Announcement • Jul 10
Metallica Minerals Limited Appoints Gregory Barry Starr as Director Metallica Minerals Limited announced the appointment of Gregory Barry Starr as director to the board. New Risk • Apr 05
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Australian stocks, typically moving 17% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-AU$6.4m free cash flow). Share price has been highly volatile over the past 3 months (17% average weekly change). Revenue is less than US$1m. Minor Risk Market cap is less than US$100m (AU$23.0m market cap, or US$15.2m). Announcement • Oct 11
Metallica Minerals Limited, Annual General Meeting, Nov 22, 2023 Metallica Minerals Limited, Annual General Meeting, Nov 22, 2023, at 09:30 E. Australia Standard Time. Location: HWL Ebsworth, Level 19, 480 Queen Street, Brisbane Queensland Australia Agenda: To receive, consider and discuss the Company's 2023 Annual Report comprising the financial report,Directors' report and auditor's report; to consider Remuneration Report; to consider Re-election of Mark Bojanjac as a Director; to consider issue of Options to Related Party -Theo Psaros; to consider issue of Options to Related Part -Stuart Bradley Sampson; to consider issue of Options to Related Party-Mark Bojanjac; to consider Approval to adopt new Employee Equity Incentive Plan; to consider Approval for the Company to issue an additional 10% of the issued capital of the Company over a 12 month period pursuant to Listing Rule 7.1A; and to consider other issues. New Risk • Sep 07
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -AU$7.4m This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-AU$7.4m free cash flow). Earnings have declined by 3.6% per year over the past 5 years. Revenue is less than US$1m (AU$86k revenue, or US$55k). Minor Risks Shareholders have been diluted in the past year (43% increase in shares outstanding). Market cap is less than US$100m (AU$22.0m market cap, or US$14.0m). New Risk • Aug 20
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended December 2022. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risks Earnings have declined by 23% per year over the past 5 years. Revenue is less than US$1m. Minor Risks Latest financial reports are more than 6 months old (reported December 2022 fiscal period end). Shareholders have been diluted in the past year (44% increase in shares outstanding). Market cap is less than US$100m (AU$24.9m market cap, or US$15.9m). Recent Insider Transactions • Dec 16
Insider recently sold AU$72k worth of stock On the 13th of December, Grant Dostal sold around 2m shares on-market at roughly AU$0.035 per share. This transaction amounted to 7.0% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of AU$70k more than they bought in the last 12 months. Announcement • Oct 11
Metallica Minerals Limited, Annual General Meeting, Nov 17, 2022 Metallica Minerals Limited, Annual General Meeting, Nov 17, 2022, at 09:30 E. Australia Standard Time. Location: Colin biggers and paisley lawyers Level 35, Waterfront Place, 1 Eagle street Brisbane Queensland Australia Agenda: To discuss audited financial statements; to consider the remuneration report; to consider re-election of Stuart Bradley Sampson as a Director; to discuss issue of performance rights to Related Party Mr Theo Psaros; to consider the issue of performance rights to Related Party Mr Stuart Bradley; to discuss issue of performance rights to Related Party Mr Mark Bojanjac; to consider approval for the Company to issue an additional 10% of the issued capital of the Company over a 12 month period pursuant to Listing Rule 7.1A; and to discuss other business matters. Announcement • Sep 20
Metallica Minerals Limited Announces Drilling At the Western Areas Intersects High Purity Silica Metallica Minerals Limited announce that assay results have been received for the 25 Hand Auger holes that were drilled in the western part of the Cape Flattery Silica (CFS) tenement (EPM 25734) in August 20222. A total of 25 hand auger holes were drilled (WA145 to WA169) comprising 123m of drilling in the western part of the EPM. The auger holes were designed to determine the possible ariel extent of silica sand in the western part of the tenement and to determine the quality of the silica sand. The holes were augured vertically into individual sand dunes to a maximum depth of 5m, which was the physical limit that the auger was capable of drilling. High quality silica sand was intersected at the base of twenty-three of the twenty-five holes, indicating that there is likely to be depth extensions to the high quality silica sand mineralisation. Future drill testing of the Western Area will determine the maximum depth extent of the mineralisation in each of the sand dunes tested by the auguring. Samples were collected at 1m intervals down each hole. Each hole was logged at 1m intervals and the colour, grain size and the presence of any contaminants recorded. A representative sample of each one-meter interval was placed in a chip tray, which was then photographed to provide a digital record of each hole. These photographs are stored in a database with the relevant assay results so visual comparisons can be made between grade and sand quality. All the samples were submitted to ALS in Brisbane where they were assayed for silica, iron oxide, aluminum, and titanium content. Reported Earnings • Aug 26
Full year 2022 earnings released: AU$0.003 loss per share (vs AU$0.008 loss in FY 2021) Full year 2022 results: AU$0.003 loss per share (up from AU$0.008 loss in FY 2021). Net loss: AU$2.01m (loss narrowed 34% from FY 2021). Over the last 3 years on average, earnings per share has increased by 39% per year but the company’s share price has only increased by 27% per year, which means it is significantly lagging earnings growth. Announcement • Aug 23
Metallica Minerals Limited Commences Extensional Exploration Program on Cape Flattery Silica Project Metallica Minerals Limited announced an exploration program with 25 hand auger holes planned for up to 5 meters each is scheduled to start on 23 August 2022 on the 100% owned subsidiary Cape Flattery Silica Pty Ltd. tenement. This program will be undertaken west of the Cape Flattery Silica project (ML100284, 100% owned by Metallica) and the program will add to the strategic options and planning for this area. The location of the 25 auger holes are shown in the figures below. Permission to drill from the Aboriginal Corporations was approved on the basis that all drill hole locations will be on existing dune areas within the EPM. A Traditional Land Owner representative will assist in the work program. Metallica's 100% owned Cape Flattery Silica Sands (CFS) project is adjacent to the world class Cape Flattery Silica Sand mining and shipping operation owned by Mitsubishi. Exploration drilling to date has now confirmed that the sand dunes within EPM 25734 contain high purity silica sands with an in- situ quality which is understood to be comparable to Mitsubishi's Cape Flattery Silica Mine. The key highlights of the PFS Report are as: Cape Flattery Silica Sand Project's (CFS) Pre-Feasibility Study (PFS) confirms the Project can be a long-life silica sand project producing high-quality silica sand for the booming Asia-Pacific glass manufacturing markets supplying the solar panel industry. The PFS returns pre-tax Net Present Value (NPV 8) of AUD 290 million (M), Internal Rate of Return (IRR) of 34.9% and life of Project cash revenue of AUD 2,127 million. This compares with the Updated Scoping Study (10 November 2021) which had an NPV 8 of A$253 million. The Capital Cost of CFS is estimated to be AUD 79 million (including a 15% contingency of AUD 10 million) with a payback period from commencement of production of 3.9 years. All production is based on the Maiden Ore Reserve. The Maiden Ore Reserve of 46 million tonnes @ 99.18% SiO is exploited over a 25-year Project life producing saleable product of 1.35Mt per annum. Sensitivity and scenario analysis demonstrate the Project is financially robust and can maintain a positive Net Present Value (NPV) through stress-testing of the various scenarios. Both the sand extraction area and the industry standard processing facility will have a small footprint and low environmental impact. A purpose-built jetty is planned to be constructed (subject to Development Approval (DA)) to allow barge loading and transhipping operations. This infrastructure, importantly, is located within the Port Limit of Cape Flattery. Development of CFS will deliver employment, apprenticeship and training opportunities to the Hope Vale and Cooktown communities, particularly the local indigenous communities. CFS will contribute to delivery of the Queensland Government's commitment to the development of new economy minerals in Far North Queensland. The results from the PFS demonstrate a strong financial case and the Company's Board has approved commencement of a Definitive Feasibility Study (DFS) in second quarter of 2022. Announcement • Jul 13
Metallica Minerals Limited Receives Assay Results for Two Drill Diamond Holes Completed at the Clermont Porphyry Project in April 2022 Metallica Minerals Limited has received assay results for two drill diamond holes completed at the Clermont porphyry project in April 2022. Drill holes RDD019 and RDD020 were designed to test an intense magnetic low anomaly which the Company's geologists believed represented an attractive drilling target for porphyry style copper gold mineralisation. The two holes drilled at Clermont intersected a quartz-monzonite porphyry which exhibited potassic and phyllic alteration which are characteristic of mineralised porphyry systems, with the intensity ofalteration increasing with depth. Sulphide mineralisation in the form of iron pyrite, chalcopyrite and molybdenum was also observed in the two holes. The majority of the mineralisation appears confined to fracture surfaces but mineralised quartz bearing veins (pyrite chalcopyrite) were observed and fine disseminations of pyrite, chalcopyrite and molybdenum were observed in the rock matrix. Logging and assay results show that total sulphide content of the holes varies between 0% in the top 50m of the drill holes to between 2% to 3% sulphides (S) towards the base of the holes. Anomalous copper was recorded in both drill holes with grades ranging from 5ppm Cu to 1,840ppm Cu in hole RDD019 and 2ppm to 3,460ppm Cu in RDD020, Molybdenum grades ranged from <1ppm Mo to 312 ppm Mo in RDD019 and from <1ppm Mo to 87ppm Mo in RDD020. Gold grades ranged from <0.01 to 0.11 Au in RDD019 and from <0.01 ppm Au to 1.75 g/t Au in RDD020. The assay data shows a distinct increase in copper mineralisation with hole depth, with the highest copper assays recorded at the base of each hole. This same trend is also evident with silver assays in RDD020. The highest recorded gold assays occur in the bottom 30m of RDD020, with the highest gold intercept of 2m @ 1.69 g/t Au recorded in hole RDD020 from 475m. It is significant that both RDD019 and RDD020 intersected anomalous Tin (Sn) and Tungsten (W) which can be used in porphyry models to determine which part of the porphyry system has been intersected. Sn and W grades range from 1ppm to 53ppm (Sn) and 2ppm to 179ppm indicating that the zone tested by drilling is close to or adjacent to the copper rich zone of the porphyry system. Porphyry systems are modelled as having distinct metal zonation around a copper rich core, with,Arsenic (As) Bismuth (Bi) and Tellurium (Te) occurring distal to the copper zone and Sn and W occurring proximal to the copper rich core. Drill holes RDD019 and RDD020 were designed to test the modelled magnetic low between 300m to 500m below surface. From the results of the drilling, it is highly likely that the drill holes intersected the upper limits of the magnetic low feature. It is planned to review geochemical and petrological data from RDD019 and RDD020 in conjunction with data available from historical holes drilled on periphery of the magnetic low. This is expected to further assist in identifying which part of the mineralised porphyry system has been intersected and to aid in recommending further exploration activity. Announcement • Jun 23
Metallica Minerals Limited Provides Updated on Cape Flattery Silica Sand Project Metallica Minerals Limited provided an update on the progress towards development of its 100% owned Cape Flattery Silica (CFS) sand project. Environmental Studies: The Company, along with company's external environmental consultants, have completed an array of environmental studies at the CFS project. These studies have included soil sampling, ecological studies and water monitoring. It is expected that the Environmental Application will be lodged in early Third Quarter of this year to the Queensland Department of Environment & Science (DES). In Third Quarter of 2022, the Company also plans to lodge a Progressive Rehabilitation and Closure Plan (PRCP) with DES. The PRCP will outline how rehabilitation will be undertaken progressively throughout the life of the project and what work will be undertaken when the project is completed. There will be a communication process undertaken with key stakeholders to inform them of the PRCP and seek feedback accordingly. Purpose-built Jetty Development Application: A Development Application (DA) to the Queensland Government is being finalised for approval for the construction of a purpose-built jetty for the CFS Project. The planned jetty is located within the Cape Flattery Port limit. The Cape Flattery Port is already in operation, loading silica sand onto ships for export and is an area with existing approval for marine operations such as being contemplated by the Company. The Jetty Development Application process has required engagement with a number of Queensland Government departments as well as the Hope Vale Aboriginal Shire Council and Cook Shire Council. The DA is expected to be lodged in Third Quarter of this year. Traditional Landowner Negotiations: To date, four meetings have been held with the Negotiation representatives of the clans who are the traditional landowners of the planned Mining Lease Application (MLA) area. The Company has met with the Dingaal and Nguurruumungu representatives and their respective legal advisors and the negotiations are continuing. Negotiations have been delayed somewhat over recent months due to impacts of a number of Covid cases amongst the both the CFS team and residents of Hope Vale. Importantly, the negotiations have been held in a professional and respectful manner with significant information on the project being shared with the negotiating parties from each clan. Metallurgical testing: The next phase of metallurgical studies has commenced and will concentrate on the iron variability and final product specifications. Variability studies on a range of Fe2O3 samples at 100ppm intervals from within the Measured Resource area (see map below) will help optimise the sand recovery sequence and is an important part of the early DFS work. Definitive Feasibility Study underway: The Definitive Feasibility Study (DFS) is underway and is planned for completion in 2nd Quarter 2023. Detailed planning for the DFS has been presented to the Board of Metallica and work on multiple work streams has commenced. A Request for Proposal (RFP) has been sent to nine (9) potential transhipping service providers with appropriate capability and who have indicated interest in participating in the DFS. Water Application Following the CFS Project being designated a Project of Regional Significance by Queensland's Department of Regional Development, Manufacturing & Water (DRDMW), further work is underway for the formal application to extract ground water for the planned sand recovery and processing operations from the Cape York unallocated strategic reserve. Announcement • Apr 28
Metallica Minerals Limited Announces Results from Metallurgical Testwork on Three Targeted Samples from the Cape Flattery Silica Project Metallica Minerals Limited announced that results from the latest round of metallurgical testwork on three targeted samples from the Cape Flattery Silica project have confirmed that a high-quality premium product can be achieved from a key area within the project. The latest testwork was undertaken by Mineral Technologies and involved a silica sand characterisation study and was conducted on three samples (Samples CFS2 to CFS4) with the work comprising laboratory-scale tests to produce products that represent the purest silica sand that may be achievable using conventional mineral processing methods. The sand characterisation study involved using a suite of laboratory tests to understand how the sand will behave in a full-scale processing plant. The sand sample is run through a series of stages, with the silica content and the iron content recorded at the end of each stage. This work identifies which stages, (laboratory methods) are crucial in upgrading the feed sand to a high-end product. The laboratory work involved: Dry screening at 1mm to remove oversize; Wet screening at 45µm to remove slimes; Dry screening of the +45µm fraction using 600 and 106µm screens; Heavy liquid separation (HLS) of the -600+106µm fraction at a specific gravity of 2.70, to mimic spirals; Intensive attritioning of the HLS float fraction for 5 minutes Magnetic separation. This recent round of metallurgical testwork highlighted that the HLS stage of the process shows themost significant reduction in Fe2O3, with the Fe2O3 content of the silica sand reduced from grades of260 ppm Fe2O3 to between 70ppm and 100ppm. The dry screening completed prior to the HLS stageand the proceeding attritioning stage only saw minimal changes in the Fe2O3, grade of the products.The lowest Fe2O3, grades achieved by this testwork for Samples CFS2, CFS3 and CFS4 were 70ppm,90ppm and 90ppm respectively.The HLS stage rejected roughly 0.10% of the feed mass to the sink fractions. The sink fractions hadhigh concentrations of TiO2 and Fe2O3 which are probably in ilmenite. Removal of the sinks saw amajor reduction in the Fe2O3 content of the float fractions to between 70 and 100ppm Fe2O3. Announcement • Apr 08
Metallica Minerals Limited Announces Increase in Measured and Indicated Resources at Cape Flattery Silica Project Metallica Minerals Limited announced that the infill drilling program completed by the company in December 2021 has successfully increased the Measured and Indicated Resources from 47.8Mt @ 99.18% SiO2 to 51.9Mt @ 99.18% SiO2. Notably there has been a 74% increase in the Measured Resource from 9.6Mt to 16.7Mt, which will be assessed as part of the DFS to support an increased portion of the early mine life. Of note, the area that contains the Measured Resource is the likely initial mining area for the project. This area contains the higher silica grades and lowest iron content. The Measured Resource is also close to the planned processing and transhipping facilities which will minimise material movement and costs. Samples collected within the Measured Resource area from the August 2021 drilling program have been composited to produce a representative bulk sample for metallurgical test-work. This bulk sample is currently being processed by Minerals Technologies for plant design purposes. The Upgraded Resource was estimated by Ausrocks Pty Ltd. using data from all three of Cape Flattery Silica's (CFS) main drilling programs, with the most recent program completed in December 2021. The Resource utilises data from a total of 152 vertical vacuum and auger drill holes, comprising 2,538m of drilling. Holes were drilled using a vacuum rig mounted on a tractor with 1m samples collected in a clear Perspex cyclone. Samples were taken every 1m and the holes were either terminated due to wet ground when the water table was encountered or when the hole intersected iron rich clays or basement rocks. All the samples were dispatched to ALS in Brisbane for analysis and laboratory check samples were undertaken by Intertek in Perth. The infill and step out drilling completed in December 2021 and the observed geology supports the increase in the Measured component of the Resource and the infill drilling also confirmed the robust nature of the model with a majority of the Inferred Resource becoming Indicated with the additional infill drilling completed in December 2021. Modelling of the silica sand Resource was undertaken using; 25m (L) x 25m (W) x 2m (H) with sub blocks 5m (L) x 5m (W) x 0.5m (H) which were used to generate the block model. The blocks were constrained by the model boundaries, i.e. topography, geology, water table, base of hole and populated by the Ordinary Kriging (OK) estimation method to interpolate assay grades for each of the chosen elements (SiO2, Fe2O3, Al2O3, TiO2 and LOI Inverse Distance Weighting (IDW - 2:1) was used to check the model and yielded similar results. Board Change • Mar 29
High number of new directors Independent Non-Executive Director Mark Bojanjac was the last director to join the board, commencing their role in 2021. Announcement • Feb 25
Metallica Minerals Limited Announces Cape Flattery Silica Granted Project Regional Significance Metallica Minerals Limited announced that the Department of Regional Development, Manufacturing and Water (DRDMW) in Queensland has determined that Metallica's 100% owned Cape Flattery silica sand Project (CFS) is a "Project of Regional Significance." This means that the project is eligible to apply for, but is not guaranteed, a water entitlement from the 25,000 megalitres of unallocated water held in the strategic reserve for the Water Plan. Metallica's team of consultants are progressing well towards the completion of the Pre-Feasibility Study (PFS) in March 2022. Announcement • Feb 24
Metallica Minerals Limited Infill Drilling Validates Cape Flattery Silica Project Resource Model Metallica Minerals Limited announced assay results have been received for the 410 silica sand samples (including duplicate samples) from the 24-hole infill drilling program completed at Metallica's Cape Flattery project in December 2021. The holes were drilled on the eastern part of EPM25734, which is located immediately north of Mitsubishi's silica sand mining operation at Cape Flattery. Assays from the December 2021 infill drilling have been received Intercepts include: CFS126, 23m @ 99.27% SiO2 from 3m1, CFS132, 23m @ 99.42% SiO2 from 1m, CFS142, 33m @ 99.22% SiO2 from 1m, CFS144, 17m @ 99.46% SiO2 from surface. The aims of the drilling program were to improve the mineral resource boundary definition, provide additional infill information with a view to improving confidence in the mineral resources. This drilling information will be incorporated into an updated mineral resources estimate planned to be completed in March 2022. The planned update of the mineral resources will not be included in the pre-feasibility study which is near completion. Announcement • Feb 16
Metallica Minerals Limited announced that it has received AUD 4.238225 million in funding from Sparta AG, Ilwella Pty Ltd and another investor Metallica Minerals Limited announced a private placement of shares at an issue price of $0.031 (AUD 0.043) per share for proceeds of $3,035,000 (AUD 4,238,225.75) on February 16, 2022. the transaction will include participation from new institutional investor, Sparta AG for AUD 2,000,000 as well as returning investor Ilwella Pty Ltd and Dostal group. The investors will also receive 1 option for every 2 new shares at AUD 0.06 strike price ranking pari passu with the existing options issued April 2021, with an expiry date 25th March 2024. The transaction is subject to approval from an Extraordinary General Meeting for the issue of 7,342,742 options to the three shareholders. Reported Earnings • Feb 13
First half 2022 earnings: Revenues and EPS in line with analyst expectations First half 2022 results: AU$0.002 loss per share (up from AU$0.008 loss in 1H 2021). Net loss: AU$857.0k (loss narrowed 67% from 1H 2021). Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has increased by 41% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Announcement • Dec 20
Metallica Minerals Limited Provides Cape Flattery Silica Sand Project Update Metallica Minerals Limited announced that it has successfully completed a twenty-four (24) hole infill drilling program at its 100% owned Cape Flattery Silica Pty Ltd. (CFS) project. Hole depths averaged approximately 16m with a maximum depth of 36m being drilled in hole CFS142. These holes were drilled within the CFS Mining Lease Application area (MLA) using a vacuum-based drill rig. The combined database for the CFS Project now comprises 144 drill holes comprising approximately 2,000m of drilling. High purity silica sand was intersected in 17 of the 24 holes with the high-grade sand occurring consistently as predicted by the resource model. The infill drilling indicates that the existing geological model is robust. The chip tray samples from hole CFS142 (being 36m in depth). This sample shows a high proportion of clean white sand. Metallica's team of consultants are progressing well towards the completion of the Pre-Feasibility Study (PFS) in first quarter of 2022. The PFS is designed to demonstrate the economic potential of the Cape Flattery Silica Sand project and to build on the successful results of the Updated Scoping Study, which estimated a project NPV of $235 million (before tax) over a 22-year mine life and IRR of 38%. The PFS will provide further detail on the mine design as well as infrastructure required for building the operation. Planning is also underway for a Definitive Feasibility Study (DFS) that is anticipated to follow completion of the PFS. Regular site visits are being conducted by the independent environmental consultants. Aquatic and Marine studies have been completed with reports being prepared for inclusion to the Environmental Application submission planned for early 2022. Surface and Ground water monitoring continues with data being collected to establish baseline parameters. Announcement • Oct 02
Metallica Minerals Limited Announces Assay Results Confirm and Extend High Purity Silica Sand Metallica Minerals Limited announced that assay results have been received for all of the 1,610 samples from the 98-hole infill and step-out drilling program completed at Metallica's Cape Flattery project in August 2021. The holes were drilled on the eastern part of EPM25734, which is located immediately north of Mitsubishi's silica sand mining operation at Cape Flattery. The drilling at Metallica's Cape Flattery project was undertaken between the 26 July and 6 August 2021. A total of 98 holes were drilled using a tractor mounted vacuum rig. The drilling was undertaken after the successful completion of a Cultural Heritage Survey. All holes were drilled vertically. Step out drilling was conducted on a nominal 200m by 200m grid pattern. Infill drilling was completed on a nominal 100m by 100m grid to increase the confidence in the mineral resource. The holes were sampled at 1m intervals with the entire sample collected and bagged prior to being dispatched to ALS in Brisbane for assay. Drilling was stopped prematurely in a small number of holes when they intersected water. This resulted in these holes terminating in high grade zones which are above the nominated Cut-off Grade (COG) of 98.5% SiO2. Photographs of the chip trays for each hole were taken for a digital record of the hole and these are stored in a database with the relevant assay results so visual comparisons can be made between grade and sand quality. Of the 98 holes drilled, 82 holes recorded significant intercepts of SiO2 mineralization. The 15 holes which returned no significant results were drilled either on the margins of the dune field or on the western edge of the field. On 22 June 2021 the Company released the first metallurgy test results on samples taken from the December 2020 drilling program. The bulk sample metallurgical testing confirmed high quality silica sand product and demonstrated a low contaminant product with an attractive narrow particle size distribution can be produced at a high yield. The test work produced a product with 99.8% SiO2, 170ppm Fe2O3 and 450ppm Al2O3 and further work included successful test of process to reduce Fe2O3 from 170ppm to 70ppm Fe2O35. Reported Earnings • Aug 22
Full year 2021 earnings released: AU$0.008 loss per share (vs AU$0.002 loss in FY 2020) Full year 2021 results: Net loss: AU$3.05m (loss widened 486% from FY 2020). Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Recent Insider Transactions Derivative • Jul 28
CFO & Company Secretary exercised options to buy AU$156k worth of stock. On the 27th of July, Andrew Scott Waddell exercised options to buy 4m shares at a strike price of around AU$0.029, costing a total of AU$116k. This transaction amounted to 200% of their direct individual holding at the time of the trade. Since September 2020, Andrew Scott's direct individual holding has increased from 1.00m shares to 6.00m. Company insiders have collectively bought AU$346k more than they sold, via options and on-market transactions, in the last 12 months. Announcement • Jun 23
Metallica Minerals Limited Announces Excellent Metallurgical Test Results on Cape Flattery Silica Sand Metallica Minerals Limited announced that metallurgical testing of the 2 tonne bulk sample acquired from the December 2020 drilling program has produced a high quality silica sand product from its 100% owned Cape Flattery Silica Sand project (CFS). The metallurgical testing was completed by IHC Robbins at their Brisbane laboratory. Metallica Minerals' Cape Flattery metallurgical test work sample was derived from drill samples from within the resource envelope which had average silica content of greater than 98.5% SiO2. Using gravity upgrading, magnetic separation and particle classification methods, typical to silica sands refining, a product was able to be produced containing 99.8% SiO2, 450ppm Al2O3, 170ppm Fe2O3, 210ppm TiO2 and 2.6% -125µm particles. This product held a mass yield of 77.4%. This is a relatively low contaminant product with an attractive narrow particle size distribution and a high to moderate yield. Potential exists for Metallica to market products derived from earlier processing streams with higher yield and lower quality, such as the feed preparation sand or the spiral circuit product. Future marketing research is required to enable decision making on the value and of each potential product and the best product mix. Metallurgical testing process: The head feed sample was composed of 1.7% slimes and negligible oversize mass. The -2.0mm, +63µm sand fraction represented 98.2% of the as-received sample mass and assayed at: 99.7% SiO2; 800ppm Al2O3; 885ppm Fe2O3; 1290ppm TiO2; and 0.07% organics (LOI 1000). The material was screened and deslimed by a typical silica sands feed preparation process to remove +2.0mm particles, -63µm fines and organic content. Flocculent and coagulant was required
to achieve an acceptable slimes settling rate and supernatant process water clarity. Heavy minerals were effectively removed by a simple two-stage spiral separation circuit. The impact of mechanical particle attritioning was assessed and demonstrated evidence of improved product grade via the removal of iron-bearing surface coatings on the quartz grains. Magnetic separation successfully removed residual magnetic and paramagnetic particles, further improving product grade. Up-current classification was successful in selectively rejecting undesirable fine particles while maintaining a high mass yield. The metallurgical report recommended that further product grade scoping test work, optimization and market investigations be completed to improve understanding of the number of potentially saleable products that could be produced and to aid in determining the optimum product mix.
As can be seen above, producing a final product via the as-developed process with a mass yield of 77.4% can result in a product grade of 99.8% SiO2, 450ppm Al2O3, 170ppm Fe2O3, 210ppm TiO2 and 0.05% LOI 1000. This process rejects approximately 50% of the Al2O3 content, 80% of the Fe2O3
content and 85% of the TiO2 content, while only rejecting approximately 23% of the ROM feed mass. Announcement • Jun 17
Metallica Minerals Limited Announces That A Mining Lease Application (ML 100284) Has Been Lodged with the Queensland Department of Resources for Its 100% Owned Cape Flattery Silica Sand Project Metallica Minerals Limited announced that a Mining Lease Application (ML 100284) has been lodged with the Queensland Department of Resources for its 100% owned Cape Flattery Silica sand project. The MLA is located within Metallica's EPM 25734. Metallica's 100% owned Cape Flattery Silica Sands (CFS) project is adjacent to the world class Cape Flattery Silica Sand mining and shipping operation owned by Mitsubishi. Exploration drilling to date has now confirmed that the sand dunes within EPM 25734 contain high purity silica sands with an in-situ quality which is understood to be comparable to Mitsubishi's Cape Flattery Silica Mine. The Resource has been prepared in accordance with the JORC Code 2012 A cut-off grade 98.5% has been defined based on the surrounding data. These results show there is good potential to produce a premium grade silica product using standard processing techniques. According to industry research firm IMARC Group, high-purity silica sands are becoming more sought after, with the global market growing at a compound annual growth rate (CAGR) of around 6% between 2010 and 2017. In 2017, a total of 188 Mt of silica sand was produced globally. This growth has been driven by silica sand's applications across a broad range of industries including glass-making, foundry casting, water filtration, chemicals and metals, hydraulic fracturing and an increasing number of hi-tech products, including solar panels. For example, in the global glass-making industry, one of the major consumers of high-purity silica has experienced significant growth recently from the construction and automotive industries. IMARC also estimated the global silica sand market could grow from USD 7 billion in 2019 to USD 20 billion in 2024. The information in this announcement that relates to the Cape Flattery Silica Sand Project-Eastern Exploration Target and this Resource Estimation was based on results and data collected and complied by Mr. Neil Mackenzie-Forbes, who is a Member of the Institute of Geoscientists and is a Consulting Geologist employed by Sebrof Projects Pty Ltd. and engaged by Metallica Minerals Ltd. Mr. Mackenzie-Forbes has more than 20 years mining and exploration experience in Australia with major mining and junior exploration companies. Mr. Neil Mackenzie-Forbes consents to the inclusion of this information in the form and context in which it appears in this release/report. Executive Departure • May 19
Non-Executive Director has left the company On the 13th of May, Andrew Gillies' tenure as Non-Executive Director ended after 2.3 years in the role. As of December 2020, Andrew personally held only 1.20m shares (AU$41k worth at the time). Andrew is the only executive to leave the company over the last 12 months. Announcement • Apr 29
Metallica Minerals Limited Announces to Resume Exploration Activities on its 100% Owned Cape Flattery Silica Sand Project Metallica Minerals Limited announced that planning is being progressed to resume exploration activities on its 100% owned Cape Flattery Silica Sand project. The purpose of this second drilling program is to achieve a greater understanding of the project resource potential and also commence new exploration on untested areas on the western side of the tenement within EPM 25734. Metallica's 100% owned Cape Flattery Silica Sands (CFSS) project is adjacent to the world class Cape Flattery Silica Sand mining and shipping operation owned by Mitsubishi. Exploration drilling to date has now confirmed that the sand dunes within EPM 25734 contain high purity silica sands with an in-situ quality which is understood to be comparable to Mitsubishi's Cape Flattery Silica Mine. The Resource has been prepared in accordance with the JORC Code 2012 A cut-off grade 98.5% has been defined based on the surrounding data. These results show there is good potential to produce a premium grade silica product using standard processing techniques. According to industry research firm IMARC Group, high-purity silica sands are becoming more sought after, with the global market growing at a compound annual growth rate (CAGR) of around 6% between 2010 and 2017. In 2017, a total of 188 Mt of silica sand was produced globally. This growth has been driven by silica sand's applications across a broad range of industries including glass-making, foundry casting, water filtration, chemicals and metals, hydraulic fracturing and an increasing number of hi-tech products, including solar panels. For example, in the global glass- making industry, one of the major consumers of high-purity silica has experienced significant growth recently from the construction and automotive industries. IMARC also estimated the global silica sand market could grow from USD 7 billion in 2019 to USD 20 billion in 2024. Reported Earnings • Feb 20
First half 2021 earnings released: AU$0.008 loss per share (vs AU$0.004 loss in 1H 2020) First half 2021 results: Net loss: AU$2.57m (loss widened 110% from 1H 2020). Over the last 3 years on average, earnings per share has fallen by 55% per year but the company’s share price has only fallen by 9% per year, which means it has not declined as severely as earnings. Announcement • Feb 09
Metallica Minerals Limited Announces Assay Results from the December 2020 Maiden Drilling Program Within the Eastern Target Area Received from the ALS Laboratory Metallica Minerals Limited announced assay results from the December 2020 maiden drilling program within the Eastern Target Area have been received from the ALS laboratory. The results are based on 22 Vacuum drillholes across the breadth of the dune complex totaling 505 meters of drilling and 554 assays and have confirmed significant intervals of high purity silica sand. Metallica's 100% owned Cape Flattery Silica sands (CFS) project is adjacent to the world class Cape Flattery Silica Sand mining and shipping operation owned by Mitsubishi. Drilling has now confirmed that the sand dunes within EPM 25734 contain high purity silica sands with an in-situ quality which is understood to be comparable to Mitsubishi's Cape Flattery Silica Mine. The white-coloured high purity silica sand dunes appear to be the youngest aeolian dune system in the Cape Flattery dune system and are locally superimposed on top of an older orange coloured sand dune system. The older orange sand horizons form a stratigraphic floor for the targeted high purity silica sands and little information exists on this horizon. The assays results confirm observations from the drilling program that these dune systems have continuity, allowing confidence for an additional resource below the level of the 2019 auger program to depths of 30 meters. The target high purity sand is hosted in elongate parabolic dunes orientated in a north westerly direction and their geometry and size make them ideal for reclamation by truck and loader style mining. The sand appears to have been well sorted by aeolian processes and the grain size distribution is well suited to glass manufacture. Of note is the elevated Fe2O3 and TiO2 results as compared to the southern end of the dune system which indicates the dunes contain elevated heavy mineral sand mineral ilmenite. Future drilling will target observable sand dune extension to the south and east of the current drilling grid when new tracks are cleared. The independent assessment of this auger hole drilling was conducted by consultants Ausrocks Pty Ltd. The final marketable product being sought is a high silica (SiO2) grade sand, the SiO2 content by percentage would be used to quantify in-situ material as a Resource. Cut-off grades were adopted based on analysis of raw assay data and grade tonnage plots completed on the block model to optimise the average SiO2 grade and quantity of the resource at varied reporting levels. Announcement • Dec 18
Metallica Minerals Limited Successfully Completes Drilling on Cape Flattery Project Metallica Minerals Limited completed its maiden drilling program on the 100% owned subsidiary Cape Flattery Silica Pty Ltd. (CFS) project. A total of twenty-two (22) holes were drilled within the CFS Eastern Target Area, see figures below. All drilling was undertaken with permission from the Aboriginal Corporations. Approximately 500m of drilling achieved using a vacuum drilling rig, on time and within budget expectations. 505 drill samples sent to ALS laboratory in Townsville with assay results expected in early 2021. Approval to drill in unplanned area provided by Traditional Land Owner groups. IHC Robbins commissioned to undertake metallurgical studies on the silica sand samples. Planning underway for initial environmental studies and water monitoring bores. Project is within the designated Port of Cape Flattery, which is excluded from the Great Barrier Reef Marine Park area. On 17 January 2020, Metallica advised the ASX that a sampling program completed in the last quarter 2019 at CFS in Far North Queensland had confirmed the presence of high purity silica sands. This exploration program consisted of eight (8) hand auger holes to a maximum depth of 5m within the CFS Eastern Exploration Target area of the tenement On 30 November 2020, Metallica advised the ASX that it had achieved a Maiden JORC Inferred Resource of 12.85 million tonnes @ 99.28% SiO2 for its 100% owned Cape Flattery Silica Sand Project
(CFS). This result had been based on hand auger work completed in previous programs. The independent assessment of this auger hole drilling was conducted by consultants Ausrocks Pty Ltd. The final marketable product being sought is a high silica (SiO2) grade sand, the SiO2 content by percentage would be used to quantify in-situ material as a Resource. Cut-off grades were adopted based on analysis of raw assay data and grade tonnage plots completed on the block model to optimise the average SiO2 grade and quantity of the resource at varied reporting levels. From the 8 auger holes that were used in the resource estimate the SiO2 percentage ranged from 95.01%-99.70%: Inferred Resource in accordance with the JORC Code 2012 - A cut-off grade 98.4% has been defined based on the surrounding data. Announcement • Dec 10
Metallica Minerals Limited Announces Executive Changes Metallica Minerals Limited announced that the Company Secretary role will transition from John Haley to Scott Waddell. John Haley will depart Metallica in January 2021 after 20+ years of service to Metallica, including being a founding Director, CFO and Company Secretary. Scott Waddell will add the Company Secretary role to his current roles of CFO and Director. Scott is a member of the Governance Institute of Australia and has previously worked as the Company Secretary to Cape Alumina Ltd. and Metro Mining Ltd. over an eight-year period. Scott has also completed studies in Applied Corporate Governance. Announcement • Nov 26
Metallica Minerals Limited Signs Conduct & Compensation Agreement for the Cape Flattery Silica Sand Project Metallica Minerals Limited signed a Conduct and Compensation Agreement with Hopevale Congress Aboriginal Corporation (Hopevale Congress), the trustee and registered owner of the land, following a number of positive meetings with the Traditional Landowners. Positive meetings have also been held with Walmbaar Aboriginal Corporation in Hopevale, whose clan country also covers the CFS project. Planning is well underway for a drilling program with up to 25 drill holes on the tenement, which is 100% owned by Metallica subsidiary, Cape Flattery Silica Pty Ltd. Up to 25 drill locations have been identified (with the number to be drilled dependent on the access conditions at the time) focusing on Target #1, see figure on the following page. Permission to drill from the Aboriginal Corporations was approved on the basis that all drill-hole locations will be on existing tracks within the EPM area. Announcement • Nov 03
Clear Logistics Australia Pty Ltd entered into an agreement to acquire Oresome Australia Pty Ltd from Metallica Minerals Limited (ASX:MLM). Clear Logistics Australia Pty Ltd entered into an agreement to acquire Oresome Australia Pty Ltd from Metallica Minerals Limited (ASX:MLM) on November 3, 2020. Out of total consideration, AUD 0.05 million is payable now, further AUD 0.05 million is payable within 30 days of the signing of the agreement, a milestone payment of AUD 0.1 million is payable upon the shipment of the first 1 million dry tonnes and an additional AUD 0.1 million is payable upon shipment of the second 1 million dry tonnes of bauxite from the tenement. Additionally, Bauxite royalties will be payable. Settlement of the transaction is subject to conditions precedent relating to the execution of a royalty deed. Board of Metallica Minerals approved the transaction. 