Nordgold: Montagne d’Or Deposit Acquisition Enhancing our Future Growth Profile September 2013 1
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Transaction Terms ♦ Nordgold may earn a 50.01% in Montagne d’Or deposit owned by Columbus Proposed Gold Corp’s (GCT: TSX -V) by investing over 3 years not less than US$30mln Transaction in staged work expenditures and completing a Bankable Feasibility Study (BFS) of the Project. ♦ Columbus Gold before November 21, 2013 will exercise the option to acquire an underlying royalty on the Project. Nordgold will make a first payment of US$4.2mln to Columbus in 5 months thereafter Structure ♦ Nordgold will fund a further US$25.8mln in 3 tranches before September 17, 2016. ♦ Nordgold will complete BFS before September 17, 2016 ♦ Columbus Gold must purchase an underlying royalty on the project Other ♦ Agreement is subject to approval of the TSX Venture Exchange ♦ Nordgold will pay US$4.2mln before May 21, 2014 ♦ Nordgold will fund a further US$7 mln before September 17, 2014 Indicative Timeline ♦ Nordgold will fund a further US$7 mln before September 17, 2015 3 3 ♦ Nordgold will fund a further US$11.8mln before September 17, 2016
Acquisition Rationale Located in a country with low risk jurisdiction Geology is similar to one of our African assets: geological continuity between the Guiana Shield and the Buriman Shield of West Africa Large resource base of non-refractory ore with decent gold grade: 58.1Mt @2.22g/t Au (4.15Moz of Au) at 1.0g/t Au cut-off Simple open-pit mining conditions with key infrastructure already in place Good recovery rate expected: preliminary metallurgical testing showed 85% without taking into account by-products (copper and silver) Nordgold recently hired operational team with the wide experience of the international greenfield project launch Flexible deal structure let Nordgold exit from the project after BFS completed with the limited potential losses 4 4
Montagne d’Or: High -Quality Project in Low Risk Jurisdiction Brief Overview Deposit location France (French Guiana) Country 180 kilometres away from the capital, Location Location Cayenne, 115 km away from port of St Laurent Key infrastructure already in place. 40km Infrastructure of the road will be upgraded to all- season road Nordgold has right to earn 50.01% Ownership Project characteristics Mine type Open pit Montagne d’Or Advanced exploration. In-fill drilling to Gold Deposit Development stage convert Inferred resource into Indicated will be done in Q4 2013- Q1 2014 Inferred resources 4,150 koz at 2.22 g/t at a cut-off 1.0gt Au (south) Scoping study 2014 Bankable Feasibility study 2016 Mine Map Project highlights • Large high grade deposit in politically stable jurisdiction, geologically similar to West Africa • Mining optimization shows good potential for low to moderate strip ratio high grade open pit operation • Significant exploration upside at the flanks of the deposit, silver by- product is not yet taken into account • Mining concession valid till 2019, renewable for 25 years • Potential to connect to the EDF power grid • No settlements in the vicinity of the deposit, very low risk of 5 5 community relation issues
Montagne d’Or: Drill -Defined Gold Zones 6 6
Montagne d’Or: Cross -Section 7 7
Montagne d’Or: Gold Resource at Various Cut -offs Montagne d'Or Grade Tonnage Report * Paul Isnard Project, French Guiana Cut-off Grade Average Grade Contained Gold Category Million Tonnes (g/t Au) (g/t Au) (M oz Inferred) 0.3 117.1 1.43 5.37 0.4 111.2 1.48 5.30 Inferred 0.5 101.9 1.58 5.17 Resources 0.7 81.7 1.82 4.78 1.0 58.1 2.22 4.15 * For complete disclosure of the mineral resource refer to the Columbus Gold news release dated February 3, 2013. For parameters and methods used to estimate the mineral resources please refer to the Mineral Resource Estimate NI 43-101 Technical Report, Coffey Mining, November 23, 2012, available on the Columbus Gold Corp website and filed on Sedar. 8 8
French Guiana: Promising Region with Familiar Geology PANGEA French Guiana 225 million years ago the Guiana Shield of South America and the Birimian Shield of West Africa were joined Geological continuity between the Guiana Shield and the Birimian Shield of West Africa. +250 Moz gold production and resources contained in the greenstone belts of the Birimian Shield (Source BRGM) . The Guiana Shield is VERY under-explored relative to the Birimian Shield (15yrs vs. 100yrs exploration history) . Extensive greenstone coverage of French Guiana (approx. 35,000 km 2 ) . Currently limited competitive gold exploration activity in French Guiana. 9 9
French Guiana: Politics Location One of 27 Regions of France; security of tenure. Guyana Suriname Population 229,000 (Cayenne 120,000). Venezuela French Ready labour force (25% unemployment). Colombia Guiana Limited industry, therefore eager to develop gold mining. BRAZIL South America Pacific Ocean Atlantic Ocean Cayenne - Capital City of French Guiana 10 10
French Guiana: Geology and Deposits ~35,000 km2 in Greenstone Terrain * Inferred Resources: 117.1 Mt @ 1.43 g/t Au (5.37 Moz.) 11 11
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