Santacruz Silver Mining Ltd. · TSX:SCZ

Santacruz Silver Mining — Investor Presentation (September 2014)

23 slides from Santacruz Silver Mining's investor presentation, September 2014

  1. Slide 1: Mexico's next Mid-Tier Silver Producer

    Mexico's next Mid-Tier Silver Producer TSXV: SCZ OTCQX: SZSMF FSE: 1SZ September 2014

  2. Slide 2: Disclaimer

    DISCLAIMER The information provided in this presentation is not intended to be a comprehensive review of all matters and developments concerning Santacruz Silver mining Ltd. (the “Company”). It should be read in conjunction with all other disclosure documents of the Company. The information containe

  3. Slide 3: Company Overview

    Company Overview Emerging growth Mexican mid-tier silver producer, listed on TSX.V Exchange, “SCZ”.  Experienced management team with proven track record of building mines and exploration discoveries in Mexico. High grade, low capex and advanced Projects profile. 3 High grade polymetallic proper

  4. Slide 4: Company Highlights

    Company Highlights  Building Mexico’s next mid-tier silver producer.  Rosario Mine continues to ramp-up to full production by Q4 2014.*  San Felipe positive PEA results released. Pre-Tax IRR 61% and 5% NPV of US$104 million. All-In Cash Costs of $12.72 oz Ag Equivalent. Significant Resource Incre

  5. Slide 5: Board of Directors and Management

    Board of Directors and Management Arturo Préstamo-President, CEO and Director President and CEO of the Company since April 2012; Country Manager in Mexico for Starcore International Mines, Ltd. from September 2007 to October 2011; Director of Planning and Investor Relations for Grupo Famsa, SAB from

  6. Slide 6: Stock Information TSXV: SCZ

    Stock Information TSXV: SCZ Share Distribution (approximate) Share Capital Structure (September 2014) Institutional (31%) Retail (31%) Inside Holders (38%) Outstanding Shares 103,493,484 31% Warrants 2,403,750 38% Stock Options 7,606,666 Fully Diluted 113,134,900 31% Market Capitalization $91 Millio

  7. Slide 7: Rosario Property Location

    Rosario Property Location 100 Km North of San Luis Potosí, State Capital of San Luis Potosí on highway 57. Charcas 5Km Town N Charcas Mine Rosario 12Km Mine 180Km. 17Km San Xavier Capital City of San Luis Potosí, S.L.P. Rosario Mine  Charcas municipality, one of Mexico’s most recognized mining dist

  8. Slide 8: Rosario Mine Overview/Resources

    Rosario Mine Overview/Resources  Production: Ramping up to full production in Q4 20141  Ownership: Right to acquire 100%, subject to NSRs and concession payments  Expressions of the Rosario I and II veins are extended for more than 2.5 kilometers along strike.  Drilling has tested both veins to

  9. Slide 9: Rosario Mine Production Estimate 2014 & 2015

    Rosario Mine Production Estimate 2014 & 2015 Management intends to maintain production from the Rosario Mine at 450-500tpd and utilize the excess capacity (700tpd full capacity) to source third party ore from local miners in order to increase overall production and generate further cash flow from op

  10. Slide 10: Rosario Mill in Production

    Rosario Mill in Production 10 9/21

  11. Slide 11: Long Section Views (Rosario I & II Veins)

    Long Section Views (Rosario I & II Veins) ROSARIO II NORTHWEST CENTRAL ROSARIO I ACCESS RAMP STOPE LEVEL 1 LEVEL 1 LEVEL 2 LEVEL 3 + 200 Mts. LEVEL 4 LEVEL 5 LEVEL 6 RAISE VENTILATION RAISE VENTILATION SERVICE RAMP PROJECTED 500 Mts. CURRENT RESOURCE AREA 11

  12. Slide 12: Long Section Views (Rosario I & II Veins)

    Long Section Views (Rosario I & II Veins) ROSARIO II CENTRAL ROSARIO I NORTHWEST RAMP ACCESS STOPE LEVEL 1 LEVEL 1 LEVEL 2 AREA TO EXPAND RESOURCE LEVEL 3 + 200 Mts. LEVEL 4 LEVEL 5 LEVEL 6 500 Mts. CURRENT RESOURCE AREA 2.5 KILOMETERS LEVEL 6  Expressions of the Rosario I and II veins are extended

  13. Slide 13: San Felipe Property Location

    San Felipe Property Location Located 130 Kilometers North East from Hermosillo City, Location State Capital of Sonora. San Felipe Project Driving 80 Km North West to Capital City of Hermosillo Moctezuma town, turning north 60 Km arriving at San Felipe de Jesus Town. Access is La Herradura Cananea pa

  14. Slide 14: San Felipe PEA Highlights

    San Felipe PEA Highlights • Pre-tax Net Present Value ("NPV") at a 5% discount rate of US $103.5 million and an Internal Rate of Return ("IRR") of 60.6%; • After-tax NPV at a 5% discount rate of US $61.2 million and IRR of 37.7%; • Average annual production of 3.2 million ounces of silver equivalent

  15. Slide 15: San Felipe Project Resources

    San Felipe Project Resources At a 150 g/t Ag equivalent cut-off, the new resource estimate for all veins is: o Indicated – 1.1Mt at 76.5 g/t Ag, 2.5% Pb and 6.4%Zn = 423 g/t Ag equiv or 15.2 Moz Ag equiv o Inferred – 3.3Mt at 64.8 g/t Ag, 1.9% Pb and 4.9% Zn = 326 g/t Aq equiv or 34.3 Moz Ag equiv I

  16. Slide 16: San Felipe PEA Sensitivities

    San Felipe PEA Sensitivities San Felipe NPV and IRR - Base Case $USM Metal Prices Pre-Tax After Tax -20% -10% Base +10% +20% NPV NPV Ag 15.93 17.92 19.91 21.90 23.89 Discount Rate 0% 142.1 88.7 Pb 0.79 0.89 0.99 1.09 1.19 2% 125.0 76.4 Zn 0.80 0.90 1.00 1.10 1.20 5% 103.5 61.2 NPV 5% $US M pre-tax 2

  17. Slide 17: El Gachi Option (Complement to San Felipe)

    El Gachi Option (Complement to San Felipe)  Historical producing mine operated by Anaconda and Peñoles in the 60's and 70's, respectively.  Land package; 48,057 hectares El Gachi San Felipe Project1  Manto and vein mineralized system Capital City of Hermosillo  Drilled by Hochschild with encoura

  18. Slide 18: Gavilanes Property Location

    Gavilanes Property Location Located in the San Dimas, Durango Mining District. 110 Km west from Durango City, and 23 Km North East from Tayoltita mine. Access to the property is by driving 90 Km south on highway 40, arriving at Estacion Coyotes, turning west 100 Km up to San Miguel de Cruces, 23km o

  19. Slide 19: Gavilanes Project Resources

    Gavilanes Project Resources  The Company will re-assess the drill cores and conduct metallurgical studies in 2014.  Mining claims covering a total area of 8,832 hectares  Epithermal low sulphidation polymetallic mineralization containing high grades of Ag and Au (surface samples >1100 g/t Ag and

  20. Slide 20: Gavilanes Map Showing Veins, Dikes and Property Boundaries

    Gavilanes Map Showing Veins, Dikes and Property Boundaries  7 strong veins identified so far, plus high grade mineralized stockwork.  Major veins, are the La Cruz, La Tuna, Providencia, El Muerto, Descubridora, San Nicolas, and Guadalupe-Soledad-Aranzazú (GSA) veins.  El Hundido stockwork  Struc

  21. Slide 21: Local Geology (Gavilanes)

    Local Geology (Gavilanes) Historic Mining SCHN-12 (59.4-142.4m) 83m @ 311 Ag, 0.14 Au, 0.1% Pb, 0.2% Zn Underground Samples 0-483 Ag, 0-0.7%Pb, 0-0.8% Zn SCHN-05 (57.7-67-95m) 10.25m @ 427 Ag, 2.9% Pb, 8.0% Zn SCGP-06 (127.4-129.4m) 2.6m @ 110 Ag, 0.2% Pb, 0.2% Zn SCHN-11 (176.95-177.9m) 0.95m @ 561

  22. Slide 22: Corporate Goals

    Corporate Goals La Ventana 2.5 Km Outcrop Rosario Mine: Continue to ramp-up to full production in Q4 2014.* Selected Drill Samples San Felipe: Continue development work aiming to start production in 2016 Gavilanes: Will re-assess the drill cores and conduct metallurgical studies, aiming to restar

  23. Slide 23: Contact Information

    Contact Information Santacruz Silver Mining Ltd. Suite 1125-595 Howe Street Vancouver, BC, Canada V6C-2T5 Symbol: TSX-V: SCZ OTCQX: SZSMF FSE: 1SZ Website: www.santacruzsilver.com Selected Drill Samples Phone: 604 569 1609 Fax: 604 569 1604 Email: Info@santacruzsilver.com Arturo Préstamo Elizondo: P

Santacruz Silver Mining — Investor Presentation (September 2014) on 6ix