Osisko Gold Group Inc. · TSXV:OGG
Osisko Gold — Osisko Development — Investor Presentation (November 2022)
48 slides from Osisko Gold's investor presentation, November 2022
Slide 1: A Premier North American Gold Mining Company
A PREMIER NORTH AMERICAN GOLD MINING COMPANY OSISKODEV.COM TSX.V & NYSE: ODV INVESTOR PRESENTATION NOVEMBER 2022
Slide 2: Cautionary Statement Regarding Forward-Looking Information
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION This presentation (this "Presentation") contains forward-looking information and forward-looking statements (together, "forward-looking statements") within the meaning of applicable Canadian securities laws and the United States Private Secu
Slide 3: Cautionary Statement Regarding Technical Information
CAUTIONARY STATEMENT REGARDING TECHNICAL INFORMATION CAUTIONARY NOTE TO U.S. INVESTORS REGARDING MINERAL RESERVE AND MINERAL RESOURCE ESTIMATES Osisko Development is subject to the reporting requirements of the applicable Canadian securities laws, and as a result, reports its mineral resources and r
Slide 4: Cautionary Statement Regarding Technical Information
CAUTIONARY STATEMENT REGARDING TECHNICAL INFORMATION CAUTION REGARDING INFERRED MINERAL RESOURCES Readers are cautioned that the Cariboo PEA, being a preliminary economic assessment (within the meaning of NI 43-101), is preliminary in nature and includes inferred mineral resources that are considere
Slide 5: Financial Information
Financial Information CAPITAL STRUCTURE (c$)1,2 SHARE OWNERSHIP* SHARE PRICE (closing price on Nov. 16, 2022) $6.39 BASIC SHARES OUTSTANDING 75.6M Institutional Investors 19% OPTIONS + DSUs & RSUs 2.7M Osisko Gold WARRANTS3 24.0M Royalties Retail 44% FULLY DILUTED SHARE COUNT 102.4M Investors 21% MA
Slide 6: Recent Developments
Recent Developments • Preliminary Economic Assessment issued for Cariboo Gold Project – May 24, 2022 ‐ Demonstrates potential viability of Cariboo(1) • NYSE Listing and Closing of Non-Brokered Financing - May 27, 2022 ‐ Trading commences ‐ US$119.4 million in proceeds on conversion of subscription r
Slide 7: Investment Highlights
Investment Highlights PART OF THE OSISKO GROUP WITH A PROVEN TRACK RECORD OF EXECUTION AND VALUE CREATION Team INCLUDES PRINCIPALS WHO founded, developed, operated and sold the Canadian Malartic Gold Mine Cariboo Gold Project (100%, BC, Canada) Trixie, Tintic Project (100%, Utah, USA) • Principal pr
Slide 8: Premier Mining Jurisdictions
Premier Mining Jurisdictions(1) CARIBOO GOLD PROJECT(2) Cariboo EAST TINTIC (BC, Canada) Permitting Measured 47 KT, 8k oz @ 5.1 g/t indicated 27 MT, 3.46 Moz @ 4.0 g/t Trixie Inferred 14 MT, 1.6 Moz @ 3.5 g/t (Utah, US) MINING / Production Initial MRE (EST. Q4 2022) San Antonio (Sonora, Mexico) Burg
Slide 9: Cariboo Gold Project
Cariboo Gold Project
Slide 10: Cariboo PEA Results Summary (May 2022)
Cariboo PEA Results Summary (May 2022)(1)(2) Key Operational Findings Key Financial Results • Phased construction approach with an initial construction • Initial capital requirement of $121.5 million enabling a 2,000-tpd mine and an expansion to increase throughput to 8,000 tpd • Expansion capital r
Slide 11: Developing a Mining Camp
Developing a Mining Camp • Two prospective mineralized trends over 83 km strike All current resources • Decades worth of future exploration value-add are from the boxed area • High degree of confidence in geological model with significant mineralization in ~80% of drill holes • 95% of current resour
Slide 12: Cariboo Gold Project – Longitudinal Section Looking North
Cariboo Gold Project – Longitudinal Section Looking North • The vertical extent of all mineable blocks is 630 metres and is open at depth and along strike • The mine is planned to be accessed by three portals from surface directly connecting to Cow Zone, Shaft Zone, and Valley Zone • A series of int
Slide 13: Cariboo Gold Project: Preliminary Economic Assessment Summary (May 2022)
Cariboo Gold Project: Preliminary Economic Assessment Summary (May 2022)(1)(2) Base Case (US$1,750/oz Au, USD:CAD 0.79, 5% discount rate) After-Tax NPV CAD$763.8 Million Initial Capital Costs CAD$121.5 Million Expansion Capital Costs CAD$716.1 Million Peak Year Payable Gold Production 315,506 oz Ave
Slide 14: Nature of Mineralization Favorable to Ore Sorting
Nature of Mineralization Favorable to Ore Sorting Vein corridors are composed of multiple Primary High grade Veins (PHV) Stope Following metallurgical testing, it is known that: ▪ Gold is associated with sulphur (essentially pyrite) ▪ Ore type is in the PHV (quartz and contacts) ▪ Material between t
Slide 15: Ore Sorter
Ore Sorter EXAMPLE – FOR ILLUSTRATIVE PURPOSES ONLY Mine Feed 1,000 t Crushing Coarse Material (~75%) 10 to 30mm Fines Material (~25%) Screen ~750 t Smaller than 10mm ~250 t Ore Sorter Ore Sorter Concentrate (~50%) ~325 t Waste (~50%) Waste Pile ~325 t
Slide 16: Ore Sorter Benefits
Ore Sorter Benefits COST • Low cost pre-concentration process retrieving approximately 33% of material sent to mill • Focus on processing valuable ore, not waste, reduces haulage and downstream processing energy requirements • Anticipate excellent ability to increase the head grade • Robust and low
Slide 17: Tintic
O OSISKO DEVELOPMENT 7
Slide 18: Tintic Project Location
Tintic Project Location • Permitted, gold producing operation located in Utah's prolific Tintic mining district • Located 40 mi (64 km) SW of Provo and 60 mi (95 km) S of Salt Lake City, UT in Utah County • Full road access via Interstate 15 and US 6 • Main office located at the Burgin mine site,
Slide 19: Tintic Project Assets
Tintic Project Assets Asset Summary OWNERSHIP • 100% Osisko Development Corp. • Trixie, underground production and exploration development • Eureka Standard, Ajax, North Lily (Trixie satellite expansion) MINERAL ASSETS: • Burgin (PEA (2011) includes historic resource of Cu, Zn, Pb) • Cu-Mo-Au Porphy
Slide 20: Trixie: Modern Target Generation
Trixie: Modern Target Generation Date Historic Highlights August 2019 Tintic Consolidated Metals (TCM) acquired Trixie and commenced rehabilitation of the mine and shaft December 2019 TCM compiled historic Trixie data in a new 3D model which identified the footwall of the 610 stope as an important n
Slide 21: Trixie: Modern Target Generation
Trixie: Modern Target Generation An oblique view of the new 3D model of Trixie
Slide 22: Trixie: Modern Target Generation
Trixie: Modern Target Generation Overview of Trixie historic datasets, including surface RC Overview map of the southern end of 625 level drilling colored by gold, dated 2019
Slide 23: Trixie: Modern Target Generation
Trixie: Modern Target Generation An early mining face on the T2 structure WEST EAST Quartz T2 Stockwork T4 Footwall Breccia
Slide 24: Trixie: T2 Face Sampling (2021)
Trixie: T2 Face Sampling (2021) T2: High Sulphidation Ledge Structure • A total of 1,150 face samples collected in 2021 • Average uncut, unweighted grade: 5.49 oz/tons Au (188.23 g/t Au) , 6.64 oz/tons Ag (227.66 g/t Ag) • Three exploration cross cuts were developed east from the first sill cut on t
Slide 25: Trixie Level 2022 Channel Samples
Trixie 625 Level 2022 Channel Samples T2 & T4 2022 Channel Samples • 2022 samples of T2 and T4 include 703 samples collected across a total of 183 sites (site ID 783 to 934) near the 625 ft level at Trixie across a total combined strike length of 650 ft. (~200 m). • Highlights include 79.45 oz/tons
Slide 26: 2021 Drilling Program Summary
2021 Drilling Program Summary • Drilling of the T2-T4 mineralization zone recommenced in T2-T4 Mineralized Zone Drilling April 2021 • 31 underground drillholes • 6,278.2ft. (1,913.6 m) of drilling • Drilling provided important delineation and mine planning data, though challenging drilling condition
Slide 27: Trixie Plan and Schedule
Trixie Plan and Schedule • Currently UG access is by shaft only to the 625L and 750L • Production currently averaging 35 tons per day. Tonnage limited by shaft logistics • Targeting initial resource by Q1 2023 • Current estimated tonnage in T2 area expected to support 14 months of narrow vein mining
Slide 28: Trixie Decline Development
Trixie Decline Development • 4,550 ft. (1390 m) of decline development from surface to connect to the 625 level • Approx. 4,300 ft. (1310 m) to be driven from surface, and 350 ft. (106 m) to be driven from underground • Decline cross-section size is 16 x 16 ft. (5 x5 m) • Muckbays excavated every 30
Slide 29: Trixie Decline Development
Trixie Decline Development • 820 ft. (250 m) of new surface road constructed, and 700 ft. (215 m) of existing road has been improved between the Trixie and the decline portal entrance • Drainage in the portal area has been established and a 30-inch corrugated metal culvert installed ‐ Portal face ha
Slide 30: Tintic District Exploration Model
Tintic District Exploration Model • Fast track access to seek New Discoveries: ‐ Well established extant underground infrastructure ‐ Extensive library of legacy datasets covering the entire property
Slide 31: Trixie: Exploration Potential
Trixie: Exploration Potential • Six levels of historical development accessed by a Trixie Underground Working shaft to a depth of 412m (1,350 ft.) • Mineralization open at depth • Discovery of the T2 structure supports the untapped potential of the area • Exploration in 2022 will target potential on
Slide 32: Styles of Mineralization within the Tintic District
Styles of Mineralization within the Tintic District
Slide 33: San Antonio Gold Project
San Antonio Gold Project
Slide 34: Project Overview
Project Overview(1)(2) Initial Mineral Resource • Located 160 km from airport and towns of Hermosillo ➢ Indicated 14.9 kt, 576k oz @ and Obregon in mining-friendly Sonora 1.20 g/t & Inferred 16.6 kt, 544k oz @ 1.02 g/t • Stockpile of 1.11 Mt grading 0.57 g/t Au provides a source of cash flow Mexico
Slide 35: San Antonio Gold Project
San Antonio Gold Project 1
Slide 36: Sapuchi Drill Results
Sapuchi Drill Results Hole number From To Length Au ppm Ag ppm SP-DD-21-006 119.15 129.40 10.25 2.37 2.02 SP-DD-21-008 62.55 84.70 22.15 1.59 3.68 SP-DD-21-008 165.00 177.65 12.65 2.94 3.98 SP-DD-21-008 including 173.25 173.95 0.70 44.40 54.40 SP-DD-21-019 167.40 207.30 39.90 1.02 3.90 SP-DD-21-029
Slide 37: Appendix "A"
O OSISKO DEVELOPMENT 37
Slide 38: Best in Class ESG
Best in Class ESG ENVIRONMENT PERMITTING INDIGENOUS NATIONS ▪ Osisko Development constructed two ▪ Positive permitting climate in central BC ▪ Positive relationship with Lhtako Dené water treatment plant to treat contact given dearth of high-quality jobs from Nation since 2015. Agreements water and
Slide 39: World-Class Leadership
World-Class Leadership SEAN ROOSEN, CEO ALEXANDER DANN, CFO, CPA, CA BOARD OF DIRECTORS • Founding member of Osisko Mining Corporation (2003- • 25 years of experience leading finance operations and strategic planning for companies in 2014) the mining and manufacturing sectors • Responsible for devel
Slide 40: Community Relations
Community Relations • Osisko Development is very involved in the Wells community with events and provided funding to local organizations in support of various initiatives ‐ Wells Community Foundation ‐ Island Mountain Arts ‐ Wells and Area Community Association ‐ Community Christmas dinner ‐ Communi
Slide 41: Best in Class ESG – Canadian Malartic Case Study
Best in Class ESG – Canadian Malartic Case Study EXPLORATION CONSULTATION & ENVIRONMENT FINANCING & PRODUCTION Strict safety and mitigation COMMUNITY Agreement with the Ministry of CONSTRUCTION After more than 800,000 metres of measures in place so residents RELATIONS Natural Resources for the Raise
Slide 42: Cariboo Gold Project: Sensitivity Analysis
Cariboo Gold Project: Sensitivity Analysis(1)(2) NPV sensitivity (after-tax) for metal price and exchange rate variations IRR sensitivity (after-tax) for metal price and exchange rate variations (1) Refer to the full text of Cariboo PEA for the assumptions, qualifications and limitations relating to
Slide 43: Tintic Mining District: Historic Production
Tintic Mining District: Historic Production Production for the Tintic Mining District: 1869-2002 Material Treated Sub-District Period Gold (oz2) Silver (oz) Copper (t) Lead (t) Zinc (t) (t1) Main Tintic 1869-1993 13,813,942 2,166,841 207,687,987 109,866 644,750 69,258 East Tintic 1899-2002 5,982,827
Slide 44: Trixie: Historic Production
Trixie: Historic Production Year Tons Au (oz/t) Au (g/t) Ag (oz/t) Ag (g/t) Au Total oz Ag Total oz Pre-1983 508,482 0.20 6.86 6.95 238.29 102,713 3,533,950 1983 1,736 0.30 10.29 4.80 164.57 516 8,333 1984 11,397 0.15 5.14 6.00 205.71 1,710 68,382 1985 25,538 0.25 8.57 3.49 119.66 6,487 89,128 1986
Slide 45: 2021 Underground Drilling Highlights – Trixie
2021 Underground Drilling Highlights – Trixie • Drilling assays generally report lower From Interval Interval Hole ID Structure To (ft) Au (oz/t) Au (g/t) Ag (oz/t) Ag (g/t) grades than face sampling assays (ft) (ft) (m) due to the nuggety nature of the gold TUG-625-013 T2-T4 63.2 123.0 48.0 14.6 1.
Slide 46: Mineral Resource Estimate – Cariboo Gold Project
Mineral Resource Estimate – Cariboo Gold Project(1)(2) Category Deposit Tonnes (Mt) Grade (g/t) Au Ounces (000) (1) Refer to the full text of Cariboo PEA for the assumptions, qualifications and limitations relating to the Cariboo Project and the Cariboo PEA. Measured Bonanza Ledge 47 5.1 8 (2) The i
Slide 47: Mineral Resource Estimate – San Antonio Project
Mineral Resource Estimate – San Antonio Project(1)(2) Au Ounces Ag Ounces Deposit Category Tonnes (Mt) Au (g/t) Ag (g/t) (000) (000) Indicated 3.9 1.22 2.5 153 31 California • In pit resource Inferred 1.6 1.10 3.3 58 17 Golfo de Indicated 5.7 1.44 2.5 262 46 • 584 holes in 85,000 Oro Inferred 6.4 1.
Slide 48: Non-IFRS Measures
Non-IFRS Measures ODV used in this presentation, certain non-IFRS measures including, "all-in sustaining cost" or "AISC". All-in sustaining cost per gold ounce is defined as production costs less silver sales plus general and administrative, exploration, other expenses and sustaining capital expendi
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