Titan Minerals Ltd · ASX:TTM
Titan Minerals — Merger or Acquisition (February 2019)
24 slides from Titan Minerals's merger presentation, Feb 25, 2019
Slide 1: Business Combination: Creating an Emerging Ecuador and Peru Focused Gold Explorer, Developer and Producer
Business Combination Creating an Emerging Ecuador and Peru Focused Gold Explorer, Developer and Producer INVESTOR PRESENTATION | FEBRUARY 2019
Slide 2: Disclaimer and Forward-Looking Statements
DISCLAIMER AND FORWARD-LOOKING STATEMENTS NOT AN OFFER OF SECURITIES FORWARD LOOKING STATEMENTS (CONT’D) This presentation has been prepared by Titan Minerals Limited (“Titan”) and Core Gold Inc. (“Core”) and is provided for Actual results could differ materially from those anticipated in the forwar
Slide 3: Transaction Highlights
TRANSACTION HIGHLIGHTS Creating an Emerging Ecuador and Peru Focused Gold Explorer, Developer and Producer Expected Strong Financial ▪ Access to minimum A$20M in new equity at closing and additional US$10M financing to be credit committed at closing Position to Fund ▪ Pro-forma cash position of ~C$2
Slide 4: Transaction Summary
TRANSACTION SUMMARY A Compelling Value Proposition through the Combination of Like-Minded Companies ▪ All-share transaction: 20.0 Titan Shares per Core Share, equivalent to C$0.45 per Core Share(1) All-Share Transaction ▪ Expected pro-forma market capitalization of approximately A$158M (C$148M)(2) ▪
Slide 5: Benefits to Shareholders
BENEFITS TO SHAREHOLDERS ✓ Significant growth potential across a robust underexplored ✓ Immediate upfront premium of approximately 65.3%(3) based high grade gold-copper exploration portfolio on Core’s 30-Day VWAP, implying an equity value attributable to Core of approximately C$72M(4) ✓ Exposure to
Slide 6: Leadership: New Board & Executive Team
LEADERSHIP: NEW BOARD & EXECUTIVE TEAM ▪ Founding Director of Diamond Fields Resources (sold to Vale Inco for $4.3Bn in largest junior mining takeover in Gregg J. Sedun Canadian history), Founding Shareholder of Peru Copper (sold to Chinalco for C$875M), Founding Director of Non-Exec Director Adastr
Slide 7: Pro Forma Capitalization
PRO FORMA CAPITALIZATION Combined company to have a pro-forma market capitalization of A$158M (C$148M)(1) CORE TITAN PRO-FORMA(4) Share Price(2) $/sh C$0.45 A$0.024 Shares Outstanding (Basic) M 151.3 2,563.7 659.2 Options & Warrants M 41.9 45.0 88.3 Performance Rights M nil 80.5 8.1 Shares Issued fr
Slide 8: Peer Comparables
PEER COMPARABLES Larger pro-forma company will broaden investor appeal, increase liquidity and improve access to capital Comparable Developer Landscape (Market Capitalization)(1)(2)(3) $250 $227 $200 $170 Market Cap (C$M) $148 $144 $150 $106 $100 $81 $72 $64 $61 $58 $50 $44 $43 $35 $33 $31 $25 $0 So
Slide 9: Asset Overview – Ecuador
ASSET OVERVIEW – ECUADOR DYNASTY GOLDFIELD PROJECT (FLAGSHIP) ▪ Measured Resource: 437k oz Au (2.9Mt @ 4.7 g/t Au)(1) ▪ Indicated Resource: 585k oz Au (4.0Mt @ 4.6 g/t Au)(1) ▪ Inferred Resource: 1.1m oz Au (7.8Mt @ 4.4 g/t Au)(1) ▪ Cerro Verde small scale operation on <5% of Dynasty Goldfield ▪ 30k
Slide 10: Asset Overview – Peru
ASSET OVERVIEW – PERU VISTA GOLD PLANT ▪ Brand new CIP gold plant in commissioning phase ▪ Recent Titan acquisition in H2 2018 ▪ Titan’s highly experienced Peruvian operations team accelerated project development in 2018 ▪ Infrastructure and key personnel well equipped to expand gold production over
Slide 11: The Dynasty Gold District
THE DYNASTY GOLD DISTRICT INVESTOR PRESENTATION | FEBRUARY 2019 PAGE 10
Slide 12: Dynasty Goldfield
DYNASTY GOLDFIELD The Dynasty Gold District has a robust exploration portfolio to execute a near-term drill program ▪ Located 15km from Pan American Highway ▪ 30km2 of high grade Au-Ag quartz veins and stockworks ▪ First open pit gold mine permitted for production in Ecuador ▪ Cerro Verde small scal
Slide 13: Dynasty Goldfield: A High Grade Open Pit Gold Project
DYNASTY GOLDFIELD: A HIGH GRADE OPEN PIT GOLD PROJECT DGF Ranks Highly Among High Grade Open Pit Gold Projects Globally Select High Grade Open Pit Gold Projects (Global Comparison)(1)(2) 9.0 7.9 7.8 8.0 7.5 Dynasty Goldfield 7.0 6.2 6.1 5.9 M&I Grade (Au g/t) 6.0 5.2 5.0 5.0 4.8 4.7 4.6 4.6 4.6 4.1
Slide 14: Linderos
LINDEROS High grade gold at-surface mineralization discovery ▪ Located SW in the Province of Loja, near the Peru border, included in a block of four contiguous concessions totaling 14,317 hectares ▪ Results of 2018 drilling campaign include the following select intervals(1): ▪ 5.94 m @ 10.78 g/t Au
Slide 15: Copper Duke
COPPER DUKE ▪ 13 contiguous concessions totalling ~13,000 ha ▪ Environmental License (drilling permit) received (1) ▪ Two styles of mineralization: (1) porphyry copper-gold associated with hornblende porphyry, and (2) epithermal- mesothermal gold bearing quartz magnetite vein system ▪ Large gold/cop
Slide 16: Production Assets
PRODUCTION ASSETS Portovelo Mill & Plant (Ecuador) ▪ Largest fully permitted Carbon-in-Pulp (“CIP”) plant currently operating in Ecuador ▪ Nameplate capacity of 2,000 tpd ▪ Plant optimization work scheduled for 2019 provides for potential increase in throughput and recoveries ▪ Processes all materia
Slide 17: Peru Exploration Projects
PERU EXPLORATION PROJECTS Torrecillas Gold Project Las Antas Gold Project ▪ Advanced gold exploration project, located 150km ▪ Early stage gold exploration project, located 80km east southeast of the Vista Gold Plant of the Vista Gold Plant ▪ Four zones are prioritised for follow-up exploration ▪ Po
Slide 18: Next Steps – Go Forward Plan
NEXT STEPS – GO FORWARD PLAN EXPLORATION Drilling at DGF Geophysical, Geochem Surveys Drilling at Linderos, Copper Duke, Step-out Drilling at DGF Las Antas ▪ Commence delineation ▪ Complete airborne surveys on ▪ Commence exploration drill program DGF, Copper Duke and Linderos ▪ Maiden drill tests at
Slide 19: Ecuador: A New Mining Era
ECUADOR: A NEW MINING ERA Country Overview Compelling Mining Investment Rationale ▪ Located at the “hinge” of the Andes between mineral- No gold export Friendly Mining Stable mining Underexplored Ministry & vs. Peru or rich Peru and Colombia restrictions laws Government Colombia ▪ Since 2015, Ecuado
Slide 20: Dynasty Goldfield – Resource Summary (October 22, 2014)
DYNASTY GOLDFIELD – RESOURCE SUMMARY (OCTOBER 22, 2014) GOLD MEASURED AND INDICATED MINERAL RESOURCES SILVER MEASURED AND INDICATED MINERAL RESOURCES Grade Contained Grade Contained Tonnes Gold Gold Tonnes Silver Silver (t) (g/t) (oz) (t) (g/t) (oz) Measured 2,909,000 4.7 437,000 Measured 2,909,000
Slide 21: NI 43-101 and Qualified Persons Statements
NI 43-101 AND QUALIFED PERSONS STATEMENTS Core’s “Qualified Person” is Mr. John E. Bolanos, a “Qualified Person” under NI 43-101, has reviewed and approved the technical content of this presentation. Mr. Bolanos is a technical consultant to the Company, with a M.Sc. Mining Geologist from Camborne Sc
Slide 22: ASX, JORC 2012 and Competent Person's Disclosures
ASX, JORC 2012 AND COMPETENT PERSON’S DISCLOSURES (COMPETENT PERSON’S STATEMENT) The information in this presentation that relates to Exploration Results of Titan is based on information compiled by Mr. Travis Schwertfeger, who is a Member of The Australian Institute of Geoscientists. Mr. Schwertfeg
Slide 23: Appendix: Footnotes
APPENDIX: FOOTNOTES TRANSACTION HIGHLIGHTS PEER COMPARABLES Source: Bloomberg. Assumes FX rates of AUD:CAD of 1.07, USD:AUD of 1.40, USD:CAD of 1.31 Source: Bloomberg, Thomas Eikon. Assumes FX rates of AUD:CAD of 1.07, USD:AUD of 1.40, USD:CAD of 1.31 (1) Based on Galaxy and Dundee Precious Metals’
Slide 24: Contact Us
CONTACT US Matthew Carr Sam Wong Executive Chairman, Titan Minerals Chief Financial Officer, Core Gold info@titanminerals.com.au swong@coregoldinc.com www.titanminerals.com.au www.coregoldinc.com
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