Newcore Gold Ltd. · TSXV:NCAU
Newcore Gold — Investor Presentation (December 2021)
37 slides from Newcore Gold's investor presentation, December 2021
Slide 1: In the Business of Gold: 2021 Year in Review
IN THE BUSINESS OF GOLD TSX-V: NCAU OTCQX: NCAUF 2021 YEAR IN REVIEW DECEMBER 2021
Slide 2: Disclaimer and Forward-Looking Statements
Disclaimer and Forward-Looking Statements This presentation is provided for informational purposes only and the opinions expressed are based upon Newcore properties; and other risks and uncertainties related to our prospects, properties and business strategy as identified in Gold Ltd.’s (“Newcore” o
Slide 3: Newcore Gold - Keys to Success
NEWCORE GOLD - KEYS TO SUCCESS GREAT ASSET | Asset with Potential for Size & Scale PROVEN TEAM | Management & Board with a Track-Record MARKET SUPPORT | Capital Markets & Institutional Support TSX-V: NCAU | OTCQX: NCAUF
Slide 4: Top-Tier Management with Capital Markets Support
WHY NEWCORE GOLD Top-Tier Management with Capital Markets Support Management & Board of Directors Institutional Backing Track record of making money for shareholders Clear access to institutional capital Own 27%, invested alongside shareholders ~40% ownership, invested in the last 18 months Capital
Slide 5: Unlocking the Potential of the Enchi Gold Project Through the Drill Bit
2021 YEAR IN REVIEW Unlocking the Potential of the Enchi Gold Project Through the Drill Bit Nov 3/4, 2020 Closed $15M equity financing BOIN ($0.80 per share) & increased drill $1.00 Oct 21, 2020 Drill results: 0.73 g/t Au over 62 m program to 58,000 metres August 4, 2021 June 8, 2021 Closed $11.5M b
Slide 6: Ghana - A Top Gold Jurisdiction
TSX-V: NCAU | OTCQX: NCAUF GHANA - A TOP GOLD JURISDICTION
Slide 7: Ghana - Africa's Top Gold Jurisdiction
ENCHI GOLD PROJECT - LOCATION Ghana - Africa’s Top Gold Jurisdiction 1) Ghana is Africa's largest gold producer, 6th largest worldwide and produces more gold per square km than Nevada* 2) Ghana’s stable, democratic government supports mining 3) Mining and gold are essential to Ghana’s economy and ta
Slide 8: Ghana - Activity In-Country Highlights Strength of Gold Jurisdiction
ENCHI GOLD PROJECT - LOCATION Ghana - Activity In-Country Highlights Strength of Gold Jurisdiction • Strong presence of senior producers in-country, with 4 of the top 10 major gold producers operating in Ghana • 2021 an active year for both M&A and investment by majors in-country M&A Activity in 202
Slide 9: On Trend with Some of Ghana's Most Prominent Mines
ENCHI GOLD PROJECT - LOCATION On Trend with Some of Ghana’s Most Prominent Mines Sefwi-Bibiani Belt Newmont - Ahafo 15.5Moz Asante - Bibiani 6.5Moz Kinross - Chirano 5.5Moz Endeavour - Afema 2.0Moz Newcore Gold - Enchi* 1.41Moz Pelangio - Manfo 500koz ENCHI Ashanti Belt AngloGold - Obuasi 66Moz Gold
Slide 10: Project Overview
ENCHI GOLD PROJECT Project Overview “This is a great piece of land • Shallow oxide gold resources open for in a great neighborhood. A expansion along strike and at depth long history of active (1.41Moz Inferred resource at 0.62 g/t Au*) exploration and mining has • Underexplored Ashanti Style, shear
Slide 11: 2021 Updated PEA & Resource
TSX-V: NCAU | OTCQX: NCAUF 2021 UPDATED PEA & RESOURCE
Slide 12: Low Capex, Robust PEA at Enchi
ENCHI GOLD PROJECT - 2021 PEA Low Capex, Robust PEA at Enchi • Results of an updated PEA incorporating a subset of the drilling completed to date at Enchi highlighted the potential for an open pit, heap leach operation with strong economics and a short payback SIMPLE OPEN PIT US$212 MILLION 42% US$9
Slide 13: Sensitivity Analysis
ENCHI GOLD PROJECT - 2021 PEA A Robust Project with Significant Growth Potential 140,000 $320 • Simple, open pit, heap leach operation 121,387 120,000 $260 • Processing 6.6 mtpa, contract mining Gold Production (ounces) 104,638 104,034 104,286 103,728 Cash Flow (US$M) 100,000 87,639 $200 83,384 ANNU
Slide 14: 2021 Mineral Resource Estimate
ENCHI GOLD PROJECT - 2021 PEA 2021 Mineral Resource Estimate Inferred Mineral Resource Estimate The June 2021 Mineral Resource Estimate Deposit Tonnes Grade (g/t Au) Contained Au (oz) incorporates assay results from: Sewum 41,009,000 0.55 725,200 • 182 diamond drill holes (22,725 metres) Boin 21,807
Slide 15: 90,000 Metre Drill Program Underway
TSX-V: NCAU | OTCQX: NCAUF 90,000 METRE DRILL PROGRAM UNDERWAY
Slide 16: 90,000 Metre RC & Diamond Drill Program Underway
Deposits Targets ENCHI GOLD PROJECT - EXPLORATION Shear Zone 90,000 Metre RC & Diamond Drill Program Underway* • Testing multiple targets, focused on expanding near surface oxide ERADI | Drilling Underway 3 geo-chemical anomalies over resources while defining potential of broader property 3 km long
Slide 17: Drill Success in 2021 - Largest Drill Program Ever at Enchi
ENCHI GOLD PROJECT - 90,000 METRE DRILL PROGRAM Drill Success in 2021 - Largest Drill Program Ever at Enchi • Assay results released for 62,870 metres of drilling to date TOP RESULTS IN 2021 (not in Mineral Resource Estimate) Hole ID From (m) To (m) Length (m) Au (g/t) RESULTS RELEASED FROM 2020 - 2
Slide 18: Sewum Gold Deposit
ENCHI GOLD PROJECT - EXPLORATION Sewum Gold Deposit • Drilling has expanded the drill tested strike extent to 3.5 kms, with the current pit constrained mineral resource defined across a strike extent of 2.4 kms • ~50% of the surface anomaly is untested to date • Drilling has intersected widespread g
Slide 19: Boin Gold Deposit
ENCHI GOLD PROJECT - EXPLORATION Boin Gold Deposit • Drilling has expanded the drill tested strike extent to 4.2 kms, with the current pit constrained mineral resource defined across a strike extent of 2.8 kms • ~50% of the surface anomaly is untested • Wide-spaced exploration drilling has extended
Slide 20: Boin Gold Deposit - North
ENCHI GOLD PROJECT - EXPLORATION Boin Gold Deposit - North • Drilling on the northern extension has extended the drill tested portion of the gold mineralization by 400 metres to the north • Intersected wide zones of mineralization including high- grade core structures and multiple sub-parallel struc
Slide 21: Nyam Gold Deposit
ENCHI GOLD PROJECT - EXPLORATION Nyam Gold Deposit • Drilling has expanded the drill tested strike extent to 3.0 kms, with the current pit constrained mineral resource defined across a strike extent of 1.4 kms • A series of holes were completed to test the southern extension, with the southernmost h
Slide 22: Kwakyekrom Gold Deposit
ENCHI GOLD PROJECT - EXPLORATION Kwakyekrom Gold Deposit • Drilling has expanded the drill tested strike extent to 1.3 kms, Pit Shell Outline with the current pit constrained mineral resource defined across a strike extent of 500 metres • ~40% of the surface anomaly is untested to date • Interpreted
Slide 23: Exploration Strategy & Path Forward
TSX-V: NCAU | OTCQX: NCAUF EXPLORATION STRATEGY & PATH FORWARD
Slide 24: Systematic Approach to Exploration
ENCHI GOLD PROJECT Systematic Approach to Exploration • Numerous targets identified and prioritized DEPOSITS Sewum, Boin, Nyam, Kwakyekrom DRILL TESTED ZONES Kojina Hill, Eradi, Sewum Ext. ADVANCED TARGETS Nkwanta, Sewum South, Tokosea ADDITIONAL TARGETS Beekokrom, Alatakrom, Gyasikrom, Achimfo, Oma
Slide 25: Depth Potential - Chirano Comparable
ENCHI GOLD PROJECT Depth Potential - Chirano Comparable • Kinross’ multi-million ounce Chirano Gold Mine, located • Both properties exhibit numerous targets, with only 6 ~50km northeast of Enchi, hosts plunging zones of high- of 25 targets drilled to date at Enchi and never drilled grade gold minera
Slide 26: Key Takeaways
KEY TAKEAWAYS Top-Tier Management & Board of Directors, Own 27% of Equity Strong Capital Structure & Capital Markets Support Established Resource Base in a Multi-Million Ounce Gold District Robust PEA: Simple, Open Pit, Heap Leach with Low Capital Intensity 90,000 Metre Drill Program Ongoing to Unlo
Slide 27: In the Business of Gold - Contact Information
IN THE LEARN MORE ABOUT THE NEWCORE OPPORTUNITY BUSINESS OF GOLD CONTACT INFORMATION Mal Karwowska, VP, Corporate Development & IR TSX-V: NCAU Office: +1 (604) - 484 - 4399 Email: info@newcoregold.com OTCQX: NCAUF www.newcoregold.com
Slide 28: Drill Result Highlights - Sewum
2020-2021 DRILL PROGRAM AT ENCHI Drill Result Highlights - Sewum* 57 holes (12,719 metres) reported to date Intersected both shallow oxide and deeper sulphide gold mineralization outside of the defined mineral resource area Hole ID From (m) To (m) Length (m) Au (g/t) SWRC073 0.0 28.0 28.0 1.52 inclu
Slide 29: Drill Result Highlights - Boin
2020-2021 DRILL PROGRAM AT ENCHI Drill Result Highlights - Boin* 155 holes (24,976 metres) reported to date, with shallow oxide gold mineralization intersected outside of current resource area Hole ID From (m) To (m) Length (m) Au (g/t) KBRC250 109.0 111.0 2.0 95.16 KBDD064 121.0 195.0 74.0 1.28 inc
Slide 30: Drill Result Highlights - Nyam
2020-2021 DRILL PROGRAM AT ENCHI Drill Result Highlights - Nyam* 83 holes (14,821 metres) reported to date Intersected both shallow oxide and deeper sulphide mineralization outside of mineral resource area Mineralization now defined to a vertical depth of 300 metres, strike length extended to 3.0 km
Slide 31: Drill Result Highlights - Kwakyekrom
2020-2021 DRILL PROGRAM AT ENCHI Drill Result Highlights - Kwakyekrom* 49 holes (7,666 metres) reported to date Drilling to date has identified a strike extent of 1.3 km, remaining open in both directions Both wide gold mineralized zones and multiple sub-parallel structures intersected Hole ID From
Slide 32: Drill Result Highlights - Kojina Hill
2020-2021 DRILL PROGRAM AT ENCHI Drill Result Highlights - Kojina Hill* 14 holes (2,588 metres) reported to date Does not currently have a defined resource, outlined on surface by a 2km long x 1km wide gold-in-soil anomaly Area exhibits structural complexity, drilling underway to better understand t
Slide 33: 2021 PEA Overview
ENCHI GOLD PROJECT - 2021 PEA 2021 PEA Overview 2021 PEA KEY PARAMETERS (US$ where applicable) Key Assumptions • Technically simple, open pit, heap leach operation Base Case Gold Price $1,650/oz • Processing 6.6 mtpa, contract mining, low strip ratio Production Profile Total Tonnes Processed (mt) 68
Slide 34: Gold Production and Cost Profile
ENCHI GOLD PROJECT - 2021 PEA Gold Production and Cost Profile • Average annual gold production of ~104,000 ounces in years 2 to 5, with peak production in year 10 • Low sustaining capital, US$6.7 million in each of year 3 and 6 for heap leach pad expansion 140,000 $1,303 $1,400 $1,296 $1,239 $1,235
Slide 35: After-Tax Cash Flow Profile
ENCHI GOLD PROJECT - 2021 PEA After-Tax Cash Flow Profile • Robust project economics with a short after-tax payback period of 2.3 years at a gold price of US$1,650/oz • Strong leverage to gold prices, after-tax payback drops to 1.9 years at a gold price of US$1,850/oz $450 $422 $395 $350 $318 $303 $
Slide 36: Project Economics - Leverage to Gold Price
ENCHI GOLD PROJECT - 2021 PEA Project Economics - Leverage to Gold Price (US$ where applicable) BASE CASE • Strong project economics provide Gold Price (US$/oz) $1,450 $1,550 $1,650 $1,750 $1,850 $1,950 significant NPV leverage to gold price Pre-Tax NPV5% (US$M) $195 M $264 M $333 M $402 M $471 M $5
Slide 37: Enchi Gold Project Technical Disclosure
APPENDIX Enchi Gold Project Technical Disclosure 2021 Inferred Mineral Resource Estimate 2021 Preliminary Economic Assessment 1. CIM definition standards were followed for the resource estimate. 1. The Preliminary Economic Assessment (“PEA”) is based upon the Company’s 2021 Mineral Resource Estimate