Equinox Gold Corp. · AMEX:EQX
Equinox Gold — Investor Presentation (October 2020)
33 slides from Equinox Gold's investor presentation, October 2020
Slide 1: The Premier Americas Gold Producer
equinoxgold.com The Premier Americas Gold Producer CORPORATE PRESENTATION October 2020
Slide 2: Cautionary Statements
Cautionary Statements Forward-looking Statements This presentation contains certain forward-looking information and forward-looking statements within management's views as of that time with respect to future events and speak only as of the date the meaning of applicable securities legislation and ma
Slide 3: The Premier Americas Gold Producer
The Premier Americas Gold Producer 7 3 Castle Mountain Phase 1 & 2 Producing Growth UNITED STATES Mines Projects Mesquite MEXICO Aurizona 12.3 Moz 22.5 Moz P&P Gold M&I Gold Reserves Resources1 Santa Luz Los Filos / Expansion Pilar BRAZIL ~500 Koz ~$1,000/oz Gold Production All-in-Sustaining in 2020
Slide 4: Peer-leading Growth per Share
Peer-leading Growth per Share Rapid growth through asset development and accretive M&A Gold Production (000 oz) Mineral Reserves (Moz Gold) Cash from Ops Before Changes in Working Capital ($M) 12.7 + 1,850% 500 + 125% + 660% $84 5.7 26 $8 2018 2020 E 2018 2020 E 2018 H1 2020 2020 E Production oz / 1
Slide 5: Peer-leading Capital Markets Growth
Peer-leading Capital Markets Growth Nearly C$70 M recent daily trading liquidity Capital Markets Growth Broadened Shareholder Base $5,000 $70 Avg. Market Cap Avg. Daily Trading Value $60 8% 0.5% $4,000 18% Avg. Daily Trading Value (C$M)1 7% Avg. Market Cap (C$M)1 $50 $3,000 $40 17% $2,000 $30 49% $1
Slide 6: Peer-leading Fully-funded Growth Pipeline
Peer-leading Fully-funded Growth Pipeline Fully funded organic growth towards 1 Moz annual production -25% -15% -5% 5% 15% 25% 1,200,000 Equinox Equinox Gold Regis Castle Mtn – Phase 1 Annual Gold Production (oz) Alamos 1,000,000 Evolution Los Filos – Expansion Northern Star Santa Luz – Restart Eldo
Slide 7: Los Filos: Expansion Project Underway
Los Filos: Expansion Project Underway Current Expansion ~180,000 oz/yr 350,000+ oz/yr Production Avg. annual production 3.2 Moz life-of-mine production2 • 4.5 Moz Reserves with upside • Expansion project underway • Open-pit and underground mining - Additional open-pit and • Heap leach processing und
Slide 8: Aurizona: Potential for Expansion and Mine Life Extension
Aurizona: Potential for Expansion and Mine Life Extension Current Expansion 120-130,000 oz Upside Potential 2020 production1 Mine life, production, underground • ~1 Moz Reserves with upside • Near-mine extension along strike • Replaced 2019 mining depletion • Regional targets • New Tatajuba resource
Slide 9: Mesquite: Outperforming Expectations
Mesquite: Outperforming Expectations Current Extension 130-140,000 oz Upside Potential 2020 production1 Historical dumps, new deposits • Open-pit heap leach since 1985 • Significant ore-grade oxide material • Replacing mining depletion with remaining in historical dumps exploration success and stack
Slide 10: Castle Mountain: Long-life Low-Cost Mine
Castle Mountain: Long-life Low-Cost Mine 3.6 Moz gold reserves, average AISC ~$763/oz over initial 16-year mine life1 Phase 1 Phase 2 ~45,000 oz ~200,000 oz Avg. annual production1 Avg. annual production1 • First gold pour October 15, 2020 • Phase 2 feasibility targeted for end of 2020 • Phase 1 min
Slide 11: Santa Luz: Restart Plan
Santa Luz: Restart Plan1 11-yr Mine Life Restart Plan <$100 M Capex • Past-producing mine with permits in place • Refurbish and retrofit existing infrastructure 1.3 Moz • Early works underway • Updated capex and economics in Q4 2020 Gold Reserves • Upside potential on surface and underground ~100,00
Slide 12: Other Assets in the Americas
Other Assets in the Americas Fazenda (Brazil) • Avg. 75,000 oz/year gold, operating since 1990s • 2020 guidance: 50-55,000 oz at AISC of $925-$975/oz1,2 • Primarily underground operation with some small open pits • Consistent reserve replacement with exploration success • District potential with San
Slide 13: Strong Balance Sheet
Strong Balance Sheet Capital Structure at June 30, 2020 Cash & Equivalents1 $300 M $300 M Cash on Hand Potential Proceeds from ITM Warrants2 $200 M Undrawn from Revolving Credit Facility $200 M Drawn from Revolving Credit Facility $200 M $200 M Undrawn Revolver Amortizing Credit Facility – fully dra
Slide 14: Aligned with Shareholders
Aligned with Shareholders Insider Ownership1 Incentive to Outperform Endeavour Mining 24.1% Equinox Gold Equinox 8.5% Performance B2Gold 1.8% Bonus Stock Units 30% 20% Evolution 1.0% Northern Star 0.9% CEO Pay IAMGOLD 0.7% Structure Restricted OceanaGold 0.7% Stock Units 20% Torex 0.6% Eldorado 0.5%
Slide 15: Compelling Valuation
Compelling Valuation 2021E Au Production (koz) EV/AuEq Resources ($/oz) Consensus P/NAV 0 400 800 1,200 $0 $100 $200 $300 $400 0.5x 1.0x 1.5x Endeavour Mining B2Gold Evolution Northern Star Saracen B2Gold Sibanye-Stillwater Northern Star Yamana Senior Average B2Gold Evolution Saracen Yamana Regis No
Slide 16: Enhanced Scale Creates Re-rate Opportunity
Enhanced Scale Creates Re-rate Opportunity Potential for further re-rate as production continues to grow 2.00x Market cap: US$1 B Kirkland Lake 1.75x Evolution B2Gold 1.50x Yamana Northern Saracen Star Pretium 1.25x Regis Centerra P / NAV (ratio) Endeavour SSR Mining Mining 1.00x St Barbara Equinox
Slide 17: Fully Funded for Growth: 2020 Catalysts
Fully Funded for Growth 2020 Catalysts Operations & • Los Filos expansion and CIL construction start Development • Santa Luz construction start Castle Mountain Phase 1 gold pour • Castle Mountain Phase 2 feasibility study • Commence Aurizona underground prefeasibility study Exploration • Extend mi
Slide 18: Appendix
Appendix 18
Slide 19: Equinox Gold: Corporate Summary
Equinox Gold: Corporate Summary Common Shares 1 241.1 M Fully Diluted Shares 4 310.6 M Listed Warrants @ C$15.00 2 16.1 M Avg. Daily Trading Value 5 ~ C$22.6 M + US$14.1 M Unlisted Warrants @ avg C$8.84 1,2 3.3 M Cash / Net Debt 6 $494 M / $244 M Options @ avg C$6.80 1,2 3.7 M Convertible Notes @ av
Slide 20: Updated 2020 Production and Cost Guidance
Updated 2020 Production and Cost Guidance 1 Guidance updated to reflect strong performance at Mesquite and Aurizona, lower production at Los Filos related to COVID-19 restrictions4, and strong first half cost performance across the mines Production AISC2,3 Sustaining Expansion (oz) ($/oz) Capital1 C
Slide 21: Comparative Quarterly Highlights
Comparative Quarterly Highlights Three months ended June 30, March 31, December 31, Operating data Units 20202 20202 2019 Gold produced oz 127,016 88,951 80,176 Gold sold oz 125,824 82,629 80,330 Realized gold price $/oz 1,712 1,574 1,482 Mine AISC per oz sold (1,2) $/oz 900 968 848 Financial data R
Slide 22: COVID-19 Response
COVID-19 Response Protecting our workforce, our communities and our business Test – Trace – Isolate Health & Safety Business Continuity Workforce Support Travel restrictions Government engagement Regular communication Remote work policies Contingency plan with suppliers Job protection Restrictions t
Slide 23: Committed to Continuous Improvement and Responsible Mining
Committed to Continuous Improvement and Responsible Mining Environment Social Governance Equinox Gold is a signatory to Aurizona received Excellence in Insiders have personally the International Cyanide Mining & Metallurgy Industry invested to own ~9% of Management Code; Mesquite award in 2018 and 2
Slide 24: Los Filos: Expansion Project Underway
Los Filos: Expansion Project Underway GUADALUPE OPEN PIT 9 years 34.5 Mt at 1.37 g/t; 1.520 Moz1 BERMEJAL OPEN PIT 5 years 34.6 Mt at 0.57 g/t; 0.631 Moz1 BERMEJAL UNDERGROUND 9 years 6.4 Mt at 6.57 g/t; 1.348 Moz1 Uncrushed Offices & Leach Pad #1 Workshops LOS FILOS OPEN PIT Crush 7 years Crusher L
Slide 25: Aurizona: Mine Life Extension Along Strike
Aurizona: Mine Life Extension Along Strike PIABA NORTH TREND Tatajuba grades similar GENIPAPO MESTRE or higher than Piaba: CHICO • 13.74 g/t Au/ 35 m • 2.71 g/t Au/ 56 m PIABA MICOTE • 2.47 g/t Au/ 69 m • 1.42 g/t Au/ 34 m • 1.14 g/t Au/ 120 m TATAJUBA BOA High-grade near-surface PIABA TREND ESPERAN
Slide 26: Aurizona: PEA Results for Underground Mine
Aurizona: PEA Results for Underground Mine1 Potential to increase production and extend mine life 741 Koz $925/oz GOLD PRODUCTION ALL-IN-SUSTAINING COSTS2 $228 M 38% IRR NPV5% at $1,620/oz At $1,620/oz 2.8 g/t 2,800 t/d AVG. GOLD GRADE UNDERGROUND MILL FEED $70 M $1.2 B INITIAL CAPEX REVENUE at $1,6
Slide 27: Aurizona: District-scale Potential on EQX Land Package
Aurizona: District-scale Potential on EQX Land Package Numerous regional targets within ~1,100 km2 land package 27
Slide 28: Castle Mountain: Easy Site Access in Safe Jurisdiction
Castle Mountain: Easy Site Access in Safe Jurisdiction Castle Mountain Mesquite 28
Slide 29: Proven & Probable Mineral Reserves
Proven & Probable Mineral Reserves Proven Probable Proven and Probable Mine/Project Tonnes Grade Contained Tonnes Grade Contained Tonnes Grade Contained (kt) (g/t) gold (koz) (kt) (g/t) gold (koz) (kt) (g/t) gold (koz) Aurizona 12,399 1.51 600 7,379 1.51 358 19,778 1.51 958 Castle Mountain 136,611 0
Slide 30: Measured & Indicated Mineral Resources
Measured & Indicated Mineral Resources Measured Indicated Measured and Indicated Mine Tonnes Grade Contained Tonnes Grade Contained Tonnes Grade Contained (kt) (g/t) gold (koz) (kt) (g/t) gold (koz) (kt) (g/t) gold (koz) Aurizona 14,264 1.52 697 20,066 1.7 1,097 34,330 1.62 1,793 Castle Mountain 160
Slide 31: Inferred Mineral Resources
Inferred Mineral Resources Contained Gold Mine Tonnes (kt) Grade (g/t) (koz) Aurizona 17,267 1.98 1,100 Castle Mountain 171,395 0.40 2,210 Mesquite 73,980 0.32 752 Los Filos 98,204 0.83 2,633 RDM 8,305 1.50 401 Fazenda 6,040 2.45 476 Pilar 20,399 3.21 2,108 Santa Luz 7,700 2.02 501 Total Inferred 40
Slide 32: Technical Disclosure
Technical Disclosure National Instrument 43-101 Unless otherwise stated, scientific and technical information concerning the Castle Mountain Project is summarized, derived, or extracted from the “NI 43-101 Technical Unless otherwise stated, scientific and technical information concerning the Los Fil
Slide 33: ir@equinoxgold.com www.equinoxgold.com
+1 604.558.0560 ir@equinoxgold.com www.equinoxgold.com TSX: EQX | NYSE-A: 33 EQX