Troilus Mining Corp · TSX:TLG
Troilus Mining — Troilus Gold — Investor Presentation (March 2023)
36 slides from Troilus Mining's investor presentation, March 2023
Slide 1: The Troilus Project
A New Life for a Former Gold & Copper Mine in Quebec SCALE TSX: TLG OTCQX: CHXMF FRA: CM5R The Troilus Project JURISDICTION A New Life for a Former Gold & Copper Mine in Quebec LONG LIFE Corporate Presentation - March 2023 | 1
Slide 2: Cautionary Language, QP Statements and Legal Disclaimers
CAUTIONARY LANGUAGE, QP STATEMENTS AND LEGAL DISCLAIMERS Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. There is no certainty that the Indicated Mineral “forecasts”, “intends”, “contemplates”, “goal”, “continue”, “anticipates” or “does not anticipate”, o
Slide 3: Troilus Gold Corp. is Responsibly Developing the Past-Producing Gold-Copper Troilus Project
TROILUS GOLD CORP. IS Strong Financial Position RESPONSIBLY DEVELOPING Cash & marketable securities of $50M from recent transaction with Sayona Mining THE PAST-PRODUCING Located in Top-Ranked Mining Jurisdiction GOLD-COPPER Quebec ranked #6 globally by the Fraser Institute in 2021 TROILUS PROJECT Qu
Slide 4: Quebec, Canada: Top-Rated Mining Jurisdiction Globally
QUEBEC, CANADA: TOP-RATED MINING JURISDICTION GLOBALLY Mining in Quebec, Canada Low-cost operation location Chibougamau (~170km south of Troilus) Quebec is ranked 6th globally on the mining “Investment Attractiveness Index”* Established regulatory and permitting framework Chibougamau Access
Slide 5: Troilus Located in One of the World's Richest Gold Regions
TROILUS LOCATED IN ONE OF THE WORLD’S RICHEST GOLD REGIONS | 5
Slide 6: Sound Capital Structure & Strong Cash Position
SOUND CAPITAL STRUCTURE TSX: TLG OTCQX: CHXMF FRA: CM5R & STRONG CASH POSITION NOT INCLUDING WORKING CAPITAL (C$) TROILUS/SAYONA TRANSACTION VALUE C$50M See press releases dated November 16/17, 2022 $5.1 million *As at FQ1 ending Oct 31, 2022 Debt: Nil CAPITAL STRUCTURE (Feb. 13, 2022) ANALYST COVER
Slide 7: Strong & Supportive Shareholder Base
STRONG & SUPPORTIVE SHAREHOLDER BASE Strategic Partnership with Committed, Long-Term Shareholders & Partnerships the Quebec Government $11.15 million invested in Troilus in July 2021 through Investissement Québec Defines a long-term strategic framework ~10% ~60% focused on establishing full proj
Slide 8: Leadership Team in Place to Advance Troilus Mine Restart
LEADERSHIP TEAM IN PLACE TO ADVANCE TROILUS MINE RESTART SENIOR MANAGEMENT BOARD OF DIRECTORS Diane Lai, ICD.D, MBA – Chairperson Seasoned executive and entrepreneur with +20 yrs of global marketing experience Jamie Horvat, M.Sc. +20 yrs of experience in asset management, particularly resources and
Slide 9: Sale of Select Claims to Sayona Mining Ltd.
SALE OF SELECT CLAIMS TO SAYONA MINING LTD. (NOV. 16/17, 2022) TRANSACTION PROVIDES TROILUS WITH CASH & MARKETABLE SECURITIES OF C$50M Main Mineral Corridor & Former Mine Site Troilus Gold Corp. sold 1,824 claims (985 km²) to Sayona Mining Ltd. in consideration for: $40 million worth of Sayona sha
Slide 10: Multiple Regional Targets to Support Growth Strategy
MULTIPLE REGIONAL TARGETS TO SUPPORT GROWTH STRATEGY 1 ALLONGÉ 110 g/t Au grab sample (2018) 2 BEYAN / CRESSIDA 1 Drill results: Grab Samples: 1.62 g/t Au/ 34m 12 g/t Au 1.23 g/t Au/ 21m 9.7 g/t Au 1.11 g/t Au/ 19.3m 32.5 g/t Ag 1.0 g/t Au/ 44.6m 2 3 TESTARD / BULLSEYE Drilling Results: Grab Samples
Slide 11: New Discovery at Testard (March 2022)
NEW DISCOVERY AT TESTARD (MARCH 2022) Main Mineral Corridor J Zone Z87 Southwest Testard 10km | 11 *See press release dated March 31, 2022.
Slide 12: Discovery of Gold in Outcrop Within a 4.4km Trend
DISCOVERY OF GOLD IN OUTCROP WITHIN A 4.4KM TREND (NOV. 2022) Main Mineral Corridor Regnault Drill Highlights: J Zone Z87 - 8.47 g/t over 29m Southwest - 6.91 g/t over 1.93m - 12.76 g/t over 1.93m Discovery of a 4.4km Gold Trend Believed to be lithologically and structurally connected to Pallador &
Slide 13: Former Mine Site & Main Mineral Zones
FORMER MINE SITE & MAIN MINERAL ZONES Enlarged Area Allongé J Zone Z87 Z87 South Gap Zone Southwest J4 pit Formerly mined pits J4 pit Z87 pit Z87 pit 2020 Mineral Resource Wireframes & PEA Pit Shells Defined Mineralized Zones +20km Geophysical Trend | 13 | 13
Slide 14: Brownfield Advantage: US$350 Million of Inherited Value
BROWNFIELD ADVANTAGE APPROX. Initial Construction Starter US$350 MILLION Camp *installed septic OF INHERITED VALUE 50MW Substation Core Storage & Logging Water Treatment Facility Tailings Facility 60 km Power Line, Site *with capacity to accommodate Roads and River Crossings PEA’s LOM production | 1
Slide 15: Mineral Resource Growth
MINERAL RESOURCE GROWTH 4.96 TOTAL METERS DRILLED Acquisition 4.71 Moz AuEq 277,300 metres Moz AuEq of Troilus 3.92 Moz AuEq Included in 2020 PEA Drilled after the 2020 PEA 3.15 Moz AuEq 81,300m 196,000m 2.05 Moz AuEq 1.76 Moz AuEq 1.17 Moz AuEq 0.70 Moz AuEq Ind. Inf. Ind. Inf. Ind. Inf. Ind. Inf.
Slide 16: 2018-2022 Near-Pit Resource Expansion
2018-2022 NEAR-PIT RESOURCE EXPANSION B Main Mineral Corridor, Long Section Facing Northwest SOUTHWEST ZONE - GAP ZONE Z87 SOUTH - Z87 - J ZONE ALLONGÉ Road access; Drilled/discovered in late 2019 Formerly mined pits (1996-2010) 110 g/t Au grab Inferred Resource of 583,000 oz AuEq* (July 202
Slide 17: Main Mineral Corridor Growth Potential
MAIN MINERAL CORRIDOR GROWTH POTENTIAL Long Section Facing Northwest CONNECTOR SOUTHWEST X22 ZONE SOUTHWEST ZONE GAP ZONE Z87 SOUTH Z87 J ZONE - 1.15 g/t AuEq over 4m, incl. 1.07 g/t over 3m, - 1.75 g/t AuEq over 138m, - 2.42 g/t AuEq over 6m incl. 4.48 g/t AuEq over 1m incl 5.19 g/t over 21m - 1.72
Slide 18: X22: At-Surface High-Grade Discovery in Z87 (Oct. 2022)
X22: AT-SURFACE HIGH-GRADE DISCOVERY IN Z87 (OCT. 2022) HIGHLIGHTS 2.52 g/t AuEq over 25m, incl. 12.36 g/t over 3m and 3.15 g/t X22 300m strike length, +500m potential over 6m (Hole 87-411) based on mag low geophysics trend OPEN 2.04 g/t AuEq over 17m, incl. 4.95 g/t AuEq over 5m (Hole 87-410)
Slide 19: X22 Mineral Strike Length Extending Over +800m
X22 MINERAL STRIKE LENGTH EXTENDING OVER +800M (FEB. 2023) Remains open to the southwest along strike, and at depth A A’ J ZONE 0.77 g/t AuEq over 50m incl 2.42 g/t AuEq over 9m X22 1.04 g/t AuEq over 5m (Reported Oct. 17, 2022) 4.38 g/t AuEq over 46m 1.05 g/t AuEq over 5m incl 15.5 g/t AuEq over 12
Slide 20: High-Grade 'Connector Zone' Between Former Pits
HIGH-GRADE ‘CONNECTOR ZONE’ BETWEEN FORMER PITS (NOV. 2022) High-Grade Expansion of Main Z87 Ore Zone at Depth and Bridging to J Zone J ZONE CONNECTOR ZONE X22 Z87 *See press release dated November 8, 2022 | 20
Slide 21: Typical Cross-Section: 2016 vs. 2021
TYPICAL CROSS-SECTION: 2016 VS. 2021 J ZONE Main Mineral Corridor, Long Section Facing Northwest HIGHLIGHTS SOUTHWEST ZONE GAP ZONE Z87 SOUTH Z87 J ZONE ALLONGÉ New parallel zone of mineralization identified over a strike length of ~1.6km, primarily within undrilled 1km areas of the PEA pit shell 20
Slide 22: New Discovery in 2019: Southwest Zone
NEW DISCOVERY IN 2019: SOUTHWEST ZONE SOUTHWEST HIGHLIGHTS SOUTHWEST GAP ZONE Z87 SOUTH Z87 J ZONE ALLONGÉ Initially drilled in late 2019. Among best results ever drilled at Troilus: 1km 2020 Mineral Resource 2020 PEA Pit Shell Outline 3.58 g/t AuEq over 15m, incl. 6.76 g/t over 7m 1.56 g/t AuEq
Slide 23: High Grade at Troilus
HIGH GRADE AT TROILUS High-grade gold system associated with fold and shear patterns within a broad base ~1g/t deposit. ~30g/t gold Identifiable and predictable throughout the deposit. | 23
Slide 24: PEA Results & Feasibility Study Expectations
PEA Results & Feasibility Study Expectations | 24
Slide 25: PEA Summary & Sensitivities (August 2020)
PEA SUMMARY & SENSITIVITIES (AUGUST 2020) Feasibility Study planned for completion in H2 2023 AMONG THE TOP CANADIAN GOLD MINES, TROILUS’ ALL-IN- SUSTAINING-COSTS (AISC) WOULD 246,000 oz Au 22 years $333M $719/oz AuEq BE IN THE LOWER QUARTILE Avg. Annual Production Mine Life CAPEX Cash Operating Cos
Slide 26: PEA Production Profile – Gold, Copper & Silver
PEA PRODUCTION PROFILE – GOLD, COPPER & SILVER Feasibility Study will contemplate an Open Pit only mining scenario TROILUS HAS THE POTENTIAL TO RANK AMONG THE TOP 220,000 oz Au 246,000 oz Au CANADIAN GOLD PRODUCERS Avg. Annual Production Avg. Annual Production 350,000 (first 5 years) (first 14 years
Slide 27: Highly Leveraged to Copper
HIGHLY LEVERAGED TO COPPER Canadian Copper Producing Assets – 2021A Cu Production (tonnes) Troilus would be the largest Quebec copper producing asset based on Highland Valley (Teck) 130,800 Gibraltar (Taseko) 50,938 years 1-14 avg production of 7,358 Ontario Division (Vale) 46,200 tpa Cu (PEA 2020
Slide 28: Pilot Plant Scale Metallurgical Testing Program (H1 2022)
PILOT PLANT SCALE METALLURGICAL TESTING PROGRAM (H1 2022) 3 tonnes of sample material from each of the main mineral zones (Z87, J Zone, Southwest) sent to Eriez’s metallurgical test facility in Erie, Pennsylvania last year to validate the recovery of gold, copper and silver using standard gravity
Slide 29: Feasibility Study Expectations & Targets
FEASIBILITY STUDY EXPECTATIONS & TARGETS Feasibility Study targeted for completion H2 2023 Open pit only mining scenario, targeting +220,000 oz annual production Inaugural Reserve targeting over 90% resource conversion from PEA Feasibility Study to reflect 2.5% royalty buy-back completed in
Slide 30: Recent Milestones & Path Forward
RECENT MILESTONES & PATH FORWARD Continuing to De-Risk and Unlock Value 2022 2023 2024 Ongoing Drilling & Drill Results Initiation of Federal & Updated Mineral Resource Estimate Provincial Permitting processes Definitive Feasibility Study & Mineral Resource Update Provincial Approval Extensive d
Slide 31: Positioned for Growth
Strong financial position as a result of $50M transaction with Sayona Mining Near-term catalysts with high re-rate potential Favourable mining jurisdiction and Quebec Govt. as major shareholder Low operational risk: Former mine provides “Proof of POSITIONED Concept” FOR GROWTH High leverage to emerg
Slide 32: TSX: TLG OTCQX: CHXMF FRA: CM5R
Justin Reid CEO & Director (647) 276-0050, x1305 justin.reid@troilusgold.com TSX: TLG Blake Hylands OTCQX: CHXMF President (905) 599-5499 FRA: CM5R blake.hylands@troilusgold.com Caroline Arsenault Follow us: VP Corporate Communications (647) 407-7123 caroline.arsenault@troilusgold.com | 32
Slide 33: Troilus' History as a Past-Producer
TROILUS’ HISTORY AS A PAST-PRODUCER 2017 2012 Troilus is acquired Hostile takeover of Inmet by in Dec. 2017 FORMERLY PRODUCING MINE First Quantum Minerals - $300,000 cash - 2.5% NSR (bought 1950’s Initial exploration 2011 back in Nov. 2020) 14 Years in Operation Failed merger with Lundin Mining 1996
Slide 34: Committed to the Responsible Development of Our Project
COMMITTED TO THE RESPONSIBLE DEVELOPMENT OF OUR PROJECT We are committed to creating value for our shareholders while operating in a safe, socially and environmentally responsible manner. ESG MILESTONES 2022 2020 2020 2021 Troilus Engages: - To conduct an inventory of its historical Troilus implemen
Slide 35: Market Cap Potential / Re-Rate Potential
MARKET CAP POTENTIAL / RE-RATE POTENTIAL Comparison to single asset gold producers / developers in North America with annual / target gold production 150-300 Koz; Troilus valuation poised to re-rate significantly as the Troilus project is de-risked and advanced to production. Market Capitalization (
Slide 36: Mineral Resource Summary – All Zones
MINERAL RESOURCE SUMMARY – ALL ZONES Effective date of mineral resource: July 20, 2020 Gold Contained Contained Contained Contained Total Open Pit Tonnes (Mt) Equiv. Gold (g/t) Copper (%) Silver (g/t) Gold Copper Silver AuEq & Underground (g/t) (Moz) (Mlb) (Moz) (Moz) Indicated 177.30 0.87 0.75 0.08