Big picture - Why invest in Kincora Copper
Kincora Copper Snapshot
Our objective is to create value for shareholders through the advancement and discovery of porphyry copper-gold-molybdenum and epithermal precious metal deposits, particularly focused on the next generation of Tier 1 porphyries in the under explored Southern Gobi copper belt.
Following the IBEX transaction in late 2016, we have strengthened our Technical Team and Board to reflect our exploration and further expansion strategy having already been one of the most active copper exploration groups in Mongolia since 2011 and having completed three corporate transactions over that period.
Sam Spring - Director, President and CEO of Kincora Copper Limited presents at the MINEX Eurasia 2016 Event.
SOUTHERN GOBI PROJECT
Kincora’s dominate position between and on strike from the two existing copper mines in the Southern Gobi is within only several hundred kilometers from the border with China, the largest consumer of copper in the world.
The region is sparsely populated, generally flat open desert, enjoys existing and rapidly improving infrastructure, is not at altitude and is within trucking distance to China – a favorable location for exploration and mine development.
Our portfolio covers 10 existing licenses, 2 further applications and covers over >1560km2. It is a strategic landholding including the majority of prospective copper belt offering the highest potential for further Tier 1 discoveries in the proven but under explored copper belt, which includes Rio Tinto’s largest global expansion project. Existing large incumbents are actively expanding portfolio and/or ramping up exploration within this Devonian copper belt.
The Devonian copper belts’ existing copper mines include two large scale greenfield copper construction projects: Oyu Tolgoi, invested capital to date over US$7 billion, in Stage 1 open pit production and target production of up to 160,000t/day, owned by Rio Tinto, Turquoise Hill Resources minority shareholders and the Government of Mongolia (“GoM”); and, Tsagaan Suvarga, estimated capex of at least US$1 billion and target production of 40,000t/day from its open pit, privately owned by MAK with project finance syndicated by the European Bank of Reconstruction and Development (“EBRD”).
Ahead of formal notice to proceed with the recommencement of underground development of Oyu Tolgoi, in Dec’15 the largest project financing of its kind in the metals and mining industry was secured for up to US$6 billion to fund underground construction. The financing was sourced from a syndicate of international financial institutions and export credit agencies representing the governments of Canada, the United States and Australia, along with 15 commercial banks.
Initial exports from Oyu Tolgoi’s open pit in less than four years from final investment agreements, three years of production with an excellent safety record and the syndication of the underground project financing assists demonstrate the attractiveness of Mongolia as a place to do business and invest.
Other significant mines, including the world class Erdenes Tavan Tolgoi mine and other coal mines, with associated infrastructure (including rail, power and water) are proposed or under construction in this general region, which is one of the most rapidly developing mining centers anywhere in the globe despite being one of the last under-explored frontiers. Xanadu Mines’ (c.A$100m market cap) flagship Kharmagtai copper-gold exploration project sits in close proximity outside of the interpreted Devonian belt where they continue to explore for a fourth mineralized system to support it advancing from exploration to development.
With the IBEX transaction, Kincora how operates the winterized “White Pearl” camp, located within 300 metres of recently installed power lines. The southern licenses are located within the Oyu Tolgoi aquifer.
BOARD OF DIRECTORS
LUKE LESLIE - NON-EXECUTIVE CHAIRMAN
Luke was instrumental in the formation and capitalisation of Kincora in 2011/2012, its capital market and M&A strategy since. He brings extensive capital markets, transaction and advisory experience as a seasoned private equity investor and previously as a corporate financier with UBS Investment Bank’s metals and mining team.
Luke has served as Chairman of Kincora’s Audit Committee and been a member of the Remuneration Committee since 2012. He is a Director of Shanta Gold where he is Chairman of Shanta’s Remuneration Committee and a member of the Audit Committee. Luke is a Director of Moly World, a private molybdenum and tungsten developer in Mongolia and a Director of Origo Advisors Limited.
Luke was based out of Ulaanbaatar between 2010 and 2012 and has extensive experience in natural resource opportunities both globally and in Mongolia. In Mongolia, one of Luke’s roles was as co-Head of the Trafigura Origo Joint Venture which reviewed over 100 exploration licenses and over 30 mining licenses in addition to the proprietary databases and exploration data which Kincora has established since 2011.
ERIC ZURRIN - DIRECTOR
Prior to becoming an independent non-executive director of Kincora, Eric was a Director of UBS Investment Bank’s global mining team based in London, UK.
Mr Zurrin is former CFO of Shanta Gold Limited, listed on the AIM Exchange in London, with over 13 years of corporate and capital markets transaction experience, having worked and lived in Toronto, London, Hong Kong, Dar es Salaam and Ulaanbaatar covering mining and industrial sectors.
DUCHINTAV KHOJGOR - DIRECTOR
Mr Khojgor, a Mongolian national, is an executive of business development and government relations for Kincora.
He is a proactive Mongolian partner and major shareholder since Kincora’s formation.
Mr Khojgor is a trilingual executive involved in various Mongolian businesses, including significant coal and other natural resource projects, with 20 years' experience in entrepreneurship.
Mr Khojgor earned his Bachelor of Mechanical Engineering in Precision Machinery from the Polytechnical University in Vladimir, Russia.
JONATHAN (SAM) SPRING - DIRECTOR, PRESIDENT AND CEO, MEMBER OF THE TECHNICAL COMMITTEE
JOHN HOLLIDAY - INDEPENDENT NON-EXECUTIVE TECHNICAL DIRECTOR, NON-EXECUTIVE CHAIRMAN OF TECHNICAL COMMITTEE
MR. JONATHAN (SAM) SPRING - DIRECTOR, PRESIDENT AND CEO, MEMBER OF THE TECHNICAL COMMITTEE
Since his executive involvement with Kincora, two equity offerings have been oversubscribed, a further two closed in 2016, and the Company’s balance sheet/corporate structure restructured. During this period Kincora has been one of the most active copper exploration groups in Mongolia, oxide development studies commenced, discussions advanced with industry investors, together with an active M&A strategy. This M&A strategy recently resulted in a regional consolidation with the IBEX transaction, creating the dominant landholding in the Southern Gobi copper belt at a time when other major groups are increasing their footprint and activities in this region.
Sam lead industry lobby efforts with the Government of Mongolia for the resolution of the 106-exploration license dispute resulting in the return of Kincora’s two previously revoked licenses, and recently lead a second dispute resolution process with the Government. Prior to Kincora, Sam was recognised as one of the leading European Metals and Mining research analysts, having won the Association of Mining Analysts (UK) Equity Mining Analyst of the Year, with multi disciple financial service sector experience, including the Goldman Sachs Group.
He is a CFA Charterholder and a Chartered Accountant (ICAA). He earned his Bachelor of Commerce degree at the University of Melbourne.
MR. JOHN HOLLIDAY - INDEPENDENT NON-EXECUTIVE TECHNICAL DIRECTOR, NON-EXECUTIVE CHAIRMAN OF TECHNICAL COMMITTEE
John has over 30 years’ experience in metals exploration mostly with BHP Minerals and Newcrest Mining, including the positions of Chief Geoscientist and General Manager, Property Generation and more recently in the junior sector. He was a consultant geologist to Kincora from mid 2015, becoming Chairman of the then newly formed Technical Committee in November 2016 before joining the board in late January 2017.
John was a principal discoverer and site manager of the undercover Cadia and Marsden porphyry Tier 1 gold-copper deposits in NSW, and was a principal geological advisor on the acquisition of many significant projects, including Namosi and Wafi-Golpu.
John has a track record of success in global gold-copper deposit exploration, discovery and evaluation, particularly with concealed porphyries such as those that the Oyu Tolgoi-Tsagaan Suvarga copper belt is prospective for where Kincora holds the dominant regional landholding.
John has a geophysics/geology honours degree from Macquarie University and economics/politics degree from Sydney University. He is a member of the Australian Institute of Geoscientists, the Australian Society of Exploration Geophysicists and the Society of Economic Geology.
PETER LEAMAN - PRESIDENT OF EXPLORATION, EXECUTIVE OF TECHNICAL COMMITTTEE
Peter has over 40 years’ experience in exploration mostly with BHP Minerals, with a particular focus on Base & Precious Metals, and PanAust Limited, where he was Regional Exploration Manager SE Asia and remains an Exploration Advisor.
Peter is a very hands on and target orientated front line leader who has been responsible for project generation, managing mineral exploration programs and regional offices/activities in multiple jurisdictions, resulting in multiple discoveries including the Tier 1 Reko Diq porphyry Cu/Au deposit, Crater Mountain epithermal Au/Ag and Mt. Bini (Kodu) porphyry Cu/Au deposits in Papua New Guinea, amongst others.
Peter managed the BHP Billiton office and exploration teams in Mongolia, which included the joint venture with Ivanhoe Mines (now Turquoise Hill Resources) to explore the Oyu Tolgoi belt for similar deposits, including flying the regional Falcon airborne gravity gradiometer survey, undertaking extensive Induced Polarization (IP) studies and target testing drilling.
Peter is a former Imperial College (M.Sc. mineral exploration) and Leicester University (B.Sc. Hons, geology) graduate.
ANTHONY JACKSON - CHIEF FINANCIAL OFFICER (CFO)
Mr. Jackson is a Principal of BridgeMark Financial Corp., which provides corporate compliance, financial advisory, and financial reporting activities to public and private companies. Mr. Jackson also founded Jackson & Company, Chartered Accountants assisting private and public companies in a variety of industries with full service accounting, and tax services. Prior to his time at BridgeMark, Mr. Jackson spent a number of years working at Ernst & Young LLP and obtaining his CA designation before moving onto work as a senior analyst at a boutique investment banking firm. Mr. Jackson holds a Bachelor of Business Administration degree (B.B.A) from Simon Fraser University and the professional designation of Chartered Accountant (CA), where he is a member of the B.C. and Canadian Institute of Chartered Accountants. Most recently, Mr. Jackson has had extensive experience as a Director and CFO of numerous publicly traded corporations in the metals and mining industry.
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1199 West Hastings Street
Vancouver, BC V6E 3T5
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Sukhbaatar District 1st Khoroo
Ulaanbaatar 14210, Mongolia
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