ADVANCED GOLD-COPPER EXPLORATION IN SOUTHERN ECUADOR TSX.V: LUM Cangrejos Condor
ADVANCED GOLD-COPPER EXPLORATION IN SOUTHERN ECUADOR
TSX.V: LUM
Cangrejos Condor
TSX-V: LUM / 2
Qualified Persons (Condor Resource slide 11)
Mit Tilkov, P.Geo., and Vice-President Exploration of the former Ecuador Gold and Copper Corp. is the Qualified Person as defined by NI 43-101
‡ Quality Control/Quality Assurance
The quality assurance/quality control program is monitored by independent consultant Dr. Bruce M. Davis. Logging and sampling are completed at Lumina’s (formerly Odin) secure facility located at the project. The drill core is sawn in half on site and half drill core samples are securely transported to Acme’s sample preparation facility in Cuenca, Ecuador. Sample pulps are sent to Canada for analysis. Gold content is determined by fire assay of a 30 gram charge and total copper content is determined by four-acid digestion with ICP finish at Acme Labs in Vancouver. Check assays for gold were done at ALS Chemex Labs in Vancouver and Lima, Peru. Odin inserts standards, blanks and duplicates selected on a random basis into the sample stream.
Forward-looking statements relate to future events or the anticipated performance of the Company and reflect management’s expectations or beliefs regarding such future events and anticipated performance. In certain cases, forward-looking statements can be identified by the use of words such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “believes”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”, or the negative of these words or comparable terminology. By their very nature forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual performance of the Company to be materially different from any anticipated performance expressed or implied by the forward-looking statements. Important factors that could cause actual results to differ from these forward-looking statements include risks related to failure to define mineral resources, to convert estimated mineral resources to reserves, the grade and recovery of ore which is mined varying from estimates, future prices of gold and other commodities, capital and operating costs varying significantly from estimates, political risks arising from operating in Ecuador, uncertainties relating to the availability and costs and availability of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects, conclusions of economic evaluations, changes in project parameters as plans continue to be refined, uninsured risks and other risks involved in the mineral exploration and development industry. Although the Company has attempted to identify important factors that could cause actual performance to differ materially from that described in forward-looking statements, there may be other factors that cause its performance not to be as anticipated. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. These forward-looking statements are made as of the date of this presentation and the Company does not intend, and does not assume any obligation, to update these forward-looking statements.
FORWARD LOOKING STATEMENT
† Qualified Persons Leo Hathaway, P.Geo., and Senior Vice President for Lumina Gold Corp (formerly Odin Mining & Exploration [Odin]), is the Qualified Person as defined by National Instrument 43-101 (NI 43-101) for the Cangrejos Project, and has verified the data disclosed in this presentation, including sampling, analytical, and test data underlying the information disclosure. Nelson King, SME Registered Member and Metallurgical Consultant to Lumina (formerly Odin), is a QP as defined by NI 43-101 for the Cangrejos Project. Mr. King assisted in the development and direction of the metallurgical testing program.
TSX-V: LUM / 3
NOV 1, 2016 - LUMINA GOLD IS BORN IN A TRANSFORMATIVE DEAL
Acquire, explore, expand and advance a portfolio of multi-million ounce gold deposits
Realize value in robust gold markets through development and/or disposition
CANGREJOS PROJECT
CONDOR PROJECT
Proven track record . . .
Total Invested Capital: US170 million
Return to Shareholders: ~US$1.9 billion
TSX-V: LUM / 4
12 Month Closing Price Chart | Current 4 week range: 0.70 - 0.84 TSX Venture Exchange LUM
Issued & Outstanding [Nov 1-2016] 203,127,906
Fully Diluted [Nov 1-2016] 209,930,359
Market Cap [Dec 9 - 2016] $148 Million
52 week trading range $0.33 - 0.97
LUMINA GOLD – CORPORATE OVERVIEW
TSX-V: LUM / 5
EXPERIENCED BOARD AND MANAGEMENT
DIRECTORS
Lyle Braaten 25+ years experience practicing law in Vancouver, currently President & CEO of Miedzi Copper Corp.
Heye Daun 20+ years experience mine engineer with top-tier mining companies. Outgoing President & CEO of Ecuador Gold and Copper Corp.
Marshall Koval 36+ years experience in executive and corporate development, finance, engineering, geology and environmental expertise
Donald Shumka 41+ years experience in corporate finance and business. Harvard University Business Administration graduate. Former President & Managing Director of Walden Management Ltd.
Michael Steinmann 20+ years experience as a geologist in the exploration and mining industry with a PhD from the Swiss Federal Institute of Technology. Currently President & CEO of Pan American Silver Corp.
Stephen Stow 30+ years experience in the resource sector and 19 years with Odin Mining. Former Director of Corporate Finance, Asia for the National Westminster Bank, Hong Kong Division
SENIOR MANAGEMENT
Marshall Koval President & CEO Currently President & CEO of Anfield Nickel Corp. Former VP Corporate Development Lumina Copper Corp.
Leo Hathaway Senior Vice President Currently Chief Geological Officer Anfield Nickel Corp. Former Chief Geological Officer Lumina Copper Corp.
Diego Benalcazar Senior Vice President Former President & Director Ecuadorian Chamber of Mines Former GM & Director Swiss Holderbank Cement Group
Martin Rip Chief Financial Officer Currently CFO Anfield Nickel Corp. Former CFO Lumina Copper Corp.
Lyle Braaten VP Legal Counsel Currently President Miedzi Copper Corp. Former Secretary & Legal Counsel Magma Energy Corp.
John Youle VP Corporate Affairs Currently VP Corp Affairs, Anfield Nickel Corp. Former VP Corp Affairs, Lumina Copper Corp.
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Population: 15.9 million
Adopted US dollar as official currency since 2000
Main economic activities
Agriculture (bananas, flowers, coffee, cocoa, rice)
Hydroelectric power - currently 63% of country’s electricity, plan to meet all needs by 2020 and begin exporting surplus power
Oil exports (OPEC member)
10 years of stable democratic government
Focus on education and health
Heavy investment in infrastructure (roads, energy)
Development of Mining Sector a priority for government
June 2014 - Ecuador returned to the bond market with an oversubscribed $2B issue (10 years @ 7.95%)
July 2014 - Ecuador entered into a Free Trade Agreement with the EU
ECUADOR FACTS
Sources: World Bank Electricity Corporation of Ecuador (CELEC) Trading Economics-Ecuador
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President Correa has expressed strong support for large mining projects and recently issued positive mining tax reforms; additional changes are expected soon
Government hired Wood Mackenzie to review mining legal and regulatory framework, and recommend measures to make Ecuador more competitive in attracting investment
February 2015 - Government established the Ministry of Mines of Ecuador, signaling its further commitment to dedicate resources to promote the mining industry
Improved environmental permitting; reducing processing authorizations to 6 months
January 2016 - Government agrees to favorable Exploitation Terms & Conditions with Lundin Gold to develop Fruta del Norte
Government initiated an auction process, expected to begin awarding new concession areas in October 2016 for the first time since 2008
August 2016 - Lundin announces Investment Protection agreement with Government
August 2016 - Government and Junefield Resources participated in the inauguration of the first phase of construction of the Rio Blanco Gold Project, LOM Capital US$90M
ECUADOR – SPECIFIC MINING INVESTMENT PROGRESS
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CANGREJOS AND CONDOR PROJECT LOCATIONS
Condor Project
Cangrejos
Project
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SOUTHERN ECUADOR – GEOLOGY & DEPOSITS
Tertiary – Recent
Sediments
Cretaceous
Island Arcs
Cretaceous - Tertiary
Intrusions
Jurassic
Intrusions
Paleozoic – Cretaceous
Metamorphic Complex
Tertiary – Recent
Continental Volcanics
Triassic – Cretaceous
Sediments / Volcanics
Cangrejos Porphyry Au-Cu
Rio Blanco Epithermal Au
Loma Larga Epithermal Au
Mirador Porphyry Au-Cu
Fruta del Norte Epithermal Au
Condor Epithermal Au
Porphyry Au-Cu
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35 km from Provincial capital of Zamora, Zamora-Chinchipe Province
~30 km south of Fruta Del Norte project (7.4 Moz Au Indicated Resource)
55 km south of Ecuacorriente's Mirador Project (4.5 Moz Au)
Access via paved and gravel roads
Camps and core facility on property
Constructive ongoing relations with local community
CONDOR – LOCATION AND INFRASTRUCTURE
Condor
Fruta del Norte
Mirador
PERU
ECUADOR
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0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00 8.00 9.00
MIRADOR
FRUTA DEL NORTE
CONDOR
M oz (Au) or B Lbs (Cu)
ECUADOR COMPARABLE CHART
M+I MozAu M+I BLbsCu Inf MozAu Inf BlbsCu
CONDOR – GLOBAL RESOURCE AND REGIONAL CONTEXT
ECUADOR
PERU
CONDOR 43-101 HIGHLIGHTS Gold Resources:
8.0 million oz Indicated1
2.6 million oz Inferred1
Silver Resources: 28.5 million oz Indicated1
9.1 million oz Inferred1
Copper Resources: 2.3 billion lbs Inferred1
1 The Condor Project contains an Indicated Mineral Resource of 8.012 million ounces gold, 28.545 million ounces silver and 0.8 billion pounds of copper (within 447.28 million tonnes grading 0.55 grams/tonne gold, using a 0.25 grams/tonne gold cut-off). Additionally an Inferred Mineral Resource of 2.60 million ounces gold, 9.125 million ounces silver and 0.4 billion pounds of copper (within 197.6 million tonnes grading 0.4 grams/tonne gold, using a 0.25 grams/tonne gold cut-off). The Condor Project also contains a second Inferred Mineral Resource of 1.1 billion lbs of copper (within 161.0 million tonnes grading 0.31% copper, using a 0.2% copper cut-off).
Mirador Porphyry Cu-Au
8.6 Blbs Cu, 4 Moz Au
(in construction)
(in construction)
(exploration)
(exploration)
Fruta del Norte Epithermal Au
7.4 Moz Au
Condor Epithermal Au
2 Moz Au
Santa Barbara Porphyry Au-Cu
5.9 Moz Au
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An estimated US$40M has been spent on the project since 1993 on drilling, trenching, geochemical, geophysical and geological surveys
CONDOR – PREVIOUS WORK COMPLETED
Period Company # of Drill Holes Meterage
1993 - 1998 TVX Gold 230 51,440
2003 - 2010 Goldmarca / Ecometals 151 33,391
2012 - 2014 EGX 36 21,295
TOTALS 417 106,126
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CONDOR – PUBLISHED RESOURCES BY AREA
Condor Project 43-101 Resource Breakdown
Tonnage Grade Contained Metal
(000 t) (g/t Au) (g/t Ag) (% Cu) (000 oz Au) (000 oz Ag) (lbs Cu)
CONCESSION Indicated
Los Cuyes 46,800 0.82 6.19 1,234 9,314
Soledad 34,900 0.63 7.21 707 8,090
Enma 1,005 2.88 32.83 93 1,061
Santa Barbara 364,572 0.51 0.90 0.10 5,978 10,080 0.8 billion
Total Indicated 447,277 0.55 2.0 8,012 28,545 0.8 billion
Inferred
Soledad 20,000 0.50 6.90 300 4,500
Santa Barbara 177,601 0.40 0.80 0.10 2,300 4,625 0.4 billion
Total Inferred 197,601 0.40 1.40 2,600 9,125 0.4 billion
Inferred (Copper)
El Hito 161,000 0.31 1.1 billion
Total Inferred Cu 161,000 0.31 1.1 billion
• Gold resources have been calculated using a 0.25 g/t Au cutoff grade and copper resources at El Hito were calculated using a 0.2% Cu cutoff grade • EGX’s Qualified Person, Mit Tilkov, P.Geo., VP Exploration of Ecuador Gold and Copper Corp. as defined by NI 43-101
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CONDOR – PROPERTY SHOWINGS
Lumina Gold Concessions
Deposits (with resources)
Showings
CONDOR
SOLEDAD
EL HITO SANTA
BARBARA
LOS CUYES
CHINAPINTZA
Tres Cerritos
Santore
Wuanwitza Alto
Prometedor
El Conguime
Silica
Cap
Pachicutza
Alto
Quartzite
Au Skarn
Napintza
El Tambo
ENMA E
CU
AD
OR
PE
RU
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40 km to commercial port of Puerto Bolivar
30 km to Machala, provincial capital
8 km unfinished road from Cangrejos site to paved highway
Power to camp from Ecuador’s national grid
Camp and core facility on property
Sparsely populated, constructive ongoing relations with local community
CANGREJOS – LOCATION AND INFRASTRUCTURE
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Nov 2016 Lumina was awarded several mineral exploration concessions
Of particular significance is Cangrejos 20 which consolidates Lumina’s land position (see map)
2014/15 drill program 3,540 m / 9 holes Infill drilling of the Cangrejos zone Test depth and NE extent of Cangrejos zone
Nov 2015 - Metallurgical testwork ‡ completed
Can be processed by conventional methods High gold and copper recoveries By-products - silver and molybdenum
Geotechnical program - ongoing
Environmental monitoring - ongoing
Community relations - ongoing
CANGREJOS – PREVIOUS WORK COMPLETED
Period Company # of Drill Holes Meterage
1999 - 2000 Newmont 13 3,586
2010 - 2012 Odin 17 4,698
2014 - 2015 Lumina 9 3,540
TOTALS 39 11,824
‡ see slide 2
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Porphyry Au-Cu style mineralization Hosted in breccias and diorite porphyry
Associated with potassic alteration
Higher Au values usually correlate with finely disseminated chalcopyrite
CANGREJOS – DRILL HIGHLIGHTS
Hole From (m) To (m) Interval (m) Au g/t Cu %
CC11-31 14.5 352.0 337.5 0.68 0.12
including 14.5 132.0 117.5 1.10 0.09
CC11-33 10.0 374.0 364.0 0.59 0.08
including 70.0 140.0 70.0 1.06 0.11
Hole From (m) To (m) Interval (m) Au (g/t) Cu % *Au Eq
(g/t)
C14-47 (415.10m) 0.00 405.10 405.10 0.66 0.09 0.82
including 73.10 131.10 58.00 1.63 0.16 1.91
C14-48 (351m) 0.00 351.00 351.00 0.51 0.08 0.65
including 0.00 19.00 19.00 1.65 0.17 1.94
including 291.00 351.00 60.00 1.08 0.09 1.23
C14-49 (407.75m) 0.00 336.00 336.00 0.44 0.11 0.63
including 6.80 68.00 61.20 1.01 0.10 1.18
including 134.00 176.00 42.00 0.72 0.35 1.29
C14-50 (539.55m) 11.00 177.00 166.00 0.47 0.10 0.66
and 269.00 539.55 270.55 0.78 0.21 1.15
including 337.00 417.00 80.00 1.45 0.18 1.76
C14-51 (350.15m) 0.00 344.40 344.40 0.67 0.09 0.83
Including 66.40 114.40 48.00 1.52 0.10 1.69
2011/12 HIGHLIGHTS
2014/15 HIGHLIGHTS
• Gold equivalents calculated at a gold price of $1,200
per ounce and $3.00 per pound of copper. 100% recoveries are assumed in the absence of metallurgical test work. No interval reported above contains an intersection of 10m or greater of continuous samples grading below 0.2 g/t Au Eq. The highest drill core assay used in the above results is 5.48 g/t for gold and 1.39% for copper. No top cutting of the database was deemed necessary. All samples in the drill program were 2m long except for a total core length of 55.75m in 32 samples (1.6% of total), which were cut to different lengths.
† Qualified Persons – see slide 1
‡ Quality Control/Quality Assurance - see slide 1
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BUILD A WORLD CLASS PORTFOLIO OF GOLD PROJECTS
Aggressively explore existing properties
Condor Project:
Prepare a 2017 drill program to further expand resources at Santa Barbara and El Hito
Continue baseline environmental studies and community relations programs already established
Assess the potential of the property’s other mineralized showings
Cangrejos Project: Continue additional drilling of the Cangrejos deposit
Complete additional metallurgical studies
Upgrade access roads to facilitate exploration and development programs
Continue baseline environmental studies and community relations programs
Identify new properties for acquisition
With significant resource upside potential
Within favourable jurisdictions
LUMINA GOLD – STRATEGY GOING FORWARD
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PHOTO GALLERY
CONDOR CANGREJOS
For more information, please contact:
LUMINAGOLD Corp 410 - 625 Howe Street Vancouver | BC | V6E 2E9 Canada TF: 1 855 616 3556 T: 1 604 646 1890 F: 1 604 687 7041 E: [email protected] W: www.luminagold.com
T S X . V : L U M
Dec/9/2016
Cangrejos
Condor