BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | - - PowerPoint PPT Presentation

building the future with base metals
SMART_READER_LITE
LIVE PREVIEW

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | - - PowerPoint PPT Presentation

December 2018 BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com FORWARD LOOKING STATEMENTS This presentation includes certain "forward-looking


slide-1
SLIDE 1

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

BUILDING THE FUTURE WITH BASE METALS

TSX-V: BMET | bemetalscorp.com

December 2018

slide-2
SLIDE 2

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

FORWARD LOOKING STATEMENTS

This presentation includes certain "forward-looking statements" and “forward looking information” (as defined under applicable securities laws), based on management’s best estimates, assumptions and current

  • expectations. Such statements include but are not limited to, statements with respect to the plans for future exploration and development of the Pangeni Copper Project and the acquisition of additional base metal
  • projects. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "expects", "expected", "budgeted", "forecasts" , "anticipates" "plans", "anticipates", "believes",

"intends", "estimates", "projects", "aims", "potential", "goal", "objective", "prospective", and similar expressions, or that events or conditions "will", "would", "may", "can", "could" or "should" occur. These statements should not be read as guarantees of future performance or results. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those expressed or implied by such statements, including but not limited to: risks related to the Pangeni Copper Project; risks related to international operations; risks related to general economic conditions, actual results of current exploration activities, unanticipated reclamation expenses; changes in project parameters as plans continue to be refined; fluctuations in prices of metals including copper and other base metals; fluctuations in foreign currency exchange rates, increases in market prices of mining consumables, possible variations in resource estimates, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes, title disputes, claims and limitations on insurance coverage and other risks of the mining industry; delays in the completion of exploration, development or construction activities, changes in national and local government regulation of mining operations, tax rules and regulations, and political and economic developments in countries in which the Company

  • perates. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause

results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such

  • statements. The forward-looking statements and forward looking information are made as of the date hereof and are qualified in their entirety by this cautionary statement. The Company disclaims any obligation to

revise or update any such factors or to publicly announce the result of any revisions to any forward-looking statements or forward looking information contained herein to reflect future results, events or developments, except as require by law. Accordingly, readers should not place undue reliance on forward-looking statements and information. Please refer to the Company’s most recent filings under its profile at www.sedar.com including its Filing Statement dated July 18, 2018 for further information respecting the risks affecting the Company and its business. John Wilton (Pr.Sci.Nat), President, CEO and Director of BeMetals Corp. is the “qualified person” for the purposes of the National Instrument 43-101 Standards of Disclosure for Mineral Projects (NI- 43-101), and he has reviewed and approved the technical disclosure contained in this presentation.

2

slide-3
SLIDE 3

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

DIRECTORS, MANAGEMENT & ADVISORS

3 DEREK IWANAKA, B.Comm (Marketing)

VP, INVESTOR RELATIONS & CORPORATE DEVELOPMENT

Brings a wealth of investor relations and marketing experience. During his 15+ years in the mining sector he has built an extensive network of analysts, news letter writers, retail investors and institutional investors. He started his career with Bema Gold (NYSE & TSX: BGO) in 2002 and has since been instrumental in the mergers, acquisitions, and divestures of over 20 gold, silver, nickel, and uranium properties and companies.

KRISTEN REINERTSON

CHIEF FINANICAL OFFICER, CORPORATE SECRETARY & DIRECTOR

Also currently serves as Vice President, Corporate Finance of Fiore Management & Advisory Corp. where she has over 10 years of experience in corporate administration and financial advisory services for public companies in the natural resource sector.

CLIVE JOHNSON

DIRECTOR

Currently serves as President, CEO & Director at B2Gold (NYSE: BTG, TSX: BTO) and previously at Bema Gold (NYSE & TSX: BGO). Collectively he has raised over US$2 billion in equity and debt financings for the construction of numerous profitable

  • perating mines around the globe. Today, B2Gold has grown to become a leading

senior gold producer.

TOM GARAGAN, BSc (Honours) Geology

DIRECTOR

Currently serves as Senior Vice President, Exploration at B2Gold (NYSE: BTG, TSX: BTO) and previously at Bema Gold (NYSE & TSX: BGO). He has led the exploration teams which have discovered over 32 million ounces of gold, 6 billion pounds of copper and 56 million ounces of silver. His teams’ discoveries include Refugio and Cerro Casale in Chile as well as Kupol in far-east Russia.

JOHN WILTON, BSc (Honours) Geology

PRESIDENT, CEO & DIRECTOR

28 years of experience in the minerals industry including roles in target generation, feasibility studies, and business development for base and precious metals. From 2010-2017, he was the Regional Exploration Manager of Africa at Antofagasta PLC. He was also a senior member of both the discovery and resource development teams of the Otjikoto Gold Mine in Namibia with Anglovaal Mining.

ROGER RICHER, BA, LLB

DIRECTOR

Serves as the Executive VP, General Counsel & Corporate Secretary of B2Gold (NYSE: BTG, TSX BTO) and previously at Bema Gold (NYSE & TSX: BGO). Currently he oversees the legal affairs, corporate records and corporate governance of B2Gold.

RICHARD SILLITOE, Ph.D.

TECHNICAL ADVISOR - ECONOMIC GEOLOGIST World-renowned economic geologist who has been an economic geological consultant for over 40 years and has worked in more than 100 countries. He has made major contributions to the discovery of a variety of deposits and has authored over 130 economic geology articles as well as three books. Specializes in deposit modeling using field observations and drill core.

DENNIS STANSBURY, P.Eng

TECHNICAL ADVISOR - MINING ENGINEER

Serves as Senior Vice President, Engineering & Project Evaluations at B2Gold (NYSE: BTG, TSX: BTO) and was previously Senior VP, Development & Production at Bema Gold (NYSE &TSX: BGO). He has over 40 years of engineering, construction, production and management experience at surface and underground mines in fifteen different countries. Lead the development teams in completing 5 mines on schedule and on budget.

slide-4
SLIDE 4

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

OUR STRATEGY AND COMPETITIVE ADVANTAGE

Founded by executives of B2Gold Corp. who have a demonstrated track record of identifying, funding, constructing, and operating numerous mines around the globe. Assemble a balanced portfolio of base metal projects focused on acquiring: 1. Near-term development assets or producing mines with expansion and exploration potential 2. Exploration properties with world- class discovery potential Utilize the team’s extensive network to access large deal flow of projects and lever their technical expertise to select high-value projects for exploration, development and production.

Building a base metal company that will focus on efficient delivery of high value exploration and mining development projects.

THE NEW PLAYER IN BASE METAL EXPLORATION & DEVELOPMENT

4

Utilize the founding team’s demonstrated banking relationships and ability to raise over US$2B for global acquisitions, exploration, construction and operation

  • f 10 mines world-wide.
slide-5
SLIDE 5

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

OUR GROWTH STRATEGY

5

1. Acquire a flagship development stage base metal project using the following guiding criteria:

  • Quality: High value ore with robust mine economics
  • Stage: DFS, PFS, or PEA (Short-lead time to production)
  • Size: Initial moderate tonnage and capex (credibility to JV larger scale projects)
  • Potential Deposit Types: VMS, Skarn, Vein-hosted, Oxide, Sediment-hosted
  • Jurisdiction: Open to a range of regions (Team has extensive global experience)

2. Exploration of Pangeni Copper Project

  • Advancing early-stage exploration with Tier 1 discovery potential

3. Build a balanced portfolio of projects

  • Expedite growth with parallel development and exploration assets

DFS = Definitive Feasibility Study PFS = Pre-feasibility Study PEA = Preliminary Economic Assessment Capex = Capital Expenditure VMS = Volcanogenic Massive Sulphide

slide-6
SLIDE 6

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

MANAGING RISK – OUR COMPETITIVE ADVANTAGE

Delivering on our promises Ongoing commitment to stakeholders including shareholders, employees and local communities Building positive relationships in the communities and at all levels of government in the regions in which we operate Adopting a win- win approach

PROVEN TRACK RECORD OF MANAGING POLITICAL, PERMITTING, AND FINANCING RISKS

1988

Chile

1998

Russia

2003 (& 1990)

South Africa

2009

Nicaragua

2011 (& 1999)

Namibia

2013

Philippines

2014

Mali

2014 (& 1988)

USA

6

2004

Zambia

FAIRNESS RESPECT TRANSPARENCY ACCOUNTABILITY

slide-7
SLIDE 7

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

PROVEN TRACK RECORD

BEMA GOLD Acquired by Kinross Gold for

CDN$3.5 B

B2GOLD Current Market Capitalization of

CDN$3.3 B

BeMetals Current Market Capitalization of

7

BEMA GOLD

  • Est. on Dec. 8 with a

Market Capitalization of

CDN$33.7 M

10,286% GROWTH 2007 1988 2007

B2GOLD IPO’d on Dec.6 for proceeds of

CDN$100 M

3,200% GROWTH 2018 2018

CDN$18 M

B2Gold’s Otjikoto Mine, Namibia Kupol Gold Mine, Russia

This is just the beginning!

slide-8
SLIDE 8

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

THE WORLD NEEDS BASE METALS

8

Uses of Copper – Highly Conductive

  • Building construction
  • Electrical & electronics
  • Transportation equipment
  • Consumer products
  • Machinery

Uses of Zinc – Anti Corrosive

  • Building construction
  • Consumer products
  • Galvanized steel such as in car bodies
  • Electrical & Electronics
  • Transportation
slide-9
SLIDE 9

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

9

THE WORLD NEEDS BASE METALS: GROWING COPPER DEMAND

Annual consumption growth estimated at 1.8% and has averaged 2.5% over the last 40 years

35,000 30,000 25,000 20,000 15,000 10,000 2010 2015 2020 2015 2030

5Mt

Existing Mines Refined Production

Source: RBC Capital Markets estimates: Wood Mackenzie

Tonnes (In thousands)

A Shortfall of Copper Supply Is On The Horizon

slide-10
SLIDE 10

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

50 100 150 200 250 300 350 5/7/2018 6/6/2018 7/6/2018 8/7/2018 9/6/2018 10/8/2018

Tonnes (In Thousands)

6 month LME Cu Warehouse Stock Levels

10 50 100 150 200 250 300 350 400 450 500 11/6/2013 9/8/2014 7/9/2015 5/10/2016 3/10/2017 1/10/2018

Tonnes (In thousands)

5 year LME Cu Warehouse Stock Levels +60% Decrease

THE WORLD NEEDS BASE METALS: SHRINKING COPPER SUPPLY

+50% Decrease

slide-11
SLIDE 11

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com 10,648 11,000 11,000 11,219 11,574 10,914 12,646 12,726 12,378 13,148 13,674 13,398 13,752 14,071

2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Tonnes (in thousands)

Global Consumption of Zinc 32% Increase

THE WORLD NEEDS BASE METALS – GROWING ZINC DEMAND

11

Source: Statista

slide-12
SLIDE 12

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

12

50 100 150 200 250 300 5/7/2018 6/6/2018 7/6/2018 8/7/2018 9/6/2018 10/8/2018 Tonnes (In Thousands)

6 month LME Zn Warehouse Stock Levels

200 400 600 800 1000 1200 11/6/2013 9/8/2014 7/9/2015 5/10/2016 3/10/2017 1/10/2018 Tonnes (in thousands)

5 year LME Zn Warehouse Stock Levels 90% Decrease

THE WORLD NEEDS BASE METALS: SHRINKING ZINC SUPPLY

+40 Decrease

slide-13
SLIDE 13

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com 200 km

Zambia

Angola DRC

Kamoa Kolwezi Konkola Mufulira Nkana Kansanshi Lumwana Sentinel

Post 2000 Discovery/Mine Development

Kakula

ZAMBIAN COPPERBELT: PANGENI EXPLORATION PROJECT

ZAMBIA

  • World-class exploration potential under the

Kalahari sand cover in the Copperbelt

  • Recent history of new mine developments:
  • First Quantum: Kansanshi Mine,

Sentinel, Kansanshi Smelter

  • Barrick: Lumwana Mine
  • BeMetals can earn up to 72% of Pangeni

property through an agreement with Copper Cross Zambia and Pangeni Mineral Resources by: 1.US$2.5M expenditures on property over 2 years and cash payments of US$300k & 500k shares (for 67.5%) 2.Completing a feasibility study & US$750k (for 4.5%)

13 Pre 2000 Discovery/Mine Development

Baluba/Luanshya Nchanga

  • Population of 16.5 million
  • Stable democracy & judicial

system

  • Strong and long history of

copper mining which is a fundamental sector of Zambia’s economy

  • Mining corporate tax = 35%
  • Variable copper price based

royalty

Central African Copperbelt

PANGENI COPPER PROJECT

slide-14
SLIDE 14

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

Kamoa Kakula Konkola Nkana Mufilara Luanshya Kolwezi Nchanga

N

Lumwana

PANGENI JV: REGIONAL PEDIGREE & COMPETITORS

PANGENI JV PROJECT

14

Ivanhoe Mines – Kamoa-Kakula Deposits Combined Indicated Resource: 80.7 Blbs Cu Metal(1) Combined Inferred Resource: 13.0 Blbs Cu Metal(1) First Quantum Minerals - Kansanshi Indicated Resource: 11.0 Blbs Cu Metal Inferred Resources: 5.8 Blbs Cu Metal First Quantum Minerals - Trident Indicated Resource: 12.0 Blbs Cu Metal Inferred Resources: 1.1 Blbs Cu Metal Barrick - Lumwana Indicated Resource: 7.7 Blbs Cu Metal Inferred Resources: 2.2 Blbs Cu Metal Zambian Copperbelt - Kafue Anticline Deposits Combined Indicated Resource: 165.3 Blbs Cu Metal

Trident

BeMetals’ Pangeni Property Covers 575km2

Mining Operation

Kansanshi Baluba

Footnotes: (1) At 1.0% Cut-off Grade (Cu%)

slide-15
SLIDE 15

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

PANGENI JV: PROOF OF CONCEPT INITIAL RESULTS

CENTRAL TARGET

  • Discovery of significant Cu + Co mineralization

with setting similar to other mines in Zambian Copperbelt

  • Intersections:
  • CT1, 6.1m @ 0.34% Cu (and 320ppm Co) (from 39m)
  • CT3, 6.0m @ 0.35% Cu (from 176m)
  • Other meaningful Cu mineralized zones intersected
  • Mineralization over at least 500m strike, >25km strike

potential of thrust structure under thin cover

Chalcopyrite, CT1, 147m Bornite, CT3, 198m Chalcopyrite, SW1, 135m Chalcopyrite, SW1, 148m

SW TARGET

  • Discovery of a significant Cu mineralized system
  • Intersections:
  • SW1, 4.5m @ 0.30% Cu (from 121.5m)
  • SW1, 5.5m @ 0.48% Cu (from 142.5m)
  • SW2, 2.0m @ 0.28% Cu (from 112.1m)
  • Other meaningful Cu mineralized zones intersected
  • Mineralization over at least 1200m strike; strike potential

several km

15

slide-16
SLIDE 16

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

SW1

CentralTarget SW Target Line B Line A Line D2 Line C4 Line E2 Line E3 Line E5

CT3 CT2 CT1

aircore

SW2

Extent of next map

PANGENI JV: HIGH VALUE EXPLORATION POTENTIAL

3 Diamond-drilled core boreholes at Central Target 2 Diamond-drilled core boreholes at SW Target

Central Target: Copper Clearing 16

  • Possible extension of Zambian Copperbelt
  • Extensive but thin Kalahari sand cover

and limited historical exploration in this region

  • Completed Phase 1 aircore drill program
  • f US$300k; Yielding encouraging results
  • Completed Phase 2 aircore drill program
  • f US$300K in November 2018; Results

pending

slide-17
SLIDE 17

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

SW TARGET PHASE 1 AIRCORE RESULTS

17

Line E2

  • Phase 1 aircore drill results. See news release

dated November 15, 2018

slide-18
SLIDE 18

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

PANGENI JV: COPPERBELT SCALE DELIVERY POTENTIAL

SW TARGET

COPPER DISCOVERY 18

Central Target South West Target Basement Units Central Thrust Belt Basement Units

CT1, 6.1m @ 0.34% Cu, 320ppm Co (from 39m) CT3, 6.0m @ 0.35% Cu (from 176m) SW1, 4.5m @ 0.30% Cu (from 121.5m) SW1, 5.5m @ 0.48% Cu (from 142.5m)

CENTRAL TARGET

COPPER DISCOVERY

SW TARGET

COPPER DISCOVERY

Line B Line A Line D2 Line C4 Line E3 Line E5 Line E2

slide-19
SLIDE 19

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

CORPORATE OVERVIEW (As of November 30, 2018)

CAPITAL STRUCTURE SHARE PRICE PERFORMANCE

Issued & Outstanding Stock Options Fully Diluted Shares

68.1 M 6.3 M 74.4 M

ENTERPRISE VALUE

Market Cap Cash Debt

C$16.0 M ~C$1.0 M NIL

SHARE OWNERSHIP

19

Insiders & Advisors 36%

Retail 64%

100 200 300 400 $0.00 $0.10 $0.20 $0.30 $0.40 19-Jul-18 19-Aug-18 19-Sep-18 19-Oct-18 19-Nov-18 Volume (in thousands) Share Price (CDN$)

slide-20
SLIDE 20

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

INVESTMENT HIGHLIGHTS -VALUE PROPOSITION

20

1. Led by an experienced base metals management team. Supported by some of the best mine finders, builders, and operators in the mining industry. 2. Large access to deal flow. Targeting to acquire a high-value base metal (primarily copper and/or zinc) near-term development assets that can be efficiently brought into production. 3. Access to equity and debt financing. Even under challenging market conditions our team has demonstrated an ability to access capital for acquisitions and mine building. 4. Building a balanced portfolio. Focused on acquiring cornerstone development project(s) and value adding discovery.

slide-21
SLIDE 21

BUILDING THE FUTURE WITH BASE METALS TSX-V: BMET | bemetalscorp.com

Contact Us

BeMetals Corp.

Suite 3123, 595 Burrard Street PO Box 49139 Vancouver, BC Canada V7X 1J1 Web: www.bemetalscorp.com

Derek Iwanaka

Vice President, Investor Relations & Corporate Development Email: info@bemetalscorp.com Tel: +1.604.609.6141

21

FOLLOW US ON:

@BeMetals