POSITIONING FOR SUSTAINABLE GROWTH

Transcription

1 TSX NYSE MKT: RIC POSITIONING FOR SUSTAINABLE GROWTH ISLAND GOLD TECHNICAL SESSION October 28, 2015

2 FORWARD LOOKING STATEMENTS Safe Harbor Statement & Cautionary Note to U.S. Investors Concerning Resource Estimates This presentation contains forward-looking statements that include risks and uncertainties. The factors that could cause actual results to differ materially from those indicated in such forward-looking statements include changes in the prevailing price of gold, the Canadian-U.S. exchange rate, grade of ore mined and unforeseen difficulties in mining operations that could affect revenue and production costs. Other factors such as uncertainties regarding government regulations could also affect the results. Other risks may be detailed from time to time in Richmont Mines Inc. s periodic reports and annual notice. The resource estimates in this presentation were prepared in accordance with NI adopted by the Canadian Securities Administrators. The requirements of NI differ significantly from the requirements of the United States Securities and Exchange Commission (the SEC ). In this presentation, we use the terms Measured, Indicated and Inferred Resources. Although these terms are recognized and required to be used in Canada, the SEC does not recognize them. The SEC permits U.S. mining corporations, in their filings with the SEC, to disclose only those mineral deposits that constitute Reserves. Under United States standards, mineralization may not be classified as a Reserve unless the determination has been made that the mineralization could be economically and legally extracted at the time the determination is made. United States investors should not assume that all or any portion of a Measured or Indicated Resource will ever be converted into Reserves. Furthermore, Inferred Resources have a great amount of uncertainty as to their existence and whether they can be mined economically or legally, and United States investors should not assume that Inferred Resources exist or can be legally or economically mined, or that they will ever be upgraded to a more certain category. U.S. Investors are urged to consider the disclosure in our annual report on Form 20-F, File No , which may be obtained from us or from the SEC s web site: (All amounts are in Canadian dollars, unless otherwise indicated.) 2

3 AGENDA Richmont Overview Renaud Adams Vision and Short Term Strategy Sustainable Business Model Corporate Overview Island Gold Overview Mining & Milling Study 800 TPD Analysis Maximum Capacity Material Handling Options Milling Study Geology & Exploration Upside Q&A 3

4 MANAGEMENT AND CONSULTANTS Renaud Adams President & CEO Anne Day V.P. Investor Relations Steve Burleton V.P. Business Development Nicole Veilleux V.P. Finance Jean Bastien General Manager, Island Gold Raynald Vincent Chief Geologist, Island Gold Denis Gourde V.P. Engineering, InnovExplo inc. Sylvie Poirier Engineering Manager, InnovExplo inc. Jean Garant Senior Engineer, InnovExplo inc. 4

5 RICHMONT OVERVIEW 5

6 OUR VISION and STRATEGY Our vision is to become a leading intermediate gold producer focused on the Americas generating superior per share valuation. We are committed to a Sustainable Business Model and a strategy of long-term growth, and will fully utilize the Corporation s strong balance sheet, assets, cash flow, capital structure and the extensive experience of the Corporations Board of Directors and Management Team to build the next leading Canadian based intermediate gold company. In the short term, our strategy will focus on becoming a leading junior gold producer by maintaining at all times a superior per share position on operational & financial metrics while maintaining a sustainable and risk adverse approach under a Sustainable Business Model. We are guided by our core corporate values to achieve long term value for all of our stakeholders. By cultivating a culture of responsible performance, we are focused on operating in a sustainable manner while holding ourselves accountable to all of our stakeholders. 6

7 SUSTAINABLE BUSINESS MODEL 7

8 INVESTMENT OVERVIEW Quality Asset Base in Canada Growing Production Profile Decreasing Cost Structure Growing Cash Flow Streams Significant Exploration Potential Strong Balance Sheet Favourable Canadian Dollar Exposure Low Shares Outstanding (58M) 8

9 CAPITAL STRUCTURE Capital Structure Issued & Outstanding Shares 58.0M Options 1.0M $76.5M CASH Fully Diluted 59.0M Cash (1) Total Debt (1)(2) Ticker Market Capital Analyst Coverage CIBC Macquarie Capital Markets National Bank Financial PI Financial TD Securities Paradigm Capital C$76.5 C$6M RIC:TSX NYSE C$243M Kevin Chiew Michael Gray Adam Melnyk Brian Szeto Daniel Earle Don Blyth $6M DEBT RIC (as of Oct. 23/15) TSX C$ NYSE MKT US$ Closing price $4.18 $ week range $2.15-$4.55 $1.89-$3.68 Market Cap (M s) $243M $185M 3-month daily trading avg. 83, ,964 (1) As of Oct (2) Long-term debt is comprised of capital lease obligations 9

10 QUALITY ASSET BASE IN CANADA Island Gold a High-Grade underground mine Growing production profile Decreasing cost structure Growing cash flow streams Upgraded mine and mill expansion plan Potential to grow resource inventory Exploration potential laterally and at depth Beaufor Mine Extending Mine Life Development of the Q Zone extends mine life 18,200m of exploration drilling (2015) 11,800m of definition drilling (2015) 10

11 ISLAND GOLD MINE Significant Potential for Long-Term Growth Developing a 1+ million ounce, high-grade global gold resource below an operating, permitted and staffed mine in Ontario Northern Ontario is a relatively young and underexplored mining district; Favourable regional geology that supported small past producers; Several larger mines being established in region; Significant exploration potential: near-mine and across 77.0 km 2 Island Gold property package. TSX - NYSE MKT: RIC 2015 by Richmont Mines 11

12 ISLAND GOLD OVERVIEW Q months Sept Gold Production 15,076 40,837 Underground tpd Mill tonnes 66, ,785 Mill tpd Head grade (g/t) Recoveries (%) Reserves (oz) (1)(2)(3) 183,750 Gold Grade (g/t) 6.39 M&I Resources (oz) 219,050 Gold Grade (g/t) 9.29 (1),(2),(3) See Endnotes at the end of the presentation High-grade underground mine in Canada Expansion opportunity to grow production Growing production and declining cost structure Potential to expand reserve and resource base Exploration potential laterally and at depth 12

13 ISLAND GOLD MINE Extending Mine Life at Depth Developing deeper resource to create substantial long-term growth. W LOCHALSH ISLAND EXT1 EXT2 GOUDREAU E Crown pillar 190 Level PRODUCTION TO DATE (ABOVE -400 M) 303,000 ozs of gold, avg. 5.7 g/t Au Reserves & Resources (at Dec. 31/14) Proven & Probable: 90, g/t Measured & Indicated: 64, g/t Inferred resources: 82, g/t m LOWER EXTENSION (BELOW -400 M) Reserves & Resources (at Dec. 31/14) Proven & Probable: 431,500 g/t Au 93,750 ozs Indicated 438, g/t Au 154,200 ozs Inferred 3,178, g/t Au 919,950 ozs 2015 INVESTMENT $48.3 M Fully funded Sustaining: $19.1 M Project related: $29.2 M - 1,000 m 2015 Planned Ramp & Drift Development Conceptual Development 2015 Planned Ore Development 2015 Stoping Reserves Resources 31/12/14 Mined out Actual Ramp and Drifts TSX - NYSE MKT: RIC 2015 by Richmont Mines 13 13

14 ISLAND GOLD MINE Solid Q2 and 6 Month a year of repositioning : Extensive development work and investment being completed in 2015 to reposition the mine for significant long-term growth 2015 forecasted gold sales: 45,000 50,000 ozs 6 month 2015 results on track: Record quarterly gold sales: 14,997 ounces Record quarterly milled tonnage: 71,584 tonnes Mill demonstrated that it can efficiently operate at current capacity limit of 800 tpd H Gold production: 25,761 ounces Gold sales: 24,626 ounces Cash cost/oz: CAN$1,120 (US$906) AISC/oz: CAN$1,501 (US$1,214) Q1 CAN$1,643 (US$1,485) Q2 CAN$1,307 (US$1,063) TSX - NYSE MKT: RIC 2015 by Richmont Mines 14

15 ISLAND GOLD MINE Mining Unit Cost Opportunity Near-term opportunity: lower the mining cost by returning to historical development ratio Long-term planned ratio Long-term planned ratio Q Unit Mining Cost Q % 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% % of Development Ore of Total Ore Mined TSX - NYSE MKT: RIC 2015 by Richmont Mines 15 15

16 ISLAND GOLD MINE Mine Cost/Tonne Breakdown FY 2014 All of Island Gold Mine operating costs are in Canadian dollars 2014 average exchange rate CAN $ = US $ % 30% 2014 Cash Cost/Tonne (CAN$, in %) 2014 Cash Cost/Tonne (CAN$) Total 2014 cost/tonne = CAN$177 25% 20% $36 $8 15% 10% 5% 0% $36 $97 Mining Milling Surface & administration Royalties TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 16

17 MINING AND MILLING STUDIES 17

18 ISLAND GOLD MINE Preliminary Economic Assessment Based on the portion of the resources located between 450L and 860L East TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 18

19 ISLAND GOLD MINE Mining Studies Mining - Phase 1 PEA: Mining of indicated and inferred resources from 450L to 860L considered for the PEA; Resources above 450L, isolated resource block and parallel zones outside the main area of the study were excluded; Over 2M tonnes of mineralized material considered part of Phase 1; Considers long-hole mining method over 3 mining horizons; Base Case scenario (800 tpd by ramp): Access to the deposit is planned through continued development of existing internal ramp; Average production of approximately 78,000oz Au per year from 2017 to 2022, at an average diluted mined grade of 8.67 g/t Au; Estimated average cash costs of approximately $552/oz Au for the period ; Sustaining capital costs of $40.5M for the period Expanded Scenario Analysis: Ontario Quebec The PEA shows that once the mining activities reach the third mining horizon in the first half of 2017, mining productivity could potentially be increased to 1,150tpd; To accommodate an expanded mining rate, numerous options were evaluated using a number of criteria; A dedicated production haulage ramp from 450L to mill facilities utilizing 45t trucks and dumping into mill ore bins shown as superior alternative; Potential capital requirement for the dedicated ramp and related infrastructure estimated at $16.6M. TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 19

20 800 TPD ANALYSIS 20

21 TRADE OFF STUDY METHODOLOGY 18 potential options were identified during a brainstorming session. These options can be grouped in 5 categories; Shafts Winzes Vertical Conveyor System Horizontal Conveyor Systems Ramps system with trucks. Following a preliminary CAPEX and OPEX estimation 5 options were retained and evaluated in greater detail; Status Quo Full service, long shaft, timbered Winze, full service, timbered From 450L, 60 conveyor in a ramp reaching mill sector Double ramp from 450L to minimize traffic 21

22 TRADE OFF STUDY METHODOLOGY Pugh Matrix Selection Criteria Pugh Matrix Selection Criteria Criteria Weight NPV 20% Capital availability 5% Potential for increase daily output 10% Independance from on going activities 10% Speed of execution of plan 10% Maturity of selected technology 5% Training for different duties 5% Capacity to support phase II (850 to 1500m levels) 35% 100% 22

23 TRADE OFF STUDY METHODOLOGY Relative NPVs* were calculated for comparison. * Only Capex and Opex were considered in the calculation 23

24 TRADE OFF STUDY METHODOLOGY Results At 800 tpd, with current mineral resources, status quo is the most attractive option; Shaft options are not attractive due to high capital requirements and modest gain in Opex since no ore pass system can be justified at this point; Options involving a new ramp reaching the mill directly is interesting due to a 2$/t credit gained by eliminating trucking ore on surface. Can be quickly implemented; All options involving high capital investments are not attractive since the total tonnage (2MT) is not sufficient to justify the investment

25 800 TPD MINE PLAN HIGHLIGHTS Based on December 31st, 2014 Mineral Reserves and Resources; Mineral reserves included in this PEA mine plan were re-categorized as M&I resources; Excludes isolated R&R blocks to the west; Includes 2.09 MT of mineralized material between the 450L and 860L; Double ramp system from 740 to 860m levels to allow multiple production stope mining and improve cycle times; Can support a productivity enhancement to 1,150 tpd starting in early

26 800 TPD MINE PLAN HIGHLIGHTS Reserves & Resources (at Dec. 31/14) Below 400L Proven & Probable: 431,500 g/t Indicated 438, g/t Au Inferred 3,178, g/t Au 26

27 800 TPD MINE PLAN HIGHLIGHTS Resources Considered in the mine plan Measured and Indicated: 9.94 Au g/t Inferred: Au g/t 20 Including mine dilution (18%) and recovery (95%) Au g/t 27

28 800 TPD MINE PLAN HIGHLIGHTS 635L 720L 860L Wide (orange, +4m) and narrow (blue, 3m) zones were identified for development sizing; Introduction of a double ramp system from 720L; Focus on 3 main mining horizons and 6 domains; 80% of the mineralized material in the last 2 horizons (635L-860L); 50% of mineralized material in the third horizon (740L-860L). 28

29 800 TPD MINE PLAN HIGHLIGHTS Status as of January 1 st 2016 Mining started on first horizon in 2015 at 635L. 29

30 800 TPD MINE PLAN HIGHLIGHTS Status as of January 1 st,2017 Both ramps completed to 860L; Bottom sill development is completed; Production drilling has started for those domains; Mining on 740L has started. 30

31 800 TPD MINE PLAN HIGHLIGHTS Status as of January 1 st, 2018 Mining performed on 3 different sill horizons; 2 domains per horizon available for the lower sills; 6 domains available; Potential to increase production to 1,150 t/day from

32 800 TPD MINE PLAN HIGHLIGHTS Status as of January 1 st, 2019 Optimum mining sequence 32

33 800 TPD MINE PLAN HIGHLIGHTS Status as of January 1 st, 2020 Optimum mining sequence continued 33

34 800 TPD MINE PLAN HIGHLIGHTS Status as of January 1 st, 2021 Optimum mining sequence continued 34

35 800 TPD MINE PLAN HIGHLIGHTS Status as of January 1 st, 2022 Bottom sill horizon almost completely mined out 35

36 800 TPD MINE PLAN HIGHLIGHTS Status as of Mars 1 st, 2023 (Mining completed) 36

37 800 TPD MINE PLAN HIGHLIGHTS PEA Mine Plan Total Stope tonnage (t) 59, , , , , , , ,328 1,889,348 Grade (g/t) Development tonnage (t) 44,486 69,010 85, ,256 Grade (g/t) Total tonnage mill (t) 103, , , , , , , ,328 2,088,604 Grade (g/t) Tonnage Ratio (developement/stope) Development CAPEX Horizontal development (m) Vertical development (m) Development OPEX Horizontal development (m) Vertical development (m) Total 2,213 3,814 1,569 7, ,541 2,468 2,913 6, ,

38 800 TPD MINE PLAN HIGHLIGHTS PEA Mine Plan Project summary Tonnes Milled (t) 1,727,097 Head Grade (g/t) 8.67 Mine life excluding transition period (years) 6 Daily mine production (tpd) 801 Gold recovery (%) 96.5 Production (oz) 464,579 Average annual gold production (oz) 77,430 Total operating cost ($) 256,236,870 Average cash operating cost ($/t) 148 Average cash operating cost ($/oz) 552 Transition Period Project Capital ($) 62,244,025 Sustaining Capital ($) 40,501,

39 MAXIMUM CAPACITY 39

40 MAXIMUM CAPACITY Numerous production scenarios were run assisted with EPS planning software (a CAE Mining tool); Integration of a double ramp system in lower part of the mine allows for an increase in productivity output; A maximum capacity of 1,150tpd scenario was retained. 40

41 MAXIMUM CAPACITY Simulation at 1,150 tpd mining rate 41

42 MATERIAL HANDLING OPTIONS 42

43 MATERIAL HANDLING OPTIONS 1,150 tpd mining plan Relative NPVs* were calculated for comparison Estimation with current mineral resources Option NPV-R tpd Full service, long shaft, timbered -$ Winze, full service, timbered -$ From 450 level, 60'' conv. -$ Double ramp from 450m level -$ * Only Capex and Opex were considered in the calculation 43

44 MATERIAL HANDLING OPTIONS 1,150 tpd mining plan Following the NPV-R analysis, the economics of driving a new ramp but replacing the installation of conveyor by used of 45 tons trucks was also looked at and selected as best option. Lower total project capital option; Implementation time can be 12 months after start-up; Eliminates surface rehandling; Allowed greater flexibility for further growth beyond 1,150 t/day; Does not limit growth below 1,000L as internal shaft could potentially be added; Further engineering required 44

45 MATERIAL HANDLING OPTIONS 1,150 tpd mining plan

46 1,150 TPD Study 46

47 MILLING STUDY 47

48 ISLAND GOLD 800 tpd flowsheet 48

49 ISLAND GOLD 800 tpd flowsheet 49

50 ISLAND GOLD IMPROVEMENT PROJECTS 900 tpd Priority Modifications Rearrange the cyclone manifold (2 cyclones in op., 1 standby) Replace the thickener feed, CIP feed and tailings pumps Replace the process water pumps and add process water tank level control loop Install reclaim water pumps and distribution loop pressure control Recommended Modifications Replace the magnets of conveyors #1 and #4 with self cleaning ones Install a lime slaking system and lime distribution loop Add an anti-scale system and a back up flocculants pump Install a gold sludge filter and drying oven in the gold room Expand the gold room and improve its security system Install a fire protection system 50

51 ISLAND GOLD EXPANSION PROJECTS 900 tpd Cost Evaluation Projects total Self Cleaning Magnets $ Cyclones Arrangement Modification $ Slurry Pumps $ Process Water Circuit Modifications $ Reagents $ Refinery Upgrade $ Electrical Upgrade $ Total $ 51

52 ISLAND GOLD EXPANSION PROJECTS 1,200 tpd Necessary Modifications Rearrange the crusher circuit including an additional cone crusher Replace the crusher circuit screen Increase the fine ore bin storage capacity Replace the thickener feed well and feed dilution system Replace slurry pumps Recommended Modifications Replace the regrind mill with a 10 diameter mill Add a gravity circuit including a centrifugal bowl concentrator, a magnetic separator and a shaking table Add circular screens in CIP tanks TOTAL PRELIMINARY COST: 15.0 M$ 52

53 PEA QUALIFIED PERSONS The PEA was developed through the combined efforts of the Corporation s Internal Technical Team and independent consultants from InnovExplo Inc. and Soutex Inc. Richmont: All work for the PEA was performed under the direct supervision of Daniel Adam, P.Geo., Ph.D., Vice-President, Exploration and Jean Bastien, P. Eng.,MBA, General Manager of the Island Gold mine; both are employees of Richmont. Both are members of a professional association and are qualified persons as defined in NI Both have reviewed and approved the technical contents of the PEA. InnovExplo Inc.: The PEA was prepared under the supervision of Sylvie Poirier, P.Eng., a senior engineer with InnovExplo Inc. Ms. Poirier is a qualified and independent person as defined in NI She has reviewed and approved the technical contents of the PEA. Soutex Inc.: Information relating to the mill upgrade, expansion designs and estimated costs was prepared under the supervision of Mathieu Bélisle, P. Eng. Mr. Bélisle, a senior metallurgist with Soutex Inc., and a qualified and independent person as defined in NI He has reviewed and approved the technical contents of the PEA. 53

54 GEOLOGY AND EXPLORATION PROGRAMS 54

55 RICHMONT MINES INC. Land Tenure Dubreuilville Portal Main Ramp Edwards Cline RICHMONT MINES 216 Mining Titles 7,696 hectares Argonaut 1,968 hc. Magino ISLAND GOLD MINE Emily Bay Showing 2 km Ego Deposit RICHMONT MINES PROPERTIES OTHER OWNERS TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 55

56 ISLAND GOLD MINE Wawa Geological Sub-province SCHREIBER SUGAR ZONE Marathon HEMLO ISLAND GOLD MINE Lake Superior White River 17 RENABIE Proterozoic Plutonic and Volcanic Rocks Archean Granitoid Plutons Archean Metasedimentary Terranes Archean Greenstone Terranes Fault Gold Past Producer MISHI EAGLE RIVER Wawa EDWARDS Gold Producer 25 km TSX - NYSE MKT: RIC Copyright 2014 by Richmont Mines 56

57 ISLAND GOLD MINE Local Geology Richmont Properties Producing Gold Mine Closed Gold Mine Gold Showing EDWARDS Production : 0, g/t Au oz Au 1938, KREMZAR Production : 0,6 4.8 g/t Au oz Au Mill Lochalsh Goudreau CLINE Production : 0,3 6.5 g/t Au oz Au , km MAGINO Production : 0,8 4.4 g/t Au oz Au , DEEP C ZONE ISLAND GOLD MINE (31/12/2014) Proven & Probable Reserves : 895, g/t Au 183,750 oz Au Measured & Indicated Resources: 733, g/t Au 219,050 oz Au Inferred Resources: 3,547, g/t Au 1,002,750 oz Au

58 ISLAND GOLD MINE Schematic Section of Main Mineralized Zones Overburden 50m Crown pillar Island Main mineralized zones -250m Inflection -500m 535 Level Island Lower mineralized zones 620 Level Actual ramp and drifts -750m 100m TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 58

59 ISLAND GOLD MINE Mineral Estimated Reserves & Resources MINERAL RESERVES + RESOURCES 1 Island Gold Mine Tonnes (metric) AS OF DEC. 31, 2014 AS OF DEC. 31, 2013 Grade (g/t Au) Au ozs contained Tonnes (metric) Grade (g/t Au) Au ozs contained P & P Reserves 2 (above -400 m) 463, , , ,450 P & P Reserves 2,3 (below -400 m) 431, ,750 88, ,050 Total P & P Reserves 2 895, , , ,500 M & I Resources (above -400 m) 295, , , ,450 Indicated Resources 3 (below -400 m) 438, , , ,900 Total M & I Resources 733, , , ,350 Inferred Resources (above -400 m) 369, , , ,750 Inferred Resources 3 (below -400 m) 3,178, ,950 3,196, ,600 49,196 oz (1) Resources are exclusive of Reserves, and do not have demonstrated economic viability at this time. (2) Established on December 31/14, using a gold price of US$1,200/oz and an exchange rate of CAN$1.0833=US$1.00. In 2013, a price of US$1,225/oz and an exchange rate of CAN$1.06=US$1.00 were used. (3) Underground Resources established for the C Zone and six other lateral zones below a vertical depth of -400 metres. Total Inferred Resources 3,547, ,002,750 3,559, ,037,350 Mineral resources were estimated by 3D block modeling with blocks of 5m x 5m x 2 m for the Upper part and blocks of 10m x 10m x 5m for the lower part of the mine. Grade estimation was done by ordinary Kriging or ID2 TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 59 59

60 ISLAND GOLD MINE Isometric View Lochalsh Island Zone Extension1 Extn 2 Goudreau Zone 515L to 700L N E TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 60

61 ISLAND GOLD MINE Highlight Results of Face Sampling C Zone LEVEL Length (m) CHANNEL FACE SAMPLING Au (g/t) Cut 47 g/t Au True Thickness (m) 515W W W W W W W E E E E E E Note: as of September 30th, TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 61

62 ISLAND GOLD MINE 2015 Lower development reconciliation Island Gold Mine Lower Development Reconciliation Development (Reserve) Reserves ( as of Dec 31st, 2014; Dil. 0.5gpt) Diluted Tonnes Diluted Grade Diluted Ounces Reconciled Tonnes Mined (reconciled) Reconciled Grade Reconciled Ounces Variations (Mined vs Reserves) Tonnes Grade Ounces Lower Development Q1 Lower Development Q2 Lower Development Q3 Lower Development , ,024 13, ,714 80% 112% 90% 22, ,129 23, , % 101% 107% 31, ,572 26, ,192 86% 109% 93% 70, ,726 64, ,408 91% 107% 98% Note: as of September 30 th, TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 62

63 ISLAND GOLD MINE 2015 Planned Development & Drilling Activities W LOCHALSH ISLAND EXT1 EXT2 GOUDREAU E Crown pillar 190 Level m - 1,000 m 2015 PLANNED DRILLING Drilling will define & delineate between -500 metres and -1,000 metres Definition drilling 14,500 m Delineation drilling 44,500 m 2015 Planned Ramp and Drift Development Conceptual Development 2015 Planned Ore Development 2015 Stoping Reserves Resources 31/12/2014 Mined out Actual Ramp and Drifts TSX - NYSE MKT: RIC 2015 by Richmont Mines 63 63

64 ISLAND GOLD MINE C Zone Grade (g/tau) W Crown pillar LOCHALSH ISLAND EXT1 EXT2 E m 4900m - 1,000 m Cut Grade (95g/t Au) meters TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 64

65 ISLAND GOLD MINE C Zone True Width (metres) W Crown pillar LOCHALSH ISLAND EXT1 EXT2 E m 4900m - 1,000 m meters 200 True width (metres) TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 65

66 ISLAND GOLD MINE C Zone Metal Factor (grade x width) W Crown pillar LOCHALSH ISLAND EXT1 EXT2 E m 4900m ,000 m 5.06g/t Au / 2.47m Average mining grade (5.84 g/t Au / 2.4 m) g/t Au / 6.33m 13.3g/t Au / 3.6m Cut off (3.75 g/t Au / 2.0 m) Interpreted metersplunge of deposit axis 11.25g/t Au / 6.56m 19.8g/t Au / 3.93m Metal Factor Grade (g Au/t) x true width (metres) 0 TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 66

67 ISLAND GOLD MINE 2015 Planned Development & Drilling Activities W LOCHALSH ISLAND EXT1 EXT2 GOUDREAU E Crown pillar 190 Level m - 1,000 m 2015 PLANNED DRILLING Drilling will define & delineate between -500 metres and 860 metres Definition drilling 14,500 m Delineation drilling 44,500 m 2015 Planned Ramp and Drift Development Conceptual Development 2015 Planned Ore Development 2015 Stoping Reserves Resources 31/12/2014 Mined out Actual Ramp and Drifts TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 67

68 ISLAND GOLD MINE 2015 Planned U/G Exploration Drilling (41,000m) W LOCHALSH ISLAND EXT1 EXT2 GOUDREAU E Crown pillar 190 Level GDE / 4.16 GDE / 1.97 GDE / 1.67 GDE / m GDE / ,000 m drilling from 450 level 31,000 m drilling from 620 level 5,000 m drilling from 340 level GDE / / ,000 m / / 6.07 Reserves Resources 31/12/ / 2.87 GD-14-01C / 3.93 Mined out Actual Ramp and Drifts Previous holes Assays pending C Zone Intersections (Au cut 95 g/t) Au g/t / true thickness (metres) TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 68

69 ISLAND GOLD MINE 2015 Planned Surface Exploration Drilling W LOCHALSH ISLAND EXT1 EXT2 GOUDREAU E Crown pillar LC / 2.70 c.l. 190 Level GDE / 4.16 GDE / 1.97 GDE / 1.67 GDE / m 8,500 metres of drilling 2,500 m from surface + 6,000 m from Level 190 GDE / 2.77 GDE / ,000 m drilling from surface - 1,000 m (17.33 cut) / 4.78 c.l / / / 6.07 Reserves Resources 31/12/ / 2.87 GD-14-01C / ,000 m drilling from surface Mined out Actual Ramp and Drifts Previous holes Assays pending C Zone Intersections (Au cut 95 g/t) Au g/t / true thickness (metres) TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 69

70 ISLAND GOLD MINE Deep Directional Drilling Program W LOCHALSH ISLAND EXT1 EXT2 GOUDREAU E Crown pillar 190 Level m / 6.56 Reserves Resources 31/12/2014 Mined out Actual Ramp and Drifts Previous holes Target Gold Zone Intersections (Au cut 95 g/t) Au g/t / true thickness (metres) Deep directional exploration from surface (23,000 metres) / / / 2.87 GD-14-01C / ,000 m - 1,500 m TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 70

71 ISLAND GOLD MINE 2015 Planned Exploration Drilling W LOCHALSH ISLAND EXT1 EXT2 GOUDREAU E Crown pillar LC / 2.70 c.l. 190 Level GDE / 4.16 GDE / 1.97 GDE / 1.67 GDE / m GDE / 2.77 GDE / ,500 metres of drilling 2,500 m from surface + 6,000 m from Level 190-1,000 m (17.33 cut) / 4.78 c.l. 5,000 m drilling from 450 level 31,000 m drilling from 620 level 5,000 m drilling from 340 level 7,000 m drilling from surface 2015 Exploration Drilling Lateral extension exploration 15,000 m Underground exploration 41,000 m Surface deep directional exploration 23,000 m PEA Resources Area / 2.87 GD-14-01C / / ,000 m drilling from surface Reserves Resources 31/12/2014 Mined out Actual Ramp and Drifts Previous holes Assays pending C Zone Intersections (Au cut 95 g/t) Au g/t / true thickness (metres) TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 71

72 ISLAND GOLD MINE Planned Regional Surface Exploration Drilling KREMZAR MINE ( ) 47,000 oz Au g/t Au Maskinonge lake MAGINO OPEN PIT (Resources) g/t Au 5.2 million oz Au East Extension EDWARDS MINE ( & ) 144, 000 oz Au g/t Au CLINE MINE ( ) 63,000 oz Au g/t Au Mill MAGINO MINE ( & ) 114,000 oz Au g/t Au West Extension ISLAND GOLD MINE (31/12/2014) Proven & Probable Reserves : 895, g/t Au; 183,750 oz Au Measured & Indicated Resources: 733, g/t Au; 219,050 oz Au 2015 Surface Exploration Program (7,500 m) Drilling target 1 km m - 1,000 m - 1,500 m MAGINO West ISLAND GOLD East EDWARDS CLINE LC / 2.7 Argonaut Richmont Extension GDE / 2.9 GDE / 1.8 Extension TSX - NYSE MKT: RIC Copyright 2015 by Richmont Mines 72 GD / 1.2 Richmont Strike Minerals Cline Mining Corp. Gold Zone Intersections (Au uncut g/t) Au g/t / core length (metres)

73 THANK YOU - Q & A 73