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Transcript of Eastmain mar13presentation
Eastmain Resources Inc.
Corporate Presentation
March 2013
EASTMAIN
Adding Value Through Discovery
5252oo 3737’’ 0606”” NN7272oo 0505’’ 1919”” WW 7575oo 5757’’ 2020”” WW5252oo 1818’’ 0101”” NN7575oo 4848’’ 5252”” WW 5252oo 1313’’ 0101”” NN
EASTMAIN
2
Forward Looking Statements
Certain information set forth in this Presentation may contain forward‐looking statements that involve substantial known and unknown risks and uncertainties. These forward‐looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of Eastmain, including, but not limited to the impact of general economic conditions, industry conditions, dependence upon regulatory approvals and the availability of financing. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward‐looking statements. Some of my commentary may contain forward‐looking information, therefore, you are cautioned that the Corporation’s actual results could differ materially from my conclusions, forecasts or projections. I refer you to the section entitled “Risk Factors” in our Annual Information Form available on www.SEDAR.comwhich sets out certain material factors that could cause actual results to differ.
EASTMAIN
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• High‐Grade Open Pit & UG
• Quebec – Low Political Risk & Significant Financial Incentives!
• Infrastructure – Permanent road access & proximal to power
• Metallurgy – High Gold recoveries
• Resource expansion priority – above 500 m
• Objectives – Long life, low cost, highly profitable gold deposit
• 2013 – Expand resources & define project economics
Eau Claire Gold Deposit
Eau Claire is higher grade than 75% of all gold deposits worldwideOverview
EASTMAIN
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Overview of Eastmain Resources
• Two high‐grade gold deposits:
‐ Eau Claire (Clearwater Project)
‐ Eastmain Mine
• Goldcorp JV – Eléonore South
• Project pipeline covering >1,200 km2
• Financial incentives (50% rebate)
• Mine‐ready infrastructure (roads, power)
• Québec’s Plan Nord program constructing
permanent road access to Eastmain Mine
• 2013 Exploration Budget: $7.5 M
• Share ownership: (approx: 50% institutional)
‐ Goldcorp is the largest shareholder (9.9%)
(1) As at close on February 1, 2013(2) As of Jan 31, 2013, Eastmain had cash and cash equivalents of $6.1 M, plus marketable securities of $2.6M; $2M Quebec rebate receivable (not included).
5.46 MOptions (average price $1.09)
0.15 MWarrants (average price $1.40)
nilTotal Debt (31‐Dec‐12)
C$9.5 MTreasury (2)
C$80 MMarket Capitalization
112.2 MShares Outstanding (Fully Diluted)
106.6 MShares Outstanding (Basic)
C$0.59 – 1.39Share Price Range (1)
TSX:ERSymbol / Exchange
EASTMAIN
Summary Market Statistics
Focused on Gold Exploration in Mine‐Friendly James Bay, Québec
Company Overview
EASTMAIN
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Share Performance Comparables
Eastmain has outperformed its Peer Group & Gold Price in 2013Gold Equities and spot price comparison
Note: As of February 1, 2013. Junior Gold Producers and Explorers (incl. Eastmain) have outperformed Gold Price and Intermediate – Senior Producers on a 1 month and YTD comparison.
‐40%
‐30%
‐20%
‐10%
0%
10%
20%
1 2 3 4 5
Gold PriceSenior
Producers
Intermediate Junior
YTD1 Month 3 Months 6 Months 12 Months
Explorers Eastmain
EASTMAIN
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Resource Assets
Resource Summary
(1) 2012 Resource estimate includes drilling up to the end of 2011 and was completed by P&E Mining Consultants.(2) Underground grade based on a 2.5 g/t cut‐off grade; Open pit grade using a 0.5 g/t cut‐off grade.(3) The Eastmain Mine Historical Resources may not be NI 43‐101 compliant. A Qualified Person has not done sufficient work to classify them as current mineral resources. The issuer is not
treating these historical resources as current mineral resources and these resources should not be relied upon.
100% Ownership of Two high‐grade Gold Deposits in Québec
449,0005.122,728Measured
255,7509.95800Measured & Indicated
Eastmain Mine (3)
1,148,0005.486,513Total Inferred
780,0004.914,938Total Measured & Indicated
935,0007.204,035Inferred
145,0006.37706Measured & Indicated
Eau Claire – Underground (2)
213,0002.682,478Inferred
635,0004.674,228Measured & Indicated
Eau Claire ‐ Open Pit (1)
(oz, uncapped)(g/t)(000’s)
In Situ GoldAu GradeTonnes
EASTMAIN
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Highlights
Goldcorp increased share ownership of ER to 9.9% (Dec. 2012)
Analyst Coverage (4): Target Price $2.00 to $2.50
Eastmain Mine – Royalty free after 250,000 oz production
Clearwater Project (Eau Claire) – Royalty free!!
New high‐grade zones found from 2012 drilling
High‐grade Open Pit resource at 4.7 g/t Au (75% M&I)
‐ 20.0 40.0 60.0 80.0
10
9
8
7
6
5
4
3
2
1
GOLD DEPOSITS
> 3 - 5 M OZ
> 10 M OZ
> 0.3 - 3 M OZ< 0.3 M OZ
> 5 - 10 M OZ
500 km
Gold Mining Camps in the Canadian Shield
James Bay, Québec – An emerging Top 10 Mining Camp
CANADA • Over 200 million ounces gold produced from Canadian Shield Greenstone Belts
• Several “Mining Camps” occur within these belts; each defined by one or more Giant deposits (>10 million oz)
• James Bay, Québec, a NEW mining district ranks amongst the top 10 gold camps in the Canadian Shield
• James Bay, Québec is underexplored and climbing in importanceJAMES BAY, QUE
James Bay, Quebec
Geraldton
Timmins
Rainy River
DetourNorandaRed LakeHemloVal d’Or
Kirkland Lake
Past Production + Current Gold Resources (millions oz)
CANADIAN SHIELD
Hemlo
Detour
Val d’Or
RR
KL
GL
CWEM
EL
Abbreviations: CW – Clearwater; EL – Eleonore; EM – Eastmain Mine; GL –Geraldton; KL – Kirkland Lake; RR – Rainy River
EASTMAIN
Gold Mining Camps in the Canadian Shield Overview
Top 10 Canadian Gold Camps
Gold Mining Camps in the Canadian Shield
EASTMAIN
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JAMES BAY REGION
Clearwater Project(Eau Claire Deposit)
Eastmain Mine
Eléonore Project(Roberto Deposit)
(Goldcorp)
50 kms
James Bay, Québec – Project Location Map
Excellent infrastructure – Roads, power, airports, fuel …James Bay – New Mining District QUEBEC
Map AreaDY
RK
LE
LG LH
ES
RH
RD
RD
EastmainProject
ClearwaterEastmain MineDY – DynaES – Eléonore SouthLE – Lac ElmerLG – LidgeLac LessardLH – Lac HudsonRD – RadissonRK – Road KingRS – ReservoirRH – Ruby Hill
RSEastmain
JamesBay
Nemaska
Radisson/LG2
Plan Nord Road Under Construction
StornawayRenard Deposit
Temiscamie
EASTMAIN
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Hydro Quebec – EM1 Principal Barrage (5 kms to Eau Claire)Lowest cost electricity in NA & permanent road access
EASTMAIN
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Hydro Quebec’s – EM1 Camp
Note: Hydro Quebec’s EM‐1 construction camp with the Eastmain River on the left‐hand side; turbine installation is shown at the upper right hand pos ition.
EASTMAIN
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Clearwater Project Overview
Clearwater: Eastmain’s Flagship Project (Contains Eau Claire Gold Deposit)
• 20,067‐hectare land package (200 km2)
• Excellent road access via Hydro Québec’s EM‐1 power facility
• Eau Claire Gold Resource:
‐ 0.78 M oz Measured & Indicated
‐ 1.14 M oz Inferred
‐ Potential to expand OP & UG
• Large deposit footprint ‐ 2 kms long by 200 m wide to 900 m depth & Open
• Mining Camp‐scale gold‐bearing corridor over 5 kms in length
• Regional Target Areas
‐ Natel (NL)
‐ Vanna (VA)
‐ Serendipity (SD)
‐ Knight (KN)
• $5 M Phase 1 Budget – 25,000 m drilling; economic study
Project Overview
Rock Assay DataAu ppb
50,000 to 500,000
10,000 to 50,000
1,000 to 10,000
500 to 1,000100 to 5000 100
JAMES BAY REGION
Clearwater Project(Eau Claire Deposit)
Eau ClaireGold Deposit
Clearwater Project
Project Geology and Location Map
VA
SD
NLEM‐1Barrage
445000
mE
450000
mE
465000
mE
440000
mE
455000
mE
460000
mE
5780000 mN
5790000 mN
5785000 mN
5 km
KN
Note – Regional “drill ready” targets well outside the limits of the Eau Claire gold resource at Natel, Vanna, Serendipity & Knight Prospects. Regional gold‐bearing corridor defined by >5,000 rock samples & >12,000 soil samples. The northern half of the property has limited previous work and represents a future exploration target.
EASTMAIN
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2012 Airborne Magnetic Survey (TFM)
Eau Claire coincides with two major regional structures & a fold hinge
• Magnetic highs (red); Magnetic lows (blue)• Magnetic data highlights both structural breaks & folds (controlling features for gold deposits)• Untested exploration targets evident elsewhere on the property
Eau Claire Gold Deposit 2.5 km
Major gold deposits throughout the world are found near deep‐seated structures
EASTMAIN
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Eau Claire Gold Deposit – Key Horizon
• Eau Claire consists of two sets of parallel gold‐bearing quartz‐tourmaline veins known as the 450 & 850 West Zones
• Gold mineralization occurs as 0.5 to 25 metre‐wide veins & altered rock ranging from 0.5 to 3.5 g/t Au and 0.5 to 4.0 metre‐wide bonanza‐style feeder veins from 10 to >100 g/t Au
• 450 West Zone – consists of an Upper (Veins A to I),Main (P, JQ, R & S Veins) and Lower Group of veins (T to T20); oriented East‐West dipping south at 45o
• 850 West Zone – parallel vein set aligned northeast with a sub‐vertical dip; Veins V4 to V23
• Veins are aligned parallel with two regional structures
Mineralization OverviewEau Claire gold deposit is within a District Scale Gold Belt
Two gold zones – both have Open Pit & Underground resources
Note –Gold discoveries found from trenching and drilling outside the limits of the known gold resource: PC – Pascal Veins, up to 66 g/t Au (north‐south quartz‐tourmaline veins); FV – Valli Veins; BM – Boomerang up to 254 g/t Au; CW15‐ trench 15 up to 20 g/t Au; DH – Discovery drill hole – 500 g/t Au / 2m
450 WestZone
850 WestZone
• Eau Claire occurs at a key geological contact coinciding with a regional F2 fold• >1000 rock samples ranging from 0.5 to 500 g/t Au found along the Key Horizon
Regional Gold Showing
Key HorizonFelsic Volcaniclastic rock
Mafic Volcanic rock
Gold‐bearing Veins
Felsic Porphyry/Tonalite
CW15
DH
FV
PC
BM
EASTMAIN
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2012 TFM Survey & Regional Structures (Plan View)
Eau Claire gold‐bearing veins are aligned parallel to structural breaks
850 West Shear Zone
450 West Shear Zone
450 Vein Set
850 Vein Set
450 & 850 West Zones coincide with junction of major structures & an F2 anticlinal fold.
F2 Fold
EASTMAIN
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V19
JQ
T10
I
RS
HG
FDC
B
P
SFV16
V12
V10
V4
V18
V6
SF
T4
V20
T6
T
Eau Claire Gold Deposit – 2012 Drill Plan (41,065 m completed)
Wide zones of gold mineralization with bonanza‐grade feeder veins
• >100 drill holes completed from 2012 to be added to the resource
• New vein intercepts lateral & north of 450 & 850 West Zones(with visible gold) from 2012 drilling
• Major controlling structures identified parallel to both
450 & 850 West Zones – High‐grade gold vein system
2012 – Highlights
Note – Visible gold and tellurides observed within Quartz‐tourmaline veins in >350 drill intervals. RC Trench –Soccer Field discovery. T10 Vein – 150 m long, 0.5 to 22.0 m wide, traced to >200 m vertical depth; OPEN laterally & to depth. Visible gold in holes 353, 361, 367, 374, 375, 386, 387, 388, 389, 390, 391, 395, 399, 402, 404, 406, 407, 408, 410, 411, 412, 421, 422, 424, 426, 427, 430, 432, 435, 444, 446, 450, 453 & 454.
• New Domains with wide zones of gold mineralization & bonanza‐grade feeder veins
• 357 2.23 g/t Au / 16.5 m• 358 5.90 g/t Au / 6.0 m• 369 12.3 g/t Au / 5.0 m• 375 38.4 g/t Au / 2.0 m• 388 12.6 g/t Au / 2.5 m• 391 10.1 g/t Au / 3.0 m• 395 2.49 g/t Au / 18.0 m• 406 67.5 g/t Au / 2.5 m• 411 41.6 g/t Au / 2.0 m• 412 17.7 g/t Au / 6.5 m• 442 4.83 g/t Au / 7.5 m• 450 4.36 g/t Au / 11.0 m• 456 10.98 g/t Au / 11.0 m
Eau Claire Deposit
0 mW
1000
mW
391
411& 412
High‐gradeGold Zones
10 to >100 g/t Au
456
388
442
450
369
450 WestZone850 West
Zone
Felsic Volcaniclastic rock
Mafic Volcanic rock
2012 Drill Hole
Hole with Visible GoldFelsic Porphyry/Tonalite
Gold‐bearing Veins
406
450
EASTMAIN
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Eau Claire Gold Deposit – 3D Model Looking Down
3D Plan View – 0.5 g/t Au grade shell of Eau Claire Surface plan of Eau Claire Gold Deposit – 1.8 km long by 300 m wide traced to 900 m depth
• 3D modeling of Eau Claire illustrates a large crescent‐shaped body with a “hinge” forming between the 450 & 850 West Zones• The gold‐bearing vein system changes direction from the 450 West Zone (E‐W, dipping S) to the 850 West Zone (NE‐SW, subvertical dip).• Bonanza‐style feeder veins have been intersected within both 450 & 850 West Zones
850 West Zone 450 West Zone
OPEN
OPENOPEN
ER12‐450ER12‐411412
ER12‐369
2012 High‐grade gold zone (10 to >100 g/t Au)
2011/2012 gold intercept OPEN
ER12‐388
ER12‐456
ER12‐406
EASTMAIN
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Eau Claire Gold Deposit – Looking East
3D Cross Section View – 0.5 g/t Au grade shell of Eau Claire
Note: 3D cross‐sectional view looking east. Yellow spheres represent gold intersections from 2011 and 2012 drilling. Red stars represent recent drill intercepts with abundant VG.
ER12‐388
0 m RL
+300 m RL
‐500 m RL
2012 High‐grade Gold Zone (10 to >100 g/t Au)
T16
V19
2011/2012 gold intersection
V10ER12‐411
T10
16.4 g/t Au over 13.5 m
391 –3.09 g/t Au over 13.5 m
411 – 3.63 g/t Au over 23.5 m
412 – 17.7 g/t Au over 6 m
369 –12.5 g/t Au over 5 m
>900 metre length Down dip
OPEN
EASTMAIN
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Eau Claire Gold Deposit – Looking North
3D Longitudinal View – 0.5 g/t Au grade shell of Eau Claire Significant resource expansion & New Targets at the 450 & 850 West Zones
Surface850 West Zone
2011/2012 GoldIntersection
BoomerangTarget
0.5 g/t Au Grade Shell
OPEN
OPEN
OPEN
450 West Zone
• 2012 Resource Expansion ‐ >100 drill holes exceed the resource cut‐off parameters• High priority resource targets lateral, north and below both of the 450 & 850 West Zones• Regional Resource targets occur along the same structural trend as Eau Claire – such as Boomerang
ER12‐411
OPEN
Targets
‐200 m EL
445500 E
‐500 m EL
444500 E
445000 E
444000 E
‐1000 m EL
EASTMAIN
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Eau Claire Gold Deposit – Longsection Looking North
3D Leapfrog view of gold‐bearing drill intersections >0.5 g/t AuLongitudinal view of Eau Claire Gold Deposit – 450 & 850 Zones – Recent expansion
• Drilling over the past 24 months has DOUBLED the size of the gold deposit near surface• ER12‐412 – 17.7 g/t Au/6.5 m; ER12‐456 – 10.98 g/t Au /11.0 m (incl. 14.9 g/t Au / 7.5 m)
2011/2012 gold intercept
Pre 2011 gold intercept
450 West Zone850 West Zone
0 m RL
OPEN
OPEN
‐200 m EL
1 kmER12‐456
ER12‐412
EASTMAIN
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World Gold Deposits Overview
Eau Claire – 1 of 18 gold deposits in North America >1.0 M ounces & >3 g/tCanadian gold deposits rank 2nd worldwide by Grade
Drill results + Resource growth + DiscoveryEau Claire Catalysts
>75% of all gold deposits worldwideEau Claire Grade
1.06 g/t – average grade (producing deposits)World Average Grade
80 deposits in Canada >1 M oz (1st worldwide)World ranking
189 producing; 250 non‐producingStatus
439 gold deposits worldwide >1 MozDeposits >1M ounces(1)
Criteria Comparison to World Gold Projects (+1 Moz )
Note 1 Source: Visual Capitalist The Gold Series
EASTMAIN
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Feasibility31%
Reserves Dev.67%
154
311
453
1,502
2,698
3,556
6,428
8,583
18
49
3.0Moz ‐ 5.0Moz6%
1.0Moz ‐ 1.5Moz33%
1.5Moz ‐ 3.0Moz38%
5.0Moz ‐ 10.0Moz17%
>10.0Moz6% Feasib i l i ty
11%
Res erves De v.67% Canada
78%
Unite d State s22%
1.0Moz ‐ 1.5Moz29%
1.5Moz ‐ 3.0Moz39%
3.0Moz ‐ 5.0Moz12%
5.0Moz ‐ 10.0Moz14%
>10.0Moz6%
Uni ted States37%
Canada63%
Feas ibili ty15%
Reserve s Development
85%
AFR20%
ASI5%
EUR5%
FSU7%
LAT18%
NOA32%
PAC5%
AUS8%
1.0Moz ‐ 1.5Moz27%
1.5Mo z ‐ 3.0Mo z40%
3.0Mo z ‐ 5.0Moz17%
5.0Moz ‐ 10.0Mo z
8%
>10.0Mo z8%
8 sites
41Project is in North America
124Project is not in
Production / Pre‐Production
17
Resource is > 1.5Moz Au
Grade is > 3g/t Au
166Grade is > 1g/t Au
210Resource is > 1Moz Au
353Owner’s Market Capital ization is
>US$50M
1,310Owner is Publicly Traded
2,817Project is Active
4,307Primary
Commodity is Gold
5,391Project Containing Gold
# of Projects# of
Companies
Resource Size Stage Geography(1)
Breakdown of Global Gold Projects (+1Moz and +1g/t)
Breakdown of North American Gold Projects (+1Moz and +1g/t)
44 sites20 sites
106 sites24 sites
48 sites
8 sites31 sites
7 sites
12 sites
8 sites
11 sites
49 sites
27 sites
14 sites
3 sites
7 sites
6 sites
19 sites
7 sites
42 sites31 sites
18 sites
58 sites
Screening Criteria
Resource Size Stage Geography
2
1
Overview of Competitive Landscape – Global Gold Projects
3
Breakdown of North American Gold Projects with (+1.0Moz and +3g/t)
7 sites
3 sites
1 sites
6 sites
2 sites
16 sites
14 sites
4 sites
Resource Size Stage Geography
3
Source: Metals Economics Group(1) PAC = Pacific, AFR = Africa, ASI = Asia, AUS = Australia, EUR = Europe, FSU = First Soviet Union, LAT = Latin America, NOA =North America
1
2
3
1 sites
Breakdown of North American Gold Projects (+1Moz and +1g/t)
18
154
49
EASTMAIN
23
‐
1.0
2.0
3.0
4.0
5.0
6.0
0 2 4 6 8 10
Gold Resource (Mil lions oz)
Gold Grade
(g/t)
$‐
$50
$100
$150
$200
$250
$300
$350
$400
Rubicon
ATAC
Patagonia
Prem
ier
Torex
McEwen
Que
enston
Trelaw
ney
Belo Sun
Average
Sullide
n
Oromin
Luna
Gold
Rainy River
Midas Gold
Goldgroup
Prodigy
Entrée
Gold
Eastmain
Maudo
re
Midway Gold
Gold Canyon
Sunw
ard
Prob
e
Eco Oro
Chesapeake
Lachlan Star
Mega Precious
Sand
spring
Andina
Advanced Exploration Gold Companies ‐ Comparables
Eastmain’s High‐Grade Assets Provide Opportunity Relative to Peer Group
Peer Group EV Average: $80/oz
(1) Based on non‐diluted shares outstanding, calculated using the treasury stock method(2) EV=market cap + net debt (including convertible debt and preferred) + minority investment – equity investments(3) In‐Situ ounces include only gold ounces (metal by‐products have been excluded)(4) Eastmain’s resources include: Eau Claire – 11.3 M tonnes at 5.08 g/t Au capped containing 1.8 Million Ounces or 5.24 g/t uncapped, containing 1.9 Million Ounces. By‐products
have not been included.
(4)
EV(1)(2) / In‐Situ Inventory(3)
Average
Eau ClaireGrade vs Deposit Size (& Enterprise Value)
QMI
PG EV/OZ = $150
LEGEND
EV/OZ = $250
EV/OZ = $25
• Eastmain’s EV/oz doesnot include 2012 drillingor the Eastmain Mine historical resources
• Eau Claire has one of the highest deposit gradesRecent M&ATransaction
MAO
PDG
Projects >4 g/t Au
Enterprise Va
lue pe
r oun
ce of G
old
TRR
EASTMAIN
24
Research Coverage
Analyst research coverage provided by four Brokerage firms
$2.00Brian Szeto416 342-9918
Stonecap Securities
$2.40Eric Lemieux819 472-8037Laurentian Bank Securities
$2.50Eric Winmill416 628-3772
Casimir Capital
$2.00Michael Gray604 639-6372
Macquarie Equities Research
$7.5 M Exploration program – 30,000 m drilling Block Model Resource UpdateEconomic evaluation (Future PEA)
Investment Catalysts
Target PriceAnalystBrokerage
Speculative Buy Recommendations ranging from $2.00 to $2.50
EASTMAIN
25
2013 Exploration Program
Building for tomorrow – today!!
• >30,000 metres of drilling planned on Quebec exploration projects
• Substantial resource growth potential of high margin ounces near infrastructure
• $500K budget for target generation on “other Quebec projects”
• 2,500 m drilling
• 1,500 (2) m drilling
• 2,500 m drilling
• 25,000 m drilling Work Planned
• $0.80 M • $1.0M (1)• $0.80 M• $5.0M2013 ExplorationBudget
• Drilling on C-52 Cu-Au-Ag Zone
• Exploration and drilling on JT Zone & regional targets
• Test A, B & C Zones & mine horizon
• Expand resources
• Define project economics
Objectives
ReservoirEléonore South Eastmain MineClearwaterProject
(1) Budget assumes equal funding from Eastmain and Goldcorp. (2) Actual program to be determined by the joint venture management committee.
Phase One $7.5 Million exploration budget for 2013
2013 Drill Program Summary
EASTMAIN
26
Reasons to own Eastmain
• High Grade
• 1 of 7 gold projects in NA (1.0 to3.0 Moz + >3 g/t)
• Royalty Free
• Well funded
• Excellent infrastructure
• Top Mining Jurisdiction
• Provincial financial incentives (50%)
• $7.5 M Exploration Budget
• Evidence for long‐life, low cost, highly
profitable gold deposit
One of the Highest‐Grade Undeveloped Gold Projects in Canada
>100 grains of visible gold
ER09‐190 348 g/t Au (10.2 oz/ton) at 101 m
EASTMAIN
27
Appendix
Management Profiles
Clearwater Metallurgy, Mineralization & Grade Sensitivities
Eastmain Mine Summary, Infrastructure & Leapfrog model
Eleonore South JV Summary
District Location & Logistics
Contact Information
EASTMAIN
28
Management, Directors & Advisory Board
Management Team With a Track Record of Exploration Success
Management
Advisory Board
Donald J. Robinson, Ph.D., P.GeoPresident, CEO & Director since 199430 years experience with base & precious metal depositQualified Person (APGO & OGQ)
Catherine I. Butella, B.Sc.Exploration Manager30 years exploration experience in Canada & AustraliaPDAC “Prospector of the Year” Nominee
James L. Bezeau, BBA, CMAChief Financial Officer30 years of financial, accounting & managerial experiencePrevious Mining Industry ‐ Iron Ore Company of Canada
Jay Goldman, BA, MBA, LLBCorporate Secretary>20 years experience in the Canadian Mining IndustryCassels Brock & Blackwell ‐ Partner
Chad StewardManager Corporate Communications35 years experience in marketing & communications
William L. KoyleLead Director, Audit Committee Chair>30 years experience with publically held exploration companiesJohn A. Hansuld, Ph.D.Director since 1985>45 years Mining Executive in global explorationPDAC – Mining Man & Developer of the Year; CMHF David K. Joyce,Director30+ years Mining Industry experienceIan J. Bryans, BADirector, Compensation Committee Chair30 years experience in strategic marketing
Directors
Richard W. Hutchinson, Ph.D. , Professor EmeritusLeading authority in Ore Deposits Geology, CMHFNeil Hillhouse, Ph.D.,50 years experience; credited with numerous discoveriesDr. Ted Moses, former Cree Grand ChiefOfficer of the Order of Quebec; Clearwater Project ‐ Tallyman
CMHF – Canadian Mining Hall of Fame member
EASTMAIN
29
Eau Claire Deposit – Metallurgy
Metallurgical testing demonstrates high gold recoveries
VGVG
1 cm
2,540 g/t Au (74.17 oz/ton; incl. 24.6 g/t Au over 55.6m) 92.7 g/t Au over 3m (2.71 oz/ton; incl. 8.5 g/t Au /36.7m)
• Eau Claire Deposit contains high‐grade vein & bulk tonnage style mineralization
• Veins contain Visible gold occurring as fine particles ‐ well suited for a gravity circuit
• Low Bond Work Index (10.2 to 11.1, material is soft in ball mill grindability terms)
• Metallurgical tests indicate high‐gravity + flotation recoveries (+92‐97%), conventional circuit up to 98.5%
Abbreviations: VG – visible gold; Metallurgical test work was completed by SGS Minerals Lakefield Research.
S‐Vein (Hole 98 – 65 m depth) P‐Vein (450 West Zone Surface Exposure)
EASTMAIN
30
7.79 g/t Gold across 10.5 m, incl. 24.9 g/t Au & 26.7 g/t Te across 2.5 m
850 West Zone – Drill Hole 303 (Vein 12)
Note – Drill hole 303 intersected 10.5 m at 7.79 g/t Au (V12) including 24.9 g/t Au over 2.5m. Photos illustrate a central laminated quartz‐tourmaline vein (A) bounded on both sides by a tourmaline‐rich replacement zone (B) along the rock foliation. VG – visible gold.
AB B
VG
VGVG
EASTMAIN
31
Eau Claire Deposit – Cut‐off Grade Sensitivities
772,000 2.3610,1060.5695,000 3.166,8311.0526,000 5.672,8832.0394,000 10.51,1703.0325,000 18.25564.0
Inferred
1,470,000 5.218,7770.51,434,000 6.187,2131.01,365,000 7.375,7602.01,295,000 8.214,9073.01,243,000 8.724,4304.0
Measured & Indicated
521,000 4.963,2630.5502,000 6.362,4541.0463,000 8.741,6472.0435,000 10.41,3073.0404,000 12.31,0214.0
Measured
(oz, uncapped)(g/t)(000’s)Grade (g/t)
In Situ GoldAu GradeTonnesCut‐OffEau Claire Deposit
Eau Claire ‐ 1.24 to 1.47M ounces M&I plus 0.32 to 0.77 M oz IF
Notes: Close‐spaced (12.5m) large diameter drilling (HQ) at the 450 West Zone has outlined high grade Measured Resources at 12.3 g/t Au (0.36 ounce per ton) using a 4.0 g/t Au cut‐off grade.
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• 12,590‐hectare land package‐ Less than 10% has been explored
• Québec’s Plan Nord will provide permanent road access
• Au‐Ag‐Cu‐rich deposit‐ Three known Zones (“A”, “B” & “C”)
• Historical M&I resource of 255,750 ounces gold (1M tonnes at 9.95 g/t Au)(1)
• Main mineral trend >10 km long
• Geological similarities to the Contact Ore at Detour Gold deposit, Ontario
• Previous drill intercepts from A & B Zone include Bonanza gold grades and thicknesses: 53.3 g/t Au across 13.2 m
• Deposit is open at depth
‐ Numerous gold occurrences detected for kilometres along “Mine Trend”
• 2013 ‐ $800K Exploration Budget
Eastmain Mine – Project Overview
Eastmain’s Second High‐Grade Growth Prospect
JAMES BAY REGIONEastmain Mine
U ltramafic V olc anic Flows
Py roxeni te/Gabbro
Mafic (Pillowed) Flow s
Mafic Flows
Felsic V olc anic R ock s
Diorit e/ Tonal ite/Porphy ryAu-A g-Cu DepositSurf ac e Projec tion
Rock Ass ay Data Au ppb
1 ,000 to 1, 000,0 00
500 to 1,0 00
250 to 5 00
50 to 2 50
1 to 50
Eastmain Mine
(1) The Eastmain Mine Historical Resources are not NI43‐101 compliant. A Qualified Person has not done sufficient work to classify them as current mineral resources. The issuer is not treating these historical resources as current mineral resources and these resources should not be relied upon.
Project Geology and Location Map Project Overview
Temiscamie
CW
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• Existing mine site infrastructure includes:
‐ Ramp & U/G access to the A & B Zones; ~100,000 tonnes mined in 1994‐95
‐ Airstrip, fuel farm, 100 person mine camp, tailings pond, mining lease
• Winter road access soon to become permanent all weather roadwith Québec’s “Plan Nord”
Eastmain Mine – Existing Infrastructure at Mine Site
$40 M Invested by Previous Owners on Exploration & Development
Mine Site InfrastructureEastmain Mine buildings and UG ramp (foreground)Aerial view of Mine buildings & tailings pond (foreground)
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Eastmain Mine – 3D Leapfrog Model (Looking Southwest)
3D Longitudinal View – A, B & C Zones (1.8 km long to 500 m depth)
Surface
Very High Grade Intercept: > 100 gram metres (grams x metres) gold
Drill collar
Historical Drill Intercept
B Zone A ZoneC Zone
2010 ‐ 2011 Drill Hole
High‐grade Gold deposit – significant resource expansion potential; $800K Exploration Program
Open
Target
‐ 500 m EL
Target
Open
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Eléonore South JV – Project Overview
Eastmain – Goldcorp – Azimut Joint Venture contiguous with Mine Property
JAMES BAY REGIONEléonore
Au Development Project(Goldcorp)
Eléonore South JV(JT Discovery)
50 kms
N
JT Gold Zone
ÉléonoreSouth JV
98th
95th
80th
70th
Percentile
Éléonore AreaGeology &
GeochemistryAu‐As‐Sb Soil
2.5 km
Goldcorp’s Roberto
Gold Deposit
Pegmatite
ParagneissParagneiss& Pegmatite& Pegmatite
Conglomerate
DioriteDiorite
ParagneissParagneiss
Wacke
MaficVolcanics
FelsicVolcanics
Éléonore Project
12 kms
• Joint Venture project between Eastmain (36.8%), Goldcorp (36.8%) and Azimut (26.4%)
• Eastmain is JV operator
• Early‐stage gold‐discovery (JT Zone)
• Close proximity and similar geology to Goldcorp’s Eléonore Project
‐ Eléonore is one of the most significant discoveries in the Canadian Shield
‐ Forecasted to produce 600,000 oz/ gold/year at cash cost $400/oz
• JT Gold Zone is a kilometric‐size goldanomaly in same rock formation as Roberto‐ Enveloped by “hydrothermally”
altered rock, thought to be caused by gold‐bearing fluids
• Goldcorp is the largest single shareholder of Eastmain (9.9%)
• Business relationship established with Goldcorp since 2003
• Recommended Budget $1M
Project Geology and Location Map Project Overview
Au‐As‐Sb SoilGeochemical Anomaly
Key Mine rock formation (Sedimentary‐hosted)
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Adding Value Through Discovery
Tel: 519‐940‐4870Fax: 519‐940‐[email protected]
36 Toronto Street Suite 1000Toronto, OntarioCanada, M5C 2C5
EASTMAINEASTMAIN
Contact Information