African Consolidated Resources Plc
TAKING FIRST MOVER ADVANTAGE of mining &
exploration opportunities arising in Zimbabwe
The Board:

Peter Vanderspuy Chairman Elect

Andrew Cranswick M.D.

Ian Fisher Executive Director

Roy Tucker Financial Director

Stu Bottomley Non-exec Director

Mike Kellow Tech Director
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
Key Investors






Fidelity
GLG Global Fund
RAB Energy
Henderson Global Investments
J O Hambro
Golden Prospect
 No current black empowerment laws in Zimbabwe although ACR takes
best practice approach and has large local investment
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
The Strategy
 Acquire assets with significant upside & in-ground resources at
significant discount (~$5 per oz Au)
 Consolidation of proximal, prospective ground – achieving critical mass
 A risk-managed approach using in depth country knowledge to bring
a conveyor belt of projects of varying mineral types on line
 Utilise state-of-the-art exploration techniques & technology never applied to Zimbabwe geology.
 Maximise First Mover Advantage by pursuing emerging, multi-mineral
opportunities
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
Opportunities in Zimbabwe have the potential to build a larger resource than
normal due to its perceived risk profile
Why Zimbabwe?
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
Sovereign Risk Profile
Zimbabwe:
Political risk vs. Opportunity
Companies operating /
exploring in Zimbabwe :
• Zimplats (Impala Platinum)
• Aquarius Platinum
• Anglo-American
• Rio Tinto
The perceived risk has created
numerous opportunities!
Zimplats share performance March 05 to March 06 (red line)
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
Geological Profile
Clear Opportunity Calls
Zimbabwe Craton:- Archaean granite-greenstone terrane
similar to Western Australia & Canada.
The quality of the geological land and projects available is of a
huge advantage when on the acquisition trail
Hundreds of years of mining history. Very little use of modern,
proven exploration techniques applied for past 30 years!
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
Greenstone Production Comparison
9Moz
Gold production per annum –
Yilgarn Greenstone Belt (WA) vs
Zimbabwe Greenstone belts
8Moz
7Moz
Zimbabwe
Yilgarn
Potential ???
5Moz
4Moz
3Moz
2Moz
Gold price
2005
1995
1985
1Moz
1975
Ounce Au / pa
6Moz
Year
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
New Discoveries Kalgoorlie
1975 - 2002
N
Golden
Mile
New discoveries in Archaean greenstone belts in the last
20 years include:
 Kanowna Belle (Western Australia)
(+10MOz),
 Red Lake Deeps (Ontario) (+8MOz),
 Sunrise Dam (Western Australia) (+6MOz)
In the past 25 years the number of deposits with >1Moz
Au within 70 km of Kalgoorlie increased from 1 to 10 due
to modern exploration techniques.
LACK OF EXPLORATION in Zimbabwe = ZERO
Large Discoveries
20km
Kalgoorlie Region 1975 vs
2002 (red > 1Moz)
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
W. Australia
- Zimbabwe
Comparison
N
Golden
Mile
Dalny
Giant
Harare
Pickstone &
Peerless
Gokwe
Cam & Motor
One Step
Kwekwe
Globe & Phoenix
Great Dyke
Wanderer
N
20km
30 km
Kalgoorlie Region 1975 vs. 2002 (red > 1Moz)
Midlands Greenstone belt (red > 300K Oz, black >1Moz)
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
New Exploration Techniques
 Rapid compilation of historical data into 3D digital databases
 Sophisticated processing of geochemical, geophysical and remote sensing
data
 Integration of modern ideas into interpretations and 3D geological models
 Application of state-of-the-art targeting methods:
• 2D / 3D Weights of Evidence
• 2D / 3D Monte Carlo-Probabilistic Targeting
• Looking at old data with new eyes
*The Geoinformatics process was developed by Geoinformatics Exploration Inc. and
has been applied worldwide.
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
Projects
Current project inventory:
•
Pickstone/Peerless; 484,500 JORC Oz Au. Target > 1.5 Moz Pittable; > 3 Moz
including U/ground
•
Giant mine & Gadzima Schist Belt; 336,000 JORC Oz Au. Target > 1 Moz Pittable
•
One Step / Challenge (possible Rio Tinto Zimbabwe JV) Au … Target pending
•
Snakes Head project (Gt Dyke) – PGE (Cr). Potential 20-30 Moz PGE resource.
•
Chewore project – Ni-Cr (PGE ?) Largely unexplored ultramafic complex.
•
Perseverance Mine and surrounding ground – Ni. Old Rio Tinto mine 1.01% Ni
indications from electro magnetics show large areas of potential
April 2006 Resource - 820,500 Oz Au (JORC) --- Anticipated Dec 2006 – 1m Oz Au
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
ACR Project Pipeline
The strategy underlying
ACR' development and
growth is shown by the
Value-Project Pyramid,
which ensures a
continuous stream of
mines for the future…..
Bankable (JORC)
Resources and
Feasibility
Pickstone /
Peerless Mines
Increased Wealth
Greater Value
Giant Mine
New Reserves
Rapidly increasing
Resource Base
Spin-off Opportunities
Giant Mine
Extensions
Virgin Discoveries
Current research
into exploration
risk-management
at Macquarie
University has
modelled that each
step increases
value by 10 times.
ACR – Future
Mining Company
Midlands
Greenstone Belt
Regional
Exploration
Pickstone /
Peerless
Extensions
Chegutu /
Gadzema Belts
Regional
Exploration
One Step /
Challenge
New Resources
Snakes Head
(Gt Dyke) /
Chewore
PGE / Ni / Cu/ Cr
New Horizons
Exploration, Resources, Research, Acquisition
– Adding value at all stages
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
Highlight Intersections at Pickstone-Peerless
Peerless
20 m
4.16 g/t
Peerless
16m
3.87 g/t
Peerless
5m
15.94 g/t
Peerless
18m
2.42 g/t
Pickstone - Concession Hill
including
13m
5m
12.91 g/t
30.37 g/t
Pickstone - Concession Hill
12m
7.93 g/t
Pickstone – Concession Hill
17m
5.00 g/t
Pickstone – Duchess Hill
TBA
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
Timetable - continued
Post IPO – 2006
•
Start exploration at Chewore, Snakes Head, Perseverance and Manicaland
•
Develop One Step / Challenge project and Renco (soil sampling completed)
•
Assess potential of recent and future acquisitions
•
Peg tenements over new regional targets as they are generated
•
Commence construction of Pickstone Primary School – 7 class rooms, playing
fields, basketball and tennis wall, bore for water and establish veg garden
•
Open Computer centre to teach the teachers to instruct pupils in IT
Map - 11
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
Corporate Information – listed June 2006 AIM
Issued Capital at IPO: - 190 million shares
Raised GBP 4m – June 2006
1m Oz gold resource by year end 2006
5 Rigs in operation with high burn rate.
Reducing burn in early 2007 then increasing again by mid 2007
Share Price range 8.5p – 13p – Since listing (June ’06)
ACR – Exploration, Mineral Resources, Research & Production
African Consolidated Resources Plc
Contact ACR
Andrew Cranswick – ancranswick@acrplc.com
Ian Fisher – fishinn@bigpond.net.au
Mike Kellow – mwkellow@acrplc.com
Roy Tucker – royctucker@nettlesteadplace.co.uk
ACR – Exploration, Mineral Resources, Research & Production