Solaris Resources Inc · TSX:SLS
Solaris Resources — Investor Presentation (December 2022)
33 slides from Solaris Resources's investor presentation, December 2022
Slide 1: Copper Growth and Discovery in the Americas
Copper Growth and Discovery in the Americas Corporate Presentation December 2022 World’s Greatest Explorer – Assembled Portfolio, Designed Programs, Our Discoveries Honor His Legacy TSX: SLS; OTCQB: SLSSF
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 advancing a portfolio of copper assets in the Americas: La Verde Focused on Flagship Warintza, Ecuador – 579 Mt at 0.59% CuEq¹ (Ind) & 887 Mt at 0.47% CuEq¹ (Inf) Indicative Starter Pit²: Warintza 180 Mt at 0.82% CuEq (Ind)
Slide 4: 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 5: Capital Structure
Capital Structure Summary¹ Share Distribution TSX SLS Common Shares Outstanding 121M Float Richard Warke Stock Options 8M 36% 36% Fully Diluted Shares Outstanding 156M Cash US$22M Lowell 2% Beaty 4% Equinox Gold Warrants (Q4 2022/$1.20)² 1.3M / $3M Lundin 5% 13% Warrants (Q2 2023/$1.20)³ Mgmt 5% (98
Slide 6: 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 7: 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 8: Ecuador | Emerging Mining Jurisdiction
Ecuador | Emerging Mining Jurisdiction “In the medium term, Ecuador could turn into a major mineral exporting country, such as Peru and Chile” “I would like to congratulate and thank those visiting us from Framework for Mining Sector Growth abroad, for their presence supports start-ups born from the
Slide 9: Responsible Mining | New Model for Responsible Mining in Ecuador
Responsible Mining | New Model for Responsible Mining in Ecuador Warintza Success Story World class discovery by David Lowell in 2000, sat “We are excited to be part of the largely dormant since 2001 due to a breakdown in successful advancement of Warintza and show the industry that it is social acc
Slide 10: Responsible Mining | Partnership with Host Communities
Responsible Mining | Partnership with Host Communities 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 eac
Slide 11: Warintza | Precedent-Setting CSR Programs Empowering Local Communities
Warintza| Precedent-Setting CSR Programs Empowering Local Communities In Completed Prior Signed Impact and Committed to Developed Ecuador Consultation Benefits Agreement national framework for process in 2019 in 2020 Zero Carbon Formalization of to have: Program Artisanal Mining (Amended in 2021 Mar
Slide 12: Mining District | Structural Cost Advantages
Mining District | Structural Cost Advantages Primary Infrastructure: Natural Advantage 268km2 property, 100%-owned; 40km north of Mirador mine Access road to highway connecting Pacific ports, transmission lines, airport, skilled labour, fresh water Access to grid power, adjacent Santiago development
Slide 13: Warintza | Natural Infrastructure Supports Low-Cost Green Development
Warintza| Natural Infrastructure Supports Low-Cost Green Development Natural Advantages Leading Technologies Results Energy rich mining district Electrified mining fleet Low Emissions 100% renewable, hydroelectric power¹ Gravity-assisted materials movement High Efficiency Favorable topography Effici
Slide 14: Resource Estimate
Resource Estimate Warintza In-pit Mineral Resources Central Pit (at 0.3% CuEq) Cut-off Category Tonnes Grade Contained Metal 579 Mt at 0.59% CuEq Indicated 887 Mt at 0.47% CuEq Inferred CuEq CuEq Cu Mo Au CuEq Cu Mo Au (Mt) (%) (%) (%) (%) (g/t) (Mt) (Mt) (Mt) (Moz) ‘Indicative Starter Pit’ (at 0.6%
Slide 15: Warintza Project | Multiple-Times Growth Potential
Warintza Project | Multiple-Times Growth Potential Two Objectives: Starter Pit Growth, Overall Growth World class inventory forms baseline for growth o Central Pit – 579 Mt at 0.59% CuEq¹ (Indicated) 887 Mt at 0.47% CuEq¹ (Inferred) o ‘Indicative Starter Pit’ – 0.3 Bt at 0.8% CuEq² Resource drilling
Slide 16: Warintza Project | Further Discovery Potential within 7km x 5km Cluster
Warintza Project | Further Discovery Potential within 7km x 5km Cluster Source: The information in this slide is based upon the Company’s news Quartz-Monzonite Porphyry releases dated Feb 16, Jul 20, Oct with stockwork veining 12,25, Nov 1, Dec 14, 2021 and Jan and 0.8% chalcocite 18, Feb 28, April
Slide 17: Warintza Project | Regional Potential Beyond Warintza Cluster
Warintza Project | Regional Potential Beyond Warintza Cluster Brecciated Porphyry Proposed Spin-Out of with chalcopyrite Solaris Exploration Porphyry targets at Clemente, Cora, Mateo and Medio Camino Vuggy silica / advanced argillic alteration Skarn targets at Playas, Hydrothermal Breccia with chalc
Slide 18: Warintza | Major Correction, Unique Opportunity
Warintza | Major Correction, Unique Opportunity Arizona Mining (AZ-T) (2015-2018) Solaris Resources (SLS-T) (2020-2022) Sale of Arizona Mining to Jul-20 Oct-20 Jan-21 Apr-21 Jul-21 Oct-21 Jan-22 Apr-22 Jul-22 Oct-22 Jan-23 Apr-23 South32 for $2.1B in 2018⁴ 3500% 3500% at 1x NAV8% Warintza Project Va
Slide 19: Catalysts | Growth and Discovery Drilling
Catalysts| Growth and Discovery Drilling Relief from warrant exercises, tax loss selling and year-end book clearing Investment Protection Agreement ratification Warintza Central growth of ‘Starter Pit’, Major growth at Warintza East Warintza West follow-up drilling, Warintza South in early 2023 Spin
Slide 20: Joint Ventures
Joint Ventures TSX: SLS; OTCQB: SLSSF
Slide 21: 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
Slide 22: Ricardo Project | Discovery Potential in Chile
Ricardo Project | Discovery Potential in Chile Discovery potential on the same structure as one of Chile’s largest copper mines, Chuquicamata 16,000 hectares in the most prolific section of the West Fissure fault, which controls Chile’s largest copper deposits Earlier efforts at drilling stymied by
Slide 23: 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 minera
Slide 24: 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 wi
Slide 25: Appendix
Appendix TSX: SLS; OTCQB: SLSSF
Slide 26: 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 27: Dearth of Discoveries Leaves Pipeline Empty
Dearth of Discoveries Leaves Pipeline Empty 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 bud
Slide 28: 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 $10,000/t is needed to incentivize to and number of copper projects is substantially lower than a decade ago enough approvals to mitigate the record LT gap L
Slide 29: Copper Sell-Offs: Bull vs Bear Market
Copper Sell-Offs: Bull vs Bear Market Copper sell-offs in the prior structural bull market were short, sharp, but followed by strong rebounds versus the prolonged commodity bear market that followed US$/lb 70% fall 5 followed by 258% rise 36% fall 22% fall followed by 4.5 followed by 124% rise 33% r
Slide 30: Record Size Structural Deficits Fast Approaching
Record Size Structural Deficits Fast Approaching S&P estimates copper demand will double to over 50 Mt by 2050 Rapid growth from copper-intensive energy transition applications (power grid, renewables, EVs, charging network, batteries) on top of steady 2.4% p.a. growth from traditional end uses Proj
Slide 31: 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 32: Solving Structural Deficit to Require Record M&A
Solving Structural Deficit to Require Record M&A Post-GFC cycle - 35 transactions US$/lb) Current cycle - structural deficits from 2024 on, largest supply shortfall in history by >2x… only 5 transactions announced to date: 5 MATSA - US$1.9B Sierra Gorda (45%) - US$1.6B Josemaria - US$0.5B Turquoise
Slide 33: Copper, Gold Growth and Discovery in the Americas
Copper, Gold Growth and Discovery in the Americas Investor Relations: +1 416-366-5678 x.203 info@solarisresources.com TSX: SLS; OTCQB: SLSSF
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