Belo Sun Mining Corp. · TSX:BSX

Belo Sun Mining — Investor Presentation (June 2012)

51 slides from Belo Sun Mining's investor presentation, June 2012

  1. Slide 1: The Largest Developing Gold Project in Brazil

    TSX: BSX The LARGEST developing GOLD PROJECT in BRAZIL CORPORATE PRESENTATION June 2012

  2. Slide 2: Cautionary Notes

    Cautionary Notes This presentation contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the prospective mineralization of the properties, planned exploration pr

  3. Slide 3: BSX Opens TSX April 30th, 2012

    BSX Opens TSX April 30th, 2012 TSX: BSX 3

  4. Slide 4: Experienced Board & Management

    Experienced Board & Management BOARD OF DIRECTORS MANAGEMENT Peter Tagliamonte BRAZIL OPERATIONS TORONTO OFFICE Engineer Carlos Costa Ryan Ptolemy Stan Bharti Geologist (30 years experience) Engineer Chief Financial Officer Jay Hodgson Paulo Fernando Mike Hoffman Geologist Engineer (27 years experie

  5. Slide 5: Capital Structure

    Capital Structure Shares Outstanding No. 230 million Fully Diluted No. 245 million Share Price C$ $1.20 * Market Capitalization C$ $234 million 52 Week High & Low C$ $1.54 - $0.88 Average Daily Volume No. 1,000,000 (3 month average) Cash & Cash Equivalents C$ $36 million ** *As at June 5th , 2012 **

  6. Slide 6: Key Projects

    Key Projects Volta Grande (2.85 Moz M&I) (2.36 Moz Inf) TSX: BSX 6

  7. Slide 7: Volta Grande Infrastructure

    Volta Grande Infrastructure TSX: BSX 7

  8. Slide 8: Volta Grande North Block

    Volta Grande North Block Ouro Verde Ouro Verde Measured & Indicated: 26.6 Mt (1.5M oz) @ 1.77 g/t Au Inferred: 17.4 Mt (930k oz) @ 1.68 g/t Au Grota Seca Measured & Indicated: 25.8 Mt (1.3M oz) @ 1.61 g/t Au Grota Seca Inferred: 18.1 Mt (963k oz) @ 1.66 g/t Au Volta Grande Total Measured & Indicated

  9. Slide 9: Volta Grande

    Volta Grande Topography View from Ouro Verde • Deposit located well above water line • Upstream damming of river will further reduce river level TSX: BSX 9

  10. Slide 10: Resource Expansion 2009 – 2012

    Resource Expansion 2009 – 2012 1.69 3,000 g/t Au Indicated Resources (oz) 2,500 1.66 1.24 g/t Au Inferred Resources (oz) g/t Au 1.7 75,000 metres drilled in 2011 2,000 g/t Au Measured Resources (oz) Au oz (000s ) 1.74 g/t Au 0.95 1.39 1,500 g/t Au g/t Au New Resource 1,000 Q3 2012 1.11 g/t Au Additi

  11. Slide 11: Mineral In Situ Resources Sensitivity

    Mineral “In Situ” Resources Sensitivity TSX: BSX 11

  12. Slide 12: Volta Grande Drilling Program

    Volta Grande Drilling Program 2010 – 2012 TSX: BSX 12

  13. Slide 13: Brownfields Exploration

    Brownfields Exploration Ouro Verde Grota Seca Exploration Camp South Block TSX: BSX 13

  14. Slide 14: Volta Grande Regional Geography

    Volta Grande Regional Geography Property and Claims Status • Belo Sun claims cover 100km of greenstone belt including 16 known Au occurrences TSX: BSX 14

  15. Slide 15: Audited Mineral Resource

    Audited Mineral Resource VOLTA GRANDE PROJECT RESOURCE ESTIMATE MEASURED + VOLTA GRANDE RESOURCES ESTIMATE MEASURED INDICATED INFERRED INDICATED Ouro Verde Pit Constrained Tonnes 16,473,000 10,118,000 26,591,000 17,188,000 Ounces @ 0.5 g/t cut-off 958,000 551,000 1,150,000 930,000 Grade (g/t Au) 1.8

  16. Slide 16: Ouro Verde – Block Model Cross Section 900 NW

    Ouro Verde – Block Model Cross Section 900 NW SW NE 100m 0m 35m 50m g/t Au -100m 105m MR Open Pit Mining - Saprolite US$/t 1.05 Mining - Fresh rock Open Pit US$/t 1.30 Processing US$/t 8.00 G&A US$/t 2.00 -200m Au recovery - Saprolite % 90 Au recovery - Fresh Rock % 95 Au Price US$ / Oz 1,300.00 Blo

  17. Slide 17: Ouro Verde – Block Model Cross Section 525 NW

    Ouro Verde – Block Model Cross Section 525 NW SW NE 100m 35m 0m 50m 50m 150m -100m g/t Au MR Open Pit Mining - Saprolite US$/t 1.05 Mining - Fresh rock Open Pit US$/t 1.30 -200m Processing US$/t 8.00 G&A US$/t 2.00 Au recovery - Saprolite % 90 Au recovery - Fresh Rock % 95 Au Price US$ / Oz 1,300.00

  18. Slide 18: Ouro Verde – Block Model Cross Section 300 NW

    Ouro Verde – Block Model Cross Section 300 NW SW NE 100m 40m 25m 0m g/t Au MR Open Pit 95m Mining - Saprolite US$/t 1.05 Mining - Fresh rock Open Pit US$/t 1.30 Processing US$/t 8.00 G&A US$/t 2.00 -100m Au recovery - Saprolite % 90 Au recovery - Fresh Rock % 95 Au Price US$ / Oz 1,300.00 Block Size

  19. Slide 19: Grota Seca – Block Model Cross Section 2575 W

    Grota Seca – Block Model Cross Section 2575 W SSW NNE 65m 100m 20m 40m MR Open Pit 30m g/t Au Mining - Saprolite US$/t 1.05 Mining - Fresh rock Open Pit US$/t 1.30 0m Processing US$/t 8.00 G&A US$/t 2.00 Au recovery - Saprolite % 90 Au recovery - Fresh Rock % 95 Au Price US$ / Oz 1,300.00 Block Size

  20. Slide 20: Grota Seca – Block Model Cross Section 1875 W

    Grota Seca – Block Model Cross Section 1875 W 200m SSW NNE 75m 0m 20m g/t Au MR Open Pit Mining - Saprolite US$/t 1.05 Mining - Fresh rock Open Pit US$/t 1.30 Processing US$/t 8.00 90m G&A US$/t 2.00 Au recovery - Saprolite % 90 Au recovery - Fresh Rock % 95 -200m Au Price US$ / Oz 1,300.00 40m Bloc

  21. Slide 21: Grota Seca – Block Model Cross Section 825 W

    Grota Seca – Block Model Cross Section 825 W 200m SSW NNE 90m 150m 0m 20m g/t Au MR Open Pit Mining - Saprolite US$/t 1.05 Mining - Fresh rock Open Pit US$/t 1.30 Processing US$/t 8.00 G&A US$/t 2.00 Au recovery - Saprolite % 90 -200m Au recovery - Fresh Rock % 95 Au Price US$ / Oz 1,300.00 Block Si

  22. Slide 22: MR Expansion – OV Non Estimated Solids

    MR Expansion – OV Non Estimated Solids 800NW Measured Indicated Already drilled Inferred TSX: BSX 22

  23. Slide 23: MR Expansion & Classification - OV

    MR Expansion & Classification - OV Cross Sec 775NW 0m MR Open Pit -200m Current Situation -400m Measured Indicated Inferred TSX: BSX 23

  24. Slide 24: MR Expansion – GS Non Estimated Solids

    MR Expansion – GS Non Estimated Solids 100 m 500 m 2200W Measured Indicated Drill holes Already Planned Inferred TSX: BSX 24

  25. Slide 25: MR Expansion & Classification - GS

    MR Expansion & Classification - GS 200m Cross Sec 725W 0m MR Open Pit Current Situation -200m Measured -400m Indicated Inferred TSX: BSX 25

  26. Slide 26: Percent Block Model Type

    Percent Block Model Type Percent Block Model (% of 3D Solid inside of each block) Advantages: 1- No difference between the volume of Solids and Blocks 2- Best block model type to calculate dilution during the mining studies 3- All geological interpretation is covered by blocks

  27. Slide 27: Patrocinio Location Map

    Patrocinio Location Map 18,750 Ha in the prolific Tapajos gold province TSX: BSX 27

  28. Slide 28: Patrocinio

    Patrocinio Tapajos District More than one million ounces of historical gold production at Patrocinio 3.0 km by 1.5 km soil geochemical anomaly defined Grab samples have returned gold values up to 37 g/t in granite and up to 67 g/t in veins IP geophysical survey completed 1,500 meter drill program co

  29. Slide 29: Patrocinio Project Garimpeiro Mining

    Patrocinio Project Garimpeiro Mining TSX: BSX 29

  30. Slide 30: Volta Grande – Preliminary Project Layout

    Volta Grande – Preliminary Project Layout TSX: BSX 30

  31. Slide 31: Proposed Location of Plant Facility

    Proposed Location of Plant Facility TSX: BSX 31

  32. Slide 32: Volta Grande Plant Process Flowsheet

    Volta Grande Plant Process Flowsheet Mine (7,000,000 t/year) Crushing/Stockpiling Milling (SABC) Rejects Tailings Dam Water Recycle to Plant Gravity Circuit Cyclones Concentrate Rejects Lime/Cyanide Flocculant Intensive Leach of Conc. Reagents Thickening Tailings Dam Rich Solution Tailings Slurry Li

  33. Slide 33: Volta Grande Metallurgical Plant

    Volta Grande Metallurgical Plant Metallurgical Plant Plant feed grade 1.475 g/t Overall plant recovery 93.0 - 95.0 % Gold production 308,718 - 315,358 oz/y Annual processing rate 7,000,000 t/y Crushing availability 70.0 % Milling availability 90.0 % Gravity circuit availability 90.0 % Gravity gold r

  34. Slide 34: Volta Grande - Crushing Plant

    Volta Grande - Crushing Plant Crushing Annual processing rate 7,000,000 t/y Crushing availability 70.0 % Nominal capacity 1,142 t/h Installed power 375 kW Type Gyratory Crusher Feed top size 1,000 mm Product P80 175 mm Number of units 1 unit Feed silo capacity: 128 t (86 m3) 5 min. TSX: BSX 34

  35. Slide 35: Volta Grande – Milling Plant

    Volta Grande – Milling Plant Milling Plant Annual processing rate 7,000,000 t/y Availability 90.0 % Nominal capacity 888 t/h Feed P80 175 mm SAG discharge target P80 2.5 mm Ball mill discharge target P80 0.074 mm SAG mill 36 ft diam. X 20 ft EGL 1 unit Ball mill 26 ft diam. X 33 ft EGL 2 units Pebbl

  36. Slide 36: Volta Grande – Leach Plant

    Volta Grande – Leach Plant Leach Plant Annual processing rate 7,000,000 t/y Availability 90.0 % Nominal capacity 888 t/h Feed P80 0.074 mm Leach feed thickener diameter 57.0 m Calculated leach plant recovery 89,23 - 90,91 % Calculated gold produced/week 5,921 - 6,048 oz Calculated silver produced/we

  37. Slide 37: Long Lead Time Equipment

    Long Lead Time Equipment The following main equipment have long lead time for delivering: • Mine operation equipment: Trucks (100 to 180 ton) – 24 months Shovels (20 to 30 yd3) – 24 months. • Milling plant equipment: SAG and ball mills – 24 months An earlier ordering of long lead time items is being

  38. Slide 38: Project Timeline

    Project Timeline DNPM Licensing (RFP+PAE) Preliminary License – LP (6 months - 1 year) Installation License – LI (6 months) Pre-Feasibility Study Definitive Feasibility Study Detailed Engineering Operation License – LO (5 months) Order Long Lead Time Items Construction Project Commissioning TSX: BSX

  39. Slide 39: Breakdown by Elevation

    Breakdown by Elevation VGP - Pit Constrained MR - Apr_2012 (Belo Sun) Tonnage AU_CUT_OK ELEVATION Au Oz T x 1000 g/t 100MD 2,135.787 1.57 107,947 90MD 2,575.962 1.55 128,338 80MD 2,908.453 1.59 148,862 70MD 3,163.029 1.62 164,690 60MD 3,286.139 1.61 170,264 50MD 3,316.202 1.63 173,784 40MD 3,324.782

  40. Slide 40: Ouro Verde - Block Model 3D View

    Ouro Verde - Block Model 3D View LOOKING SE (Pit year 2) 110 m 35 m 45 m 45 m TSX: BSX 40

  41. Slide 41: Grota Seca - Block Model 3D View

    Grota Seca - Block Model 3D View CENTRAL PORTION - LOOKING NW (Pit Year 5) 35 m 105 m 25 m 20 m 35 m TSX: BSX 41

  42. Slide 42: LTM Share Performance

    LTM Share Performance May 1, 2011 – May 1, 2012 30% 20% Return Over Period 10% Spot Au: 6% – Belo Sun: (6%) (10%) Producing Gold Peers: (15%) (20%) S&P/TSX Global Gold: (23%) (30%) (40%) (50%) Emerging Gold Peers: (54%) (60%) May-11 Jun-11 Aug-11 Sep-11 Nov-11 Jan-12 Feb-12 Apr-12 1 Source: TD Secur

  43. Slide 43: P/NAV Ratio (8% Discount Rate)

    Belo Sun Peers Share Price to NAV Ratio 0.50 NAV Increase; Increase gold $2,000 Initiate price assumption to $1,500/oz. P/NAV Ratio (8% Discount Rate) Coverage 0.45 0.40 $1,800 0.35 0.30 NAV Increase; Improved $1,600 resource grade 0.25 0.20 $1,400 0.15 Resource Update 0.10 $1,200 10/17/2011 10/31/2

  44. Slide 44: Share Price to NAV Ratio Peers

    Belo Sun Peers Share Price to NAV Ratio 1.2 1 0.8 0.6 P/NAV Multiple 0.4 0.2 0 Banro Keegan Romarco Teranga Orezone Canaco* Pretivm Belo Sun Detour Average Gabriel Trelawney Queenston** Rainy River Rubicon Gold Canyon* Source: Jeff Kileen, CIBC World Markets Inc., January 5th, 2012 * Valuation based

  45. Slide 45: Independent Research Coverage

    Independent Research Coverage Independent Research – Full Coverage Firm Analyst TD Securities Dan Earle CIBC Jeff Kileen BMO Capital Markets John P. Hayes National Bank Financial Shane Nagle Cormark Securities Richard Gray Independent Research – Research Notes Firm Analyst Dundee Capital Markets Ron

  46. Slide 46: For more information, please contact

    For more information, please contact: Phone: 416.309.2137 www.belosun.com TSX: BSX TSX: BSX 46

  47. Slide 47: Appendix: Geology & Mineralization

    Appendix Geology & Mineralization From Scott Wilson RPA Technical NI 43-101 Report, September 2009: The area of the Volta Grande property is underlain by Late Precambrian metavolcanic and metasedimentary rocks, which are intruded by dioritic and granodioritic plutons. The bulk of these rocks are als

  48. Slide 48: Appendix: Resource Depth

    Appendix Resource Depth Approximately 79% (55 million tonnes) of the resource occurs within 200 meters from surface TSX: BSX 48

  49. Slide 49: Appendix: Local Geology

    Appendix Local Geology Gold mineralization is associated with a major shear zone and is hosted in intense hydrothermally altered rocks with close association with disseminated sulphides (py/apy): Intense silicification with fine- grained sulphide (mainly apy) within strongly sheared diorite – Grota

  50. Slide 50: Appendix: Project Overview

    Appendix Project Overview Definitive Feasibility Study underway - AMEC Minproc Engenharia e Consultoria Limitada – Dec 2012 Pre-Feasibility Study underway – AMEC Minproc Engenharia e Consultoria Limitada – Aug 2012 40,000 m Drilling Program for 2012 ACME Preparation Lab on site for assays – Construc

  51. Slide 51: Appendix: Mineral Resources Parameters

    Appendix Mineral Resources Parameters 1) The mineralized envelope were modeled into wireframe solids using a 0.5 g/t Au cut-off grade in fresh and saprolite rocks. Resources were modeled in vertical and horizontal sections. 3D shells were generated by linking the horizontal sections 2) The database

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