In Indu dustry stry-lead leading ing US-Based Based Gold
- ld Ow
Owne nership rship Per er Shar hare
NYSE MKT: T: PZG March h 2017 17
Gold old Ow Owne nership rship Per er Shar hare March h 2017 - - PowerPoint PPT Presentation
In Indu dustry stry-lead leading ing US-Based Based Gold old Ow Owne nership rship Per er Shar hare March h 2017 17 NYSE MKT: T: PZG This Presentation contains forward - looking statements within the meaning of applicable
NYSE MKT: T: PZG March h 2017 17
This Presentation contains “forward-looking statements” within the meaning of applicable securities laws relating to Paramount Gold Nevada Corp. (“Paramount”, “we”, “us”, “our”, or the “Company”) which represent our current expectations or beliefs including, but not limited to, statements concerning our operations, performance, and financial condition. These statements by their nature involve substantial risks and uncertainties, credit losses, dependence on management and key personnel, variability of quarterly results, and our ability to continue growth. Statements in this presentation regarding planned drilling activities and any other statements about Paramount’s future expectations, beliefs, goals, plans or prospects constitute forward-looking statements. For this purpose, any statements contained in this presentation that are not statements of historical fact are forward-looking statements. Without limiting the generality of the foregoing, words such as “may”, “anticipate”, “intend”, “could”, “estimate”, or “continue” or the negative or other comparable terminology are intended to identify forward-looking statements. Other matters such as our growth strategy and competition are beyond our control. Should one or more of these risks or uncertainties materialize or should the underlying assumptions prove incorrect, actual outcomes and results could differ materially from those indicated in the forward-looking statements. Any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to update any forward- looking statement or statements to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of unanticipated events. New factors emerge from time to time and it is not possible for us to predict all of such factors, nor can we assess the impact
those contained in any forward-looking statements. Cautionary Note to U.S. Inve vestor tors - All mineral resources have been estimated in accordance with the definition standards on mineral resources and mineral reserves of the Canadian Institute of Mining, Metallurgy and Petroleum referred to in National Instrument 43-101. U.S. reporting requirements for disclosure of mineral properties are governed by the Securities and Exchange Commission (“SEC”) Industry Guide 7. Canadian and Guide 7 standards are substantially different. The SEC permits mining companies, in their filings, to disclose only those mineral deposits that a company can economically and legally extract or
and "inferred," which are not recognized under Industry Guide 7. U.S. Investors should be aware that the issuer has no "reserves" as defined by Industry Guide 7 and are cautioned not to assume that any part or all of mineral resources will be confirmed or converted into Industry Guide 7 compliant "reserves". Disclosure of "contained ounces" in a resource is permitted disclosure under Canadian regulations; however, the SEC normally
without reference to unit measures. Mineral resources that are not mineral reserves do not have demonstrated economic viability.
2 paramountnevada.com | @ParamountNV
paramountnevada.com | @ParamountNV 3
paramountnevada.com | @ParamountNV 4
paramountnevada.com | @ParamountNV 5
paramountnevada.com | @ParamountNV 6
Vale Boise Winnemucca GRASS SSY Sleeper
paramountnevada.com | @ParamountNV 7
Grassy Area
Mineralization
Tonne nes (000’s) Au Grad ade (g/T) Au Ounce ces Ag Grad ade (g/T) Ag Ag Ounce ces
Global bal Resource urce
68,693 68,693 0.82 0.82 1,653,00 000 2.25 2.25 4,976,00 000
PEA UG Resource urce
3,245 3,245 5.32 5.32 511,000 511,000 8.9 8.9 843,000
paramountnevada.com | @ParamountNV 8
paramountnevada.com | @ParamountNV 9
Gold Price (USD$) $) $ 1 1,300 00 Silver Price (USD$) $ 17.50 Average Annual Gold Production (ounces) 53,000 Average Annual Silver Production (ounces) 82,000 Pre-Pro Producti uction
l Costs (L.O.M) M) $ 1 119. 9.6 6 M ( ($140 140 M) M) Production Life (years) 9 Cash sh Cost st per Au Au Ounce nce (USD) $ 577 7 All-in n Cost per Au Ounce nce (USD) $ 8 880 Pre-Tax ax Post-Tax Tax NPV at 10% Discount
$101 01 M $72 $72 M IRR (Interna ternal l Rate of R Retur turn) n) 32.60 60 % 27.0% 0% Payback Period (years) 3.2
10 paramountnevada.com | @ParamountNV
paramountnevada.com | @ParamountNV 11
Increa rease / (Decrea crease) NPV ($US US M) 10% 10% NPV Increase rease from Base Case ($US S M) OPEX (20%) 136.69 35.7 CAPEX (20%) 128.08 27.09 GOLD 20% 183.98 82.99
paramountnevada.com | @ParamountNV 12
TAILS AS THE BEST RECOVERY OPTION WITH UP TO 97% TOTAL RECOVERY
paramountnevada.com | @ParamountNV 13
14
PFS DRILLING REVISED POO BLM BLM EIS STATE PERMIT APPLICATION CONSTRUCTION DESIGN INITIATE CONSTRUCTION
2016 2017 2018 2019
A P PATH FROM OM ACQUIS ISITION ITION TO CONST NSTRUC RUCTI TION ON
OWNER PZG- CALICO HSEC (CORPORATE RESPONSILITY) MDA - PFS Lead (Resource, Mining, Economics) SFP Water (Hydrology , SPF Flow Modeling, Monitoring Wells) AUSENCO (Metallurgy, Process & Infrastructure design) GOLDER (Geo-tech mine & facility, Tailings design) PZG ENVIRONMENTAL COORDINATOR BLM EIS (HDR) DOGAMI TRT DOJ DEQ-WL PROJECT MANAGER DRILLING, MODELING, & EXPLORATION EM Strategies Community Relations
ther r define ine and expand nd exis istin ting g high igh grade e zone
erial l for PFS level el meta tallu llurgic rgical al testing ting
technic nical al data for rock stabil ility ity
in hydrologi
cal data
paramountnevada.com | @ParamountNV 16
paramountnevada.com | @ParamountNV 17
Including 1.5m of 1,090 g/T gold
paramountnevada.com | @ParamountNV 18
PERMITTING PROCESS STATE DIV 33 (EXPLORATION) NOI (12) DIV 37/43 (CHEM MIN PROCESS) FEDERAL EXPL NOTICE (<5 ACRE) PLAN OF OPERATION EIS COUNTY Zoning/Land Use
paramountnevada.com | @ParamountNV 19
Resour urce, ce, Geotec technic hnical al & Meta tallu lurgi rgical cal
Modelin ing g aquifer fer Monitor
ing g water ter quality ty
paramountnevada.com | @ParamountNV 20
1 mile Wood sinter GM
21
22
GM Wood Sinter
ults
menceme ncement nt of EIS (BLM proce cess ss)
imation ation & Convers ersion ion to Reserve rves
letion tion of PFS
menceme ncement nt of the Consoli solidate ted Permi mit t Applica cation tion
paramountnevada.com | @ParamountNV 23
ship p of former er high grade open pit gold producer er
AX Gold produced ed 1.7 million ounces es of gold from 1986-96 96
e, near surfa face, e, low g w grade resou
e wi with excellent ent explor
tion potent ntial
e land positio tion (15,500 0 hectare res) s) and valuable e infrast stru ructu cture re (Access ess by major roadways, s, water rights s owned, electri trica cal power on s site) e)
paramountnevada.com | @ParamountNV 24
Vale Boise Winnemucca Grasssy SLEEPER PER
paramountnevada.com | @ParamountNV 25
Tonne nes (000’s) Gold Grade (g/T) T) Gold (000’s of
ces) Measur ured 200,500 0.39 2,488 Indicate ated 93,900 0.31 933 M&I 294, 4,400 400 0.36 3,421 21 Inferr rred 241,800 0.32 2,472
Gold Price (USD$) $) $ 1 1,250 50 Silver Price (USD$) $ 16 30,000 T/Day Heap Leach Operation Average Annual Gold Production (ounces) 83,500 Average Annual Silver Production (ounces) 82,500 Pre-Pro Producti uction
l Costs (L.O.M) M) $ 1 175 5 M ( ($259 259 M) Production Life (Payback) 9yrs (3.5yrs) Cash h Cost per Au Ounce nce (USD) $ 5 529 All-in n Cost per Au Ounce nce (USD) $ 8 869 Pre-Tax ax Post-Tax Tax NPV at 5% Discoun unt Rate (USD) $201. 01.8 8 M $126 26 M IRR (Interna ternal l Rate of R Retur turn) n) 28.4 4 % 20.0 0 % Gold and silver recove
ries of 7 73.6% 6% & 14.6% % respec pecti tively vely
26 paramountnevada.com | @ParamountNV
paramountnevada.com | @ParamountNV 27
GOLD PRICE ($) NPV ($US US M) 10% 10% NPV ($US US M) 5% 5% IRR (%) 1,300 00 $89. 9.8 $147. 47.0 22 22 1,400 00 $125 25.3 $189. 89.3 27 27 1,500 00 $160 60.7 $231. 31.6 31 31 1,600 00 $196 96.2 $273. 73.9 36 36 1,700 00 $231 31.6 $316. 16.2 40 40 1,800 00 $267 67.1 $358. 58.5 44 44 1,900 00 $302 02.5 $400. 00.8 48 48
28 paramountnevada.com | @ParamountNV
Stock Exchang change and Symbol NYSE MKT: T: PZG Cash Position $1.8M (As at December 31, 2016) Cash from Equity Financing $3.66M (Closed Feb. 14, 2017) Debt Nil Share Price $1.77 (As at March 1, 2017) Shares Outstanding 17,779,054 (As at February 14, 2017) Market Capitalization ~$31 Million Average Volume (3 months) 67,835 (As March 1, 2017)
paramountnevada.com | @ParamountNV 29
paramountnevada.com | @ParamountNV 30
0% 20% 40% 60% 80% 100% 120% 140% 160% 180%
1 YR. PERFORMANCE
PZG GLD
paramountnevada.com | @ParamountNV 31
1 2 3 4 5 6
5.32 2.22 0.69 0.68 0.60 0.45 0.37 0.30
paramountnevada.com | @ParamountNV 32
$- $10 $20 $30 $40 $50 $60 $70 $80 $90 $100
$97 $97 $19 $19 $15 $15 $15 $15 $4 $4 $3 $3 $1 $1
Enterprise Value / Resource
33
exploration to major producers
the merger with Coeur Mining in April 2015
Glen van Treek (President & CEO, Director)
M&A experience
Carlo Buffone (CFO)
the U.S and internationally
Silver Corp.
Nancy Wolverson (U.S. Project Manager)
acquisition in 2015
Christos Theodossiou (Director – Corporate Communications)
paramountnevada.com | @ParamountNV
34
Rudi P Fronk (Chairman)
David Smith
Christopher Reynolds
Eliseo Gonzalez- Urien
John Carden
complex environmental and social impact projects
Pierre Pelletier
paramountnevada.com | @ParamountNV