This document is a disclaimer and introduction to a presentation by Lakeland Resources Inc., a uranium exploration company focused on properties in Saskatchewan's Athabasca Basin. It notes that the presentation contains subjective opinions and outside factors could significantly affect the results, so interested parties should do their own research. Technical information has been reviewed by a qualified person. The introduction provides an overview of Lakeland's management team and advisory board's extensive experience in uranium exploration, its portfolio of properties in the Athabasca Basin prospective for major discoveries, and the positive long term fundamentals and outlook for uranium.
2. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes!
Disclaimer:
This
Presenta,on
has
been
prepared
by
Lakeland
Resources
Inc.
(“Lakeland”)
using
its
best
efforts
to
realis,cally
and
factually
present
the
informa,on
contained.
However,
subjec,ve
opinion,
dependence
upon
factors
outside
Lakeland’s
control
and
outside
informa,on
sources
unavoidably
dictate
that
Lakeland
cannot
warrant
the
informa,on
contained
to
be
exhaus,ve,
complete
or
sufficient.
In
addi,on,
many
factors
can
affect
the
Presenta,on
which
could
significantly
alter
the
results
intended
by
Lakeland,
rendering
the
Presenta,on
unaKainable
or
substan,ally
altered.
Therefore,
interested
Users
should
conduct
their
own
assessment
and
consult
with
their
own
professional
advisors
prior
to
making
any
investment
decisions.
This
Presenta,on
does
not
cons,tute
a
prospectus
or
public
offering
for
financing,
and
no
guarantees
are
made
or
implied
with
regard
to
the
success
of
Lakeland’s
proposed
ventures.
Interested
investors
are
advised
to
seek
advice
from
their
investment
advisors.
Technical
informa,on
has
been
prepared
in
accordance
with
the
Canadian
regulatory
requirements
set
out
in
Na,onal
Instrument
43-‐101
and
reviewed
on
behalf
of
the
Company
by
Neil
McCallum
P.Geo.,
a
Qualified
Person.
2!
3. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 3!
Lakeland
Resources
Inc.
is
a
newly
formed
pure
play
uranium
explora,on
company
focused
on
the
Athabasca
Basin
in
Saskatchewan,
Canada.
About
Lakeland
4. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes!
Investment
Highlights
Strong
Fundamental
Outlook
for
Uranium
Prices
• Global
demand
for
electricity
is
set
to
grow
70%+
by
2030
• 434
reactors
in
opera,on;
544
new
reactors
under
construc,on,
planned
or
proposed
• Supply/demand
imbalance
unavoidable
post
2013-‐14
Experienced
Advisors
and
Team
• Extensive
experience
in
uranium
explora,on
&
resource
finance
Favourable
Share
Structure
• Excellent
leverage
to
explora,on
success
with
only
22
M
shares
outstanding
Secured
Significant
PorBolio
of
Uranium
ExploraCon
ProperCes
• South
Pine/Riou
Lake/Otherside
Proper,es
ini,al
priority
focus
for
drilling
• Total
poreolio
of
nine
projects
encompassing
100,000+
hectares
• All
projects
benefit
from
substan,al
historic
explora,on
data
and
expenditures
• All
projects
have
the
geologic
characteris,cs
amenable
to
a
major
uranium
discovery
4!
5. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 5!
Geological
Consultants
Dahrouge
Geological
ConsulCng
Ltd.
• Ac,ve
in
the
Athabasca
Basin
since
early
2000
• Uranium
explora,on
team
led
by
Jody
Dahrouge,
B.Sc.
P.Geol.
and
Neil
McCallum,
B.Sc.
P.Geol.
• Experience
with
uranium
discoveries
at
Waterbury
Lake
and
PaKerson
Lake
South
amongst
other
proper,es
• Excellent
network
of
prospectors,
geophysical
consultants
and
explora,on
support
contractors
6. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 6!
Current
Advisory
Board
Members
Mr.
Richard
Kusmirski,
M.Sc.,
P.Geo
Experienced
Uranium
Geoscien2st
Mr.
Richard
Kusmirski
has
over
40
years
of
explora,on
experience
in
North
America
and
overseas,
and
has
ac,vely
par,cipated
in
the
discovery
of
a
number
of
uranium,
gold
and
base
metal
deposits.
For
several
years,
in
his
capacity
as
Explora,on
Manager,
he
directed
Cameco
Corpora,on’s
(TSX:
CCO)
uranium
explora,on
projects
in
the
Athabasca
Basin.
In
1999,
Rick
joined
JNR
Resources
Inc.
becoming
Vice
President
of
Explora,on
in
2000.
Subsequently,
he
directed
the
explora,on
program
that
led
to
the
discovery
of
the
Maverick
Zone
on
the
Moore
Lake
uranium
joint
venture
in
the
Athabasca
Basin
with
partner
KennecoK
Canada.
Rick
became
JNR's
President
and
CEO
in
January
of
2001.
In
February
of
2013,
Denison
Mines
Corp.
(TSX:
DML)
successfully
acquired
all
of
the
outstanding
shares
of
JNR
by
way
of
a
friendly
all-‐share
take-‐over
bid.
Mr.
Thomas
Drolet
B.Eng.,
M.Sc.,
DIC
Nuclear
Energy
and
Uranium
Industry
Specialist
Mr.
Thomas
Drolet
is
a
uranium
and
nuclear
industry
specialist
and
principal
of
energy
consultancy
Drolet
&
Associates
Energy
Services
Inc.
Mr.
Drolet
has
had
a
40+
year
career
in
the
energy
sector,
where
he
spent
26
years
with
Ontario
Hydro
in
various
engineering,
research
and
opera,ons
func,ons.
He
formed
and
headed
Canada's
Research
and
Development
program
into
Fusion
(CFFTP)
in
1982
and
then
moved
into
Interna,onal
Commercial
work
with
Ontario
Hydro
Interna,onal,
where
he
was
named
President
and
CEO
in
1993.
Mr.
Drolet
was
then
appointed
Managing
Director
of
American
Electric
Power
Canada,
and
President
of
Canadian
Energy
Opportuni,es,
Inc.
where
he
was
involved
in
mergers,
acquisi,ons
and
other
consul,ng
ac,vi,es
in
the
Canadian
and
US
power
sectors.
Mr.
Drolet
earned
a
Bachelor's
Degree
in
chemical
engineering
from
Royal
Military
College
of
Canada,
a
Master's
of
Science
degree
in
nuclear
technology/
chemical
engineering
and
a
DIC
from
Imperial
College,
University
of
London,
England.
He
is
a
frequent
guest
and
keynote
speaker
on
nuclear
energy
at
global
conferences.
7. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 7!
Corporate
Structure
Shares
Outstanding:
22.1
million
Op,ons
($0.11):
1.4
million
Fully
Diluted:
23.5
million
Major
Shareholders
Management,
founders
and
insiders:
22%
Zimtu
Capital
Corp.:
20%
Cash:
~$300k
Current
Management
Team
&
Board:
Jonathan
Armes
-‐
President,
CEO
&
Director
Alex
Falconer,
C.A.
-‐
CFO
&
Director
Garry
Clark,
P.Geo
-‐
Director
Ryan
Fletcher,
B.A.
-‐
Director
David
Hodge
-‐
Director
(as
at
June
2013)
8. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes!
Why
Uranium?
Electricity
demand
to
grow
76%
by
2030.
The
number
of
nuclear
reactors
is
rising
to
meet
it
434
reactors
are
in
opera,on
world-‐wide
544
new
reactors
(318
proposed,
159
planned,67
under
construc,on)
China,
Russia,
India
and
USA
are
primary
drivers
8!
9. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes!
World
Nuclear
Capacity
9!
There
are
currently
67
reactors
under
construc,on
world-‐wide
–
newbuild
levels
not
seen
since
the
1970s
–
of
which
13
have
had
first
concrete
poured
since
Fukushima
Source:
World
Nuclear
Associa,on
10. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 10!
Uranium:
Supply/Demand
Dynamics
Unbalanced
A
supply
shortage
is
unavoidable
post
2013-‐14:
•
Primary
supply
will
have
to
increase
by
~
90Mlb
U3O8/year
to
meet
demand
requirements
by
2020
(in
8
years)
•
In
previous
8-‐year
period
(2003
–
2011),
produc,on
increased
by
48Mlb,
but
Kazakhstan
accounted
for
42Mlb
(going
forward
there
is
not
another
Kazatomprom
to
contribute
such
growth)
Source:
Paladin
Energy
Ltd.
11. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 11!
Uranium:
Pricing
One
of
the
Best
Commodity
Price
Outlooks
(1)
Consensus
Forecast:
Argonaut
July
2012
Key
Commodity
Price
Performance
(3
Year
Horizon)
12. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 12!
Catalysts
2013
Three
Key
Catalysts:
Increased
Chinese
buying
with
approvals
now
resumed
(29
reactors
currently
under
construc,on,
2
restarts)
Restart
of
Japanese
reactors
End
of
Russian
HEU
Agreement
(end-‐2013)
13. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 13!
Athabasca
Basin
The
World’s
Leading
Uranium
Province.
Why?
1. Grades:
in
excess
of
20%
uranium
(compared
to
the
global
average
of
0.14%)
2. Infrastructure
3. Poli,cally
stable
environment
for
investment
Post
Fukushima:
Rio
Tinto
Spent
$654M
to
get
into
the
Basin
14. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 14!
Recent
M&A
Ac,vity
in
the
Basin
A
Flurry,
Post-‐Fukushima:
JAN
2012
Rio
Tinto
Acquires
Hathor
APR
2012
Fission
Acquires
Pitchstone
NOV
2012
Denison
Acquires
JNR
Nexgen
Acquires
Mega
Uranium’s
Basin
Assets
APR
2013
Denison
Acquires
Fission
Assets
(Waterbury,
etc.)
15. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 15!
Athabasca
Basin
Uranium
Our
Explora,on
Strategy
LocaCon
Saskatchewan
is
a
favorable
mining
jurisdic,on
Projects
at
or
near
shallow
basin
margins
(0
to
400-‐m
depth)
Geology
Athabasca
Basin
unconformity
deposits
are
the
highest
grade
deposits
worldwide
Deposits
associated
with
altera,on,
conductors,
and
radioac,vity;
ozen
in
structurally
complex
environments
ExploraCon
Shallow
targets
with
low(er)
drilling
and
explora,on
costs
Projects
are
selected
based
on
a
review
of
historic
explora,on
Geophysics
• Electromagne,cs,
IP/Resis,vity,
Magne,cs,
Radiometrics,
and
Gravity
Geochemistry
• Arsenic,
Boron,
Nickel,
Radon
etc.
• Uranium
Altera,on
Mineralogy
16. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 16!
Athabasca
Basin
Uranium
PROJECT
PORTFOLIO
Northern
Athabasca
Basin
• South
Pine
• Riou
Lake
• Otherside
• Circle
Lake
Northeast
Athabasca
Basin
• Perch
• Hawkrock
• Small
Lake
Eastern
Athabasca
Basin
• Jasper
• Richmond
All
projects
100%-‐owned
17. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 17!
Ownership:
100%
Lakeland
Total
Property
Package
Size:
45,285
hectares
• Property
package
spans
~80km
between
Fond
du
Lac
and
Stony
Rapids
–
excellent
infrastructure,
easy
to
explore
• Benefits
from
$3M+
of
archived
explora,on
(airborne
gravity/MEGATEM,
etc.)
completed
by
UEX
Corp.
since
2005
-‐
iden2fied
targets
that
remain
to
be
tested
• Mul,ple
targets
(South
Pine,
Gibbon’s
Creek,
Otherside)
iden,fied
benefit
from
shallow
depths
to
unconformity
-‐
lower
costs
and
higher
success
rates
for
explora2on,
beIer
economics
for
discoveries
Focus:
North
Basin
Proper,es
South
Pine,
Riou
Lake
and
Otherside
18. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 18!
Poten,al
of
Area
Demonstrated
by:
Uracan/UEX
Corp.
Black
Lake
Project:
• UEX
Corp.
recently
(Jan
2013)
op,oned
60%
to
Uracan
for
C$10.0
million
in
explora,on
over
10
years
• DDH
BL-‐018:
0.69%
U3O8
over
4.4
metres,
including
1.96%
U3O8
over
0.50
m
UEX
Corp.
Riou
Lake
Project:
• Radioac,ve
boulders
in
glacial
,ll
on
the
property
with
up
to
11.3%
uranium;
source
s,ll
to
be
iden,fied
20. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 20!
South
Pine
Target
•
17
historic
drill
holes
-‐DDH
PC81-‐2:
0.15%
U3O8
over
0.13
m
-‐Several
anomalous
intersects
•
2.5
kilometre
long
conductor
•
Shallow:
70
metres
to
unconformity
•
Easy
access
along
winter
highway
•
Not
followed
up
since
discovery
in
1981
21. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 21!
Gibbon’s
Creek
Target
• At
least
23
historic
drill
holes
in
region:
-‐DDH
GC-‐15:
0.18%
U3O8
over
0.13
m
-‐Several
anomalous
intersects
-‐Very
strong
altera,on
in
sandstone
and
basement
• Easy
access
near
winter
highway
• Shallow:
100
metres
to
unconformity
• Nearby
conductor
is
untested
Otherside
Target
• Priority
Airborne
EM
(MegaTEM)
anomaly
• Shallow:
es,mated
150
metres
to
unconformity
22. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 22!
Perch
Lake
Property
• Straddles
the
northeastern
edge
of
the
Athabasca
Basin
• 4
kilometre
long
basement
conduc,ve
trend
iden,fied
by
a
2007
VTEM
survey
• Unexplained
uranium
radiometric
anomaly,
iden,fied
by
a
2010
regional
Geological
Survey
of
Canada
survey,
lies
directly
on
the
northern
por,on
of
the
conduc,ve
trend
and
is
priority
for
immediate
follow-‐up
• Prospec,ng,
mapping,
and
sampling
proposed
23. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 23!
2013
Timeline
Airborne
geophysics
(Re-‐interpreta,ons)
All
proper,es
July
2013
Fieldwork
(Radon
surveys,
prospec,ng,
sampling)
South
Pine/Riou
Lake/Otherside/Perch
Q3
2013
Ground
geophysics
(IP
resis,vity)
South
Pine
Q4
2013
Explora,on
drilling
South
Pine/Riou
Lake/Otherside
Q1
2014
The
company
will
also
con2nue
to
review
and
generate
opportuni2es
for
acquisi2on/staking
and
poten2al
subsequent
joint
venture.
24. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 24!
Key
Market
Comparables
Athabasca
Basin
Uranium
Explorers
Company
Shares
Outstanding
Recent
Trading
Price
Market
Cap.
Fission
Uranium
Corp.
(TSXv:
FCU)
149.5
M
$0.71
$106
M
Alpha
Minerals
Inc.
(TSXv:
AMW)
22.6
M
$4.05
$91
M
NexGen
Energy
Ltd.
(TSXv:
NXE)
86.8
M
$0.275
$23
M
Forum
Uranium
Corp.
(TSXv:
FDC)
19.0
M
$0.39
$7.4
M
Azincourt
Resources
Inc.
(TSXv:
AAZ)
14.1
M
$0.33
$4.6
M
Lakeland
Resources
Inc.
(TSXv:
LK)
22.1
M
$0.10
$2.2
M
*As
at
June
2013
25. TSXv:LK / FSE: 6LL / lakelandresources.com / @LakelandRes! 25!
A
well-‐posi,oned
Athabasca
uranium
explorer
with
key
success
factors
in
place.
Team
with
technical
and
capital
markets
strength
Building
solid
asset
base,
large
scale
presence
in
the
Basin
Low
shares
outstanding
with
high
insider
ownership
Well-‐planned
and
aggressive
explora,on
program
for
2013/14
Startup
valua,on
Strong
interest
and
market
fundamentals
for
uranium