Wesdome Gold Mines Ltd. · TSX:WDO
Wesdome Gold Mines — Investor Presentation (August 2024)
39 slides from Wesdome Gold Mines's investor presentation, August 2024
Slide 1: Corporate Presentation August 2024
CORPORATE PRESENTATION AUGUST 2024 TSX: WDO | OTCQX: WDOFF | www.wesdome.com
Slide 2: Forward-Looking Statements
Forward-Looking Statements Caution regarding forward-looking information and non-IFRS performance measures This presentation contains “forward-looking information” which may include, but is not limited to, statements with represented by such statements or information are reasonable in the circumstan
Slide 3: Organic Production Growth in Canada
Organic Production Growth in Canada Multi-asset producer with two mines on the mineral-rich Abitibi gold belt Eagle River (Wawa, Ontario) Kiena (Val-d’Or, Québec) • In continuous production for ~30 years • High grade Deep A Zone discovered in 2016 • Steady producer and cash generator • Commenced min
Slide 4: Corporate Snapshot
Corporate Snapshot 56% increase in LTM share price Share Price (C$) and Share Volume (M) Capital Markets Data TSX / OTCQX Symbols WDO / WDOFF 3.0 $12 $11 52 Week Range (TSX) C$14.99 - C$6.84 2.5 $10 Share Price (August 23, 2024 close) C$13.37 / US$9,90 2.0 $9 Shares Outstanding / Fully Diluted 149.6
Slide 5: High-Quality Assets
High-Quality Assets Self-funded, high-return, low-risk growth Tier 1 Jurisdiction Reserve Quality • 100% owned assets in Canada • Wesdome owns two of the highest reserve grade gold mines in Canada ⎻ Eagle River ranks #1 • Fraser Institute global ranking for geographic investment attractiveness ⎻ Kie
Slide 6: Increased Mineral Reserve Estimate
Increased Mineral Reserve Estimate Proven and probable mineral reserve of 1.1M contained ounces December 31, 2023 December 31, 2022 Consolidated Contained Contained Mineral Reserve1 Tonnes Grade Tonnes Grade Ounces Ounces (000s) (g/t Au) (000s) (g/t Au) (000s) (000s) Proven 309 18.3 182 192 12.6 78
Slide 7: Continuing Wesdome's History of Value Creation
Continuing Wesdome’s History of Value Creation Per share metrics continue to grow with minimal share issuance Cash Flow Growth ($/share)1 Production Growth (koz/share)1 >7x growth in CFPS expected from 2016 to 2024 160% organic growth from 2016 to 2023 with Y/Y inflection to positive FCFPS $2.50 1.4
Slide 8: Room to Grow
Room to Grow Leveraging spare mill capacity Mills Ready for Growth • Excess mill capacity at both sites with recently upgraded infrastructure • Development of new mining horizons to drive economies of scale • Limited capital investment required to fully utilize mill throughput at both sites Processi
Slide 9: Multi-Year Guidance
Multi-Year Guidance1 Increasing production, decreasing costs Production (koz) 2024 Guidance Eagle River Kiena Consolidated Production Feed grade g/t 12.2 - 13.4 12.0 - 13.5 12.0 - 13.5 Kiena 2024 and 2025 Gold production oz 80,000 - 90,000 80,000 - 90,000 160,000 - 180,000 Eagle River Production Gui
Slide 10: Medium to Long-Term Strategic Growth Objectives
Medium to Long-Term Strategic Growth Objectives Setting in motion initiatives that drive value and maximize the potential of our assets Eagle River Mine Opportunities Kiena Mine Opportunities Continue to Strengthen Balance Sheet • Fill the mill • Fill the mill As at June 30, 2024 • Evaluate alternat
Slide 11: Driving Value Through Exploration
Driving Value Through Exploration Leveraging infrastructure to deliver high hit-rate and low discovery cost Evaluating Regional Opportunities Testing Upper and Lower Extents Leveraging Existing Development (greenfields potential) (brownfields potential) (expanding existing mineable zones) • First pr
Slide 12: Investment Highlights
Investment Highlights A Canadian high-grade organic growth story Two High-Quality Operations • 100% of production is in Canada • High grade mines • Long track record of gold production Organic Consolidated Production Growth Up to 70% Increase from 2023 to 20251 Cash • 2023A: 123Flow Inflection koz A
Slide 13: Kiena
KIENA
Slide 14: Kiena Mine History
Kiena Mine History Delivering a successful restart of a past producer Early 1900s 2003 • Gold discovered in Parker Island area, the site of the Kiena mine • Wesdome Gold Mines, owner of Wesdome and Siscoe properties, purchased Kiena and Shawkey and McKenzie Break properties. Prior to 2003, Kiena had
Slide 15: Kiena Overview
Kiena Overview Recently restarted past producer with near-mine potential High Grade to Drive Free Cash Flow • Commenced ore mining and processing from Kiena Deep A Zone Horizon 129 in Q2 2024 • Paste backfill allows for faster stope cycle time, improved stope stability and dilution • All critical eq
Slide 16: 2024 Focus & Achievements at Kiena Deep
2024 Focus & Achievements at Kiena Deep Achieved Mining and Processing at Level 129 Horizon in Q2 2024 Level 129 Horizon Production • Started mining at Level 129 in Q2 2024 • Delineation drilling proceeding sooner Actual ramp location into Level 129 horizon, validating geological August 22, 2024 und
Slide 17: Potential for Two-Mine Structure
Potential for Two-Mine Structure Near surface potential Presqu’île: A Stepping-stone to Further Value Creation 33 Level Connection to Surface Provides Operational Flexibility • Supplemental mill-feed from underground mine (via surface ramp) • Provides operational benefits and opens new territory for
Slide 18: Kiena Deep: Footwall Zone and South Limb Area
Kiena Deep: Footwall Zone and South Limb Area High-grade nature with potential for lateral extensions | Potential to significantly increase ounces per vertical metre Footwall Zone South Limb Area N127-6890 9.93g/t Au/4.5m N127-6912 19.61g/t Au/3.0m N103-6911W1 13.44g/t Au/3.0m N127-6890 8.18g/t Au/5
Slide 19: Diverse Styles of Mineralization
Diverse Styles of Mineralization Opportunity for discovery of new orebodies Geological mapping has successfully identified a different style of mineralization within faulted structures to the East of the Kiena mine 6840W5 Presqu’île • The previously mined Shawkey 10 Zone NW Zone 23.7g/t Au / 5.0m sh
Slide 20: The Wish Area
The Wish Area Continuing to explore our newest discovery Initial High-Grade Results Are Within 100 Metres of Existing Underground Structure • Located about one kilometre east of the Kiena mine from the existing 33 level development • The Wish area has intersected narrow, high- grade gold mineralizat
Slide 21: Opportunities for Long-Term Growth
Opportunities for Long-Term Growth Northern corridor leaves significant room to grow Gold Trend Quartz / Tourmaline Veins with Albite Alteration Corridor Wesdome 205 koz (inferred) Siscoe Mine 900 koz (past production) Sullivan Mine Dubuisson Zone 1.1 Moz (past production) 140 koz (inferred) Presqu’
Slide 22: Eagle River
EAGLE RIVER
Slide 23: Eagle River Mine History
Eagle River Mine History 30 years of continuous production Pre-1990 1990-1995 1995-Present • Following the Hemlo discovery in 1982, Peter • In 1990-1991, Noranda Minerals undertook a • In 1996, River Gold mines signed an agreement Ferderber and Don McKinnon staked the entire feasibility evaluation o
Slide 24: Eagle River Overview
Eagle River Overview Long-life asset with upside Highlights Location 50 km west of Wawa, Ontario Land Package 110 km2 Ownership 100% Stage Production Type Underground Mill Capacity 1,200 tpd (permitted) 2023A Production 87,799 oz Magino, Alamos 2P Reserves 400,000 oz | 17.4 g/t M&I Resources1 246,00
Slide 25: Long Track Record
Long Track Record Continuous gold production since 1995 Eagle River Consolidated Historical Production – 1.9 Moz from 1995-2023 Midpoint of 120,000 2024-2025 guidance 100,000 Ounces 80,000 60,000 40,000 20,000 0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 201
Slide 26: Eagle River: Near Mine Extensions
Eagle River: Near Mine Extensions Growing known mineralized zones near existing infrastructure 9000E 9750E 10500E 11250E Diorite Boundary Diorite Boundary 200 Zone Falcon Zone Mined Workings 700 Zone 500 Zone -500m -500m 311 Zone 758-E-463 6 Central Zone 59.7g/t Au/2.6m 6 Zone Mined Workings 857-E-3
Slide 27: Eagle River: Falcon Zone
Eagle River: Falcon 311 Zone Exploration and delineation drilling confirming continuity of high grades and expanding this recently discovered zone -700m -700m DIORITE BOUNDARY OPEN 720F ZONE 857-E-47 9.4g/t Au/1.7m -800m -800m 857-E-32 2.5g/t Au/1.8m 857-E-30 711 ZONE 3.6g/t Au/1.5m Mineral Resource
Slide 28: Eagle River: Central Zone
Eagle River: 6 Central Zone Drilling has extended the high-grade zone 150 metres to the east, adjacent existing infrastructure -500m -500m -550m -550m 758-E-445 7.0g/t Au/1.5m 758-E-463 59.7g/t Au/2.6m -600m -600m 758-E-464 8.1g/t Au/2.6m 6 Mineral resource shapes 758-E-459 CENTRAL 6.0g/t Au/1.5m ZO
Slide 29: Eagle River: East Zone
Eagle River: 300 East Zone Infill and delineation drilling used to confirm mineralization within the resource shapes -1100m -1100m 1153-E-01 32.5g/t Au/6.6m 1201 DRILL PLATFORMS -1250m -1250m Mineral Resource Shapes 300 711 811 311 ZONE ZONE ZONE ZONE Drillhole intercepts 1201-E-46 -1400m -1400m 21.
Slide 30: Eagle River Regional Opportunities
Eagle River Regional Opportunities Pipeline of targets being developed and tested Qtz Veins Granite >10g/t Au Diorite Mishi Under-explored Area Felsic Volcanics Testing in 2024 Gabbro Mafic Volcanics Eagle River Splay Diabase Falcon Zone 300E Zone North Contact Zone 6 Zone 9 Zone Newt Lake 2 Zone 7
Slide 31: Appendix
APPENDIX
Slide 32: Leadership
Leadership Executive management and board of directors Executive Team Board of Directors Anthea Bath Bill Washington President & CEO, Director Interim Chair Frédéric Mercier-Langevin Anthea Bath COO President & CEO, Director Fernando Ragone Louise Grondin CFO Independent Director Raj Gill Jacqueline
Slide 33: Financial Performance Highlights
Financial Performance Highlights In 000s, except per units and per share amounts Q2 2024 Q1 2024 Q4 2023 Q3 2023 Q2 2023 Q1 2023 Q4 2022 Q3 2022 Financial results Revenue2 127,799 100,922 102,221 69,696 84,555 76,701 75,035 61,823 Cash margin1 76,239 46,624 47,576 22,233 28,722 34,408 26,466 16,993
Slide 34: Operational Performance Highlights
Operational Performance Highlights Q2 2024 Q1 2024 Q4 2023 Q3 2023 Q2 2023 Q1 2023 Q4 2022 Q3 2022 Operational results Milling (tonnes) Eagle River 52,552 51,632 54,669 55,153 64,672 48,133 58,306 52,247 Mishi - - - - - 6,150 - 3,595 Kiena 57,669 45,344 49,649 47,351 51,824 42,324 51,419 16,112 Thro
Slide 35: Mineral Reserve Estimate
Mineral Reserve Estimate Total mineral reserves up 12% in 2023 vs 2022 Eagle River December 31, 2023 December 31, 2022 Kiena December 31, 2023 December 31, 2022 Tonnes Grade Contained Tonnes Grade Contained Tonnes Grade Contained Tonnes Grade Contained (000s) (g/t Au) Ounces (000s) (g/t Au) Ounces (
Slide 36: Mineral Reserve Estimate (continued)
Mineral Reserve Estimate (continued) Notes 1. Mineral reserves are reported above 4.01 g/t cut-off grade for Kiena Deep, 3.35g/t cut-off grade for Presqu’île and 6.58 g/t for Eagle River. 2. Mineral reserves demonstrated economic viability with the following parameters: • A gold price of $1,848 (US$
Slide 37: Mineral Resource Estimate (exclusive of mineral reserves)
Mineral Resource Estimate (exclusive of mineral reserves) Reflect updated gold price assumption of US$1,700 per ounce (from US$1,500 previously) Eagle December 31, 2023 December 31, 2022 Kiena December 31, 2023 December 31, 2022 River Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces Tonne
Slide 38: Mineral Resource Estimate (continued)
Mineral Resource Estimate (continued) Notes 1. Mineral resources are reported exclusive of mineral reserves; mineral resources that are not mineral reserves do not have demonstrated economic viability. 2. Mineral resources at Kiena and Eagle River Mine are considered for underground extraction and i
Slide 39: Enquiries: invest@wesdome.com
Enquiries: invest@wesdome.com TSX: WDO | OTCQX: WDOFF | www.wesdome.com
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