Carpentaria Exploration Limited
Investor Relations

The Challenge:

Carpentaria Exploration Limited (ASX:CAP) began its public company life in November 2007 as one of some 800 ASX-listed resources companies, competing for attention in a crowded market. Named after MIM Holding's former exploration unit, the Brisbane-based company stated its focus as discovering and mining gold, base metals, uranium and bulk commodities in eastern Australia.

Just months after its successful $7.5 million IPO, Carpentaria and the rest of the sector faced the impact of the global financial crisis (GFC), which created an extremely tough environment for generating funding and investor support. Yet despite the GFC, Carpentaria continued exploration activity and was rewarded with the discovery of its flagship Hawsons Iron Project near Broken Hill, one of the biggest new magnetite resources in Australia.

In December 2008, CAP commissioned BWH to launch an integrated investor and media relations campaign, with a focus on growing market value, strengthening shareholder support and increasing awareness among key stakeholders, on a limited budget.
Two years later, the company had joined the ranks of Queensland's top 100 public companies, with a market value topping $80 million. In 2011, BWH and CAP were commended for their efforts with the winning of the top investor relations awards at both the state and national level by the Public Relations Institute of Australia (PRIA).

Communication Initiatives:

• Initial research, including a media audit, review of share trading activity and investor feedback, was conducted to assess awareness of CAP prior to the launch of the campaign in 2009. The research showed a low level of awareness among media or investors, with minimal shareholder enquiries. Following discussion with company management on priority areas, a strategic communications plan was developed by BWH, supported by ongoing media and investor monitoring and the development of select media and stockbroker targets. BWH aimed to differentiate CAP from its competitors through the positioning of the company as an active and aggressive explorer that delivers results (company slogan: "We find it. We prove it. We make it possible").
• BWH's media relations campaign identified and targeted relevant publications, including financial, industry, national, newswires and local media. Meetings were organised with select journalists across Australia, and media training conducted of key company spokespeople. Company announcements and other communication was aligned with key messages and tailored to reach specific audiences. A site visit to Broken Hill in October 2010 was used to develop a company video and improve awareness among the local community of CAP's operations.
• CAP's profile among investors was strengthened due to the media campaign, investor meetings and through its introduction to select stockbrokers focused on minerals explorers. ASX announcements were reviewed for ease of understanding, with highlights placed on the first page and technical details explained. A new presentation template was developed and presentation messages reviewed to ensure consistency and clarity of key messages. Further feedback was obtained from industry events and conferences, in addition to monitoring popular investor websites.
• Finally, a social media strategy was developed to further raise awareness of CAP among internet-aware investors and other stakeholders. Operating in tandem with existing communication activities, social media channels including YouTube, Twitter and Facebook as well as company blogs and its website have been utilised to further engage with and broaden CAP's audience.

Outcome:

• CAP's market capitalisation has grown substantially, reaching a peak of $85 million in December 2010 and placing it among Queensland's top 100 public companies.
• A takeover bid for the company announced in July 2010 was withdrawn shortly afterwards, with the subsequent rally in CAP's share price reflecting confidence in the Board's strategy.
• Shareholder and broker support increased, including backing from RBS Morgans Edward St, Brisbane and other resource brokers. Average daily turnover on ASX showing a 13-fold rise from 2008 to 2010, indicated increased investor interest.
• Media coverage increased substantially, with reports from publications including the Australian Financial Review, the Australian, the Age, Sky News Business TV, ABC Broken Hill radio, resources industry media such as MiningNews and other relevant local media including the Barrier Daily Truth (Broken Hill).
• Launched in March 2011, CAP gained a positive online presence on YouTube, Facebook and Twitter, supported by its company blog and website. As of May 2011, CAP's 14 YouTube videos had received 2,704 views, with a growing number of Twitter and Facebook followers.