Surge Copper Corp. · TSXV:SURG
Surge Copper — Investor Presentation (March 2023)
35 slides from Surge Copper's investor presentation, Mar 1, 2023
Slide 1: Copper Discovery & Development in British Columbia
TSXV:SURG | OTCQX:SRGXF | FRA:G6D2 Copper Discovery & Development in British Columbia March0 2023
Slide 2: Disclaimer
Disclaimer This presentation (“Presentation”) is being issued by Surge Copper Corp. (the “Company” or “Surge Copper”) for information purposes only. Cautionary Statements Concerning Forward-Looking Statements This Presentation contains "forward-looking information" within the meaning of applicable C
Slide 3: Advancing a Canadian Critical Metals District
Advancing a Canadian Critical Metals District T HREE BUCKETS OF VALUE CREATION POTENTIAL Berg Project Ootsa Project Regional Exploration • Progressing a PEA on Berg, led by • The Ootsa project (Seel and Ox • Surge has made significant Ausenco with input from Moose porphyry deposits plus Seel Breccia
Slide 4: District Overview
District Overview S URGE CONTROLS A DOMINANT LAND POSITION IN THE B ERG -H UCKLEBERRY -O OTSA DISTRICT Competitive Advantages ✓Over 1 Bt of combined M+I resources1 at Ootsa & Berg ✓Deposits accessible by road, off Trans-Canada Highway 0.40% ✓Abundant fresh water resources ✓Multiple nearby port optio
Slide 5: Berg Project
Berg Project 4
Slide 6: Berg Project – 30,000 ft View
Berg Project – 30,000 ft View L OW ELEVATION CONCENTRATOR AND TMF | U SE OF ELECTRIFIED CONVEYORS AND GRID HYDROELECTRICITY Conceptual Site Layout for PEA Looking Northeast Berg Deposit M&I: 610 Mt @ 0.40% CuEq Inf: 28 Mt @ 0.31% CuEq Huckleberry Mine & Mill Complex Concentrator Ootsa Deposits Locat
Slide 7: Berg – Deposit with High-Grade Potential
Berg – Deposit with High-Grade Potential A UNIQUE BC PORPHYRY DEPOSIT | N EAR - SURFACE , HIGH - GRADE ZONES Highlights • Near-surface & high-grade zones: potentially amenable to low strip, early sequence mining • Notable compared to other BC porphyries due to the significant supergene enrichment zo
Slide 8: Berg – New Data to be Added to MRE
Berg – New Data to be Added to MRE D RILLING IN NORTHEAST AND SOUTHERN PORTIONS OF DEPOSIT | H ISTORICAL CORE AND PULP GOLD RE - ASSAYS Highlights • Completed 2,855 metres in 9 holes, all encountered long intervals of mineralization in areas of low drill density • Completed 5,200 historical core sam
Slide 9: Berg 2021 Drill Program
Berg 2021 Drill Program S ELECTED CROSS SECTIONS FROM 2021 DRILL PROGRAM Section A-A’ Section B-B’ Lighter shaded traces are historical holes 1) See End Note . 8
Slide 10: Ootsa Project
7 COPPER CORP Ootsa Project
Slide 11: Ootsa Project
Ootsa Project T WO PORPHYRY COPPER DEPOSITS | T OTAL M&I R ESOURCES OF 439M T @ 0.32% C U E Q 1 Favourable Location – Central B.C. Interior • The deposits at Ootsa are favourably located adjacent to Imperial Metals’ Huckleberry Mine & Mill complex • The project area has gentle rolling topography, a
Slide 12: New Ootsa Resource Estimate
New Ootsa Resource Estimate L ARGE COMBINED RESOURCE | T OTAL M&I OF 439M T @ 0.32% C U E Q 1 | A TTRACTIVE GRADE PROFILE BY DEPTH Highlights Combined Seel & Ox M&I Resource Tonnes by CuEq Grade Range and Depth from Surface • Updated resource based on ~152,000m of drilling 0 to 100 m 11.3 9.5 13.4 4
Slide 13: Significant Increase in Resources
Significant Increase in Resources I NCREASE OF 96% IN M&I RESOURCE 1 Highlights • Approximately 50,000 metres of drilling completed since 2018 at Seel has significantly expanded mineralization in key areas, relative to the prior 2016 resource estimate • New drilling helped support a 96% increase in
Slide 14: Seel Metallurgy
Seel Metallurgy R ECENTLY COMPLETED LARGE - SCALE FLOTATION TESTWORK PROGRAM Highlights • Large volume of material (2,000 kgs) used to create 4 distinct Simplified Test Results from Bulk Concentrate Generation and Molybdenum Separation Tests composites representing different parts of the resource at
Slide 15: Regional Exploration
Regional Exploration 14
Slide 16: District Scale Exploration Opportunity
District Scale Exploration Opportunity L ARGE PIPELINE OF TARGETS IN ONE OF BC’ S MOST PROSPECTIVE COPPER DISTRICTS ✓2022 field program screened and advanced over 20 regional targets ✓Included approximately 15,300 metres of drill testing, ground geophysics, and surface mapping & sampling 0.40% West
Slide 17: New ZTEM Geophysical Survey
New ZTEM Geophysical Survey D EEP PENETRATING SURVEY | P OWERFUL IMAGING CAPABILITIES Total Divergence Apparent Resistivity Isosurface 16
Slide 18: Recent Results: New Cu-Au Porphyry Potential at Seel
Recent Results: New Cu-Au Porphyry Potential at Seel R ECENT DRILLING IDENTIFIED A NEW NEAR - SURFACE C U -A U TARGET JUST TO THE NORTH OF E AST S EEL Highlights • Holes S22-328 and 330 were drilled along the northern margins of the Seel Breccia East Zone (angled south) and encountered >100m interva
Slide 19: Recent Results: New Silver Discovery at Blackjack
Recent Results: New Silver Discovery at Blackjack V ERY LARGE AND HIGHLY ALTERED INTRUSTIVE CENTRE PROSPECTIVE FOR PM’ S AND WIDE OPEN FOR FURTHER DISCOVERY Highlights • Holes BJ22-01 was testing a large ZTEM anomaly and encountered a wide zone of Ag- Au-Pb-Zn mineralization in addition to 3 individ
Slide 20: Recent Results: New Zn-Ag-Au-Pb Breccia Discovery
Recent Results: New Zn-Ag-Au-Pb Breccia Discovery L ARGE AND OPEN ZONE OF BRECCIA HOSTED MINEREALIZATION WITH SIGNIFICANT GOLD AND SILVER VALUES Highlights • During 2022, Surge drilled 21 holes into the new Seel Breccia East Zone • Defined a breccia hosted mineralized zone currently defined over a 4
Slide 21: Recent Results: Bergette Porphyry Target
Recent Results: Bergette Porphyry Target L ARGE - SCALE COPPER PORPHYRY TARGET APPROXIM ATELY 10 KM EAST OF THE B ERG DEPOSIT Highlights • Holes BTG22-01 (vertical) and 02 (angled to the northeast) were drilled from the same pad at Bergette, targeting updated geochemical, magnetic, and chargeability
Slide 22: Corporate Info
Corporate Info 21
Slide 23: Capitalization
Capitalization A LL - EQUITY CAP STRUCTURE Equity Capitalization1 Key Announcements over Last Twelve Months $0.40 2.5 Basic Shares Outstanding 194.5M Berg 368m @ 0.58% Market Cap $29.2M $0.35 CuEq ZTEM Results 2.0 Cash $3.1M $0.30 Receipt of Ootsa Enterprise Value $26.1M Resource Berg Permit and Sta
Slide 24: Management & Board
Management & Board H IGHLY EXPERIENCED TEAM | T RACK RECORD OF SUCCESS IN DISCOVERY , CAPITAL RAISING , AND M&A Management Team Board of Directors Leif Nilsson | Chief Executive Officer & Director Christian Kargl-Simard | Non-Exec Board Chair Mining industry professional and former investment banker
Slide 25: Catalyst Outlook
Catalyst Outlook E XTENSIVE DRILL PROGRAMS | G ENERATIVE PIPELINE | P ROJECT DERISKING ✓Exploration drill results from Phase Two regional program at Berg including Sibola, and Sylvia ✓Exploration target updates from regional surface reconnaissance program and 2023 exploration program planning ✓Berg
Slide 26: Contact Info
www.surgecopper.com TSXV:SURG LinkedIn: Surge Copper Corp +1 604 718 5454 info@surgecopper.com OTCQX:SRGXF Frankfurt: G6D2 Twitter: @SurgeCopper Contact Info 25
Slide 27: What is the opportunity in copper?
What is the opportunity in copper? B IG M ARKET + S TRONG F UNDAMENTALS = A TTRACTIVE TO M AJORS Copper is the quintessential electric metal • Demand growth exposure to three “megatrends”: Renewables 1 Lower energy Urbanization and infrastructure investment denisity higher metal utilization 2 Grow
Slide 28: Why BC?
Why BC? T OP MINING JURISDICTION WITH THE RIGHT INGREDIENTS FOR AN ESG FOCUSED FUTURE • British Columbia is a top mining jurisdiction that is well positioned for an ESG focused future ✓Stable jurisdiction and fiscal regime ✓Clear and thorough environmental permitting process ✓World class infrastruct
Slide 29: One of the Largest Resource Bases in Western Canada
One of the Largest Resource Bases in Western Canada G LOBAL M&I RESOURCE TONNES AND WEIGHTED AVERAGE C U E Q 1 GRADE 3,000 0.70% 0.60% Combined M&I Resource Grade (% CuEq) 2,500 0.50% Global M&I Resource (Mt) 2,000 0.40% 1,500 0.30% 1,000 0.20% 500 0.10% 0 0.00% Red Chris Gibraltar Casino Highland V
Slide 30: First Nation Involvement
First Nation Involvement S URGE ’ S EXPLORATION PROGRAMS AND WORK FORCE HAVE BENEFITED IMMENSELY FROM F IRST N ATION SUPPORT & PARTICIPATION Our Approach Cheslatta Carrier Nation members have been regularly employed at the Ootsa Project, providing exploration • Open communication and engagement rega
Slide 31: ESG a Driver of Long-Term Value Creation
ESG a Driver of Long-Term Value Creation I NCREASED FOCUS ON ESG RESPONSIBILITIES , OPPORTUNITIES , AND BEST PRACTICES Environmental Social Governance • Focused on project design • Field operations governed by up-to- • Oversight responsibility from opportunities to minimize carbon date policies incl
Slide 32: Berg Option Agreement
Berg Option Agreement S UMMARY OF KEY TERMS • Definitive Option Agreement with Thompson Creek Metals Company Inc., a subsidiary of Centerra Gold Inc. Option Agreement • Option to acquire a 70% interest in the Berg property • Five year option period • Initial grant to Centerra of $4 million in Surge
Slide 33: Ootsa Mineral Resources (2022)
Ootsa Mineral Resources (2022)1 P IT - CONSTRAINED USING C$8.27/ T NSR CUT - OFF Grade Gross Contained Metal Tonnage Cu Mo Au Ag CuEq Cu Mo Au Ag CuEq (Mt) (%) (%) (g/t) (g/t) (%) (Mlbs) (Mlbs) (Moz) (Moz) (Mlbs) Seel Measured 103.7 0.19 0.014 0.15 2.6 0.36 440 32 0.5 8.7 823 Indicated 276.1 0.16 0.
Slide 34: Berg Mineral Resources (2021)
Berg Mineral Resources (2021)1 P IT - CONSTRAINED USING 0.20% C U E Q CUT - OFF Grade Gross Contained Metal Tonnage Copper Moly Silver CuEq Copper Moly Silver CuEq (Mt) (% Cu) (% Mo) (g/t Ag) (% CuEq) (Mlbs Cu) (Mlbs Mo) (Moz Ag) (Mlbs CuEq) Supergene Measured 86.9 0.41% 0.027% 2.5 0.52% 789 52 6.9
Slide 35: End Notes
End Notes ✦ Except where specified, all occurrences of copper equivalent (“CuEq”) are calculated on a gross in-situ basis, with no adjustments made for recovery, using the following pricing assumptions for copper equivalency: $3.85/lb Cu, $1,750/oz Au, $12.40/lb Mo, $22/oz Ag. ✧ Economic viability c