The Detour/Sunday Lake Trend

Transcription

1 The Detour/Sunday Lake Trend Marginal No Longer AEMQ Oct 7, 2015

2 This presentation is prepared by Balmoral Resources Ltd. ( Balmoral or BAR ) management and BAR is solely responsible for content and format. Darin W. Wagner, P.Geo is a non-independent Qualified Person and has compiled this presentation from publicly available industry information, NI compliant technical reports and new releases with specific underlying Qualified Persons as set out in the releases and reports. Industry Information has been compiled from publicly available sources and may not be complete, up to date or reliable. Forward looking statements may differ materially from actual events. Please see complete information on Sedar ( This presentation is for information purposes only and is not a solicitation. Please consult the Company for complete information and a Registered Investment Representative prior to making any investment decisions. This presentation reports on the technical details of the company s projects up to September 30, 2015 and provides a guide to the company s potential future activities and use of funds. There can be no assurance that the company objectives will be achieved. Inferred Resources may be reported. The US Securities and Exchange Commission does not recognize the reporting of Inferred Resources. These resources are reported under Canadian National Instrument and have a great amount of uncertainty and risk as to their existence and economic and legal feasibility. It cannot be assumed that all or any part of Inferred Resources will ever be upgraded to a higher category. Under Canadian Rules estimates of Inferred Mineral Resources may not form the sole basis of feasibility studies or pre-feasibility studies. INVESTORS ARE CAUTIONED NOT TO ASSUME THAT PART OR ALL OF AN INFERRED RESOURCE EXISTS, OR ARE ECONOMICALLY OR LEGALLY MINEABLE. This presentation may also refers to historic geological resources identified by an asterik * in the text these resources are historic in nature and pre-date the implementation of Canadian National Instrument Neither the Canadian nor the US Securities and Exchange Commission recognize the reporting of historic resources they are considered conceptual in nature. It cannot be assumed that all or any part of geological resources will ever be upgraded to a higher category. INVESTORS ARE CAUTIONED NOT TO ASSUME THAT PART OR ALL OF GEOLOGICAL RESOURCES EXISTS, OR ARE ECONOMICALLY OR LEGALLY MINEABLE. They are included herein solely for historic context and completeness. The TSX has not reviewed and does not accept responsibility for the accuracy or adequacy of this presentation, which has been prepared by management. There can be no assurance that any of the assumptions in the resource estimates will be supported by a Pre-feasibility or Feasibility Study or that any forward looking event will come to pass. The data is incomplete and considerable additional work will be required to complete further evaluation, including but not limited to drilling, engineering and socio-economic studies and investment. This presentation contains information with respect to adjacent or similar mineral properties in respect of which the Company has no interest or rights to explore or mine. Readers are cautioned that the Company has no interest in or right to acquire any interest in any such properties, and that mineral deposits on adjacent or similar properties are not indicative of mineral deposits on the Company s properties. Past performance is no guarantee of future performance and all investors are urged to consult their investment professionals before making an investment decision. Investors are further cautioned that past performance is no guarantee of future performance The Company may access safe harbor rules.

3 BALMORAL IS AN EXPLORATION AND DEVELOPMENT COMPANY THAT IS ADVANCING BOTH A LARGE, HIGH VALUE NI-CU-PGE SULPHIDE SYSTEM AND A HIGH GRADE, EXPANDING GOLD SYSTEM IN ONE OF THE TOP MINING JURISDICTIONS ON THE PLANET GRASSET NI-CU-PGE DISCOVERY EXTENDS FOR OVER 500 M ALONG STRIKE, TO OVER 500 M VERTICAL DEPTH; EXHIBITS BROAD INTERCEPTS OF HIGH-GRADE NI-CU-PGE MINERALIZATION; EXCELLENT AND STRAIGHT FORWARD METALLURGY, DISTRICT SCALE POTENTIAL; 100% OWNED; CURRENTLY IN DELINEATION MARTINIERE GOLD SYSTEM EXTENDS FOR OVER 2,000 M ALONG STRIKE, TO OVER 400 M VERTICAL DEPTH; EXHIBITS BROAD INTERCEPTS OF HIGH-GRADE GOLD MINERALIZATION; DISTRICT SCALE POTENTIAL; 100% OWNED; CURRENTLY IN DELINEATION

4 Balmoral s flagship Detour Gold Trend Project is located in the Abitibi Region of Quebec Balmoral controls mineral rights to over 700 square kilometres of the Harricana-Turgeon metavolcanic sequence which sits at the northernmost margin of the Abitibi greenstone belt. Historically one of the least well understood, and least explored segments of the Abitibi Greenstone Belt the Detour/Sunday Lake Trend has been the principal focus of Balmoral s activities since 2011 The evolution of our understanding of this heavily overburden covered region has increased dramatically over the last 5 years resulting in numerous discoveries The Grasset Ni and Martiniere Au systems are currently the focus of delineation drilling and will march through the initial resource window over the next 12 months

5 A virtual black hole on the Abitibi map, in fact its not even on a lot of the Abitibi maps! Located east of the massive Detour Gold mine in Ontario and north of the Casa Berardi, Selbaie, Joutel and Matagami camps the regional carries a very high geological pedigree Regional geological mapping is extremely limited due to extensive overburden cover (5-100 metres) and limited access An exploration history which often spans less than 30 years No regional or local detailed geological map available Virtually no academic work in this portion of the belt, much of the understanding from the Ontario side of the border

6 Year-round road access via long established logging road network off the Selbaie Mine road Grasset Ni discovery is only 55 km from railhead providing direct access to global ports or Canadian smelting and refining complexes Hydro grid is located 20 km south of both discoveries Historic and active mining region Located largely within the in the traditional territory of Cree First Nations of Waskaganish and Washwa Sibi within the James Bay Settlement Agreement area The Near North

7 Opatica SP Sunday Lake Deformation Zone Lower Detour Deformation Zone The geological and structural architecture of the region is dominated by the east-west trending Sunday Lake and Lower Detour Deformation Zones which can be traced for over 120 km The interaction between these two features and the deeper seated gneissic rocks of the Opatica Sub-Province to the north provide the secondary structural domains which makes the belt permissive for gold mineralization 7

8 Martiniere Detour Casault Harricana Fenelon-GUC Hinge Detour East Lac Grasset Lower Detour Selbaie Samson The Detour Trend can be divided into several, structurally and stratigraphically sub-domains We would argue that exploration parameters and approaches have to change from sub-domain to sub-domain and that each domain provides a unique set of opportunities on the gold and base metal side or both 8 The concept of exploration domains is certainly not unique, but its application to the Detour Trend is and has been a key component to our success to date

9 Several discrete geological/structural domains each with its own potential Detour Deposit located in an area of geological and structural complexity adjacent the Sunday Lake DZ New Lower Detour discovery is a unique discovery in a different structural/stratigraphic block Lower Detour Discovery

10 Several of the key elements of the Detour Block cross onto the northern sector of the Detour East block The 13 km Lynx-Rambo trend may extend onto the Detour Block and may be the longest gold mineralization system on the Trend sparsely explored, poorly understood Potential for Lower Detour type discoveries largely untested Lynx Zone

11 Unique domain along the trend dominated by strongly magnetic mafic flows and lesser intrusive rocks. Casualt Arcuate structural regime strongly influenced by Opatica Appears to be structural distinct (older or younger?) than the adjacent Detour East and Martiniere blocks; possibility of having exposed a deeper level in the stratigraphy? To date no significant mineralization intersected but widespread evidence of gold mineralization (Midland/Soquem) Analogues elsewhere in the Abitibi?

12 Mixed mafic, felsic volcanic and sedimentary package; recent drilling suggests extensive volcanically derived clastic sequence to the west which has not been observed elsewhere Extensive, early structural preparation is becoming more and more evident which has helped to guide and focus later gold bearing fluids Martiniere gold system now spans minimum dimensions of 4 x 2 km New gold Discovery 0.43m of 25.5 g/t Au Multiple styles of gold mineralization, often located proximal to each other with each exhibiting its own unique controls Structural architecture often difficult to understand do to low magnetic background Increasing evidence for VMS mineralization but so far lacking a major felsic center

13 Shallow, high grade zone 600 m West of Bug Lake Long Section Hosted in quartz gabbro phase of mafic intrusive complex Highlights: 8.08 g/t gold over 7.95 m g/t gold over m g/t gold over 9.72 m g/t gold over 7.10 m 5.60 g/t gold over m g/t gold over 2.33 m g/t gold over 3.74 m g/t gold over 2.30 m Intercepts currently extend for 400 metres along strike, to 400 metres down plunge OPEN Plan View

14 Gold mineralization is associated with finegrained, disseminated pyrite +/- arsenopyrite Typical alteration is strong to intense silicification and moderate sericite alteration; tight halo Highest grade zones typically occur in association with weak to moderate shearing cutting host ilmenite bearing quartz gabbro (top) Visible gold is common both in sulphide rich sections and late cross-cutting quartz +/- arsenopyrite veins Minor accessory minerals include iron carbonate, chlorite, tourmaline, chalcopyrite, sphalerite and molybdenite

15 Multiple, sub-parallel high grade zones m wide mineralized corridor Open to depth and to south Currently in delineation above 250 m

16 East Hanging Wall Zone(s) - shear-vein system Variably Altered Basalt Upper Bug Lake Zone - chlorite-sericite-pyrite alteration Bug Lake Quartz Porphyry; central fault corridor Bug Lake Zone - silica-sericite-pyrite alteration metres wide - paleo-fault zone Altered Footwall Gabbro/Basalt West Footwall Zone - bonanza grade shear vein system TSX: BAR OTCQX: BALMF

17 TSX: BAR OTCQX: BALMF

18 Gold mineralization is associated with finegrained, disseminated pyrite; no other significant sulphides Typical alteration is strong to intense silicification and moderate sericite alteration Highest grade zones typically occur in association with weak to moderate shearing and increased sulphide located inside the broader silica envelope Visible gold is rarer than in the West Zone and quartz veining is a minor component of the zone The Bug Lake Porphyry is typically unmineralized but higher grade mineralization is commonly located along its upper and lower margins

19 ME-23 Occurrence g/t gold over 6.30 m

20 The Harricana Sub-domain, along with the Lac Grasset/Lac Hugo Sd, is likely the least understood of the segments within the property The southern segment of the belt is dominated by a sedimentary dome which exposes strongly conductive sequence around its parameters. The balance of the Sub-domain is largely unexplored but appears to be sediment dominated with lesser mafic and felsic volcanics kimberlite indicators? 20

21 Highly varied domain which includes the largest felsic volcanic complex in the region, the Jeremie batholith and the extensive Grasset Ultramafic Complex Ni-Cu-PGE, VMS and Gold systems all present Highly complex structural relationships influenced by the Sunday Lake, Jeremie Batholith and Opatica plus high degree of structural complexity Current focus of activities along with Martiniere

22 Au Au Two extensive, open-ended Ni-Cu- PGE sulphide zones High-grade H3 Zone 500 x 500 metres, open to depth, open to NW H1 Zone 1,000 x 450 metres, open to depth, open to NW Au Au Grades of up to 15% Ni, 9 g/t Pt+Pd Recent drilling indicates presence of at least 4 gold bearing structural zones located proximal to the Ni-Cu- PGE discovery

23 Nickel, Copper, Cobalt Platinum, Palladium +/- Gold Sulphide Zone Comes to bedrock surface over 550 metre strike length Higher grade core open below latest intercepts at 500 metre vertical depth Intercepts range from 3 to over 100 metres thick Central high-grade core with broad mineralized halo Expansion drilling on-going

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25 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Published Ni % Recoveries 89% 89% 87% 88% 85% 83% 82% 82% 82% 76% 72% 72% 65% 43% Initial metallurgical testing indicates upper quartile nickel, copper, cobalt and palladium recoveries; room for additional improvements Simple, conventional flowsheet for recoveries Reported Ni Concentrate Grades Testing indicates potential to produce a good quality bulk nickel concentrate, free of impurities with copper, palladium, cobalt and platinum (+/-gold) credits 30,0% 25,0% 20,0% 15,0% 10,0% 5,0% 0,0% 29,0% 19,0% 17,0% 16,7% 13,6% 13,5% 13,5% 12,8% 12,0% 11,0% 11,0% 10,2% 8,5% 7,5% Initial testing indicates tailings would not be acid generating

26 Historic work in the Hinge area consisted of several scattered drill holes and patchwork geophysical surveys Balmoral s work in the Hinge area, east of Grasset commenced in 2015 with geophysical work and initial drill testing Strongly folded volcanic/intrusive sequence Another unique structural setting Initial testing suggests geology similar to Fenelon-GUC but frequently at a higher metamorphic grade

27 Can it possibly be this complex structurally? YES! And this may be a very good thing We will have more to say about this sub-domain over the months ahead!

28 Each blue sky looks a little bit different

29 TSX: BAR OTCQX: BALMF Corporate Office: Suite West Hastings St. Vancouver, B.C., Canada V6E 2K Investor Contact: or NA Toll Free