SOUTH CROFTY TIN PROJECT
CORNWALL, SOUTHWEST ENGLAND
Corporate Presentation:
June 2013
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Caution Concerning
Forward Looking Statements
This document contains forward-looking statements and information within the meaning of applicable U.S. and Canadian securities laws including with
respect to closing of the transaction with Cornish Minerals Ltd, expected production targets and the development plan. Words such as “may”, “will”, “should”,
“anticipate”, “plan”, “expect”, “believe”, “estimate” and similar terminology are used to identify forward-looking statements and information. Such statements
and information are based on assumptions, estimates, opinions and analysis made by management of Celeste in light of its experience, current conditions
and its expectations of future developments as well as other factors which they believe to be reasonable and relevant. Forward-looking statements and
information involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied
in the forward-looking statements and information. Risks and uncertainties that may cause actual results to vary include but are not limited to: the conditional
nature of the transaction, including the requirement for approval of the transaction by the TSX Venture Exchange; uncertainties relating to the availability and
costs of financing needed to complete the transaction; exploration costs varying significantly from estimates; delays in the exploration and development of,
and/or commercial production from, the properties in which Celeste has an interest; the speculative nature of mineral exploration and development,
including the uncertainty of reserve and resource estimates; operational and technical difficulties; success of future exploration and development initiatives;
competition; inability to obtain, or delays in obtaining, necessary permits and approvals from government authorities; fluctuations in foreign exchange rates;
as well as other risks and uncertainties which are more fully described in Celeste’s annual and quarterly Management’s Discussion and Analysis and other
filings made by Celeste with Canadian securities regulatory authorities and available at www.sedar.com. Any forward-looking statement speaks only as of the
date on which it is made and, except as may be required by applicable laws, Celeste disclaims any intent or obligation to update any forward-looking
statement, whether as a result of new information, future events or results or otherwise. Although Celeste believes that the assumptions inherent in the forwardlooking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put
on such statements due to the inherent uncertainty therein.
Any references to historic resources are non 43-101 compliant, they are based on data and reports prepared by previous operators and public filings. A
qualified person has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves . The Company is not treating
these as current 43-101 resources and such historic resources should not be relied upon. These properties will require additional drilling and exploration before
a NI 43-101 compliant mineral resource or mineral reserve can be determined, which drilling and exploration the company intends to complete in due course.
Mr. James Hogg MAIG, a qualified person pursuant to the guidelines set out in NI 43-101 has reviewed and approved the technical disclosure in this document
on behalf of the Company.
Micromine estimates were completed using protocols established by JORC and CIM as required by NI 43-101, Historic resources are not NI 43-101compliant.
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Investment Highlights
Two permitted, past producing adjacent tin mines in the intensely
mineralized Central Mining District of Cornwall (UK).
Inferred resource of 2.5 million tonnes at 0.68% tin equivalent
established by 23,000 m drilling in upper levels of Dolcoath Mine
Exploration targets of 8 - 16 million tonnes at 1.2% to 1.8% Sn
defined by reevaluation of South Crofty historical sample data.
Fully permitted for development, dewatering and operations
Buoyant tin market - Increasing tin prices due to increased
demand for tin and a decreasing world supply – current range
$20,000 to $25,000 (<$5,000 at closure in 1998)
Experienced operating & management team.
Additional 150 sq km of mineral rights in throughout Cornwall.
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Why is there still potential at South Crofty
Exploration target of 8 to 16 million tonnes at grades of
1.2% to 1.8% tin, surrounding older workings,
established by analysis of historic sampling data.
Drill inferred resource from current drilling in shallow
levels of 2.5 million tonnes at 0.68% tin equivalent
Up dip extensions of lodes previously mined only at
depth have never been accessed or explored,
though one has been intersected by current drilling.
These are in addition to defined exploration targets.
Wide intercepts (20m+) of disseminated mineralization
being intersected in the Dolcoath main footwall.
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District Geology and
Historic Mining Activity
Areas shaded in black represent
historic mine workings
Areas shaded in pink represent
granite intrusives
Dolcoath and South
Crofty mines
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Up dip potential above deep South
Crofty workings parallel to Dolcoath
mine
Potential up dip
extensions of
lodes mined
only at depth.
Dolcoath main
lode at right.
N
W
South Roskear
Mine
Current core
drilling
SE
Dolcoath
Mine
250m Below
Ground Level
North Roskear
Mine
400m Below
Ground Level
550m Below
Ground Level
Roskear
Lodes
Dolcoath
North Lode
Dolcoath
South Lode
South Crofty –
Deep Roskear
Lode
Workings
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Celeste Ownership and Earn in Structure
• May 2011: Celeste entered into earn-in agreement
with Cornish Mineral ltd (Cornish UK) which, through
wholly owned subsidiaries, is the owner of South
Crofty and related assets.
• July 2012: Celeste acquired 25% ownership of
Cornish Minerals Ltd by funding GBP 4.6 million
(US$7.3 million) in project expenditures
• Option to acquire additional 35% interest by funding
a further GBP 16.3 million (US$ 26 million) in project
expenditures.
• Option to acquire remaining 40% on basis of
independent valuation.
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Planned Project Development
• Utility of drilling limited due to spatial
constraints and classification limits
• Known mineralized structures to be
evaluated by mining, exposure of structures
for sampling and dimensional evaluation
• Mining to be preceded by sequential
dewatering of Dolcoath and South Crofty
• Resource updates, metallurgical testwork
and economic evaluations of increasing
confidence leading to production decision
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Three Phase Development Strategy
Phase 1:
Reconcile current and historic resource bases
Water discharge testing
Commence dewatering Dolcoath
Advance decline
Cross cuts to south at 2052, 2020 and 1984 levels* to intersect resources in
South Entral and Dolcoath Main lodes
Cross cut to north for drill access to Roskear lodes. Continue drilling to north
and south as decline advances
Strike drifts and longitudinal sampling over 500m strike length in each of 2
lodes
Metallurgical testwork
Resource update and PEA
Assess potential for early production
* Relative to mine datum, -2000m OD
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Phase 2
Phase 2:
Complete dewatering of Dolcoath
Accelerate dewatering and start dewatering South Crofty
Cross cuts to north to intersect Dolcoath South, Middle and North lodes
and south to Dolcoath Main at lower levels
Strike drifts and sampling on up to six lodes
Continue drilling – north to Roskear lodes and further west as decline
advances
Complete construction of first phase new mine surface infrastructure
Update resource and PFS, possibly FS
Possible construction of initial production facilities for upper level ores
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Phase 3 and Production
Phase 3:
Dewater South Crofty while holding water in Dolcoath
Continue developing Dolcoath lodes for production
Continue drilling
Enter South Crofty west of crosscourse on Dolcoath South lode.
Mine Planning and full scale plant design
Updated Feasibility Study
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Project Developmental Summary
Phase 1
Phase 2
Phase 3
Estimated Costs
$26Million CDN
$17 Million CDN
$12 Million CDN
Estimated Time
12-14 months
12 months
12 months
Expected Deliverables
Preparation for
evaluation
Evaluation of
major lodes
Complete evaluation
Dewatering and
mining advance
Physical and
geostatistical
modelling
Initial evaluation
Preliminary
development
studies
Initial economic
assessment
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Completion of
Dolcoath
dewatering
Plant design
Prefeas or
feasibility study
Finalize economic
evaluation leading to
production decision
Detailed mine design
Complete
dewatering S, Crofty
to 1400m level
Develop
underground for
production
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Planned Decline Development
Proposed decline advance between Dolcoath and South Crofty western workings
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Permitting and Tenure
Fully permitted 1500 ha area for development and production, currently
to 1,500m depth
Permitted for water discharge, subject to definition of water discharge
criteria
Land Exchange with Cornwall Council completed to give security of
surface tenure
Permitted Surface plant with underground paste fill tailings disposal (see
below)
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Tin Outperforms
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Global Tin Industry
Tin Consumption
Tin (Sn)
Tin demand has increased in
recent years because of the
three-fold increase of the metal
in solder reflecting the elimination
of lead on environmental
grounds
Supply has decreased in Malaya,
Indonesia and Bolivia
Numerous new uses for tin
including in battery technology,
as a steel additive and in
photovoltaic technology
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Global Tin Industry
TIN...$4,255/t to $21,000+/t
Price of tin rapidly rising over the
past 10 years
2001
$US 4,255/t
2012
$US 21,000/t
Numerous traditional sources
supply now out of production
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Mineral Rights
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Management Team
Richard A. Kelertas (Interim Chief Executive Officer and Director): Has over 35 years of experience in corporate sales, marketing, corporate development,
corporate banking and equity capital markets . He is currently Senior Vice-President of Corporate Development for Allana Potash Corp. and also sits on
the board of directors of Strata Minerals Inc.
Max Missiouk (CFO): Has held several key executive positions with public companies.
Kevin Williams BSc Mining: Mine Manager; 40 year career in operational mining and tunnel construction. Founding director of Baseresult.
David Stone BSc (Hons), CEng, MI MechE: Technical Engineer; 50 years engineering experience in mining, power stations, water well projects & oil pipeline
construction. Founding director of Basereult..
Allan Reynolds ACSM: Head of Technical Services, Chief Surveyor, Substitute Mine Manager; 40 year mine industry career covering all aspects of mine
surveying and geology specific to Cornish Mining projects. Senior management member of the Baseresult team that acquired South Crofty Mine in 2001.
Keith D. Russ - PhD, BEng (Hons) Mining Engineering, ACSM: Technical Services Engineer; two time graduate of the Camborne School of Mines, gaining his
doctorate in 1995. Keith has been a highly valued member of the South Crofty project team since 2003. He was responsible for the digital compilation of
the historical mine records underpinning the project’s substantial exploration targets.
F. Michael Sampson: Senior Underground Supervisor; internationally seasoned career miner with past experience at two other Cornish mines. A long term
member of the South Crofty mine management team.
Chris Tenbeth: Drilling Services Manager; 35 years of hands on drilling experience mostly in diamond core drilling on surface and underground. Chris has
had a substantial amount of influence in the level of professionalism and efficiency of our drilling operations.
Samantha Rae BSc. Applied Geology (Hons): Exploration & Mine Geologist; Camborne School of Mines graduate, in her two years with us Sam has
perfected our core quality and control and developed a thorough understanding of all geological aspects of the project.
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Board of Directors
Richard A. Kelertas (CEO & Director): Currently Senior Vice President of Corporate Development at Allana Potash Corp. He has had over
30 years of corporate financial and capital markets experience.
Farhad Abasov (Director): Currently President and CEO of Allana Potash, Executive Chairman of Rodinia Lithium. Formerly an executive
with Potash One, Uranium One and Energy Metals with over 15 years of business experience.
Diana Walters (Director): Current President/CEO of Liberty Mining and Metals, over 20 years in management positions with energy and
mining companies.
.
.
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Capital Structure
Stock Symbol
C – TSX.V
Share Price
(05/06/2013)
$0.02
Shares Issued
(Basic)
130,361,014
52 Week
High/Low
$0.02 - $0.085
Market Cap
$2,607,220
Share Ownership
36.48% - Liberty
Mining & Metals LLC.
6.73% - Officers &
Directors
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Summary
Permitted operation in intensely mineralized, historic mining district
Compliant inferred resource of 2.5 million tonnes at 0.68% tin
equivalent
Exploration Targets (based on historic data) of 8 to 16 million tonnes
at 1.2 to 1.8% tin
Dewatering to commence early 2013
Resource expansion by combined drilling and underground sampling
Early production potential
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Contact Information
Richard Kelertas
Celeste Mining Corporation
Tel: 514-717-6256
Email: r.kelertas@sympatico.ca
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Appendix I - Resource Status
Inferred resource from current drilling of 2.5 million tonnes at 0.46% tin, 0.54%
copper and 0.23% zinc in upper levels of Dolcoath (0.68% tin equivalent).
A “closure reserve” for South Crofty filed as a statutory document in 1998 on
closure of South Crofty stating 2.9 million tonnes at 1.48% tin at a cut off grade of
1% tin. This estimate included only areas developed for mining at that time and
did not appear to address the concept of “resource”. This “reserve” would not
be compliant under NI 43-101.
Exploration targets in South Crofty:
6.75 to 13.5 million tonnes at 1.4 to 1.8% tin (east of great crosscourse)
1.25 to 2.5 million tonnes at 1.25 to 1.6% tin (west of great crosscourse)
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Appendix II – West Briton Article
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Appendix III: Organization at a Glance
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Appendix IV- Resources
Plan view
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Appendix V – Resources and Exploration
Targets (West)
Resources relative to exploration target west of great crosscourse
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Appendix VI –
Resources and Exploration Targets (East)
Resources relative to exploration target east of crosscourse
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Appendix VII - Drill Result Highlights
Select Drill Hole results from 2008 - 2012
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Appendix VIII - Drill Result Highlights
¹Weighted average grade composites calculated using 0.2% Sn equivalent trigger value, 0.2% minimum overall grade, 1m minimum width and maximum 1m
consecutive waste.
²Sn equivalent calculated using inputs from Sn, Cu and Zn metal values from LME 3 year trailing average settlement price of US$21,675/t, US$7,883/t, and US$2,101/t
respectively. Sn equivalent calculation = Sn grade + (Cu grade*0.364) + (Zn grade*0.0969).
³Intercepts reported are from average 1m length half NGM, NQ and BQ drill core sample intervals, collected using best practice methodologies.
4Samples are analysed for Cu, Zn, In and W using ICP/ICP-MS after 4 acid digestion and for Sn and over range elements by ICP/ICP-MS after peroxide fusion by AGAT
Laboratories, Mississauga, Ontario, Canada. AGAT is independent of Celeste Copper Corp. 100% metallurgical recovery of all metals is assumed.
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Underground Development
To view a short clip of the underground development at South
Crofty, please copy the link below into your browser.
http://celestecopper.com/DTM_BBC_QT.mov
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