June Toro Gold Ltd Senegal Investment Conference London

Transcription

1 June 2013 Toro Gold Ltd Senegal Investment Conference London

2 Disclaimer This presentation is for informational purposes only and may not be reproduced or distributed to any other person or published, in whole or in part, for any purpose. This presentation does not constitute an offering memorandum or an offer to sell or a solicitation to buy securities of Toro Gold Ltd (the Company ) and should not be relied on in connection with a decision to purchase or subscribe for any such securities. No reliance may be placed for any purpose whatsoever on the information contained in this presentation or the completeness or accuracy of such information. No representation or warranty, express or implied, is given by or on behalf of the Company, its shareholders, directors, officers or employees nor any other person as to the accuracy or completeness of the information or opinions contained in the presentation. The Company shall not be liable for any claims, expenses, damages (including direct, indirect, special or consequential damages), loss of profits, or opportunities arising from the use of or reliance on the information contained in this presentation. The shares of the Company have not been and will not be registered under the United States Securities Act of 1933, as amended ( Securities Act ) or state securities laws and may not be offered or sold in the United States or to or for the account or benefit of U.S. persons (as such terms are defined in Regulation S under the Securities Act) except pursuant to certain exemptions. The distribution of this presentation in certain jurisdictions may be restricted by law and therefore persons into whose possession this presentation comes should inform themselves about and observe any such restrictions. Any such distribution could result in a violation of the law of such jurisdiction. This presentation should not be redistributed by recipients to persons with addresses in the United States. Any such distribution could result in violations of US law. This presentation is distributed in the United Kingdom only to persons who are approved persons or exempted persons within the meaning of the Financial Services and Markets Act 2000, or any Order made there under (including, without limitation, persons falling within either article 19 (Investment Professionals) or article 49 (High Net Worth Companies) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005) and, if permitted by applicable law, for distribution outside the United Kingdom to professionals or institutions whose ordinary business involves them engaging in investment activities. It is not intended to be distributed or passed on, directly or indirectly, to any other class or persons in the United Kingdom. This presentation and its contents are confidential and are being supplied for informational purposes and may not be reproduced, further distributed to any other person or published, in whole or in part, for any purpose. This presentation contains forward-looking information which may include, but is not limited to, statements with respect to the future financial and operating performance of the Company, its subsidiaries and affiliated companies, and its mineral projects, the future price of gold, the estimation of mineral resources and ore reserves, the realisation of mineral resource and ore reserve estimates, costs of production, capital and exploration expenditures, costs and timing of the development of new deposits, costs and timing of the development of new mines, costs and exploration capital of mining exploration operations approvals licences and timing of future exploration, requirements for additional capital, governmental regulation operations and operations, timing and receipt of approvals, licences, conversions under applicable mineral legislation, environmental risks, title disputes or claims, limitations of insurance coverage and the timing and possible outcome of pending litigation and regulatory matters. Often, but not always, forward-looking statements can be identified by the use of words such as plans, expects, is expected, budget, scheduled, estimates, forecasts, intends, anticipates, or believes or variations (including negative variations) of such words and phrases, or state that certain actions, events or results may, could, would, might or will be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company and/or its subsidiaries and/or its affiliated companies to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, general business, economic, competitive, political and social uncertainties; the actual results of current exploration activities; conclusions of economic evaluations and studies; changes in project parameters as plans continue to be refined; future prices of gold; possible variations of ore grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; political instability, insurrection or war; delays in obtaining governmental approvals or financing or in the completion of development or construction activities. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Forward-looking statements contained herein are made as of the date of this presentation and the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements due to the inherent uncertainty therein. Technical disclosure in this presentation has not been prepared in accordance with Canadian National Instrument or the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, as published by the Joint Ore Reserves Committee of The Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia ( JORC )

3 Toro Gold Ltd - Overview Toro is a gold exploration and development company focused on equatorial Africa Toro s lead project is the Mako Project (100% indirect interest) situated in Eastern Senegal Mineral Resource Estimate of 1.6 million ounces at 2.0 g/t Au Including 1.0 million ounces at 3.0g/t Au in the Indicated category Scoping study to be completed in Q Pipeline of 6 additional exploration projects across 4 countries and other potential projects under evaluation Experienced technical and corporate management team with track record of value creation High quality, supportive shareholders Macquarie Bank (18%), RCF (13%) African Lion (11%), Laurium (8%), RMB (6%) and Sprott (4%) Toro Gold Portfolio 1 Mako Project 2 Kenieba Project 3 SN Minerals Joint Venture 4 Baramako Siguiri Project 5 Guilengbe Project 6 Block 12 Project 7 Zomoko Project

4 Management Team A Wealth of Experience The Management team brings a wealth of experience in the African Natural Resources Sector: Adonis Pouroulis Non-Executive Chairman (Petra Diamonds, Chariot) Martin Horgan Director & CEO (SRK, BarCap, BDI Mining) Jeff Gard Director (Fluor Group) Howard Bills Director & Exploration Manager (SAMAX, SRK, AXMIN) Boubacar Thera Director & International Business Dev. (AMSG, AXMIN) Gary Townsend CFO (Ashanti Goldfields, Guinor) Glen Armstrong Senior Environmental and Social Performance Advisor (IFC, World Bank Group, BG Group) Paul Cannon Environmental and Social Performance Manager (Earth Systems, Teranga)

5 A Discretionary Dollar Why Senegal? Natural Resource companies and their investors have many choices when it comes to choosing the jurisdictions in which they operate an argument can be made that host jurisdictions are competing against each other to attract foreign investment A number of factors will determine a company s willingness to operate in any given country and the question is what are these factors and how do they relate to Senegal? Geological Prospectivity Excellent Potential Demonstrated in Eastern Senegal Established Mining Sector Teranga Gold in Production, Oromin completed BFS Political Stability Successful elections held in 2012 Established and Clear Regulatory Framework Investment Friendly Fiscal Regime Free Carried Interest / Royalty Rate / Tax Holidays Established Infrastructure Roads / ports etc and banking / professional services etc Exploration Companies and their investors currently consider Senegal to score highly on these factors the result being that Senegal represents a hot spot for gold exploration

6 Senegal s Kenieba Window An Emerging Gold Province Situated in the prolific Kenieba Window of eastern Senegal and western Mali which hosts a number of current gold mining operations and development projects The permit area covers some ~160km 2 Renewed in 2013 Valid for a further 3 years before mining licence application required under Senegalese law. Excellent infrastructure access both regionally and nationally Adjacent to the Niokolo Koba National Park permit lies outside the park boundary and associated 1km buffer zone Low population density on exploration targets 6,000 across permit ; 2,500 at Mako village Mainly subsistence agriculture No grid power in region for power generation HFO/LFO available in country

7 Mako Project Resource Model Mineralisation hosted within a felsic volcanic unit sandwiched between two basalt sheets Category Indicated Open pit Tonnage (Mt) Grade (g/t) Contained Gold (000 oz) The current mineralised zone varies from 20m to 35m true width and a strike extent of some 1,000m Mineral resource estimate completed in Nov 2012 Completed in line with CIM standards by SRK (UK) Based on 90 diamond drill holes, 15,914m High Grade Core ,000 Indicated total ,000 Inferred Open pit High Grade Core Resource Envelope Inferred total Mineral resource of 1.60Moz at 2.0 g/t Au Indicated: 1.00Moz at an average grade of 3.0 g/t Au Inferred: 0.60 Moz at an average grade of 1.2g/t Au The estimate includes a High Grade Core containing: Indicated: 1.00 Moz at 3.0 g/t Au Inferred: 0.25 Moz at 2.8 g/t Au

8 Mako Project Scoping Study In April 2013, a Scoping Study was completed to assess the viability of developing a gold mine at Mako The Scoping Study was completed by a group of internationally recognised consultants and envisions: A high grade open pit mining operation focussed on the Petowal deposit for an initial 11 year life with an average LoM strip ratio of 6.5 (waste) : 1.0 (ore) A standard gravity CIP metallurgical plant processing 1.5mtpa of +2.5g/t ore in the initial 8 years An HFO fuelled power plant of 8 x 1.6 MW units Production of +1 million ounces of gold at an average rate of 120,000 oz pa for first 8 years A fully financed construction cost of ~US$250m Conceptual Whittle Pit Shell and Drill Traces

9 Mako Project A Responsible Developer Toro Gold is committed to working to a combination of Senegalese legal requirements and the guidelines established by the international financing community Earth Systems (Senegal) have been appointed to work with the company s team in relation to the ESIA development Baseline ESIA work has already commenced: Water monitoring system design and sampling underway Socio-economic study completed in Q Biodiversity and ecology studies underway in Q Archeology / Air Quality / Noise and Vibration monitoring commencing Q In addition to the ESIA the company has established two funds to support our local stakeholders: Social Investment Programme for impacted stakeholders and communities (Water wells, clinic refurbishment, school supplies) Biodiversity Fund for Niokolo-Koba Park Newly Installed Water Pump at Linguékoto Village

10 Mako Project Development Timeline Scoping Study Pre-Feasibility Study Feasibility Study Mining and Environmental Permitting ESIA Baseline Evaluation Continued Exploration over permit Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Current schedules indicate development construction commencing in H1 2015

11 Capital Structure Background Toro has raised ~ 30m in six private placements Last financing completed for 16m at 4.50/share (March 2012) Toro currently has 13,519,468 ordinary shares outstanding The Company has a policy in place limiting total options outstanding to 10% of issued share capital. To date 972,196 options have been issued as follows under the share option scheme: 169,196 at 1.75/share 198,000 at 2.25/share 200,000 at 3.25/share 285,000 at 3.75/share 120,000 at 4.75/share In addition, within the 10% limit of issued capital, 195,000 shares have been issued to Artemis Trustees Limited as Trustees for the Toro Gold Employee Benefit Trust Shareholder Structure Major Shareholders Shares held Holding in Co Macquarie Bank Limited 2,450, % Resource Capital Fund 1,753, % African Lion 3 Limited 1,515, % Laurium LP 1,099, % RMB Resources Limited 876, % Galena Special Situations Master Fund 755, % Kansala Resources SA 625, % Westward Investments Limited 604, % Sprott Asset Management 500, % Chiswick Group International Ltd 238, % CD Capital 205, % Artemis trustees Limited 195, % Martin Horgan 183, % John Howard Bills 177, % Other shareholders (>1.3%) 2,341, % Total shares in issue 13,519, % Fully Diluted 14,771,664 The Company currently has 280,000 warrants as follows: 250,000 at 8.00/share 30,000 at 5.00/share

12 Contacts Toro Gold Limited Trafalgar Court Admiral Park, Guernsey, GY1 3EL Registered Number: Toro Technical Services Ltd Egyptian House Piccadilly W1J 9EJ London Registered Number: Martin Horgan Chief Executive Officer +44 (0) (0)