Tinka Resources Ltd (TSXV:TK) Advancing the Ayawilca Zinc Discovery in Pasco, Peru

Transcription

1 Tinka Resources Ltd (TSXV:TK) Advancing the Ayawilca Zinc Discovery in Pasco, Peru Dr Graham Carman President and CEO June 1,

2 Disclaimer & Forward Looking Statements This presentation is not directed to, or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing within such jurisdiction. This presentation does not constitute or form a part of, and should not be construed as an offer, solicitation or invitation to subscribe for, underwrite or otherwise acquire, any securities of Tinka, nor shall it or any part of it form the basis of or be relied on in connection with any contract or commitment whatsoever. Certain information in this presentation contains forward-looking statements and forward-looking information within the meaning of applicable securities laws (collectively "forward-looking statements"). All statements, other than statements of historical fact are forward-looking statements. Forward-looking statements are based on the beliefs and expectations of Tinka as well as assumptions made by and information currently available to Tinka's management. Such statements reflect the current risks, uncertainties and assumptions related to certain factors including, without limitations, capital and other costs varying significantly from estimates, production rates varying from estimates, changes in world metal markets, changes in equity markets, the use of the net proceeds of the recently completed private placement, availability and costs of financing needed in the future, equipment failure, unexpected geological conditions, imprecision in resource estimates or metal recoveries, Tinka s ability to complete its proposed drilling program, drilling program results varying from expectations, delays in obtaining survey results, success of future development initiatives, competition, operating performance, environmental and safety risks, delays in obtaining or failure to obtain necessary permits and approvals from local authorities, community relations, and other development and operating risks. Should any one or more of these risks or uncertainties materialize, or should any underlying assumptions prove incorrect, actual results may vary materially from those described herein. Although Tinka believes that assumptions inherent in the forward-looking statements are reasonable, forwardlooking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein. Except as may be required by applicable securities laws, Tinka disclaims any intent or obligation to update any forward-looking statement. The Mineral Resources disclosed in this company presentation were estimated by Mr. David Ross, P.Geo., an employee of Roscoe Postle Associates Inc. (RPA) and is independent of Tinka. The Mineral Resources were publically released on February 26, By virtue of his education and relevant experience, Mr. Ross is a "Qualified Person" for the purpose of National Instrument The Mineral Resources have been classified in accordance with CIM Definition Standards for Mineral Resources and Mineral Reserves. This presentation has been prepared, reviewed and verified by Dr. Graham, Carman, Tinka s President and CEO and a Fellow of the Australasian Institute of Mining and Metallurgy, a qualified person as defined by NI

3 Who is Tinka Resources Explorer focused in Peru, listed TSXV(TK) 100% owned Ayawilca-Colquipucro Projects Two mineral resource estimates (Zn) (Ag) Q Team with discovery track record, well funded $7.2M financing in May 15 (lead by IFC, Sentient) 10,000 metresdrill program to begin July 2015 focusing on Ayawilca Zinc discovery 3

4 Projects with Growth Potential Ayawilca Zinc (sulphide) Initial Inferred Mineral Resource (February 2015): 13.3 million tonnesat 7.7 % Zinc equivalent grading 5.9 % Zn, 68 g/t In, 14 g/t Ag, 0.2 % Pb 1.7 billion pounds contained zinc Potential to expand, mineralization open Many untested zinc targets, tin-copper potential Colquipucro Silver (oxide) 7.4 Mt at 60 g/t Ag for 14.3 Mozsilver (Indicated) and 8.5 Mt at 48 g/t Ag for 13.2 Mozsilver (Inferred), preliminary open pit shell generated in Whittle software 4

5 Trading Symbol: Shares Issued: Warrants: Options: Shares reserved : Fully diluted: TSXV: TK M 40.1 M 8.0 M 0.5 M M Tinka Resources -Corporate Last Financing Closed May C$7.25m raised at $0.215 per share Cash 31 May 2015: ~ C$9 M 12 Month Share Price Range: $0.155 to $0.43 Market $0.25/sh: ~C$37 M Major shareholders Sentient Group: 21.5% (undiluted) IFC: 14.0% (undiluted) 5

6 Management and Board MANAGEMENT Dr Graham Carman President & CEO, Director Geologist, Peru zinc experience (Bongara, Accha, Yanque) Ex Rio Tinto, Savage, Pasminco (Peru based ) Ph.D. Lihir Island gold Alvaro Fernandez- Baca Vice President, Exploration Geologist 19yrs, P. Geo., APEGBC, Ex Hochschild, AQM Copper, Entrée Gold, Gitennes, Peru based Fernando Alva General Manager, Peru Peru based, experienced manager resources and government Nick Demare Chief Financial Officer, Director Experienced CPA, CA, officer/director various public cos. Mariana Bermudez Corporate Secretary NON-EXECUTIVE DIRECTORS Experienced Corporate Secretary DavidHenstridge Founding director, geologist 40yrs worldwide Yanina Barilá William Lee Sentient Group representative Independent director, CPA, CA 6

7 Zinc Inventories and Price (kt; US$/lb) c/lb kt Source: UBS Global Research Zinc Supply and Demand World reserves decreasing Mine Closures: Century, Brunswick, Perseverance, Lisheen, Skorpion No new mines of any significant size Stock piles reducing China is biggest unknown, but unlikely to fill large western void Zinc mine grades are falling world-wide 7

8 Central Peru Zinc Belt Cerro de Pasco (Volcan) 40 km southeast of Ayawilca Largest historic producer in Peru (~ % Zn equiv. mined + reserves) Colquijirca(El Brocal) Peru s largest undeveloped zinc resource at San Gregorio (84 7.5% Zn equiv.) Uchucchacua(Buenaventura) 10 Moz / year silver; largest primary producer in Peru 25km west of Ayawilca Antamina(BHP-Glencore- Teck) 100 km to Peru s largest current zinc (copper) mine 8

9 Geology and Drilling Multiple prospects, with many undrilled Zn mineralization under cover 18,756 m drilled in 54 holes (Zn) 8,003 m drilled in 45 holes (Ag) Prospect Number of drill holes West Ayawilca 26 Central Ayawilca 9 East Ayawilca 8 North Ayawilca 1 Colquipucro (silver) 45 A A 10 holes intersected Sn-Cu mineralization in Ayawilca 9

10 Magnetic & Gravity Anomalies Colquipucro 500 m Ayawilca Zone3 East Ayawilca West Ayawilca Central Ayawilca RTE ground magnetic image 10

11 West Ayawilca Drill Hole From (m) To (m) Interval (m) Zinc(%) Ayawilca Drill Intercepts Lead (%) Silver (g/t) Indium (g/t) A including including and Central Ayawilca Drill Hole From (m) To (m) Interval (m) Tin (%) Copper (%) Silver (g/t) A including including A13-11* including

12 Detailed Plan Ayawilca 500 m 12

13 Geological Model: Zinc above Tin-Copper mineralization A A 7.4% Zn & 66g/t In 4.8% Zn & 33g/t In 65m 5.7% Zn & 19g/t In 5.3% Zn & 83g/t In 0.21%Sn & 0.36%Cu 13

14 AyawilcaInferred Mineral Resource WEST COLQUIPUCRO TINKA RESOURCES AYAWILCA PROJECT 3D MAP Lookingto northwest EAST West Central OPEN GOSSANS UNTESTED East 500 m 14

15 Sphalerite(Sp) replacement of limestone matrix Alteration: Clays and carbonates Zinc Replacement of Limestone Sp Sp Sp Py Sp Pyrite (Py) sphalerite massive sulphide 15

16 A13-11: Massive Pyrrhotite mantos + magnetite + cassiterite(tin) + tourmaline + chalcopyrite Tin-Copper Mineralization A13-11, 340m: Quartz stockwork Pyrrhotite+ cassiterite(tin) + chalcopyrite 16

17 Ayawilca, looking west Zinc mineralization under cover beneath flat-lying sandstone Topography (4,300m to 3,900 m) favours low-cost underground development Power lines cross over the project (to Antamina mine) South Sandstone ledges Massive sulphide Zn zones from 130 m below surface camp Zn veins North 17

18 Planned Work Program - Next 12 Months Milestone Zinc Resource Ayawilca Silver Resource Colquipucro Financing $7.2 M IP Geophysics Today Metallurgy tests Colquipucro, Ayawilca Drilling Ayawilca 10,000 metres + Extend drill permits Resource Update 18

19 Colquipucro Distal Epithermal Silver Deposit Looking northeast 19

20 Colquipucro N-S Cross Sections 14.3 Moz at 60 g/t Ag (Indicated) and 13.2 Moz at 48 g/t Ag (Inferred) 45 holes, 8003 m ( ) Oxide silver deposit is 550 m x 380 m x 75 m deep Low strip ratio Intercepts include: CDD44: 60.0 metres at 92 g/t Ag CDD43: 38.9 metres at 200 g/t Ag CDD41: 86.0 metres at 90 g/t Ag CDD39: 40.5 metres at 140 g/t Ag 20

21 Social & Environmental Responsibilities Important partnership with two local communities Social engagement and sustainable development programs Employment and training Aiming to achieve best practice environmental standards Training for animal health Yogurt workshop for local women Market showing local artisanal designs 21

22 Why Tinka? New Zinc discovery at Ayawilca, central Peru Initial Zinc resource completed Feb 2015 Zinc resource open, many untested targets Tin-Copper potential, Silver upside Well funded to continue aggressive growth strategy 10,000+ metres drill program starting July

23 Tinka Resources Ltd (TSXV:TK) CORPORATE OFFICE Suite West Georgia St Vancouver, BC V6E 3V7 CANADA Ph: Fax: FOR MORE INFORMATION Dr. Graham Carman President & CEO Corporate Secretary Mariana Bermudez 23

24 Why Peru Attractive investment destination with an established mining sector, strong history of successful foreign investment Peru ranks first in Americas for zinc, lead, and tin production Market history shows Peruvian deposits are attractive take-over targets Experienced local skill base and mining services Commodity World Latin America Gold 6th 1st Copper 2nd 2nd Zinc 3rd 1st Tin 3rd 1st Lead 4th 1st Silver 2nd 2nd Molybdenum 4th 2nd 24

25 Colquipucro Mineral Resources (Feb. 26, 2015) Classification Tonnage (Mt) Ag (g/t) Ag (Moz) Indicated Inferred Indicated and Inferred Mineral Resources at Colquipucro(silver oxide) estimated by Roscoe Postle Associates Inc. (RPA) (see TK Press Release of February 26, 2015) Notes: CIM definitions were followed for Mineral Resources. Mineral Resources are reported within a preliminary pit-shell and above a cut-off grade of 15 g/t Ag The cut-off grade is based on a price of US$24 per ounce silver. Numbers may not add due to rounding. 25

26 Ayawilca Inferred Mineral Resource (Feb. 26, 2015) Zone West Central East Total Tonnage (Mt) Zn Eq. (%) Zn (%) Pb (%) In (g/t) Ag (g/t) Zn (Mlb) Pb (Mlb) In (kg) Ag (Moz) , , , , , Inferred Mineral Resources at Ayawilcaestimated by Roscoe PostleAssociates Inc. (RPA) (see TK Press Release of February 26, 2015) Notes: CIM definitions were followed for Mineral Resources. Mineral Resources are reported above an NSR cut-off value of US$60 per tonne. The NSR value was based on estimated metallurgical recoveries, assumed metal prices and smelter terms, which include payable factors, treatment charges, penalties, and refining charges. Metal price assumptions were: US$1.20/lb Zn, US$550/kg In, US$24.00/ozAg, and US$1.10/lb Pb. Metal recovery assumptions were: 90% Zn, 75% In, 50% Ag, and 75% Pb. The NSR value for each block was calculated using the following NSR factors: US$15.24 per % Zn, US$5.57 per % Pb, US$0.33 per gram In, and US$0.34 per gram Ag. The zinc equivalent (Zn Eq.%) value was calculated using the following formula: Zn Eq.(%) = [Zn(%)*US$15.24+Pb(%)*US$5.57+In(g/t)*US$0.33+Ag (g/t)*us$0.34]/ US$15.24 Numbers may not add due to rounding. 26