Kivalliq Energy Investor Presentation August 9, 2013


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Kivalliq Energy Corporation (TSXV:KIV) is a Vancouver-based uranium exploration company advancing the highest grade uranium deposit, outside of Saskatchewan’s Athabasca Basin. The Company’s flagship project, the 340,268 acre Angilak Property in Nunavut Territory, is host to the Lac 50 Trend deposit with a NI 43-101 Inferred Mineral Resource Estimate of 2,831,000 tonnes grading 0.69% U3O8, totalling 43.3 million lbs U3O8 at a 0.2% U3O8 cut-off grade. Kivalliq’s comprehensive exploration programs continue to advance the Lac 50 Trend deposit and demonstrate the “District Scale” potential of the Angilak Property.

Kivalliq’s team of northern exploration specialists have forged strong relationships with sophisticated resource sector investors and project partner Nunavut Tunngavik Inc. (“NTI”) in order to advance the Angilak Property. Kivalliq was the first company to sign a comprehensive agreement to explore for uranium on Inuit Owned Lands in Nunavut Territory, Canada. The Company is focused on building shareholder value while adhering to a high level of environmental and safety standards and proactive local community engagement.

Kivalliq Energy Corporation is a member of the Aurora Mineral Resource Group of companies. For more information, please visit

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  • To be updated w #s from Yanta, double check numbers with JonathanAverage Trading Volume can be found on
  • New Dennis Map
  • Areva is advancing Kiggavik uranium project (125Mlbs U) through permitting process and Cameco is actively exploring uranium prospects in Nunavut’s Thelon BasinAgnico-Eagle producing 290,000 oz gold/yr at Meadowbank Mine and is advancing Meliadine 3M oz gold deposit through permitting processBaffinland’s Mary River recently approved for development; one of the largest and richest undeveloped iron ore projects in the world with designed output 18+ M/T per yearMinMetals’ Izok Lake in review process
  • Need new map from dennis
  • Need updated map from Dennis
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  • Kivalliq Energy Investor Presentation August 9, 2013

    1. 1. Click to edit Master title style Advancing Northern Canada’s Highest Grade Uranium Deposit August 2013
    2. 2. KIV: TSX-V Presentation Outline 2 • Company • Jurisdiction • Angilak Property • Uranium Industry
    3. 3. KIV: TSX-V Delivering Results 2010 - 2012 • Team strengthened • CDN$39.5M raised in equity financings since Fukushima • 89,500+ metres drilled • 12 new mineralized zones identified through drilling • multiple prospecting discoveries property-wide • 80,000+ acres acquired totalling 340,000+ acres 3 43.3 million pounds of high grade U₃O₈ added to inferred resource category since 2010
    4. 4. KIV: TSX-V Uranium Exploration Leadership 4 April 17, 2013 Rob Chang, Equity Research Analyst - Metals & Mining, Cantor Fitzgerald "... Kivalliq’s management team has demonstrated an ability to cost-effectively add resources to the project…” • Expertise added to the Board of Directors related to uranium fuel markets and uranium industry M&A experience • Bolstered management team with finance and legal capacity • Operational team continuously executes large logistical programs and successful exploration campaigns – on budget
    5. 5. KIV: TSX-V High-Impact Exploration: Low Discovery Costs 5 April 2, 2013 David Talbot, Vice President - Senior Mining Analyst, Dundee Securities "Kivalliq (is)… discovering significant pounds likely more cheaply than anyone else in the business … This remains one of our favourite uranium exploration stocks." • Industry beating discovery cost of CAD$1.32 per lb uranium • 200% increase in Lac 50 Trend inferred resource in past two seasons
    6. 6. KIV: TSX-V 6 0.00 5.00 10.00 15.00 20.00 25.00 30.00 35.00 40.00 45.00 2010 2011 2012 810,000 T @ .79% 1,779,000 T @ 0.69% 2,831,000 T @ 0.69% MLbsofU3O8 Inferred Resource Growth By Year Main Zone 14.5 M Lbs Added: Eastern & Western Extension Added: J4 & Ray 27.13 M Lbs 43.30 M Lbs 16.2 M Lbs U3O87.9 M Lbs U3O8 3.8 M Lbs U3O8 15.3 M Lbs U3O8 J1 (2013 Discovery) Lac 50 Trend: 200% Growth Since 2010
    7. 7. KIV: TSX-V Community Engagement 7 • Landmark agreement with Nunavut Tunngavik Inc. to explore for uranium on Inuit Owned Lands • Ongoing engagement with the people of Nunavut Territory through community visits, site visits and employment opportunities • Winners of environmental stewardship awards from the regional Inuit regulator, Kivalliq Inuit Association for two of the past three years
    8. 8. KIV: TSX-V Market Cap Value VS Inferred Resource 8 Catalysts • One • Two • Three
    9. 9. KIV: TSX-V Corporate Information As at August 8, 2013 Corporate Structure Shares Outstanding 189,067,703 Fully Diluted Shares 220,637,922 Working Capital C$3.20 million Warrants weighted avg strike 0.50 17,420,219 Options weighted avg strike 0.44 14,150,000 Market capitalization (@ $0.23) C$43.49 million Average Trading Volume (3 months) 162,348 Ownership Insiders: 5% Lumina Capital 16.63% Close associates: 26% Resources/Mining Funds: 15% 9 Recent Financing Q2 2013: 15 million units at $0.30 (unit = 1 share and 1 warrant at $0.50) Q2 2012: 16.77 million FT shares at $0.50 7.12 million NFT shares at $0.45 Q1 2012: 6.85 million FT shares at $0.52 13.13 million NFT shares at $0.45 Management John Robins, P.Geo., Chairman Jim Paterson, CEO, Director Jeff Ward, BSc, P.Geo., President Andrew Berry, COO Jonathan Singh, BAccS, CGA, CFO Bill Cronk, Exploration Manager Brenda Nowak, Corporate Secretary Jim Dawson, MSc., P.Eng., Director Garth Kirkham, BSc, P.Geo, P.Geoph, Director Dale Wallster, Director Jim Malone, Director
    10. 10. KIV: TSX-V Angilak Property Advantages 18 • Experienced Exploration Team • Mining Friendly Jurisdiction with Uranium Development Policy • District Scale Potential • Growing High-Grade Resource • Highly Attractive Yellowcake Product
    11. 11. KIV: TSX-V A Mining Friendly Jurisdiction 11 Angilak Property located in Nunavut Territory – a mining friendly jurisdiction, hosting multiple projects being advanced or operated by global mining companies
    12. 12. KIV: TSX-V Transportation and Logistics 12 Seasonal transportation methods include: • Snow Cats, Snow Mobiles • Helicopters • Fixed wing aircraft: Otter, Dash 7, 737, and Hercules • Bulldozer, Loader • Barge • Rail
    13. 13. KIV: TSX-V 13 Kivalliq has invested CDN$54M+ in the 340,000 acre Angilak Property to date, delineating one of the highest grade uranium deposits in the world (excluding Athabasca Basin deposits) • Kivalliq’s exploration team has cost-effectively run large-scale exploration programs, under- budget, while consistently delivering high grade uranium discoveries for the past 5 years • Angilak has “District Scale Potential”, with opportunity to grow the current 43 million pound inferred uranium resource base substantially through aggressive exploration programs Angilak: High Quality Uranium Asset
    14. 14. KIV: TSX-V Angilak Property Details • Camp open in March: Exploration from April to September • Camp hosts 50+ people during the summer • Heavy equipment on-site to facilitate logistics and exploration 14
    15. 15. KIV: TSX-V Angilak Exploration Program and Milestones 2008 2009 2010 2011 2012 $2M* $1.5M* $9M* $17M* $20M* Property-wide airborne geophysical survey First drilling at Angilak in 25 years Lac Cinquante resource estimate increases 92%, announced January 2012 27.13 million lbs U₃O₈: 1,779,000 T @ 0.69% New zones discovered: Western Extension, Eastern Extension, Pulse, Spark, BIF, AG $12.7M equity raised 2011 KIA Environmental Excellence Award Lac 50 Trend deposits inferred resource estimate announced January 2013 43.3 million lbs U₃O₈: 2,831,000 T @ 0.69% New zones discovered: J4, Ray, Flare, South West, Hot, Nine Iron $22.3M equity raised 2012 KIA Environmental Excellence Award Maiden NI 43-101 resource, announced February 2011 14.15 million lbs U₃O₈: 810,000 T @ 0.79% Property-wide prospecting and ground geophysics commence $16.9M equity raised 2011-12 exploration programs some of the largest exploration programs globally – compared with uranium explorer peer group *Annual Exploration Budgets
    16. 16. KIV: TSX-V 2013 Exploration Program 16 • Drill 2,000m of high priority targets March - June • Geophysical activities in key areas • Ongoing baseline and environmental studies • Optimization mining and metallurgical testing • Continued emphasis on community consultation • Geological mapping, prospecting, and geochemical/soil sampling (July)
    17. 17. KIV: TSX-V District Scale Potential 17
    18. 18. KIV: TSX-V 18 2013 Discoveries
    19. 19. KIV: TSX-V 19 Lac 50 Trend: A Growing Resource Base 2013 Drill Holes 2013 EM Conductor - - - April 17, 2013 David Sadowski, Equity Analyst, Mining, Raymond James “Solid Execution Continues into 2013...Resources have grown each of the last three years and now sit at 43.3 Mlbs grading 0.69% ... but (we) would not be surprised if Angilak eventually reaches district-scale, >100 Mlbs levels.” 28.0 Mlb @ 0.67% U3O8 Lac 50 MZ + WE + EE 15.3 Mlbs @ 0.75% U3O8 J4 Uper/Lower & Ray Zones J4 Upper Zone J4 Lower Zone J4 WJ1 Zone
    20. 20. KIV: TSX-V 20 Highest Grade Project Not Controlled by a Major 0.00% 0.10% 0.20% 0.30% 0.40% 0.50% 0.60% 0.70% Kivalliq|Angilak Strateco|Matoush Strathmore|RocaHonda EuropeanUranium|Kuriskova Alliance|FourMile Powertech|DeweyBurdock UraniumResources|Churchrock U308|Berlin Laramide|Westmoreland EnergyMetals|Bigryli Rockgate|Falea Summite|IsaNorth Masucani|Kihitan MegaUranium|LakeMaitland UR-Energy|LostCreek Peninsula|Lance Toro|Wiluna Berkeley|Salamanca DeepYellow|Omahola Bannerman|Etango Forsys|Valencia 0.69% 0.49% 0.41% 0.34% 0.31% 0.18% 0.17% 0.11%0.09% 0.08%0.07%0.06% 0.05% 0.05% 0.05% 0.05% 0.04% 0.04%0.04% 0.02% 0.01% %ofU3O8 Project Grades (%U3O8) Source: Canaccord Genuity (this pertains to compliant resources)
    21. 21. KIV: TSX-V High Grade Deposit vs Peers As at February 8, 2013 Lac Cinquante Kivalliq Energy Corp. Matoush Strateco Resources Kuriskova European Uranium Resources (formally Tournigan) Falea Rockgate Capital Corp Kiggavik Areva Michelin Paladin Energy Ltd. 21 Lac 50 Trend Kivalliq Energy Corp Kiggavik AREVA Matoush Strateco Falea Rockgate Michelin Paladin Energy Ltd Kuriskova European Uranium Resources 0.00% 0.10% 0.20% 0.30% 0.40% 0.50% 0.60% 0.70% 0.80% 0.00 20.00 40.00 60.00 80.00 100.00 120.00 140.00 Grade%U3O8 Resource M lb U3O8 43.30 28.77 41.2 45.27 103.22 127 Resource M lb U3O8 Global Median Grade (Excluding Athabasca Projects)
    22. 22. KIV: TSX-V 22 Optimized tests produce encouraging values:  Alkaline leaching process indicates high recovery - 95.9% of uranium extracted in 72 hours  Precipitation tests yield low-impurity - 71.9% U in a final yellowcake product "The final yellowcake produced from the leach solution was a low-impurity product. Available final yellowcake assays fell below the maximum concentration limit without penalty of ASTM C967-13 (standard specification for uranium ore concentrate)," stated Chuck Edwards, director of metallurgy, Amec. "The alkaline leaching process proposed for the Lac 50 trend uranium deposits is similar to that used successfully for almost 30 years at Eldorado Nuclear's Beaverlodge mill in Northern Saskatchewan." Excellent Preliminary Metallurgical Test Results
    23. 23. KIV: TSX-V 23 Catalysts for Improvement • Japanese Restarts (Q1 2014) • Seasonality and fragile primary supply pipeline • Continued stable growth in reactor builds (China and India) • M & A Misery Loves Company OUCH!!
    24. 24. KIV: TSX-V 24 Projected Seasonal Trends in Uranium Prices (US$) month-end figures %aboveorbelowlong-termtrend Source: UxC, Nuexco, analysis by Salman Partners Inc. (as estimated by Statistics Canada’s “X-11” program)
    25. 25. KIV: TSX-V 25 New Supply is the Issue
    26. 26. KIV: TSX-V 26 Strengthening Fundamentals Source: Dundee Capital Markets
    27. 27. KIV: TSX-V 126% Increase in New Nuclear Reactors1 Over Currently Operable 27 1 World Nuclear Association, Jan. 2013 • Recent startup up of new large reactors in China and India - Japan restarts by end of year • 4 new reactors approved and under construction in US – first in 30 years “..with China and India getting up to speed in nuclear energy and a world energy demand double…, a realistic estimate of what is possible might be the equivalent of one 1000 MWe unit worldwide every 5 days (after 2015).” WNA website
    28. 28. KIV: TSX-V 28 69 New Reactors Under Construction - 13 countries IAEA/WNA
    29. 29. KIV: TSX-V Takeout Valuation per lb U3O8 (US$/lb) 29 U Spot Price (US$/lb) $42.25 $42.25 $41.25 $49.00 $50.00 $51.25 $52.00 $52.00 $52.00 $52.00 $49.90 $62.78 $53.00 $60.50 $41.50 $42.50 $54.00 $60.00 $138.00 $138.00 $122.00 $75.00 Source: Rob Chang, Equity Research Analyst, Metals & Mining, Cantor Fitzgerald
    30. 30. KIV: TSX-V Disclaimer This presentation does not constitute an offer to sell or solicitation of an offer to buy any securities of Kivalliq Energy Corporation. The information in this presentation related to the mineral resource estimate has been approved by Robert Sim, P.Geo, of SIM Geological Inc. who is an independent Qualified Person as defined under National Instrument 43‐101. Jeff Ward, P.Geo, President of Kivalliq and a Qualified Person for the Company has reviewed and approved the information contained in this presentation and related news releases. FORWARD LOOKING STATEMENTS This presentation contains "forward-looking statements". These forward-looking statements are made as of the date of this presentation and Kivalliq Energy Corporation does not intend, and does not assume any obligation, to update these forward-looking statements. Forward-looking statements include, but are not limited to, statements with respect to the timing and amount of estimated future exploration, success of exploration activities, expenditures, permitting, and requirements for additional capital and access to data. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, risks related to actual results of current exploration activities; changes in project parameters as plans continue to be refined; the ability to enter into joint ventures or to acquire or dispose of property interests; future prices of mineral resources; accidents, labour disputes and other risks of the mining industry; ability to obtain financing; and delays in obtaining governmental approvals or financing. Appendix
    31. 31. KIV: TSX-V Contact Information Kivalliq Energy Corporation #1020 - 800 W Pender Street, Vancouver, BC V6C 2V6 Reesa Meltzer, Senior Administrator ++604-646-8361 or
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