Cambridge House Vancouver Resource Investment Conference

Cambridge House Vancouver Resource Investment Conference

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  Discovering High GradeCopper Deposits in Manitoba, Canada VMS:TSX.V Explorer to Producer NAN: TSX.V The World’s Next Nickel Belt Cambridge House Vancouver Resource Investment Conference January 20-21, 2013
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  FORWARD-LOOKING STATEMENTS NOTE: Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward-looking statements that involve various risks. The following are important factors that could cause the Company’s actual results to differ materially from those expressed or implied by such forward-looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital. There can be no assurance that forward-looking statements will prove to be accurate as actual results and future events may differ materially from those anticipated in such statements. VMS Ventures Inc. undertakes no obligation to update such forward-looking statements if circumstances or management’s estimates or opinions should change. The reader is cautioned not to place undue reliance on such forward-looking statements. Slide 2
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  VMS VENTURES INC. VMS - TSX.V QUICK FACTS  Well funded; over $10.4M in the treasury  Reed Copper deposit discovered in 2007.  June 2010: Joint Venture signed with HudBay Minerals (T.HBM). HBM is project operator; VMS project costs carried to production. Project ownership is 70% HBM & 30% VMS.  Reed Copper Deposit Prefeasibility Mineral Reserves: 2.16M tonnes of 3.83% Cu, 0.48 g/t Au, 6.02 g/t Ag  Underground development underway and production to begin Q4 2013; cash flow in 2015 CAPITAL STRUCTURE (as at January, 2013)  Other assets : Issued & Outstanding: 129,668,399  21M shares of North American Nickel Warrants: 163,333 (NAN.TSX.V) Options: 8,442,500  a large 100% owned land package in the Fully Diluted: 138,274,232 Snow Lake-Flin Flon Greenstone Belt in Manitoba, Canada; drilling planned for winter 2013 Slide 3
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  VMS/NAN MANAGEMENT Rick Mark,M.Ed (Admin) CEO & Chairman VMS & NAN: Rick has over 25 years experience in the public market place. He is also CEO & Chairman of Harvest Gold Corporation (HVG-TSX.V), a December 2005 "spin off" from VMS, and is the President and CEO of Pancontinental Uranium Corp. (PUC-TSX.V). Neil Richardson P. Geo. COO, VMS & NAN: Neil has a long history of mineral exploration and mining experience with HudBay Minerals and others. As the COO of both companies, Neil is responsible for developing and implementing exploration programs . Mark Fedikow, HBSc., M.Sc., Ph.D., P.Eng., P. Geo., C.P.G. : President & Director NAN, VP Exploration VMS: Mark has 35 years of industry and government experience including Chief Geologist of the Mineral Deposits Section in Manitoba. He is a recipient of the Canadian national award for outstanding geoscientific achievement. John Roozendaal B.Sc, President of VMS, Director of NAN: John was the founding director of VMS Ventures Inc. He has 20 years of Mineral Exploration experience and was directly involved in the Reed Copper discovery. John Pattison, P. Geo., B.Sc. Chief Geologist VMS and NAN: John worked with Falconbridge Limited and associated companies for 19 years managing base metal, PGE and gold exploration projects throughout Canada and southern Africa. He is the lead project geologist for the Maniitsoq, Greenland nickel project. Slide 4 4
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  INDEPENDENT DIRECTORS & ADVISORY BOARDS Independent Directors: Gilbert Clark, Director, NAN: Mr. Clark is a European based Geologist with more than 13 years of industry experience; principally in mining and international resource developments. He is currently an Investment Advisor with The Sentient Group, an independent private equity investment firm specializing in the global resources industry. Don Whalen, Director & Audit Committee Chair, VMS: Don was Executive Chairman and Director of High River Gold Mines. Before joining High River, he held numerous marketing, technical and management positions over a 29 year career with IBM Canada Ltd. Jim Clucas, Director & Audit Committee Member, NAN: Jim was Chief Financial Officer of Inco’s Canadian operations and has been involved in the development of several mineral deposits, including the Snow Lake Mine (High River Gold Mines), Montana Tunnels (Pegasus Mining) and the Fenix Project in Guatemala. He was the founder of International Nickel Ventures Inc. which acquired and developed the Santa Fe/Ipora Nickel Laterite deposit in Brazil. Jim is currently President and CEO of Search Minerals Advisory Board Cashel Meagher B.Sc. P. Geo.: Cashel is currently Vice President South America Business Unit of Hudbay Minerals. He has worked with the technical and management teams at VMS Ventures and North American Nickel through the Reed Lake joint venture with VMS. Prior to joining Hudbay, Cashel held management positions with Vale Inco in exploration, technical services, and mine operations. Mike Muzylowski: Mike has played key roles in the discovery of 15 Canadian mines, 13 in Manitoba, during his distinguished career as a geologist, geophysicist and senior mining executive. Slide 5 5
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  REED MINE RIBBONCUTTING CEREMONY, AUGUST 2012 Slide 6
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  REED COPPER DEPOSIT VMS-HudBay Reed JV • VMS owns 30% of the project and is financed to production • Prefeasibility Mineral Reserves: 2,157,000 tonnes of 3.83% Cu, 0.59% Zn and 0.48 g/t Au • NPV 8% @ $3.50 Cu = $130,534,000; IRR 58% • Borehole Pulse Electromagnetic targets indicate the deposit remains open at depth. • Underground drill stations will explore for additional ore bodies and further define the size of the deposit. Open Down Plunge Slide 7
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  REED COPPER DEPOSIT: CASHFLOW EXPECTED IN 2015 The high grade nature of the Reed Copper deposit gives the project strong leverage to copper prices. The following table shows a copper price sensitivity analysis based on the operating parameters set out in the Prefeasibility Study Published in May 2012. VMS Ventures Inc. VMS Ventures Inc. Cu = $3.50/lb USD  Cu = $4.00/lb USD  Prices and Exchange Rate Copper (USS/lb) $3.50 $4.00 Gold (US$/oz) $1,500.00 $1,500.00 Silver (US$/oz) $30.00 $30.00 US$/CDN$ 1 1 Pre‐tax Reed Cash Flow $249,673,000 $331,608,000 NPV8 $130,534,000 $195,010,000 IRR 58% 74% Slide 8
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  ORE BODIES TENDTO GROW IN THE FLIN FLON BELT After K. Gilmore (Hudbay Minerals), 2007 Slide 9
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  VTEM COVERAGE OVER VMS’ 100% OWNED PROJECTS • Many recent Massive Sulphide discoveries, including VMS’s Reed Lake Deposit, were made with VTEM • VMS Ventures has flown over 17,000 line-km of VTEM over its projects, majority flown at 100 m line spacing. • 5 years and $13 million in work – Targets ready to drill. Slide 10
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  VMS 2013 Milestones TheReed Copper Project • January: Completion of surface construction and commissioning of 1.6 MW generator • August: First production and completion of main ventilation fan • 2014: Continued underground development to the 260 m level and full production. VMS 100% Owned Properties Manitoba Projects • $1.2M budgeted for winter 2013 drill program in the Snow Lake area. 3,000 m to 3,400 m of drilling is scheduled to test VTEM targets. Sudbury Projects • Black Creek & Terra Incognita scheduled for prospecting/trenching in Q2, and diamond drilling in Q1 – 2013. North American Nickel (VMS owns ~21M shares) • District wide drill program planned for Maniitsoq in 2013; own VMS or NAN for discovery upside potential. Slide 11
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  NORTH AMERICAN NICKELINC. NAN - TSX.V QUICK FACTS  Acquired the Sudbury sized Maniitsoq property in Greenland in August, 2011; 100% owned.  Site of the world’s largest impact structure  High-grade nickel intercepts in historic drill holes: 9.85 m at 2.67% Ni and 0.60% Cu at Imiak Hill 12.89 m averaging 2.24% Ni and 0.63% Cu at Fossilik  2012 Drill program completed at Maniitsoq. 1,550 m of diamond drilling; 535 samples analyzed.  Over 3,500 line km flown in a VTEM Plus survey in CAPITAL STRUCTURE July, 2012; 75 conductive zones identified (as at January, 2013)  Sudbury Ontario land position includes the Post Issued & Outstanding: 80,560,193 Creek, Halcyon and Wahnapitae properties. Warrants: 23,060,000  VMS Ventures owns ~21M shares of NAN. Options: 7,683,000 Fully Diluted: 111,303,193 Slide 12
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  Maniitsoq Project, Greenland 100% interest in a giant property covering 4,983 km2 of the highly prospective, but underexplored, Greenland Norite Belt. Located on tide water (navigable year- round) on the southwest coast of Greenland, near the village of Maniitsoq. Slide 13
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  Maniitsoq Project A World Class Nickel Camp? • High-grade, multi-element diamond drill intersections over long intervals. e.g. 123.94 m @ 0.81% Ni, 0.21%Cu, 0.03% Co and 0.26 g/t PGM incl. 24.20 m @ 1.75% Ni, 0.34% Cu, 0.06% Co and 0.52 g/t PGM • Underexplored (previous hole lengths averaged < 60 m) but lots of high- grade historical assays with consistent high sulphide Ni tenor (6-8%). • Mafic intrusions hosting the mineralization are contaminated mantle melts and appear to have been part of a long-lived, dynamic magma conduit system triggered by a large impact (possibly the largest yet recognized on Earth). • Centred on major, deep seated structures that were active from the Archean to the Jurassic (2.8 billion years). • New helicopter geophysical technology is proving far more effective than techniques used in the past; over 75 conductive zones identified to date. Slide 14
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  Investor Risk Mitigation  100% ownership; Camp-sized land package (>Sudbury)  Public Co management/financing experience  Technical team is deep  Secure political jurisdiction  Accessible, along pack ice free coast line  Historic exploration data is remarkable ($10M plus)  Geology  Abundance of Ni-Cu occurrences at surface & in drilling  High Nickel Tenor – consistent and economic grade  Major, long lived structures  Large-scale mafic igneous event  New technologies in “old” camp work – 75 EM anomalies Slide 15
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  Maniitsoq Project Location • Situated in a safe, stable, mining-friendly jurisdiction. • Close to tide water that is navigable year-round. • Straight forward permitting process. • No land claims issues. • Mine development activities nearby including road and deep water port construction (London Mining’s Isua Iron project). Slide 16
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  Regional Setting Property Geology Major events included… • Formation of the Finnefjeld “gneiss” complex at 2992 ± 7 Ma in response to a giant meteorite impact. • Intrusion of nickeliferous norites Qaqarssuk Carbonatite of the Greenland Norite Belt Finnefjeld over a time period spanning at least one complete Complex geomagnetic reversal. • 3 episodes of lamprophyre intrusion (1800, 1200 and 600 Ma) with the latest involving emplacement of kimberlite. • Intrusion of the Qaqarssuk carbonatite complex at 165 Ma. Slide 17
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  Consistently High Nickel Tenor Ni vs. S for Historical GNB Drill Core • Sulphides have a relatively consistent Typical 100% sulphide mixture of Po+Cp+Pn contains 35.7% S nickel tenor of 6 to Kerr, 2003 8% Ni recalculated to 100% sulphide. Nickel wt. % • Presence of pyrite means there is more S for a given amount DRILL CORE of sulphide than in typical magmatic sulphide deposits consisting mainly of pyrrhotite-pentlandite and chalcopyrite. After Shore, 2000 Sulphur wt. % (Falconbridge Limited) Slide 18
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  Now Many TargetsThanks to Modern Regional Setting Helicopter Geophysics • SkyTEM and VTEM helicopter-borne TEM surveys flown by NAN in 2011 and 2012 have detected over 75 conductive zones (circled in red on the adjacent map). • This technology was not available to previous explorers in the belt. • NAN has flown the areas outlined in green, which total 860 km2 and cover a major portion of the GNB. • Interpretation of the 2012 data is in progress. To date over 75 conductive zones have been identified (circled in red on map). Slide 19
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  2012 Diamond Drilling Program Nine holes totaling 1551 meters in three target areas: • Imiak Hill • Spotty Hill • Fossilik II – P-59 Condutor IMIAK HILL HOLE MQ-12-001 15.39 to 16.60 m Slide 20
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  Imiak Hill LongSection (Looking West) MQ-12-001 26.98 m @ 0.98% Ni, 0.44% Cu Incl. 16.64 m @ 1.36% Ni, 0.52% Cu and 5.12 m @ 2.20% Ni, 0.55% Cu MQ-12-002 66.08 m @ 0.55% Ni, 0.20% Cu Incl. 5.15 m @ 1.22% Ni, 0.49% Cu and 14.18 m @ 1.33% Ni, 0.38% Cu OPEN Slide 21
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  Plans for 2013 Diamond Drilling (~7500 meters) Approximately 5,000 meters to follow-up targets from 2012 program and 2,500 meters to test new targets generated from 2013 work. VTEM Surveys (~450 kilometers) Over several showings and intrusions not previously flown. Induced Polarization (~30 kilometers) To help map out zones of disseminated sulphide mineralization. Field Mapping and Sampling To ground truth and sample VTEM anomalies and zones of disseminated mineralization exposed on surface. Slide 22
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  Discovering High GradeCopper Deposits in Manitoba, Canada VMS:TSX.V Explorer to Producer NAN: TSX.V The World’s Next Nickel Belt Cambridge House Vancouver Resource Investment Conference January 20-21, 2013