Dynacor Group Inc · TSX:DNG
Dynacor — Investor Presentation (March 2021)
22 slides from Dynacor's investor presentation, March 2021
Slide 1: Corporate Presentation March 2021
Corporate Presentation March 2021
Slide 2: Forward-looking statements
• This presentation contains certain forward-looking statements regarding operational information, future exploration and development plans and anticipated future production. Words such as, potential”, “building” “inferred”, “if”, “will”, “expect”, “forecast”, “estimate”, “consider”, “may”, “possibl
Slide 3: About Dynacor
dynacor.com About Dynacor • An industrial gold ore processor • Committed to shareholder returns through monthly dividend stream and stock buyback program • Engaged in metal sales through the processing of ore purchased from the ASM (artisanal small-scale mining) industry • Environmentally and social
Slide 4: Working towards 10th Consecutive Year of Profit
dynacor.com Working towards 10th Consecutive Year of Profit • Plans to leverage 22 plus years of expertise and expand business model globally • Strategic partnership with Swiss based refiner, PX Precinox | PX GROUP • *Strong balance sheet with no debt and US$16.6 million (C$22.1 million) in cash res
Slide 5: Our Business Cycle of Success
dynacor.com Our Business Cycle of Success 5
Slide 6: Stability Fosters New and Significant Growth Stage in 2021
Stability Fosters New and dynacor.com Significant Growth Stage in 2021 400 350 300 250 TPD 200 150 100 C-19 Disruption 50 0 2016 2017 2018 2019 2020 2021E Average Daily Throughput Linear (Average Daily Throughput ) 6 1. Calculated at 335 operating days for the year
Slide 7: Gold Price Sensitivity – 2021 Financial Guidance
dynacor.com Gold Price Sensitivity – 2021 Financial Guidance Change in Average Gold Price% Average Gold Price US$ oz Sales Guidance US$ (C$) (Millions) Earnings Per Share US$ (C$) -30 1295 105 (134) 0.12 (0.16) -25 1388 112 (143) 0.13 (0.17) -20 1480 120 (153) 0.14 (0.18) -15 1573 127 (162) 0.15 (0.
Slide 8: Financially Solid & Committed to Shareholder Returns
Financially Solid & Committed to Shareholder Returns In 2019, Dynacor declared an increase in the quarterly dividend payment by 50% dynacor.com The dividend policy is a key component to Dynacor’s strategy to return cash to shareholders. FEB 2021 - DYNACOR CUMULATIVE DIVIDENDS PAID ANNOUNCES CHANGE T
Slide 9: Earnings Per Share Correlation to Gold Price
dynacor.com Earnings Per Share Correlation to Gold Price Earnings per share $0.30 (US$) correlation to gold price (US/oz) $0.25 0.25 2011-2019 $0.20 EPS (US$) First year of $0.15 profit stream 2011 $0.10 0.10 $0.05 $1,000 $1,100 $1,200 $1,300 $1,400 $1,500 $1,600 $1,700 $1,800 Gold Price (US/oz) 9
Slide 10: A Proven Leader in Corporate Social Responsibility
A Proven Leader in Corporate Social Responsibility • Funding, participating and developing the ASM’s (artisanal small-scale mining) communities’ education, health and social services through our PX IMPACT® certified clean gold program • The impact of Dynacor’s activities and the well-being of artisa
Slide 11: Dynacor's PX IMPACT Clean Gold Program
Dynacor’s PX IMPACT® Clean Gold Program • Environmental, social and ethical practices that respect human rights are an integral part of the PX IMPACT® clean gold program • An investment premium paid by PX Precinox customers on the PX IMPACT® clean gold program • A lasting & positive contribution to
Slide 12: Fine Luxury Watchmakers Pay A Premium for Certified Clean Gold
Fine Luxury Watchmakers Pay A Premium For Certified Clean Gold from Dynacor’s PX IMPACT® • Dynacor’s PX IMPACT® buyers are willing to pay for the guarantee of our gold’s traceability and purity in the form of a purchase premium • This business to business approach in the gold supply chain is the fir
Slide 13: Gold Pouring Operations in Peru since 1998
dynacor.com Gold Pouring Operations in Peru since 1998 2016 Ore-Processing Expansion Overview ❑ USD 16 million CAPEX ❑ New and modern 300 TPD (tonnes per day) plant opened in 2016 ❑ Designed for up to 600 TPD expansion ❑ CIP (carbon-in-pulp) circuit includes weighing, assaying, crushing and milling
Slide 14: EPS History (C$)
dynacor.com EPS History (C$) 0.22 0.26 0.19 0.16 0.17 0.10 0.12 0.12 0.13 2011 2012 2013 2014 2015 2016 2017 2018 2019 14
Slide 15: The Gold Average Selling Price Picture
dynacor.com The Gold Average Selling Price Picture $1,800 $1,700 $1,715 $1,600 $1,500 $1,400 $1,392 $1,300 $1,262 $1,244 $1,249 $1,200 $1,157 $1,100 $1,000 2015 2016 2017 2018 2019 2020 (9 Months) USD Per oz Linear (USD Per oz) 15
Slide 16: 2021 Upshifting To International Status
2021 Upshifting To dynacor.com International Status SENEGAL: Partnership with sovereign fund and mill manufacturer PERU: Main operations with approximately 80,000 ounces of gold production per year. Plans to expand 16
Slide 17: Senegal's ASM Industry Rapidly Gaining Ground
dynacor.com Senegal’s ASM Industry Rapidly Gaining Ground • Senegal, with a high-growth economy of 6%, is one of Africa’s most stable and gold-rich countries hosting upwards of 10,000 ASMs • Mining in Senegal at the artisanal level started in the Sabodala area in the 1960s, but it took place more ex
Slide 18: Other Assets (Exploration Properties)
dynacor.com Other Assets (Exploration Properties) 1) Tumipampa (South Central Peru) • Advanced stage exploration property • Agreement with ASM mining crew and ore deliveries to Veta Dorada ore processing plant • Awaiting community approval to commence drilling The first phase of twelve (12) drill ho
Slide 19: Tumipampa ASM Agreement
• TUMIPAMPA ASM AGREEMENT • Artisanal miners extracting mineralized material from a 71-meter long raise averaging 21.109 g/t Au directly above the Manto Dorado • As part of the working plan, Dynacor purchases the mineralized material from the artisanal miners which is then processed at its Veta Dora
Slide 20: Tumipampa Drill Program
ON TARGET TO UNLOCK AND MAXIMIZE TUMIPAMPA’S ORE BODY POTENTIAL THROUGH THE DRILL BIT Tumipampa Drill Program ~ Priority 1 Targets (Disseminated Zone) Breccia Sumac: The positive geophysical and surface channel results have defined six (6) shallow high priority drill targets on the Breccia Sumac. Th
Slide 21: Corporate Snapshot Q3-2020
Corporate dynacor.com Snapshot Market Summary Q3-2020 Stock Price (Q3-2020: VWAP) C$2.16 Ticker Symbol DNG – TSX DNGDF OTC Shares Outstanding (Basic) 39M Warrants Nil Quarterly Dividend C$0.015 Dividend Yield 3% Insider Ownership (As of August 31, 2020) 8% Capital Structure Market Capitalization C$8
Slide 22: Dynacor Gold Mines Inc.
DYNACOR Gold Mines Inc. Head Office 625 René-Lévesque Blvd West, Suite 1200 Montreal (Quebec) H3B 1R2 CANADA [email protected] 514.393.9000 #230