otcqb: gllk - gold lakes

M I N I N G C O M PA N Y
OTCQB: GLLK
INVESTOR INFORMATION BRIEF
Q3 2016
Searching for opportunities in an undervalued resource market?
Currently there are very few early gold exploration plays
in world class areas with compelling investment as well as
takeover potential.
Ironically, for some junior stocks, the current challenges
in the Gold market should be viewed as a significant
investment opportunity.
Gold has spiked over $1,300 for the first time in two
years, and the stocks Gold Miners ETF (GDX) has
risen 50% since the start of 2016.
The big producers have not only cleaned up their balance
sheets, but are now making moves to replace their lost foreign
assets with assets in the safest jurisdictions in the world.
But here’s the challenge: There just aren’t many high quality undeveloped assets
left in Canada (or elsewhere for that matter). Where to look?
Welcome to
M I N I N G C O M PA N Y
Elephant Country.
For gold investors, area, property, and management
are the major determinants in an investment decision,
particularly in a junior company. For risk oriented
investors, gold investing in ground floor opportunities
can well provide superior returns.
The seven claims totaling 2,846 acre Big Monty was
100% acquired by GLLK in a deal with Flex Mining
Ltd. A November 2012 Airborne Survey noted a
variety of features characteristic of gold bearing fields
within the seven claims making up the property.
Gold Lakes has recently acquired 100% interest in 31
claims in the Abitibi Greenstone Belt region. The new
acquired land will be known as “The Ponderosa”.
The Ponderosa property consists of 329 claim units
encompassing over 13,000 acres and is located in the
townships of Frecheville, Stoughton and the Mistaken
Islands of Ontario Canada.
As the newest opportunity in the world class Abitibi
Greenstone area of Northern Ontario (often referred to in
the mining industry as Elephant Country due to the large
GOLD LAKES OTCQB: GLLK
and high grade mines found there), Gold Lake’s position
and potential are extremely compelling. Its recently
acquired flagship properties, including the 2,846 acre Big
Monty Property, is located approximately 70 kilometers
north of Kirkland Lake, Ontario, and 68 kilometers east
of Timmins, Ontario.
Ponderosa, the newest acquisition brings Gold Lakes
total land holdings in the area to over 15,000 acres.
The company plans to conduct an airborne survey
over the Ponderosa claims in the coming months. This
airborne survey will tie in with the air borne survey
that was previously completed on the Big Monty, to
identify specific drill targets.
Gold Lakes Corporation strategy is to identify and
acquire prospective properties in well-mineralized
mining areas and advancing these properties toward
making new discoveries within the Abitibi Greenstone
Belt. For slightly over a century, the legendary AbitibiGreenstone belt has produced hundreds of billions of
dollars’ worth of mostly gold, silver, copper and zinc.
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INVESTOR INFORMATION BRIEF
The Area
The Abitibi Greenstone Belt is an established gold mining
district (comparable to Nevada’s Carlin trend) having produced
over 100 mines and 180 million ounces of gold and more than
50 million ounces from the Cadillac Larder Fault Zone, from
operations that include Lake Shore Gold’s Timmins West, the
Kirkland Lake Gold complex and Goldcorp’s The Big Monty
lies within the prolific Porcupine-Destor Fault Zone “PDFZ”
(110 Million ounces of Au produced to date and adjacent to the
North and Northwest borders by St. Andrews Goldfield’s
Holt Property (SAS: TSXV), which was sold in early 2016 for
$178 million CAD.
Big producers have been, and continue
to aggressively pursue assets in Canada.
The Abitibi Greenstone area is also known for robust acquisition
and takeover activity. In 2015, Oban Mining (OBM: TSX),
with a market cap of north of $60 million, acquired five juniors
in the region and has taken out several more to date. Oban is
focused on a clear strategy of consolidation in the Abitibi and
plans to become an intermediate producer within the near
future. Its mandate is to drill test targets rapidly and advance
or divest the rest. Oban is well financed with approximately $73
million in cash, cash equivalents and marketable securities.
Oban Mining Corporation in a recent announcement generated
41.8 g/t Au Over 2.5 Metres at Windfall Lake gold project
located in Urban Barry Township, Québec.
Industry acquisitions 2015 to date:
• February 2015
Centerra Gold and Premier Gold Mines became 50/50
partners on Premier’s Trans-Canada Property in Ontario.
• November 2015
Kirkland Lake Gold Inc. (TSX: KGI) entered into a binding
definitive agreement valued at $178 million to acquire all
the outstanding shares of St Andrew Goldfields Ltd. (TSX:
SAS) (OTCQX: STADF) equivalent to an impressive 25%
premium to St. Andrews shareholders.
• January 2016
Kirkland Lake Gold Inc. (TSX: KGI) closed a $178 million
agreement to acquire all the outstanding shares of St.
Andrew Goldfields Ltd. (TSX: SAS) (OTCQX: STADF)
The area is noteworthy for impressive grades:
• March 2015
Goldcorp acquired Probe Mines for their deposit in Ontario.
• Bonterra Resources north of Val D’or Quebec, Gladiator Project
in a recent announcement generated a high-grade intersection
of 137.4 g/t over 2.5 m with coarse visible gold having been
observed in the core.
• April 2015
Alamos Gold acquired Aurico Gold through a merger to
gain exposure to its Young-Davidson Mine in Ontario.
• The Hislop mine reported 5.2 g/t of gold in ore. Hislop mine
is located in the prolific Timmins gold mining district, which
lies within the Abitibi Greenstone belt.
• April 2015
Yamana acquired Mega Precious Metals for their
Monument Bay Gold Project in Manitoba.
• Macassa gold operations owned by Kirkland Lake Gold Inc.
boasts production of 24 million troy ounces of gold over a
span of 86 years and average historic grade of 16.5 g/t.
• October 2015
Alamos just bought out Carlisle Goldfields for a premium of
62% to Carlisle’s closing price on October 14, 2015, and a
117% premium to its 30-day volume-weighted average price.
GOLD LAKES OTCQB: GLLK
Additionally, the US$ has strengthened dramatically against
the CAD$. Gold Lakes’ operating costs will be denominated
in Canadian dollars, allowing the Company to realize an extra
30% plus work done for every US$ dollar spent.
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INVESTOR INFORMATION BRIEF
The Plan
GLLK management intends to prove that the Holt
property gold system continues onto its claims. The
Company plans a three hole, 300 metre drill program
once financing is secured. The Porcupine-Destor fault
system is believed to run generally east-west through
the Big Monty property with numerous northeastsouthwest cross faults providing several possible
intersecting structural features which could possibly
host economic mineralization.
Under the direction of industry veteran Ed Morrow,
GLLK’s VP of Mining Exploration, the Company plans
to be on the property as soon as possible to ascertain
the areas and targets to commence its aggressive
drilling program.
Initially, the Company plans to do extensive groundwork and rock sampling once the current geological
report is interpreted.Eventually, an NI-43-101 report
will be commissioned to delineate the indicated and
reserve figures.
The Company fully intends to explore financing and
JV opportunities with potential partners within the
Abitibi Greenstone and without.
Management Team
Vital Statistics
GLLK (OTCQB)
Christopher Vallos
President and sole Executive Director of Gold Lakes Corp.
As a senior executive, Mr. Vallos has a broad and deep
experience as a general manager in both large corporate and
entrepreneurial environments. Mr. Vallos’ experience provides
a thorough understanding of the profit center concept, the
management of annual budgeting, and profit planning Mr.
Vallos thinks strategically, plans convincingly and is particularly
effective in an inter-active environment that emphasizes a high
level of communication and teamwork.
Mr. Vallos holds a Masters of Business Administration from
Lake Erie College, Painesville Ohio. Mr. Vallos currently is
Certified Six Sigma Black-Belt, and has extensive experience in
the financial and operational needs to run a successful company.
Edwin Morrow
$0.85
Average Volume (30 days)
46,385 shares
Shares Outstanding
33.125 million
Market Cap
$28.2 million
52-week Range
Vice President of Mining Exploration
Ed will be joining the company’s board of directors as a nonexecutive VP of Mining Exploration to bring his extensive
mining expertise to the project.
He has worked as an employee or consultant for over 35 years
in exploration, development and production in the natural
resources area - in multiple commodities. He has held line and
executive positions within the mining and minerals industry
with Sonoma Quicksilver, Utah International Inc, InterPace
Corporation, Federal Bentonite Corporation, Homestake
Mining company, Laminco Resources Inc, and Zaruma
Resources Inc. Mr. Morrow also has over 10 years’ experience
in real estate management including planning, entitlement,
permitting, engineering and construction management.
GOLD LAKES OTCQB: GLLK
Recent Share Price
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$0.37 - $1.20
M I N I N G C O M PA N Y
Chris Vallos, President
3401 Enterprise Parkway, Suite 340
Beachwood, Ohio 44122
888-461-0006 • 216-916-9303
[email protected]
www.goldlakes.com
INVESTOR INFORMATION BRIEF