2015 Annual & Special Meeting of Shareholders
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Transcript of 2015 Annual & Special Meeting of Shareholders
2015 Annual and Special Meeting of Shareholders – May 7, 2015
TSX; NYSE: AUQ
www.auricogold.com
Built for SUCCESS
All amounts are in US dollars unless otherwise indicated
Forward Looking Statements
Cautionary Statement This presentation contains certain information that constitutes “forward-looking information” and “forward-looking statements” as defined under Canadian and U.S. securities
laws. All statements in this press release, other than statements of historical fact, are forward-looking statements. The words “expect”, “believe”, “anticipate”, “contemplate”,
“may”, “could”, “will”, “intend”, “estimate”, “forecast”, “target”, “budget”, “schedule” and similar expressions identify forward-looking statements. Forward-looking statements
in this presentation include, without limitation, statements with respect to our expectations on underground productivity levels, underground unit mining cost, underground
development, mill facility processing rate, cash flow, free cash flow, cash costs, capital investment and timing to completion on the final leg of the Northgate production shaft,
information as to our strategy, plans and future financial and operating performance, such as our expansion plans, project timelines, production plans, projected cash flows or
capital expenditure levels, cost estimates, mining or milling methods, projected exploration results, resource and reserve estimates, other statements that express our
expectations or estimates of future performance, the success of exploration activities, the Company’s ability to delineate additional resources and reserves as a result of such
programs, statements regarding the advancement of the Lynn Lake district, the completion of a feasibility study on the Lynn Lake Project within the indicated timeframe, mineral
reserves and mineral resources and anticipated grades, exploration expenditures, costs and timing of any future development, costs and timing of future exploration and the
Company’s intentions regarding its investment in Carlisle, the presence of and continuity of metals at Kemess East at modeled grades.
Forward-looking statements are necessarily based upon a number of factors and assumptions that, while considered reasonable by management at the time of making such
statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to
differ materially from those projected in the forward-looking statements. Such factors and assumptions underlying the forward-looking statements in this press release include,
but are not limited to: changes to current estimates of mineral reserves and resources; fluctuations in the price of gold; changes in foreign exchange rates (particularly the
Canadian dollar, Mexican peso and U.S. dollar); the impact of inflation; changes in our credit rating; any decision to declare a quarterly dividend; employee relations; litigation;
disruptions affecting operations; availability of and increased costs associated with mining inputs and labor; development delays at the Young-Davidson mine; operating or
technical difficulties in connection with mining or development activities; inherent risks associated with mining and mineral processing; the risk that the Young-Davidson and El
Chanate mines may not perform as planned; uncertainty with the Company’s ability to secure capital to execute its business plans; the speculative nature of mineral exploration
and development, including the risks of obtaining necessary licenses, permits, authorizations and/or approvals from the appropriate regulatory authorities for the Kemess
Underground and Lynn Lake projects; contests over title to properties; changes in national and local government legislation in Canada, Mexico and other jurisdictions in which
the Company does or may carry on business in the future; risk of loss due to sabotage and civil disturbances; the impact of global liquidity and credit availability and the values
of assets and liabilities based on projected future cash flows; risks arising from holding derivative instruments; business opportunities that may be pursued by the Company, as
well as those factors discussed under “Risk Factors” in the Company’s most recent Annual Information Form.
Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this presentation.
Such statements are based on a number of assumptions which may prove to be incorrect, including, but not limited to, the assumptions set forth in our most recent Form 40-
F/Annual Information Form. Readers are cautioned that forward-looking statements are not guarantees of future performance. All of the forward-looking statements made in this
press release are qualified by these cautionary statements. Specific reference is made to the most recent Form 40-F/Annual Information Form on file with the SEC and Canadian
provincial securities regulatory authorities for a discussion of some of the factors underlying forward-looking statements.
There can be no assurance that forward-looking statements or information will prove to be accurate, accordingly, investors should not place undue reliance on the forward-
looking statements or information contained herein. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of
new information, future events or otherwise, except as required by applicable law.
Cautionary Note to U.S. Investors Concerning Measured, Indicated and Inferred Resources This presentation uses the terms "measured", "indicated" and "inferred” resources. We advise investors that while those terms are recognized and required by Canadian
regulations, the United States Securities and Exchange Commission does not recognize them. “Inferred resources” have a great amount of uncertainty as to their existence and
as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred resource will ever be upgraded to a higher category. Under Canadian rules,
estimates of inferred mineral resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or any part
of measured or indicated mineral resources will ever be converted into mineral reserves. United States investors are also cautioned not to assume that all or any part of an
inferred mineral resource exists, or is economically or legally mineable.
Qualified Person as Defined by National Instrument 43-101 Chris Bostwick, FAusIMM, Senior Vice President, Technical Services for AuRico Gold Inc. has reviewed and approved the scientific and technical information contained within
this presentation. Mr. Bostwick is a “Qualified Person” as defined by National Instrument 43-101.
2
Built for Success
Exclusive North American portfolio
Low cost, long life assets
Significant production growth
Growing free cash flow profile
Strong development project pipeline
Strong liquidity profile
Significant Canadian tax loss pools
Favourable Canadian dollar exposure
Quarterly dividend distributions
-
50,000
100,000
150,000
200,000
250,000
300,000
350,000
FY 12 FY 13 FY 14 FY 15E FY 16E FY 17E
Gold
Ounces (
5)
AuRico Gold: Built For Success
3
Significant Production Growth*
Growing Free Cash Flow*
(0.60)
(0.50)
(0.40)
(0.30)
(0.20)
(0.10)
0.00
0.10
0.20
0.30
0.40
FY 14 FY 15E FY 16E FY 17E FY 18E
Fre
e C
ash F
low
per
Share
* Source: FactSet consensus data. (5) Refer to endnote #5
AuRico Gold Overview
Cash $91M Undrawn
debt facility $150M
4
Unrestricted Cash, March 31
$165
Undrawn Revolving
Credit Facility $150
(as of March 31, 2015) Capital Structure
Issued and Outstanding Shares 253.5M
Options 13.0M
Share Units 1.5M
Fully Diluted 268.0M
(as of March 31, 2015)
Broker Analyst
1 Credit Suisse Anita Soni
2 RBC Capital Markets Dan Rollins
3 Morgan Stanley Brad Humphrey
4 National Bank Financial Adam Melnyk
5 BMO Capital Markets Brian Quast
6 CIBC World Markets Cosmos Chiu
7 Pareto Securities Rhys Bradley
8 Desjardins Securities Mike Parkin
9 Raymond James Phil Russo
10 TD Securities Steve Green
11 Mackie Research Barry Allan
12 GMP Securities Ian Parkinson
13 Dundee Capital Markets Joe Fazzini
14 Canaccord Genuity Rahul Paul
15 Macquarie Research Mike Siperco
16 Scotiabank GBM Trevor Turnbull
$241M in Liquidity
Analyst Coverage
Corporate Information (AUQ:TSX,NYSE)
2015 2016 2017 2018 2019 2020
No Significant Debt Maturities until 2020
$315M
High Yield
Bond
C$20M Payment and Restructured Royalty (Jan.
C$20M Upfront Payment and Restructured
Royalty Agreement (Jan. 2015)
North American Portfolio of Quality Assets
Producing Assets in Top Mining Jurisdictions
Feasibility: Kemess Provides Significant Option Value
Pre-Feasibility: Lynn Lake JV (25%) - a Strategic Low-Risk Opportunity
Low cost assets with an organic growth profile and free cash flow stream
Young-Davidson: One of Canada’s largest underground gold mines
El Chanate: Consistent, low cost open pit mine in Mexico
Kemess: Advanced development project in B.C.
Kemess Reserve and Resource Inventory: 10.6M Aue oz.
Permitting: Kemess Underground in Phase 2 of 3 Phases
Advanced high-grade open pit gold
mine development project
Advanced high-grade open pit gold mine in Manitoba
60% ownership by delivering a Feasibility Study
Commenced Feasibility Study
Significant new value creating opportunity
5
2015: Guiding for Another Record Year
18 19 19 16
72 75 28 29 30 33
121
150
46 48 49 50
193
225
$635 $655 $628
$766 $676
$800
$1,090 $1,189 $1,210
$1,064 $1,182 $1,100
0
100
200
300
Q1 2013 Q2 2013 Q3 2013 Q4 2013 2013 2014E
YD Production (koz)
El Chanate Production (koz)
Total Cash Costs ($/oz)
AISC ($/oz)
(1) Prior to commissioning the underground mine at Young-Davidson, cash costs were calculated on ounces produced from the open pit only. All underground costs were capitalized, and any revenue related to underground
ounces sold was credited against capital. Subsequent to the declaration of commercial production in the underground mine, cash costs are calculated on ounces produced from both the open pit and underground mines, and
revenue related to the sale of underground ounces is recognized in the Company's Statement of Operations as revenue
(2) Cash costs and all in sustaining costs, prior to stockpile and heap leach inventory net realizable value adjustments & reversals. See the Non-GAAP Measures section on page 20 of the Management’s Discussion and Analysis
for the three and nine months ended Sept. 30, 2013
(3) Includes pre-production gold ounces from the Young-Davidson underground mine
0
25
50
75
100
125
150
175
200
225
250
275
2013 2014 2015E
Pro
ductio
n O
z.
(000’s
)
Growing Production
$0
$50
$100
$150
$200
$250
2013 2014 2015E
US
$ (
000’s
)
Declining Capital Investment
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
2013 2014 2015E
US
$ p
er
ounce
All-in Sustaining Costs
► Commercial production at Young-
Davidson underground commenced on
Oct. 31, 2013
► Well positioned to deliver company-wide
quarter over quarter productivity
improvements
► Gold production increase of up to 14%, with continued annual growth over next 3 years
► Operating costs to decrease significantly with corresponding annual production increases
► Up to 36% decrease in capital investment, with additional decreases going forward
2015 Company-Wide Operational Guidance Highlights
GROWING PRODUCTION; DECLINING COSTS AND CAPITAL INVESTMENT
› Production growth: up to 14%; Cash costs decline: up to 13%; Capital investment decline: up to 36%
YOUNG-DAVIDSON: GROWING PRODUCTION; DECLINING COSTS AND CAPITAL INVESTMENT
› Production growth: up to 15%; U/G cash cost decrease: up to 17%; Capital investment decrease: up to 37%
› Underpins growing net free cash flow stream
6
Ramping-Up to be One of the Largest Gold Mines in Canada
Young-Davidson Quarterly Operational Results
First Quarter
March 31/13
Second Quarter
June 30/13
Third Quarter
Sept. 30/13
Fourth Quarter
Dec. 31/13
First Quarter
Mar. 31/14
Second Quarter
June 30/14
Gold Ounces Produced 1.5 28,281 29,252 30,099 33,106 35,104 40,166
Underground Cash Costs1,2 - - - $663 $808 $803
Open Pit Cash Costs1,2 $694 $716 $666 $983 $1,350 $974
Total Cash Costs per oz.1,2 $694 $716 $666 $850 $1,009 $871
(1) Refer to endnote #1 (2) Refer to endnote #2 (5) Refer to endnote #5
Young-Davidson Production Growth (5)
Q1/13 Q2/13 Q3/13 Q4/13 Q1/14 Q2/14 Q3/14 Q4/14 Q1/15
Gold ounces produced (5) 28,281 29,252 30,099 33,106 35,104 40,166 40,538 40,945 38,098
Underground cash costs per oz. - - - $663 $808 $803 $656 $656 $677
Open pit cash costs per oz. $694 $716 $666 $983 $1,350 $974 $923 $994 $1,149
Total cash costs per oz. (1)(2) $694 $716 $666 $850 $1,009 $871 $723 $719 $745
All-in sustaining costs per oz.(1)(2) $1,059 $1,254 $1,357 $1,270 $1,315 $1,144 $959 $912 $987
Underground mine
Tonnes mined per day 1,130 1,611 1,417 2,590 2,611 3,595 3,753 4,140 4,130
Grades (g/t) 2.7 2.5 2.8 3.1 2.8 3.3 3.1 3.0 3.0
Development metres 1,941 2,445 2,620 2,986 3,772 3,545 3,269 3,438 3,409
Mill processing facility
Tonnes processed per day 6,466 7,017 6,747 6,969 7,163 8,230 7,670 7,757 7,186
Grades (incl. open pit stockpile) 1.8 1.7 1.7 2.0 1.8 2.2 1.9 2.0 2.0
Recoveries (%) 86% 85% 89% 88% 87% 88% 90% 88% 86%
Young-Davidson Quarterly Operational Results
(1) Refer to endnote #1 (2) Refer to endnote #2 (5) Refer to endnote #5
11,950
17,825
26,363 28,281 29,252 30,099
33,106 35,104
40,166 40,538 40,945 38,098
42,000
Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Q1 14 Q2 14 Q3 14 Q4 14 Q1 15 Q2 15E
Gold
Ounces P
roduced
(5)
Strong Operations: Growing Production
7
(1) Prior to inventory net realizable value adjustments and reversals
(2) Reserves and resources stated as at December 31, 2012. Resources are inclusive of reserves
Red Lake (incl. Cochenour)
498
Porcupine 293
Eleonore 350
Musselwhite 274
Meadowbank 377
LaRonde 247
Goldex 99
Lapa 76
Canadian Malartic (50%)
299
Detour Lake 540 Canadian
Malartic (50%) 299
Hemlo 205
Young- Davidson
170
Goldcorp Inc. Agnico EagleMines Ltd.
Detour GoldCorp.
Yamana GoldInc.
Barrick GoldCorp.
AuRico Gold Inc.
Source: Scotiabank
Gold Producers in Canada 2015E Gold Production (koz)
Photo
3,000
4,140
6,000
8,000 8,000
2013 2014 2015E 2016E 2017E
Underg
round O
re T
onnes p
er
Day
YE target of
2,000tpd
170 U/G miners
207 U/G miners
240 U/G miners
240 U/G miners
Young-Davidson: Strategic Canadian Asset
8
2013 2014 2015E
Gold Production (koz) (5) 120.7 156.8 160-180
Underground Cash Costs ($/oz) (1)(2) $663 $719 $600-$700
Open Pit Cash Costs ($/oz) (1)(2) $757 $1,071 $1,100-$1,200
Cash Costs ($/oz) (1)(2) $744 $825 $675-$775
Capital Investment ($M)(3) $191 $135 $85-$95
Projected Asset Life (years) +20
Underground Reserves (Moz) (4) 3.8
Au Grade (g/t) 2.74
Underground M&I (Moz) (4) 1.4
Au Grade (g/t) 3.19
Growing Gold Price Margin
Significant Gold Production Growth*(5)
Production Ramp-Up (Year-End Exit Rates)
-
50,000
100,000
150,000
200,000
250,000
2012 2013 2014 2015E 2016E 2017E
Gold
Ounces
(1) Refer to endnote #1 (2) Refer to endnote #2 (3) Refer to endnote #3 (4) Refer to endnote #4
* Source: FactSet consensus data.
YE target of
4,000tpd
1,000
1,100
1,200
1,300
1,400
1,500
1,600
1,700
1,800
1,900
2,000
Spot G
old
Price
As of March 31/15
CAD$ US$
90-95% of all
cash outflows
are in CAD$
90-95% of Cash Outflows are in CAD$
2015 Business Plan
Gold production growth of up to 15%
UG productivity increase to 6,000tpd
UG cash costs guidance $600/oz. - $700/oz.
Capital expenditure decrease of up to 37%
Growing positive net free cash flows
Map of Operations
(1) Average annual open pit production
(2) Reserves and resources stated as at December 31, 2012. Resources are inclusive of reserves
(3) Prior to inventory net realizable value adjustments and reversals
Au Production (koz)(1) 87
Cash Costs ($/oz) $753
AISC ($/oz) $947
Projected Mine Life (years) 10
Reserves (Moz)(2) 1.2
Au Grade (g/t) 0.67
Resources (Moz)(2) 1.3
Au Grade (g/t) 0.65
Mine Type Open Pit
El Chanate Mine
Insert MC
and
Hermisillo
El Chanate: Consistent Gold Production
9
2014 2015E
Au Production (koz) (5) 67.3 65-75
Cash Costs ($/oz) (1)(2) $669 $675-$775
Capital Investment ($M)(3) $26.1 $17.5 - $20
Projected Asset Life (years) 8
Reserves (koz) (4) 646
Au Grade (g/t) 0.74
-
10,000
20,000
30,000
40,000
50,000
60,000
70,000
2011 2012 2013 2014 2015E
Gold
Pro
ductio
n O
unces
Consistent Gold Production(5)
(1) Refer to endnote #1 (2) Refer to endnote #2 (3) Refer to endnote #3 (4) Refer to endnote #4 (5) Refer to endnote #5
Consistent production of 65 - 75kozs
Industry competitive operating costs
All-in sustaining costs of $950-$1,050/oz.
2015 capital decrease of up to 33%
Key exploration focus
(1) Net of by-product credits assuming $3.00/lb Cu
(2) Gold equivalent ounces calculated using long term consensus pricing of $1,304/oz Au and $3.08/lb Cu
Permitting application process
underway
Mine Type Underground Block Cave
Avg. LOM Annual Prod. 105 koz Au / 44 Mlbs Cu
Avg. LOM Cash Costs (US$/oz) (1) $213
Avg. LOM AISC (US$/oz) (1) $352
Projected Mine Life (years) 12
Development Capex ($M) C$384
Au.Eq. Reserves (Moz) (4) 3.3
Au grade (g/t) 0.56
Cu Grade (%) 0.28
Au.Eq. Resources (Moz) (4) 5.2
NPV (5%) >C$225M
2013 Kemess Underground Feasibility Highlights(4)
$1B of Surface Infrastructure - 50ktpd Mill, Grid Power, Tailings Storage Facility, Camp Facilities
Kemess Underground: Key Development Project
10 (1) Refer to endnote #1 (4) Refer to endnote #4
Fully operational surface infrastructure
Positive Feasibility Study completed
Permitting: Phase 2 of 3 phase process
Significant new exploration discovery
Lynn Lake: High Grade Open Pit Project
11
Project Overview(6)
Mine Type Open Pit
Au Grade (g/t)(4) 2.2
Au M&I (Moz)(4) 1.50
Avg. LOM Annual Mill Prod. (koz) 145
Avg. LOM Cash Costs (C$oz) $530
Initial Capex (C$M) $185
Projected Mine Life (years) 12
NPV(5%) (C$M) $257
Optimized PEA
Assumptions (US$) $1,100 Au / $18 Ag
Source: Carlisle Goldfields Company Reports
Strategic Low-Risk Opportunity in Early-Stage, Highly Prospective Lynn Lake Mining District
Significant new value creating opportunity following inexpensive C$10M upfront investment (2014)
AuRico is the operator and has controlling representation on management committee
60% ownership interest by funding up to C$20M over 3 years and delivering a feasibility study
(6) Refer to endnote #6
(4) Refer to endnote #4
0
50,000
100,000
150,000
200,000
250,000
1 2 3 4 5 6 7 8 9 10 11 12
Gold
ounces p
er
year
Life of Mine (years)
Annual Life of Mine Production(6)
Merger of Equals with Alamos Gold
12
• High quality, diversified gold production from three North American mines
• Leading intermediate gold producer with a robust growth profile and diversified asset
base
• Enhanced capital markets attractiveness
• Increased trading liquidity
• Strong combined balance sheet with increased financial flexibility
• Superior cash flow growth profile
• Significant synergies
• Significant unlocked value in Kemess project
• Diversified royalty revenues
• Strong management team
• Extensive portfolio of low cost development stage assets in safe jurisdictions that
can be advanced in a disciplined manner
• Combination of two complementary and highly experienced teams
• Significant open pit, heap leach and underground mining expertise
Diversified
production
Leading growth
profile
Significant re-rating
potential
Strong financial
position
Complementary
management teams
Exposure to
SpinCo
Combined annual production potential > 700k oz
Diversified Portfolio of Quality Assets
13
Producing Assets in Top Mining Jurisdictions
Strong Development Pipeline
Exploration
Young-Davidson (Canada): Flagship long-life underground gold mine
Mulatos (Mexico): Flagship open pit, heap leach operation
El Chanate (Mexico): Stable open pit, heap leach operation
Kirazlı, Ağı Dağı & Çamyurt (Turkey): Advanced stage, low cost, open
pit, heap leach development projects
Esperanza (Mexico): Low cost, open pit, heap leach project
Lynn Lake (Canada): Advanced high-grade open pit gold project
Quartz Mountain (USA): Advanced exploration project
Orion (Mexico): 50% ownership with Minera Frisco S.A. de C.V.
AuRico Metals
14
Ownership • MergeCo to own 4.9% of SpinCo
• Balance to be owned by Alamos and AuRico shareholders on a 50/50 basis
High-
Quality
Assets
• Kemess is a high-quality, copper-gold porphyry development project in B.C.
• Long-life and growing cash flow from Young-Davidson 1.5% NSR
• Royalties on two gold mines - Fosterville (2% NSR) and Stawell (1% NSR)
Investment
Highlights
• Creation of well-funded, cash flowing company with significant growth potential
• Potential to unlock significant value of Kemess and the royalties
• Complementary asset base as royalty income funds Kemess advancement
• Removes Kemess financing requirement from MergeCo
• Strong management team:
• Chris Richter, CEO; Robert Chausse, CFO; and Scott Perry, Executive Chairman
Balance
Sheet • US$20 million cash
Kemess Young-Davidson Fosterville Stawell
Appendix
Endnotes
16
All amounts are in US dollars unless otherwise indicated
1. Cash Costs per Gold Ounce and All-In Sustaining Costs (“AISC”) Per Gold Ounce are Non-GAAP measures that do not have any standardized
meaning prescribed by International Financial Reporting Standards (“IFRS” or “GAAP”), and that should not be considered in isolation from or as a
substitute for performance measures prepared in accordance with GAAP. See the Non-GAAP Measures section on page 22 of the Management's
Discussion and Analysis for the year ended December 31, 2014 available on the Company website at www.auricogold.com. Cash Costs and All-In
Sustaining Costs are prior to inventory net realizable adjustments and reversals.
2. Cash costs for the Young-Davidson and El Chanate mines are calculated on a per gold ounce basis, net of by-product revenues and net realizable
value adjustments and reversals. Prior to 2014, gold ounces include ounces sold at the El Chanate mine and ounces produced at the Young-
Davidson mine. Commencing in 2014 cash costs for both the Young-Davidson and El Chanate mines were calculated based on ounces sold. Prior to
commissioning the underground mine at Young-Davidson, cash costs were calculated on ounces produced from the open pit only. All underground
costs were capitalized, and any revenue related to underground ounces sold was credited against capital expenditures. Subsequent to the
declaration of commercial production in the underground mine, cash costs are calculated on ounces produced from both the open pit and
underground mines, and revenue related to the sale of underground ounces is recognized in the Company’s Statement of Operations as revenue.
3. For more information regarding AuRico Gold’s 2015 operational estimates, including production, costs, and capital investments, please refer to the
press release dated February 19, 2015 titled AuRico Gold Announces 2015 Operational Outlook, which is available on the Company website at
www.auricogold.com.
4. Reserves and resources for Young-Davidson and El Chanate mines, and Orion represent gold grade as per technical reports and Company
disclosure. For more information regarding AuRico Gold’s Mineral Reserves and Resources as at December 31, 2014, please refer to the press
release dated February 19, 2015 titled AuRico Reports 2014 Reserve & Resource Update available on the Company website at www.auricogold.com.
Measured and indicated resources excludes inferred resources. For more information on the Kemess Feasibility Study, please refer to the press
release dated March 25, 2013 titled AuRico Reports 2012 Reserve & Resource Update and Kemess Feasibility Study Results. For more information
regarding drilling results from the Kemess East discovery refer to the press release issued December 15, 2014 titled AuRico Gold Announces a New
Gold-Copper Porphyry Discovery at the Kemess Project; Initial Resource Estimate Expected in Early 2015. For more information on the initial
resource for Kemess East refer to the press release issued January 21, 2015 titled AuRico Gold Announces Initial Resource of 5.5 Million Gold
Equivalent Ounces at Kemess East; Reserves and Resources of 10.6 Million gold equivalent ounces at Kemess Property.
5. Production figures include gold ounces only. 2012 and 2013 production at the Young-Davidson mine includes pre-production ounces, which include
ounces produced prior to the declaration of commercial production on September 1, 2012, and the declaration of commercial production in the
underground mine on October 31, 2013.
6. For more information regarding the Lynn Lake District, please refer to the press release issued by Carlisle Goldfields dated February 27, 2014 titled
Carlisle Announces Optimized PEA of the Farley and MacLellan deposits at Lynn Lake returns Post-Tax IRR of 26.3% at US$1100 gold price.