for Growth in Zinc & Base Metals - What differentiates Pasinex?

Centred on the Pinargozu / Horzum region zinc project

The keys to growth and success:

• High grade mineralisation (around 30% Zn)

• Direct shipping zinc product

• Strong joint venture with Akmetal

• Akmetal bring strong mining capability

• Equipment and people to get in and start producing

• Virtually no infrastructure required

• 2kms to major highway

• 1 ½ hours to major city (Adana)

• 2 ½ hours to port of Mersin

• Strong leadership and focus

• Focused on building a strong new zinc company


Resources Limited

Pasinex Corporate Structure

6 October 2015

[Pasinex Resources Ltd.] CSE:PSE

[Pinargozou, Akkaya] Zinc exploration &

production

[Horzum JV] 50/50 with Akmetal

A.S

[Golcuk] 100%

[Pasinex Arama ve Madencilik A.S.] Ankara Office

Resources Limited

Board of Directors

Steve Williams – President, CEO and Chairman

Metallurgical degree and MBA and over 30 years in the mining industry

Ex Managing Director of SGS Canada

Sven Olsson – 15 years in capital raising for junior exploration

John Barry – Experienced Zn geologist ex CEO Rathdowney Resources

Jonathan Challis – Mining engineer with many Directorships and senior roles with juniors

Vic Wells – Financial and legal expert was CFO / Director for a number of junior exploration companies

Larry Seeley – ex VP Falconbridge Mining, ex-President Lakefield Research

Joachim Rainer – involved in entrepreneurial finance in from Austria

Advisors to the Board

• Gary German – Director Nevsun Resources Ltd

• Gerard Munera – Director Nevsun Resources Ltd


Resources Limited

Strategic Joint Venture – Akmetal AS

Akmetal AS – large producer of chromite in Turkey and interests in an operating gold and base metal mines in Turkey

Part of the large privately owned Kurmel Group

• interests in dairy, agriculture, mining, textiles, tourism real estate and construction

50 / 50 joint venture with Pasinex

Akmetal brings proven mining experience and mining wherewithal

Pasinex brings leading technical knowledge


Resources Limited

Pasinex Projects in Turkey – Zinc Focus at Horzum

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Large zinc district potential

Turkey is very under-explored particularly for base metals

Infrastructure is very strong in Turkey

Access to major roads, port (Mersin), major airport (Adana), HV electrical

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Resources Limited

Horzum JV Location

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Horzum zinc district – carbonate replacement zinc

Mineralization on strike with a major fault

Portfolio of 10 properties


Resources Limited

New Properties – Increased Zn Opportunity

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Horzum zinc district – carbonate replacement zinc

New properties staked Aug 2015

Strong Zn mineral potential


Resources Limited

Horzum Regional Zn Project, Adana

Held by Horzum JV ( 50 / 50 Pasinex and Akmetal)

• A regional Zn project

Carbonate Replacement type (CRD) Zn deposits

Historic zinc mining

• Akmetal’s Horzum mine – around 1 M t of 28% Zn (oxide) from 1974 – 1996

• Small scale mining throughout the area

Major exploration and development underway

• Pinargozu high grade Zn mineralization (+25% Zn)

• Building resource in Pinargozu

• Akkaya early drilling

• New properties – early exploration

Production now sold over 10,000 tonnes

• On going mining and production

• About 8.8 million lbs of Zn produced to date


Resources LimitedCross Section Through the Old Horzum Zinc Mine - Template for Pinargozu

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Mined from mid 1970s to early 2000

Indicates the potential of the Horzum region


Resources Limited

Mine Model of Historic Horzum Mine

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High Grade Zinc Oxide in Karstic Cave Structures


Resources LimitedEarly Drill Success at Pinargozou – opened the opportunity

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Planview Pinargozou 3D view looking North

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Borehole PPU14-15 (2014) intersected 16.80 m @ 39.0% zinc 1.6% lead and 85 g/t silver

Mineralization is open at depth, and at the same stratigraphic level as the Horzum Mine Systems

CSE: PSE | FSE: PNX October 2015

Resources LimitedPinargozu: Drilling in 2015

PINARGOZU SURFACE DIAMOND DRILLING

• 34 Boreholes in 2015 (by Sept)

• Totally 4096m of drilling

• High portion intersected mineral

16 16 October 2015

Resources LimitedPinargozu: Drilling in 2015

PINARGOZU UNDERGROUND DIAMOND DRILLING

• 28 Boreholes in 2015 (to Sept)

• Totally 1905m of drilling

• Many intersected mineralisatiion between 679m to

655m level

• New underground drill site prepared in Sept 2015 to

permit deep drilling underground

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Resources Limited

Pinargozu: Drilling - September 2015

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Oblique view, looking north-east, of the mining area at the Pinargozu mine, showing the extent of mining and drilling to September 2015

October 2015

Resources Limited

Produced Ore

Remaining Ore (Current production area)

LEGEND

Pinargozu: Detail of mining - September 2015

19 October 2015

Resources Limited

690m level lighting and emergency alarm and

communication system

Pinargozu: Underground Installations

20 October 2015

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Telescopic poles are using along the filling work at 722m

Pinargozu: Underground mining backfill operations

21 October 2015

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Pinargozu: Conclusions from recent drill results

From a total of 38 surface drill holes completed in 2015, many intersected mineralisation - the mineralized zone situated to the north east of underground mine development at Pinargozu Mine.

A total of 11 holes at depth have intersected mineralisation

Mineralization intersected in recent boreholes has confirmed the apparent continuation of high-grade zinc mineralization to the north east and to the north at Pinargozu, which is accessible from existing workings

The resource is growing

New target of deeper mineralisation – drilling to begin very soon

22 October 2015

Resources Limited

Possible mineralisation trend zone of Pinargou

Pinargozu: Fault controlled mineralisation Opportunity on strike (over 1 km)

23 October 2015

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Financial results of the Horzum JV to June 30 2015 - Pinargozu mine is profitable!


Balance Sheet at June 30, 2015:

TRY ($) CAD ($)

Current assets Cash and prepaid expenses 30,245 13,855 Accounts receivable 4,591,568 2,103,397 Inventory 2,333,722 1,069,078 Non-current assets Plant and equipment 351,962 161,234 Property costs 1,784,979 817,699 Other non-current assets 1,569 719

Total Assets 9,094,045 4,165,982

Current liabilities 3,508,741 1,607,354 Due to JV partners 4,005,398 1,834,873 Share capital 125,000 57,263 Surplus (deficit) 1,454,906 701,556 Foreign exchange difference - (35,063)

9,094,045 4,165,982

Statement of Operations Profit and Loss for the Six Months Ended June 30, 2015:

TRY ($) CAD ($)

Gross sales 3,891,159 1,782,540 Cost of sales (2,269,608) (1,039,707) General and administrative expenses (92,242) (42,256)

Net income for the period 1,529,309 700,576

Resources Limited

Akkaya – Horzum JV Project - large geochem signal

. Drilling underway

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Akkaya

Pinargozu

Horzum

0 5 10 Kilometres


Resources Limited

Pinargozou Strategy – Deliverables & Budget

Pinargozu status • Producing and profitable mine • First Drill Success from level 707: 16.9 m of 39% Zn, 85 gpt Ag • Best intercept 35.5 m at 37.7% Zn (March 2015) • Mining to date at 25 - 30 tpd high grade ore (direct shipping material)

To date • Approximately 13,000t of oxide ore mined

at +30% Zn or about 8.8 M lbs contained Zn

Plan 2015 • Drilling from both surface and underground • Grow aggressively the resource • Increase mining rate at mine to about double

JV budget until 2015 $2.0 M

• Mine cash flow to finance exploration

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Resources Limited

Golcuk – An Emerging Cu Project

Very Prospective Cu / Ag project • Volcanic Red bed Cu / Manto type Cu deposit • Same style as Keweenaw projects in Michigan

(White Pine mine)

Acquired in September 2012

Option agreement with Eurasian Minerals Inc. • 3,000,000 shares in tranches over 4 years • 2.9% NSR royalty which can be bought down

to 2.0% with $1M in up to 6 years • 100% Pasinex owned

Significant Cu anomalies on the site • Phase 1 Drilling Dec 2012 to Feb 2013 – best hole

nearly 10 m at 3% Cu • Phase 2 drilling confirmed Manto Copper Style

mineralization up to 2% Cu


Resources LimitedGolcuk Project – Golcuk South: Indications of Larger Regional Copper Opportunity

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Figure 1: Copper levels (in percent) in rock samples from Golcuk South. Sampled area 300 m x 700 m

Figure 3: Length-weighted copper averages for channel sampling clusters at Golcuk South, showing three new (November 2013) clusters of channel sampling plotted in red (clusters 11 to 13) of up to 1.4% Cu


Resources Limited

Future Direction

Next 12 months: drive Pinargozu project to first resource definition on cash flow generated from mining

Drilling at Horzum region project

• Pinargozu drilling to continue through all 2015

• Aggressively grow Pinargozu resource

• Akkaya drilling in 2015

• Akmetal AS drill equipment and crews carrying out current drilling

• Commence early exploration on 8 new properties

• Increase mining production rate at Pinargozu to double current output (Q1 2016)

Growing a strong Zn resource at Pinargozu

Mining underway - to pay for exploration

Increased Zn exploration opportunities


Resources Limited

Canada Main Office Pasinex Resources Limited Suite 501 133 Richmond Street W Toronto, Ontario M5H 2L3 Tel +1 416 861 9659

Ankara Office, Turkey Koza Sokak 53 / 5 06700 Cankaya, Ankara Tel +90 312 441 1318 Fax +90 312 441 1319

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Office of President, Canada Tel +1 705 292 8116 [email protected]

General Information

[email protected]

CHF Investor Relations 90 Adelaide Street West Suite 600 Toronto, Ontario M5H 3V9 Cathy Hume Tel +1 416 868 1079 ext.231 [email protected]


Contact

mailto:[email protected]

mailto:[email protected]

Resources Limited

Appendix: Turkey – A Great Place to be

Pro-business and Pro-mine development • 16th largest economy in the world

• Great infrastructure

• High voltage electricity lines near all Pasinex properties

Up to 30,000 mining licenses available in the next few years • Licenses relinquished by small private Turkish parties - they cant afford to explore

• Available for auction or staking or private deals

Excellent geology, very under explored • Resources of precious and base metals plus chromite, boron, iron ore and coal

Large new mine developments • Includes Eldorado Gold’s Kisladag, Efemcukuru, Koza Gold’s Ovacik & First Quantum’s

Cayeli Bakir mines

Very favorable Capex and Opex cost base (vs Canada, Australia)


Resources LimitedAppendix: Drilling at Pinargozu

PINARGOZU SURFACE DIAMOND DRILLING

•CORE BOX PHOTOS

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PPS15_012 PPS15_014 PPS15_013

October 2015

Resources Limited

Appendix: Horzum JV Infrastructure


Resources Limited

Appendix Golcuk Project - “Main Zone” Drilling

Best Pasinex Drill Hole 2.97% Cu in 9.7m (January 2013)

• Historic and Pasinex drilling in the Golcuk Main zone

• ‘Manto’ style mineralization

• Mineralization (Cu as chalcoite / bornite with Ag) trends NE


corporate presentation october 2015 - pasinex · 2018-06-19 · exploration companies larry seeley...

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