Majestic Gold Corp. · TSXV:MJS
Majestic Gold — Investor Presentation (February 2016)
25 slides from Majestic Gold's investor presentation, February 2016
Slide 1: Gold Production in Shandong Province, China
MJS: TSX-V A0BK1D: FSE January 2016 GOLD PRODUCTION IN SHANDONG PROVINCE, CHINA
Slide 2: Cautionary Statement
Cautionary Statement Disclaimer MAJESTIC GOLD CORP. (“Majestic” or “the Company”), has taken all reasonable care in producing and publishing information contained on this presentation, and will endeavor to do so regularly. Material on this presentation may still contain technical or other inaccuraci
Slide 3: Cautionary Statement
Cautionary Statement Disclaimer PRODUCTION DISCLAIMER: The Company’s production decision was not based on a feasibility study of mineral reserves demonstrating economic and technical viability. The Company’s production decision was made based on the open pit optimization resource model set out in th
Slide 4: Management Team
Management Team JOHN CAMPBELL – Lead Director DIRECTORS AND MANAGEMENT • Mr. Campbell holds a law degree from the University of British Columbia (1960), and practiced law full time from 1970 to 1985, specializing in resource and GENGSHU MIAO – Chairman securities law. Mr. Campbell has managed a numb
Slide 5: Opportunity in China
OPPORTUNITY IN CHINA • China became the largest producer of gold in the world in 2007 and the largest consumer of gold in 2013 • Domestic demand for gold far greater than domestic supply • Consistent economic growth in China and India drives demand • Stable political and investment climate • Large,
Slide 6: Songjiagou Project Location
Songjiagou Project Location • Majestic’s Songjiagou Mine is located in Muping County on the Jiaodong Peninsula, Shandong Province Shandong is the historic heartland of China’s gold mining industry Shandong produces 25% of China’s annual gold production • Majestic Gold holds 75% (70.5% net) inter
Slide 7: Geology of Project Area
Geology of Project Area • Songjiagou is a mesothermal deposit hosted in a conglomerate in the Laiyang Group Linsishian formation • Mineralization occurs in veins, disseminations, and in stockworks and is visually indistinguishable from wall rocks 7 from SRK Report, August 2013
Slide 8: Project Resource and Economics
Project Resource and Economics • SRK Consulting (China) Ltd. updated resource calculation in January 2013 • Based on a database of 20,836 samples from: 46 surface trenches 77 surface drill holes 104 underground samples (channel samples and drill holes) NI 43-101 Compliant Resource Estimate wit
Slide 9: Preliminary Economic Assessment
Preliminary Economic Assessment • Completed by SRK Consulting (China) Ltd. (“SRK”) in August 2013, amended in January 2016 • Multiple based on current market capitalization of approximately US$71.4 M • Base Case NPV’s based on SRK’s 2013 in-Pit Indicated Resource only, within the original Mining Lic
Slide 10: Milestones 2010 - Present
Milestones 2010 - Present Revised ownership from 60% to 75% (70.5% net) in 2010 Raised $75 million – most recently $35.5 million completed in June 2012 Original Resource - NI 43-101 by Wardrop in October 2010 – revised by SRK in August 2013 Original PEA by Wardrop in March, 2011 – revised by
Slide 11: 2015/2016 Focus: Implementation of Optimization Program to Increase Grade
2015/2016 Focus: Implementation of Optimization Program to Increase Grade • Revised mining/milling contract provides Majestic with control over mine design, planning, and direction of mining activity, including the disposal of waste material • More accurate 3D Laser Survey of entire area completed,
Slide 12: Revised Topographic Map of Songjiagou and surrounding area
Revised Topographic Map of Songjiagou and surrounding area 12
Slide 13: Au Grade Distribution
a MSS) Gold Corp, Au Grade Distribution | ° 4111100 N 621300 E uw = N oS Section Line 36 — 4110900 N 4110500 N — AuCap <0.3 >=0.3 >=0.5 >=1.0 — | 13
Slide 14: Au Grade Distribution
pm, Majestic Gold Comp, Section Line 36 — 200 200 — Case 1: ino Limit with mining Case 4: yg license(+9m ASL) Case 2: No Limit Limit with mining license(-39m ASL) Case 3: Limit with mining — -200 license(-400m ASL) -299 — ; AuCap <0.3 >=0.3 — -300 >=0.5 >=1.0 14
Slide 15: Capital Structure February 2016
Capital Structure February 2016 Shares Issued: 839,765,216 Toronto Stock Exchange TSX-V MJS Options: 48,200,000 Recent Share Price CAD$ 0.085 52-week low-high CAD$ 0.035-0.12 Fully Diluted: 887,965,216 Market Cap.: CAD$ 71.38M Cash Position : USD$ 7.6M Frankfurt Stock Exchange A0BK1D (as of February
Slide 16: Summary
Summary • Large NI 43-101 gold in-pit gold resource with room for expansion • In production with approvals in place to increase size of open pit within larger Mining License • Plans for 2016: Continue implementation of grade control program Increase capacity of on-site assay lab Continue build
Slide 17: Contact Information
Contact Information Head Office: Majestic Gold Corp. 306 – 1688 152nd Street Surrey, British Columbia Canada V4A 4N2 Telephone +1 (604) 560-9060 Fax +1 (604) 560-9062 Website www.majesticgold.com E-mail [email protected] 17
Slide 18: Open Pit Operations
Open Pit Open Pit Operations 18
Slide 19: Mill Pictures: Crushers & Conveyors to Main Mill
Mill Pictures Crushers & Conveyors to Main Mill 19
Slide 20: Inside the Mill: Ball Mill in operation
Inside the Mill Ball Mill in operation 20
Slide 21: Inside the Mill: Coarse Crush returning to Ball Mill
Inside the Mill Coarse Crush returning to Ball Mill 21
Slide 22: Inside the Mill: Mixer in operation
Inside the Mill Mixer in operation 22
Slide 23: Inside the Mill: Floatation Cells
Inside the Mill Floatation Cells skimming off Gold Concentrate 23
Slide 24: Inside the Mill: Gold Concentrate
Inside the Mill Gold Concentrate after moisture reduction Ready to ship to the Smelter 24
Slide 25: Tailings Pond
Tailings Pond Water recycling reservoir below tailings dam (zero discharge) 25
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