Lka Gold Inc · OTC:LKAI
Lka Gold — Investor Presentation (September 2016)
27 slides from Lka Gold's investor presentation, September 2016
Slide 1: Perhaps the greatest treasure hunt in the West!
Perhaps the greatest treasure hunt in the West!
Slide 2: Issuer Presentation
Issuer Presentation September 2016 (Accredited Investors Only) This Issuer Presentation in intended to convey only summary information about the Company and its current operations. The information and projections contained herein are based on information available to management and believed to be re
Slide 3: Table of Contents
Table of Contents 4 Forward Looking Statements 15 Post Funding Plan 5 Opportunity Overview 16 Overview & Capital Structure 6 Opportunity Overview (cont.) 17 Management & Advisors 7 Primary Asset 18 Conclusions 8 Underground Workings 19 Legal Counsel & Auditors 9 Golden Wonder Vein System 10 Commerci
Slide 4: Forward Looking Statements
Forward Looking Statements This document contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are “forward-looking statements” for purposes of federal and state securities laws, inclu
Slide 5: Opportunity Overview
Opportunity Overview Ø One of only two commercial gold producers in Colorado between 1998-2006. Over 131,500 oz gold mined ($189 million at current prices) at a cost of >$100 per oz. Ø Richest gold deposit in the Americas with potential for multiple >500,000 oz. extensions. (See excerpts from geol
Slide 6: Opportunity Overview (Cont.)
Opportunity Overview (Cont.) Ø Experienced & proven management. ²Managed initial mine exploration (1983–1985) and located original “super-grade” ore body. ²Profitable exploration program (2009 – 2015). ØConducts business with industry’s most reputable players. ²Kinross Gold USA (Exploration Par
Slide 7: Primary Asset-Golden Wonder Mine
Primary Asset-Golden Wonder Mine Ø Located Within Colorado Mineral Belt (Over 25 million gold ounces historic production) Ø America’s Richest Gold Deposit (Epithermal Telluride-type) * Ø Bonanza-Grade Commercial Production 1998–2006 16.01 oz. (454 grams) per ton Ø Multiple Vein Systems & Explora
Slide 8: Golden Wonder Underground Workings
Golden Wonder Underground Workings Area of production prior to LKA Ownership Current 133,000 ounces Exploration since 1998 Target Area of Recent North Raise Area Production Are for future exploration
Slide 9: Nature of Golden Wonder Vein System
Nature of Golden Wonder Vein System Ø Super-enriched gold solutions are forced up, in pulses, from magma chamber into fractures comprising volcano’s vent system. Ø As pressure is released and solutions within the vent system cool, gold precipitates out of solution and is deposited in fractures cre
Slide 10: Commercial Production 1998 - 2006
Commercial Production 1998 - 2006 Ø 133,700 ounces mined from Golden Wonder Produc/on single ore shoot measuring less than 10,000 square feet. 30,000 ($189 million at current prices) 25,000 Ounces Ø Production average 16.01 oz 20,000 Au/ton (80X industry average) 15,000 10,000 Ø Bonanza grades re
Slide 11: Early Exploration Results
Early Exploration Results Ø The company’s early exploration program (2009-2015) was funded primarily through the sale of enriched vein material derived from extensions of previous production zones. Company’s exploratory mining yielded over 4,900 ounces since resumption of exploration in January of
Slide 12: Mine Exploration Plan
Mine Exploration Plan Ø Underground drilling and 3-D mapping conducted by LKA. (Phase I Completed in 2015) Ø Surface mapping and geochemical surveys by Kinross Gold. (Phase II Underway & Partially Complete) ² Geochemistry survey of surface area to determine potential size of deposit. ² Four dril
Slide 13: Kinross Drill Sites
Vickers / Nature Conservancy Main Access Route to GW Enrichment Zone Mine Lake City LKA Kinross Drill Sites BLM LKA GW 3 Level Golden Wonder 6 Level Current Workings Known Enrichment Zone LKA
Slide 14: Capital Expenditures & Operations Budget
Capital Expenditures & Operations Budget 2016–2017 (Combination Equity Sales and/or Conv. Debentures) Mine Infrastructure & Expansion $ 250,000 Service Convertible Debentures & Payables 300,000 Estimated Working Capital, Finder’s Fees, & I/R 250,000 Total $ 800,000 • Kinross will cover all permittin
Slide 15: Post-Funding Plan
Post-Funding Plan Ø Commence investor awareness campaign Ø File registration statement for securities offered (as/if required) Ø Seek up-listing – LKA would qualify for listing on a nationally recognized exchange (OTCQX or AMEX ) Ø Management believes that if even modest success is realized in i
Slide 16: LKA Gold Overview & Capital Structure
LKA Gold Overview & Capital Structure Issuer Exchange & Symbol: OTCQB:LKAI Recent Share Price: $ .40 2012 Net Gold Shipments (Exploration) $ 1.7 million 2013 Net Gold Shipments (Exploration) $ 821,956 2014 Net Gold Shipments (Exploration) $ 839,507 Shares Outstanding: 19.2 million Public Float: 4.4
Slide 17: LKA Management and Project Advisors
LKA Management and Project Advisors • Kye Abraham – Chairman and CEO Officer, Director, and Co-founder of LKA since formation in 1979 Officer and General Partner of several LKA partnerships involved in mining and oil & gas projects Acquired Golden Wonder mine in 1982 and supervised all facets of ear
Slide 18: Conclusion
Conclusion Ø Recent history of sizable high-grade gold production with strong future potential ~ Over 140,000 ounces produced to date (Current $$ Value - $182 Million) ~ 8-year production grades of 16.01 ounces (454 grams) per ton ~ Historical commercial production cost of <$80 per ounce Ø LKA is
Slide 19: Legal Counsel & Auditors
Legal Counsel & Auditors Corporate Office Colorado Counsel LKA Gold Incorporated Nancy Bentson Essex 3724 47th Street Ct. NW 120 North Taylor Street Gig Harbor, WA 98335 Gunnison, CO 81230 (253) 514-6661 (970) 642-3303 www.lkagold.com www.nbessex.com Securities and General Counsel Auditors Gary R. H
Slide 20: Appendix
Appendix A vein sample from North Raise area in Golden Wonder mine – July, 2013
Slide 21: Golden Wonder Production History
Golden Wonder Production History GOLDEN WONDER PRODUCTION & EXPLORATION SHIPMENTS Shipments Settlement During Dry Wgt. Assay Au Total ozs. Payable Settlement Net Smelter Year Period Purchaser - Processor Tons Type oz/ton Delivered ozs. Au Price Per Oz. Receipts 1984-1996 Intermittent Exploration Tot
Slide 22: Golden Wonder Mine Potential
Golden Wonder Mine Potential Golden Wonder exploration excerpts/quotes from geologists‘reports: “I believe the Golden Wonder Mine has the potential to grow into a much larger property than its historic production of 140,000 ounces. Among the several reasons I have for this belief are: The northeast-
Slide 23: Golden Wonder Mine Potential (2)
Golden Wonder Mine Potential (2) “... observations indicate that the Golden Wonder Mine structure probably extends on the LKA mine property and could be related to the Gold Quartz vein and possibly to other surface Au-Te occurrences previously discovered in the NE extensions. The Golden Wonder Mine
Slide 24: Golden Wonder Mine Potential (3)
Golden Wonder Mine Potential (3) “Obviously, the Golden Wonder rhyolite has a quite significant, albeit unknown, aerialextent. Likewise, the vertical limits of the rhyolite are totally unknown, and as has been pointed out in this report, it is expected that it would extend downward along its vent so
Slide 25: Golden Wonder Mine Potential (4)
Golden Wonder Mine Potential (4) " The gold vein zone now being mined at the Golden Wonder Mine includes numerous individual parallel, en echelon intervals of extremely high-grade gold ore. Although pinching and swelling of the ore intervals presents challenges in exploration, mining at Golden Wonde
Slide 26: One of Only Two Active Gold Producers In Colorado (1998-2006)
One of Only Two Active Gold Producers In Colorado (1998-2006)
Slide 27: Conclusion
Conclusion “Rarely will investors get the opportunity to join one of the world’s premier gold producers in extending a bonanza-grade deposit….formerly, the richest ore deposit in the Americas.” Kye Abraham, President A view of Lake San Cristobal from 6th Level pad – Golden Wonder mine