Austral Gold Limited · ASX:AGD
Austral Gold — Investor Presentation (June 2021)
28 slides from Austral Gold's investor presentation, Jun 1, 2021
Slide 1: Austral Gold: Investing in Growth
For personal use only AUSTRAL GOLD INVESTING IN GROWTH June 2021 1
Slide 2: Disclaimer
Disclaimer For personal use only This presentation contains information about Austral Gold Limited ("Austral Gold") and Austral Gold's properties that have been extracted from more comprehensive documents. The information contained in this presentation is given in summary form and is qualified in it
Slide 3: Gold Industry Opportunity
Gold Industry Opportunity For personal use only Record printing of US dollar Lack of big new gold discoveries Peak gold production multiples of discovery rate Is Crypto a real competitor as a safe haven? AUSTRAL GOLD STRATEGY UPDATE 3
Slide 4: Austral Gold – Investment Thesis
Austral Gold – Investment Thesis For personal use only Track-record of low Focused on stable Experienced board and gold production costs jurisdictions (Americas) management Organic growth Targeting Superior Trading at 2 times strategy focused on dividend yield FY20 Adjusted EBITDA Tier 1 or 2 gold
Slide 5: Building a High Growth, Low-Cost Precious Metals Producer in the Americas
Building a High Growth, Low-Cost Precious Metals Producer in the Americas For personal use only Rawhide Mine (24.4%) Mercur Project (19.9%) Production Exploration Mercur Project Rawhide Mine Utah, U.S. Fallon Nevada, U.S. Guanaco/Amancaya Mine Complex (100%) Production Casposo Mine (100%) Care & Mai
Slide 6: Consistent low-cost gold production in Chile
Consistent low-cost gold production in Chile For personal use only Gold Equivalent Production (oz)* 67.005 61.271 51.365 51.088 55.190 46.888 44.518 45.000 - 37.096 50.000 2013 2014 2015 2016 2017 2018 2019 2020 2021 Guidance C1 and AISC (US$/GEO)* 1.241 946 1.021 850 - 1100 846 871 899 791 672 1.05
Slide 7: Cash Cost Curve 2020
Cash Cost Curve 2020* For personal use only 2.500 2.000 GOLD PRICE** Cash Cost (US$/oz) 1.500 136% 1.000 margin AUSTRAL GOLD *** 500 0 * Source: S&P Global ** Gold Price as of March 31, 2021 *** US$723/oz Cash Cost (Austral Gold 2020 Annual Report) AUSTRAL GOLD STRATEGY UPDATE 7
Slide 8: Strong Management & Technical Team and Experienced Board of Directors
Strong Management & Technical Team and Experienced Board of Directors use only Stabro Kasaneva, Rodrigo Ramirez, Raúl Guerra José Bordogna, For personalManagement BSc, CEO & Executive Director B. Min. Eng., VP of Operations BSc, VP of Exploration B.Acc., Msc Fin., M.Intl.Bus., CFO • CEO at Austral G
Slide 9: Austral Gold's growth strategy
Austral Gold’s growth strategy For personal use only Expand the Guanaco Operation Tier 1 or 2 exploration strategy Restart the Casposo mine Expanding the Pinguino-Sierra Blanca opportunity Strategic partnerships AUSTRAL GOLD STRATEGY UPDATE 9
Slide 10: Expand the Guanaco Operation
Expand the Guanaco Operation For personal use only Amancaya Mine Upside at depth and new veins Develop Expand production 5-year from 50K oz Au reserve life per year Guanaco UG Mine Upside • Perseverancia 2021 2023 • Dumbo – Chilena • Cachinalito – Los Nanos • Cerro Guanaquito 2022 Inesperada Mine De
Slide 11: Guanaco & Amancaya Complex
Guanaco & Amancaya Complex For personal use only 1 Strategic location (220km from Antofagasta, Chile) with + 70K hectares of mining property Guanaco, high-sulphidation 2 epithermal deposit, and Amancaya a low sulphidation epithermal deposit, both hosted in the Paleocene/Eocene Belt - 1,500 tpd milli
Slide 12: Amancaya Mine – Upside in Depth
Amancaya Mine – Upside in Depth Norte, Central & Sur Veins – Au Longitudinal Section For personal use only 7.29 g/t Au & 30.12 g/t Ag 1,25 m AUSTRAL GOLD STRATEGY UPDATE 12
Slide 13: Amancaya Mine – Upside in New Veins
Amancaya Mine – Upside in New Veins Exploring Breccia Ore Control For personal use only for Mineralization AUSTRAL GOLD STRATEGY UPDATE 13
Slide 14: Guanaco Mine: Looking for Upside & Impacting the LOM
Guanaco Mine Looking for Upside & For personal use only Impacting the LOM Dumbo Define the remnant resources under the open pit (OP) and drill the control of a diatreme breccia in the footwall of a growth fault Chilena Follow-up drilling on historical corridor of high-grade intercepts without prior
Slide 15: Guanaco Mine: Looking for Upside & Testing New Ore Control
Guanaco Mine Looking for Upside & Testing New Ore Control For personal use only Dumbo Chilena AUSTRAL GOLD STRATEGY UPDATE 15
Slide 16: Inesperada Mine Exploration Potential
Inesperada Mine Exploration Potential For personal use only Looking to the north Phreatomagmatic breccia controlling Au oxide mineralization Internal Block model inventory defined further potential Exploration potential related to footwall block of NS fault AUSTRAL GOLD STRATEGY UPDATE 16
Slide 17: Tier 1 or 2 Exploration Strategy – Chile Paleocene Belt
Tier 1or 2 Exploration Strategy – Chile Paleocene Belt For personal use only Guanaco District: Sierra Inesperada “Multiple Tier 2 HS Drilling Targets” Pampa Buenos Aires: C° Buenos Aires “New Paleocene HS System in Delineation” Amancaya District: Rosario del Alto “New HS System related to Amancaya E
Slide 18: Sierra Inesperada
Sierra Inesperada Ines For personal use only 4-6 km high sulfidation system adjacent to Carla Guanaco Inesperada Mine, an Purisima old gold mine, being rediscovered Mina Maar diatreme complex with 7 Abraham mapped diatremes Drillhole executed Drillhole planned Major reverse fault Fault Drilling unde
Slide 19: Cerro Buenos Aires
Cerro Buenos Aires New potential Paleocene For personal use only HS System Footprint of 5x3 km of Aster anomaly - HS alteration system Five phreatomagmatic breccia complexes controlling favorable alteration Pathfinder anomaly and resistivity anomalies related to breccia centers Ar-Ar radiometric age
Slide 20: Rosario del Alto
Rosario del Alto New HS System in For personal use only Amancaya District A series of maar-diatreme systems aligned in NW-SE orientation Crater fill facies at surface, indicating a high degree of preservation Intense alunite signal in ASTER is distributed around the cluster of phreatomagmatic center
Slide 21: Restart the new Casposo – Manantiales (San Juan, Argentina)
Restart the new Casposo – Manantiales (San Juan, Argentina) For personal use only District targeting and ranking completed. Drill program started in April 2021 Manantiales ore shoots C° Amarillo New Target Area continuity and potential south extension to be tested Follow-up drilling program aimed at
Slide 22: Casposo Facilities
2 3 Casposo Facilities For personal use only 1 On Care & Maintenance since 2019 1,500 tpd crushing circuit 2 to agitation leach and Merril-Crowe processing plant 4 5 3 Historical 2010-2019 production of 529,861 gold-equivalent ounces 4 Camp facilities 21km from mine site 5 +70K hectares of land plus
Slide 23: Expanding the Pinguino – Sierra Blanca Opportunity
Expanding the Pinguino – Sierra Blanca Opportunity For personal use only (Santa Cruz, Argentina) Pinguino is located 50 km NW of C° Vanguradia at the same structural corridor Sierra Blanca consolidation increases potential for the district Gold vectoring confirm exploration potential towards Chon Ai
Slide 24: Strategic partnerships
Strategic partnerships For personal use only Invest with partners to find large tier 1 and 2 gold deposits that 1 the industry will require to meet forecasted demand in the next 5 years • Ensign Gold Inc. Ensign Gold Inc. Rawhide Mine LLC • Rawhide Mine LLC Invest with partners to discover large Cu-
Slide 25: Favorable metrics
Favorable metrics For personal use only Austral Gold trades at a large (>60%) discount to other junior gold producers on an EV/EBITDA basis Comparable Company Analysis Target Dividend Yield (%) Ev/Ebitda (2021e) Multiple Austral Gold (target) Industry Average 0,0% 2,0% 4,0% Source: Pricing data and
Slide 26: Austral Gold – investment thesis
Austral Gold – investment thesis For personal use only Track-record of low Focused on stable Experienced board and gold production costs jurisdictions (Americas) management Unique organic Superior Trading at 2 times growth strategy dividend yield FY20 Adjusted EBITDA focused on Tier 1 or 2 gold de
Slide 27: Share Performance: Shareholder Information
Share Performance Appendices: Shareholder Information For personal use only Sound cash generation Low financial debt and and profitability margins healthy liquidity ratios Share Ownership Exchange/Symbol ASX: AGD, TSX-V:AGLD Retail Share Price (30 April 2021) A$0.18 (C$0.165) Shareholders 52 Week Tr
Slide 28: Austral Gold: Investing in Growth
For personal use only AUSTRAL GOLD INVESTING IN GROWTH 28