Scorpio Gold Corporation · TSXV:SGLD
Scorpio Gold — Investor Presentation (July 2016)
22 slides from Scorpio Gold's investor presentation, July 2016
Slide 1: Mining Nevada Gold
TSX-V: SGN OTC: SRCRF July 2016 Mining Nevada Gold 2016 Production Forecast: 30,000-35,000 oz. Gold [email protected] www.scorpiogold.com
Slide 2: Cautionary Statement
Cautionary Statement Forward Looking Statements: Except for the statements of historical fact, the information contained herein is of a forward-looking nature. Such forward- looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, perf
Slide 3: Investor Checklist
Investor Checklist Nevada – most attractive US jurisdiction for mining investment Open Pit & Heap Leach – low cost operation Total gold production at Mineral Ridge since 2012 exceeds 170K ounces All gold is unhedged Successful 2015-2016 exploration programs resulted in the discovery and up
Slide 4: Focused on Nevada
Focused on Nevada Mineral Ridge Operation Primary asset 70% interest In fifth year of commercial production 2015 production totalled 39,690 ounces gold at a total cash cost of US$781 per oz. gold sold 2016 production forecast is 30,000- 35,000 ounces gold at an estimated total cash cost of
Slide 5: Company History
Company History 2015 – Commenced mining of satellite deposits; January 2012 to June 2016 production at Mineral Ridge exceeds 170K oz. gold 2014 – Released updated Life of Mine Study incorporating satellite deposits; conducted batch testing of high-grade Mineral Ridge ore at Goldwedge mill 2013 – Reh
Slide 6: Mineral Ridge Property – 12,400 Acres
Mineral Ridge Property – 12,400 Acres TSX-V: SGN 6
Slide 7: Operations Area Deposits & Exploration Targets
Operations Area Deposits & Exploration Targets TSX-V: SGN 7
Slide 8: 2015 & 2016 YTD Production Highlights
2015 & 2016 YTD Production Highlights Total Q1 Q2 H1 Mineral Ridge 2015 2016 2016 2016 Mining Operations Producing pits Ore tonnes mined 892,704 250,124 178,288 428,412 Waste tonnes mined 4,784,507 930,086 1,059,117 1,989,203 Total mined 5,677,211 1,180,210 1,237,405 2,417,615 Strip ratio 5.4 3.7 5.
Slide 9: Quarterly Production by Metal & Cost
Quarterly Production by Metal & Cost 14,000 $1,000 12,000 10,000 $900 8,000 6,000 $800 4,000 2,000 0 $700 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2012 2012 2012 2012 2013 2013 2013 2013 2014 2014 2014 2014 2015 2015 2015 2015 2016 2016 Oz. US$ Gold oz. produced Silver oz. produced Tota
Slide 10: Processing
Processing 974,346 903,337 891,997 1,000,000 650,785 High capacity carbon column 800,000 527,138 commissioned in 2014 600,000 400,000 200,000 0 2012 2013 2014 2015 H1 2016 Tonnes Processed Custom designed crushing facility commissioned in 2013 TSX-V: SGN 10
Slide 11: 2015 & 2016 YTD Financial Highlights
2015 & 2016 YTD Financial Highlights Q1 Q2 Q3 Q4 Total Q1 Financial results 2015 2015 2015 2015 2015 2016 Revenue (000’s) $12,343 $12,083 $9,333 $10,828 $44,587 $9,428 Mine operating earnings (000’s) $2,055 $2,418 $1,766 $1,452 $7,691 $1,865 Net (loss) earnings (000’s) $755 $1,747 $(15,823) $(4,665)
Slide 12: Mineral Ridge Drilling 2010–2016
Mineral Ridge Drilling 2010–2016 Annual Drilling (feet) including Percent Footage Drilled with Grade >0.01 OPT Gold 12.0% 200,000 211,547 160,000 8.0% 145,644 % Footage Footage 120,000 Drilled Drilled with Grade >0.01 OPT Au* 80,000 84,960 4.0% 78,325 60,745 65,020 40,000 12,455 - 0.0% 2010 2011 201
Slide 13: 2015-2016 Exploration Drilling
2015-2016 Exploration Drilling Solberry Drinkwater Bluelite Oromonte Wedge Mary & Mary LC NW Brodie Trend Custer Brodie Defiance Select highlights from drilling on the Oromonte and Custer deposits – potentially slated for open pit production in 2017, pending permitting: Oromonte Deposit Custer Targe
Slide 14: Goldwedge Property (on care & maintenance)
Goldwedge Property (on care & maintenance) • Located within the Manhattan Mining District, 50 km north-northeast of Tonopah • Situated on the southern periphery of the Manhattan Caldera, approximately 16 km south of the +10 M oz. Round Mountain Mine • Fully permitted/bonded underground mine with ove
Slide 15: Goldwedge Mine – Manhattan District
Goldwedge Mine – Manhattan District Round Mountain +10 million oz. gold Manhattan Caldera Manhattan District 566K oz. gold TSX-V: SGN 15
Slide 16: Manhattan District, Nevada
Manhattan District, Nevada 0 1 km Goldwedge Mine Reliance Mine Manhattan Mine East & West Pits • The Manhattan District dates back to the 19th century. • Combined underground and placer mining estimated at 566K oz. gold. • The Reliance Mine produced an estimated 59,108 tons at a Jumbo Pit recovered
Slide 17: Goldwedge – Exploration Drilling
Goldwedge – Exploration Drilling Four oriented surface core holes drilled in 2014: • Provided new information on styles and structural controls to mineralization • Updated geological model to guide next phase of surface and underground drilling. 2015 underground drilling program completed: • 4,695 f
Slide 18: Goldwedge Mill Facility
Goldwedge Mill Facility • Scorpio Gold completed extensive refurbishment and modifications to the 400 tpd Goldwedge plant and surrounding infrastructure in 2013 • Batch processing of high-grade ore from Mineral Ridge was undertaken in 2014 to optimize the milling circuit for recovery of coarse gold
Slide 19: Senior Management
Corporate and Operations Management Peter Hawley, BEng, BSc, PGeo – President & CEO 30+ years’ experience including founder, former CEO and Chairman of Scorpio Mining Corporation (renamed Americas Silver Corporation). Proven track record in company and mine building and highly experienced in corpo
Slide 20: Summary
Summary • Excellent safety record and compliance with all environmental permits and regulations • Highly experienced management and operations team • Focused on mining and exploration in Nevada • Strong operating performance at Mineral Ridge with 170,327 oz. gold and 75,016 oz. silver produced since
Slide 21: Share Structure & 12 Month Stock History
Share Structure & 12 Month Stock History Shares • 124.9 M Outstanding Options1 • 10.2 M Market Cap2 • C$12.5 M Working Capital3 • US$8.0 M 1 As of March 31, 2016; avg. C$0.49 2 At C$0.10 share price 3 As of March 31, 2016 TSX-V: SGN 21
Slide 22: Contact
Contact [email protected] (819) 825-7618 w w w. s cor piog old.com TSX-V: SGN 22