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GOLDMINING INC

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September 16, 2024 at 1:20 PM (MDT)|Broadmoor Hotel & Resort

Alastair Still

Co-Founder and Chairman

Mr. Still is an experienced mining industry professional with over 25 years of experience including working for major gold miners such as Newmont, Goldcorp, Placer Dome, Kinross Gold, and Agnico Eagle. He has worked within Canada and internationally in a variety of leadership roles including corporate and project development, and mine operations. Mr. Still has spent over ten years in corporate development having formerly served as Director, Corporate Development with Newmont Corporation (formerly Goldcorp), and most recently as Executive Vice President, Chief Development Officer for GoldMining. Mr. Still graduated with a Bachelor of Science (First Class, Honours) from the University of New Brunswick and a Master of Science (structural geology) from Queen’s University.

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Well, fantastic pleasure to be here. Thanks for listening to our presentation today. I think gold mining is a story many of you are familiar with, but it is evolving. We have some exciting developments and we continue to drive forward moving value for our shareholders. So the there are some forward looking statements, you can look at this at your leisure. But what I really want to emphasize about gold mining is what makes us different from many of our peers. Yes, we have a large resource base which now contains seven projects making up some 12.5 million gold equivalent resource ounces in the measure indicated categories and a further 9.7 million ounces in the inferred resource categories. We have a large resource base that's clear that's all in the Americas. But what now separates us is as we have started to unlock value from that portfolio, we've been putting you know, things that work to put value into our our balance sheet. Such that now as of when these information presentations were submitted, approximately 100 and $34 million in cash and equity holdings with a market cap just over $200 million. So we do some very quick math. You look at the market cap, you look at the cash and equity holdings and you look at the size of the resource portfolio. There's a tremendous opportunity to re rate and capture additional value for our shareholders. The path for creating value has already taken a few interesting journeys. We've created two new companies in the last three years. The first company we created three years ago was Gold royalty corporation. That was a company created when we wrote small royalties on assets in our portfolio. Put that into a new vehicle, brought an experienced team to lead. It launched on the NASDAQ and it raised $90 million. So we thought that was a good solid endorsement of assets in our portfolio. Today. That company has more than 240 royalties, they've turned cash flow positive this year and continue to grow that cash flow as assets come online today. Gold mining owns just under 13% of the shares in that company. The second un value unlocking transaction we completed was just last year. We took a project that we had, we liked the potential of and we saw the opportunity for a project we had in Alaska called the Whistler Gold Copper Project, a resource of some 3 million ounces in the indicated category and another 6.5 million ounces inferred, but it sat idle for a number of years and was really desperate for a team and some capital to work, put to work to advance it. So we launched that into a new vehicle called us Gold Mining focused on that asset, brought an experienced team. We're having some great success drilling it now. that company which is listed on NASDAQ, We've retained about 80% ownership. The remaining 20% is primarily us retail. So that sets us apart for many of our peers with such a strong balance sheet. We've got a lot of optionality in this portfolio. We have to stay focused on a couple of core projects. We rate and rank things to show where we can unlock value. But it's that optionality from this portfolio that really is our strength and we will continue to enhance value as we start to look a little more detail at the assets. Here's the company at a quick glance, just about 100 and 90 million shares issued an outstanding, we trade on Toronto, a very familiar ticker symbol, gold, easy to remember. I think there's another company in the US who has that as well. But anyway, we got to it first in Toronto and then on the NYC American GLDG is our ticker symbol. And you can see that on the on the US EXCHANGE, the, the volume that we get from that is approximately four times that what we see in in Toronto, couple of analysts covering us and some key shareholders on the registry as well. The management team, I think that's also a key attribute of the company, founder and co chairman, Amir Adnani has now established three companies in the Gold Space two in the Uranium Space including Uranium Energy Corp. And just last year, we brought in David Garofolo to be co-chair to add a another wealth of industry experience of former CEO of my company, Gold Corp as well as CEO of Hud Bay and CFO at IGN No as well. And rounding out our team, I would also highlight Tim Smith who is now our VP exploration leading our work on our projects. Tim is an experienced expirationist who came from the world's largest gold mining company, Newmont. And I always like to say to people when I can recruit from the world's largest gold mining company. It's not necessarily because I'm offering more money. It's because we have a portfolio which I know that Tim was excited by and sees an opportunity to go and make discoveries and, and advance value. So where are the assets? The assets are throughout the Americas. We are currently operating in four countries, Canada, Brazil, Colombia, and Peru, the fifth country USA. our projects there are now spun into separate public companies. Whistler is in the hands of us gold mining in Alaska and our Nutmeg Mountain project was spun into nev gold a couple of years ago. So the slide illustrates the commodity exposure is primarily gold. We're more than 80% commodity exposure to gold, but a nice bonus is that we have about 18% commodity exposure with copper which cours a number of our projects. So the resource is very large. It's seven individual projects in here making up that resource. Each one having its own set of attributes and opportunities. We'll get into a couple of those opportunities. Highlight where we've been most active. First of all, I'd like to start with us. Gold mining again, launched on NASDAQ last year. There's a new company that's in its second season of drilling. A company put together really to focus on an asset that had been lying dormant for almost 10 years since it was acquired in 2015 by gold mining. A couple of catalysts really stirred us on to advance this further. The first of which was the rise in the price of copper and the importance of copper on the asset. So about 30% of the resource is exposure to copper. The second key catalyst was an initiative by the State of Alaska and that was a roads to resources program where the state had studied for some 10 years potential corridors of economic development. And they actually selected a corridor that goes right to our airstrip at the camp and they want to advance that road, build it with state and federal money. We would ultimately be a beneficiary of it. The nice thing about that is that we can stay focused on our exploration while the state focuses on the road. They have targeted state land for that road to ease in permitting. I would also point out that our project is 100% on state land as well, makes permitting and activities a lot easier dealing with a single regulatory agency. That road they've proposed is coming out the other side of Cook Inlet where there's a pre existing port which is under utilized. So the port facilities is there and the town that operates that port, the Matsu borough effectively build it and they will come approach. They'd love to see a road giving them increased traffic for their port facility. The project itself is a very large copper gold porphyry system. It's gold dominant. So it's about 30% copper is about 3 million ounces, gold equivalent indicated in a further 6.5 million ounces in the inferred categories. Within that, we report in our 43 101 and SK 1300 reports, you can demonstrate very clearly. There is a high grade core and the high grade core of these porphyry systems holds very strongly together. It's not a spotted dog effect. Such that if you raise the cut off grade to isolate those high grade blocks, you're still looking at close to 6 million ounces across the deposits at a grade, just over 1 g per ton. And those higher grade materials extend right to surface at the Worcester project and very amenable terrain that we can see in the picture here with the CEO of US gold mining Tim Smith and that's the Alaskan governor stopped by for a visit because he really wants to see the the impact these projects can have on the state. And he's been a big proponent of pushing the road forward. So rather than just sit on the project, we of course, want to uncover and define where the higher grade core exists and expand upon it. We drilled a modest program last year. First one, after resurrecting an existing camp and infrastructure, we drilled three holes into Whistler. The highlight of which is the top hole there 23-03. It effectively was mineralized from surface to a depth of 600 m within there. 547 m at over 1 g per ton. We think that's strongly indicative of the higher grade core of this system. I would point out that almost the entirety of that hole was outside of the indicated high grade blocks that we had to find beforehand. So that will be adding higher grade indicated blocks to our model and or upgrading from, from inferred as well. So a great success on that drilling that hole actually bottomed in mineralization. When we had our water line freeze at the end of last year, we took a break for the winter. We've re-entered that hole this year. I continued on in that mineralization and hope to have results out for that in the coming weeks as they become available. So, an exciting program last year, this year as well, we're back in the field drilling great success. We've had a 50% efficiency improvement with our drill contractor. So we've worked with them and we're starting to see the benefit of that with the productivity of the core and the results will be coming out as they get back from the lab. So very excited about us gold mining and the opportunity it has and we're only really focusing right now talking about the existing resource, but it it occurs within a cluster of porphyry. So opportunity for great discovery there as well. And on the theme of great discovery, we'll take a shift down to the Tapajos region where we have a a flagship asset of the company which is called San George. And San George was one of the initial assets that came when gold mining was being formed over 10 years ago. And if you remember gold mining used to be called Brazil Resources, Inc and the Brazil assets were part of that origination of the company, but they'd never been explored and never been drilled. So this year is our first ever drill program at San George, we've completed now 1100 m which got us five holes into the project. And as well, we, we've completed 3000 m of ARGO drilling, identifying new targets. Several things keep us enthusiastic and excited here. Not the least of which is some of the activity by our neighbors, which is putting para state on the map in Brazil. Our near neighbors to the northwest Sabi have a high grade underground operation called Palito. If we extend further up to the northwest G mining have of course now commissioned their operation at talking to Zeno. That's a great operation further along trend is Cabral and their Kyu Kuyo project. So we see this really as an emerging district. a line of deposits forming for some 200 kilometers. Now it's a major scale. the beauty though of San George, its block is shown here in red. It's approximately 46,000 hectares and we are immediately adjacent to the main paved state highway. So it's great infrastructure with road and power line that's been built for, for TZ as well. That sure makes our exploration activities here pretty straightforward and we were able to reactivate a camp and get drilling on it this year. The resource at San George, quite a modest resource at this point. But we really see this as the tip of the iceberg measured and indicated about half the resource half inferred. The focus of our drilling this year was really threefold. One is that we wanted to test really the core of mineralization to test a a plunging orientation from a new structural model. We did successfully accomplish that. We drilled 100 and 60 m running one and plus grams per ton. I can show you that section. We stepped out to the west of the edge of mineralization. We drilled two holes confirmed mineralization was still present and open to extend to the west. And then we stepped a further one kilometer west beyond any existing drilling. And we hit new mineralization at 10 g near surface at 0.7 g per ton. So for the first hole drilled into a new area, we see tremendous potential to expand and increase in this large resource package. So when we did that targeting exercise, we of course looked at the existing activities which are centered in the middle of the image here which is an old Gimpo that was mined some 30 plus years ago. Miners have since left. It's now a cattle farmer owns this and it's kept the property free of the, the, the Guerriero's. You can see the cluster of drilling in the area that's really where the previous explorers had focused where the old artisanal miners had been working. Tim Smith and our team conducted a regional soil sampling program. With that soil sampling discovered the anomaly here is actually far larger than could be attributed to ST George. The anomaly was some 12 kilometers by seven kilometers. So very encouraged by the size of that anomaly and the high grade tenor of it as well from that high grade 10 or soil anomalies, we said, well, we better test those soil anomalies to make sure they're in place. That was the focus of the Auger program this year. And some of the results from the Auger program are shown on the slide here, we had multiple samples from that Auger drilling which are running multi gram per ton gold, which that's indicating to us and this is at just above bedrock. So a bedrock source for the soil anomalies in place which creates a whole series of new exploration targets for us. And really what we're seeing here is we're now starting to line up at least three potentially sub parallel deformation zones or high strain corridors or zones of mineralization that open up a whole world of exploration opportunities here at our San George project in Brazil. So stay tuned for some additional follow up results from that Auger sampling program. As I did mention we have a number of assets in the portfolio and the point here is that we have seven assets in the resources. Each one of those projects can move the needle for our company having a significant impact and just one of them we're illustrating here is our Lamina project in Colombia. We drilled this in 2022. We made an additional discovery. Discovery cost was less than $2 per ounce to add over a million ounces. At Lamina. We put that into a pe a study last year and using gold price at the time 1750 seems quite modest today, had a good solid N PV of some $279 million. If you put a higher gold price on that in 1975 it jumps up significantly to 442 million. And the beauty here is that this is a cluster of copper gold por freeze and we see additional opportunity for discovery. So it is just illustrative of the fact that one project alone and we have seven at least in the portfolio can drive value which gives great optionality. We're not putting all our eggs in one basket with this company, plenty of levers and optionality. And as we rate and rank our projects, we can also bring in partners as necessary. I always like to use the example of our Nutmeg Mountain project. Three years ago, we entered into an agreement with NEV gold nev gold in earned into a project which was about 3% of our resource. So a lower priority for us, we purchased the property for just about a million dollars. They optioned in for total value of $16.5 million. A great return on our investment within one year of acquiring it. And today we hold about 28% of the equity in nev gold. So stand to benefit from their exploration success and their local team who can focus on that project. One added bonus within a gold mining company. Many people may not be aware of is is a uranium project. This uranium project which we call REA is in the heart of the Athabasca Basin. On the Alberta side, it's a massive land package. 100 and 25,000 hectares orano is our equity partner in the project. And quite frankly, this is a project. We would love to see monetized and create value for our shareholders. It's not our focus. We've begun a permanent exercise to make this drill ready with a drill ready project of uranium. In the Athabasca, we can either advance the work ourselves, we can bring in a partner or sell the asset or we could IP O this into a separate entity. This certainly has the strength and size to be a stand alone entity and create some value which is hidden within our existing portfolio. All of this being done with a, a care for sustainability. We have a new sustainability team we've put out now two annual sustainability reports. So we're taking great care of doing that. And so sum up, I'd like to really just highlight the attributes of a company a little different than many here, a very strong resource portfolio all within the Americas. A very strong technical team operating it. Great optionality to continue to unlock value and a significant holding of cash and marketable securities underpinning that to give us a lot of strength and flexibility as well. So that's an update on gold mining. Happy to take questions throughout. I'm not sure if we have time today, but thank you for your time today. Thank you very much.


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