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8/7/2019 Weatherly WTI Investor Presentation
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Half Year PresentationMarch 2011
Revitalised, refocused, positioned for growth
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Disclaimer
This presentation may contain forward-looking statements
that reflect Weatherlys current expectations regarding future
events, its liquidity and results of operations and its future
working capital requirements and capital raising activities.
Forward-looking statements involve risks and uncertainties.
Actual events could differ materially from those projected
herein and depend on a number of factors, including the
,
of the Company to obtain additional financing for its
operations and the market conditions affecting the availability
and terms of such financing.
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Weatherly International (WTI)
Weather ly is an in t e rna t iona l resources
c ompany focused on c opper and bu lk
minera ls in A f r ica .
Weatherlys strategy in Burkina Faso is to assistits partner, Wadi, in perfecting its rights to theTambao manganese project
Weatherl s strate in Namibia is to develo a
BURKINA FASO
Tambao(Mn)
copper mining business capable of sustaining20,000 tpa of copper at average industry cost ofproduction for the next ten years
NAMIBIA
Otjihase (Cu)
Matchless (Cu)
Tschudi (Cu)
Tsumeb West (Cu)
Tsumeb Tailings (Cu)
Berg Aukas (Pb/ Zn) 2
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Shareholder Information
Listed on Londons AIM(1) WTI
Common shares 537 million
Warrants & o tions 22 million
Market cap (undiluted) ~ 67 million(Fully diluted) ~ 70 million
Key shareholders(1)
Blackrock 16.7%
Directors & associated companies 12.2%
Namibian interests(3) 8.6%
Gartmore 2.7%
40.2%
Note 1 as at 1 March 2011
Note 2 Webster ((5.1%), Martinick (3.6%), Ezenet (3.4%))
Note 3 Bank Windhoek, GRN (6.3%), GIPF (2.3%)
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Corporate Information
Directors & Management Weatherly International plc
-
Rod Webster (Chief Executive Officer)
Alan Stephens (Non-Executive Director)
Dr Wolf Martinick (Non-Executive Director)
Max Herbert (Company Secretary)
Kevin Ellis (Chief Financial Officer)Dominic Claridge (Group Exec Project Development)
Directors & Management Weatherly Mining Namibia
Craig Thomas (MD & Chief Operating Officer)Andrew Thomson (Technical Director & Country Manager)
Cleophas Mutjavikua (Senior Non Executive Director)
Titus Haimbili (Non Executive Director)
Frans Ndoroma (Non Executive Director)
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Financial Highlights
6m to31 Dec2010
US$
Year to 30Jun 2010
US$
Income Statement Maintaining
and
developing
mines (3.2) (5.7)
Depreciation (1.6) (5.0)Profitondisposalofproperty 1.1 19.8Operating profit/loss (3.7) 9.1
BalanceSheet Cash 15.0 7.0Netassets 32.1 26.1
Period highlights: Sale of Kombat received US$3.2m Placing 4.45m (US$7m) in November 2010 US 7m Louis Dre fus loan facilit
Operational Objective: First sales revenue expected March 2011
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Namibian Assets
Weatherly Mining Namibias (WMN) assets are:
Two o eratin co er mines
Four development projects (one zinc/lead) &two exploration licences
Approx. US$140m in future tax deductions
NAMIBIA
Otjihase (Cu)
Matchless (Cu)
Tschudi (Cu)
Tsumeb West (Cu)
sume a ngs ( u)
Berg Aukas (Pb/ Zn)
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Central Operations
(Note 1)
Status LOM Reserves/Resource
Otjihase Operating 5+ yrs 3.2mt @ 1.6% Cu, 0.29g/t Au (JORC)
11mt @ 1.9% Cu, 0.24g/t Au (JORC)
Matchless Operating 5+ yrs Western shoot: 0.7mt @ 1.8% Cu (JORC)
Rivershoot: 1mt @ 2.5% (Historical-Samrec)
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Otjihase Mine Area
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Otjihase Mine Plan View
POTENTIAL REMAINING RETREAT TO SURFACE5 YR PLAN
75,000t copper 29,426t copper
,
copper
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Otjihase and Matchless
Five Year Plan (Note 1)
Resources 7.9mt 2.14% Cu 0.35g/t Au
Reserves 3.9mt 1.70% Cu 0.25 /t Au64,934t Cu
31,350oz Au
Ann. productionFive year plan
7,100t (Cu inconcentrate) 35,500t Cu 17,139oz Au
Cost of Production :
Ex Minegate N$410/t ore milled
Ex LME Cu (C1)US$3,258/t Cu
NPV (10%)US$5,500/t CuUS$35m
US$7,000/t CuUS$67m
Remaining Resources After Five Years:
Remaining retreat to surface 29,426t Cu 14,211oz Au
Potential new mine (Tigerschlucht) 75,000t Cu
Note 1 Based on Coffey Technical Review and Valuation of Otjihase & Matchless mines, March 2010
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Matchless Mine Plan View
5 YR PLAN 1NEXT 7 YRS 1
West Shoot
MWE
River ShootEast Shoot
?
Western prospect Eastern prospect
o e ssumes m n ng ra e a , pa
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Central Operations Life of Mine Plan
YEARS 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18
Karuma1
MWE1
Retreat to Surface2
River Shoot2 Development
Tigerschlucht2 FS & Development
Western Prospect2
Otijhase
Matchless
Note 1 Current 5 year plan
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Note 2 Subject to conversion of resources to reserves
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Northern Operations
Status LOM ResourcesTschudi Feasibility
Exploration
10+ yrs 43.4mt @ 0.83% Cu, 10.5 g/t Ag (JORC)
O/P to 186m 25mt @ 0.9% Cu,11g/t Ag (JORC)
Tsumeb Feasibility 16mt @ 0.7% Cu (Historical)1
Tsumeb
West
Exploration 1.0mt @ 2.1%Cu, 18g/t Ag (JORC)
13Note 1 non compliant historical resource, should not be relied upon
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Tschudi Open Pit Development
Underground portal
28 oTest pits
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Tschudi Open Pit
Resources to 180m depth (1) 25.0mt 0.9% Cu 11g/t Ag
Potential diluted reserve (2) 19.2mt 0.8% Cu 9g/t Ag
Pit to approx. 186m depth has a stripping ratio (5.7:1)
Processing Route:
Results to date support either heap leaching the transitional oresfollowed b flotation of the rimar ores or sim l flotation of bothore types. Estimated average production of 13,000tpa of copperand 280,000ozs Ag (10yr life).
Feasibility awarded to Sedgman (Perth) to be completed in 2011
Note 1 Source: Coffey Report based only on JORC compliant measured and indicated resourcesNote 2 Source: Coffey Report, based on pit shell 16 to 186m depth fully diluted with a waste to ore ratio of 5.7:1
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Tschudi Open Pit
Key attractions:
Known resource, drilled out to JORC compliance
Grade risk and variations well understood fromprevious underground campaign (2008)
Good recoveries from both heap leaching andconventional flotation based on Gold Fields 1 andIndec test work 2
existing infrastructure. Mine is only 26 road kms fromsmelter (now owned by Dundee)
nv ronmen a approva or open p gran e n
High potential for increasing resource along strike
Note 1 Recovery of copper from Tschudi Ore Deposit Goldfields Laboratories R Haegele 1995Note 2 Tschudi Copper Project - INDEC Contract BO3020 Santiago Chile July 2003 16
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Exploration Tschudi Syncline
Target areasfor 2011
TschudiML 125
EPL132A
Soil Geochemistry (ppm Cu)
Red > 1,000Orange > 540 < 1000Green > 160 < 540Blue < 160
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Tsumeb Tailings & Concentrator
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Tsumeb Tailings
Sampling from testwork has provided a wide range ofmetal values,
- .
a high of 0.83% (Mintek, 2008)- Silver, lead and zinc values are also significant
The opportunity exists to fast track a simple regrindand refloat of the tails using the idle Tsumebconcentrator
None of the previous work can be relied upon as nosystematic drilling of the dam was carried out
ea er y as comm ss one ump unecontractors to drill the dam, and Coffey to prepare aresource report as the basis for a full feasibility
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Copper Development Plan
Assets Status (US$) 2011 2012 2013
Otjihase/Matchless (1)
Production (ave) 7,100tpaCu
Opex $3,258/t Cu
Capex $6.7m
Tschudi OpenPit (2)
Production 11,000 13,000tpa Cu
Opex $3,300-4,100/t Cu (3)
Capex and timing subjectto feasibility
Tsumeb Contains 16mt @ 0.7%Cu(4)
BFS Construction Production
TailingsProject Capex and timing subject
to feasibilityFS. Production
PlantUpgrade
Note 1 Source: Coffey Technical Review and Valuation of Otjihase & Matchless mines, March 2010Note 2 Source: Coffey Report, based on pit shell 16 to 186m depth fully diluted with a waste to ore ratio of 5.7:1Note 3 Source: Coffey Mining Preliminary Pit Optimisation Results December 2009Note 4 non compliant historical resource, can not be relied upon
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Forecast Production
12000
Otjihase/Matchless
Tschudi
1
2
Annualised tonnes of copper
3
8000
10000sume a ng s
4000
6000
? ???
0
2000
2011 2012 2013 2014 2015
Note 1 - Revised production plan as at 31 December 2010 (WTI model)Note 2 - Indicative only and subject to feasibility and fundingNote 3 - Yet to be determined based on the outcome of the resource drilling and feasibility
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Exploration
Weatherly owns the regional database created byGold Fields in the 1980s and 90s
Weatherly has applied to renew exploration licence(EPL 132A) which extends west from Tsumeb to
1
Priority will be given to carry out the following:
review all Gold Fields data extension drilling to the Tschudi syncline
deep diamond drilling at Tsumeb West
Note 1 EPL 132A expired on 9/3/2008 application for renewal submitted prior to expiry
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Regional Copper Geochemical Soil Sampling Map
EPL132A
TSUMEB
TSUMEB
TSCHUDI
Red > 1,000 ppm CuOrange > 540 < 1000 ppm Cu
Green > 160 < 540 ppm CuBlue < 160 ppm Cu
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Exploration Tsumeb West
Tsumeb West Tsumeb
Tsumeb West:Potential at depth insulphides
Tsumeb:Mined to 1700m
below surface
Similar orebodymorphology &
mineralogy to
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Berg Aukas
Berg Aukas is a dormant zinc/lead mine containing1.7mt of 22% Zn/Pb and 0.6% V oxide (historical)
The intention is to divest Berg Aukas into a new AIM-
listed company called China Africa Resources (CAR)
Bureau (ECE) will own 65%, Weatherly 25% andWeatherly shareholders 10%. ECE will pay 4.8m for
its share
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Berg Aukas
A
B
A B
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In conclusion
Total copper resources of 623,645 tonnes (JORC)and 276,634 tonnes (Historical)
At Otjihase/Matchless, production steadily
increasing
will create further value for shareholders
Opportunity for near term, low cost retreatment ofsume a ngs us ng ex s ng concen ra or
Strategic alliance with large Chinese group EastChina Mineral Exploration and Development Bureau
(ECE)
Potential involvement in Tambao manganese in
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