Sarama Resources Ltd. · TSXV:SWA
Sarama Resources — Investor Presentation (July 2017)
28 slides from Sarama Resources's investor presentation, July 2017
Slide 1: Corporate Presentation July 2017
CORPORATE PRESENTATION JULY 2017
Slide 2: Forward Looking Statement
FORWARD LOOKING STATEMENT Information in this presentation that is not a statement of historical fact constitutes forward-looking information. Such forward-looking information includes statements with respect to the exploration and development of properties in which we have interests, maiden mineral
Slide 3: Company Highlights
Company Highlights ▸ Interests in 2,000 km2 in Burkina Faso’s most prospective gold belt ▸ Interests in three adjoining projects containing > 3.2Moz resources1 ▸ Substantial optionality: Exploration, Consolidation & Development ▸ Sarama’s assets are core components in the consolidation and developme
Slide 4: Board and Executive Team
Board and Executive Team Sean Harvey Chairman ▸ Accomplished mine finders, project developers and operators Simon Jackson Non Executive Director ▸ Strong track record delivering results and Dave Groves Non Executive Director conviction to succeed again ▸ Focussed on positioning Sarama to maximise An
Slide 5: Ownership & Capital Structure
Ownership & Capital Structure TSX-V: SWA ▸ Management own ~20% of Company (CEO ~7%) FSE 48S Common Shares 128,582,625 ▸ Supportive institutional shareholder base Warrants 24,005,807 ▸ Sun Valley Gold were shareholders pre-IPO Options 9,747,500 ▸ Strategic in-country shareholder MAJOR SHAREHOLDERS ▸
Slide 6: Major Gold Mining Jurisdiction
Major Gold Mining Jurisdiction ▸ Established gold industry with a modern mining code ▸ Typically home to intermediate sized producers including: ▸ Semafo ▸ Acacia ▸ IAMGold ▸ Teranga ▸ Endeavour ▸ Nordgold ▸ Roxgold ▸ MNG ▸ Centamin ▸ 9 operating mines and more under construction 5
Slide 7: Corporate Activity & Scarcity Value
Corporate Activity & Scarcity Value ▸ Many deposits and mines transacted ▸ Large, high quality holdings are scarce ▸ Intermediates are looking to replace reserves and/or grow ▸ Sarama has 4 Projects in Burkina Faso ▸ The size and quality of Sarama’s assets are difficult to replicate ▸ Sarama is core
Slide 8: Houndé Belt
Houndé Belt ▸ Established gold belt with >12Moz and three operating mines1 Mana Yaramoko ▸ Includes Semafo’s Mana Mine, Roxgold’s Yaramoko Mine & Endeavour’s Houndé Mine ▸ Sarama Projects cover 2,000 km2 with 3.2Moz of Houndé gold resources delineated: Bondi i. South Houndé Project - 2.1Moz2 inf. re
Slide 9: Tangible Value in Sarama's Assets
Tangible Value in Sarama’s Assets 1. Scarcity Value Volume of recent M&A in Burkina Faso and West Africa has driven consolidation in general 2. Attributable Ounces 1.7Moz1 Au and growing 3. Development Value Sarama has a mine in waiting, it is just a question of size, configuration and ultimate owne
Slide 10: Houndé Belt – 4th Mine In-Waiting
Houndé Belt – 4th Mine In-Waiting 1. Small scale mine – AT THIS POINT NOW → Heap leach capable of a nominal 60koz/yr → Low CAPEX and low OPEX → Ore fed from Bondi and South Houndé + any Botoro discoveries (excludes Karankasso) 2. Intermediate scale – ON THE HORIZON → Oxide & hard rock nominal 120koz
Slide 11: Consolidation Value
Consolidation Value ▸ Value of parts if Acacia or other parties want to consolidate; ▸ Control premium – Savary off limits ▸ Acacia royalty on South Houndé +US$25m* ▸ High margin resource ounces at Bondi ▸ Karankasso interest ▸ Botoro, Bamako and Bouni ▸ ThreeBee Project combined with South Houndé ▸
Slide 12: South Houndé Regional Potential
South Houndé Regional Potential 0.3Moz3 0.1Moz3 Bondi ▸ Proven belt with significant exploration potential remaining 0.7Moz2 ▸ Regional picture continuing to develop ? x ▸ +100 km of gold-anomalous trends ? ? x x ▸ Tankoro resource remains open xx ~70km x ▸ Potential for extensions along Tankoro Str
Slide 13: The South Houndé Project
THE SOUTH HOUNDÉ PROJECT BURKINA FASO
Slide 14: South Houndé Project
South Houndé Project ▸ Large-scale hydrothermal gold system ▸ 30 km-long geochemical trend defines the Tankoro corridor 3km ▸ Current resource is situated within a 10km x 1.3km section of the corridor ▸ Bulk of resource defined to +/-150m depth & locally to 550m within high-grade shoots ▸ Sarama and
Slide 15: MM Deposit High-Grade Shoots
MM Deposit High-Grade Shoots 1 Km MM @ 1177700mN MM @ 1176800mN MM @ 1177300mN SECTION 0.5 to 0.8 g/t Au • Repetitive high grade shoots drilled to 500m 0.8 to 1.2 g/t Au 1.2 to 1.8 g/t Au • Cohesive high grade zones drive pits to depth 1.8 to 2.5 g/t Au 2.5 to 4.0 g/t Au • Pit modelling gives ~2.5g/
Slide 16: High-Grade Picture Developing
High-Grade Picture Developing ▸ Detailed studies have identified cross structures 15m @ 7.53g/t controlling high-grade shoots within porphyry & sedimentary host rocks 14m @ 7.93g/t ▸ Diamond drilling has intersected high-grade 10.2m @ 14.9g/t zones at MM and MC ▸ Air core drilling has intersected hi
Slide 17: ThreeBee Project
THREEBEE PROJECT BURKINA FASO
Slide 18: ThreeBee Project
ThreeBee Project ▸ 100% owned by Sarama ▸ Comprises four permits covering 660km2 and is being looked at as a possible stand-alone area ▸ Bondi provides cornerstone Au ounces for project ▸ Recently acquired Botoro licence has encouraging first pass exploration results ▸ Initial gold-in-soil results u
Slide 19: ThreeBee Project - Botoro
ThreeBee Project - Botoro ▸ 224km2 and 100% owned ▸ Second exploration priority after Bondi ▸ Initial reconnaissance work completed ▸ Initial gold-in-soil survey has identified three 2-3km-long zones within a 10km-long structural corridor ▸ Survey returned assays up to 4,420ppb Au (4.4g/t Au) ▸ 10 a
Slide 20: ThreeBee - Bondi Deposit
ThreeBee - Bondi Deposit Au g/t < 0.5 0.5 to < 0.8 ▸ Acquired from Orezone for up-front cost of <US$4/oz Au 0.8 to < 1.2 1.2 to < 1.8 1.8 to < 2.5 2.5 to < 4.0 > 4.0 ▸ Historical mineral resource estimate1 of 282koz Au M&I plus 150koz Au Inferred ▸ Additional exploration targets identified ▸ High qu
Slide 21: Bondi Potential and Targets
Bondi Potential and Targets ▸ Renewed exploration to grow the resource ▸ Reviewing historical drill results ▸ Re-logging core and re-targeting ▸ AC program in Q2, 2017 ▸ Geochemical and geophysical programs being undertaken ▸ Splays off Bondi structure and significant artisanal sites to be evaluated
Slide 22: Karankasso Project
KARANKASSO PROJECT BURKINA FASO
Slide 23: Karankasso Project
Karankasso Project ▸ Situated immediately west of Sarama’s South Houndé and ThreeBee projects ▸ Sarama holds 31% in JV and intends to maintain interests above 25% to preserve contract rights ▸ May trim position and allocate capital to other projects ▸ Maiden Inferred Mineral resource of 0.67 Moz1 25
Slide 24: 2017 Milestones
2017 Milestones ▸ Closing of Bondi transaction (already completed awaiting transfer) ▸ C$5m exploration spend on South Houndé Project to better define depth and overall project potential ▸ C$2.5m exploration spend on Karankasso Project focussed on finding centre of mineralised system ▸ Drilling resu
Slide 25: Company Highlights
Company Highlights ▸ Experienced Board & Management with a record of success in Africa ▸ Substantial optionality: Exploration, Consolidation, Development & Gold Price ▸ Interests in three adjoining projects covering 2,000 km2 and containing >3.2Moz1 Au ▸ Sarama’s assets key to the consolidation & de
Slide 26: Additional Technical Details
Additional Technical Details MINERAL RESOURCE DETAILS 1. 43.0 Mt @ 1.5 g/t Au (reported above cut-off grades ranging 0.3-2.2 g/t Au, reflecting the mining methods and processing flowsheets assumed to assess the likelihood of the inferred mineral resources having reasonable prospects for eventual eco
Slide 27: Sarama Mineral Resources
Sarama Mineral Resources SOUTH HOUNDÉ PROJECT (50%) (INFERRED1) Mt Au g/t Koz Au Att. Koz Au Au cut-off Oxide and Transition 16.0 1.2 611 306 0.3 - 0.8g/t Fresh 25.0 1.9 1,487 743 0.8 - 2.2g/t Total 41.0 1.5 2,098 1,049 KARANKASSO PROJECT (31%) (INFERRED1) Oxide (negligible transition) 2.1 2.1 134 4
Slide 28: Additional Technical Details
Additional Technical Details QUALIFIED PERSON’S STATEMENT 1. Scientific or technical information in this presentation that relates to the preparation of the Company’s mineral resource estimate is based on information compiled or approved by Adrian Shepherd. Adrian Shepherd is an employee of Cube Con