Geology and MINERALIZATION of

Ngamiland - Tsodilo Resources Ltd

Mike de Wit
President
Botswana Resource Sector Conference
Gaborone
1
th
26 June 2012

Important notice
National Instrument 43-101 - Standards of Disclosure for Mineral Projects, Form 43-101F1 and Companion Policy
43-101CP requires that the following disclosure be made: All references contained herein with respect to the
potential quantity and grade derived by any method is at this stage of development conceptual in nature. At the
present time, there has been insufficient exploration to define a mineral resource and it is uncertain if further
exploration will result in the target being delineated as a mineral resource.
This presentation contains forward-looking statements. All statements, other than statements of historical fact,
that address activities, events or developments that the Company believes, expects or anticipates will or may
occur in the future (including, without limitation, statements relating to the development of the Company's
projects) are forward-looking statements. These forward-looking statements reflect the current expectations or
beliefs of the Company based on information currently available to the Company. Forward-looking statements are
subject to a number of risks and uncertainties that may cause the actual results of the Company to differ
materially from those discussed in the forward-looking statements, and even if such actual results are realized or
substantially realized, there can be no assurance that they will have the expected consequences to, or effects on
the Company. Factors that could cause actual results or events to differ materially from current expectations
include, among other things, changes in equity markets, political developments in Botswana and surrounding
countries, changes to regulations affecting the Company's activities, uncertainties relating to the availability and
costs of financing needed in the future, the uncertainties involved in interpreting exploration results and the other
risks involved in the mineral exploration business. Any forward-looking statement speaks only as of the date on
which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent
or obligation to update any forward-looking statement, whether as a result of new information, future events or
results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking
statements are reasonable, forward-looking statements are not guarantees of future performance and
accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
2

Company Details
1995: Trans Hex International founded (subsidiary of Trans Hex Group)
2002: re-named Tsodilo Resources Limited

Canadian Registered
TSX listed 1995: TSX V listed 2001
26,230,970 shares issued and outstanding
32,028,672 fully diluted common shares
Principal Shareholders (Beneficially Owned, Controlled or Directed):
Azur LLC

4,996,065

(19.04%)

International Finance Corporation (World Bank)

2,702,702

(10.30%)

David Cushing

2,460,501

(9.38%)

James Bruchs

2,232,119

(8.51%)

Market Capitalization $26M CAD

3

Corporate structure

Tsodilo Resources
Ltd

TSX-V Listed

Tsodilo Resources
Bermuda Ltd
100% Owned
Botswana
Operating
Companies

Newdico (Pty) Ltd

97% owned

Gcwihaba
Resources (Pty) Ltd
100% Owned

Rights to:

Rights to:

Precious Stones
(Diamonds)

Precious Stones,
Base and Precious
Metals
Radioactive
minerals

Bosoto (Pty) Ltd

100% Owned

Experienced Board and Officers

James M. Bruchs, JD *

Director, Chairman & CEO

David J. Cushing, JD

Director

Dr. Mike de Wit, PhD (Geology) *

Director, President & COO

Dr. Murray W. Hitzman, PhD (Geology)

Director

Jonathan R. Kelafant, BSc, MSc (Geology)

Director

Patrick C. McGinley, JD

Director

*Executive Directors
5

Botswana work force

25

20

15

22
10

1
2

9
6
1

Ex-pat
Motswana
87% (38)

13% (5)

Tsodilo - Resources Targets

The Company license blocks contain a number of economically
attractive exploration targets:
Iron Demonstrated Magnetite Fe Formation at base of Grand Conglomerate

Copper (cobalt) Potential for Copperbelt-style deposits at multiple

stratigraphic levels, spatially associated with faults/trusts

Copper-Gold-Iron Demonstrated Cu-Fe-Au skarns associated with ~535 Ma

intrusions (IOCG?).

Diamonds Kimberlites with micro-diamonds have been defined

Uranium Anomalous U values in meta-sediments and recent calcretes

Company Permits in Regional Context

Angola

Au
Zambia

Cu
Fe
Tsodilo

Namibia
Botswana

Damara Belt
Copper Belt

Initial data sets for Explorati

1. Total Magnetic
Intensity on 250 m
line spacing

Area interest

2. Detailed VTEM
data over large
block

10

Supplemented by Detailed Ground Geophysics..

Enhancing AM:
In house Walk-Mags
25 - 50m line spacing
2011

2010

6252 line kms

7400 line kms

541 km

265 km

11

.and drilling (Vertical & inclinded)

Tsodilo 6x6 diamond rigs:

2x Atlas Copco rigs 6x6

2x Water bowser 6x6
2x Fuel Bowser 6x6
2x Rod carier 6x6

Holes drilled:
128 holes
20.8 km of core
(excluding kimberlite)

12

Maun Base

In storage:
28.9 kilometers of
core

2011:
14 600 samples
consigned for assaying

13

Tsodilos Metal Permits: 14 900km

2012 Licences

14

Neoproterozoic Copperbelt Basins of Southern Africa

Drilling indicates that the Central African Copperbelt basins extend

southward into NE Botswana

Geological model - targets for Fe & Cu

Cu

Fe
Cu

Cu

Company PLs cover large areas of

previously unknown Neoproterozoic
Katangan sedimentary rocks:
similar to the DRC/Zambian Copper Belt
These rocks contain several target types:

Cu

Iron Rapitan-type Fe Formation at base of

Grand Conglomerate

Copper (cobalt) Copperbelt-style

mineralistion at multiple stratigraphic levels

Stratigraphy & Main Deposits in the Copper Belt Basins

Drilling indicates that Tsodilos licenses contains similar stratigraphy

1. Basement Rocks

Mainly Granitic-Gneiss and Quartz Schist- dated - 2.6 Ba

2. Lower Roan Sandstones & Conglomerates

Lower Roan exposed in the Tsodilo Hills to the west - not yet intersected.

3. Upper Roan Carbonates & Evaporites

Breccia of dolomite and phlogopite with carbonate clasts typical of

the breccias observed in DRC/Zambia after evaporites (anhydritehalite).
Banded limestones with evaporite nodules replaced by carbonate
minerals

4. Mwashya Phyllites & Schists

Originally shales and siltstones; Commonly garnetiferous (upper Mwashya),

graphitic, and contain sulfides (py, po, cpy)

5. Grand Conglomerate

Regional marker in Neoproterozoic Basins

Related to global glaciation? Snowball earth

6. Kakontwe Limestone

Relatively massive, clean limestone bed - cap carbonate unit

Most Fe formations formed between

2500 - 1900 Ma - Lake Superior-type

Another period of Fe formation was

around 750 Ma - Rapitan-type

Examples:
Rapitan deposit, Canada: 18.6 billion
tonnes of 47% Fe
Matto Grosso, Brazil: 36 billion tonnes
of 50% Fe
Damara-Katangan, southern Africa:
Small deposits - prior to Xaudum

Associated with glacial sediments

(Snowball Earth) deposited in
structurally controlled basins
Contains more manganese than the
older iron deposits

Iron Formations
Lake Superiortype Fe

Tonnes of iron formation

Rapitantype Fe

Rapitan Iron
(Xaudum Fe-magnetite)

Fe

Rapitan-type Fe Formation at base of Grand

Conglomerate.

From AM, High

Resolution Ground
Magnetics & Drilling
to Geological Model

5km

26

Xaudum Fe- Magnetite Formation

Iron
Formation

Iron Formation occurs

within the base of the
Grand Conglomerate

It extends for
approximately 35 km NS.

Appears to be located
along a major fault zone
with exposures of
basement

35 km

Interbedded Banded Magnetite & diamictites

TSODILO RESOURCES LIMITED

28

L9600/11

L9600/12

L9600/10

Intersection
44m

L9600/13

Fe%
35-52.2

Al2O3%
0.12-3.01

SiO2%
9.5-18.6

P%
0.17-0.43

36%

Intersection
140m

Fe%
30-52

Al2O3%
0.1-3.6

SiO2%
9-11

P%
0.07-0.5

29

0
100m

Hole 1821B112V
Schist/Diamictite
with Magnetite
bands

200m
300m

Magnetite with
occasional schist
bands

Massive
Magnetite

Chalcopyrite

400m

500m

30

Davis Tube Recovery Tests

Sample

Size fraction

Fe Grade (%)

SiO2

Al2O3

LOI

9600/10 (149.5-150.5)

75m

69.5

3.47

0.19

0.028

-3.25

9600/10 (149.5-150.5)

45m

70.9

1.92

0.18

0.020

-3.32

9600/11 A (98.4 99)

75m

69.6

3.27

0.20

0.045

-3.26

9600/11 A (98.4 99)

45m

70.6

1.89

0.20

0.027

-3.24

9600/11 B (103.3 103.7)

75m

70.0

2.69

0.08

0.043

-3.29

9600/11 B (103.3 103.7)

45m

71.8

0.92

0.05

0.023

-3.35

Most of the iron is recovered in the mag fraction (so low hematite).
The 75 micron grind results are almost same as 45 micron grind
The DTR grade of Fe is generally 70% plus

31

Next steps

Thick, high grade magnetite iron

formation in east

Great target for high-grade, thick

magnetite iron formation

Detailed ground
geophysics
Continued detailed
drilling
Trenches in Shakawe
quarry

Geological Modelling
using Gocad
First stage resource model
Assaying & Davis
Tube Recovery Tests

32

Preparatory Survey for Southern Africa

Integrated Regional Transport Program
Xaudum Fe project

Tsumeb
Grootfontein

Walvis Bay

200 km

33

Copper
(sedimentary rock-hosted)

Copper Belt-style mineralisation at several

stratigraphic levels; associated with faults.
The stratigraphy and structure of the Tsodilo
ground is highly permissive for significant
deposits

Cu

Copper has been found in several drill holes

Cu

Hydrothermal alteration, similar to that

observed in Zambia and DRC

Cu

Soil geochemistry is ineffective (which has

found all major copper deposits in the Copper
Belt) and no outcrop.

Cu

Geophysics not always effective to find Copper

Belt orebodies
Drilling & geophysics and good geological
understanding the most effective exploration

Mwashya meta-sediments

Ironstone

EM Section

Sedimentary Cu

35

Mwashya Shale Belt on East-West EM line

Dipping Condutors

Mineralised graphitic black shales & metapelites.

Sulphides

36

Stratigraphic Targets for Copper Deposits

Drilling indicates:
Several lithologies with high contained carbonaceous material (carbon); the
presence of evaporites
Sulfides within the stratigraphy capable of acting as a reductant

Cu
Cu

Cu
Cu

Cu

cpy

po

py

Pyrite (py) replacing pyrrhotite (po).

Chalcopyrite (cpy) is also in the
association. Plane-polarized reflected light.
38
Sample A (9670/9, 229 m).

alt
Cc

tebi
he

Visible Gold traces

Au
Replacement of calcite (Cc) by pyrrhotite
(Po). Note the occurrence of gold (Au),
hessite (hs), bismuth tellurides (tebi) and
altaite (alt). L9670/9, 316,61 m depth.

Au
Po

Ag
39

Sepupa Skarns
Ironstone

Sedimentary Cu

Skarns

40

585000

590000

595000

600000

605000

610000

615000

620000

-1825'
7965000

Sepupa Skarn Deposits

7950000

-1830'
7955000

7960000

Ironstone

-1835'
7945000

1822C10

7930000
-1845'
7925000

Sepupa Skarns
1822C27
10 km

7920000

Meta-basites
(Gabbro)
53536Ma

-1840'
7935000

7940000

Airborne magnetics

1822C26

625000

Sepupa Skarn targets 1822 C26 & 1822 C27

1822C26

1822C27

564 ppm
Ni
4073 ppm
Cu
0.17% Ce
0.12% La
0.09 ppm Au
392 ppm V

42

C26 & C27: Gravity/Magnetics with selected assays

2210'

0.26 %

Co

0.03 %

Ni

623200

623600

624000

624400

2210'

0.002 %

0.04 %

Ni

0.01 %

Fe

61 %

Fe

6%

Ag

2.3g/t

Ag

0.6g/t

7921600

7921600

7922000

Co

C27/2

622400

622800

623200

623600

624000

624400

7921600

0.03 %

7922000

Cu

7922000

Cu

7922000

622800

7921600

622400

7919600

7919200

7919200

7919600

C26

0.016 %

Ni

0.056 %

Fe

28 %

622400

622800

623200

623600

624000

Ag

2g/t

-1 8 4 8'

Co

7920800

0.4 %

7920400

Cu

7920000

1.3g/t

C26
7919600

Ag

7919200

-1848'
7920800
7920000

5.6 %

7919200

Fe

C27/5

7919600

0.01 %

C27/4

7920000

Ni

7920000

0.002 %

7920400

7920400

7920400

C27/5

Co

C27/3
-1 8 4 8'
7920800

7920800

C27/4

0.02 %

7921200

-1848'

C27/3

Cu

7921200

7921200

7921200

C27/2

624400

2210'

-0.0022

-0.0011

-0.0008

-0.0005

-0.0003

0.0001

0.0005

0.0008

0.0012

0.0016

0.0020

622400

622800

623200

623600

624000

2210'

mGals/m

250

0
(meters)
WGS 84 / UTM zone 34S

250

Bouger gravity
1st Vertical Deriv ativ e
1822C26&27

250

0
(meters)
WGS 84 / UTM zone 34S

Ground Magnetics

250

Magnetic Reduced to Pole

1822C26&27

624400

C27: Gravity & Magnetic models

Causative source of the gravity anomaly (blue) ~87m below the magnetic anomaly (green)
It is shifted westward relative to the magnetic body
44

1822C10

45

7942000

606500

Cu

607000

2201'

607500

608000

2202'
609000

608500

609500

610000

7942000

606000

C10: 1st Phase Drilling

0.02 %

Zn

0.01 %

Ni

0.01 %

Ag

1.6 gpt

794 0000

794 0000

794 0500

794 0500

0.027 %

794 1000

Cu

-1837'

794 1000

1822D12_3

794 1500

-1837'
794 1500

L9761_5

1822C11

793 9000

793 9000

1822C10_2

793 8500

793 8500

L9770_1

1822C10_1

22D12_4

0.044 %

Co

0.016 %

Ni

0.056 %

Fe

61 %

Ag

2g/t

Cu

0.02 %

Zn

0.003 %

Ni

0.003 %

-1838'
793 9500

-1838'
793 9500

1822D12_2

Cu

793 8000

793 8000

1822C24

606000

606500

607000

0.5 km
250

0
(meters)
WGS 84 / UTM zone 34S

250

607500

608000

608500

2201'
Total Magnetic Intensity
-127.7

Cu
Zn

-95.3 -88.7 -85.7 -83.1 -80.6 -77.9 -74.7 -70.9 -67.3 -62.2 -49.4

Ni

0.014 % 609500

609000
2202'
-9.3

0.014 %
0.02 %

610000

Cu

0.11 %

Zn

0.026 %

Ni

0.013 %

Summary: Metal projects

Magnetite Deposit
Intersections up to 140m
High % Fe; Low Contaminants
Elevated levels of Au, Co, V

Mwashya Seds
2.4% Cu
0.02% Ni
0.04% Zn
0.03% V

Sepupa
skarns
(IOCG)
40 ppm U
0.03 ppm Au
1.6 ppm Ag
0.4% Cu
0.06% Ni
0.17% Ce
0.09 ppm Au
61% Fe

MAB

47

Diamonds
MT data: Tsodilo PLs are on the edge of the Congo Craton
Basement ages of 2.6Ba: in several Tsodilos boreholes
Also the best kimberlites should be on thicker craton.

IMPROVED POTANTIAL

Diamonds: Kimberlite drilling

Targets

Nxau Nxau
Kimberlite cluster

49

Nxau Nxau cluster

50

Kimberlites K10 & K11; Target B7

K10 (B5):
14 microdiamonds
from 221kg

51

Uranium

Union Carbide
1980 Uranium Licences

Discovered significant radiometric U anomalies on main drainages

Water and drill samples of calcrete produced upto 100 ppm U

52

Uranium: Targets & Drilling results

U ppm/sample

U in metasediments

1980: Union Carbide

recovered 100 ppm U
in calcrete samples in
recent drainages
Palaeo-drainages:
U targets

53

Ngamiland projects
Base & Precious metals

Geology

Major

Xaudum Magnetic Fe Deposit

BIF Magnetite

Fe (Co, Ag)

Sepupa Skarns

Skarn complex: IOCG?

Cu (Ni, Au, Fe)

Mwashya Cu-Shales

Sedimentary stratiform copper

Cu (Co)

Diamonds

Geology

Major

K10 & K11

Kimberlite - evaluation

Diamonds

NW Ngamiland targets

Kimberlite - exploration

Diamonds

Uranium

Geology

Major

Secondary meta-sediments

Meta-pelites in shale basin

Secondary duricrusts

Valley calcretes

U
54

Tsodilo project
Exploration program over defined exploration targets
ITR

Xaudum Fe project
Sed. Copper project

Exploration

Sepupa Skarn project

Exploration

Kimberlite project

1st stage Eval

U project

Exploration

Q4 11
Drilling
Assay
HRG Magnetics
Ground Gravity

Q1 12

Q2 12

Q3 12

Q4 12

Q1 13

Q2 13

Q3 13

Q4 13

Summary
1. Three metal areas identified on Tsodilos PLs (14 900km):

Xaudium Magnetite BIF: Fe grades ~70% & anomalous Ag, Co, Mo, U, V. Belt 35 x 5km.
ITR by Q1 2013

Copper Belt-type mineralisation: stratabound Cu(Co) & (Ni) in meta-sediments. Belt

~90km long, 30 and 40km wide.

Sepupa Skarn-type: Demonstrated Cu-Fe-Au skarns associated with ~535 Ma intrusions

(IOCG)

2. Kimberlite exploration (7 300km) continuous with:

Evaluation of K10 & K11

Targets in the most northern licences

3. Uranium (7 000km) will focus on:

Duricrusts within the regional geomorphology

Neoprotorozoic mineralised Meta-sediments

56