Project Genera\on in Mexico

ProjectGenerationinMexico
Searchingforblinddepositsinaworld-classbelt
CorporatePresentation,September2016
1
CautionaryStatement
This presentation contains certain forward-looking statements concerning anticipated developments in Prospero’s operations in the future.
Forward-looking statements are frequently, but not always, identified by words such as “expects,” “anticipates,” “believes,” “intends,”
“estimates,” “potential,” “possible,” and similar expressions, or statements that events, conditions or results “will,” “may,” “could,” or
“should” occur or be achieved. These forward-looking statements may include statements regarding exploration results and budgets,
reserve estimates, mineral resource estimates, work programs, capital expenditures, timelines including timelines for third-party studies
and issuance of permits to operate by various government agencies, strategic plans, the market price of metals, costs, or other statements
that are not a statement of fact. Forward-looking statements address future events and conditions and therefore involve inherent risks and
uncertainties. Actual results may differ materially from those currently anticipated in such statements due to a variety of risks, uncertainties
and other factors. Prospero’s forward-looking statements are based on the beliefs, expectations and opinions of management on the date
the statements are made, and Prospero does not assume any obligation to update forward-looking statements if circumstances or
management’s beliefs, expectations and opinions should change.
Cautionary note to U.S. investors: the terms “measured and indicated resource”, “mineral resource”, and “inferred mineral resource” used
in this document are Canadian geological and mining terms as defined in accordance with National Instrument 43-101, Standards of
Disclosure for Mineral Projects (“NI 43-101”) under the guidelines set out in the Canadian Institute of Mining, Metallurgy and Petroleum
(the “CIM”) Standards on Mineral Resources and Mineral Reserves. We advise U.S. investors that while such terms are recognized and
required under Canadian regulations, the SEC does not recognize these terms. Mineral Resources do not have demonstrated economic
viability. It cannot be assumed that all or any part of a Mineral Resource will ever be upgraded to Reserves. Under Canadian rules,
estimates of inferred mineral resources may not form the basis of or be included in feasibility or other studies. U.S. investors are cautioned
not to assume that any part of an inferred mineral resource exists, or is economically or legally mineable.
2
Management
TawnAlbinson,M.Sc.(EconomicGeology)
President
• Over25yearsexperienceinexplorationandminedevelopment,allinMexico.
• HoldsaBAofScienceinGeologyandaMastersofScienceinEconomicGeology.
• ExplorationManagerforIndustriasLuisminandGrupoCatorcefrom1983to1991
• RanaprivateexplorationcompanyinMexicoandsignedmultipleOptionAgreementsandJVswithJuniorandMajorMiningCompanies,and
formerlyrantheMexicanbusinessforBajaMiningCorp.’sBoleoProject
WilliamMurray,P.Eng
ChairmanoftheBoard
• Over30yearsofinternationalminingexperienceinengineeringandminedevelopment
• ServedasdirectorofpubliccompaniesincludingPolymet Mining;BajaMining(former);AuraMineralsandSouthAmericanSilver(former).Formerly
ExecutiveChairmanofPolyMet MiningCorp.
• PreviousseniormanagementpositionsatDenisonMines,AngloAmericanCorporation
andFluorDaniel
RalphRushtonM.Sc.
VPCorporateDevelopment
• Geologistwithover18yearsexplorationandminingexperienceinAfricaandtheMiddleEast,+13yearsIR/communicationsforjuniorminingcompanies
• CertificateinBusinessCommunicationsfromSimonFraserUniversity
• Between2003-2016managedmarketing,IRandcommunicationsforRadiusGold,FocusVentures,Medgold Resources
• OntheBoardofDirectorsof3Ventureexchangeresourcecompanies
MartinSoto
VPExploration
• Geologicalengineerwithover20yearsexplorationexperienceinMexicoandCentralAmerica
• Recentlysupervisedthein-filldrillingprogramatBajaMining’sBoleoproject
• ResponsibleforplacingthediscoveryholeatthePlatosamineinDurangoofExcelonResources
• FocusedongenerativeexplorationinMexicoforProsperoSilverCorp
LinoLarraga
SeniorGeologist
• Over25yearsexperienceasminingandexplorationgeologist
• SuperviseddrillcampaignsforNewmont,Goldfields,Kennecott,Asarco,ApexSilver,andNormabecMining
• ResponsiblefordiscoveringnewveinsforNormabecMiningontheirprimaryprojectin2007intheRealdeCatorceDistrictin Mexico
3
WhoAreWe?
• AProjectGeneratorfocusedonfindingworld-classpreciousmetalprojectsinMexico
• Ahighlyexperiencedtechnicalteamapplyingauniqueblendofpracticalexploration
experienceandcutting-edgescience
Wehave..
• Astrongportfolioofdrill-readytargets,withapipelineofadditionalprojects
• Lowcostprogramsbasedon60+yearsofin-countryexperience
• Asub$5mmarketcap’with17msharesissued
4
Prospero’sStrategy
Usestate-of-the-artgeologicalthinkingtotargetblind
mineraldepositsinMexico’sworld-classAltiplano
mineralbelt.
“Prospero is identifying targets where the present level of erosion lies above, but relatively close, to the top of epithermal ore
zones. These represent the largest untapped potential in Mexico´s mineral belts. Mexico´s exploration history has now evolved
and matured to a level that requires the application of modern, multi-disciplinary geologic tools to look for concealed targets.”
5
RecentNews
September2016
PSLcloseda$1.85Mprivateplacement
20cUnit:1share+fullwarrant@30cfor3years
PSLnowhas$1.8-1.9Mcashandisrestartingits
generativeprograms&marketingefforts.
6
Share Structure
SharesIssued
TSX.V: PSL
26.94m
OptionsOutstanding*
1.6m
WarrantsOutstanding
17.43 m
FullyDiluted
45.97 m
Cash
$1,800,000
52-Week Range
Averagedailytradingvolume
$0.05-$0.30
23,000
PSL.V12monthchart
(*options priced at $0.05 to $0.50, July 5, 2017; Mar 7, 2021)
Shareholder
breakdown
7
ActiveProjects
Project
Ownership
Comments
Matorral
100%PSL
Ag-Au.Drillready.
ClosetothehistoricMagistralmine.High-levelepithermaltargetwithsilicification
overstrikelengthof4km.Assaystraceandupto473g/tAg&0.65g/tAu.
ElPetate
100%PSL
Au-Ag.Drillready.
35km NWofPachuca.High-levelepithermaltargetwith multiple jasperoidreef.
CRDandsedimenthostedAupotential.Drillprogramalreadypermitted.
PachucaSE
100%PSL
Ag-Au.Drillready.
25kmeastofPachuca.ThisprojectisonstrikewiththehistoricVizcainaveinofthe
RealdelMonte-Pachucadistrict.
Bermudez
100%PSL
Au-Ag.Drillready.
2.5kmlongsystemofLSepithermalveins,closetoMulatos &Doloresmines.
Probablyrepresentstheupperlevels ofanepithermalveinsystem.
Durango
9,066hectares
Hidalgo
6,868hectares
Hidalgo
7,256hectares
Chihuahua
430hectares
8
MajorMetallogenic
TrendsofCentralMexico
&ProsperoProjects
Prospero Silver
project
9
SantaMariaDelOro(Au,Ag)
Matorral&WesternLineament
Durango
• 9,066hectares100%ownedbyProspero
• LandpackagesitseithersideofMagistraldelOromines(historicaveragegrade>15g/tAu)
• Matorralzone:
– high-levelepithermalwithlargequartzreefsandanomalousAg-Au&basemetal
geochemistry.
– multiplestructures,largesize &elevatedgeochemistrysuggestsystemcouldbe150200maboveamineralizedepithermalsystem
– topographyidealfordrilltestingthesystem:4-6holesneededforinitialtest
• WesternLineamentzone:
– Geophysicallineament(groundmag’)beneathyoungercover,whichparallelsinstrikeand
dipknownveinsattheMagistraldelOromine.
– MoreconceptualthanMatorralbutproximitytohistoricmineiscompelling
10
SantaMariaDelOro
Matorral&WesternLineamenttargets
11
Matorral
Largequartzreefsalongstructures+
anomalousgeochemistry
• TheMexicanAltiplanocontains
multiplelarge,highgradeepithermal
depositswithminimalgeochemical
signatureatsurface
• Matorralfeatureshighlyelevated
geochemistryatsurfaceforahighlevelepithermalenvironment
Matorralsurfacegeochemistrycomparedto“average”valuesforAltiplano highlevelepithermalsystems
TypicalDeposit
Matorral
Auppb
Agppm
Znppm
Pbppm
Cuppm
Moppm
Hgppm
Asppm
Sbppm
<200
<500
<2
<178
<200
<4,600
<100
<1,250
<50
<240
<10
<1,100
<100
<100
<1,000
<4,900
<50
<2,900
12
ElPetate(Au,Ag,Pb,Zn)
Hidalgo
• 6,868hectarelandposition100%ownedbyProspero.Twobroadzones
defined:PetateEastandWest.
• High-levelquartzreefs&jasperoidoverareaof5kmx4.5km
• Extensivesampling(1196chipsamples)hasdefinedmultiplepreciousmetalanomalies
• ApartaderoTarget(WestZone):500meterslongwithAufrom1.0to6.62g/tassociatedwith
Au-Ag-Hg-Sb-As
• Petate#1,#2&#3targets(EastZone):1.5kmlongwithAgfrom50to140g/trange,andAuup
to0.49g/tassociatedwithAg-Au-As-Ba-Fe-Mn.
• Petates isarobustsystemwithexcellentpotentialtohostapreservedreplacementtypedeposit
and/orasediment-hostedgoldsystem.
• 27diamonddrillcollarsalreadypermittedwithland-ownerpermission
13
PetateProject
Distributionofjasperoids andassociatedgoldanomalism
Jasperoids
Goldinchipsamples
14
SilicifiedreefatthePetate
project
15
PachucaSE(Ag,Au)
Hidalgo
• High-levelepithermalalterationinvolcanics,24kmsoutheastofthemassivePachuca– Realdel
Monteveindistrict.
• Attractivegoldandsilvergeochemistrywhencomparedtothegeochemicalsignaturesofthe
Vizcaina structureabovethePachucamine.
• Asimilarassemblageofclaymineralsintheargillicalterationcapofbothsystems.
• AssociationwithamorefelsicvolcanicpilethanthePachuca– RealdelMontehostrocks.
• Exposedinanerosionalwindowforalengthof5kmacrossthesystem.7,256hectarelandpackage
16
PachucaSE
ControllingstructuresatPSEappear
toparallelthemaincontrollingfault
atthePachucaminingcamptothe
north.
Structurallycontrolledclay(illite-smectitepyrite)alterationinvolcanics,exposedinan
activeclaypit,PachucaSEproject
17
Bermudez(Au-Ag)
Chihuahua
Bermudez
• Low-sulphidationveining&silicification 2.5kmlongby5-100m
• Classicbandedveiningandotherepithermalquartztextures
• Fluidinclusionpetrographyimplieshigh-levelsettingwithpotentialfordeepermineralization
18
Bermudez(Au-Ag)
Bermudez:distributionofveiningandsilicificationwithreconnaissancechipsamplingresults
19
Bermudez(Au-Ag)
20-50mwidereefsofmassivesilicawithsheetedquartzvein
stockworkandcracklebrecciazones
Massivesilicareplacedwallrockcutbysheetedbandedquartzveinveins
20
NearTermObjectives/PossibleNewsFlow
• JointventuretheElPetategoldproject
• Carryoutinitial“proofofconcept”drilltestingofoneormoreprojects:
– Priority1.Matorral.
– Priority2.Bermudez.
• AdvanceotherPSLprojectstoJV-readystatus
• Evaluatenewprojectsforstaking/acquisition
• Rampupmarketingeffort– increasemarketawarenessofPSL.V,improvestockliquidity&
companyvaluation,broadenshareholderbase
21
KeyTake-Aways
• ProsperoisaProjectGeneratorfocusedonfindingworld-classpreciousmetal
projectsinMexico
• Thetechnicalteamishighlyexperiencedandhasarecordofgeneratingmultiple
newprojectseveryyear
• TheCompanyhas4keyprojectswithapipelineof4additionalprojects
• Twootherprojectsalreadyidentifiedforacquisition/staking
22
ContactUs
ProsperoSilverCorp.
1800-510WestGeorgiaSt.
Vancouver,
BC.V6B0M3
Telephone6042887813
InvestorEnquiries
info@prosperosilver.com
23