Surge Copper Corp. · TSXV:SURG
Surge Copper — Investor Presentation (April 2021)
23 slides from Surge Copper's investor presentation, April 2021
Slide 1: Advanced Copper Deposits in Central British Columbia
Advanced Copper Deposits in Central British Columbia TSXV:SURG April 2021 0
Slide 2: Disclaimer
Disclaimer This presentation (“Presentation”) is being issued by Surge Copper Corp. (the “Company” or “Surge Copper”) for information purposes only. Cautionary Statements Concerning Forward-Looking Statements This Presentation contains "forward-looking information" within the meaning of applicable C
Slide 3: Investment Highlights
Investment Highlights E NTREPRENEURIAL TEAM ADVANCING SIGNIFICANT C U -A U -M O -A G RESOURCE BASE IN C ENTRAL BC Established Significant Discovery Year-Round Experienced Mining District Resource Base Potential Drilling Team • Located adjacent to • Ootsa: 224 Mt grading • Target-rich • High-producti
Slide 4: Our Assets
Our Assets S URGE CONTROLS A DOMINANT LAND POSITION IN THE H UCKLEBERRY DISTRICT Key Competitive Advantages Berg perating Copper Option to earn 70% ines ✓Large resource base Copper ines on Care aintenan e ✓Located near infrastructure 610Mt @ 0.41% CuEq, Population Centres containing: ✓Multiple devel
Slide 5: Capitalization
Capitalization A LL EQUITY CAP STRUCTURE | F ULLY FUNDED FOR CURRENT PROGRAM Equity Capitalization Shareholder Breakdown Basic Shares Outstanding 133.2M 17.0% Management & Board Market Cap $59.9M Close Associates Centerra Gold 15.1% Cash $6.2M 0.6% Altius Minerals 55.7% 6.4% Institutions 5.3% Enterp
Slide 6: Significant Grade Advantage
Significant Grade Advantage O OTSA & B ERG GRADES COMPARE WELL TO OPEN - PIT OPERATIONS IN BC Copper Gold Moly Silver Operating Advantages Reserve Grade Contribution M&I Resource Grade Contribution M&I Cont. Operating Copper Mines in BC Ootsa Project Berg 0.70% ✓Excellent infrastructure and gentle 0
Slide 7: Ootsa Project
Ootsa Project T HREE PORPHYRY COPPER DEPOSITS | T OTAL M&I R ESOURCES OF 224M T @ 0.44% C U E Q 1 Favourable Location – Central B.C. Interior • The deposits at Ootsa are favourably lo ate a a ent to Imperial etals’ u leberry ine ill omplex • The project area has gentle rolling topography, a mild cli
Slide 8: Current Drill Program
Current Drill Program E XPANDING W EST S EEL | T ESTING NEARBY TARGETS Focused on Expansion • Additional drilling outside current resource area has potential to significantly increase tonnage • Target is large pit that captures the deeper high-grade at West Seel • Potential to expand higher grade an
Slide 9: Expanding West Seel
Expanding West Seel L ARGE , CONTINUOUS ZONE | M INERALIZATION FROM TOP OF BEDROCK | O PEN IN MULTIPLE DIRECTIONS S20-219 S21-228 Recent Results - 0.42% CuEq1 over 1,013m - Including 0.60% CuEq1 over 422m - 0.57% CuEq1 over 585m - Including 0.68% CuEq1 over 164m - Longest continuously mineralized ho
Slide 10: Ootsa 2016 PEA
Ootsa 2016 PEA P ROOF OF CONCEPT | P OTENTIAL FOR HIGH RETURNS LEVERAGING DISTRICT INFRASTRUCTURE | S IGNIFICANT UPSIDE POTENTIAL Overview NPV C$mm $186 IRR % 81% • In 2016, Surge conducted a Preliminary Economic Assessment1 to Payback Mine Life years years 1.0 12 outline the concept of a low-capita
Slide 11: Berg Project
Berg Project M&I R ESOURCES OF 610M T @ 0.41% C U E Q 1 | L ARGE LAND PACKAGE CONTIGUOUS WITH O OTSA High Potential Exploration in Close Proximity to Ootsa Project Looking East Huckleberry Mine & Mill Complex Ootsa Deposits - 20ktpd Mill Capacity Combined M&I: 224.2 Mt @ 0.44% CuEq - On Care & Maint
Slide 12: Berg – Deposit with High-Grade Potential
Berg – Deposit with High-Grade Potential A UNIQUE BC PORPHYRY DEPOSIT | N EAR - SURFACE , HIGH - GRADE ZONES Highlights • Near-surface & high-grade zones: potentially amenable to low strip, early sequence mining • Notable compared to other BC porphyries due to the significant supergene enrichment zo
Slide 13: Berg Exploration
Berg Exploration L ARGE DEPOSIT | H IGH - GRADE ZONES | N UMEROUS REGIONAL TARGETS Value-Added Work Program • Surge’s initial or program to fo us on: − Confirming and updating the resource − Upgrading access infrastructure to allow long-term, low-cost exploration − Reassaying existing drill core and
Slide 14: First Nation Involvement
First Nation Involvement S URGE ’ S EXPLORATION PROGRAMS AND WORK FORCE HAVE BENEFITED IMMENSELY FROM F IRST N ATION SUPPORT & PARTICIPATION Our Approach Cheslatta Carrier Nation members have been regularly employed at the Ootsa Project, providing exploration • Open communication and engagement rega
Slide 15: ESG a Driver of Long-Term Value Creation
ESG a Driver of Long-Term Value Creation I NCREASED FOCUS ON ESG RESPONSIBILITIES , OPPORTUNITIES , AND BEST PRACTICES Environmental Social Governance • Focused on project design • Field operations governed by up-to- • Oversight responsibility from opportunities to minimize carbon date policies incl
Slide 16: Surge Strategy
Surge Strategy D EMONSTRATING THE ECONOMIC POTENTIAL OF THE O OTSA & B ERG PROJECTS Near Term Priorities ✓Aggressive exploration to expand West Seel and test other high priority targets ✓Reactivate exploration activity at Berg ✓Update resources at Ootsa & Berg ✓Initiate economic study on combined Oo
Slide 17: Appendices
Appendices 16
Slide 18: Attractive Market Position
Attractive Market Position S URGE C OPPER IS POSITIONED TO BENEFIT FROM STRONG TAILWINDS Copper Market Size Copper mine project pipeline ✓ Limited inventory Indexed: 2001 = 100 Copper is the Urbanization and 1 quintessential infrastructure investment of shovel-ready Copper: electric metal and 60.1 M
Slide 19: Management & Board
Management & Board H IGHLY EXPERIENCED TEAM | T RACK RECORD OF SUCCESS IN DISCOVERY , CAPITAL RAISING , AND M&A Management Team Board of Directors Leif Nilsson | Chief Executive Officer Pat Glazier | Board Chair Mining industry professional and former investment banker with15-year track record. Exte
Slide 20: Berg Option Agreement
Berg Option Agreement S UMMARY OF KEY TERMS • Definitive Option Agreement with Thompson Creek Metals Company Inc., a subsidiary of Centerra Gold Inc. Option Agreement • Option to acquire a 70% interest in the Berg property • Five year option period • Initial grant to Centerra of $4 million in Surge
Slide 21: Ootsa Mineral Resources (2016)
Ootsa Mineral Resources (2016)1 P IT - CONSTRAINED USING $8.50/ T NSR CUT - OFF Grade Gross Contained Metal Tonnage Copper Gold Moly Silver CuEq Copper Gold Moly Silver CuEq (Mlbs (Mt) (% Cu) (g/t Au) (% Mo) (g/t Ag) (% CuEq) (Mlbs Cu) (Moz Au) (Mlbs Mo) (Moz Ag) CuEq) Ox Deposit Measured 30.5 0.26%
Slide 22: Berg Mineral Resources (2021)
Berg Mineral Resources (2021)1 P IT - CONSTRAINED USING 0.20% C U E Q CUT - OFF Grade Gross Contained Metal Tonnage Copper Moly Silver CuEq Copper Moly Silver CuEq (Mt) (% Cu) (% Mo) (g/t Ag) (% CuEq) (Mlbs Cu) (Mlbs Mo) (Moz Ag) (Mlbs CuEq) Supergene Measured 86.9 0.41% 0.027% 2.5 0.53% 789.2 51.7
Slide 23: End Notes
End Notes ✦ Ex ept ere spe ifie , all o urren es of opper equivalent (“CuEq”) are al ulate on a gross in-situ basis, with no adjustments made for recovery, using the following pricing assumptions for copper equivalency: $3.00/lb Cu, $1,700/oz Au, $10/lb Mo, $22/oz Ag. ✧ Mineral resources are not min