1 / 27

A huge gold-copper project A well respected management team Chile- a safe & stable investment regime

A huge gold-copper project A well respected management team Chile- a safe & stable investment regime Cautionary Statement

libitha
Download Presentation

A huge gold-copper project A well respected management team Chile- a safe & stable investment regime

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. A huge gold-copper project • A well respected management team • Chile- a safe & stable investment regime

  2. Cautionary Statement Cautionary Note to U.S. Investors – The United States Securities and Exchange Commission (“SEC”) permits mining companies in their filings with the SEC to disclose only those mineral deposits that a company can economically and legally extract or produce. We use certain terms in this presentation, such as “inferred resource”, that the SEC guidelines strictly prohibit us from including in our filing with the SEC. U.S. investors are urged to consider closely the disclosure contained in our annual report on Form 40-F.. You can review and obtain copies of our filings from the SEC’s website at http://www.sec.gov/edgar.shtml. This document and the information contained in it do not constitute a prospectus and do not form any part of an offer of, or invitation to apply for, securities in any jurisdiction. Potential investors should no rely solely on the information contained herein prior to making any investment decision. Investors should seek independent advice from a qualified finance and investment advisor, giving due regard to their own personal circumstances, prior to forming any investment decision Safe Harbour Statement - This presentation may contain certain “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995. These statements reflect our current belief and are based upon currently available information. Actual results could differ materially from those described in this presentation as a result of numerous factors, some of which are outside of the control of Exeter. Many of the assay results presented are preliminary and may not be accurate due to various factors, including but not limited to sample recoveries, true widths and interpretations.

  3. Capital Structure – July, 2010

  4. Experienced Management Team • A Strong Board

  5. Corporate Snapshot • Market Capitalization: C$500m (at C$6.50) • 0.32 ounces gold and 60 pounds copper per share • Low Gold Discovery cost Caspiche $2/oz. • Budget $20M to Jun 2011

  6. Key Projects in the Maricunga Belt, Chile Resource: 2.6 million oz gold Annual production: 226,000 oz. gold Maricunga Belt Resource: 5.9 million oz gold Annual planned production: 350,000 oz. gold La Coipa Mine (Kinross) CHILE Resource: 8.8 million oz gold Annual production: 223,000 oz. gold equiv. ~ 60km Lobo-Marte (Kinross) ~ 40km Indicated: 14.3 million oz gold, 3.5 billion lbs copper, 40 million oz silver, Inferred: 10.0million oz gold, 2.9 billion lb. copper, 11.3 million oz. silver Total : 41.7 M oz gold equiv. Maricunga Mine (Kinross) ~10km Copiapo ARGENTINA Caspiche ~20km Cerro Casale (Barrick-Kinross) Resource: 28.8 million oz gold, 79.5million oz silver, 7.8 billion lbs copper Life of Mine production to be 13.9 million oz. gold, 21.7 million oz. silver, and 1.8 million metric tons copper ~100km Vallenar M&I resource of 558 million metric tons at 0.55% copper and 0.5 g/t gold El Morro (Goldcorp-New Gold) ~70km Pascua Lama Mine (Barrick) Veladero Mine (Barrick)

  7. Exeter’s Caspiche gold-copper discovery Cerro Casale (Barrick-Kinross) 28.8 million oz. gold resource Maricunga Mine (Kinross) 8.8 million oz. gold resource Caspiche Porphyry Discovery The Caspiche, Chile discovery is very close to 2 world class gold deposits. Caspiche subject to a 3% NSR to Anglo American. The porphyry gold-copper target is extremely large and our successful program is transforming Exeter into a mid-tier gold company.

  8. NI43-101 Compliant Indicated/Inferred Resource by AMEC International Open Pit Mining Combined followed by Underground Mining Resource for AMEC calculation parameters, please refer to the 43-101 report on Exeter website

  9. NI43-101 Compliant Inferred Resource Estimate by AMEC International Parameters Used by AMEC for Estimating Resource • *AMEC chose to report the resource above a Au equivalent using prices of US$950/oz for Au and $2.30/lb for Cu. • The formula used to calculate Au equivalents is Au(g/t) + Cu (%) x (Cu Price [$/lb]/Au Price [$/oz]) x (Rec Cu/Rec Au) x 0.06857*10000 where Rec = % recovery and 0.06857 = conversion g x lb/oz. Au and Cu are the block kriged Au and Cu grades. • Projected metallurgical recoveries were 75% and 85% for Au and Cu respectively in sulphide material and 50% for Au in the oxide zone. Recoveries are based on benchmarking of similar deposits. • The underground resource shell is defined assuming a block caving mining method and appropriate mining costs. The block caving mining method does not permit any selectivity during the mining process and all material within the underground resource shell is therefore considered a resource.

  10. March 2010 AMEC Block Model OPEN PIT followed by BLOCK CAVE - 4000RL view AMEC OPEN PIT AMEC BLOCK CAVE 1 km ½ mi Section position March, 2010 BLOCK MODEL LEGEND Exeter Drilling included in resource 33,392m

  11. March 2010 AMEC Block ModelOPEN PIT followed by BLOCK CAVE - 4000RL view Late Diatreme Breccia AMEC OPEN PIT AMEC BLOCK CAVE 1 km ½ mi March, 2010 BLOCK MODEL LEGEND 1 km ½ mi

  12. Exeter Drilling to July 2010

  13. 2009/2010 Drilling Season suspended 14th May, 2010 Drilling pre interim resource 35,133m (announced April 6, 2010) Drilling post interim resource 20,217m

  14. Development Schedule Resource Estimate Update Current Street Valuation: US$20 to US$25 per Au Oz With Development Studies: 0.9 x NPV Development Study Update • Americas gold development companies • trade at a multiple to project NPV: • At US$800/oz Au0.9x • Average Values US$40-$60/oz Au Before Development Studies

  15. DEVELOPMENT ACTIVITIES

  16. Mine Development Options Under Consideration • Initial Mine Development and Infrastructure Studies undertaken by Santiago-based NCL Ingenieria y Construccion • Three Mining Scenarios Considered: • “Super Open Pit” (Oxide + Sulfide) to >1km depth • 100MT Oxide Ore + 1.017BT Sulfide Ore • Strip ratio 2.43:1 • Oxide Ore Mined in Open Pit and All Sulfide Ore Underground • 100Mt Oxide Ore in OP with strip ratio of 0.29:1 • All Sulfide Ore mined UG through block caving • Intermediate Depth Open Pit and Sulfide Underground • Open Pit Mining to 600m depth (Oxide + Sulfide Ores) • Underground Block Cave on sulfide ore below 600m • Preferred Option

  17. Schematic Development • Preferred Option for the 2009 Resource (not updated for new resource) • Open Pit to 600 metres, and underground block cave below • Includes Oxide Ore Open Pit + Heap Leaching of 100Mt of ore - 1.7M oz Gold - strip ratio 0.3:1 • Total Open Pit (Oxide + Sulfide Ores) - 10.4M Oz Gold + 2B. lbs. Copper – strip ratio 1:1 • Underground Mining - 343MT at 0.65 g/T Gold + 0.29% Copper (7.1Moz Gold, 2.2B. lbs Copper) Waste Dump Crusher Open Pit to 600m (Captures 570MT Oxide + Sulfide Ore) Access and Overland Conveyor UG Block Cave below 600m UG Conveyor To Mill View to North East

  18. PROPOSED INFRASTRUCTURE: Cerro Casale & Caspiche

  19. Oxide Ore Metallurgy Maricunga Mine (Kinross Gold) oxide ore leach pads and infrastructure located15 km north of Caspiche • Oxide Ore • Flat lying blanket (+100m) • Minimal copper content • Bulk mining/low costs • Early cash flow 2009 Column Testwork • 2010 Testwork Program • McClelland Laboratories • (Heap leaching specialists) • 11 new composite samples • 29 new column tests • Extrapolation of results to possible run of mine leaching • Program is Underway

  20. Sulfide Gold-Copper Metallurgy • Large tonnages, relatively low grades – must use flotation • Copper minerals: chalcopyrite ± 80%, bornite, enargite, chalcocite • So test conventional copper porphyry flowsheet schemes Initial targeted Copper Recovery Initial targeted Gold Recovery • Copper recovery optimisation - first stage completed • Gold recovery optimisation – first stage commencing LSHA Low sulfide/high arsenic HSLA High sulfide/low arsenic LSLA Low sulfide/low arsenic HSHA High sulfide/high arsenic

  21. Concentrate Treatment Options • Testwork indicates the average arsenic content of Caspiche copper-gold sulfide concentrates exceeds acceptance levels by smelters. • 1. SNC Lavelin engaged in 2009 by Exeter to perform a Scoping Study to consider proprietary processing routes to either: • Treat the concentrate to produce a “clean concentrate” for sale to conventional smelters (2 process options), • or • Produce cathode copper and gold dore at Caspiche using hydrometallurgical processes (6 process options). • 2. SNC Lavelin and Exeter agree on one preferred process for each route • Reductive Roasting to produce clean concentrates, and • High TemperaturePressure Oxidation to produce cathode/dore • Pilot plant flowsheet test late 2010 - 50-70 kg. concentrate for testwork of both process options

  22. Concentrate Treatment Options Scoping Study by SNC Lavelin - 8 treatment options : Select preferred two options for testing from pilot plant • REDUCTIVE ROASTING • Produce a “clean concentrate” for conventional sale • Low upfront capital costs • Proven technology • HIGH TEMPERATURE PRESSURE OXIDATION • Produces LME grade copper and gold dore • directly • Low realisation costs of 2 to 4 USc/lb. copper • (direct shipping of metal, not concentrate) • Proven technology

  23. Historic and Current Sale Prices of Gold Projects **Gold equivalence for copper was calculated by AMEC using assumed metal prices of US$950/oz for au and $2.30/lb for cu

  24. Exeter in an Industry Context • Despite record gold exploration expenditure the rate of mega discoveries (+5 million ounces) continues to drop. • New discoveries currently replace only half of current production. • Technology improvements and increased demand have lead to a drop in average mine head grades over time. • Industry discovery costs now average approximately US$50 per ounce (cf. Caspiche at <$2 per ounce)

  25. Exeter in an Industry Context • The Fraser Institute’s 2010 survey on political risk placed Chile 5th out of 72 • mining jurisdictions. • Gold remains the best currency as paper currencies continue to depreciate against it.

  26. Mining Analyst Coverage by Canadian Brokerage Firms Mr. Wendell Zerb Mr. Daniel Earle wendell.zerb@canaccordadams.comdaniel.earle@tdsecurities.com 604.643.7485 416 308 7906 Mr. David West Mr. Wayne Hewgill dwest@salmanpartners.com whewgill@pifinancialcorp.com 604-622-5569 604 718 7552 Adam Graf John Hayes agraf@dahlmanrose.comjohnp.hayes@bmonb.com 212-702-4504 416 359-6189

  27. Caspiche- November 2009

More Related