際際滷

際際滷Share a Scribd company logo

Sala 2 10.45, 11.30 - peru tsx tsxv mining overview-presentation_sept10

Download as PPT, PDF
A
analisisestrategico2011

The document provides an overview of the Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV) and their role in providing access to capital for mining companies globally and in South America. Key points include that the TSX and TSXV are the leading exchanges worldwide for mining financing and listings, having raised $13 billion globally for mining in the first half of 2010. They have a large presence in South America, with over 250 listed companies active there who raised $3 billion in 2009. Several examples of recent South American listings and financings are provided.

1 of 36
Downloaded 16 times
Janis Koyanagi Vice President, Business Development & Strategy Toronto Stock Exchange & TSX Venture Exchange Toronto Stock Exchange and TSX Venture Exchange: Access to Capital for Mining Companies
Globally Competitive Exchanges Trends in Mining Finance TSX and TSXV Presence in South America Listing on TSX and TSXV Outline
Unique equity market structure finances a broad spectrum of companies 2,177 companies 20 graduates in First Half 2010 20 graduates in 2009 45 graduates in 2008 1,488 companies TSX Venture Exchange Access to capital for earlier stage companies or smaller financings Total market cap of $38 Billion & average market cap of $17.4MM Cost effective stepping stone for international companies looking to list on a quality North American market Exchange mandate to mentor management of newly public companies Streamlined graduation to TSX when senior market requirements are met 103 year history Toronto Stock Exchange Senior market for well established businesses and management teams with experience in public markets Total market cap of $1.8 Trillion & average market cap of $1.2B 30% of TSX issuers >$500M are interlisted on a US exchange Access to larger, more international institutional investors and greater analyst coverage Globally visible specialized indices 157 year history
TMX Group Serves Companies at all Stages of Growth Market Capitalization Toronto Stock Exchange and TSX Venture Exchange Unique feeder system 471 graduates + 85 M&A* *From January 1, 2000 June 30, 2010 Toronto Stock Exchange issuer base: 1,488 issuers, ~$1.8 trillion market cap TSX Venture Exchange issuer base (excludes NEX): 2,177 issuers, ~$37.7 billion market cap As at June 30, 2010 514 Issuers 498 Issuers 476 Issuers 2016 Issuers 142 19 Issuers
Market Overview: TSX and TSX Venture Market Data for 2009 (C$) As at December 31, 2009 Source: TSX/TSXV Market Intelligence Group, WFE, Capital IQ TSX Issuers by Sector By Number As at June 30 2010 TSX Venture Issuers by Sector By Number
TMX Group Global Leadership Strengths All data is as of or YTD June 30, 2010 1466 issuers 55% of the worlds public mining companies 90 going public events $7.8 B equity raised $197 B value traded 129 issuers Number one in the world by number of public clean technology companies 6 going public events $0.606 B equity raised $5.7 B value traded 3665 issuers 249 going public events $25.5 B equity raised Average Financing: TSX $54.3 M TSXV $3.2 M 463 issuers Over 35% of the worlds public oil and gas companies 28 going public events $5.97 B equity raised $141 B value traded Mining Energy & Energy Services Clean Technology
Access to Capital: 2009 was an all time record year for financing on TSX *TSX Venture Exchange commenced operations on November 29 1999 Toronto Stock Exchange and TSX Venture Exchange Total Financings (C$Billions) 1999 2010 June
International Investment Community Trades on Toronto Stock Exchange 25 International Brokers including: Barclays Capital Citigroup CSFB Deutsche Bank Goldman Sachs HSBC JP Morgan Macquarie Capital Markets Merrill Lynch Morgan Stanley Raymond James Thomas Weisel State Street UBS 80 Canadian Brokers including: BMO Nesbitt Burns Canaccord Adams CIBC World Markets GMP Securities RBC DS Scotia Capital Markets TD Securities National Bank Financial ~35% of daily trading originates from International brokers Volume CAGR 14% Transactions CAGR 37% Toronto Stock Exchange Volume and Transactions (2004-2009)
Globally Competitive Exchanges Trends in Mining Finance TSX and TSXV Presence in South America Listing on TSX and TSXV Outline
Key Global Mining Trends on Our Markets UK/Europe: Increase in Dual Listings USA: Increase in Trading Flow Latin America: Record year for capital raised for projects Increase in New Listings Australia: Increase in Dual Listings and equity raised Asia: Increase in New Players Increase in New Listings Increase in Gold Financings Increase in New Commodities Increase in New Players/M&A Africa: Increase in Equity Raised for African Projects
TMX leads in mining financing and new listing Source: Gamah International Mining Equity Financings 2005 to First Half 2010 ($Billions) New Mining Listings 2005 to First Half 2010 $0.528 $2.3 $0.004 0 $0.405 $2.1 $7.8 Q1+Q2 2010 $2.7 $0.909 $1.3 $3.0 HKEx $0.571 $2.6 $5.4 $4.5 NYSE $0.047 0 $2.2 $10.8 $12.5 2006 $1.5 $0.095 $8.3 $9.3 $20.5 2007 $0.040 0 $3.1 $5.0 $8.3 2008 $0.007 0 $13.5 $22.3 $22.2 2009 JSE NYSE Amex ASX LSE/AIM TSX/TSXV 2 2 3 2 20 9 90 Q1+Q2 2010 n/a n/a 3 1 HKEx 6 3 3 1 NYSE 10 14 55 70 112 2006 4 13 33 142 186 2007 2 5 9 29 138 2008 0 1 22 4 104 2009 JSE NYSE Amex ASX LSE/AIM TSX/TSXV
Global mining finance market continues to build Source: Gamah International, 1999-2009, compiled by Toronto Stock Exchange Global Mining # of Financings transactions 1999-2009 Global Mining Equity Financing Trend 1999-2009 (C$B)
Mining Financing Update First Half 2010 Source: Gamah International, YTD June 30 2010, Compiled by TMX Group 1 64 926 27 142 $6.0 $2.3 Number of Financings $1.8 1 First Half 2010 Mining Equity Financings ($ Billions) 6 First Half 2010: $13 Billion total equity capital raised globally 1100+ financings 2 1
Our mining companies have operations around the world Africa: TSXV: 100 Companies TSX: 69 Companies UK/Europe: TSXV: 50Companies TSX: 31 Companies Russia & CIS Countries: TSXV: 15 Companies TSX: 16 Companies USA: TSXV: 232 Companies TSX: 98 Companies Central America & Caribbean: TSXV: 29 Companies TSX: 20 Companies South America: TSXV: 177 Companies TSX: 82 Companies Mexico: TSXV: 134 Companies TSX: 62 Companies Australia/NZ/PNG: TSXV: 37 Companies TSX: 43 Companies Asia: TSXV: 64 Companies TSX: 42 Companies Source: InfoMine, June 2010 Canada: TSXV: 756 Companies TSX: 170 Companies
International Mining Companies by the Numbers 141 Inter. Mining Cos. on TSX and TSX V $62B Market Cap $4.8B Raised Through 140 Financings in 2009 12B Shares Traded Through 6 Million Transactions in 2009 5 Average Number of Analysts Covering Intl Mining Cos. Unless otherwise noted, all numbers are as at June 30 2010
Globally Competitive Exchanges Trends in Mining Finance TSX and TSXV Presence in South America Listing on TSX and TSXV Outline
TSX and TSXV Mining Companies are Active in South America 264 Number of Mining Companies in South America 992 Number of S. American Mining Properties 85 Number of Mining Companies in Peru (264 Mining Properties) $1.4B Amount of Equity Capital Raised in 2009 for Peru Mining Projects Through 36 Financings $3.0B Equity Capital Raised in 2009 for S. American Mining Projects Through 125 Financings 85 YTD June 30, 2010 $974M equity capital raised for S. American Mining Projects through 47 financings $148M equity capital raised for Peru Mining Projects through 17 financings
TSX and TSXV mining companies with projects in Peru There are 28 TSX companies with 112 properties in Peru BARRICK GOLD CORPORATION CANDENTE COPPER CORP. CARDERO RESOURCE CORP. CHARIOT RESOURCES LIMITED CROCODILE GOLD CORP. DYNACOR GOLD MINES INC. GEOLOGIX EXPLORATIONS INC. GOLDEN MINERALS COMPANY GRANDVIEW GOLD INC. IAMGOLD CORPORATION INMET MINING CORPORATION INTERNATIONAL MINERALS CORPORATION MALAGA INC. MAWSON RESOURCES LIMITED MINERA IRL LIMITED NORSEMONT MINING INC. PAN AMERICAN SILVER CORP. PARAMOUNT GOLD AND SILVER CORP. SILVER STANDARD RESOURCES INC. SILVER WHEATON CORP. SOLITARIO EXPLORATION & ROYALTY CORP. SPROTT RESOURCE CORP. SULLIDEN GOLD CORPORATION LTD. TECK RESOURCES LIMITED VAALDIAM MINING INC. VENA RESOURCES INC. YAMANA GOLD INC. ZINCORE METALS INC. There are 57 TSXV companies with 152 properties in Peru AGUILA AMERICAN RESOURCES LTD. ALTURAS MINERALS CORP. AM GOLD INC. AMERICAS PETROGAS INC. ANDEAN AMERICAN GOLD CORP. ANDEANGOLD LTD. ANTARES MINERALS INC. AQM COPPER INC. ARCTURUS VENTURES INC. BEAR CREEK MINING CORPORATION CANADIAN SHIELD RESOURCES LTD. CENTURY MINING CORPORATION CONDOR RESOURCES INC. DORATO RESOURCES INC. DURAN VENTURES INC. EL CONDOR MINERALS INC. ESPERANZA SILVER CORPORATION FISSION ENERGY CORP. FOCUS VENTURES LTD. FORTUNA SILVER MINES INC. GALENA INTERNATIONAL RESOURCES LTD. GITENNES EXPLORATION INC. GOLD HAWK RESOURCES INC. GOLDEN ARROW RESOURCES CORPORATION GRENVILLE GOLD CORPORATION IBERIAN MINERALS CORP. INCA PACIFIC RESOURCES INC. JOURNEY RESOURCES CORP. LARA EXPLORATION LTD. LATEEGRA GOLD CORP. LUCKY MINERALS INC. Source: Infomine MACUSANI YELLOWCAKE INC. MAGELLAN MINERALS LTD. MPH VENTURES CORP. NETWORK EXPLORATION LTD. NEW DIMENSION RESOURCES LTD. NEW HIGH RIDGE RESOURCES INC. NEW OROPERU RESOURCES INC. PANORO MINERALS LTD. PANTHERA EXPLORATION INC. PLEXMAR RESOURCES INC. RADIUS GOLD INC. RIO CRISTAL RESOURCES CORP. ROCMEC MINING INC. SALAZAR RESOURCES LIMITED SHANE RESOURCES LTD. SIENNA GOLD INC. SINCHAO METALS CORP. SOLITAIRE MINERALS CORP. SOUTHERN ANDES ENERGY INC. ST. ELIAS MINES LTD. STRAIT GOLD CORPORATION TAMERLANE VENTURES INC. TINKA RESOURCES LIMITED ULTRA LITHIUM INC. UPPER CANYON MINERALS CORP. WEALTH MINERALS LTD.
Snapshot of recent companies active in South America 20 Andean Resources Ltd. (TSX:AND ASX:AND) - $235 million raised for gold in August, 2010 - Australian Company Developing Major Gold Asset Continental Gold Limited (TSX:CNL) - $28 M Financing - Raising $60 M presently Lithium Americas (TSX:LAC) - $45 M IPO in May 2010 Rio Novo Gold Inc. (TSX:RN) MBAC Fertilizer Corp. (TSX:MBC) Kinross Gold Corp. (TSX:K NYSE:KGC) Mirabela Nickel Ltd. (TSX:MNB ASX:MBN) Jaguar Mining Inc. (TSX:JAG NYSE:JAG) Colossus Minerals Inc. (TSX:CSI) Minera IRL (TSX:IRL AIM:MIRL BVL:MIRL) - Head office in Peru - Lima and TSX listed *Number of TSX and TSXV Companies with Projects in the Country Source: Infomine 50 10 63 85* 27 62 17 3 3 14 4 2
2010 New Listings and Financing Activity in South America New Listings: Continental Gold Limited Fortuna Silver Mines Inc. Lithium Americas Corp. MBAC Fertilizer Minera IRL Limited Rio Novo Gold Inc. Ecopetrol S.A. Santa Barbara Resources Limited (TSXV) New Financings for South American Projects First Half 2010: Silver Standard Resources: $120 million (a portion for gold/silver/base metals in Argentina) Rio Novo Gold: $46 million for gold in Brazil Lithium Americas: $45 million for lithium/potassium in Argentina Greystar Resources: $40 million for gold/silver in Colombia Apoquindo Minerals Inc.: $39 million for copper in Peru Crystallex International: $35 million for gold in Venezuela Golden Minerals Co: $35 million for silver in Argentina Fortuna Silver Mines: $34 million for gold/silver in Peru B2Gold Corp: $32 million for gold in Colombia Sunward Resources: $25 million for gold/copper in Colombia Ventana Gold Corp: $21 million for gold in Colombia Peregrine Metals Ltd.: $20 million for copper in Argentina Sulliden Exploration Inc.: $15 million for gold/silver in Peru Polar Star Mining Corp.: $15 million for gold/silver/base metals in Chile Mirabela Nickel Ltd.: $12 million for nickel and copper in Brazil
Peruvian Listings and Interlistings with BVL Peruvian based silver mining company Projects in Peru and Mexico Lima and TSX listed Fortuna Silver Mines (TSX:FVI BVL:FVI) Head office in Peru Latin American precious metals mining, development and exploration company Projects in Peru and Argentina Lima AIM and TSX listed Minera IRL Limited. (TSX:IRL BVL:MIRL AIM:MIRL) Vena Resources Inc. (TSX:VEM BVL:VEM) Norsemont Mining Inc. (TSX:NOM BVL:NOM) -Offices in Peru and Chile -Copper project in Peru -Lima and TSXV listed AQM Copper Inc. (TSXV:AQM BVL:AQM) Candente Copper Corp (TSX:DNT BVL:DNT) -Peruvian based gold and copper-gold deposits exploration company -Lima and TSXV listed Alturas Minerals Corp. (TSXV:ALT BVL:ALT) Panoro Minerals Ltd. (TSXV:PML BVL:PML) Inca Pacific Resources Inc. (TSXV:IPR BVL:IPR) Rio Alto Mining Limited (TSXV:RIO BVL:RIO) Interlistings with Lima:
Alturas Minerals Corp. ALT 2 Year Price and Trading Volume As at Aug 31/10 *(Source: Capital IQ) Alturas Minerals Corp. engages in the exploration and development of mineral resource properties in Peru, focusing on the discovery of epithermal gold mineralized deposits & copper-gold porphyry/skarn deposits. It principally has interests in four mineral exploration projects located in southern Peru. The company is based in Lima, Peru. Date of Listing Listed on TSX Venture Exchange by Reverse Take Over on April 10, 2006 Listed on Lima Stock Exchange Financings $1.52 Million Private Placement in April 2010 $10 Million Private Placement in June 2007 $7 Million Private Placement in April 2006 Market Capitalization $6.839 Million as of August 31, 2010 based on 71.98 million shares outstanding
Fortuna Silver Mines Inc. FVI August 2010 1 Year Price and Trading Volume History As at Aug. 31/10 *(Source: Capital IQ) Fortuna Silver Mines Inc. engages in the exploration, extraction, and processing of silver, zinc, lead, gold, and copper ores. The company principally holds 100% interests in the Caylloma silver-zinc-lead mine in southern Peru; and the San Jose silver-gold project in Taviche Mining District, southern portion of state of Oaxaca, Mexico. Listings Graduated from TSX Venture Exchange to Toronto Stock Exchange January 18, 2010 Listed on Lima Stock Exchange (FVI) and traded on the OTC:BB under the symbol (FVIT.F) Financings Raised $34.5 Million in a Private Placement on TSX in March 2010 Raised $53.3 Million in two Private Placements on TSX Venture between 2006 and 2007 Market Capitalization $295.9 Million as at August 31, 2010 Analyst Coverage 7 Analyst (Source: Capital IQ)
Globally Competitive Exchanges Trends in Mining Finance TSX and TSXV Presence in South America Listing on TSX and TSXV Outline
Why Companies Consider TSX and TSX Venture Exchange Unique Public Market for small to mid cap companies Access to Capital Liquidity Visibility
Going Public on Toronto Stock Exchange or TSX Venture Exchange
Regulating Canadas Mining Sector Understanding the Regulatory Landscape in Canada TMX has supervision of new listings and matters pertaining to continued listing requirements. IIROC - National self-regulatory organization which oversees all investment dealers and trading activity in Canada. Securities Commission - Regulates investment funds and is responsible for overseeing capital markets and certain provisions of the Business Corporations Act. Standards-based exchanges that promote integrity for public SMEs Access to specialized products for TSX/TSXV listing. Policies for different size companies related to financial reporting, corporate governance and financing methods. Regulations to encourage develop of the mining sector Tailored listing requirements for mining sector. Regulations such as TMXs Timely Disclosure Policy, National Instrument 43-101 and the Qualified Person requirement. Mining focused economy supported by capital markets Milestones such as a Canadas Mineral Exploration Tax Credit and Mining Standards Task Force. Expertise in mining across the capital markets, legal community and stock exchanges. An increase in investment funds focused on mining sector. Canadian regulatory commissions and exchanges are customer-focused Access to U.S. capital without the higher cost of regulatory compliance Exemptions available for certain markets and dual listed companies Right balance of regulatory oversight and timely disclosure compared with other markets.
TMX Group has listing criteria specifically for the mining sector Technical Listing Requirements: Minimum Property Ownership Management Track Record and Experience Sufficient Working Capital and/or Mine Life NI 43-101 Report Exploration & Development or Producing Requirements This table is an overview. For detailed listing requirements go to www.tmx.com
Capital Pool Company (CPC) Program has a Strong Track Record Since inception: Over 2050 CPCs were created 80% have completed their QT over 1600 companies Currently: 329 Graduates now trade on TSX 96 of the grads were CPCs 47 of 82 QTs in 2009 were mining 36 of 62 QTs in the first half of 2010 were mining
Seed Financing and Prospectus Public Offering Trade as CPC Announce QT File Disclosure Statement Trade as Venture Company CPC Acquires Business (QT) Public Financing and CPC Trades Prospectus Receipt Close Transaction Seed Identify Qualifying Transaction 24 Months Maximum Capital Pool Company: Process Aftermarket and Growth Execute Business Plan/Grow Company
Why/When a CPC Alternative access to capital; Retain higher ownership Want to be public company (M&A currency, stock options, visibility) Greater flexibility, certainty and control in the process Going public risk reduced Management (public company experience) Long term strategy to grow as a public company Reasonable valuation = Viable share structure Investor support Appropriate advisors (lawyer, broker, investment banker) Company Wants/ Needs Critical Success Factors Company is too early stage for a broadly distributed regular IPO IPO market is not strong enough in general VC financing is not viable or management prefers not to use Market appears to reward growth business of target companys sector Market Conditions
Dual Listing Market Continues to Evolve on TSX Key Trends Growing number of dual listed success stories Dual listed cos. have steadily built profile Greater interaction between key mining exchanges Dual list process continues to improve Accessed significant capital and trading on TMX Improvements in home market valuations and trading liquidity More mines put into production Dual Listed Companies:
FAQs for International Companies IFRS Accounting/Audit Standards and U.S. GAAP accepted without reconciliation Board and management must have adequate relevant North American public company experience Canadian directors are not required Must have a plan for adequate shareholder base & distribution of shares to support a liquid market on TSX. 300 worldwide shareholders holding more than a board lot. There is no requirement for Canadian shareholders. Canadian office not required Recommend a contact person in Canada be accessible for shareholders and analyst inquiries NI 43-101 accepts JORC, SAMREC and international resources and reserves standards. The report should cover all material properties. The recommended work program should coincide with the 18 month projection of sources and uses. Sponsorship is generally required for a new entrant unless the company: is profitable, or completes a prospectus/financing with TSX brokers or sufficient due diligence completed on other market. Nomad requirement not applicable in Canada.
Differentiating Ourselves from Other Marketplaces Uniqueness Access to Capital Liquidity International Market structure facilitates graduation from junior market (TSXV) to senior market (TSX) Strong feeder system Market of choice for Resource and small and mid-cap companies Steady growth of capital investment over past 5 years Record breaking year in 2009 -- $64.9 billion raised Access to North American capital Value traded has more than doubled over the past 5 years Record breaking year in 2009 for trading volumes and transactions 295 international companies on TMX 148 US, 54 China and 32 Australia
Canadian Equity Markets Global Leaders 7 th in Market Capitalization 6 th in Equity Financing
China Annie Tao 416 947-4273 [email_address] Diversified Industries Raymond King 416 947-4675 [email_address] United States Tala Zarbafi 416 947-4636 [email_address] Energy Cindy Gray 403 218-2822 [email_address] Mining Greg Ferron 416 947-4477 [email_address] Clean Technology Robert Peterman 416 947-4305 [email_address] This document is for information purposes only and is not an invitation to purchase securities listed on Toronto Stock Exchange and/or TSX Venture Exchange or Natural Gas Exchange. TMX Group Inc. and its affiliates do not endorse or recommend any securities referenced in this document. Please seek professional advice to evaluate specific securities. While the information herein is collected and compiled with care, neither TMX Group Inc. nor any of its affiliated companies represents, warrants or guarantees the accuracy or the completeness of the information. You agree not to rely on the information contained herein for any trading, business or financial purpose. This information is provided with the express condition, to which by making use thereof you expressly consent, that no liability shall be incurred by TMX Group Inc. and/or any of its affiliates as a result of any errors or inaccuracies herein or any use or reliance upon this information. 息 2010 TMX Group Inc.

More Related Content

Sala 2 10.45, 11.30 - peru tsx tsxv mining overview-presentation_sept10

  • 1. Janis Koyanagi Vice President, Business Development & Strategy Toronto Stock Exchange & TSX Venture Exchange Toronto Stock Exchange and TSX Venture Exchange: Access to Capital for Mining Companies
  • 2. Globally Competitive Exchanges Trends in Mining Finance TSX and TSXV Presence in South America Listing on TSX and TSXV Outline
  • 3. Unique equity market structure finances a broad spectrum of companies 2,177 companies 20 graduates in First Half 2010 20 graduates in 2009 45 graduates in 2008 1,488 companies TSX Venture Exchange Access to capital for earlier stage companies or smaller financings Total market cap of $38 Billion & average market cap of $17.4MM Cost effective stepping stone for international companies looking to list on a quality North American market Exchange mandate to mentor management of newly public companies Streamlined graduation to TSX when senior market requirements are met 103 year history Toronto Stock Exchange Senior market for well established businesses and management teams with experience in public markets Total market cap of $1.8 Trillion & average market cap of $1.2B 30% of TSX issuers >$500M are interlisted on a US exchange Access to larger, more international institutional investors and greater analyst coverage Globally visible specialized indices 157 year history
  • 4. TMX Group Serves Companies at all Stages of Growth Market Capitalization Toronto Stock Exchange and TSX Venture Exchange Unique feeder system 471 graduates + 85 M&A* *From January 1, 2000 June 30, 2010 Toronto Stock Exchange issuer base: 1,488 issuers, ~$1.8 trillion market cap TSX Venture Exchange issuer base (excludes NEX): 2,177 issuers, ~$37.7 billion market cap As at June 30, 2010 514 Issuers 498 Issuers 476 Issuers 2016 Issuers 142 19 Issuers
  • 5. Market Overview: TSX and TSX Venture Market Data for 2009 (C$) As at December 31, 2009 Source: TSX/TSXV Market Intelligence Group, WFE, Capital IQ TSX Issuers by Sector By Number As at June 30 2010 TSX Venture Issuers by Sector By Number
  • 6. TMX Group Global Leadership Strengths All data is as of or YTD June 30, 2010 1466 issuers 55% of the worlds public mining companies 90 going public events $7.8 B equity raised $197 B value traded 129 issuers Number one in the world by number of public clean technology companies 6 going public events $0.606 B equity raised $5.7 B value traded 3665 issuers 249 going public events $25.5 B equity raised Average Financing: TSX $54.3 M TSXV $3.2 M 463 issuers Over 35% of the worlds public oil and gas companies 28 going public events $5.97 B equity raised $141 B value traded Mining Energy & Energy Services Clean Technology
  • 7. Access to Capital: 2009 was an all time record year for financing on TSX *TSX Venture Exchange commenced operations on November 29 1999 Toronto Stock Exchange and TSX Venture Exchange Total Financings (C$Billions) 1999 2010 June
  • 8. International Investment Community Trades on Toronto Stock Exchange 25 International Brokers including: Barclays Capital Citigroup CSFB Deutsche Bank Goldman Sachs HSBC JP Morgan Macquarie Capital Markets Merrill Lynch Morgan Stanley Raymond James Thomas Weisel State Street UBS 80 Canadian Brokers including: BMO Nesbitt Burns Canaccord Adams CIBC World Markets GMP Securities RBC DS Scotia Capital Markets TD Securities National Bank Financial ~35% of daily trading originates from International brokers Volume CAGR 14% Transactions CAGR 37% Toronto Stock Exchange Volume and Transactions (2004-2009)
  • 9. Globally Competitive Exchanges Trends in Mining Finance TSX and TSXV Presence in South America Listing on TSX and TSXV Outline
  • 10. Key Global Mining Trends on Our Markets UK/Europe: Increase in Dual Listings USA: Increase in Trading Flow Latin America: Record year for capital raised for projects Increase in New Listings Australia: Increase in Dual Listings and equity raised Asia: Increase in New Players Increase in New Listings Increase in Gold Financings Increase in New Commodities Increase in New Players/M&A Africa: Increase in Equity Raised for African Projects
  • 11. TMX leads in mining financing and new listing Source: Gamah International Mining Equity Financings 2005 to First Half 2010 ($Billions) New Mining Listings 2005 to First Half 2010 $0.528 $2.3 $0.004 0 $0.405 $2.1 $7.8 Q1+Q2 2010 $2.7 $0.909 $1.3 $3.0 HKEx $0.571 $2.6 $5.4 $4.5 NYSE $0.047 0 $2.2 $10.8 $12.5 2006 $1.5 $0.095 $8.3 $9.3 $20.5 2007 $0.040 0 $3.1 $5.0 $8.3 2008 $0.007 0 $13.5 $22.3 $22.2 2009 JSE NYSE Amex ASX LSE/AIM TSX/TSXV 2 2 3 2 20 9 90 Q1+Q2 2010 n/a n/a 3 1 HKEx 6 3 3 1 NYSE 10 14 55 70 112 2006 4 13 33 142 186 2007 2 5 9 29 138 2008 0 1 22 4 104 2009 JSE NYSE Amex ASX LSE/AIM TSX/TSXV
  • 12. Global mining finance market continues to build Source: Gamah International, 1999-2009, compiled by Toronto Stock Exchange Global Mining # of Financings transactions 1999-2009 Global Mining Equity Financing Trend 1999-2009 (C$B)
  • 13. Mining Financing Update First Half 2010 Source: Gamah International, YTD June 30 2010, Compiled by TMX Group 1 64 926 27 142 $6.0 $2.3 Number of Financings $1.8 1 First Half 2010 Mining Equity Financings ($ Billions) 6 First Half 2010: $13 Billion total equity capital raised globally 1100+ financings 2 1
  • 14. Our mining companies have operations around the world Africa: TSXV: 100 Companies TSX: 69 Companies UK/Europe: TSXV: 50Companies TSX: 31 Companies Russia & CIS Countries: TSXV: 15 Companies TSX: 16 Companies USA: TSXV: 232 Companies TSX: 98 Companies Central America & Caribbean: TSXV: 29 Companies TSX: 20 Companies South America: TSXV: 177 Companies TSX: 82 Companies Mexico: TSXV: 134 Companies TSX: 62 Companies Australia/NZ/PNG: TSXV: 37 Companies TSX: 43 Companies Asia: TSXV: 64 Companies TSX: 42 Companies Source: InfoMine, June 2010 Canada: TSXV: 756 Companies TSX: 170 Companies
  • 15. International Mining Companies by the Numbers 141 Inter. Mining Cos. on TSX and TSX V $62B Market Cap $4.8B Raised Through 140 Financings in 2009 12B Shares Traded Through 6 Million Transactions in 2009 5 Average Number of Analysts Covering Intl Mining Cos. Unless otherwise noted, all numbers are as at June 30 2010
  • 16. Globally Competitive Exchanges Trends in Mining Finance TSX and TSXV Presence in South America Listing on TSX and TSXV Outline
  • 17. TSX and TSXV Mining Companies are Active in South America 264 Number of Mining Companies in South America 992 Number of S. American Mining Properties 85 Number of Mining Companies in Peru (264 Mining Properties) $1.4B Amount of Equity Capital Raised in 2009 for Peru Mining Projects Through 36 Financings $3.0B Equity Capital Raised in 2009 for S. American Mining Projects Through 125 Financings 85 YTD June 30, 2010 $974M equity capital raised for S. American Mining Projects through 47 financings $148M equity capital raised for Peru Mining Projects through 17 financings
  • 18. TSX and TSXV mining companies with projects in Peru There are 28 TSX companies with 112 properties in Peru BARRICK GOLD CORPORATION CANDENTE COPPER CORP. CARDERO RESOURCE CORP. CHARIOT RESOURCES LIMITED CROCODILE GOLD CORP. DYNACOR GOLD MINES INC. GEOLOGIX EXPLORATIONS INC. GOLDEN MINERALS COMPANY GRANDVIEW GOLD INC. IAMGOLD CORPORATION INMET MINING CORPORATION INTERNATIONAL MINERALS CORPORATION MALAGA INC. MAWSON RESOURCES LIMITED MINERA IRL LIMITED NORSEMONT MINING INC. PAN AMERICAN SILVER CORP. PARAMOUNT GOLD AND SILVER CORP. SILVER STANDARD RESOURCES INC. SILVER WHEATON CORP. SOLITARIO EXPLORATION & ROYALTY CORP. SPROTT RESOURCE CORP. SULLIDEN GOLD CORPORATION LTD. TECK RESOURCES LIMITED VAALDIAM MINING INC. VENA RESOURCES INC. YAMANA GOLD INC. ZINCORE METALS INC. There are 57 TSXV companies with 152 properties in Peru AGUILA AMERICAN RESOURCES LTD. ALTURAS MINERALS CORP. AM GOLD INC. AMERICAS PETROGAS INC. ANDEAN AMERICAN GOLD CORP. ANDEANGOLD LTD. ANTARES MINERALS INC. AQM COPPER INC. ARCTURUS VENTURES INC. BEAR CREEK MINING CORPORATION CANADIAN SHIELD RESOURCES LTD. CENTURY MINING CORPORATION CONDOR RESOURCES INC. DORATO RESOURCES INC. DURAN VENTURES INC. EL CONDOR MINERALS INC. ESPERANZA SILVER CORPORATION FISSION ENERGY CORP. FOCUS VENTURES LTD. FORTUNA SILVER MINES INC. GALENA INTERNATIONAL RESOURCES LTD. GITENNES EXPLORATION INC. GOLD HAWK RESOURCES INC. GOLDEN ARROW RESOURCES CORPORATION GRENVILLE GOLD CORPORATION IBERIAN MINERALS CORP. INCA PACIFIC RESOURCES INC. JOURNEY RESOURCES CORP. LARA EXPLORATION LTD. LATEEGRA GOLD CORP. LUCKY MINERALS INC. Source: Infomine MACUSANI YELLOWCAKE INC. MAGELLAN MINERALS LTD. MPH VENTURES CORP. NETWORK EXPLORATION LTD. NEW DIMENSION RESOURCES LTD. NEW HIGH RIDGE RESOURCES INC. NEW OROPERU RESOURCES INC. PANORO MINERALS LTD. PANTHERA EXPLORATION INC. PLEXMAR RESOURCES INC. RADIUS GOLD INC. RIO CRISTAL RESOURCES CORP. ROCMEC MINING INC. SALAZAR RESOURCES LIMITED SHANE RESOURCES LTD. SIENNA GOLD INC. SINCHAO METALS CORP. SOLITAIRE MINERALS CORP. SOUTHERN ANDES ENERGY INC. ST. ELIAS MINES LTD. STRAIT GOLD CORPORATION TAMERLANE VENTURES INC. TINKA RESOURCES LIMITED ULTRA LITHIUM INC. UPPER CANYON MINERALS CORP. WEALTH MINERALS LTD.
  • 19. Snapshot of recent companies active in South America 20 Andean Resources Ltd. (TSX:AND ASX:AND) - $235 million raised for gold in August, 2010 - Australian Company Developing Major Gold Asset Continental Gold Limited (TSX:CNL) - $28 M Financing - Raising $60 M presently Lithium Americas (TSX:LAC) - $45 M IPO in May 2010 Rio Novo Gold Inc. (TSX:RN) MBAC Fertilizer Corp. (TSX:MBC) Kinross Gold Corp. (TSX:K NYSE:KGC) Mirabela Nickel Ltd. (TSX:MNB ASX:MBN) Jaguar Mining Inc. (TSX:JAG NYSE:JAG) Colossus Minerals Inc. (TSX:CSI) Minera IRL (TSX:IRL AIM:MIRL BVL:MIRL) - Head office in Peru - Lima and TSX listed *Number of TSX and TSXV Companies with Projects in the Country Source: Infomine 50 10 63 85* 27 62 17 3 3 14 4 2
  • 20. 2010 New Listings and Financing Activity in South America New Listings: Continental Gold Limited Fortuna Silver Mines Inc. Lithium Americas Corp. MBAC Fertilizer Minera IRL Limited Rio Novo Gold Inc. Ecopetrol S.A. Santa Barbara Resources Limited (TSXV) New Financings for South American Projects First Half 2010: Silver Standard Resources: $120 million (a portion for gold/silver/base metals in Argentina) Rio Novo Gold: $46 million for gold in Brazil Lithium Americas: $45 million for lithium/potassium in Argentina Greystar Resources: $40 million for gold/silver in Colombia Apoquindo Minerals Inc.: $39 million for copper in Peru Crystallex International: $35 million for gold in Venezuela Golden Minerals Co: $35 million for silver in Argentina Fortuna Silver Mines: $34 million for gold/silver in Peru B2Gold Corp: $32 million for gold in Colombia Sunward Resources: $25 million for gold/copper in Colombia Ventana Gold Corp: $21 million for gold in Colombia Peregrine Metals Ltd.: $20 million for copper in Argentina Sulliden Exploration Inc.: $15 million for gold/silver in Peru Polar Star Mining Corp.: $15 million for gold/silver/base metals in Chile Mirabela Nickel Ltd.: $12 million for nickel and copper in Brazil
  • 21. Peruvian Listings and Interlistings with BVL Peruvian based silver mining company Projects in Peru and Mexico Lima and TSX listed Fortuna Silver Mines (TSX:FVI BVL:FVI) Head office in Peru Latin American precious metals mining, development and exploration company Projects in Peru and Argentina Lima AIM and TSX listed Minera IRL Limited. (TSX:IRL BVL:MIRL AIM:MIRL) Vena Resources Inc. (TSX:VEM BVL:VEM) Norsemont Mining Inc. (TSX:NOM BVL:NOM) -Offices in Peru and Chile -Copper project in Peru -Lima and TSXV listed AQM Copper Inc. (TSXV:AQM BVL:AQM) Candente Copper Corp (TSX:DNT BVL:DNT) -Peruvian based gold and copper-gold deposits exploration company -Lima and TSXV listed Alturas Minerals Corp. (TSXV:ALT BVL:ALT) Panoro Minerals Ltd. (TSXV:PML BVL:PML) Inca Pacific Resources Inc. (TSXV:IPR BVL:IPR) Rio Alto Mining Limited (TSXV:RIO BVL:RIO) Interlistings with Lima:
  • 22. Alturas Minerals Corp. ALT 2 Year Price and Trading Volume As at Aug 31/10 *(Source: Capital IQ) Alturas Minerals Corp. engages in the exploration and development of mineral resource properties in Peru, focusing on the discovery of epithermal gold mineralized deposits & copper-gold porphyry/skarn deposits. It principally has interests in four mineral exploration projects located in southern Peru. The company is based in Lima, Peru. Date of Listing Listed on TSX Venture Exchange by Reverse Take Over on April 10, 2006 Listed on Lima Stock Exchange Financings $1.52 Million Private Placement in April 2010 $10 Million Private Placement in June 2007 $7 Million Private Placement in April 2006 Market Capitalization $6.839 Million as of August 31, 2010 based on 71.98 million shares outstanding
  • 23. Fortuna Silver Mines Inc. FVI August 2010 1 Year Price and Trading Volume History As at Aug. 31/10 *(Source: Capital IQ) Fortuna Silver Mines Inc. engages in the exploration, extraction, and processing of silver, zinc, lead, gold, and copper ores. The company principally holds 100% interests in the Caylloma silver-zinc-lead mine in southern Peru; and the San Jose silver-gold project in Taviche Mining District, southern portion of state of Oaxaca, Mexico. Listings Graduated from TSX Venture Exchange to Toronto Stock Exchange January 18, 2010 Listed on Lima Stock Exchange (FVI) and traded on the OTC:BB under the symbol (FVIT.F) Financings Raised $34.5 Million in a Private Placement on TSX in March 2010 Raised $53.3 Million in two Private Placements on TSX Venture between 2006 and 2007 Market Capitalization $295.9 Million as at August 31, 2010 Analyst Coverage 7 Analyst (Source: Capital IQ)
  • 24. Globally Competitive Exchanges Trends in Mining Finance TSX and TSXV Presence in South America Listing on TSX and TSXV Outline
  • 25. Why Companies Consider TSX and TSX Venture Exchange Unique Public Market for small to mid cap companies Access to Capital Liquidity Visibility
  • 26. Going Public on Toronto Stock Exchange or TSX Venture Exchange
  • 27. Regulating Canadas Mining Sector Understanding the Regulatory Landscape in Canada TMX has supervision of new listings and matters pertaining to continued listing requirements. IIROC - National self-regulatory organization which oversees all investment dealers and trading activity in Canada. Securities Commission - Regulates investment funds and is responsible for overseeing capital markets and certain provisions of the Business Corporations Act. Standards-based exchanges that promote integrity for public SMEs Access to specialized products for TSX/TSXV listing. Policies for different size companies related to financial reporting, corporate governance and financing methods. Regulations to encourage develop of the mining sector Tailored listing requirements for mining sector. Regulations such as TMXs Timely Disclosure Policy, National Instrument 43-101 and the Qualified Person requirement. Mining focused economy supported by capital markets Milestones such as a Canadas Mineral Exploration Tax Credit and Mining Standards Task Force. Expertise in mining across the capital markets, legal community and stock exchanges. An increase in investment funds focused on mining sector. Canadian regulatory commissions and exchanges are customer-focused Access to U.S. capital without the higher cost of regulatory compliance Exemptions available for certain markets and dual listed companies Right balance of regulatory oversight and timely disclosure compared with other markets.
  • 28. TMX Group has listing criteria specifically for the mining sector Technical Listing Requirements: Minimum Property Ownership Management Track Record and Experience Sufficient Working Capital and/or Mine Life NI 43-101 Report Exploration & Development or Producing Requirements This table is an overview. For detailed listing requirements go to www.tmx.com
  • 29. Capital Pool Company (CPC) Program has a Strong Track Record Since inception: Over 2050 CPCs were created 80% have completed their QT over 1600 companies Currently: 329 Graduates now trade on TSX 96 of the grads were CPCs 47 of 82 QTs in 2009 were mining 36 of 62 QTs in the first half of 2010 were mining
  • 30. Seed Financing and Prospectus Public Offering Trade as CPC Announce QT File Disclosure Statement Trade as Venture Company CPC Acquires Business (QT) Public Financing and CPC Trades Prospectus Receipt Close Transaction Seed Identify Qualifying Transaction 24 Months Maximum Capital Pool Company: Process Aftermarket and Growth Execute Business Plan/Grow Company
  • 31. Why/When a CPC Alternative access to capital; Retain higher ownership Want to be public company (M&A currency, stock options, visibility) Greater flexibility, certainty and control in the process Going public risk reduced Management (public company experience) Long term strategy to grow as a public company Reasonable valuation = Viable share structure Investor support Appropriate advisors (lawyer, broker, investment banker) Company Wants/ Needs Critical Success Factors Company is too early stage for a broadly distributed regular IPO IPO market is not strong enough in general VC financing is not viable or management prefers not to use Market appears to reward growth business of target companys sector Market Conditions
  • 32. Dual Listing Market Continues to Evolve on TSX Key Trends Growing number of dual listed success stories Dual listed cos. have steadily built profile Greater interaction between key mining exchanges Dual list process continues to improve Accessed significant capital and trading on TMX Improvements in home market valuations and trading liquidity More mines put into production Dual Listed Companies:
  • 33. FAQs for International Companies IFRS Accounting/Audit Standards and U.S. GAAP accepted without reconciliation Board and management must have adequate relevant North American public company experience Canadian directors are not required Must have a plan for adequate shareholder base & distribution of shares to support a liquid market on TSX. 300 worldwide shareholders holding more than a board lot. There is no requirement for Canadian shareholders. Canadian office not required Recommend a contact person in Canada be accessible for shareholders and analyst inquiries NI 43-101 accepts JORC, SAMREC and international resources and reserves standards. The report should cover all material properties. The recommended work program should coincide with the 18 month projection of sources and uses. Sponsorship is generally required for a new entrant unless the company: is profitable, or completes a prospectus/financing with TSX brokers or sufficient due diligence completed on other market. Nomad requirement not applicable in Canada.
  • 34. Differentiating Ourselves from Other Marketplaces Uniqueness Access to Capital Liquidity International Market structure facilitates graduation from junior market (TSXV) to senior market (TSX) Strong feeder system Market of choice for Resource and small and mid-cap companies Steady growth of capital investment over past 5 years Record breaking year in 2009 -- $64.9 billion raised Access to North American capital Value traded has more than doubled over the past 5 years Record breaking year in 2009 for trading volumes and transactions 295 international companies on TMX 148 US, 54 China and 32 Australia
  • 35. Canadian Equity Markets Global Leaders 7 th in Market Capitalization 6 th in Equity Financing
  • 36. China Annie Tao 416 947-4273 [email_address] Diversified Industries Raymond King 416 947-4675 [email_address] United States Tala Zarbafi 416 947-4636 [email_address] Energy Cindy Gray 403 218-2822 [email_address] Mining Greg Ferron 416 947-4477 [email_address] Clean Technology Robert Peterman 416 947-4305 [email_address] This document is for information purposes only and is not an invitation to purchase securities listed on Toronto Stock Exchange and/or TSX Venture Exchange or Natural Gas Exchange. TMX Group Inc. and its affiliates do not endorse or recommend any securities referenced in this document. Please seek professional advice to evaluate specific securities. While the information herein is collected and compiled with care, neither TMX Group Inc. nor any of its affiliated companies represents, warrants or guarantees the accuracy or the completeness of the information. You agree not to rely on the information contained herein for any trading, business or financial purpose. This information is provided with the express condition, to which by making use thereof you expressly consent, that no liability shall be incurred by TMX Group Inc. and/or any of its affiliates as a result of any errors or inaccuracies herein or any use or reliance upon this information. 息 2010 TMX Group Inc.