BANKS ISLAND GOLD LTD - TSX-V:BOZ
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FORWARD LOOKING STATEMENTS This presentation includes certain “forward-looking statements” such as estimates and statements that describe Banks Island Gold’s property, future plans, objectives or goals. All statements in this presentation, other than statements of historical facts, that address future production, reserve potential, exploration and development activities and events or developments that the Company expects, are forward-looking statements. Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause actual results, performance or developments to differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include , but are not limited to, market prices, environmental conditions, judicial, regulatory and political developments, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. CAUTION The Company cautions that mineral resources that are not mineral reserves do not have demonstrated economic viability. Banks Island Gold Ltd. has not established mineral reserves supported by a NI43-101 compliant technical report and feasibility study. The Company cautions readers that production may not be economically feasible. Mr. Benjamin Mossman P.Eng, CEO of Banks Island Gold is the qualified person who reviewed and approved the contents of this presentation. 2
DIRECTORS Benjamin Mossman, P.Eng President, Director and Chief Executive Officer Mr. Mossman is an accomplished leader and highly skilled engineer. Benjamin has diverse experience in underground mining having worked at eight underground producing mines with production rates ranging from 250tpd to 3,000tpd. Wolfgang Nickel, P.Eng Chairman of the Board of Directors Mr. Nickel is recently retired from a distinguished career with Teck Resources Ltd. Wolf was President and General Manager of Highland Valley Copper, Canada's largest open pit copper mine, from 2001 to 2009. BOZ SHARE STRUCTURE Frederick Sveinson, P.Eng Shares Issued & Outstanding 44,983,000 Director Mr. Sveinson has extensive experience in exploration, Options (average price $0.47) 3,430,000 development, construction, operation, and financing Warrants (average price $0.93) 11,633,000 of mineral projects in Canada and internationally. Fully Diluted 60,046,000 Jason Nickel, P.Eng Officers & Directors 7.7M shares 17% Director Mr. Nickel is an experienced leader, entrepreneur, Imperial Metals Corporation (TSX:III) 1.8M shares 4% and mining engineer with diverse experience in producing underground and open pit mines. Recent Share Price $0.47 Recent Market Capitalization $21M Saurabh Handa, C.A. Director Working Capital *$3.0M Mr. Handa is a Chartered Accountant, certified by the *Includes $3M Advance Concentrate Payment Institute of Chartered Accountants of British Columbia. Saurabh is currently the CFO for Yellowhead Mining Inc. 3
BANKS ISLAND GOLD is a mine development company TARGETING GOLD PRODUCTION AT MINES That are Modern ● Productive ● Efficient USING High Level Engineering + Staged Development TO ACHIEVE Higher Returns ● Lower Risk ● Accelerated Production The Company cautions that mineral resources that are not mineral reserves do not have demonstrated economic viability. Banks Island Gold Ltd. has not established mineral reserves supported by a NI43-101 compliant technical 4 report and feasibility study. The Company cautions readers that production may not be economically feasible.
GOLD PRODUCER – 2014 TARGET 28,000oz Au CAPACITY PROCESSING PLANT WITH EXPANDABILITY COMPANY MINING & DIAMOND DRILLING CREWS TALENTED & MOTIVATED TEAMS GROWTH HI-GRADE YELLOW GIANT WITH EXCEPTIONAL EXPLORATION POTENTIAL LOCATION ON TIDEWATER REGIONAL FOCUS USING CENTRAL BASE OF OPERATIONS MINERAL RESOURCES Measured Indicated Inferred Au Grade Ag Grade Au Grade Ag Grade Au Grade Ag Grade Tonnes (gpt) (gpt) Tonnes (gpt) (gpt) Tonnes (gpt) (gpt) YELLOW 31,000 23.4 44 47,000 22.7 43 81,000 13.7 28 GIANT TOTAL MEASURED & INDICATED = 57,600oz Au TOTAL INFERRED = 35,700oz Au YELLOW GIANT mineral resource stated at a 6gpt Au Cutoff grade. Grades capped at 98th percentile Current NI43-101 Complaint Resource for Yellow Giant calculated in February 1 2013 for Banks Island Gold Ltd by R. Baldwin P.Eng For details on the data verification and the key assumptions, parameters and methods used to calculate the mineral resource estimate, please see the Yellow Giant Technical Report, a copy of which was filed on SEDAR on February 6, 2013 and is available at www.sedar.com The Company cautions that mineral resources that are not mineral reserves do not have demonstrated economic viability. Banks Island Gold Ltd. has not established mineral reserves supported by a NI43-101 technical report 6 and feasibility study. The Company cautions readers that production may not be economically feasible.
YELLOW GIANT HIGH GRADE GOLD UNDERGROUND MINING GOLD/SULPHIDE CONCENTRATE AGGRESSIVE EXPLORATION DISCOVER NEW MINERALIZATION EXPANSION OF CURRENT RESOURCE BOB ZONE 1ST LEVEL The Company cautions that mineral resources that are not mineral reserves do not have demonstrated economic viability. Banks Island Gold Ltd. has not established mineral reserves supported by a NI43-101 compliant technical 7 report and feasibility study. The Company cautions readers that production may not be economically feasible.
OFF-TAKE AGREEMENT • Off-take agreement for sale of Gold-Sulphide Concentrates from Yellow Giant Project with Metallica Commodities Corp. • Offtake agreement includes advance payments of $6,000,000 in 2013. • $3,000,000 of advance payments drawn to date. • Unsecured debt - Interest Rate of 8.5% per annum. • Repayment of advances from payments of 25% of invoice value from concentrate purchases. • Term is for the existing mineral resources at Yellow Giant. 8
*Full details on exploration results are available on the Company's website and in the “Technical Report on Banks Island Mineral Property” dated Feb 1st 2013” which is located on www.sedar.com YELLOW GIANT FIRST ROUND AT BOB ZONE) GOLD PROJECT GOLD PRODUCER YELLOW GIANT GOLD PROJECT 9
YELLOW GIANT EXPLORATION POTENTIAL MINERAL RESOURCES ON 4 ZONES BOB ● TEL ● KIM ● DISCO KNOWN ZONES DRILLED TO ONLY 150m BELOW SURFACE ALL FOUR ZONES OPEN TO DEPTH AND ON STRIKE COMPANY OWNED DIAMOND DRILL & CREW 12 ADDITIONAL GOLD SHOWINGS WITH LIMITED OR NO DRILLING OVER A 10km TREND OF GOLD MINERALIZATION 10
YELLOW GIANT 10km Trend of Gold Mineralization 11
BANKS ISLAND BRITISH COLUMBIA COMMERCIAL PRODUCTION (2014) YELLOW GIANT GOLD PROJECT 12
YELLOW GIANT COMMERCIAL PRODUCTION (2014) MINIMIZE CAPEX ● ACCELERATE TIMELINE ● MAXIMIZE PRODUCTIVITY TARGETING PRODUCTION OF 28,000oz Au /Year PRODUCING A Gold Sulphide Concentrate DENSE MEDIA SEPARATION & FLOTATION ADVANTAGES: Rejection of 50% Mass at a Coarse Crush Allows Use of Mechanized Mining All Tailings Impounded Underground The Company cautions that mineral resources that are not mineral reserves do not have demonstrated economic viability. Banks Island Gold Ltd. has not established mineral reserves supported by a NI43-101 compliant technical 13 report and feasibility study. The Company cautions readers that production may not be economically feasible.
PROCESS FLOWSHEET ConsuMet Ltd. Mineral Proc es s Cons ulting 14
DENSE MEDIA SEPARATION PLANT YELLOW GIANT GOLD PROJECT 15
MOBILE FLOATATION PLANT 16
TEL ZONE MINE PLAN 3D ISOMETRIC 17
YELLOW GIANT TEL SITE END OF PRESENTATION WWW.BANKSISLANDGOLD.COM Mr. Benjamin Mossman P.Eng, CEO of Banks Island Gold is the qualified person who reviewed and approved the contents of this 18 presentation.
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