Slide 1: Developing an Open Pit Gold Project in Brazil
Developing an Open Pit October 2016 Gold Project in Brazil TSX:BSX
Slide 2: Introductory Matters
Introductory Matters Currency: All dollar figures represent U.S dollars unless otherwise noted. Market and Industry Data: Unless otherwise indicated, the market and industry data contained in this document is based upon information from independent industry publications, market research, analyst rep
Slide 3: Value Opportunity: Volta Grande
Value Opportunity: Volta Grande Good Location Brazil: a mining-friendly country Para State: 2nd most active mining state in Brazil, with goal to be 1st Advanced Stage of Development Construction license expected in 2016 All necessary surface rights acquired Positive Feasibility Study (3) P
Slide 4: Volta Grande Project Location
Volta Grande Project Location Altamira Located in Para, the 2nd most active mining state in Brazil Project located ~65km SE of Altamira city (150,000 ppl) Pará State World’s 3rd largest Sao Paulo hydroelectric dam located Rio de ~2km north of property Janeiro Belém Project located within Vol
Slide 5: Property and Infrastructure
Property and Infrastructure TSX: BSX | 5
Slide 6: Altamira (population: +/- 150,000)
Altamira (population: +/- 150,000) TSX: BSX | 6
Slide 7: Altamira Airport
Altamira Airport TSX: BSX | 7
Slide 8: Pimental Dam
“A MINING BELOSUN & © a) g c ® £
Slide 9: Belo Monte Dam
Belo Monte Dam TSX: BSX_ | 9
Slide 10: Access Road from Altamira to Site
Access Road from Altamira to Site TSX: BSX | 10
Slide 11: Volta Grande Camp Site
Volta Grande Camp Site TSX: BSX | 11
Slide 12: Mine Friendly Jurisdiction
Mine Friendly Jurisdiction Brazil has the 7th largest economy in the world, following the US, China, Japan, Germany, France and the UK (2014 World GDP Ranking) Gold producer #2 in Latin America Strong mining country. Average Gold producer annual mining production revenues Volta Grande #11 in the
Slide 13: Pará State
Pará State Mining Plan 2014-2030: Goal to become #1 mining state in Brazil Excellent road infrastructure; access to power and water Mining Production by State: Belém Rio de Janeiro 15.90% 1.90% Minas Gerais São Paulo 3.80% Pará Altamira 41,40% São Paulo 6.20% Volta Grande Goiás Project 7.40% P
Slide 14: Projected Low Cost Open Pit Mine
Feasibility Study Projected Low Cost Open Pit Mine (1) Production Projections Average LOM annual gold production of 205,000 oz, 17 year mine life First 10 years: 268,000 oz gold annually (2) Forecast Economics Pre-Tax IRR of 37%; Post-Tax IRR of 26% ($1,200 / oz Au) Pre-Tax NPV of $942 milli
Slide 15: Gold Price, Exchange Rate and IRR Sensitivity
Feasibility Study Gold Price, Exchange Rate and IRR Sensitivity Changes in gold price and exchange rate since completion of the Feasibility Study have favourable effects on the economics of the project. At $1,300/oz gold Post-Tax Internal Rate of Return (IRR) % Feasibility Study (March 2015)* Exchan
Slide 16: Economic Results by Gold Price
Feasibility Study Economic Results by Gold Price (1) Gold Price $1,300 $1,200 $1,100 (Base Case) Pre-Tax NPV (5%) $1,171 million $942 million $712 million Pre-Tax IRR 43% 37% 29% Post-Tax NPV (5%) $855 million $665 million $472 million Post-Tax IRR 32% 26% 20% Notes: (1) See cautionary notes on slid
Slide 17: Operating Costs Estimates
Feasibility Study Operating Costs Estimates (1) Mining $10.62 / tonne milled Processing $7.26 / tonne milled G&A $0.84 / tonne milled Total Operating Cost/Tonne Ore $18.72 / tonne milled Cash Operating Cost $618 / ounce All-in Sustaining Cost $779 / ounce TSX: BSX | 17 Notes: (1) See cautionary note
Slide 18: Volta Grande Mineral Estimates
Feasibility Study Volta Grande Mineral Estimates Mineral Reserve Estimate – North Block (March 30, 2015) Classification Tonnes Gold Grade Contained Gold Proven 41,757,000 1.07 g/t 1,442,000 oz Probable 74,212,000 0.98 g/t 2,346,000 oz Proven & Probable 115,969,000 1.02 g/t 3,788,000 oz The mineral r
Slide 19: Envisaged Mine Infrastructure
Feasibility Study Envisaged Mine Infrastructure Ouro Verde Pit Waste Dump Tailings Grota Seca Pit Waste Dump Processing Water Pond Facility TSX: BSX | 19 *See cautionary notes on slide 2.
Slide 20: Estimated Project Schedule
Feasibility Study Estimated Project Schedule 2015 2016 2017 2018 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 EIA Approval Receipt of Preliminary Licence (LP) Updated Mineral Resource Completion of Feasibility Study Construction Licence Submission Funding Preparation Construction Licenc
Slide 21: Located Within Large Gold Belt
Mineral Growth Potential Located Within Large Gold Belt Amazon Basin Altamira Parnaíba Basin Volta Grande Project Três Palmeiras Greenstone Belt (+120 km strike; 1km-8km width) Geological data accumulated on Bacajá Domain Tapajós Province the entire belt to date: 11,000 soil samples (mostly taken
Slide 22: Near-Term Growth in South Block
Mineral Growth Potential Near-Term Growth in South Block North Block Avg. Tonnes (Mt) Gold (2015) grade Total Measured & Indicated 0.98 g/t 156.593 4,956,000 oz (0.4g/t cut-off) (1) Total Inferred (0.4g/t cut-off) (1) 0.90 g/t 39.767 1,151,000 oz North Block (2015 Feasibility Study) South Block (5km
Slide 23: North Block vs. South Block Meters Drilled
Mineral Growth Potential North Block vs. South Block 250,000 200,000 Additional drilling has translated to 150,000 Meters Drilled significant mineral growth in the North 100,000 Block Belo Sun believes there is excellent 50,000 mineral growth potential in the South Block with further drilling. 0 200
Slide 24: North Block Section 800NW (2010)
Mineral Growth Potential North Block Section 800NW (2010) 1,000 m SSW NNE 0m PEA PitShell March-2014 -200m Explanation Modeled Typologies Saprolite Metavolcanics Saprolite of Diorite Saprolite mineralized Mineralized diorite 0 50 100 Diorite non-mineralized metros Metavolcanics -400m TSX: BSX | 24
Slide 25: North Block Section 800NW (2015)
Mineral Growth Potential North Block Section 800NW (2015) 1,000 m SSW NNE 0m PEA PitShell March-2014 -200m Explanation Modeled Typologies Saprolite Metavolcanics Saprolite of Diorite Saprolite mineralized Mineralized diorite 0 50 100 Diorite non-mineralized metres Metavolcanics -400m TSX: BSX | 25
Slide 26: Overview Mineral Growth Targets
Mineral Growth Potential Overview Mineral Growth Targets OURO VERDE GREIA 1 Mineral growth along strike (emphasis on Junction) JUNCTION Mineral growth in Greia 2 GROTA SECA Explore and upgrade 3 South Block target Grassroots exploration drilling elsewhere on the greenstone belt 4 TSX: BSX | 26
Slide 27: Appendices
ELO vA MINING Appendices
Slide 28: Capital Structure
APPENDICES Capital Structure Capitalization Summary: Major Shareholder Distribution: Shares Outstanding 464.7 M Agnico Eagle Mines 19.4% Fully Diluted 484.2M Sun Valley Gold 18.2% Stock Performance (Sept. 26, 2016): Canadian Gold Funds ~19% Share price $0.99 European Gold Funds ~7% 52 Week Range $0.
Slide 29: Independent Research Coverage
APPENDICES Independent Research Coverage TD Securities Dan Earle CIBC Jeff Killeen BMO Capital Markets Brian Quast National Bank Financial Shane Nagle Cormark Securities Richard Gray Canaccord Genuity Eric Zaunscherb Dundee Capital Markets Matt O’Keefe Scotiabank Global Banking Ovais Habib TSX: BSX
Slide 30: Experienced Board & Management
APPENDICES Experienced Board & Management Management Team Peter Tagliamonte, P.Eng. MBA, President & CEO, Director 30 years of mine development and operations experience, including 20 years in Central and South America. Former CEO of Sulliden Gold, Central Sun Mining and COO of Desert Sun. Ian Pri
Slide 31: Corporate Headquarters Investor Inquiries
Corporate Headquarters Investor Inquiries 800-65 Queen St. W. +1 (416) 309-2137 Toronto, Ontario info@belosun.com M5H 2M5 Canada