Gold old Ow Owne nership rship Per er Shar hare March h 2017 - - PowerPoint PPT Presentation

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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


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SLIDE 1

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

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SLIDE 2

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

  • f each such factor on the business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from

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

  • produce. We use certain terms in this document, such as "reserves," "resources," "geologic resources," "proven," "probable," "measured," "indicated,"

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

  • nly permits issuers to report mineralization that does not constitute Industry Guide 7 "reserves" by SEC standards as in-place tonnage and grade

without reference to unit measures. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

2 paramountnevada.com | @ParamountNV

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SLIDE 3

Low

  • w Pol
  • litic

tical al Risk Defined ned Permit itting ting Proces esses es Changin nging Fiscal al Tax Policy cy

paramountnevada.com | @ParamountNV 3

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SLIDE 4

District rict Scale e Land Packages kages All at PEA level el Signific ifican ant t M&I Resou

  • urces

rces Extens ensive ive Metall llurgica urgical l Testi ting ng Explor loration ation Upside de

paramountnevada.com | @ParamountNV 4

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SLIDE 5

Current nt Go Gold ld Enviro ironme nment nt

  • Hi

High gh Gr Grade e Gr Grassy sy Mount ntain ain Go Gold ld projec ect t wit ith Ro Robust st Ec Economi mics cs (5.32g/T g/T Au) Ris isin ing g Go Gold ld Pric ice Enviro ironme nment nt

  • Over

r 6 6 mil illi lion

  • n
  • unces

es of contai ained ned Go Gold ld Eq

  • Eq. at Sl

Sleeper per Go Gold ld Projec ect

paramountnevada.com | @ParamountNV 5

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SLIDE 6

paramountnevada.com | @ParamountNV 6

  • 9,300

300 acres es (3,7 ,763 hectar ectares) es) in Eastern, stern, OR

  • Nevada

vada like ke deser ert

  • Proxim

imit ity to multi ultiple ple citie ies

  • HR Capit

ital al

  • Acc

ccomm mmodat datio ions ns

  • No huma

uman habitati bitation to distur turb

  • No protected

tected species cies of ve vegeta etatio ion or wildl ldlif ife

Vale Boise Winnemucca GRASS SSY Sleeper

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SLIDE 7

paramountnevada.com | @ParamountNV 7

  • 238 Drill holes in

Grassy Area

  • 100 % M&I
  • Underground

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

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SLIDE 8

paramountnevada.com | @ParamountNV 8

  • Deposit

posit loc

  • cat

ated ed

  • n

n privat vate e land and

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SLIDE 9

paramountnevada.com | @ParamountNV 9

  • High

gh grade e cor

  • re

e of depos posit it startin ing g at 200 00-300 300ft. t. below low surfa face ce

  • Under

der Sever eral al Sinter nter (Sil ilica ica depos posit itio ion)

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SLIDE 10

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

  • n Capital

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

  • unt Rate (USD)

$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

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SLIDE 11

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

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SLIDE 12

paramountnevada.com | @ParamountNV 12

  • EXTENSIVE TESTING DEFINED, GRAVITY AND LEACH OF GRAVITY

TAILS AS THE BEST RECOVERY OPTION WITH UP TO 97% TOTAL RECOVERY

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SLIDE 13

paramountnevada.com | @ParamountNV 13

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14

  • $6M

6M projected jected budge get through rough to permit mitti ting ng

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

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SLIDE 15

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

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SLIDE 16
  • 24 holes

es rem emain ining ing

  • OBJECTIVES:

ECTIVES:

  • Furth

ther r define ine and expand nd exis istin ting g high igh grade e zone

  • Materia

erial l for PFS level el meta tallu llurgic rgical al testing ting

  • Geotech

technic nical al data for rock stabil ility ity

  • Obtain

in hydrologi

  • logical

cal data

  • Expec

ected ted com

  • mpletio

pletion Q2 2 201 017

paramountnevada.com | @ParamountNV 16

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SLIDE 17

paramountnevada.com | @ParamountNV 17

  • Assay

ays s released eased Jan n 30, 0, 2017 017 from

  • m first 4
  • f 29

9 holes

  • les

in current rrent drill l progr gram am

  • GM 16-02

02 intersec tersected ted 43m 3m of 47. 7.51g/T 51g/T gold ld and d 12. 2.7 7 g/T T silver er

Including 1.5m of 1,090 g/T gold

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SLIDE 18

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

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SLIDE 19

paramountnevada.com | @ParamountNV 19

  • Baseli

eline ne Studie dies completed

  • mpleted for the

e cor

  • re

e of the e project ject and d expec ected ed fa facili cilities ies layou yout

  • Plan

an Of Oper erat atio ions

 Init itia ial l Draft t Plan an submitt itted ed  Updated ted Plan an will be e submi mitt tted in 201 017

  • EIS

S Con

  • ntrac

ractor tor HDR R selec ected ed by BLM

  • Work

rk appro roved ved for PFS under der DOGAMI GAMI Division vision 37

 Per ermit itted ted Drill llin ing

 Resour urce, ce, Geotec technic hnical al & Meta tallu lurgi rgical cal

 Per ermit itted ted Dee eep Moni nitorin

  • ring

g water er Wel ells

 Modelin ing g aquifer fer  Monitor

  • rin

ing g water ter quality ty

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SLIDE 20

paramountnevada.com | @ParamountNV 20

1 mile Wood sinter GM

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SLIDE 21

21

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SLIDE 22

22

High resistivity target

GM Wood Sinter

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SLIDE 23
  • Assay results

ults

  • Comme

menceme ncement nt of EIS (BLM proce cess ss)

  • Updated Resource
  • urce Estim

imation ation & Convers ersion ion to Reserve rves

  • Comple

letion tion of PFS

  • Comme

menceme ncement nt of the Consoli solidate ted Permi mit t Applica cation tion

paramountnevada.com | @ParamountNV 23

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SLIDE 24

Sl Sleepe per r Gold ld Pr Proje ject ct

  • 100% ownersh

ship p of former er high grade open pit gold producer er

  • AMAX

AX Gold produced ed 1.7 million ounces es of gold from 1986-96 96

  • Large,

e, near surfa face, e, low g w grade resou

  • urce

e wi with excellent ent explor

  • ration

tion potent ntial

  • Large

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

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SLIDE 25

Vale Boise Winnemucca Grasssy SLEEPER PER

paramountnevada.com | @ParamountNV 25

Tonne nes (000’s) Gold Grade (g/T) T) Gold (000’s of

  • f
  • unce

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

  • Additional silver M&I resource
  • f 30.7M ounces and inferred
  • f 15Mounces
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SLIDE 26

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

  • n Capital

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

  • veri

ries of 7 73.6% 6% & 14.6% % respec pecti tively vely

26 paramountnevada.com | @ParamountNV

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SLIDE 27

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

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SLIDE 28
  • Mult

lti-advanc advanced ed stage age projects

  • jects in the US
  • Shor
  • rt

t term rm oppo portun rtunit ity y to permi rmit Grass assy y Mountain ntain and advance ance to producti

  • duction
  • n
  • Oppo

portuni rtunity ty to leverage erage high gher er gold ld pri rice ces s with th Sleep eper er

  • Enterpri

erprise se EV/re /reso sour urces ces well ll belo low w the industry dustry avera rage ge at $4

  • Pro-forma

forma AC ACB of Grassy assy ~$21 21/oz. /oz. of Gol

  • ld

28 paramountnevada.com | @ParamountNV

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SLIDE 29

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

  • Strategic Shareholders:
  • FCMI Financial Corp and Seabridge Gold Inc.
  • Combined ownership of ~ 26%
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SLIDE 30

paramountnevada.com | @ParamountNV 30

  • 20%

0% 20% 40% 60% 80% 100% 120% 140% 160% 180%

1 YR. PERFORMANCE

PZG GLD

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SLIDE 31

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

  • Avg. Grade Au (g/t)
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SLIDE 32

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

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SLIDE 33

33

  • 25+ years of experience in all stages of the mining life cycle … from junior

exploration to major producers

  • VP Exploration & COO of Paramount Gold & Silver Corp. from 2011 through

the merger with Coeur Mining in April 2015

Glen van Treek (President & CEO, Director)

  • 20+ years in senior financial management roles including buy and sell side

M&A experience

  • CFO of Paramount Gold & Silver Corp. from 2010 through acquisition

Carlo Buffone (CFO)

  • 30+ years of experience in mineral exploration and development throughout

the U.S and internationally

  • From 2011 through 2015 she held the same position at Paramount Gold &

Silver Corp.

Nancy Wolverson (U.S. Project Manager)

  • 10+ years of investor relations experience in the junior exploration sector
  • With Paramount Gold and Silver Corp. from inception in 2005 through its

acquisition in 2015

Christos Theodossiou (Director – Corporate Communications)

paramountnevada.com | @ParamountNV

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SLIDE 34

34

  • 30+ years experience in the gold sector primarily as a senior officer and director
  • In 1999, he Co-founded Seabridge Gold, a US$500 million market cap company

Rudi P Fronk (Chairman)

  • Extensive international experience spans a wide array of industries with a particular emphasis on mining
  • Formerly VP and CFO of both Finning International and Ballard Power Systems
  • 16 yrs. experience with Placer Dome and Barrick Gold in a variety of roles

David Smith

  • Vice President Finance and CFO of Seabridge Gold since 2007
  • Over 20 years of mineral industry & public accounting experience

Christopher Reynolds

  • Former VP Exploration with Placer Dome
  • Director of Seabridge Gold
  • Exploration Geologist with 30+ yrs. of experience

Eliseo Gonzalez- Urien

  • Professional Geologist
  • 35+ yrs. experience in exploration management, teaching and research

John Carden

  • Environmental Engineer and Qualified Person under National Instrument NI 43-101
  • 20+ years of experience spanning the operational, technical and financial aspects of the environmental consulting industry managing

complex environmental and social impact projects

Pierre Pelletier

paramountnevada.com | @ParamountNV