High grade Cu-Au in the Alaska Range Project Investor Presentation, - PowerPoint PPT Presentation

ASX: PXX www.polarx.com.au High grade Cu-Au in the Alaska Range Project 
 Investor Presentation, 11 February 2019 1

High-Grade Cu-Au-Ag deposits with a clear and rapid growth strategy ➢ Advanced project in Alaska with district-scale copper anomalies and high-grade JORC resources in an under- explored, world-class porphyry province ➢ Two goals: 1. Expand the high grade Zackly Cu-Au-Ag resource to critical-mass for an economically viable project which will underwrite a robust and tangible Company valuation 2. Advance high ranking porphyry Cu-Au targets at Mars and Saturn to a major new discovery through drilling High grade copper sulphides (bornite) in Zackly core 2 cm 2

A team capable of delivering results ➢ Proven project developers* ➢ Management have led successful mine developments in Australia, Ghana and Mongolia ➢ Technical expertise* ➢ Technical directors with doctorate level skills in porphyry copper-gold systems and complex structural terranes ➢ Supported by strong resource evaluation geologists, database management and permitting team in Australia and Alaska ➢ Well supported by institutional investors** ➢ Management 13.0% (“skin in the game”) ➢ JP Morgan 9.7% ➢ Ruffer Gold 8.6% ➢ US Global 8.0% * Refer Appendix 1 for details ** Refer Appendix 2 for details 3

Alaska is low risk: Under-explored TIER 1 geology in a TIER 1 jurisdiction ➢ TIER 1 geology with 6 current mines, all world class ➢ Several new world class deposits in permitting and feasibility study phase ➢ Over 40Moz Au mined to date ➢ Considerably under-explored compared to other TIER 1 provinces – new deposits are still being found at surface ➢ AA jurisdiction (2018 Global Risk Review) ➢ Strong Australian presence in major projects: ❑ Northern Star acquisition of Pogo (Au) ❑ South32 investment in Trilogy (Cu, Co) ❑ Sandfire investment in Whiterock (Zn, Ag) ALASKA RANGE PROJECT is in a good location: ➢ 250km due north-east of Anchorage, <6 hours by road ➢ Nearby lodges for accommodation & support ➢ Easy road/rail access to all year ports 4

Superb geology in an under-explored world class province ➢ LOW RISK - existing high-grade JORC resources with MARS upside: 3.4Mt @ 1.2% Cu, 2.0g/t Au, 14.0g/t Ag ➢ Zackly Skarn ➢ Caribou Dome 2.8Mt @ 3.1% Cu ➢ GOAL 1: Potential for rapid resource expansion at Zackly ➢ Low exploration risk due to magnetic nature of mineralization which can be directly imaged ➢ Recent near-surface, high-grade, flat lying intersections open in all directions (e.g. 55m @ 2.8g/t Au + 0.6% Cu) ➢ GOAL 2: Evidence for presence of large porphyry systems: ➢ Strong geochemical anomalism in Cu, Au, As, Mo (classic porphyry pathfinder elements) associated with a geophysical target at Mars ➢ Strong vectors from Zackly mineralization and ZACKLY alteration which increases in intensity towards Saturn* ➢ Magnetic anomalies with porphyry style signatures at both Mars and Saturn * Previously known as the Zackly SE target 5

Alaska Range at the intersection of two major crustal-scale faults ➢ Straddles the major structure between the Tintina Gold Belt and the main Porphyry Cu- Au Belt in Alaska-Yukon-British Columbia ➢ Intersected by a major NW crustal-scale fault which contains known porphyry systems at its southern end ➢ Highly anomalous copper levels in regional soil sampling data ➢ Prominent WNW trending structural corridor hosts mineralization at Zackly and Mars 6

12km long mineralised corridor provides near term growth and upside ➢ Zackly skarn likely to rapidly increase in size with further drilling around near-surface, flat lying mineralization in drill holes ZX-18020/24 ➢ Mars porphyry target has anomalous Cu-Au-Mo-As 55m @ 2.8g/t Au + 0.6% Cu geochemistry and 47m @ 3.1g/t Au + 0.6% Cu geophysical anomalies 15m @ 2.2g/t Au + 2.3% Cu consistent with target type 9.3m @ 2.3g/t Au + 3.3% Cu ➢ Saturn comprises blind geophysical target under 15-20m glacial till – magnetic signature consistent with porphyry system 3.4Mt @ 2.0g/t Au + 1.2% Cu 7

Zackly – drilling adds high grades 850m east of current resource boundary Cut-off grade Category Million Tonnes Cu % Au g/t Ag g/t Contained Cu Contained Cu Contained Au Contained Ag (t) (Mlb) (oz) (Moz) 0.5% Cu Inferred 3.4 1.2 2.0 14.0 41,200 90.9 213,000 1.5 ➢ 2017 drilling verified historical data leading to JORC resource estimate in early 2018 ➢ 2018 drilling has extended mineralization below existing resource ➢ 2018 drilling extended resource to the east ➢ Potential to significantly increase resource size with further drilling 8

Zackly – existing resource is high grade Cu-Au-Ag, open at depth ➢ Sub-vertical, suitable for underground mining methods ➢ Copper mineralization dominated by high-tenor bornite and chalcocite which may yield a high grade concentrate ➢ Coarse-grained, free-milling gold present ➢ Metallurgical studies to commence in Q1 2019 9

Zackly – rapid growth potential to the east ➢ Change in orientation across fold hinge, visible in the magnetic data ➢ Thick, shallow, gently dipping mineralization – open pit potential ➢ Clear potential to rapidly expand resource through further drilling Overturned fold, thickening in hinge 10

Saturn porphyry Cu-Au target ➢ New (blind) target generated from re-processing regional magnetic data ➢ Recent high-resolution aeromagnetic data validates target ➢ Multiple lines of evidence to support porphyry target: ➢ Interpreted to comprise a cluster of oxidized intrusions ➢ Surrounded by a zone of intense magnetite destruction ➢ Nearby skarn mineralization (Zackly) as proof of process ➢ Strong vectors from Zackly mineralization with Zackly grades, thickness and intensity of alteration deposit increasing from west to east Saturn target 11

Mars: strong magnetic and surface geochemical anomalism (Cu-Au-As-Mo) Magnetic data (Analytical signal) Copper in soil anomalism 1400m 12

Mars: strong rock-chip geochemistry, up to 50% copper and 7g/t gold Gold in rock-chips on gold in soil anomaly Copper in rock-chips on copper in soil anomaly 13

Mars: co-incident magnetic, IP and Cu-Au-As-Mo anomalism, drill ready 14

Caribou Dome – very high copper grades, open in all directions ➢ 2.8Mt at 3.1% copper (0.5% lower-cut) for 86,000t of contained Copper (JORC 2012) ➢ 60% in the top 150m including 935,000t @ 4.4% in possible open pit ➢ High grade, sediment-hosted massive sulphide lenses, open in all directions ➢ Many un-tested IP and soil anomalies within 1-5km ➢ All within economic trucking distance of Zackly High priority IP targets on image of copper in soil anomalism 15

Ongoing work programs and news flow January Assay results for remaining drill holes at Zackly Interpretation + 3D modelling of detailed magnetic data March Preliminary metallurgical test-work results for Zackly skarn April Finalise 2019 geophysical and geochemical sampling programs Finalise 2019 drilling programs Secure contractors Re-commence field work, comprising: IP Survey at Saturn Porphyry Target May 3,000m core program to expand Zackly resource, focussed on thick, high-grade Au-Cu zones at eastern end 3,000m core program to test Mars and Saturn porphyry targets Commence PEA or Pre-Feasibility Study for Zackly October 16

Concluding Statements ❑ Big holding of high quality, high-grade copper-gold-silver assets in mining friendly Alaska, USA ❑ Advanced projects in a TIER 1 jurisdiction – early exploration risk has been removed ❑ Major drilling and exploration program delivered superb results in 2018 and highlighted low risk targets for expansion in 2019 ❑ Upside from new Cu-Au targets in a well endowed mineral belt ❑ Management with proven expertise and experience in US permitting and successful mine development 17