Cash Flow. Forward-Looking Information. On The Radar (TMX Equicom) - Toronto. October 24, 2013

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1 Focused on Generating Cash Flow October 24, 2013 On The Radar (TMX Equicom) - Toronto Forward-Looking Information This presentation contains forward-looking statements and forward-looking information (collectively forwardlooking information ) as defined in applicable securities laws that reflect SAS current expectations and projections about its future results, plans and objectives. All statements other than statements of historical fact are considered forward-looking information. Forward-looking information is based on assumptions, estimates, analysis and opinions of Management made in light of its experience and its perception of trends, current conditions and expected developments, as well as other factors, which h the Company believes to be relevant and reasonable in the circumstances. This presentation uses words such as estimate, intend, believe, expect, anticipate, plan, potential and similar terminology to identify forward-looking information. Forward-looking information is contained throughout this presentation, specifically regarding the Company s production and capital budgets, and planned gold production levels at the Holt, Holloway and Hislop mines; the development of additional production zones and the average ore grade at Holt; the resumption of mining at the West Pit at Hislop and the production level therefrom; required capital expenditures at the Holt and Holloway mines as well as the Holt Mill; the extent and timing of development initiatives at Taylor; the impact of gold price fluctuations on the Company s operating cash flow, planned capital expenditures, and changes at the operations; the impact of exchange rate fluctuations on the Company s currency forward derivatives; the continued availability of tax deductions; the nature, location and objectives of exploration programs in 2013; the expansion of mineral resources through successful exploration and levels of mineral reserves, development and acquisitions; the sufficiency of the Company s cash flow and existing iti cash reserves to achieve its 2013 objectives including the advancement of Taylor and other exploration projects. Forward-looking information are subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those implied by the forward-looking information. Factors that may cause actual results to vary materially include, but are not limited to, assumptions about the general business and economic conditions; the accuracy of the Company s mineral reserves and mineral resources estimates (including with respect to size, grade and recoverability) and the geological, operational and price assumptions on which these are based; the volatility and level of the price of gold including that the gold price will generally remain within a reasonable range of current levels; the ability to achieve capital and operating cost estimates; the sufficiency of cash reserves and operating cash flow to maintain and potentially expand gold production levels, exploration and development activities; continued compliance by the Company with the terms of the credit facility; the availability of additional financing on acceptable terms if and as required; and the continued availability of adequate skilled manpower and the retention of key personnel. A description of these risks and uncertainties can be found in the Company s Annual Information Form obtained on SEDAR at SAS disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. Simply Achieving Success 2

2 SAS Highlights A Significant Junior Gold producer in the Canadian Shield Strong Balance Sheet On Track to Produce 95, ,000 Ounces of Gold in 2013 Conducting Advanced Exploration at the Taylor Project Supported by an Experienced Team The Largest Landholder for Gold Exploration in the Timmins Mining District Simply Achieving Success 3 Experienced Management Team DIRECTORS Graham Farquharson P. Eng (Chairman) Herbert Abramson Catherine A. Gignac Warren Seyffert QC Q.C. John Hick B.A., LLB David Michael Petroff B.MATH, MBA Duncan Middlemiss P. Eng. SENIOR MANAGEMENT Duncan Middlemiss P.Eng President & CEO Ben Au CFO and VP of Finance Pierre Rocque P.Eng VP of Engineering Doug Cater P.Geo VP of Exploration Formerly Mine Manager with Kirkland Lake Gold and Chief Mine Engineer for Holt-McDermott Mine (Barrick). JoinedSAS in 2008 as VP Operations, and later assumed the role of COO. Formerly Controller with Agnico-Eagle Mines. Formerly Director of Technical Services with Lakeshore Gold Corp., and AMEC Americas Ltd. Formerly with Sabina Silver Corp and Dundee Precious Metals. Simply Achieving Success 4

3 Land Position in the Timmins Mining District Ontario/Québec Border Ghost Targets/ Zone 4 Hislop North Simply Achieving Success Operating Results Q12013A Q2 2013A Q3 2013A YTD 2013E Guidance Gold Production 24,461 25,353 25,434 75,248 95, ,000 Mine Cash Costs (Per Ounce) Royalty Costs (Per Ounce) Total Cash Costs * (Per Ounce of Gold Sold) US$794 US$780 TBA TBA US$800-$850 $ US$145 US$117 TBA TBA US$125-$140 US$939 US$897 TBA TBA ~US$945 *Note: for full summary of results and non-gaap measures, please refer to the Company s Q2/2013 MDA and Financial Report available on the website ( or under the Company s profile on SEDAR at Simply Achieving Success 6

4 Q2 All-In Sustaining Cost Comparison Q Statistics US$ per ounce Realised price/ ounce of All-in cash costs* gold sold Margin Barrick ABX $1,411 $919 $492 New Gold NGD $1,276 $931 $345 Kinross K $1,394 $1,072 $322 Agnico-Eagle AEM $1,336 $1,127 $209 Aurico AIQ $1,366 $1,189 $177 IAM Gold IMG $1,373 $1,196 $177 St Andrew (1) SAS $1,428 $1,216 $212 Lakeshore Gold LSG $1,409 $1,257 $152 Goldcorp G $1,358 $1,279 $79 Brigus Gold BRD $1,321 $1,334 -$13 Newmont NEM $1,386 $1,441 -$55 Average $1,369 $1,191 $177 High $1,428 $1,441 $492 Low $1,276 $919 -$55 * Q All-in sustaining costs are as disclosed by the respective entities.; Margin per ounce demonstrates the entities ability to generate or deplete cash flows. (1) Before project under development (Taylor). Simply Achieving Success 7 Cash and Cash Resources Q Q Q Working Capital $ 16.5 Million $ 18.2 Million $ 8.2 Million Cash and cash equivalents $ 31.5 Million $ 30.7 Million $ 16.9 Million Revolving Credit Facility US$ 10.0 Million (undrawn) US$ 10.0 Million (undrawn US$ 10.0 Million (undrawn Bank Debt* US$ 11.0 Million (1) US$ 13.0 Million US$ 15.0 Million (1) The company made its semi-annual repayment of US$2 million in September 2013, reducing the bank debt to US$9 Million in Q *interest rates vary depending on the Company s total debt ratio and ranges between 2.00% and 2.75% above prime, based on prime rate advances, or 3.00% and 3.75% above LIBOR, based on LIBOR advances. *the Company must make semi-annual payments of US$2million to reduce the term credit owing. in September, SAS made its first semi-annual payment of US$2million on the term debt. Simply Achieving Success 8

5 2013E All-In Sustaining Costs Revised All-In Cash Cost Estimate at June 30, 2013 US$155 US$150 US$60 US$55 US$945 US$1,210 Spending Reduction of ~36% Sustaining Capital Exploration & Evaluation Assets General & Administration Expenses Total Cash Costs Deferred Capital Savings Simply Achieving Success 9 Operations Overview HOLT MINE (Underground) Reserves 5.10 g/t Au 490,000 ounces) Production Rate ~1,100tpd 2013 Production ~55% of total production HOLLOWAY MINE (Underground) Reserves 4.26 g/t Au 41,000 ounces) Production Rate ~700tpd 2013 Production ~23% of total production HISLOP MINE (Open Pit) Reserves 2.16 g/t Au 31,000 ounces) Production Rate ~1,200tpd 2013 Production ~22% of total production Simply Achieving Success 10

6 HOLT MINE Long Section Looking North Zone Level *Reserves (Proven & Probable) 5.10 g/t Au (490,000 ounces) 925 Level 1075 Level Completed development Planned development Mined stopes Zone 6 Upper 775 Level * As at December 31, Level Exploration Potential future drilling 925 Level 1,000ft Zone 6 Lower Simply Achieving Success 11 Taylor Project Advanced Exploration Mineral reserves of Au for 173,000 ounces with estimated annual production of 41,000 ounces over the mine life lens Initial Bulk Sample 1004 lens Targeted 2 nd Bulk Sample Definition Drilling Program Simply Achieving Success 12

7 Taylor Project Highlights From Definition Drilling Program T m g/t T B 27.7m 5.49 g/t T m 6.62 g/t T m 5.40 g/t T A 28.2m 5.92 g/t T A 10.7m 8.64 g/t 1008 lens * See press release dated August 27, Simply Achieving Success Million Ounce Gold Belt Simply Achieving Success 14

8 Holloway Mine - Smoke Deep and Sediment Zone Long Section Looking East Additional Drilling during Q2/Q3 * See press release dated Mar 4, 2013 Simply Achieving Success 15 Hislop North Project Plan View 4.43g/t Au/ 20.2 metres; incl g/t Au/ 3.8 metres Simply Achieving Success 16

9 Hislop Pit Complex Plan View 3.06 /21.8 (incl /8.2) 7.01/8.1 Simply Achieving Success 17 Share Structure Shares Outstanding Stock Options Fully Diluted million 14.7 million million Market Capitalization ~108 Million Major Shareholders Abramson Family Trapeze Asset Management Sprott Asset Management * Share structure as of September 30, 2013, Market Cap as of October 16, 2013 Simply Achieving Success 18

10 Analyst Coverage LOEWEN ONDAATJE, MCCUTCHEON LIMITED Michael Fowler STONECAP SECURITIES Christos Doulis SECUTOR CAPITAL MANAGEMENT CORP Lilliana Paoletti Simply Achieving Success 19 Why Invest in SAS Fifth Consecutive Quarter of Positive Cash Flow from Operations SAS Simply Achieving Success ~100,000 Ounces of Annual Production Large Land Position with Exploration Upside For Future Growth Experienced Team Dedicated to Achieving Success Simply Achieving Success 20

11 APPENDIX Simply Achieving Success 21 Mineral Reserves As at December 31, 2012 MINERAL RESERVES ESTIMATE (December 31, 2012) Proven Probable Proven + Probable Project Tonnes ( 000) Grade (g/t Au) Ounces Ounces Ounces Tonnes Grade Tonnes Grade Au Au Au ( 000) (g/t Au) ( 000) (g/t Au) ( 000 oz) ( 000 oz) ( 000 oz) Holt 1, , , Holloway Hislop Taylor TOTAL 1, , , Mineral Reserves a) Mineral Reserves are excluded from Mineral Resources. In the update of December 31, 2011, Mineral Reserves were included in Mineral Resources; b) Mineral Reserves were estimated by Management according to CIM Definition Standards November 2010 c) Mineral Reserves for Holloway and Holt were estimated using an average long-term gold price of US$1,400 per ounce and an exchange rate of $1.00 = US$1.00; d) Mineral Reserves for Hislop were estimated using an average gold price of US1,600 per ounce and an exchange rate of C$1.00 = US$1.00; e) Mineral Reserves included in the 2013 mining plan were estimated using an average gold price of US$1,600 per ounce and an exchange rate of C$1.00 = US$1.00; f) Mineral Reserves for Taylor (includes the WPZ only) were estimated using an average long-term gold price of US$1,300 per ounce and an exchange rate of C$1.00 = US$0.98; g) Mineral Reserves for Holloway and Holt were estimated using a cut-off grade of 3.0 g/t Au; h) Mineral Reserves for Hislop were estimated using a cut-off grade of 1.1 g/t Au; i) Mineral Reserves for Taylor were estimated t using acut-off grade of 3.5 g/t Au; j) Tonnes and gold ounce information is rounded to the nearest thousands as such, rows and columns may not add exactly due to rounding. Simply Achieving Success 22

12 Mineral Resources As at December 31, 2012 MINERAL RESOURCES ESTIMATE (December 31, 2012) Measured Indicated Inferred Project Tonnes Grade ( 000) (g/t Au) Ounces Au ( 000 oz) Tonnes Grade ( 000) (g/t Au) Ounces Au ( 000 oz) Tonnes Grade ( 000) (g/t Au) Ounces Au ( 000 oz) Holt 1, , , Holloway , , Hislop Taylor , , Aquarius , , Clavos TOTAL 2, , ,971 7, ,029 Mineral Resources a) Mineral Resources are exclusive of Mineral Reserves. In the update of December 31, 2011, Mineral Resources were inclusive of Mineral Reserves; b) Mineral Resources were estimated by Management according to CIM Definition Standards November 2010 c) Mineral Resources for Holloway and Holt were estimated t using an average long-term gold price of US$1,500 per ounce and an exchange rate of C$1.00 = US$1.00; d) Mineral Resources for Holloway and Holt were estimated at a cut-off grade of 2.5 g/t Au; e) Mineral Resources for Hislop were estimated at a cut-off grade of 0.6 g/t Au, and uses an average long-term gold price of US$1,800 per ounce and an exchange rate of C$1.00 = US$1.00; f) Mineral Resources for Taylor were estimated using a block cut-off grade of 2.5 g/t Au for the West Porphyry and 3.0 g/t Au for the Shoot and uses a US$1,200 per ounce long-term gold price and an exchange rate of C$1.00 = US$0.98 g) Mineral Resources for Aquarius are as of the October 2, 2006, RPA Technical Report. Mineral Resources were calculated using a long term gold price of US$500 per ounce and an exchange rate of C$1.00 = US$0.90. No cut-off grade was applied because of uncertainty about selectivity within the deposit; h) Mineral Resources for Clavos JV were estimated as of the October, 2012, RPA Technical Report. Mineral Resources were calculated lated using a long term gold price of US$1600 per ounce and an exchange rate of C$1.00 = US$1.00. A cut-off grade of 2.75 g/t Au was applied. i) The Clavos Resource noted in the table represents SAS s 40% share of the project resource. j) Tonnes and gold ounce information is rounded to the nearest thousands. As a result, rows and columns may not add up exactly due to rounding. Simply Achieving Success 23 TSX SAS OTCQX STADF 20 Adelaide Street East, Suite 1500 Toronto ON M5C 2T6 Canada Tel: ; Toll Free: Fax: Simply Achieving Success 24