CARLIN-TYPE GOLD DISTRICT TSX-V: ATC March 2015 FORWARD LOOKING - - PowerPoint PPT Presentation

carlin type gold district
SMART_READER_LITE
LIVE PREVIEW

CARLIN-TYPE GOLD DISTRICT TSX-V: ATC March 2015 FORWARD LOOKING - - PowerPoint PPT Presentation

DEVELOPING CANADAS ONLY CARLIN-TYPE GOLD DISTRICT TSX-V: ATC March 2015 FORWARD LOOKING STATEMENTS FORWARD-LOOKING STATEMENTS This presentation contains forward-looking information. Forward looking information contained in this presentation


slide-1
SLIDE 1

March 2015

DEVELOPING CANADA’S ONLY

CARLIN-TYPE GOLD DISTRICT

TSX-V: ATC

slide-2
SLIDE 2

FORWARD LOOKING STATEMENTS

2

FORWARD-LOOKING STATEMENTS This presentation contains forward-looking information. Forward looking information contained in this presentation includes, but is not limited to, statements with respect to: (i) the estimation of inferred and indicated mineral resources; (ii) the success of exploration activities; (iii) the results of the PEA including statements about future production, future operating and capital costs, the projected IRR, NPV, payback period, and production timelines for the Tiger Deposit. These statements are based on information currently available to ATAC Resources Ltd. (“ATAC”) and ATAC provides no assurance that actual results will meet management's

  • expectations. In certain cases, forward-looking information may be identified by such terms as "anticipates", "believes", "could", "estimates", "expects", "may", "shall", "will", or

"would". Forward-looking information contained in this presentation is based on certain factors and assumptions regarding, among other things, the estimation of mineral resources, the realization of resource estimate, gold metal prices, the timing and amount of future exploration and development expenditures, the estimation of initial and sustaining capital requirements, the estimation of labour and operating costs, the availability of necessary financing and materials to continue to explore and develop the Tiger Deposit in the short and long-term, the progress of exploration and development activities, the receipt of necessary regulatory approvals, the completion of the environmental assessment process, and assumptions with respect to currency fluctuations, environmental risks, title disputes or claims, and other similar matters. While ATAC considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of ATAC to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors include risks inherent in the exploration and development of mineral deposits, including risks relating to changes in project parameters as plans continue to be redefined including the possibility that mining

  • perations may not commence at the Tiger Deposit, risks relating to variations in mineral resources, grade or recovery rates resulting from current exploration and development

activities, risks relating to changes in gold prices and the worldwide demand for and supply of gold, risks related to increased competition in the mining industry generally, risks related to current global financial conditions, uncertainties inherent in the estimation of mineral resources, access and supply risks, reliance on key personnel, operational risks inherent in the conduct of mining activities, including the risk of accidents, labour disputes, increases in capital and operating costs and the risk of delays or increased costs that might be encountered during the development process, regulatory risks, including risks relating to the acquisition of the necessary licenses and permits, financing, capitalization and liquidity risks, including the risk that the financing necessary to fund the exploration and development activities at the Tiger Deposit may not be available on satisfactory terms, or at all, risks related to disputes concerning property titles and interest, and environmental risks. This list is not exhaustive of the factors that may affect any of ATAC's forward-looking information. These and other factors should be considered carefully and readers should not place undue reliance on ATAC's forward-looking information. ATAC does not undertake to update any forward-looking information that may be made from time to time by ATAC or on its behalf, except in accordance with applicable securities laws. PEA DISCLOSURE It should be noted that the Tiger Deposit PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. There is no certainty that the PEA forecast will be realized or that any of the resources will ever be upgraded to reserves. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. A NI 43-101 technical report for the Tiger Deposit PEA has been filed on SEDAR (www.sedar.com) and is available on ATAC's website (www.atacresources.com). QUALIFIED PERSON Robert C. Carne, M.Sc., P.Geo., the President and a director of ATAC, is a qualified person for the purposes of National Instrument 43-101. All technical information contained in this presentation has been approved by Robert Carne.

slide-3
SLIDE 3

MANAGEMENT AND DIRECTORS

3

MANAGEMENT Robert Carne, M.Sc., P.Geo. President and Director Graham Downs CEO Ian Talbot, B.Sc., LLB. COO Larry Donaldson, C.A. CFO Julia Lane, B.Sc., P.Geo. Project Manager Vanessa Pickering

  • Mgr. Corporate Communications

DIRECTORS Douglas Goss, B.Comm., LLB. Chairman and Director Bruce Youngman, B.Sc. Director Glenn Yeadon, B.Comm., LLB. Secretary and Director Bruce Kenway, C.A. Director Helmut Wober, P.Eng. Director PROJECT MANAGEMENT Exploration at the Rackla Gold Project is managed by Archer, Cathro & Associates (1981) Limited. Archer, Cathro is the preeminent Yukon exploration consulting firm and has been in business since 1965.

slide-4
SLIDE 4

CAPITAL STRUCTURE

4

SHARE STRUCTURE SHARES OUTSTANDING 117,794,577 FULLY DILUTED 129,012,297 OPTIONS ($0.75 - $3.00) 9,327,000 WARRANTS ($2.70) 1,890,720 WORKING CAPITAL

~$20M

SIGNIFICANT HOLDERS

TOCQUEVILLE 11,516,891 9.7% STRATEGIC METALS 10,144,136 8.6% AGNICO EAGLE* 9,600,000 8.1%

FINANCINGS

FLOW-THROUGH HARD DOLLARS PROCEEDS

  • Mar. 2014

3,781,441 @ $1.80/share ~$6.8 M

  • Mar. 2013

9,600,000 @ $1.35/share ~$13.0 M

  • Nov. 2012

1,000,000 @ $2.05/share $2.0 M July 2012 3,980,100 @ $3.30/share 886,900 @ $2.85/share $15.6 M

  • Feb. 2011

3,333,333 @ $7.50/share $25 M

Capital Structure as at Feb. 23, 2015 Past 12 month trading pattern

*As at Sept. 22, 2014

slide-5
SLIDE 5

HIGHLIGHTS

5

  • WHY ATAC?
  • Developing Canada’s only Carlin-type gold district in geopolitically safe Yukon
  • Well-funded - ~$20 million cash
  • From concept to development – all zones and targets are grassroots discoveries made by ATAC
  • 100% owned with no underlying royalties
  • Exploration Cooperation Agreement in place with the First Nation of Na Cho Nyäk Dun
  • WHY CARLIN-TYPE GOLD?
  • The USA is #4 in worldwide gold production – 69.2% of USA’s gold production comes from

Nevada*

  • Multiple deposits with relatively small surface footprint forming district scale “trends”
  • High-grade gold – ATAC’s best hole to date within the Nadaleen Trend intersected

42.93 m of 18.44 g/t gold at the Conrad Zone

* http://www.nevadamining.org/issues_policy/pdfs/NMA-01mineral-v8.pdf

slide-6
SLIDE 6

WHY YUKON?

6

  • GOVERNMENT OF YUKON

Promotes resource investment and responsible development

  • CONTROL

Decisions about land, water and mineral resources are made by Yukoners

  • LAWS

Secure mineral tenure and single coordinated approach to environmental assessment and regulatory permitting

  • FIRST NATIONS

11 of 14 Yukon First Nations have finalized land claims including the Na Cho Nyäk Dun with whom ATAC has a long-standing Exploration Cooperation Agreement

  • HISTORY

Exploration and mining have been a part of Yukon’s history and economic progress for over a century

slide-7
SLIDE 7

RACKLA GOLD PROJECT

7

slide-8
SLIDE 8

RAU TREND

8

  • The Rau Trend is 35 km long and hosts the Tiger

Deposit and Ocelot silver-lead-zinc discovery

  • Permitted Wind River Winter Trail located

within 12 km of Tiger Deposit and 2 km of the Ocelot discovery

  • Six untested satellite oxide gold targets within

8 km of Tiger Deposit

  • Tiger Deposit discovered in 2007 and

delineated by 25,562 m of drilling

slide-9
SLIDE 9

RAU TREND

9

For the Tiger PEA disclosure, please see page 1 of this presentation

  • POSITIVE PEA

$52.1 million NPV at $1,250 gold, 30% IRR (pre-tax) at 5% discount rate

  • SENSITIVITY

At a US$1,500 gold price – (pre-tax) NPV increases to $103.3 million at 5% discount rate

  • FOUR YEAR, SEASONAL OPERATION

LOM production 221,558 oz gold

  • HIGH-GRADE AT-SURFACE

3.72 g/t gold average over LOM

  • EXCELLENT RECOVERIES

89.8% combined average recoveries from hybrid heap-leach and agitated tank carbon- in-leach (CIL)

slide-10
SLIDE 10

RACKLA GOLD PROJECT

10

slide-11
SLIDE 11

NADALEEN TREND

11

  • Canada’s first Carlin-type discovery –

OS-10-001 intersected 65.20 m of 4.65 g/t gold

  • Nadaleen Trend is 30 km long and hosts two

areas of Carlin-type gold mineralization at the 12 km² Osiris Cluster and 18 km² Anubis Cluster

  • Conrad is the most advanced zone
  • 800 m strike length in the Upper Zone
  • 300 m strike length in the Middle Zone
  • Drilling below previous limit of

mineralization discovered a new Lower Zone

  • OS-12-114 at Conrad Upper Zone intersected

42.93 m of 18.44 g/t gold

  • OS-12-116 at Conrad Middle Zone intersected

56.93 m of 4.68 g/t gold

  • incl. 15.24 m of 8.89 g/t gold
  • OS-14-230 at Conrad Lower Zone intersected

42.67 m of 3.03 g/t gold

  • incl. 6.09 m of 13.61 g/t gold
  • 8 km of anomalous strike length within the

Anubis area yet to be drill tested

slide-12
SLIDE 12

OSIRIS CLUSTER

12

slide-13
SLIDE 13

CONRAD PLAN MAP

13

slide-14
SLIDE 14

14

  • Conrad Upper Zone strike length defined to

800 m

  • Three step-out holes drilled in 2014 at the

Conrad Middle Zone intersected high-grade gold mineralization :

  • OS-14-227: 30.79 m of 9.50 g/t gold
  • OS-14-228: 40.22 m of 6.57 g/t gold
  • OS-14-229: 36.57 m of 5.06 g/t gold
  • Mineralization is concentrated along a

siltstone-limestone contact that has been traced for 800 m in the Upper Zone - only 300 m of the favourable contact has been drill-tested at the Middle Zone

  • Newly discovered Conrad Lower Zone

intersects high-grade gold below previous limit of gold mineralization:

  • OS-14-230: 42.67 m of 3.03 g/t gold
  • incl. 6.09 m of 13.61 g/t gold
  • All zones within Conrad remain open along

strike and at depth

CONRAD AD

14

slide-15
SLIDE 15

15 14

slide-16
SLIDE 16

CONRAD ZONE – HIGHLIGHT DRILL RESULTS

16

HOLE FROM (m) TO (m) INTERVAL Au (g/t) OS-11-010 176.15 291.08 114.93 3.15 incl. 181.36 263.65 82.29 4.08 OS-11-030 179.83 252.98 73.15 3.05 OS-11-058 147.22 188.37 41.15 7.33 OS-11-062 83.21 142.65 59.44 4.32 OS-12-098 90.76 131.06 40.30 10.10 incl. 91.86 109.45 17.59 21.24 OS-12-103 34.44 80.50 46.06 11.24 OS-12-114 66.19 109.12 42.93 18.44 incl. 84.73 101.46 16.73 30.85 OS-12-116 256.95 313.88 56.93 4.68 OS-13-219 274.62 308.48 33.86 5.40 OS-14-227 452.80 483.59 30.79 9.50 OS-14-228 321.50 361.72 40.22 6.57 OS-14-229 448.06 484.63 36.57 5.06 OS-14-230 624.84 667.51 42.67 3.03

True widths for all Conrad highlight drill holes are estimated to be 60% - 100% of intersected widths

slide-17
SLIDE 17

17

slide-18
SLIDE 18

ANUBIS AREA DISCOVERIES

18

slide-19
SLIDE 19

ANUBIS AREA DISCOVERIES

19

slide-20
SLIDE 20

DISCOVERY PIPELINE

20

FROM CONCEPT TO DEVELOPMENT: All zones and targets within the Rackla Gold Project are grassroots discoveries made by ATAC

slide-21
SLIDE 21

SUMMARY

21

  • Well-financed with approximately $20 million in the treasury
  • 2015 exploration to include substantial drilling and target

advancement

  • 100% owned Carlin-type gold district in safe mining jurisdiction
  • ATAC’s Nadaleen Trend comparable in size to the entire northern

Carlin Trend of Nevada

  • Drilling below the previous depth of mineralization at the Conrad

Lower Zone intersects 42.67 m of 3.03 g/t gold (OS-14-230)

  • Anubis Area results further indicate a large regional mineralizing

system exists with multiple drill targets

slide-22
SLIDE 22

APPENDIX

22

23. Recognition 24. Pictures 25. Pictures 26. 2011 – 2013 Rackla Gold Project Consultants 27. Northern Carlin Trend 28. Nadaleen Trend – arsenic geochemistry 29. Osiris Zone information 30. Osiris Zone highlight drill results 31. Rau Trend gold geochemistry 32. Tiger Deposit PEA Gold Price Sensitivity 33. Tiger Deposit PEA Projected Production & Processing Summary 34. Tiger Deposit PEA Capital & Operating Costs 35. Tiger Deposit NI 43-101 Mineral Resource Estimate 36. Tiger Deposit plan map 37. Ocelot silver-lead-zinc discovery plan map 38. Ocelot silver-lead-zinc cross-section 39. Ocelot highlight drill results

slide-23
SLIDE 23

RECOGNITION

23

Bill Wengzynowski, Geological Consultant to ATAC and Rob Carne, ATAC’s President receiving the 2011 Prospector of the Year Award at Yukon Geoscience for the discovery

  • f Carlin-type mineralization at the Rackla Gold

Project. Rob Carne accepting the 2012 H.H. “Spud” Huestis Award on behalf of Bill Wengzynowski and Archer, Cathro President, Doug Eaton for excellence in prospecting and discovery of the Rackla Gold Belt.

slide-24
SLIDE 24

21 NADALEEN CAMP 3000’ STEWART AIRSTRIP ROB CARNE WATER SAMPLING

slide-25
SLIDE 25

CORE-SHACK CREW ATV TRAIL BUILDING AT SUNRISE

slide-26
SLIDE 26

2011 – 2013 CONSULTANTS

26

PERSON SPECIALITY BILL WENGZYNOWSKI, PEng Regional-scale exploration manager for ATAC Resources Ltd. VENESSA BENNETT, PhD Deposit modeling, former Mineral Deposit Geologist with Yukon Geological Survey JOYIA CHAKUNGAL, PhD Geological mapping, former Regional Geologist with Yukon Geological Survey ODIN CHRISTENSEN, PhD Carlin-type gold deposit exploration consultant, former Nevada Exploration Manager for Newmont GREG AREHART, PhD Carlin-type gold deposit geochemistry, University of Nevada LIZ TURNER, PhD Carbonate stratigraphy consultant; Laurentian University HARRY COOK, PhD Carbonate stratigraphy consultant, Emeritus US Geological Survey SARAH GLEESON, PhD Mineral deposit geologist, thesis supervisor; University of Alberta CRAIG HART, PhD Gold deposit expert, thesis supervisor; University of BC (MDRU) YVETTE KUIPER, PhD Structural geology consultant, thesis supervisor; Colorado School of Mines

slide-27
SLIDE 27

NORTHERN CARLIN TREND

27

slide-28
SLIDE 28

NADALEEN TREND - ARSENIC GEOCHEMISTRY

28

slide-29
SLIDE 29

OSIRIS ZONE

29

  • First area discovered within the

Nadaleen Trend

  • Mineralization found at surface on

top of a ridge

  • Discovery hole OS-10-001

intersected 65.20 m of 4.65 g/t gold*

  • Mineralization is best developed in

the hinge or crest area of an anticline fold

  • Stratabound gold mineralization
  • utlined over a 850 m strike length

along the west limb of the fold and in the hinge of the fold

  • A total of 14,200 m in 59 diamond drill holes

has been completed to date at Osiris

*True width for OS-10-001 is estimated to be 75% - 100% of the intersected width

slide-30
SLIDE 30

OSIRIS ZONE – HIGHLIGHT DRILL RESULTS

30

HOLE FROM (m) TO (m) INTERVAL Au (g/t) OS-10-001 56.08

121.28

65.20 4.65 OS-11-023 15.24 56.39 41.15 2.48 incl. 38.10 53.34 15.24 4.90 OS-11-031 39.62 71.63 32.01 4.25 OS-11-053 0.41 31.39 30.98 3.09 incl. 7.60 28.15 20.55 4.09 OS-11-055 1.42 27.54 26.12 6.08 OS-11-057 1.75 23.77 22.02 4.14 incl. 3.96 14.63 10.67 7.18 OS-11-082 134.11 178.31 44.20 4.41 incl. 160.02 175.26 15.24 6.83 OS-11-088 74.07 92.35 18.28 4.43 incl. 76.94 83.21 6.27 11.15

True widths for all Osiris highlight drill holes are estimated to be 75% - 100% of intersected widths

slide-31
SLIDE 31

RAU TREND – GOLD GEOCHEMISTRY

31

slide-32
SLIDE 32

TIGER PEA GOLD SENSITIVITY

32

Gold Price $US/oz $1,100 $1,250 $1,350 $1,500 Pre-Tax Cumulative Net Cash Flow $M $36.7 $72.7 $96.6 $132.6 Pre-Tax NPV (5% discount rate) $M $21.4 $52.1 $72.6 $103.3 Pre-Tax IRR 15.5% 30.0% 39.5% 53.5% Pre-Tax Payback (years) 2.9 2.2 1.8 1.3 After-Tax Cumulative Net Cash Flow $M $26.3 $51.0 $67.3 $91.5 After-Tax NPV (5% discount rate) $M $12.6 $33.7 $47.5 $68.0 After-Tax IRR 11.2% 21.5% 27.9% 37.2% After-Tax Payback (years) 3.2 2.6 2.3 1.9

Please see page 1 of this presentation for Tiger PEA disclosure

slide-33
SLIDE 33

PEA PRROJECTED PRODUCTION & PROCESSING SUMMARY

33

Total Processing Feed 2.06 million tonnes Processing Rate* 3,300 tonnes/day Life of Mine (“LOM”) Strip Ratio 5.6:1 Description of Dual Process Heap Leach (42%) CIL (58%) Combined Average or Total Average Process Feed Grade 3.45 g/t Au 3.91 g/t Au 3.72 g/t Au Average Recovery 87.8% 91.0% 89.8% Average Annual Production LOM (oz) 21,132 34,257 55,389 Total Production (oz) 84,528 137,029 221,558

Silver is a minor by-product of gold production with an assumed recover of 19% and process feed grade of 5 g/t. Total recovered silver ounces

  • ver LOM is 63,057 oz.

Please see page 1 of this presentation for Tiger PEA disclosure

slide-34
SLIDE 34

TIGER PEA CAPITAL & OPERATING COSTS

34

CAPITAL COSTS PRE PRODUCTION (millions) SUSTAINING CAPITAL LOM Site Infrastructure $1.7 $1.7 Heap Leach/Tailings¹ $5.7 $20.4 $26.1 Mining Equipment $10.1 $1.7 $11.8 Pre-Stripping & Stockpiling $10.5 $10.5 Process Plant $40.3 $40.3 Contingency (20%) $11.6 $4.4 $16.0 Indirect Costs $12.3 $12.3 Total² $92.3 $26.5 $118.8 OPERATING COSTS LIFE OF MINE Avg. C$ Mining Costs* $4.46 $/tonne Processing $20.10 $/tonne processed G & A $7.11 $/tonne processed

1.

Pre-production and annual heap leach cell and tailings development

2.

Total may not add exactly due to rounding * Not including capitalized pre-production mining costs

Please see page 1 of this presentation for Tiger PEA disclosure

slide-35
SLIDE 35

TIGER DEPOSIT NI 43-101 MINERAL RESOURCE ESTIMATE

35 Oxide plus Sulphide Cut-off grade (g/t)(Au) Tonnes Grade (g/t) Ounces (Au) Indicated 1.60 3,260,000 3.85 403,500 Inferred 1.60 1,570,000 2.44 123,200 Oxide only Cut-off grade (g/t)(Au) Tonnes Grade (g/t) Ounces (Au) Indicated 1.60 2,470,000 4.25 337,500 Inferred 1.60 180,000 3.00 17,400 The Tiger Gold Deposit mineral resource estimation was completed by Gary Giroux, P.Eng., MASc. (Giroux Consultants Ltd.) who is a qualified person and independent of ATAC, based on the criteria defined by National Instrument 43-101. Quality control data generated during the various drill programs conducted at the Tiger Gold Deposit were independently reviewed by Giroux Consultants

  • Ltd. as part of the resource study. The full report dated effective November 15, 2011 and titled “Preparation of the Tiger Zone

Mineral Resource Estimate” was filed on SEDAR (www.sedar.com) December 1, 2011.

TIGER DEPOSIT NI 43-101 MINERAL RESOURCE ESTIMATE & DISCLOSURE

slide-36
SLIDE 36

36

True widths for all highlight Tiger drill-holes are estimated to be 70% - 100% of intersected widths

slide-37
SLIDE 37

OCELOT SILVER-LEAD-ZINC DISCOVERY

37

slide-38
SLIDE 38

OCELOT SECTION LOOKING WEST

38

slide-39
SLIDE 39

OCELOT HIGHLIGHT DRILL RESULTS

39

HOLE FROM (m) TO (m) INTERVAL (m) SILVER (g/t) LEAD (%) ZINC (%) Lead/Zinc (%) OC-11-06 154.82 160.83 6.01 23.86 0.08 8.83 8.91 OC-11-07 192.02 203.90 11.88 58.03 2.01 12.41 14.42 OC-11-09 109.73 151.45 41.72 145.43 3.36 11.65 15.01 OC-11-10 56.96 120.40 63.44 73.81 2.44 8.18 10.62 OC-11-11 32.19 70.10 37.91 188.07 8.69 6.06 14.75 incl. 37.00 51.82 14.82 400.18 20.44 9.50 29.94 OC-11-12 58.40 85.23 26.83 71.66 2.22 13.61 15.83 OC-11-13 169.16 182.88 13.72 174.18 6.39 8.55 14.94 OC-11-14 46.05 81.69 35.64 46.43 1.36 8.12 9.48 OC-11-16 48.38 83.95 35.57 56.53 1.63 9.73 11.36 OC-11-17 83.40 96.01 12.61 34.13 1.02 12.48 13.50 OC-11-18 77.72 106.75 29.03 121.12 0.51 1.28 1.79

True widths for all highlight Ocelot drill holes are estimated to be 60% - 70% of intersected widths