Montage Gold Corp. · TSX:MAU
Montage Gold — Investor Presentation (February 2024)
36 slides from Montage Gold's investor presentation, February 2024
Slide 1: Corporate Presentation February 2024
TSX.V MAU OTCQX MAUTF montagegoldcorp.com CORPORATE PRESENTATION FEBRUARY 2024
Slide 2: About Montage / Forward-Looking Information
ABOUT MONTAGE Montage Gold Corp. (“Montage” or the “Company”) is a Canadian-based precious metals exploration and development company focused on opportunities in Côte d’Ivoire. The Company’s flagship property is the Koné Gold Project, located in northwest Côte d’Ivoire, which currently hosts a Proba
Slide 3: Forward-Looking Information Continued
FORWARD-LOOKING INFORMATION CONTINUED In addition, Montage faces the following risks: that Perseus Mining Limited exercises significant control over Montage; that price volatility of publicly traded securities may impact returns to and investor; that foreign investments and operations are risky; tha
Slide 4: A New Gold District in Côte d'Ivoire
CORPORATE PRESENTATION 4 A New Gold District in Côte d’Ivoire Updated Feasibility Delivers Robust Results • $1.1B NPV5% with 31% IRR and $998/oz AISC • Peak production of 378,000 oz (year 3) • 4Moz Probable Mineral Reserve • Gbongogo Main provides significant boost to economics 2,259km2 Land Package
Slide 5: An Ideal Location for a Gold Project
CORPORATE PRESENTATION 5 An Ideal Location for a Gold Project A Growing Gold 8 gold mines in production Industry in Côte (2023E Production of +1Moz) d’Ivoire 2 new mines in 2023; next mine to start in 2024 Strong government support Most Prospective Under explored Country in West Highly pro
Slide 6: Koné Gold Project Updated DFS Highlights
CORPORATE PRESENTATION 6 Koné Gold Project Updated DFS Highlights – January 2024 After-Tax NPV 5% After-Tax IRR Payback $1,089 Million 31% 2.6 $1,850 per ounce Base Case $1,850 per ounce Base Case Years Total Gold Production Production (Yrs.1-3) Peak Production 3.57 Moz 349,000 oz 378,000 oz LOM Ave
Slide 7: Simplicity & Scale
CORPORATE PRESENTATION 7 Large scale, Soft-rock Simplicity & Scale Low strip of simple orebody 1.18:1 lower power LOM economies of scale requirements 300m STRIP RATIO BOND INDEX Montage: Koné 1.18 Toubani: Kobada 5.7 Perseus: Meyas 1.5 Montage: Koné 10.7 WAF: Kiaka WAF:… 1.8 Perseus: Meyas 11.6 Shan
Slide 8: Significant Production Leverage to Gold Price at Low Cost
CORPORATE PRESENTATION 8 Significant Production Leverage to gold price at Low Cost + 10% in gold price +34% to NPV Gold Production AISC After-Tax NPV (5%) After-Tax IRR Large Scale 400 378 $1,400 $1,800 45% Production 39% 350 $1,600 40% 333 334 $1,200 322 35% Robust Base 300 284 $1,400 31% 35% LOM A
Slide 9: Unparalleled Exploration Upside
CORPORATE PRESENTATION 9 Unparalleled Exploration Upside The Largest Gold Project Area in West Africa Planned haul road 2,259km2 total opens up 40km land package corridor ~$9/t process cost Targeting open pit means wider range satellites with for trucking satellite ~1.5g/t near surface ore Gbongogo
Slide 10: Koné Gold Project Overview
Koné Gold Project Overview
Slide 11: Location & Access
CORPORATE PRESENTATION KONÉ GOLD PROJECT 11 Location & Access 350km 600km northwest of northwest of Abidjan Yamoussoukro Abundant water Paved highway Grid power resources direct to project within 20km
Slide 12: Project Layout
CORPORATE PRESENTATION KONÉ GOLD PROJECT 12 Project Layout Water Grid power In-pit tailings pipeline streamlines disposal to run alongside permitting & after year 8 the haul road reduces mitigates risk sustaining capital MAGNIFIED VIEW
Slide 13: Optimizing in a Rising Cost Environment
CORPORATE PRESENTATION KONÉ GOLD PROJECT 13 Optimizing in a Rising $712M Upfront Capital $126M Reduction in Sustaining Opportunities Identified to Cost Environment Capital Further Optimize UFS Gold Production OPERATING COSTS UFS 2022 DFS CHANGE 2022 DFS Gold Production Mining Cost $/t, mined $3.22 $
Slide 14: Robust Cash Flows and Fast Payback
CORPORATE PRESENTATION KONÉ GOLD PROJECT 14 Robust Cash Flows and Fast Payback Free Cash Flow ($1,850/oz) Incremental Free Cash Flow at Spot ($2,050/oz) 2.6 Year $2.4 Billion Payback at $1,850 LOM Free Cash Flow $400 gold price at $1,850 gold price $354 $350 $336 $316 $300 $277 $305 $250 $275 $239 $
Slide 15: Confidence & Conservatism
CORPORATE PRESENTATION KONÉ GOLD PROJECT 15 Confidence & Conservatism Lycopodium has been working on the Koné Gold Project since 2018 They have completed DFS and acted as EPCM contractor on 95% of gold mines in West Africa in the last 10 years RECENT LYCOPODIUM PROJECTS IN WEST AFRICA 75% of builds
Slide 16: Gbongogo Main has high-grade impact
CORPORATE PRESENTATION KONÉ GOLD PROJECT 16 Gbongogo Main SE Oxide has high-grade Fresh Rock impact • Adds Probable Reserves of 10.7Mt at 1.43 g/t to Koné Gold Project • Represents 428koz of production in first 3 years • Only 18,000m of drilling to define • 38km haul to KGP plant • Substantial impac
Slide 17: Satellite Economics
CORPORATE PRESENTATION KONÉ GOLD PROJECT 17 GBONGOGO MAIN PRE-TAX CASH FLOW ANALYSIS Satellite Production 428koz Grade 1.43 Strip 3.77 Trucking $0.17 / tonne Economics 10.7Mt of ore g/t waste: ore per kilometre Operating Costs Low process cost is key advantage for KGP ($8.94/t average LOM) $900 $800
Slide 18: Diouma-Gbongogo-Korotou Shear
CORPORATE PRESENTATION KONÉ GOLD PROJECT 18 Diouma-Gbongogo- Korotou Shear 15km Shear Zone Multiple target areas Haul road reaches Gbongogo Main Drilling to start in January Diouma North has potential as next satellite deposit
Slide 19: Diouma North
CORPORATE PRESENTATION KONÉ GOLD PROJECT 19 Diouma North • New discovery by Montage in early 2023 • 2km south of Gbongogo Main; on trend • <500m from haul road • 200m x 100m quartz diorite intrusive, similar to Gbongogo Main • Follow-up core program planned HOLE FROM (M) TO (M) LENGTH (M) AU (M) 24
Slide 20: Petit Yao
CORPORATE PRESENTATION KONÉ GOLD PROJECT 20 Petit Yao • New discovery by Montage in late 2019 • 7km east of Koné deposit • <3km southeast of haul road • Interpreted strike of 900m • Majority not yet drill tested Plan View • Drill program to start in Q1 HOLE FROM (M) TO (M) LENGTH (M) AU (M) MRCAC128
Slide 21: Key to Success: Systematic Exploration
CORPORATE PRESENTATION KONÉ GOLD PROJECT 21 Key to Success: Systematic Exploration 2,259km2 Land Package • Largest gold project by land area in West Africa • Over 150km of mineralized structures Set to become the largest gold mine in Côte d’Ivoire Exploration is Transformational • Over 20 exploratio
Slide 22: KGP Development Timetable
CORPORATE PRESENTATION KONÉ GOLD PROJECT 22 KGP Development Timetable 2024 2025 2026 2027 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 District Exploration Project Financing Permitting / RAP Detailed Engineering Early Civil Works Construction Plant & Infrastructure Commissioning Ramp Up
Slide 23: The Next 12 Months
CORPORATE PRESENTATION KONÉ GOLD PROJECT 23 The Next 12 Months Discover to Build Satellite Exploration The Core of a New • Re-starting in Q1 District 2,259km2 Land Package • Priority Targets: Diouma North and Petit Yao Environmental Validation Probable Reserves • Approval expected in Q1 of +4Moz Pro
Slide 24: Corporate Overview
Corporate Overview
Slide 25: Leadership Team
CORPORATE PRESENTATION 25 Leadership Team RICK CLARK HUGH STUART ADAM SPENCER GLENN KONDO KEVIN ROSS MIKE ROBINSON JOSEPH TANO Chief Executive Officer President | B.Sc (Hons), EVP Corp. Development CFO | CPA, CA COO | Eur Ing, MBA, Côte d'Ivoire, Country General Manager, M.Sc, FGS, CGeol | CFA MIMMM
Slide 26: Strong Shareholder Backing
CORPORATE PRESENTATION 26 Strong Shareholder Backing CAPITALIZATION Basic Shares Outstanding 185,345,916 Options Outstanding1 9,505,000 RSUs and DSUs 1,793,616 Fully-Diluted Shares Outstanding 196,644,532 OWNERSHIP 17.8% Close Price (TSXV:MAU) Feb. 2, 2024 C$0.72 Basic Market Cap C$133.4M / US$98.9M
Slide 27: Relative Performance
CORPORATE PRESENTATION 27 Relative Performance PRICE & VOLUME ANALYSIS Volume Share Price (US$) Montage has tracked the GDXJ since Going Public Gold Price (US$/oz) (Indexed) GDXJ (US$) (Indexed) 23-Oct-20: 27-Mar-23: Montage completes $1.20 Montage discovers high- 3.0 $34.5M IPO on TSXV grade at Yer
Slide 28: Valuation Benchmarks
CORPORATE PRESENTATION 28 Valuation Benchmarks Montage trades at a discount to its developer peers on a P / NAV basis; Opportunity for material re-rate as KGP is advanced towards 0.61x production 0.45x 0.36x DEVELOPER PEER MEDIAN: 0.24X 0.24x 0.14x 0.13x DEVELOPER P / NAV (RATIO) 0.04x 0.01x G Minin
Slide 29: Route to Re-Rate
CORPORATE PRESENTATION 29 Route to Re-Rate Strong re-rate potential as Montage advances towards commercial production SHARE PRICE APPRECIATION 24 MONTHS BEFORE COMMERCIAL PRODUCTION (%) 400% 278% Atlantic 1 350% 241% Orla 2 161% Victoria 3 300% 113% Average 250% 111% Lundin Gold 4 200% 90% Thor 5 15
Slide 30: Sustainability
Sustainability
Slide 31: Local Impact & Community Relations
CORPORATE PRESENTATION 31 Local Impact & Community Relations Montage Gold is backed by strong community support from • Water wells in Fadiadougou, Batogo, Gbongogo and the surrounding villages of Fadiadougou, Batogo and Manabri. Dolourogokaha In addition to being the largest employer in the area, Mo
Slide 32: Appendix
TSX.V MAU OTCQX MAUTF montagegoldcorp.com Appendix CORPORATE PRESENTATION
Slide 33: Capital Cost & Operating Cost Breakdown
CORPORATE PRESENTATION 33 Capital Cost & Operating Cost Breakdown LIFE-OF-MINE Resettlement Grid Connection CASH COST & AISC $T/PROCESSED $/PAYABLE OZ $9.4 Camp & Other $26.1 $9.8 Mining $6.68 $326 Infrastructure $26.5 Trucking $0.39 $19 Haul Road Processing $8.35 $408 $27.4 Rehandle $0.58 $28 EPCM
Slide 34: Mineral Reserves and Resources
CORPORATE PRESENTATION 34 Mineral Reserves and Resources KONÉ – JANUARY 2024 MINERAL RESERVE ESTIMATE OXIDE TRANSITION FRESH TOTAL PIT CLASSIFICATION MT AU G/T AU MOZ MT AU G/T AU MOZ MT AU G/T AU MOZ MT AU G/T AU MOZ South Pit Probable 9.6 0.58 0.18 7.0 0.60 0.13 145.3 0.67 3.18 161.9 0.67 3.49 Nor
Slide 35: Disclosure Regarding Mineral Reserves and Resources
CORPORATE PRESENTATION 35 Disclosure Regarding Mineral Reserves and Resources JANUARY 2024 DECEMBER 2023 DECEMBER 2023 MINERAL RESERVE ESTIMATE KONÉ MINERAL RESOURCE ESTIMATE GBONGOGO MAIN MINERAL RESOURCE ESTIMATE • The Mineral Reserves are classified according to the “CIM” • Indicated Mineral Reso
Slide 36: Rick Clark, Hugh Stuart, Adam Spencer
TSX.V MAU OTCQX MAUTF montagegoldcorp.com Rick Clark Chief Executive Officer [email protected] Hugh Stuart President [email protected] Adam Spencer EVP Corporate Development [email protected] CORPORATE PRESENTATION