2. 2
CAUTIONARY STATEMENT
This presentation contains forward looking information, within the meaning of applicable Canadian securities legislation, and forward looking
statements, within the meaning of applicable United States securities legislation, which reflects management‟s expectations regarding Teranga Gold
Corporation‟s (“Teranga” or the “Company”) future growth, results of operations (including, without limitation, future production and capital
expenditures), performance (both operational and financial) and business prospects (including the timing and development of new deposits and the
success of exploration activities) and opportunities. Wherever possible, words such as “plans”, “expects”, “does not expect”, “budget”, “scheduled”,
“estimates”, “forecasts”, “anticipate” or “does not anticipate”, “believe”, “intend” and similar expressions or statements that certain actions, events or
results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, have been used to identify such forward looking information.
Although the forward looking information contained in this presentation reflect management‟s current beliefs based upon information currently
available to management and based upon what management believes to be reasonable assumptions, Teranga cannot be certain that actual results will
be consistent with such forward looking information. A number of factors could cause actual results, performance or achievements to differ materially
from the results expressed or implied in the forward looking information, including those listed in the “Risk Factors” section of the prospectus of
Teranga, dated November 11, 2010 (the “Prospectus”). These factors should be considered carefully and prospective investors should not place undue
reliance on the forward looking information. Forward looking information necessarily involves significant known and unknown risks, assumptions and
uncertainties that may cause Teranga‟s actual results, performance, prospects and opportunities in future periods to differ materially from those
expressed or implied by such forward looking information. Although Teranga has attempted to identify important risks and factors that could cause
actual actions, events or results to differ materially from those described in the forward looking information, there may be other factors and risks that
cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that the forward looking information will
prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, prospective
investors should not place undue reliance on such forward looking information. Teranga expressly disclaims any intention or obligation to update or
revise any forward looking statements, whether as a result of new information, future events or otherwise, except in accordance with applicable
securities law.
Forward looking information and other information contained herein concerning mineral exploration and management‟s general expectations
concerning the mineral exploration industry are based on estimates prepared by management using data from publicly available industry sources as
well as from market research and industry analysis and on assumptions based on data and knowledge of this industry which management believes to
be reasonable. However, this data is inherently imprecise, although generally indicative of relative market positions, market shares and performance
characteristics. While management is not aware of any misstatements regarding any industry data presented herein, mineral exploration involves risks
and uncertainties and industry data is subject to change based on various factors.
In addition, please note that statements relating to “reserves” or “resources” are deemed to be forward looking information as they involve the implied
assessment, based on certain estimates and assumptions, that the resources and reserves described can be profitably mined in the future. While
management has confidence in its projections based on exploration work done to date, the potential quantity and grade disclosed herein is conceptual
in nature, and there has been insufficient exploration to define a mineral resource, therefore it is uncertain if further exploration will result in the targets
being delineated as a mineral resource.
3. 3
CAPITALIZATION SUMMARY
Ticker symbol: TGZ: TSX/ASX
Shares outstanding(1): 245.6 million
Stock options outstanding: 15.4 million
Share price (as at November 8, 2011): C$2.43
Market capitalization: C$597 million
Cash position(2)(3): US$25.8 million
Debt position(2)(4): US$17.3 million
(1) As part of the demerger Mineral Deposits Ltd. retained 40 million TGZ shares and received C$50 million
from the IPO proceeds.
(2) As at September 30, 2011
(3) Includes short-term investments and restricted cash
(4) Drawn under the mining fleet finance lease facility with Societe Generale.
FOCUSED
ON GROWTH
FOCUSED ON:
GROWING
RESERVES
GROWING
PRODUCTION
FINANCIAL
STRENGTH
4. 4
ASSETS
Large exploration land package in Senegal, W.A.
• 1,488km2 virtually unexplored land
surrounding operating mill
• An emerging world class gold district
Operating mine / mill
• Proven performance
• Only gold mining operation in the country
Strong balance sheet
• Able to self-fund exploration & development
Experienced management team
• Proven track record
5. 5
Sabodala is the only large scale gold
mine in Senegal
Senegal
• Mining Code passed in 2003
• Successful democracy
• Stable political environment
• Population of ~13.7M
• Mining friendly regime
• Government holds 10% free-carried
interest in Sabodala and 3% royalty
• Tax-free holiday that ends May 2015
SABODALA GOLD
(SENEGAL)
6. 6
First gold pour in March 2009
• Approx. cost of $330M
Mill expansion from 2 MM tpa to ~4 MM
tpa underway
• Est. 140,000 oz Au production 2011 expanding
to >200,000 oz Au
• Expected to be completed early 2012 at a cost
of $60 MM
Well developed infrastructure
• Located 650 km east of the capital Dakar and 96
km north of the town Kedougou –
paved road within 56 km of mine site
• 30 MW heavy fuel oil power plant located on
site (36 MW with mill expansion)
SABODALA GOLD
(OPERATIONS)
7. 7
FOCUSED ON GROWING RESERVES
1.5Moz currently to …
• Objective: 10-15+ year mine life
• Growth through exploration – extensive exploration program
on 1,455km2 Regional Land Package of virtually unexplored
prolific land
• Growth through regional opportunities – primary focus
Senegal
FOCUSED ON GROWING PRODUCTION
140,000oz currently to …
• Leveraging off our existing mill – land package all truckable
• Doubling mill capacity – could increase further
FOCUSED ON FINANCIAL STRENGTH
Maintaining strong balance sheet to self-fund exploration…
• Eliminating hedge book – quickly but prudently
• Margin expansion (eliminate hedge and lower costs)
• Significant free cash flow to self-fund exploration strategy
• Manageable capex requirements
GROWTH STRATEGY
8. 8
FOCUSED ON
GROWING PRODUCTION
Calendar Year 2011
• Est. production 140,000 oz at
$850 - $875/oz
• Capex $83M (primarily for mill expansion, mobile
equipment and capitalized Mine License exploration)
Calendar Year 2012
• Est. production 220,000 oz at
$625-$675/oz
• Capex ~ $25M (primarily for exploration)(1)
(1) Excludes capital cost to develop regional deposits.
Assumes increased production from regional exploration
success
0
50
100
150
200
250
300
350
400
450
500
2011 2012 2013 2014
Production Profile („000 oz)
Production Exploration Success
9. 9
FOCUSED ON
FINANCIAL STRENGTH
Maintain strong balance sheet to
self-fund exploration and development
• Eliminating hedge book – quickly but
prudently ~ 165,00oz at ~ $829/oz(2) year end
2011
• Margin expansion + increased production
profile = significant free cash flow to self-fund
exploration and development strategy
• Manageable capex requirements
(1) Assumes $1500/oz gold price and cash cost of $600/oz (2) Non-Deferred Hedge Schedule Appendix page 33
Rate of margin expansion is a function
of increasing production through regional
exploration success
0
100
200
300
400
500
600
700
800
900
1000
2011 2012 2013 2014
Cash Margin ($/oz)1
11. 11
FOCUSED ON
GROWING RESERVES
1,51
(@1.47 g/t)
2,254
(@1.33 g/t)
774
(@1.06 g/t)
0
300
600
900
1,200
1,500
1,800
2,100
2,400
Proven and Probable Measured and
Indicated(1)(2)(3)
Inferred(1)(2)
Gold Reserves and Resources (‟000‟s oz)(1)
(1) See Appendix page 32 (2) M+I resources are inclusive of reserves (3) As at June 30, 2010, see Sabodala Technical Report
Kedougou-Kenieba Inlier – A Birimian Greenstone Belt
12. 12
Exploration Program (Calendar 2011)
1. Mine License Exploration:
$10 MM (~60,000m)
(YTD 43,000m)
7 Drill Rigs
2. Regional Exploration:
$25 MM (~80-90,000)
(YTD 78,000m)
11 Drill Rigs
TOTAL: $35 MM (140-150,000m)
(+180,000m RAB)
18 drill rigs
FOCUSED ON
GROWING RESERVES
Full drill results are posted at terangagold.com
13. 13
GOR
A
35 km radius
1. MINE LICENSE EXPLORATION 2. REGIONAL EXPLORATION
Budget: $25M
1,455km2Budget: $10M
33km2
14. 14
1. SABODALA MINE
LICENSE EXPLORATION
• $10 MM exploration program is underway
on the Sabodala Mine License
• 10 targets identified for follow up
• Potential to expand proven and probable
reserves from 1.5 Moz gold to 3
Moz gold over the next 12 to 18 months
increasing the mine life to ~ 10 to
15 years
15. 15
“THE CORRIDOR”
Continuation of the main Sabodala
structural trend to the north
MAIN FLAT EXTENSION
One of the principal gold hosts of the
Sabodala deposit immediately adjacent to
the current ultimate pit
MASATO EXTENSION
Continuation of Masato deposit
MINE LICENSE EXPLORATION
16. 16
MINE LICENSE EXPLORATION – MAIN FLAT EXTENSION (“MFE”)
• Main Flat Extension is one of the principal gold
hosts in the Sabodala pit
• Southern part of the deposit and dips shallowly to
the west, rolls flat, and then rolls to a moderate
northerly dip as it exits the ultimate pit
• MFE program is designed to test the continuity of
this structure to the north beginning with in-filling
holes
• Drilling targeting the MFE at a depth of 300m
confirms the continuation of the mineralized zone
with further drilling planned
• 5,400m of drilling completed in the September
quarter
• Long intervals of high grades seen
including:
• 131m at 3.45 g/t
• 87m at 3.11 g/t
• The goal is to reach 250,000 oz into open pit
mineable reserves in addition to a similar amount
in underground reserves in 2012
• The MFE remains open down plunge and to the
northwest
Full drill results are posted at terangagold.com
17. 17
MINE LICENSE EXPLORATION – “THE CORRIDOR” and AYOUB‟S
• Northerly trending extension of Sabodala pit
• Mineralization traced more than 200m north
of the existing pit along trend
• Drilling intersected wide widths of alteration similar
to Sabodala and Niakafiri
• 15m @ 1.34 g/t
• 20m @ 2.10 g/t
• The system is continuous and is showing Sabodala
style albitic alteration to the north where the target
remains open down dip and along strike
• The position of Ayoub‟s lends itself to sharing
stripping for including deeper MFE mineralization into
the ultimate pit
Mylonite
Shear Zone
Ayoub‟s
Thrust
Sabodala Pit
Full drill results are posted at terangagold.com
18. 18
Sabodala Pit
Masato Extensions
Sambaya Hill
Masato Down Dip
MINE LICENSE EXPLORATION – MASATO
• Masato structural trend
strikes across onto our mine license
• Multiple mineralized zones have been identified
with high grade intervals apparent
• In the September quarter, a total of 6,100m of
drilling was completed at Masato confirming a
strike length of 500m and a dip extent of 200m
• Recent results from Masato Down Dip include:
• 37m at 4.5 g/t
• 44m at 2.0 g/t
• Expect to define mineable reserves at Masato in
2012
Full drill results are posted at terangagold.com
19. 19
GOR
A
35 km radius
1. MINE LICENSE EXPLORATION 2. REGIONAL EXPLORATION
Budget: $25M
1,455km2Budget: $10M
33km2
20. 20
2. REGIONAL
EXPLORATION
• From 2007 – 2009, no significant drilling
was done on the 1,455 km2 Regional
Land Package due to cash constraints
• There are 28 drill targets identified; $25M
drilling program currently underway
• 56,000m of RC, 22,000m of DD, and
140,000m of RAB drilling completed
September 30, 2011
• 11 drill rigs are currently on the
Regional Land Package
• All targets in trucking distance
of the existing mill
22. 22
GORA – HIGH-GRADE QUARTZ VEIN
SYSTEM
• Most advanced target: moving from exploration to
development
• Inferred resource of 106,000 oz @ 6 g/t (May 2, 2011)
• 22 km from Sabodala mill
• 5 drill rigs (2 DD, 3 RC)
• 3m @ 14.58 g/t
• 5m @ 11.58 g/t
• 1m @ 48.50 g/t
• High grade-drill intersections continue to expand the
potential footprint of the deposit
• Running number of processes in parallel to efficiently
develop Gora as quickly as possible including
exploration, permitting, and feasibility level economic
analysis
• Production objective: late 2012
• Deposit open in all directions
Trace of blind veins from RC holes
Projected to surface – high correlation with
IP trends.
Full drill results are posted at terangagold.com
23. 23
TOUMBOUMBA – NEWEST TARGET
• Latest discovery, potential to become second
regional deposit through the mill
• Located 10km NW from Sabodala mill
• At minimum, potential for heap leaching
• Alteration hosted mostly in granite (laterite
cover)
• Oxide mineralization of up to 60m in depth
Full drill results are posted at terangagold.com
25. 25
DIEGOUN NORTH – “THE DONUT” • 7 km x 4 km complex of gold anomalism
• Contrasting rock types, porphyries, granites,
dolerite & sediments
• Rock samples to 80 g/t Au
• RAB drilling has defined gold mineralization in bedrock
• First pass RC program at Jam and Honey; 51 holes
completed for just under 8,800m (51 holes anomalous
levels of gold > 0.1 g/t)
• Recognition of a well-developed, auriferous north-east
trending structure
Sabodala Ore Body
Full drill results are posted at terangagold.com
26. 26
• Cinnamon
• Newly defined gold anomalies (RAB)
• 19,000m RAB drill program completed,
663 holes
• Structure defined as continuous through to Jam
(aeromagnetics)
• Several kms of structure
Full drill results are posted at terangagold.com
HONEY
JAM
CINNAMON
DIEGOUN NORTH – “THE DONUT”
27. 27
• >5 km long, up to 1 km wide gold anomaly defined
by termite sampling
• Parallels NE trending shears of the MTZ
• 3 Moz Massawa deposit hosted on MTZ about
25 km south
• Zone 1: large area of surface gold anomalism defined
from 2011 termite mound geochemistry
• Coincides with a structural intersection of the
MTZ and a N070 trend
• Zone 2 & 3: sit on a NE trend paralleling the MTZ and
are weak surface gold anomalies with coincident
arsenic anomalism defined by recent XRF multi-
element geochemistry
• All three zones highlighted by the RAB gold results
to date will be subject to RC drilling in the coming
dry season
• Targets up to 700m in strike length
• Follow up geophysical, RC and DD testing required
TOUROKHOTO
Sabodala Ore Body
Full drill results are posted at terangagold.com
29. 29
SUMMARY –
FOCUSED ON
GROWTH
1. Experienced Management Team
2. Largest land position in Senegal
3. Only mill in Senegal
4. Planned mill expansion
5. Extensive exploration program
– ~18 drill rigs
6. Strong Balance sheet
– increasing free cash flow with margin expansion
31. 31
APPENDICES
Competent Persons Statement
The scientific and technical information contained in this release relating to exploration activities within the mining license is based on information
compiled by Mr. Bruce Van Brunt, who is a Fellow with The Australasian Institute of Mining and Metallurgy and is also a registered professional
geologist in the State of Washington, USA. He is qualified as a Competent Person as defined in the 2004 Edition of the "Australasian Code for
Reporting of Exploration Results, Mineral Resources and Ore Reserves" and as defined in NI43- 101. Mr. Van Brunt has consented to the inclusion
of this information in the form and context in which it appears in this release. Mr. Van Brunt is a full-time employee of Teranga and not independent
of Teranga within the meaning of NI43-101.
The scientific and technical information contained in this release relating to the regional exploration is based on information compiled by
Mr. Martin Pawlitschek, who is a member of the Australian Institute of Geoscientists. Mr. Pawlitschek is qualified as a Competent Person as defined
in the 2004 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" and as a Qualified Person
as defined in NI43-101. Mr. Pawlitschek has consented to the inclusion of this information in the form and context in which it appears in this
release. Mr. Pawlitschek is a full-time employee of Teranga and not independent of Teranga within the meaning of NI43-101.
32. 32
SABODALA GOLD PROJECT: RESERVES & RESOURCES
Ore
(000 tonnes)
Grade
(g/t Au)
Contained Gold
(000 oz Au)
Proven & Probable
Sabodala 24,350 1.57 1,231
Niakafiri 7,623 1.15 281
Total 31,973 1.47 1,512
Measured & Indicated
Sabodala 41,892 1.39 1,869
Niakafiri 10,741 1.12 386
Total 52,633 1.33 2,254(1)
Inferred Resources
Sabodala 7,310 1.22 287
Niakafiri 7,248 .88 205
Niakafiri West 7,144 .82 188
Soukhoto 566 1.32 24
Gora(2) 387 5.6 70
Total 22,655 1.06 774(1)
(1) See the Sabodala Technical Report ; #‟s as at June 30, 2010
(2) Gora inferred resource updated to 543,000 tonnes at 6.08 g/t containing 106,000 oz. Please see May 2, 2011 Press Release for further information.
34. 34
MANAGEMENT
Alan R. Hill
Executive Chairman & CEO
• Mining engineer with over 20 years experience globally in project evaluations, acquisitions and mine
development as Executive VP of Barrick Gold
• Currently a Director of Gold Fields
• Former President and CEO of Gabriel Resources (2005 – 2009) and non-Executive Chairman of Alamos Gold
(2004 – 2007)
Richard S. Young
President & CFO
• Over 10 years experience in mining finance, development, corporate development, and investor relations with
Barrick Gold
• Former VP and CFO of Gabriel Resources (2005 – 2010)
Yani Roditis
Vice President, Operations
• Over 10 years experience in mine development and operations with Barrick Gold
• Former Chief Operating Officer of Gabriel Resources
Kathy Sipos
Vice President, Investor Relations
• 10 years experience in Corporate Communications and Investor Relations with Barrick Gold
• Former VP of Corporate Communications and Investor Relations of Gabriel Resources
David Savarie
Vice President, Legal & Corporate
Secretary
• Over 10 years experience in the legal industry
• Former Deputy General Counsel and Corporate Secretary of Gabriel Resources
• Previously in private practice at Miller Thomson LLP
Bruce Van Brunt
Business Development Manager
• Mining engineer and geologist with over 20 years experience
• Previously worked in a number of technical capacities with Placer Dome and Echo Bay Mines
• Joined Mineral Deposits Ltd. in March 2006
Martin Pawlitschek
Regional Exploration Manager
• Geologist with over 15 years experience in the mining industry
• Previously spent 11 years at BHP and a number of smaller exploration companies, working in Australia, South
East Asia and Africa
• Joined Mineral Deposits Ltd. in July 2007
Mark English
General Manager
• Over 24 years experience in the gold mining industry
• Previously worked for several companies in Australia, East and West Africa being involved in operating mines
and development, inclusive of greenfield start-ups
• Joined Mineral Deposits Ltd. in June 2006
