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FORWARD LOOKING STATEMENTS
TERMS OF USE AND DISCLAIMER - This presentation is being provided for the sole purpose of providing the recipients with background information about GFG Resources Inc. (“GFG”). GFG has made reasonable efforts to ensure that the information contained in this presentation is accurate as of the date hereof, however, there may be inadvertent or unintentional errors. No representation, warranty or guarantee, express or implied, is made as to the fairness, accuracy, completeness or correctness of information contained in this presentation, including the accuracy, likelihood of achievement or reasonableness of any forecasts, prospects, results or statements in relation to future matters contained in this presentation. The views and information provided herein are based on a number of estimates and assumptions that are subject to significant exploration, business, economic, regulatory and competitive uncertainties. See “Forward Looking Statements” below. GFG is not liable to any recipient or third party for the use of or reliance on the information contained in this presentation.
This presentation provides information in summary form only, is not intended to be complete and does not constitute an offer to sell or the solicitation of an offer to buy any security. It is not intended to be relied upon as advice to investors or potential investors and does not constitute a personal recommendation or take into account the investment objectives, financial situation or needs of any particular investor. GFG is not acting as agent or advisor and encourages the use of independent consultants, as necessary, prior to entering into transactions.
FORWARD LOOKING STATEMENTS – Except for the statements of historical fact contained herein, the information presented constitutes "forward-looking statements" within the meaning of Canadian and United States securities and other laws. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “aims”, “anticipates”, “will”, “projects”, or “believes” or variations (including negative variations) of such words and phrases, or statements that certain actions, events, results or conditions “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. By their very nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond our control. Forward looking statements are based on the opinions and estimates of management at the date the statements are made, as well as a number of assumptions made by, and information currently available to, GFG concerning, among other things, anticipated geological formations, potential mineralization, future plans for exploration and/or development, potential future production, drilling exposure, and exploration budgets and timing of expenditures, all of which involve known and TBD risks, uncertainties and other factors which may cause the actual results, performance or achievement of GFG to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Factors that could cause actual results to vary materially from results anticipated by such forward looking statements include, among others, risks related to the Company’s limited operating history, current and future exploration activities, the Company’s need for significant additional capital, changes in government legislation, changes in ownership interest in a project, conclusions of economic evaluations, changes in project parameters as plans continue to be refined, future prices and volatility of gold, silver and other metals, environmental risks and hazards, infrastructure and/or operating costs, labor and employment matters, availability of financing, permitting availability, government regulation, changes in equity markets, the uncertainties involved in interpreting geological data, the validity of the Company’s title to its properties, increases in costs and exchange rate fluctuations, the Company’s dependence on key personnel, as well as those factors discussed in the sections “Cautionary Statement Regarding Forward Looking Statements”, and "Risk Factors”.
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KEY INVESTMENT HIGHLIGHTS
Assembled a highly credible team of Explorers and Developers
Recently consolidated the entire Rattlesnake Hills district via three transactions and staking (33.5K acres)
Under-explored alkaline gold system similar to the Cripple Creek (Newmont) & Wharf (Coeur) gold systems
Impressive grades at surface and depth; deposits remain open in multiple directions:
High Grade: 56 m of 9.73 g/t Au Disseminated: 405 m of 1.31 g/t Au (from surface)
Aggressive exploration program for H2 2016
Target-rich environment with advanced & early-stage prospects 78 km of historic drilling focused largely on 2 targets
Significant corporate interest in the past $76 million JV entered into with Agnico-Eagle in 2011 $15 million placement entered into with Goldcorp in 2010
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LEADERSHIP TEAM
EXECUTIVE TEAM
Brian Skanderbeg - President & CEO, Director
Tim Brown – Vice President, Exploration
Marc Lepage – Vice President, Business Development
BOARD OF DIRECTORS
Patrick Downey - Non-Executive Chair
Jonathan Awde - Director
Stephen de Jong - Director
SPECIAL ADVISORS
Johnathan Rubenstein
Steve Koehler
Dr. David Palmer
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Capital StructureShares Outstanding* 45.8 millionOptions 400,000Warrants NilFully Diluted* 46.2 millionCash Balance as of June 30th US$4.4M
Crest Petroleum (CTP.H) (as of Sept. 9,2016) C$1.20
* Assuming completion of the Arrangement with Crest Petroleum
GFG RESOURCES - RTO TIMING
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• NI 43-101 technical report on Rattlesnake project to TSX.V;
• Share exchange between GFG Canada and GFG US completed in August 2016;
• Filed NI 43-101 report and joint (Crest & GFG) Circular September 9, 2016;
• Apply to TSX.V to resume trading of Crest (CTP.H) (on a pre-RTO basis) – September 12, 2016;
• Mail-out Circular to Crest and GFG Shareholders – September 14, 2016;
• Crest and GFG shareholder meetings to approve RTO – on October 14, 2016;
• Court approval for RTO – mid-October, 2016; and
• Close RTO/Change name to GFG – mid-October, 2016.
43-101 Draft to TSX Exchange
July
Draft IC to Crest/GFG
Shareholders
Aug 5th
43-101 Comments from exchange Late -
Aug
IC to Crest/GFG
Shareholders
Early - Sept
Apply for Crest trading
Early - Sept
Crest/GFG Shareholder
meeting
Mid - Oct
Court approval of RTO
Mid - Oct
Close RTO and Change Name to
GFG
Mid - Oct
CORPORATE STRATEGY – OPPORTUNISTIC
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• RATTLESNAKE is our cornerstone asset• District-scale opportunity• Excellent jurisdiction• Demonstrated large scale Au- system• Attractive to Mid-tier and Major
producers
• Quality assets are available and will bereviewed to assess strategic fit.• Projects remain financially
constrained and our ability to financeand attract partners will provideopportunity
• North America – Au focus• Experienced technical team capable
of project evaluation
Marketing Launch
Sept
RTO Completion
Oct
P1 Drilling
Oct – Nov
Investor & Analyst Site Visit
Oct
P1 Program Completed
Dec
GFG Resources
‘Go For Gold’
Rattlesnake District
2nd Asset
Opportunistic Acquisition
Project
Generator
Wyoming: An Active and Friendly Mining State
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Economy driven by resource sector and is a leader in the U.S.:
#1 national producer of:• Coal• Uranium• Trona• Bentonite
#2 in rare earths
#3 in natural gas
#7 in crude oil
Infrastructure: • 100 km from Casper• 20 km to highway• Power line on southern portion of
the property• Access to water • No National or State Parks near
property
Rattlesnake Hills Project
Coal OperationsUranium Operations
(Source: U.S. Energy Information Administration)
EXPLORING A PRODUCTIVE GOLD PROVINCE
1. Mutschler, F.E.et al., 1997. Potential for Alkaline Igneous Rock - Related Gold Deposits in the Colorado Plateau Laccolithic Centers. USGS Bulletin 2158 (image, past production and current resources, modified from Mutschler, et al.)
2. Rochester and Wharf Tours. Coeur Mining presentation, June 2015
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Rocky Mountain Alkaline Gold Province
• +1,500 km long belt of alkaline gold deposits on the east side of the Rocky Mountains
• Multiple +1M ounce gold deposits
• Cripple Creek, Wharf, Golden Sunlight: Consistent gold producers for multiple decades
• Rattlesnake is in the middle of this productive gold belt
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Characteristic CC RSH
Qtz poor alt/min
Voluminous K & Carb altn
Minor acid altn
Fluorite
Roscoelite
Peripheral propylitic altn
Multiple magmatic events
Multiple hydrothermal events
Lithologic contacts as fluid paths
Te rich minerals TBDTetrahedrite TBDBarite TBDStructure
High Au/Ag
High Au/base metals
AN IMPORTANT ANALOGY: Cripple Creek vs. Rattlesnake Hills
• Highly prospective geologic setting at Rattlesnake
• Most applicable geophysical tools underutilized: • Airborne resistivity• CSAMT only applied
locally (where gold discovered)
DISTRICT SCALE OPPORTUNITY AT RATTLESNAKE• First time land package has been unified• 36 mapped intrusive targets - Only 2 drill-tested• Potential to find multiple North Stock – type deposits• Potential to connect zones for significant tonnage
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Evolving Gold and Endurance Gold 2015 staking and IEV acquisition
Location Map
2016 staking and current land position
Claim block outline
Endurance ground
Evolving ground
IEV acquisition *
Staking (2015)
New staking (2016)*
CONSOLIDATED LAND POSITION: A New District Scale Opportunity
North Stock
Antelope Basin
Black Jack
52 square miles33,280 acres135 square km
* IEV agreement in principle & 2016 staking is pending
Claim block outline
Endurance ground
Evolving ground
IEV acquisition *
Staking (2015)
New staking (2016)*
DISCOVERIES TO DATE – All Remain Open
Antelope
Basin
NORTH STOCK
• Broad mineralized corridor: 300 m by 100m wide and drilled to a depth of 500m
• Broad +1.0 g/t Au intersections plussignificant higher grade gold
• 405 m of 1.31 g/t Au
• 56 m of 9.73 g/t Au
• Open to the north, west and south towardsAntelope Basin
ANTELOPE BASIN
• 350 m x 200 m wide and drilled to a depthof 250 m
• 76 m of 1.91 g/t Au
BLACK JACK
• Discovered with regional soils in 2012
• 33 m of 1.35 g/t Au
• 15 2m of 0.56 g/t Au
• Open with flanking soil anomaly to the NW,N and NE and at depth
ENDURANCE ACQUISITION
• Hosts a large number of alkaline intrusivebodies with associated intense K alterationand anomalous soils and rock samples no drilling
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78,000 metres of core, but focused on a small section of
property – Consolidation of the District is Key
2016 Staking and Land Position
North Stock
Blackjack
* IEV agreement in principle & 2016 staking is pending
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Blackjack
Growler
GarfieldBald Mtn
AntelopeBasin
North Stock
South Stock
NE Stock
• VTEM provides key regionalresistivity model forstructural interpretation;flown orthogonal to AEMsurvey
• AEM completed a regionalMagnetic and Radiometricsurvey although targetsbased on the airborne werenot tested
• JV terminated as Au-pricedropped
• Completed - data pending
• Follow-up with CSAMTground survey in 2017
2016 EXPLORATION PROGRAM: Airborne VTEM Survey
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2016 EXPLORATION PROGRAM: Soil Geochemistry
Claim block outline
Existing soils
Phase 1 soils
Phase 2 soils
• Evolving Gold andEndurance used soilsbut key proximal targetareas lack soil coverage
• Au, As, Bi, V, Cu & Agare key pathfinderswith relatively lowthreshold anomaliesshowing relevance (ie.Blackjack was a 2 pt soilanomaly)
• P1 and P2 grids (5,000samples) to becompleted in 2016 withinfill budgeted for 2017
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2016 EXPLORATION PROGRAM: Mapping
• Evolving Gold completedmapping with academicsupport (M. Sc and Ph.D) withfocus on litho and altn in coreof district – structuralinterpretation was lacking
• Endurance, IEV & new claimstaking has regional scalemapping only
• Focus on alteration andstructure building from coreof known district to the North(Map area 2 & 3)
• Inclusion of core andutilizing field based,geophysical data andhandheldspectrometer
• SRK to be engaged and activein Q3
NORTH STOCK & ANTELOPE BASIN TARGETS
• 78,000 m of drilling with vast majority focused onNorth Stock and Antelope Basin.• Deepest holes to 900 m depth & system
remains open to west, north & east
• Linkage and extensions have potential to significantlyextend mineralization.
GREENFIELD AND BROWNFIELD TARGETS
• DISTRICT POTENTIAL IS UNTESTED
• 78,000 m of drilling with majority focused on North Stock and Antelope Basin
• Targets to be based on structural and alteration mapping, re-logging of core, 2016 VTEM/historic AEMsurvey, soil geochemistry and regional mineralization model
Focus ofhistoric drilling
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A TARGET-RICH ENVIRONMENT THAT WARRANTS AN AGGRESSIVE EXPLORATION APPROACH
KEY INVESTMENT HIGHLIGHTS
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Assembled a highly credible team of Explorers and Developers
Recently consolidated the entire Rattlesnake Hills district via three transactions and staking (33.5K acres)
Under-explored alkaline gold system similar to the Cripple Creek (Newmont) & Wharf (Coeur) gold systems
Impressive grades at surface and depth; deposits remain open in multiple directions.
High Grade: 56 m of 9.73 g/t Au Disseminated: 405 m of 1.31 g/t Au (from surface)
Aggressive exploration program for H2 2016
Target-rich environment with advanced & early-stage prospects 78 Km of historic drilling focused largely on 2 targets
Significant corporate interest in the past $76 million JV entered into with Agnico-Eagle in 2011 $15 million placement entered into with Goldcorp in 2010
APPENDIX A: EXECUTIVE TEAM & SPECIAL ADVISORS
EXECUTIVE TEAMBrian Skanderbeg, P.Geo. - President & CEO, DirectorMr. Skanderbeg was most recently President and CEO of Claude Resources Inc. since November 2014 – which was acquired by Silver Standard ResourcesInc. for $337 million. He previously worked for Goldcorp, Inco Ltd. and Helio Resources, holding positions in both exploration and operations. He holds aB.Sc. from the University of Manitoba and an M.Sc. from Rhodes University, South Africa. He brings extensive experience in gold systems, operationalmanagement, cost and asset optimization and strategic analysis.
Tim Brown - Vice President Exploration Prior to joining GFG Resources, Mr. Brown enjoyed a 21-year career at Cripple Creek. During this time he spent 9 years as Exploration Manager, duringwhich time 6.4 million ounces of gold were added to the resource, including 4.1 million added to reserves. He also held positions as Chief Geologist, Sr.Geologist, Ore Control Geologist and Exploration Geologist. Prior to his time at Cripple Creek he has 10 years of additional experience as an explorationgeologist.
Marc Lepage - Vice President Business DevelopmentPrior to joining GFG Resources, Mr. Lepage spent nearly eight years with Claude Resources Inc. as Manager, Investor Relations which was acquired by SilverStandard Inc. in 2016. Prior to his position with Claude, Mr. Lepage held marketing and business development positions in the consumer products andfinancial sectors. Mr. Lepage holds a Bachelor of Commerce degree from the University of Saskatchewan and a Certified Professional Investor Relationsdesignation from the Richard Ivey School of Business.
SPECIAL ADVISORSJohnathan RubensteinMr. Rubenstein is a professional director, serving on the boards of several publicly listed mining companies, including MAG Silver (as Chairman), DetourGold Corporation,Eldorado Gold Corporation, Troon Ventures Ltd., Roxgold Inc. and Rio Novo Gold Inc.
Steve KoehlerMr. Koehler is currently Manager of Projects for Gold Standard Ventures. Mr. Koehler has had a 24 year career with Newmont, Placer Dome and MirandaGold working on the Carlin and Cortez Trends of northern Nevada. Which included gold discoveries at Leeville, Four Corners, Hardie Footwall Extension,Pete underground and Cortez Hills. He was also Chief Geologist for Evolving Gold and is an AIPG Certified Professional Geologist (#10216) and a QP asdefined by NI 43-101.
Dr. David PalmerOver 25 years as an exploration geologist in international mining industry. Currently CEO of Probe Metals; previously CEO of Probe Mines and responsiblefor two major mineral discoveries, including the multi-million ounce Borden Gold deposit acquired by Goldcorp in 2015.
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APPENDIX B: BOARD OF DIRECTORS
Brian Skanderbeg, P.Geo. - President & CEO, DirectorMr. Skanderbeg was most recently President and CEO of Claude Resources Inc. since November 2014 – which was acquired by SilverStandard Resources Inc. for $337 million. He previously worked for Goldcorp, Inco Ltd. and Helio Resources, holding positions in bothexploration and operations. He holds a B.Sc. from the University of Manitoba and an M.Sc. from Rhodes University, South Africa. He bringsextensive experience in gold systems, operational management, cost and asset optimization and strategic analysis.
Patrick Downey, P.Eng. - Non-Executive ChairMr. Downey has over 25 years of international experience in the resource industry. Most recently, Mr. Downey was a Director at ClaudeResources Inc. Prior to this, Mr Downey was President and CEO of Elgin Mining Inc., which was acquired by Mandalay Resources Inc. Hehas held numerous senior engineering positions at several large scale gold mining operations. He holds a B.Sc (Hon.) degree in Engineeringfrom Queen's University in Belfast, Ireland.
Jonathan Awde, B.A. - DirectorMr. Awde has the spent the last 12 years financing junior resource companies and has focused on institutional accounts. Mr. Awde hasraised over $150m for public and private companies in the resource sector. Mr. Awde is co-founder, President/CEO and a Director of GoldStandard Ventures where he oversees all financing, corporate activities and developments for the company. Mr. Awde received his BA inEconomics & Finance from Acadia University and is a former Sales & Trading professional at a CDN Broker Dealer.
Stephen de Jong, B. Comm. - DirectorMr. de Jong is currently President and CEO of Integra Gold Corp. Under his leadership, Mr. de Jong has advanced the Lamaque projecttowards production. He has been instrumental in the financing of the Company, having raised $100 million in equity since assuming theChief Executive Officer position. Mr. de Jong holds a Bachelor of Commerce degree from Royal Roads University and is also a Director ofEastmain Resources Inc.
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