Crocodile Gold Corporate Presentation May 2014

A Mid-Tier Australian Gold Producer May 2014 TSX : CRK

OTCQX : CROCF

FRANKFURT : XGC

Forward Looking Information

2

This presentation contains forward-looking information under Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the development potential and timetable of the projects; the Company’s ability to raise additional funds as necessary or on commercially reasonable terms; the future price of gold; the estimation of mineral resources and mineral reserves; conclusions of economic evaluation (including scoping studies); the realization of mineral resource and reserve estimates; the timing and amount of estimated future production, development and exploration; costs of future activities; capital and operating expenditures; success of exploration activities; mining or processing issues; currency exchange rates; government regulation of mining operations; and environmental risks. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, 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”. Forward-looking information is based on the opinions and estimates of management as of the date such statements are made. Estimates regarding the anticipated timing, amount and cost of mining at the projects are based on assumptions underlying mineral resource estimates and the realization of such estimates; results of previous mining activities at the projects, and detailed research and analysis completed by independent of the Company; research and estimates regarding the timing of delivery for long-lead items; knowledge regarding the factors consultants and management involved in building a mine and other factors described in the technical reports and Annual Information Form filed under the profile of the Company on SEDAR. Capital and operating cost estimates are based on results of previous mining activities, research of the Company and independent consultants, recent estimates of construction and mining costs and other factors that are set out in the scoping study. Production estimates are based on mine plans and production schedules, which have been developed by the Company’s personnel and independent consultants. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to risks related to: timing and availability of external financing on acceptable terms; unexpected events and delays during construction, expansion and start-up; variations in ore grade and recovery rates; receipt and revocation of government approvals; actual results of exploration and mining activities; changes in project parameters as plans continue to be refined; future prices of gold; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such 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 information. The Company does not undertake to update any forward-looking information except in accordance with applicable securities laws.

Investors are advised that National Instrument NI 43-101 of the Canadian Securities Administrators requires that each category of mineral reserves and mineral resources be reported separately. Mineral resources that are not mineral reserves do not have demonstrated economic viability. Due to the uncertainty of measured, indicated or inferred mineral resources, these mineral resources may never be upgraded to proven and probable mineral reserves.

Bill Nielsen P.Geo., is a “qualified person” as such term is defined in National Instrument 43-101 and has reviewed and approved the technical information and data included in this presentation

Cautionary Note to U.S. Investors Concerning Estimates of Measured, Indicated or Inferred Resources The information presented uses the terms “measured”, “indicated” and “inferred” mineral resources. United States investors are advised that while such terms are recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize these terms. “Inferred mineral 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 mineral 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.

Non-IFRS Measures Crocodile Gold believes that investors use certain indicators to assess gold mining companies. The indicators are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance in accordance with the International Financial Reporting Standards.

“Operational Cash Cost per Ounce” is a non-IFRS performance measure which could provide an indication of the mining and processing efficiency at the operations. It is determined by dividing the operating expenses, excluding stock-based compensation allocated to the operating expense and next of silver revenue, by the number of ounces of gold sold. There are variations in the method of computation of “operational cash cost per ounce” as determined by the Company compared with other mining companies. For more detail on the Operational Cash Cost per Ounce determination for Crocodile Gold, please visit www.sedar.com or www.crocgold.com and review the latest Annual Financial Statements issued on March 19, 2013.

Note for Pages 8-10 and 15 : For information regarding mineral resource and reserve estimates, including parameters used to generate the estimates and depletion, please see the technical reports titled:

NI43-101 TECHNICAL REPORT FOSTERVILLE GOLD MINE, VICTORIA, AUSTRALIA PREPARED FOR CROCODILE GOLD CORP dated April 29th, 2012; NI43-101 TECHNICAL REPORT STAWELL

GOLD MINE, VICTORIA, AUSTRALIA PREPARED FOR CROCODILE GOLD CORP dated April 9th, 2012. For the Northern Territory Mineral Reserve Estimates please refer to the technical reports titled:

REPORT ON THE MINERAL RESOURCES & MINERAL RESERVES OF THE COSMO DEEPS GOLD PROJECT dated June 1, 2013;

REPORT ON THE MINERAL RESOURCES & MINERAL RESERVES OF THE UNION REEFS GOLD PROJECT dated December 31, 2012; REPORT ON THE MINERAL RESOURCES & MINERAL

RESERVES OF THE PINE CREEK GOLD PROJECT dated December 31, 2012; REPORT ON THE MINERAL RESOURCES & MINERAL RESERVES OF THE MAUD CREEK GOLD PROJECT dated

December 31, 2012; REPORT ON THE MINERAL RESOURCES & MINERAL RESERVES OF THE BURNSIDE GOLD AND BASE METAL PROJECT dated December 12, 2013.

Notes for Page 11: The PEA is preliminary in nature and is based on a number of assumptions that may be changed in the future as additional information becomes available. Mineral resources that are

not mineral reserves do not have demonstrated economic viability. The PEA includes inferred mineral resources that are considered too speculative geologically to have the economic considerations

applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEA will be realized

http://www.sedar.com/





http://www.crocgold.com/





Investment Highlights

3

GROWING GOLD

PRODUCTION

GENERATING CASH

FLOW

GROWTH

POTENTIAL

• Operating cash flow generated in Q1 2014 exceeded

$12 million

• Total Operating cash flow generated in 2013 exceeded

$67 million

• Operational Cash Costs for Q1 2014 decreased to $971

per ounce compared to $1,027 per oz in 2013

• All-In Sustaining Cash Costs for Q1 2014 decreased to

$1,307 per oz compared to $1,386 in 2013

• Total Production for 2013 was 210,000 oz, up from

155,000 oz in 2012

• Production for Q1 2014 was 53,583 ounces of gold; on

track for 2014 production guidance of 200-210,000 oz

DECREASING

COSTS

• Current focus is on underground resource definition to

extend mine life at all projects

• Further exploration will be based on the value added by

the project

All within

Australia –

a first world

country with

one of the

most mining

friendly

jurisdictions

SIZABLE

RESOURCES

• Proven and Probable Reserves: 1.0 million oz

• M+I Resources: 4 million oz

• Inferred Resources 2.3 million oz

2013/2014 Significant Highlights

4

20

13

Q2 • Successfully unwound gold swap (hedge) position, significantly

reducing debt from approximately $70M to $11M

Q3

• Cosmo Mine transitioned from ramp-up to sustainable producer

with 21,300 ounces produced in Q3

• Increased production guidance to 200,000 – 205,000 oz from

170,000 – 180,000 oz

Q4

• Exceeded 2013 guidance with 210,626 ounces produce at an

average cash cost of $1,067

• Established 2014 production guidance of 200,000 – 210,000

ounces gold at an average cost between $900 – 950

20

14

Q1

• Executed 3 key contracts for Northern Territory Operations which

will yield significant cost savings

• Closed an $18 million private placement with Luxor Capital and

Sprott Asset Management

• Paid out Credit Suisse credit facility ahead of schedule

5

Crocodile Gold is focused on building a strong, sustainable mining

company based on core mining principles and value-driven decision

making. This will be accomplished through:

Generating Positive Cash Flow – Cash flow is needed to fund growth projects.

Over the past three quarters, the Company has been successful in generating cash

from operations and in order to continue this, the Company has limited sustaining

capital spending and has implemented a number of cost control measures.

Implementing Cost Controls – Cost control measures and minimizing operational

cash costs are necessary under current market conditions. The Company has

focused on the centralization and streamlining of many aspects of the operations

across Australia including IT Services and HR functions.

Divesting Non-Core Assets – Currently the Company has over 4,000 sq. km of

property, much of which does not fit the criteria of adding value in the near term.

Divesting these assets removes carrying costs and streamlines operations.

2014 Strategic Outlook

6

2013-14 Operational Summary

Crocodile Gold is focused on maintaining sustainable levels of

production and managing costs.

2014 Production:

200,000 - 210,000 oz

2014 Operating Cash Cost:

USD$900-$950

$1,150

$1,101 $924

$967 $971

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

Q1 '13 Q2 '13 Q3 '13 Q4 '13 Q1 '14

CA

SH

CO

ST

US

$/O

Z

OZ

PR

OD

UC

ED

Cosmo Gold Mine Fosterville Gold Mine Stawell Gold Mine Cash Cost

Generating Positive Cash Flow

Crocodile Gold is focused on generating positive operational cash

flow.

7

$1,664

$1,401 $1,325

$1,273 $1,280

$1,150 $1,101

$924 $963 $971

$-

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014

US$

Pe

r O

un

ce

Average Sale Price Cash Cost Per Ounce

$0.04

$0.03

$0.05 $0.04

$0.03

$-

$0.01

$0.02

$0.03

$0.04

$0.05

Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014

Op

era

tio

na

l C

ash

F

low

Pe

r S

hare

8

Gold Production:

Cosmo Gold Mine

• In Q1 2014, Cosmo mined 180,000 tonnes of

ore and processed 230,000 tonnes with an

average grade of 2.79 g/t Au.

• In the quarter, the Union Reefs Mill treated ore

from a lower grade oxide stockpile for

environmental reclamation purposes which

affected overall average grade and recovery

results

• Also during the quarter, Crocodile Gold

successfully transitioned in a new mining

contractor with minimal disruption to

production.

• Proven and Probable Reserves* of 1.96Mt at

3.75 g/t Au for 236,000oz

• Measured and Indicated Resources* of 4.1Mt

at 3.6 g/t Au for 480,000 oz

*Please refer to cautionary notes on page 2 of this presentation

Cosmo 2014 Performance

Q1 2014 Q1 2013

Ore Milled (Tonnes) 230,815 152,128

Average Grade (g/t Au) 2.79 3.12

Recovery(%) 85.9 86.4

Gold Produced

(Ounces) 17,841 13,169

Gold Sold (Ounces) 19,416 12,309

Cosmo Access Portal

2014 Production Guidance:

75,000 – 80,000 Ounces Gold

9

Gold Production:

Fosterville Gold Mine

• In Q1 2014, Fosterville continued to demonstrated

strong results with over 220,000 tonnes processed for

almost 26,000 ounces of gold.

• Positive underground definition drilling returned

intersections that suggest the Phoenix and Lower

Phoenix Zones will extend the mine life past the

current 3 years. Highlights include:

Fosterville Processing Facility

Fosterville 2014 Performance

Q1 2014 Q1 2013



Recovery (%) 84.3 81.4

Gold Produced

(Ounces) 25,786 23,556



95,000 – 100,000 Ounces Gold

Hole Width (m) ETW* (m) g/t Au

Phoenix Zone

UDH0501 6.90 5.40 12.66

UDH0503 9.65 7.90 6.40

UDH0505 5.30 3.80 10.41

UDH0750 15.90 11.70 6.00

Lower Phoenix Zone

UDE110 33.80 7.00 24.00

UDH0561 3.60 3.00 32.86

UDH0575 14.35 8.00 12.89

UDH0617 6.85 6.30 19.15

UDH0643 11.90 8.60 16.67

UDH0755 6.80 6.60 122.35 *ETW = Estimated True Width. Full details of the definition drilling program, including

QA/QC processes, can be found in the Press Release dated March 12, 2014

10

Gold Production:

Stawell Gold Mine

Stawell Processing Facility

• Stawell continues to focus on the upper levels

of the Mine, accessing remnant ounces while

reviewing the upper level resource to identify

further profitable opportunities from the

underground.

• In Q1 2014, Stawell milled a total of 227,000

tonnes of underground and stockpile ore at an

average grade of 1.71 g/t Au. Stawell is

expected to continue underground remnant

mining into 2014.

Next Steps

• Exploring opportunities within the existing

mining lease, including the Big Hill Project.

• Engagement continues with local stakeholders

and community.

Stawell 2014 Performance

Q1 2014 Q1 2013



Recovery(%) 79.4 86.5

Gold Produced

(Ounces) 9,956 12,228



~ 30,000 Ounces Gold

11

The Big Hill Deposit is the surface

expression of the Stawell Deposit. It

currently has Indicated Resources of 2.83

million tonnes at 1.84 g/t Au for 167,000 oz*. South

Gandy’s

Big Hill Pit

Description Unit Open Pit

Strip ratio 3.4 to 1

Ore production Mt 2.3

Grade g/t 1,65

Recovered ounces oz 108,531

Revenue AUD$(mm) 153

LOM Capital AUD$(mm) 21.7

NPV ($1,400/oz, 10%

DR)

AUD$(mm) 39.6

Growth Projects:

Big Hill Enhanced Development Project

Project Plan

• NI 43-101 compliant Preliminary

Economic Assessment (PEA) completed

• Ore would be treated at the existing

Stawell Gold Mine mill

• Estimated 4 ½ years of operation

Milestones

• The Environmental Effects Statement for

the project was issued for Public Review

in late March 2014. Final

recommendations are expected in Q3.

• Full Feasibility Study is expected to be

released in the second half of 2014.

Stawell Mill

Big Hill Project

12

Strategic Projects:

Non-Core Asset Divestment

Non-Core Asset Divestment

Crocodile Gold continues to look for opportunities to divest or Joint Venture (JV) non-core assets

primarily in the Northern Territory. The benefits include:

• Returning upside in the form of Earn-in Rights, Royalties and other similar arrangements

• Carrying cost savings

• Sharper focus on core producing assets

Completed Divestments:

Rockland Option Agreement

• Crocodile Gold entered into a uranium exploration agreement with Rockland Resources Pty. where

Rockland received 100% uranium interest on the company’s property for a AUD$1 million

exploration commitment over 4 years and a 1% net smelter royalty capped at AUD$2.5 million

Mt. Bundy Gold Project Divestment to Primary Gold (ASX:PGO)

• For the sale of the property, Crocodile Gold received 11.75 million restricted and unrestricted shares

(10.5% ownership), a cash payment of AUD$ 3.35 million and a AUD$2.5 million capped royalty

• This eliminated the care and maintenance costs on Tom’s Gully Processing plant generating a

savings of ~$600,000 per annum.

13

Cash and Debt Positions

Cash Position and Working Capital (End of Q1 2014)

• Cash Position: USD$38.0 Million

• Working Capital: USD$25.9 Million

Debt—Convertible Debenture

• Crocodile Gold issued a C$34.5 Million convertible debenture due on April 30, 2018, with an 8% coupon and $0.25 conversion price.

• All interest payments to date on the debenture have been settled in cash.

Capital Structure

14

Share Structure & Financial Details

Basic: 475.6 Million

Warrants: 63.4 Million

Options: 022.9 Million

Fully Diluted: 699.9 Million*

Market Capitalization: (As of May 12, 2014)

$114.1 Million

52 Week Trading

Range $0.355 – $0.07

52 Week Share Price Performance

Luxor Capital is the majority owner of Crocodile Gold with approximate ownership

of 56% position. Luxor is very active in the management and oversight of the

Company with two active members on the Board.

Major Shareholder

$0.00

$0.05

$0.10

$0.15

$0.20

$0.25

$0.30

$0.35

*Fully diluted shares outstanding includes the full conversion of the convertible

debentures for 138,000,000 shares

Mineral Resources and Reserves *

15

Tonnes Au Grade Au

(MM) (g/t) (Koz)

Proven & Probable Reserves

Cosmo 1.96 3.75 236

Fosterville 2.4 4.7 365

Pine Creek 1.3 1.55 62

Stawell 1.0 3.4 107

Burnside 0.154 1.93 10

Union Reefs 0.298 4.4 42

Maud Creek 1.0 5.4 185

Reserves 8.112 3.82 1,007

Measured and Indicated Resources (incl. of Reserves)

Cosmo 4.1 3.6 480

Fosterville 13.9 2.9 1,289


Stawell 4.7 2.6 399

Burnside 7.6 1.4 336



M&I Resources 49.4 2.51 3,991

Inferred Resources

Cosmo 2.3 3.14 238

Fosterville 5.0 2.9 477


Stawell 1.0 4.7 145

Burnside 11.8 1.6 602



Inferred Resources 31.3 2.29 2,302

*Please refer to cautionary language on page 2 of this presentation

Crocodile Gold maintains

significant Measured and

Indicated Resources of

4 million ounces and

Inferred Resources of

2.3 million ounces.

Reserves for Crocodile

Gold’s projects total

approximately

1.0 million ounces.

Crocodile Gold Management Team

Rodney D. Lamond, P. Eng., President & Chief Executive Officer , Director

Mr. Rodney Lamond joined Crocodile Gold as President and Chief Executive Officer of Crocodile Gold in July 2013. Mr. Lamond is a

Professional Mining Engineer with over 25 years of operational experience in the mining industry

Robert Dufour, CPA, CA, Chief Financial Officer

Mr. Robert Dufour was appointed Chief Financial Officer in October 2012. Mr. Dufour is a Chartered Accountant with over 10 years of

finance and accounting experience.

Brianna Davies, J.D., Corporate Secretary

Ms. Brianna Davies has been involved with Crocodile Gold since its inception in 2009. Ms. Davies is a corporate securities lawyer with

experience in the mining and resource sector,.

Troy Cole, General Manager, Stawell Gold Mine

Mr. Troy Cole joined Crocodile Gold Corporation in 2012 through the acquisition of the Stawell Gold Mines from Aurico. Mr. Cole has

been Stawell Gold Mines General Manager since 2007 and has the responsibilities of director, mine management and engineering

during his tenure.

Ian Holland, General Manager, Fosterville Gold Mine

Mr. Ian Holland joined Crocodile Gold through the Acquisition of the Fosterville Gold Mine in 2012 and has been in the role of General

Manager since 2007. Ian has over 17 years experience across a number of gold and base metal mining operations throughout

Australia. He is a geologist by background and has a strong track record in metalliferous operations.

Jason Morin, General Manager, NT Operations

Mr. Jason Morin joined Crocodile Gold in September 2013. He was most recently the General Manager of the Langlois Mine in Quebec

for Nyrstar where he successfully guided the site from care & maintenance to full name plant capacity in 6 months.

Mark Edwards, General Manager, Exploration and Business Development

Mr. Mark Edwards has been part of Crocodile Gold Northern Territory Project since since March 2010. Mr. Edwards is a qualified

geologist with approximately 16 years experience working on Gold and Industrial Mineral deposits in the Northern Territory, Queensland,

Western Australia, Tasmania and Botswana.

16

Board Of Directors

Robert H. Getz, Chairman of the Board

Mr. Robert Getz is a private investor and a Managing Director and co-founder of Cornerstone Equity Investors, LLC. Mr. Getz has over 25 years

of experience as a private equity investor and has strong experience in domestic and international mergers and acquisitions and public and private

debt and financings. Mr. Getz has invested in and served as a director of many public and private metals and mining companies. He currently

serves as a director of Haynes International, Inc., a developer and producer of specialty nickel alloys and CML Holdings, Inc., which is the largest

iron ore producer in the western United States. Mr. Getz graduated from Boston University, where he received his BA degree, cum laude, and the

Stern School at New York University, where he received his MBA in finance.

Rodney D. Lamond, P. Eng., Director, President & Chief Executive Officer

George Faught, CPA, CA, Director

Mr. George Faught is a Chartered Accountant with over 25 years of senior management experience and is currently the Chief Executive Officer of

Aberdeen International Inc. He has served as the Chief Financial Officer of publicly traded companies in the natural resources, financial services

and pharmaceutical industries. Mr. Faught has broad financial management, corporate development and operating experience and from 1999 to

2005 served as the Chief Financial Officer for North American Palladium Ltd., a mid-tier platinum group metal producer. Prior to that, he served as

Chief Financial Officer for Hudson Bay Mining & Smelting Co. Ltd., an integrated base metals producer, and William Resources Inc., an

international gold producer. He also serves as a director of several public companies in the resource sector.

Kevin Conboy, Director

Mr. Kevin Conboy was previously President and Chief Executive Officer of Acordia, Inc., a subsidiary of Wells Fargo based in Chicago. As well,

he served as Chief Executive Officer for the NIA Group of Paramus, New Jersey. Mr. Conboy possesses a wealth of experience in the financial

markets and has considerable exposure to financial instruments and business transactions. He sits on a number of corporate and charitable

boards. Mr. Conboy completed a B.A. from Colorado State University in 1973.

Peter Tagliamonte, P. Eng., Director

Mr. Peter Tagliamonte is a professional mining engineer and also holds an MBA from the Richard Ivey School of Business, at the University of

Western Ontario. He is currently the President and CEO of Sulliden Gold, the former President and CEO of Central Sun Mining Inc. and former

Chief Operating Officer of Desert Sun Mining Corp. where he was responsible for the development of the Jacobina Mine in Brazil into a 4,200-

tonne-per-day mining operation. Mr. Tagliamonte has over 25 years of progressive managerial experience building and operating mines

worldwide, notably in Central and South America. In 2005, he received the Mining Journal's "Mine Manager of the Year" award in recognition for

his work in the mining sector.

17

Investment Highlights

18

GROWING GOLD

PRODUCTION

GENERATING CASH

FLOW

GROWTH

POTENTIAL

• Operating cash flow generated in Q1 2014 exceeded

$12 million

• Total Operating cash flow generated in 2013 exceeded

$67 million

• Operational Cash Costs for Q1 2014 decreased to $971

per ounce compared to $1,027 per oz in 2013

• All-In Sustaining Cash Costs for Q1 2014 decreased to

$1,307 per oz compared to $1,386 in 2013

• Total Production for 2013 was 210,000 oz, up from

155,000 oz in 2012

• Production for Q1 2014 was 53,583 ounces of gold; on

track for 2014 production guidance of 200-210,000 oz

DECREASING

COSTS

• Current focus is on underground resource definition to

extend mine life at all projects

• Further exploration will be based on the value added by

the project

All within

Australia –

a first world

country with

one of the

most mining

friendly

jurisdictions

SIZABLE

RESOURCES

• Proven and Probable Reserves: 1.0 million oz

• M+I Resources: 4 million oz

• Inferred Resources 2.3 million oz

Investor Contact Information

Rob Hopkins

Manager, Investor Relations

416-861-5899

[email protected]

Find us on: TSX: CRK

(CRK.DB, CRK.WT)

OTCQX: CROCF

FRANKFURT: XGC

Crocodile Gold Corporation

19

Robert Dufour

Chief Financial Officer

416-309-2135

www.crocgold.com

Crocodile Gold Corporate Presentation May 2014

Business

Transcript of Crocodile Gold Corporate Presentation May 2014