2. This presentation contains certain forward-looking statements and information relating to
Energold that are based on the beliefs of its management as well as assumptions made by and information currently
available to Energold. When used in this document, the words “anticipate”, “believe”, “estimate”, “expect” and
similar expressions, as they relate to the Company or its management, are intended to identify forward-looking
statements.
This presentation contains forward looking statements relating to, among other things, regulatory compliance, the
sufficiency of current working capital, the estimated cost and availability of funding for the continued exploration and
development of the Company’s exploration properties. Such statements reflect the current views of the Company
with respect to future events and are subject
to certain risks, uncertainties and assumptions. Many factors could cause the actual results, performance or
achievements of the Company to be materially different from any future results, performance or achievements that
may be expressed or implied by such forward-looking statements.
George Gorzynski, P.Eng., a Qualified Person under the meaning of Canadian National Instrument 43-101,is
responsible for the IMPACT Silver Corp. technical information in this presentation.
2
FORWARD LOOKING
STATEMENTS
3. Mexico &
C.America
23.2%
South
America,
7.8%
Africa Area,
25.4%
Canada
26.5%
US, 13.5%
Europe,
3.6%
3
Mining
Energold Drilling’s
original and primary line of
business. Market leader in
frontier drilling services,
operating 145 rigs in 25
countries spanning broad
spectrum of minerals.
Energy
Over 50 years of
experience in the Energy
Services space catering to
oil sands coring and
oil/gas seismic needs –
also geotech/HDD related
to energy projects.
BUSINESS
SUMMARY
Infrastructure
Geothermal, water, and
Horizontal Directional
Drilling (HDD) for
infrastructure and new
LEED certified buildings
across Americas.
Mining,
47.10%
Energy/Infra
st, 40.10%
Manufacturin
g, 12.80%
Minerals
$61.2 M
Energy,
$19.6 M
Manufacturi
ng $4.8M
Corporate
$6.4M
Revenue %
Geographical
Breakdown
Asset Mix
4. • Global Drilling Solutions Provider
Providing socially & environmentally sensitive drilling
services to the international mining & energy sector.
• Market Leaders in ‘Frontier Drilling’
Proprietary drilling rig platform designed for drilling in
remote and diverse sub-terrain locations with
limited infrastructure as well as sensitive environmental and
social issues.
• Global Footprint
Operating 260+ rigs in 24 countries across a wide range of
drilling projects.
• Proven Track Record of Performance
Strong continued growth with diversified business in mineral
contract drilling, energy services, and rig manufacturing and
sales.
Energold’s Highly Mobile
Surface Rig in Operation
Durango, Mexico
4
CORE BUSINESS
MINING DRILLING
5. 5
GLOBAL
OPERATIONS
World-Wide Operations Energold has offices and/or operations in 24 countries with complete jurisdictional compliance
and logistical support.
Contractor Of Choice Commence relationships with frontier drilling programs that historically continue through to downstream stages of
development. Current & historic client list includes many of the leading global mining companies.
Rig Fleet Energold has increased its fleet size in response to demand to match demand. Mobile rig platforms can be re-deployed more efficiently and
cheaper than conventional rigs.
5
23.0%
6.4%
24.1%
27.3%
14.4%
4.9%
Revenue by Region/Division 2018
Drilling Mexico & Central
America
Drilling South America
Drilling Africa, Asia &
Others
Canada
United States of America
United Kingdom & Europe
6. Modular Component Design
– Easy to transport within country, across
challenging terrain as well as rapid
mobilization globally to reduce downtime
Proprietary Technology
– Depth capabilities of over 1,000m with
¼ inch greater core diameter using
(TW) Thin Wall rod system
– Competitive portable rigs only reach
depths between 200–300m BTW
Rigs Built In-House
– Ensures proprietary nature of rig designs
– Continual upgrades are implemented
from input of field personnel
– Ability to upgrade portable rigs seamlessly
to conventional drill rig as project evolves
6
OUR
TECHNOLOGY
7. • New discoveries are increasingly
difficult to find, forcing traditional
miners to seek assets in frontier
regions that require specialized
equipment à Energold.
• Producers first look to M&A to acquire
developed assets then realize they too
need to continue to drill to explore as
lack of pipeline projects become
apparent.
• Global exploration expenditure
dropped 70% since 2012 peaks of
$21B down to less than $7B worldwide
in 2016. 2017 showed promise with
the first increase since 2012 peaks.
Source: SNL Metals & Mining 2017 March
7
MINING INDUSTRY
$21.5B
$15.2B
$18.3B
$12.1B
$1.9B
$5.1B
$6.89B
MULTI-YEAR LOW IN EXPLORATION – TREND STARTING TO REBOUND
$7.3B
8. 8
FALLING GRADES &
NO PROJECT PIPELINE
LOWER GRADES ACROSS COMMODITIES + UNDERFUNDING TO EXPLORE
= MORE DRILLING WHEN M&A WAVE
STARTS AND NO PROJECTS TO BUY
Source: SNL Metals & Mining 2017
9. Energold’s clientele
includes many of the world’s largest
natural resource companies.
Existing clientele range
from early-stage junior
explorers to well known,
mature producers spanning all base
and precious metals, as well as
industrial commodities.
MAJORS
• Barrick Gold
• BHP Billiton
• Goldcorp
• Grupo Mexico
• Rio Tinto
• Newmont Mining
• Penoles
• Vale
• AngloGold
• Fresnillo
• El Dorado Gold
• Codelco
JUNIORS
• Grayd Resources (now Agnico-Eagle)
• US Gold (now McEwan Mining)
• Great Panther Silver
• First Majestic Silver
• Olympus Pacific Resources (now Besra Gold)
• Precipitate Mining Corp.
• GoldQuest Mining Corp.
9
CUSTOMER
PROFILE
10. • Proven player in sizable oil sands market
dating back to 1963
• Niche market with long-term players
committed to oil sands.
• Coring – smooth out Energold traditional
slow mineral seasons Q1 & Q4.
• Re-allocation under-utilized drill fleet
(seismic and specialty) within Energold’s
global network
• Synergy of talents – trained
drillers in energy drilling can transition to
mineral drilling and vice-versa
Bertram TH60
Coring Rig
10
ENERGOLD ENERGY
BERTRAM INTERNATIONAL CORP.
LIS GT1
Seismic Drilling Rig
Global Energy Drilling
14 Rigs
12%
82 Seismic
62%
37 Rigs
26%
Energold Energy Fleet
Oil Sands Coring
Rigs
Seismic Rigs
Speciality Rigs (RC,
Geothermal,
Geotech)
11. • 3RD largest oil reserve in world
• Pipeline will eventually be built meaning more markets for Canadian crude = better pricing
• 2/3 of Canadian oil production already from oil sands, increasing to 2035 and beyond
• Oil sands is here to stay = more drilling for Bertram (Energold Energy)
Bertram TH60
Coring Rig
11
ENERGOLD ENERGY
BERTRAM INTERNATIONAL CORP.
WORLD NEEDS STABLE OIL
12. • 2018 green drilling 270K meters compared
to 94,000 meters in 2017 nearly 300%
increase.
• HDD (Horizontal Directional Drilling) is used
to install telecommunication, power cables,
water lines, gas lines – an environmental
approach for the infrastructure industry.
• Hydro Vac is used to expose underground
utilities to get depth and profile of utility
before drilling to not damage existing
telecom, gas, water, and other lines most
cities have in place.
• Fiber optics infrastructure upgrade large
market in 2019 in North America.
12
FASTEST REVENUE % GROWTH SECTOR
ENERGOLD INFRASTRUCTURE SERVICES
CROS-MAN UNDERGROUND
Directional Drilling & Hydro Vac
13. • 150 years of
experience in designing
and manufacturing
of larger rigs in the UK
• Maintenance, servicing,
and sales of rigs and parts to
third parties
• Expertise in water well
drilling
• Building a new services
division that can leverage the
existing Energold logistics
network
Mineral
Multipurpose
Mintec® Rigs
13
ENERGOLD MANUFACTURING
SOLD March 2019 - $3.1 GBP ($5M CAD)
Trusted Name in
Drills for 150 years
Water Well
Drilling
Watertec® Rigs
Geotechnical
Drilling Rigs
Geotec® Rigs
14. • Continued growth with
reputable name brand
Significant turnaround in 2017
positioned Dando for a profitable
2018 and succession for new
group
• Different categories of
clients
Dando caters to the WorldBank,
UN, UNICEF, and Oxfams
• Water related services
fast growing sector
global water monitoring and
control well services worth over
$21 billion USD in 2016 (Global Water
Intel Report)
14
INDUSTRY DEMAND IMPROVING WORLDWIDE
15. Positive Social Impact
– Provide jobs for locals
– Training in work-safety
and mechanical experience
Minimal Environmental Impact
– Portable rigs leave a small
environmental footprint
– Avoid tree clear cuts and save
cost on road building
Third Party Recognition
– PDAC Environmental Excellence
in Exploration Case Study (E3
Initiative)
– BC Business Innovators of Year
– Top 100 Public Companies in
British Columbia 2018
– TSX Venture Top 50 Companies
2017
Energold’s approach is win-win for clients
and local communities
15
SOCIAL &
ENVIRONMENTAL
Haiti Bridge
Infrastructure Project
Donated Waterwell
in Chihuahua, Mexico
School Buildings
Soccer team and
textbook
donations
16. 16
EXPERIENCED
LEADERSHIP
TIGHT SHARE STRUCTURE
Fred Davidson CA MBA
President, CEO and Director
James Coleman LLB
Chairman and Director
Jerry Huang MBA
Chief Financial Officer
Brian Bertram
Managing Director (Energold Energy Services)
Michael J. Beley Director
Wayne Lenton B.Sc P.Eng Director
Mark Corra CMA CPA Director
Trading Symbol EGD:TSXV
Share Price (Apr 29/2019) $0.155
Shares Outstanding 54.7 Million
Shares Fully Diluted 64.8 Million
Market Cap $8.5 Million
Institutional Ownership 20%
(Templeton, Bisset, Sprott,
family offices)
Insider Ownership 10%
Cash $5.0 Million
Working Capital $34.4 Million
17. $23.70
$54.49
$133.48
$141.52
$122.80
$100.30
$81.98 $65.40
$74.98 $84.10
0
20
40
60
80
100
120
140
160
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Revenue ($Millions) CDN
17
CDN$ (000’s) 2012 2013 2014 2015 2016 2017 2018
Revenue $141,514 $122,807 $101,301 $81,976 $65,400 $74,988 $84,100
Net Earnings /
(Loss)
($8,650)* ($17,319) ($14,534) ($23,733) (18,561) (17,598) (14,602)
Cash $28,493 $26,608 $15,100 $13,563 $13,715 $7,653 $5,000
Working Capital $91,249 $65,450 $77,100 $72,568 $46,859 $51,536 $34,447
Adjusted
Earnings
EBITDA
$2,339 ($9,143) ($10,876) ($8,380) ($5,250) ($5,618) ($2,871)
Adjusted EPS* $0.05 ($0.19) ($0.23) ($0.15) ($0.10) ($0.10) ($0.05)
Note 2011-2013 Q4 had a maximum earn out expense related to Bertram acquisition of $10.5M per year
*Adjusted Earnings - Excludes earn-out payment and non-cash items which include accretion expense on debenture, finance cost related to sales-leaseback
finance lease, share-based payments, foreign exchange, dilution and equity gain/loss on IMPACT, impairment/write-down of assets acquisition.
Revenue trending up
Q3 2018 EBITDA
positive 2019
forecast net income
Trending up 12%/yr
First EBITDA
positive since 2012 (Q3
2018)
19. ATTRACTIVELY
VALUED VS PEERS
0
0.2
0.4
0.6
0.8
1
1.2
Energold Foraco Major Drilling Geodrill Boart Longyear
Price/Book Multiple Value
0
0.2
0.4
0.6
0.8
1
1.2
Energold Foraco Major Drilling Geodrill Boart Longyear
Enterprise Value / Sales
0%
5%
10%
15%
20%
25%
30%
Energold Foraco Major Drilling Geodrill Boart Longyear
Sales Growth (Trail 12 months) • Lower multiples on various EV/Sales
fronts trading at substantial discount to
peers – 2-3X return upon re-rating to peer
multiples
• Lift to profitability should re-rate stock
Growth has been 15-20% since 2016 with
EBITDA positive in 2018, opportunity for re-
re-rating
Turnaround story with diverse revenue
base, mining upside BUY ENERGOLD!19
Source: company filings & ThomsonOne
20. 20
STABILIZE KEY MARKETS
COST CONTROL & GROW
MARGIN
• Grow mineral drilling rig fleet to
match market pricing and
demands
• Continued growth of frontier
drilling and transitioning with
clients to mature projects with
larger conventional drills
• Continue technological
advancements in rig design and
capabilities.
GROWTH OF OIL/GAS
MARKETS AND 2ND SEASON
• Oil market is stabilizing and
peripheral signs are present for
E&P service companies
• Return oil sands to peak 2011-
2013 revenue range and utilization
• Continue monitoring 2nd season
opportunity after April spring
breakup – geothermal, seismic,
geotechnical drilling for E&P team
in off season
GROW DIVERSIFIED &
INFRASTRUCTURE DRILLING
• Energold Energy division continues
to benefit from niche market
expertise in unconventional and
conventional markets
• Grow stability and predictable
margin business of infrastructures
and market trend of LEED and
sustainable drilling business
• Capture cross sell into existing
Mining & Energy markets for these
new drilling opportunities
20
GROWTH STRATEGY
