Montage Gold Corp. · TSX:MAU
Montage Gold — Investor Presentation (July 2021)
22 slides from Montage Gold's investor presentation, July 2021
Slide 1: Koné Gold Project: The Foundation of a New Gold District
Koné Gold Project: The Foundation of a New Gold District CORPORATE PRESENTATION JULY 2021 TSXV MAU
Slide 2: Cautionary Language
Cautionary Language Mineral Exploration and Inferred Resources Montage Gold Corp. (“Montage” or the “Company”) is a mineral exploration focused company and its properties are in the mineral exploration stage only. The degree of risk increases substantially where an issuer’s properties are in the min
Slide 3: Koné Delivers Strong PEA
Koné Delivers Strong PEA § Simple, low-cost operation PEA HIGHLIGHTS § Strip ratio of 0.93:1 § 15 year initial mine life $652 million 3 million oz After-Tax NPV (100% basis) LOM Total Production § Peak production of 308koz in years 2 and 3 § Capital payback of <3 years 31% 205,000 oz After-Tax IRR A
Slide 4: Building Momentum
Building Momentum 80% Increases Inferred Resource at Koné to Completion of $35M 3.16Moz Releases PEA IPO on TSX 70% Doubles Mineralized Infill Results incl. Strike & Depth of Koné Reports Positive 4.95m at 22.25g/t 60% Deposit within 200m at 1.51g/t Metallurgical Results 50% Infill Results incl. 105
Slide 5: Strong Shareholder Backing
CAPITALIZATION Basic Shares Outstanding 105,040,004 Options Outstanding1 8,850,000 Fully-Diluted Shares Outstanding 113,890,004 Strong Shareholder Cash Position2 C$25,000,000 Backing Close Price (TSXV:MAU) June 29, 2021 C$0.80 Basic Market Cap C$84,032,003 OWNERSHIP3 Orca Gold 31.5% Lundin Family Tr
Slide 6: Montage Leadership
Montage Leadership HUGH STUART ADAM SPENCER GLENN KONDO CEO | B.Sc (Hons), M.Sc, FGS, CGeol EVP Corp. Development | CFA CFO | B.Comm, CA § 30+ Years in Exploration § 15+ Years in Mining Capital Markets § 20+ Years in Finance § Track record of significant grassroots § Former SVP Corp Dev, Sandstorm G
Slide 7: Executing to Plan
Executing to Plan Syama § Inferred Resource doubled to 3.16Moz Wahgnion Sissingué Tongon § Delivered positive metallurgical results Bagoe Doropo § PEA shows that Koné works well Korokaha Gold Project ABC § 55,000m infill/expansion drilling 95% complete Koné Gold Fetekro § Indicated Resource due in J
Slide 8: PEA Highlights
PEA Highlights OPERATING METRICS FINANCIAL METRICS Life of Mine (“LOM”) 14.7 years Cash Costs (Avg LOM) $827/payable oz Total Mineralized Material Mined 161.1 Mt Cash Costs (Avg First 3 Years) $701/payable oz Contained Gold in Mined Resource 3.37 Moz AISC (Avg LOM) $975/payable oz Strip Ratio 0.93 w
Slide 9: Operations Schedule
Operations Schedule PROCESSING PRODUCTION Oxide Transition Fresh Grade (Au g/t) Gold Production Recoveries 12.0 1.20 350 100% 98% 300 10.0 1.00 96% Total Material Processed (Mt) 250 94% Total Grade Processed Gold Production (koz) 8.0 0.80 92% Recoveries 200 6.0 0.60 90% 150 88% 4.0 0.40 100 86% 84%
Slide 10: Pre-Production Capital & Operating Costs
Pre-Production Capital & Operating Costs Mining § Low AISC driving fast payback of 2.8 years $32.0M § Low power requirements and scale driving low processing cost § Conservative mining cost ($2.90/t mined) Contingency § Assumption is higher than peers for conservatism $65.1M Owner § Seeking competit
Slide 11: Large, Simple Deposit
Large, Simple Deposit § Single mineralized domain NW SE § Consistency over extreme widths § Ultra-low strip of 0.93:1 § Horizontal mining widths of 250m to 300m significantly reduces variability of strip § Discrete higher-grade intervals § Resource upside at depth – currently being drilled § Infill
Slide 12: Conservative Modelling
Conservative Modelling § >90% of Resource in PEA Pit Design MAY 2021 PEA PIT MATERIAL Mt Au g/t Au Moz § PEA pit designed at $1,250/oz gold price South Pit 153.3 0.66 3.25 § Industry trending near $1,500/oz North Pit 7.7 0.50 0.12 § Resources calculated at $1,500/oz gold price Total 161.1 0.65 3.37
Slide 13: Economic Drivers
Economic Drivers LOM STRIP RATIO FRESH ROCK HARDNESS § Strong economics driven by: (w:o) (BWi kwh/t) § Low strip ratio Koné (Montage) 0.9 Koné (Montage) 11.3 § Low rock hardness Kiaka (B2Gold) Block 14 (Orca Gold) § Processing at elevated cut-off grade Abujar (Tietto) Namdini (Cardinal) Block 14 (Or
Slide 14: Site Layout
Batogo Site Layout Village § No resettlement expected ry Toundia Forest da § Excellent access Reserve un Bo nt § Strong local relationships me North Pit ne Camp Te South Pit § Ample surface available for Water Pipeline development Waste Dump Waste Dump § Straightforward process with forest reserve W
Slide 15: Low Cost, Reliable Green Power
Low Cost, Reliable Green Power § On-site power generation preferred to grid § Lower capex and opex § Hybrid LNG and Solar plant § Average annual demand 39MW § Dedicated and reliable § Environmentally responsible § Solar contribution reduces CO2 emissions by 50kt/year § 10 year BOOT Contract (Build,
Slide 16: Leverage to Gold Price & Scarcity Value
Leverage to Gold Price & Scarcity Value § Significant NPV leverage to gold price SENSITIVITY TO GOLD PRICE Gold Price ($/oz) $1,500 $1,600 $1,700 $1,850 $2,000 § Elevated cut-off processing boosts cashflow in early NPV5% ($M) $495 $652 $781 $1,015 $1,249 years IRR 25% 31% 36% 46% 56% § Payback remai
Slide 17: Exploration and Optimization
Exploration and Optimization § Significant Exploration Potential Syama Trend Tongon § KGP includes 1,442km2 of permits and applications Trend § Over 100km of unexplored mineral trends within trucking Sisséplé Application distance § 8 targets identified for initial testing 75km Trucking § Satellite e
Slide 18: Advancing the Koné Gold Project
Advancing the Koné Gold Project EARLY YEARS § Jul 2008: Red Back applies for the Morondo Exploration Permit § 2009: Soil sampling program identifies anomaly at Koné § Oct 2010: Drilling confirms mineralization at Koné; Red Back acquired by Kinross § 2013: Sirocco Gold signs option agreement; continu
Slide 19: Local Impact & Community Relations
Local Impact & Community Relations Montage Gold is backed by strong community support from the surrounding villages of Fadiadougou and Batogo. In addition to being the largest employer in the area, Montage continues to invest in these local communities with over $100,000 contributed to projects with
Slide 20: Summary
Summary Koné Deposit PEA Complete Feasibility 4Moz 15 years at >200koz pa Study Underway with Room to Grow Expected by Year-End 55,000m of >100km Fully-Funded Drilling Unexplored Trends $25M Cash on hand Drill Program Underway at 1,442km2 KGP See Notes at end of presentation for full disclosure rega
Slide 21: Notes
Notes Disclosure Regarding Mineral Resource Estimates § The figures in this tables are rounded to reflect the precision of the estimates and include rounding errors. § Inferred Mineral Resources are reported in accordance with NI 43-101 with an effective date of January 27, 2021. § The Inferred Mine
Slide 22: Hugh Stuart, Adam Spencer – Contact
Hugh Stuart Chief Executive Officer hstuart@montagegoldcorp.com Adam Spencer EVP Corporate Development MontageGoldCorp.com aspencer@montagegoldcorp.com