2. Cautionary Statement
CAUTIONARY STATEMENT REGARDING
FORWARD-LOOKING INFORMATION
Except for historical information, the statements made in this presentation
are forward-looking statements involving significant risks and
uncertainties. These risks and uncertainties include the inherent risks
involved in the exploration and development of mineral properties, the
uncertainties involved in interpreting drilling results and other geological
data, fluctuating metal prices, the possibility of project cost overruns or
unanticipated costs and expenses, uncertainties relating to the availability
and costs of financing needed in the future, and other factors. The
Company undertakes no obligation to update forward-looking statements
if circumstances or Management’s estimates or opinions should change.
The reader is cautioned not to place undue reliance on forward-looking
statements. All references to currency made in this presentation are in
Canadian dollars unless otherwise stated.
2
3. Corporation Overview
Head Office
1750 chemin de la Baie Verte
Rouyn-Noranda, Quebec
J0Z 2XO
Infos
General inquiries: info@radissonmining.com
Website: www.radissonmining.com
Facebook page: www.facebook.com/Radissonmining
TSX Venture: RDS
Contacts
Mario Bouchard, President & CEO
mbouchard@radissonming.com
T. 819.797.0396
C. 819.277.6578
Donald Lacasse, CFO
dlacasse@radissonmining.com
3
4. Corporation Overview
The objective of this document is to present Radisson’s main
assets. The content includes four sections:
I
Radisson 2013 milestones and 2014 action plan
II
Phosphate sector overview, added-value potential and description of
the property
III
Presentation of the O’Brien/Kewagama project
IV
Capital structure and the Board of directors
4
5. RDS Milestones in 2013
Months
Achievements
January
January
Nomination of a new President
Hiring of a geologist certified 43-101
February
Nomination of 2 directors combining more than 60 years in mining
February
March
April
June
July
August
Creation of a Facebook page
Promotional booth at the PDAC
Closing of a $108 000 placement
Closing of a $193 000 placement
Acquisition of the Lac Gouin SSO property
Creation of a new website
September
Attended the International Fertilizer Institute Conference
September
Started the metallurgical study on the O'Brien/Kewagama project
September
Creation of twitter account
September
October
October
October
Sampling work on Lac Gouin SSO property
Started a newsletter for the shareholders
New 43-101 report on O'Brien
Closing of a $180 000 placement
5
6. 2014 Action Plan
2014
January
March
Action Plan
Costs
New 43-101 report on the Kewagama property
$50,000
Metallurgy study on the O'Brien/Kewagama project
$50,000
April
Prefeasibility study on the O'Brien/Kewagama project
$150,000
June
Field exploration on the Lac Gouin SSO property
$200,000
Miscellaneous
Communication and representation
$25,000
Financial needs
$475,000
Capital dilution@$0,18 (nb of shares)
2,638,889
% Capital dilution
3,68%
6
8. Phosphate’s Role in Agricultural Production
Global fertilizer market
Phosphate
23%
Nitrogen
61%
Potash
16%
Fertilizer increases food production by over 40%
•
•
•
•
Accelerates plant growth
Facilitates root development
Improves water management efficiency
Increases crop yield
In agriculture, there is no substitute for phosphate
Source: FAO, percentages based on the number of tons of fertilizer used annually
8
9. Use of Phosphate
• 85% of world production of phosphate is used in fertilizer production
• Together, Morocco and the Western Sahara hold 74.6% of global
phosphate rock reserves (50,000 million tonnes)
• In 2013, Canada will start
importing more than 1 million
tons of phosphate rock per year
U.S. production of phosphate: 1990 vs. 20121
Year
Production
Grade
1990
46.3 Mt
30,7%
P2O5
-37%
2012
29.2 Mt
29,1%
P2O5
-5.2%
Source1: U.S. Geological Survey, Mineral Commodity Summaries and Minerals Yearbook. Grade data 1990 - 2011.
9
10. Market and Price of Phosphate
• The global market is 220 Mt per year and is growing by about 2.5% annually
• 8 countries in the Middle East and North Africa are responsible for 24% of the
global production of phosphate:
Morocco, Western Sahara, Algeria, Tunisia, Egypt, Israel, Jordan, Syria
World demand for phosphate is guided by
• Population growth
• Increase in the use of
cropland for biofuel
• Lack of arable land
• Dietary changes in
emerging countries
Source: Phosphate Rock Price, Infomine.com
CAD $162,85/t
10
11. Lac Gouin-SSO Property
•
•
•
•
•
3,066 hectares
Located 115 km north of the city of Saguenay
Southeastern portion of the property accessible by logging roads
Power lines nearby
Identified cells with 15% apatite concentration1
1 Publication of MNRF Géologie Québec, Anderson, A., 1963, RP 504; Laurin, A.F., Sharma, KNM, 1975, RG161
11
12. Setting of the Lac Gouin-SSO Igneous Deposit
§
The phosphate rock of the Lac Gouin-SSO property is igneous in origin, which is
a factor influencing Radisson’s decision to acquire the property, as opposed to
sedimentary deposits.
Igneous Deposits
Sedimentary Deposits
Rock content
7-15% P2O5
10-30% P2O5
Mine and grinding
Hard rock
Easy, in a setting where
the rocks are
unconsolidated
Concentration
Recovery
> 85%
Recovery between 75%
and 85%
Phosphate rock grade
Between 35%-41%
P2O5
Average grade of 29%
Phosphate rock quality
Very little to no
contaminants
May contain some
contaminants (uranium,
heavy metals, arsenic)
12
13. Development Activities – Lac Gouin-SSO Property
Objectives
Period
Acquiring the property
July 2013
Surface sampling
September 2013
Analyzing samples
October 2013
Starting drilling
Completed
June 2014
13
14. Drilling Program
$1,000,000 drilling program
60 drilling holes for a total of 10,000 metres
§
300 metres wide
2,000 metres long
150 metres thick
Density 2.8 t/m3
§
This represents only 2% of the property’s area
§
§
§
Potential of 250,000,000 tonnes
@$28 per tonne =
in-situ value $7,000,000,000
*The potential quantity and grade is conceptual in nature, there has been insufficient exploration to define a mineral
resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource.
14
15. Economic Value of the Phosphate Deposit
$1,000,000 drilling
250,000,000 tonnes P2O5 (6.6%)
At $28 per tonne, value= $7,000,000,000
Effect of added value = 7,000X
*The potential quantity and grade is conceptual in nature, there has been insufficient exploration to define a mineral
resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource.
15
16. Leverage Effect of a Drilling Program
Arianne Phosphate Inc. TSX: DAN
Announcement of drilling
results, February 23, 2011
Announcement of a 3,500m drilling program
November 3, 2010
Source: Bigcharts.com
16
17. Insurance Policy for Radisson’s Share
Ø
Radisson has a 100% interest in the O’Brien and Kewagama
properties, located in the heart of the Bousquet-Cadillac mining
camp
Ø
$300,000 in equity
Historical Resources
Old Mine Area1
596,000 tons à 0.17 opt Au
Total: 103,600 ounces
Current Resources
36 East Zone2
560,000 tons @ 0.19 opt Au
Indicated: 106,000 ounces
317,000 tons @ 0.21 opt Au
Inferred: 67,000 ounces
Source1 Charlton Report, 1994 – Non NI 43-101 compliant historic resources
Source2 Scott Wilson RPA, 2013
17
18. Insurance Policy for Radisson’s Share
O’Brien/Kewagama Project
A classic high-grade mining model
Average grade of ounces of gold discoveries in the West
Source: Standard chartered bank, *Discoveries over 1 million ounces
18
19. Remark on 36 East Zone nugget effect
NI 43-101 report produced by RPA in 2013, reports that high
assays were cut to 2.0 oz/ton gold.
We note the presence of a nugget effect in the veins modelisation
of 36 East Zone.
Nugget effect is estimated at 0.38 and affects cut resource
calculation.
19
20. History of the O’Brien/Kewagama Project
• The project is located in the heart of the Abitibi gold belt along the
Cadillac-Larder Lake Break
• Located in the Bousquet-Cadillac mining camp, the project is accessible
by provincial highway 117
• Today, the Bousquet-Cadillac mining camp hosts more than 45 million
ounces of gold (past production, reserves and resources)
• Abitibi is known worldwide for its skilled mining industry workforce
• 4 gold projects are
in production along the
Cadillac-Larder Lake Break
20
22. The O’BRIEN/KEWAGAMA Project - Longitudinal Section
17.5 g per ton /1.0 m
13.68 g per ton /0.30 m
Discovery potential to be drilled = 3,648,000 ounces
22
23. Potential of Profitability for Gold Producers
Casa Berardi Mine- Hecla Mining1
2012
2011
2010
Located 227 km from the O’Brien/Kewagama project
Grade gold g/t
Gold ounces produced
Average selling price
Average production cost
Revenue from mine
Profit
Mark-up
Island Gold Mine-Richmont Mines2
6,80
136 848
1 658
976
223 558 000
91 770 000
41%
$
$
$
$
8,00
163 845
1 578
775
259 999 000
132 274 000
51%
$
$
$
$
6,80
141 116
1 145
786
178 743 000
67 825 824
38%
2012
2011
2010
Grade gold g/t
Gold ounces produced
Average selling price
Average production cost
Revenue from mine
Profit
Mark-up
5,45
41 686
1 666 $
884 $
69 448 876 $
32 598 452 $
47%
6,10
49 196
1 570
766
77 237 720
39 553 584
51%
5,95
45 865
1 243
783
57 010 195
21 097 900
37%
Lapa Mine-Agnico-Eagle Mines3
2012
2011
$
$
$
$
Located 677 km from the O’Brien/Kewagama project
$
$
$
$
$
$
$
$
2010
Located 8 km from the O’Brien/Kewagama project
Grade gold g/t
Gold ounces produced
Average selling price
Average production cost
Revenue from mine
Profit
Mark-up
Source1 Aurizon Mines 2012 annual report
Source2 Richmont Mines, 2012 annual report
Source3 Agnico Eagle website, Interactive analyst center
6,48
106 191
1 636
691
173 753 000
100 377 000
58%
$
$
$
$
6,62
107 068
1 565
641
167 536 000
98 937 000
59%
$
$
$
$
8,26
117 456
1 285
564
150 917 000
84 718 000
56%
$
$
$
$
23
24. Board of Directors
JEAN-MARIE DUPONT
Director and Chairman of the Board
MARIO BOUCHARD
President & CEO, Director
DONALD LACASSE, Eng.
VP, CFO & Secretary-Treasurer, Director
DENIS LACHANCE, Eng.
Director
MICHEL GARON, Eng.
Director
LUC SIMONEAU
Director
PAUL CREGHEUR
Director
24
25. Capital Structure
Outstanding Class A shares
72,807,982
Management
7,918,750
Class A stock options
3,610,000
Class A warrants
4,829,434
Diluted share capital
81,247,416
Management ownership is 7,918,750= 10.88% of the share capital
25