MEETING THE DEMANDS OF AN ELECTRIFIED WORLD
CORPORATE PRESENTATION
JULY 2018
TSX.V: PRZ OTCQB: PRZFF FSE: MQSP
MEETING THE DEMANDS OF AN ELECTRIFIED WORLD HIGH GRADE COPPER IN - - PowerPoint PPT Presentation
MEETING THE DEMANDS OF AN ELECTRIFIED WORLD HIGH GRADE COPPER IN MEXICO CORPORATE PRESENTATION TSX.V: PRZ OTCQB: PRZFF JULY 2018 FSE: MQSP Cautionary Statement FORWARD LOOKING STATEMENTS This presentation contains forward-looking information
JULY 2018
TSX.V: PRZ OTCQB: PRZFF FSE: MQSP
FORWARD LOOKING STATEMENTS This presentation contains forward-looking information and forward-looking statements within the meaning of applicable Canadian securities laws. These forward-looking statements may include statements regarding the perceived merit of properties, exploration results and budgets, mineral resource estimates, the potential to increase estimated minerals resource work programs, capital expenditures, operating costs, resource estimates and similar statements relating to the economic viability of a project, timelines, strategic plans, including the Corporation’s plans and expectations relating to the Manto Negro Copper properties (collectively, “Manto Negro”), the Kena and Daylight Gold-Copper properties (collectively, “Kena”) and the Toughnut property in the Nelson area of British Columbia and market prices for precious metals, or other statements that are not statements of fact. These statements relate to analyses and other information that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Statements concerning mineral resource estimates may also be deemed to constitute “forward-looking statements” to the extent that they involve estimates of the mineralization that will be encountered if the property is developed. Mineral resources that are not mineral reserves do not have demonstrated economic viability. Forward-looking statements and forward-looking information are not guarantees of future performance and are based upon a number of estimates and assumptions of management at the date the statements are made including without limitation, assumptions about: future prices of copper, gold and other metal prices, the success of proposed exploration and development activities, successful exploration and development of the Manto Negro, Kena and Toughnut properties, favourable operating conditions, political stability, obtaining governmental approvals and financing
expenses, labour stability, stability in market conditions, availability of sufficient equipment and labour, accuracy of any mineral resources and anticipated costs and expenditures and the Corporation’s ability to achieve the Corporation’s goals. While the Corporation consider these assumptions to be reasonable, the assumptions are inherently subject to significant business, social, economic, political, regulatory, competitive and other risks and uncertainties, contingencies and other factors that could cause actual performance, achievements, actions, events, results or conditions to be materially different from those projected in the forward-looking statements, including price volatility of the Corporation’s securities, further potential of the Corporation’s properties, the need for additional capital and the Corporation’s ability to raise additional funds, land title issues and risks, local community issues, the estimation of mineral resources, conclusions of economic evaluations, the realization of mineral resource estimates, the timing and amount of estimated future production, quality and marketability of mineral product, limited lives of mines, reclamation obligations, the costs of production, capital expenditures, mining or processing issues, currency exchange rates, government regulation of mining operations, environmental risks, risk relating to infrastructure, permitting and licenses, litigation, mining tax regimes, insurance and uninsured risks, competition, adequacy of financial resources, no historical production or revenues therefrom, dependence on outside parties, dependence on key personnel, conflicts of interest and other risks of the mining industry and those factors disclosed under the heading “Risk Factors” in the Corporation’s documents filed from time to time with the securities regulators in the provinces of Canada. This list is not exhaustive of the factors that may affect any of the forward-looking statements. Forward-looking statements are statements about the future and are inherently uncertain, and the Corporation’s actual achievements or other future events or conditions may differ materially from those reflected in the forward-looking statements. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results, performance or achievements of the Corporation, or industry results, may vary materially from those described in this presentation. In addition, a number of other factors could cause the actual results, performance or achievements of the Corporation to differ materially from any future results, performance or achievements expressed or implied by the forward-looking statements. The reader is cautioned that assumptions used in the preparation of such information, although considered reasonable by the Corporation at the time of preparation, may prove to be incorrect and readers are cautioned not to place undue reliance on forward-looking information, which speaks only as of the date hereof. The Corporation does not undertake any obligation to release publicly any revisions to forward-looking information contained herein to reflect events or circumstances that occur after the date hereof or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws. Any financial outlook or future-oriented financial information as defined by applicable securities legislation has been approved by management of Prize Mining as of the date hereof. Such financial outlook or future-oriented financial information is provided for the purpose of providing information about management's current expectations and goals relating to the future of Prize
2
Scientific And Technical Disclosure Robert A. Archer, P. Geol., a director of the Company, is a Qualified Person as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects, and has reviewed and approved the scientific and technical information in this presentation. All technical and scientific information with respect to the Manto Negro Property contained in this presentation has been taken from the technical report (the “Manto Negro Technical Report”) entitled “Technical Report Manto Negro Property Coahuila State, Mexico” dated March 26, 2018 with an effective date of March 14, 2018 prepared by Norwest Consultants Ltd. of Calgary, Alberta on behalf of Prize Mining or is based on supporting documentation provided by Norwest and has been reviewed and verified by Derek Loveday, P.Geol., or William A. Turner,
www.sedar.com. All technical and scientific information with respect to the Kena Project contained in this presentation has been taken from the technical report (the “Kena Technical Report”) entitled “Technical Report for the Kena Project, Nelson, BC” dated June 2, 2017 with an effective date of January 7, 2017 prepared for Prize Mining Vivian Park, P.Geo., VPG Geosciences, and Gary H. Giroux, P.Eng., Giroux Consultants Limited (Ltd.) or is based on supporting documentation provided by either of Vivian Park or Gary H. Giroux and has been reviewed and verified by either such person, each Qualified Persons. A copy of the Kena Technical Report is available on the Prize Mining website at www.prizemining.com or on SEDAR profile of Prize at www.sedar.com. This presentation discloses mineral resources. Mineral resources that are not mineral reserves do not have demonstrated economic viability. Third Party Information Certain information contained herein includes market and industry data that has been obtained from or is based upon estimates derived from third party sources, including industry publications, reports and websites. Third party sources generally state that the information contained therein has been obtained from sources believed to be reliable, but there is no assurance or guarantee as to the accuracy or completeness of included data. Although the data is believed to be reliable, neither Prize nor its agents have independently verified the accuracy, currency or completeness of any of the information from third party sources referred to in this presentation or ascertained from the underlying economic assumptions relied upon by such
3
4
5
Mining industry executive with over 20 years international experience developing projects from early exploration to full operations. Former Managing Director of JDS Copper, President and CEO of Curis Resources, Director and Executive Vice President Exeter Resources and currently Chair of the Board of IDM Mining Ltd. and Ridley Terminals Corporation.
Mining industry executive with over 20 years international experience. Founding shareholder of Mexican Silver Mines, an exploration company focused on Mexico and South America where he held position of President when it was merged with Rio Alto.
Co-founder, director and former CEO of Great Panther Silver Limited, a silver-gold producer with
years experience in the mining industry with senior and junior companies, including more than 20 years in Mexico.
Mining industry consultant with over 15 years experience in financings, corporate and financial disclosure and corporate development. Currently a director of several public companies.
6
One of two principals of Scion Mines SA de CV, which was purchased as part of the Manto Negro
exploration in Mexico. Founding shareholder of Mexican Silver Mines and VP Operations prior to merger with Rio Alto.
Mining industry executive, with over 20 years of experience in finance, corporate development, accounting and marketing. Part of senior management team located in Mexico for three years during the construction and commissioning of a mining operation for a Canadian company. VP Business Development and Chief Commercial Officer of Grande Cache Coal prior to sale to Japanese and Chinese consortium.
7
* Assumes closing of first tranche of non-brokered financing of 43,333,333 common shares and 21,666,667 warrants at the price of $0.15 per unit for gross proceeds of $6.5 million.
8
Note* Source: Gwen Preston, Maven Resource Newsletter, June, 2018.
9
10
11
deposits
Zambian/DRC Copper Belt deposits that are some of the richest globally
mineralization outcropping at various locations
Rich copper mineralization from Ojitos showing
* See NI 43-101 Technical Report on the Manto Negro Project, Coahuila State, Mexico, Norwest Corporation, April, 2018
12
13
14 35 high grade Cu showings over 20 km 20 km
15
(redbeds) of the San Marcos formation and the overlying limestone
deposits.
structure dominated by lower Cretaceous clastic and carbonate rocks with a few scattered exposures of Permian and Tertiary intrusive rocks.
by mines and prospects along the contact of the San Marcos – Cupido formations for 40 to 50 kilometers.
range, although mineralization has locally been found over 15+ meter intervals
16
* See Prize press releases dated February 28 and March 14, 2018.
17
Buena Suerte Zone 800 x 6 meters wide El Granizo Zone 500 x 8 meters wide La Curva Zone 5 meters wide
18
Pilar Grande Mine
Pilar Grande Mine
Silver-copper mineralization in a 23 meter (75’) thick stratigraphic interval comprising the lowermost 10 meters of the “Cupido” limestone unit (Levels 1 and 2) and the uppermost 13 meters
the underlying red bed sandstone sequence (Levels 3 and 4). The workings extend for 240 meters along strike and 80 meters down dip, grades up to 5.86 % Cu / 901 g/t Ag. Average 2.5% Cu and 118 g/t Ag. Current 1000 metres underground developement
La Abandonada Mine
Mineralization sampled at surface within a 200 x 10 meter area with grades of 1.5% copper and 42 g/t silver. Open in both strike directions.
Los Ojitos High Grade
35% Cu 1.2kg/Ton Ag
19
MAP
visible copper mineralization
20
2012 metallurgical tests demonstrated:
Full metallurgical program being initiated by Prize during 2018 drilling and exploration program. Intent is to confirm and optimize metallurgical recoveries of copper throughout the Manto Negro property.
21
22
2% range
20 + km trend
meter range
and DRC copper deposits
cost high recovery leaching
and pillar underground
including power, water and road 23
24
481,000 ounces Indicated, and 1,318,000 ounces Inferred with potential for higher grade targets.
package and one work program. Consolidation provides for a district wide approach to tie together a larger trend extending several kilometers.
Toughnut claim area. This program is fully funded and will be completed by September 2018.
25
Nelson
companies
lies 45 minutes south via paved highway
26
KGM GOLD DEPOSIT Bulk tonnage gold deposit with high grade zones DAYLIGHT GOLD AREA High Grade Gold Veins characterized by four historic mines COPPER KING ZONE Bulk tonnage porphyry copper-gold mineralization PORPHYRY GOLD DEPOSIT
* Resource can be expanded with additional drilling. ** Mineral resources that are not mineral reserves do not have demonstrated economic viability. *** Resource estimate by Giroux and Park (2017).
27 TWO LARGE PROSPECTIVE GEOCHEMICAL TRENDS
AND highest gold-in-soil ever recorded on the property of 8,009 ppb Au (8.0 g/t). DRILLING HIGHLIGHTS
0.9m of 63.7g/t Au AND 71.22m of 1.09 g/t Au
including 1m of 5.77 g/t Au.
28 DRILLING HIGHLIGHTS
results with >1.0g/t Au
Trend: 1m of 25g/t Au, 2m of 5.58 g/t Au CURRENT PROGRAM Currently undertaking a 2,700 meter exploration diamond drilling program focused
fully funded and will be completed by September 2018.
the world's most prolific producers. District-scale potential, good grades at or near surface, and excellent recoveries by leaching imply low capital and operating costs.
an economic assessment of the deposit to evaluate future development and production opportunities.
wide approach. The Kena Property has a NI 43-101 indicated resource of 481,000 ounces of gold as well as inferred resources of 1,318,000 ounces of gold. The Daylight claims have four historical producing mines with grades as high as 37 g/t gold.
Company’s BC assets.
diversified, strategically managed approach with a big picture outlook. 29
30
Walter Spagnuolo, Manager, Investor Relations walter@prizemining.com Tel: 604-343-8661
Prize Mining Corporation 645 – 7th Avenue SW, Unit 2650 Calgary, Alberta T2P 4G8 Tel: 403-236-2222