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CANADA’ S NEWEST COPPER AND GOLD PRODUCER
“BRINGING OUR VISION TO LIFE”
MINING MILLING MARKETS
INVESTOR ROADSHOW OCTOBER 2013
FORWARD LOOKING STATEMENT Cau$on Regarding Forward Looking Statements: Certain informa=on included in this presenta=on, including informa=on rela=ng to future financial or opera=ng performance and other statements that express the expecta=ons of management or es=mates of future performance cons=tute “forward-‐looking statements”. Such forward-‐looking statements include, without limita=on, statements regarding copper, gold and silver forecasts for fiscal 2014 (including the informa=on provided in any tables rela=ng to produc=on and concentrate forecasts for fiscal 2014), the financial strength of the Company, es=mates regarding =ming of future development and produc=on and statements concerning possible expansion opportuni=es for the Company. Where the Company expresses or implies an expecta=on or belief as to future events or results, such expecta=on or belief are based on assump=ons made in good faith and believed to have a reasonable basis. Such assump=ons include, without limita=on, the price of and an=cipated costs of recovery of, copper concentrate, gold and silver, the presence of and con=nuity of such minerals at modeled grades and values, the capaci=es of various machinery and equipment, the availability of personnel, machinery and equipment at es=mated prices, mineral recovery rates, and others. However, forward-‐looking statements are subject to risks, uncertain=es and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-‐looking statements. Such risks include, but are not limited to, interpreta=on and implica=ons of drilling and geophysical results; es=mates regarding =ming of future capital expenditures and costs towards profitable commercial opera=ons. Other factors that could cause actual results, developments or events to differ materially from those an=cipated include, among others, increases/decreases in produc=on; vola=lity in metals prices and demand; currency fluctua=ons; cash opera=ng margins; cash opera=ng cost per pound sold; costs per ton of ore; variances in ore grade or recovery rates from those assumed in mining plans; reserves and/or resources; the ability to successfully integrate acquired assets; opera=onal risks inherent in mining or development ac=vi=es and legisla=ve factors rela=ng to prices, taxes, royal=es, land use, =tle and permits, impor=ng and expor=ng of minerals and environmental protec=on. Accordingly, undue reliance should not be placed on forward-‐looking statements and the forward-‐looking statements contained in this press release are expressly qualified in their en=rety by this cau=onary statement. The forward-‐looking statements contained herein are made as at the date hereof and the Company does not undertake any obliga=on to update publicly or revise any such forward-‐looking statements or any forward-‐looking statements contained in any other documents whether as a result of new informa=on, future events or otherwise, except as required under applicable law. RMM’s qualified person, Mr. Larry Pilgrim, P. Geo., is responsible for verifica=on and quality assurance of the explora=on data and the analy=cal results set forth in this presenta=on. RMM is in full compliance with all NI43-‐101 rules and regula=ons.
2
COMPANY VISION
3
“Atlantic Canada’s Leading Mine Operator And Resource Developer”
CORPORATE INFORMATION
4
Management George Ogilvie, P. Eng. (CEO, Director), Norman Williams, CA, (CFO), Peter Mercer (VP Corporate Development), Tim Sanford, P. Eng. (VP Technical Services) and Bob McGuire, P. Eng. (General Manager) Board of Directors and Officers Harry Dobson, John Thomson, Brian Hinchcliffe, Stanley Neamoni=s, Leslie Goodman, Dalis Chan and Eason Chen Market Facts (Sept 23, 2013 ) Shares Outstanding: 143,280,614 Op=ons: 4,100,000 Fully Diluted: 147,380,614
Current Share Price: £ 0.24 52 Week Range: £ 0.23 -‐ £0.39 Market Cap: £ 35 M Cash at Bank: £ 4.0 M* Debt: £ 3.4 M (*Plus an Addi=onal £2 M in Credit Facility)
MAJOR SHAREHOLDERS
5
Holder Shares Percent
1. Henderson Global Investors 24,427,575 17.05
2. Tinma Interna=onal Limited 22,736,992 15.87
3. Legal and General Investment 17,575,000 12.27
4. Majedie Asset Management 9,043,597 6.31
5. Whitmill Trust Co Limited 8,838,000 6.17
6. Vestra Wealth LLP 5,827,698 4.07
7. Northern Trust Global Investments 5,415,000 3.78
8. SVM Asset Management Ltd. 4,360,000 3.04
Total Insiders 98 M 69%
Average Trading Volume on AIM – 290,671 shares
Average Trading Volume on TSX-‐V – 43,042 shares
as of Sept 2013
LOCATION
6
ü Paved Roads ü Fresh Water ü Electrical Grid ü Community ü Airports ü Port ü Permimed Mill ü Permimed Tailings ü 150Km Proximity ü Geo-‐Poli=cal ü Socio-‐Economic ü Tax Regime
Krissy Buckle
Hammerdown Mine & Orion Deposit Little Deer
Project
Ming Copper-Gold Mine
Nugget Pond Mill/ Crown Pillar
Goodyear’s Cove Port
MAJOR ASSETS
7
Ming Copper-Gold Mine, Baie Verte, NL, Canada
The Ming Copper-‐Gold Mine is 100% owned by Rambler and was brought back into produc=on in December 2011. Ini=ally producing Gold Doré before switching over to Copper Concentrate produc=on with Gold and Silver credits in the concentrate from May 2012.
Nugget Pond Mill, Snook’s Arm, NL, Canada
In 2009 the Company acquired 100% ownership of the 500 mtpd Nugget Pond Gold Hydrometallurgical Mill for C$ 3.5M from Crew Gold. Prior to Crew Gold the Mill was owned by Richmont Mines. The Company then invested C$15M in a new 1,000 mtpd copper flota=on circuit giving the mill dual func=onality of producing a Gold Doré or Copper Concentrate. The plant has a permimed tailings pond with a minimal 10 year life that could be significantly increased with raising of the two impoundment dams. Replacement value of C$60M.
Goodyear’s Cove Port Facility, South Brook, NL, Canada
A permimed deep water port with all year round access giving Rambler access to the North American and European shipping lanes. The port facility has a 15,000 wmt concentrate storage facility capable of loading ships at a rate of 850 wmt per hour.
OTHER ASSETS
8
Krissy‘s Buckle Property, Baie Verte, NL, Canada
A greenfield 2,300 Hectare Gold property within 35Km of the Nugget Pond Processing Plant. The greenfield property is 100% owned by Rambler and has anomalous Gold samples including 10.51 g/t over 1.7 metres within 10 metres from surface
50% Interest in “The Little Deer Project” , Springdale, NL, Canada
Rambler recently entered into an agreement to purchase Cornerstones 50% interest in the project for $550,000 consis=ng of $200,000 in cash and $350,000 in Rambler shares. The project consists of the former producing Copper Mines of Limle Deer and Whalesback that jointly have a historical resource of 2.7Mt grading 2.16% Copper (129 M lbs. Cu) in the indicated category and 4.2Mt grading 2.07% Copper (191 M lbs. Cu) in the inferred category. The Limle Deer Project is located less than 140 kilometres from the Company’s Nugget Pond base and precious metals processing facility and only 30 kilometres from the Goodyear’s Cove Port Facility. The Mines closed in 1974 when the copper price was 50 cents per lb. Copper.
Minority 18% Equity Stake in Maritime Resources (Greenbay Properties, Springdale, NL, Canada)
Mari=me owns the former producing Hammerdown Gold Mine situated within 150 kilometres of the Nugget Pond Mill and 20 kilometres from the Goodyear’s Cove Port Facility. Formally owned by Richmont Mines the Mine produced 143,000 oz. Gold over a 4 year period mining 291,400 tonnes at a head grade of 15.8 g/t with a 97% Gold recovery through the Nugget Pond Mill. The Mine closed in 2004 when the gold price was $325/oz.
NI43-101 RESOURCE (AS OF AUGUST 2012)
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Classifica3on
Quan3ty Grade Contained Metal
(000't) Copper %
Gold g/t
Silver g/t
Zinc %
Copper tonnes
Gold oz
Silver oz
Zinc tonnes
Measured and Indicated Resources
1807 Zone 401 3.83 1.79 7.21 0.72 15,358 23,077 92,955 2,887 Other Massive Sulphide Zones 1,673 1.80 2.06 8.58 0.44 30,035 110,999 461,230 7,280
Total Massive Sulphide Zones 2,074 2.19 2.01 8.31 0.49 45,393 134,077 554,185 10,168
Stringer Sulphides LFZ + UFZ 18,291 1.43 0.09 1.35 0.01 261,561 52,926 793,893 1,829
Total Copper Resource 20,365 1.51 0.29 2.06 0.06 306,954 187,003 1,348,078 11,997
Total Gold Resource (1806 Zone) 257 0.60 3.61 27.82 1.16 1,542 29,822 229,869 2,981
PHASE I PRODUCTION
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Historically Mined Area
1807 Zone 401 Kt @ 3.83% Cu & 1.79 g/t Au
1806 Zone 257 Kt @ 0.61% Cu & 3.61 g/t Au
South Zone (upper) 134 Kt @ 3.23% Cu & 1.12 g/t Au
South Zone (lower) 1,108 Kt @ 1.64% Cu & 2.24 g/t Au
North Zone
ShaR Ramp
Open at Depth
Measured
Indicated
Inferred
All tonnes and grades are measured and indicated combined
MING COPPER GOLD MINE
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OPERATIONAL REVIEW
HEALTH & SAFETY
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1 4
5 4
6
4
0 0
13.7
11.6
0 0
4.3
6.4
4.3
0 0
2
4
6
8
10
12
14
16
0
5
10
15
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Freq
uency Ra
te
Num
ber
Fiscal Year
Fatali=es Lost Times Medical Aids Total Injury Freq. Rate
• 1 LTA in 7 Years of Con=nuous Opera=on • 730 Days Since Last Lost Time Accident • 123 Days Since Last Medical Aid
Dewatering Construc=on
Produc=on
Target
• Fiscal 2014 TIFR Target < 3 • Over 1,000,000 Manhours Worked
GOLD PRODUCTION – 1806 ZONE
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428 3,145 2,690 2,608 2,713 3,333
3,573
6,263
8,871
11,584
14,917
-‐
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
0
500
1000
1500
2000
2500
3000
3500
Dec'11 Jan'12 Feb'12 Mar'12 Apr'12 May'12
Cumula3
ve Gold Oun
ces
Gold Oun
ces M
onthly
Gold Oz Cummula=ve Gold
• $25M in Revenue Sales • Total Cash Cost per Oz $1,100 • Gold Recoveries in Excess of 92% • Processed Ore at a Rate of 617 Wet Metric Tonnes per Day
GOLD PRODUCTION – 1806 ZONE
14
Bars 037 – 044 @ 40% Purity = $3.2M
TONNAGE MILLED
15
44,717 46,463 43,910
54,274
55,062 53,865 53,267 55,062
3.31 3.29
3.87 4.10
3.48
5.06
3.79 3.59
0
1
2
3
4
5
6
0
10000
20000
30000
40000
50000
60000
1Q'13 2Q'13 3Q'13 4Q'13 1Q'14 2Q'14 3Q'14 4Q'14
Copp
er Head Grade
%
Dry Ton
nes
Tonnes Milled Forecast Tonnes Copper Head Grade % COB Freezing
• Fiscal 2013 Achieved 189,364 Dry Metric Tonnes (DMT) @ 3.60% Copper • Fiscal 2014 Guidance 200,000 – 220,000 DMT @ 3.98% Copper • Increases Limited by Exis=ng Common Crushing and Grinding Circuit (600 – 700 DMT per Day)
COPPER PRODUCTION
16
2,463 2,426 2,818
3,469
3,500 4,500 3,500
2,500
85.0 89.0 91.0 94.0 93.4 93.4 93.4 93.4
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
0
500
1000
1500
2000
2500
3000
3500
4000
4500
5000
1Q'13 2Q'13 3Q'13 4Q'13 1Q'14 2Q'14 3Q'14 4Q'14
Copp
er Recoveries %
lbs. Cu Re
covered (000’s)
Copper lbs Forecast Copper lbs Copper Recoveries %
• Fiscal 2013 Copper Produced 11,796,000 lbs. @ 92% Copper Recovery • Fiscal 2014 Copper Forecast 12,500,000 – 15,000,000 lbs. @ 93.4% Copper Recovery
Declared Commercial Production Annual Maintenance
GOLD PRODUCTION
17
789 852 986 1,399
2,187 2,174
1,729
3,263 63
76
63 65 68 70 69
76
0
10
20
30
40
50
60
70
80
-‐
500
1,000
1,500
2,000
2,500
3,000
3,500
1Q'13 2Q'13 3Q'13 4Q'13 1Q'14 2Q'14 3Q'14 4Q'14
Gold Re
covery %
Gold Oz P
rodu
ced
Gold Oz's Forecast Gold Oz Gold Recovery
• Fiscal 2013 Actual Gold Head Grade Averaged 1.30 g/t with 65% Recovery • Fiscal 2014 Gold Head Grade Forecast at 1.48 g/t with 70% Recovery • Fiscal 2014 Forecas=ng 6,000 to 9,000 oz. Gold
Includes Intermittent Running of Gold Mill
Re-Processed Copper Tailings Thru Hydromet
CONCENTRATE SHIPMENTS
18
1st Shipment (Nov 2012)
2nd Shipment (Feb 2013)
3rd Shipment (May 2013)
4th Shipment (est. 1st Oct 2013)
Est. Total
Wet Metric Tonnes 8,873 3,150 6,103 9,200 27,326
% Moisture 8.5% 8.5% 8.4% 8.5% 8.5%
Dry Metric Tonnes 8,119 2,882 5,591 8,418 25,010
Cu. Grade % 26.1% 28.6% 28.3% 28.5% 28.0
Ibs. Cu. Metal 4.83M lbs. 1.81M lbs. 3.49M lbs. 5.29M lbs. 15.42M lbs.
Gold Grade g/t 5.6 g/t 6.8 g/t 6.6 g/t 9.0 g/t 7.0 g/t
Silver Grade g/t 47 g/t 47 g/t 50 g/t 60 g/t 53 g/t
Revenue $20M $7M $13M $18M $58M
• 8,645 Wet Metric Tonnes on 23rd September 2013 in Storage at GYC • 85,000 Wet Metric Tonne Off-‐Take Agreement with Transamine Trading SA • Rambler is Paid 90% of Provisional Value of Concentrates when in Warehouse • Transamine allows Rambler to Hedge Concentrate in Storage if so Desired • Clean Concentrate – No Deleterious Material
19
GOODYEAR’S COVE PORT
First Shipment of Concentrates November 2012
20
GOODYEAR’S COVE WAREHOUSE
28% Copper Concentrate with PM Credits
21
SELECT OPPORTUNITIES
22
NUGGET POND – 1,000 MTPD
Existing Gold Hydromet @ 630 mtpd
New Copper Flotation Mill @ 1,000 mtpd
23
NUGGET POND – 1,000 MTPD
• Newly Installed Copper Flota=on Circuit Rated for 1,000 mtpd (Opera=ng experience predicts 1500 mtpd)
• Produc=on Constrained by Pre-‐Rambler Crushing & Grinding Circuit i.e. 600 -‐ 700 mtpd • Mine Capable of Producing at 1,000 metric tpd by Trucking to Surface • A New Crushing and Grinding Circuit would Improve Produc=vity
• 630 mtpd to 1,000 mtpd Increases Produc=on by 59% • Allows Two Mills, Copper and Gold to be Run in Parallel and Unison. • Produc=on of Copper Concentrate and Gold Doré Simultaneously Provides Second
Revenue Stream. • Ming Mine (Copper), Ming Mine 1806 Zone (Gold), Krissy Buckle (Gold), Limle Deer
(Copper)
24
KRISSY BUCKLE (100% OWNERSHIP)
• 2,300 Hectare Land Package Sandwiched between 3 Former Producing Mines; East Mine, Main Mine & Big Pond
• Numerous Untested Copper and Gold Anomalies with
Three Main Trends already Defined • Krissy Trend – Priority Target 10.51 g/t gold
over 1.75 m (including 31.9 g/t over 0.5 m) • Brass Buckle Trend • SB Trend
• Rambler to pay $90,000 over the first 4 years in advanced Royalty Payments on a 2% NSR.
• Situated within 35 kilometres of the Nugget Pond Copper and Gold Processing Facility
Visible Gold
25
LITTLE DEER PROJECT (50% OWNERSHIP)
• Cyprus Type VMS Deposit • Consists of the Limle Deer and Whalesback Former Producing Copper Mines • Previously operated by Brinex and Green Bay Mines • 276 Mineral Claims in 4 Mineral Licenses over 65 Km2 • 96 Surface Diamond Drill Holes for 54,998m and Historical Informa=on • $8M Invested by Cornerstone and Thundermin in last 5 Years • NI43-‐101:
• Limle Deer – 1.9Mt @ 2.37% Cu (99.8 M lbs. Cu) Indicated Resource -‐ 3.7Mt @ 2.13% Cu (176 M lbs. Cu) Inferred Resource
• Whalesback – 0.8Mt @ 1.67% Cu (29.3 M lbs. Cu) Indicated Resource -‐ 0.4Mt @ 1.57% Cu (15.3 M lbs. Cu) Inferred Resource
• PEA (Limle Deer Only): • Pre-‐Tax NPV6 = $130M, Pre-‐Tax Net Cash Flow = $237M, Pre-‐Tax IRR = 26%, Total
Revenue $829M, Capital Cost $110M and Life of Mine 9.5 years • Infrastructure – Roads, Power, Goodyear’s Cove Port, Fresh Water
26
MARITIME RESOURCE (18% OWNERSHIP)
Hammerdown Mine ü Former Producing UG Mine ü Mined 2000 – 2004 ü Mined 291,400 @ 15.8g/t Gold ü Processed at Nugget Pond ü Recovery 97% ü Recovered 143,000 oz. Gold ü Closed 2004 Gold Price $325 oz. ü NI43-‐101 Resource
ü M&I 727,500 T @ 11.59 g/t providing 271,100 oz Gold ü Inf. 1,767,000 T @ 7.68 g/t providing 436,000 oz Gold
Orion Deposit ü Newly Discovered ü 1.5 Km from Hammerdown ü NI43-‐101 Resource
ü M&I 1,096,500 @ 4.47 g/t providing 157,500 oz Gold ü Inf. 1,288,000 @ 5.44 g/t provinding 225,100 oz Gold
18.4% Minority Interest
Hammerdown Mine & Orion Deposit
Goodyear’s Cove Port
Nugget Pond Mill/ Crown Pillar
Ming Copper-Gold Mine
27
MING COPPER GOLD MINE - LFZ
Lower/ Upper Footwall Zone 18.3 Mt @ 1.43% Cu & 0.09 g/t Au Contained Metal 261,258 tonnes copper 52,015 ounces gold 794,102 ounces silver
ShaR
All tonnes reported in the indicated category (copper cutoff of 1%)
Open at Depth
PEA Results: +20 Year Mine Life NPV5 = $251 M IRR = 18% Pre-‐tax Cash Flow = $861M (undiscounted) 5 Year Capital Commitment $231M
28
• Heavy Media Separa=on (HMS)
• 50% of LFZ is a Chlori=c Schist • Specific Gravity between Chalcopyrite (4.0) and Chlori=c Schist (2.7) • Preliminary Results Show:
• +95% Copper Recovery, • Head Grade Increased from 1.5% to 2% -‐ 2.5% Copper • 40% Gaunge Material Expelled
• Allows Possible use of Nugget Pond, minimizing CAPEX • Pre-‐concentra=on could allow Backfilling of the Historical Mine thus providing
access to the Historical Pillars of 400Kt @ 3.5% Cu, 2.5 g/t Au and 10 g/t Ag (Non NI43-‐101 Compliant)
MING COPPER GOLD MINE - LFZ
29
LOOKING FORWARD
• Pay Down Sprom Debt Facility (now standing at $5.4M)
• Project Work – 1,000 mtpd Op=miza=on Plan
• Explore on the Ming Mine and Within the Immediate Area (e.g. Krissy Buckle)
• In-‐Fill Drilling on Limle Deer to move Inferred Category Resource to Higher Level in Prepara=on for more Detailed Engineering
• Explora=on Results and Reserve / Resource Update
• Con=nue with Op=miza=on Studies on the Lower Footwall Zone
30
SUMMARY
• Producing Profitable Mine with Free Cash Flow
• Stable Low Risk Jurisdic=on in Historical Mining District with Community Support
• Infrastructure in Place and Expandable
• Good Explora=on Poten=al both On-‐Site and in the Immediate Area • Dual Func=oning Mill Capable of Processing Base Metals and Gold
• Credible Management Team bringing Mine to Produc=on in Vola=le Markets
• Organic Growth Opportuni=es i.e. Dual Func=oning Mills Running Simultaneously, Lower Footwall Zone
• Further M&A Ac=vity in a Friendly Price Environment
Our Company Vision is to become “Atlantic Canada’s Leading Mine Operator And Resource Developer”
Rambler Metals & Mining PLC Sala=n House,19 Cedar Road Sumon, Surrey, SM2 5DA Tel: +44(0)1483 419942 Fax: +44(0)1483 429255 E-‐Mail: [email protected]
Rambler Metals & Mining Canada Ltd P.O. Box 610, Baie Verte, NL, A0K 1B0 Route # 418, Ming's Bight Road, NL, A0K 3S0 Tel: 709-‐800-‐1929 Fax: 709-‐800-‐1921
www.ramblermines.com
