September 2016 - bravadagold.com
Transcription
September 2016 - bravadagold.com
“Value Through Exploration Success & Development” NEVADA FACTS • Produces ~5MM oz Au/year, ~7% of the world total, ~1/4 from underground mines • Proven + probable gold reserves are stable, ~75MM ounces, replacing production nearly every year •Stable environmental regulations, economy & mining infrastructure • Consistently ranked within the top 10 gold jurisdictions in the world to explore and mine by the Canadian Fraser Institute BVA:TSX.V | BRTN: FSE September 2016 J.A. Kizis, Jr., (AIPG CPG-11513, Wyoming PG-2576), President of Bravada, is the Qualified Person that created or supervised & approved release of the technical information in this disclosure Forward-looking Statement Some of the statements contained in this presentation may be deemed “forward-looking statements.” These include estimates and statements that describe the Company’s future plans, objectives or goals, and expectations of a stated condition or occurrence. Forward-looking statements may be identified by the use of words such as “believes”, “anticipates”, “expects”, “estimates”, “may”, “could”, “would”, “will”, or “plan”. Since forward looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results relating to, among other things, results of exploration, reclamation, capital costs, and the company’s financial condition and prospects, could differ materially from those currently anticipated in such statements for many reasons such as but not limited to; changes in general economic conditions and conditions in the financial markets; changes in demand and prices for the minerals the Company expects to produce; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological and operational difficulties encountered in connection with the Company’s activities; and changing foreign exchange rates and other matters discussed in this presentation. Persons should not place undue reliance on the Company’s forward-looking statements. Further information regarding these and other factors, which may cause results to differ materially from those projected in forwardlooking statements, are included in the filings by the Company with securities regulatory authorities. The Company does not assume any obligation to update or revise any forward looking statement that may be made from time to time by the Company or on its behalf, except in accordance with applicable securities laws, whether as a result of new information, future events or otherwise. The TSX Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the contents of this presentation, that has been prepared by management. BVA:TSX.V | BRTN: FSE BRT: FSE 2 “A high-quality portfolio of properties with demonstrated gold mineralization in one of the world’s premier gold-producing regions & a track record of attracting funding partners to advance them” Wind Mountain Nevada Focus Shoshone Pediment (Oxide, open-pit/heap leach 43-101 resource, potential near-term production; deeper high-grade target) (Baker Hughes permitting 2 open pits for barite, BVA royalty from production) North Lone Mtn (Nevada Zinc funding initial drilling program fall of 2016) Baxter (Kinross funding 2nd drilling program on new discovery of shallow, oxide gold; deeper high-grade targets) South Lone Mtn (Nevada Zinc purchasing from BVA, drilling oxide zinc deposit on adjacent claims) Highland Signal & Temple (High-grade “Midas” style gold veins, open for expansion & under shallow cover) (Historic & BVA drilling intersected “karst” hosted, Carlin type mineralization) East Manhattan Quito (“Midas” style gold veins drilled by BVA, extended by geophysics under thin cover) (Coeur funding 3 core holes; began August 2016) BRT: FSE BVA:TSX.V | BRTN: FSE BVA has 15 Nevada properties (~10,000 hectares) with 5 currently funded by others 3 Summary of Major Projects Wind Mountain • • • • 100% owned by Bravada, Au & Ag open-pit/heap-leach Updated NI 43-101 resource estimate & positive PEA in 2012 Expansion potential of shallow resource & untested high-grade “Hishikari” target Available Quito • • • • High-grade Au, underground potential Past-producing open-pit mine – 174,460 Oz Au @ ~6g/t Au production, ~40% of original historic reserve was not mined according to historic records; however, Bravada has not independently confirmed either the past production or remaining resource, and these historic figures should not be relied upon High-grade Au target identified by Bravada, permitted, funding agreement with Coeur to purchase BVA’s ownership position for $2MM & 2%NSR royalty after earn-in by BVA ($2.5MM in work commitments over 5 years Phase 1 – 3 core holes (1,200m), began August 2016 Baxter • Kinross acquiring up to 75% of Baxter gold project in Nevada for US$4million in work • • Phase 1 - 16 R.C. holes (4,439m) March 2016 & discovered shallow oxide gold deposit Phase 2 – 10-14 R.C. holes (2,400m) & 1-3 core holes (450m) planned, began July 2016 Other Projects • • • • Baker Hughes permitting to mine barite at Shoshone Pediment & to drill test new target – Exercised option for barite, US$1/ton royalty on barite over 150K tons & 100% other minerals retained by Bravada (split of drill samples to Bravada for logging & assaying) Group Ten acquiring Drayton gold project in Ontario for 2.5 million shares & 1% NSR Nevada Zinc acquiring 100% of South Lone Mtn zinc project in Nevada for US$329,200, 50,000 shares, 1.5%NSR on base metals & 3.0%NSR for precious metals with buy-down to 0.5%NSR on base metals & 1.5%NSR on precious metals for US$3,000,000 Nevada Zinc acquiring 50% of North Lone Mtn zinc/gold project in Nevada for US$150,000 in work Seeking partners for other projects, several with Au mineralization partially outlined & targets identified (e.g. Highland, East Manhattan, Signal, Temple, & Pete Hanson ) BVA:TSX.V | BRTN: BRT: FSE FSE 4 “Quantum” Project Pipeline Quantum level of value Identify risk/reward of projects that can be moved to next quantum level of value cost-effectively 29 property agreements with 18 public companies since 2005 BVA:TSX.V | BRTN: BRT: FSE FSE • Minority working interest • Royalty interest • Sale 5 Property Agreements - 2005-2015 BVA:TSX.V | BRTN: BRT: FSE FSE 6 Current Property Agreements BVA:TSX.V | BRTN: BRT: FSE FSE 7 Wind Mountain - Historic Production by Amax Gold 299,259oz Au recovered from 434,089oz Au mined, with 1,769,426oz Ag recovered (closure since 1997) Wind Mountain Open Pit Breeze Open Pit Wind Mountain Open Pit BVA:TSX.V | BRTN: BRT: FSE FSE 8 Wind Mountain Milestones 100% Bravada owned, Au/Ag open pit/heap leach 2006 – Earn-in option from Agnico Eagle 2007 - Resource estimate (no Ag resource reported) • M + I = 406,000oz Au (33.7MM short tons @ 0.012opt Au) • I = 92,000oz Au (9.8MM short tons @ 0.009opt Au) • “Not currently economic” = 444,000oz Au (74MM short tons @ 0.006opt Au), possible resources in dump and leach piles 2008 – Discovered “DeepMin” deposit, completed 100% earn in (Agnico Eagle retains 1-2% NSR) 2010 - Positive PEA @ $850/oz Au • Oxide, low strip ratio, good metallurgy, great infrastructure, expansion possibilities 2011 - 50-hole program expanded shallow oxide resource • Metallurgy, Biology, & Cultural studies completed 2012 - Improved PEA @ $1,300/oz Au & $24.42/oz Ag, IRR = 29% Pre-tax & 21% After-tax, NPV@5% = $42.9 million Pre-tax & $26.5 million After-tax, & Increased Resource (oxide at 0.005 oz Au/ton cut off) • Indicated = 570,500oz Au with 14,736,000 oz Ag • Inferred = 354,300oz Au with 10,115,000 oz Ag 2012/13 - Argonaut funded 19 drill holes to test exploration targets, returned 100% to Bravada • Expanded Au/Ag mineralization between the Breeze and DeepMin deposits • Negatively tested three areas, including a close-in heap site that can now be used to reduce operating costs 2014/15 – Sale to Solidus/Mantra, returned 100% due to lack of funding after no work FUTURE - Evaluate a possible Phase I open-pit/crush/heap-leach operation w/ higher grade & lower capital requirements & test a new target of possible “Hishikari-type” high-grade mineralization BVA:TSX.V | BRTN: BRT: FSE FSE 9 Wind Mountain 2012 NI 43-101 Resource Update •Indicated resource increased to 570,500 oz gold from 405,543 ounces, an increase of 164,957 oz •Inferred resource increased to 354,300 oz gold from 92,437 ounces, an increase of 261,863 oz •Indicated resource contains 14,736,000 oz silver, whereas no previous silver resource •Inferred resource contains 10,115,000 oz silver, whereas no previous silver resource BVA:TSX.V | BRTN: BRT: FSE FSE 10 Wind Mountain – MDA’s 2012 PEA BASE CASE - Open-pit contract mining w/ trucks, shovels, Hwy 44 pro 7 ap x 10 mile s ROM leaching, US$1,300/oz Au & $24.42/oz Ag fence Resource inside the pits = 42.1 million short tons of Indicated Resource @ 0.011 oz Au/t & 0.26 oz Ag/t, and 2.2 million short tons of Inferred Resource @ 0.008 oz Au/t & 0.18 oz Ag/t, both utilizing a 0.006 oz Au/t cutoff Guard Station fen ce ADR Plant fence Heap Leach Pad Gold & Silver Ounces mined = 465,000 oz Au & 11,198,000 oz Ag (516,000 oz Au-eq(2)) Gold & Silver Ounces produced = 288,000 oz Au & 1,680,000 oz Ag (320,000 oz Au-eq(2)), using 62% Au & 15% Ag recoveries 100.2926 273500 E 274000 E 275000 E 274500 E W:O Strip ratio = 0.71:1 275500 E 2072000 N 2072000 N 4560 el 2071500 N Capital = Initial capital of $45.4 million, $18.4 million sustaining capital 2071500 N 4460 el 100.2926 property boundary 2071000 N 2071000 N 4300 el 2070500 N Mine Life = approximately 7 years of mining, 2 additional years of residual leaching & rinsing fence 4320 el 2070500 N 4220 el 2070000 N 2070000 N 4220 el 4725 el 100.2926 4600 el 2069500 N 2069500 N Payback Period = 2.2 years 4580 el 4040 el 4560 el 2069000 N 2069000 N 4700 el 4420 el 2068500 N Life-of-mine cash cost(3) = $859 per ounce Au 2068500 N 4380 el 4675 el 2068000 N 2068000 N 4180 el Total Pre-Tax cost(3) = $1,080 per ounce Au 4650 el 2067500 N 2067500 N 4060 el property boundary 2067000 N 2067000 N 4000 el 4160 el 2066500 N 2066500 N 4020 el 2066000 N IRR = 29% Pre-tax NVP@5% = $42.9 million 2066000 N 2065500 N 2065500 N 273500 E 274000 E 274500 E 275000 E 275500 E (1) Canadian fence 100.2926 fence MINE DEVELOPMENT ASSOCIATES 100.2926 20-Apr-2012 BVA:TSX.V | BRTN: FSE Bravada Gold Corportaion Wind Mountain Project Site Map Scale: 1" = 1000' NI 43-101 guidelines define a PEA as follows: “A preliminary economic assessment is preliminary in nature and it includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied that would enable them to be classified as mineral reserves, and there is no certainty that the preliminary assessment will be realized. Mineral resources that are not mineral reserves do not have demonstrated economic viability.” (2)Expected recoveries were incorporated to convert silver to gold equivalent (Au-eq) at 220Ag:1Au ($1,300 x 62% divided by $24.42 x 15%) (3)Costs include estimated Nevada Net Proceeds taxes, property taxes, but not corporate income tax, and treats silver as a by-product credit. 11 Wind Mountain – MDA’s 2012 PEA $1,690Au & $31.75Ag increases IRR to 74% & NPV@5% to $136.2 million BVA:TSX.V||BRTN: BRT: FSE BVA:TSX.V FSE 12 Wind Mtn “Hishikari–type” Exploration Potential? Breeze deposit North Hill deposit Wind & DeepMin deposits South End deposit Proposed core holes Preserved Gold Est. 1500’ TD Est. 1500’ TD X X X X X X X BVA:TSX.V | BRTN: BRT: FSE FSE X X X Est. 2500’ TD X X NOTE: Hishikari mine (Japan) ~6.9MM oz Au production, grade 45-50g/t Au, ~1Ma age (sources - Sumitomo Metal Mining Co., Ltd. press release 11/11/12 & website) ~300 meters ~300 meters mineralization QUITO PROJECT Looking Southeast 1986-1989 production reported 174,460 Oz Au from original published reserve of 1.7MM short tons @ 6.34g/t Au* *Bravada has not independently confirmed past production, and this historic figure should not be relied upon BVA:TSX.V | BRTN: FSE BRT: FSE 14 Quito Targets Older Lower Plate Lower Plate Upper Plate Aspen Target Lower Plate Quito 1980’s open pits Q-4 Target Upper Plate Russ Target BVA:TSX.V | BRTN: FSE BRT: FSE 15 Unmined Mineralization, Aspen target 25’ (7.5m) of 0.517opt (17.7g/t) 15’ (4.5m) of 0.206opt (7.1g/t) 25’ (7.5m) of 0.112opt (3.8g/t) NOTE: 0.03 oz/ton = ~1 g/t Au 10’ (3m) of 0.367opt (12.6g/t) ? 25 meters NE of Quito open pit, looking to SW BVA:TSX.V | BRTN: FSE BRT: FSE 16 Quito – Russ Target Looking Northeast Mineralized Faults Upper Plate Lower Plate Quito – Q-4 Target Approximately a longitudinal view, looking west Upper Plate Calculated Intersection of Mineralized N20E & N20W Faults Lower Plate Proposed drill holes Mineralized Faults BVA:TSX.V | BRTN: FSE BRT: FSE 17 Quito Agreements Agreement 1 Bravada spends US$2.5MM over 5 years (Dec. 31, 2020) to earn 70%, then Meridian/Yamana can: • Option 1 - Elect to participate at 30%, • Option 2 - Elect to earn 51% should Bravada discover +2MM oz gold deposit by: Paying BVA 300% of Bravada expenditures, Funding BVA’s portion of capital repaid out of 80% of Bravada’s portion of cash flow, or • Option 3 - Elect to reduce to 2% NSR and receive $500,000 cash or BVA shares (at Bravada’s option) Agreement 2 Coeur has the option to fund Bravada’s work obligations, paying BVA a 10% overhead fee, for the right to purchase Bravada’s interest, once earned, by: • Paying Bravada $2MM • Granting Bravada a 2% NSR royalty on Coeur’s percentage of production BVA:TSX.V | BRTN: FSE BRT: FSE 18 Cortez District Hilltop Colorback Project Robertson Gold Acres Pipeline Cortez Cortez Hills Pediment Mine or major development project Upper Plate (non-43-101) mineral body Horse Canyon/Mill Creek Red Hill/ Gold Rush 19 Colorback Target Surface Sample 0.15m @ 4.5m/15’ @ 2.29g/t Au 18.3g/t Au Projected ~30m/100’ 1.5m/5’ @ 0.58g/t Au 12m/40’ @ 0.93g/t Au Projected ~36.6m/120’ 4.5m/15’ @ 0.48g/t Au Proposed ~360m/1,200’ Core Hole 6m/20’ @ 0.32g/t Au High-grade Au in Upper-Plate carbonate unit Top of favorable host in Upper Plate 61m/200 feet NW View BVA:TSX.V | BRTN: FSE BRT: FSE 20 Proposed Colorback Budget • • • • • 360m core drilling Assays and supplies Geologist for core logging Surpac model and targeting Claim fees and filing $90K 9K 10K 6K 3K Total US$118K Colorback Agreements • Colorback – Bravada spends US$3.1MM & produces a positive feasibility, then Newmont can: – Elect to fund $4MM to earn 51% w/ option to spend $4MM more to earn another 19% (70/30), or – Elect to receive $2MM payment, retaining 3% NSR which can be bought down to 1% at $1MM per 1%. • Granite Mtn – Lease payments ~$15K/yr BVA:TSX.V | BRTN: FSE BRT: FSE 21 SF Property 580000 E Gravel Road 374000 N 2 km BVA:TSX.V | BRTN: FSE 22 23 SF Property New interpretation Thrust model w/ high-grade breccia in core of hanging wall anticline within Unit 5 of Wenban Fm 0.03 g/t Au 0.1g/t Au >0.3 g/t Au Magenta breccia pattern – high-grade Au >0.3 g/t Au Orange color – lower-grade Au halo HC05-01 Au travels farther in poor host rocks, such as Webb Fm (Mw), lower level anomalies expected in poorly exposed Horse Canyon Fm. 23 Signal Property Gravel Road 580000 E High-grade Au “Karst” pipe Targets Partially drilldelineated “Unconformity” Au mineralization Ruby Hill Mine Archimedes deposits (Barrick) 4374000 N 2 km Signal Property Area BVA:TSX.V | BRTN: FSE (Bravada) 24 Ratto/Lookout Mtn deposits (Timberline) Signal – Map View to SW High-grade Au “Karst” pipe targets @ intersection of faults SG-17 - 6m (20’) @ 3.05g/t Au SG-12 - 14m (45’) @ 0.204g/t Mississippian Limestone SG-16 - 27m (90’) @ 0.759g/t Unconformity Mississippian clastic rocks SG-5 - 7.5m (25’) @ 0.577g/t BVA:TSX.V | BRTN: BRT: FSE FSE 25 Baxter/Highland properties Kinross drilled 16 R.C. holes (4,439m) in March 2016, Discovered shallow, oxide Au deposit, Phase 2 drilling underway BVA:TSX.V | BRTN: BRT: FSE FSE 26 Highland Geology Jeep Target area Tai Big Hammer Target area rhyolite Main Zone Target area BVA:TSX.V | BRTN: BRT: FSE FSE Deb Target area ~1.5km Highland Main Zone A vein Looking N51W A vein B vein +3 g/t Au 1-3 g/t Au 0.3-1 g/t Au 0.1-0.3 g/t Au Target 13.7m / 5.42g/t Au incl. 3m / 21g/t Au / 24g/t Ag 100 m 12.2m / 7.17g/t Au / 108g/t Ag incl. 1.5m / 50g/t Au / 345g/t Ag Target BVA:TSX.V | BRTN: BRT: FSE FSE 28 East Manhattan – Geology w/ Interpretation A B A’ B’ Buried Intrusion? ~1.5km BVA:TSX.V | BRTN: BRT: FSE FSE 29 East Manhattan Cross Section B-B’ +3 g/t Au 1-3 g/t Au 0.3-1 g/t Au 0.1-0.3 g/t Au Looking West Tertiary Caldera-margin Volcanic breccia Tertiary Caldera-fill Ashflow tuffs 14m / 2.89g/t Au & 14m / 0.80g/t Au 100 m Tertiary Caldera-fill Ashflow tuffs ?? Unconformity target?? ?? Paleozoic Sediments ?? ?? Paleozoic Sediments ?? BVA:TSX.V | BRTN: BRT: FSE FSE Target 30 East Manhattan Cross Section A-A’ Looking West +3 g/t Au 1-3 g/t Au 0.3-1 g/t Au 0.1-0.3 g/t Au 10.7m / 1.41g/t Au Incl. 2m / 6.31g/t Au Target Tertiary Caldera-fill Ashflow tuffs 100 m Tertiary Caldera-fill Ashflow tuffs ?? Unconformity target?? ?? Paleozoic Sediments ?? ?? Paleozoic Sediments ?? BVA:TSX.V | BRTN: BRT: FSE FSE 31 South Lone Mtn Zinc Project Optioned to Nevada Zinc (formerly Goldspike) BVA:TSX.V | BRTN: BRT: FSE FSE 32 *Source: Nevada Zinc 2015 website presentation Nevada Zinc Soil Geochemistry NZN’s Lone Mtn Zinc Project Area of 2014/2015 drilling 33 Source: Nevada Zinc 2015 website presentation Management & Directors Senior Management Directors Joseph Kizis, Jr., P.Geo. – President Graham Thatcher , ACCA – CFO Lawrence Page, Q.C. – Legal/business advisor Arie Page – Corporate Secretary Elliott Crist, P.Geo. – Chief Geologist John Cox, P.Geo. – Manager of Development Debbie Schneider, P.Geo. – Data-base Manager and Computer Geologist John Pierson – Senior Geologist Joseph Kizis, P.Geo. – President and Director Lawrence Page, Q.C. – Director and Chairman Nigel Bunting – Director G. Ross McDonald, CPA, CA – Director John Kerr, P.Eng. – Director Michael Rowley, P.Bio. – Director Donald Head – Director A Manex Resource Group Company As a Manex Resource Group company, Bravada Gold Corporation benefits from shared expertise in: • Corporate finance • Public company administration BVA:TSX.V BVA:TSX.V| |BRTN: BRT: FSE FSE • Investor relations • Technical and geological services 34 Management & Directors • Joseph A. Kizis, Jr. – Mr. Kizis is a Registered Geologist with 35+ years experience in exploration for gold, silver, copper, molybdenum, lead, zinc, and uranium in the U.S., Canada and abroad. Currently, he is the President and a director of Homestake Resource Corporation and Bravada Gold Corporation, and has held previous executive positions with Fairmile GoldTech, Sierra Geothermal, the Geological Society of Nevada, and the GSN Foundation. • Lawrence Page – As the principal and founder of the Manex Resource Group, Lawrence Page brings over 45 years of experience in corporate and securities law, and has been a director and officer of public companies which have discovered and brought mines such as Eskay Creek, Mascot Gold, and Penasquito in to production. • Nigel Bunting– Mr. Bunting attended Gordonstoun School and the College of Law in London and has been involved with the insurance and pension business in the UK where he played a pivotal role turning Suffolk Life into the one of the UK’s leading self-invested personal pension (SIPP) administrators. Nigel was for many years the main media contact at Suffolk Life and had sole responsibility for the Sales & Marketing of the business. By 2008 Suffolk Life had £2.5 billion assets under management and the business was bought by Legal & General for £62.5m. Since then Nigel has focused on his personal investments, primarily in commodities and precious metals, and his charitable interests. • G. Ross McDonald – With over 40 years of experience as a Chartered Accountant, Mr. McDonald works principally with clients related to mining and mineral exploration, and is involved as director of several junior resource companies. • John Kerr – Mr. Kerr has over 45 years of experience as a geological engineer and has held senior positions with a number of public companies, both as an officer and director. • Michael Rowley – Mr. Rowley has over 20 years of executive experience in mineral exploration and mineral processing. He is currently the President of Group Ten Metals, formerly Duncastle Gold Corp., a director of Bravada Gold, and an officer of Sierra Mountain Minerals. • Donald Head – Mr. Head graduated from Arizona State University with a BA in Business and holds a law degree from the University of Arizona. He co-founded Centurion Development and Investments Inc., a company engaged in real estate development. He practiced as an Attorney in Arizona where, for many years, he represented Canadian public mineral exploration companies in property acquisitions and equity finance and has served in an advisory capacity and as a Director for a number of Canadian public companies. He currently serves as Officer of Head Management Investments LLC. and formerly served as the Founder, Chairman, President and Chief Executive Officer of Capital Title Group Inc., a public company providing title insurance services in the USA, since inception in 1981 until it was sold in 2006 for gross proceeds of US$265 million. Graham Thatcher - Specializing in financial reporting and auditing across a breadth of business sectors in both the UK and Canada, bringing extensive experience in operating with International Financial Reporting Standards. He also serves as Chief Financial Officer for Homestake Resource Corporation, Southern Silver Exploration Corp., Valterra Resource Corporation and Group Ten Metals Inc. and as Controller for Manex Resource Group Inc. Prior to that, he led teams performing audit and assurance functions in public practice. • BVA:TSX.V BVA:TSX.V| |BRTN: BRT: FSE FSE 35 Corporate Information Vancouver Office: Reno Office: Bravada Gold Corporation Suite 1100-1199 West Hastings St. Vancouver, BC, V6E 3T5, Canada Bravada Gold Corporation 479 Caughlin Pkwy, #207 Reno, NV, 89519-0907 USA Tel: 775-746-3780 Market Cap September 2016 • $10 Million @ $0.29/share Shares Outstanding • 34,486,874 Fully Diluted • 55,079,785 Options Outstanding • 2,509,000 Warrants Outstanding • 18,061,911 + 22,000 Finder’s Warrants www.bravadagold.com Management & close associates • 21.5% BVA:TSX.V BVA:TSX.V| |BRTN: BRT: FSE FSE 36