Solaris Resources Inc · TSX:SLS
Solaris Resources — Investor Presentation (September 2021)
32 slides from Solaris Resources's investor presentation, September 2021
Slide 1: Copper, Gold Growth and Discovery in the Americas
Copper, Gold Growth and Discovery in the Americas Corporate Presentation September 2021 World’s Greatest Explorer – Assembled Portfolio, Designed Programs, Our Discoveries Honor His Legacy
Slide 2: Forward-Looking and Cautionary Statements
Forward-Looking and Cautionary Statements This presentation does not constitute an offering of securities and the information contained herein is subject to the information contained in the Company's continuous disclosure documents. All amounts expressed in Canadian $ unless otherwise stipulated. Fo
Slide 3: Project Portfolio | Multiple-Times Growth and Discovery Potential
Project Portfolio | Multiple-Times Growth and Discovery Potential Solaris is responsibly and sustainably advancing a portfolio of copper and gold projects in the La Verde Americas: Focused on Flagship Warintza, Ecuador – High-grade, open pit resource within 7km x 5km cluster of copper porphyry targe
Slide 4: Capital Structure
Capital Structure Capital Structure¹ Share Distribution TSX SLS Common Shares Outstanding 108M Float Richard Warke Stock Options 8M 34% 33% Warrants 39.0M / $87M Restricted Share Units 0.5M Lowell 2% Beaty 4% Equinox Gold 17% Diluted Shares Outstanding 155M Lundin 5% Cash US$60M Mgmt 5% $122M of ins
Slide 5: Leadership | Track Record of Success
Leadership | Track Record of Success Board & Management Federico Velasquez, VP Operations Greg Smith, Director Richard Warke, Executive Chairman Equinox Gold, Anglo American, Alta Gas Equinox Gold, Esperanza Resources, Arizona Mining, Equinox Gold, Minefinders Augusta Resource, Ventana Gold Chad Wol
Slide 6: David Lowell | World's Greatest Explorer (1928-2020)
David Lowell | World’s Greatest Explorer (1928-2020) Warintza, 2000 Mirador, 2001 Lowell Discoveries Major Mines Pierina, 1996 Antamina Toromocho, 2005 Exposed Deposits (60-80s) Alteration systems visible from air, e.g., Bajo Alumbrera, San Cristobal David Lowell made more discoveries of greater Cer
Slide 7: Part of The Augusta Group | Unrivaled Track Record of Value Creation
Part of The Augusta Group | Unrivaled Track Record of Value Creation Canada-based management group, focused on mining sector Highly-specialized in exploration and development stage projects Unrivaled track record of creating value, with over $4.5B in exit transactions Past Returns Sold for $1.6B in
Slide 8: Responsible Mining | Environmental, Social and Governance
Responsible Mining | Environmental, Social and Governance Environment We focus on limiting our environmental impacts by: • Responsible use of resources • Minimal impact to environment • Reducing waste • Identify, analyze and manage our environmental risks We act in a socially responsible manner and
Slide 9: Ecuador | Pro Mining Government
Ecuador| Pro Mining Government “In the medium term, Ecuador could turn into a major Guillermo Lasso - Strong Support for Mining Sector mineral exporting country, such as Peru and Chile” “I would like to congratulate and thank those visiting us from o Conservative, successful self-made entrepreneur;
Slide 10: Responsible Mining | Warintza, New Model for Mining in Ecuador
Responsible Mining | Warintza, New Model for Mining in Ecuador Warintza Success Story World class discovery by David Lowell in 2000, sat largely dormant since 2001 due to a breakdown in The Shuar Nations of Warints and Yawl have been working with social acceptance from local communities Solaris for
Slide 11: Responsible Mining | Socially-Inclusive Approach
Responsible Mining | Socially-Inclusive Approach Maximizing community involvement key to strong and resilient alliance Innovative approach: commitment to transparency, education and inclusion Government and community understanding of impacts and benefits of project Community involvement at each step
Slide 12: Mining District | Excellent Infrastructure
Mining District| Excellent Infrastructure Primary Infrastructure: Natural Cost Advantage 268km2 property, 100%-owned; 40km north of Mirador mine (US$1.4B / 20 Mtpa), Adjacent to San Carlos-Panantza Access road to nearby highway connecting Pacific ports, transmission lines, airport, skilled labour, f
Slide 13: Warintza Project | Growth and Discovery in 35km2 Porphyry Cluster
Warintza Project | Growth and Discovery in 35km2 Porphyry Cluster WARINTZA Two-Pronged Strategy: Growth and Discovery CENTRAL In-Pit Inferred Mineral Resource: 124 Mt @ 0.70% CuEq¹; Only incorporates historical drilling to ~200m depth (2000-2001) 40km drilling for Resource Update at Warintza Central
Slide 14: Warintza Project | 35km2 Porphyry Cluster, Minimal Exploration
Warintza Project| 35km2 Porphyry Cluster, Minimal Exploration Source: The information in this slide is based upon the Company’s news release dated Feb 16, 2021, Jul 7 & 20, 2021 and Sept 7, 2021. See “Resource Estimate” and “Detailed Drill Results” in the Appendix to this 14 presentation for additio
Slide 15: Warintza Project | Regional Exploration
Warintza Project| Regional Exploration Undrilled Regional Targets Three large-scale, gold anomalies from surface sampling at Warintza >0.5 g/t gold-in-soils across broad area, overlapping copper anomaly at Caya Geophysical survey identified additional blind targets to test Two additional gold anomal
Slide 16: Upcoming News | Growth and Discovery in 2021
Upcoming News | Growth and Discovery in 2021 Drilling at Warintza Central in support of resource Drilling results from Warintza East and El Trinche in Q3/21 Maiden drilling at Warintza South, Yawi and Caya in H2/21 Regional exploration in H2/21 Advancing Tamarugo in Chile, Capricho and Paco Orco in
Slide 17: Joint Ventures
SOLARIS RESOURCES Joint Ventures
Slide 18: Tamarugo Project | Discovery Potential in Chilean Copper Belt
Tamarugo Project| Discovery Potential in Chilean Copper Belt Discovery potential in the same geologic area that hosts Chile’s largest copper porphyry deposits Solaris can earn up to a 75% interest in Tamarugo for gross expenditures of US$5.5M / 5-yrs from Freeport 5,100 hectare property in a mineral
Slide 19: Capricho and Paco Orco | Discovery Potential via JV in Peru
Capricho and Paco Orco| Discovery Potential via JV in Peru Capricho Solaris option to earn up to 75% 4,600 hectare property, 60km SE of Las Bambas, Haquira Outcropping porphyry exposed >300m during recent landslip Samples from this outcrop grade up to 3% Cu Community consultation ongoing Paco Orco S
Slide 20: Ricardo Project | Discovery Potential via JV in Chile
Ricardo Project| Discovery Potential via JV in Chile Discovery potential on the same structure as one of Chile’s largest copper mines, Chuquicamata Exposure to US$4.2M of exploration spending over two years as part of US$130M / 5-yr farm-out of 80% to Freeport-McMoRan 16,000 hectares in the most pro
Slide 21: La Verde Project | Leverage via JV in Mexico
La Verde Project| Leverage via JV in Mexico Project with excellent infrastructure, provides leverage to higher copper prices 60% ownership with Teck Resources holding 40% Located in Michoacán state, ~ 320 km west of Mexico City Michoacán is rich in natural resources; Mining is a leading industry wit
Slide 22: Appendix
SOLARIS RESOURCES group company Appendix
Slide 23: Copper Discovery Rate Remains Dismal
Copper Discovery Rate Remains Dismal 18 2010: Muji, 2011: Cobre Panama, Timok, Cerro Negro, etc. 16 2012: Copa Sur 2013: Cascabel, Onto, Calingiri, West Musgrave 2014: Kamoa-Kakula, La Huifa, Jebel Ohier 14 2015: - 2016: Marimaca 2017: - Number of Discoveries 12 2018: - 2019: - 10 8 6 4 Only 1 disco
Slide 24: Dearth of Discoveries Leaves Pipeline Empty
Dearth of Discoveries Leaves Pipeline Empty ¹ 2010: Muji, 2011: Cobre Panama, Timok, Cerro Negro, etc. 2012: Copa Sur 2013: Cascabel, Onto, Calingiri, West Musgrave 2014: Kamoa-Kakula, La Huifa, Jebel Ohier 120 2015: - 5,000 2016: Marimaca 2017: - 4,500 2018: - 100 2019: - 4,000 Copper exploration b
Slide 25: Goldman Sachs Forecasting Record High Prices
Goldman Sachs Forecasting Record High Prices Cuts to exploration and early stage project development mean the size Long-term copper price near $10,000/t is needed to incentivize to and number of copper projects is substantially lower than a decade ago enough approvals to mitigate the record LT gap L
Slide 26: Copper Supply Cliff, Gaping Deficits
Copper Supply Cliff, Gaping Deficits Projected +8 Mt supply >133 deficit by 2030; Major New production = capability New needed from Discovery greenfield Mines projects Pre-Discovery Exploration Feasibility, Permitting, Exploration & Definition Financing Construction Operation Source: Goldman Sachs G
Slide 27: Strategic Focus for Majors
Strategic Focus for Majors ‘We need to secure more options ‘Copper is our preference. A bit like BHP, in copper… through exploration we’d love a Tier 1, large-scale and low-cost and early stage entry in early-stage asset. Ideally, shallow and near the coast, resources in Canada, Mexico and with good
Slide 28: Warintza | Rapid Value Creation in Exploration Stage
Warintza| Rapid Value Creation in Exploration Stage $6,000 SLS LASSONDE CURVE SLS-T Analyst Valuation NAV8% Consensus¹ $5,000 US$2.4B - $4.1B US$3.25B $4,000 Market Capitalization (US$M) 1x NAV8% (Consensus) = Transaction Multiple of Arizona Mining Sale to South32 $3,000 for $2.1B in August 2018² $2
Slide 29: M&A Cycle Set to Begin
M&A Cycle Set to Begin $5.00 M&A cycle typically follows price cycle with a lag, approximately 18 months in the prior cycle, and is heavily-weighted towards development-stage assets. Present cycle commenced March 2020, Number of Transactions suggesting M&A cycle set to begin late 2021¹ Copper Price
Slide 30: Resource Estimate
Resource Estimate Warintza In-pit Mineral Resources Resource Tonnes CuEq Cu Copper Mo Mo Au Au (%) (%) (M lbs) (%) (M lbs) (g/t) (oz) Inferred 123,760,200 0.70 0.56 1,516 0.03 77.5 0.06 238,600 The Warintza Mineral Resource estimate was reported in the “Resource Estimate Of The Warintza Central Cu-M
Slide 31: Detailed Drill Results
Detailed Drill Results Assay Results Collar Locations Hole ID Date Reported From (m) To (m) Interval (m) Cu (%) Mo (%) Au (g/t) CuEq (%) Hole ID Easting Northing Elevation (m) Depth (m) Azimuth (degrees) Dip (degrees) SLS-29 6 1190 1184 0.58 0.02 0.05 0.68 SLS-29 800124 9648035 1580 1190 80 -72 Incl
Slide 32: Investor Relations
Copper, Gold Growth and Discovery in the Americas Investor Relations: +1 416-366-5678 x.203 info@solarisresources.com
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