Asante Gold Corporation · TSXV:ASE
Asante Gold — Investor Presentation (March 2023)
39 slides from Asante Gold's investor presentation, Mar 20, 2023
Slide 1: West African Mid-Tier Gold Producer
WEST AFRICAN MID-TIER GOLD PRODUCER MINE OPERATIONS • PROJECT DEVELOPMENT • EXPLORATION • RESOURCE POTENTIAL BIBIANI MINE CHIRANO MINE CSE:ASE • GSE:ASG • OTC:ASGOF • FSE:1A9 MARCH 2023
Slide 2: Asante Gold Owner of Two Nearby Gold Mines in Ghana
ASANTE GOLD OWNER OF TWO NEARBY GOLD MINES IN GHANA 2 PRODUCING MINES ➢ Chirano with +7Mtpa MILLING ➢ Bibiani CAPACITY ➢ Annual Production rate ~400Koz Au STRONG OPERATING ➢ AISC of US$1,280 –US$1,360/oz BASE... ➢ Total reserves 2.8Moz & resources +5.2Moz …WITH ORGANIC ➢ Annual Production rate 400-4
Slide 3: Regional Prospectivity and Associated Land Holdings
Bibiani Process Plant Chirano Chirano Process Plant REGIONAL ❖ Bibiani & Chirano Gold Mines are consolidated with one owner to create PROSPECTIVITY a highly prospective gold district that exceeds 53km length and 392km2 ASSOCIATED ❖ With two operating process plants LAND HOLDINGS nearby, exploration
Slide 4: Management
MANAGEMENT Dave Anthony President & CEO, BOD Member Mr. Anthony is a resident of Canada and holds a BSc Mining and Mineral Process Engineering from Queen’s University. He has +40 years’ experience in mine project development and operation, at the senior management & executive levels. His experience
Slide 5: Gold Production Planning: The Path to 550Koz/y
GOLD PRODUCTION PLANNING: THE PATH TO 550Koz/y Note: Fiscal year ends January 31st https://www.asantegold.com/ CSE:ASE • GSE:ASG • OTC:ASGOF • FSE:1A9 5
Slide 6: Capital Structure
CAPITAL STRUCTURE CAPITAL STRUCTURE HOLDERS % - FULLY DILUTED CSE Symbol ASE.CN Ghanaian Holdings Including 43.4% Ghana Directors Share Price (Jan 26) CAD$1.78 Other Board / Management 6.3% 52 Week Range $0.94 – $2.29 Emiral Resources 14.0% Total Foreign Issued & Outstanding 378,145,843 Holders 56.6
Slide 7: Asante Gold – Milestone Initiatives
ASANTE GOLD – MILESTONE INITIATIVES Price: $CAD January 19, 2023 - ASE market June 2, 2022 - ASE capitalization C$716.5M. Share February 16, 2022 - Announces Start of Process price @ C$1.90 $100 million financing Plant Operation at the announced at C$1.75 Bibiani Mine July 15, 2022 – November 10, 20
Slide 8: How Does Asante Fit Into the Current Landscape?
HOW DOES ASANTE FIT INTO THE CURRENT LANDSCAPE? African Gold Producers 1,500 2022 1,200 PRODUCTION 900 400-450 Koz by 2024 RATE 600 (Koz Au) 300 350 0 Endeavour Perseus Asante Resolute WAR Pan African Orezone Firefinch Thor Hummingbird Caledonia Shanta Gold Galiano Robex $1,800 $1,500 US$1,100/oz by
Slide 9: Asante Gold Sustainability Model
ASANTE GOLD SUSTAINABILITY MODEL DIGBEE ESG PLATFORM ▪ Asante has engaged the Digbee ESG Platform to conduct an independent audit, to measure our performance and highlight opportunities to continuously improve. Bibiani was rated BB Overall. Chirano audit will PEOPLE be conducted Q2 2023 KEY SUSTAINA
Slide 10: Asante Voluntary Commitments
ASANTE VOLUNTARY COMMITMENTS STANDARD ▪ The UN Sustainable ▪ The UN Voluntary ▪ The ICMM Mining ▪ The UN Guiding ▪ The IFC Performance Development Goals Principles on Security Principles define Principles on provide Standards are an DESCRIPTION provide a framework and Human Rights. good practice a g
Slide 11: Asante Key Social Investments
ASANTE KEY SOCIAL INVESTMENTS SPORTS ENTREPRENEURIAL OPERATOR EDUCATION HEALTH DEVELOPMENT DEVELOPMENT TRAINING Children’s Ward MGBL Basic School Bibiani GoldStars SC Bibiani Hospital Vocational Skills CAT Simulator ▪ Student population – 400 ▪ Only Premier League Club ▪ Fully refurbished the ▪ 12 l
Slide 12: How Do We Deliver Shareholder Return and a Re-Rate? Chirano
HOW DO WE DELIVER SHAREHOLDER RETURN AND A RE-RATE? CHIRANO: Acquired August 2022 DELIVER ON OPERATIONAL EFFICIENCIES AND INCREASE MINE LIFE THROUGH EXPLORATION AT ACQUISITION CURRENT TARGET ✓ +4% improvement to date INCREASE 92% ✓ Gravity Recovery Plant, 85% 89% RECOVERY Oxygen Plant, Aachen Reacto
Slide 13: How Do We Deliver Shareholder Return and a Re-Rate? Bibiani
HOW DO WE DELIVER SHAREHOLDER RETURN AND A RE-RATE? BIBIANI From August 2021: DELIVER ON ALL COMMITMENTS = INCREASED OPERATING EFFICIENCIES, INCREASED MINE LIFE THROUGH EXPLORATION AND INCREASED PRODUCTION WITH UNDERGROUND OPERATIONS AT ACQUISITION CURRENT TARGET ✓ Sulfide flotation and regrind, INC
Slide 14: How Are Asante Assets Positioned Against Other West African Mines?
AISC: HOW ARE ASANTE GOLD ASSETS POSITIONED AGAINST OTHER WEST AFRICAN MINES? 900 MEGA TIER I MINES 800 Kibola ASANTE PORTFOLIO: Organically re-positioning our assets into the “high quality” category with 400-450Koz Au @ US$1,100 AISC 700 Loulo Delivery = Re-Rate 600 2021 PRODUCTION (KOZ AU) Fekola
Slide 15: Life of Mine: How Do Our Assets Compare?
LIFE OF MINE: HOW DO OUR ASSETS COMPARE WITH OTHER WEST AFRICAN MINES? 900 10+ YEAR MINE LIFE ASANTE PORTFOLIO: Through Kibola 800 exploration, aim to grow the Reserve life to 10+ years GHANA GOLD MINES 700 Delivery = Re-Rate Loulo 2021 PRODUCTION (KOZ AU) 600 Fekola Tarkwa 500 Ahafo Essakame Obuasi
Slide 16: Ghana – Major Gold Deposits; Mineralization at Chirano & Bibiani
GHANA – MAJOR GOLD DEPOSITS Most significant gold deposits in West Africa craton are hosted in shear-faults-vein structures and situated in or adjacent to the Ashanti, Sefwi and Asankrangwa Belts The Bibiani & Chirano deposits are hosted in the Bibiani Shear Zone, on the eastern margin of the Sefwi
Slide 17: Chirano Transaction
CHIRANO TRANSACTION ❖ In August 2022 Asante acquired the Kinross’ 90% interest in the Chirano Gold Mine (“Chirano”)1 ❖ Total consideration of US$225 million consisted of: • Upfront consideration • US$36 million in common shares of Asante (“Asante Shares” at C$1.335/sh subject to a 12-month lock-up);
Slide 18: Chirano – Transition Plan & Business Improvement
CHIRANO – TRANSITION PLAN & BUSINESS IMPROVEMENT Increase gold production by 45% and reduce AISC by 20% by 2024 ❖ EXPLORATION • Invest $6M/y in near mine and regional exploration for years 2023, 2024, 2025 to increase LOM from 5 to +10 years ❖ MINE PLANNING • Utilize $1700/oz for resource & reserve
Slide 19: Chirano Mineral Reserve & Resource Overview
CHIRANO MINERAL RESERVE & RESOURCE OVERVIEW Summary of Mineral Reserve at December 31, 2021 Reserve Tonnes Grade Au Ounces Classification (000’s) (g/t) (000’s) Proven 4,777 1.63 250.5 Stockpile(s) 823 0.79 20.9 Subtotal 5,600 1.51 271.4 Probable 10,160 2.2 718.3 TOTAL Mineral Reserves 15,760 1.95 98
Slide 20: Chirano – Forecast Gold Production
CHIRANO – FORECAST GOLD PRODUCTION ❖ Includes Business Improvement Initiatives that have been taken https://www.asantegold.com/ CSE:ASE • GSE:ASG • OTC:ASGOF • FSE:1A9 20
Slide 21: Chirano - Aboduabo Exploration
CHIRANO - ABODUABO EXPLORATION Located on the Bibiani Shear Zone, 1.5km north of Mamnao pit and 5km south of South Russel. 54 holes drilled 2006 Plan view map of Aboduabo showing collar locations and selected intercepts with recent drill results in red text, along 1.3km strike 15,000m & 56 holes to
Slide 22: Bibiani Operation Status
BIBIANI OPERATION STATUS • First gold poured July 7. Gold shipments from Bibiani in 2022 were +55Koz • Gold production ramp-up is on track to produce 225 to + 340Koz/ year through 2030 (with underground mining to commence 2025) • The open pit Mining Contractor on track to deliver +3 Mt/y ore to the
Slide 23: Bibiani Operation Status
BIBIANI OPERATION STATUS • Tailings Dam is fully reconditioned and has 18 months storage capacity. A lift to provide additional 4 years storage capacity will start Q1 2024 • The Bibiani NI-43-101 Technical Report was issued mid July. Some of the recent drilling success has been captured in the Q3 20
Slide 24: Bibiani – Forecast Gold Production
BIBIANI – FORECAST GOLD PRODUCTION Year ❖ Underground production starts 2025 https://www.asantegold.com/ CSE:ASE • GSE:ASG • OTC:ASGOF • FSE:1A9 24
Slide 25: Bibiani – Current Resource Block Model
BIBIANI –CURRENT RESOURCE BLOCK MODEL https://www.asantegold.com/ 25 CSE:ASE • OTC:ASGOF • FSE:1A9
Slide 26: Bibiani Exploration Overview Main Pit
BIBIANI EXPLORATION OVERVIEW MAIN PIT ❖ A substantial gold deposit: • Production to date >4Moz • 2Moz Reserve presented in NI 43-101 • Mineralization is continuous to 800m below surface & at least 250m below the resource model. The geology suggests that mineralization may continue to considerable de
Slide 27: Bibiani – Near Mine Exploration Program
BIBIANI – NEAR MINE EXPLORATION PROGRAM Very little regional exploration was conducted in the goldfield since the 1990’s when the Bibiani main pit became the focus. Asante initiated the Near Mine Exploration Program in September 2021 and has achieved excellent results to date Walsh 2021/22 drill pro
Slide 28: Asante Gold Production - 2022
2022 Gold Production (Ounces) 30,000 Consistent increase in gold production, from August 2022. The November-December period is 20.7% higher than September-October 22 compared to prior two months 25,000 ASANTE GOLD 20,000 PRODUCTION - 12,171 12,962 9,349 2022 15,000 9,425 6,329 10,000 11,371 12,011 5
Slide 29: Board of Directors
BOARD OF DIRECTORS Bashir Ahmed Director & Technical Committee Chair Douglas R. MacQuarrie A resident of Ghana, Mr. Ahmed, is a mining engineer with over 35 Non-Executive Chairman of the Board years of experience in mine operations, planning, production and A resident of Canada, Mr. MacQuarrie is th
Slide 30: Disclaimer
DISCLAIMER Cautionary Statement on Forward-Looking Statements This presentation contains forward-looking statements. Forward-looking statements involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those exp
Slide 31: Thank You
THANK YOU https://www.asantegold.com/ 31 CSE:ASE • GSE:ASG • OTC:ASGOF • FSE:1A9
Slide 32: Technical & Operations Leadership
TECHNICAL & OPERATIONS LEADERSHIP Eben Swanepoel Adriano Sobreira VP Technical Services and Capital Projects VP Operations A resident of South Africa, Mr. Swanepoel has 43 years experience in open A resident of South Africa, Mr. Sobreira holds a Bachelor of Technology degree in pit and underground m
Slide 33: Chirano Obra 2022 Results
CHIRANO OBRA 2022 RESULTS o Obra deposit is dominantly tonalite porphyries + quartz dolerites that are hydrothermally altered, brecciated, veined and bounded by shears with strong foliations. o Mineralization is within breccias and associated with silica-ankerite-sericite alteration with disseminate
Slide 34: Chirano Obra 2021 Results
CHIRANO OBRA 2021 RESULTS https://www.asantegold.com/ CSE:ASE • GSE:ASG • OTC:ASGOF • FSE:1A9 34
Slide 35: Bibiani - Cross-Sections From Current Resource
BIBIANI - CROSS – SECTIONS FROM CURRENT RESOURCE Old Pit As-built Old Pit As-built Ultimate Pit Cut Back Ultimate Pit Cut Back Tonalite BUDD077 51m@4.3g/t Tonalite BUDD089 22m@3.32g/t BUDD040 30.3m@8.92g/t BUDD089 23m@2.38g/t https://www.asantegold.com/ 35 CSE:ASE • GSE:ASG • OTC:ASGOF • FSE:1A9
Slide 36: Bibiani - Near Mine Exploration Program
BIBIANI - NEAR MINE EXPLORATION PROGRAM • Extensive induced polarization & ground magnetic surveys across the entire lease Walsh Satellite pit • Structural geology review embedded within the exploration program • 20,000m drill program-initiated September 2021 • 25,000m drilled 2022 • 30,000m planned
Slide 37: Bibiani Gold Production From Satellite Pits
BIBIANI GOLD PRODUCTION FROM SATELLITE PITS Category Tonnes Grade (g/t Au) Contained Au (ounces) ❖ Located 300m – 1km north and east of the Measured & Indicated 1,887,722 1.49 90,610 Bibiani Main Pit ❖ STRAUSS SATELLITE PIT delivered +5,000oz Inferred 250,953 1.18 9,529 ❖ WALSH SATELLITE PIT will de
Slide 38: Kubi Gold Mine - Development
KUBI GOLD MINE - DEVELOPMENT • Preliminary design of portal & underground exploration workings initiated • Excellent mining infrastructure; experienced labor available; near the major high-grade Obuasi mining camp • 20 year renewable mining lease, 6 years remaining • Plan infill phase 1 and phase 2
Slide 39: Kubi Gold Mine - Development
KUBI GOLD MINE - DEVELOPMENT • AngloGold Ashanti previously mined 58,696 oz Au @ 3.65g/t from surface oxide ore; backfilled pits BIBIANI 6.5 Moz • US$30 million in previous exploration & development by BHP, Nevsun Resources, PMI Gold (now Galiano Gold) • Current NI 43-101 resource estimate, complete