Equinox Gold Corp. · AMEX:EQX
Equinox Gold — Q3 2020 Earnings Presentation
32 slides from Equinox Gold's earnings presentation, Nov 9, 2020
Slide 1: Executing on Growth
equinoxgold.com Executing on Growth PRECIOUS METALS SUMMIT ZURICH – NOVEMBER 2019 1
Slide 2: Cautionary Statements
Cautionary Statements Forward-looking Statements developments, changes in assumptions or changes in other factors affecting the forward-looking This presentation contains certain forward-looking information and forward-looking statements within the statements and information. If the Company updates
Slide 3: Gold – Production – Growth
Gold – Production – Growth GROWTH CASTLE MOUNTAIN FOCUS GOLD MINE, SINGLE ASSET DEVELOPER CALIFORNIA TO MULTI-MINE PRODUCER Production in Q3 2020 IN TWO YEARS MESQUITE GOLD MINE, CALIFORNIA Production in Q4 2018 AURIZONA GOLD MINE, BRAZIL Production in Q2 2019 5.5 MOZ PROVEN & PROBABLE RESERVES 3
Slide 4: Two Producing Mines: Q3 2019 Results
Two Producing Mines: Q3 2019 Results Combined operating results • Produced 62,656 oz gold 62,656 oz • AISC $953/oz gold sold 1,2 GOLD PRODUCED Consolidated financial results • Revenue $91.9 M $953/oz ALL-IN SUSTAINING COST 1 • Mine operating earnings $30.8 M • Adjusted EBITDA $38.2 M 1 • Net income
Slide 5: Aurizona Gold Mine
Aurizona Gold Mine OPERATING MINE IN BRAZIL 55
Slide 6: Aurizona: YTD 2019 and Outlook
Aurizona: YTD 2019 and Outlook Q3 Results 2019 Outlook HIGHLIGHTS 1 • Produce 75,000-90,000 oz of gold at AISC of $950-$1,025/oz sold 29,350 oz • Continue exploration of Tatajuba and near- mine targets GOLD PRODUCED 2 • Continue studies for an underground mine $781/oz CASH COST $1,053/oz ALL-IN SUST
Slide 7: Aurizona: District-scale Potential on EQX Land Package
Aurizona: District-scale Potential on EQX Land Package Numerous regional targets within ~1,400 km2 land package 7
Slide 8: Aurizona: Mine Life Extension Along Strike
Aurizona: Mine Life Extension Along Strike Potential to double the mine life along strike PIABA NORTH TREND Tatajuba strike similar to Piaba, GENIPAPO MESTRE grades similar or higher: CHICO • 13.74 g/t Au/ 35 m • 2.71 g/t Au/ 56 m PIABA OPEN PIT MICOTE • 1.42 g/t Au/ 34 m PIABA EXTENSION TATAJUBA TA
Slide 9: Aurizona: Mine Life Extension Underground
Aurizona: Mine Life Extension Underground Significant underground resource open at depth and along strike 100E 400E OPEN OPEN PIABA RESERVE PIT OPEN OPEN OPEN • Expanded underground resource $1400 open-pit resource pit - Indicated: 460 Koz @ 1.96 g/t Au, Inferred: 1.1 Moz @ 1.98 g/t Au 2 g/t Au shel
Slide 10: Mesquite Gold Mine
Mesquite Gold Mine OPERATING MINE IN CALIFORNIA 1010
Slide 11: Mesquite: YTD 2019 and Outlook
Mesquite: YTD 2019 and Outlook YTD Results 2019 Outlook HIGHLIGHTS 1 • Produce 125,000-145,000 oz of gold at AISC of $930-$980/oz sold 85,415 oz • Opportunities: - Stacking mineralized historical waste dumps GOLD PRODUCED - Exploring new targets • Implement synergies with Castle Mountain $864/oz CAS
Slide 12: Mesquite: Optimization Opportunities
Mesquite: Optimization Opportunities Potential to optimize the asset and extend mine life 12
Slide 13: Castle Mountain Gold Mine
Castle Mountain Gold Mine PHASE 1 CONSTRUCTION UNDERWAY 1313
Slide 14: Castle Mountain: Long-life Low-cost Mine
Castle Mountain: Long-life Low-cost Mine 3.6 Moz GOLD RESERVES KEY PERMITS Castle IN PLACE TO RESUME PRODUCTION Mountain 16 Year INITIAL MINE LIFE $763/oz AVG. LOM AISC 1 SYNERGIES Mesquite WITH MESQUITE 200 MILES SOUTH 1. As per the July 2018 pre-feasibility study. 14
Slide 15: Castle Mountain: First Gold Pour Q3 2020
Castle Mountain: First Gold Pour Q3 2020 PHASE 1 PHASE 2 45,000 oz 200,000 oz Years 1-3 Years 4-16 $58 M Capex ~$175 M Capex + Fleet • Run-of-mine heap leach operation • Run-of-mine heap leach with mill • Processing 12,700 t/d of stockpiled • Processing 41,000 t/d with 2,300 t/d ore from previous op
Slide 16: Castle Mountain: Phase 1 Construction Underway
Castle Mountain: Phase 1 Construction Underway Installing heap leach pad liners Event pond excavation 16
Slide 17: Committed to Responsible Mining
Committed to Responsible Mining ENVIRONMENT SOCIAL GOVERNANCE Equinox Gold is a signatory to Aurizona received Excellence Insiders have personally the International Cyanide in Mining & Metallurgy Industry invested to own 13% of Management Code award in 2018 and 2019 Equinox Gold shares Established I
Slide 18: New Investors, Access to Capital
New Investors, Access to Capital INSIDERS PERSONALLY INVESTED TO OWN 13% $130 Million 5% CONVERTIBLE NOTES MUBADALA INVESTMENT CO. 1 $130 Million CORPORATE REVOLVING CREDIT FACILITY AVERAGE DAILY TRADING VALUE NYSE American 2017 C$300,000 STOCK EXCHANGE LISTING 2018 C$940,000 SEPTEMBER 16, 2019 TSX-
Slide 19: Sector Re-positioning With Two Producing Mines
Sector Re-positioning With Two Producing Mines 1.8x 1.1x 0.75x 0.8x Equinox Gold Junior Intermediate Leading Intermediate Producers Producers Producers P/NAV multiples based on analyst consensus data at October 25, 2019 collated by National Bank Financial. 19
Slide 20: Equinox Gold: 2019 Catalysts
Equinox Gold: 2019 Catalysts Mesquite Optimization using mineralized material from historical operations Exploration to extend mine life Aurizona Ramp-up to commercial production Exploration to extend mine life – underway at Tatajuba Advance studies for underground mine Castle Mountain Commence Phas
Slide 21: Appendix
Appendix 2121
Slide 22: Experienced Leadership Team
Experienced Leadership Team BOARD OF DIRECTORS EXECUTIVE TEAM Ross Beaty, Chairman Christian Milau, CEO and Executive Director Pan American Silver, Lumina Copper, Lumina Gold, Alterra Trek Mining, Luna Gold, True Gold, Endeavour Mining, New Gold Power, Equinox Resources Greg Smith, President Lenard
Slide 23: Equinox Gold Corporate Summary
Equinox Gold Corporate Summary Common Shares 1 113.4 M Fully Diluted Shares 4 142.4 M Listed Warrants @ C$15.00 2 16.1 M Daily Trading Value 5 ~ C$2.7 M / US$0.6 M Unlisted Warrants @ avg C$5.95 2 8.1 M Drawn Debt 6 $132.0 M Options @ avg C$5.98 2 2.7 M Equity Settled Note 7 $149.6 M Restricted Shar
Slide 24: Right Time to Build a Gold Company
Right Time to Build a Gold Company • Unusual disconnect between gold and gold equities • Shift of speculative investment away from mining • Equities tend to have low valuations before market turns • Equities tend to do better in early years of cycle uptrends EQX well placed with strong growth profil
Slide 25: Aurizona: Significant Potential for an Underground Mine
Aurizona: Significant Potential for an Underground Mine 25
Slide 26: Aurizona: Operating Results YTD 2019
Aurizona: Operating Results YTD 2019 THREE MONTHS ENDED OPERATING DATA September 30 1 Ore mined Waste mined 574 4,843 $45.7 M Average gold grade 1.30 REVENUE Gold produced 29,350 Gold sold FINANCIAL DATA (M$) 31,066 29,350 oz GOLD PRODUCED 1 Revenue 45.7 Operating expenses Sustaining capital 24.3 8.
Slide 27: Mesquite: Operating Results YTD 2019
Mesquite: Operating Results YTD 2019 THREE MONTHS NINE MONTHS ENDED ENDED OPERATING DATA Sep 30 Jun 30 Mar 31 Sep 30 Ore mined 6,925 7,106 5,644 19,675 Waste mined 7,708 9,515 7,299 24,522 $117.0 M Average gold grade 0.29 0.31 0.37 0.32 REVENUE Gold produced 33,306 26,799 25,310 85,415 Gold sold FIN
Slide 28: Equinox Gold Reserve & Resource Estimates
Equinox Gold Reserve & Resource Estimates 28
Slide 29: Reserve & Resource Estimates – Technical Disclosure
Reserve & Resource Estimates – Technical Disclosure Mesquite: The Mesquite Mineral Reserve and Resource estimates were disclosed in the technical report entitled “Technical Report on the Mesquite Gold Mine, Imperial County, California, U.S.A.” prepared by AGP with an effective date of December 31, 2
Slide 30: Solaris Copper Inc.
Exploring and developing copper assets Solaris Copper Inc. in the Americas. EQX holds ~30%. WARINTZA, ECUADOR Cu-Mo porphyry LA VERDE, MEXICO Advanced exploration Cu-Ag-Au porphyry 100% ownership Advanced exploration 60% ownership RICARDO, CHILE Cu-Mo porphyry Early-stage exploration EARN-INS, PERU
Slide 31: Solaris Copper Resource Estimates
Solaris Copper Resource Estimates WARINTZA MINERAL RESOURCES Resource Tonnes CuEq% Cu% Copper Copper Mo% Mo Mo CuEq (tonnes) (M lbs) (tonnes) (M lbs) (M lbs) Inferred 194,994,000 0.61 0.42 820,000 1,807 0.031 60,000 132 2,072 LA VERDE MINERAL RESOURCES Resource Tonnes Cu Ag Au Copper (%) (g/t) (g/t)
Slide 32: ir@equinoxgold.com www.equinoxgold.com TSX-V & NYSE American:
+1 604.558.0560 ir@equinoxgold.com www.equinoxgold.com TSX-V & NYSE American: 32 EQX