TSX: NSC Forward Looking Statements This presentation contains - PowerPoint PPT Presentation

TSX: NSC

Forward Looking Statements This presentation contains “forward -looking information” within the meaning of applicable securities laws. This information addresses future activities, events, plans, developments and projections. All statements, other than statements of historical fact, constitute forward-looking information. Such forward-looking information is frequently identified by words such as “may”, “will”, “should”, “anticipate”, “plan”, “expect”, “believe”, “estimate”, “intend” and similar terminology and reflect assumptions, estimates, opinions and analysis made by our management in light of its experience, current conditions, expectations of future developments and other factors which it believes to be reasonable and relevant. Forward-looking information and statements involve known and unknown risks and uncertainties that may cause Northern Sun’s actual results, performance and achievements to differ materially from those expressed or implied by the forward-looking information and statements and accordingly, undue reliance should not be placed thereon. Risks and uncertainties that may cause actual results to vary include but are not limited to the speculative nature of mineral exploration and development, including the uncertainty of reserve and resource estimates; operational and technical difficulties; the availability of suitable financing alternatives; fluctuations in nickel and other commodity prices; changes to and compliance with applicable laws and regulations, including environmental laws and obtaining requisite permits; political, economic and other risks arising from Northern Sun’s activities; fluctuations in foreign exchange rates; as well as other risks and uncertainties which are more fully described in our annual information form and in other filings we have made with Canadian securities regulatory authorities and available under our profile on www.sedar.com. No invitation to purchase securities is being made. Northern Sun disclaims any obligation to update or revise any forward-looking information or statements except as may be required by law. The technical and scientific content of this presentation has been reviewed and approved by David M. Rigg, P.Geo. and qualified person under NI 43-101. As President and CEO of Northern Sun, Mr. Rigg is not considered independent. TSX: NSC 2 2

Investment Highlights Substantial Assets with New Corporate Focus  1,500 tpd Redstone Mill centrally located in the Timmins Mining District, Ontario o Fully permitted at 1,500 tpd with upside capacity of 2,000 tpd o Designed for two independent 750 tpd circuits processing different ores  Redstone Mill will offer toll milling services in 2014  Company focused on Asset and Resource growth in the Timmins Mining District through exploration and development of advanced Resource projects  As joint ventures or through project acquisitions  Company will acquire the Snow Lake Mine and property package in 2013-2014  Northern Sun Mining’s first major gold acquisition  > 1 Million Ounce Gold Resource with Feasibility-level Reserve Base of over 450,000 Ounces Gold  Developed Mine infrastructure with fully permitted 2150 tpd Mill  Targeting Annual Production rate of 80,000 ounces Gold by late 2015  Maintains large land position in Shaw Dome Nickel Belt, Timmins  Two mine projects await higher long-term nickel (Ni) prices – Redstone and Hart  Measured and Indicated Resources of 50 M.lbs. Ni with additional Inferred Resources of 35 M.lbs. Ni* *please see mineral resource chart on page 26 TSX: NSC 3 3

Property Locations Snow Lake, MB Timmins, ON TSX: NSC 4 4

Strategic Advantages  Jien International Investments Ltd. (‘JIIL’) owns 60% equity interest in NSC  JIIL will maintain its pro-rata share position in any future financings  2,150 tpd capacity Snow Lake Mill and the 1,500 tpd Redstone Mill are strategically located in two of Canada’s leading Gold districts  Mills provide a platform for regional consolidation and production growth  Immediate income from toll milling at Redstone expected in 2014  Medium-term growth potential targeting 80,000 ounces gold (‘oz . Au’) per year by 2015 by restarting the Snow Lake Mine, with projected total cash costs estimated at CDN$852 per oz.Au. Full feasibility* and permits in place  Cash Flows from Snow Lake mining operations and from milling operations in Timmins is anticipated to support future growth * See End Notes - 1 TSX: NSC 5 5

Our Strategic Partner  JJNICL – listed on the A-Share market of the Shanghai Stock Exchange  Current Market Cap of Approximately $2 Billion (CAD)  Jien International Investment Inc. (“JIIL”), a wholly owned subsidiary of JJNICL, is Northern Sun Mining’s largest shareholder (60% ownership) and creditor  Fully Supportive of new management and turnaround plan involving various restructuring activities to re-position Northern Sun Mining as a near-term gold producer TSX: NSC 6 6

Timmins Mill – A Key Asset Redstone Mill - a keystone in the future development of Northern Sun Mining Corp.  Operating income from toll milling will support all activities  Circuit flexibility allows mill to accommodate two ores at the same time allowing multiple clients, bulk samples, etc. Recent Feasibility Studies in the Timmins Mining District:  Provide Capital Cost Estimates for potentially economic deposits throughout the District  Capital Costs in several recent studies include $60M to $90M for Mill construction, often a substantial portion (40 -50%) of total Capital Costs Debt and equity financing is currently very difficult due to lack of Investors, poor Investor interest and/or low equity prices  The combination of high Capital Costs and inability to finance, generates many opportunities:  More projects consider Toll Milling to avoid cost of Mill construction  Joint venture opportunities are available where a Mill is collateral and contributory to JV terms  Potential for outright purchase of advanced projects of merit Potential future addition of gold processing plant (Cyanidation with Carbon-in-pulp) will further enhance opportunities and the contributory value of the mill in acquisitions TSX: NSC 7 7

Mill History  100% owned by Northern Sun Mining Corp.  2007-2012: Operated as the only Nickel concentrator in the Timmins District  Production terminated due to low metal prices  Designed with two processing circuits that can operate in tandem at a permitted rate of 1,500 tonnes per day (“tpd”), but with the flexibility to operate independently processing two different ore types, each at 750 tpd  In 2014, the Mill will offer toll milling services to deposits in the Timmins Mining District and general area  Potential future addition of Gold processing plant (Cyanidation with Carbon-in-pulp) will further enhance milling opportunities and value TSX: NSC 8 8

Southern Abitibi Subprovince  The Abitibi Subprovince is the largest Gold Deposits (Prod + Res) in the Southern Abitibi Subprovince area of Archean rocks in the world  The Southern Abitibi hosts many world-class former- and currently- producing Gold and Volcanogenic Massive Sulphide (VMS) Deposits  Represents one of the top three gold-producing regions in the world (>173 Million oz.Au) Coutrtesy QMX Gold Past production > 173.2 M.oz.Au 0 km 40 Base Metal Camps in the  Majority of Gold deposits related to Southern Abitibi Subprovince >250-km long structural zones that define the Cadillac and Larder Lake Breaks  8 Major Gold Camps  4 Major Base Metal Camps Coutrtesy QMX Gold 0 km 40 TSX: NSC 9 9

Timmins Mining District  Timmins District is the largest Gold and Base Metal (VMS) producing District within the Southern Abitibi Subprovince of Ontario and Quebec  Timmins Mining District also hosts deposits mined for Nickel, Talc-Magnesite, and Asbestos  Deposit-rich region with many new prospective areas with potential for new discovery  Ideal for “Exploration in the shadow of a Head Frame”  Extensive historical database gathered over more than 90 years of exploration  Mining-friendly region with established infrastructure, including two Smelters Historical Metal Production in the Timmins Mining District exceeds 65.6 M.oz.Au; 147.4 M.oz.Ag; 2.6 Mt Copper and 8.5 Mt Zinc* * See End Notes - 2 TSX: NSC 10 10

Snow Lake Mine Acquisition Terms of Acquisition  100% interest in the Mine and 104 sq.km. property (subject to royalties) upon cash payment of $20 M expected in December 2013  Transaction will close by January 14 th , 2014  JIIL to provide pro-rata 60% of the financing for Snow Lake acquisition TSX: NSC 11 11

Snow Lake Mine  Total historic production of 1.44 M ounces gold from Main Mine, No. 3 Zone, and Birch deposits  Mined: 12.1 M tons @ 4.67 g/t Au  1955 – 1965: Nor Acme Mine produced 620,000 oz.Au  1995 – 2005: Mine rebuilt by Kinross/High River Gold JV  1995 – 2005: New Britannia Mine produced 822,550 oz.Au  Surface installations  Mine rebuilt in 1995 under TVX-High River JV  Crushing, milling and mine infrastructure maintained in excellent condition  Permitting and environmental licenses maintained  Access at Main Mine via Shaft and ramp, #3 Zone via ramp; and Birch zone remains as an open pit  Feasibility Study estimates 18 months to reach full production, with gold production ramping-up after 12 months TSX: NSC 12 12