Corporate Presentation July 2016

Corporate Presentation
Dan James, President
MEDGOLD RESOURCES CORP.
The European Gold Explorer
Medgold Resources Corp. September, 2016
Cautionary Notes
Forward Looking Statement
This presentation may contain forward-looking statements including, but not limited to, comments regarding the timing and content
of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, and other
related matters. Forward-looking statements address future events and conditions and therefore involve inherent risks and
uncertainties. Medgold Resources Corp.’s projects in Europe are at an early stage and all estimates and projections are based on
limited, and possibly incomplete, data. More work is required before the mineralization and the Projects’ economic aspects can be
confidently modelled. Actual results may differ materially from those currently anticipated in this presentation. No representation or
prediction is intended as to the results of future work, nor can there be any promise that the estimates and projections herein will be
sustained in future work or that the Project will otherwise prove to be economic. The Boticas drill results on Slide 16 are historical
results provided for information purposes only, and Medgold has not completed sufficient work to verify these results
Qualified Person: Under the terms of NI43-101, David Clark is Medgold’s Qualified Person.
David Clark holds BSc (Hons) and MSc degrees in geology from McGill University, Montreal, Canada, and has been involved in mineral
exploration since 1999, with experience in magmatic sulphide Ni-Cu-PGE, intrusion-hosted PGE, and sediment-hosted, orogenic and
epithermal precious metal deposits in Canada, USA, Mexico, and Central America. Mr Clark is a member of the Association of
Professional Engineers and Geoscientists of British Columbia.
David Clark, Consulting Geologist to the Company, is a qualified person as defined by National Instrument 43-101 - Standards of
Disclosure or Mineral Projects and has approved the disclosure of the scientific and technical information in this presentation.
2
Medgold Resources Corp. September, 2016
Why Medgold?
3
• Strong Board and mgmt team with
Brent Cook and Richard Sillitoe as
technical advisors
• Part of Gold Group – raised over
$400m – and led by Simon Ridgway
• Low-cost explorer – with monthly
G&A approx. $30k
• Joint Venture with Centerra Gold in
Portugal
• Strategic Alliance with Fortuna Silver
in Serbia
Medgold Resources Corp. September, 2016
Portugal
4
• Safe, pro-mining jurisdiction
• Low-cost of exploration
• Excellent infrastructure
• Under-explored with significant exploration
potential
3. Marrancos
1. Boticas
2. Lagares
Medgold Resources Corp. September, 2016
Centerra JV
5
• Medgold has optioned Boticas and Lagares licences to
Centerra
• Terms
– Option to earn 51% by spending $3m over 3 years
– Option to earn a further 19% by spending $3m
over 2 years
– TOTAL: 70% for $6m over 5 years.
• Commenced Dec. 2014 and expanded in Dec. 2015
• Expected to reach $3m expenditure by end of 2016
Centerra Gold Corp. is a mid-tier gold producer
which owns and operates the Kumtor Mine in
the Kyrgyz Republic. Kumtor produces 570k oz
Au per annum
Drilling at Lagares (2015)
Medgold Resources Corp. September, 2016
Boticas
6
• Two wholly-owned licences; Boticas (106
sqkm) and Chaves (495 sqkm)
• Project awarded status of STRATEGIC &
NATIONAL INTEREST
• Targeting fracture-controlled orogenic
gold mineralization
• Fully-funded under Centerra JV
• Drilling underway – commenced August
2016 – at the LIMARINHO target
LIMARINHO
Medgold Resources Corp. September, 2016
2016 Drill Program
•
Fully-funded 2,500m diamond
drilling program
•
Total of 15 holes proposed
•
Focussed on Limarinho and
Limarinho South zone
•
Expected to be completed by
November 2016
7
Medgold Resources Corp. September, 2016
Limarinho Drilling - Limarinho
8
8
7
Historic Drilling Results
Approximately 3000m for 26 holes
9
16
5
2
15
17
10
1
LIMARINHO
14
4
3
KL03
FROM TO
(m)
(m)
9.85
25.65
INT.
(m)
15.80
GRADE
(g/t Au)
2.14
KL04
19.30
38.40
1.96
KL04
143.30 152.30
9.00
3.59
PFR3
28.20
57.80
29.60
1.88
PFR10 72.80
129.40
56.60
1.33
PFR11
76.60
25.50
1.62
86.55
15.60
3.25
HOLE
6
PFR17 70.95
12
LIMARINHO SOUTH
13
1-17
51.10
Medgold Proposed Drill Hole
11
57.70
Medgold Resources Corp. September, 2016
Boticas Summary
• Large wholly-owned ≈600 sq. km land position
• Granite-hosted and structurally-controlled orogenic gold with multiple targets
• Major crustal faults identified which may be associated with mineralization
• Significant gold mineralization identified at Limarinho
H2 2016 Program:
2,500m diamond drilling program
Objective:
Drill-test Limarinho zone
9
Medgold Resources Corp. September, 2016
Lagares Project (Castromil)
10
• Two wholly-owned licences; Lagares (40 sq km) and
Valongo (44 sq km)
• Under JV with Centerra
Valongo
licence
• Key prospect identified: CASTROMIL
• 3,000m drilling program completed in 2015 at
Castromil
• High-grade gold mineralization identified, associated
with faulted metasediment-granite contact
CASTROMIL
Lagares
licence
Medgold Resources Corp. September, 2016
Castromil Results
11
Medgold-Centerra Drilling (April – September 2015) 1
MLG-001
10.90m @ 2.32 g/t Au from surface
MLG-003
19.95m @ 3.17 g/t Au from surface
MLG-004
17.49m @ 4.45g/t Au from 10.00m
MLG-006
7.76m @ 4.40g/t Au from surface
MLG-007
10.53m @ 3.07 g/t Au from 17.53m
MLG-008
28.65m @ 1.30 g/t Au from surface, including 7.55m
@ 3.05 g/t Au from 3.45 m
Medgold Channel-chip Sampling (Q4 2014) 2
Section 150m
69.00m @ 4.15 g/t Au
Section 300m
40.70m @ 5.73 g/t Au (inc. 5.20 m @
15.50 g/t Au) and 15.50 @ 9.44 g/t Au
Section 400m
60.28m @ 3.10 g/t Au
Section 1150m
(underground)
4.60m @ 36.17 g/t Au
Castromil Cross-section
The true thicknesses of the mineralized intervals are currently unknown, and may be shorter than the channel sample intervals reported here
1 Results announced in Press Release dated July 2, 2015 and July 27, 2015, see http://www.medgoldresources.com/s/news-releases.asp
2 Results announced in Press Release dated December 2, 2014, see http://www.medgoldresources.com/s/news-releases.asp
Medgold Resources Corp. September, 2016
Marrancos Project
12
• Medgold signed Option Agreement with
Lusorecursos in June 2016
• Option to earn to 100% through expenditures of
€300k and two €50k cash payments
• Key prospect identified: MARRANCOS
• Mapping has identified a mineralized 600m shear
corridor
• Gold mineralization associated with cross-cutting
tension veins (grades up to 36 g/t Au)
• Channel chip sampling yielded best intervals of
5.40 m at 6.88 g/t Au and 12.98 m at 2.71 g/t Au
Marrancos Project
(Located at a major
structural intersection)
Medgold Resources Corp. September, 2016
Marrancos: Recent Channel-Chip Sampling
40m
Historical Drill Interval
10.46m @ 3.24 g/t Au (from
70.50m) inc. 5.43m @ 4.31 g/t Au
Channel 2 Interval
4.50 m at 2.43 g/t Au
Parallel Shear
(rock chips up to 30 g/t Au)
5m
13
Channel 1 Intervals
12.55 m at 3.28 g/t Au
(inc. 5.40 m at 6.88 g/t Au)
1.69 m at 0.51 g/t Au
12.98 m at 2.71 g/t Au
3.69 m at 4.24 g/t Au
6.62 m at 0.41 g/t Au
7.58 m at 2.98 g/t Au
Marrancos Shear
(mapped over 600m)
Channel 1 Geological Sketch
Medgold Resources Corp. September, 2016
Serbia
14
• Under-explored for gold
• Geological potential to discover
world-class deposits
• Mining-friendly government
with active mines
• Major miners already active (Rio
& Nevsun)
• Recent major discovery by
Reservoir Minerals
Medgold Resources Corp. September, 2016
Fortuna Strategic Alliance
15
• Fortuna made a $1.5m placement into Medgold for 15.5% of the Company
• Medgold formed a Strategic Alliance allocating $1.2m of the funds into Serbian exploration
• Fortuna have the option to extend Strategic Alliance by exercising warrants for a further
$1.5m at 15c.
• Fortuna may select one project to JV, under the following terms:
-
Spending $3m over 3 years for 51%
-
Elect to sole fund or form a 51/49 Fortuna/Medgold JV
-
If sole funding, spending a further $5m (inc. a PEA) for a total of 70%
Fortuna is a growth oriented, silver and base metal producer focused on mining
opportunities in Latin America. Its primary assets are the Caylloma silver mine in southern
Peru and the San Jose silver-gold mine in Mexico. The company is selectively pursuing
acquisition opportunities throughout the Americas and in select other areas.
Medgold Resources Corp. September, 2016
Balkans Geology and Major Deposits
Serbo-Macedonian Belt
- Olympias (4 Moz Au)
- Skouries (3.5 Moz Au)
- Perama Hill (1 Moz Au)
- Ada Tepe (1 Moz Au)
- Trepcha (9 Mt Pb)
16
Medgold Resources Corp. September, 2016
Strategy
17
• Focusing on the Serb0-Macedonia Belt in central and
southern Serbia
• Belt is well explored for base metals but not for gold
• Targeting polymetallic epithermal deposits
• Exploration licencing is straight forward; first-come firstserved basis
Low-sulphidation epithermal vein
• 10 licences already under application – first issuance
expected early Q4 2016 – each licence approx. 100 sqkm
Phyllic alteration within intrusive (porphyry)
Medgold Resources Corp. September, 2016
Serbia Summary
• Exploration is well-funded with a strategic partner – Fortuna Silver Mines
• Serbia is a world-class mining destination, with clear and transparent mining code, and
straight-forward licence application process
• Targeting the Serbo-Macedonian Belt, which is under-explored for precious metals, and hosts
several world-class metal deposits
• Ten licences already under application
• Multiple quality targets already identified
18
Medgold Resources Corp. September, 2016
Exploration Outlook
19
Portugal
Serbia
• Boticas and Lagares
projects fully-funded
under Centerra JV
• Boticas drilling (2,500m)
on-going
• Work commenced at
new Marrancos project
• Strategic alliance signed
with Fortuna
• New targets under
licence application
• Targeting polymetallic
epithermals
• Field team and local
infrastructure established
and ground work
underway
Medgold Resources Corp. September, 2016
Contact Details
20
Dan James
President
Medgold Resources Corp.
[email protected]
Direct: +44 7972 579188 (UK)
Vancouver Head Office: +1 604 801 5432
www.medgoldresources.com
A Gold Group Company
Medgold Resources Corp. September, 2016
Appendices
21
Medgold Resources Corp. September, 2016
Board & Technical Advisors
Simon Ridgway
22
Founder of numerous successful resource companies including Fortuna Silver Mines. Has raised close to $400m to fund projects globally.
Chairman & CEO
President
18 years’ experience working as a geologist with experience in Turkey, East and Southern Africa. Led teams to the discovery of the Afar
Epithermal Province, in Ethiopia. Worked for Ashanti in Tanzania, ACA Howe on multiple consulting projects, and Stratex in Turkey and
Ethiopia. Also worked on debt and equity roadshows in London for 5 years.
Ralph Rushton
Over 20 years’ experience as a geologist in Southern Africa, the Middle East and Eastern Europe. Has worked with Simon Ridgway’s
companies for 10 years focussing on corporate development and IR. Director of a number of Canadian public companies.
Daniel James
Director
Jeremy Martin
Director
David Hall
Director
Michael Skead
Director
Brent Cook
Technical Advisor
Extensive South American exploration experience for Inca Pacific Resources followed by Central America and Europe. Has been involved in
the formation of various AIM-listed companies and has completed a number of high-value mineral project transactions.
Over 30 years’ in exploration and development on projects and mines in over 50 countries. Previous positions include Chief Geologist for
Minorco SA, consultant geologist for Minorco South America, and Exploration Manager for AngloGold South America. Involved in
discoveries in South America and Europe. Corporate role in a number of public and private companies.
Currently serving as New Business Manager for Randgold. He was previously VP Project Evaluation for Dundee Resources. Prior to Dundee
Mike was VP Exploration for Banro Corp, and led their projects to the feasibility stage. Previously Exploration Manager for SAMAX Gold,
responsible for the discoveries of the Kukuluma and Matandani gold deposits in the Geita Greenstone Belt in Tanzania. Has also worked on
mineral exploration projects in the USA, Canada, Mexico, Namibia and Indonesia.
An economic geologist and has been working in the exploration and mining business for 34 years. Has been involved in different deposit
types from grass roots to feasibility, working in over 60 countries. Has been an independent analyst and advisor to several investment
funds and high net worth individuals since 2002. Author of the investment letter Exploration Insights.
Technical Advisor
World-renowned economic geologist. An economic geological consultant for over 40 years and has worked in over 70 countries. Best
known as a porphyry-epithermal specialist. Well versed in all styles of gold and base metal mineralization. In 2002, the first non-American
President of the Society of Economic Geologists. The author of over 100 economic geological articles and also two books.
David Clark (P.Geo)
Holds BSc (Hons) and MSc degrees in geology from McGill University, Montreal, Canada. Has been involved in mineral exploration since
1999, in Canada, USA, Mexico, and Central America. Is a "Qualified Person" in accordance with National Instrument 43-101.
Dr. Richard Sillitoe
Qualified Person
Medgold Resources Corp. September, 2016
Share Structure
Type of Security
23
No. of Shares
Exercise Price
Expiry Date
Potential Dollar Value
8,550,000
1,672,728
500,000
2,166,667
2,000,000
10,000,000
2,100,000
2,900,000
29,889,395
$0.15
$0.16
$0.09
$0.1665
$0.12
$0.15
$0.15
$0.15
Feb. 4, 2017
Feb. 17, 2017
Mar.20, 2017
Apr. 11, 2017
May 11, 2017
June 16, 2017
Sept. 20, 2017
Oct. 12, 2017
$1,282,500.00
$267,636.48
$45,000.00
$360,750.06
$240,000.00
$1,500,000.00
$315,000.00
$435,000.00
$4,445,886.54
Convertible
Debenture:
2,166,667
$0.45
Apr. 11, 2017
n/a
Incentive Stock
Options:
25,000
3,455,000
225,000
2,580,000
6,285,000
$0.15
$0.15
$0.15
$0.15
Sept. 4, 2016
Feb. 23, 2024
Feb. 12, 2025
June 28, 2026
$3,750.00
$518,250.00
$33,750.00
$387,000.00
$942,750.00
Warrants:
(Fortuna)
SUBTOTAL
SUBTOTAL
TOTAL OUTSTANDING
CONVERTIBLE
SECURITIES:
ISSUED CAPITAL:
FULLY DILUTED:
39,941,062
64,027,695
103,968,757
SUBTOTAL
SUBTOTAL