TriStar Gold Corporate Presentation Updated February 2024
Gq presentation-feb2015
1. Click to edit Master title style
FERTILIZER
TSX-V
AFRICA
BUILDING FOR GROWTH WHERE
T H E W O R L D I S G R O W I N G
2. Disclaimer
This presentation contains forward-looking statements or forward-looking information within the meaning of applicable
securities legislation (hereinafter collectively referred to as "forward-looking statements") concerning the Company's plans
for its properties, projects, operations, subsidiaries and other matters. These statements relate to analyses and other
information that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of
management regarding operations of the Company which are subject to a variety of business and market risks, including
political and regulatory risks associated with mining and exploration in Mali.
Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections,
objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "expects" or
"does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "estimates" or "intends", or stating that
certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved) are not
statements of historical fact and may be forward-looking statements.
These forward-looking statements are based on certain assumptions which the Company believes are reasonable, however,
forward-looking statements are subject to a variety of business and political risks and uncertainties. Some of the important
risks and uncertainties that could affect forward-looking statements are also described in the Company's continuous
disclosure filings made with Canadian securities regulatory authorities, which are available at the SEDAR website and on the
Company’s website. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove
incorrect, they may adversely affect the Company’s business and prospects and actual results may vary materially from
those described in forward-looking statements. Forward-looking statements are made based on management's beliefs,
estimates and opinions on the date the statements are made and the Company undertakes no obligation to update forward-
looking statements if these beliefs, estimates and opinions or other circumstances should change, other than as required by
applicable laws. Investors are therefore cautioned against placing undue reliance on forward-looking statements.
The Company cautions that the PEA is preliminary in nature, as it includes “Inferred Mineral Resources” which are
considered too speculative geologically, to have the economic considerations applied to them that would enable them to be
categorized as "Mineral Reserves". There is no certainty that the PEA will be realized, as Mineral Resources do not
demonstrate economic viability.
The technical information in this presentation has been reviewed by Jed Diner, MSc. P.Geol., a qualified person as defined by
National Instrument 43-101.
2
3. African Fertilizer for African Markets
• Tilemsi Phosphate – Mali
– 50 Mt, 24.3% P2O5 inferred resource
– Product: Direct application granulated
phosphate (35% P2O5 and 27% P2O5)
– After-Tax NPV10% $423M, IRR 55%.
Initial capital investment $157.9M
(PEA)
– Currently financing a profitable pilot
plant with signed local off-take
• Sua Pan Potash – Botswana
– Brownfield development
– Process tailings recovery from Soda
Ash production
– Product: Potential for 70,000t K2SO4
(SOP) annually
– Currently structuring JV, and
completing scoping engineering
3
Tilemsi Phosphate
Deposit
Tilemsi Phosphate
Deposit
Sua Pan Potash
Brine Project
Sua Pan Potash
Brine Project
4. “Africa has the potential to
create a trillion-dollar food
market” (World Bank)
• 62% of all large-scale land
acquisitions since 2000
have occurred in Africa.
• Agriculture in Africa will
grow from its current $280
billion a year to $500 billion
in 2020, and $880 billion by
2030.
• Nigeria’s agricultural sector
could grow by a colossal
160% by 2030, rising from
$99 billion in 2010 to $256
billion
4Source: GRAIN, AGRA Alliance, McKinsey, IMF, FAO
SSA
Annual GDP Growth 2013 2014 2015 2018
World +2.9 +3.6 +4.0 +4.1
Sub‐Saharan Africa +5.0 +6.0 +5.7 +5.7
Africa is Where the Growth is …
5. Under Served and Wide Open
• Africa is largely ignored by international fertilizer players
• Infrastructure and logistic challenges insulate the markets from price
reductions in the international market
• Manufacturing finished products in the regions of agricultural growth creates
excellent opportunities for enviable margins
5
252
229
165
31
32
0.2
20
8
45
14
0 100 200 300 400 500 600
Mali
Thailand
Average Cost of Fertilizer (US$/tonne)
Product Cost Transportation Taxes & Levies Finance Costs Overheads
$53.2/t
$282/t
Source: National Geographic (The Next Bread Basket, July 2014)
6. Mine to Field Ready Products
• Its not enough to have a good concentrate
– Concentrates to 36.8%, very low Cd, U and other
common contaminants, meets industry standard Fe
and Al oxides
– Unusually high natural solubility, 71.1% in citric
acid
– All mechanically concentrated, screens and
magnetic separation
– Easily granulated alone or with nitrogen and potash
for complex and simple blending
• Field tested with competitive results
– We have completed 2 years of field agronomic
testing
– Conducted with IER (Institute of Rural Economics),
and international development agencies
– 11 Test plots in major agricultural zones of Mali
– Cotton, rice, corn, millet, sorghum, peanuts, black
eyed peas
6
Dr. Lamine Traore, corn planted and fertilized with GQ phosphate
7. Agronomy
• Extraordinary Results
Corn in Sikasso
Popular crop in a significant
growing region, powerful yield
response.
7
Phosphate type Quantity
(kg/ha)
N
(%)
P
(%)
K
(%)
Yield
(kg/ha)
Diammonium
Chemical
100 15 15 15 2,156
GQ 35% Granulated 100 11 18 2 3,858
Tilemsi Powder 300 ‐ 24 ‐ 2,597
Phosphate type Quantity
(kg/ha)
N
(%)
P
(%)
K
(%)
Yield
(kg/ha)
Diammonium
Chemical
100 15 15 15 1,751
GQ 35% Granulated 100 11 18 2 2,192
Tilemsi Powder 300 ‐ 24 ‐ 1,728
Phosphate type Quantity
(kg/ha)
N
(%)
P
(%)
K
(%)
Yield
(kg/ha)
Diammonium
Chemical
65 18 46 ‐ 904
GQ 27% Granule + M4 100 ‐ 27 ‐ 1013
Tilemsi Powder 300 ‐ 24 ‐ 794
Un-Irrigated Rice in Bamako
Challenging crop given
variable water availability,
benefiting from whole nutrient
nature of GQ product
Peanuts in Kita
Medium grade product was
tested with solubility aids, an
ultra low cost option for
subsistence crops
8. Starting Small – Production in Mali
Established Malian Partnership (Oct 17, 2014)
GQ 67% / SADA 33%
Funds part of Construction
and reduces country risk
Off‐take agreement (Sept 22, 2014)
SADA local blending
consortium
Will purchase 95% of planned
production
Established Product in Mali (June 13, 2014)
Product demonstrations with
Ministry of Agriculture (IER)
Excellent results shared with
major purchasers
Developed Product for West African Market
Process to beneficiate and
granulate
Worked with Mintek and DRA
8
Pilot Plant Economics (US$)
After Tax NPV10% $17.3M
Projected IRR 29.5%
GQ Initial Cap Ex $16.3M
Prices (Off‐Take)
‐ High Grade (35% P2O5) $450/t
‐ Medium Grade (27% P2O5) $330/t
‐ Toll Blending/Granulating $45/t
Operating Cost $124/t
• Market building phase
• Low capital hurdle to production
• Secure production while Mali
continues to stabilize
9. The Opportunity is not limited to Mali
9
324.8
371.3
174.8
112.2
16
59
52.2
56
52.2
49.8
0 200 400 600 800 1000
Mali
Nigeria
UREA Cost (US$/tonne)
Product Cost Transportation Taxes & Levies Finance Costs Distribution Cost
$277/t
$295/t
543.8
463.1
159.8
149.6
28
24.2
76.6
78.6
75
71.6
0 200 400 600 800 1000
Mali
Nigeria
NPK Blend Cost (US$/tonne)
Product Cost Transportation Taxes & Levies Finance Costs Distribution Cost
$324/t
$339/t
Source: IFDC, West African Fertilizer Report 2012
10. Full Scale Production
• 500,000t of production
growing to 1Mt
• Sold through out West Africa
• The region consumes
approximately 2.5Mt
10
Full Scale Economics (US$)
After Tax NPV10% $432.1M
Projected IRR 55.0%
Pay Back Period 2.4 years
GQ Initial Cap Ex $157.9M
Prices (Projected)
‐ High Grade (35% P2O5) $350/t
‐ Medium Grade (27% P2O5) $262/t
Operating Cost $ 92/tTrucks in Gao, moving goods to and from Bamako, Algieria and Niger
11. This can be replicated across Africa
11
502
546
215
234
43
47
0 200 400 600 800 1000
Zambia
Mozambique
NPK Blend Cost (US$/tonne)
Product Cost Transportation Distribution Cost
$281/t
$258/t
Solar evaporation ponds at Sua Pan brine project in Botswana
• West Africa does not have a monopoly on high logistic costs, in spite of this Zambia
and Mozambique have been among the fastest growing and most productive
agriculture on the continent
• Potash supply has been serious problem for Zambian farmers
12. Botswana Potash
• Exclusive right to develop potash
present at Sua Pan operation of
Botswana Ash Corporation
• KCl concentrations in bitterns are
reported to exceed 10.9 grams per litre
(g/L), which is more than a 100%
improvement over the native brine
concentration of 4.3 g/L as measured
by Botswana Ash. By comparison the
brine from the Dead Sea are 6.2 g/L
• Brine (salaar / salt pan) potash projects
usually have lower capital cost than
underground projects
• Would function as additional circuit on
existing plant, leveraging existing
infrastructure
12
Sua Pan Potash
Brine Project
13. Brownfield Brine
• Proven Process
– Existing Facility in Austria using
this process successfully on a
similar brine with 7 years
production history
• Potential Saleable Products
– K2SO4 71,000 tpy
– Na2SO4 252,000 tpy
– NaCl 1,450,000 tpy
• All fruit crops, tobacco, high value
vegetables and any foods certified
as organic by the US FDA, require
K2SO4 as potash source
• K2SO4 typically sells for 50% more
than KCl (the most common form of
potash)
13
Botash Sua Pan soda ash production facility
16. Board of Directors
16
John A. Clarke – Chairman
Former CEO of Nevsun Resources and
Executive Director of Ashanti
Goldfields
John A. Clarke – Chairman
Former CEO of Nevsun Resources and
Executive Director of Ashanti
Goldfields
Jed Richardson – CEO, Director
Former Director at Verde Potash and
Equity Research Analyst at Cormark
Securities, and RBC Capital Market.
Jed Richardson – CEO, Director
Former Director at Verde Potash and
Equity Research Analyst at Cormark
Securities, and RBC Capital Market.
Ehud Levy – Director
Phosphate manufacturing industry
consultant with a 30‐year career with
Bateman Engineering and Rotem
Ehud Levy – Director
Phosphate manufacturing industry
consultant with a 30‐year career with
Bateman Engineering and Rotem
Gordon Peeling – Director
Former President of Mining
Association of Canada (MAC) with
30 years of mining experience in the
public and private sectors
Gordon Peeling – Director
Former President of Mining
Association of Canada (MAC) with
30 years of mining experience in the
public and private sectors
David Shaw – Director
Worked as Senior Mining Analyst at
Yorkton Securities; initiated and
developed Resource Research Group
at Charlton Securities
David Shaw – Director
Worked as Senior Mining Analyst at
Yorkton Securities; initiated and
developed Resource Research Group
at Charlton Securities
Dogofry brownfield location for pilot plant
17. Senior Management
17
Mohammed Bouhsane – COO
Former Project Engineer in the
Moroccan mining and metallurgy
industries working for the ONA Group
and OCP.
Mohammed Bouhsane – COO
Former Project Engineer in the
Moroccan mining and metallurgy
industries working for the ONA Group
and OCP.
Jay Hosanee – CFO
Structured finance specialist Loita
Group, SA & Mauritius. Former CFO at
Mineral Hill and Golden Dawn Minerals
Jay Hosanee – CFO
Structured finance specialist Loita
Group, SA & Mauritius. Former CFO at
Mineral Hill and Golden Dawn Minerals
Thomas Guillot – VP Corp Development
Former CFO of NewGen Asset
Management investment fund, and
Management Consultant, Ministère de
l’Enfant et la Famille, Mali.
Thomas Guillot – VP Corp Development
Former CFO of NewGen Asset
Management investment fund, and
Management Consultant, Ministère de
l’Enfant et la Famille, Mali.
Marie‐France Dikizeyeko – Chief Geo.
Country Manager. Former Senior
Exploration Geologist at Randgold Mali,
Geological consultant for Nevsun and
Administrative Manager, Iamgold Mali
Marie‐France Dikizeyeko – Chief Geo.
Country Manager. Former Senior
Exploration Geologist at Randgold Mali,
Geological consultant for Nevsun and
Administrative Manager, Iamgold Mali
CEO Jed Richardson discusses life in Gao with Toureg merchant
19. Tilemsi Phosphate
• The Phase I (pilot plant) project
development includes pilot-scale
mining, beneficiation, NPK blending
and the granulation of 40,000 tons of
phosphate rock per annum for
twelve years. The pilot plant will be
located in the agricultural area of
Dogofry, 1,024 km south west of the
Tilemsi mining property.
• The Phase II (full-scale) project
development would proceed upon
determination of the success of
Phase I results over a complete year
of full operation. The Phase II
operations will be located in
Bourem, 95 km from the Tilemsi
mining property. Initially 500,000t of
phosphate product growing to 1Mt.
19
Tilemsi Phosphate
Deposit
Segou Pilot
Plant
20. Small Scale Production
Mine
• 88% GQ
• 10% Mali, 2%
Local Partners
• Sales Price $40/t
• Operating Cost
$23/t
• Contract Mining
• 42,600 tpy
Mine
• 88% GQ
• 10% Mali, 2%
Local Partners
• Sales Price $40/t
• Operating Cost
$23/t
• Contract Mining
• 42,600 tpy
Beneficiation
• 67% GQ
• 33% SADA
• Sales Price
• 35% P2O5
$450/t
• 27% P2O5
$330/t
• 35,000 tpy
Beneficiation
• 67% GQ
• 33% SADA
• Sales Price
• 35% P2O5
$450/t
• 27% P2O5
$330/t
• 35,000 tpy
Granulation
• 67% GQ
• 33% SADA
• $45/t
• Beneficiated
phosphate (P)
mixed with
imported urea (N)
and potash (K)
• 60,000 tpy
Granulation
• 67% GQ
• 33% SADA
• $45/t
• Beneficiated
phosphate (P)
mixed with
imported urea (N)
and potash (K)
• 60,000 tpy
20
• Approximately $23M total capital investment could yield $11M EBITDA annually
