Advancing Toroparu to Production

Toroparu Gold Project

Reserves & Resources

March 2013 Pre-Feasibility

Mineral Reserves

Material Reserve
Classification
Tonnes
(000's)
Gold
(g/t)
Gold
(k oz.)*
Copper
(%)
Copper
(M lb.)*
AuEq
(g/t)
AuEq**
(k oz.)*
Saprolite Au Ore Proven 1,621 0.95 50 0.09 n/a n/a n/a
Probable 3,400 0.90 98 0.10 n/a n/a n/a
Proven +
Probable
5,022 0.91 148 0.10 n/a n/a n/a
Fresh Au Ore Proven 13,976 0.93 419 0.05 n/a n/a n/a
Probable 56,333 0.88 1,587 0.05 n/a n/a n/a
Proven +
Probable
70,309 0.89 2,006 0.05 n/a n/a n/a
Fresh Au/Cu Ore Proven 14,183 1.27 581 0.20 64 1.62 740
Probable 37,597 1.14 1,373 0.18 147 1.44 1,740
Proven +
Probable
51,780 1.17 1,953 0.18 211 1.49 2,480
All Ore Types Proven 29,780 1.10 1,049 0.13 64 1.26 1,209
Probable 97,331 0.98 3,058 0.10 147 1.09 3,425
Proven +
Probable
127,111 1.00 4,107 0.11 211 1.13 4,634
Notes on Reserve Estimate:
Reserves are inclusive of mineral resources; Reserves are based on a gold cutoff price of US$1,070/oz. for Fresh Rock and US$970/oz. for saprolite. Cash flow Base Case used a gold price of US$1,400/oz. and copper price of $3.25/lb.; open pit reserves assume full mine recovery; open pit reserves are diluted (further to dilution inherent in the resource model and assumes selective mining unit of 5 m x 5 m x 5 m).
* Contained In-situ Au ounces do not include metallurgical recoveries of 96% for gold in saprolite (Oxide), 85% for gold in Au/Cu Fresh Rock, 91% for copper in Au/Cu Fresh Rock, and 96% for gold in Au Fresh Rock.
** AuEq Gold Equivalent oz. calculated using US$1,403/oz. Au ($1,394/oz. after refining), US$3.47/lb. Cu ($3.17/lb. after NSR deductions), 85.46% gold recovery, 91% copper recovery, Formula 1% Cu = 1.714 g/t-Au).Waste tonnes within pit is 468.9 Mt at a strip ratio of 3.69:1 (waste to ore); an open pit CoG of 0.35 g/t-Au saprolite and 0.38 g/t-Au Fresh Rock was applied to open pit resources constrained by the final pit design; mineral resource tonnage and contained metal have been rounded to reflect the accuracy of the estimate, and numbers may not add due to rounding; the mineral reserve estimate for Toroparu was calculated by Fernando P. Rodrigues, BSc, MBA MMSAQP #01405QP of SRK, in accordance to CSA, NI 43-101 standards and generally accepted CIM "Estimation of Mineral Resource and Mineral Reserves Best Practices" guidelines; and Reserves Effective Date: March 31, 2013.

Mineral Resources

Resources within optimized pit shell

(As of March 31, 2013)¹
cut-off grade of 0.3 g/t Au (based on $1,350/oz. Au)
Resource Classification
(All rock types)
Tonnes
(million)
Au
(g/t)
Au oz.
(Millions)
Cu
%
Cu
(M lb.)
Measured & Indicated 240 0.89 6.894 0.084 444
Inferred 129 0.74 3.090 0.042 120
Notes on Resource Estimate:
All resources in the revised mineral resource statement are In-Pit resources reported within an optimized pit shell (Resource Pit Shell) above an economic cut-off grade of 0.30 g/t Au. The economic cut-off grade was determined using a gold price of $1,350/oz. Au, an average metallurgical recovery of 95.9% for gold, processing + G&A costs of $11.49/tonne, and includes $112/oz. Au for freight, smelting, refining and royalties. Copper metallurgical recovery used was 91%. Pit slopes used in the pit optimization were 45 degrees, and the mining costs used were $2.06/t for fresh rock. Mineral Resources are reported in accordance with Canadian Securities Administrators (CSA) National Instrument 43-101 (NI 43-101) and have been estimated in conformity with generally accepted CIM "Estimation of Mineral Resource and Mineral Reserves Best Practices" guidelines. Resources are not Mineral Reserves and do not have demonstrated economic viability. There is no certainty that all or any part of the Mineral Resources estimated will be converted into Mineral Reserves estimate. Mineral resource tonnage and contained metal have been rounded to reflect the accuracy of the estimate, and numbers may not add due to rounding. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues, although the Company is not aware of any such issues. The quantity and grade of reported Inferred resources in this estimation are uncertain in nature and there has been insufficient exploration to define these Inferred resources as an Indicated or Measured mineral resource and it is uncertain if further exploration will result in upgrading them to an Indicated or Measured mineral resource category. Bulk densities of 2.76 t/m and 1.84 t/m were used respectively for Fresh Rock and saprolite tonnage calculations.