Mcewen Inc. · NYSE:MUX
Mcewen — McEwen Mining — Q2 2020 Earnings Presentation
18 slides from Mcewen's earnings presentation, Aug 11, 2020
Slide 1: Results for the Quarter Ended June 30, 2020
Results for the Quarter Ended June 30, 2020 NYSE & TSX Presentation By: Rob McEwen, Chief Owner & Chairman Peter Mah, Chief Operating Officer Sylvain Guerard, SVP Exploration Gold / / Copper August 7, 2020
Slide 2: Cautionary Statement
MUX Cautionary Statement Risk adverse? Forget about buying our shares. Past performance is unreliable in predicting the future. Unexpected events can happen and can change forecasts. MUX
Slide 3: Q2 2020 Introduction & Financial Results
Q2 2020 Introduction & Financial Results Rob McEwen, CEO & Chief Owner
Slide 4: Q2 2020 Operating Results
Q2 2020 Operating Results Peter Mah, COO
Slide 5: Gold Bar Q2 Results
MUX Gold Bar Q2 Results GOLD PRODUCED 6,100oz Q2 and 15,200oz H1 2020 • Production impacted by shutdown in April for COVID - 19 and operating on a single shift basis during May and June • Getting back on track we started 24 - hour operations towards end of July and are ramping up towards feasibility
Slide 6: Black Fox Q2 Results
MUX Black Fox Q2 Results GOLD PRODUCED 2,200oz Q2 and 10,500oz H1 2020 • Production was primarily impacted by the COVID - 19 shutdown: - a slower than expected ramp up as the mine resumed normal operations - lower grades from longer stope exposure times that were blasted before the shutdown - delays
Slide 7: Gold Resource Estimates - Canada
MUX Gold Resource Estimates - Canada Measured and Indicated Inferred Tonnes (,000) Grade (g/t) M&I (oz) Tonnes (,000) Grade (g/t) Inferred (oz) Timmins, Open Pit 12.6 1.91 777,000 6.3 1.79 358,000 Timmins, Underground 4.4 4.88 692,000 4.2 4.35 596,000 Timmins Total 1,469,000 954,000 Black Fox Mine 1
Slide 8: Organic Growth Expansion Strategy
MUX Organic Growth Expansion Strategy Grey Fox Stock Froome Production Target +300 Koz / Year 1 Black Fox Mine - Current 2020 Improve & Sustain Production 2021 Near Term Production 2022 - 2023 Growth & LOM Exploration Discovery Contributing to Blue - Sky Growth Potential 1 Based on existing Measured
Slide 9: Black Fox – 2020 Mine Plan
MUX 840E 660HQZ 660 - 680 CZ 400 - 460CZ Black Fox West 280 - 300W 280E 240E 620E YE 2019 Resources Production Stopes Planned Development Actual Development Actual Mined Stopes Black Fox – 2020 Mine Plan New Opportunities Generated Active Ore Development & Definition Drilling What’s Different? 1. Re
Slide 10: What Next on the West Flank? New Drill Targets
MUX WHAT NEXT ON THE West Flank? New Drill Targets
Slide 11: Grey Fox – Growing Into a Potential Long-Life Core Asset
MUX Gibson Portal 147 NE Contact Pit 147 Pit Gibson South Pit 1km Whiskey Jack NORTH ▪ Potential high grade open pit (+3g/t)* ▪ Potential underground (7g/t)* ▪ Scoping study Q4 2020 - Includes scoping requirements for Stock mill, infrastructure, environment, etc. - Potential for addition of Lexam pr
Slide 12: Froome Twin Ramp Access – Average 30% Complete
MUX Froome Twin Ramp Access – Average 30% Complete ON TARGET . FIRST ORE EXPECTED Q2 2021 Black Fox Pit North Actual 375m Actual 262m Ventilation Ramp 637m Remaining Haulage Ramp 718m Remaining Haulage Ramp 27% Complete Ventilation Ramp 37% Complete July 31 st Actual Plan View Pit bottom Transverse
Slide 13: Froome – Planned Production Q4 2021
MUX Froome – Planned Production Q4 2021 Froome vs Black Fox Important Advantages • Shallower deposit, suited for low cost, productive ‘bulk mining’ and not beneath the pit • More consistent grades and continuity in a wide disseminated style mineralization • Wider expected mining widths ranging from
Slide 14: Q2 2020 Exploration Results
Q2 2020 Exploration Results Sylvain Guerard, Senior VP Exploration
Slide 15: Gold Bar Property 2019 – 2020 Drill Intersections
MUX Old Gold Bar Gold Bar South Gold Pick Pot Canyon Cabin Creek Gold Canyon Gold Bar Property 2019 – 2020 Drill Intersections
Slide 16: 2019 and 2020 Drill Results Highlights
MUX 300 m 2019 drill results highlights 2020 drill results highlights 1.0g/t Au / 125ft 1.8g/t Au / 20ft 1.0g/t Au / 146ft 2.4g/t Au / 41ft 2.5g/t Au / 105ft 5.4g/t Au / 25ft 1.7g/t Au / 185ft 4g/ t Au / 40ft 2.1g/t Au / 155ft 3g/t Au / 100ft 1.8g/t Au / 210ft 2.9g/t Au / 120ft 2.0g/t Au / 195ft 4.0
Slide 17: Black Fox Property Drill Results
MUX Black Fox Property MUX Drill Results Black Fox Mine Froome Grey Fox
Slide 18: Black Fox Going West & Deep
MUX Structural Interpretation by David Rhys Panterra Geoservices Inc. Black Fox Going West & Deep Vertical Longitudinal Section - 500m - 1000m Froome 232g/t Au / 0.9m 60.7g/t Au / 2.9m, 91.2g/t Au / 0.9m 23.3g/t Au / 2.8m, 76.7g/t Au / 1m, 30g/t Au / 4m, 44.8g/t Au / 5.8m incl. 410g/t Au / 0.5m 13.9