Exploring for Precious Metals in the Golden Triangle District, - - PowerPoint PPT Presentation

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Exploring for Precious Metals in the Golden Triangle District, - - PowerPoint PPT Presentation

Exploring for Precious Metals in the Golden Triangle District, British Columbia TSX.V : DV OTCUS : DOLLF January 9, 2017 TSX.V : DV U.S. : DOLLF 1 Forward Looking Information This presentation may contain forward-looking statements that


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Exploring for Precious Metals in the Golden Triangle District, British Columbia

January 9, 2017

TSX.V : DV  OTCUS : DOLLF

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Forward Looking Information

This presentation may contain forward-looking statements that are not historical facts. Forward Looking Information includes, but is not limited to, disclosure regarding possible events, conditions or financial performance that is based on assumptions about future economic conditions and courses of action; the timing and costs of future exploration activities on Dolly Varden Silver Corporation (“Dolly Varden”) properties; success of exploration activities; permitting timelines and requirements; requirements for additional capital; environmental requirements; planned exploration and development of properties and the results thereof; planned expenditures and budgets and the execution thereof. Often, but not always, forward-looking statements can be identified by the use of words such as “expects,” “plans,” “estimates,” “intends,” “believes,” “could,” “might,” “will”, “budget”, “scheduled”, “forecasts”, “anticipates”, “potential”, “base case” or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Dolly Varden to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Forward looking statements or information relates to, among other things, Dolly Varden’s corporate strategies, mineral resource estimates and plans for further exploration, which will require additional funding. These forward-looking statements are based on management’s current expectations and beliefs (including the belief in the accuracy of the resource estimate) but given the uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward-looking statements or information. Information in this presentation is not intended to be a comprehensive review of all matters and developments concerning Dolly Varden and Dolly Varden does not assume any obligation to update, or to publicly announce, any such statements, events or developments, except as required by law. For additional information on risks and uncertainties, see Dolly Varden’s most recently filed annual management discussion & analysis (“MD&A”), which is available on SEDAR at www.sedar.com and on Dolly Varden’s website at www.dollyvardensilver.com. The risk factors identified in the MD&A are not intended to represent a complete list of factors that could affect Dolly Varden.

Compliance with NI 43-101

The technical information in this website (the "Technical Information") has been approved by Ben Whiting, P.Geo., V.P. of Exploration of Dolly Varden and a Qualified Person. For For rea readers ders to to unders derstand the he inform formation

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ed therei erein. Some of the mineral resources at the Dolly Varden Property are categorized as indicated and some as inferred mineral resources. Mineral resources that are not mineral reserves do not have demonstrated economic viability. Mineral resource estimates do not account for mineability, selectivity, mining loss and dilution. These mineral resource estimates include inferred mineral resources that are normally considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as mineral reserves. There is also no certainty that these inferred mineral resources will be converted to measured and indicated categories through further drilling,

  • r into mineral reserves, once economic considerations are applied.
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Overview

  • Dolly Varden Silver

er Corp rp, is exploring for high-grade silver, gold and base metals in the prolific Golden Triangle District, northwestern British Columbia, Canada.

  • The company's flagship asset is the 100% owned

Dolly Varden Project, an 8,800 hectare property, hosting a high-grade silver resource, with expansion potential and multiple regional exploration showings.

  • The current resources as of August 2015 are

Indi dicat ated d Resour urces ces of 3.07 M tonnes nes, , gradi ding ng 322 g/t Ag f for 31. 1.8 8 million

  • n ounces

es silver er, , plus us Inferre erred d Resour urces ces of 0.90 M tonne nes, , grading 373 g/t Ag for 10.8 8 millio lion n ounces es silver er.

  • Property-wide exploration programs will continue to

test regional target concepts and known mineralized showings and deposits.

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Capital Structure Share Structure

Issued 34,464,759 Warrants (avg. price $0.40) 5,892,550 Options (avg. price $0.93) 2,955.000 Fully Diluted Shares 43,312,309

Notable Shareholders

US Global Hecla Canada Ltd. 16% 15%

  • Avg. Daily Vol. (12 Wks)

33,795 52-Week High $1.11 52-Week Low $0.12 Current Price $0.63 Current as of January 9, 2017

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Team

Management

Gary Cope

President, CEO & Director

Ben Whiting, P.Geo.

Vice President - Exploration

Rob van Egmond, P.Geo.

Chief Geologist

Stephen Brohman, CPA,CA

Chief Financial Officer

Melissa Martensen

Corporate Secretary

Steve Cope

Manager – Corp Development

Directors

Darren Devine

Chairman

Annette Cusworth

Director

Don Birak

Director

Jim Sabala

Director

Tom Wharton

Director

TechnicalAdvisors

Kurt Allen, P.Geo. Art Freeze, P.Geo. Dale Brittliffe, P.Geo.

  • Dr. Nick Carter, P.Eng.
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The Importance of Location

Within the Eskay Rift and “Golden Triangle District”

  • A Regional, precious and base-

metal mineral belt

  • Prolific district historic

production

  • Numerous precious metal

deposits including Eskay Creek and Brucejack (Valley of the Kings)

  • Comparable stratigraphy,

structure and alteration on Dolly Varden as these world-class deposits.

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Infrastructure

  • 8,800 hectare wholly-owned land

position (subject to 2% NSR)

  • 25km from deep tide-water port
  • Historic road access
  • 30 km from power grid
  • Hydro project located on property
  • Federal and Provincial treaties with

Nisga’a First Nation

  • Four known deposits on Dolly

Varden

  • >20 million ounces of past high-grade

silver production (in 1920’s & 1950’s)

  • >7 km of underground workings at

historic mines

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2011 – 2013 Programs

Focused on historic deposits…..

2011: Wolf – 4,607 m (21 holes)

  • 595 g/t Ag over 15.2 m (epi vein)
  • 384 g/t Ag over 5.45 m (VMS?)

2012: Dolly Varden – 1,603 m (6 holes)

  • 536 g/t Ag over 5.3 m
  • Underground rehab, samp and surv
  • VTEM & ZTEM surveys

2013: Torbrit – 3,064 m (14 holes)

  • 509 g/t Ag over 17.1 m on Torbrit deposit
  • VMS in all holes with ranging from 9.3m to 89.1m

(average 38m) thick

Provided data for resource estimate completed in August 2015

‘13 ‘12 ‘11

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Maiden Mineral Resource Estimate

Category Deposit Tonnes Silver

(g/t Ag)

Silver oz

(contained)

INDICATED

Torbrit 1,913,000 251.4 15,460,000 Dolly Varden 522,000 625.1 10,490,000 Wolf 402,000 296.6 3,834,000 North Star 236,000 262.8 1,994,000 Total 3,073,000 321.6 31,778,000

INFERRED

Torbrit 845,600 373.0 10,140,000 Dolly Varden 38,600 434.2 539,000 Wolf 9,500 230.6 70,000 North Star 4,800 223.6 35,000 Total 898,500 373.3 10,784,000

1. Effective August 27, 2015 by Giroux Consultants Ltd. 2. 150 grams of silver per tonne (g/t Ag) cutoff grade 3. Mineral resources that are not mineral reserves have not demonstrated economic viability. Please refer to the company’s updated Technical report filed on www.sedar.com for further details.

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Maiden Mineral Resource Estimate

Room to Grow

  • Zinc and lead contents, known to exist in the deposits, were not

included in the mineral resource estimate due to sparsity of lead and zinc assay data (not assayed in pre-2011 drill holes).

  • Specific gravity (SG) data was also very conservatively modeled due to

sparsity of data. Known presence of barite and sulfides will likely result in higher SG of rock, resulting in greater tonnage.

  • Significant volumes of historic (non-compliant) resource estimate were

not included in the current estimate due to lack of data. Further drilling will allow adding this material to future resource estimates.

  • Deposits are open along strike and down dip in some areas

Please refer to the Company’s updated Technical Report filed on www.sedar.com for further details. The Qualified Person for this mineral resource estimate is G.H. Giroux, M.A.Sc., P.Eng., who prepared the mineral resource estimate in compliance with the standards of National Instrument 43-101. Mr. Giroux is independent of the Company.

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3D Conceptual Geological Model

  • DV property contains the same depositional host rocks as the Eskay Creek deposit.
  • Hazelton Group rocks are gently folded and exhibit strong hydrothermal alteration

(Sodium depletion and Potassium enrichment).

  • Both VMS (volcanogenic massive sulfide) and epithermal vein deposits are proven to

exist.

  • Silver present as native silver and lead or zinc sulphide species.
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Exploration

Regional Exploration

  • Kitsol Epithermal vein: 25.95m grading 712 g/t Ag
  • Ace-Galena VMS horizon:
  • 3.25m grading 406 g/t Ag (within 65.5m

grading 60 g/t Ag)

  • 1.25m grading 454 g/t Ag
  • 1.25m grading 118 g/t Ag
  • 0.5m grading 159 g/t Ag
  • Ace Galena Epithermal vein: 3.15m grading 591

g/t Ag, including 0.5m grading 3,200 g/t Ag.

  • Lithologies and alteration assemblage of the Ace-

Galena Trend comparable to those in known deposits on the property

  • Surface strike of alteration extends over 6km from

McKay Showing northeast beyond the Sault Showing

  • Only 10% of this trend has been drill tested.
  • Discovery of new epithermal and VMS

mineralization at Ace-Galena.

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Ace-Galena

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Ace-Galena

New VMS & Epithermal Discoveries

  • Confirmed subsurface

continuity of mineralization in new VMS zone over 250m at Ace-Galena.

  • 454 g/t Ag over 1.25m
  • 117.5 g/t Ag over 1.25m
  • 158.5 g/t Ag over 0.5m
  • Discovered new shallow

epithermal vein containing native silver.

  • 591 g/t Ag over 3.15m

incl 3,200 g/t Ag over 0.5m

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Kitsol Vein

Long Section showing Grade X Thickness of Intercepts

Kitsol Vein Long Section showing grade x thickness of intercepts

Hole DV14010 returned 25.95m 5m grading ng 712.19 g/t Ag (est. 22.6m true width).

  • Only wide-spaced drill follow up.
  • Further work to include detailed

structural interpretation.

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Big Bulk Cu-Au Prospect

  • In addition to the Dolly Varden Property, Dolly

ly Varden den Silver er Corp rp, also

  • wns the Big Bulk Copper-Gold Prospect, located 10 km to the southeast

along the south shore of Kinskuch Lake.

  • Big Bulk consists of 7 mineral claims for 2,640 hectares. It is

surrounded by the very large Kinskuch Project of Hecla Mining Limited.

  • Big Bulk is in alkali porphyritic rocks of the Hazelton Group, with intensly

altered quartz monzonite intrusives. Analogues for Big Bulk are the Sulphurets, KSM (Seabridge) and Red Mountain (IDM Mining) deposits.

  • Intermittent exploration programs have taken place over several
  • decades. Channel sampling on the Bonnie Zone yielded 27.9 m

averaging 1.25% Cu and 1.0 g/t Au.

  • Short historic drilling programs have been conducted. Hole AGA01

yielded 0.31 % Cu over 54 m from 67 to 121 m, plus 4.0 g/t Au over 10 m from 427 to 437 m.

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Market Comparables

Company Location Total AgEq oz Grade Shares F/D Price F/D M Cap Per oz

ALEXCO RESOURCE CORP Canada 67,300,000 337 105,000,000 $2.28 $239,400,000 $3.56 DEFIANCE SILVER Mexico 17,900,000 192 95,300,000 $0.40 $37,640,000 $2.10 KOOTENAY SILVER Mexico 179,000,000 55 244,000,000 $0.34 $82,960,000 $0..46 SILVER BEAR Russia 78,100,000 900 172,000,000 $0.32 $54,180,000 $0.69 BRIXTON METALS Canada 21,500,000 90 59,000,000 $0.43 $25,075,000 $1.17

AVERAGE $1.60

DOLLY VARDEN Canada 42,600,000 333 43,300,000 $0.63 $27,279,000 $0.64

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Conclusion: Undervalued

  • Robust mineral resource
  • Expansion potential of resource
  • Confirmed VMS and Epithermal

systems property wide

  • Encouraging exploration

discoveries

High Grade The Right Location Experienced Management

  • 25km from deep tidewater and

power via historic road

  • On Golden Triangle and Eskay Rift

– prolific production

  • Mineralization styles of Eskay

Creek and Brucejack

  • Excellent exploration upside
  • 30.1 million shares outstanding
  • Cash in bank and no debt
  • Frugal corporate burn rate
  • Experienced management and

board

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Contact

GARY COPE

President, CEO & Director 604-687-8566

BEN WHITING, P.Geo.

Vice President Exploration 604-687-8566

LEARN MORE

www.dollyvardensilver.com

Investor Relations

Skanderbeg Capital Advisors 604-687-7130 info@skanderbegcapital.com