Unlocking Value in Brazil's Emerging Alta Floresta
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Unlocking Value in Brazil’s Emerging Alta Floresta / Juruena Gold-Copper Belt April 2020 www.altamiragold.com TSX-V: ALTA | FSE: T6UP | OTC Pink: EQTRF Cautionary Statement Certain statements contained in this presentation constitute forward-looking statements. These statements relate to future events or the Corporation's future performance, business prospects or opportunities. All statements other than statements of historical fact may be forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "plan", "continue", "estimate", "expect, "may", "will", "project", "predict", "potential", "targeting", "intend", "could", "might", "should", "believe" and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. The Corporation believes that the expectations reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. These statements speak only as of the date specified. The Corporation does not intend, and does not assume any obligation, to update these forward-looking statements. These forward-looking statements involve risks and uncertainties relating to, among other things, results of exploration activities, uninsured risks, regulatory changes, defects in title, availability of materials and equipment, timeliness of government approvals, changes in commodity and, particularly, gold prices, actual performance of facilities, equipment and processes relative to specifications and expectations and unanticipated environmental impacts on operations. Actual results may differ materially from those expressed or implied by such forward-looking statements. 2 TSX-V: ALTA An Experienced Leadership Team Management Team Directors Michael Bennett Ian Talbot President & CEO, Director Independent Director A geologist with over 30 years of industry experience A lawyer and geologist with over 25 years of (23 in S. America); currently resides in Brazil. Directly experience in the mining industry; current CEO of responsible for the Cajueiro, Coringa, and Puquio Arcus Development Group. Former in-house counsel North gold discoveries in Brazil and Bolivia. at BHP Billiton World Exploration. Alan Carter, PhD Ioannis Tsitos Chairman, Director Independent Director 30 years of industry experience, formerly employed Physicist and geophysicist with over 25 years of by Rio Tinto and BHP Billiton. Founder of Magellan experience in the mining industry, 19 of which with Minerals (acquired in May 2016); Chairman of BHP Billiton. Current President and Director of Fremont Gold and CEO of Cabral Gold. Goldsource Mines. Michael O’Brien, CPA, CA Chris Harris, CPA, CA Chief Financial Officer Director A Chartered Accountant with over 30 years of Chartered Accountant with 30 years of experience in experience, including 12 years as CFO of TSX and the energy, commodity trading, and mining finance TSX-V listed junior mining companies (Golden sectors (E&Y, CIBC, BHP Billiton). Former CEO of Predator Mining, Africo Resources, BHK Mining). Altamira Gold and Alta Floresta Gold. Sèrgio Amaro Aquino Andrei Santos Brazilian Logistics Consultant Director Over 35 years of experience in the Brazilian mining A lawyer with 18 years of experience; currently sector; co-founder of Serabi Gold Plc and was provides financing, trading and operational expertise responsible for the development and construction of in his capacity as an Executive Director of Salinas the Palito underground mine. Gold, a profitable Brazilian gold producer. 3 TSX-V: ALTA Corporate Snapshot Capitalization Summary Historical Trading & Ownership Capitalization TSX-V: ALTA $0.16 1,000 Last Close (C$/sh) $0.045 10-Day VWAP (C$/sh) $0.045 $0.14 875 20-Day VWAP (C$/sh) $0.044 52 Week High (C$/sh) $0.135 $0.12 750 52 Week Low (C$/sh) $0.035 Basic Shares Outstanding (M) 99.00 $0.10 625 Fully Diluted S/O (M) 164.09 Market Capitalization (Basic) (C$M) $4.46 $0.08 500 Cash @ 3/16/2020 (C$M)¹ $1.74 Long Term Debt @ 11/30/2020 (C$M) $0.27 $0.06 375 Enterprise Value (C$M) $2.98 SharePrice (C$) Enterprise Value (US$M)² $2.10 $0.04 250 Daily Volume ('000s) Reserves & Resources (MOz Au) $0.02 125 Proven & Probable N/A Measured & Indicated $0.00 0 Cajueiro (MOz Au) 0.160 Apr 19 Jun 19 Aug 19 Oct 19 Dec 19 Feb 20 Apr 20 Cajueiro - Oxides (MOz Au) 0.025 Volume Closing Price 20-Day Moving Average Inferred Cajueiro (MOz Au) 0.455 Cajueiro - Oxides (MOz Au) 0.060 Significant Shareholders Shares (M) Ownership % (Basic) Total Reserves & Resources (Moz Au) 0.700 Board & Management 14.53 14.7% Enterprise Value / Ounce (US$/oz Au) Strategic Investors 11.35 11.5% Proven & Probable N/A FMS Group 6.86 6.9% Measured & Indicated $11.37 Total Reserves & Resources $3.00 Source: TMX Group, Company disclosure Note: Data as at 1-Apr-20 4 (1) Cash based on financing closed 16-Mar-20 (2) CAD/USD exchange rate: 1.419 TSX-V: ALTA 5 Altamira: PeerGroup Valuation (1) Averageexcludes AltamiraGold Note:Data as at 1-Apr-20 Source: Company TMX disclosure,Group, ASX Enterprise Value / Total Resources (US$ / oz) Based on Altamira’s current in-situ resource valuation, it is undervalued compared to its junior gold explorer / developer peers explorerdeveloper / gold tojunior its compared undervalued is it valuation, Altamira’s resourceon in-situ Based current $10.00 $15.00 $20.00 $25.00 $30.00 $35.00 $40.00 $45.00 $50.00 $0.00 $5.00 A re-rating A towards groupthe meanpeer wouldprovide shareholders significantwith upside Cabral Gold $3.00 Altamira Gold Big River $5.84 Gold Peergroup mean: $12.02/oz Emgold Mining $6.76 Peer Group: In-Situ Resource ValuationResource In-Situ Group: Peer $5.68 $5.14 Amarillo $5.14 Gold Columbus Gold Allegiant (1) Gold Gunpoint Exploration TriStar Gold Meteoric Resources Candente Gold Xtra-Gold Balmoral Resources Jaguar Junior Brazilian Producer Mining TSX-V: TSX-V: Serabi Junior Brazilian Producer Gold ALTA Legendary Mining Entrepreneurs Investing in Brazil Four of the most successful mining investors in the world are deploying significant capital and consolidating assets in Brazil to position shareholders and themselves for the current gold bull market. Eric Sprott, Investor Ross Beaty, Chairman On January 8, 2020, Eric Sprott Equinox Gold, Ross Beaty’s most recent increased his interest in Jaguar Mining to gold company, owns the Aurizona gold 48.9%. Jaguar Mining is an emerging low mine in Para, Brazil. This mine was the cost junior gold producer in the state of original cornerstone asset when Equinox Minas Gerais forecasting to produce 100k Gold was launched in 2016 and it remains Oz/yr in the next two years. Mr. Sprott’s a foundational asset for the company, interest is a top holding in his precious expecting to produce 130koz Au in 2020. metals portfolio. Mr. Beaty owns a large equity position in Equinox Gold. Lukas Lundin, Chairman Frank Giustra, Chairman Lundin Mining made a serious Leagold was launched by Frank Giustra investment in Brazil when it announced in 2017 to consolidate gold assets in South on July 5, 2019 that it had acquired the America. The company approved a Chapada copper-gold mine from Yamana merger on January 28, 2020 with Equinox Gold for US$800M plus certain contingent Gold with a transaction value of $1B (all payments. Mr. Lundin and the Lundin share deal). Leagold has three operating Family hold a significant stake in Lundin gold mines and one development gold Mining. project in Brazil now owned by Equinox Gold. 6 Source: Jaguar Mining Jan. 8, 2020 news release and corporate presentation. Equinox & Leagold news release on January 28, 2020 , corporate presentation, and Management Information Circular filed December 27, 2019. Lundin Mining April 15, 2019 Management Information Circular. TSX-V: ALTA Altamira: Property Location Altamira’s properties Source: Company disclosure 7 TSX-V: ALTA Accomplishments: H2 2019 & Q1 2020 Altamira has executed on strategic initiatives during the past 9 month’s working towards becoming Brazil’s next gold producer Trial Mining License Received (January 16th 2020) 1st trial mining license (#041/2019) received with respect to permit (#866.160/2007) for the 700koz Cajueiro gold project Allows Altamira and FMS to commence the construction of the 1,000 tpd processing facility Environmental Permit Received for Trial Mining (October 16th 2019) 1st environmental permit (No. 320459) with respect to permit (#866.160/2007) for trial mining licence was received with respect to its advanced Cajueiro gold project in northern Mato Grosso Permit is valid for 3 years until October 6, 2022 and covers the southern part of the key Crente resource at Cajueiro Updated NI 43-101 Cajueiro Resource (October 10, 2019) The flagship Cajueiro project has a recently updated resource of 700koz (85koz oxides + 615koz sulphides), an increase of 41% from the last published resource Strategic Partnership with a Proven Local Operator (August 8, 2019) The Trial Mining Agreement with FMS will cement a strategic relationship, demonstrate the project’s ability to produce gold profitably, and provide Altamira with a low-risk path to revenue with no upfront capital commitment FMS, an established Brazilian gold producer, will solely finance, construct, and operate the 1,000 tpd processing plant at the Cajueiro