Corporate Presentation Serengeti Resources Inc. (TSX-V: SIR) is a - - PowerPoint PPT Presentation
TSX.V : SIR January 2017 Corporate Presentation Serengeti Resources Inc. (TSX-V: SIR) is a Canadian junior mineral exploration company focused on development of its Kwanika Copper-Gold project and exploration for Au-Cu porphyry deposits in the
January 2017
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THIS MANAGEMENT PRESENTATION (THE "PRESENTATION") WAS PREPARED AS A SUMMARY OVERVIEW ONLY OF THE CURRENT AFFAIRS OF SERENGETI RESOURCES INC.(”SERENGETI" OR THE "COMPANY") AND WAS NOT PREPARED FOR THE PURPOSE OF ASSISTING PROSPECTIVE INVESTORS IN MAKING A DECISION TO INVEST IN SERENGETI. SERENGETI DOES NOT MAKE ANY REPRESENTATION AS TO THE COMPLETENESS, TRUTH OR ACCURACY OF THE INFORMATION CONTAINED IN THIS PRESENTATION. THE RECIPIENT IS CAUTIONED, THEREFORE, THAT IT IS INAPPROPRIATE TO USE THIS PRESENTATION, OR ANY PORTION THEREOF, TO ASSIST IN MAKING A DECISION TO INVEST IN FORMATION.. CONFIDENTIALITY This Presentation is confidential and the contents are not to be reproduced or distributed to the public or the press. Securities legislation in all provinces and territories prohibits such unauthorized distribution of information. Each recipient of the information contained in this Presentation will treat such information in a confidential manner and will not, directly or indirectly, disclose or permit its affiliates or representatives to disclose such information to any other person or reproduce this Presentation in whole or in part, without the prior written consent of Formation. FORWARD-LOOKING INFORMATION - Update This presentation contains “forward-looking statements” within the meaning of applicable Canadian securities regulations. All statements other than statements of historical fact herein, including, without limitation, statements regarding exploration plans and other future plans and objectives, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and future events and actual results could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from our expectations as well as a comprehensive list of risk factors are disclosed in the Company’s documents filed from time to time via SEDAR (www.sedar.com)with the Canadian regulatory agencies to whose policies we are bound. Forward- looking statements are based on the estimates and opinions of management on the date the statements are made, and we do not undertake any obligation to update forward-looking statements should conditions or our estimates change, other than as required by law and readers are further advised not to place undue reliance on forward- looking statements. 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. Accordingly, readers should not place undue reliance on forward-looking statements. The Company does not undertake to update any forward-looking statements that are contained herein, except in accordance with applicable securities laws. Quality Assurance/Quality Control The technical information in this presentation has been prepared in accordance with Canadian regulatory requirements as set out in National Instrument 43-101, and reviewed by the Company's qualified person, David W. Moore, P. Geo., President and CEO of Serengeti Resources Inc.
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PROVEN TEAM
PROLIFIC DISTRICT KWANIKA Cu-Au PROJECT STRATEGIC PARTNER PROSPECTIVE PORTFOLIO
Kwanika Project
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Advanced stage exploration - deposit identified plus exploration upside
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Strategic Partner - Daewoo Minerals
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Bullish sentiment on Copper/Gold
Prospective Portfolio
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UDS - near Kemess Mine, M&A activity in the area, high probability drill targets identified
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Milligan West - proximity to Mt. Milligan Mine – high probability drill targets identified
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Management Board of Directors David Moore, P.Geo., President, CEO & Director George Tikkanen, B.Eng. Sheri Rempel, Chief Financial Officer Ian Brown, CA Pam White, Corporate Secretary Lewis Lawrick, B.Comm. Michael Thicke, P. Geo. Shares Outstanding 71.5 M Warrants 13.9 M Options 7.4 M Fully Diluted (As of Jan 2017) 92.8 M Management, Insiders & Founders ~21% ownership Treasury* ~$1.2M Average Trading Volume (90day) 136,000 Share Price (SIR.V Jan 2017) $0.14 Market Capitalization $ ~10.0 M
* Financial information above is from the Company’s August 31st, 2016 Financial Statements and are expressed in Canadian Dollars. To read the full financial statements, please visit the Company’s website at www.serengetiresources.com
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Waterton Global Resource Fund
Ø Raises US$725 million for gold & copper deals Financial Post June 14th, 2016
BHPB - Real Spark for Cu Demand = Renewable Energy
Ø Lots of Cu needed for wind & solar power Ø By 2040, electricity from renewable will double to 46% Ø BHPB estimates a 4 million ton deficit by 2023 Bloomberg May 26th, 2016
Copper Price
Ø Sanford C. Berstein & Co. “The conclusion is unequivocal to us: The only way by which future
prices.” Globe & Mail June 29th, 2016
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◆ Resurgence in BC Cu-Au mine
◆ Recent deep drilling identified
(e.g. 32-35% combined rate)
exploration expenditures
with respect to Pacific Rim markets
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*Disclaimer: Mineral resources that are not mineral reserves do not have demonstrated economic viability
Ø Demonstrated increase of Cu, Au grade in Central Zone Ø Potential for further improvement in Au grade
Ø Central Zone remains open for expansion Ø Large deep geophysical target identified
Ø ~ $20 Million put into the ground Ø Daewoo Minerals Canada (DMC) to spend up to $8.2 M to earn 35%
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Ø Year 1: Initial 5%, $1.2M ($400,000 WC, $800,000 project expenditure – PAID) Ø Year 2 & 3: Additional 30%, $7M expenditure PROPERTIES INCLUDED: Kwanika, Smoke-Kwanika East, Germansen, Valleau, Rottacker
Ø SIR - operator plus 10% management fee (until 50% ownership) Ø SIR - 1% NSR if diluted below 50%, plus additional 0.5% NSR if diluted below 33.3%, subject to partial buyback rights; Ø SIR retains METC(30%) credits on qualifying expenditures on first $8.2M Ø SIR maintains rights to enter into streaming transactions on all metals subject to DMC having certain off-take rights Ø DMC has right to fund one additional property nominated by SIR, only if proceed to second option
* see NR16-03, April 6th, 2016 for full details
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* Pit constrained mineral resources are reported in relation to a conceptual Whittle pit shell and underground resources are reported within the area for potential underground
All composites have been capped where appropriate. ** Pit constrained mineral resources are reported at a copper equivalent cut-off of 0.13% and underground resources are reported at 0.27%. The cut-offs are based on prices of US$3.00 per pound of copper, US$1,300 per ounce of gold, US$20 per ounce of silver, US$9.00 per lb of molybdenum and assumed recoveries of 89% for copper, 70% for gold, 75% for silver, and 60% for molybdenum.
Category Quantity Cut -off
Grade Contained Metal
(x1000 Cu Eq Tonnes) (%) Cu Au Ag Cu Au Ag (%) (g/t) (g/t) (000's lb) (000's oz) (000's oz) Central Zone Pit Constrained Indicated 101,500 0.13 0.31 0.32 0.96 697,200 1,040 3,120 Inferred 31,900 0.13 0.17 0.14 0.59 118,500 140 610 Underground Indicated 29,700 0.27 0.34 0.36 1.05 222,300 350 1,010 Inferred 7,900 0.27 0.23 0.17 0.68 39,800 40 170 South Zone Inferred 33,300 0.13 0.26 0.08 1.64 191,400 80 1,760
u Potential to increase Au grade
u Potential to discover new mineralized zones
u Potential to advance to Pre-Feasibility Study
u Within 90 days of PEA completion
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u Near Kemess Mine, M&A activity in the area, large high probability drill target identified
u Proximity to Mt. Milligan Mine – high probability drill target identified
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Kwanika Project
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Advanced stage exploration - deposit identified plus exploration upside
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Strategic funding partner - Daewoo Minerals
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Bullish sentiment on Copper/Gold
Prospective Portfolio
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UDS - near Kemess Mine, M&A activity in the area, multi parameter drill targets identified
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Milligan West - proximity to Mt. Milligan Mine - sizeable drill target identified
Moving Forward
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filed Kwanika technical report - January
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updating Kwanika economics (PEA) - Q1
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Daewoo funding decision – within 90 days of Kwanika PEA completion
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UDS & Milligan West exploration programs - drill ready
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David W. Moore, P. Geo. President, CEO and Director
Michael Thicke, P. Geo Principal Consulting Geologist
Lewis Lawrick, B.Comm. Director
company focused principally in the resource and raw materials sector.
development companies (incl Volta Resources – acquired by B2 Gold; Franconia Minerals- acquired by Duluth Metals; Normabec Resources – acquired by First Majestic Silver) .
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Cu Au Mo
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Kwanika Drill Program - Reported Analytical Results 2016
Hole From (m) To (m) Interval (m) Copper % Gold g/t Silver g/t Gold Equiv. g/t Copper Equiv. % Orientation (dip/azimuth) K-177 160 598.4 438.4 0.71 0.83 2 2 1.25
Incl. 216.5 450 233.6 1.18 1.3 3.2 3.24 2.02 Incl. 270.5 274.1 3.6 19.04 6.52 36.7 37.61 23.47 and 300 346.2 46.2 0.83 2.77 2.5 4.15 2.59 and 370.3 407 36.8 0.83 2.12 2.8 3.49 2.18 598.4 719 120.7 0.06 0.12 0.2 0.21 0.13
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Kwanika Drill Program - Reported Analytical Results 2016
Hole From (m) To (m) Interval (m) Copper % Gold g/t Silver g/t Gold
Copper
Orientation (dip/azimuth) K-178 335.2 580.5 245.3 0.06 0.11 0.7 0.23 0.14
Incl. 372.0 388.6 16.6 0.17 0.12 2.2 0.44 0.28 and 502.1 526.8 24.7 0.06 0.27 1.2 0.40 0.25 K-179 521.0 755.8 234.8 0.17 0.15 0.7 0.44 0.27
Incl. 639.6 651.0 11.4 0.58 0.41 1.6 1.37 0.85 804.0 820.0 16.0 0.20 0.19 0.9 0.53 0.33 844.5 903.3 58.7 0.26 0.29 1.2 0.73 0.45
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0.5 g/t Au
Shell
NW Deep Target
Kwanika Central Zone
Slice looking East (90°) Slice Azimuth: 257° Plunge: 90°
Pyritic Shell in Cover rocks
Pierce Point*
*Hole drilled perpendicular to section line
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2016 Resource Estimate Focus Area
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*Cu Eq calculation is based on prices of US$3.00 per pound of copper, US$1,300 per ounce of gold, US$20 per ounce of silver, US$9.00 per lb
Source: Seabridge Gold Inc.
◆ Deep drilling below giant KSM Cu-
◆ 1.0 Bt Grading 0.53% Cu, 0.35 g/t
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beneath past producing Afton open pit
cave production began in 2012
underway, feasibility
extensions > 1200m below surface is being considered
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Priority sulphide target
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Located 25 km NE of Kwanika Cu-Au deposit
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Airborne survey identified deposit scale cluster of strong, discrete magnetic highs one with single line coincident VTEM anomaly
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Target represents a possible skarn-porphyry system or VMS target
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Results pending from ground geophysical / geochemical program completed fall 2016
Original VTEM / Mag Target Additional Targets Additional Targets Possible Intrusive www.serengetiresources.com | TSX.V: SIR 31