Orion Gold Project Locations Exploration Update: Connors Arch - PDF document

ASX Announcement / Media Release 15 July 2013 Orion Gold Project Locations Exploration Update: Connors Arch Epithermal Project Orion Gold NL (ASX: ORN ) is pleased to present the attached Exploration Update with regards to exploration activities at the Connors Arch Epithermal Project in Queensland. Earlier in the month the company applied for a new tenement (EPMA25283) which increases the area the Company has under application to 593km 2 . The release of data from previous exploration on this area (as part of the ASX Code: ORN relinquishment process) has significantly advanced the potential of the project. The Company has been able to review multi element geochemical data from surface sampling and drilling. This has enabled the prospects within Issued Capital: the Connors Arch Project to be placed more accurately in the context of current models for epithermal deposits (and specifically the zonation of Ordinary Shares: 128.7M metals which occurs in these deposits). Options: 79.4M The key finding is that the prospects within Orion’s project area display geochemistry and geology consistent with a shallow level in the epithermal Market Cap: ~$5.6M (at 4c) system. This means that there is significant potential for gold mineralisation to occur below the current shallow drilling. Directors: The information in the presentation should be read in conjunction with the Disclaimers on slide 2 and the Competent Persons Statements on slide 21. Denis Waddell Chairman Errol Smart Managing Director, CEO Alexander Haller Non-Executive Director Management: Errol Smart Bill Oliver Managing Director and CEO Chief Operating Officer Martin Bouwmeester CFO, Company Secretary Suite 302 T: +61 3 8080 7170 ABN 76 098 939 274 F: +61 3 8080 7174 ASX Code: ORN Level 3, 488 Bourke Street E: info@oriongold.com.au W: www.oriongold.com.au Melbourne VIC 3000

ASX Code: ORN www.oriongold.com.au Queensland Exploration July 2013 1

Disclaimer and Forward-Looking Statements Certain statements contained in this presentation, including information as to the future financial or operating • performance of Orion Gold NL and its projects, are forward-looking statements. Such forward-looking statements: are necessarily based upon a number of estimates and assumptions that, while considered reasonable by Orion Gold NL, are inherently • subject to significant technical, business, economic, competitive, political and social uncertainties and contingencies; involve known and unknown risks and uncertainties that could cause actual events or results to differ materially from estimated or • anticipated events or results reflected in such forward-looking statements; and may include, among other things, statements regarding targets, estimates and assumptions in respect of metal production and prices, • operating costs and results, capital expenditures, mineral reserves and mineral resources and anticipated grades and recovery rates, and are or may be based on assumptions and estimates related to future technical, economic, market, political, social and other conditions. Orion Gold NL disclaims any intent or obligation to update publicly any forward-looking statements whether as • a result of new information, future events or results or otherwise. The words 'believe', 'expect', 'anticipate', 'indicate', 'contemplate', 'target', 'plan', 'intends', 'continue', 'budget', • 'estimate', 'may', 'will', 'schedule' and similar expressions identify forward-looking statements. All forward-looking statements made in this presentation are qualified by the foregoing cautionary statements. • Investors are cautioned that forward-looking statements are not guarantees of future performance and accordingly investors are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty therein. All information in respect of Exploration Results should be read in conjunction with the Competent Person • Statements at the end of this presentation. 2

Epithermal Au and Porphyry Au-Cu Australia & SW Pacific NEW ENGLAND FOLD BELT LACHLAN FOLD BELT Epithermal and porphyry Au mineralisation styles dominantly hosted by magmatic arcs • Modern arcs located in settings such as the Pacific ‘Ring of Fire’ (in yellow) • In Eastern Australia, prospective ‘ fossil ’ magmatic arcs occur within the: • New England Fold Belt • Lachlan Fold Belt • 3 3

Area selection: New England Fold Belt, Queensland • NEFB in Queensland hosts numerous 200 km +1Moz Devonian through to Triassic aged epithermal and intrusion-related Au deposits • Many of these are Permian – Carboniferous aged systems and are intimately associated with intrusive lithologies (red) of similar age • Two major trends apparent in the P-C geology; • Primary (arc-parallel) NW trend • Secondary (arc-normal) NE trend 4 4

Area selection: New England Fold Belt, Queensland 200 km • Stream sediment coverage is very good for most of the NEFB in Queensland • Au in streams (gridded image pictured) shows a number of NE-SW oriented trends, interpreted to coincide with ‘belts’ of Permo- Carboniferous aged intrusions focused along deep-seated, arc-normal structures 5 5

Area selection: New England Fold Belt, Queensland 200 km • Magnetic anomalies & mapped faults (black) coincide with some of the Au geochemistry trends (blue lines) • The intersection of NW and NE trends (at the regional scale) appears to exert a strong control over location of mineralisation 6 6

Area selection: New England Fold Belt, Queensland 200 km • Gravity gradients coincide with a number of the Au geochem trends • At the regional/state scale, mineralisation is strongly related to the interplay between NE and NW trending structural elements 7 7

Queensland – Major Au deposits in the NEFB Key to deposit age: Devonian – Carboniferous 200 km Permian – Carboniferous Permian - Triassic Red Dome 1.5Moz Ravenswood 4.1Moz Mt. Wright 1.1Moz Kidston 3.5Moz Mt. Carlton 1.35Moz Au, +30Moz Ag, +60kt Cu Charters Towers 16.6Moz (Production commenced 2013) 1 Connors – Auburn magmatic arc Mt. Leyshon 3.1Moz Under-explored for epithermal/porphyry Au Pajingo 3.8Moz (0.9Moz remaining resource) 1 Mt. Morgan 9.0Moz Mt. Rawdon Cracow 2.0Moz 1.3Moz remaining resource 1 + 0.77Moz remaining resource 1 Gympie 4.1Moz 1 = Evolution Mining Ltd website 8 8

Connors Arc Epithermal Project • Orion’s Connors Arc Project area now 100 km comprises three exploration permit applications totaling 593km 2 • Immediately along strike from the Mt. Mackenzie high sulphidation epithermal Au mineralisation - a very large, magmatic- hydrothermal system EPMA’s 19825, 25122, • Geological and structural setting of project 25283 (new application) area in common with numerous epithermal and/or porphyry style systems (red) • Including active mines at +1Moz Au deposits: • Cracow (LS epithermal) – 4.29Mt @ 6.1g/t Au for 842koz Au 1 (remaining resource), ca. 2Moz Au prior production • Mt. Carlton (HS epithermal) – 25Mt @ 1.7g/t Au for 1.35Moz Au 28.1Mt @ 35g/t Ag, 0.22% Cu for 31.2Moz Ag, 63.1kt Cu 1 1 = Evolution Mining Ltd website – December 2012 resources statement 9

Understanding The Opportunity • Prior to major epithermal Au discoveries in the 1990’s (Pajingo, Cracow), the established belief was that ‘fossil’ (pre-Cenozoic) epithermal systems had low prospectivity, due to poor preservation potential… • Occurrences were often interpreted as the remnant, low grade ‘roots’ of heavily eroded systems • Target style was somewhat unpopular prior to the 1990’s success • Discoveries came about from a willingness to challenge this belief via deeper drill testing of known systems, guided by geochemistry and geology (vein textures, alteration mineralogy) • Since the success of the 1990’s, greenfields exploration by larger companies for deposits of this style gradually declined (in favour of more mature, near-term opportunities offshore) • As a result, a number of prospective hydrothermal systems in settings such as the Connors- Auburn arc remain under-explored 10

Epithermal systems – metal zonation Typical vertical metal zonation in low sulphidation epithermal gold systems Interpreted erosional level for key prospects in ORN project areas Modified after: Corbett & Leach, 1997 (Southwest Pacific rim gold Metal Zonation copper systems: Structure, alteration and mineralisation) • Anomalous Hg-Sb-As occur at high levels in system, above most prospective level for high grade gold • Base metal (Cu-Pb-Zn) signature increases with depth and temperature • Key prospects within Orion’s project area display geochemistry and geology consistent with a shallow level in system… 11