The Poten)al for Much More The El Oro Gold District, Mexico May, - - PowerPoint PPT Presentation

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The Poten)al for Much More The El Oro Gold District, Mexico May, - - PowerPoint PPT Presentation

The Poten)al for Much More The El Oro Gold District, Mexico May, 2016 Joanne C. Freeze, P.Geo. is the Qualified person responsible for prepara;on of all technical Informa;on included Disclaimer The material contained in this presenta1on is


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The Poten)al for Much More

May, 2016

The El Oro Gold District, Mexico

Joanne C. Freeze, P.Geo. is the Qualified person responsible for prepara;on of all technical Informa;on included

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Disclaimer

The material contained in this presenta1on is provided solely for your general knowledge and is not intended to be a comprehensive review of all ma:ers and developments concerning Candente Gold Corp. (‘Candente’) or its affiliates. Candente has taken all reasonable care in producing the informa1on contained in this presenta1on. This informa1on may s1ll contain technical or other inaccuracies, omissions, or typographical errors, for which Candente assumes no responsibility. Candente makes no representa1on or warranty regarding, and assumes no responsibility for, the use, validity, accuracy, completeness, reliability or currency of any claims, statements or informa1on in this presenta1on. By a:ending or reviewing this presenta1on, you agree that Candente will not be liable for any injuries, losses, expenses or damages arising from the use of or reliance on informa1on contained in this presenta1on, or any inaccuracy or omission in such informa1on or failure to keep the informa1on current. The informa1on in this presenta1on is not a subs1tute for

  • btaining independent professional advice before making any investment decisions.

The informa1on contained in this presenta1on does not cons1tute an offer or the solicita1on of an offer for the purchase of any securi1es of Candente. This informa1on is not intended in any way to qualify, modify or supplement any informa1on disclosed under the corporate and securi1es laws of any jurisdic1on applicable to Candente. No securi1es commission or similar authority in Canada or any other country or jurisdic1on has in any way passed on any of the informa1on contained in this presenta1on and no representa1on or warranty is made by Candente to that effect. Cau,onary Note to U.S. Investors We advise U.S. investors that this presenta1on uses terms which are not recognized by the United States Securi1es and Exchange Commission (“SEC”), including “mineral resources”, “measured resources”, “indicated resources” and “inferred resources”. The es1ma1on of measured & indicated resources involves greater uncertainty as to their existence and economic feasibility than the es1ma1on of proven and probable reserves. U.S. investors are cau1oned not to assume that mineral resources in these categories will be converted to reserves. The es1ma1on of inferred resources involves far greater uncertainty as to their existence and economic viability than the es1ma1on of other categories of resources. U.S. investors are cau1oned not to assume that es1mates of inferred mineral resources exist, are economically mineable, or will be upgraded into measured or indicated mineral resources. U.S. investors are cau1oned not to assume that mineral resources in any of these categories will be converted into reserves. This presenta1on also contains informa1on about adjacent proper1es on which we have no right to explore or mine. We advise U.S. investors that SEC mining guidelines strictly prohibit informa1on of this type in documents filed with the SEC. U.S. investors are cau1oned that mineral deposits on adjacent proper1es are not indica1ve of mineral deposits on our proper1es. 2

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EL ORO EL ORO

  • 110 km WNW of Mexico City
  • 27 claims covering 17,960 hectares
  • Excellent access -paved highway to project
  • Mining friendly popula)on
  • Excellent infrastructure & services
  • Power to Site

El Oro District, Mexico

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El Oro Gold-Silver Project Highlights

One of Mexico’s highest grade historic gold and silver past producers.

  • Historic Production of 8M ounces of gold equivalent also from only 2 of more

than 50 known veins

  • Historic production was over an average of only 200 metres vertically

With Potential for more….

  • Extension of gold-silver mineralization along strike and at depth in main veins,

extension proven now key is understanding controls to higher grades

  • Potential for discovery of new veins near past production areas
  • Remnant gold-silver “resource”
  • New gold-silver targets recently identified within the district

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El Oro District, Mexico

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Mining History El Oro

  • Spaniards discovered Borda – Corona Veins in outcrop in 1500’s – silver dominated

production

  • Development of three different profitable mines on the San Rafael vein by late 1800’s –

5 M oz Au eq production ~ 10:1 Ag:Au

  • Blind Discovery and bonanza payout by Dos Estrellas on Veta Verda – 3 M oz Au eq

production

  • Several Smaller mines on other veins
  • Years 1925 to 1937:

– In 1925 all mines and properties acquired by Dos Estrellas and mineral processed in a new crushing, grinding and cyanide processing plant built on the Dos Estrellas site

  • Years 1937 to 1960:

– Minera Dos Estrellas operating as a (worker owned cooperative) salvage operation mining stope fill, back fill and exploitation of insitu higher grade pillars from the San Rafael/Veta Verde Veins

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Candente at El Oro

July 10th, 2014 El Oro Tailings Inferred Resource contains 119,900 oz Gold and 3M oz Silver March 2013 Development of a 3D gold and silver grade model of El Oro Mining & Railway por;on of the San Rafael vein segment * significantly enhanced understanding of controls on mineraliza1on controls Feb 2013 Thirty-one explora;on targets (9 high priority) ASTER/structural interpret * district is underexplored May 2012 70% earn-in achieved from Goldcorp (achieved $10M in explora;on expenditures) Feb 2012 San Rafael Vein extended laterally to 3.5km and ver;cally to 500m * established addi1onal poten1al of San Rafael May 2011 Gold discovered deep in the San Rafael Vein (13.7 g/t Au over 3.0m) *confirms high grade gold poten1al at depth below old workings

  • Feb. 2011

Unconformity Somera Tuff Discovery (1.17 g/t Au and 5.02 g/t Ag over 54.7m) *totally new form of gold-silver mineraliza1on – previously unrecognized

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Candente Drilling San Rafael Vein

Schema)c longitudinal sec)on showing past historic produc)on from the San Rafael Vein with Candente 2010-2011 Drilling; pre-mineral andesite sills Schema)c longitudinal sec)on showing past historic produc)on from the San Rafael Vein with Candente 2010-2011 Drilling

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High Grade gold Intersected Above and Below the Esperanza Workings

3m of 13.7 g/t gold in faulted San Rafael Vein 126m below old workings confirms that high grade extends well below the limits of historical mining faulting has greatly reduced the width of the vein in this area.

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Somera Tuff Discovery

  • Bulk Tonnage Potential
  • Best Evidence to Date that

San Rafael is a Stacked Vein System

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produc;on

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Tailings Investment Highlights

  • Opportunity to develop short term cash flow

with licle costs

  • Posi;ve results from Conceptual study for TRO

by JDS Energy and Mining Inc. (“JDS”) April 2014

– Inferred resource of 119,900 oz gold and 3,061,200

  • z silver

– Addi;onal testwork required to fully assess metallurgy and appropriate treatment

  • Located adjacent to exis;ng road access, power

and water services

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El Oro Mine Tailings Map

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Upside Poten)al and Benefits

  • Poten;al to iden;fy resources from three other tailings

deposits also under op;on to CDG in the El Oro area

  • Remedia;on program would mi;gate current poten;al

environmental risks for Municipality and rehabilitate the current land making it available for the town’s future development

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TRO Path Forward

  • Complete metallurgical test work to evaluate best

processing and/or treatment op;ons

  • Parameters to be considered: Recoveries, capital and
  • pera;ng costs
  • Future work may involve Infill drilling and engineering

studies including a PEA

  • Focus is a straighkorward/low-risk opera;on

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Historic Drill Intersec)ons by Luismin in Areas Previously Mined

Drill Hole ID From(m) To(m) Intercept(m) Au g/t Ag g/t SR-93-01 191.0 193.0 2.0 6.90 58.26

Post mineral volcanics to 125m

198.0 199.5 1.5 15.10 91.00 216.5 217.5 1.0 4.11 49.80 229.0 230.0 1.0 6.18 25.80 254.2 255.5 0.87 4.22 44.70 SR-93-02 167.3 168.0 0.7 3.25 49.10

Post mineral volcanics to 125m

183.5 189.5 5.9 1.51 80.05 201.5 207.0 5.5 5.40 87.00 207.0 210.5 3.5 23.20 224.00 201.0 213.0 12.0 10.10 121.49 SR-93-04 274.1 275.5 1.4 1.05 75.00 SR-93-05 263.5 266.5 3.0 0.31 146.00

Post mineral volcanics to 175m

266.5 271.0 4.5 1.77 307.00 283.0 285.0 2.0 4.00 81.00 SR-93-06 289.5 290.0 0.5 0.46 77.80

Post mineral volcanics to 275m

300.0 304.5 4.5 0.77 103.00 329.0 332.0 3.0 0.14 133.00 332.0 334.0 2.0 0.19 213.00 334.0 336.8 2.8 0.11 76.80 SR-93-07 243.0 243.5 0.5 1.07 80.00 SR-93-08 238.5 240.0 1.5 15.90 59.30

(volcanics to 130m depth)

240.0 241.5 1.5 10.80 66.50

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The Blind El Oro District

Sedng: sediment, doming, ignimbrite flare-up and related qfp intrusions, post mineral volcanic cap Deposit forms: vein swarm, breccia and disseminate/shear hosted (low angle faults) Ore textures: fine bands, comb, crus;form, jig saw breccia Altera)on: chalcedony-adularia-illite-calcite-Kspar-chlorite; outwards to manganese Ra)os: at San Rafael Ag: Au is 8:1; an earlier sulphide rich gold-rich event (5-8% py) Known Metals: na;ve gold, na;ve silver, electrum (Au-Ag amalgam), and Ag sulfo-salts (Sb-Pb); pyrargyrite (AgSbS3); and ruby silver, silver sulphides, galena, sphalerite; trace chalcopyrite Base metals: < 0.1-1.0 % combined lead plus zinc Fluid Inclusions: salini;es at 0.80 to 3.5 wt % NaCl; T 202-3580C Notable: low sulphida;on state mineraliza;on (gold-rich) and intermediate sulphida;on state mineraliza;on (silver and base metal rich) Higher grades: Oxidized sulphide rich veins at cross faults (50-175 g/t Au and 150-2064 g/t Ag-Veta Negra, San Carlos

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31 New Explora)on Targets

Target 17-Cortaduras

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Top 10 of the 31 New Explora)on Targets

Target 11: NNW-SSE fault in Pliocene tuffs; domal features; 080 Azimuth down-to-north fault; target at deeper level north Target 12: NNW-SSE fault in Pliocene tuffs; north Verde; nearby domal features; NNW-SSE linear resistant veins Target 13: NNW-SSE fault with 170° Azimuth strike swing; vein buried under post mineral tuffs; domal features to west Target 14: NNW-SSE fault; on Coronas Vein; N-S vein fault swing; WNW- ESE down-to-north fault; target deep Target 17: Cortaduras is 100°Az down-to-north fault; extensive altera;on; gold-silver mineraliza;on on surface/trench/drill hole Target 19: Borda; N-S Azimuth veins on Geo-Eye 1; NNW-SSE in south then swing to N-S = dila;on = mineraliza;on Target 21: NNW-SSE veins; overlapping domal features; veins between San Rafael and Verde Target 22: South extension of San Rafael; 170°Az fault NNW-SSE inflec;on; to north in Target 13; NNE/NE fault Target 23: South San Rafael; vein fault splits to NNW-SSE and 170° /N-S; horse-tailed vein Target 27: North San Francisco de Los Reyes; Eocene syenite; domal feature; NE-SW northwest throw

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BVI main owner of Tailings is

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Share structure as of April, 2016

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Share Structure

Shares Outstanding 96.2 M Options 9.6 M Warrants .22 M Fully Diluted 103 M

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Management

Joanne Freeze, B.A., B.Sc., P.Geo., President and CEO

  • Over 30 years experience in exploration management predominantly in gold and copper exploration.

Co-Founder of Candente Resource Corp. in 1997. Guided the discovery and development of the Cañariaco copper deposit into Feasibility stage. Lead the acquisition of the El Oro gold project from Goldcorp in 2006. Sean Waller, M.Sc., P. Eng., Technical Advisor

  • Over 30 years experience in mine design, operation and evaluations – extensive gold mine design

and ops experience. Former VP Global Business Development & Senior Project Manager with AMEC Americas’ Mining and Metals Division

  • Immediate Past-President of the Canadian Institute of Mining, Metallurgy and Petroleum (“CIM”)

Faisel Hussein, MBA, Executive VP and Acting CFO

  • Over 15 years in finance and operations. Principal, since 2010, at Public Infrastructure Partners LLC

(PIP), an operating platform and principal investor in the mining and energy sectors.

  • Investment banker with RBC Capital Markets co-founded the Los Angeles investment banking office,

expanded the firm's global footprint, and executed cross-border M&A and capital markets

  • transactions. Advised international governments regarding privatizations, large-scale utility
  • perations restructurings, and bi-lateral donor agency investments.
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Directors

Paul H. Barry, MBA, Independent Director and Chairman

  • Over 30 years opera;ng experience in mining and energy industries in senior execu;ve roles.
  • Senior Advisor Balfour Beacy Infrastructure Partners in acquisi;on of Upper Peninsula Power Holding

Company

  • Execu;ve VP and CFO Kinross Gold Corp. (2011-2012), oversaw $16.5 billion in assets and $5 billion in new

debt financing Larry Kornze, P. Eng., Independent Director

  • Over 34 years in interna;onal gold explora;on. GM Explora;on Mexico and Central America and Interna;onal

Evalua;ons for Barrick Gold Corp. US Manager for Barrick especially Goldstrike - discoveries at Betze, Meikle, Deepstar, Screamer & Rodeo.

Andres Milla, M.A. Ec., Independent Director

  • Ac;ve in Peruvian Investment Banking & Capital Markets since 1996, involved in transac;ons worth in excess of US$2

Billion.

  • Former Board member of the BVL & Cabinet of Advisors of the Ministry of Economy & Finance of Peru.
  • Dr. Kenneth G. Thomas, P. Eng., F.C.I.M., Independent Director
  • Senior Vice President, Projects, Kinross Gold Corpora;on from 2009 to 2012
  • Global Managing Director Hatch 2003 to 2009, and Senior VP, Technical Services and Officer Barrick Gold 1987 to

2003

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Vancouver

TSX Venture : CDG

Suite 1100-1111 Melville Street Vancouver, B.C. Canada V6E 3V6 Email: info@candente.com Telephone: (604) 689-1957 Toll Free: 1-877-689-1964

www.candentegold.com

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