Building for Sustainable Production and Exploration Driven Growth

Transcription

1 Building for Sustainable Production and Exploration Driven Growth January 2017

2 CAUTIONARY STATEMENT This document may contain forward-looking statements (including "forward-looking information" within the meaning of applicable Canadian securities legislation and "forward-looking statements" within the meaning of the US Private Securities Litigation Reform Act of 1995) relating to, among other things, the operations of Wallbridge and the environment in which it operates. Generally, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Wallbridge has relied on a number of assumptions and estimates in making such forward-looking statements, including, without limitation, the ability to acquire the necessary permits and approvals to advance the Fenelon Property toward production, the ability to safely and successfully dewater the underground workings at Fenelon, the ability to add to the existing resource base at Fenelon through drilling, the costs associated with the development and operation of its properties. Such assumptions and estimates are made in light of the trends and conditions that are considered to be relevant and reasonable based on information available and the circumstances existing at this time. A number of risk factors may cause actual results, level of activity, performance or outcomes of such exploration and/or mine development to be materially different from those expressed or implied by such forward-looking statements including, without limitation, whether such discoveries will result in commercially viable quantities of such mineralized materials, the possibility of changes to project parameters as plans continue to be refined, the ability to execute planned exploration and future drilling programs, the need for additional funding to continue exploration and development efforts, changes in general economic, market and business conditions, and those other risks set forth in Wallbridge's most recent annual information form under the heading "Risk Factors" and in its other public filings. Forward-looking statements are not guarantees of future performance and such information is inherently subject to known and unknown risks, uncertainties and other factors that are difficult to predict and may be beyond the control of Wallbridge. Although Wallbridge has attempted to identify important risks and factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors and risks that cause actions, events or results not to be as anticipated, estimated or intended. Consequently, undue reliance should not be placed on such forward-looking statements. In addition, all forward-looking statements in this press release are given as of the date hereof. Wallbridge disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, save and except as may be required by applicable securities laws. The forward-looking statements contained herein are expressly qualified by this disclaimer. Technical information in this presentation has been reviewed and approved by Marz Kord, P. Eng., M.Sc., MBA and Alar Soever, P. Geo, who are both Qualified Persons for Wallbridge under the definitions established by National Instrument

3 WALLBRIDGE OBJECTIVES -Sustainable free cash flow through mine development, and operation -Organic growth through exploration Gold Ni-Cu-PGM Fenelon Gold Mine production decision Q Develop sustainable 20,000-40,000 ounces annual gold production Acquire, develop, mine, and grow similar or larger complementary near-production assets Continue joint venture funded exploration to discover and develop significant high-grade Ni-Cu-PGM deposits in Sudbury Acquire, develop, mine, and grow nearproduction assets which are non-core to larger companies Acquire Develop Mine Explore 3

4 VALUATION COMPARABLES High-Grade Gold Developers & Producers High-Grade Ni-Cu-PGM Discoveries EV / Annual Oz Production* Roxgold Inc. $10,500 TMAC Resources Inc. $9,900 $1.8 Billion 2015 Sirius Resources NL valuation for 2015 IGO takeover following Nova discovery, Australia Richmont Mines Inc. $6,300 Klondex Mines Ltd. $5,800 $1.68 Billion 2010 FNX Mining valuation in Quadra Merger Pretium Resources Inc. $5,400 Wesdome Gold Mines Ltd. $5,300 $0.8 Billion 2008 Noront Resources market value following Eagle discovery in Ring of Fire Premier Gold Mines Ltd. $5,200 *Jan 5, 2017 Wallbridge is working to develop sustainable 20,000-40,000 ounces annual gold production (@ $5,000/oz = target EV of $ M) Wallbridge is exploring for similar sized highgrade Ni-Cu-PGM deposits in Sudbury 4

5 STRATEGY AND EXECUTION -Acquire and develop near-term projects -Organic growth through exploration -Leverage partnerships to mitigate risk and minimize dilution Fenelon Gold Mine in Quebec Ni-Cu-PGM Exploration in Sudbury, Ontario Corporate Development Track record from discovery to closure High-grade operation in prolific Abitibi Pre-feasibility study early Feb 2017 Production decision targeted by mid-2017 Exploration underway with significant early results, drilling to commence Q $4.0M fully-funded 2017 joint venture programs with Lonmin Plc 20,000 metres drilling initiated on Parkin property following-up intersections in 2016 Large scale discovery potential on 410 km 2 mineral rights Targeting one material transaction per year M&A target criteria: Value accretive Near-term to production High Margin with NPV > CAPEX Scalable through exploration upside Gold or Ni-Cu-PGM Established exploration team trusted by major mining companies Financial Discipline Successful spin-outs Duluth Metals sold for $96 million 15.5% founding equity stake in Carube Copper Corp. (TSXV:CUC), Ontario and Quebec 5

6 MANAGEMENT AND DIRECTORS Years of successful exploration, operations and financial experience Alar Soever Marz Kord Warren Holmes Rene Galipeau Executive Chairman President and CEO Lead Director Director PGeo, Consulted for many major companies PEng, MSc, MBA Operations, Engineering, M&A Chairman of Hudbay +40 years Vice-chair and CEO of Victory Nickel +30 years +35 years Joshua Bailey VP Exploration PGeo, MBA President, Ontario Prospectors Association +15 years +30 years Mary Montgomery CFO CPA, CA, Accountant +20 years Elaine Ellingham Director Director for Richmont Mines, Aurania Resources, PDAC +30 years Parviz Farsangi Director Roland Horst Director Former CEO Cbay Investment Banker +35 years Darryl Sittler Director CEO Canadian Royalties Gold and Margaret Lake Diamonds +30 years Hockey Hall of Fame 6

7 THE FENELON GOLD MINE PROPERTY High-grade development project on the Detour trend in Quebec s prolific Abitibi Acquired October 2016 Pre-feasibility study expected early February 2017 Exploration underway Exploration drilling planned for Q Permitting underway Production decision targeted for Q

8 NEAR TERM PRODUCTION AT THE FENELON GOLD MINE PROPERTY Very high-grade (12.97 g/t Au) resource (93% M&I) near existing workings within 100 metres of surface and with good road access to a choice of custom toll mills 2001 open-pit bulk sample yielded 14,000 t with 9.84 g/t Au reconciled head grade and +97% recovery July 2016 resource: M&I: 91,100 t at g/t Au (38,000 oz) Inf: 6,500 t at 9.15 g/t Au (1,900 oz) 2001 open-pit bulk sample 2004 underground bulk sample yielded 8,000 t with g/t Au reconciled head grade and +97% recovery Pre-feasibility study expected early February 2017 Milling and contractor terms in hand Permitting underway with target for Q production decision 2004 underground bulk sample 8

9 EXPLORATION UPSIDE AT THE FENELON GOLD MINE PROPERTY 2017 Phase 1 drilling planned for Q1, 2017 Initial 1800 metres planned in nine holes to test open zones near the mine design Longer term potential for similar quality mineralization to continue downplunge Broader property largely unexplored with very little drilling. 9

10 THE PARKIN PROPERTY: NICKEL-COPPER-PGMS IN SUDBURY, ONTARIO Advanced-staged exploration for highgrade Ni-Cu-PGM mineralization in Ontario s prolific Sudbury mining district 2,280 ha over 9.5 km strike length of the dyke Past-producing Milnet Mine High-grade Milnet 1500 zone discovery Historic near-surface Parkin resource $11M over 4 years Lonmin funding option program, $2.1M with 11,080 m drilling: High grade results Tripled known mineralization 2016 Malbeuf zone 2017 program, started Oct 2016 and includes $3.5M for 20,000 m drilling 10

11 THE PARKIN PROPERTY LARGE SCALE DISCOVERY POTENTIAL Offset dykes account for 1/3 of past-production and current resources in Sudbury Parkin Offset dyke is hugely under-explored relative to other Offset dykes in Sudbury The Copper Cliff Offset dyke has over 240 Mt of high-grade pastproduction (Lightfoot, 2007) Copper Cliff hosts Vale s Kelly Lake deposit with 11.4 Mt, 1.7% Ni, 1.4% Cu, & 3.8 g/t Pt+Pd Worthington includes Vale s Totten Mine with 10.1 Mt, 1.5% Ni, 2.0% Cu, & 4.8 g/t Pt+Pd Worthington also hosts KGHM s Victoria discovery with 14.5 Mt, 2.5% Ni, 2.5% Cu, & 7.5 g/t Pt+Pd To-scale comparison of Wallbridge s Parkin Offset dyke with other Offset dykes in Sudbury 11

12 THE PARKIN PROPERTY ONGOING ADVANCED STAGE EXPLORATION 20,000 metre partner-funded drilling was initiated in October 2016 to follow-up results from earlier in program finished 11,080 metres drilling in April 2016 with highgrade results approx. tripling the extent of known mineralization Multiple High Grade Zones from Surface to 300 metres depth: WMP-010: 1.04 % Ni, 1.07 % Cu, 2.70 g/t TPM over m WMP-170: 1.22 % Ni, 1.50 % Cu, 2.15 g/t TPM over m WMP-195: 1.36 % Ni, 1.02 % Cu, 1.59 g/t TPM over 7.46 m Highlight drill holes at Milnet 1500 are: WMM-014: 0.78% Ni 2.57% Cu 8.00g/t TPM m WMM-015-W2: 4.11% Ni 0.60% Cu 4.32g/t TPM 8.0 m WMM-018-W4 Off-hole conductor extends zone The 2017 program started Oct 2016 with $3.5 million partnerfunding for 20,000 m drilling 80% of 2017 drilling focused on expanding known zones, 20% for discovery of new zones 12

13 THICK, HIGH-GRADE NICKEL-COPPER-PGM SULFIDE INTERSECTED ON PARKIN PROPERTY Drill hole WMP metres from to metres 1.22 % Ni, 1.50 % Cu, 0.81 g/t Pt, 0.96 g/t Pd, 0.38 g/t Au Press Release dated April 4,

14 WALLBRIDGE S FOUNDING EQUITY STAKE IN CARUBE COPPER CORP (TSXV:CUC) WM owns 15.5% of Carube Copper with board representation 100% interest in seven properties covering 535 km2 of the best copper and gold prospects in Jamaica Near drill ready targets on Rogers Creek and Mackenzie properties in British Columbia The substantial benefit of $14M of exploration work by OZ Minerals over the last 3 years Numerous advanced targets with promising drill intersections to follow up Over 30 untested blue sky targets Large geophysical, geological and geochemical databases 14

15 WALLBRIDGE SHARE STRUCTURE AND CORPORATE DIRECTORY Issued & Outstanding Stock Options SHARE STRUCTURE Omnibus Share Based Compensation Plan Warrants Fully Diluted M 7.0 M 18.1 M 45.4 M M Share Price at January 3, 2017 $0.060 FOR FURTHER INFORMATION Linda Zubal, VP Corporate Communication ext. 263 lzubal@wallbridgemining.com Share Structure 10.8% 9.8% 58.8% 16.8% 3.7% Lonmin Plc William Day Construction High Net Worth Friends Insiders Public Float 15