Big picture - Why invest in Rambler Metals and Mining PLC
Rambler Metals and Mining PLC Snapshot
Rambler Metals and Mining is a Junior Mining Company that has 100% ownership of the Ming Copper-Gold Mine in Baie Verte, Newfoundland and Labrador, Canada. Rambler is well on its way to becoming a mid-tier mining company through production from the Ming Mine, discovering new deposits and through mergers and acquisitions. Rambler listed on the London AIM in 2005 and Toronto TSX-V in 2007 and currently trades on London's AIM market under symbol RMM and on the TSX:V under symbol RAB.
The Ming property had been a former underground copper and gold producing mine that ceased production when the deposit reached a then third party property boundary. This neighbouring property was subsequently consolidated before being brought into Rambler's portfolio and Rambler now owns a 100% interest in the property.
The Ming mine is located in a mining district with excellent infrastructure including roads, fresh water, hydro electricity, and access to a working port. The town of Baie Verte with a population of 1,300 is located 17km away from the mine while the region as a whole hosts a highly skilled labour force to support the operation.
The Ming Mine is primarily an underground volcanic massive sulphide style copper deposit with anomalously high gold grades. Through its efforts Rambler has transitioned the project from exploration, permitting, construction, development, commissioning, production ramp up and now production. On November 1, 2012, Rambler declared that the Ming Mine was officially in commercial production. Today, all mineralization remains open in multiple directions while, importantly, the deposit has not been cut-off at depth.
In October 2009, Rambler purchased an operational gold hydrometallurgical mill, Nugget Pond, which is situated approximately 40km from the Ming Mine. Rambler has expanded the mill so that it is capable of handling massive sulphides from the Ming Mine to produce a copper concentrate with gold and silver as by-products.
The Company's Vision is to become:
"The Leading Mine Operator and Resource Developer in Atlantic Canada"
Rambler's strategy is to identify opportunities for acquisition, exploration and development of base metal deposits in countries with perceived low political risk. The Directors have experience in the complete cycle of base metal mining exploration, mine development, fund raising, metals and concentrate trading and commercial negotiations with the shipping and smelting industries.
There are two core components of the Board's outlook for the base metals and mining industry:
- The dominant, global demographic trends of economic and population growth in India, China and the other Asian countries should create stronger demand for natural resources including energy and metals. According to the UN's latest World Population Prospects released in February 2005, the world's population will increase from 6.5 billion people today to 9.1 billion people in 2050 with almost all the growth in the developing world. This same report forecasts that there will be 1.395 billion people in India in the year 2025 and 1.441 billion people in China in 2025. By the end of this decade China, which accounted for only 10 per cent of metals production in 1990, is estimated to consume 30 per cent of global metals production.
- As a result of the relatively low prices for base metals during the late 1990's and early years of the current decade, exploration and development budgets of base metal companies were reduced, with the result that the number of significant new projects able to be brought on stream is not likely to meet the rising demand, in particular from Asia. By way of an example, the copper market was in a deficit of 700,000 tons during 2004 and some market forecasters have the copper market in deficit well beyond 2011. Rambler's business development strategy will be guided by these views and will seek to identify emerging projects or former producing projects that meet Rambler's criteria.
Ming Mining Project
The Ming Mine is located in Canada, on Newfoundland and Labrador's Baie Verte Peninsula. The Northwestern coast of the island of Newfoundland has a history and culture of gold, base metals and industrial minerals mining dating back to the mid-1800's. The major centre for the region is the town of Baie Verte, which offers several mining and exploration service providers, deep water loading, hotels, schools, shopping, medical facilities and recreational facilities.
- The Rambler property contains the former producing Ming and Ming West copper-goldmines.
- The Ming Mine last operated in 1982 and produced over 2.1 million tons of ore grading 3.5% copper, 2.5 g/t gold and 11 g/t silver over 10 years in operations. The historical recoveries were 92-95% Cu, 60-75% Au and 55% Ag. Mining ceased when workings reached a neighboring property boundary.
- The Ming West Mine operated for a short period between 1995 and 1996 producing 271,000 tons grading 4.0% Cu and 5.8 g/t Au.
November 2012 – Declared commercial production on the Ming Mine property
October 2012 – To date, 7,500 wmt Copper Concentrate in storage at Goodyear's Cove storage facility ready for shipment at the end of the month
October 2012 – Bought out 1% NSR on the Ming Mine property for C$500,000.00
May 2012 – Commissioning of the Copper concentrator with run of the mine ore from the Lower footwall zone.
May 2012 – Paid Sandstorm C$7.8 million as part of the payback agreement of an initial funding agreement in March 2012
May 2012 – 5 month production of the 1806 zone produced 14,918 ounces of gold grossing in excess of C$ 25 million in revenue.
March 2012 – Developed a strategic partnership with China based Tinma international whom now has 16.02% of Rambler's share capital
March 2012 – Completed a PEA to include the Lower Footwall Zone mineralization in its mine plan.
February 2012 – Became a strategic partner of Maritime Resources Corp. through 17% equity stake.
February 2012 – Bought out 2% NSR on the Ming Mine property for C$600,000.00
January 2012 – Signed a commercial off-take agreement with Transamine Trading Ltd.
November 2011 - Processing of ore from the 1806 gold zone commences.
October 2011 - Commissioning of the new copper concentrator began.
April 2011 - Development Plan approved for Tilt Cove East Mine. Processing began in June.
April 2011 - Commenced mining of the Nugget Pond Crown Pillar.
March 2011 - The project is on track for first production during the second half of 2011.
January 2011 - Construction work on the mill’s foundation and second means of egress via the shaft complete. Concentrator steel and new office /dry facility construction underway.
September 2010 - The Company embarked on a custom toll milling arrangement, generating its first revenues.
May 2010 - The Company received notification for the environmental approval of the Ming Mine project.
March 2010 - The Company successfully negotiated a US$20M funding from Sandstorm Resources (TSX-V:SSL) to bring the former producing Ming Mine back into production.
GOODYEAR'S COVE PORT SITE
Goodyear's Cove is a fully integrated concentrate storage and shipping facility located just 140 km from the Nugget Pond Mill. The site is fully functional with all conveyer and loading systems in place.
The storage warehouse has a conservative capacity of 9,500 wet metric tonnes of copper concentrate along with a 2.5 acre site allowing room for future expansion if required. In January 2012, Rambler secured an off take agreement with Transamine Trading Ltd. for the sale of the first 85,000 tonnes of copper concentrate with a 90% provisional payment as concentrate arrives and is invoiced from the warehouse.
NUGGET POND MILLING FACILITY
The Nugget Pond Milling Facility is located on the Baie Verte Peninsula in Northeastern Newfoundland, Canada. Rambler purchased the facility in October 2009 for $3.5 M CDN as a gold processing carbon in pulp circuit. The mill is only 40 km from the Ming Mine site and through the addition of a copper floatation circuit, the facility is now capable of processing both gold and copper bearing ore types. The gold hydromet has a name plate capacity of 500 mtpd (metric tonnes per day) while with the copper concentrator designed for 1000 mtpd. Presently there is a common crushing and grinding plant feeding both mills however through a future expansion and addition of a new crushing and grinding circuit the Company hopes that the facility will have the ability to process both ore types simultaneously.
First commercial production at Nugget Pond began in April 1997 at a nominal rate of 350 mtpd within the plant later optimized to 500 mtpd. The gold rich deposit had a proven and profitable mine life of four years and by the spring of 2000 the existing Nugget Pond ore reserve was exhausted. Fortunately, at that time, the present owners were already in the process of developing the Hammerdown deposit in the King's point area which added an additional 4 years of processing. By the middle of 2004 the facility was placed under a care and maintenance program.
In June of 2006 Crew Gold Corporation acquired Nugget Pond for the processing of their Nalunaq gold deposit in Greenland. The plant began commercial production on this ore body in February 2007, however due to high transportation costs this campaign ended in June 2009. At that time, Crew Gold immediately entered into a toll milling agreement with Anaconda Mining Inc. for their Pine Cove deposit which was subsequently cancelled in December 2009. Currently, the facility is dedicated to the processing of ore from the Ming Mine.
Mining and Milling Success
The Nugget Pond facility has surpassed all expectations by running continuously at 98% availability with an average recovery of 95% over the past 10 years. Since its first production in 1997 on the Nugget Pond deposit, the mill has seen ore from three other gold deposits with almost 1.5 million tonnes of ore processed over its life.
The mill itself has a modern but conventional mill circuit that includes leading edge computerized process control systems that assist mill operators for both production and environmental control.
Rambler and Maritime Resources signed a Strategic Alliance in 2011, followed by Rambler purchasing 4.5 Million shares in February 2012 to hold 17% equity stake in Maritime Resources. Maritime Resources is a new junior exploration company with primary assets being the Hammerdown gold mine, the Orion gold deposit, and the Lochinvar VMS deposit, all belonging to the Green Bay property portfolio. Maritime has 100% ownership of the Green Bay property near Springdale, Newfoundland, Canada.The previously mined Hammerdown gold deposit averaged 16 g/t Au in its rich gold bearing veins. A recent independent report stated potential mineralization remaining at the deposit has a non 43-101 compliant estimated range of 1.8M tonnes grading 8.3g/t Au at a possible 1g/t Au cut off to 675,000 tonnes grading 16.6 g/t Au using a possible 7.0 g/t Au cut off. Taking these volumes into account, the possible gold resource ranges from 360,000 to 480,000 ounces.
With Rambler's expertise and great management team, we plan to share technical expertise with Maritime Resources as our first of many projects to assess the opportunity to re-start the Hammerdown mine.
George Ogilvie - Chairman, B.Sc., P.Eng.
Mr. Ogilvie received his B.Sc.(Hons.) in Mining and Petroleum Engineering from Strathclyde University in Glasgow, Scotland. He is a Professional Engineer and holds his Mine Managers Certificate (South Africa) with more than 22 years management, operating and technical experience in the mining industry.
George began his career working for Anglo America where he worked for AngloGold in South Africa between 1989 and 1997 holding roles of increasing responsibility. In 1997 George transferred from AngloGold to work for Anglo Base Metals at Hudson Bay Mining and Smelting in Northern Manitoba where he played a key operations role as the Mine Superintendent at the Ruttan Mine. In 2004 he joined Dynatec Corporation as their Area Manager for the Sudbury Basin where he managed multi-million dollar contracts and later worked at the McCreedy West Mine as Mine Manger. George joined Rambler Metals and Mining in 2006 as Vice President and Chief Operating Officer later being promoted to CEO in 2008 with the mandate of taking Rambler from a grass roots exploration Company to a mid-tier mining company over a 5 to 10 year time frame.
Norman Williams, CA - President and CEO, Director
Mr. Williams joined the Company as Financial Controller, at the Company’s subsidiary Rambler Metals & Mining Canada Limited, in 2010 was promoted to Chief Financial Officer of The Company. In January 2014 he was again promoted and now holds the position of President and CEO.
Mr. Williams is a Chartered Accountant with 15 plus years financial and management experience. Prior to joining the Company, Mr. Williams served as Manager of Finance and Administration at the St. John’s Port Authority and earlier as Senior Manager at Deloitte providing professional services and advice to his clients including junior exploration companies throughout Newfoundland and Labrador. Mr. Williams completed a Bachelor of Commerce degree at Memorial University of Newfoundland and later received his Chartered Accountant designation from The Canadian Institute of Chartered Accountants.
Harry Dobson - Non-Executive
Harry Dobson, a mining industry veteran, brings many years of experience to the Company. Mr Dobson has been and remains as Director and/or Chairman of several exploration and mining companies. As Chairman of American Pacific Mining, Mr Dobson successfully reopened the El Mochito zinc and silver mine in Honduras, and more recently, as Chairman of Kirkland Lake Gold has put the Macassa gold mine back into production.
John Thomson - Director
A Chartered Accountant from Scotland who has also studied at INSEAD (a business school near Paris). He has worked internationally in a variety of senior roles for companies including PepsiCo and is currently Interim CFO of Kirkland Lake Gold Inc. He is also a non-executive director of Parragon Publishing Ltd, a successful international publisher with operations in Europe, India, the UK and USA.
Leslie Goodman - Non-Executive
Mr. Goodman, a M.A. in Law from Cambridge University, qualified and practiced as a Solicitor in London. Mr. Goodman held the position of C.E.O. for ACE Global Markets, ACE Strategic Advisors Inc. and Jardine Lloyds Advisors Limited. He was a Director and Head of International M & A with Barclays de Zoete World Limited, and Director of Corporate Finance with Hill Samuel. He is Chairman of the Board of Directors of Viatel Holdings (Bermuda) Limited and Chapelthorpe plc. He is also a Director of several AIM traded companies.
Tat Sze Chan - Non-Exective
Mr. Tat Sze (Dalis) Chan is the Vice President overseeing the trading and recycling businesses of the Tinma group of companies, which focus on the trading, processing, logistics and financial investment of non-ferous metals. Dalis Chan has over 15 years of related experience in the financial sector, mainly in the treasury departments, including working at Standard London (Asia) in Hong Kong. For the last two years he has been working on the international trading of non ferrous metals in China and North America with focus on copper. Mr. Dalis Chan will add further experience to the Rambler Board via international markets and in the processing and marketing of non‐ferrous metals.
Eason Cong Chen - Non-Executive
Mr. Eason Chen, a chartered accountant by profession, is an independent business advisor for Tinma group of companies. He as well holds the position of Corporate Controller at Procon Mining & Tunnelling Ltd, a full service mining contractor providing a range of expertise to meet the requirements of the mining and civil engineering industries based in Canada. Through his years of experience, Mr. Chen has held senior and managerial positions at Ernst & Young LLP with extensive knowledge and experience in Canadian and cross-border listings, corporate governance and internal controls.
Tim Slater, ACA, CTA - Interim Chief Financial Officer
Mr. Slater was appointed interim Chief Financial Officer in January 2014. Mr. Slater is the Managing Director of Harmer Slater Chartered Accountants in the United Kingdom, and has been involved in the preparation of all of the Company's financial statements and audit materials since 2006. Mr. Slater currently acts as CFO for a number of listed companies.
Peter Mercer, B.Sc.- Vice President, Corporate Secretary
Mr. Mercer received his B.Sc. in Earth Sciences from Memorial University of Newfoundland and Labrador. With over 10 years of experience he served the first half of his career as an Exploration Geologist with Altius Minerals Corporation working on various grass roots projects all over the Island. Officially joining the Rambler team in 2007 as Project Coordinator, he was later promoted to Vice President of Corporate Development in August 2010 and then accepted the Corporate Secretary position of the Company in January 2011. Mr. Mercer is responsible for providing input toward the strategic direction of the Company in addition to managing the investor relations aspect of the business.
Tim Sanford, B.S.c., P.Eng.- Vice President of Technical Services
Mr. Sanford has over 17 years of experience at various supervisory levels and throughout his career has been involved in all aspect of underground development. Mr. Sanford’s latest position was Chief Engineer with Goldcorp Canada Limited’s Musselwhite Mine where he was responsible for the entire engineering group. Tim is currently a member of the Professional Engineers Association of Ontario.
Tim joined the company in March of 2010, was promoted to Acting General Manager in September 2010 and later accepted the position of General Manager early in 2011. In November 2012 Tim was promoted to VP Technical Services with the responsiblity of overseeing all Technical aspects of the Company.
Rambler Metals & Mining Canada Limited
P.O. Box 610, Baie Verte, NL, A0K 1B0
Route # 418, Ming's Bight Road, NL, A0K 3S0
Tel: (709) 800-1929
Fax: (709) 800-1921
Email: [email protected]
Rambler Metals & Mining PLC
19 Cedar Road
Tel: 020 8652 2700
Fax: 020 8652 2719
Nominated Adviser (NOMAD)
Cantor Fitzgerald Europe
One Churchill Place
55 Baker Street
Norton Rose Fulbright LLP
3 More London Riverside