U.S. Gold Corp. Common Stock Emerging Growth Conference 97

Wonderful. Will do. Thank you, and thanks for everyone taking the time to listen in today. As mentioned, I'm the Executive Chair over at U.S. Gold Corp., also co-founder of the company. We're a purely Nasdaq-listed developer. We've got a development stage asset, CK, in Wyoming, and I'll look forward to giving you a little rundown on the company here today. I won't go through the forward-looking statement. Sorry. You'll find all that on our website, of course. Website is usgoldcorp.com. U.S. Gold, we're going to focus in here on the CK Gold project in Wyoming specifically this morning, but we will also touch on the Keystone project as well in Nevada. We won't have time for Chalice, but we have plenty of time for questions and long answers. U.S. Gold Corp., we are an established group of mining professionals who have worked in the industry for decades.

We understand our primary role is to harvest these projects and make as much shareholder value as possible. This is not a lifetime role or job that we've taken on here where we're just looking for lifestyle positions. This is an approach to make shareholders money, and that's what we work towards. As I mentioned, we are on Nasdaq, so we have a very unique share structure for our sector. Traditionally, these style companies are listed in Canada on the Toronto Stock Exchange or on one of the junior exchanges in Canada. With a Nasdaq listing, we have an extraordinarily tight share structure. You'll see there are only 16.5, approximately, million shares outstanding. So we are very well-leveraged to gold and copper when you buy shares in U.S. Gold Corp., of course. The way this bull market has been riding lately, it's been a little bit of a challenge on investors in the space.

But when things turn positive, you'll see U.S. Gold Corp. act very accordingly. We have approximately $25 million USD, of course, in treasury, and a market cap right now that's floating in around $200 million-$220 million. So I think a lot of valuation upside present in the company right now, and not reflected in the current share price. Just at the bottom of this page before I flip it is the Lassonde Curve. Pierre Lassonde, of course, very storied, probably most famous gold investor in the industry. He has developed this curve, and we are right in this value proposition here, pulling out of the trough and heading into that sort of development and ultimately production phase. So we are located, as I said, in Wyoming.

The CK project is anyway, excuse me. It is in the southeast corner of Wyoming. Just to give one geographical bearing, if one was to fly into Denver International Airport, about an hour and 15 drive north, you end up in the township or the city of Cheyenne. Cheyenne is the capital city of Wyoming, and CK itself is about 20 miles just due west of Wyoming. I am sorry, in Cheyenne. Cheyenne was a pivotal location for us, clearly because we have taken this project from its infancy in 2020 as a pure exploration project to now a fully permitted, shovel-ready development stage copper and gold asset. That location has been key to our ability to do that. Reason why, we are on state ground. State of Wyoming, a resource state, a big supporter of harvesting its resources.

We got to deal with state officials in terms of all the permit process. Federal grounds, anyone who has got a public company like ours dealing on federal grounds elsewhere in the U.S., it is a real slow process, let me tell you. It is leading to a lot of anger in the industry. We have that great fortune, of course, of being outside of Cheyenne but in the city of Wyoming. Sorry, the state of Wyoming. You will see running through this map, we have got running east to west here, the I-80. That is the I-80 corridor. It is a highway, rail, all that running from Chicago all the way through to San Francisco. What that does for us, we are 2.5 miles north of it, is that is a major logistic corridor for bringing in equipment.

We sit right next to a city of 125,000 people, so employees, easy to get. We have full power grid within 16 miles of the project, which we have a power off-take agreement with, amortized to us at about $0.072 a kilowatt hour. We have roadways into the project. I can go on for a long time, but everything. Water. All the key ingredients we need to develop this mine and ultimately harvest gold and copper is sitting right there. The economics of the project we brought out earlier this year, very robust economics. It is about a 1.6 million ounce gold reserve, or gold equivalence reserve. So that is a combination of gold and copper. There is a lot of upside to that within the resource parameters, and I will show you that in a coming slide. But we have established that here it shows an 11-year mine life plan.

We are actually embarking on exploiting it in about 10 years, bringing that total production up close to about 100,000 ounces of annual production. So a very meaningful project, meaningful size. A CapEx, so a build cost of just under $400 million. So bite size, very doable, very digestible. You can see the different variables here in terms of the price of gold. One thing that I must admit we have just realized is not brought into the variables of the price of gold increase is the increase in price of copper. So that is getting amended right now, but clearly at spot price around $4,000, this project has about a $1.3 billion NPV plus a lot more upside with the copper.

Critical kind of space right now with copper being in the critical minerals list now in the U.S., and then, of course, gold having always had its reverence within the U.S. and beyond. Very simple mining method here. We are going in, doing what is called an open pit, where we crush the rock. It is exposed right at surface. It goes through a grinding process into a flotation circuit, and ultimately, we will be shipping out a gold and copper concentrate. We will be selling a concentrate right at the gate, so we do not have to build smelting facilities or any of that, which helps, again, bring down cost of development. Project sits on a very small footprint, which is great also for costing. Here is the pit here. These are about 2 square miles in size. The pit here, downhill haul for our run-of-mine pad, and then through the plant.

The concentrate is shipped out by the roadway. Of course, our waste material is stacked within this tailings pile. I will come back to that waste material in a moment, too, because not all waste is created equal. I mentioned the reserve size of the deposit, 1.6 million ounces. There is a heck of a lot more gold and a heck of a lot more copper to this deposit. That is just what we have outlined within the drilling confines that we put forward ourselves when we started this project. What we ran into in 2020 was still a bearish market, and we needed to establish a meaningful enough reserve that was going to give us 10 years of mine life and around 100,000 ounces of annual production. That was our focus with our drilling and ultimately our engineering work. However, this deposit is not designed around our drilling.

Our drilling was designed around it. The deposit continues to depth, and it has lateral extent as well. In fact, we envisage that there is a very good chance for this deposit to be economically viable at twice the size of what currently is reported at 1.6 million ounces. We do believe there is a great opportunity for this thing to increase to around 3 million ounces in size. Another interesting takeaway from this side view, you can see here, this is our reserve pit right here. That is the 1.6 million ounces. We have got our most enriched high-grade material, or mineralization, at surface right here in the center of that open pit, or proposed soon-to-be open pit. The second outline here is just some of the measured indicated mineral that we hit just by drilling through that pit.

There is another close to 800,000 ounces just exposed right there that does not calculate into our reserves yet. More to go on that in the future. I said I would bounce back to this, and I will just quickly. This waste material, again, tailings here, the tailings are not waste. The tailings actually contain gold. At some point, we will reenter those tailings, probably with some kind of other capture beyond flotation. There is upwards of close to 300,000 ounces that sneak into the tailings. We will work towards that as the mine is operating. There is also these two piles here, which are designated waste dumps. That waste is a very, very high spec granodiorite. Where we are located along this I-80 corridor, just to our south is Martin Marietta Materials, a $50-plus billion New York Stock Exchange materials company.

They are harvesting granodiorite and selling it for $20-$25 a ton into a very hungry marketplace down in Colorado, also out to California. There is a huge amount of demand for high-quality aggregate source like this, in particular, rail ballast. We have been approached by one of the largest rail companies in the U.S. They want to purchase some of that material as rail ballast. We have done all the testing on it. We will end up with around 40 million-50 million tons of that material sitting on surface for free, having been mined through the gold and copper operation, and it will garner a value of somewhere to $20-$25 a ton at the back end. A lot of margin, a lot of potential profit there within just the waste material.

All eyes are on the prize, the copper-gold, the 1.5 million ounces that we are going to be harvesting at around all-in sustaining costs of about $1,700-$1,800. What we can also do is use the sale of that waste material to further bring down the cost of production. A great economic robust deposit. There is a lot of exploration upside beyond just the CK deposit itself. We are going to embark on additional exploration. We want to look at beyond our reserve, but we also want to look at other opportunities for repeat deposits similar to CK. Keep that in mind as we enter into the tail end of this year and all important next year. Another thing we are working towards, of course, is project finance. I think there is a real misconstrued understanding of how these projects are built, too.