Santa Fe Gold — Investor Presentation (January 2015)
29 slides from Santa Fe Gold's investor presentation, Jan 5, 2015
Slide 1: Management Presentation
SANTA FE MANAGEMENT PRESENTATION JANUARY 5, 2015
Slide 2: Cautionary Statement
CAUTIONARY STATEMENT This management presentation has been prepared by Santa Fe Gold Corporation ("Santa Fe” or the "Company"). This presentation contains forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements i
Slide 3: Introduction
INTRODUCTION PRIMARY PROJECTS: — THe SummMIT SilveR-GoLD PROJECT, a fully- permitted silver-gold mine and mill, located near Duncan, Arizona on the New Mexico- Arizona border; and - THE LorDssuRG CoppeR PROJECT, which consists of multiple square miles of patented and unpatented claims within the his
Slide 4: Strategic Objectives
STRATEGIC OBJECTIVES Santa Fe’s strategic objectives include: SiveR-GOLD OBJECTIVE: — To become a low-cost silver-gold producer by re- starting and operating the Summit mine and Lordsburg mill OBJECTIV - Advance with a strategic or financial partner our deep porphyry project; and —- Restart a permit
Slide 5: Addition of Chief Geologist with Extensive Porphyry Copper Experience to the Team
ADDITION OF CHIEF GEOLOGIST WITH EXTENSIVE PORPHYRY COPPER EXPERIENCE TO THE TEAM Jakes Jordaan, President & CEO, has over 25 years of experience in a wide array of corporate finance and strategic transactions. As a chief executive officer, lawyer, or an investment banker, he has been involved in th
Slide 6: The Lordsburg Copper Project
THE LORDSBURG COPPER PROJECT
Slide 7: Industry Overview: Copper Will Remain Supply Constrained and a Deficit Is Expected Beyond 2018
INDUSTRY OVERVIEW: COPPER WILL REMAIN SUPPLY CONSTRAINED AND A DEFICIT IS EXPECTED BEYOND 2018 ‘Strong consumption growth from Asia (ex-Japan) (copper semis, Mt) The outlook for copper demand remains compelling as we emerging economies transition to consumption-led ca a @ | growth a a | | * Chinese
Slide 8: The Lordsburg District Is Located at Intersection of the Santa Rita Lineament and Texas Lineament
THE LORDSBURG DISTRICT IS LOCATED AT INTERSECTION OF THE SANTA RITA LINEAMENT AND TEXAS LINEAMENT The Lordsburg District (LMD) lies southwest of the town of Lordsburg, about 17 miles east of the Arizona line. It occupies the low pyramidal hills that form the northern part of the Pyramid Mountains Re
Slide 9: Entrée Gold Previously Announced Discovery of an Adjacent Porphyry Copper Mineralization
ENTREE GOLD (NYSE MKT: EGI, TSX: ETG) PREVIOUSLY ANNOUNCED DISCOVERY OF AN ADJACENT PORPHYRY COPPER MINERALIZATION - Based upon Entrée Gold’s publicly announced drill results, porphyry style mineralization — was discovered adjacent to Santa Fe’s patented claims, which comprise most of the historic L
Slide 10: Increased Claim Position by Square Miles
INCREASED CLAIM POSITION BY + 9 SQUARE MILES TO + 13 SQUARE MILES ‘Santa Fe Gold Corp| Lordsburg Property December 2014 MANAGEMENT PRESENTATION SANTA FEC ORPORATION 10
Slide 11: The Magma-Resolution Porphyry Copper Model
THE MAGMA-RESOLUTION PORPHYRY COPPER MODEL: A NEW DIMENSION TO PORPHYRY CU EXPLORATION Joint venture between Rio Tinto and BHP Billiton Largest Cu deposit in world — reported inferred resource of 1.624 billion tonnes of ore of 1.47 percent copper and 0.037 percent molybdenum Amile underground Resolu
Slide 12: The Lordsburg Mining District: A Century of Robust Polymetallic Production
THE LORDSBURG MINING DISTRICT: A CENTURY OF ROBUST POLYMETALLIC PRODUCTION IS SUGGESTIVE OF A POTENTIAL DEEP PORPHYRY COPPER-GOLD DEPOSIT - The history of the LMD dates from 1854, when the area was first visited by Lt. J.G. Parke, who was exploring and surveying for a railroad route for the governme
Slide 13: Increasing Cu Grades at Depth
INCREASING CU GRADES AT DEPTH Eighty-Five Mine Historical Production - In 1974, Federal Resources drilled several Year Tons cute Auopt Agopt high-grade holes from the 2,000’ level of 1913-1920, 520,000, 3.00 40 30 the Bonney Mine 1920-1930 783,000 279 an 123 - Drill Hole 76 (noted), drilled from the
Slide 14: Classic Metal Zoning
CLASSIC METAL ZONING In a 1962 Cornell University publication, K. F. Clark mapped mineralogical zoning of mineralized veins ‘HCLESNMGS NMC EDU/PUB LICATIONS GUIDEBOOKS DOWNLCADS/ ane — Clark identified several zones from a copper rich core of chalcopyrite with tourmaline and specularite, grading out
Slide 15: Potential Mineralization at Depth Comparable to Resolution
POTENTIAL MINERALIZATION AT DEPTH COMPARABLE TO RESOLUTION = The extensive copper mineralization distributed both horizontally and vertically suggests the need for a source that would have the potential to produce the quantity of metal encountered in the district. Because the vein mineralization is
Slide 16: Mines Are Open at Depth
MINES ARE OPEN AT DEPTH Miser’s Chest Mine, for example, enjoys veins Miser Chest Mine 6% Cu Open with greater than 6% Cu, which are open at depth: - Presently, the Company is evaluating re- starting and operating the Miser Chest as high grade Cu producer Tordsburg Mining Tages ste Var seen SANTA FE
Slide 17: Commonalities with the Resolution Model
COMMONALITIES WITH THE RESOLUTION MODEL — CROSS SECTIONS THROUGH THE LORDSBURG DISTRICT SHOW PERMISSIBLE GEOMETRY BELOW AND LATERALLY FROM EXTENSIVE HIGH GRADE COPPER MINERALIZATION. The Resolution was essentially a blind ore discovery located by drilling laterally and down from the Magma mine worki
Slide 18: Projected Geological Cross Section
PROJECTED GEOLOGICAL CROSS SECTION Santa Fe Gold Corp. Fal Geological Cross Section zl Looking West ——— Lordsburg Mining District Hidalgo County, New Mexico Dee 2014 ‘THE COMPANY CAUTIONS THAT IT MAY NOT OBTAIN THE VRWIRGOR /SIMTLAVKERESITATSONS THE RESOLUTION PROJECT SANTA FE GOLD CORPORATION 18
Slide 19: Two Identified Targets: The Emerald and Pyramid
TWO IDENTIFIED TARGETS: THE EMERALD AND PYRAMID Santa Fe Gold Corp Lordsburg Property Geologic Cross Section December 2014 MANAGEMENT PRESENTATION
Slide 20: Factors Supportive of a World-Class Porphyry Copper Deposit
FACTORS SUPPORTIVE OF A WORLD-CLASS PORPHYRY COPPER DEPOSIT AT LORDSBURG FACTORS SUPPORTIVE OF A WORLD-CLASS PORPHYRY COPPER DEPOSIT, WHICH COULD MEET GRADE AND VOLUME MATRIX OF THE LEADING COPPER PRODUCERS, INCLUDE — Locarion. The Lordsburg District granodiorite is Laramide in age and lies within t
Slide 21: Next Steps: Geophysical Target Confirmation and Drill
NEXT STEPS: GEOPHYSICAL TARGET CONFIRMATION AND DRILL - Step 1: Complete digitizing, organizing, Resolution MT Inversion testing, and modeling of historic mine data and core analysis — Step 2: Geophysical targeting: Confirm target with magnetotelluric (MT) MT Inversion - Resolution, Arizona - Porphy
Slide 22: Summit Silver-Gold Project
SUMMIT SILVER-GOLD PROJECT
Slide 23: Summit Silver-Gold Project: Production Re-Start Ready
SUMMIT SILVER-GOLD PROJECT PRODUCTION RE-START READY = Summit isa high grade silver gold underground mine that achieved cammercial production in 2012 Because of operational challenged, the Summit mine was placed on “care-and-maintenance” — Average projected grade approaches 7.5 ounces per ton silver
Slide 24: Longitudinal Section of Summit Mine with Proposed Core Holes
LONGITUDINAL SECTION OF SUMMIT MINE WITH PROPOSED CORE HOLES TO UP- GRADE ORE BODY TO PROBABLE (INDICATED) CATEGORY - 68% of the Contained metal is hosted in main resource area — Drill hole spacing in the main portion of the deposit is currently about 60 meters (200') or more, and the main portion o
Slide 25: Generalized Development Plan for the Summit Mine
GENERALIZED DEVELOPMENT PLAN FOR THE SUMMIT MINE Santa Fe’s re-start strategy includes: - To avoid a repetition of the historic problems, the strategy is to engage a qualified mining contractor to do the development and mining going forward at the Summit mine - Although the mining work will be perfo
Slide 26: Lordsburg Mill
LORDSBURG MILL - The permitted flotation mill is a key asset. - The mill is suited for processing copper and other base metals as well as gold and silver ores. - Our strategy is to leverage high-grade production from the Cu at Lordsburg — Expansion of tailings pond required MANAGEMENT PRESENTATION N
Slide 27: Strategic Alternatives
STRATEGIC ALTERNATIVES
Slide 28: Strategic Alternatives Update
STRATEGIC ALTERNATIVES UPDATE PREPARATION PHASE © Completed digitizing and organizing historical data in electronic data room M Secured a sizable strategic claims package. © Preliminary discussions and site visits with some of the largest copper producers. © Preliminary discussions and site visits w
Slide 29: Contact
CONTACT: SANTA FE GOLD CORPORATION 1219 BANNER MINE ROAD, LORDSBURG, NM 88045 | TEL: 505-255-4882 | WWW. SANTAFEGOLDCORPR.COM