Perpetua Resources Corp. · TSX:PPTA
Perpetua Resources — Investor Presentation (April 2021)
73 slides from Perpetua Resources's investor presentation, April 2021
Slide 1: Perpetua Resources
April 2021 TSX :P P TA N A SDA Q:P P TA Not for further distribution PERPETUA RESOURCES C r i t i c a l R e s o u r c e s . R e s p o n s i b l e M i n i n g . E n v i r o n m e n t a l R e s t o ra t i o n . www.perpetuaresou rc e s.c om
Slide 2: Stibnite Gold Project
STIBNITE GOLD PROJECT Coeur d’Alene Stibnite Gold Project Perpetua Resources Au-Sb 2
Slide 3: Legacy
YELLOW PINE PIT HISTORICAL The East Fork of the South Fork dumps into a legacy mine pit. Currently, ~80 feet of sediment has collected at the bottom LEGACY FISH PASSAGE Fish migration After 100+ years of mining activity, many environmental legacies remain. is blocked by the Yellow TAILINGS Pine pit
Slide 4: The Stibnite Gold Project
THE STIBNITE GOLD PROJECT We can take an area abandoned after 100 years of mining activity and use a sustainable approach to restore the environment and develop a modern mining project with critical mineral production. 4
Slide 5: The Plan of Restoration & Operations
PLAN ofOF 6 YEARS Study and Engineering5 RESTORATIO 4 YEARS The Plan of of Regulatory Review under NEPA (National Environmental Policy Act) N & 75-DAY Restoration & OPERATIONS Public Comment Period for the Draft Environmental Impact Statement (DEIS) Operations (PRO) PLAN DESIGNED TO: (PRO) • Provide
Slide 6: ModPRO
ModPRO MAY 2019 M O D I FI E D PR O E LE M E N TS West End DRSF Through-site eliminated public access Informed by: • Alternatives analysis • Public/Agency comments on PRO Lime kiln added • Preliminary impact analysis/modeling Partial backfill of • Preliminary engineering and feasibility HFP • Stakeh
Slide 7: Draft Environmental Impact Statement (DEIS)
DRAFT ENVIRONMENTAL IMPACT STATEMENT (DEIS) Removing historical barriers to fish migration will assist Mitigation and Restoration Removing legacy materials Concurrent Restoration the population. will address impacts. will improve water quality. reduces risks. Long-term access to historically Propose
Slide 8: NEPA at Work
NEPA AT WORK Public feedback and refinement create the best plan. T R A N S PA R E N C Y : 7 5 - D a y P u b l i c C o m m e n t P e r i o d REF I NEMENT: Agencies Responding to the Public Now, the U.S. Forest Service and cooperating agencies will: • Review all comments • Respond to the public • Inc
Slide 9: Identified Areas for Improvement
IDENTIFIED AREAS FOR IMPROVEMENT Reduce seasonal stream flow reductions Improve water quality and quantity Reduce stream temperatures Reduce footprint 9
Slide 10: Highlights
HIGHLIGHTS OTHER BENEFITS Ore processing circuit changes reduce toxicity of arsenic in the mine tailings. Less required dewatering, elimination of Rapid 10% reduction in total volume mined Infiltration Basins. (44 million tons) Measures to reduce stream temperatures. 70% reduction in Hangar Flats pi
Slide 11: Tailings Safety 101
TAILINGS SAFETY 101 THE STIBNITE GOLD PROJECT TAILINGS STORAGE FACILITY WILL BE: ✓ Downstream constructed Best Practice For Tailings Facility ✓ Made with compacted rockfill Design ✓ Fully lined No known failures for facilities with ✓ Reviewed by an independent expert these design characteristics ✓ B
Slide 12: ROB – River
ROB – RIVER 1. Existing Conditions 2. Our Proposal 3. DEIS Conclusions a. Stream Functional Units (23% increase) b. Wetland Functional Units (40% increase) 4. Additional Refinements Possibilities Key Points to Address 1. Increase to water temperature will harm fish 2. Loss of stream habitat for fish
Slide 13: Stream Design
STREAM DESIGN Goal: Reclaim and/or restore disturbed streams and floodplain from historical and proposed mining activities to improve habitat conditions for aquatic species and mitigate for project impacts. Stream Design Report: Section 1.3
Slide 14: 13.3 km perennial streams
13.3 km 19.6 km 20.3 km perennial perennial perennial streams streams streams historically proposed proposed impacted impacted restored
Slide 15: Reclamation vs Restoration
Reclamation: Restoration: stable, static, little to no naturally dynamic, change; may not mimic deformable, resilient; mimics natural conditions natural conditions Yankee Fork of the Salmon River, Idaho Perpetua Resources has committed to a RESTORATION standard wherever possible. 15 Meadow Creek, ID
Slide 16: Stream Design Process
Stream Design Process • Project area reach delineation • Reference site analysis • Develop physical design criteria o Reference site data o Empirical formulae o Published design guidelines • Assign biological objectives based on fish habitat preferences • Refine design criteria to maximize habitat b
Slide 17: Stream Design Process
Stream Design Process Riordan Creek – Dammed by Landslide 6600 Low gradient 6500 6400 Reference Site Examples 6300 Dam crest 6200 6100 6000 21000 22000 23000 24000 25000 26000 27000 28000 29000 30000 31000 Hell Roaring Creek – Dammed by Glacial Moraine 7300 7200 Low gradient Riordan Creek 7100 7000
Slide 18: Current Conditions
CURRENT CONDITIONS Approximately 35 miles Rendering of existing Yellow Pine pit looking upstream (56 km) of perennial channel upstream of barrier EFSFSR Fish Barrier Yellow Pine Pit 18
Slide 19: During Mining
DURING MINING Rendering of proposed tunnel alignment looking downstream Downstream (North) transition back to EFSFSR EFSFSR Tunnel, 0.9-mi. long Upstream (South) diversion into tunnel 19 19
Slide 20: Stream Access
Stream Restoration and Enhancement Restore Passage at Stream Restoration and Backfilled Yellow Pine Pit Enhancement (ModPRO – Alt 2) Restoration • 20.6 km of restored/enhanced STREAM ACCESS Enhancement perennial streams • 5.5 km of restored non-perennial New Barrier at Tailings Facility streams Rest
Slide 21: Access Upper EFSFSR
ACCESS UPPER EFSFSR
Slide 22: EFSFSR Over Yellow Pine Pit, Blowout Creek, Meadow Creek
EFSFSR Over Yellow Pine Pit Blowout Creek 13.3 km 19.6 km 20.3 km perennial perennial perennial streams streams streams historically proposed proposed Meadow Creek impacted impacted restored Over TSF
Slide 23: Restore EFSFSR Over YPP
Restore EFSFSR Over YPP Restoration Objectives • Restore migratory fish passage through YPP to upstream reaches • Target isolated spawning and rearing habitat creation • Allow geomorphically appropriate natural channel process (migration, avulsion, scour, deposition) • Increase hydraulic and geomorp
Slide 24: Restore EFSFSR Over YPP
RESTORE EFSFSR OVER YPP
Slide 25: Restore Meadow Creek Over TSF
Restore Meadow Creek Over TSF Tailings Storage Facility (TSF) Restoration Objectives • Target highly sinuous, low-gradient, meadow-like conditions (based on equilibrium slope evaluation) • Allow natural channel process (migration, avulsion, scour, deposition) • Provide accommodation space for antici
Slide 26: Restore Blowout Creek
Restore Blowout Creek Existing Condition
Slide 27: Restore Blowout Creek Restoration Design
Restore Blowout Creek Restoration Design 1) Stabilize Slopes • Rock drain base • Fill against toe of slope • Provide overflow channel 27
Slide 28: Restore Blowout Creek
Restore Blowout Creek 2) Restore Incised Stream and Wetland
Slide 29: Restoration Examples
Restoration Examples Restored/Enhanced EFSFSR and Meadow Creek • Passage enhancements • Engineered log jams • Other spawning and rearing habitat enhancements • Blowout Creek no longer contributing excess sediment • Spent leach ore and Bradley tailings no longer contributing metals loading Restoratio
Slide 30: Stream Functional Assessment
STREAM FUNCTIONAL ASSESSMENT Framework – Elements Evaluated to Calculate Reach Functional Index The SFA uses a modified version of the Watershed Condition Indicators Matrix (WCI Matrix) (USFS 2003, 2010) along with several fish use indicators to evaluate stream condition by measuring up to 20 elemen
Slide 31: Stream Functional Assessment
STREAM FUNCTIONAL ASSESSMENT Framework – Functional Units Measured using Functional Units (FU): Quality Quantity Where: FU = Functional Units FI = Functional Index The functional unit is the mitigation currency proposed for the SGP such that subtracting the functional units calculated for the baseli
Slide 32: Stream Functional Assessment Results
STREAM FUNCTIONAL ASSESSMENT Results
Slide 33: Paul – Fish
PAUL – FISH 1. Baseline, Current conditions 2. DEIS Findings 3. DEIS Findings with mitigation included 4. Additional refinements proposed Key Points to Address 1. Loss of critical chinook and bull trout habitat Are there good examples of South Fork temperatures for comparison? 33
Slide 34: Fisheries Goals
FISHERIES GOALS GOALS RESULTS Restoration of volitional passage Restoration of passage • Early passage, during mine operations, through closure, and beyond. • Early on in the project and a long-awaited permanent solution Restoration of spawning and rearing habitat Access to miles of improved habitat
Slide 35: Chinook Salmon and Bull Trout Designated Critical Habitat
Chinook Salmon and Bull Trout Designated Critical Habitat (DCH) 1. Currently, DCH upstream of the YPP cascade is inaccessible for Chinook salmon or bull trout 2. The DEIS did not into account the change in accessibility in the EFSFSR and Meadow Creek watersheds upstream of the YPP 3. When the EFSFSR
Slide 36: Chinook Salmon DCH Current Conditions
Chinook Salmon DCH Current Conditions Current EFSFSR Tunnel Last Fully YPP Cascade Fish Barrier Conditions Operational Operational Year 36
Slide 37: Chinook Salmon DCH EFSFSR Tunnel Operational
Chinook Salmon DCH EFSFSR Tunnel Operational Current EFSFSR Tunnel Last Fully Conditions Operational Operational Year EFSFSR Tunnel, YPP Barrier gone Diversion in place in Meadow Creek for TSF 37
Slide 38: Chinook Salmon DCH Current Conditions
Chinook Salmon DCH Current Conditions Current EFSFSR Tunnel Last Fully YPP Cascade Fish Barrier Conditions Operational Operational Year 38
Slide 39: Interim Fish Passage
INTERIM FISH PASSAGE EFSFSR Fishway Details – 2’ high fish weir within 4’ weir – 5’ divider wall – Weir anchored to bedrock/tunnel lining – Divider wall similarly anchored – Weir spacing 22’ @ 4.5% and 66’ @ 1.5% 39
Slide 40: Water Quality
WATER QUALITY 40
Slide 41: Water Quality Today
WATER QUALITY TODAY Water quality monitoring program Baseline groundwater and surface water monitoring program initiated in 2011 and is ongoing • CERCLA and NEPA compliant data QA/QC • 32 perennial stream surface water monitoring locations • 23 surface water seeps, adit seeps and other mining featur
Slide 42: Water Quality Today
WATER QUALITY TODAY Bradley Dumps Meadow Creek, circa 1940s West End Pit Upper Meadow Creek Tailings “Bradley Tailings” Yellow Pine Pit Smelter Meadow Construction Site Creek Mine Heap Leach Pad On/Off Pads Smelter Area YP-T-22 42 S.O.D.A
Slide 43: Water Quality Today
WATER QUALITY TODAY Bradley Dumps Bradley Pit, circa 1940s West End NW Pit Bradley Dump Yellow Pine Pit Meadow Bradley Pit Creek Mine On/Off Pads Smelter Area YP-T-22 43 S.O.D.A
Slide 44: Meadow Creek Valley
MEADOW CREEK VALLEY Surface water impacts Historical placement of spent ore over Bradley Panoramic View of Meadow Creek Valley looking west Tailings (SODA) South North Former Spent Blowout Mill and SODA Ore Creek Smelter SMI Leach Hecla Heap Leach Bradley Pads Tailings YP-T-22
Slide 45: Water Quality Today
WATER QUALITY TODAY Summary of findings • Arsenic and antimony concentrations generally show inverse • Arsenic and antimony are key COIs relationship with discharge • Meadow Creek and Bradley Pit reach are significant • WQ data from areas away from legacy mining can also show sources of arsenic and
Slide 46: Natural Background Water Quality
NATURAL BACKGROUND WATER QUALITY Historic mining is not the only reason for elevated metals. Remember, the mining happened because the minerals were there Natural Background Natural Background Water in mineralized areas is naturally Conditions in Conditions in elevated in metals Groundwater Seepage
Slide 47: Perpetua's Water Management Objectives
1. Protect and improve surface water and groundwater quality PERPETUA'S 2. Supply water for operations, WATER prioritizing re-use and recycling of water MANAGEMENT OBJECTIVES 3. Minimize and mitigate impacts to streamflow and surface water temperature to protect fisheries (short- and long-term) 47
Slide 48: Holistic View of Water Management
HOLISTIC VIEW OF WATER MANAGEMENT • Reroute streams and upslope runoff around disturbance areas Adaptive Management • Prevent mine impacted water from entering streams Contingencies and adjustments for Avoid • Relocate legacy materials to engineered facilities when conditions are different than • El
Slide 49: Water Management Activities
WATER MANAGEMENT ACTIVITIES CONSTRUCTION Clean water diversions and other Best Management Practices (BMPs) Mine-impacted water (MIW) management / treatment Early restoration/mitigation (Blowout Creek, Garnet Creek., Removal/reprocessing of legacy materials (SODA, Hecla heap) OPERATIONS Clean water d
Slide 50: Water Management Plan – North View
WATER MANAGEMENT PLAN NORTH VIEW 50
Slide 51: Water Management Plan – South View
WATER MANAGEMENT PLAN SOUTH VIEW 51
Slide 52: Regulatory Mechanisms to Protect Water Quality
REGULATORY MECHANISMS TO PROTECT WATER QUALITY IDAHO POLLUTION DISCHARGE ELIMINATION SYSTEM INDIVIDUAL PERMIT • Permit to be issued by IDEQ and reviewed by EPA • Will address all surface water discharges of Mine Impacted Water and Stormwater Associated with Industrial Activities • Numeric permit lim
Slide 53: Water Treatment Overview
WATER TREATMENT OVERVIEW • Adaptable, scalable and proven technology for effective MIW treatment, phased from Construction through Post-Closure • Process water/TSF water will not be discharged during Operations; no treatment needed for that water until Closure • Seasonal variability in runoff manage
Slide 54: Water Treatment Design Basis
WATER TREATMENT DESIGN BASIS Primary Target Constituents • Treatment targets are based upon Idaho surface water criteria, ongoing communication with IDEQ and EPA on development of permit limits, and Perpetua Resources’ commitment to improve overall water quality at the SGP site • Treatment largely t
Slide 55: Treatment Technology Assessment
TREATMENT TECHNOLOGY ASSESSMENT 55
Slide 56: Commitment to Early Restoration
SOLUTIONS START NOW COMMITTMENT TO PATH FOR ABANDONED MINE RESTORATION EARLY RESTORATION January 15, 2021: Perpetua voluntarily signed an A D M I N I S T R AT I V E S E T T L E M E N T ASAOC with the Environmental Protection Agency & AGREEMENT AND ORDER ON the U.S. Forest Service with concurrence of
Slide 57: Water Quality Summary
WATER QUALITY SUMMARY Legacy activities and natural mineralization currently affect surface and groundwater quality • Without Perpetua's actions, existing problems would continue for a very long time Perpetua's plans will reduce, remove, or remediate significant legacy materials • ASAOC early action
Slide 58: Wrap Up - McKinsey
WRAP UP - MCKINSEY 1. DEIS 2. PRO →ModPRO → ModPRO2: IMPROVEMENTS on existing plan 3. Reports & Analysis within DEIS complete 58
Slide 59: Permitting – Next Steps
EI S: Env ironm e nt al Im p act S t at e m e nt PERMITTING – NEXT STEPS DEI S: Draf t Env ironm e nt al Im p act S t at e m e nt F EI S: F inal Env ironm e nt al Im p act S t at e m e nt NOA : Not i c e of Av ai l ab i l i t y P RO: Plan of Re st orat ion and Op e rat ions ROD: Record of Decision N
Slide 60: Parallel Permitting Track
PARALLEL PERMITTING TRACK Plan of Restoration and Alt 2 Mitigation & Begin Project ModPRO Project Project Planning and Development Operations (PRO) May 2019 Refined Monitoring Construction Development Sept 2016 Dec 2020 Plans (2022/23) Agency Input: Scoping DEIS Prep FEIS Prep ROD NEPA SGP Project E
Slide 61: Key Take Aways
KEY TAKE AWAYS ❑ The refined “ModPRO” is not a new plan. ❑ The proposed improvements are responsive to comments received during the comment period. ❑ The concepts improve the project’s environmental outcomes and reduces the project footprint. ❑ Suggestions brought forward will now be reviewed by the
Slide 62: Path Forward
PATH FORWARD Recent Accomplishments: Upcoming Milestones: ✓ Draft Environmental Impact Statement (Aug 2020) ❑ Final EIS & Draft ROD (2021)* ✓ Successful comment period (Aug-Oct 2020) ❑ Final ROD (2021)* ✓ Feasibility Study Released (Dec 2020) ❑ Multiple Ancillary Permits (2021-2022) ✓ Signed histori
Slide 63: Webinars
WEBINARS www.perpetuaresources.com/connect/virtual-events
Slide 64: Thank You.
THANK YOU. w w w. p e r p e t u a r e s o u r c e s . c o m 64
Slide 65: Regulatory Information
REGULATORY INFORMATION The FS was compiled by M3 Engineering & Technology Corporation (“M3”) in accordance with National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”) under the direction of independent qualified persons (as defined in NI 43-101) (“Independent QPs”).
Slide 66: Forward Looking Statements
FORWARD LOOKING STATEMENTS Information and statement contained in this presentation that are not historical facts are “forward-looking information” or “forward-looking statements” (collectively, “Forward-Looking Information”) within the meaning of applicable Canadian securities legislation and the U
Slide 67: 13.3 km perennial streams
1 2 1 2 3 ~30ft Wide 3 4 4 5 13.3 km perennial 5 6 streams 6 historically impacted ~10ft Wide
Slide 68: Mod PRO – Alternative 2
Mod PRO – Alternative 2 2 4 1. Expand Yellow Pine Pit 1 6 2. Expand West End Pit 3. New Hangar Flats Pit 4 7 8 4. Development Rock Storage Facilities 5. Tailings Storage Facility 3 6. Haul Roads 4 7. Ore Processing Plant 13.3 km 19.6 km perennial perennial 8. Worker Housing Facility streams streams
Slide 69: Stream Access
Stream Restoration and Enhancement Restore Passage at Stream Restoration and Backfilled Yellow Pine Pit Enhancement (ModPRO – Alt 2) Restoration • 20.3km of restored/enhanced STREAM ACCESS Enhancement perennial streams • 7.9km of restored non-perennial New Barrier at Tailings Facility streams Restor
Slide 70: Restore EFSFSR Over YPP
Restore EFSFSR Over YPP Floodplain is 5-10x the bankfull channel width Proposed Stream Liner Details (DRAFT) EFSFSR over YPP Example Layers of Material Over the Liner Approximate Total Liner Depth Reach Mine Facility Liner Width Protection Armor Layer Stream Bed and Below the Floodplain (ft)* (Trans
Slide 71: Restore Meadow Creek Over TSF
Restore Meadow Creek Over TSF Cross Section Design Upper TSF Section • Post-consolidation TSF surface • 15 ft max cut at dam • 5 ft max cut elsewhere • 6-12 inch transition layer over liner • 9-12 inch rock armor Lower TSF Section layer • 3-3.5 ft of streambed and floodplain material ~5ft total thic
Slide 72: Restore Blowout Creek
Restore Blowout Creek NOTES AND ASSUMPTIONS: 1. MINE CLOSURE GROUND SURFACE CONTOUR INTERVAL: 25' MAJORS, S' MINORS. 2. FINAL GRADE OF MINE CLOSURE GROUND SURFACE IS CONSIDERED PRELIMINARY AND MAY CHANGE IN FUTURE DESIGN PHASES AS THE EF MEADOW CREEK (BLOWOUT CREEK) PRE-CLOSURE GROUND SURFACE, WETLA
Slide 73: Decommissioned Results
Results Stream Diversions Blowout Cr. Restoration Passage Restored at YPP Enhancements to EFSFSR Fiddle Cr. Restoration EFSFSR Restored over YPP Meadow Cr. Meadow Cr. Reduced Stream Length Restored Over TSF Burntlog Route Decommissioned STREAM FUNCTIONAL ASSESSMENT
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