Northern Sphere Mining Corporation NSM FOCUSED DEVELOPMENT - SUSTAINABLE GROWTH

Transcription

1 Northern Sphere Mining Corporation NSM FOCUSED DEVELOPMENT - SUSTAINABLE GROWTH

2 NORTHERN SPHERE MINING CORP. ( NORTHERN SPHERE OR NSM ) FORWARD LOOKING STATEMENT This presentation includes certain statements that may be deemed forward-looking statements. All statements in this discussion, other than statements of historical facts, which address future production, reserve potential, exploration activities and events or developments that Northern Sphere (the Company ) expects, are forward-looking statements. Such forward-looking statements include, without limitation: (i) estimates of future gold and silver prices, supply, demand and/or production; (ii) estimates of future cash costs; (iii) estimates of future capital expenditures; (iv) estimates regarding timing of future development, construction, production or closure activities; (v) statements regarding future exploration results; (vi) statements regarding cost structure, project economics, or competitive portion, and; (vii) statements comparing Scadding gold and Black Diamond Silver to other mines, projects or metals. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results to differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitations and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance, that the company expressly disclaims any responsibility for revising or expanding the forward-looking statements to reflect actual results or developments, and that actual results ore developments may differ materially from those projected, in the forward-looking statements. All non-compliant historical resource estimates presented in this presentation are historical and were prepared before the introduction of National Instrument Standard of Disclosure for Minerals Projects ( NI ). These resource estimates may not be relied upon until they are confirmed using methods and standards that comply with those required by NI The potential for the exploration target to replicate the historical resource, or to reach the indicated range of tonnages, is conceptual and is based on historical reports, which cite approximate lengths, widths, depths, grades, and projections of the historical resources. Readers are cautioned that a qualified person has not completed sufficient exploration, test work or examination of past work to define a resource that is currently compliant with NI The Company further cautions that there is a risk that exploration and test work will not result in the delineation of such a currently compliant resource. Neither the Company nor its personnel treat the historical resource estimate or the historical data as defining a current mineral resource, as defined under NI , nor do they rely upon the estimate or the data for evaluation purposes; however, these data are considered relevant and will be used to guide exploration as the Company develops new data to support a current mineral resources estimate in accordance with the requirements of NI CSE: NSM

3 Company Mission Northern Sphere s mission is to create value for its shareholders while respecting both the Environment and the Communities from which we operate Our vision is to position Northern Sphere as a profitable producer with a portfolio of quality assets within Mining Friendly regions. To achieve this mission, we will: Expand current assets through aggressive brown fields exploration Conduct green fields exploration on significant Company held land packages Create value through merger and acquisition opportunities - seek late stage exploration, development and production projects in Mining Friendly regions

4 Key Asset Focus US Operations Arizona, Gila County Buckeye Mine Silver Seven Mine McMorris & La Plata Mine Iron Nugget Cu-Au Property Windmill, Cherry, Flat Mesa (other prospects exist) Canada Operations Ontario, Sudbury District Scadding Mine Alwyn-Porcupine Mine Tecumseh Property East Red Rock Occurrence Glade Occurrence (other prospects exist)

5 Path Forward Advance 2 Core assets to Production Status over next 2 years Build Mineral Resource Portfolio Prioritize Brownfields Exploration to support operations Structure Greenfields Exploration to advance assets Capitalize on opportunities through Mergers & Acquisitions

6 Milestones : Next 12 Months Q Q Q Q Buckeye Mine Ops Plan - Scadding Exploration Drilling - 1 st Production Results Buckeye Mine - UG Drilling Buckeye Mine - Advanced Drilling results from Scadding - Definition Drilling results from Buckeye - 20,000 tons of Buckeye ore stockpiled - Potential news release Scadding

7 Forecast: 12 Month Plan US Arizona $1,300,000 $200,000 - Mining Equipment - Buckeye Mine $600,000 - Operations - Buckeye Mine - Silver Seven Mine $100,000 - Exploration - Iron Nugget, McMorris, Cherry, Flat Mesa $300,000 - G & A $100,000 - Contingency Canada Ontario $500,000 $400,000 - Scadding Property Exploration Diamond Drilling - Target down plunge of former producing zones - Test known geophysical anomalies - Target Serpent Formation quartzites (host to regional Breccia Zones ) $100,000 - Conduct additional exploration activities on contiguous ground

8 UNITED STATES OBJECTIVES Neighboring Mines Company Annual Production Freeport McMoran million lbs Copper BHP Billliton Ltd -18 million lbs Copper Quadra Mining Ltd -65 million lbs Copper Resoultion Copper Copper Molybdenum (permitting stage) Grupo Mexico million lbs Copper & 600,00 ozs Silver Northern Sphere Black Diamond Property Porphyry Copper Freeport McMoran -BHP McMorris & La Plata Silver Mines Silver Seven Iron Nugget Copper - Gold Project Buckeye Mine

9 Buckeye Mine Project Development Phase Fully permitted underground silver mining operation with existing developed ore on patented claims Silver Structure 2000 ft of ventilated underground development 10 oz/t to 1000 oz/t mineralized silver veining Portal & Decline Build 20,000 ton stockpile Q Tonnage Gross Revenue ($20/oz Silver Cad) Mined 10 oz/t 20 oz/t 30 oz/t 10,000 $ 2,000,000 $ 4,000,000 $ 6,000,000 20,000 $ 4,000,000 $ 8,000,000 $ 12,000,000 30,000 $ 6,000,000 $ 12,000,000 $ 18,000,000 Forecasted cost $800,000 Contingency $100,000

10 Buckeye Mine Exploration Opportunities Definition drilling to be initiated Exploration proposals under review Forecasted cost - $100,000 Potential Mineralized Structure Buckeye Mine Portal & Decline

11 US Exploration Targets extends Cherry *Potential for 180,000 oz gold & 900,000 oz silver Mc Morris Vein Trend Flat Mesa *Potential for 4.8 million ozs silver 3300 ozs gold * Historic Resource (Non Compliant) *Potential for 50,000 oz gold Silver Seven Mine *Potential for 42 million oz silver McMorris-La Plata Mine *Potential for 3,300 oz gold 4.8 million oz silver

12 McMorris Mine shafts on 3000 ft long 3-6 ft wide quartz breccia vein Re-accessed shaft and 2 levels in 1987 McMorris had high grade vertical ore seams with 500 to 1000 oz/ton grades over 100 ft vertical Historical Resource (non ) 4.8 million ozs silver & 3300 ozs gold est. from - 16,500 tons of high grade ore - 313,500 tons sheared ore (10 oz/ton) Exploration & Mining Permits to be submitted 2017 Dewatering Q Rehab Shaft, Levels Q Underground Development Q Shaft

13 Silver Seven Mine Project Development Stage Project permits pending Mineral resources to be updated Exploration drilling proposal Q4,2016 Ore Development 2017 La Plata Mine Silver Seven Forecasted cost - $25,000

14 Iron Nugget Prospect Copper-Gold Prospect Exploration Drilling Proposal previously submitted & approved optimize drill program & re-submit Q Reconnaissance Q3/4, 2016 Diamond Drilling Q4, 2017 Magnetite hosted Cu-Au Mineralization Historic Shaft Forecasted cost - $25, % Cu 2.3% Cu 3.8% Cu 5.6% Cu 7.1% Cu

15 Exploration - Gold & Silver Windmill Area x 1100 x 2 *Historic Estimate - 100,000 ozs gold - 500,000 oz silver Cherry Area x 1500 x 2 *Historic Estimate - 180,000 ozs gold - 900,000 ozs silver Oxide Zone Flat Mesa Area million tons *Historic Estimate - 50,000 oz gold - 42 million ounces silver * 1987 estimates non compliant Forecasted cost - $50,000

16 Canada Objectives Sudbury District Claim Map Significant Canadian Land Package Diamond Drill Campaign m proposed Targeting areas down plunge from existing open pits and high grade drill intercepts Scadding Mine Target Serpent Formation quartzites which play host to numerous regional Breccia Zones Target untested geophysical anomalies Forecasted cost - $400,000 (inclusive) NSM Claim

17 Scadding Mine - Sudbury, Ontario Central Zone Scadding Mine North & South Zones Scadding Mine Mineralized Zones Former producer

18 Scadding Mine Diamond Drilling 3.5 g/t / 10.0 m Scadding Mine - Project Development Phase Diamond Drill Campaign 12.3 g/t / 3.7 m Targeting areas down plunge from existing open pits and high grade drill intercepts Produced 19,300 ozs 5.4 g/t / 15.8 m Produced 10,200 ozs Central Zone North & South Zones

19 Alwyn-Porcupine Mine - Exploration Phase Gold and copper in 2 m wide quartz-carbonate vein and stockwork Historic records g/t Au, 3% Cu Mine dewatered, structure resampled g/t Au, 6.0 % Cu over 6 ft Chalcopyrite Mineralization with Malachite staining Tecumseh Project - Exploration Phase Gold & Copper in quartz carbonate veins & sheared diabase 8 km North of Scadding Mine 2 Historic Shafts sunk on quartz carbonate veins - 10 m & 15 m deep, 150 m apart Ankerite altered quartz vein with chalcopyrite in Nippissing Diabase

20 East Red Rock Occurrence - Exploration Phase Brecciated Zone 100 m in diameter 2500 ton bulk sample taken g/t Au, up to 7.0 % Cu Glade Occurrence - Exploration Phase Excellent trench sample results Brecciated Argillaceous Gowganda Formation Mineralization at contact between Felsics & Nippissing Diabase Numerous specks of visible gold in sub-horizontal quartz veins Chalcopyrite with quartz carbonate and malachite

21 Capitalization Corporate Fact Sheet Year Founded: 2010 Capitalization As of September 30 th, 2016 Office: Symbol: Board Members: Management Team: Toronto, Ontario NSM CSE Bob Leshchyshen, Denis Laviolette, John Carter, Peter Tassiopoulos John Carter CEO, Steven Gray VP EXP, Robin Pilkey CFO. Total Shares Outstanding: 14,814,006 Management & Directors Ownership Approximately 20% Options/ Warrants 747,500 Hi/Low: $0.63/$0.10 Mining Jurisdictions: Canada & USA Approx. Market Cap: $3.7 Million

22 Summary Focus on creating value through targeted exploration and development; Highly prospective exploration targets; Multiple past producing mines in portfolio; Silver production from pilot preproduction facility complete; Near term production opportunities. Silver produced at the Buckeye Pilot pre-production facility