2. www.guygold.com 2
This presentation of Guyana Goldfields Inc. (the "Company") contains
statements that constitute "forward-looking statements." Such forward-looking
statements involve known and unknown risks, uncertainties and other factors
that may cause our actual results, performance or achievements, or
developments in our industry, to differ materially from the anticipated results,
performance or achievements expressed or implied by such forward-looking
statements. Forward looking statements are statements that are not historical
facts and are generally, but not always, identified by the words "expects,"
"aims," "plans," "anticipates," "believes," "intends," "estimates," "projects,"
"potential" and similar expressions, or that events or conditions "will," "would,"
"may," "could" or "should" occur. Information inferred from the interpretation of
drilling results and information concerning mineral resource and mineral reserve
estimates may also be deemed to be forward looking statements, as such
information constitutes a prediction of what might be found to be present when
and if a project is actually developed. Forward-looking statements this document
include statements regarding: the Company's expectations regarding drilling
and exploration activities on properties in which the Company has an interest;
and the Company's statements regarding estimates of reserves and resources
on properties in which the Company has an interest.
There can be no assurance that such statements will prove to be accurate.
Actual results and future events could differ materially from those anticipated in
such statements, and readers are cautioned not to place undue reliance on
these forward-looking statements that speak only as of their respective dates.
Important factors that could cause actual results to differ materially from the
Company's expectations include among others, risks related to fluctuations in
mineral prices; uncertainties related to raising sufficient financing to fund
planned work in a timely manner and on acceptable terms; changes in planned
work resulting from weather, logistical, technical or other factors; the possibility
that results of work will not fulfill expectations and realize the perceived potential
of the Company's properties; uncertainties involved in the estimation of
resources and reserves; the possibility that required permits may not be
obtained on a timely manner or at all; the possibility that capital and operating
costs may be higher than currently estimated and may preclude commercial
development or render operations uneconomic; the possibility that the estimated
recovery rates may not be achieved; risk of accidents, equipment breakdowns
and labour disputes or
other unanticipated difficulties or interruptions; the possibility of cost overrun or
unanticipated expenses in the work program; the risk of environmental
contamination or damage resulting from the Company's operations; risks
associated with title to mineral properties; and other risks and uncertainties
discussed appear elsewhere in the Company's documents filed from time to
time with the Toronto Stock Exchange and Canadian securities regulators.
These statements are based on a number of assumptions, including
assumptions regarding general market conditions, the availability of financing for
proposed transactions and programs on reasonable terms, the cost of
exploration and development and the ability of outside service providers to
deliver services in a satisfactory and timely manner. Forward-looking statements
are based on the beliefs, estimates and opinions of the Company's
management on the date the statements are made. Except as expressly
required by applicable securities laws, the Corporation undertakes no obligation
to update these forward-looking statements in the event that management's
beliefs, estimates or opinions, or other factors, should change.
This presentation uses the terms "Inferred Resource", "Indicated Resource",
āMeasured Resourceā and "Mineral Resource". The Company advises readers
that although these terms are recognized and required by Canadian securities
regulations (under National Instrument 43-101 "Standards of Disclosure for
Mineral Projects"), the US Securities and Exchange Commission does not
recognize these terms. Readers are cautioned not to assume that any part or all
of the mineral deposits in these categories will ever be converted into reserves.
In addition, "Inferred Resources" have a great amount of uncertainty as to their
existence, and economic and legal feasibility. It cannot be assumed that any
part of an Indicated or 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 pre-feasibility studies, or economic
studies except for a Preliminary Assessment as defined and permitted under
National Instrument 43-101. Readers are cautioned not to assume that part or
all of an Inferred Resource exists, or is economically or legally mineable. The
Mineral Resources stated in this presentation are not Mineral Reserves and, in
the absence of a current feasibility study, do not demonstrate economic viability.
The determination of Mineral Reserves can be affected by various factors
including environmental, permitting, legal, title, taxation, socio-political, and
marketing issues.
FORWARD LOOKING STATEMENT
3. www.guygold.com 3
ļ§ Cash position of US$73M vs. debt of US$78M as at Dec 31, 2016
ļ§ +20% annual production growth 2017 to 2018 via mill expansion from 5,600 ā 8,000 tpdOrganic Growth
ļ§ High grade +200 average koz/yr Au producer with +15 years reserve life with upside
ļ§ Simple metallurgy and mine plan, positive grade reconciliation to date
ļ§ Exceptional free cash flow generation
A Scarce Asset
ļ§ No by-products
ļ§ Minimal currency exposure
ļ§ Oil price hedged for the near term up to 2019
100% Pure Gold
Exposure
ļ§ +200,000 acre land package in highly prospective & underexplored greenstone belt
ļ§ Targeting open pit exploration targets within a 30km radius from Aurora Mill
District Potential
Strong Balance
Sheet
INVESTMENT HIGHLIGHTS
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Proven and Probable Reserves Grade ā Precious Metals Only (g/t Au equivalent)
Source: Company filings and BMO Capital Markets
Note: Includes precious metals, converted to AuEq grade using LT pricing of US$1,250/oz Au and US$18.00/oz Ag when not converted by the company.
(1)
(2)
(3)
WHAT STANDS US APART? Aurora is a High Grade Gold Mine
3.4Ā Ā Ā
2.9Ā Ā Ā
2.7Ā Ā Ā
2.3Ā Ā Ā 2.2Ā Ā Ā
1.7Ā Ā Ā
1.5Ā Ā Ā 1.3Ā Ā Ā 1.3Ā Ā Ā 1.2Ā Ā Ā 1.0Ā Ā Ā 1.0Ā Ā Ā
0.8Ā Ā Ā 0.7Ā Ā Ā 0.7Ā Ā Ā 0.6Ā Ā Ā
0.4Ā Ā Ā
Median:Ā 1.3Ā g/t
SEMAFO
Guyana
Torex
Alacer
Primero
Alamos
OceanaGold
B2Gold
IAMGOLD
Eldorado
Tahoe
Detour
NewĀ Gold
Kinross
Centerra
SilverĀ Standard
Yamana
5. www.guygold.com 5
2016 HIGHLIGHTS: An Impressive Year
Q1 2016 Q2 2016 Q3 2016 Q4 2016 2016
2016 Guidance (ounces) 140,000 - 160,000
Gold Sold (ounces) 40,500 36,600 33,300 45,500 156,000
Gold Produced (ounces) 41,300 32,000 34,400 43,800 151,600
Average Realized Gold Price US$/ounce 1,196 1,269 1,334 1,204 1,245
Gross Revenue (US$ mlns) 48.5 46.4 44.4 54.8 194.2
Ore mined (tonnes) 553,600 623,400 642,200 688,000 2,507,200
Waste mined (tonnes) 1,409,300 1,076,700 1,315,100 1,899,800 5,700,900
Total Mined (tonnes) 1,962,900 1,700,100 1,957,300 2,587,800 8,208,000
Strip ratio (waste:ore) 2.5 1.7 2.0 2.8 2.3
Tonnes mined per day 21,600 18,700 21,300 28,100 22,400
Ore processed (tonnes) 462,600 427,700 491,200 507,500 1,889,000
Tonnes processed per day 5,100 4,700 5,300 5,500 5,200
Head grade g/t Au 3.07 2.61 2.42 2.94 2.74
Recovery (%) 89.2 91.1 88.7 90.6 90.2
Cash costs per ounce ā before royaltyĀ¹ ($/ounce) 525 524 499 446 496
AISCĀ¹ ($/ounce) 767 729 796 678 738
Cost of sales (prod, royalty and dep) ($/ounce) 767 842 811 750 789
Achieved upwardly revised production guidance in first year of commercial production !
6. www.guygold.com
1. This is a non-GAAP measure. Refer to non-GAAP Performance Measures section in the latest MD&A.
6
2017 Guidance: Ramping up to 200koz/yr Producer
ā¢ Due to mine sequencing gold production is expected to be slightly higher in the
second half of the year relative to the first half.
ā¢ Due to the timing of sustaining capital expenditures, AISCĀ¹ are expected to be
higher in the first half of the year relative to the second half.
2017 Guidance (@ $1,200/oz)
Gold production (000ās ounces) 160 - 180
Cost of sales (production costs, royalty and
depreciation) ($ per ounce)
$800 - $850
Cash costĀ¹, excluding royalty ($ per ounce) $500 - $550
All-in sustaining1 (āAISCā) ($ per ounce) $775 - $825
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FEASIBILITY STUDY LOM HIGHLIGHTS: February 2017
Gold Price (base case) US $1,200/oz
Total Gold Production (Recovered Gold) 3.3 Moz
15 Year Mine Life
OP 2017-2024
UG 2024 ā 2031
Average Annual Production (LOM) 220,000 oz Au
Average Gold Grade (mill head) 3.02 g/t Au
Mill Throughput
2017 + 1Q18 5,600 tpd
2Q18 onwards 8,000 tpd
Gold Recovery
2017 91.3%
2018 (post Phase 1) 92.5%
2H19 onwards (post Phase 2) 94.0%
Strip Ratio (waste to ore) 8.4:1
LOM Cash Costs (with royalty) $612/oz
LOM AISC $747/oz
Expansion Capital Cost
Mill Phase 1 (2017 + 1Q18) $21 M
Mill Phase 2 (2018 + 1H19) $27 M
Mine Fleet (2018) $24 M
Underground Development Cost (Year 2022 ā 2024) $129 M
Pre-Tax NPV (5% Discount Rate) $1,054 M
After-Tax NPV (5% Discount Rate) $850 M
Source: February 2017 NI-43 101 Technical Report
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Mill Expansion: Phased Approach Internally Funded
ļ§ Mill Expansion Phase 1:
ļ§ Debottlenecking of the back end of the circuit
ļ§ Will allow processing of a saprolite/hard rock blend at a rate of
8,000 tpd with improved recoveries of ~1%
ļ§ Expected completion by end of the first quarter of 2018 at a capital cost
of $21M
ļ§ Mill Expansion Phase 2:
ļ§ Addition of a ball mill resulting in increased recoveries of a further 1%-2%
ļ§ Will allow the processing of 8,000 tpd hard rock
ļ§ Expected completion by mid-2019 at a capital cost of $27M
Mineral reserves increased to 3.5 Moz, up 15% from the previous reserve estimate
at $1,200/oz Au, more than offsetting depletion from 15 months of operations!
Both phases are fully permitted and are expected to be funded internally
Source: February 2017 NI-43 101 Technical Report
19. www.guygold.com 19
CUYUNI BASIN: A TRUE MINING DISTRICT: Looking for Mine #2
ā¢ 1 Operating Aurora Gold Mine
ā¢ 1 Sulphur Rose secondary resource
ā¢ Multiple near-mine saprolite targets
ā¢ 1,200 square km land package
ā¢ Long history of artisanal mining
ā¢ Highly prospective greenstone belt
Looking for Mine #2
20. www.guygold.com 20
BROWNFIELDS EXPLORATION:
Gold Creek, Marupa & Iroma
Brownfields Exploration
ā¢ Near Mine Saprolite Targets:
ā¢ Gold Creek
ā¢ Gold Creek Laterite Target
ā¢ Aurora shear intersecting laterite
ridges. Anomalous gold in creeks
ā¢ Marupa West:
ā¢ Anomalous soils on intrusive target
ā¢ Iroma:
ā¢ Largest geochem anomaly
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SULPHUR ROSE: A Mine In the Making
ā¢ 23 km from Aurora Mine in a straight line
ā¢ Multiple I.P survey targets identified
ā¢ Follow-up drilling to be completed after I.P
Sulphur Rose
22. www.guygold.com 22
GREENFIELDS EXPLORATION: Wynamu
ā¢ Quartz vein
stockwork
ā¢ Previous access
with helicopter
support
ā¢ Newly constructed
road now available
allowing for cost
effective access
ā¢ Soil sampling
program in
progress
ā¢ Drill ready
24. www.guygold.com 24
Symbol: TSX: GUY
TotalĀ SharesĀ Outstanding 171,383,469
Options 8,014,844
Warrants 0
52Ā week:Ā Hi/Lo C$10.35Ā /Ā C$4.03
MarketĀ CapĀ (atĀ C$Ā 7.50) C$1,293Ā million
CashĀ BalanceĀ (DecĀ 31,Ā 2016) US$73Ā million
DebtĀ Ā (DecĀ 31,Ā 2016) US$78Ā million
Top 10 Shareholders Shares %
Van Eck 27.4M 16.0%
The Baupost Group 20.6M 12.0%
Franklin Resources (Templeton) 8.6M 5.0%
Rafferty Asset Management 8.3M 4.9%
Patrick Sheridan Jr. (Founder) 6.0M 3.5%
Fiera Capital 5.0M 2.9%
Sun Valley Gold 4.9M 2.9%
Fidelity Investments 4.5M 2.6%
Manulife 3.4M 2.0%
Oppenheimer 3.2M 1.8%
CORPORATE SNAPSHOT
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ļ§ Guyana is the only English speaking country in South America
ļ§ British common law and secure tenure - part of the Commonwealth
ļ§ Democratically elected government under parliamentary system
ļ§ Long history of significant gold production:
ļ§ Gold was the largest export of the country
ļ§ Royalty:
ļ§ 5%: Gold price $1,000/oz or less
ļ§ 8%: Gold price $1,000/oz +
ļ§ Corporate income tax:
ļ§ 27.5% with no withholding tax on interest payments
MINING FRIENDLY JURISDICTION & GOVERNMENT
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Focus on health and safety of our employees, the well-being of our
community and the protection of the natural environment
Hiring in the region, giving priority to local communities:
ļ§ 96% are Guyanese nationals
ļ§ Scholarship and job/skills training
Supporting local communities
ļ§ Local sourcing of goods and services
ļ§ Business opportunities
ļ§ Participation in municipal development
ļ§ Sustainable development initiatives in community
CSR AND SUSTAINABLE DEVELOPMENT
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Gold Price $1,200/oz Quantity (kt) Grade (g/t) Contained Gold (koz)
Proven Reserves
O/P Saprolite 336 1.60 17
O/P Rock 4,864 2.99 467
Total Proven 5,200 2.90 485
Probable Reserves
O/P Saprolite 2,934 1.91 180
O/P Rock 12,128 3.02 1,179
U/G Rock 16,519 3.19 1,694
Total Probable 31,580 3.01 3,053
Total P & P Reserves 36,781 2.99 3,538
Gold Price $1,300/oz Quantity (kt) Grade (g/t) Contained Gold (koz)
Measured & Indicated Resources
O/P 29,670 2.62 2,440
U/G 30,060 3.91 3,780
Total M&I Resources 59,730 3.25 6,250
Inferred Resource
O/P 4,770 1.57 230
U/G 11,810 4.12 1,570
Total Inferred Resource 16,580 3.79 1,790
MINERAL RESERVES & RESOURCES
Source: February 2017 NI-43-101 Technical Report
Source: February 2017 NI-43-101 Technical Report
1.Mineral Reserves are based on a gold price of
US$1,200 per ounce, 8% royalty and an
average metallurgical recovery of 96.0% for
saprolite and 94.0% for fresh rock material.
2.Open pit saprolite and rock reserves are
reported at a cut-off grade of 0.44 g/t Au and
0.42 g/t Au for vein and upper saprolite
material respectively. Open pit rock reserves
are reported at a cut-off grade of 0.76 g/t Au
and 0.64 g/t Au for vein and Roryās Knoll rock
material respectively.
3.Underground fresh rock reserves are reported
at a cut-off grade of 1.5 g/t Au.
4.Mineral Reserves are contained within
Mineral Resources.
5.SRK is not aware of mining, metallurgical,
infrastructure, permitting, or other factors that
could materially affect the mineral reserve
estimates.
1. Mineral resources are inclusive of mineral
reserves. Mineral resources are not mineral
reserves and do not have demonstrated economic
viability. All figures have been rounded to reflect
the relative accuracy of the estimates.
2.Open pit mineral resources are reported at a
cut-off grade of 0.30 g/t for Saprolite and 0.40
g/t for Fresh rock respectively, and underground
mineral resources are reported at a cut-off grade
of 1.8 g/t. Cut-off grades are based on a price of
US$1,300 per ounce of gold and a gold
recoveries of 97 percent for saprolite and 94.5
percent for fresh material.
3.Mineral resources have been adjusted using the
2016 EOY topography, to account for open pit
mining to date, and include ore stockpile
inventories as of EOY 2016.
29. www.guygold.com 29
Feasibility Study: Comparison
Study Apr-12 Feasibility Jan-13 Feasibility Jan-16 Feasibility Jan-17 Feasibility
Mine plan
7500tpd,
UG - RK/AH/MK
4800tpd->9700tpd,
UG - RK only
5000tpd,
UG - RK only
5000tpd->8000tpd,
UG - RK/AH/MK
Au price $1,200/oz $1,300/oz $1,000/oz $1,200/oz
Mt g/t Moz Mt g/t Moz Mt g/t Moz Mt g/t Moz
Reserves - OP 18.6 2.99 1.79 13.7 2.55 1.12 17.5 2.77 1.57 19.6 2.87 1.81
Reserves - UG 26.6 3.28 2.81 25.9 2.84 2.36 14.9 3.13 1.50 16.5 3.19 1.69
Reserves - Total 45.2 3.16 4.60 39.52 2.74 3.48 32.4 2.95 3.07 36.1 3.02 3.50
Reserves - RK OP 11.8 2.88 1.10 5.4 2.65 0.45 10.8 2.81 0.97 12.2 2.98 1.17
Reserves - RK UG 23.7 3.21 2.45 25.85 2.84 2.36 14.9 3.13 1.50 14.8 3.02 1.44
Reserves - Satellites
UG 2.9 3.89 0.36 - - - - - - 1.7 4.68 0.26
NPV (5%) $438 $800
$568 mln
($790mln @ $1200/oz)
$850 mln
($1,007 mln @ $1300/oz)
Development capex $524 $205
Mine life 22 yrs 17 yrs 16 yrs 15 yrs
OP Mining $2.07 $2.42 $2.45 $2.11
UG Mining (RK) $37.57 $19.28 $29.83 $25.72
Processing $15.34 $13.78 $12.95 $14.87
G&A $/t $4.72 $3.83 $8.30 $8.77
Diesel/Fuel $0.63/L $0.89/L $0.70/L $0.55/L
Power cost $0.17/kWh $0.228/kWh $0.138/kWh
RK - strip ratio 9.1 4.7 5.1 8.4
RK - pit bottom 270m 150m 220m 320m
RK - UG bottom 1300m 1020m 820m 820m
30. www.guygold.com 30
Geological Description
ļ§ Rory's Knoll mineralization: disseminated pyrite and gold mineralization associated with intense silica-fuchsite-
sericite-carbonate alteration in tonalite intrusive probably emplaced at the hinge of the folded volcanic rock and
metasediments.
ļ§ Mad Kiss mineralization: disseminated pyrite and gold mineralization associated with intense silica-fuchsite-
sericite-carbonate alteration in a quartz feldspar porphyry dyke.
ļ§ Aleck Hill mineralization: mesothermal gold veins hosted in the shear zones of metavolcanic and
metasedimentary rocks; occurs in a zone of pyrite-rich quartz-carbonate veins in volcanic rocks that are enclosed
in an alteration envelope which reportedly includes silica-sericite and calcite cement filling fractures.
GEOLOGY
31. www.guygold.com 31
BOARD & SENIOR OFFICERS
Alan Ferry
Lead Director
ļ§ Geologist that has been Involved in the investment industry for over 28 years as a mining
analyst and a mining corporate finance specialist.
Patrick Sheridan Jr.
Founder, Executive
Chairman and Director
ļ§ Over 25 years of experience in the mining industry
ļ§ Has actively explored in Guyana since 1996 and is the founder of Guyana Goldfields and lead the
discovery of the Aurora and Sulphur Rose deposits
Scott A. Caldwell
President & CEO
and Director
ļ§ Mining engineer with 35+ years experience building and operating gold and base metal mines worldwide
ļ§ Former President, CEO and Director of Allied Nevada Gold Corp. from 2006 - 2013
Michael Richings
Director
ļ§ 40+ years of development and operational experience in the resource sector. Mr. Richings is currently
the Chairman of the Board for Vista Gold, where he also served as CEO from 2007 to 2012
Rene Marion
Director
ļ§ 25+ years of diversified management and senior technical experience with resource industry expertise in
operations, mineral exploration, and mine development, along with a successful history of corporate
development.
Wendy Kei
Director
ļ§ Chartered Professional Accountant and previously served as CFO of Dominion Diamond Corporation
(formerly Harry Winston).
Jean-Pierre Chauvin
Director
ļ§ 40+ years of combined experience in mining operations and construction management.
David Beatty
Director
ļ§ 25+ years of financial capital markets and resource management experience.
Daniel Noone
Director and
VP, Exploration
ļ§ Over 25 years of experience of international mineral exploration and development
ļ§ Former VP of Peru for Aquiline Resources
Paul J. Murphy
Executive VP,
Finance & CFO
ļ§ Over 40 years of financial experience and former Head of PricewaterhouseCoopers LLP Westernās
World Mining Practice
32. www.guygold.com 32
Scientific and Technical Information
The qualified person for the mineral resource and reserve estimates and other scientific and technical information herein are as follows:
The compilation of the technical report in support of the 2017 feasibility study was completed by Tim Carew, PGeo, Robert McCarthy,
PEng, and Christopher Elliott, FAusImm. By virtue of their education, membership to a recognized professional association and relevant
work experience, Tim Carew, Robert McCarthy and Christopher Elliott are independent Qualified Persons as defined by National
Instrument 43-101. Tim Carew, Robert McCarthy and Christopher Elliott have reviewed, approved and verified the technical content within
this presentation. The qualified person for the other scientific and technical information in this presentation, is Daniel Noone, BApSci
(Geo), MBA, and has approved the contents of this presentation.
Technical and scientific information contained herein, including the mineral resource and reserve estimates relating to the Aurora Gold
Project is derived from the āāIndependent Technical Report Updated Feasibility Study, Aurora Gold Mine Project, Republic of Guyanaā
dated February 2, 2017 (the āTechnical Reportā). We have filed the Technical Report under our profile at www.sedar.com. For details of
the data verification procedures employed by the QPs and the key assumptions, parameters and methods used to estimate the mineral
resource and mineral reserve estimates, please see the Technical Report. For information about known legal, political, environmental, or
other risks that could materially affect the potential development of the mineral resources or mineral reserves, please see the Technical
Report.
Securities Laws
This presentation does not constitute an offer or solicitation to buy or sell any securities discussed herein in any jurisdiction where such
would be prohibited. This presentation is not an offer to sell, or a solicitation of an offer to purchase, any securities in the United States.
The securities referred to in this presentation will not be registered under the U.S. Securities Act of 1933 and may not be offered or sold in
the United States except pursuant to an exemption from the registration requirements of the U.S. Securities Act of 1933 and applicable
state securities laws.
The information contained in this presentation does not and is not intended to constitute a "valuation," "formal valuation," "appraisal,"
"prior valuation," or a "report, statement or opinion of an expert" for purposes of any securities legislation in Canada or otherwise.
Currency
Unless otherwise indicated, all dollar values herein are in United States dollars.
SCIENTIFIC, TECHNICAL AND SECURITIES INFORMATION
