Resource World Magazine

8 www.resourceworld.com a p r i l / m a y 2 0 1 5 Developments Ltd. TSX: NB OTCQX: NIOBF NIOBIUM • SCANDIUM • TITANIUM Strengthening our world www.NioCorp.com 6 5 after-tax NPV (5% discount) is $423.1 mil- lion with an after-tax IRR of 19.1%. At a gold price of US $1,300/oz, the after-tax NPV (5% discount) is $537.0 million with an after-tax IRR of 24.9%. Rubicon has about $140 million in its treasury as of the end of the third quarter of 2014. Sabina gOld & SilvEr cOrp. [Sbb-TSX] Sabina Gold & Silver has completed a Prefeasibility Study (PFS) and submit- ted its Draft Environmental Impact Assessment to the Nunavut Impact Review Board for its 100%-owned Back River gold project in the West Kitikmeot region 520 km northeast of Yellowknife. In March 2014, a new resource estimate was completed compiling approximately 82,000 metres drilled in 2013 that were not included in the PFS. Measured resources now stand at 10.4 million tonnes grading 5.2 g/t gold, for 1,761,000 million con- tained ounces gold; an indicated resource of 17.9 million tonnes grading 6.1 g/t gold, for 3,536,000 contained ounces gold; and an inferred resource of 8.2 million tonnes grading 7.3 g/t gold, for a contained 1,927,000 oz gold. These figures will be used as a foundation for a new resource estimate in an independent Feasibility Study, now under way. About 50% of resources are open-pittable. The October 2013 Prefeasibility Study envisioned a 5,000 tpd open pit and underground mine that would produce approximately 287,000 oz gold annually for 8.4 years. Mill throughput would be 5,000 tpd at an average grade of 5.69 g/t gold with a gold recovery of 88%. The pre-tax NPV (5% discount) is $471 mil- lion with an IRR of 21.8%. The after-tax NPV is 290 million with an IRR of 16.5%. Payback would be 3.3 years. The new Feasibility Study may increase throughput by 20%. On-site operating costs are projected to be $101/tonne milled with average total cash costs expected to be $685/oz. Pre- production capital is estimated to be $605 million with ongoing/sustaining capital of $226 million. Sabina has improve gold recoveries to 93.9% and extended mine life. At year-end 2014, Sabina had $30 mil- lion in its treasury. aFrican gOld grOUp inc. [agg-TSXv] African Gold Group recently filed a PEA for its 100%-owned Kobada gold project in southern Mali, West Africa. The com- pany's objective is to be a 50,000 oz/year producer by 2016. Measured resources stand at 10.8 million tonnes grading 1.06 g/t gold, for 367,000 oz with indicated resources at 25.2 million tonnes grading 1.04 g/t gold, for 843,000 oz gold. Inferred resources are 39.0 million tonnes grading 1.0 g/t gold, for 1,205 oz gold. PEA highlights include cash flow of US $204 million (~ C $237 million) after min- ing royalty (US $24.8 million), gold tax (US $22.3 million), company taxation (US $32.7 million), and dividends payable to the Malian government (US $18.8 million – reflecting a 10% free carried interest); Post-tax NPV (5%) cash flow is US $128 million (~C $148 million) with an IRR of 53%. Total pre-production capital is esti- mated to be US $46.6 million, including US $6.1 million contingency. All-in sustaining costs are US $792/oz gold, life-of-mine. The base case analysis assumes a gold price of US $1,250/oz as a long term metal price. Annual production, for the first two years of operation, is forecast to exceed 50,000 oz gold with an average gold pro- duction of 44,000 oz over 15 years of mine life. Mining output is modeled at 1.6 mil- lion tonnes per year. Completion of gravity recovery test work by Gekko Systems demonstrated the benefit of low cost pre-concentration, gravity concentration and concentrate leaching operations conducted in 2010.

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