High Grade Gold Exploration in Tanzania Investor Presentation, - - PowerPoint PPT Presentation

TSX-V: TEM

High Grade Gold Exploration in Tanzania

Investor Presentation, January 2013

This presentation includes certain statements that may be deemed forward-looking. All statements in this presentation, other than statements of historical facts, that address future production, mineral resource or mineral reserve potential, results of exploration drilling, geological potential and continuity of geological features, exploitation activities and events or developments that the company expects, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that actual results or developments may differ materially from those projected in the forward-looking statements. Additional information with respect to exploration on the Tembo gold property can be found in the technical report entitled "Report on the Tembo Gold Project (pursuant to National Instrument 43-101 of the Canadian Securities Administrators) Geita District, Mwanza Region, United Republic

• f Tanzania", effectively dated October 30, 2011, as revised July 31, 2012 (the "Report.") The

Report is available on the company's website and under its SEDAR profile at www.SEDAR.com. The information contained in this presentation has been prepared under the supervision of David Scott, Pr. Sci. Nat., who is designated as a "Qualified Person" with the ability and authority to verify the authenticity and validity of the data.

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 2

Cautionary Note

• Highly Prospective Tanzanian Gold Asset

– A 101km2 contiguous area consisting of 33 active licences and 5 under application, adjacent to African Barrick's 14Moz Bulyanhulu Mine in the prolific Lake Victoria greenstone belt of Tanzania – Significant initial drill results with best intercepts including:

• TDD0004: 3.13 g/t gold over 35.89m, including 4.46 g/t gold over 2.60 and 9.38 g/t gold over 6.30m
• TDD0005: 10.76 g/t gold over 4.00m, including 93.3 g/t gold over 0.38m
• TDD0054: 8.17g/t gold over 11.05m
• TRC0013: 16.10 g/t gold over 3.00m
• TRC0423: 10.17g/t gold over 6m from 36.0m including 19.1g/t gold over 3m
• TDD0041: 22.81g/t Au over 15.00m from 299.00m including 34.78g/t Au over 9.70m from 302.30m,

including 205 g/t gold over 1m

– Currently over 1,600m of mineralized strike to depth of 150m at two project areas

• High Quality Management Team

– CEO: David Scott, formerly of Barrick Gold’s subsidiary Kahama Mining Corporation, 32 years’ experience, 15 years in Tanzania – Chairman: Dave Anthony, former COO of African Barrick, 30 years experience, 10 years in Tanzania

• Extensive Artisanal Activity

– Over 2,000 artisanal miners, mining to depths in excess of 30m in over 100 active shafts – Artisanal mining along a combined strike in excess of 10km along northwest (Bulyanhulu parallel), northeast and east-west structures – Extracting high grades between 5 and 58 g/t gold material

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 3

Tembo at a Glance

Clean capital structure with limited shares outstanding

4

Capital Structure

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com

Capital Structure Options and Warrants Holders Listings Research Coverage/Watch List

TSX Venture TEM Frankfurt Stock Exchange T23 OTCQX TBGPF Canaccord Genuity Nicholas Campbell Versant Partners Rob Chang

Wolverton Securities

Rodney Stevens

Management & Founders 20% 49 North Resources 10% BEC International 10% Institutional 15% Warrants 13,247,332 Options 4,084,000 TSX-V Symbol TEM Share Price (as at Jan 11, 2013) $0.57 52 Week Range $0.35 - 2.29 Issued and Outstanding 49,486,213 Fully Diluted 66,817,545 Market Capitalization ~$28 Working Capital (as at January 2013) ~$2M

MANAGEMENT TEAM

Firsthand and Extensive Experience

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 5

Former Bulyanhulu management leading the company

• David Scott – President & CEO

– Former Technical Services Manager for Barrick Gold’s subsidiary Kahama Mining Corporation; responsible for all Technical Services at Bulyanhulu including on-mine exploration activities – Over 32 years of African exploration and mining experience with 15 years in Tanzania – Extensive knowledge of Tanzanian geology including direct experience at Bulyanhulu

• Dave Anthony - Chairman

– Former COO of African Barrick Gold and member of executive team that took ABG public – Over 30 years of experience with 10 years in Tanzania: responsible for design, construction and operation of 3 of 4 world-class Barrick operations (Bulyanhulu, Buzwagi, Tulawaka) – Held multiple senior positions with gold and base metal mining companies (Barrick, Kinross, Cominco, Hudson Bay M&S, Royal Oak Mines, Cliffs Natural Resources)

• Peter Haworth - Exploration Manager

– 33 years experience in exploration and mine geology and in mine management, extensive drill project and greenstone gold experience in southern, east and west Africa

• Jann Beresford - Senior Geologist

– Holds a MSc Engineering degree from the University of Portsmith and has four years experience as a senior and project geologist on large drilling programs in Zambia and the DRC

• The Mineral Corporation (TMC), exploration contractors, a leading senior advisor, consultant and contractor

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 6

Directors & Management

Experienced mining professionals strengthen the corporate team

• John Seaman – CFO/Director

–

• Mr. Seaman has been involved with several successful mining projects and is currently the CFO for Premier Gold

Mines – Previously held the position of CFO of Wolfden and Pediment which were both bought out by majors

• Marc Cernovitch – Director

– Extensive capital markets experience having held various roles for multiple jr. resource companies for the past 10 years

• Colin Taylor – Director

– Experienced in a wide range of managerial roles within the resource industry in both Canada and abroad

• Pierre Julien – Advisory Board

– Extensive involvement in Bulyanhulu process plant design and delivery – Former President and CEO of Norcast Castings, major international supplier of grinding technology and former President of Outotec North America, global leader in the supply of mineral processing plants, technology and services – Seasoned Executive and Founder of Lincoln Strategic and ORE+PROS Inc, mining industry service providers

• Paul Magege - Country Manager

– A founding shareholder with strong local relationships and a skilled administrator January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 7

Directors & Management

TEMBO GOLD PROJECT

Historic and Recent Work

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 8

An established mining camp with several multi-million ounce gold deposits

• Six modern mining operations
• Significantly improved infrastructure
• Strong gold endowment
• Well understood geological granite

greenstone terrane with parallels worldwide

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 9

Lake Victoria Mining Camp

M&I Inferred Company Mine Gold (Moz) Gold (Moz) African Barrick Bulyanhulu 13.7 3.3 African Barrick North Mara 4.9 0.1 African Barrick Buzwagi 4.3 0.4 African Barrick Nyanzaga 3.5 0.6 African Barrick Golden Ridge 0.7 0.1 African Barrick Tulawaka 0.3 0.0 AngloGold Ashanti Geita 9.4 3.2 Resolute Golden Pride 0.9 0.6 Resolute Nyakafuru 0.5 0.5 Tanzanian Royalty Buckreef 1.7 1.0 Total 39.9 9.9

Source: The Mining Almanac, which has not been verified by the Q.P.

101km2 land package adjacent to African Barrick’s 14Moz Bulyanhulu mine

• Large contiguous ground holding

– 94km2 active licence area and 7km2 under application

• Project credentials

– Historic exploration database with good results – >10km of extensively continuous artisanal workings – Numerous magnetic lineaments correspond with lines of artisanal mining shafts

• Adjacent and along strike of African Barrick’s

Bulyanhulu mine

– Bulyanhulu deposit, a 4km long, 2km deep, 2m wide, high-grade >11g/t gold – Bulyanhulu geology and structure continues onto Tembo property – Bulyanhulu SML underexplored – Extensive transported cover which gives erratic soil geochemistry results – 13.7Moz gold Resource and 3.3Moz gold Inferred as of African Barrick Gold Annual report and Accounts 2011 January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 10

The Tembo Project

Exploration results suggest a highly prospective area that is under-drilled

• Airborne magnetics

– Defines the extent of the greenstone geology that hosts gold mineralisation – Confirms geological continuity with the area to the southeast – Clearly defines magnetic structures corresponding to artisanal mining activity and Indicates there are >100km of potential structures

• Geochemistry

– Soils, RAB/aircore, and pitting – Widespread distribution of scattered anomalous gold values – Transported cover up to 10m thick masks geology and precludes strong cohesive anomalies

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 11

Historical Exploration

Significant artisanal activity further confirms gold mineralization

• Over 2,000 artisanal miners operating over 100 active mine shafts
• More than 2,800 shafts located along Bulyanhulu parallel, east-west, and

northwest trending structures totaling over 10km of artisanal mining zones

• Mining to depths generally in excess of 30m and reportedly as deep as 90m
• Milling on site, with grades ranging between 5 and 58 g/t gold

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 12

Artisanal Activity

2011 LIDAR survey identifies over 10km of artisanal mining zones

• LIDAR survey and field mapping

– Digital terrain model (DTM) and high resolution orthophoto identified numerous previously unrecorded areas

• f mining

– Individual laterally continuous zones of mining shafts extend up to 2km in strike and for a total of >10km – The zones correspond to conjugate structures reflected in the magnetics

• Artisanal mining

– Mineralized rock from artisanal pits consists predominantly of quartz vein and sheared meta-volcanic host with abundant evidence of sulphide – Grades ranging between 5 and 58g/t gold returned from artisanal face sampling

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 13

LIDAR and Recent Field Mapping

35,328m in 192 holes (57 DD and 135 RC) completed to date

• Ngula 1

– 7,785m of DD (32 holes) and 7,035m of RC drilling (37 holes) completed – Targeting two structural zones focusing on a southern set of east-west, and interpreted northwest and northeast intersecting structures

• Nyakagwe East

– 3,746m of DD (10 holes) and 2,238m of RC drilling (20 holes) completed – Targeting two northwest trending structural zones

• Mgusu

– 737m of DD (2 holes) and 6,735m of RC drilling (51 holes) completed – Targeting a large number of intersecting multidirectional mineralized structures

• Nyakagwe Village

– 1,541m of DD (9 holes) and 1,315m of RC (11 holes) compleated – Testing beneath highly active workings

• Iyenze and Ngula 2

– Initial preliminary drilling at Iyenze (RC) and Ngula 2 (DD) returned poor results – 3,001m of RC and 1,195m of DD drilled respectively – Both targets remain to be further tested

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 14

Tembo Drilling Status

Branching high-grade “horsetail” shoots at Bulyanhulu Compressional transfer bend north of Bulyanhulu Inferred kinematics (left-lateral strike slip shear-vein) Ngula1 horsetail zone

• A dilatant “tail” to the

Bulyanhulu structure with clear potential for high grades and high tonnage Ngula1 Bulyanhulu

Interpretation of Ngula1 as the “horsetail” off the Bulyanhulu structure

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 15

A 600m strike length across multiple structures, grades ranging between 1-300g/t gold

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 16

Ngula 1 Drilling Update

Note: Detailed information on all drill results available on the company website

Several drill holes encountered multiple zones of mineralization

• Highlights Include:

– TDD0004: 3.13 g/t gold over 25.89m from 41.00m including 9.38 g/t gold over 6.30m; – TDD0005: 5.14 g/t gold over 8.50m, including 15.59 g/t gold over 2.68m; – TDD0010: 6.44 g/t gold over 1.20m; – TDD0012: 8.60 g/t gold over 0.98m; – TDD0054: 8.17 g/t gold over11.05m from 116.95m including 18.90 g/t gold over 0.82m and 28.80 g/t gold over 1.00m; – TDD0041: 22.81g/t Au over 15.00m from 299.00m including 34.78g/t Au over 9.70m from 302.30m, including 205 g/t gold

• ver 1m

– TRC0013: 17.23g/t gold over 4.00m from 19.00m and 13.00 g/t gold over 1.00m from 104.00m – TRC0014: 19.80 g/t gold over 1.00m from 114.00m and 10.00 g/t gold over 1.00m from 122.00m

• First Drill Holes

– 48 drill-holes completed, 29 reverse circulation (RC) and 19 diamond drilling (DD) – Diamond and RC drilling on 100m spaced section lines along a 600m strike length – Heel-toe RC drilling conducted to test between primary structures – Testing multiple east-west and crosscutting mineralized structures at depths between 50m and 250m beneath and along strike of artisanal workings – Multiple gold-bearing structures intersected

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 17

Ngula 1 Drill Results

A 1,000m strike length across multiple structures, grades ranging between 1-61 g/t gold

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 18

Nyakagwe East Drilling Update

Note: Detailed information on all drill results available on the company website

High grade drill results and artisanal grab samples confirm significant mineralization

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 19

Mgusu Drilling Update

Note: Detailed information on all drill results available on the company website

Multiple high grade gold intersections both near surface and at 300m depth

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 20

Nyakagwe Village

Note: Detailed information on all drill results available on the company website

High grade gold mineralization demonstrated on multiple targets

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 21

Drill Results Overview

Resource development and depth extent testing of high grade zones at Ngula 1

• Drilling will be conducted along a

600m strike length

• 50mx50m spaced in-fill diamond

drilling from surface to -200m

• Approximately 48 holes 12,000m
• Define an inferred resource that may

be exploitable as an open pit

• 100mx100m spaced deep drilling

between -200m and -500m

• Approximately 24 holes 14,400m
• Establish the continuity of, and define

the potential and extent of high grade northern and southern structural zones at depth

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 22

Immediate Drill Program

• HIGHLY PROSPECTIVE GOLD ASSET: Located adjacent to African Barrick's 14Moz Bulyanhulu Mine in

the prolific Lake Victoria Greenstone belt, the 101km2 property has highly prospective geology, encouraging earlier exploration with promising results, and multiple targets identified

• HIGH QUALITY MANAGEMENT TEAM: CEO: David Scott, formerly of Barrick Gold’s subsidiary Kahama

Mining Corporation, 32 years experience, 15 years in Tanzania; Chairman: Dave Anthony, former COO

• f African Barrick, 30 years experience, 10 years in Tanzania
• EXTENSIVE ARTISANAL ACTIVITY: Over 2,000 artisanal workers, mining from over 100 mine shafts

some to depths in excess of 70m along a >10km strike, extracting high grade 5 to 58 g/t gold material

• SIGNIFICANT INITIAL DRILL RESULTS: Best intercepts include TDD0041: 22.81g/t Au over 15.00m from

299.00m including 34.78g/t Au over 9.70m from 302.30m; TDD0004: TDD0004: 4.46 g/t gold over 2.60 and 9.38 g/t gold over 6.30m; TDD0005: 10.76 g/t gold over 4.00m, including 93.3 g/t gold over 0.38m and; TRC0013: 16.10 g/t gold over 3.00m and 4.01 g/t gold over 3.00m, TRC0423: 10.17g/t gold

• ver 6m from 36.0m including 19.1g/t gold over 3m, with over 1,500m of mineralized strike identified

in two project areas

• SEVERAL NEAR TERM CATALYSTS: Expedited work program underway with ~30,000 of an 87,000m drill

completed to date

• CLEAN CAPITAL STRUCTURE: Only ~49Mshares outstanding (~67M f.d.)

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 23

Investment Summary

APPENDIX

Additional Info

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 24

Artisanal mining of well developed quartz veins

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 25

Artisanal Mining Faces

Several drill holes encountered multiple zones of mineralization

• Highlights Include:

– TDD0004: 3.13 g/t gold over 25.89m from 41.00m including 9.38 g/t gold over 6.30m; – TDD0005: 5.14 g/t gold over 8.50m, including 15.59 g/t gold over 2.68m; – TDD0010: 6.44 g/t gold over 1.20m; – TDD0012: 8.60 g/t gold over 0.98m; – TDD0054: 8.17 g/t gold over11.05m from 116.95m including 18.90 g/t gold over 0.82m and 28.80 g/t gold over 1.00m; – TDD0041: 22.81g/t Au over 15.00m from 299.00m including 34.78g/t Au over 9.70m from 302.30m, including 205 g/t gold

• ver 1m

– TRC0013: 17.23g/t gold over 4.00m from 19.00m and 13.00 g/t gold over 1.00m from 104.00m – TRC0014: 19.80 g/t gold over 1.00m from 114.00m and 10.00 g/t gold over 1.00m from 122.00m

• First Drill Holes

– 48 drill-holes completed, 29 reverse circulation (RC) and 19 diamond drilling (DD) – Diamond and RC drilling on 100m spaced section lines along a 600m strike length – Heel-toe RC drilling conducted to test between primary structures – Testing multiple east-west and crosscutting mineralized structures at depths between 50m and 250m beneath and along strike of artisanal workings – Multiple gold-bearing structures intersected

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 26

Ngula 1 Drill Results

Multiple zones of mineralization at varying depths

• Highlights Include:

– TDD0019: 3.51 g/t gold over 2.45m from 67.35m including 11.30 g/t gold over 0.34m; – TDD0029: 61.8 g/t gold over 0.68m from 277.24m, and 3.93 g/t gold over 1.47m, including 5.28 g/t gold

• ver 0.62m from 140.53m ;

– TDD0104: 4.72g/t gold over 2.11m from 66.80m; – TDD0030: 2.62g/t gold over 3.29m from 48.21m including 5.79g/t gold 1.00m; – TRC0234: 5.46g/t gold 2.00m from 109.00m – TRC3470: 6.48g/t gold over 2.00m from 8.00m

• First Drill Holes

– 52 drill-holes completed, 41 reverse circulation and 11 diamond drill holes – Drilling on 100-200m spaced section lines along a 1,000m strike length – Testing multiple northwest trending structures at depths between 50 and 250m beneath and along strike of artisanal workings – Multiple gold-bearing structures intersected along the full strike tested and continuity across unmined areas indicated – Free-gold bearing structure intersected deep in the footwall

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 27

Nyakagwe East

Preliminary metallurgical test work indicates ~90-95% gold recoveries

• Gold Deportment Procedure

– Artisanal face samples grouped and composited into low, medium and high- grade – Amenability to gravity recovery tested by Knelson concentrator – Mineralogical characterisation of gold established – Gold exposure and grainsize determined – Diagnostic leach of gravity tails and direct cyanidation of bulk sample

• Test Work Results

– Gold is well liberated and well exposed – Direct cyanidation of head samples indicates high gold recoveries for medium (94.7%) and high grade (98.9%) composites but low recovery (87.3%) for low grade composite – Gravity recovery plus direct cyanidation of gravity tails would be an effective method to recover the gold

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 28

Preliminary Metallurgical Testing

10 20 30 40 50 60 70 80 90 100 Grav.Conc Grav.Tails

Mass Gold Sulphur 10 20 30 40 50 60 70 80 90 100 Grav.Conc Grav.Tails Gravity Separation of the Medium grade sample Mass Gold Sulphur 10 20 30 40 50 60 70 80 90 100 Grav.Conc. Grav.Tails Distribution (%) Gravity Separation of the High grade sample Mass Gold Sulphur

Mineralized reefs along steeply dipping northwest striking structure

• A 14m million ounce narrow-vein

shear hosted gold deposit with silver and copper mineralisation

• Shear zone situated within a narrow

argillite unit at a contact within a volcanic sequence

• Sulphide mineralization primarily

pyrite and chalcopyrite in smokey quartz veins and sheared argillite

• Volcanic sequence consists of mafic

to intermediate meta-volcanic flows

• verlain by felsic pyroclastic ash tuffs
• The zone strikes approximately 310

degrees and dips steeply to the northeast

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 29

Bulyanhulu Geology

A high grade narrow vein 14Moz deposit >4km long, >2km deep, ~2m wide

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 30

Bulyanhulu Long Section

The Mineral Corporation hands-on team has a wealth of experience

• Dr. Johan Krynauw – Senior Geological Advisor

– Thirty-nine years of experience as a geologist, including base and precious metals exploration and exploration management in the Archaean terranes of Africa, with a specialisation in geochemistry.

• Noleen Pauls – Senior Geological Advisor

– Eighteen years of geological experience in mineral exploration and mining, including gold exploration management and execution in sub-Saharan Africa and South America.

• Alan Olivato – Senior Technical Advisor

– Thirty-six years of experience exploration and mining, including twenty-six years of field exploration experience in sub-Saharan Africa including Archaean gold in East and Southern Africa.

• Will Braithwaite – Senior Technical Advisor

– Twenty-eight years of experience in exploration in sub-Saharan Africa, South America and Australia, including gold exploration in East and West Africa.

• Andisani Makhado – Geologist

– Three years of multi-commodity field experience in exploration including the management and execution of drilling campaigns.

• Wayne Viljoen – Geologist

– Ten years of field experience in Proterozoic metamorphic terranes and Archaean gold deposits in Zimbabwe and Mozambique, and porphyry gold deposits in Kyrgyzstan.

• Ashley Gumsley – Geologist

– Field experience in exploration including and execution of drilling campaigns

January 2013 TSX-V: TEM / OTCQX: TBGPF / FSE: T23 www.TemboGold.com 31

Technical & Local Team