DIVERSIFIED METAL EXPLORATION & DEVELOPMENT COMPANY INVESTOR PRESENTATION SUMMER 2019 Field Office: 59 Burtch’s Lane Rockport, Ontario K0E 1V0 Tel: 613-659-2773 TF: 1-800- 667-1870 Email: Info@ElNinoVentures.com
MANAGEMENT, TECHNICAL, 2 DIRECTORS Harry Barr…………. Chairman & CEO Robert Guanzon…………. Chief Financial Officer Charlotte Brown…………. Corporate Secretary Gary Moore, MBA, BComm …………. Director Michael Neumann, P.Eng …………. Director Gordon Chunnett …………. Director ELN is in the process of adding a new Advisory Board. Share Structure Share Price $0.03 Shares Outstanding 61,611,970 Warrants 22,774,750 Options 2,740,000 Fully Diluted 87,126,720 52 Week Range $0.005 - $0.03 Note: Approximate figures on May 29, 2019 Management & Directors: 35% High Net Worth, Family Office & Retail Shareholders: 55% Approximately 2000 Shareholders
WHY INVEST IN EL-NINO VENTURES? 3 ➢ Well financed Junior mining company, lead by a veteran management team with over 200 years of combined background in mining, project generation, exploration and finance. ➢ New diversified management team to be added by way of Directorships, Advisory Board & Consultants. ➢ Potential royalty cash-flow from Murray Brook adjacent Zinc Polymetallic producer who has option to acquire 75% of the Murray Brook Project. Smelter located within 1.5 hour drive of project. ➢ Four payments totaling C$120 000 ahead of the one Million dollars receivable for Murray Brook sale by June 30, 2020 or the entire ELN interest of the project comes back to El Nino in good standing with project. ➢ 100% owned Gold and Base metals project in the Northern Peninsula of Newfoundland, technical team is currently completing a detailed exploration plan. ➢ Aggressive acquisition program underway.
4 SALE OF ELN MURRAY BROOK AND PURCHASE AGREEMENT ➢ The company made a decision to sell its Minority Interest, in our Option/Joint Venture, with Votorantim Metals Canada Inc., on our Murray Brook Polymetallic Project. ➢ By mutual agreement in July 2019, El Nino Ventures Inc. and Puma Exploration Inc has agreed to modify the original closing terms of their asset purchase agreement.
MURRAY BROOK PURCHASE 5 AGREEMENT WITH PUMA Summary of the deal to date. El Nino has received: ➢ the equivalent of two million dollars of cash, ➢ three-year, two million warrant allocation of Puma Exploration stock and as of May 10, 2019 ELN owns approximately 1,200,000 shares of Puma Exploration stock. ➢ Four payments totaling C$120 000 leading up to the final payment of one million dollars on or before June 30, 2020. ➢ El-Nino will receive a laddered Net Smelter Return on Production (NSR), starting at 0, at a Zinc price of US$1.04/lb, and increasing, in increments of 0.25%, to a maximum of 1.75% above US$1.50/lb Zinc, in relation to 32% of the production from the Murray Brook property , which includes the Mining Lease and the Camel Back Claims, for the life of the Murray Brook Deposit and any new discovery made on the total project. ➢ In the event Puma, do not make the last one million dollar payment El Nino’s 32.5% of the Project will be returned and ELNs interest will restored and the Project will be returned in good standing. ➢ In the event that Puma does not proceed with the final $1,000,000 payment before June 30, 2020, a 0.67% royalty (NSR) on the Murray Brook Project will be granted to ELN under the same terms as the existing royalty in the Purchase Agreement or, at the option of Puma and subject to prior approval of the TSX Venture Exchange, Puma will issue to ELN 1.5 million shares of Puma.
MURRAY BROOK ZN-PB-CU (AG) 6 PROJECT ➢ Murray Brook’s base metal, massive Sulphide deposit, is located in the proven Bathurst Mining Camp ➢ Murray Brook Measured & Indicated Resources = 19 Mt @ 3.8% Zn+Pb+Cu ➢ Favourable metallurgy ➢ Positive Preliminary Economic Assessment ➢ Well-established infrastructure ➢ Amenable to open-pit mining ➢ Road accessible; power, smelter, labour force Murray Brook and the Bathurst Mining Camp located in north-central New Brunswick nearby
MURRAY BROOK INFRASTRUCTURE 7 SETTING Murray Brook Mining Lease 1 and Camel Back Exploration Property 2 3 5 4 1 - Belledune Smelter (Glencore) 2 - Caribou Mine & Mill (Trevali) 3 - Brunswick #12 Mine (Glencore) 4 - Stratmat Project (Trevali) 5 - Halfmile Mine (Trevali) Murray Brook Project located NW corner of Bathurst Mining Camp. Road accessible; power, mill, smelter and skilled labour force all nearby.
MURRAY BROOK PEA 8 Preliminary Economic Assessment – June 2013* Technical Report prepared by P&E Mining Consultants ➢ Mill Throughput: 6000 t/d or 2Mt ore/year ➢ Life of Mine: 9.5 years ➢ Life of Mine Strip Ratio: 4.32 * This PEA is preliminary in nature and its mineable Item Discount C$ tonnage includes Inferred Mineral Resources that are considered too speculative geologically to have the NPV 5% $96,440,000 economic considerations applied to them that would enable them to be categorized as mineral reserves NPV 7% $59,570,000 and there is no certainty that the preliminary IRR % 11.40 assessment will be realized. Mineral Resources that are not mineral reserves do not have demonstrated Payback Years 5.43 economic viability. Life Of Mine Cash Flow Revenues from Operating Capital Royalties Taxes Cash Flow Con Cost Spending C$ C$ C$ C$ ($28/t) C$ C$ $228,673,00 $1,246,026,000 $518,076,000 $3,115,000 $161,344,000 $334,818,000 0 www.elninoventures.com TSX.V:ELN OTC Pink: ELNOF FSE: E7Q
EXPLORATION UPSIDE 9 N Residual gravity map of the Murray Brook favourable horizon.
EL NINO’S MANAGEMENT TO FOCUS 10 ON GOLD AND BASE METALS ➢ Over 220 years of combined technical, financial and admin experience. ➢ Fears about the stability of the world economy may well change the price of Gold, Silver, but the growth of the world economy is resulting in the consumption of large quantities of Base Metals. ➢ Few new discoveries are in development due to lack of exploration from Major mining companies. ➢ Majority of global supply is deep and expensive to mine. ➢ January 2018 El Nino Ventures acquires 100% owned Newfoundland project. ➢ Aggressive ongoing acquisition program in Progress.
11 GREAT NORTHERN PENINSULA - NEWFOUNDLAND ➢ In the first quarter of 2018 ELN announced the acquisition of three gold projects in the Great Northern Peninsula of Newfoundland. The claims were staked to follow up on the new Gunner Cove gold discovery of White Metal Resources. ➢ El Nino’s gold project is situated around the city of St. Anthony and northward, covering favorable geology, similar to that being encountered on the Gunners Cove Project to the east and north of the company’s gold project.
12 GREAT NORTHERN PENINSULA - NEWFOUNDLAND ➢ In the Summer/Fall of 2018, exploration programs were launched to investigate all three of the projects. Based on the results achieved at the end of the exploration, management decided to reduce its footprint in Newfoundland from three projects to one and retain the NP Gold Project. ➢ Management of ELN are following the exploration results of White Metal Resources, Benton Resources, and Metals Creek Resources and in this newly discovered Newfoundland gold district. ➢ ELN's technical team is currently considering a detailed exploration plan for its Newfoundland project and further details will be forthcoming.
13 GREAT NORTHERN PENINSULA CLAIM Figure 1: El Nino Venture Gold Project – Figure 2: Claim Distribution map in the St. Anthony’s area of Great Northern Peninsula, Newfoundland Newfoundland and Labrador and Labrador.
14 EL NINO METAL DIVISION Aggressive Acquisition Program Underway ➢ Mix of grass roots, brownfields and advanced stage projects and royalty acquisitions under consideration. ➢ New diversified talent Advisory Board to be formed. ➢ Prospector Generator Model: “Management plans to provide out shareholders with the opportunity to explore and develop a number of Exploration Projects concurrently. After an initial phase of exploration on our projects, our team plans to partner via Option/Joint Venutre Agreements with Major and well-funded Junior companies that want exposure to the Gold Industry” . ➢ The Prospector Generator Model reduces risk, share dilution and increases Discovery Potential. ➢ Murray Brook Royalty may allow El Nino to get into cash flow and create a royalty division. ➢ Management is also looking at Cash Flow positive businesses outside of the mining industry, including Alternative Energy/Fuel, Real Estate,Technology and Alternative Medicines.
15 EL NINO SUMMARY Well financed PUBCO. 1. Proven board of directors and management team. 2. Diversified management team with new Advisory Board, Directorships and Consultants. 3. Potential Cash Flow from Royalty on Murray Brook Zinc Polymetallic Mine backed by an 4. adjacent mine who is a zinc producer, Bathurst is host of a smelter that is within a 1.5 hour drive of the Murray Brook Project. Four payments totaling C$120 000 leading up to the final payment of one million dollars on 5. or before June 30, 2020.
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