Corporate Presentation
SilverStream
2015
We Have Value to Create Together.
CONTENT
FORWARD LOOKING STATEMENTS
2
COMPANY SNAPSHOT
3
METAL STREAMING OVERVIEW
4
THE SILVERSTREAM OPPORTUNITY
5
STREAMING VS MINING
6
STREAMING VS ROYALTY
7
DILIGENCE PROCESS
8
PROJECTS OVERVIEW
9
TORRECILLAS GOLD STREAM
10
SAN SANTIAGO SILVER STREAM
11
BRITISH KING GOLD STREAM
12
MANAGEMENT BIOS
13
2
FORWARD LOOKING STATEMENTS
CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS
The information contained herein contains "forward-looking statements" within the meaning of the United States Private
Securities Litigation Reform Act of 1995 and "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking statements, which are all statements other than statements of historical fact, include, but are
not limited to, statements with respect to the future price of silver and gold, the estimation of mineral reserves and resources,
the realization of mineral reserve estimates, the timing and amount of estimated future production, costs of production,
reserve determination, reserve conversion rates and statements as to any future dividends. Generally, these forward-looking
statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is
expected", "budget", "scheduled", "estimates","forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or
variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or
“will be taken", "occur" or "be achieved". Forward-looking statements are subject to known and unknown risks, uncertainties
and other factors that may cause the actual results, level of activity, performance or achievements of SilverStream to be materially different from those expressed or implied by such forward-looking statements, including but not limited to fluctuations
in the price of silver and gold; the absence of control over mining operations from which SilverStream purchases silver or gold
and risks related to these mining operations including risks related to fluctuations in the price of the primary commodities
mined at such operations, actual results of mining and exploration activities, economic and political risks of the jurisdictions
in which the mining operations are located and changes in project parameters as plans continue to be refined; and differences
in the interpretation or application of tax laws and regulations. Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to: the continued operation of the mining operations from which
SilverStream purchases silver or gold, no material adverse change in the market price of commodities, that the mining operations will operate and the mining projects will be completed in accordance with their public statements and achieve their
stated production outcomes, and such other assumptions and factors as set out herein.
2
COMPANY SNAPSHOT
SilverStream SEZC ("SilverStream") is a pure-play precious metals streaming company offering investors the opportunity to
participate in exposure to metal price volatility, mine life extension, and production gains, with less risk and fixed prices.
SilverStream is focused on small and micro-cap producing operations.
The Cayman Enterprise City (“CEC”) offers SilverStream significant corporate benefits including no corporate income tax for
a minimum of 60 years, the ability to operate without Caymanian ownership, 5+ year work permits and duty free imports if
needed.
COMPANY TIMELINE
SilverStream was
incorporated in January
2014.
Torrecillas Gold Stream
British King Gold Stream
SilverStream closed its first
transaction on April 8th,
2014 with Minera Gold Ltd.
(MIZ:ASX)
SilverStream closed its third
transaction in November
2014 with BK Gold Mines
Pty Ltd.
Feb. 2014
Sep. 2014
Apr. 2014
Jan. 2014
In February 2014 received
its trade certificate as part
of the Cayman Enterprise
City, a Special Economic
Zone within Grand Cayman
offering various incentives
to companies operating in
specific industries.
Nov. 2014
San Santiago Silver Stream
SilverStream closed its
second transaction on
September 11th, 2014 with
Minera Gold Ltd. (MIZ:ASX)
3
THE SILVERSTREAM OPPORTUNITY
Metal Streaming is the practice of purchasing all or a portion of a mines production for both an upfront payment
(or milestone payments) and a low fixed price per ounce for metal delivered; typically over the life of the mine.
SilverStream provides capital to miners for a variety of purposes including expansion capital, debt refinancing,
and project acquisition.
Currently no dedicated precious metals streaming companies serving small/micro cap miners.
Current sources of streaming capital are concentrating on larger transactions and investing in companies not in
production.
By purchasing the right to future production at a fixed cost, SilverStream offers investors leverage to commodity
price movements, exploration/expansion upside, and immediate cash flow.
SilverStream mitigates equity level risk. i.e. (no CAPEX, no cost over-hangs, no sustaining CAPEX, no exploration
expenses, no environmental liability, and most importantly no dilution).
SilverStream maintains the right to operational oversight and board oversight when necessary to support its
investment.
4
METAL STREAMING OVERVIEW
Benefits of Owning a Streaming Company
METAL CREDITS SOLD
REVENUE GENERATED
PER-OUNCE PAYMENT
METAL CREDITS FOR % OF
GOLD/SILVER OUNCES PRODUCED
PRODUCTION REPORT
GOLD & SILVER
1
Metal Streaming is the practice of purchasing all or a portion of a mines production for both an upfront payment
(or milestone payments) and a low fixed price per ounce of metal; typically over the life of the mine.
2
SilverStream makes an initial payment to the Mining Company.
3
The Company’s mine produces doré or sells its concentrated ore to a smelter. The production report is used as a
reference for the amount of metal to be credited.
4
SilverStream sells the metal credits in the spot market and captures the difference between the spot price and
fixed purchase price.
5
STREAMING VS. MINING
Benefits of Owning a Streaming Company
Streaming Company
Mining Company
Exploration Upside
Leverage to metal price volatility
Fixed operating and cash cost
No Capex
Diverse Asset Base
6
STREAMING VS. ROYALTY
Benefits of Owning a Streaming Company
Streaming Company
Royalty Company
Exposure directly tied to precious metals
(Royalties often have significant base metal exposure)
No jurisdictional withholding tax
The right to purchase physical metal
On going physical metal payments
reducing upfront capital risk
Significant flexibility in overall structure
7
DILIGENCE PROCESS
Company Risk
Domestic &
Foreign Company
Financial Health
of Company
Investment
Climate Risk
Economic Values
Measured & Indicated
Resources or Reserves
Country Risks
IRR
Type of Mineral
Extraction
Permitting
NPV
Technical Risk
Geological Risks
Operating Risks
Public or Private
Company
Production Scale Risk
Operation
Infrastructure
Scalability
Project Execution
Data Reliability
43-101 Compliant,
JORC Compliant,
Historic Resource
Infrastructure
Labor
Type of Security
Available
Asset Values
8
PROJECTS OVERVIEW
Operating Mines (3)
SAN SANTIAGO SILVER STREAM
Minera Gold
TORRECILLAS GOLD STREAM
Minera Gold
BRITISH KING GOLD STREAM
BK Gold Mines Pty Ltd
9
TORRECILLAS GOLD STREAM
Minera Gold (MIZ:ASX) - Torrecillas Gold Stream
SilverStream closed its first transaction on April 8th, 2014 with Minera Gold Ltd.
SilverStream has invested $3 million with $5 million in total capital commitments. In return SilverStream has the right to
purchase 10% of the gold produced from the Torrecillas Project and any ore processed through the CIP plant at $400
Au per oz.
The metal purchase agreement extends for the life of the project and the resource is open in all directions.
Expected 2015 cash flow from the Torrecillas Gold Project is $2M USD at $1200 Au. (Gold)
MINERA
GOLD LTD
10
SAN SANTIAGO SILVER STREAM
Minera Gold (MIZ:ASX) - San Santiago Silver Stream
SilverStream closed the metal purchase agreement on September 11th 2014.
SilverStream has invested $3 million with $4.5 million in total capital commitments. In return, SilverStream has the
right to purchase 100% of the silver production up to 90,000 ounces for $6 per ounce, and 50% of the silver
production for $6 per ounce thereafter.
Fully permitted toll milling operation processing both company and third party ore.
Senior secured and safe and stable jurisdiction.
The stream is projected to cash flow $1M for 2015 at $20 silver, $1.5M in 2016.
San Santiago has been in production since 2007.
MINERA
GOLD LTD
11
BRITISH KING GOLD STREAM
BK Gold Mines Pty Ltd.
...................................................................................................................
In November 2014, SilverStream entered into a gold stream agreement to purchase 12.5% of the life of mine gold produced
from the British King Project at a cost of the lesser of US$450 per ounce of gold or 80% of the spot market price.
SilverStream has purchased the gold stream for US$1,700,000, subject to certain company milestones.
BK Gold Mines Pty Ltd is a private mining company focusing on small, high grade and high margin gold deposits. The
strategy of BKGM is to own and operate small tonnage, high grade gold deposits in the West Australian goldfields. The
British King Mine is located approximately 320km north of Kalgoorlie in Western Australia. The project is well serviced with
roads and utility infrastructure and is close in proximity to the towns of Leinster and Leonora as well as the nearby Darlot
Gold Mine. The project area has a long history of successful gold mining with intermittent production for more than 100
years. Historically, mining was conducted through underground development feeding a number of small shafts. 2 of these
shafts have been expanded and modernized and are currently used to access the underground workings.
12
MANAGEMENT BIOS
Kyle Floyd - Chief Executive Officer
Mr. Floyd is the CEO of SilverStream SEZC. He formed the concept, senior management team, and the business
opportunity. Prior to his involvement with SilverStream he was an Investment Banker at Roth Capital. He was
instrumental in financing, advising and structuring nearly a billion dollars in total transaction value. He focused on the
Metals and Mining industries with significant experience structuring and advising on various royalty and asset based
financing vehicles. He attended the Colorado School of Mines Master's program in Mineral and Energy Economics and
graduated cum laude with distinction from the University Of Washington Foster School of Business majoring in
Corporate Finance.
Brett Heath - President
Mr. Heath is currently serving as the President of SilverStream SEZC. He was a founding principal of KSIR Capital
Management a long only hedge fund focused on small and micro-cap mining companies. Under his direction, KSIR
consistently outperformed its precious metals benchmark indices. He also advised several mining companies while
they were raising project finance for their respective operation and provided key relationships and insight to that
process specifically from an equity perspective. He graduated from San Diego State University with a Bachelor's
degree in Economics, he also attended the Johannes Kepler Universität Linz studying Austrian Economic Theory.
18
MANAGEMENT BIOS (cont’d)
Campbell Baird - Senior Operations Advisor
Campbell Baird, has over 20 years of mining experience, as former CEO of Focus Minerals Pty Ltd, a Western
Australian gold producer, he increased annual gold production from 5,000 ounces in 2008 to 175,000 ounces in 2012.
This was achieved through organic development and strategic acquisitions, prior to holding this position Campbell had
extensive international experience developing projects in Finland for Vulcan Resources and leading multiple feasibility
studies across multiple commodities for SRK Consulting. Campbell has a bachelor of Engineering (Mining) from UNSW
and a Masters of International Finance from Curtain University, he is a Member of the AusIMM & AICD, he sits on the
Association of Mining and Exploration Council in Australia and is Chairman of Kyilla Primary School.
19
SilverStream
We Have Value to Create Together.
+1.345.815.3939
[email protected]
HSBC House
68 West Bay Road
George Town, Grand Cayman
Cayman Islands KY1-1003
SilverStreamSEZC.com