Going for Gold December 2013 1 Disclaimer This document may - - PowerPoint PPT Presentation

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December 2013

Going for Gold

2 December 2013

Disclaimer

This document may contain statements that constitute “forward-looking statements”, including, but not limited to, statements relating to the implementation of strategic initiatives, and other statements relating to our future business development and economic performance. While these forward-looking statements represent our judgments and future expectations concerning the development of our business, a number of risks, uncertainties and other statutory requirements may render actual developments and results to differ materially from our expectations. These factors include, but are not limited to, (1) general market, macro-economic, governmental and regulatory trends, (2) movements in local and international securities markets, currency exchange rates and interest rates, (3) competitive pressures, (4) technology developments, (5) changes in the financial position or creditworthiness of our customers, obligors and counterparts, and changes in the developments in the markets in which they operate, (6) legislative developments, (7) management changes and changes to our business group structure and (8) other key factors that may adversely affect our business and financial model. We are not under any obligation to (and expressly disclaims any such obligations to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise. The technical and financial information presented are best estimates of management and are not JORC or NI43-101 compliant unless otherwise stated. Investors are cautioned not to place undue reliance on this information and not rely solely on the information presented for purposes of making investment decisions. This material may not be reproduced, distributed or transmitted to any other person or incorporated in any way into another document or other material without the prior written consent of LionGold.

3 December 2013

LionGold Corp at a glance

• As at 2 December 2013

(SGX: A78) (Bloomberg: LIGO SP) (Reuters: LION.SI) 2 Dec 2013

Price per share S$0.177 Market capitalisation S$166.6M Shares issued 941.2M Enterprise value S$136.9M Net asset value (NAV) S$0.21M P/NAV 0.79x

First gold company listed

• n SGX Mainboard with 7.5 million
• unces of gold resources and

900,000 ounces classified as

• reserves. The Group is

geographically diversified

with interests in 8 gold mining and exploration companies with primary concessions in Australia, Ghana, Bolivia and Canada.

Included in 2 equity indices Market Vectors Global Junior Gold Miners Index FTSE ST Mid Cap Index

4 December 2013

Castlemaine Goldfields, Ballarat Mine Victoria, Australia

757,700 ounce Gold Resource at 2 tenements, 40-50,000 oz production target, 100%-owned

Signature Metals, Owere Mines, Konongo Ashanti Gold Belt, Ghana

1.47 million ounce Gold Resource, 77%-owned 1.47 million ounce Gold Resource, 76%-owned

Minera Nueva Vista, Amayapampa, Bolivia

1.79 million ounce Gold Resource including 787,300 Reserves, 100% owned 1

Citigold Corporation, Charters Towers, Queensland, Australia

11 million ounce Gold Resource, incl 620,000 Reserves,18%-owned

Unity Mining Tasmania & NSW, Australia

623,000 oz Gold Resource at 3 tenements, incl 354,000 Reserves, 50,000 oz production, 13% owned

Projects in the Americas, Africa, Australia

updating of the 2011 NI43-101 Technical Report has been completed. 2LionGold will subscribe to A1 shares in two tranches. The second tranche of the placement, which amounts to 5% of A1′s share capital, is pending. Acadian Mining Corporation Nova Scotia Goldfields Canada

1.33 million ounce Gold Resource at Fifteen Mile Stream & Beaver Dam, 100% owned Arrangement with SOE SINOMA Group’s CBMI Construction

Key Mining Assets…Today

• 7.5 million ounces Gold Resources since March 2012 1

281,000 Gold Resource 15% owned 2

A1 Consolidated Gold Victoria, Australia

Co-partner in resources and energy IPR Fund

5 December 2013 Company Project Resources1 (ounces) Reserves1 (ounces) Exploration Feasibility Development Production Castlemaine Goldfields 100% Ballarat 71,700

• Castlemaine

686,000

• Minera Nueva Vista

100% Amayapampa 1,787,0002 737,300 Acadian Mining 100% Beaver Dam 950,000

• Fifteen Mile

Stream 383,000

• Signature Metals

77% Konongo 1,470,000

• Brimestone

Resources 100% Penny’s Find 52,300

• Citigold Corporation

18% Charters Towers 2,120,400 111,600 Unity Mining 13% Henty 296,000 121,000 Darques Reef 327,000 233,000 A1 Consolidated Gold3 15% A1 Gold Mine 281,200

• LionGold Project Pipeline
• Progressing existing projects

Figures are extracted from previous JORC- and NI43-101-compliant announcements.

equitable holding of the Charters Towers Project’s gold Resources.

updating of the 2011 NI43-101 Technical Report has been completed.

Production figures represent annualised targets.

Production 40-50,000 oz pa Exploration Infrastructure & mine development Production 2015:30,000 oz pa 2018:95,000 oz pa Scoping study end 2013 Production potential 2017 Scoping study completion end 2013 New operations management in place Exploration Production 50,000 oz pa Production 2015: 50,000 oz pa Production 2014/2015: 35,000 oz pa

6 December 2013 Technical Committee Audit Committee Remuneration Committee Nomination Committee

Signature Metals

77%

Castlemaine Goldfields

100% 100% 18%

Citigold Corporation

Operations

Brimstone Resources

Owere Mines

70%

Minera Nueva Vista

100%

Board of Directors

LionGold Corp Ltd

Investment

Tan Sri Dato’ Nik Ibrahim Kamil

Non-Executive Chairman Over 45 years managerial and business experience across a range of industries, including mining, media, financial, energy and infrastructure. Asiasons WFG Financial Chairman. Actively involved in resource M&A in Asia and Africa and banking in sub-Saharan Africa. Professionally qualified accountant with affiliations in the UK, Australia and Malaysia with experience in Australia, Southeast Asia and South Africa. Twenty years of legal practice with a broad range of experience ranging from litigation and conveyance to corporate and commercial matters. Accountant with extensive experience in project development, finance and business development throughout Asia.

Nicholas Ng

Chief Executive Officer & Managing Director

Raymond Tan

General Counsel & Executive Director

Dato’ Md Wira Dani Abdul Daim

Non-Executive Director

Roland Selvanayagam

Independent Non-Exec Director

Dr Denis Clarke

Independent Non-Executive Director

Gary Scanlan

Independent Non-Executive Director

Lynne Ng Su Ling

Independent Non-Executive Director

Bernard Soo

Independent Non-Executive Director Former CEO of DMG Partners and MD of Citicorp Investment Bank, Singapore. Previously head of Asia investment banking at Rabobank. Over 30 years legal experience including 15 years with Robert Wang & Woo LLP where he was Partner and Head of the Corporate & Commercial Department. Over 40 years experience in senior technical, financial and management roles in the mining industry globally, including with Rio Tinto and Plutonic. Ten years with PwC, followed by more than two decades evaluating, developing, financing and administrating mining projects globally.

Acadian Mining Corporation

100%

Unity Mining

13%

Group Structure

• As at December 2013

A1 Consolidated

15%

7 December 2013

CEO & MD

Nicholas Ng

Board of Directors

General Counsel

Raymond Tan

COO

Matthew Gill

• Also Executive Director and

Company Secretary.

• Provided legal advisory to

LionGold since 2007.

• Over 30 years legal experience

including 15 years with Robert Wang & Woo LLP, where he was Partner, and Head of the Corporate & Commercial Department.

• 19 years in investment

banking and corporate advisory in Asia-Pacific.

• Former Corporate Finance,

Co-Head for DMG Partners and Corporate Finance Head for HL Bank.

• Former CFO of SGX-listed

Darco Water Technologies.

• Mining engineer with over 30

years experience in all aspects

• f exploration and mining in

Australia, India and Papua New Guinea.

• Turned around Ballarat Mine

for Castlemaine and the Beaconsfield Mine, Tasmania.

• Australian Mine Manager of the

Year for 3 consecutive years.

• 17 years as a corporate lawyer,

including acting as general legal counsel for public-listed companies.

• 8 years actively involved in the

setting up of iron ore and gold mining operations around the world, from Mali to Mongolia.

• Spearheading LionGold’s

M&A effort globally.

• 29 years in financial markets.
• Former CEO of DMG Partners, and MD
• f Citicorp Investment Bank, Singapore.

Previous Head of Asia Investment Banking at Rabobank.

• Concluded numerous IPO, M&A,

privatisations and other financial transactions in Asia-Pacific.

CFO

Brendan Goh Corporate & Business Development Director

Peter Chen

• Audit Committee
• Remuneration Committee
• Nomination Committee
• Technical Committee

Corporate Finance and Legal Teams now in-house Global Technical Team

• Matthew Gill – Australia
• Andrew Lawry – Global Projects
• Chris Gbyl – West Africa
• Mike Clarke – Bolivia
• Pending – Canada

New Leadership Team

• Seasoned financial, legal & technical expertise

8 December 2013

Geographically diversified

• Risk management

Developed – 59%

• Stable business environment
• Infrastructure, skilled labour, funding
• Can be high-cost

Australia, Canada

• Established mining industry
• Excellent skills-base
• Many junior miners
• Preference for friendly / developed jurisdictions
• Increasing opportunities for regional consolidation

No geographic limitations, but -

Friendly Emerging – 16%

• Bigger opportunities
• Lower entry cost

Ghana, Ashanti Gold Belt

• Stable, foreign-friendly
• Established gold industry
• Highly prospective, scalable

“Challenging” – 25%

• Good value

Bolivia

• Relationships key

Profile by Resource Ounces “De-risking”

Developed Friendly Emerging

“Challenging”

Canada

19%

Australia 60% Ghana 31% Bolivia 4% Canada 5% Australia 41% Ghana 16% Bolivia 25% Canada 18%

Investment Resource

9 December 2013

Operating Objectives

• Balance & Prioritise

Mine Profile

Resource expansion Reserve replacement Production rising, reliable Increasing Life of Mine

Prioritise

Community Environment, Health, Safety Education & Training P r o d u c t i o n E f f i c i e n c y

10 December 2013

v

Exploration

FY2012

FY2013

FY2014

Non-core business divestment begins Indices inclusion Project screening

Fund-raising for gold business – S$100m Institutionalisation

• f shareholder base

Unity Mining

Ounces- in-the-Ground

Signature Metals Castlemaine Goldfields Brimstone Resources Citigold Corp Minera Nueva Vista Acadian Mining

New shareholders Business review Proposed change of core business to precious metals

FY2011

Production

Acquisition Focus

–Today‒

Resources

7.5m oz

Reserves

0.9m oz

Production

40-50,000 oz

~

8 Projects 4 Countries

Partnership: Infiniti and Suzhou Power in IPR Fund B&C tailings processing agreement A1 Gold Mine Ore processing agreement CBMI MOU Business integration

Acadian Mining

18% 13% 9%

Fast-tracking growth

• Response to improved acquisition opportunities

A1 Consolidated

15% 77%

11 December 2013

LionGold Corp

• Going for Gold

Dynamic, Expanding Operations

• Initial growth acquisition-led,

value accretive

• 7.5 million oz acquired from FY2013
• eight total, one wholly-owned in production
• S$210 million value, <US$30 per oz
• Production focus going forward
• Target raised to 200,000 vs 120,000 oz
• Growing opportunity: regional consolidation

2 4 6 8 10

Current FY2013 FY2012 FY2011

Reserve

Resource

Target end 2014 Resource & Reserves (million ounces) 50 100 150 200 Current FY2013 FY2012 FY2011 Production (‘000 ounces annualised) Target end 2014

FY2011 FY2012 FY2013 Current Reserves Resource FY2012 FY2011 FY2013 Current

12 December 2013

Acquisition Strategy: Tweaked

• Targeting scalable production

Better opportunities from April 2013

• Accelerated streamlining by gold majors
• Divestment of non-core assets
• Realistic valuation expectations by juniors
• More favorable environment for negotiation,

cost-cutting, capital discipline

• Gold production 50-100,000 oz pa
• or clear path to ramp-up, 6-12mos
• > 1 millionoz gold Resource
• inclusive of established reserve base
• 5 years+ life-of-mine
• Organic cashflow growth
• < US$1200 per ounce production cost
• Strong working capital position
• Up to US$100 million investment
• SGX-listed
• De-risking of assets
• Geographic
• Funding access
• Lower dilution risk
• Broader opportunities
• Bigger, global group

LGC ALLURE SCREENING

Gold producers globally

13 December 2013

Financial snapshot

• Balance sheet and gold production at 30 September 2013

Summary of balance sheet items SGD’ million 30.09.2013 31.3.2013 Current assets 93.2 131.3

• Includes cash and cash equivalents

36.8 47.0 Non-current assets 257.6 257.2 Total Assets 350.8 388.4 Current liabilities 43.3 45.5 Non-current liabilities 68.4 66.6 Total Liabilities 111.7 112.1 Net Assets 239.0 276.3 9,431 13,845 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 1Q2014 2Q2014

Gold produced (ounces)

807 666 1210 1055 500 1000 1500 1Q2014 2Q2014

Cash cost (A$)

Operating cash cost All-in cost

47%

14 December 2013

Company Name Country of listing Market Cap (US$/M) Enterprise Value (US$/M) Resource (Au Moz) EV/ Resource Operations CNMC SGX 86 85 0.50 170 Malaysia, Sokor in production G-Resources HKSE 742 756 8.10 93 Indonesia, Martabe, in production Zhaojin Mining HKSE 1,933 3,235 22.20 146 Projects in China, in production China Gold HKSE 1,089 1,408 8.10 174 Projects in Tibet, Inner Mongolia, in production Zijin Mining HKSE 7,625 11,767 44.80 263 Projects in China, in production LingBao Gold HKSE 175 759 3.00 253 Projects in China, in production Zhongjin Gold SSE 4,362 5,280 15.00 352 Projects in China, in production Shandong Gold SSE 4,533 5,479 11.00 498 Projects in China, in production Median Valuation 1,511 2,322 9.55 213 LionGold Corp SGX 133 109 7.50 15 8 Projects: Australia, Ghana, Bolivia and Canada

Global Gold Co listed in Asia

• vs single-project / country focus

2 December 2013

15 December 2013

Results delivered

• and going forward



Project Acquired

Castlemaine Goldfields (100%) Signature Metals (77%) Minera Nueva Vista (100%) Brimstone Resources (100%) Acadian Mining (100%)

Acquire “Gold in the Ground”

FY2013 FY2014 Dec 2014

Divest Green Businesses

Expanded Funding Options CBMI Construction MOU IPR Fund Co-partnership

Acquire Producing Assets

10 millionoz Resource 2 millionoz Reserve 200,000 oz pa Production 5 year Life of Mine

Ongoing Initiatives

Shareholder Return Minimise Volatility Raise Transparency Mitigate Balance Sheet Risk

Strategic Investments

Citigold Corporation (18%) Unity Mining (13%)

Global Gold Co

Integrate resources Fortify team, alliances

Organic production growth

Strategic Investments

A1 Consolidated Gold (15%)

16 December 2013

17 December 2013

LionGold’s core gold assets

Image: Gold production at Ballarat Mine, Castlemaine Goldfields

18 December 2013

Castlemaine Goldfields Limited

• High grade nuggety ore

Excellent facilities in established gold region, central Victoria, Australia

• Five concessions in total with JORC Resources in Ballarat

(producing) and Castlemaine

• Ballarat Mine production target 40-50,000 oz
• Life of mine + production enhancement
• 150,000 tpa ore processing agreement with A1 Gold Mine
• Share of gold revenues from A1 Gold Mine
• Toll treatment rate per tonne of ore processed

Resource Gold (ounces) Tonnage (tonnes) Grade (g/t) Castlemaine 686,000 2,760,000 7.7 Ballarat 71,700 263,000 8.5 Total 757,700

Figures indicate historical gold production at Castlemaine Goldfields’ five tenements

100% owned by LionGold from October 2012 Figures shown are based on previously quoted JORC-compliant statements

Ore processing capacity of 600,000 tpa

Castlemaine Goldfields’ Tenements

Gold operational update Q2 FY2014 Q1 FY2014 Gold produced (ounces) 13,845 9,431 Operating cash cost A$666 A$807 All-in cost A$1,055 A$1,210

19 December 2013

Flagship Owere Mines (70% owned) holds The Konongo Gold Project, Ghana

• 192 km2 concession in Ashanti Gold Belt
• 16 known gold deposits, 12 km strike
• Substantial untapped high-grade UG potential
• Historic production of 1.6 million ounces

at 11.8 grams per tonne, mostly from UG

• 2Q2014 Scoping study update:
• Diamond drilling results: multiple thick high-grade gold

mineralized sections; 200m extension to gold deposit

Signature Metals Limited

• Prioritising exploration targets

Konongo Gold Project Resources1 Gold (ounces) Tonnage (tonnes) Grade (g/t) Measured & Indicated 779,600 13,100,000 1.9 Inferred 687,100 10,500,000 2.0 Total 1,466,700

77% owned by LionGold as at April 2012 and listed on the ASX. Figures shown are based on previously quoted JORC-compliant statements.

Konongo Gold Project

Agreement to procure and process gold tailings

Starting March 2014 (for 3 years): B&C Extracts and sells gold bearing tailings Owere Mines Purchases & processes tailings to produce gold Gold revenue

Approx. 320,000 tonnes p.a. Pays purchase price

Income is anticipated to sustain exploration activities at Konongo Gold

• Project. Assuming an average gold grade of 3g/tonne and a recovery rate
• f 90%, this would produce approximately 90,000 ounces of gold.

20 December 2013

Minera Nueva Vista S.A.

• Infrastructure development underway

Amayapampa Project

Bustillo Province, Bolivia

• Resources of 1.79m oz, inclusive of 787,000 Reserves
• NI 43-101 compliant
• Owns the rights to overlapping concessions totaling

34 km2, located 290 km southeast of La Paz

• Excellent management team in place
• Two-stage proposed development process:
• “Starter pit” phase 1, 30,000 ounces annualised by 2015
• Review phase 2 for 95,000 ounce open pit mine for a further 4

years Amayapampa

Category Gold

(ounces)

Tonnage

(tonnes)

Grade

(g/t)

Reserves1 Probable 787,300 18,900,000 1.3 Resources1 Indicated 853,000 11,200,000 2.4 Inferred 934,000 12,000,000 2.4 Total Resources 1,787,000

100% owned by LionGold from December 2012. Resource is inclusive of Ore Reserves. 1Minera Nueva Vista’s Resources are based on the Media Release summary as of November 2013. New Reserve numbers will be updated at a later date when the updating of the 2011 NI43-101 Technical Report has been completed.

21 December 2013

Acadian Mining Corporation Limited

• Inexpensive foothold in North-America

Nova Scotia Projects

Canadian tenements in Nova Scotia

• Under-explored gold-bearing province
• Limited modern exploration
• Scoping study for open pit underway
• Completion due end 2013
• Potential production 3 years thereafter
• Test mining options under consideration
• Attractive royalty portfolio
• Regional consolidation potential

100% acquisition completed in October 2013. Figures based on previously quoted NI43-101-compliant statements.

Property

Gold

(ounces)

Tonnage

(tonnes)

Grade

(g/t)

Beaver Dam Indicated 446,000 849,000 1.5 Inferred 504,000 972,000 1.5 Fifteen Mile Stream Indicated 383,000 561,000 1.6 TOTAL 1,333,000

22 December 2013

Citigold Corporation Limited

• 18% strategic investment, single largest shareholder

Charters Towers Project

Charters Towers tenements near Townsville, Queensland

• “Australia’s highest grade gold field”
• 56 mineral holdings spanning >1,500 km2
• Significant Life of Mine potential, >10 years
• LionGold now with two board seats
• Ripe for review, revamp
• Secured A$100 million in funding mid-2013
• New operations management

ASX-listed, 18% owned by LionGold from December 2012.

Refer to www.citigold.com for JORC-compliant statements.

Indicated Resources includes Probable Reserves, and Inferred Resources includes Indicated Resources.

Charters Towers

Category

Gold

(ounces)

Tonnage

(tonnes)

Grade

(g/t)

Reserves Probable 620,000 2,500,000 7.7 Resources Indicated 780,000 3,200,000 7.6 Inferred 11,000,000 25,000,000 14

Ore processing capacity of 340,000 tpa

23 December 2013

LionGold Corp Ltd

59 Mohamed Sultan Road Sultan Link 02-08 Singapore 238999 T: +65 6690 6860 F: +65 6690 6844 E: info@liongoldcorp.com www.liongoldcorp.com

Thank you

w w w . l i o n g o l d c o r p . c o m

24 December 2013

Mining Glossary

To help you through some of the inevitable mining and finance jargon we have produced the following glossary

All-in-cost include byproduct cash cost, sustaining capital expenditure, general & administrative expenses and exploration expense ( in addition to

• perating cash cost)

Concession an area of land that is allocated for mining purpose Deposit a body of rock containing a concentration of mineral Exploration prospecting, sampling, mapping, diamond drilling and other work involved in searching for ore Feasibility Study a detailed engineering study which defines the technical, economic, social and legal viability of a mining project with a high degree of reliability, identifying and quantifying any risks and providing sufficient information to determine whether or not the project should be advanced to the final engineering and construction stage. A bankable feasibility study forms the basis on which banks and other lenders provide the capital necessary to build the mines Grade the measure of concentration of gold within mineralized rock JORC code widely accepted standard for reporting mineral resources and ore reserves established by the Australasian Joint Ore Reserves Committee Life of Mine number of years that the operation is planning to mine and treat ore, and is taken from the current mine plan Mineral Resource is a concentration or occurrence of diamonds, natural solid inorganic material, or solid fossilized organic material including base and precious metals, coal, and industrial minerals in or on the earth’s crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic extraction  Inferred Mineral Resource the part of a Mineral Resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, however, geological and grade continuity is not verified  Indicated Mineral Resource the part of a Mineral Resource for which quantity and grade or quality, densities, shape and physical characteristics can be estimated with a level of confidence sufficient to allow the appropriate application of technical and economic parameters, to support mine planning and evaluation of the economic viability of the deposit.  Measured mineral resource the part of a Mineral Resource for which quantity and grade or quality, densities, shape and physical characteristics are so well established that they can be estimated with confidence sufficient to allow the appropriate application of technical and economic parameters to support production planning and evaluation of the economic viability of the deposit.

25 December 2013

Mineral Reserve are economically mineable part of a measured or indicated mineral resources demonstrated by at least a preliminary economics assessment (PEA)  Probable Reserve is the economically mineable part of an indicated and in some circumstances, a measured mineral resource demonstrated by at least a preliminary feasibility study (PFS)  Proven Reserve is the economically mineable part of a measured mineral resource demonstrated by at least a PFS National Instrument 43-101 Canadian rule that governs how issuers disclose scientific and technical information about their mineral projects to the public Nuggety a lump of gold as found in gold mining or digging Open pit a mine that is entirely on the surface. Also referred to as open-cut or an open-cast mine (the latter normally for coal and industrial mineral

• perations)

Operating cash cost includes site costs for all mining, processing and administration, but are exclusive of production taxes, depreciation, reclamation, financing costs, capital costs and exploration costs Ounce (Troy) 31.1034 grams – a measure of the weight of a precious metal Preliminary Economic Assessment (PEA) initial estimate of costs, expenditures and revenue from the project Pre- Feasibility Study (PFS) preliminary assessment of Economic Viability of a deposit which forms the basis for justifying the completion of a more expensive Feasibility Study. A pre-feasibility study summarize all geological, engineering, environmental, legal and economic information accumulated to date on the project. The Prefeasibility Study should have error limits of ±25% Royalty an amount of money paid at regular intervals by the lessee or operator of an exploration or mining property to the owner of the ground. Generally based on certain amount per tonne or a percentage of the total production or profits. Also, the fee paid for the right to use a patented process Scoping Study the first level of engineering study that is performed on a mineral deposit to determine its economic viability. This is usually performed to determine whether the expense of a full pre-feasibility study and later full feasibility study is warranted. Scoping studies maybe completed internally by the Company or by the independent engineers Stockwork a mineral deposit consisting of a three-dimensional network of planar to irregular vein lets spaced closely enough that the whole mass can be mined Strike the direction, or bearing from true north, of vein or rock formation measure Tenement A license, permit or lease providing rights to explore for and/ or extract minerals under the surface of an area land