An Emerging Zinc
Play
September 2019
Corporate PresentationCSE: PSE | FSE: PNX
The information contained in this presentation is provided by Pasinex Resources Limited. (“Pasinex”) for informational purposes
only and does not constitute an offer to issue or arrange to issue, or the solicitation of an offer to issue, securities of Pasinex or
other financial products. The information contained herein is not investment or financial product advice and is not intended to be
used as the basis for making an investment decision. The views, opinions and advice provided in this presentation reflect those of
the individual presenters, and are provided for information purposes only. The presentation has been prepared without taking into
account the investment objectives, financial situation or particular needs of any particular person. No representation or warranty,
express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and
conclusions contained in this presentation. To the maximum extent permitted by law, none of Pasinex nor its directors officers,
employees or agents, nor any other person accepts any liability, including, without limitation, any liability arising out of fault or
negligence, for any loss arising from the use of the information contained in this presentation. Except for statements of historical
fact, this presentation contains certain “forward-looking information” within the meaning of applicable securities laws. Forward-
looking information is frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”,
“estimate” and other similar words, or statements that certain events or conditions “may” or “will” occur. Forward-looking
statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a
variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those
anticipated in the forward-looking statements, including, among others, the accuracy of mineral grades and related assumptions,
planned expenditures, proposed exploration and development at the the Horzum Zinc / Lead Project and the Spur Zinc / Lead /
Silver Project. Pasinex undertakes no obligation to update forward-looking information if circumstances or management’s
estimates or opinions should change except as required by law. The reader is cautioned not to place undue reliance on forward-
looking statements.
This presentation includes industry, market and competitive position data from industry journals and publications, data on
websites maintained by private and public entities, including independent industry associations, general publications and other
publicly available information. Pasinex believes that all of these sources are reliable, but we have not independently verified any
of this information and cannot guarantee its accuracy or completeness. Industry publications and surveys generally state that they
have obtained information from sources believed to be reliable, but do not guarantee the accuracy and completeness of such
information. Further, because certain of these organizations are industry organizations, they may present information in a manner
that is more favorable to the industry than would be presented by an independent source. In addition, forecasts are often
inaccurate, especially over long periods of time. References in this presentation to research reports or articles should not be
construed as depicting the complete findings of the entire referenced report or article. The information in each report or article is
not incorporated by reference
into this presentation.
Investors are advised to refer to additional information including quarterly Financial and Management Discussion and Analysis
(MD&A) which is available through the website www.pasinex.com
Disclaimer
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Pasinex Overview
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Exploration drill program on
Akkaya Project.
45,757 wet tonnes zinc material
produced in 2018 from Pinargozu. Profitable operations with over 60%
gross margin in Q2 of 2019.
On target to achieve 2019 guidance
of 18,000-20,000 wet tonnes mine
material.
Large land position in a CRD zinc
district in Turkey.
SEDEX style intersection on Spur
Zinc Project in Nevada.
2019 is a transition year with a mine development program to open up deeper zinc
mineralization at Pinargozu in Turkey. This is expected to be in production in 2020.
Zinc Production & Exploration in Turkey and the US
Pasinex Resources Ltd.
have Zinc Projects on two
continents
High Grade Zinc Carbonate
Production & Exploration at
Pinargozu Zinc Mine,
Turkey 50/50 JV
Pasinex Resources Limited | CSE: PSE | FSE: PNX
UNITED STATES
TURKEY
NEVADA
High Grade Zinc Carbonate
Exploration at
Akkaya Zinc Project,
Turkey 50/50 JVHigh Grade Zinc Carbonate
Exploration Project Spur,
White Pine County, Nevada
80% Earn In over 4 years
Pasinex Corporate Profile
Capital StructureCSE:PSE; FSE:PNX
Shares Issued and Outstanding
Share Price (September 10th, 2019)
Market Capitalisation
144,354,370
$ 0.03
$ 4.33 M
Warrants
Options
None
5.35 M
20%
45%
35%
Directors &
ManagementOther
Shareholders
Other Top 20
Shareholders
Shareholders
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Pasinex Management & Board
Steve WilliamsPresident & CEO
Metallurgy degree and MBA, Mines in
Australia and Canada, 20 years with
SGS in Metallurgy, Past Managing
Director SGS Canada
Andrew GottwaldCFO
CPA, CA with over twenty years of
experience in the financial services
industry, including senior management
positions with various publicly listed
mining companies.
Evan WhiteManager, Corporate Communications
11 years in marketing in the mining sector
Dr. Larry SeeleyBoard Member
Ex-VP Falconbridge Mining,
Ex-President Lakefield Research
Vic WellsBoard Chairman
Financial expert was CFO / Director for a
number of junior exploration companies
Joachim RainerBoard Member
20 years in entrepreneurial finance in Austria
Jonathan ChallisBoard Member
Mining engineer with many
Directorships and senior roles with
juniors
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Growing a pure play Zinc Company
35%
❖ New discovery of zinc sulphide in black shales beneath
high-grade zinc oxides in Nevada
❖ Two drill rigs currently drilling at Akkaya Zinc Exploration
Project in Turkey. Targets along strike from Pasinex’s
Pinargozu high-grade zinc oxide mine
❖ Pasinex owns 50% of the Pinargozu Mine which is an
exceptionally high grade zinc mine near Adana, Turkey.
❖ Approximately 43,709 wet tonnes of zinc oxide produced in
2018; 2,048 wet tonnes of zinc sulphide.
❖ 2019 production to June 30th was 11,080 wet tonnes at
33% Zn
❖ District & regional exploration opportunity in a world class
zinc district in Turkey.
❖ Investors should refer to information on Pasinex through our quarterly Financial
statements and Management Discussion and Analysis (MD&A) available
through the website www.pasinex.com
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Pinargozu Zinc Mine Operating Results
35%
Q2 2019 Six Months Ended June 30, 2019
Horzum AS – Reporting as 100%
Zinc product produced (wet) tonnes 4,293 11,080
Zinc product sold (wet) tonnes 2,397 10,056
Zinc product sold grade 46% 33%
Cost Per Tonne Mined (CAD)* $403 $318
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Operating results for Quarter 2 and the First Half of 2019
*Non-GAAP measures.
Pasinex Financial Results – Q2 2018
35%
Q2 2019 Q2 2018
Pasinex Resources Limited
Adjusted Equity Gain $333,363 $1,805,685
Consolidated Net Income (loss) $(108,609) $930,193
Dividend Received from Horzum AS $286,383 $377,370
Zinc Price US $1.23 US $1.55
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Year-Over-Year Comparison (Canadian Dollars)
Spur Zinc Project, Nevada [Exploration]
35%
❖ Small drill programme confirms high-
grade zinc oxides and leads to new
discovery of deeper zinc sulphides
❖ Possible high-grade Eureka-style CRD
system and potential for a major shale-
hosted-massive-sulphide (SHMS) deposit
beneath
❖ Verified high grade zinc oxides:
❖ 43.9 metres @ 14.2% zinc
❖ 13.7 metres @ 26.1% zinc and 5.6
ounces of silver
❖ Earn in option agreement whereby
Pasinex can earn to up to 80% interest in
the project based on payments and
exploration commitment
Pasinex Resources Limited | CSE: PSE | FSE: PNX
White Pine County,
Nevada, USA
Exciting new zinc sulphide discovery beneath an old high-grade zinc prospect
Why are Shale-Hosted Zinc Deposits Important?
❖ Black Shale is a highly unusual host
for CRD mineralization. SHMS
deposits are highly significant for
exploration
❖ Shale-hosted massive sulphides zinc
deposits (SEDEX or SMHS) are not
common but are large, hosting over
18% of the world’s zinc
❖ Four of the five largest zinc mines and
deposits globally are shale hosted.
Examples: Red Dog, Sullivan, Selwyn,
McArthur River, Hilton
Summary Highlights of Drill Assay Results
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Nevada,
White Pine County
Drill Hole # Core Length
Interval Metres Zn Grade % From (metres) Mineralization
SRDD-2018-001Including
43.89
13.72
14.2
26.1
43.28
48.77
Oxide in Limestone
Oxide in Limestone
SRDD-2018-002 0.61 10.8 60.96 Oxide in Limestone
SRDD-2018-004 1.5 4.3 85.65 Oxides in Fault Zone
SRDD-2018-004 2.74 8.1 88.1 Sulphide in Black-Shale
SRDD-2018-004 3.35 5.7 92.6 Sulphide in Black-Shale
A Closer Look at Black Shale & Drill Hole SRDD_2018_04
4.3% Zinc8.1% Zinc5.7% Zinc
200
Metres
Pinargozu Zinc Mine
& Akkaya Zinc Project
35%
❖ Red area indicates prospect for
zinc district in southern Turkey
where Pasinex operates
❖ Infrastructure is strong in
Turkey. The key to Pasinex
being able to ramp up quickly to
production was because of
readily available infrastructure
❖ Access to major roads, port
(Mersin), major airport (Adana),
HV electrical
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Pinargozu Zinc Mine &
Akkaya Exploration Project
Route to Port
Tufanbeyli Zinc District
Yahyali Zinc District
Bolkar Zinc District
ADANA
MERSIN PORT
Zinc in the Taurus
Mountains
35%
Main city of Adana –
2.2 million
Port of Mersin –
2½ hours away
HV power available
Water available
Pasinex Resources Limited | CSE: PSE | FSE: PNX
JV Area
of Interest
Pinargozu &
AkkayaHorzum
Mottled LimestoneNodular Limestone
Surface Lithology Map of Pinargozu & Akkaya properties
35%
Pasinex Resources Limited | CSE: PSE | FSE: PNX
❖ Purple indicates White Marble host-rock
❖ Favourable structural settings coincident
with the White Marble host-rock
❖ This process of identifying the White
Marble host-rock has generated
compelling drill targets
Shale Siltstone
Grey LimestoneMarble
Dolomitic Limestone
DolomiteQuartziteSiltstoneChaotic UnitMafic Rocks
Quaternary
Pinargozu
Pinargozu Zinc Mine [Production &
Exploration]
35%
❖ Strong Mine Operating Profit margin (61% in H1 of 2019)
❖ Dividends being received
❖ Selling Direct-Shipping “natural concentrate” on spot (no
long term contracts)
❖ Producing mine with ultra high grade zinc
❖ 32% zinc in the Oxides
❖ 42% zinc in the Sulphides
❖ Pinargozu is a new discovery made in 2013
❖ Exploration underway to expand the resource
❖ Growing expertise in recognizing other high-grade zinc
properties like Pinargozu
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Pinargozu Development
35%
❖ Four adits from hillside now operating – a fifth adit in
development
❖ 2018 production of 45,717 tonnes of DSO concentrate
❖ 2019 production guidance of 18,000 – 20,000 tonnes of
DSO concentrate predominately sulphide ore
❖ 2019 production to 30th June was 11,080 tonnes (wet)
❖ A mine development program is underway to reach the
deeper sulphide zone – expected on line in 2020
❖ Over 6.0 kilometres of underground development
❖ 200 miners & engineers are working at Pinargozu
❖ Mine safety standards priority focus
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Pinargozu Production from Multiple Faces
❖ New Adit Project at 550 Level in development
❖ Plan view of mineralization predominantly zinc
carbonates (oxides) and zinc sulphides shown in
red area; underground workings shown in other
colours
❖ Cut and fill mining method
❖ Production is 85% oxide / 15% sulphide
production of DSO grade material
Pasinex Resources Limited | CSE: PSE | FSE: PNX
811 Level
663 Level
550 New Adit Project
Pinargozu Production Profile
35%
Pasinex Resources Limited | CSE: PSE | FSE: PNX
2014 2015 2016 2017 2018
6,731
10,224
31,148
57,625
45,757
60,000
50,000
40,000
30,000
20,000
10,000
0
2019 Projection
18,000 – 20,000
Exploration Conceptual Model
35%
❖ Carbonate replacement type
Zn - geological model
❖ Current Pinargozu operation
is high up in the “manto” –
could be a deep system; lots
of exploration opportunity
❖ Skarn opportunity
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Early in and high
up in the manto
system
Regional Exploration in Turkey
35%
Pasinex Resources Limited | CSE: PSE | FSE: PNX
❖ The Pinargozu
carbonate replacement
zinc project is similar to
CRD deposits in Mexico
such as Naica
❖ Pinargozu, Akkaya and
region
❖ Near mine areas –
exploring the strike
extension of
hydrothermally altered
marbles.
❖ There is potential in the
district to find more
properties like
Pinargozu
Pinargozu Mine
Pinargozu Ore Surface ProjectionCambrian Carbonates
Zn-Pb Occurances along to HZT
HZT: Horzum Trend
Marble Alteration
Second Order
HZT Splay
Zinc 101
35%
❖ Uses of zinc:
❖ Galvanizing of Steel (making it rust proof)
❖ Car bodies, street lamp posts, safety
barriers, suspension bridges
❖ Health:
❖ Sunscreen and vitamins
❖ Zinc Oxides
❖ Paints, rubber, cosmetics, pharmaceuticals,
plastics, inks, soaps, textile
❖ Die-casting
❖ Electrical equipment
❖ China is a major consumer
❖ Strong zinc price over the last year
❖ Stocks of Zn continue to drop
❖ What’s going to happen to zinc in the next 5 years?
❖ Battery opportunity
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Contact Details
35%
Pasinex Resources Limited | CSE: PSE | FSE: PNX
Canada Main OfficePasinex Resources Limited
82 Richmond St. E.
Toronto, ON M5C 1P1
Tel +1 (416) 861-9659
Adana Office, TurkeyZeytinli Mah.
Turhan Cemal Beriker Blv.
No 607 / A Seyhan, Adana
Corporate CommunicationsTel +1 (416) 906-3498
General [email protected]
PASSION IN EXPLORATION
“The way to build a zinc company is one mine at a time” - Steve Williams