SUMMER 2016 PRESENTATION
Transcription
SUMMER 2016 PRESENTATION
SUMMER 2016 PRESENTATION TSX.V: ATG Forward Looking Statement This presentation includes “forward-looking information” and “forward looking statements”(“forward-looking statements”) within the meaning of applicable securities laws. All statements other than statements of historical fact are forward-looking statements. Forward-looking statements included herein are with respect to resource estimates and exploration targets and the potential for the discovery of additional gold deposits; the initiation and outcome of test-mining and processing and the ability to generate cash there from; the securing of requisite production permits and the completion of the matters identified under “Timelines” and the respective timing thereof; and the approval of the Idaho Court to the payment plan for the Clean Water Act penalty. Such are based on assumptions, estimates, opinions and analysis made by management in light of its experience, current conditions and its expectations of future developments as well as other factors which it believes to be reasonable and relevant. These assumptions include the accuracy of historical records, the accuracy of the Company’s resource estimates and the geological, metallurgical and price assumptions on which they are based, the availability of adequate financing on a timely basis, and the ability to achieve operating cost estimates and to complete outstanding environmental litigation. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied in the forward-looking statements. Risks and uncertainties that may cause actual results to differ materially include, but are not limited to, the speculative nature of mineral exploration, development and mining (including uncertainties with respect to the interpretation of geology, continuity, size and grade estimates and the recoverability of mineral reserves and resources); the Company’s limited financial resources and the delay or inability to obtain additional financing on satisfactory terms; the delay or inability to resolve the environmental litigation on satisfactory terms and to comply with the terms thereof; operational and technical difficulties which could increase development and operating costs; risks associated with the business of mineral exploration, development and mining, including the ability to obtain requisite permits and licenses, environmental, health and safety hazards, fluctuations in resource prices and currency exchange rates and changes in government regulations; changes in general economic and financial market conditions; as well as other risks and uncertainties identified in the Company’s filings available at www.sedar.com. Should any of the risks or uncertainties materialize or should any of the assumptions prove to be incorrect, then actual results could vary materially from those expressed or implied in the forward-looking statements and you should not place undue reliance on such statements. The mineral resource estimates included herein were prepared in accordance with the requirements of Canadian securities regulatory authorities which differ significantly from those of the United States Securities and Exchange Commission. The SEC applies different standards in order to classify mineralization as a reserve and does not recognize the terms “measured, indicated and inferred resources” and you should not assume that all or any part of the mineral deposits in these categories constitute or will ever be converted into reserves. Inferred resources have a great amount of uncertainty as to their existence and economic feasibility and it cannot be assumed that all or any part of an inferred mineral resource will be upgraded to a higher category. Summer 2016 TSXV: ATG / OTC PINK: ATLDF | www.atgoldinc.com |2 Highlights Experienced Board and Management team Significant existing NI 43-101 resource increased to 752,000 Au oz Indicated and 385,900 Au oz Inferred Atlanta Shear Zone remains open along strike and at depth, with lateral extensions and splays • Significant potential in surrounding mineralized structures which hosted historic mines Potential to generate cash flow from small test processing from the Neal, Atlanta and other potential properties Summer 2016 TSXV: ATG / OTC PINK: ATLDF | www.atgoldinc.com |3 Capital Structure Symbol TSXV: ATG | OTC PINK: ATLDF Share Price (July 29, 2016) $0.09 52 Week High/Low $0.105 / $0.045 Shares Outstanding 38.45 Million Warrants 3.59 Million Convertible Debt & Loans 21.14 Million Fully Diluted 63.18 Million Market Capitalization $3.46 Million Institutional Ownership 8.65 Million Management Ownership 3.89 Million Road Berms - Safety Summer Summer 2016 2016 TSXV: OTC PINK: PINK: ATLDF ATLDF || www.atgoldinc.com www.atgoldinc.com TSXV: ATG ATG // OTC || 4 4 Board and Management ALLAN FOLK, CHAIRMAN Mr. Allan Folk brings to the board over 35 years of experience in the investment industry with a bias toward the resource sector. He is currently the Vice President of Brant Securities and serves as Vice President of Institutional Equity Sales at Forte House Inc. Mr. Folk also serves as a director of Barkerville Gold Mines Ltd and CEO and director of Monarca Minerals Inc. He is Chair of the audit committee of Atlanta Gold Inc. JAMES GRAY, DIRECTOR Mr. James Gray has over 50 years experience in oil and gas industry; formerly a co-founder of Canadian Hunter Exploration Ltd.; Director of Brookfield Asset Management Inc., Cequence Energy Ltd. and PHX Energy Services Corp. He was appointed Officer of the Order of Canada; awarded an Honourary Doctor of Law from University of Calgary; and received the YMCA Fellowship of Honour in 1995. Recently, retired as Chairman of Atlanta Gold Inc . Presently, he is a member of the audit committee.. ERNEST SIMMONS, PRESIDENT & CEO AND DIRECTOR Prior to his promotion in June 2012 to CEO, he served as Chief Operating Officer and Vice President of Mining for the Company. Mr. Simmons has over 50 years of mining industry experience with a long history in the Canadian, U.S. and Mongolian mining industry as a miner, supervisor, manager and corporate director. Mr. Simmons is a graduate of the Haileybury School of Mines and Regis University, Denver and has been with the Company since January 2008. ERIC BERENTSEN, DIRECTOR In January 2014, he accepted the position of Vice President of Atlanta Gold Corporation. Mr. Berentsen has over 36 years experience as a geologist and has been a Director of AGI since 2006; he was formerly the President of Jipangu Exploration Inc. and also formerly senior geologist with Placer Dome Inc., Apollo Gold Inc. and Getchell Gold Corp. JOHN JACKSON, DIRECTOR Founded Jacksons Food Stores, Inc. a nationally recognized chain of 205 branded convenience stores. Owns and operates Jackson Oil and Capitol Distributing. Jackson Oil is a wholesale and transportation company delivering fuel to over 600 branded retail locations. Capitol Distributing is a grocery wholesaler that delivers merchandise to over 400 convenience store locations. KENJI SAKAI, DIRECTOR Mr. Kenji Sakai has been an Executive Director and General Manager of Jipangu Inc. since 2009. Prior to his position at Jipangu, he held senior partner, managing director and CEO positions at Asahi Shinwa Company (currently KPMG Azusa LLC), Asahi Ernst & Young Consulting, Arthur Andersen, KPMG Consulting ( PwC Consulting ), Huron Consulting and Maxis Consulting. He has over 10 years of experience as director and over 10 years of consulting experience including corporate strategy development, merger and acquisition and turn around management. Mr. Sakai has been a Director at Florida Canyon Mining, Inc., Jipangu Exploration Inc. and Standard Gold Mining, Inc. since May 2012. He has co-authored articles in several industry journals including Japan Management Association and Toyo Keisai. Mr. Sakai earned a Bachelor of Law degree from Dokkyo University and an MBA from the University of Washington (Seattle, Washington). He is a member of the audit committee of Atlanta Gold Inc. Summer 2016 TSXV: ATG / OTC PINK: ATLDF | www.atgoldinc.com |5 Organizational Chart Atlanta Gold Inc. Atlanta Gold Corporation 100% 100% HydroClean Resources, LLC: High-Priority Partnership Mineral Point, LLC: Feb. 13, 2015 51% Neal Development, LP: Commenced July 1, 2015 Neal Development: Commenced July 1, 2015 54 Units Available Summer 2016 Monarch Property: Available July 2016 TSXV: ATG / OTC PINK: ATLDF | www.atgoldinc.com Pearl Property: Available July 2016 |6 Developing a Sustainable Project Environmental Priorities: Protecting Air, Water and Ground Quality Protecting Endangered Species Protecting and / or Mitigating Loss of Forested Wetlands Improving Water Quality Projected Benefits: Projected benefits to the local community arising from commencement of commercial production at the Atlanta Gold Mine include: • Provide ongoing direct and indirect employment for approximately 400 people when the entire Project is permitted and full production has been achieved • Increase business and employment opportunities • Improve and develop alternate year-round access routes to back country from Atlanta • Enhance emergency services such as fire prevention, medical evacuation and security North Slope: Proposed site for infrastructure for processing Summer Summer 2016 2016 TSXV: OTC PINK: PINK: ATLDF ATLDF || www.atgoldinc.com www.atgoldinc.com TSXV: ATG ATG // OTC || 7 7 Atlanta’s NI 43-101 Resource Estimate as of July 31, 2016 GOLD SILVER Grade Area Grade Grams Ounces of Ounce Tons Cut-Off Ounces Gold (000’s) Per Per Ton (000’s) Grade Au Per Ton Au Ag Tonne Au (opt) Ounces of Grams Ounces of Silver as Silver Gold Per Equivalent Tonne (000's) (000's) Ag TOTAL EQUIVALENT OUNCES OF GOLD (000's) OPEN -PIT: Indicated 7,140 0.035 0.091 3.13 652.4 0.218 7.47 1,556.4 29.6 682.0 Inferred 1,478 0.035 0.127 4.36 188.2 0.275 9.43 406.5 7.8 196.0 Indicated 633 0.098 0.157 5.40 99.6 0.163 5.59 103.2 3.4 103.0 Inferred 1,239 0.098 0.160 5.47 197.7 0.153 5.25 189.6 3.6 201.3 UNDERGROUND: TOTAL: Indicated 7,773 0.097 3.32 752.0 0.214 7.32 1,659.6 33.0 785.0 Inferred 2,717 0.142 4.87 385.9 0.219 7.52 596.1 11.4 397.3 Summer Summer 2016 2016 TSXV: OTC PINK: PINK: ATLDF ATLDF || www.atgoldinc.com www.atgoldinc.com TSXV: ATG ATG // OTC || 8 8 Neal Project Neal Development L.P. Located in Elmore County, Idaho, the property consists of 7 unpatented mining claims and 5 patented lode claims totaling 192 acres Surface exploration trenching and sampling underway • Mine and transport mineralized materials for processing (not less than 20,000 tons) • AGC will be responsible for the contract mining and transportation costs as well as the payment of a tonnage royalty of US$3 per dry ton and a 3% NSR • No tailings, sediment or similar ponds will be constructed on site Processing of the material from the Neal Property will enable AGC to further test and improve upon the processing equipment and procedures currently in place The processing of material from the Neal property to continue during the winter months when the Atlanta project is largely inaccessible Summer Summer 2016 2016 TSXV: OTC PINK: PINK: ATLDF ATLDF || www.atgoldinc.com www.atgoldinc.com TSXV: ATG ATG // OTC || 10 10 Flow Chart Free Gold Concentrate 50:1 concentration ratio Sulphide Concentrate 50:1 concentration ratio To Refinery Free Gold Concentrate Excavate Crush Gravity Concentrate Refractory to a Roaster To Refinery Summer Summer 2016 2016 TSXV: OTC PINK: PINK: ATLDF ATLDF || www.atgoldinc.com www.atgoldinc.com TSXV: ATG ATG // OTC || 11 11 Neal Property* Schedule July to December 2016 2016 1. Crush & Stockpile for Processing Notes 1 week 2. Receive mine permit from Idaho State Lands Q3 (applied March 2016) 3. Increase Stockpile to 20,000 tons at 0.15 OPT 4. Processing 20,000 tons (500 tons/shift) grading 0.15 OPT (5.12g) 5. Deliver to refinery or toll mill facility Q4 *Due to low elevation, Neal has year-round access Note: Steps 3 to 5 require additional funding into L.P. Summer Summer 2016 2016 TSXV: OTC PINK: PINK: ATLDF ATLDF || www.atgoldinc.com www.atgoldinc.com TSXV: ATG ATG // OTC || 12 12 Proposed Neal Flow Sheet Summer Summer 2016 2016 TSXV: OTC PINK: PINK: ATLDF ATLDF || www.atgoldinc.com www.atgoldinc.com TSXV: ATG ATG // OTC || 13 13 Neal Project – August 2016 Reclamation – Contours 3:1 Slope Summer Summer 2016 2016 Signs – Silt Fence TSXV: OTC PINK: PINK: ATLDF ATLDF || www.atgoldinc.com www.atgoldinc.com TSXV: ATG ATG // OTC || 14 14 Neal Project – August 2016 Benches Summer Summer 2016 2016 Reclamation - Seeding TSXV: OTC PINK: PINK: ATLDF ATLDF || www.atgoldinc.com www.atgoldinc.com TSXV: ATG ATG // OTC || 15 15 Plan Going Forward: Neal Property Short Term Objective: To increase the stockpile to not less than 20,000 tons at 0.15 OPT. The material will be transported offsite, crushed in a gravel pit, then fed to concentrators owned by AGC, processed by AGC or by a toll mill facility. The concentrate will be delivered to a refinery or a roaster. Final Objective: Verification of the potential for a mine in the Neal Mining District, centered around the properties held by Mineral Points. The remainder of the mineralized material on the Neal is below surface. Summer Summer 2016 2016 TSXV: OTC PINK: PINK: ATLDF ATLDF || www.atgoldinc.com www.atgoldinc.com TSXV: ATG ATG // OTC || 16 16 HydroClean Resources, LLC HydroClean System Summer 2016 TSXV: ATG / OTC PINK: ATLDF | www.atgoldinc.com | 18 HydroClean Resources, LLC: 2015-2016 2015 Summer 2016 2016 • Formed HydroClean, LP • • Patent Pending - Submitted International Patent Application in Nov. 2015 Converted HydroClean, LLC to HydroClean, LP January 2016 • Share ownership of HydroClean, LP: 45% ATG, 10% Ernie Simmons, 45% Investors TSXV: ATG / OTC PINK: ATLDF | www.atgoldinc.com | 19 Future Goals Test mine on small scale properties (first: Neal Property) Bulk sampling and test processing on a small scale through 2016 on the Neal Property, Monarch and Pearl provide further funding ($1.4 million) is available Test processing will: • Showcase the minimal environmental impact and establish environmental and community reputation • Demonstrate excellent recoveries (˄80% of total gold) using water with gravity without the use of any chemicals • Advance certain exploration and processing methods that will be available to AGC for use (at the Atlanta Project) • Facilitate full-scale permitting for Neal • Generate cash flow, to reduce ATG debt Ultimate goal is full scale production on Atlanta Gold property Monetization of water treatment facility, patent-pending late 2016 Summer Summer 2016 2016 TSXV: OTC PINK: PINK: ATLDF ATLDF || www.atgoldinc.com www.atgoldinc.com TSXV: ATG ATG // OTC || 20 20 Contact Wm. Ernest Simmons, President & CEO T: +1.208.424.3343 E: esimmons@atlantagold.com Peili Miao, CFO T: +1.416.777.0013 E: peilimiao@atgoldinc.com Cathy Hume, Investor Relations T: +1.416.868.1079 x231 E: cathy@chfir.com Summer Summer 2016 2016 Knelson Concentrator TSXV: OTC PINK: PINK: ATLDF ATLDF || www.atgoldinc.com www.atgoldinc.com TSXV: ATG ATG // OTC || 21 21