Patagonia Gold Corp · TSXV:PGDC
Patagonia Gold — Investor Presentation (March 2012)
34 slides from Patagonia Gold's investor presentation, March 2012
Slide 1: Investor Presentation March 2012
INVESTOR PRESENTATION March 2012 TSX:PAT AIM:PGD
Slide 2: Forward Looking Statements
Forward Looking Statements The content of this presentation has been prepared for the purpose of providing general information about, and an overview of, Patagonia Gold Plc (the “Company") and its operations. It is not meant to be a complete review of all matters concerning the Company. Whilst the C
Slide 3: Investment Highlights
Investment Highlights Strong Portfolio of Advanced Exploration Stage Projects Mining-Friendly Santa Cruz Province & Strategic Partnership with Fomicruz, the Provincially Owned Mining Company Geological Prospectivity & Significant Land Holdings in the Deseado Massif Experienced Team with Extensive Re
Slide 4: Patagonia Gold Plc
Patagonia Gold Plc Patagonia Gold Plc is an advanced stage mining exploration company that seeks to grow shareholder value through the acquisition, exploration and development of gold and silver projects in the Deseado Massif region of Argentina Targeting Production of +200,000 Oz. AuEq Per Annum By
Slide 5: Market Profile
Market Profile Exchange: Ticker AIM:PGD TSX:PAT (1) Share Price £0.40 C$0.64 (2) (2) Market Capitalization F.D. (mm) £320 C$508 (3) 52 Week High/Low £0.71 / £0.35 C$1.13 / C$0.55 Avg 3 Month Daily Volume (mm) 1.5 n/a Basic Shares Outstanding (mm) 736.5 (4) Cash (US$mm) $32.2 Debt (US$mm) Nil Key Own
Slide 6: Management & Board Summary
Management & Board Summary Management William H Humphries – CEO, Managing Director – 40+ years in mining and civil engineering. Previously Managing Director of Brancote Holdings Plc prior to its acquisition by Meridian Gold in 2002 Philip C Yee – CFO – Canadian CA with 25+ years in financial managem
Slide 7: Santa Cruz Province
Santa Cruz Province Mining friendly Santa Cruz province Mendoza La Pampa Track record in precious and base metal Buenos Aires Neuguen production Chile Rio Negro Fomicruz is the provincially owned mining company and a partner of Patagonia Gold on certain properties Chubut Argentina Major industry pla
Slide 8: Footprint in Santa Cruz
Footprint in Santa Cruz La Paloma Property Block Lomada de Leiva Fomicruz Properties El Tranquilo Property Block Cap-Oeste La Manchuria COSE La Manchuria PGSA Properties Property Block Fomicruz Agreement Favourable geological prospects with land holdings along mineralized trends 370,000 ha land hold
Slide 9: Resources
Resources 43-101 Compliant (oz) – 4 Projects INDICATED INFERRED Gold 0.8 M 0.3 M Silver 22.8 M 7.1 M AuEq 1.2 M 0.5 M Properties acquired in 2007 from Barrick Gold March 2011 - Barrick Gold back-in right to main properties replaced with 2.5% net smelter royalty Projects are low sulphidation epitherm
Slide 10: Cap-Oeste Project
Cap-Oeste Project Our flagship project Tracks Bonanza fault Mapped over 6 km strike length of project 70,000 metre drilling completed to January 2012 Mineralisation open in all directions Resources (oz) Gold Silver AuEq INDICATED 599,570 19,656,004 966,972 INFERRED 156,465 3,878,940 228,968 10
Slide 11: Cap-Oeste Project Area
Cap-Oeste Project Area Advanced Projects & Other Prospects Pampa Don Pancho Cap-Oeste Cap-Oeste Extension COSE Tango 11
Slide 12: Cap-Oeste Project
Cap-Oeste Project COMPLETED NI 43-101 Resource estimate November 2011 Phase 3: expansion drilling in January 2012 IN PROGRESS Resource estimate update Q2 2012 The deposit remains open along strike and down dip Exploration drilling Along Bonanza structure – Pampa to Tango 6km Ongoing Metallurgical St
Slide 13: Cap-Oeste Project Area
Cap-Oeste Project Area Long-section showing Au x metre COSE style shoot, CO- 296B, 2.5m @ 48.52 g/t Au @ 4983 g/t Ag CO-285, 8.91m @70.79 g/t Au and 518 g/t Ag 13
Slide 14: Cap-Oeste Project
Cap-Oeste Project 25m @ 0.67 g/t Au; 10.2 g/t Ag SW NE 9.13m @ 2.87 g/t Au; 61 g/t Ag 450 m Incl 1.5m @ 12.54 g/t Au; 278.5 g/t Ag 7.3m @ 3.54 g/t Au; 31 g/t Ag Incl 2.5m @ 7.49 g/t Au; 38 g/t Ag 5m @ 9.1 g/t Au; 175.5 g/t Ag 350 m Incl 2.03m @ 13.99 g/t Au; 265 g/t Ag 10.1m @ 1.98 g/t Au; 108.7 g/t
Slide 15: Cap-Oeste South East (COSE) Project
Cap-Oeste South East (COSE) Project 2 km SE of Cap-Oeste COMPLETED 69 drill holes for 17,815 metres NI 43-101 Resource Estimate 34,395 tonnes at 60.06 g/t gold and 1,933.07 g/t silver including inferred resources PLANNED 2012 development drive for underground drilling Resources (oz) (Mineralisation
Slide 16: COSE Project
COSE Project Proposed Underground Access Decline Development Surface NPV of US$ 93.8M @ gold US$ 1,418/oz @ silverUS$ 35.00/oz Time frames: Life of mine of 23 months 11 month construction 12 month production with 2 month Capex payback Box-cut OPEX and CAPEX costs US$ 33M for life of mine using the d
Slide 17: COSE Project
COSE Project Proposed Decline Design and Orebody Box-Cut, Portal Location 120m 150m Tot Dev 2100m COSE Orebody Decline Cross-Section D-Holes and Design 17
Slide 18: Cap-Oeste Structural Corridor
Cap-Oeste Structural Corridor 2410000mN 2400000mN 2390000mN El Tranquilo Exploration Block 4690000 mN Cap-Oeste COSE 4680000 mN Monte Leon La Bajada Estancia 4670000 mN Marciana 18
Slide 19: Monte Leon & La Marciana Prospects
Monte Leon & La Marciana Prospects MONTE LEON PROSPECT 11 km from Cap-Oeste Identified in 2010 Exploration: 16 trenches, additional geophysics IP 7,000 M diamond drilling completed; results encouraging Further 3,000 M drilling planned for completion by Q4 2012 LA MARCIANA PROSPECT 20 km from Cap-Oes
Slide 20: Monte Leon: Selected Results
Monte Leon: Selected Results Hole No. From Interval Grade Grade Grade metres metres Au g/t Ag g/t Au Eq g/t MLN-004-D* 122.00 1.50 21.20 321 27.2 MLN-004-D 174.00 2.00 2.92 677 15.6 MLN-003-D 31.05 2.15 16.73 16 17.03 MLN-003-D 85.00 7.00 1.44 1018 20.48 MLN-005-D 138.00 3.00 0.81 267 5.80 MLN-014-D
Slide 21: Lomada de Leiva Project
Lomada de Leiva Project Q2 2011 50,000 tonne trial heap leach pad & processing facility performing satisfactorily Pad expansion to 200,000 tonnes to be completed Q2 2012 Gold room scheduled for completion Q2 2012 Commencement of full scale HL project scheduled Q3 2012 (Subject to Permitting) Resourc
Slide 22: Lomada de Leiva Project
Lomada de Leiva Project 22
Slide 23: La Manchuria Project
La Manchuria Project Exploration stage project 3 drill campaigns completed over past 3 years High-grade gold-silver mineralisation Open to North, South and depth Further drilling planned for late 2012 Resources (oz) Gold Silver AuEq INDICATED 40,317 1,848,211 55,684 INFERRED 72,335 2,335,236 90,682
Slide 24: La Manchuria Project Area
La Manchuria Project Area Geophysical IP Survey Showing Target Zones 24
Slide 25: Other Exploration
Other Exploration Deseado Massif – 60,000 sq km Second Pass in Progress to Identify Drill Targets El Bagual Sarita PGSA Properties Agreement with Fomicruz 20 additional exploration property blocks totalling 133,000 hectares Three exploration teams dedicated to advancing claims First pass reconnaissa
Slide 26: Santa Cruz Province
Santa Cruz Province Established Mines & Advanced Projects Lomada Huevos Verdes de Leiva Cerro Negro El Bagual Don Nicolas La Josefina Cap-Oeste Pinguino Cerro Puntudo COSE Cerro Moro La Manchuria Cerro Vanguardia Mina Marta Manantial PGSA Properties Sarita Espejo Fomicruz Agreement MineralisationTre
Slide 27: Corporate History (2007 to Current)
Corporate History (2007 to Current) Corporate Activity Resources & Prospects February – The Company entered into an agreement with Barrick Gold to acquire exploration properties in Santa Cruz 2007 August – Resource estimate for Lomada de Leiva Project October – Initial resource estimate for Cap-Oest
Slide 28: Growth Strategy
Growth Strategy Advancing a Portfolio of Highly Prospective Assets in Santa Cruz 2012 2013 2014 2015 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Flagship Project Cap-Oeste Pre feasibility study Full feasibility study Permitting, Construction Production Advancing Near Term Production COSE Construction of decline Bulk me
Slide 29: Appendix Materials
PATAGONIA GOLD PLC APPENDIX MATERIALS
Slide 30: Resources
Resources Appendix A 43-101 Compliant (oz) – 4 Projects INDICATED GRADE (g/t) METAL (Oz) PROJECT Tonnes Au Ag AuEq Au Ag AuEq Cap-Oeste 8,182,948 2.28 74.71 3.68 599,570 19,656,004 966,972 COSE 20,637 60.06 1,933.07 96.21 39,850 1,282,582 63,835 La Manchuria 425,705 2.95 135.00 4.07 40,317 1,848,211
Slide 31: Management
Management Appendix B Director since inception; over 40 years' experience in mining and civil engineering industries; General Manager of Sardinia Gold Mining SpA 1996 William H Humphries to 1998; Managing Director of Brancote Holdings PLC from January 1999 until CEO its acquisition in 2002; Chairman
Slide 32: Board of Directors
Board of Directors Appendix C Joined Board in 2004; Retired Non-Executive Chairman of Lonmin plc, Sir John Craven and former Chairman of Morgan Grenfell plc.; member Board of Non-Exec. Chairman Managing Directors of the Deutsche Bank Group; Director of a number of other companies. Extensive business
Slide 33: Board of Directors (cont'd)
Board of Directors (cont’d) Appendix C Fellow of the Australian Institute of Mining and Metallurgy and Australian Institute of Geoscientists with over 25 years' experience in mineral Marc J Sale exploration and development companies; managed operations of PGSA from Technical Director May 2002 to Jun
Slide 34: Investor Presentation March 2012
INVESTOR PRESENTATION March 2012 TSX:PAT AIM:PGD