Lion One Metals Limited · TSXV:LIO
Lion One Metals — Investor Presentation (July 2015)
21 slides from Lion One Metals's investor presentation, July 2015
Slide 1: Corporate Presentation July 2015
Corporate Presentation July 2015
Slide 2: Forward Looking Statements
Forward Looking Statements Certain information contained or incorporated by reference herein, including This presentation uses the terms “inferred resources” and “measured & any operating performance of Lion One Metals Limited (“Lion One”), indicated resources”. Lion One advises you that these terms
Slide 3: High Grade, Low Capex, High IRR, Fully Permitted
HIGH GRADE, LOW CAPEX, HIGH IRR, FULLY PERMITTED ROBUST ECONOMICS HIGHLIGHTED IN 2015 3 3 3 3
Slide 4: Tuvatu Economic Overview
Tuvatu Economic Overview • 2015 PEA demonstrates robust economics at US $1,200 per oz. gold • 15 month development schedule • Low up-front capital costs of US $48 million • 1.5 year payback on capital; 52% after-tax IRR • Mine plan based on high grade, near surface resource • Average grade of 11.3 g
Slide 5: Capital Structure
Capital Structure Capital Structure July 1, 2015 Country Market Ticker Common Shares 50,262,955 Canada TSX-V LIO CDI’s on ASX (1:1) 9,912,653 Australia ASX LLO Shares Outstanding 60,175,608 USA OTCQX LOMLF Options 3,535,000 EU FSX LY1 Warrants 0 Fully Diluted 63,710,608 Key Shareholders: Recent
Slide 6: Leadership
Leadership Walter H. Berukoff, Chairman & CEO Principal of Red Lion Management (Global Merchant Banking) and founder & former CEO of Northern Orion Resources: acquired for $1.1 Billion by Yamana Gold in 2007 Miramar Mining: acquired for $1.5 Billion by Newmont in 2008 La Mancha Resources: acquired f
Slide 7: Tuvatu Gold Deposit
Tuvatu Gold Deposit A steeply dipping high grade, epithermal gold deposit Approx. 100,000 m drilling; 1340 m of underground development to 240 m depth, incl. cross cuts, raises, and drill stations Veins extend over 600 m and are open at depth and along strike 39 veins in resource model; av
Slide 8: High Grade Gold Resource
High Grade Gold Resource NI 43-101 Resource1 Cutoff Indicated Resource (diluted) Inferred Resource (diluted) g/t tonnes g/t oz. Au tonnes g/t oz. Au 1.0 1,943,000 5.61 350,300 3,022,000 5.8 561,000 3.0 1,101,000 8.46 299,500 1,506,000 9.7 468,000 5.0 683,000 11.25 247,000 872,000 13.9 390,000 • Reso
Slide 9: Previous Work
Previous Work • Pre-feasibility Study1 • Feasibility Study1 • Exploration decline – Detailed mapping, sampling, geotechnical studies – Underground drilling • 100,000m drilling (95% diamond drilling) • Four independent metallurgical studies • Bulk sample testwork from underground 1: These reports are
Slide 10: PEA Summary (1)
PEA Summary (1) Tuvatu Project PEA Economics Pre-Production CAPEX (M US$) 48.6 Cash Cost per Ounce (US$) 567 All in Sustaining Cost per Ounce (US$) 779 Mine production years 1-3 (oz Au) 262,386 Average Diluted Head Grade (g/t Au) 11.31 Initial Project Life (Years) 7.4 Plant Capacity (tpa) 219,000 Ba
Slide 11: PEA Summary (2)
PEA Summary (2) After-tax Payback (years) 1.5 Mining Dilution (%) 20 Processing Cost (US$/t) 43.80 Metallurgical Recovery (%) 86.3 Mining Cost (US$/t) 76.50 Mine Production by year 3 (oz Au) 262,386 G&A Cost (US$/t) 19.50 Underground development End of Year -1 End of Year 7 11 11 11 11
Slide 12: PEA Summary (3)
PEA Summary (3) • Study includes fixed cost EPC for processing plant to commissioning • Nearly 50% of pre-production capital is fixed cost • Mining labour costs are regulated in Fiji – all required skilled labour costs are <US$3/hr • 15 month development schedule • Ready supply of skilled labour ava
Slide 13: CAPEX Summary
CAPEX Summary Owner’s Costs, Contingency, Capitalized 2.1 M 6.1 M Development, EPC, 2.1 M 9.0 M Indirects, Mining 2.6 M Equipment, 5.9 M Infrastructure, 7.6 M Processing, 13.3 M Total: $48.6M USD 13 13 13 13
Slide 14: Tuvatu Location & Infrastructure
Tuvatu Location & Infrastructure • Close to international airport at Nadi and deep water port at Lautoka Lautoka • Close to urban centers and skilled mining workforce Tuvatu • 15 km drive to full time camp at Tuvatu from Lion One Fiji office LIO tenements • Power lines traverse project area Nadi 10
Slide 15: Environment, Community, Permitting
Environment, Community, Permitting Mining Lease approved in 2015 21 Year Surface Lease granted in 2014 Construction and Operations Environmental Management Plans approved in 2014 Environmental Impact Assessment approved in 2014 Excellent local relations: over 240 consultation meetings over
Slide 16: Exploration Opportunity
Exploration Opportunity Fiji Vatukoula Tuvatu • Lihir (Newcrest) Resources: 790Mt @ 2.3 g/t Au >9Moz production, 720k oz in 2014 • Vatukoula (VGM) • Porgera (Barrick) Resources: 21 Mt @ 6.0 g/t Au Resources: 55Mt @ 3.47 g/t Au >7Moz production >16Moz production, 493k oz in 2014 16 16 16 16
Slide 17: Resource Expansion Potential
Resource Expansion Potential Limited drilling beneath Section view along exploration decline GM contours 250 meters depth Higher Grade Intercepts Include: TUDDH 160: 4.22 m of 252.64 g/t Au from 332 m 4.12 m of 19.61 g/t Au from 403.2 m 2.0 m of 37.82 g/t Au from 416.5 m TUDDH 176: 0.95 m of 56.51 g
Slide 18: Growth potential within existing Mining Lease
Growth potential within existing Mining Lease 18 18 18 18
Slide 19: High Grade targets within existing Mining Lease
High Grade targets within existing Mining Lease Nubundike: extensive 1 – 2 meters wide, with high grade rock chips to 20 g/t Au 290 Vein: rock chip samples to 293 g/t Au Ura Creek: 2m wide shear zone with rock chips to 54.5 g/t Au Jomaki Ridge: rock chip samples to 53.25 g/t Au in densely veined sto
Slide 20: Fiji Gold Strategy
Fiji Gold Strategy Develop Tuvatu Achieve Production Explore & Discover High grade resource with a mining lease and 21 year surface lease on a high grade goldfield in Fiji 20 20 20 20
Slide 21: Contacts
Contacts Investor Relations Contacts: Hamish Greig | Joe Gray 311 West 1st Street, North Vancouver, BC, Canada, V7M 1B5 Toll Free within North America: 1.855.805.1250 tel: 604.998.1250 fax: 604.998.1253 e: info@liononemetals.com w: www.liononemetals.com 21 21 21 21