Eldorado Gold Corporation · TSX:ELD

Eldorado Gold — Investor Presentation (November 2012)

53 slides from Eldorado Gold's investor presentation, November 2012

  1. Slide 1: Focusing on Delivery – Investor Presentation

    Focusing on Delivery Investor Presentation November 2012

  2. Slide 2: Forward-looking statements

    Certain of the statements made in this Presentation may contain forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995 and forward-looking information within the meaning of applicable Canadian securities law. These forward-looking statemen

  3. Slide 3: Investment highlights

     > 650,000 oz gold producer with 20 years of international operating experience  Leading low cost operator with solid margins and a strong balance sheet  Experienced management team with a proven ability to build and operate mines  Track record of value creation through successful exploration, d

  4. Slide 4: Operations in highly prospective areas

     Operations in highly prospective areas with well-established mining cultures  Asset base is diversified across the mining lifecycle  Pipeline of assets drives organic growth www.eldoradogold.com 4

  5. Slide 5: By 2016, we aim to

     By 2016, we aim to:  Construct 5 new mines in 4 countries and expand Kisladag & Olympias  Produce 1.7m ounces of gold (2012E: 660,000oz)  Have cash operating costs of US$325-350/oz net of by-product (2012E: $465)  Maintain balance sheet strength  Distribute an attractive dividend to sharehold

  6. Slide 6: Estimated Gold Production 2012-2016

    Estimated Gold Production 2012-2016  We’re seeing: 2,000,000 2000 1800 1,750,000  Strong production 1600 growth (Average Annual 1,500,000 Growth Rate: 32%) with Gold Production (oz) 1400 decreasing cash costs 1,250,000 1200 US$/oz 1,000,000 1000  1.7 million oz of gold produced in 2016 750,000 80

  7. Slide 7: Capital Required (US$ m)

    5 Year Estimated Development & Expansion Capital 800  We’re investing ~US$2 billion in development & expansion 700 projects over the next 5 600 years: Capital Required (US$ m) 500 1. ~$820 million in Greece 400 2. ~$415 million in Turkey 300 3. ~$380 million in Brazil 200 100 0 2012 2013 2014 2015

  8. Slide 8: Guidance vs Actual

    Gold Production – Guidance vs Actual 800 700 600 Oz (thousands)  Over the past 5 years we have: 500 400 300  Doubled Production 200 100 0  Increased Reserves & Resources 2007 2008 2009 2010 2011 Guidance Actual Cash Costs – Guidance vs Actual  Delivered on expectations 500 400 300 ($/oz) 200 100

  9. Slide 9: 2012 operational performance

     Steady 2012 operational performance; 465,794* oz produced YTD at $475/oz cash operating costs ($549/oz total cash costs)  On target to meet 2012 production and operating cost guidance  Current operations provide solid base for development profile Gold Production Cash Operating Costs 700,000 900

  10. Slide 10: Summarized Financial Results

    To end Q3 To end Q3 Summarized Financial Results 2012 2011 Revenues (millions) $797.6 $799.1 Gold sold (ounces) 438,421 490,207 Average realized gold price ($/ounce) $1,665 $1,546 Cash operating costs ($/ounce sold) (1) $475 $401 Total cash cost ($/ounce sold) (1) $549 $467 Gross profit from gold mi

  11. Slide 11: Upcoming milestones

     Complete Feasibility Study at Tocantinzinho (TZ) Q4 2012  Receive EIA approval for Perama Hill Q4 2012  Declare commercial production from Efemcukuru Q4 2012  Make construction decisions on Perama Hill, TZ and Certej Q4 2012/Q1 2013  Submit Project Permit Approval (PPA) for Eastern Dragon Q4 2

  12. Slide 12: Expansion, Construction and Development projects

    These four projects account for 60% of Eldorado’s future production growth Kişladağ Olympias Skouries Perama Hill (Expansion) (Construction) (Construction) (Development) www.eldoradogold.com 12

  13. Slide 13: Kişladağ Expansion Highlights

    EXPANSION Highlights Current production rate 12.5 million tonnes / year (crushing, screening, stacking) Expanded production rate 25.0 million tonnes / year (crushing, screening, stacking) Expanded production rate, average 475,000 ounces / year LOM strip ratio 1.4:1 ROM ore treatment , average 8MT /

  14. Slide 14: Kişladağ expansion: progress to date

    EXPANSION Engineering  Basic engineering package completed in October Procurement  Major long lead mine and plant equipment ordered Construction  Earthworks for crusher pad, plant and ancillary facilities underway Contracts  Supply and install contract for ETL awarded  Expediting contract New L

  15. Slide 15: Kişladağ expansion: next steps

    EXPANSION Leach Pad, Kişladağ Engineering  Detailed engineering design initiated Procurement  Continue procurement of major mining and process equipment  Major fabrication initiated Construction  Construction of Phase VI leach pad extension  Installation of North Pad conveying system  Initiate

  16. Slide 16: Olympias development potential

    Development Potential  Projects within a 10km radius  Fully-permitted  Excellent infrastructure (roads, power, port access)  Experienced & growing local teams  Phased construction approach  Strong government support www.eldoradogold.com 16

  17. Slide 17: Olympias phased development plan

    CONSTRUCTION Phase I (2012 – 2015) • Tailings treatment & re-processing • Mill re-commissioning (720 ktpa) • Underground refurbishment • Sale of AsPy concentrate (~50 koz payable Au/yr) Phase II (2016 – 2017) • Underground mining – existing infrastructure (400-500 ktpa) • Production of AsPy, Pb-Ag a

  18. Slide 18: Olympias Project Highlights

    CONSTRUCTION Deposit Type Replacement mixed sulphide Mine Life 22 years Initial Capex ~US $165 million to Phase II UG Production Mining Rate Phase I –Tailings – 720 ktpa Phase II – Underground – 400-500 ktpa Phase III – Underground Expansion – 850 ktpa Gold Phase I – Tailings – 50,000 oz/year Produc

  19. Slide 19: Olympias mill refurbishment

    CONSTRUCTION Mill Refurbishment (Complete)  Flotation plant roof replaced and buildings refurbished a.  Civil works completed Schist Amphibolite Gneiss  New power substation installation complete Marble Intrusive  Tanks and piping replaced  New equipment installed (including filter presses and

  20. Slide 20: Olympias underground workings

    CONSTRUCTION Underground Workings  Refurbishment of existing Schist Olympias Mine ramp 67% Amphibolite Gneiss complete with 2,337m of Marble 3,500m rehabilitated Intrusive  Removal/refurbishment of steel arches and old timber support, rock-bolting and shotcreting (improving ventilation & support)

  21. Slide 21: Skouries Project Highlights

    CONSTRUCTION Deposit Type Gold-Copper Porphyry Mine Life 27 years Initial Capex ~US $340 million to plant production from Open Pit Schist Mining Rate 8 Mtpa Open Pit Amphibolite Gneiss 4.4 Mtpa Underground Marble Strip Ratio 0.7 : 1 Intrusive Gold ~140,000 oz Au, ~30,000 t Cu/year Open Pit Productio

  22. Slide 22: Skouries work 2012 and 2013

    CONSTRUCTION Work 2012  Site preparation – surface clearing Schist activities and earth moving Amphibolite Gneiss Marble  Road access Intrusive  Portal excavation Work 2013  Continue construction of Processing Plant  Advance Underground development  Test geological potential of nearby targets

  23. Slide 23: Perama Hill Project Highlights

    DEVELOPMENT Disseminated epithermal gold-silver Deposit Type vein deposit Mine Life 8 years Initial Capex ~US $189 million Mining Rate 1.25 Mtpa Open Pit Strip Ratio 0.35 : 1 Gold Production 110,000 oz/year Silver Production 85,000 oz/year Cash Costs $278/oz (by-product) Processing Conventional CIL

  24. Slide 24: Perama Hill work 2012 and 2013

    DEVELOPMENT Drilling at Perama Hill Work 2012  PEIA approved in February 2012  EIA submitted to Ministry of Environment (MoE) in March 2012 under Fast Track Legislation  EIA approval anticipated in Q4 2012  Construction decision in Q4 2012/Q1 2013 Work 2013  Approve technical studies with MoE d

  25. Slide 25: Exploration: Piavitsa, Certej, Tanjianshan, Efemcukuru

    Piavitsa Certej Tanjianshan Efemcukuru (Greenfield) (Brownfield) (Near Mine) (Near Mine) www.eldoradogold.com 25

  26. Slide 26: Piavitsa exploration potential

    Exploration Potential  Strategic land position  Metallogenic belt with multiple deposit styles within 10km radius  Untested targets provide excellent upside potential www.eldoradogold.com 26

  27. Slide 27: Greenfield exploration upside

    EXPLORATION - GREENFIELD  Excellent upside potential (not in resources)  2012 program testing target horizon on 100m x 200m spaced grid  5 drills currently turning  Historical drilling identified massive sulphide zones along Stratoni Fault www.eldoradogold.com 27

  28. Slide 28: Exploration - Greenfield

    EXPLORATION - GREENFIELD www.eldoradogold.com 28

  29. Slide 29: Brownfield exploration at Certej

    EXPLORATION - BROWNFIELD  Over 1.5 million oz added to M&I resource base in 2012  2012 drill holes in Link Zone target cut high- grade gold mineralization  West Pit target has high-grade epithermal veins  Limited modern exploration in Romania but extensive historical exploration and mining data

  30. Slide 30: Near-mine exploration: Tanjianshan

    EXPLORATION – NEAR MINE  Drilling programs at Qinglongtan North and Xijingou completed in Q3 Qinglongtan North (QN) Xijingou  Several holes at QN intersected strong  Several holes from step-out drilling mineralization at Xijingou intersected strong mineralization  Possibility of a new high-grade

  31. Slide 31: Near-mine exploration: Efemcukuru

    EXPLORATION – NEAR MINE  Q3 drilling focused on Kestani Beleni North West Ore Shoot (NWOS), South Ore Shoot (SOS) and Kokarpinar veins  32 drillholes (8,440 metres) were completed and results include:  At NWOS: new shallowly northwest-plunging lower zone of mineralization (traced for ~400m along

  32. Slide 32: Exploration - Near Mine

    EXPLORATION – NEAR MINE www.eldoradogold.com 32

  33. Slide 33: Background Information

    Background Information www.eldoradogold.com 33

  34. Slide 34: Five cornerstone gold mines

     Five cornerstone gold mines: Kişladağ Efemçukuru Jinfeng Tanjianshan White Mountain www.eldoradogold.com 34

  35. Slide 35: Kişladağ overview

    PRODUCTION OVERVIEW Location Uşak Province, Western Turkey Deposit Gold porphyry Ownership 100% Eldorado Open pit Type Heap leach gold mine Expected Life of Mine 15-20 years Recovery 65% Overview Strip Ratio 1.3:1  Largest gold mine in Turkey  Discovered by Eldorado; commercial production began in

  36. Slide 36: Efemçukuru overview

    PRODUCTION OVERVIEW Location Izmir Province, Western Turkey Deposit High grade epithermal gold vein Ownership 100% Eldorado Underground gold mine Type Flotation and Carbon in Leach Expected Life of Mine 12 years Recovery 87% Overview RESERVES AND RESOURCES (at Dec 31, 2011)  Discovered by Eldorado;

  37. Slide 37: Jinfeng overview

    PRODUCTION OVERVIEW Location Guizhou Province, China Deposit Carlin type 82% Eldorado Ownership 18% Guizhou Lannigou Gold Mine Ltd Open pit and underground gold mine Type Biox and Carbon in Leach Expected Life of Mine 13 years Recovery 85% Overview  Acquired by Eldorado from Sino Gold in 2009; comm

  38. Slide 38: Tanjianshan overview

    PRODUCTION OVERVIEW Location Qinghai Province, China Deposit Orogenic 90% Eldorado 5% First Institute of Geology and Ownership Mineral Exploration of Qinghai Province 5% Dachaidan Gold Mine Open pit gold mine Type Float roast Carbon in Leach Expected Life of Mine 5 years Recovery 81% Overview Strip

  39. Slide 39: White Mountain overview

    PRODUCTION OVERVIEW Location Jilin Province, China Deposit Orogenic 95% Eldorado Ownership 5% Jilin Tonghua Institute of Geology and Minerals Exploration and Development Underground gold mine Type Carbon in Leach plant Expected Life of 9 years Mine Overview Recovery 80%  Acquired by Eldorado from S

  40. Slide 40: Vila Nova iron ore overview

    PRODUCTION OVERVIEW Location Amapa State, Brazil Ownership 100% Eldorado Type Open pit iron ore mine Expected Life of Mine 9 years RESERVES AND RESOURCES (at Dec 31, 2011) Overview  Commercial production began in 2011 Proven + Probable Reserves 8.9 Mt @ 60.9% Fe 2012 Objectives Measured + Indicated

  41. Slide 41: Stratoni overview

    PRODUCTION OVERVIEW Location Chalkidiki Peninsula, Northern Greece Deposit Replacement mixed sulphide 95% Eldorado Ownership 5% Aktor SA Underground drift and fill Type Multi-stage flotation Expected Life of Mine 5 years RESERVES AND RESOURCES (Source: European Goldfields) 10 Moz Ag @ 177 g/t Proven

  42. Slide 42: Six key development projects

     Six key development projects: Olympias Skouries Perama Hill Eastern Dragon Certej Tocantinzinho www.eldoradogold.com 42

  43. Slide 43: Olympias overview

    CONSTRUCTION OVERVIEW Chalkidiki Peninsula, Location Northern Greece Polymetallic gold, silver, Deposit lead and zinc 95% Eldorado Ownership 5% Aktor SA Underground mine Type (previously mined using underground drift and fill) Estimated Development Capital US$207 million (2012-2016) Production (Tail

  44. Slide 44: Skouries overview

    CONSTRUCTION OVERVIEW Chalkidiki Peninsula, Northern Location Greece Deposit Gold-copper porphyry 95% Eldorado Ownership 5% Aktor SA Type Open pit and underground Strip Ratio (open pit) 0.7 : 1 Estimated Development US$415 million Capital (2012-2016) Overview Production Expected 2015  Environmental

  45. Slide 45: Perama Hill overview

    DEVELOPMENT OVERVIEW Eastern Thrace, northern Location Greece Epithermal gold-silver vein Deposit deposit Ownership 100% Eldorado Type Open pit gold mine Expected Life of Mine 8 years 90% (Gold) Expected Recovery 60% (Silver) Estimated Development Capital US$189 million (2012 – 2014) Production Expe

  46. Slide 46: Eastern Dragon overview

    DEVELOPMENT OVERVIEW Location Heilongjiang Province, China Deposit High-grade, epithermal, gold-silver vein 95% Eldorado Ownership 5% County (Daxinglanling Yihua Development Company Ltd) Open pit and underground gold mine, Type CIL plant under construction Expected Life of Mine 7 years Expected Reco

  47. Slide 47: Certej overview

    DEVELOPMENT OVERVIEW “Golden Quadrilateral” area Location of the Apuseni Mountains, Western Romania Epithermal gold-silver Deposit deposit Ownership 80% Eldorado Open pit Type (Previously mined via shallow open pit) Expected Life of Mine 12 years Estimated Development Capital US$270 million (2012-20

  48. Slide 48: Tocantinzinho overview

    DEVELOPMENT OVERVIEW Tapajos district, Para State, Location central Brazil Shallow, intrusion-hosted, Deposit non-refractory gold deposit Ownership 100% Eldorado Type Open pit gold mine Expected Life of Mine 11 years Estimated Development Capital US$383 million (2012 – 2016) Overview Production Expe

  49. Slide 49: 2012 exploration budget

     2012 Exploration budget: US$81 million; 190,000 meters of drilling Romania ($4m)  3 projects  14,000 meters Vancouver (Head Office) ($2.5m) Greece ($13m)  5 projects  48,000 meters Turkey ($15m) China ($28m)  8 projects  17 projects  34,000 meters  82,000 meters Brazil ($16m)  3 projects

  50. Slide 50: Expanding Margins

    Expanding Margins 1,800  Eldorado’s strategic focus is on 1,600 being a low-cost operator of high- 1,400 quality assets 1,200 (US$/oz) $1,165 1,000 $1,110 800  Maintained cash costs between $800 $658 600 $200 - $500/oz for past 10 years $279 $411 $587 400 200  This has returned healthy margins 0

  51. Slide 51: Reserves and resources by project

    Proven & Probable Measured & Indicated Inferred Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces (x1000) (Au g/t) (x1000) (x1000) (Au g/t) (x1000) (x1000) (Au g/t) (x1000) Kisladag 459,870 0.71 10,516 579,860 0.65 12,055 380,760 0.40 4,921 Efemcukuru 5,023 9.13 1,475 5,426 9.57 1,670 2,52

  52. Slide 52: Consensus Metal Price Forecasts

    Consensus Metal Price Forecasts Metal Unit 2012 2013 2014 2015 2016 2017 Long-term Gold US$/oz 1,669 1,733 1,644 1,517 1,424 1,373 1,325 Silver US$/oz 35.30 33.13 28.21 25.88 25.62 21.75 21.75 Copper US$/lb 3.83 4.01 3.66 3.38 2.84 2.63 2.59 Lead US$/t 2,226 2,380 2,446 2,446 2,182 2,072 1,895 Zinc

  53. Slide 53: Thank You

    Thank You TSX: ELD NYSE: EGO Total shares outstanding (as at Sept 30, 2012): 713.6 M Investor Relations: Nancy Woo (604) 601-6650 ⋅ nancyw@eldoradogold.com www.eldoradogold.com 53

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