Patagonia Gold Corp · TSXV:PGDC
Patagonia Gold — Investor Presentation (July 2012)
30 slides from Patagonia Gold's investor presentation, July 2012
Slide 1: Investor Presentation July 2012
INVESTOR PRESENTATION July 2012 TSX:PAT AIM:PGD
Slide 2: Forward Looking Statements
Forward Looking Statements The content of this presentation has been prepared for the purpose of providing general information about, and an overview of, Patagonia Gold Plc (the “Company") and its operations. It is not meant to be a complete review of all matters concerning the Company. Whilst the C
Slide 3: Investment Highlights
Investment Highlights Strong Portfolio of Advanced Exploration Stage Projects Mining-Friendly Santa Cruz Province & Strategic Partnership with Fomicruz, the Provincially Owned Mining Company Geological Prospectivity & Significant Land Holdings in the Deseado Massif Experienced Team with Extensive Re
Slide 4: Patagonia Gold Plc
Patagonia Gold Plc Patagonia Gold Plc is an advanced stage mining exploration company that seeks to grow shareholder value through the acquisition, exploration and development of gold and silver projects in the Deseado Massif region of Argentina Targeting Production of +200,000 Oz. AuEq Per Annum By
Slide 5: Market Profile
Market Profile Exchange: Ticker AIM:PGD TSX:PAT (1) Share Price £0.24 C$0.35 Market Capitalization F.D. (mm) £200.9 C$293.0 (2) 52 Week High/Low £0.71 / £0.22 C$1.14 / C$0.35 Avg 3 Month Daily Volume (mm) 1.39 1.39 Basic Shares Outstanding (mm) 779.7 (3) Net Cash (US$mm) $10.9 Debt (US$mm) Nil Key O
Slide 6: Santa Cruz Province
Santa Cruz Province Mining friendly Santa Cruz province Mendoza Track record in precious and base metal La Pampa Buenos Aires Neuguen production Chile Rio Negro Fomicruz is the provincially owned mining company and a partner of Patagonia Gold on certain properties Chubut Argentina Major industry pla
Slide 7: Footprint in Santa Cruz
Footprint in Santa Cruz La Paloma Property Block Lomada de Leiva Fomicruz Properties El Tranquilo Property Block Cap-Oeste La Manchuria COSE La Manchuria PGSA Properties Property Block Fomicruz Agreement Favourable geological prospects with land holdings along mineralized trends 350,000 ha land hold
Slide 8: Santa Cruz Province
Santa Cruz Province Established Mines & Advanced Projects Lomada Huevos Verdes de Leiva Cerro Negro El Bagual Don Nicolas La Josefina Cap-Oeste Pinguino Cerro Puntudo COSE Cerro Moro La Manchuria Cerro Vanguardia Mina Marta Manantial PGSA Properties Sarita Espejo Fomicruz Agreement MineralisationTre
Slide 9: Resources
Resources 43-101 Compliant Resources– 4 Projects INDICATED GRADE (g/t) METAL (Oz) PROJECT Tonnes Au Ag AuEq Au Ag AuEq Cap-Oeste 8,182,948 2.28 74.71 3.68 599,570 19,656,004 966,972 COSE 20,637 60.06 1,933.07 96.21 39,850 1,282,582 63,835 La Manchuria 425,705 2.95 135.00 4.07 40,317 1,848,211 55,684
Slide 10: Growth Strategy
Growth Strategy Advancing a Portfolio of Highly Prospective Assets in Santa Cruz 2012 2013 2014 2015 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Flagship Project Cap-Oeste Pre feasibility study Full feasibility study Permitting, Construction Production Advancing Near Term Production COSE Construction of decline Mining
Slide 11: Development Projects
Development Projects 10
Slide 12: Lomada de Leiva Project
Lomada de Leiva Project IN PIT CRUSHING GOLD ROOM PAD EXPANSION UNDER IRRIGATION 11
Slide 13: Lomada de Leiva Project
Lomada de Leiva Project Q2 2011 65,000 tonne trial heap leach pad & processing facility performing satisfactorily Pad expansion to 135,000 tonnes completed in Q2 2012 Continuation to 200,000 tonnes to be completed in Q4 2012 Gold room scheduled for completion early Q3 2012 Resources (oz) Commencemen
Slide 14: Lomada de Leiva Project: HL Project with all key ingredients in place
Lomada de Leiva Project HL Project with ALL key ingredients in place Au Recovery excellent for this type of extraction process, 75% targeted, crushing greatly improves leach time Low cost filter material available on site High grade, low strip ratio, ALL oxidised Improved leach Kinetics reduce addit
Slide 15: COSE Project
COSE Project 2 km SE of Cap-Oeste COMPLETED 76 drill holes for 22,040 metres NI 43-101 Resource Estimate 34,395 tonnes at 60.06 g/t gold and 1,933.07 g/t silver including inferred resources PLANNED 2012- development drive for underground drilling Resources (Mineralisation open in all Category Tonnes
Slide 16: COSE Project
COSE Project Proposed Underground Access Decline Development NPV of US$ 93.8M @ gold US$ 1,418/oz @ silverUS$ 35.00/oz Time frames: Life of mine of 23 months 11 month construction 12 month production with 2 month Capex payback OPEX and CAPEX costs US$ 33M for life of mine using the direct shipping o
Slide 17: COSE Project
COSE Project ORE treatment and handling ORE Treatment Test work underway to “Scrub” ore, >95% metal contained in Altered Matrix Advantages, 75-85% projected cost saving in shipping-treatment costs Silica Breccia 11.84 g/t Au 76.81 g/t Ag, hard Higher payables from Smelter as with Matrix probably not
Slide 18: Exploration and Resources
Exploration and Resources 17
Slide 19: Cap-Oeste Project
Cap-Oeste Project Our flagship project Tracks Bonanza fault Mapped over 6 km strike length of project 94,323 metre drilling completed to April 2012 (61,289 for existing resource 20,743 for new resource 12,291 since) Mineralisation open in all Resources directions Category Tonnes Au (g/t) Ag (g/t) Au
Slide 20: Cap-Oeste Project Area
Cap-Oeste Project Area Advanced Projects & Other Prospects La Pampa Don Pancho Cap-Oeste Cap-Oeste Extension COSE Tango 19
Slide 21: Cap-Oeste Project Area
Cap-Oeste Project Area Long-section showing Au x metre 1.4Km Pampa 2km’s COSE 2km’s CO-335-D 28.30m @ 4.59 g/t AuEq Multiple Shoots repeating CO-317-D along strike Potential new 37.40m @ HG shoot, 387 23.88 g/t AuEq 20
Slide 22: Cap-Oeste Project
Cap-Oeste Project Average Thickness 12.7m 25m @ 0.67 g/t Au; 10.2 g/t Ag SW NE 9.13m @ 2.87 g/t Au; 61 g/t Ag 450 m Incl 1.5m @ 12.54 g/t Au; 278.5 g/t Ag 7.3m @ 3.54 g/t Au; 31 g/t Ag Incl 2.5m @ 7.49 g/t Au; 38 g/t Ag 5m @ 9.1 g/t Au; 175.5 g/t Ag 350 m Incl 2.03m @ 13.99 g/t Au; 265 g/t Ag 10.1m
Slide 23: Cap-Oeste Met Testwork programme and process technology
Cap-Oeste Met Testwork programme and process technology • Both Oxide and Sulphide amenable to flotation • Au and Ag recoveries in Sulphide returned 88.3% and 95.5% respectively • Au and Ag recoveries in Oxide returned 98.8% and 97.5% respectively •G&T laboratories carrying out second phase flotation
Slide 24: Cap-Oeste Structural Corridor
Cap-Oeste Structural Corridor 2410000mN 2400000mN 2390000mN El Tranquilo Exploration Block 4690000 mN Cap-Oeste COSE 4680000 mN Monte Leon La Bajada Estancia 4670000 mN Marciana 23
Slide 25: La Manchuria Project
La Manchuria Project Exploration stage project 3 drill campaigns completed over past 3 years High-grade gold-silver mineralisation Open to North, South and depth Further drilling planned for late 2012 Resources Category Tonnes Au (g/t) Ag (g/t) Au (oz) Ag (oz) AuEq (oz) INDICATED 425,705 2.95 135.00
Slide 26: Other Exploration
Other Exploration Deseado Massif – 60,000 sq km Second Pass in Progress to Identify Drill Targets El Bagual Sarita PGSA Properties Agreement with Fomicruz 53 additional exploration property blocks totalling 165,596 hectares Three exploration teams dedicated to advancing claims First pass reconnaissa
Slide 27: Management
Management Appendix A Director since inception; over 40 years' experience in mining and civil engineering industries; Managing Director Brancote Holdings PLC from William H Humphries January 1999 until its acquisition by Meridian Gold in 2002; General Manager CEO Sardinia Gold Mining SpA 1996 to 199
Slide 28: Board of Directors
Board of Directors Appendix B Joined Board in 2004; Retired Non-Executive Chairman of Lonmin plc, Sir John Craven and former Chairman of Morgan Grenfell plc.; member Board of Non-Exec. Chairman Managing Directors of the Deutsche Bank Group; Director of a number of other companies. Extensive business
Slide 29: Board of Directors (cont'd)
Board of Directors (cont’d) Appendix B Fellow of the Australian Institute of Mining and Metallurgy and Australian Institute of Geoscientists with over 25 years' experience in mineral Marc J Sale exploration and development companies; managed operations of PGSA from Technical Director May 2002 to Jun
Slide 30: Investor Presentation July 2012
INVESTOR PRESENTATION July 2012 TSX:PAT AIM:PGD