Golconda Gold Ltd · TSXV:GG
Golconda Gold — Galane Gold — Investor Presentation (November 2013)
26 slides from Golconda Gold's investor presentation, Nov 1, 2013
Slide 1: Management Presentation
MANAGEMENT PRESENTATION November 1, 2013
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS Certain information set forth in this presentation contains “forward-looking statements” and “forward-looking information” under applicable securities laws. Except for statements of historical fact, certain information contained herein constitutes forward-looking statement
Slide 3: Summary
SUMMARY Galane Gold Mupane Gold GG:TSX-V 30 km southeast of Francistown (population Trading Symbol Location GG:BSE ~ 100,000) in Northeastern Botswana Shares O/S 50,733,000 Ownership 100% - Acquired from IAMGOLD July 2011 Shares O/S fully-diluted 61,621,750 Operating Historical production from
Slide 4: Management Team
MANAGEMENT TEAM Chairman of Feronia Inc., one of Africa’s oldest operating companies and largest employers Ravi Sood Former CEO of Navina Asset Management a Toronto-based investment firm Chairman and Director of several companies in the Agriculture, Mining, and Interim CEO Oil & Gas sectors
Slide 5: Management Team
MANAGEMENT TEAM Wayne Senior Mining Professional with 26 years experience in Africa, Asia, and Europe Hatton- Former GM (Goldridge), COO (Galaxy Gold), Acting GM (Avocet), Process Jones Manager and Acting GM (Randgold), Metallurgical Manager (Harmony Gold) B.Sc. (Witwatersrand), MDP (Universit
Slide 6: Botswana Overview
BOTSWANA OVERVIEW Operating in a stable and economically sound mining-friendly jurisdiction Corruption index 2012 from Transparency International Strong Economic Environment Stable and Simple Legal System Strong GDP growth Ranked as best mining country in Africa1 AA credit rating • Ranked 7th
Slide 7: Tenements
TENEMENTS Galane Gold Ltd. Management Presentation 8
Slide 8: Operating and Financial Performance
OPERATING AND FINANCIAL PERFORMANCE Three months to Six months to 2012 June 30, 2013 December 31, 2011 Gold Price US$/oz $1,467 $1,672 $1,666 Operations Total material mined (000 t) 5,177 15,278 4,450 Ore mined (000 t) 365 907 278 Strip ratio 13.58 14.59 14.98 Ore milled (000 t) 442 1,084 281 Head g
Slide 9: Capital Structure
CAPITAL STRUCTURE % of Basic Shares Number Outstanding Common Shares IAMGold Corporation 21,875,000 43.1% Sprott Asset Management 5,939,400 11.7% Other Institutions 5,687,500 11.2% Retail Investors 11,436,100 22.5% BOD and Management 5,795,000 11.5% Total Shares O/S (Basic) 50,733,000 100% Dilutive
Slide 10: Comparables – P/NAV
Semafo 0.95x Resolute 0.90x Pan African 0.88x Centamin 0.76x Golden Star 0.72x Avocet 0.61x Banro 0.53x Perseus 0.49x Galane Gold Ltd. Management Presentation Endeavour 0.49x Galane 0.44x African Gold Producers1 Teranga 0.42x Amara 0.29x Allied Nevada 1.17x Alamos 1.08x 1. As of October 30, 2013. NA
Slide 11: Regional Soil Sampling Gold
REGIONAL SOIL SAMPLING GOLD MONARCH Francistown TEKWANE MAP NORA JIM’S LUCK GOLDEN EAGLE MUPANE RAINBOW Galane Gold Ltd Mining Licences MATOPI Galane Gold Ltd Exploration Targets Greenstone belt outline SIGNAL HILL MOLOMOLO Galane Gold Ltd. Management Presentation 12
Slide 12: 473,000 tonnes of ore still to be mined
As at 31st August 2013, 473,000 tonnes of ore still to be mined with an average grade of 2.19 g/t and a stripping ratio of 4.3. This will contribute 27,811 ounces of gold into Q2 2014. Plan in place to extend mine life and increase ounces by redesigning access ramps Galane Gold Ltd. Management Prese
Slide 13: Recent drilling results at the Tau pit
Recent drilling results at the previously mined Tau pit include a 53 m intersection averaging 4.55 g/t Au including: • 24 m at 6.57 g/t Au • 15 m at 5.86 g/t Au 124m Mine design completed and work commenced on forced portal. It is envisaged we will commence mining in early 2014 and on the current re
Slide 14: Golden Eagle
GOLDEN EAGLE Mining commenced in 2012 and to date we have mined 304 thousand tonnes at an average grade of 1.41 g/t. Old Exploration drilling drives at 930m RL Revised mine design completed at $1,400 gold. It is envisaged we will recommence mining in early 2014 and on the current resources we are ex
Slide 15: Screening Low Grade Stockpiles
SCREENING LOW GRADE STOCKPILES Historical operations has resulted in a low grade stockpile of 702 thousand tonnes of ore at an average grade of 0.92 g/t. The stockpile is located next to the ROM pad. There are other low grade stockpiles located next to historic mining properties e.g. Signal Hill
Slide 16: Tailings Dumps on the Tati Greenstone Belt
TAILINGS DUMPS ON THE TATI GREENSTONE BELT We have completed assaying and surveying work as part of the exploration project. We are currently planning to process 643 thousand tonnes at an average grade of 0.97 g/t. The majority will come from the Monarch Slimes Dam. We are already processing the Nor
Slide 17: Tekwane
TEKWANE Tekwane : Pits & Trenches Over Soil Geochemistry Indicated Resource of 12,735 oz and Inferred Resource of 11,443 oz established in the rubble horizon within the soil bed. Permitting process commenced. Processing will be with a gravity circuit either in conjunction with current CIL plant or o
Slide 18: Jim's Luck – 10km of Strike
JIM’S LUCK – 10KM OF STRIKE Initial mine design completed and work commenced on pit optimisation. On the conceptual mine plan expecting to mine 680 thousand tonnes of ore at an average grade of 2.16 g/t at a stripping ratio of 5.5. Through exploration we know that there is a further 9km of strike an
Slide 19: Kwena
KWENA Historical mining carried out at Kwena by Proposed IAMGOLD Pit 2 Limit With the increase in gold price can now mine additional resources The mine plan is to produce: 700,000 tonnes of ore Stripping ratio 6.2 Grade 1.77 g/t 32,085 ounces Conceptual planning to mine underground K
Slide 20: Exploration Targets
EXPLORATION TARGETS Galane Gold Ltd. Management Presentation 21
Slide 21: Tati Greenstone Belt Geology & Aeromagnetics
TATI GREENSTONE BELT GEOLOGY & AEROMAGNETICS 20 kilometres Francistown Total Field Geology Directional Filtered AeroMagnetics AeroMagnetics Galane Gold Ltd. Management Presentation 22
Slide 22: Golden Eagle Deep
GOLDEN EAGLE DEEP MARTIAL FALCON BATELEUR Galane Gold Ltd. Management Presentation 23
Slide 23: MAP Nora
MAP NORA Historical operation impeded by refractory nature of ore: Underground • Metallurgy now better understood and a concentrate infrastructure, could be processed at bioleach facilities in South Africa including shaft, • Metallurgical test work commenced in late 2012 headgear and winder, in
Slide 24: Investment Highlights
INVESTMENT HIGHLIGHTS Immediate Leverage Experienced Operating to Spot Gold Exploration Upside Management Unhedged gold producer Control all prospective ground Strong operators with the Free cash flow from current on the Tati Greenstone belt ability to optimize and expand LOM plan in excess
Slide 25: The Galane Gold logo story
The Galane Gold logo was designed by an employee in a company-wide contest. The blue and black bars in the official colours of Botswana represent the hands of Batswana protecting the country’s resources for the betterment of the country and its people. Galane Gold Ltd. Management Presentation 27
Slide 26: Contacts
CONTACTS R AV I S O O D NICK BRODIE INVESTOR Chairman (non-executive) Chief Financial Officer R E L AT I O N S Ravi@GalaneGold.com Nick.Brodie@GalaneGold.com Investors@GalaneGold.com Mobile: +852 9829 8376 Mobile: +44 7905089878 Phone: +44 7905089878 Galane Gold Ltd. Management Presentation 28