POISED FOR GROWTH - APNMETALS.COM
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POISED FOR GROWTH
TSX.V:
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APN || OTCQB:
OTCQB: ALTFP
ALTFP || WKN:
WKN: A2JNFG
A2JNFG Sept 10 2019 APNMETALS.COM 1
DISCLAIMER
Forward Looking Statements
Certain information regarding the Company contained herein may constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements
may include estimates, plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Although the Company believes that the
expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. The Company cautions that
actual performance will be affected by a number of factors, many of which are beyond the Company’s control, and that future events and results may vary substantially from what the
Company currently foresees. Documents outlining the various factors that may affect future results are available at www.sedar.com. The Company’s forward-looking statements are
expressly qualified in their entirety by this cautionary statement.
Relating to exploration, the identification of exploration targets and any implied future investigation of such targets on the basis of specific geological, geochemical and geophysical
evidence or trends are future-looking and subject to a variety of possible outcomes which may or may not include the discovery, or extension, or termination of mineralization. Further,
areas around known mineralized intersections or surface showings may be marked by wording such as “open”, “untested”, “possible extension” or “exploration potential” or by
symbols such as “?”. Such wording or symbols should not be construed as a certainty that mineralization continues or that the character of mineralization (e.g. grade or thickness) will
remain consistent from a known and measured data point. The key risks related to exploration in general are that chances of identifying economical reserves are extremely small.
As part of its ongoing bulk sampling program, Altiplano is relying upon past production records, underground sampling and related activities and current diamond drilling to estimate
grade and widths of the mineralization. No production decision has been made at this time. Should a production decision be made without completing a feasibility study
demonstrating economic and technical viability, there would be increased uncertainty as well as economic and technical risks of failure associated with such a production decision.
The presentation contains historical exploration data that have not been verified by Altiplano Metals Inc. and may not be accurate or complete, and therefore the information should
not be relied upon.
John Williamson, B.Sc., P.Geol., a Qualified Person as defined by NI 43-101, has reviewed and approved the technical contents of this document.
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INVESTMENT HIGHLIGHTS
• Chile is the # 1 global copper producer
• Strong mining culture and excellent infrastructure
MINING • Ability to acquire small high-grade mines from local owners with the opportunity to increase resources and
JURISDICTION expand operations whilst reducing costs
• Completed acquisition in 2017 of a high-grade Cu-Au IOCG project
• >1,000,000 pounds of copper extracted from 2018 to present (Sept 2019)
• >30,000 tonnes of Cu-Au material processed @ 1.62 % Cu
FARELLON • Cash positive operation for the last three quarters SOUTH AMERICA
PROJECT • Significant regional and project upside opportunity
• Design and build a fit for purpose on-site mill, flotation plant, and iron recovery circuit to produce our own Cu
and Fe concentrate FARELLON
• Fully permitted facility will significantly reduce costs, increase Cu extracted material and capture value from by- SANTIAGO
PROJECT
EXPANSION products, thus increasing revenue
• Expand historic underground ramps to access adjacent Rosario and Laura veins
• Increase bulk sampling from 3,000 to 8,000 tonnes and increase in-situ resources
VISION TO
BECOME A • Acquire other regional mines as a repeatable business model
MID-TIER
MINER
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CORPORATE SNAPSHOT AND COPPER TRENDS
COPPER SUPPLY AND DEMAND
SHARE STRUCTURE AUG 31, 2019 The copper price is expected to rise on a widening supply deficit
▪ Mine production expected to peak by 2022
▪ Globally decreasing mined grades and increasing project costs
Current Shares outstanding 67,883,933
Warrants (@ average exercise price of $0.25) 2,696,413
Options (@ average exercise price of $0.15) 6,667,250
Management and Directors own ~13%
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MANAGEMENT AND DIRECTORS
John Williamson, B.Sc., P.Geol – Executive Chairman & Director
+30 years mining sector, founder of more than 20 successful companies in Canada and around the globe
Alastair McIntyre, B.Sc., B.Comm., P.Geo (Limited), MAusIMM CP (Man) – CEO
+30 years senior management experience in international metals banking. Structured and executed hundreds of multi-million-dollar metals deals
Justin Bourassa – CFO & Director
+15 years experience in the management, development, governance and reporting of private and publicly-listed exploration and mining companies
Jeremy Yaseniuk – Vice President of Corporate Development
+20 years in financial markets and marketing & financial expertise
Sean Mager, B.Comm – Director
+30 years experience in structuring, management and governance of private and public enterprise and transactions.
Ian McPherson – Director
Has worked extensively in branding, strategic planning, marketing and advertising in both domestic and international markets in various industries.
Jamie Hutton, B.Sc. – Director
Diamond drilling specialist who consults for numerous companies. Formally the general manager of Foraco Canada Ltd.
Andrés Encina G., B.Sc.– Country Manager
+15 years experience in management and business development in the mining and processing industry
Sebastián Badilla C., B.Sc. – Operation Manager
Extractive Metallurgical Engineer specializing in Cu ore mining, leaching, solvent extraction, EW plants and concentration plants
Ewan Webster, Ph.D – Senior Geologist
Exploration geologist with a comprehensive field, technical, and academic background
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A REPEATABLE & SUCCESSFUL BUSINESS MODEL
IMPROVE
AND
GROW THE
PROJECT Management has a successful
track record of investing in
undervalued assets, adding value
through technical and market
MONETIZE
expertise; and delivering returns
to shareholders
FIND A GOOD
PROJECT EXPAND
AND
REPEAT
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LOCATED IN CHILE’S COPPER-RICH IOCG BELT
FARELLON IRON-OXIDE-COPPER-GOLD (IOCG) PROJECT
TOCOPILLA
• Farellon is located only 30 minutes south of La Serena GUANILLOS
GATICO
• Year round road access
• Daily flights from Santiago MAGUAYAN
• High-grade copper mine in established mining district
with great expansion potential MOTECRISTO-JULIA
• Overview video link CARRIZALILLO DE LAS BOMBAS
SOUTH AMERICA
TERESA DE COLMO
EL SALADO CERRO NEGRO
LAS ANIMAS MANTOVERDE
GALLEGUILLOS
SAN DOMINGO SUR
CANDELARIA-PUNTA DEL COBRE DULCINEA
La Serena OJANCOS NUEVO AMOLANAS
CARRIZAL ALTO FAROLA
QUEBRADITA
FARELLON
PRODUCTORA
SANTIAGO
LA HIGUERA
SAN ANTONIO
BRILLA DOR
FARELLON
TAMAYA
PANULCILLO >30 Mt; Cu-rich IOCG Deposits
LOS MANTOS DE PUNITAQUI
TECTONIC SETTING AND DEPOSIT MODEL
FARELLON
SCHEMATIC IOCG
SYSTEM MODEL
During the Early to mid-Cretaceous a MOSTLY MAGMA
period of crustal extension resulted in DOMINATED WATERS
the development of large fault zones,
magma intrusions rich in precious and
base metals, and the formation of
IOCG systems along the coastline of
northern Chile.
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A REPEATABLE BUSINESS MODEL – STAGE 1
STAGE 1 – ACQUISITION OF FARELLON
ACQUIRE A GREAT COPPER MINING ASSET Acquired Farellon Cu-Au IOCG Vein
System in late 2017
• Chile is the most prolific copper mining
country in the world, has a strong mining
culture, and excellent infrastructure • Historical production of
~300,000 tonnes at an average
• Target small high-grade past or producing grade of 2.5% Cu and 0.50 g/t
mines from local owners Au (Comet Exploration, 2016).
• Minimal financing required Equates to 16M lbs. Cu (at
• Higher margins and rates of return todays price about 50M)
• Permitting is easier and construction
is quicker
• 43-101 Inferred Resource of
• Focus on IOCG systems that provide 278,360 tonnes at an average
predictable geology, low capital intensity, grade of 1.92% Cu and 0.12 g/t
with well established mining and Au (APEX Geoscience Ltd., 2017)
processing methods Equates to 11M lbs. Copper
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A REPEATABLE BUSINESS MODEL – STAGE 2
STAGE 1 STAGE 2 – INITIAL GROWTH & OPTIMIZATION
ACQUIRE A GREAT EXPANSION AND OPTIMIZATION OF
COPPER MINING EXISTING ASSESTS
ASSET
• Upgrade mine infrastructure
• Extend decline to access
mineralization down dip
• Increase efficiencies and
reduce costs
Bulk Sampling
• Exploration program
• Additional drilling to • >1,000,000 pounds of copper produced (as of Sept 2019)
confirm continuity and to • >30,000 tonnes of Cu-Au material processed @ 1.62 % Cu
upgrade the inferred • Cash-positive operation for the last three quarters
mineral resource
• Geophysics to identify • Operations to date have significantly de-risked future investment:
new targets • Reduced costs and increased efficiencies
• Improved geological understanding has optimized grade and recovery
• Extend bulk sampling to include • Achieved cash-positive results with low Cu prices by increasing
Rosario and Laura veins
efficiencies
• Expand team and local workforce • Continued with bulk sampling to new levels by increasing ramp
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A2JNFG APNMETALS.COM 10A REPEATABLE BUSINESS MODEL – STAGE 2
STAGE 1 STAGE 2 – EXPANSION AND OPTIMIZATION OF EXISTING ASSETS
ACQUIRE A EXPANSION OF EXISTING ASSESTS
GREAT COPPER
MINING ASSET • Upgrade mine infrastructure
• Extend decline to access
mineralization down dip
• Increase efficiencies and
reduce costs
• Exploration program
• Additional drilling to
confirm continuity and to
upgrade the inferred
mineral resource
• Geophysics to identify
new targets
• Extend bulk sampling to include
Rosario and Laura veins
• Expand team and local workforce Recent drilling downdip has extended the Cu mineralization
at least 50 m and increased overall strike length by 300 m
indicates the high grade vein system continues
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A2JNFG APNMETALS.COM 11CURRENT MINE AND PLANNED HUGO DECLINE – STAGE 2
Underground Development
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A2JNFG APNMETALS.COM 12A REPEATABLE BUSINESS MODEL – STAGE 2
STAGE 1 STAGE 2 – EXPANSION OF EXISTING ASSETS
ACQUIRE A GREAT EXPANSION OF EXISTING ASSESTS
COPPER MINING
ASSET • Upgrade mine infrastructure
• Multiple linear magnetic
• Extend decline to access anomalies are coincident with
mineralization down dip Cu-Au vein systems
• Increase efficiencies and
reduce costs • Historical underground
development provides easy
• Exploration program access for cost-effective
• Additional drilling to evaluation of Laura and Rosario
confirm continuity and to
upgrade the inferred
Veins
mineral resource
• Geophysics to identify
• Diamond drilling at Farellon
new targets confirms continuity of grade at
depth and is used to guide new
• Extend bulk sampling to include decline development
Rosario and Laura veins
• Expand team and local workforce
Ground Magnetics and Underground Workings
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A2JNFG APNMETALS.COM 13A REPEATABLE BUSINESS MODEL – STAGE 3
STAGE 1 STAGE 2 STAGE 3 – INVESTMENT & EXPANSION
ACQUIRE A EXPANSION INCREASE OUTPUT RATIONALE FOR ON-SITE PLANT
GREAT COPPER OF EXISTING
MINING ASSET ASSETS • Design and build fit-for- Minimal Financing Required Approximately $1.85 mm for mill,
concentrator, and iron separator
purpose 5,000 tpm mill,
concentrator and iron Eliminates tolling and transport Lower costs = greater rate of return
recovery plant for Farellon
• Significantly reduces Conventional plant equipment Easily available for low cost
tolling and highway
transport costs
Plant construction is quick Small plants are easy to build
• Improves and expands
mine throughput
Permitting is quick and easy Permitting already underway
• Captures value from by-
products
• Increases revenue Quick return on capex costsTOLL MILL PLANT VS PROJECTED APN MILL COSTS – STAGE 3
Existing Mill Site is Rented Milling APN Milling
130 km or a 3 hour Item
Plant Plant
drive from Farellon
Shipment
16 CA$/tonne 5 CA$/tonne
cost
Process
34 CA$/tonne 24 CA$/tonne
La Serena Proposed Mill Site cost
~200,000 population is only 15 km from Total Cost 50 CA$/tonne 29 CA$/tonne
Daily flights to Santiago Farellon
Road Access to the Mine
42% reduction in costs!
Proposed Mill
Site Only 15 km Total savings of 21 CA$/tonne
from Farellon
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A2JNFG 15APN CU CONCENTRATE MILL – STAGE 3
Cu Concentrate Fe Concentrate
Tonnes to process
2. Trucking to APN Milling tonnes at 26.5% Cu tonnes at 60% Fe
Plant (15 km)
3,000 tonnes 1.8% Cu 180 1,200
5,000 tonnes 1.8% Cu 300 2,000
8,000 tonnes 1.8 % Cu 480 3,200
1. Cu extraction
in Farellon
7. Drying Process
3. Crushing Cu
4. Milling 5. Flotation concentrate
Process Process Process
Tailings to Iron Concentrate Process Tailings
6. Decantation
Fe
concentrate
2. First Magnetic 3. Second Magnetic 8. Shipment and sale of
4. Thickener Tank concentrate to ENAMI (26.5% Cu)
Separation Separation 5. Drying Process
6.Shipment and sale of
concentrate to CAP (61% Fe)
7. Final tailings Dam
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A2JNFG 16A REPEATABLE BUSINESS MODEL – STAGE 3
STAGE 1 STAGE 2 STAGE 3 – INCREASE OUTPUT
ACQUIRE A EXPANSION COSTS AND PROJECTED REVENUE
GREAT COPPER OF EXISTING COSTS AND REVENUE
MINING ASSET ASSETS • Design and build fit-for-
purpose 5,000 tpm mill and CAPITAL COSTS* PRO FORMA
MONTHLY PRO FORMA
iron recovery plant to MONTHLY
(CA $2,130,000) COSTS*** MONTHLY PROFIT
accommodate 5,000 tpm REVENUE**
• Significantly reduces
tolling and highway $160,000 – Expansion of
$1,353,000 – Cu, Fe, Au $698,000 - Total $655,000
Hugo decline
transport costs
• Improves and expands $1,140,000 – Fit for
mine throughput purpose mill and flotation
plant
• Captures value from by-
products
$700,000 – Iron
• Increases revenue separation plant
• Begin production of Rosario
and Laura Veins at 3,000 tpm $130,000 – Rosario
Decline
*5,000 tonnes processed on site, 3,000 tonnes toll milled (Fe recovery not available from toll milling)
** Assumes monthly concentrate sales @ CA $1,980/t Cu and @ CA $94/t Fe.
*** Includes mining costs for 8,000t and combined costs for APN processing and toll milling (5,000t and 3,000t)
****Costs are presented in CA $ using an exchange rate of 1 US $ = 1.32 CA $ as of Sept 12, 2019
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A2JNFG APNMETALS.COM 17FARELLON GROWTH AND REVENUE TIMELINE – STAGE 3
Achieve 8000 tpm extraction
30,000 4500000
Fe separation added to the mill 4000000
QUARTERLY TONNES EXTRACTED
25,000
QUARTERLY REVENUE CA$
3500000
Achieve 5000 tpm extraction
20,000 3000000
Plant comes online – extraction increases, costs decline 2500000
15,000
2000000
Small profit margin
10,000 1500000
1000000
PROJECTED
PROJECTED
PROJECTED
PROJECTED
PROJECTED
PROJECTED
5,000
500000
0 0
Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020
Tonnes Extracted Total Revenue Total Costs
Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020
•Develop the Hugo •Begin plant •Begin Rosario •Achieve •Add Fe separation •Achieve
Decline construction decline expansion extraction of 5000 process to the extraction of 8000
& extraction of tpm at Farellon mill tpm by adding an
3000 tpm additional 3,000
tpm from Rosario
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A2JNFG APNMETALS.COM 18A REPEATABLE BUSINESS MODEL – STAGE 4
STAGE 1 STAGE 2 STAGE 3 STAGE 4 – FUTURE GROWTH
ACQUIRE A EXPAND THE INCREASE ACQUIRE ADDITIONAL MINES
GREAT COPPER HISTORICAL OUTPUT
MINING ASSET OPERATION • Acquire additional mines locally
• Many targets already identified
in this prolific IOCG belt
Many small and large
• Optimize production from all mines
growth opportunities
already identified
within the prolific
Chilean IOCG belt
FARELLON
>30 Mt; Cu-rich IOCG DepositsMINE LONGEVITY AND REGIONAL PROSPECTIVITY – STAGE 4
Prolific Mining District
• IOCG systems in this region
have very deep roots
TAMBILLO MINE
• The Tambillo mine has been
FARELLON PROJECT in production for >50 years
• Current mining depth is 1.2
km
The majority of the Farellon • Numerous projects in the
workforce lives in the mining
friendly town of Tambillo
region provides good
opportunity to replicate the
business model
La Serena
(30 min drive)
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A2JNFG APNMETALS.COM 20LOCAL RELATIONSHIPS, WORKFORCE, & SUSTAINABILITY
Building on strong local relationships
• Altiplano has developed strong stakeholder support
• In-country management team
• Open and transparent communications with the community
Commitment to local workforce
• Local services and operators are used for all mining
Focus on the environment and sustainability
• Altiplano is focused on high safety standards, environmental
management, productivity, and delivering positive outcomes for the
local community
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A2JNFG APNMETALS.COM 21INVESTMENT HIGHLIGHTS
• Chile is the # 1 global copper producer
• Strong mining culture and excellent infrastructure
MINING • Ability to acquire small high-grade mines from local owners with the opportunity to increase resources and
JURISDICTION expand operations whilst reducing costs
• Completed acquisition in 2017 of a high-grade Cu-Au IOCG project
• >1,000,000 pounds of copper extracted from 2018 to present (Sept 2019)
• >30,000 tonnes of Cu-Au material processed @ 1.62 % Cu
FARELLON • Cash positive operation for the last three quarters SOUTH AMERICA
PROJECT • Significant regional and project upside opportunity
• Design and build a fit for purpose on-site mill, flotation plant, and iron recovery circuit to produce our own Cu
and Fe concentrate FARELLON
• Fully permitted facility will significantly reduce costs, increase Cu extracted material and capture value from by- SANTIAGO
PROJECT
EXPANSION products, thus increasing revenue
• Expand historic underground ramps to access adjacent Rosario and Laura veins
• Increase bulk sampling from 3,000 to 8,000 tonnes and increase in-situ resources
VISION TO
BECOME A • Acquire other regional mines as a repeatable business model
MID-TIER
MINER
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A2JNFG APNMETALS.COM 22Head Office
250 Southridge, Suite 300
Edmonton, Alberta
Canada T6H 4M9
jeremyy@apnmetals.com
1.604.773.1467
alastairm@apnmetals.com
1.416.434.3799
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A2JNFG APNMETALS.COM 23You can also read
