Resource World Magazine

Resource World - Feb-Mar 2017 - Vol 15 Iss 2

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32 www.resourceworld.com F E B R U A R Y / M A R C H 2 0 1 7 advantages for investors include access to the established operator's country knowl- edge, distribution networks and local labour pool. STREAM FINANCING: SILVER WHEATON Silver Wheaton Corp. [SLW-TSX, NYSE] is the largest pure metal steaming company in the world and has agreements with 22 operating mines and eight development- stage projects. Silver Wheaton is not a miner; it provides mining companies with upfront cash to help them move their proj - ects from development to production and in return gains the right to buy gold and silver for a discounted price. Just how discounted are the silver and gold prices? In the third quarter of 2016, Silver Wheaton reported cash costs of US $4.51 per ounce of silver and US $390 per ounce of gold, which represents a buf- fer of US $11.42 per ounce of silver and a US $762 per ounce of gold based on gold's current spot price. In 2016, Silver Wheaton's forecast for attributable gold production is 335,000 ounces and attributable silver production is 30 million ounces. Silver Wheaton is diverse and has a pipeline of development projects. The company's silver and gold portfolio is strong and includes 773.3 million ounces of proven and probable silver reserves and 674.9 million ounces of measured and indicated silver resources along with 11.9 million ounces of proven and probable gold reserves and 3.42 million ounces of measured and indicated gold resources. SAVARY/SARAMA KARANKASSO JOINT VENTURE The Karankasso joint venture unified Savary Gold Corp.'s [SCA-TSXV] Houndé South and Sarama Resources Ltd. [SWA- TSXV] Serakoro 1 properties into a single 750-km 2 property owned 69% by Savary and 31% owned by Sarama; Savary is the project operator. This JV provides value for shareholders as the immediate goal is to define a min - eral resource. There are also advantages of teaming up together as Sarama is a good mine-finding team and Savary has techni- cal expertise and deeper pockets to fund the exploration. "In teaming up with Sarama, a well- respected exploration and mine finding team, Savary plans to work with Sarama's in-country technical staff and use every opportunity available to keep overhead and operational costs low through the joint utilization of Sarama's existing infra - structure and staffing, when appropriate. Through this deal, Savary shareholders will have a majority interest in a property package which essentially doubles the potential of the Houndé South property in one of the most prospective gold belts in Burkina Faso. Savary shareholders will also gain from cross-marketing opportuni - ties and the reduction of funding risk as the project is advanced," said Don Dudek, President and CEO of Savary Gold Historically a number of gold-bearing drill intercepts and gold-in-soil anomalies have been identified along a 50-km and IBK Capital Corp. This announcement appears as a matter of record only. $13,000,000 The Undersigned Acted as Financial Advisor to Augustine Ventures Inc. in Connection with this Transaction. February 2017 In an all share transaction value at Has been acquired by For complete transaction details, visit www.ibkcapital.com

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