November 26, 2013 1 Pershing Gold: An Emerging Nevada Producer Fast-Tracked to Resume Production San Francisco Metals & Minerals Investment Conference
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November 26, 2013
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Pershing Gold: An Emerging Nevada Producer Fast-Tracked to Resume Production
San Francisco Metals & Minerals
Investment Conference
Forward-looking Statements
Cautionary Note Regarding Forward Looking Statements: Statements made regarding matters which are not historical facts, such as the Company’s strategy to create shareholder value, its plans to expand and upgrade the Relief Canyon resource, fast-track Relief Canyon to production and cash flow and explore and acquire additional properties; the Company’s risk profile and Company valuation and interpretations and estimates of resources and
geologic potential are “forward looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward looking statements involve risks and uncertainties that could cause actual results to differ materially from those anticipated, or implied including delays in plant recommissioning, operating problems or accidents, permitting problems or delays; metals price volatility, lower metals prices than anticipated and their
impact on the achievement of cash flow; operating, exploration and development risks and results; changes in interpretation of geologic information; world economic and capital markets conditions; inability to raise sufficient external financing and other risks identified in our most recent Annual Report on Form 10-K and other SEC
filings. Cautionary Note to United States Investors Regarding Estimates of Measured, Indicated and Inferred Resources: We use certain terms in this presentation, such as “measured”, “indicated” and “inferred resources”, that are
defined in Canadian National Instrument 43-101; however these terms are not recognized under the U.S. SEC Industry Guide 7. US investors are cautioned not to assume that any or all of measured, indicated or inferred resources are economically or legally mineable or that these resources will ever be converted into reserves.
“Inferred mineral resources“ have a high degree of uncertainty as to their existence and it cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. U.S. investors are urged to consider closely the disclosure in our Form 10-K and other SEC filings. You can review and obtain copies of these filings from the SEC’s website at http:www.sec.gov/edgar.shtml.
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Pershing Gold’s Relief Canyon Mine is Situated in a Known Gold and Silver Trend
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Expert Technical Team
Senior-level expertise in geology, engineering and metallurgy • Doug Prihar – Manager of Exploration
• Robert Casaceli – Senior Geologist & Geophysicist • Pete Dilles – Project Geologist
• Bill Houston – Landman
• Tim Janke – Mining Engineer • Earl Shortridge – Metallurgical Advisor
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Proven track record of discovering and developing gold mines in Nevada
Experienced Management Team
Management Team has the complete suite of business, legal, environmental permitting, financial and mine management skills to put Relief Canyon back into production:
• Steve Alfers – Executive Chairman, CEO & President • Debra Struhsacker – Corporate VP
• Eric Alexander – VP Finance & Controller • Larry Hillesland – VP Exploration & Development
• Stephen Tibbals – Mine Manager, Relief Canyon Mine
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Proven track record of discovering and developing gold mines in Nevada
Pershing Gold’s Key Assets
• Plant- • Fully operational and permitted processing facilities
• Mine- • Identified NI 43-101 compliant gold resource • Measured & Indicated: 463,000 oz of gold
• Inferred: 101,000 oz of gold • Land-
• Consolidated land position controlling 25,000 acres
• Permits- • On track to be fully permitted in 2015
6 Fast-tracked to become a Nevada gold producer
Key Asset: Permitted Processing Facility • State of the art heap leach facility
• Capacity to treat eight million tons per year (7.3MM tonnes) • Permitted leach pad with 21 million ton (19MM tonnes) capacity
• Ideally situated to process future discoveries from satellite deposits
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We have the permits we need to run this plant
Key Asset: Open Pit Mine and In-Pit Gold Resource
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• Brownfields project that has been mined since the 1980s
• 740 holes drilled with drilling ongoing to expand resource
• 43-101 compliant in-pit resource (January 2013)
1. Mine Development Associates 43-101 Technical Report 2. Roscoe Postle Associates Inc. 43-101 Technical Report
0
7,500,000
15,000,000
22,500,000
30,000,000
Jun- 2010 Jan- 2013
NI 43-101 Compliant Resource Estimate
Tons
113K oz Au 3.2MM g Au
42K oz Au 1.2MM g Au
44K oz Au 1.2MM g Au
419K oz Au 11.9MM g Au
101K oz Au 2.9MM g Au
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Key Asset: Consolidated Land Position
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• April 2012: Two deals secured control of private lands and claims surrounding Relief Canyon
• March 2012: Landmark deal consolidated Relief Canyon Mining District
• February 2013: Landholdings at Relief Canyon Expanded
0
5,000
10,000
15,000
20,000
25,000
Aug 2011 Feb 2013
25,200
1,100
Acres Controlled
Key Asset: Current Landholdings
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Key Asset: Consolidated Landholdings Allow Mine Expansion in All Directions
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Strategic consolidation of land position at Relief Canyon gives Pershing Gold control of the Relief Canyon gold deposit identified to date plus adjacent property with high potential for mine expansion
Principal Permits Required for Mine Expansion
Target Permit Submittal Date
Plan of Operations Amendment US Bureau of Land Management
January 2014
Reclamation Permit Amendment NV Division of Environmental Protection
January 2014
Water Pollution Control Amendment NV Division of Environmental Protection
February 2014
Mercury Emission Control Permits NV Division of Environmental Protection
March 2014
Air Quality Permit Amendment NV Division of Environmental Protection
April 2014
Special Use Permit Amendment Pershing County Commissioners
May 2014
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Key Asset: Permit Amendment Applications Planned for 2014
2013 Technical Program
• Continue drilling program to expand new Lower Zone discovery and test for additional high-grade zones
• Initiate engineering and metallurgy to recommission the processing facility
• Initiate 43-101 compliant resource update
• Initiate permit amendments to authorize resumption of mining
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2013 Drilling1 Program: Initial Results Discover High-Grade Gold
15 1. All drilling results are available on the Company’s website.
From To Length Gold Silver (feet) gpt opt gpt opt
Lower Zone Intercepts RC13-‐115 389 618.8 229.8 0.856 0.025 6.849 0.200
including 418.4 542.2 123.8 1.507 0.044 11.301 0.33 including 513.4 515.4 2 45.240 1.321 55.068 1.608
RC13-‐116 445 475 30 9.247 0.270 25.753 0.752 including 454.2 460.4 6.2 33.973 0.992 101.370 2.960
RC13-‐118 352.8 393 40.2 0.616 0.018 2.705 0.079 Including 392 393 1 7.055 0.206 9.486 0.277
RC13-‐121 333.5 460.9 127.7 1.986 0.058 6.884 0.201 Including 354.2 357 2.8 14.726 0.430 56.712 1.656 including 377.4 378.7 1.3 13.014 0.380 11.096 0.324
RC13-‐133 237.8 415.6 177.8 2.021 0.059 5.770 0.170 including 321.3 364 42.7 6.644 0.194 19.310 0.560 including 339 347 8 23.219 0.678 35.810 1.050
RC13-‐135 311.1 377.5 66.4 1.233 0.036 3.530 0.100 including 311.1 360 48.9 1.644 0.048 4.590 0.130
Jasperoid Intercepts RC13-‐128 703 715 12 0.651 0.019 1.350 0.040
including 713 715 2 3.356 0.098 2.000 0.060 RC13-‐133 536 625.2 89.2 0.959 0.028 3.880 0.110
including 546 571.5 25.5 2.774 0.081 10.100 0.290 RC13-‐136 390 622.2 232.2 0.651 0.019 3.500 0.100
including 564.5 622.2 57.7 1.918 0.056 7.410 0.220
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2013-2014 Mine Development Program: Next Steps
• Complete drilling to expand existing resource • File amendments to plan of operations and
other permits
• Complete column tests and other metallurgy
• Complete engineering and geotechnical work • Complete updated 43-101 compliant resource
• Complete 43-101 compliant Preliminary Economic Assessment
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Pershing’s Value Proposition
• Pershing is an emerging producer because of its assets and its short timeline to production
• Emerging producers trade at an industry premium
• Pershing’s performance on the ground should drive the Company’s valuation
• Continuing progress towards near-term production should make Pershing a strong emerging producer
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Peer Group Performance Comparison
19 Adjusted Market Cap per Recoverable Oz based on BMO Gold Pages, October 7, 2013
Pershing Gold’s Low Risk Profile
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Key factors in place to progress toward production
Key Takeaway: Reducing Risk Should Drive Valuation
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• Progress toward production • Processing facility is fully paid for, built and permitted
• Metallurgical studies underway • Engineering work for mine planning in process
• Preliminary Economic Assessment planned for Q2 2014
• Expanding resource
• Listing on major stock exchange • Financing to cash flow
Pershing Gold Corporation
1658 Cole Boulevard, Building 6, Suite 210
Lakewood, CO 80401
720.974.7254
Jack Perkins, VP Investor Relations E-mail: [email protected]
www.pershinggold.com
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Capital Structure CAPITAL STRUCTURE
Common shares issued and outstanding* 273,292,023
Conversion of Series E Convertible Preferred Stock 33,555,000
Warrants 26,244,621
Warrant Terms: 5,000,000 warrants - $.60 strike price/expire Apr 2014 3,909,031 warrants - $.50 strike price/expire Dec 2015 17,335,590 warrants - $.40 weighted average strike price/expiration dates between Aug 2016 through Mar 2022
Stock options 33,400,000
Total fully diluted shares outstanding 366,491,644
Share price as of November 21st, 2013 $0.367
Market capitalization as of November 21st, 2013 $100MM
Debt $0.00
Cash* $9MM
OTCQB:PGLC
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*As of November 14, 2013.
Share Price and Volume for Past Six Months
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