Trx Gold Corporation · AMEX:TRX
Trx Gold — Tanzanian Gold — Investor Presentation (May 2020)
23 slides from Trx Gold's investor presentation, May 19, 2020
Slide 1: Tanzanian Gold Corporate Presentation April 2020
Tanzanian Gold Corporate Presentation corporation April 2020
Slide 2: Cautionary Note
Cautionary Note ‘Tarzanian Gold Comoration ("Tanzanian Gold” or the “Company”), has takenall reasonable cee in producing and publishing information contained in this presentation. Tanzanian Gold does not warrant or make any representations regarding the use, validity, acauracy, completeness or relia
Slide 3: Advancing the permitted, PFS-stage Buckreef Gold Project in Tanzania
Advancing the permitted, PFS-stage Buckreef Gold Project in Tanzania under a 55%/45% JV with STAMICO (Tanzanian State mining company) 2018 PFS demonstrates potential for a long-life, low-cost open pit mining operation with a financeable capital cost — 16-year mine producing ~51K oz of gold per year
Slide 4: Capital Structure
5 Tickers NYSE:TRX, TSX:TNX Capita Share Price (April 18, 2020) US$0.54 (50.75) Structure 52-Week Range US$0.36-US$1.20 (CS0.55-C$1.56) Basic Shares Outstanding 160.4M Options 7.3M! NTD: company Warrants 4.3MP . : to provide FD Shares Outstanding 172.0M Market Capitalization (Basic) USS86.6M (C$120.
Slide 5: Management and Board
Jim Sinel: Became Chairman in April 2002 Founder of the SinclairGroup of Companies (full brokerage financialservices provider) Acted as Precious Metals Advisor to Hunt Oil and the Hunt family from 1981 to 1984for the liquidation of thetr silver position Previously a general partner and member of the
Slide 6: Portfolio of Projects in Tanzania
Portfolio of Projectsin Tanzania Operatingin NYSE:TRX, TSX:TNX P ‘ ‘ah ye: . Near-term, high-grade oxide gold 4 fal production i. ’ LOCATION OF TRE LICENCES ON LAKE VICTORIA GREENSTONE BELT “ha ame Shy Buckreef Project (55%) Ry Flagship project jo Recently doubled M&l resource of main deposit to 2.3
Slide 7: Buckreef Gold Project Overview
Buckreef Gold Project Overview NYSE:TRX, TSX:TNX tangoldcorp.com Ownership Location History Geology & Mineralization Global Reserves & Resources 2018 PFS 55% Tanzanian Gold (operator) 45% STAMICO (Tanzanian State mining company) 6% gross value royalties payable to the State “45 km SW of Geita and ~1
Slide 8: 2018 Pre-Feasibility Study
* Announced on July 30, 2018 * Envisions a simple and conventional open pit and processing operation with a staged ramp-up toa 1.5M tpy by year 4 — Mining of four open pits over the Buckreef (85% of LOM ore), Bingwa, Eastern Porphyry and Tembo deposits — Processing comprised of crushing, gi gravity
Slide 9: 2019 Drill Program Summary
* Completion of Phase II drilling concluded the most extensive year of drilling in the Company’s history ~ 60 holes, 17,650 m drilled in 2019 Final drill hole extended the Buckreef shear deposit in the Northern Extension by 300m along strike — BMRCD298: 31 m at 2.45 g/t Au from 650 m — BMRCD308: 50.
Slide 10: March 2020 Resource Estimate for the Buckreef Shear Zone
Buckreef Gold Project March 2020 Resource Estimate for the Buckre NYSE:TRX, TSX:TNX tangoldcorp.com M&l gold resources for the Buckreef Shear Zone more than doubled compared to the previous estimate — Assuming a 0.5 g/t Au cut-off grade Incorporates the results of the 2019 Phase | and II drill progr
Slide 11: 3D representation of Phase III drill program
3D representation of Phase Ill drill program Buckreef Phase Il testing the extension of gold mineralization below the bottom of the pit drilled following Phase II Evaluating potential to add higher-grade underground mining to the proposed PFS open pit Leveling of ROM pad in preparation of small- sca
Slide 12: Buckreef Phase III Drill Program
Buckreef Gold Project Phase lll Drill Prograr NYSE:TRX, TSX:TNX tangoldeorp.com Excellent potential to materially expand the Buckreef Shear deposit at depth at both the Main Zone and Northeast Extension Exploration target is conceptual in nature and based on 5 isolated drill holes and assumed extens
Slide 13: New Resource Model and Underground Mine Potential
Buckreef Gold Project New Resource Model patties Underground Mine Potential TRX, TSX:TNX oldcorp.com The following are screen shots from rotating 3D images showing mineralization by a late dyke is 3D model confirms that xtensions of ed zones are still intact ion fora Phase III hole below the dyke
Slide 14: General arrangement for oxide pit
General arrangement for oxide pit Buckreef Oxide resources at the Buckreef Shear Deposit Gold are best suited for treatment by a separate, smaller-scale plant Project Oxide resources that are ator close to surface make up only 1% of the contained gold in the 2018 PFS "Rom pad open pit. Mining Near-
Slide 15: Mining contract awarded and site development well underway
Buckreef Mining contract has been awarded and site development ROM pad coiripiacted is well underway Awarded through a public tender with local content rules. Adjudication results were approved by BGC Committee, the Board and by the M 1g Commission — Contractor has commenced site preparations (roads
Slide 16: Grade Control Drilling
Grade Control Drilling * Completed ~6,475 m of grade control RC drilling over the Phase | and II drill programs * Grades from Phase | grade control drill program were 8% to 22% higher than the wider spaced resource model grades * Phase III to include 5,000 m of drilling (50% completed) to refine min
Slide 17: Comparable Company Analysis
Comparable Tanzanian Gold trades at an EV/resource multiple of just US$28/oz Au, which is 57% below the Com pany average of gold companies advancing permitted, construction-stage gold projects Analysis Excellent potential for a material re-rating as we execute our strategy of simultaneously growing
Slide 18: Why Tanzanian Gold?
Why . as Current Phase Ill drill program expected to substantially expand Tanzanian : ‘ higher-grade underground mineable resources at depth Gold? Exploration target of 29M to 41M tonnes containing 1.2M to 2.2Moz Au Promising initial drill results (13.4 m at 3.4g/t Au from 617.3 m) Mining of high-gr
Slide 19: Investor Relations
Investor Relations Tanzanian Gold corporation investors@tangoldcorp.com Michael Martin investor Relations Manager Email: M.Martin@tangoldcorp.com Phone: 1-860-248-0999
Slide 20: NI 43-101 Compliant Reserve Estimate
NI 43-101 Comp! int Reserve Estimate (as of June 26, 2018)! Tonnes Grade Contained Deposit Category (000s) (e/t Au) (000 oz Au) Buckreef Proven 8,174 1.64 430 Probable 8,174 1.40 368 P&P reserves 16,349 152 798 Eastern Porphyry Proven 79 4.17 93 Probable 9,764 41.03 1,003 P&Preserves t—™~S 1056 2=©2
Slide 21: NI 43-101 Compliant Resource Estimate for the Buckreef Shear Zone
NI 43-101 Compliant Resource Estimate for the Buckreef Shear Zone (0.4 g/t Au cut-off)! Category Tonnes Grade (g/t Au) Contained (oz Au) Measured 35,871,600 1.74 2,010,780 Indicated 10,010,350 1.08 331,870 Ma 45,881,950 1.59 2,342,650 Inferred 9,926,300 0.63, 39,190 NI 43-101 Compliant Resource Esti
Slide 22: Buziba Project
Located 25 km east of the Buckreef Projectin the Geita district Single prospecting license that covers 5.3 km? Gold mineralization is associated with shear- hosted vein quartz arrays in meta-basalts and as extensive stock worksin the felsic porphyries Gold mineralization extends over an irregular sh
Slide 23: Other Tanzanian Projects
Project Itetemia Kigosi Luhala 85% Tanzanian Gold [+ 100% Tanzanian Gold 15% STAMICO Ownership» 90% TanzanianGold . + 10% STAMICO, with right to acquire | + additional 20%by meeting 20% of development coststo production 175 km south of Mwanza inthe Lake |* 75 km south of Mwanza inthe Lake Tanzania V