COMPARATIVE HISTORY – THE OSISKO MINING …miningmarketwatch.net/images/avacompareosk.pdfstrategy...

COMPARATIVE HISTORY – THE OSISKO MINING STORY

1935-1985- OPERATION OF MALARTIC MINES (LAC MINERALS) -- PAST PRODUCTION: 9 MILLION OUNCES OF GOLD -

1995-2003- BARRICK PURCHASES EAST MALARTIC MILL, PROPERTIES FROM LAC MINERALS -

2003- Q1: MCWATTERS PURCHASES BARRICK’S MALARTIC PROPERTIES -

- Q2-Q3: INITIATES EVALUATION OF HISTORIC MINES -BULK GOLD POTENTIAL –CANADIAN MALARTIC DEPOSIT AS BEST TARGET -

- Q4: MCWATTERS FILES FOR BANKRUPTCY PROTECTION -

2004- Q4: OSISKO ACQUIRES CANADIAN MALARTIC PROPERTY -


2005- Q1: FIRST DRILL HOLE AT CANADIAN MALARTIC -

2006- Q4: FIRST MINERAL RESOURCES ESTIMATE (BULK GOLD MODEL) -

2008- Q4: FEASIBILITY STUDY -

2009- Q3: MINING CONCESSION STATUS GIVEN BY THE MRNFQ, STARTS CONSTRUCTION -

2011- Q1: CONSTRUCTION NEAR COMPLETION -

- Q2: FIRST GOLD POUR AND START OF COMMERCIAL PRODUCTION, OPTIMIZATION -


2012- FIRST COMPLETE YEAR OF PRODUCTION, OPERATION OPTIMIZATION CONTINUES -

2013- OPTIMIZATION COMPLETED, MILL POURS 1,000TH GOLD OUNCE -

2014- OSISKO CREATES MAJOR QUEBEC GOLD PRODUCER -

COMPARATIVE HISTORY – THE OSISKO MINING STORYWORLD CLASS GOLD DISCOVERY AT CANADIAN MALARTIC RESERVES: 9.4 MILLION OUNCES OF GOLD (1.1.2014)

PRODUCTION TO DATE: 1.22 MILLION OUNCES (30.4.2014) ADDITIONAL UPSIDE POTENTIAL: ODYSSEY, EAST AMPHI, JEFFREY TOTAL DRILLING: 1,760,000 METRES OR 1,800 KILOMETRES

CONSTRUCTION OF MALARTIC MINE: $1 BILLION, ON TIME AND WITHIN BUDGET

RECRUITED LOCAL TEAMS TO FULLY DEVELOP MALARTIC MINE 800 EMPLOYEES

SUSTAINABLE DEVELOPMENT TRANSPARENCY

$46 MILLION REHABILITATION FUND LOCAL EMPLOYMENT AND DEVELOPMENT/MAINTAINING OF MANPOWER,

LEADERSHIP PROGRAM MEN AND WOMEN PROGRAMS FIRST NATIONS RECRUITMENT

500 EMPLOYEES AS SHAREHOLDERS


CREATED VALUE FOR SHAREHOLDERS AND STAKEHOLDERS 4,134% RATE OF RETURN SINCE 2004

ECONOMIC PROSPERITY FOR THE COMMUNITY AND REGION WELL PAID JOBS, FINANCIAL CONTRIBUTION TO GOVERNMENTS

CHALLENGES OPEN PIT MINE OPERATION IN THE TOWN OF MALARTIC

RELOCATED 20% OF TOWN, INCLUDING MAJOR INSTITUTIONSSCHOOLS, RECREATIONAL CENTER, LOW INCOME HOUSING

EXPANDED HOSPITAL TRANSITION OF UNDERGROUND MINING CULTURE ACROSS ABITIBI

LOW GRADE GOLD DEPOSIT, GOLD RECOVERY ISSUES PUBLIC INQUIRIES (BAPE)

NEW COMPANY, WITH $1 BILLION FINANCING NOISE REDUCTION

MINING ABOVE OPEN STOPES CLOSING HISTORIC TAILINGS, MANAGING NEW TAILINGS


FINANCIAL VALUATIONS INCREASING PRODUCTION: Q2-2011 @ 46,600 OZ TO Q1-2014 @ 140,000 OZ DECREASING CASH COSTS: Q2-2011 @ $1,094/OZ TO Q1-2014 @ $636/OZ

OSISKO GOLD ROYALTIES 16.4.2014: SOLD OSISKO MINING TO YAMANA/AGNICO-EAGLE

$8.15 PER SHARE 29.4.2014: NEW OSISKO FORMED 2.6.2014: TSX LISTING UNDER “OR”

16.6.2014: SHARES DISTRIBUTION TO SHAREHOLDERS, 10:1 CONSOLIDATION CASH: $157 MILLION

5% NSR ROYALTY ON MALARTIC MINES EXPLORATION PROJECTS IN USA AND MEXICO


STRATEGY OF CREATING SHAREHOLDER VALUE BY ACQUIRING, CREATING“GOLD STREAM” VIA ROYALTIES AND PRODUCTION INCOME

ADD TO THE MALARTIC ROYALTY NEW ROYALTIES

ROLL OUT/SELL ADVANCED EXPLORATION PROJECTS FINANCE PROJECTS

INVEST IN EXPLORATION COMPANIES (19.9% NIOGOLD, 15% FALCO GOLD) MAINTAIN STRONG FINANCIAL POSITION

DIVIDEND TO SHAREHOLDERS, BUYBACK OF SHARES


OUTLINE OF THE 3.5 KMLONG SUPERPIT


… A PORTION OF THE 1,800 KM IN DRILLING …

COMPARATIVE HISTORY – OSISKO <> AURVISTA

AURVISTA’S DOUAY DEPOSITLOCATED 150 KM NORTH OF MALARTIC

SIMILAR REGIONAL , LOCAL SETTINGSBETWEEN AURVISTA’S

DOUAY GOLD DEPOSIT ANDOSISKO’S MALARTIC DEPOSIT

SAME ABITIBI GOLD BELTTOTAL GOLD PRODUCTION

200MOZ

25 KM

25 KM

STRATEGIC ADVANTAGEAT DOUAY – HIGHER GRADE

GOLD VEINS ARE STILLPRESENT

DOUAY EARLIER EXPLORATIONSTAGE THAN MALARTIC

COMPARATIVE HISTORY – THE DETOUR GOLD STORY

1974- AMOCO CANADA PETROLEUM COMMENCED AIRBORNE AND GROUND GEOPHYSICAL SURVEYS -- IDENTIFIED 2 KM LONG INPUT ANOMALY WITH STRONG MAGNETICS (DETOUR 38 ANOMALY) -

- 1ST DRILL HOLE INTERSECTED 9M @ 10-15% PO, UP TO 1% CP, QUARTZ VEIN SYSTEM (MAIN ZONE) -

1975- MAJOR DRILL PROGRAM (47,444 METRES OF SURFACE DRILLING) -

- CONSTRUCTED DECLINE TO 120-METRE, U/G DRILLING, WINTER ROAD TO SITE -- RESULTS CONFIRMED PRESENCE OF SIGNIFICANT GOLD DEPOSIT TO -545 METRES -

CUT TO 1 OZ/TON : 9.5 MT @ 0.207 OZ/T

1976-1978- LUMMUS COMPLETED FEASIBILITY STUDY BASED ON 335 DDH’S / 57,339 METRES – NEGATIVE -

- AMOCO JV WITH CAMPBELL RED LAKE MINES (25%) AND DOME MINES LTD (25%), AMOCO (50%) -

1979-1982- CAMPBELL DRILLED (419 DDH’S / 31,616 METRES) MAIN ZONE AND QUARTZ ZONES TO THE WEST -- RESOURCES ESTIMATIONS ON A COMBINED O/P AND U/G OPERATION: 27.7 MT @ 3.88 G/T AU -

- DECISION TO START O/P (2,000 TPD), U/G PRODUCTION OVER A 5 YEAR TIME FRAME -

COMPARATIVE HISTORY – THE DETOUR GOLD STORY1983

- STARTED O/P MINING- EXTRACTED 3.0 MT @ 3.25 G/T AU (313,070 OZ) FROM 1983-1987 -

- 1.6 MT @ 1.40 G/T AU (70,652 OZ) BLENDED WITH U/G BETWEEN 1986-1998 -

1983-1984- BLOCK A PROPERTY: GLOBAL ENERGY CORP AND OPTION PARTNER INGAMAR EXPLORATION LTD. -

DRILLED 15 HOLES, INTERSECTED NARROW GOLD FROM SEVERAL CLOSELY SPACED HOLES -

1987- U/G MINING COINCIDING WITH MERGER BETWEEN CAMPBELL, DOME AND PLACER DEVELOPMENT -

- PLACER DOME ACQUIRES REMAINING 50% OF THE PROPERTY OWNED BY AMOCO -

1987-1998- U/G GOLD PRODUCTION ESTIMATED AT 9.1 MT @4.98 G/T AU (1,464,431 OZ) -

- PLACER DOME COMPLETED 4,219 DDH’S / 435,002 METRES FROM BOTH U/G AND SURFACE -- AFTER 1990, DRILLING TESTED WESTERLY EXTENSIONS OF THE GOLD MINERALIZATION -

- COMPLETED ADDITIONAL 283 DDH’S / 90,889 METRES ON THE MINE PROPERTY -- 133 DDH’S / 62,147 METRES REGIONALLY, DRILLING AROUND BLOCK A DEPOSIT -

- O/P MINING EXTRACTED 644,000 TONNES @ 2.20 G/T GOLD IN 1998 -- MINE STARTED EXPERIENCING SIGNIFICANT PRODUCTION AND GRADE PROBLEMS -

COMPARATIVE HISTORY – THE DETOUR GOLD STORY

1999- PLACER HALTED MINING, RECLAMATION INITIATED -

- O/P, U/G PRODUCTION (17 YEAR MINE LIFE) : 1,764,986 OZ GOLD FROM 14.3 MT @ 3.82 G/T -MILL RECOVERY OF 93.1% -

- PELANGIO-LARDER MINES, FRANCO-NEVADA MINING ACQUIRED THE MINE PROPERTY IN 1999 -

2000 - MARL RESOURCES ACQUIRED ASSETS OF PELANGIO-LARDER, PLUS INTEREST IN THE DETOUR LAKE JV -

2002- PELANGIO COMPLETED PURCHASE OF NEWMONT’S INTEREST IN THE DETOUR LAKE JV, PLUS CLAIMS -

2003- PELANGIO GRANTED TRADE WINDS OPTION TO ACQUIRE 50% IN BLOCK A -

2006- TRADE WINDS FULFILLED ALL THE REQUIREMENTS TO EARN A 50% INTEREST IN BLOCK A -

- FROM 2004 TO 2006, PELANGIO DRILLED 127 DDH’S / 29,769 METRES -- TESTED MAINLY WEST OF THE FORMER CAMPBELL PIT, M ZONE NEAR BLOCK A -

- EXPLORATION LED TO COMPLETION OF RESOURCE ESTIMATE OF A U/G AND O/P MINING SCENARIO -


- DETOUR GOLD COMPLETED PURCHASE WITH PELANGIO, ACQUIRED ALL THE DETOUR LAKE ASSET -S

2008- DETOUR GOLD PURCHASED THE FORMER DETOUR LAKE MINE PROPERTY FROM GOLDCORP -

2009 - SIGNS JV WITH TRADE WINDS -

- COMPLETES PRE-FEASIBILITY STUDY FOR DETOUR LAKE (SGS CANADA, BBA) -SEPTEMBER 2009 MINERAL RESERVE ESTIMATE

(USING US$775/OZ GOLD PRICE, CUT-OFF GRADE OF 0.60 G/T AU)

2010- PURCHASED CONQUEST’S 100% INTEREST IN AURORA, OPTION TO ACQUIRE 50% IN SUNDAY LAKE -

- COMPLETES FEASIBILITY STUDY -MAY 2010 GLOBAL MINERAL RESOURCE ESTIMATE

(CUT-OFF GRADE OF 0.50 G/T AU)- O/P PIT MINERAL RESERVE -

MAY 2010 MINERAL RESERVE ESTIMATE(USING US$850/OZ GOLD PRICE, CUT-OFF GRADE OF 0.50 G/T AU)

- THE LOM WASTE TO ORE RATIO WAS ESTIMATED AT 3.3 TO 1 -


- COMPLETED THE ACQUISITION OF TRADE WINDS -- TRADE WINDS COMPLETED 134,000 METRES OF DRILLING ON THE BLOCK A, GOWEST PROPERTIES -

(2003-2011)- RELEASES UPDATED MINERAL RESOURCE, RESERVE ESTIMATES FOR DETOUR LAKE SUPERPIT -

JANUARY 2011 GLOBAL MINERAL RESOURCE ESTIMATE (CUT-OFF GRADE OF 0.50 G/T AU)- THE OVERALL WASTE TO ORE RATIO WAS ESTIMATED AT 3.9 TO 1 -

JANUARY 2011 MINERAL RESERVES ESTIMATE (USING US$850/OZ GOLD PRICE, CUT-OFF GRADE OF 0.50 G/T AU)

- TRADE WINDS COMPLETED MINERAL RESOURCE UPDATE FOR BLOCK A -FEBRUARY 2011 BLOCK A IN-PIT MINERAL RESOURCE ESTIMATE(US$1,000/OZ GOLD PRICE, CUT-OFF GRADE OF 0.50 G/T AU)

2012- 2011 YEAR-END MINERAL RESOURCE, RESERVE, ADDITIONAL 67,587 METRES IN DRILLING FROM 2011 -

2011 YEAR-END GLOBAL MINERAL RESOURCE ESTIMATE (CUT-OFF GRADE OF 0.5 G/T AU)- O/P MINERAL RESERVE -

2011 YEAR-END MINERAL RESERVE (US$850/OZ GOLD PRICE, CUT-OFF GRADE OF 0.50 G/T AU)- THE LOM WASTE TO ORE RATIO WAS ESTIMATED AT 3.6 TO 1 -

2013-2014- DETOUR GOLD EARNED ITS 50% INTEREST IN THE SUNDAY LAKE PROPERTY -

- DETOUR GOLD AMALGAMATED WITH ITS WHOLLY-OWNED SUBSIDIARY TRADE WINDS -

COMPARATIVE HISTORY – THE DETOUR GOLD STORY2014 GLOBAL MINERAL RESOURCES

54,100,000 TONNES @ 1.15 G/T GOLD2014 SUPERPIT MINERAL RESERVES

472,600,000 TONNES @ 1.02 G/T GOLD

DETOUR LAKE WITHSIMILAR SETTING AS DOUAY

IN THE SAME ABITIBI BELT

CLOSELY SPACED DRILLINGAT DETOUR LAKE JUST AS AT MALARTIC

THE AURVISTA GOLD STORY TO DATECOMPARABLE COMPANIES AND GOLD PROJECTS

COMPANY MARKET CAP ($M)

KEY PROJECT LOCATION

CUT-OFFGRADE (G/T)

MEASURED/INDICATED RESOURCES INFERRED RESOURCES

MT G/T OUNCES MT G/T OUNCES

OSISKOMINING

(YAMANA,AGNICO)

3,597 MALARTIC QUEBEC 0.28-0.35 314.2 1.07 10.8 46.5 0.77 1.2

DETOURGOLD 1,474 DETOUR ONTARIO 0.50 474.0* 1.02* 15.5* NOT APPLICABLE

TRELAWNEY(IAMGOLD) 1,016 COTE

LAKE ONTARIO 0.30 35.0 0.82 0.9 204.0 0.91 5.9

NEW GOLD 3,034 RAINY RIVER ONTARIO 0.35 O/P

2.50 U/G 150.6 1.17 5.7 88.3 0.78 2.2

PROBE MINES 187 BORDEN LAKE ONTARIO 0.30 177.0 0.71 3.8 90.8 0.62 2.0

AURVISTA 3 DOUAY QUEBEC 0.30 2.7 2.76 0.2 114.7 0.75 2.8

NOTE: MARKET CAP AS OF OCTOBER 1, 2014, AS PER PUBLICLY AVAILABLE INFORMATION* PROVEN AND PROBABLE MINERAL RESERVES ONLY

COMPARATIVE HISTORY – THE OSISKO MINING …miningmarketwatch.net/images/avacompareosk.pdfstrategy...

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