Advancing STRATEGIC, DISTRICT SCALE GOLD AND COPPER CAMPS. in the Dominican Republic

Transcription

1 Advancing STRATEGIC, DISTRICT SCALE GOLD AND COPPER CAMPS in the Dominican Republic October 2018

2 Forward Looking Statements Certain information regarding the Company contained herein may constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements may include estimates, plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. The Company cautions that actual performance will be affected by a number of factors, many of which are beyond the Company s control, and that future events and results may vary substantially and materially from what the Company currently foresees. This presentation does not constitute or form part of any offer for sale or solicitation of any offer to buy or subscribe for any securities in Precipitate Gold Corp., nor shall it or any part of it form the basis of or be relied on in connection with or act as any inducement to enter into any contract or commitment whatsoever. No reliance may be placed for any purpose whatsoever on the information or opinions contained in this presentation or on any other document or oral statement or on the completeness accuracy or fairness of any such information and/or opinions. No undertaking, representation, warranty or other assurance express or implied is made or given by or on behalf of Precipitate Gold Corp. or any of its directors, employees or advisors, as to the accuracy or completeness of the information or opinions contained in this presentation and, save in the case of fraud, no responsibility or liability is accepted by any of them for any such information or opinions or for any errors, omissions, misstatements, negligence or otherwise contained or referred to in this presentation. The contents of this presentation have not been approved by an authorized person. 2

3 Introduction District-Scale Strategic Land Positions in the Dominican Republic s Two Most Prospective and Active Gold and Copper Mining and Exploration Camps 3

4 Share Structure TSX Venture Trading Symbol PRG.V Issued and Outstanding Shares 75.6M Fully Diluted Shares (only Options, no Warrants outstanding) 78.5M Recent Share Price on TSX Venture Exchange $0.05 Market Capitalization at $0.05 Working Capital (approximate as at Aug 31, 2018) ~$3.7M $1.2M Founders, Management and Insiders 10% Strategic Metals Ltd. 30% 4

5 Directors & Management Adrian Fleming Chairman, Director Jeffrey Wilson President & CEO, Director Geologist with 40 years experience. Responsible for discovery of Underworld Resources White Gold deposit. Underworld bought by Kinross for $139.0M in Founding Director of Northern Empire bought by Coeur Mining for $117.M. Current Director of multiple resource-focused public companies 25 years experience in mining sector. Background in IR and finance. Past Director Welcome Opportunities (purchased by Endeavour Mining 2002) and involved in the formation of Silver Quest Res. (bought by New Gold in 2012 for a value of $130.0M). Former VP at Geologix Explorations. Quinton Hennigh Director Alistair Waddell Director Lon Shaver Director Michael Moore VP Exploration Economic Geologist (PhD) and CEO of Novo Resources. Prior roles with Homestake, Newcrest and Newmont. Led Gold Canyon s exploration at Springpole project near Red Lake, Ontario. Current Director of multiple resource-focused public companies Former President/CEO of GoldQuest Mining Corp. Former VP, Greenfields Exploration for Kinross Gold Corp. Current President and CEO of Inflection Resources. Vice President Silvercorp Mining. Former Investment Banker at Raymond James and former roles as a sell-side mining analyst, public/private company CFO, and independent consultant providing advisory services to mining clients. 27 years experience including various gold systems in Canada, United States, Cuba, Ghana, Greenland and Archean nickel-pgm in Nunavut and manto-crd type systems in Mexico. 5

6 Dominican Republic 6

7 Key Projects PUEBLO GRANDE Project (100% interest) JUAN de HERRERA Project (100% interest) 10,000 hectares adjacent to Barrick s Pueblo Viejo gold-copper-silver Mine 12,000 hectares adjacent to GoldQuest s Romero gold-copper Deposit 7

8 Pueblo Grande Project Article published April 24, 2018 Barrick executives said the company is shifting to a growth strategy, focusing on Nevada and the Dominican Republic 8

9 Strategic Land Position Barrick s PUEBLO VIEJO Highlights A high sulphidation epithermal gold-silver deposit Largest active gold mining operation in Latin America; 4 th largest in the world 13.4 million ounces gold, 74.4 Moz silver, and million pounds copper (measured and indicated mineral resource from million tons grading 2.46 g/t gold, g/t silver and 0.08% copper)* Additional 3.6 Moz gold, 16.0 Moz silver, and 87.2 million pounds copper in the inferred category*; Projected annual production 1.0 million ounces gold at $US all-in-sustaining cost per ounce** Gold exports from Pueblo Viejo operations reached US$708M for 2017, making Barrick one of the key contributors to the country s economy*** $4.3.billion project infrastructure investment Contributes approximately 3% of Dominican Republic s GDP *Based on: 2017 production figures -Thomson Reuters and stats released by gold miners. **March 2018, NI report. ***Based on annual 2017 production, Barrick website 9

10 Pueblo Grande Historic Highlights Highlights of New Property Acquisition: 100% interest in strategic land position surrounding Barrick s Pueblo Viejo mine (largest active gold mining operation in Latin America; top 5 in the world); Pueblo Viejo is a high sulphidation epithermal gold-silver-copper deposit 2 high-level historical drill discovery zones (Tres Bocas & La Lechoza) warranting follow-up; Large under-explored lithocap alteration zones commonly associated with masked high sulphidation epithermal mineralization proximal to, and on strike from Pueblo Viejo open pits; Extensive drill dataset of 220 historic drill holes totalling nearly 30,000 metres; Numerous geophysical surveys (airborne and surface) (IP, Magnetics, GEOTEM, Max-Min) Situated in active and mining-friendly district within 10 km of 3 operating mine sites 10

11 Pueblo Grande Historic Highlights Select Highlight Historic Drill Intercepts: More than an Area Play Metres Gold Silver Copper Zinc Zone Everton News Source (m) (g/t) (g/t) (%) (%) La Lechoza Jan 27/11 (DDH APV-30) Tres Bocas May 17/06 (DDH TBM-07) La Lechoza Feb 02/11 (DDH APV11-02) La Lechoza Dec 20/10 (DDH APV10-13) La Lechoza Apr 13/11 (DDH APV11-30) All drill core intercepts commence at less than 20m drill depth and are core widths not true widths Select Highlight Historic Trench Samples: LA LECHOZA ZONE: 11.3 g/t gold and 310 g/t silver over 18 metres (Linear Gold 2015) 6.65 g/t gold and 18.8 g/t silver over 22 metres; including 22.1 g/t gold and 48.6 g/t silver over 4 metres 1.13 g/t gold over 18 metres 4.35 g/t gold over 10 metres All trench data reported by Everton Resources 11

12 Pueblo Grande Project Multiple Underexplored Magnetic-High Target Anomalies Magnetic Highs: Magnetic Structure Compilation TMI Multiple Untested or Underexplored Magnetic High Anomalies Represent Possible Untapped Opportunity 12

13 Pueblo Grande Project Lithocap Alteration and Magnetic High Coincidental Lithocap Alteration and Magnetic-High Anomaly indicates High Sulphidation Target 13

14 Pueblo Grande Project Hypothetical Schematic of High Sulphidation Model Mag-High Target at Pueblo Grande Mag-High at at Pueblo Viejo 14

15 Pueblo Grande Project Multiple Underexplored Magnetic-High Target Anomalies Magnetic Structure Compilation TILT Magnetic Structure Compilation TMI

16 Pueblo Grande Project 3 Key Target Areas: o The acquired sizeable property dataset provides an excellent starting point to benefit from past work and to immediately focus on priority gold and base metal prospects identified through geophysics, geology, geochemistry and most importantly past drill intercepts with limited follow-up. Near Term Focus & General Exploration Plan: o Update historical dataset to a modern digital format, to be followed by detailed review and analyses. o Identify and focus on high priority zones for immediate field work; particularly zones of silica-clay-magnetite alteration as previously ignored vectoring tool to high sulphidation style mineralization (ie - magnetic positive & high resistivity) o Identification of critical structural, lithological and alteration elements via high level geological field mapping and detailed surface imaging (drone and LIDAR). o Drill testing of generated exploration targets 16

17 Juan de Herrera Project Romero Project Resource: 2.45 Moz Gold Equivalent Deposit - Pre-feasibility stage 17

18 District Scale Potential 18

19 Juan de Herrera Project Majority of Targets have not been Drilled Small Footprint Drilled to Date: 23 Drill Holes (~4,500m) into 2 Targets (Ginger Ridge and Ginger Ridge East) 19

20 Ginger Ridge Drilling Footprint Ginger Ridge East Zone Ginger Ridge Zone Discovery Hole (hole 5) intersects 13.5 g/t Au over 5.0m within 18.0m of 5.0 g/t Au (within 98.1m of massive/semi-massive sulphide) 20

21 More Targets Ginger Ridge East Consistent Mineralization Over Substantial Width in Trench Sampling Many Mineralized Surface Areas Still to be Drilled 21

22 Additional Targets Throughout Project New Geochemical and Geophysical Anomalies Identified 17,000 Soil Samples; 14,000 Scanned with XRF Significant Base Metal Values Showing VMS Characteristics Drill-worthy Targets Could be Drilled in

23 Growing Target Areas Fully Permitted Multiple Target Areas Several existing and emerging prospective targets warrant ongoing follow-up and possible future drill testing 23

24 Summary / Next Phase District Scale Land Positions in 2 Active Mining & Exploration Camps (establishing PRG as prominent DR Explorer) 1) Strategic New Land Position Surrounding World Class Pueblo Viejo Mine - Mining friendly and active region, within 10km of 3 active mines) 2) Significant Land Package adjacent to GoldQuest s Romero Project - Multiple Immediate Priority Targets for Drilling Extensive Geochemical and Geophysical Targets Throughout both Projects Provides Guidance for Project Advancement Multiple Current Targets at Both Projects Warrant Near-Term Drill Testing Fully Drill Permitted at Juan de Herrera Well Financed to Complete Current Programs and Additional Follow up Exploration 24

25 Jeffrey Wilson CEO & President Michael Moore Vice President, Exploration Precipitate Gold Corp. 625 Howe Street, Suite 1020 Vancouver, BC V6C 2T6 Canada Telephone: Toll Free:

26 Appendix Options and Optioned Deal Stock Options: 2,880,000 Options at $0.25 and $0.20 and $0.12 Warrants: Nil Possible receivables from Golden Predator Option of Reef Project: Cash GPY Shares GPY Warrants (Paid) On Signing $400, ,000 shares $1.50 (Paid) Feb 2018 $150, ,000 shares $2.00 Feb 2019 $200,000 $300,000 in shrs* 150%* Feb 2020 $300,000 $300,000 in shrs* 150%* *valued at 21 day VWAP 26

27 Pueblo Grande Project Highlights of Acquired Historic Dataset: o o Two high level historical gold & base metal zones: Tres Bocas and La Lechoza; A large prospective surface area of lithocap alteration related to inferred buried high sulphidation epithermal style mineralization, to the west of the Pueblo Viejo mine (silica, pyrite, high temperature clays, magnetite-hematite). o Drill hole database, including 158 diamond drill holes and 62 shallow RAB drill holes; totalling about 29,500 metres and 10,600 core rock pulp samples; o o o o Heliborne magnetic-geotem geophysical survey (729km of flight lines); Numerous ground geophysical surveys, including magnetics, induced polarization and max-min EM; Approximately 10,750 surface geochemical samples (combined stream sediment, rock, soil, trench); and Extensive surface geological mapping at various detail levels 27

28 Appendix Photos 28

29 Appendix - Ginger Ridge Aerial View Looking West GINGER RIDGE EAST ZONE GINGER RIDGE ZONE camp Hole 5 - Discovery Hole 13.4 g/t gold over 5.0m; within 4.5 g/t gold over 18 metres 29

30 Additional Targets Throughout Project Several Multi-Element Anomalies Emerging 30

31 Southern Region Soils and XRF 31

32 Southeast & South Jengibre Soil Anomalies 32

33 Southeast & South Jengibre Soil Anomalies 33

34 Southeast & South Jengibre Soil Anomalies 34

35 Southeast & South Jengibre Soil Anomalies 35