Appia Energy Corp. (CSE:API) A Project Generation Company, Exploring and Developing Uranium and Rare Earth Deposits in Canada May 24, 2016 #500 - 2 Toronto St., Toronto, Ontario, Canada M5C 2B6, Tel: 416-546-2707 Fax: 416 218-9772 www.appiaenergy.ca email: [email protected]CSE:API The technical information contained in this presentation was reviewed and approved by Mr. Al Workman, P.Geo., Vice-President Watts, Griffis and McOuat Limited and a qualified person as defined by National Instrument 43-101
The technical information contained in this presentation was reviewed and approved by Mr. Al Workman, P.Geo.,
Vice-President Watts, Griffis and McOuat Limited and a qualified person as defined by National Instrument 43-101
Forward Looking Statement
This Presentation contains forward-looking statements which may include but are not limited to statements with respect to the future
financial or operating performance of the Company and its projects, the future price of uranium, capital operating and exploration
expenditures, success of exploration activities, permitting timelines, government regulation and environmental risks and costs. The
Company has tried to identify these statements by using words such as "plans", "proposes", "expects" or "does not expect", "is
expected", "estimates", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or
statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-
looking statements are not based on historical facts and involve known and unknown risks, uncertainties and other factors which may
cause the actual results, performance or achievements of the Company, or events, to be materially different from any future results,
performance, achievements or events expressed or implied by the forward-looking statements. These forward looking statements
reflect current expectations of management regarding future events and performance and speak only as of the date of this
Presentation. Such forward-looking statements are based on a number of assumptions which management believes to be reasonable
but may prove to be incorrect and involve significant risks, including but not limited to: the general risks associated with the mining
industry, lack of operating history, dependence on key personnel, conflicts of interest, the need to raise additional capital, title to
properties, competition, speculative nature of the business,, acquiring additional properties, uninsured risks, external market factors,
government regulation, environmental regulations exploration risk, calculation of resources, insufficient resources, barriers to
commercial production, maintaining property interests, commodity prices, exchange rates, lack of dividends, lack of public trading
market, currency risk and controlling shareholder. Although the Company has attempted to identify important factors that could cause
actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not
to be as anticipated, estimated or intended. Anyone reviewing this Presentation should not place undue reliance on forward-looking
statements. While the Company anticipates that subsequent events and developments may cause its views to change, the Company
specifically disclaims any obligation to update these forward-looking statements, except as required by law. The factors identified
above are not intended to represent a complete list of the factors that could affect the Company.
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• Appia is leading the way in innovative
thinking and technical exploration within
Athabasca Basin
• Not following suit by staking “barren”
ground in the Athabasca Basin
• Looking for geophysical elements that are
similar to other known deposits
• Athabasca Basin is still in its infancy – 17
high-grade uranium deposits have been
discovered since 2000 (~ 1/yr), 8 with
NI 43-101 resources exceeding 50 M lbs
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• Appia’s exploration team is led by Mr. James Sykes
• James has over 10 years of highly successful Athabasca
uranium experience with the following companies
• Denison Mines Corp. (2006 to 2007) – part of the exploration team that prioritized
the targets that became the Phoenix (70.2 M lbs U3O8) and Gryphon (43.0 M lbs
U3O8) deposits
• Forum Uranium Corp. (2008) – worked with and learned from some of the most
reputable Athabasca uranium geologists (Mr. Ken Wheatley and Mr. Boen Tan)
• Hathor Exploration Ltd. (2008 to 2011) – developed the first 3D geological model of
the Roughrider West deposit (27.8 M lbs U3O8), which identified the structural trend
that led to the East (30.1 M lbs U3O8) and Far East deposit discoveries. Managed
the Russell Lake property and identified 3 new zones of sub-economic basement-
hosted uranium mineralization in previously untargeted and untested areas
• Rio Tinto Canada Uranium Corp. (2012 to 2013) – worked on research projects for
Athabasca uranium mineralization and the Roughrider deposit/system
• NexGen Energy Ltd. (2013 to 2015) – project lead in the discovery of the Arrow
deposit (201.9 M lbs U3O8) and high-grade A2 sub-zone
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4**All reported deposit sizes are NI 43-101 compliant, and were referenced from their most recent resource estimates filed on SEDAR (as of May 20, 2016)**
Click to edit Master title styleValue of One Cubic Metre of Ore
ATHABASCA BASIN - GRADE IS KING!!CSE:API
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• LARGE, DEEP-SEATED STRUCTURES
• LONG CONDUCTORS/CORRIDORS
(> 10 KM)
• “BENDS” (AT ALL SCALES) =
STRUCTURAL DISCONTINUITIES
• REDOX FRONTS (OXIDIZED FLUIDS
CONTACT REDUCED FLUIDS)
NECESSITIES FOR HIGH-GRADE
ATHABASCA URANIUM DEPOSITS
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DIFFERENCE IN GRAPHITIC STRUCTURES
Otherside
Loranger
Mylonites common(Highest grade deformation)
Brittle shears common(High grade deformation)
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• Recently staked 2 new properties; Otherside and
Loranger
• Presence in Patterson Lake South district with
PLS North
• High-grade REO and Th (+ low-grade U)
showings at Alces Lake
• Elliot Lake, ON, historic U + REO mining camp
APPIA PROPERTIES
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UNDEREXPLORED BASINCSE:API
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• Location and Infrastructure• North Central Athabasca
• Main Features• 42 km long x 2 km wide conductive corridor with discrete conductors
• 150 m vertical offset of Athabasca sandstone
• NE to ENE “bend” with overlapping geophysical anomalies
• Diminishing EM signal losses within conductive corridor
• Gravity low anomalies
• Significant potential for high-grade uranium mineralization
OTHERSIDE PROPERTYCSE:API
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• Previous Exploration• Airborne EM (MEGATEM, VTEM, ZTEM)
• Airborne magnetics
• Airborne gravity
• Regional ground gravity coverage
• Ground AMT
• Airborne radiometrics
• Ground scintillometry
• Radon surveying
• Outcrop mapping, boulder prospecting and soil sampling
• Lake and stream water, and lake bottom sampling
• Diamond drilling (2 DDH; 10 km and 20 km south of the property)
OTHERSIDE PROPERTYCSE:API
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Anomaly at “Bend”
OTHERSIDE PROPERTYCSE:API
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Source: NexGen Energy Ltd. (2016); Corporate Presentation – March 2016
Conductors are offset in same fashion at site of geophysical anomalies
But also note how, in lieu of the offsets, the conductors would have continued undisturbed on the other side (grey line). This is very important!!
Comparison with Arrow Airborne EMCSE:API
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OTHERSIDE PROPERTYCSE:API
• Exploration Requirements• Ground TAMT
• $300,000 for 105 stations (52.5 line km)
• Ground gravity
• $105,000 for 1000 stations (100 line km)
• Diamond drilling
• 2 DDH for 2,000 m at $750,000
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• Location and Infrastructure• East Athabasca
• Wollaston Lake/Village, Points North Landing, Rabbit Lake Mine
• Size• 34.0 km NE-SW x 7.0 km NW-SE (24,755 ha.)
• Geological Terrane• Eastern Wollaston Domain (Fraser Lakes Zone B Uranium Deposit)
• Main Features• 4 discrete conductors (84 km of conductors)
• No sandstone cover, negligible overburden
• 17 historic drill holes for 2,090 m (‘78-’79), combination of
radioactive pegmatites and graphitic intervals, best intercept of
0.034% U3O8 over 6.1 m drill hole length
• 60,000 pCi/L radon-in-water
• Significant potential for high-grade uranium mineralization
LORANGER PROPERTYCSE:API
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• Previous Exploration• Airborne EM (VLF, HEM)
• Airborne magnetics
• Ground EM and magnetics
• Ground EM (HLEM)
• Ground radiometrics
• Radon surveying
• Outcrop mapping, boulder prospecting and soil sampling
• Lake and stream water, and lake bottom sampling
• Diamond drilling (17 DDH for 2,090 m)
LORANGER PROPERTYCSE:API
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LORANGER PROPERTY
Historic drilling has identified low grade pegmatite and graphite-hosted uranium mineralization that is open to the southwest and at depth
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Pegmatite Showings Loranger Property
Loranger has the necessary geological rock types andsimilarities with Eagle Point, Key Lake and Gryphon deposits
Geological Schematic of LorangerCSE:API
19Background figure from Guimond, S.K. (1979): Report on the Wollaston Post Project. Denison Mines Limited. Saskatchewan Ministry of the Economy Mineral Assessment File # 64L03-SE-0018.
0 m
100 m
Vertical Depth
• Exploration Requirements• Airborne EM (VTEM)
• $172,400 for 921.1 line km
• Ground gravity
• $135,000 for 1661 stations (108 line km)
• Diamond drilling
• 10 DDH (2,000 m) for $750,000
LORANGER PROPERTYCSE:API
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• Location and Infrastructure
• North of Athabasca Basin
• Fond-du-Lac, Stony Rapids, Uranium City
• Size
• 15.0 km N-S x 7.0 km W-E (7,245 ha.)
• Geological Terrane
• Beaverlodge Domain (U City deposits)
• Main Features
• Pegmatite-hosted
• Outcrops with >35% TREO’s and up to 0.05% U3O8 by weight
• Saskatchewan Geological Survey has identified Alces Lake area as the
richest Rare Earth area in Saskatchewan
• Exploration Requirements
• Airborne VTEM + Radiometrics
» $60,000 for 162 line km
• Ground scintillometry and sampling
» $15,000 for 2 week program
ALCES LAKE PROPERTYCSE:API
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Click to edit Master title style
SOURCE: REE MINERALIZATION POTENTIAL OF NORTHERN SASKATCHEWAN II: RESULTS OF THE SUMMER 2012 INVESTIGATIONS IN THE OSHOWY-
BUCHANAN LAKES, ENA LAKE, BEAR LAKE, AND ALCES LAKE AREAS REPORT BY CHARLES NORMAND, SASKATCHEWAN GEOLOGICAL SURVEY.
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• May - June: property-wide airborne VTEM and
radiometric survey over Alces Lake
• June: property-wide airborne VTEM over Loranger
• June - August: ground TAMT over primary target area of
Otherside
• July – September: ground gravity surveys over land-
based primary target areas of Loranger and Otherside
• November – December: completion of ground gravity
surveys over waterbody-based primary target areas of
Loranger and Otherside
• January – March: initial diamond drill hole programs
Exploration Timeframe (2016 – 2017)*Subject to Financing*
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Brief Overview of Elliot Lake
•Neither the Teasdale nor the Banana Lake Zone has been drilled off and the current resources are largely unconstrained along strike and down dip.•The confirmation drilling at Teasdale resulted in a change in the mine plan from the historical resource calculation. The ore zone was expanded to 9.7 metres in thickness in order to include REOs with a greater value than the U308 in the zone.
NI 43-101 Compliant Resource*
Indicated Resource Inferred Resource
Teasdale Lake Zone
Tonnage
(M tons)
Average
Grade
(lbs./ton)
Contained
Metal U3O8
(M lbs.)
Contained
Metal REO
(M lbs.)
Tonnage
(M tons)
Average
Grade
(lbs./ton)
Contained
Metal U3O8
(M lbs.)
Contained
Metal REO
(M lbs.)
U3O8 14.4 0.554 8.0 42.5 0.474 20.1
REO 14.4 4.91 70.8 42.5 4.66 197.6
Banana Lake Zone**
U3O8 30.3 0.912 27.6
TOTAL 14.4 8.0 70.8 72.8 47.7 197.6
* A Technical Report on the Appia Energy Corp. Elliot Lake Uranium-Rare Earth Property, by Watts, Griffis and McOuat Limited (July 30, 2013). Mineral resources are not
mineral reserves and do not have demonstrated economic viability.
** A Technical Review of the Appia Energy Corp. Rare Earth Metal-Uranium Property, Elliot Lake District by Watts, Griffis and McOuat Limited, (July 18, 2011). Mineral
resources are not mineral reserves and do not have demonstrated economic viability.
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Historical Resource – Not NI 43-101 Compliant*
Zone Tonnage
(M tons)
Average Grade
(lbs. U3O8/ton)
Contained Metal
(M lbs. U3O8)
Teasdale Lake Zone** 17.5 1.21 20.8
Banana Lake Zone*** 175.8 0.76 133.6
Canuc Zone 7.0 1.86 13.0
Bouck Zone
Gemico Block No.10
20.7 0.75 15.5
Buckles Zone
Gemico Block No. 3
42.8 0.38 16.3
Total 263.8 0.76 199.2
Brief Overview of Elliot Lake (cont…)
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Elliot Lake PropertyCSE:API
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Appia’s management, directors and consulting team have extensive experience in the mining industry
• Anastasios (Tom) Drivas, CEO, President, DirectorTom Drivas is a business entrepreneur with over 30 years experience in various industries, including over 20 years in the mineral
resource industry and is currently the President and CEO of Romios Gold Resources Inc., a publicly traded company he founded in
1995.
• Frank van de Water, B. Com., CPA, CA, Chief Finance Officer, Secretary, DirectorFrank van de Water has been involved in international mining, metals and resource companies in North and Latin Americas,
Europe and Africa for over 40 years.
• James Sykes, B.Sc., Director of Saskatchewan OperationsJames brings 10 years of Athabasca Basin experience to the team, most notably having worked on Hathor’s Roughrider deposits
and leading the discovery team for NexGen’s Arrow deposit.
• Robert (Bob) MacGregor, P.Eng., AdvisorBob MacGregor has over 30 years experience as a mining engineer and geological consultant, including 14 years working at Elliot
Lake uranium mining camp, where for 6 years he was the Superintendent of Stanrock Uranium Mines producing uranium by
bacteria leaching process. He has been involved in uranium leaching facilities and deep mining studies and was also involved in
the development of a Yttrium oxide recovery process. He has served as an officer and/or director of a number of private and public
exploration companies.
• Alan D. MacEachern, B.S.c. Geology , Consulting GeologistAlan MacEachern is the former chief geologist for Denison Mines Ltd. Elliot Lake, Ontario, and has 39 years of experience with all
aspects of Elliot Lake geology.
• Mickey Masuda, ConsultantMickey Masuda has been a business development advisor for over 30 years with special interest in projects between North
America and the Far East. He has served a number of Canadian companies in development of Asian Markets and built strategic
relationships with Japanese multi-national corporations.
• Watts, Griffis and McOuat Limited, ConsultantsA independent firm of Consulting Geologists and Engineers based in Toronto, Canada. Since 1962, WGM has served the
international mining community by completing projects in over 120 countries.
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Appia’s management, directors and consulting team have extensive experience in the mining industry
• Brian Robertson, B.Sc. P.Eng., Graduate Diploma of Business Administration, DirectorBrian Robertson is a registered professional engineer with extensive experience in all aspects of mine operations, development
and construction. He served in a number of senior management positions for Placer Dome Inc. and Royal Oak Mines Ltd., and
currently is President and CEO of Source Exploration Corp.
• Thomas Skimming, B.Sc. Geology, DirectorThomas Skimming has been instrumental in the discovery and development of several mineral deposits including the world-class
Teck-Corona gold deposit at (Hemlo) in Canada. He has over 50 years of experience in the mineral resources industry and he
has served as an officer and/or director in a number of public exploration and mining companies.
• Douglas H. Underhill, Ph.d, MBA, DirectorDr. Underhill is a geologist with more than 30 years of international experience in uranium including the commercial level and 7
years with the International Atomic Energy Agency (IAEA) in Vienna. His specialties range from world uranium geology resource
estimation through supply-demand analysis. He has presented on these topics on five continents and has advised governments
on uranium developments including the USA, Australia and China.
• William Johnstone, L.L.B, Legal Counsel & Director Bill Johnstone is a partner of Gardiner Roberts LLP, practicing corporate and securities law and is the Practice Leader of the firm’s
Securities Law Group. He is also a director and officer of a number of public companies.
• Nick Bontis, B.A., Ph.d., DirectorNick Bontis is a tenured professor of strategic management at the DeGroote School of Business, McMaster University. He received
both his Bachelor of Arts in 1992 (Honours Business Administration) and his PhD from the Ivey School of Business at The
University of Western Ontario in 1999. He is also an Executive Board Member and Director at Harvest Portfolios Group.
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CAPITAL STRUCTURE
(As of May 24 2016)
Issued (Insiders – approx. 82%): 41.6 million shares
Fully Diluted: 43.2 million shares
52 Week Range: $0.01 - $0.30 CAD
Recent Share Price (May 24, 2016): $0.20 CAD
Market Capitalization: $8.3 million
Cash on Hand (May 24, 2016): $0.6 million (approx.)
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CSE:API
Why Appia?• Strong and diverse presence, innovative thinking and technical exploration in the
Athabasca Basin
• Appia’s team has extensive experience in the uranium and mining industries with proven “deposit” finders that have over 350 M lbs. U3O8 direct and indirect discovery success within the Athabasca Basin
• Otherside and Loranger properties share numerous geophysical and geological features with other known high-grade Athabasca uranium deposits
• High-grade REO’s and thorium on surface at Alces Lake
• A very large strategic uranium and Rare Earth mineral resource potential (Elliot Lake)
• Current NI 43-101 resources on Teasdale alone represent approximately 1.9 lbs. indicated and 5.9 lbs. inferred of uranium and rare earth oxides combined per common share issued with significant upside potential
• Debt free with no property or option payment obligations
• Focused to deliver share-holder return by not wasting resources on non-core items
