Bruner Gold Project

Highlights

  • Bruner is Canamex´s flagship gold mine development project
  • Located in the prolific gold mining region of Nye County, Nevada
  • Canamex spent USD$6 million to earn 70%, purchased remaining 30% interest for USD$1 million to own 100% interest
  • Multiple highly prospective undrilled target areas
  • 2016 PEA completed
  • 2016 and 2017 drilling results being incorporated into an updated PEA
  • Canamex has among the best drill intercepts in Nevada from 2012-2014
    • 110 meters @ 4.08 g/t gold
    • 57.9 meters @ 5.23 g/t gold
Bruner Gold Project has significant unexplored potential

PEA Facilities Layout (March 2016)

Well Located with Good Infrastructure

  • Major structural intersection surrounded by multi-million ounce deposits
  • Excellent access from Nye County Road – Historic Resource Area drill roads
  • Potential Leach Pad / Plant Site identified
  • 20 km to substation with up to 10 MW capacity
  • $1.5 million estimated cost to get power from substation to Bruner upon production

Highlights of the PEA (March 2016)

  • IRR (before tax) – 42% at $1250 Au – 62% at $1375 Au
  • Capital payback period is 15 months
  • Estimated initial capital expenditures of $33 million
  • Average annual gold production of 46,500 oz. at a cash cost of $550/oz for the first two years
  • Facility siting and first two years of production entirely on patented claims to allow for a streamlined permitting process; resource potential mostly on patented claims
  • Oxide heap leach processing with 90% recovery of gold on single stage crushed material
PEA Production Process Flow Sheet (March 2016)

Accessible drill targets

Three highly prospective focus target areas

1. “Historic Resource” Area (‘HRA’)
2. “Penelas Mine” & “Penelas East”
3. “Paymaster Mine” (High Grade Area)

Additional Targets

4. “NW (Bruno)” Large Disseminated Target
5. “Phonolite Ridge” Large Disseminated Target
6. “Bruner Mine” Vein Target


Phase 1 Development-Production Concept scenario on patented land

Excellent Metallurgy (PEA March 2016)

  • +89% gold extraction in 83 days on -3 inch and -3/4 inch crush on Historic Resource Area
  • Importantly, +80% gold extraction in 40 days
  • Low reagent consumption = low operating costs
  • Cyanide leachable gold property-wide.
  • Bottle roll tests returned an average of 97% gold extraction from both Penelas East and Paymaster discoveries
A qualified person has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves and Canamex Resources is not treating the historical estimate as current mineral resources or mineral reserves

Successful drilling was executed in 2016-17  at two of the focus targets (post PEA)

Intersected significant intervals of gold immediately outside of the resources that contribute to the PEA, suggesting we may increase the resources and thereby the economics when we next update the resources and PEA. Penelas Mine and Penelas East

  • 8 holes drilled between Penelas Mine and Penelas East resource outlines all intersected over 60 metres of +0.7 gpt Au
  • 2017 gold intercepts at Penelas all contained within current engineered pit with ramp access in what is currently carried as waste within that pit design
  • Addition of resources at Penelas could improve economics of the project in an updated PEA in progress and due out before year end 2017

Paymaster Mine

  • 23 holes drilled to update Paymaster resource to indicated
  • Gold intercepts outside prior resource boundary at Paymaster could expand resource

For more information on the Bruner Gold Project click here to view the Canamex Corporate Presentation