Gabriel Resources Ltd. · TSXV:GBU
Gabriel Resources — Investor Presentation (September 2011)
40 slides from Gabriel Resources's investor presentation, September 2011
Slide 1: Gabriel
GABRIEL Feop'a@) Mo Jord IN PARTNERS HIP
Slide 2: Legal Notice
Legal Notice The summary information contained herein has been provided by Gabriel Resources Limited (the “Company”) in respect of its Rosia Montana Gold Project (the “Project”). The Project is wholly owned by the Company’s subsidiary Rosia Montana Gold Corporation S.A. (“RMGC”) in which the Company
Slide 3: Contents
Contents Gabriel Resources – overview Romania and the Rosia Montana Project Environment Patrimony Local Community Summary 3
Slide 4: Investment Summary
Investment Summary Romanian gold project Project is one of the largest undeveloped gold and silver deposits in the world 14.6m oz Au resource M&I (+1.2m Inferred), 64m oz Ag resource M&I; Resources/Reserves1 10.1m oz Au reserve 2P, 47.6m oz Ag reserve 2P Year 1-5 $272/oz on 626,000 oz annual product
Slide 5: Shareholder Information
Shareholder Information Key information Share price evolution – 12 months Share price $7.44(September 7, 2011) Market TSX Ticker GBU.TO Market Cap CAD$2.82 billion Common shares 379 million Oct ‘10 2011 Apr ’11 Jul ‘11 Corporate structure Gabriel Resources shareholders Paulson & Co 16% Gabriel Resou
Slide 6: Gabriel Benchmarking
Gabriel Benchmarking Developers’ Attributable Reserves(1) 40 Based on 2009 Technical Report 35 Annual 626,000 oz @ $272/oz – first 5 years 30 production/cash cost averages 500,000 oz @ $335/oz – LOM 25 million ozs Capital Cost Est. US $876M 20 39 Mine life 16+ years 15 10 17 17 15 5 9 8 7 7 5 5 0 2
Slide 7: Contents
Contents Gabriel Resources – overview Romania and the Rosia Montana Project Environment Patrimony Local Community Summary 7
Slide 8: Romania Rosia Montana
Romania Rosia Montana 2,000 years of mining history with up to an Located in highly prospective mining district estimated 50 million ounces of gold produced, together with significant silver and copper Rosia Montana has been mined for 2,000 years and most recently by the state until 2006 In the 5 ye
Slide 9: Romania's Golden Quadrilateral
Romania's Golden Quadrilateral Within the Golden Quadrilateral: There are around 64 ore deposits and prospects, some of them having been mined in the past 3 active exploitation licenses: Rosia Poieni Rosia Montana Certej 5 exploration licenses Voia Cainel Rovina Magura Tebii Caraci-Birtin Exploitati
Slide 10: Rosia Montana – A Mining District
Rosia Montana – A Mining District 10
Slide 11: Rosia Montana Project - Resources and Reserves
Rosia Montana Project - Resources and Reserves1 Tonnes Au Ag Contained Au Contained Ag Resources (Mt) (g/t) (g/t) M oz M oz Measured 139.83 1.5 8 6.6 38.1 Indicated 210.52 1.2 4 7.8 26.8 Measured & Indicated 350.35 1.3 6.0 14.6 64.9 Inferred 30.29 1.2 3.0 1.2 3.0 Tonnes Au Ag Contained Au Contained
Slide 12: Rosia Montana – Reserve Model
Rosia Montana – Reserve Model Carnic Cetate Average content of reserves block (g/t) Jig Orlea 12
Slide 13: Rosia Montana – Current Perspective
Rosia Montana – Current Perspective 13
Slide 14: Rosia Montana – Project Perspective
Rosia Montana – Project Perspective Rosia Montana Protected Area Jig Pit Carnic Waste Dump Carnic Pit Orlea Pit Cetate Pit LGS Plant Site Tailings Dam 14
Slide 15: Rosia Montana – Post Closure
Rosia Montana – Post Closure 15
Slide 16: Permitting Process – Achievements and Next Key Steps
Permitting Process – Achievements and Next Key Steps September 17, 2010 - resumption of the Technical Analysis Committee (“TAC”) review of the project‟s Environmental Impact Assessment (EIA), which had been suspended since September 2007 March 28, 2011 - Environmental Approval of the PUZ for the
Slide 17: Progress – Recent Public Statements in Romania
Progress – Recent Public Statements in Romania President of Romania, Traian Basescu, visited Rosia Montana on August 29, 2011 where he stated: “I really believe in this project. And I believe it is time for us to exploit our gold, copper, silver with modern technological equipment as the prices - an
Slide 18: Illustrative Economic Impact
Illustrative Economic Impact •All $ quoted in US Dollars, based on $900/oz Au and $12.50/oz Ag •Data as published by Oxford Policy Management in 2010 18
Slide 19: Contents
Contents Gabriel Resources – overview Romania and the Rosia Montana Project Environment Patrimony Local Community Summary 19
Slide 20: Rosia Montana Project – Main Environmental Objectives
Rosia Montana Project – Main Environmental Objectives Forestry and Landscaping Water Planting of 1,000 hectares of forestry to Collect and clean historical pollution replace 255 hectares to be deforested Rational use of water – aim of recirculation of All quarries, waste stockpiles and the TMF will
Slide 21: Water Impact
Water Impact The Project will have a positive impact on the water quality of Rosia Montana by cleaning the historical pollution Pilot plant water treatment tests ongoing by company Actual Situation Proposed Measures Control runoff and discharge Current Pollution Levels Above Maximum Divert clean wat
Slide 22: Patrimony Plan – Protected Areas, Conserved and Rehabilitated
Patrimony Plan – Protected Areas, Conserved and Rehabilitated 1 Historical Center protected area 3 Tău Găuri protected area Historical monuments 1 2 4 3 Tău Brazi Cătălina – Monuleşti Roman Gallery Piatra Corbului protected area 4 Churches and Industrial techniques 2 Carpeni protected area and patri
Slide 23: Historical Center
Historical Center Historical Center – initial status and restoration project A new urbanistic zonal plan is in the approval stage for Rosia Montana historical center - planned to protect this area and ensure a buffer zone around it (135 hectares). RMGC owns 233 out of 327 houses in the center of Ros
Slide 24: Historical Center - Restoration Program 2011/2012
Historical Center - Restoration Program 2011/2012 Old School in Historical Centre The former old school (library) Built in 1898 in a fine, provincial style, used as school until 2005 During the time it hosted a library, a small office and a nursery Gross building area – 1,016 sq.m Currently owned by
Slide 25: Historical Center - Restoration Program 2011/2012
Historical Center - Restoration Program 2011/2012 Old Town Hall from Historical Centre The Administration Palace (the former Town Hall) Built in 1897 in the eclectic style of the Austro-Hungarian Empire Used as the "township's chair-house" until 1920, and as Town Hall until 1968, when the building w
Slide 26: Surface Rights Status
Surface Rights Status So far RMGC has secured 60% of the surface required for the project construction, including 78% of the number of homes under the project footprint Description So far RMGC has secured 757ha 60% of total of land, amounting to 60% the total surface already surface required for pro
Slide 27: Resettlement – A New Neighborhood
Resettlement – A New Neighborhood 125 families opted for resettlement in Recea neighborhood - newly built by RMGC Construction began in 2006 and finalized in 2009 Resettlement ongoing All utilities fully developed Land available and in possession for expansion for up to 80 additional houses 27
Slide 28: Contents
Contents Gabriel Resources – overview Romania and the Rosia Montana Project Environment Patrimony Local Community Summary 28
Slide 29: Summary
Summary Gabriel Resources, Romania and Rosia Montana Working together……… Bringing one the world‟s largest Community support is strong undeveloped gold projects into production Working relationship with the Production profile of >500,000 oz per Government underscored by senior annum at <$350/oz1 Gove
Slide 30: Annexes
ANNEXES 30
Slide 31: Share Price Performance and Top Shareholder Ownership
Share Price Performance and Top Shareholder Ownership Share Performance 31-Jul-06: 06-Mar-07: 26 -May-09: 18-Dec-09: 17-Jun-11: $10.00 1 Announced public offering 2 Announced public offering 3 Announced C$100M 4 Announced private BSG exercises 30M 1,000 of C$85M of C$100M financing through placement
Slide 32: Rosia Montana Project- Geology
Rosia Montana Project- Geology 32
Slide 33: Rosia Montana Project- Cetate and Carnic cross section
Rosia Montana Project- Cetate and Carnic cross section W E Cetate Cirnic Andesite Black Breccia Dacite Marine Sediments Tuffaceous Vent Breccia Polymictic breccia 33
Slide 34: The Proposed Mining Project
The Proposed Mining Project • An illustration of the most modern mining project in Romania Pit Blasting Ore loading Crushing Pit setup and transport Processing Gold recovery Grinding with active Melting CN Leaching carbon Electrolysis neutralisation CONCRETE PLATFORM lined with high density polyethy
Slide 35: Technological Process in the Processing Plant
Technological Process in the Processing Plant 1. Grinding • Wet grinding of the crushed ore in 2 ball mills and one semi-autogenous mill; 2. Leaching • Leaching of the ore in a CN solution, in closed tanks; the CN solution dissolves the gold and silver from the ore. 7. Gold and silver • Gold and sil
Slide 36: Tailings Management Process
Itinerary Tailings Management Process 13 sites were reviewed initially Designed capacity – 250 million tonnes Corna Valley is the only site which fulfils all requirements: Necessary storage capacity – 215 million tonnes Storage capacity; Designed to resist earthquakes of 8 degrees Richter Favorable
Slide 37: Bucium Project
Bucium Project • Bucium Rodu Frasin - Block model development • Block size 40mE x 40mN x 10mRL • Ordinary Kriging • 0.6 g/t Au cut off Bucium Rodu Frasin – Resource Estimate Tonnage Grade Au Grade Ag Contained Contained Category (Mt) (g/t) (g/t) Au (oz) Ag (oz) Indicated 7.9 1.92 5 491,000 1,385,000
Slide 38: Key people in Gabriel Resources
Key people in Gabriel Resources Keith R Hulley Jonathan Henry Ed Flood Non-Executive Chairman President and Chief Executive Officer Non-Executive Director Keith Hulley is the former Interim CEO of Gabriel Jonathan Henry is the President and Chief Ed Flood is the founder, President and CEO on Resourc
Slide 39: Key people in Gabriel Resources
Key people in Gabriel Resources David Peat Simon Prior-Palmer Walter Segsworth Non-Executive Director Non-Executive Director Non-Executive Director David Peat has over 25 years of experience in Simon Prior-Palmer has more than 30 years of Walter Segsworth is the Corporate Director on financial leade
Slide 40: Key people at RMGC
Key people at RMGC Dragos Tanase Nicolae Suciu Horea Avram General Manager RMGC Senior Vice-President Governmental Affairs Vice-President Environment and Community Relations Dragos Tanase joined Roşia Montană Gold Horea Avram has been Vice-President of Corporation in February 2008, coming from the N
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