Experienced
Management
Cassiar Gold Mine
Table Mountain
Infrastructure
& Taurus
Permitted
Frasergold
Building British Columbia’s Next Gold Producer
Corporate Presentation November 2009
Forward-Looking Information
Certain statements herein may contain forward-looking information within the meaning of applicable securities
laws. Forward-looking information appears in a number of places and can be identified by the use of words
such as “intends” 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 includes
statements regarding the Company’s exploration and development plans with respect to its properties and the
estimation of mineral resources and are subject to such forward-looking risks, uncertainties and other factors
which may cause the Company’s actual results, performance or achievements, or industry results, to be
materially different from any future results, performance or achievements expressed or implied by such
forward-looking information. Such risks include gold price volatility, change in equity markets, the uncertainties
involved in interpreting geological data, increase in costs and exchange rate fluctuations, permitting and
environmental risks and other risks involved in the gold exploration and development industry. There can be no
assurance that forward-looking information referenced herein will prove to be accurate, as actual results and
future events could differ materially from those anticipated in such statements or information. Also, many of
the factors are beyond the control of Hawthorne Gold. Accordingly, readers should not place undue reliance on
forward-looking information. All forward-looking information herein are qualified by this cautionary statement.
The Company does not undertake to update such forward-looking information except in accordance with
applicable securities laws.
A feasibility study has not been completed for any projects discussed in this presentation and there is no
certainty the disclosed targets will be reached nor that the proposed operations will be economically viable.
Michael Petrina, P.Eng., the Company’s Vice President of Mining and a Qualified Person as defined by National
Instrument (“NI”) 43-101, has reviewed and approved the technical information contained in this presentation.
2
Share Structure
Issued and Outstanding 75,537,319
Stock Options ($0.40 - $1.60) 7,338,700
Warrants ($0.30 - $2.25) 13,218,294
Fully Diluted 96,094,313
American Bonanza Gold Corp. 5,750,000 ~(8%)
Institutional Ownership ~25,000,000 ~(26%)
Market Capitalization (as at October 31, 2009) ~$30M
3
Investment Highlights
Experienced Management , Operational and Technical Team
• Led by respected company builders Michael Beley and Richard Barclay
Co-founded both Bema Gold and Eldorado Gold
• Strong board of directors and advisory team
Dedicated to Growth through drilling, development and acquisitions
• Apply Bema/Eldorado Model (short term cashflow)
Advance towards cashflow at profitable mining operation within 3 years from Company inception
On track for production at Cassiar Gold Mine, British Columbia in early 2010 (~Q1)
• Aggressive 8,000 to 10,000 metre diamond drill program at Cassiar Gold Camp 2009
Build resource portfolio and develop priority exploration targets for upside potential
• Merger & Acquisitions focus – build out management team, resource and production portfolio to become
significant junior gold producer by 2012
Three advanced stage gold projects in British Columbia, Canada
• Table Mountain Deposit - high grade vein deposits
Fully permitted 270 tonnes per day mine, operational mill and tailings impoundment facility
Estimated replacement value for mill facility: ~$30M
• Taurus Deposit - open pit, bulk tonnage opportunity and/or selected smaller high grade open pit
opportunities
• Frasergold Deposit - open pit, bulk tonnage opportunity
4
Experienced Management Team
Michael Beley Chairman and Director
40 + years experience in senior executive roles in mining industry; former co-founder, VP & Director of Eldorado Gold Corp.; former co-
founder, VP & Director of Bema Gold Corp.; co-founder of Polaris Minerals; and former Director of Nevada Pacific Gold
Richard Barclay President, CEO and Director
40+ years experience in senior executive roles in financial sector; former founding CEO, President, & Director of Eldorado Gold Corp.;
former co-founder, CFO and Director of Bema Gold Corp.; and former President, CEO & Director of Nevada Pacific Gold
David McAdam CFO (Interim)
25 years of international experience in senior financial roles. Mr. McAdam previously held the positions as CFO of Eastern Platinum
Limited, and executive and advisory positions for Yellowcake Mining Inc., and other US/CDN based Co.’s; B. Comm.
Michael Petrina VP Mining
25+ years experience in senior management , operational and consulting roles for such companies as Adanac Molybdenum Corporation,
Pan American Silver Corporation, Miramar Mining, TVX Gold, and Kilborn Engineering Pacific Ltd.; B.Sc. Engineering, P.Eng and MBA
Peter A. Ball VP Corporate Communications
20+ years mining, brokerage, marketing/communication and technical experience; previous roles with Eldorado Gold, Echo Bay Mines,
Hudson Bay Mining and Smelting ltd., RBC Dominion Securities; graduate of Haileybury School of Mines and Georgian Business School
Marlin Murphy Manager of Environmental and Governmental Affairs
Over 25 years of environmental and government relations experience; previous senior management positions with EBA Engineering,
Compliance Energy Corporation, Barrick Gold Corporation, Homestake Mining and Cassiar Mining Corporation
5
Technical Team and Advisors
John Dadds Manager, Cassiar Gold Project
30+ years experience in gold exploration; held positions of increasing responsibility with Corona Corp., Homestake Mining, Barrick Gold;
successes include the co-discovery of Hemlo gold deposit and the exploration and mining of the Eskay Creek gold deposit
Jack McClintock Board Advisor/Consultant
30+ years experience in all facets of the mineral exploration business; held various positions of increasing responsibility with Rio Algom,
Billiton and BHP Billiton, the last being Global Exploration Manager with BHP Billiton; graduate degrees in Geology and MBA
Dr. John-Mark Staude Board Advisor
20+ years of international exploration experience in precious and base metals; held various positions of increasing responsibility with
Kennecott, BHP Billiton, and Teck Cominco
David Rhys Board Advisor
Principal of Panterra Geoservices Inc.; specializes in the application of structural geology techniques to the assessment of mineral
deposits; has extensive experience in the evaluation of gold deposits at all phases of development
Bernard Kahlert Director
35+ years of international exploration experience primarily focused on gold and base metals; held various positions with mining
companies in Australia, United States and Canada; graduate in Geology and P.Eng
Dale A. Sketchley Director
30 + years experience encompassing all phases of exploration, QAQC, geological modelling and resource evaluation; Mr. Sketchley has
been involved Ivanhoe Mines, Union Minié, Chevron, Denison, Erickson Gold, Cooke Geological, MineQuest, and Placer Dome
6
British Columbia – A Pro Mining Province
Cassiar Gold Table Mountain Deposit
District (Cassiar Gold Mine)
Taurus
Deposit
Cariboo Gold Frasergold
District Deposit
7
Cassiar Gold Camp
Table Mountain and Taurus Deposits
Progress To Date
• 58,901 hectare claim
boundary
• Increased land position by 245% • Historical production of
~500,000 ounces
• Purchased remaining 70% of Taurus
Deposit
• Completed geological compilation model
of 40 years of data
• Completed 2,536 metre surface diamond
drill program at East Bain zone
• Rehabilitated underground access
workings at Cassiar Gold Mine
• Re-established exploration and mining
camp
• Completed property-wide geophysics
program
8
Table Mountain Deposit &
Cassiar Gold Mine
High-Grade Gold System
• NI 43-101 Mineral Resource Estimate
• Deposits hosted in extensive quartz-carbonate- • 23 km of road access
gold vein systems similar to some of Canada’s throughout property to
access 13 adits and ~25 km
largest gold camps, including Timmins, Kirkland underground workings
Lake and Val d’Or
2009 Exploration & Development Program
• Commenced 8,000 to 10,000 metre diamond
drill program (June 4, 2009) focused on:
Priority zones identified at Table Mountain
to potentially increase resource base
Regional targets to identify new zones
• Commenced underground pre-development at
East Bain zone to prepare for production at
Cassiar Gold Mine (July 23, 2009)
• Commenced surface soil sampling, trenching
and property-wide reconnaissance exploration
program (June 4, 2009)
9
Taurus Gold Deposit
Highlights
• NI 43-101 Mineral Resource Estimate
• High-grade zones identified within resource;
selected smaller high grade open pits
• Open pit, bulk tonnage opportunity
• Historical production of 32,700 ounces from high
grade zones within deposit
Oro Vein
2009 Exploration & Development Program
• Commenced surface exploration drill program to
define high grade zones within Taurus deposit
for smaller open pits to use as supplemental
feed for Table Mountain mine & mill complex
• Complete metallurgical studies on mineralized
zones for compatibility with mill flowsheet
• Commenced Bulk Sample August 20, 2009
10
Taurus Project – Summer 2009
Examples of potential
high grade zones within
Taurus Low Grade
deposit
11
Infrastructure, Resources, People
Ready for Production (July 2009)
Mine and Mill Site 270 tpd Mill Facility Entering East Bain Zone
Underground at Table Mountain Developing Ramp to East Bain Taurus High Grade Veins at Surface
Taurus pre-stripping, drilling, trenching Taurus Drilling Zone #1 Reviewing Core (President and Advisors)
12
NI 43-101 Mineral Resource Estimate
Measured Indicated Inferred
Projects Tonnes Grade Contained Au Tonnes Grade Contained Au Tonnes Grade Contained Au
g/t g/t g/t
Kg Oz Kg Oz Kg Oz
East Bain* 20,101 21.21 426.37 13,708 1,158 68.57 79.38 2,552
Taurus** - - - 33,055,000 0.990 32,829.72 1,055,500
Frasergold 11,470,000 0.595 6,824.65 219,418 22,610,000 0.540 12,209.40 392,541 75,310,000 0.507 38,209.28 1,228,457
Total 11,470,000 0.595 6,824.65 219,418 22,630,101 0.558 12,635.77 406,249 108,366,158 0.655 71,118.38 2,286,509
• Frasergold independent mineral resource estimate was completed October 1, 2009 by K.V. Campbell, Ph.D, P.Geo of ERSi Earth
Resource Surveys Inc. and G.H. Giroux, MA.Sc, P.Eng. of Giroux Consultants Ltd. The NI 43-101 Technical Report and Mineral
Resource Estimate will be completed and available by November 14, 2009. The Company is earning up to 60% of the project
from Eureka Resources and 100% of ounces from project are shown above***.
• *Update of Technical Report on the Table Mountain Property, Liard Mining District, BC on the Table Mountain Property prepared by
Beacon Hill Consultants (1988) Ltd. - June 1, 2008. For 68.57 g/tonne cut values, individual assays greater than 68.57 g/tonne Au are
cut to 68.57 g/tonne Au.
• ** An updated NI 43-101 report (Wardrop Engineering Inc. – Updated Resource Report on the Taurus Deposit – Liard Mining District,
BC - dated March 11, 2009) regarding the Taurus Property is available on www.sedar.com. Taurus NI 43-101 resource estimate
conversion equates to 33.055 million tonnes at 0.99 g/t Au. This uses a cut-off grade of 0.50 g/t Au.
***About the Frasergold Option Agreem ent
Pursuant to an option agreement dated October 31, 2006 between Hawthorne and Eureka, Hawthorne can earn a 51% interest in the Frasergold Project by
completing sufficient exploration expenditures totaling $3.5 million (expended), completing a feasibility study by April 30, 2010 (April 30, 2012 with extensions) and
making cash payments totaling $175,000 ($175,000 paid) before October 31, 2009. Hawthorne can earn a further 9% (for a total of 60%) by arranging financing for
70% of the estimated capital costs for production.
13
Resource Opportunities
Erickson Creek Fault
Main
Mine
28 Adit
21Adit
14 Adit
Cusac Mine
East Bain
14
Resource Opportunities
Erickson Creek Fault
15
Cassiar Gold Camp Resource &
Development Strategy
• Utilize completed geological data compilation model of 40 year history of
camp to identify priority drill targets (data includes drill holes, maps, surveying, and
geophysical information)
• Build near-term gold resource portfolio through aggressive surface drill
programs
• Continue with regional reconnaissance exploration to identify targets for
long term continued growth of resource portfolio across significant land
position
• Complete underground rehabilitation and pre-production development
16
Cassiar Gold Camp 2008 Progress &
Q1 – Q4 2009 Development Plan
2008 2009
Sept Oct Nov Dec Q1 Q2 Q3 Q4
Resource Development
Table Mountain
Access / Surveying / UG Rehab.
GIS Data Compilation
Resource Modeling
Diamond Drilling Bain
Eng./Mine Planning/Development
Taurus
Resource Modeling / Expansion
Diamond Drilling
Metallurgical Study
Bulk Sample
Infrastructure
Cassiar Gold Mine
Camp / Site Prep / Equip. / Misc.
Mill
Rehab./Maintenance/Prep.
17
Frasergold Summary
• Completed Independent Mineral Resource Estimate October 1, 2009; expect
to complete full NI 43-101 Mineral Resource Estimate and Technical Report
by November 16, 2009
• Open pit, bulk tonnage opportunity
• ~50,000m of historical diamond and RC drilling and 300m underground
workings (includes 3,617m in 2007 and 10,405m in 2008)
• Extensive infrastructure with road access directly to site
• 65 different visible gold occurrences logged in 60% of the 58 completed
holes; drilling highlights: 48.77m averaging 5.84 g/t Au, including 4.38m
averaging 63.05 g/t Au
2007/08
Drilling
Earn up to a 60% interest in the property from
Eureka Resources Inc.
18
Frasergold Deposit Comparison
Deposit Resource Resource (Oz Au) Resource (Oz Au) Company Stage Cash Cost
Cut-off Grade Grade Grade
(g/t) P&P (g/t) M&I (g/t) Inferred (g/t) Per Oz
Paracatu, Brazil 0.18 18,162,000 0.400 4,267,000 0.380 450,000 0.370 Kinross Operation $373
Fort Knox, Alaska 0.43 3,807,000 0.470 1,723,000 0.550 35,000 0.550 Kinross Operation $344
Marigold, Nevada n/a 1,020,000 0.690 510,000 0.550 460,000 0.480 Goldcorp Operation $308
Frasergold,
British Hawthorne Gold / Advanced
Columbia* 0.30 611,959 0.559 1,228,457 0.507 Eureka Resources Exploration N/A
Spanish Mtn, Skygold Ventures Advanced
British Columbia 0.30 3,940,000 0.581 460,000 0.574 Ltd. Exploration N/A
Maricunga, Chile n/a 6,541,000 0.720 2,290,000 0.610 2,400,000 0.560 Kinross Operation $447
Round Mtn,
Nevada 0.42 1,621,000 0.600 529,000 0.640 450,000 0.404 Kinross Operation $316
* The Frasergold current resource is base is based on an approximate strike length of 1.5 km within the 10 km mineralized
zone on the Frasergold Property
Due to the uncertainty of Inferred Mineral Resources it cannot be assumed that all, or any part of this
resource will be upgraded to an Indicated or Measured Resource as a result of continued exploration. To
Notes:
justify upgrading of the Mineral Resource to a Mineral Reserve, demonstrated economic viability is
P & P - Proven and Probable required. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.
M & I - Measured and Indicated The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title,
taxation, socio-political, marketing, or other relevant issues.
Other:
All information presented above is based on public information gathered from company websites.
19
Exploration and Development
Going Forward
TABLE MOUNTAIN DEPOSIT AND CASSIAR GOLD MINE
• Continue resource development through surface drilling during 2009 summer/fall; exploration
program will consist of 8,000 to 10,000 metres of diamond drilling, trenching, mapping and soil
sampling
• Complete engineering and mine planning
• Complete pre-production mine development leading towards production at Cassiar Gold Mine
TAURUS
• Continue surface drilling and metallurgical work to define high-grade small open pit opportunities
to supplement mill feed at Cassiar Gold Mine
FRASERGOLD
• Completed Independent Mineral Resource Estimate October 1, 2009; expect to complete NI 43-101
Mineral Resource Estimate and Technical Report by November 16, 2009; reviewing opportunities
and action plan for mining camp and project
20
Contact:
For more information please contact:
Todd Hanas, Investor Relations
Telephone: 604.484.3668
Toll Free: 866.869.8072
Email: todd@hawthornegold.com
www.hawthornegold.com
21
0 comments
Post a comment