Paramount Gold Nevada Corp. · AMEX:PZG
Paramount Gold Nevada — Investor Presentation (March 2017)
33 slides from Paramount Gold Nevada's investor presentation, Mar 29, 2017
Slide 1: US-Based, Industry-Leading Gold Ownership Per Share
US-Based, Industry-Leading Gold Ownership Per Share NYSE MKT: PZG March 2017 Exhibit 99.1
Slide 2: Forward-looking statements and cautionary note
This Presentation contains “forward-looking statements” within the meaning of applicable securities laws relating to Paramount Gold Nevada Corp. (“Paramount”, “we”, “us”, “our”, or the “Company”) which represent our current expectations or beliefs including, but not limited to, statements concerning
Slide 3: Why U.S. Only?
paramountnevada.com | @ParamountNV Why U.S.Only? Nevada Oregon Favorable Permitting Processes Pro-Growth Federal Policies Low Risk Jurisdiction Supportive Skills and Physical Infrastructure
Slide 4: Low Risk Advanced Stage Projects
paramountnevada.com | @ParamountNV Low Risk Advanced Stage Projects District Scale Land Packages in Non-Sensitive Areas Extensively Engineered to De-Risk ( eg . met tests) Exploration Upside to Add Value Demonstrated Economic Viability (Completed PEA’s) Significant M&I Resources in Place
Slide 5: Industry-leading Gold Ownership Per Share
paramountnevada.com | @ParamountNV Industry-leading Gold Ownership Per Share: 0.47 AuEq. Oz per Share Projects That Work with a Low Gold Price Outstanding Leverage to a Higher Gold Price High Grade Grassy Mountain Gold Project has Robust Economics (5.32g/T Au) Over 6 million ounces of contained AuEq
Slide 6: Grassy Mountain: Ideal Location
Grassy Mountain (GM): IDEAL LOCATION paramountnevada.com | @ParamountNV 9,300 acres (3,763 hectares) in Eastern, OR Nevada like desert Proximity to multiple cities Skilled personnel Accommodations No human habitation to disturb No protected species of vegetation or wildlife Vale Boise Winnemucca GRA
Slide 7: Grassy Mountain Global Resource and PEA Resource
paramountnevada.com | @ParamountNV Tonnes (000’s) Au Grade (g/T) Au Ounces Ag Grade (g/T) Ag Ounces Global Resource 68,693 0.82 1,653,000 2.25 4,976,000 PEA UG Resource 3,245 5.32 511,000 8.9 843,000 GM Mineralized Material (M&I) ACQUIRED FOR $9.90 PER OUNCE OF GOLD EQ, WELL DEFINED 99% M&I Resource
Slide 8: GM: District Scale Has Room for Growth
paramountnevada.com | @ParamountNV GM: District Scale Has Room for Growth Deposit located on private land
Slide 9: GM High Grade Underground Core
paramountnevada.com | @ParamountNV GM High Grade Under Ground Core High grade core starts 200-300ft. below surface Lower grade envelope 50 ft. below surface Inexpensive to drill Ore body accessible by gently sloping ramp`
Slide 10: GM PEA Economics (July 2015)
Gold Price (USD$) $ 1,300 Silver Price (USD$) $ 17.50 1,000 T/day Heap Leach Operation Avg. Annual Gold Production (ounces) 53,000 Avg. Annual Silver Production (ounces) 82,000 Pre-Production Capital Costs (L.O.M) $ 119.6 M ($140 M) Production Life (years) 9 Cash Cost per Au Ounce (USD) $ 577 All-in
Slide 11: Major Economic Gains Likely in New PFS
Reduction in CapEx Process and infrastructure design by Ausenco Operational cost reduction Increased mining efficiency due to improved rock mechanics paramountnevada.com | @ParamountNV Major Economic Gains Likely in New PFS
Slide 12: Outstanding Gold Recoveries
paramountnevada.com | @ParamountNV Outstanding Gold Recoveries Extensive testing confirms best recovery option Proven low cost gravity separation with tail leach combination 100 Mesh Gravity Concentration 26 % Tail CIL Leach 95.8% Total Au Recovery 97%
Slide 13: Plan to Enhance GM Value: Complete PFS and Permitting
Plan to Enhance GM Value: Complete PFS and Permitting $6M projected budget through to permitting A PLANNED PATH FROM ACQUISITION TO CONSTRUCTION
Slide 14: PFS Completion Early 2018
PFS Completion EARLY 2018 EM Strategies PZG ENVIRONMENTAL COORDINATOR MDA - PFS Lead (Resource, Mining, Economics) PROJECT MANAGER SFP Water (Hydrology , SPF Flow Modeling, Monitoring Wells) AUSENCO (Metallurgy, Process & Infrastructure design) Community Relations GOLDER (Geo-tech mine & facility, T
Slide 15: PFS Drill Program
24 drill holes remaining (5 completed) OBJECTIVES: Further define and expand high grade zone Obtain material for PFS level met-testing Geotechnical data for rock stability Obtain hydrological data Expected completion Q2 2017 paramountnevada.com | @ParamountNV PFS Drill Program
Slide 16: Drilling Finds More High Grade
paramountnevada.com | @ParamountNV Drilling Finds More High Grade Assays released Jan 30th from first 4 holes of current program GM 16-02 intersected 43m of 47.51g/T gold and 12.7 g/T silver, well above grade predicted by PEA model Intercept included 1.5m of 1,090 g/T gold
Slide 17: PZG/Regulators Sign MOU Governing Harmonized Permitting Process
paramountnevada.com | @ParamountNV PZG/Regulators Sign MOU Governing Harmonized Permitting Process STATE FEDERAL COUNTY DIV 33 (EXPLORATION) NOI (12) EXPL NOTICE (<5 ACRE) PLAN OF OPERATION Zoning/Land Use EIS DIV 37/43 (CHEM MIN PROCESS) MOU SETS OBJECTIVES PROCEDURES, ELIMINATES POSSIBLE DUPLICATI
Slide 18: Permitting Is Well Advanced and Defined
paramountnevada.com | @ParamountNV Permitting Is Well Advanced and Defined Environmental Baseline Studies Initial Plan of Operations Submitted TRT Permission received to Commence PFS Drilling TRT Permission received for Installation of Deep Monitoring Wells EIS Contractor Selected by BLM Executed MO
Slide 19: Exploration Upside Confirmed by Historical Drilling
Exploration Upside Confirmed by Historical Drilling
Slide 20: Exploration Upside: Wood Target Has Sinter Cap Similar to GM
paramountnevada.com | @ParamountNV Exploration Upside: Wood Target Has Sinter Cap Similar to GM 1 mile Wood sinter GM
Slide 21: Exploration Upside: Wood Target Has Similar Resistivity Signature to GM
Exploration Upside: Wood Target Has Similar Resistivity Signature to GM GM Wood Sinter
Slide 22: GM Catalysts in 2017
Assay results from drilling now in progress Commencement of EIS Completion of PFS Updated Resource Estimation & Conversion to Reserves Commencement of the Consolidated Permit Application paramountnevada.com | @ParamountNV GM Catalysts in 2017
Slide 23: Sleeper Gold Project
Sleeper Gold Project 100% ownership of former high grade open pit gold producer AMAX Gold produced 1.7 million ounces of gold from 1986-96 Large, near surface, low grade resource with excellent exploration potential Large land position (15,500 hectares) and valuable infrastructure (Access by major r
Slide 24: The Sleeper Gold Project
Vale Boise Winnemucca Grasssy SLEEPER The Sleeper Gold Project paramountnevada.com | @ParamountNV Tonnes (000’s) Gold Grade (g/T) Gold (000’s of ounces) Measured 200,500 0.39 2,488 Indicated 93,900 0.31 933 M&I 294,400 0.36 3,421 Inferred 241,800 0.32 2,472 Silver M&I resource of 30.7M ozs. and infe
Slide 25: Sleeper PEA Economics (December 2015)
Gold Price (USD$) $ 1,250 Silver Price (USD$) $ 16 30,000 T/Day Heap Leach Operation Average Annual Gold Production (ounces) 83,500 Average Annual Silver Production (ounces) 82,500 Pre-Production Capital Costs (L.O.M) $ 175 M ($259 M) Production Life (Payback) 9yrs (3.5yrs) Cash Cost per Au Ounce (U
Slide 26: Sleeper Sensitivity Analysis
paramountnevada.com | @ParamountNV Sleeper Sensitivity Analysis GOLD PRICE ($) NPV ($US M) 10% NPV ($US M) 5% IRR (%) 1,300 $89.8 $147.0 22 1,400 $125.3 $189.3 27 1,500 $160.7 $231.6 31 1,600 $196.2 $273.9 36 1,700 $231.6 $316.2 40 1,800 $267.1 $358.5 44 1,900 $302.5 $400.8 48
Slide 27: Paramount Recap
Two advanced stage gold projects in the US Short term opportunity to permit Grassy Mountain and advance to production Opportunity to leverage higher gold prices with large resource at Sleeper Current PZG EV/resource ounce highly undervalued at $4 Conclusion: Low risk with high leverage and strong up
Slide 28: Corporate Overview
Stock Exchange and Symbol NYSE MKT: PZG Cash Position $1.8M (As at December 31, 2016) Cash from Equity Financing $3.66M (Closed Feb. 14, 2017) Debt Nil Share Price $1.63 (As at March 24, 2017) Shares Outstanding 17,779,054 (As at February 14, 2017) Options& Warrants Outstanding 2,090,000 Market Capi
Slide 29: Performance vs GLD
paramountnevada.com | @ParamountNV Performance vs GLD
Slide 30: Project Comparables
paramountnevada.com | @ParamountNV Project Comparables
Slide 31: Company Comparables
paramountnevada.com | @ParamountNV Company Comparables
Slide 32: Experienced Team
Experienced Team paramountnevada.com | @ParamountNV Glen van Treek (President & CEO, Director) 25+ years of experience in all stages of the mining life cycle … from junior exploration to major producers Carlo Buffone (CFO) 20+ years in senior financial management roles including buy and sell side M&
Slide 33: Professional Governance By Directors
Professional Governance By Directors paramountnevada.com | @ParamountNV David Smith Eliseo Gonzalez-Urien John Carden Vice President Finance and CFO of Seabridge Gold since 2007 Professional Geologist Extensive international experience spans a wide array of industries with a particular emphasis on m
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