CORPORATE PRESENTATION TSX-V: TCO August 2017 TRANSATLANTIC MINING - - PowerPoint PPT Presentation

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CORPORATE PRESENTATION TSX-V: TCO August 2017 TRANSATLANTIC MINING - - PowerPoint PPT Presentation

CORPORATE PRESENTATION TSX-V: TCO August 2017 TRANSATLANTIC MINING - HIGH-GRADE U.S. GOLD & SILVER EXPLORER & DEVELOPER CAUTIONARY STATEMENT TSX-V: TCO Disclaimer TransatlanBc Mining Corp (TRANSATLANTIC or The Company)


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CORPORATE PRESENTATION

August 2017

TSX-V: TCO TRANSATLANTIC MINING - HIGH-GRADE U.S. GOLD & SILVER EXPLORER & DEVELOPER

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SLIDE 2

CAUTIONARY STATEMENT

2

TSX-V: TCO

Disclaimer – TransatlanBc Mining Corp (“TRANSATLANTIC” or “The Company”) has prepared this presentaAon based on the informaAon available to it. No representaAon or warranty, expressed or implied, is made as to the fairness, accuracy, completeness or correctness of the informaAon, opinions and conclusions contained in this presentaAon. To the maximum extent permiLed by law, none of TRANSATLANTIC, its directors, employees or agents, advisers, nor any other person accepts liability, including, without limitaAon, any liability arising from fault or negligence on the part of any of them or any other person, for any loss arising from the use of this presentaAon or its contents or otherwise arising in connecAon with it. This presentaAon contains general and background informaAon about TRANSATLANTIC’s acAviAes current as at the date of the presentaAon and should not be considered to be comprehensive or to comprise all the informaAon that an investor should consider when making an investment decision. The informaAon is provided in summary form and should not be considered to be comprehensive or complete. It should be read solely in conjuncAon with the oral briefing and all other documents provided to you by TRANSATLANTIC. All dollar terms expressed in this presentaAon are in US Dollars unless otherwise stated. Certain historical and technical informaAon provided herein is given in reliance on outside sources that TRANSATLANTIC considers to be reliable. However, no guarantee is given as to the accuracy of any such informaAon. No Offer – This presentaAon is not an offer, invitaAon, solicitaAon or other recommendaAon with respect to the subscripAon for, purchase or sale of any security, and neither this presentaAon nor anything in it shall form the basis of any contract of commitment whatsoever. Forward looking statements – This presentaAon may contain forward looking statements that are subject to risk factors associated with mining and producAon businesses. Forward-looking statements, including projecAons, forecasts and esAmates, are provided as a general guide only and should not be relied on as an indicaAon or guarantee of future performance and involve known and unknown risks, uncertainAes and other factors, many of which are outside the control of TRANSATLANTIC. Economic EsBmates – The technical and economic viability of the proposed operaAon has not been established, nor have mineral resources or reserves been defined. Any economic assessment within is preliminary in nature and is based on projecAons from actual costs incurred in Q1 2017 and includes historical resource esAmates which are considered geologically too speculaAve in nature to be categorized as mineral reserves or demonstrate economic viability. As such, there is no certainty that preliminary economic assessments will be realized. Mine development in the absence of mineral resources and reserves, historically, have increased risks of technical and/or economic failure. No investment advice - This presentaAon is not a financial product, investment advice or a recommendaAon to acquire TRANSATLANTIC securiAes and has been prepared without taking into account the objecAves, financial situaAon or needs of individuals. Before making an investment decision, prospecAve investors should consider the appropriateness of the informaAon having regard to their own objecAves, financial situaAon and needs, and seek legal, taxaAon and financial advice appropriate to their jurisdicAon and

  • circumstances. TransatlanAc is not licensed to provide financial product advice in respect of its securiAes or any other financial products.

Independent Review – The technical data disclosed has been independently verified by Qualified Persons, Chris Pfahl of Silver Valley Engineering and Nesbert Nyama, Geologist. InformaBon in this presentaAon remains subject to change without noAce.

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SLIDE 3

3

CORPORATE STRUCTURE

TSX-V: TCO

Shares on Issue as of May 17, 2017

21.5 M

Warrants on Issue: (2.042M shares @ $1.00-$1.12 in 2018-2019)

5.2 M

Options on Issue: (0.2286M shares @ $1.00 expire Apr & Dec-2017, and 2.15M shares @ $1.00 expire 2018)

2.4 M

Fully diluted shares

29.1 M

Current Share Price (Jun30, 2017)

12.0 cents

80% 20%

TCO Management ownership 20%

BOARD

CEO Bernie Sostak

Geology, 25+ yrs experience

Chairman Ray Parry

Finance, 30+ yrs experience

Independent Director Michael Hulmes

Engineering, 25 yrs experience

MANAGEMENT

VP Operations Management Ron Krusemark

Engineering, 20 yrs experience

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COMPANY PROJECT OVERVIEW

TSX-V: TCO A precious metal and base metal explorer and mine developer with three company-making projects: Ø Staged purchase of Alder Mountain Project including US Grant Gold-Silver Mine & Mil US Grant Gold-Silver Mine & Mill in Montana (USA) Ø Option to lease or purchase the Kearsar Kearsarge ge Gold Pr Gold Project

  • ject in Montana (USA)

Ø Ownership of 80% of the Monitor Copper Monitor Copper- Gold-Silver Pr Gold-Silver Project

  • ject in Idaho (USA)
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5 New Mine Opportunity US Grant Mine Property

Drill, mine and develop gold and silver concentrate from known high-grade, multiple vein system

US Grant Purchase Mine and Mill

Exercising option to purchase US Grant Mine-Mill Project to acquire 100% ownership1

US Grant Mine Development

New mine development using modern mining methods and equipment to access the mineralization2

US Grant Resource Definition Drilling

Drilling the near-mine targets to extend and upgrade the existing mineralization

Kearsarge Lease and Purchase

Exclusive Due Diligence period to evaluate the potential of 600,000 ounce gold ‘historical estimate’2,3 located 8 km from the US Grant Mill as part of the lease or purchase agreement

Monitor Copper Gold Project

Earned in to 80% of a Joint Venture on several high grade copper-gold-silver deposits

Experienced Board & Management Team

Proven Management team to manage and operate mines safe and efficiently with focus on revenue margin

CORPORATE SUMMARY

TSX-V: TCO

1 News Release 23 January 2016. Subject to financing and exchange approval. 2Mineral resource esCmate has not been established or defined. Mine development in the

absence of mineral resources and reserves have increased risks of technical/economic failure.

3 News Release 4 May 2017. No tonnes and grade reported.

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6

TSX-V: TCO

Boar Board

Bernie Sostak, Chief ExecuBve Officer (CEO)

Commercial Geologist, B.Sc., Diploma Business, MAusIMM, with over 25 years’ experience in the gold mining industry, most recently as General Manager of Business Development and Technical Services for ASX-listed Northern Star Resources. Served as Director of Resource & Reserve Strategy for Barrick Gold. Extensive experience includes exploration through resource estimation, feasibility studies , mine planning/commissioning, project evaluation and target generation.

Ray Parry, Chairman (Non-ExecuBve Director)

Ray holds degrees in accounting and finance and an MBA in International Business. He is a Fellow member of the Certified Practicing Accountants of Australia and has over 30 years’ experience in sectors including Mining, Manufacturing, Banking, Oil & Gas. Currently, Ray is the CFO/Company Secretary of Hanking Gold Mining. Prior, he was CFO at Northern Star Resources. Other roles included senior management positions at St. Barbara, Kerr McGee (USA) / Tronox & Bankwest.

Michael Hulmes, (Non-ExecuBve Director)

Over 30 years’ experience in Australia, Papua New Guinea, Portugal, Spain, Saudi Arabia & Tanzania. He is a former Managing Director of Somincor responsible for the Neves-Corvo & Aguablanca Mines in Portugal & Spain, respectively. Prior, Mike was General Manager Operations at Ok Tedi Mine, COO at Citadel Resources, General Manager Australian Operations, Barrick Australia, responsible for 5 mines, and General Manager of the Plutonic Gold Mine in Western Australia.

Management Management

Ron Krusemark, VP OperaBons (North America)

Highly experienced and skilled Mine Engineer/ Project specialist with a BSc in Mine Engineering from the Montana School of Mines. He has extensive engineering, operations & project experience in open pit & underground mines. Ron has a proven record of delivering projects on time and on

  • budget. He has successfully increased production rates and extended mine lives in a cost effective and operationally efficient manner.

EXPERIENCED MANAGEMENT TEAM & BOARD

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SLIDE 7

2017 2018 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 US Grant Lease Trial Mining

l

US Grant Surface Exploration Drilling

l

US Grant Mill Upgrade to 150 tpd capacity

l

First Concentrate Revenue

l

Election to Purchase - Alder Mountain Project (exercise option)

l

Open Financing

l

Modern Equipment - New Decline with Mining & Milling

l l l l l l

US Grant Exploration Drilling

l l l

Evaluate M&A with associated financing

l

Kearsarge Claims Group - Due Diligence

l l l

Monitor Project - Met sample and drilling

l l

7

TSX-V: TCO

COMPANY ACTIVITY TIMELINE OUTLOOK

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US GRANT GOLD/SILVER MINE & MILL

TSX-V: TCO § Located in the Virginia City District which has produced ~9 million ounces gold and silver § Group of patented and unpatented claims within the Alder Mountain Project § Includes 535 acre total land package § 5 patented and 28 unpatented claims § Historical Estimate (1990)1,2,3

Proven = 23,000 tons (0.53 Au opt, 16.5 Ag opt) Probable = 200,000 tons (0.53 Au opt, 16.5 Ag opt) Possible = 158,000 tons (0.3 Au opt, 5 Ag opt)

1 Source: EvaluaCon of the US Grant Mine Property, McLeod 1990. 2 Reported to US SecuriCes and Exchange Commission requirements and definiCons. NI43-101 corresponding resource categories: Proven/Measured, Probable/Indicated, Possible/Inferred 3Mineral resource or reserve esCmate has not been established or defined. The Company is not treaCng the historical esCmate as a mineral resource or reserve.

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SLIDE 9

Ø Focus on the permitted US Grant Mine to generate

future cash flow

Ø Exploring new areas - drill results include 2.8 m at

19.3 g/t Gold Equivalent (Au Eq)1

Ø Installed two ball mills with a capacity of 150 tpd and

commenced trial mining and milling

Ø Made over 50 tonnes of Gold-Silver Concentrate2

9

Explored Build Mine Commission Mill Concentrate

2016 GROUND BREAKING YEAR – US GRANT MINE

1 Equivalent Au based on US $1200 Au and US $15.80 Ag, See Appendix A. 2 Full-scale producCon decision has not been made. Current producCon decision

is based on tesCng plant capability and recent drilling and has not been based on a feasibility study or mineral reserves.

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10

TSX-V: TCO

US Grant V US Grant Vein is primary ein is primary mine tar mine target wit get with new h new dril drilling and assays ing and assays

US GRANT MINE - US GRANT VEIN

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11

TSX-V: TCO

US GRANT MINE - US GRANT VEIN

Appendix A – 2016 Drilling Results

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ALDER MOUNTAIN PROJECT - EXPLORATION POTENTIAL

US Grant Mine US Grant Mine

§ Gold-Silver quartz veins, dipping 45 degrees, 0.5 to 7.0 meters wide and 1,200 m strike partially developed § El Fleeda exploration opportunity, 1,200 m strike length, 180m from US Grant Vein: Shared Mine Capital

Golden Boy Golden Boy

§ Golden Boy - two vein sets underexplored over a combined length of 7.9 line km

Alder Mountain Pr Alder Mountain Project

  • ject

§ Exploration Target1: 1.7-2.6M tons at 0.19-0.28 opt Au Eq (350,000 – 750,000 ounce Au Eq)

US Grant / El Fleeda

v Parallel systems v Simple access v Grade continues

Limited historical drilling Open in all directions Simple access

1 Appendix B

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US GRANT COST METRICS (USD)

TSX-V: TCO Based on actual costs in Q1-2017, the movement to mechanized mining has been extrapolated to project the 2018 estimated costs given the increase in tonnage to the proposed 2018 mine plan1 Ø No additional labour should be required as manual tasks currently undertaken will be completed by modern underground mining equipment Ø Fixed costs within the business significantly reduce cost metrics as tonnage increases Ø Administration costs reduced as no longer required to lease the US Grant (currently $300K/year) Ø Corporate costs are expected to be $1M/year

Mining t 2,737 40,000 Processing t 2,732 40,000 Costs Mining $ 615,340 3,366,802 Processing $ 233,999 1,610,675 Admin $ 206,328 627,519 Total $ 1,055,667 5,604,996 Mining $/t 224.82 $ 84.17 $ Processing $/t 85.65 $ 40.27 $ Admin $/t 75.52 $ 15.69 $ Actual Q1 2017 Projected 2018

1 Based on the historical resource estimate and recent TCO drilling. The technical and economic viability of the proposed operaCon has not been established and any economic

assessment is preliminary in nature. There is no certainty that preliminary economic assessment will be realized. Mine development in the absence of mineral resources and reserves, historically, have increased risks of technical and/or economic failure.

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TSX-V: TCO § Permits in place for mine and processing activities at the US Grant Mine and Mill § Production goal of 10,000 - 20,000k ounces gold equivalent (Au Eq)2 in 2018.1,2 § Potential opportunity to add Kearsarge ounces in future profile

US GRANT GOLD/SILVER MINE & MILL

2017 (Aug-Dec)3 1k – 2k Eq Au Ounces5 20183,4 10k – 20k Eq Au Ounces5 20193,4 15-25k + Eq Au Ounces5

1 Full-scale production decision has not been made. Neither a mineral resource estimate nor technical/economic viability of the proposed operation has been established. 2 Projects with production decision not based on feasibility studies of mineral reserves demonstrating economic and technical viability historically have a much higher risk of

economic or technical failure.

3 Subject to financing and asset purchase plus 150 tpd up to 300 tpd capacity. 4Kearsarge Gold Project not included. 5Eq Au based on US $1200/oz Au and US $15.80/oz Ag.

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US GRANT - LEASE & PURCHASE AGREEMENT

TSX-V: TCO

US G US GRANT

RANT L

LEASE

EASE/PURCHASE PURCHASE OPTION OPTION

Ø Exclusive option to acquire 100% of Alder Mountain Project Ø Three instalments: USD 1.7M May 2017, USD 2.0M May 2018, and USD 2.0M May 2019 Ø 100% of revenue to TCO with no trailing Net Smelter Royalty (NSR)

Progress now to 1st Instalment Add Modern Mining Equipment

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§ Located in the historical Virginia City Mining District only 5 miles (8 km) from the US Grant Mill § 1995 historical resource estimate reported ~ 600,000 ounces Au1 (red hatching) § Kearsarge group of claims: § 35 patented claims § over 700 acres § > 6 line kilometres of prospective veins

1 News Release 4 May 2017. No tonnes and grade reported.

Mineral resource or reserve has not been established or defined. Source: Hanover Gold Mining Company Annual Report, 1995.

KEARSARGE GOLD PROJECT

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KEARSARGE GOLD PROJECT - EXPLORATION POTENTIAL

§ Multiple gold veins in shear zones, dipping 70 degrees, discrete to 33 feet wide (10 m) selective domains § Historical drilling with reported grades to1: 45 ft at 0.269 oz/t Au (13.7 m @ 8.3 g/t Au ) Within zone of 150 ft at 0.091 oz/t Au (45 m at 2.8 g/t Au) § Developed on three existing levels

1 Source: ‘Virginia City Mining District, Madison County’, Tom

Henricksen, Kennecott Exploration Company, 1996

2,500 – 3,500

  • z Au/m
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KEARSARGE - LEASE / PURCHASE AGREEMENT

TSX-V: TCO

KEARSARGE

EARSARGE C

CLAIM

LAIM G

GROUP

ROUP (KCG) L

(KCG) LEASE

EASE/PURCHASE PURCHASE OPTION OPTION1

Ø 8 mont 8 month Exclusive h Exclusive Due Diligence Period end ending Dec 2017 for ing Dec 2017 for US$60,000 US$60,000 Ø First Renewal Term of 12 mont

  • f 12 months fol

hs following expiry of due d lowing expiry of due dil iligence period for igence period for US$40,000 US$40,000 Ø Second Renewal Term of ten years fol

  • f ten years following 1

lowing 1st

st r

renewal term wit enewal term with fol h following sequent lowing sequential cond ial condit itions: ions:

  • US$8,333/mont

US$8,333/month up to TCO mining 30,000 tons/mont up to TCO mining 30,000 tons/month

  • Gr

Greater of eater of US$200,000 annual US$200,000 annually ly or 5% Net Smel

  • r 5% Net Smelter Royal

ter Royalty up to TCO mining 100,000 ty up to TCO mining 100,000 tons/mont tons/month

  • Gr

Greater of eater of US$300,000 annual US$300,000 annually ly or 10% Net Smel

  • r 10% Net Smelter Royal

ter Royalty for TCO mining > 100,000 ty for TCO mining > 100,000 tons/mont tons/month Ø Exclusive option to acquire KCG at any time with payment of US$6 million less any previous lease

  • r Net Smelter Royalty (NSR) payments.

Ø On outright purchase, no trailing NSR

1 News Release 4 May 2017

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19 § Already earned-in for 80% of Monitor Project JV in Coeur

D’Alene (Silver Valley), Idaho for US2.1M

§ Second largest silver producing area in the world § Comprises 20 unpatented claims and 402 acres. Includes four

  • ld mines: Monitor, Richmond, St. Lawrence and Copper Age

§ Two mineralized structures, Monitor and Richmond Veins;

Monitor known strike 1500 m, up to 10 m wide, 600 m deep

MONITOR COPPER/GOLD/SILVER PROJECT

§ Monitor Mine mined from 1891 until 1910 when fire destroyed all above

ground infrastructure destroyed

§ NI 43-101 compliant report on the Geology and Mineralization of the

Monitor Mine Property completed February 2013

§

`

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20 § Monitor average copper grade mined

prior to 1920 was ~15% Cu with highest reported grade of 30.5%

§ + Associated metals accompanying

Cu: Au 7.2 g/t, Ag 22.5 g/t

§ Richmond average copper grade

produced was 7.5% Cu prior to 1920

§ + Associated metals accompanying

Cu: Au 3-10 g/t, Ag +30 g/t

§ Predominant sulphide species are

chalcopyrite and pyrite and historic grades are supported by recent drilling and underground exploration

MONITOR COPPER/GOLD/SILVER PROJECT

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MONITOR PROJECT - EXPLORATION UPSIDE

TSX-V: TCO BIG ELK PROSPECT BIG ELK PROSPECT

§ Sulphide deposit at surface, including a high-grade, Cu sample of 30.8% within 1 metre of sub surface § Known veins with extensions from adits recently accessed § High grade Cu along 800+ m strike on two veins - Monitor and Richmond as major lines § Potential for additional interposed veins along strike

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Gold and Silver

US Grant Mine/Mill – trial mining and processing to a 12 month cash flow

US Grant Mine & Mill Purchase

Exercising option to purchase US Grant Mine-Mill Project as an Asset and move to 100%

  • wnership. Future expansion cases from 150 - 300 tpd processing capacity1

US Grant Exploration

Exploration Target: 1.7–2.6M tons, 0.19-0.28 opt Au Eq, 350,000–750,000 Au Eq ozs2

US Grant Resource Definition Drilling

Systematic drilling the near-mine targets to extend/upgrade existing mineralization

Kearsarge Lease and Purchase

Exclusive due diligence period to evaluate the 600,000 ounce historical gold resource estimate located 8 km from US Grant Mill as part of Agreement3,4

Monitor Copper Gold Project

Earned-in 80% of Joint Venture on several high grade copper/gold/silver deposits

Management Team to Build Growth

Proven management team to manage and operate mines safely and efficiently with focus on revenue margin and growth through organic and inorganic opportunities

WHY TRANSATLANTIC? CONVERTING PROJECTS INTO MINES

1 News Release 23 January 2016. Subject to financing

and exchange approval.

2 Appendix B ExploraCon Target PotenCal 3 News Release 4 May 2017. No tonnes and grade reported. 4 Mineral resource esCmate has not been established or defined

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TSX-V: TCO

Contact ct Bernie Sostak (CEO) +1 (604) 424-8257 +61(0) 439 904 044 bsostak@transatlanticminingcorp.com

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APPENDIX A – DRILLING ASSAY RESULTS

TSX-V: TCO

Equivalent Au based on US $1200/oz Au and US $15.80/oz Ag

Significant Assay Resul Significant Assay Results (>3 g/t Au Eq) ts (>3 g/t Au Eq) fr from TCO Phase 1 Surface Dril

  • m TCO Phase 1 Surface Drilling (2016):

ing (2016):

Nesbert Nyama is an Independent, Qualified Person responsible for having reviewed and verified the technical information contained in this presentation.

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APPENDIX B – EXPLORATION TARGET POTENTIAL1

TSX-V: TCO

1Exploration target for the project is conceptual in nature

and in the range of 350,000 to 750,000 ounces Au Eq. at 0.19 ounce/ton to 0.3 ounce/ton Au Eq. The potential quantity and grade is conceptual in nature as there has been insufficient exploration to further define a mineral resource above what is stated in the mineral resource estimation. It is uncertain whether further exploration will result in the exploration target being delineated as a mineral resource. Equivalent Au based on US $1200 Au and US $15.80 Ag.

Nesbert Nyama is an Independent, Qualified Person responsible for developing the exploration target ranges.

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v

Execut Executive management team members t ive management team members that gr hat grew Nort ew Northern Star Resour hern Star Resources Limited (ASX): ces Limited (ASX):

⁻ USD 1 Mil

USD 1 Million to 1.5 Bil ion to 1.5 Billion Market Capital ion Market Capitalizat ization while raising appr ion while raising approximately USD $135M

  • ximately USD $135M

⁻ 50K oz per annum gold pr

50K oz per annum gold producer to 550K oz gold per annum

  • ducer to 550K oz gold per annum

⁻ Integrated 4 new mine sites in operat

Integrated 4 new mine sites in operation ion

⁻ Resour

Resource base fr ce base from 100K oz gold r

  • m 100K oz gold resour

esource and no r ce and no reserves to 6M oz and 1.1M oz r eserves to 6M oz and 1.1M oz respect espectively wit ively with rapid payback on raisings h rapid payback on raisings 26

2011 2012 2013 2014 2015 Paulsens AcquisiAon Plutonic AcquisiAon KB & Kundana AcquisiAons Jundee AcquisiAon 2010 Gold Price USD/oz 1,120 1,380 1,600 1,690 1,220 1,205

Management of acquisiBons, operaBons and exploraBon to grow producBon, reserves and resource = Growing Shareholder Returns

Mkt Cap USD ~$1,050 million Mkt Cap USD ~ $1 million

APPENDIX C – MANAGEMENT’S RECENT PERFORMANCE (4 YEARS)