Troilus Mining Corp · TSX:TLG
Troilus Mining — Troilus Gold — Investor Presentation (April 2022)
35 slides from Troilus Mining's investor presentation, April 2022
Slide 1: The Troilus Project
A New Life for a Former Gold & Copper Mine in Quebec SCALE TSX: TLG OTCQX: CHXMF FRA: CM5R The Troilus Project JURISDICTION A New Life for a Former Gold & Copper Mine in Quebec LONG LIFE April 2022 | 1
Slide 2: Cautionary Language, QP Statements and Legal Disclaimers
CAUTIONARY LANGUAGE, QP STATEMENTS AND LEGAL DISCLAIMERS Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. There is no certainty that the Indicated Mineral “estimates”, “forecasts”, “intends”, “contemplates”, “goal”, “continue”, “anticipates” or “does not a
Slide 3: Troilus Gold Corp. is Generating Value by Responsibly Developing
TROILUS GOLD CORP. IS ESG Leadership GENERATING VALUE BY ECOLOGO certified; Targeting a carbon-neutral mining operation RESPONSIBLY DEVELOPING Strong Cash Position THE PAST-PRODUCING CAD$30.4 million (FQ2 ending Jan. 31, 2022) GOLD-COPPER TROILUS PROJECT Located in Top-Ranked Mining Jurisdiction Que
Slide 4: Quebec, Canada: Top-Rated Mining Jurisdiction Globally
QUEBEC, CANADA: TOP-RATED MINING JURISDICTION GLOBALLY Low-cost operation location Quebec is ranked 6th globally on the Chibougamau (~170km south of Troilus) “Investment Attractiveness Index”* Established regulatory and permitting framework Access to mining labour, suppliers & contractors Ch
Slide 5: Project Located in One of the World's Richest Gold Regions
PROJECT LOCATED IN ONE OF THE WORLD’S RICHEST GOLD REGIONS CANADA’s PRIMARY GOLD DISTRICTS Eastmain Frôtet-Evans Greenstone Belt Abitibi Greenstone Belt Mistissini Chibougamau PLAN NORD Quebec Rouyn-Noranda Val-d’Or Quebec City Gold Mine Gold Deposit Source: Visual Capitalist; Resource World | 5
Slide 6: Troilus' History as a Past-Producer
TROILUS’ HISTORY AS A PAST-PRODUCER 2012 2017 Hostile takeover of Inmet Troilus is acquired in Dec. 2017 by First Quantum Minerals - $300,000 cash - 2.5% NSR (bought back in Nov. 2020) 1950’s 2011 Initial exploration Failed merger with Lundin Mining 1996-2010 Inmet Mining Corp. operated the Troilus
Slide 7: Sound Capital Structure & Strong Cash Position
SOUND CAPITAL STRUCTURE TSX: TLG OTCQX: CHXMF FRA: CM5R & STRONG CASH POSITION WORKING CAPITAL (C$) CAPITAL STRUCTURE ANALYST COVERAGE $30.4 million Basic Shares Outstanding Richard Gray Cormark 199,906,178 *As at FQ2 ending January 31, 2022 Ian Parkinson Stifel|GMP Debt: Nil Options 280,040 250,000
Slide 8: Strong & Supportive Shareholder Base
STRONG & SUPPORTIVE SHAREHOLDER BASE Strategic Partnership with Committed, Long-Term Shareholders & Partnerships the Quebec Government $11.15 million invested in Troilus in July 2021 through Investissement Québec Defines a long-term strategic framework focused on establishing full project financ
Slide 9: Leadership Team in Place to Advance Troilus Mine Restart
LEADERSHIP TEAM IN PLACE TO ADVANCE TROILUS MINE RESTART SENIOR MANAGEMENT BOARD OF DIRECTORS Diane Lai, ICD.D, MBA – Chairperson Seasoned executive and entrepreneur with +20 yrs of global marketing experience Jamie Horvat, M.Sc. +20 yrs of experience in asset management, particularly resources and
Slide 10: Strategic Land Position in the Frôtet-Evans Camp
STRATEGIC LAND POSITION IN THE FRÔTET-EVANS CAMP Troilus holds a strategic land position in the region with 142,000 hectares (1,420 km²) A 2,800% increase since 2017, driven by our belief in the district-scale potential of the mineral system in this area. FOR SCALE PURPOSES City of Toronto (630 km²)
Slide 11: Former Mine Site & Main Mineral Zones
Enlarged Area FORMER MINE SITE & MAIN MINERAL ZONES Allongé J Zone Z87 Z87 South Gap Zone Southwest J4 pit Formerly mined pits J4 pit Z87 pit Z87 pit 2020 Mineral Resource Wireframes & PEA Pit Shells Defined Mineralized Zones +20km Geophysical Trend | 11 | 11
Slide 12: US$350 Million Brownfield Advantage
BROWNFIELD ADVANTAGE APPROX. Initial Construction Starter US$350 MILLION Camp *installed septic OF INHERITED VALUE 50MW Substation Core Storage & Logging Water Treatment Facility Tailings Facility 60 km Power Line, Site *with capacity to accommodate Roads and River Crossings PEA’s LOM production | 1
Slide 13: Track-Record of Mineral Resource Growth
TRACK-RECORD OF MINERAL RESOURCE GROWTH ~200,000 metres drilled since acquiring Troilus in late 2017; finding costs of <$5/oz +120,000m of drilling completed since the 2020 resource Updated mineral +142% resource and 4.96 Acquisition 4.71 Moz AuEq inaugural Moz AuEq of Troilus Reserve 3.92 expected
Slide 14: The Best Place to Find Gold
2016 INHERITED RESOURCE 2019 NEAR-PIT GROWTH THE BEST J5 pit Z87 pit J Zone Z87 / Z87 South PLACE TO FIND GOLD ~300m ~500m IS WHERE 200m GOLD WAS PRODUCED 2020 EXTENSIVE MINERAL SYSTEM UNCOVERED J Zone Z87 Z87 South Southwest ~500m | 14
Slide 15: 2018-2021 Near-Pit Resource Expansion
2018-2021 NEAR-PIT RESOURCE EXPANSION B Main Mineral Corridor, Long Section Facing Northwest SOUTHWEST ZONE - GAP ZONE Z87 SOUTH - Z87 - J ZONE ALLONGÉ Road access; initially drilled in late 2019 Formerly mined pits (1996-2010) 110 g/t Au grab Inferred Resource of 583,000 oz AuEq* (July 2020
Slide 16: Typical Cross-Section: Then and Now
TYPICAL CROSS-SECTION: THEN AND NOW J ZONE Main Mineral Corridor, Long Section Facing Northwest HIGHLIGHTS SOUTHWEST ZONE GAP ZONE Z87 SOUTH Z87 J ZONE ALLONGÉ New parallel zone of mineralization identified over a strike length of ~1.6km, primarily within undrilled 1km areas of the PEA pit shell 202
Slide 17: New Discovery: Southwest Zone
NEW DISCOVERY: SOUTHWEST ZONE SOUTHWEST HIGHLIGHTS SOUTHWEST GAP ZONE Z87 SOUTH Z87 J ZONE ALLONGÉ Initially drilled in late 2019. Among best results ever drilled at Troilus: 1km 2020 Mineral Resource 2020 PEA Pit Shell Outline 3.58 g/t AuEq over 15m, incl. 6.76 g/t over 7m 1.56 g/t AuEq over 73
Slide 18: High Grade at Troilus
HIGH GRADE AT TROILUS High-grade gold system associated with fold and shear patterns within a broad base ~1g/t deposit. ~30g/t gold Identifiable and predictable throughout the deposit. | 18
Slide 19: Multiple Targets to Support Growth Strategy
1 ALLONGÉ MULTIPLE TARGETS TO SUPPORT GROWTH STRATEGY 110 g/t Au grab sample (2018) 2 BEYAN / CRESSIDA Drill results: Grab Samples: 1.62 g/t Au/ 34m Main Mineral 12 g/t Au 1 Corridor 1.23 g/t Au/ 21m 9.7 g/t Au J Zone 1.11 g/t Au/ 19.3m 32.5 g/t Ag Z87 1.0 g/t Au/ 44.6m Southwest Main Mineral Corrid
Slide 20: New Discovery at Testard (March 2022)
NEW DISCOVERY AT TESTARD (MARCH 2022) Main Mineral Corridor J Zone Z87 Southwest Testard | 20 *See press release dated March 31, 2022.
Slide 21: PEA Summary & Sensitivities (August 2020)
PEA SUMMARY & SENSITIVITIES (AUGUST 2020) AMONG THE TOP CANADIAN GOLD MINES, TROILUS’ ALL-IN- SUSTAINING-COSTS (AISC) WOULD 246,000 oz Au 22 years $333M $719/oz AuEq BE IN THE LOWER QUARTILE Avg. Annual Production Mine Life CAPEX Cash Operating Costs (first 14 years) (14 yrs Open Pit) $850/oz AuEq A
Slide 22: Production Profile – Gold, Copper & Silver
PRODUCTION PROFILE – GOLD, COPPER & SILVER TROILUS HAS THE POTENTIAL TO RANK AMONG THE TOP 220,000 oz Au 246,000 oz Au CANADIAN GOLD PRODUCERS Avg. Annual Production Avg. Annual Production 350,000 (first 5 years) (first 14 years) 35,000,000 Gold Silver Copper Annual Production Guidance (2020; Koz Au
Slide 23: Troilus Stands Out Among Canadian Development-Stage Gold Projects
PROJECT POSITIONING – CANADA INITIAL CAPEX, LOM AVG. ANNUAL AU PRODUCTION AND CAPITAL INTENSITY (2) Bubble size illustrates estimated Capital Intensity (Initial CapEx / LOM Avg. Annual Au Production) – The smaller the better PEA PFS FS BROWNFIELD ADVANTAGE $1,400 Cote TROILUS STANDS $1,200 KSM (US$5
Slide 24: Highly Leveraged to Copper
HIGHLY LEVERAGED TO COPPER Canadian Copper Producing Assets – 2020 Cu Production (tonnes) Copper production of 7,358 tonne per year (PEA 2020), placing Troilus among the top copper producers in Canada. Copper is expected to contribute 15.5% to Troilus’ total revenue(PEA 2020). PEA assumed copp
Slide 25: Upcoming Pre-Feasibility Study: Expectations & Targets
UPCOMING PRE-FEASIBILITY STUDY: EXPECTATIONS & TARGETS Open pit only mining scenario, targeting +220,000 oz annual production Inaugural Reserve to feed into PFS; Targeting over 90% resource conversion from PEA PFS to reflect 2.5% royalty buy-back completed in late 2020 Base case copper price
Slide 26: Recent Milestones & Path Forward
RECENT MILESTONES & PATH FORWARD Continuing to De-Risk and Unlock Value 2020 2021 2022 2023 2024 Baseline studies & monitoring (since 2018) Southwest expansion Acquisition of & successful regional Ongoing Drilling & Drill Results UrbanGold Minerals exploration on Mineral Resource Update & PFS (m
Slide 27: Committed to the Responsible Development of Our Project
COMMITTED TO THE RESPONSIBLE DEVELOPMENT OF OUR PROJECT We are committed to creating value for our shareholders while operating in a safe, socially and environmentally responsible manner. ESG MILESTONES 2022 2020 2020 2021 Troilus Engages: - To conduct an inventory of its historical Troilus implemen
Slide 28: Follow us
Justin Reid CEO & Director (647) 276-0050, x1305 justin.reid@troilusgold.com Blake Hylands President Montreal Office: (905) 599-5499 715 Square Victoria, Suite 705, Montreal, QC H2Y 2H7 blake.hylands@troilusgold.com Toronto Office: 400-36 Lombard St., Toronto, ON M5C 2X3 Caroline Arsenault VP Corpor
Slide 29: Appendix
APPENDIX | 29
Slide 30: Troilus Site Photos
TROILUS SITE PHOTOS J4 Open Pit Ne 7 _ Exploration Come Power Substation 287 Open Pit Nort! CUITROILUS | 30
Slide 31: Stakeholder Engagement
Signed Pre-Development Agreement (PDA) with the Cree Nation of Mistissini, STAKEHOLDER the Grand Council of the Crees (Eeyou Istche) and the Cree Nation in July 2018¹ ENGAGEMENT Establishes the framework for the on-going and mutually beneficial relationship regarding business and employment opport
Slide 32: Mineral Resource Summary – All Zones
MINERAL RESOURCE SUMMARY – ALL ZONES Effective date of mineral resource: July 20, 2020 Gold Contained Contained Contained Contained Total Open Pit Tonnes (Mt) Equiv. Gold (g/t) Copper (%) Silver (g/t) Gold Copper Silver AuEq & Underground (g/t) (Moz) (Mlb) (Moz) (Moz) Indicated 177.30 0.87 0.75 0.08
Slide 33: 2020 Mineral Resource – Grade Distribution
2020 MINERAL RESOURCE – GRADE DISTRIBUTION Z87, Z87 South and J Zone Above 0.3 g/t AuEq (open pit) & above 0.9 g/t AuEq (underground) 285m J5 Z87 South 485m 600m J4 J4 UG Z87 UG g/t AuEq. 870m from 0.3 – 0.5 surface 0.5 – 0.9 > 0.9 Limit of Resource Shell Tonnes Gold Copper Silver Gold Contained Con
Slide 34: Mineral Resource Grade Distribution
MINERAL RESOURCE GRADE DISTRIBUTION Southwest Zone Above 0.3 g/t AuEq (open pit) 130m ZSW 280m Limit of Resource Shell g/t AuEq. 0.3 – 0.5 0.5 – 0.9 > 0.9 Tonnes Gold Copper Silver Gold Contained Contained Contained Contained (Mt) (g/t) (%) (g/t) Equiv. Gold Copper Silver AuEq (g/t) (Moz) (Mlb) (Moz
Slide 35: 2020 Mineral Resource - Additional Disclosures
2020 MINERAL RESOURCE - ADDITIONAL DISCLOSURES Effective date of mineral resource: July 20, 2020 The resource constraining shells were generated with: Metal Prices of Gold $US 1600/oz, Copper $US 3.25/lb, Silver $US 20/oz Mining Costs: J Zone and 87 Zone base cost $Cdn 1.71/t moved, SW Zone base