Ann: Annual General Meeting Presentation, page-2

Some notes from the AGM.
Will Robinson (WR) talked to the presentation given above with questions interspersed from the attendees along the way. Other directors added further details at times.


My impression was the company are on the cusp of testing multiple very interesting targets across a wide range of geological environments. As with exploration companies, pre drilling, the mood is buoyant and optimistic of success. The logistics of turning this to discoveries means not much will happen on the ground from Christmas and well into Q1.

The Aileron project was intriguing and I finally tracked down the source of a niggly memory about Topup Rise where some previous exploration has been done by BHP, CRA, maybe Rio, and this image from a 2014 presentation by CZN on aspects of their work on an IOCG target. Technical success with Cu encountered but ultimately dropped by them.

WR commented that they were not certain they could get the rig to the first hole site at Aileron but now that has been done logistics of access are much more certain. The final phase of the gravity survey was completed there on Friday. The team were apparently going to do some helicopter recce of other geophysical anomalies before closing down for the season.
This CZN image gives an idea of the nature of the countryside and what is involved in getting a drill rig in over 600+ kms of Canning and Gibson desert country if coming from the Telfer area.



[I asked Jon Hronsky about ultrafine soil sampling. In an environment like the one above the sands are not likely to be of much use for standard geochemistry. However, flora and occasionally fauna (termites) move material from depth. Vegetation uses water from various depths and elements can be brought to surface in this way and concentrated over millennia into the finer fractions of the soils. Theory and seems to work in practice for some areas. There may be other mechanisms as well.]

Rio are active in the area with some discussions of sharing drill rigs. Newmont recently drilled to the north apparently. The CZN Topup rise tenements are held by Tali Resources surrounded by Rio claims.

West Arunta area with selected tenement holdings highlighted - on Gravity image from Geoview.



Remote area where any discovery will have to be Tier 1. There could even be some toe stubbers (rare (nowadays) mineralised outcrops at surface) in this area which hasn't had too much exploration. A long history of diamond, metals exploration though not too detail?

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Lamil
Emphasis on the Cu hits being much higher than most in the Paterson (apart from Nifty). Drill spacing is 200m because of heritage(?) or some logistical reason. WR keen for infill to try and find a vertical feeder to the reef style mineralisation reported recently (my interpretation of some comments). If they keep finding these relatively wide spaced reefs ONLY then IMO the potential for a mineable resource may not be there.

The area of the Lamil dome is quite extensive.

DHEM will be tried on future holes. Mineralisation such as the high grade chalcocite zone would be an excellent conductor and respond well to EM. Pyrrhotite chalcopyrite wouldn't be too far behind in response so DHEM will be well worth trying.

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Apart from saying IGO are systematically exploring Yeneena there was no further comment.

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ENR are excited about the early mover advantage they had in the NT.

Added to some blocks recently [Brunchilly, Broadmere and Sandover] - not 100% certain of this.

Elliot = BHP. Could explore quickly in 2022 and include some Diamond drilling early in the exploration phase (WR). Mentioned as one of 5 important(?) projects in BHP's annual report (WR).

While Cu is the main element of interest Zn/Pb could also be found.

There is Cu/Zn in the basement holes at depths below most practical mining. However, the seismic shows there is some potential for mineralisation to come closer to surface. Unlikely to be open pittable depths though only time will confirm that assumption on my part from depth hints mentioned. see Page 18 of the Preso with the Carrara tenements pegged where strata are getting closer to surface.

There is wide spread surface and hydro geochem Cu. Why?
One possible explanation comes from another comment from JH that may be somewhat surprising: this area is one of the more seismically active ones in Australia. This seismic activity is thought to "pump" fluids to surface, again over millennia, where metal concentrations can be detected.

Sandover is possibly the most viable of the NT tenements for ENR. The recent announcement only deals with a small portion of the block. It was good to notice some structure in the area detailed. In the DRC it is commonly structure or zones of thickening that host the mines. The 1m thick zones can go for kilometers and not be considered economic at 1% (pers comm from a DRC geo). This comment applied to the Kamoa Kakula area where 2-5+m zones of 2% plus Cu are being mined but the regional thinner, lower grade material is not (yet?? if ever).

Sandover Ta Li Sn

Grades from surface Cu carbonates can be very misleading - easy to get very high numbers that may not reflect primary mineralisation. The wide spread nature of Cu geochem is perhaps more important than eye catching grades at this stage. Get them in drilling, as they did at Lamil (chalcocite), that is different but still needs confirmation and evidence of size and continuity. BHP and others are not there for small deposits.



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Someone asked about finances.
They expect to expend maybe 50% of the available funds in H1 2022 if I understood correctly. The BHP and IGO JV's mean that a lot of money can go into the ground on them and leave ENR's coffers less exposed.

HMG demerger also helps the coffers. Good vibes for this project.

Holding tenements in the NT is, currently, cheaper than in WA.

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There was a lot more covered but I only took sparse notes with most of the above from memory. WR would likely respond to queries within time constraints and ASX rules.

Thanks to WR JH PB and PC for the interesting meeting.