Florida Canyon Gold — Argonaut Gold — Q2 2023 Earnings Presentation
16 slides from Florida Canyon Gold's earnings presentation, Aug 11, 2023
Slide 1: Building a Low-Cost Mid-Tier North American Gold Producer
Building a Low-Cost Mid-Tier North American Gold Producer Second Quarter 2023 Results TSX: AR August 11, 2023
Slide 2: Forward-Looking Information
Forward-Looking Information Certain information contained or incorporated by reference in this presentation, including any information as to our strategy, projects or future financial or operating performance, constitutes “forward-looking statements”. Forward-looking statements are frequently charac
Slide 3: Argonaut Today: A Pivotal Growth Stage
Argonaut Today: A Pivotal Growth Stage ARGONAUT’S NEW VALUE CREATION STRATEGY Focus on Focus on Deliver and High-quality Assets Free Cash Flow Prosper Rebalance portfolio focusing on quality Reposition to a lower cost North Build a team and culture to support assets and disciplined capital American
Slide 4: Financial Performance Reflects Current Transformation – On Plan
Financial Performance Reflects Current Transformation – On Plan Q2 2023A Q2 2022A Change Production Gold Equivalent Ounces(1) 43,492 59,190 (27%) Gold Sold (oz) 42,546 57,343 (26%) Cost of Sales* ($/oz sold) $1,590 $1,597 0% • Production and gold sold declined due to Cash Cost* ($/oz sold) $1,304 $1
Slide 5: Liquidity & 2023 Outlook
Liquidity & 2023 Outlook Liquidity Overview Finance Activities Outstanding Undrawn • Obtained a waiver on certain financial covenants on the (as at June 30, 2023) (as at June 30, 2023) Loan Facilities to maintain compliance Cash and Cash Equivalents $72M - • Company has sufficient funds to complete
Slide 6: Consolidated Q2 GEOs Production Down 27%
Consolidated Q2 GEOs Production Down 27% 70,000 60,000 Production (Gold Equivalent Ounces(1)) 50,000 Magino Ramp-Up is Well Underway 43,492 • First gold poured mid-June 40,000 • Commercial production anticipated in Q3 30,000 26% Higher Production at Florida Canyon Mine 20,000 • Production increase i
Slide 7: Next Magino Milestone: Commercial Production
Next Magino Milestone: Commercial Production Q2 RAMP-UP UNDERWAY Q3 COMMERCIAL PRODUCTION Commercial Production Magino mill operating at or above nameplate tonnes per operating hour Marc Leduc, Chief Operating Officer 72 ounces sold of 3,295 oz produced in June Targeting 2023 Guidance Remain on trac
Slide 8: 2023 Magino Reserve Expansion Program Began in Q3
2023 Magino Reserve Expansion Program Began in Q3 • Resource body remains open at depth, along strike to the east • Conversion of resources to reserves could support an increase to towards Alamos’ Island Gold Mine, and west along strike process capacity from 10,000 tpd (current plan) to a range of 1
Slide 9: Growth Highlights at Florida Canyon Mine
Growth Highlights at Florida Canyon Mine Current Optimizing Current Oxide Operation for Opportunity Near-term Production Growth Evaluating Significant Sulfide System Below Oxide Long-term Material to Increase Production & Mine Life Opportunity • Assembled a team to review the long-term viability of
Slide 10: Delivering per Share Growth through Responsible Capital Allocation
Delivering per Share Growth through Responsible Capital Allocation Developing Magino Blue-Sky Potential Redeveloping Magino Commercial Production Florida Canyon Repaying Debt TSX: AR | 10
Slide 11: Appendix
APPENDIX
Slide 12: Notes & Disclosures
Notes & Disclosures Argonaut Gold is a Canadian gold company with a portfolio of operations and multi-stage assets in North America. The Company is in the final stages of construction at its Magino Project, located in Ontario, Canada. The Company also has three operating mines including the Florida
Slide 13: Notes & Disclosures Continued
Notes & Disclosures Continued NON-IFRS MEASURES The Company has included certain non-IFRS measures including “Cost of sales per ounce sold”, “Cost of sales per ounce sold”, “All-in sustaining costs per gold ounce sold” (or “AISC), “Cash cost per ounce sold”, “Adjusted net (loss) income”, and “Adjust
Slide 14: Notes & Disclosures For Mineral Resource and Reserve Estimates
Notes & Disclosures For Mineral Resource and Reserve Estimates (1) Mineral Reserves and Mineral Resources have been estimated as at December 31, 2022 in accordance with NI 43-101 as required by Canadian securities regulatory authorities. Mineral Resources are presented inclusive of Mineral Reserves.
Slide 15: Endnotes
Endnotes 1) Gold Equivalent Ounces (“GEOs”) are based on a conversion ratio of 80:1 for silver to gold in 2023 and 2022. The silver to gold conversion ratio is based on the three-year trailing average silver to gold ratio. Produced ounces are calculated as ounces loaded to carbon. 2) The production
Slide 16: Additional Information
TSX: AR ADDITIONAL INFORMATION /ArgonautGoldInc @Argonaut_Gold Joanna Longo Investor Relations @ArgonautGoldInc Phone: (416) 575-6965 Email: investor.relations@argonautgold.com company/Argonaut-Gold-Inc Argonaut Gold Inc. WWW.ARGONAUTGOLD.COM