Karus Mining Inc. · CSE:KARU
Karus Mining — Karus Gold — Merger or Acquisition (February 2023)
30 slides from Karus Mining's merger presentation, February 2023
Slide 1: Kenadyr's Proposed Takeover of Karus Gold
F E B R U A RY 2 0 2 3 J n u a r y, 2 0 2 2 KENADYR’S PROPOSED TAKEOVER OF KARUS GOLD A NEW BEGINNING FOR HIGH-GRADE IN BC’S CARIBOO GOLD DISTRICT REDISCOVERING BC’S CARIBOO GOLD DISTRICT karusgold.com
Slide 2: Forward Looking Statements
2 Forward Looking Statements This presentation contains “forward-looking statements”, within the meaning of Section 27A of the United States expectations are based upon reasonable assumptions and has attempted to identify important factors that could Securities Act of 1933, as amended, Section 21E o
Slide 3: Rediscovering BC's Cariboo Gold District
3 R E D I S C O V E R I N G B C ’s C A R I B O O G O L D KARUS GOLD DISTRICT • Cariboo Gold district re-emerging as top destination for gold exploration Advancing a high-grade gold DISTRICT SCALE LAND POSITION discovery in the Cariboo Gold • 1,000 km square of claims, second largest after Osisko Dev
Slide 4: Proposed Transaction
4 Proposed Transaction • RTO of Karus Gold into Kenadyr - New management team - TSX-V listing opens access to capital (e.g. flow-through financings) - New investor audience - Refreshed Board of Directors • Kenadyr carried into transaction for 5.2% • C$2 M equity placement to fund initial re-launch o
Slide 5: Capital Structure - Proposed
5 Capital Structure - Proposed SHARE STRUCTURE * Ownership* Issued & Outstanding 41.6 M Karus shareholders Options 4.1 M 66% Fully Diluted 45.7 M Market Capitalization * Kenadyr Share price C$ 0.50 Yamana shareholders Eric Sprott 5% 5% 24% Market cap C$ 20.8M *all data as per LOI signed November 14,
Slide 6: Experienced Leadership - Proposed
6 Experienced Leadership - Proposed 6 EXPERIENCE ROLES CEO & Director Previous institutional investor ranked metals-mining equity analyst, founded EEMA Mining 25 YEARS TIM MCCUTHEON in Finance and Mining investment fund, junior mining company turn-around specialist, previous CEO at Ovoca Gold PLC, A
Slide 7: Karus Gold Dominates the South Cariboo
7 OSISKO Karus Gold Dominates the DEVELOPMENT CORP South Cariboo • Dominant 1,000 km1 claim position - 110 km of Eureka Thrust Trend associated with gold mineralization G O L D C R E E K • Hosts advanced FG Gold, Gold Creek plus multiple gold occurrences Spanish Imperial Mountain Metals Gold • Carib
Slide 8: Cariboo Renaissance
8 Cariboo Renaissance Osisko Development (ODV) 1 Cariboo (formerly Barkerville) M&I: 2.9Moz @ 4.7 g/t Inf: 2.5Moz @ 4.0 g/t Production Plan: 185 koz/yr (2023 target) Osisko Dev Corp Leading Re -emer gence OSISKO DEVELOPMENT CORP • Infrastructure, roads and labour • Placer gold mining activity in reg
Slide 9: FG GOLD Project
9 FG GOLD Project OSISKO DEVELOPMENT CORP A D VA N C E D L A R G E S C A L E O R O G E N I C G O L D DEPOSIT • Historical gold resource1,2 • Drill programs have expanded the footprint of gold mineralization 330m down dip G O L D C R E E K • Core 3.6 km of mineralized trend open at Spanish Imperial d
Slide 10: FG GOLD Project
10 FG GOLD Project L A RG E S C A L E G O L D E X P L O R AT I O N • 20 km prospective trend (orange / red) - Open downdip over regional scale - SW limb, Kusk and South Zones underexplored (orange) • Historical drilling1 has already outlined gold potential • Drilled as bulk disseminated deposit; it
Slide 11: FG GOLD Project: Multiple Gold Vein Corridors
11 FG GOLD Project MULTIPLE GOLD VEIN CORRIDORS • Repeating high-grade gold vein corridors • Past drill programs proved continuity – 7,140 meters in 18 holes • 700 meters defined along strike and open for further extensions • Deposit model suggest that deeper drilling will identify additional vein c
Slide 12: FG GOLD Project: New Ideas Are Driving
12 FG GOLD Project NEW IDEAS ARE DRIVING…. • Two high-grade vein corridors identified downdip from historical drilling • A third high-grade gold corridor identified (near-surface historical drilling) • Past drill programs extended and demonstrated continuity of gold mineralization in Corridor 1 Refe
Slide 13: FG GOLD Project: Open to the Southeast
13 FG GOLD Project OPEN TO THE SOUTHEAST • Corridor 1 is open a further 700 meters to the southeast. Historical intercepts include: - 1.9 g/t gold over 43.5 meters including 6.5 g/t gold over 10.5 meters - 1.3 g/t gold over 43.3 metres including 4.6 g/t gold over 6 metres - 3.7 g/t gold over 58.5 me
Slide 14: FG GOLD: Long Section
14 FG GOLD: Long Section Refer to NI 43-101 technical report dated November 26, 2021 “Technical Report on the South Cariboo Gold Property” filed on SEDAR and on the company website.
Slide 15: FG Gold High Grade Intercepts
15 FG Gold High Grade Intercepts Highlight Intercepts Hole From To Interval Au Grade (m) (m) (m) (Au g/t) FG-87-0542 29.7 42 12.3 18.89 FG-90-1402 17.0 33.5 16.5 11.10 FG-20-3851,3 139.0 156.7 17.7 3.34 including 142.3 147.6 5.3 10.16 FG-20-3781,3 195.9 258.3 62.3 1.67 including 195.9 202.5 6.6 9.69
Slide 16: Preliminary Vein Model
16 FG GOLD Preliminary Vein Model GOLD MINERALIZATION AT FG GOLD = CLASSIC SEDIMENT HOSTED OROGENIC GOLD MODEL • Gold mineralization is mobilized into quartz veining at the onset of deformation (pre-early D1) • Subsequent phases of deformation create into stacked veining in fold hinges
Slide 17: Vein Corridors
17 FG GOLD Vein Corridors S T RU C T U R A L VA L I DAT I O N • Outcrop scale exposure of re- folded quartz veins within small scale folds exhibit the same orientation as vein corridors. • Hinge zone and gold corridors plunge shallowly to northwest
Slide 18: Visible gold
Visible gold -— a) ke PEA ‘a FG Gold Project VISIBLE GOLD FG-20-369 @ 239.68m Arto. ) KENADYR } KARUS GOLD
Slide 19: Typical Core
FG GOLD 19 Typical Core FG-20-385, 161.45m depth FG-20-379, 296m depth
Slide 20: FG GOLD Multiple Opportunities on Strike
20 FG GOLD Multiple Opportunities on Strike Eureka Syncline Open and largely untested along strike Extent of historic drilling focus Untested Over 20 km of hinge zone untested strike in the Eureka Syncline.
Slide 21: Gold Creek Project
21 Gold Creek Project OSISKO DEVELOPMENT CORP O R G E N I C G O L D D I S C O V E RY • Shallow discovery adjacent to Spanish Mountain Gold • Hosts both high-grade and low-grade gold potential G O L D C R E E K • Low elevation, road accessible exploration Spanish Imperial Mountain • Past exploration
Slide 22: Camp Zone Soil Anomalies
22 GOLD CREEK Camp Zone Soil Anomalies Gold Creek’s Camp Zone is located on-trend from Spanish Mountain’s gold project. GOLD IN SOIL ARSENIC IN SOIL
Slide 23: South Cariboo Exploration Targets
23 South Cariboo Exploration Targets 2021 Re gional Progr am • 500 km2 covered • Sampling G O L D C R E E K - 281 rock assay (Au fire assay) - 31 whole-rock geochemistry - 511 Ah soil - 86 stream sediments F G - 201 white spruce bark G o l d
Slide 24: South Cariboo Exploration Targets
24 South Cariboo Exploration Targets TEP • 1988 - Trench – 3.8g/t Au over 13 m1 G O L D C R E E K For ks • 1989 - Surface Sample – 3.4 g/t Au2 Offset Lake • 1987 - ~1000m x 150m long arsenic in soil anomaly3 Lo/Hen F G G o l d • 2008 Drilling – 0.39 g/t Au over 33.8m, incl. 0. 5 m of 15.7 g/t Au4 1.
Slide 25: Karus Peer Valuation: Land Package
25 Karus Peer Valuation: Land Package 25 • Karus Gold controls the L a n d Pa c k a ge ( k m 2) * southern half of the 1,600 1,400 Cariboo Gold District 1,200 • One of the largest land 1,000 packages relative to 800 peers 600 Average 666 km2 400 200 0 Stock Symbol NFG FSX KARUS RUP WM WHN TSK AMX Ma
Slide 26: Corporate Social Responsibility
26 Corporate Social Responsibility H E A LT H & S A F E T Y Everyone safe, all the time COMMUNITY Committed to working together ENVIRONMENT Protecting our future together GOVERNANCE Conducting business ethically and in a transparent manner
Slide 27: FG Gold 2020 Drill Program - Highlight Intercepts
27 FG Gold 2020 Drill Program – Highlight Intercepts1 From To Interval Au Grade 2,3 BHID (m) (m) (m) (Au g/t) FG-20-373 23.0 64.0 41.0 2.97 including 35.0 57.0 22.0 5.23 FG-20-383 111.0 174.0 63.0 1.47 including 116.6 172.5 55.9 1.61 including 127.6 165.0 37.4 1.93 FG-20-385 139.0 156.7 17.7 3.34 in
Slide 28: FG Gold 2021 Drill Program - Highlight Intercepts
28 FG Gold 2021 Drill Program – Highlight Intercepts1 From To Interval 2.3 Au Grade 4 BHID Zone (m) (m) (m) (Au g/t) FG-21-391 245.5 249.14 3.64 0.77 Assays on 11 more FG-21-393 Corridor 1 218.1 273.5 55.4 0.63 drill holes from the including 4.5 2.00 2021 to come FG-21-394 New 126.9 135.3 8.4 1.55 a
Slide 29: Karus Gold Summary
29 R E D I S C O V E R I N G B C ’s C A R I B O O G O L D KARUS GOLD DISTRICT • Cariboo Gold district re-emerging as top destination for gold exploration Advancing a high-grade gold DISTRICT SCALE LAND POSITION discovery in the Cariboo Gold • 1,000 km square of claims, second largest after Osisko De
Slide 30: Contact Us
Contact Us KARUS GOLD KEN A DY R Michael Tucker Tim McCutcheon 1-888-455-7620 604-569-2963 (x105) info@karusgold.com info@kenadyr.com KarusGold.com Kenadyr.com