Sarama Resources Ltd. · TSXV:SWA
Sarama Resources — Investor Presentation (March 2016)
25 slides from Sarama Resources's investor presentation, March 2016
Slide 1: Company Update March 2016
COMPANY UPDATE MARCH 2016
Slide 2: Forward Looking Statement
FORWARD LOOKING STATEMENT Information in this presentation that is not a statement of historical fact constitutes forward-looking information. Such forward- looking information includes statements with respect to the exploration and development of properties in which we have interests, maiden minera
Slide 3: Investment Highlights
INVESTMENT HIGHLIGHTS • Burkina Faso focused with interests in two advanced projects in the well endowed Houndé gold belt and a third exploration play in Banfora belt • Levered to gold price with attributable ounces trading at < US$3/oz • 2.1Moz1 inferred gold mineral resource at the South Houndé Pr
Slide 4: Board and Executive Team
BOARD AND EXECUTIVE TEAM • Accomplished ore finders, project developers and operators • Strong track record of delivering results & conviction to succeed again • Management team behind the discovery of the 22 Moz Moto Gold deposit which is now producing +600Koz/yr Andrew Dinning President & CEO Sean
Slide 5: Ownership & Capital Structure
OWNERSHIP & CAPITAL STRUCTURE • Capital structure intact after 6 years of incorporation • Management own 24% of the company (CEO +7%) • Supportive institutional shareholder base • Kinross Gold & Sun Valley Gold were shareholders before the IPO TSX – V SWA Major Shareholders FSE 48S Common Shares 95,
Slide 6: Approach in Current Markets
APPROACH IN CURRENT MARKETS • Keeping dilution to minimum while advancing company interests • Utilising Acacia’s balance sheet to minimise Sarama’s cash burn • Divested Liberian assets for 6.6M shares +1% NSR (~$0.8-$1m value) • Building value through three areas: 1. Generative 2. Earn-in and JV’s 3
Slide 7: Burkina Faso Focus
BURKINA FASO FOCUS @ JBURKINA “ °" FASOc Houndé Belt @ * Sarama all South Houndé JV (Acacia) F ¥ Operating Mine D Gold Deposit Gold Deposit Under Feasibility F Karankasso JV (Savary) % Abandoned Mine Capital City
Slide 8: Burkina Faso M&A
BURKINA FASO M&A @ JBURKINA “ °" FASOc Houndé Belt @ * Sarama all South Houndé JV (Acacia) F ¥ Operating Mine D Gold Deposit Gold Deposit Under Feasibility F Karankasso JV (Savary) % Abandoned Mine Capital City
Slide 9: Belt Endowment
BELT ENDOWMENT • Primary focus is South Houndé Belt endowment is >12Moz and growing • Same belt & stratigraphy as Semafo’s Mana Mana Mine, Roxgold’s Yaramoko Mine Yaramoko & Endeavour’s Houndé Project • 2.1Moz* inferred resource at the South Houndé Houndé Project including; Bondi • 0.5Moz* oxide res
Slide 10: Mineral Resources
MINERAL RESOURCES* South Houndé Project Mt Au g/t Koz Au Au cut-off Oxide 13.5 1.2 498 0.3g/t Transition 2.5 1.4 113 0.8g/t Fresh 25.0 1.9 1,487 0.8 -2.2g/t Total 41.0 1.5 2,098 Karankasso Project (35%) Oxide (negligible transition) 2.1 2.1 134 0.5g/t Fresh 7.1 2.4 537 0.5g/t Total 9.2 2.3 671 * For
Slide 11: Key Facts
KEY FACTS • 1.1 Moz at 2.7g/t Au (1.6g/t cut off) • 0.5M oxides in resource • Oxide test work yielded recoveries of 93% using CIL • Good heap leach potential - 87% recovery in oxide column leach • Sulphides deliver 91.3% extraction using flotation, BIOX® and CIL • Grade, high recoveries, coarse grin
Slide 12: High Grade Shoots at MM Prospect
HIGH GRADE SHOOTS AT MM PROSPECT 1 Km MM @ 1177700mN MM @ 1176800mN ? ? ? MM @ 1177300mN MM Prospect 12
Slide 13: High Grade Shoot at MC Prospect
HIGH GRADE SHOOT AT MC PROSPECT 14m @ 3.88g/t 32m @ 4.82g/t 10m @ 2.70g/t 26m @ 6.90g/t 16m @ 3.84g/t 36m @ 2.26g/t 45m @ 3.88g/t 36m @ 6.48g/t 13
Slide 14: South Houndé Value Proposition
SOUTH HOUNDÉ VALUE PROPOSITION • Last resource update moved Project closer to a mining proposition • Three possible development options to create value; Small scale: low cost oxide heap leach Intermediate scale: oxide & hard rock 100-120koz/yr Large scale: “Acacia sized” deposit delivering +20
Slide 15: South Houndé Project Earn-In
SOUTH HOUNDÉ PROJECT EARN-IN • Subject to US$15m earn-in by Acacia • South Houndé Project is the key to the southern Houndé belt 2015 0.42Moz • US$3.5m exploration expenditure 0.67Moz • 45,000m of Auger AC, RC & DDH drilling 2.1Moz • 20 line-km IP & 813Km2 airborne surveys 2016 • Exploration budget
Slide 16: Tankoro Corridor Exploration
TANKORO CORRIDOR EXPLORATION • Large scale hydrothermal fluid penetration along regional structures • Gold mineralisation is associated primarily with porphyry dike swarms within a broad structural corridor • Alteration mineralogy includes silica, sulphides, sericite and albite MM Prospect • Mineral
Slide 17: Near Field Potential
NEAR FIELD POTENTIAL • Extensions down dip, adjacent to and along strike from MM • MC discovery opens up second significant zone adjacent to MM zone • Structural modeling in late 2015 has generated further targets MM @ 1176800mN MM MC MC @ 1175650mN 17
Slide 18: System Has Scale and Complexity
SYSTEM HAS SCALE AND COMPLEXITY Phantom Group MM MC Obi Kenobi 18
Slide 19: Karankasso Project JV
KARANKASSO PROJECT JV • Maiden Inferred Mineral resource of 0.67 Moz @ 2.3g/t Au * • Over 45 strike kilometres of artisanal workings and soil anomalies • Sarama/Savary JV (35/65) provides further optionality • Main mineralisation ~20 km from MM • Exploration focused on testing parallel trends and st
Slide 20: South Houndé Potential
SOUTH HOUNDÉ POTENTIAL • Permits are situated in a proven belt with over 12 Moz of endowment identified • Tankoro resource open in all directions • High-grade shoots at Tankoro represent legitimate U/G targets • Regional picture developing with maiden resource at Karankasso JV • Geochemistry outline
Slide 21: Wider Burkina Faso Permits
WIDER BURKINA FASO PERMITS Banfora 21
Slide 22: Third Burkina Area Play - Banfora Belt
THIRD BURKINA AREA PLAY - BANFORA BELT • 376 km² in the Banfora Greenstone Belt • 80 km west of South Houndé Project • 30 km and 20 km long gold in soil anomalism • Anomalism coincident with structural features, contrasting lithologies and major artisanal mining centres • Systematic exploration comp
Slide 23: Summary
SUMMARY • Two advanced projects and a third area play gives optionality • Levered to gold price with attributable ounces trading at < US$3/oz • 2.1Moz1 inferred gold mineral resource at the South Houndé Project plus • 0.67Moz2 inferred gold resources at the neighbouring Karankasso JV • Growing oxide
Slide 24: Additional Technical Details
ADDITIONAL TECHNICAL DETAILS The effective date of the Company’s mineral resource estimate for the South Houndé Property is February 4, 2016. For details regarding the mineral resource estimation, please refer to Appendix A of the Company’s news release dated February 6, 2016 announcing its maiden m
Slide 25: Suite 8, Churchill Avenue PO Box 575, Subiaco +61 (0) 9363 7601 info@saramaresour @SaramaResources
Suite 8, 245 Churchill Avenue PO Box 575, Subiaco +61 (0) 8 9363 7601 info@saramaresour @SaramaResources Subiaco, Western Australia 6008 Western Australia 6904 +61 (0) 8 9382 4309 ARBN: 143 964 649 vw.saramaresources.com
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