GCG Presentation - September 2016

2 JSCGeorgianCopperandGold| Presentation| September2016

AnAssetwithWorldClassPotential

Threedevelopmenttargetsidentified

FurtherVMSandporphyrydepositsbelievedtoexist

Sovietdrilldefinedresource

17targetsidentifiedacross851sq km

50%ownershipandmanagementcontrolofBolnisiCopper-GoldProject,whichbenefitsfrommajorresources,operationalinfrastructure&cashflowopportunities


BenefitsofaStrongLocalPartner

Existinginfrastructureinplaceincludingmill,heapleachoperations,tailings,coreshed,labandsurfaceequipment

Noricum’sstrongandsupportivelocalpartnerwhichownsmajoroperatinggold&copperminesneighbouringBolnisi,willbenefittheCompanybymakingmining:

LOW OPEX /CAP EX

RAP ID

HeapLeachOperation Sampleprepandlabfacilities

Loadingfacilitiesatprocessingplant

FlotationCircuit


MultipleRegionalDiscoveries

Murgul

[email protected]%Cu

CeratTepe

(Sulphides)4Mt@5%Cu,1.0g/tAu&28g/tAg(Oxides)[email protected]/tAu&148g/tAg

HotMadden2015Discovery

[email protected]%Cu&9.0g/tAu

Madneuli VMSCamp

(Sulphide)[email protected]%Cu,0.80g/tAu&4.13g/tAg

(Oxide)[email protected]/tAu&9.15g/tAg

Teghut

[email protected]%Cu&0.02%Mo

BolnisiDistrict

282Mtatanaveragegradeof0.5%Cu&1g/tAu(4.3g/tAg)

TURKEY

ARMENIA

GEORGIA

GartaPorphyry

[email protected]%,[email protected]/t&[email protected]/t

Kadjaran(Zangezur)

[email protected]%Cu&0.006%Mo

Theunder-exploredBolnisiVMSdistrictformspartofthelargerTethyanBeltregionaltrendthatincludeswell-knownminesandresources


KvemoBolnisi

Secondaryquartzitegoldmineralisationoccursatsurfacedowntoapprox.10m– nostrippingrequired

High-gradecoppermineralisationclosetosurface;thatmaybepossibletoprocessvialeachingatlowcostsubjecttometallurgicaltestwork

Explorationtarget- [email protected]%Cuand1.00%Cuand0.1to1g/tAuforcoppersulphidemineralisationand0.5to5g/tAuforoxidegoldresources

Resourceonlypartiallydelineatedanddepthorstrikeextensiontestinghasnotbeencompleted

AreabetweenEastandWestKvemo Bolnisihasneverbeenexploredusingmodernexploration techniques

DrillingunderwayKvemoBolnisi


KvemoBolnisi


KvemoBolnisiSWCopperZone


KvemoBolnisi– DrillingResults

Crosssectionsillustratingmajorintercepts


Tsitel Sopeli


Tsitel Sopeli

Historic drilling highlights:

• TSPDH003 – From surface, 8m@ 0.49 g/t Au, 7.11% Cu

• TSPDH003 – From surface, 4.6m@ 6.41 g/t Au, 0.43% Cu

Drillcoreshowinghighgradecoppermineralisation

Closeproximitytothemillandsimilarmineralisation styletoMadneuli Mine,ownedbylocalpartner

Highgradesconfirmedthrough2015drilling- [email protected]/tAu,2.39%Cuand2.97%Znallfromsurface

Extensivehistoricdrilling– 361holesdrilledtodate

Resourceonlypartiallydelineated–depthandstrikeextensiontestinghasnotbeencompleted

Metallurgicaltestworkalreadypartially completed


Tsitel Sopeli – IPSurvey


Growth

§ Improved Evaluation - Modern exploration techniques notapplied to much of the Bolnisi region

§ Data Re-interpretation- 70 years of data containsinformation that has never been used to its full potential.Historic Soviet led exploration failed to follow up obvioustargets

§ Geophysics - An Induced Polarisation survey will beundertaken in Q2 2016 to assess extensions both alongstrike and at depth

§ New Geological Model - Continue to develop the Bolnisigeological model built around calderas and regionallineaments focusing mineralisation.

§ Scope for VMS discoveries around loci of other regionalstructures. Potential for discovery of high-grade gold brecciabodies

§ Additional Targets - Intersection of NW oriented gravimetricanomalies and NNE-SSW deep-seated basement structuressimilar to the Ceratepe model (4Mt @ 5% Cu, 1.0g/t Au &28g/t Ag) and could contain very significant mineralisation

ConvertresourcestoJORCstandards

Expandexistingresource

Defineapathtowardslarge-scale

mining

Fullyfundedtodeliveradditionalexplorationactivitiesacrossthebroaderlicenceareainorderto:


Georgia

Population: 4.5 million

Literacy rate: 99.7%

Unemployment rate: 14.3%

GDP: $27.6bn

GDP per capita: US$6,145

Growth: 3.2%

Growth (5 year): 3.7%

Inflation: 0.5%

“AnexampleofaformerSovietstatethatemergedtoconductdemocraticandpeacefulgovernmenttransitionstopower”


Georgia– LowCountryRisk

• Tbilisi – hosts of the 2015 European Youth Olympics

• Georgia to host World Rugby U20 Championships in 2017

• UEFA Super Cup Final 2015 held in Tbilisi

GeorgiaontheWorldStage

• BP has been operating successfully in Georgia since 1996

• Intercontinental, Starwood, Hilton, all constructing newhotels in Tbilisi, joining the likes of Sheraton, Radisson &Marriot

• All major accounting and law firms have offices in Georgia– Big 4 Accounting, DLA Piper, Dechert etc

• Highly strategic location serving as an entry gate to theCaucasus and Central Asia

Georgia:InternationalBusinessDestination

• Georgia hosts 2015 EBRD Annual Meeting - €2.3 billioninvested by the EBRD to date

• Georgia – EU co-operation (Association Agreements withthe EU)

• Georgia is a priority country within the EuropeanNeighborhood Policy and the Eastern Partnership

• NATO-Georgia Commission

• Georgia is a member of the World Trade Organisation

Georgia:EuropeanPartnerships

GCG Presentation - September 2016

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Transcript of GCG Presentation - September 2016