Presentation is loading. Please wait.

Presentation is loading. Please wait.

FINRA | SIPC Caldera Gold Project July 2012 | CONFIDENTIAL Advanced Volcanic Gold-Bearing Lahar Project in Sonora, Mexico. Investor Presentation Cappello.

Similar presentations


Presentation on theme: "FINRA | SIPC Caldera Gold Project July 2012 | CONFIDENTIAL Advanced Volcanic Gold-Bearing Lahar Project in Sonora, Mexico. Investor Presentation Cappello."— Presentation transcript:

1 FINRA | SIPC Caldera Gold Project July 2012 | CONFIDENTIAL Advanced Volcanic Gold-Bearing Lahar Project in Sonora, Mexico. Investor Presentation Cappello Capital Corp: Michael Stone Associate Cappello Capital Corp. mstone@cappellocorp.com +1-310-393-6632 Cappello Group: Richard Revelins Managing Director Cappello Group Inc. rrevelins@cappellocporp.com +1-310-393-6632

2 2 CONFIDENTIAL | Safe Harbor Statement Certain statements contained in this presentation, including, without limitation, statements containing the words believes, plans, expects, anticipates, and words of similar import, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward- looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Caldera Gold Project (Caldera Gold or Caldera or Company) to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The presentation does not carry any right of publication or disclosure to any other party. This presentation may not contain all the details and information necessary for you to make a decision or evaluation. The Company does not take responsibility for the accuracy or the completeness of the information contained herein and makes no assurances for such. In addition, information in this presentation is based on audited accounts. This presentation is not and does not purport to be an appraisal of the assets, stock or business referenced herein. Neither this presentation nor any of its contents may be used for any other purpose without the prior written consent of the Company.

3 3 CONFIDENTIAL | Table of Contents I.Foreword II.Introduction III.Investment Highlights IV.Mineralisation V.Mexican Mining Industry VI.Sonora County, Mexico VII.Caldera Gold Project VIII.Past Exploration Activities IX.Map of Mining Concessions X.Mining Law XI.Additional Information

4 4 CONFIDENTIAL | Foreword The Caldera Gold Project has been categorized as a Volcanic Gold-Bearing Lahar formed by hot volcanic mudflows which has created strong homogeneous gold distribution within the sampled environment. As such, the Lahar should be considered quite different from generally known forms of alluvial mineralisation.

5 5 CONFIDENTIAL | Introduction The Caldera Gold Project is a highly advanced Volcanic Gold-Bearing Lahar project located near San Miguel del Horcasitas in Sonora, Mexico. Minera Global Mining del Pitic (MGP) owns 100% of the interests in the project and is seeking an experienced and technically competent Joint Venture Partner to provide the necessary mining expertise and capital to bring the Caldera Gold Project into commercial production. Geophysical work during 2009 has provided a basis for estimation of 4 billion tonnes of gravels (predominately untested) on a tenement area of approximately 6,900 hectares. Cappello Capital Corp. has been retained by MGP to assist in identifying and evaluating the suitability of potential participants in the Caldera Gold Project.

6 6 CONFIDENTIAL | Investment Highlights Mineralisation is characterized as Wide-Spread Volcanic Gold-Bearing Lahars (formed from hot volcanic mud flows) which are believed to have created large quantities of gold bearing gravels with a relatively homogenous distribution of gold. Initial (non-NI 43/101 compliant) estimated resource of 11.9 million tonnes at an average grade of 0.303 glt Av, for 116,000 contained gold ounces from surface to 12 meters with immediate potential to upgrade to inferred resource status. Over 200 million tonnes of potential additional gold-bearing Lahars from surface to 40 meter depth (estimated 4.4 billion tonnes of gravels, largely untested, to an average depth of 206 meters). Extensive and well documented 12 year exploration database. Opportunity for rapid progression to mining stage. Availability of extensive sampling, trenching and drill hole data. Numerous independent and technical reports.

7 7 CONFIDENTIAL | Mineralisation Mineralisation at the Caldera Gold Project has been assessed and categorized by a number of N1 43 / 101 accredited experts and is available for review in the virtual data room. Spawned from a former volcano that foundered into a caldera; gold is believed to have disseminated into lahars that spread westward from the eruptive center. Enormous volume and relative homogenicity makes the lahar-style mineralisation attractive for long-term exploitation by gravity processing. Immediate and systematically explored target resource of 44 million tonnes of material freely mineable in the 40 meter horizon above the water table (this has been subjected previously to a 1000 tonne field processing and certified semi-quantitative panning program).

8 8 CONFIDENTIAL | Strong Mining History (worlds largest silver producer at 100 million ounces per year). Low Sovereign Risk (ranked No. 4 worldwide as favorable for mining investment). Financially stable with low political risk. Established and favorable mining laws. Low taxation rates and no Federal, State, or Municipal Government mining royalties. History of world class mines. No foreign ownership restrictions. No limitations on repatriation of funds or profits. Mexican Mining Industry

9 9 CONFIDENTIAL | Sonora County, Mexico Historical production of +40 million ounces of gold and +10 billion ounces of silver. 400 year mining history. Favorable mining conditions, access and logistics. Skilled and available mining workforce. Supportive local and federal government backing. Sonora

10 10 CONFIDENTIAL | Caldera Gold Project Located 75kms north-northeast of Hermosillo in Sonora, Mexico. Over 6,900 hectares, 18 granted mining concessions. Although no NI 43-101 defined resources presently exist, extensive trenching (to the depth of 12 meters) and sampling has provided an initial estimation of 11.9 million tonnes, at an average grade of 0.303 glt gold for 116,000 contained gold ounces. Modest attrition and adequate size-segregation efforts may increase yields well above reported recoveries Minimal additional drilling and verification work required to upgrade to inferred resource category. Recent small scale sampling (950 kg sample) by Resource Development Inc., Colorado produced a calculated feed assay sample of 0.57 glt Au. First principles estimation based on 10m tonnes of ore at a very conservative grade of say 0.2 glt gold, operating costs ($2.15 tonne) and capital costs ($29.2m, inclusive of working capital and contingencies) provides total cash operating costs of $371 per ounce of gold, and an internal rate of return greater than 100% per annum. At a gold price of $1400 per ounce, the cash breakeven grade is 0.035 glt Au. Anticipated increases to the resource base will have a significant bearing on the economic upside of the project. Substantial scope exists to increase both tonnage and grade (refer: Preliminary Metallurgical Testing Report July 2012, Resource Development Inc. virtual data. room)

11 11 CONFIDENTIAL | Past Exploration Activities Geological Mapping, October 2003 reporting, and August 2004 drafting of nine separate detailed UTM projection 1:20,000 scale A1 size geological, geophysical, tenement and topographic plans. February 2004 geophysical study report, covering electromagnetic, gravimetric and resistivity surveys, covering Dona Lili prospect. May 2004 excavation and analysis of samples from 30 trenches each 9 meters deep, in and near Dona Lili and Santa Elilia prospects, with an average gold assay grade recorded by MGP of 0.375 g/t gold, based on gravity concentration and gold estimation by a mixture of fire assaying and cyanidation. June 2004 comprehensive stratigraphic study report on these 30 trenches. September 2004 study into the recoverable free gold size distribution, indicating 95 per cent of the gold content in the size range of 2mm to 0.125 mm to 0.125 mm (125 microns). Late 2004 excavation and gold colours counting on samples from 158 trenches across 13 other adjoining and nearby concessions. Detailed February 2005 hydrological study of water availability in the two relevant local drainage catchments.

12 12 CONFIDENTIAL | Past Exploration Activities Cont. April 2005 1000 tonnes trial ore excavation and processing, mainly from Dona Lili and Santa Elilia with an assessed recoverable gold grade of 0.3 glt gold. May 2007 scoping study report into gold production from Dona Lili and Santa Elilia prospects at a production rate of 10 million ore feed tonnes per year, indicating a cash cost break even gold grade of 0.12 glt gold at $400 per ounce of gold. April 2012 Report - Gold Bearing Lahar Deposits Near San Miguel del Horcasitas, Sonora, Mexico (David T. Snow & Associates). July 2012 Report - Puerto Areval Gold Project Technical Report (NH Cole & Associates Pty. Ltd.). July 2012 Report - Preliminary Metallurgical Testing of Samples from Minera Global del Pitic, S.A. de C.V. (Resource Development Inc.). Note: All of the above reports and data are available in the virtual data room upon execution of the Confidentiality Agreement which accompanies the investor presentation.

13 13 CONFIDENTIAL | Map of Mining Concessions

14 14 CONFIDENTIAL | Mining Law - Mexico Under the Mexican Constitution, minerals are part of the national patrimony, governed under Article 27 of the Constitution. The Mining Law was introduced in June 1992 (amended in 2005) and establishes that minerals found in Mexican territory are owned by the Mexican Nation, and that private parties may exploit such minerals (except oil and nuclear fuel minerals) through mining licenses or concessions granted by the Federal Government. Mining concessions are valid for 50 years from the date of registration and are freely transferable with no restriction on foreign ownership. The many mining titles owned by Caldera Gold were granted in the period from February 2000 to August 2011 and are each valid for a duration of 50 years. All titles can be renewed for an additional 50 year term in perpetuity during the time they are being commercially exploited.

15 15 CONFIDENTIAL | Additional Information / Inquiries The information contained herein is designed as a brief initial overview of the Caldera Gold Project. Parties seeking additional and more detailed disclosure will be required to execute a Confidentiality Agreement (which accompanies this investor brief), whereby upon completion will permit access to the virtual data room that contains exploration and sampling results and numerous independent geological reports and studies. All inquiries should be directed to: Richard Revelins Managing Director Cappello Group Inc. rrevelins@cappellocorp.com +1-310-393-6632 Michael Stone Associate Cappello Capital Corp. mstone@cappellocorp.com +1-310-393-6632 Cappello Capital Corp. 100 Wilshire Blvd. Suite 1200 Santa Monica, CA 90401 Main: (310) 393-6632 Fax: (310) 393-4838 www.cappellocorp.com


Download ppt "FINRA | SIPC Caldera Gold Project July 2012 | CONFIDENTIAL Advanced Volcanic Gold-Bearing Lahar Project in Sonora, Mexico. Investor Presentation Cappello."

Similar presentations


Ads by Google