Spanish Mountain Gold Ltd. · TSXV:SPA
Spanish Mountain Gold — Investor Presentation (April 2010)
23 slides from Spanish Mountain Gold's investor presentation, April 2010
Slide 1: The Spanish Mountain Gold Project
The Spanish Mountain Gold Project Advancing a pure gold asset April, 2010
Slide 2: Disclaimer
Disclaimer Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this presentation. This document may contain certain "Forward-Looking Statements" within the m
Slide 3: Company Overview
Company Overview • Spanish Mountain Gold Ltd. (“Spanish Mountain”) is a Vancouver- based company focused on the development of its advanced stage, multi-million ounce gold project in central British Columbia, Canada. • 4 million ozs gold (Measured and Indicated) plus 400,000 ozs (Inferred) in a NI 4
Slide 4: Management & Board
Management & Board • Brian Groves, President,CEO and Director has 30 years experience in the mining and exploration industry working with junior exploration, junior producing and senior mining companies including AMAX, Noranda and Placer Dome. • James Clare, Director is a lawyer at Fraser Milner Cas
Slide 5: Capital Structure
Capital Structure Capital Structure as of March 15, 2010 • 122,005,324 shares outstanding • 9,865,300 options • 37,655,809 warrants exercisable from 23 to 70 cents • 169,526,433 shares fully diluted • Market Capitalization of approximately $C50 million which is backed by a strong cash position of ap
Slide 6: Sediment-Hosted Gold Deposits
Sediment-Hosted Gold Deposits • The Spanish Mountain discovery has been classified as one of the first recognized sediment-hosted bulk tonnage gold systems in British Columbia. • Sediment-hosted gold deposits are among the largest gold dominant systems in the world. These giants include Muruntau (10
Slide 7: Property Profile
Property Profile • Targeting bulk tonnage, open pit low cost mining scenario • All properties have excellent access and infrastructure • Earlier stage Thunder Ridge, Manson Creek and Prince George properties acquired because of geology similar to that at Spanish Mountain 7
Slide 8: Spanish Mountain Property
Spanish Mountain Property Property Location – Near producing mines Excellent location: • All-weather road access • Grid power to property • An experienced work force available • Abundance of water • Mining friendly jurisdiction • Williams Lake serves as transportation hub in area • Consultation unde
Slide 9: Spanish Mountain Property
Spanish Mountain Property Main Zone Mount Polley Sp Mtn Gold 9
Slide 10: Exploration history to 2009
Exploration history to 2009 • $25 million in past exploration expenditure • Approximately 400 drill holes completed • Compliant resource expanded by 47% from 2007 to 2009 • 4.4 million ozs gold (M&I + Inferred) at a cut-off grade of 0.3 g/t gold • Initiated consultation with First Nations • Prelimin
Slide 11: 2009 Updated Resource
2009 Updated Resource Resource Highlights • NI 43-101 compliant updated resource released in March 2009 – 47% increase over the initial resource released in April 2008 – Based on approx 400 drill holes • Potential for expansion of Main Zone to north and south • Preliminary metallurgical test results
Slide 12: NI 43-101 Updated Resource Estimate
NI 43-101 Updated Resource Estimate Spanish Mountain: Measured and Indicated (M&I) Resource Cut off Category Tonnes Grade Contained Gold (g/t gold) (g/t gold) (oz) 0.3 M&I 210,710,000 0.581 3,940,000 0.5 M&I 102,260,000 0.785 2,580,000 0.7 M&I 48,210,000 1.007 1,560,000 Spanish Mountain: Inferred Re
Slide 13: Comparable Valuation Table
Comparable Valuation Table (From LOM report dated March 16, 2010) * When announced, Osisko Mining Corporation's offer for Brett Resources valued Brett Resources as a 52% premium to the 20 day volume weighted average price for the 20 trading days ended 16 March 2010 (per ounce) (Per ounce) 13
Slide 14: 2009 Spanish Mountain Gold Achievements
2009 Spanish Mountain Gold Achievements • Evaluation of conceptual starter pit potential by detailed drilling; Hole 09-DDH-889 intersected 85.0 m grading 2.12 g/t gold including 41.0 m of 3.54 g/t gold • Tested extensions of resource area to the north and south. Potential for expansion to north of e
Slide 15: Block Model with Conceptual Pit Shell
Block Model with Conceptual Pit Shell Gold grades 500m 15
Slide 16: Block Model with Conceptual Pit Shell
Block Model with Conceptual Pit Shell Gold grades 500m 16
Slide 17: Conceptual Development Plans
Conceptual Development Plans • Base gold price: $US 850 per oz • Mill capacity: From 20,000 tonnes/day (tpd) up to 40,000 tpd • Recovery: 90% • Production >200,000 oz gold annually • Estimated life > 12 years 17
Slide 18: Bulk Sample Results
Bulk Sample Results Bulk Sample test pit in area of potential starter pit completed by Imperial Metals in 2000 •6000 tonnes extracted • Original trench over centre of pit returned 2.91g/t gold over 32 m. • Results from blast hole drilling returned an average of 2.2 g/t gold. • 3000 tonnes (approx 68
Slide 19: Thunder Ridge – new gold discovery
Thunder Ridge – new gold discovery • Very promising drilling results • Approximately 100 km southeast of Spanish Mountain • Excellent access • Early stage discovery of new gold zone • Favourable geology was not exposed at surface 19
Slide 20: Thunder Ridge Drilling Results
Thunder Ridge Drilling Results Significant Results Hole Number Width(m) Gold (g/t) • Spanish Mountain Gold SC-005 2.5 45.49 drilling (Oct. 2008) was first including 0.5 223.0 recorded drilling on property • 23 holes drilled to date SC-007 28.0 0.68 and 6.5 1.32 • Anomalous silver also intersected wi
Slide 21: Thunder Ridge Project - 2010 Objectives
Thunder Ridge Project - 2010 Objectives • Target definition by geological modeling • Further drilling of at least 2000m to develop a resource • Calculate resource in late 2010 21
Slide 22: Spanish Mountain Project– 2010 Objectives
Spanish Mountain Project– 2010 Objectives • Advance metallurgy to feasibility level • Refine capital and operating cost assumptions – opportunities for reduction of capital – access to existing milling infra-structure or purchase of existing mill • Commission Preliminary Economic Assessment („PEA‟)
Slide 23: Contact Information Spanish Mountain Gold Ltd.
Contact Information Spanish Mountain Gold Ltd. 920-1055 W. Hastings St., Vancouver, BC , V6E 2E9 www.spanishmountaingold.com Brian Groves Tel: +1 604-601-3650 23
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