starcore international mines - corporate presentation
TRANSCRIPT
STARCORE INTERNATIONAL MINES LTD.
TSX:SAM
DISCLAIMER
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The data contained herein is provided for information purposes only. Certain information has been compiled from sources believed to be reliable. No information in this presentation is to be construed as an offer to buy or sell securities. Some statements contained in this presentation are forward-looking and, therefore, involve uncertainties or risks that could cause actual results to differ materially. Such forward-looking statements include among other things, comments regarding mining and milling operations, mineral resource statements and exploration program performance. They may also include statements with respect to the Company's mineral discoveries, plans, outlook and business strategy. The words "may", "would", "could", "should", "will", "likely", "expect," "anticipate," "intend", "estimate", "plan", "forecast", "project" and "believe" or other similar words and phrases are intended to identify forward-looking information. Factors that could cause actual results to differ materially include, but are not limited to, metal price volatility, economic and political events affecting metal supply and demand, fluctuations in mineralization grade, geological, technical, mining or processing problems, exploration programs and future results of exploration programs, future profitability and production, the ability to raise sufficient capital to fund exploration, litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological or operational difficulties or inability to obtain permits encountered in connection with exploration activities, and labour relations matters. This list is not exhaustive of the factors that may affect our forward-looking information. These and other factors should be considered carefully and readers should not place undue reliance on such forward-looking information. The Company disclaims any intention or obligation to update or revise forward-looking information, whether as a result of new information, future events or otherwise. The reader agrees to hold the Company and its subsidiaries, and their respective officers, employees and agents harmless against any claims for damages or cost or any loss of any kind arising out of the access to or use of this presentation or any information contained in or obtained through this presentation. Cautionary Note to United States Investors Concerning Estimates of Measured, Indicated and Inferred Resources: These tables use the terms "Measured", "Indicated" and "Inferred" Resources. United States investors are advised that while such terms are recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize them. "Inferred Mineral Resources" have a great amount of uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or any part of Measured or Indicated Mineral Resources will ever be converted into Mineral Reserves. United States investors are also cautioned not to assume that all or any part of an Inferred Mineral Resource exists, or is economically or legally mineable. David Gunning, P.Eng., a director of the Company and Chief Operating Officer, is the Company's qualified person on the project as required under NI 43- 101and has prepared the technical information contained in this presentation.
www.starcore.com TSX:SAM
THREE PILLAR PHILOSOPHY
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Sustainability in our community and business practices
Operational Excellence and effective capital allocation
Profitability through cash flow growth and a strong balance sheet
THE CORNERSTONE TO OUR BUSINESS APPROACH
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WHO ARE WE?A Growth-Oriented Producing Gold Mining
Company
Increasing shareholder value
through sustainable business plans
Vision
Focused on the development of the
San Martin mine while advancing
our portfolio
Aligning our operations with
actionable business
approaches
Delivering sustainability,
operational excellence, and
profitability
Impacting the Mexican mining
community through strategic
acquisitions
Focus Values Purpose
Strategy
Board of Directors Robert Eadie,
CEO & President
Antonio Berlanger, P.
Eng, Altiplano Plant
Richard Kern, MSc. P. Geo,
Toiyabe Project
Gary Arca, CFO
Dave Visagie, Qualified
Person, NI 43-101,
El CrestonProject
David Gunning, COO, San
MArtin
Accounting Department
Gary Wood, P. Geo,
Exploration Manager
San Martin Mine
A Strategic Blend of Management
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PROCESSING
AJAX PROPERTY: ALICE ARMS, BC
MOLYBROOK PROJECT: GREY RIVER, ND
ALTIPLANO PLANT:
MATEHUALA, MEX.
EL CRESTON: SONORA, MEX.
SAN MARTIN: QUERETARO, MEX.
TOIYABE PROPERTY: NEV., USALONE RANCH PROPERTY: WASH., USA
ProductionProcessingExploration
OPERATING MINE
EXPLORATION
Starcore International Mines Ltd.
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COMPANY ASSETS
STRATEGIC ACQUISITIONS IN 2014
• Acquisition of American Consolidated (TSX.V:AJC)
• Acquisition of Creston Moly Project (TSX.V:ML)
• Proposed takeover of Cortez Gold (TXS.V:CUT)
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STRONG GROWTH-ORIENTATION
REFORESTATION AND COMMUNITY INITIATIVES INCREASE OUR SUSTAINABILITY
• Nursery for plants of the region totals 10,000 plants per year
• Trees planted on top of dry tailings between May – July total an estimated 7,500 plants
• Trees planted by children of Starcore employees totaled 90 plants
PRESA DE JALES NURSERY PRODUCTIONTomatoes 336.6 kg Cabbage 36 piecesChili Peppers 68.6 kg Swiss Chard 19.3 kgHeads of Lettuce 488 pieces Peas 3.5 kg
ENVIRONMENTAL SENSITIVITY
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CHARITY DAYPOST-OPERATION HOSPICE FOR CHILDREN
• Held a charity event to provide hospice with food and supplies for children who have undergone major surgery
• Provided post-operation care, including medial services for people coming from the poorest states, such as: Guerro, Oaxaca, and Michoacan
SAN MARTIN MINE
• Low Training Costs: access to knowledgeable workers in historic mining district.
• Located in a safe transit corridor that helps with supply-chain management.
OPERATING RESULTS 2014 FISCAL YEARTonnes Milled 308,610 Recovery (Au Oz) 87%Production (AuEq Oz.)
24.2 Grade (Au) 2.55 g/t
Recovery (Ag Oz) 52% Grade (Ag) 24.2 g/t
PROPERTY HIGHLIGHTS
• Host Rock: Limestone enables low drill and steel costs as well as rapid blast cycles.
Please see the news release dated August 11,2014 as filed on SEDAR and available on the Company website www.starcore.com. The information presented has been prepared by David Gunning, P. Eng., a director of the Company , the Chief Operating Officer, and the Company’s qualified person on the project as required under NI 43-101,.
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ClassificationTonnes (000's)
Gold (g/t)
Silver (g/t)
Gold (000's of Oz)
Silver (000's of Oz)
Gold Equivalent (000's of Oz)
Reserve:San Martin MineProven 180 2.31 19 13.4 110 15.1Probable 307 2.31 18 22.8 177.7 25.5Total Reserve 487 2.31 19 36.2 287.7 40.6
Inferred Resources 898 2.15 24 62.1 693 72.8
Inferred Mineral Resources are not known to the same degree of certainty as Mineral Reserves and do not have demonstrated economic viability. A 65:1 silver to gold equivalency ratio was used to calculate gold equivalent ounces. The reserves above exclude approximately 20,300 equivalent ounces of metal contained in carbonaceous limestone discussed in MD&A April 30, 2015. Dave Gunning, P. Eng is the qualified person. As of July 31, 2014, reserves and resources at San Martin as reported in “RESERVES AND RESOURCES IN THE SAN MARTIN MINE, MEXICO AS OF JULY 31, 2014”, dated October 6, 2014, prepared by Joseph Campbell, P. Eng.. (the “Technical Report”), as filed on SEDAR and available on the Company website www.starcore.com
RESERVES AND RESOURCES FOR THE SAN MARTIN MINE JULY 31, 2014
SAN MARTIN MINE
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*Reported at a cut-off grade of 0.036% molybdenum-equivalent within a Whittle pit shell. Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. All numbers have been rounded to reflect the relative accuracy of the estimates based on technical report done by JDS Energy and Mining. Dave Visagie is the Qualified Person, P. Engineer.
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Located in Sonora, Mexico,
the advanced stage El Creston project is 100%
owned by Starcore
International Mines
El Creston deposit has
potential to be low cost
producer with excellent
potential to expand the
resource base
El Creston/Red Hill Deposit hosts M&I
resource of 215,400,000
tonnes containing
335.5 Million lbs Molybdenum at 0.071% and 281
Million lbs Copper at
0.06%*
LARGE HOLDINGSFULL OWNERSHIP LOW COST POTENTIAL
LARGE DEPOSIT
EL CRESTON MOLY-COPPER
Six zones of a Porphyry
Molybdenum Copper
mineralization in a 5.5km
trend
The technical information relating to the El Creston Project is based on the technical report entitled "Preliminary Economic Assessment, El Creston Project, Opodepe, Sonora, Mexico", dated December 16, 2010, filed under the Creston Moly Corp. issuer profile on SEDAR. Information regarding the effective date of the mineral resources, key assumptions, parameters and methods used to estimate the mineral resources, and known risks that materially affect the mineral resources can be found in the technical report.
NEAR-SITE EXPLORATION TARGETS
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SIX ZONES WITH PRIME CONDITIONS FOR
EXPANSION
Maine Zone
Alejandra
Red Hill
Red Hill Deep
Red Hill West
A-37
DRILLING HIGHLIGHTS
• Pre-drilling of 128 holes, 36,605 m
• 2010 Drill Program: 62 DDH, 11,254m
• Drilling identified ore grades in designated waste areas, extending the main pit north and south
The technical information relating to the El Creston Project is based on the technical report entitled "Preliminary Economic Assessment, El Creston Project, Opodepe, Sonora, Mexico", dated December 16, 2010, filed under the Creston Moly Corp. issuer profile on SEDAR. Information regarding the effective date of the mineral resources, key assumptions, parameters and methods used to estimate the mineral resources, and known risks that materially affect the mineral resources can be found in the technical report.
CRESTON TREND GEOLOGY
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STARCORE’S ROLE
Starcore looks to provide project and cost
optimizations on initial studies
Maine Zone
Alejandra
Red Hill Deep
Red Hill West
Red Hill
A-37
The technical information relating to the El Creston Project is based on the technical report entitled "Preliminary Economic Assessment, El Creston Project, Opodepe, Sonora, Mexico", dated December 16, 2010, filed under the Creston Moly Corp. issuer profile on SEDAR. Information regarding the effective date of the mineral resources, key assumptions, parameters and methods used to estimate the mineral resources, and known risks that materially affect the mineral resources can be found in the technical report.
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STARCORE’S ROLE
Starcore looks to provide project and cost
optimizations on initial studies
Strategic Financing ProjectsFour projects located in the US, Canada, and Mexico
TOIYABE NEV., USAGOLD EXPLORATION IN
NEVADA• Safe and consistent
country risk
• 4,975,000 tons @ 0.0349 which equals 173,562 contained ounces at a 0.01 opt cut-off*
*This estimate was prepared as at May 27, 2009. Indicated Resources consist 173,562 ounces of gold in 4,975,000 tons of rock, for a calculated average grade of 0.0349 ounces per ton (opt) at a 0.01 opt cut-off. See technical report entitled "Summary Report and Mineral Resource Estimate on the Toiyabe Gold Property Lander County, Nevada for American Consolidated Minerals Corporation" dated May 27, 2009 filed by American Consolidated Minerals Corporation on its SEDAR profile at www.sedar.com prepared by Paul Noland, P. Geo., for information regarding the key assumptions, parameters and methods used to estimate the mineral resources. The technical report was reviewed by Mr. David Gunning, P. Eng, on behalf of the Company. To the Company's knowledge, information and belief, there is no new scientific or technical information that would make disclosure of the mineral resources inaccurate or misleading.
• Battled Mountained-Eureka trend has identified more than 32 million ounces of gold
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• Located and similar Geological setting as the Kitsault Moly Mine in Alice Arms, B.C., owned by Alloycorp Mining Inc., formerly Avanti Mining Inc.
• Large molybdenum deposit outlined and is open to expansion*
• 100% owned by Starcore International Mines
Dave Visagie is the Qualified Person. NI 43-101 (May 2008)*This comparison is based on technical information about the location and geology of the Ajax project found in the technical report, “ Update of Resources Estimation Ajax Property “ dated April 18, 2007 filed May 11, 2007 on SEDAR by the Tenajon Resources Corporation; and technical report titled NI 43-101 Technical Report on Resources – Kitsault Molybdenum Property” dated August 4th, 2008, filed August 5, 2008 on SEDAR by Avanti Mining Inc.
PROJECT HIGHLIGHTS
AJAX MOLYBDENUM B.C.
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MOLYBROOK NL
• 100% interest in the Moly Brook property in NL
• 2009 Resource estimate shows indicated resources of 86 million tonnes (124.6 pounds) of Mo grading .065%
• High grade, in excess of 0.08% molybdenum, occurs over significant widths.
• Potential to host significant bulk tonnage, open pittable, molybdenum deposits
Dave Visagie is the Qualified Person. NI 43-101 (May 2009)
PROJECT HIGHLIGHTS
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• 54 unpatented mineral claims Ferry County, Washington
• Positive HEM survey flown in 2007
• Potential for wealth creation through JV and feeding nearby Processing facilities
PROJECT HIGHLIGHTS
Technical information in this news release relating to the Ajax Project is based on the NI 43-101 Resource Estimate Press Release entitled "Tenajon Announces 75% Increase in Indicated Molybdenum Resources at Ajax Project", dated May 15, 2008 and the technical report entitled "Update of Resource Estimation, Ajax Property, Alice Arm, British Columbia", dated April 18, 2007, both of which are filed under the Tenajon Resources Corp. issuer profile on SEDAR.
LONE RANCH WASH., USA
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POSITIVE CASH-FLOW GROWTH
SHARE STRUCTURE
The share structure indicated is as of July 23rd, 2015.
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Issued and Outstanding: 151,946,847
Options: 113,850,000
Warrants: 557,135 Fully Diluted: 163,888,982
WHY STARCORE?INVESTMENT ADVANTAGE
CASH FLOW GROWTH
OPERATIONAL EFFICIENCY
EXPLORATION UPSIDE
DEDICATED MANAGEMENT & EMPLOYEES
STRATEGIC ASSETS IN GOOD JURISDICTIONS
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CALL INVESTOR RELATIONS NOW!
Telephone: 416-640-1936Toll Free: 866-602-4935Website: www.starcore.comEmail: [email protected]
Contact Information:85 Richmond Street West, Suite 904Toronto, Ontario, M5H 2C9
Trading Symbols:TSX:SAMFK:V4J
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