Gold Resource Corporation · AMEX:GORO
Gold Resource — Shareholder Meeting (June 2012)
44 slides from Gold Resource's shareholder meeting presentation, Jun 26, 2012
Slide 1: 2012 Annual Meeting
6-26-12 2012 Annual Meeting Exhibit 99.1
Slide 2: Forward Looking Statements
This brochure contains statements that plan for or anticipate the future. Forward-looking statements include statements about the Company's ability to develop and produce gold or other precious metals, statements about our future business plans and strategies, statements about future revenue and the
Slide 3: Engineered To Maximize Shareholder Value
Engineered To Maximize Shareholder Value Engineered To Maximize Shareholder Value Delivering an aggressive growth profile of low cost, high margin production Demanding high returns on owner invested capital Distributing meaningful monthly dividends to maximize total return to owners Shareholder Focu
Slide 4: 2011 Performance Highlights
2011 Performance Highlights 2011 Performance Highlights
Slide 5: 2011 Performance Highlights
2011 Performance Highlights 2011 Performance Highlights
Slide 6: 2011 Performance Highlights
2011 Performance Highlights 2011 Performance Highlights
Slide 7: 2011 Performance Highlights
2011 Performance Highlights 2011 Performance Highlights
Slide 8: 2011 Performance Highlights
2011 Performance Highlights 2011 Performance Highlights
Slide 9: 2011 Performance Highlights
2011 Performance Highlights 2011 Performance Highlights
Slide 10: 2011 Performance Highlights
2011 Performance Highlights 2011 Performance Highlights
Slide 11: Value Creation: Growth Equity and Income Equity
Value Creation Value Creation Growth Equity and Income Equity
Slide 12: Growth Equity: Value Creation
GROWTH EQUITY Value Creation Value Creation 2011 66,159 oz AuEq $87 Million $58 Million Mine Gross Profit = sales – cost of sales AuEq = precious metal gold equivalent ounce Oz = ounce Value Created Cumulative Funds Raised “IPO” 6-20-12 2006 2007 2008 2009 2010 2011 2012 Market Capitalization 200,00
Slide 13: Total dividends / share paid to date
Total dividends / share paid to date 2010 2011 2012 USD/ Month $0.06 / share monthly dividend $0.72 annually 2011 dividends = 30.5% MGP $26.5M of $87.5 MGP MGP / Mine Gross Profit = sales – cost of sales Value Creation Value Creation Dividends may vary in amount and consistency or be discontinued at
Slide 14: Dividend Impact
Dividend Impact Dividend Impact
Slide 15: $1.00 / share returned to shareholders
$1.00 / share “IPO” $1.01 / share returned to shareholders since “IPO” Assumes June 2012 div. @ $0.06 payable in July Fiscal discipline and commitment to shareholders Major Milestone Major Milestone Total dividends to exceed “IPO” price / share Sept. 2006
Slide 16: Dividend Impact On Share Price
Dividend Impact On Share Price Dividend Impact On Share Price Performance? Performance? GORO- Gold Resource Corporation ~2 YEARS July , 2010 - Commercial Production - Initial Dividend GLD – SPDR Gold Trust (ETF)
Slide 17: Dividend Impact On Share Price
GTU – Central Gold Trust XAU – Index, precious metal Co’s (#16 Co’) GORO- Gold Resource Corporation ~2 YEARS GDXJ – Market Vectors Junior Gold Miners ETF (#86 Co’s) Dividend Impact On Share Price Dividend Impact On Share Price Performance? Performance? July , 2010 - Commercial Production - Initial D
Slide 18: Dividend Impact On Share Price
UNWPX – US Global Investors World Precious Minerals Fund (#183 Co’s) GORO- Gold Resource Corporation ~2 YEARS Dividend Impact On Share Price Dividend Impact On Share Price Performance? Performance?
Slide 19: Dividend & Yields
Dividend & Yields Dividend & Yields Company Annual Dividend Estimate Yield % Share Price Close 6/18/2012 Agnico Eagle U.S.$0.81 1.9% U.S.$42.40 Barrick U.S.$0.80 2.0% U.S.$40.19 Goldcorp U.S.$0.54 1.4% U.S.$39.72 Kinross U.S.$0.16 1.8% U.S.$ 9.17 Newmont U.S.$1.40 2.8% U.S.$50.85 Yamana U.S.$0.22 1.
Slide 20: Committed to Gold and Silver
“GRC Eagles” rounds Committed to Gold and Silver Committed to Gold and Silver Unique Gold and Silver Dividend Program No Other Known Program of its Kind
Slide 21: Gold and Silver Dividend Program
“GRC Eagles” rounds Gold and Silver Dividend Program Gold and Silver Dividend Program
Slide 22: Oaxaca Mining Unit
Oaxaca Mining Unit Oaxaca Mining Unit Mining friendly jurisdiction 6 potential high-grade gold and silver properties (+200 square miles) Dominant land position: 48 kilometer mineralized structural corridor Oaxaca Mining Unit Property Interest Production Development Exploration El Aguila 100% El Rey
Slide 23: Flexible Mill Design
Flexible Mill Design Flexible Mill Design Flotation Agitated leach Two mill circuits 2011 Record Mine Gross Profit: $ 87 million
Slide 24: La Arista Deposit
La Arista Deposit • Multiple en echelon veins • ~500 meters of strike • ~500 meters of depth • Deposit remains open Arista Vein Baja Vein Arista Underground Mine Arista Underground Mine Drill Station Drill Station
Slide 25: Arista Mine Development
Arista Mine Development Arista Mine Development Sub-level long hole stoping Development ore Mine Development Baja Vein
Slide 26: Arista Mine Development
Arista Mine Development Arista Mine Development Decline Veins Main Decline & Vein Drifts LEVEL 11 Level 11 Veins Sample # Au g/t Ag g/t Cu % Pb % Zn % 117652 141.73 1710 2.57 2.47 5.70
Slide 27: Arista Mine Development
Arista Mine Development Arista Mine Development Internal Estimate, Not SEC Proven & Probable Reserves; see Risk Factors in Company’s 10K Grey Polygons A, B, C and D drilling indicated grade below cutoff. Actual mining demonstrated high- grade and polygons were/are being mined and processed. Deposit
Slide 28: Resource Grade vs. Production Grade
Mined Grade @ Actual Mill Head 20% Dilution Grade After Estimate Mining Dilution PRECIOUS METAL GOLD EQUIVALENT (AuEq) RESOURCE GRADE VS. PRODUCTION GRADE Cutoff IN-SITU ESTIMATES AuEq MINED GRADE PRODUCTION Grade PA&H (1) COMPANY (2) IN-SITU 13 Month Ave(3) Grams Tonnes oz/t g/t YR's oz/t g/t YR's
Slide 29: Arista Area Expansion Potential
La Arista Underground Mine El Aguila Open Pit Mine Arista Area Expansion Potential Arista Area Expansion Potential .73 meters @ 9.9 g/t Au, 598 g/t Ag Drill hole Surface sample Rock chip @ 12 g/t Au Arista Mine development Potential feeder vein 2.5m@ 904 g/t Au, 9720 g/t Ag Channel sample Potential
Slide 30: Arista Area Expansion Potential
Arista Area Expansion Potential Arista Area Expansion Potential Arista Multiple Structures Dr. Ellis 6-21-12 Structure is Important to Epithermal Systems El Aguila
Slide 31: Exploration Potential
Exploration Potential Exploration Potential 6 properties (+200 square miles) 5 properties consolidate 48km mineralized structural corridor Mineralization at each end and along trend
Slide 32: Exploration Potential: Alta Gracia, El Rey, Las Margaritas
Alta Gracia Property Exploration Potential Exploration Potential El Rey Property El Rey Property Alta Gracia Property Alta Gracia Property Las Margaritas Las Margaritas Positive 2011 drill campaign Intercepted multiple mineralized structures 33 intercepts over 200 grams silver (1m intervals) Discove
Slide 33: Corporate Citizenship
Corporate Citizenship Corporate Citizenship Plant Nursery/Reforestation Town Infrastructure Commitment to Hire Locally Health Clinic Dental Clinic Sustainable Development Student Scholarships
Slide 34: Gold Resource Corporation NYSE MKT: GORO
Resource Corporation NYSE MKT: GORO
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Slide 40: Tight Capital Structure
Substantial Shareholders Management ~15% Hochschild Mining plc ~28% Tocqueville Asset Management ~ 8% NFJ Investment Group ~ 6% Blackrock ~ 5% Vanguard ~ 2% Exchange NYSE MKT: GORO Present Capitalization Shares Outstanding 53,015,767 Treasury Shares (104,251) Options Outstanding 5,182,000 Warrants O
Slide 41: Potential Catalysts
(Potential targets and projections. Not guaranteed; see Risk Factors in Company’s 10K) Potential Catalysts Potential Catalysts Increasing production year over year Adding ounces to known deposits New deposit discoveries Secondary exchange listing Increasing dividends Additional Mining Unit
Slide 42: Second Mining Unit
Second Mining Unit Second Mining Unit Mining friendly jurisdiction High-Grade Accretive Second Mining Unit Criteria st Oaxaca Mining Unit (1 mining unit)
Slide 43: The "Go To" Gold Company
The “Go To” The “Go To” Gold Company Gold Company (GRC targets, performance not guaranteed, see Risk Factors in Company’s 10K) Cash Cash Dividends Dividends Gold & Silver Gold & Silver Dividend Dividend Physical Physical Treasury Treasury Adding Adding Ounces Ounces Capitalize on Capitalize on Oppor
Slide 44: Thank You For Your Continued Support
Thank You For Your Continued Support Thank You For Your Continued Support Low-Cost Precious Metals Producer Low-Cost Precious Metals Producer Growth Equity and Income Equity Growth Equity and Income Equity Premier Investment for Precious Metal Exposure Premier Investment for Precious Metal Exposure