Forward Looking Statements

Forward Looking Statements
This presentation contains certain statements that may be deemed “forward-looking”
statements. Forward looking statements are statements that are not historical facts and
are generally, but not always, identified by the words “expects”, “plans”, “anticipates”,
“believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that
events or conditions “will”, “would”, “may”, “could” or “should” occur and include,
without limitation, statements regarding the Company’s plans with respect to statements
about the Company’s ability to fund and execute the proven ore processing business
model, and the potential economics and returns of that business model, outlined in this
presentation. Although Standard Tolling believes the expectations expressed in such
forward-looking statements are based on reasonable assumptions, such statements are
not guarantees of future performance and actual results may differ materially from those
in forward looking statements. Forward looking statements are based on the beliefs,
estimates and opinions of the Company’s management on the date the statements are
made. Except as required by law, the Company undertakes no obligation to update these
forward-looking statements in the event that management’s beliefs, estimates, opinions, or
other factors, should change.
Corporate Overview
Standard Tolling intends to design, build, own and operate its first gold toll
processing plant in Peru
!   Standard Tolling is preparing a comprehensive study to develop its first plant by
Q2 2014. The Company will also announce the selection of the plant location.
!   Standard Tolling will look to purchase high-grade ore from small and artisanal
miners throughout Peru, who are legally compliant, and then process it for sale.
!   The plant will have an initial capacity of approximately 100 to 125 TPD. Within 36
months, the plant can be expanded using debt to 350 TPD.
!   The study will look to establish cost certainty providing equity investors a clear
understanding of dilution while also providing a template for future facilities.
!   PROVEN TEAM with extensive toll milling experience
The Processing Business Advantage
ALLOWS FOR RAPID ENTRY into gold production and positive cash flow
REQUIRES NO MINE OWNERSHIP which greatly reduces the risks associated with
exploration and mining
LIMITED COMMODITY EXPOSURE provides for steady and predictable cash
flow returns even in a difficult gold and silver market
PROVEN SUPERIOR RETURN ON EQUITY and has proven scalability potential
MASSIVE GLOBAL GROWTH POTENTIAL and a clear leader has yet to emerge
in the toll processing space
PROVIDES STAKEHOLDER BENEFITS to Standard Tolling shareholders, small scale
miners, communities, and multiple levels of government
A Proven Business Model
Two publically traded ore processors have already successfully executed this
business model in Peru.
!   Dynacor Gold Mines (TSX: DNG)
Owns and operates a 230 TPD facility in Peru, running at full capacity
Production target of 71,000 Au oz. in 2014 with an approx. grade of 30 g/t
A 49% ROE, which ranks among the highest in the entire gold sector
Expanding with a second plant that will have a 350 TPD capacity
Stellar stock performance since 2010
!   Inca One Resources (TSX-V: IO)
  Operate the 25 TPD Chala One plant; currently expanding to 50 TPD
  Successful roll out in a short-time frame with initial mill purchase in July 2013 and
production by December 2013
  Successfully closed numerous rounds of financing
A Look At Dynacor (2010 – 2013)
Dynacor Gold Mines
~550% Return
Since 2010
Gold Miners ETF
~50% Decline
Since 2010
Why Peru?
Ultra Supportive New Legislative Regime!
PERU is playing a leading role in regulating small mining
!   Recent quote from Jorge Merino, Minister of Energy and Mines. “Peru has reached a
point of no return in the fight against illegal mining.”
!   Small mining industry in Peru undergoing significant regulatory change whereby new
regulations require the formalization of small miners by April 2014 deadline.
!   New small mining regulations should provide the government with previously missed
taxation opportunities, reduce the devastating impact to the environment, create
better conditions for miners, and tackle the underground economy.
!   Peru produces approximately 160 tons of gold annually and it is estimated that small
mining accounts for 20% of this total (~32 tons of gold).
!   There is a strong enforcement mechanism in place through the requirement that ore
processing be done by legally compliant mills. This has created a significant opening
for new players as illegal miners become formalized.
Window of Opportunity
New Mining Regulations!
A Win Win Win
Multiple Stakeholder Benefits!
OUR SHAREHOLDERS BENEFIT – a low-risk proven model with profitability ensured
in most gold price scenarios, diversified ore feed from multiple mines, and limited
operating risks typically associated with exploration and mining companies.
SMALL SCALE PERUVIAN MINERS – autonomy is maintained as Standard Tolling
will work in cooperation with the miners rather than at odds, which is often the
case with a large mining company. Proximity to the Company’s initial mill could
provide additional processing options for miners and/or lower transport costs.
Better recovery rates at the Company’s plant means higher pay to the miner.
GOVERNMENT OF PERU – improved tax collection and monitoring capabilities
are immediate benefits to the government. The intended policy outcomes of
requiring all miners to utilize permitted facilities for processing is reduced mercury
consumption and reduced environmental impact.
Comprehensive Study
Now Underway!
  Establishes a template for build out of the first facility and the basis for more.
  Utilizes multiple expert independent consultants to ensure accuracy.
  Investor friendly. It will establish cost certainty which will allow equity investors to
more accurately forecast share dilution. Establishes the “last financing” concept.
  Uncovers market inefficiencies, makes key findings, and challenges assumptions.
  PHASE I mapping depicts all small mining activity, existing processing plants and
transportation routes (has uncovered a district of choice for the first plant).
  Having the proper financing to complete ore purchases quickly can create large
advantages over competitors who are underfunded.
  To complete purchases quickly, quality control and processes are critical.
  Establishing an ore-finance facility (in the form of junior debt) prior to equity offering
is important for modeling.
The Standard Team
  Former Manager of a Peru toll processing plant, to oversee ore purchase protocols
  A metallurgical consulting firm to establish sampling, testing processes, plant design
  A financial advisor to establish revenue model, assist in budgeting and planning
  A Peruvian legal firm to understand and comply with regulations and permitting
  A Peruvian geological team to complete two phase mapping plan
  A Social Advisory firm to provide community relations plan
  Andrew Neale, Board Member, to oversee comprehensive study
  Carlos Mirabal, Advisory Board, to assist with build out and commission
  David Hutchins, Advisor Board, to assist to European financing initiatives
Proposed Timeline
Funding Requirements
Initial 100 TPD Plant!
PLANT BUILD OUT (Equity) ………………………............... $4,500,000
ORE PURCHASES (Junior Debt) ……………………………. $2,000,000
TOTAL FUNDING NEEDED …………….............................. $6,500,000
!   Build out costs will be finalized in the Comprehensive Study, but are
approximated using industry average of $40,000/ton of capex
!   Ore purchases could be made through the use of a dedicated debt
finance facility
!   The Company looks to initially establish a 100 TPD facility and grow
using additional debt to expand to 350 TPD over 3 years
Growth Assumptions
100 & 350 TPD Facility!
Operating Revenue Per Ton
100 TPD
350 TPD
Operational Cost Per Ton
Operating Capacity in %
Spot Gold Price Per Oz
Average Grade Per Ton
20 g/t
20 g/t
Recovery Rate in %
Gold Recovered Per Month
1,700 oz
6,000 oz
20,400 oz
72,000 oz
* Based on Dynacor Gold Mines Operating Assumptions (Sept. 2013). Standard Tolling’s results may differ materially
from Dynacor’s projections. Please see Disclaimer: Forward Looking Statements on page 2.
Creating Maximum Leverage
Standard Tolling is looking to create maximum leverage for equity investors
!   Initial plant will require all-equity financing, debt only available upon production
!   Future production goal of 350 TPD is to dilutive to fund upfront, start smaller
!   SOLUTION: generate enough cash flow to meet threshold for bank financing
“Last Financing” Concept and Expansion Template
!   At 100 – 125 TPD, cash flow could reach $5M / annum
!   At 2 X cash flow, a bank could loan $10M for expansion to 350 TPD
!   To achieve 100 TPD, equity needed is approx. $4.5M (plus ore purchases)
!   Theoretically, a $4.5M equity investment (plus ore purchases) would be the “last”
equity required to ultimately get to 350 TPD
!   At 350 TPD, the Company could justify a $100M market capitalization
* Based on Dynacor Gold Mines Operating Assumptions (Sept. 2013). Standard Tolling’s results may differ materially
from Dynacor’s projections. Please see Disclaimer: Forward Looking Statements on page 2.
Extensive Opportunities Exist
Standard Tolling believes that countries throughout
Latin America will eventually follow Peru’s lead and
enact laws to curb illegal mining. If the Company
can establish a successful ore-processing template
in Peru, there will be a huge opportunity to expand
operations throughout Latin America.
Mining in Latin America:
!   Brazil, Peru and Chile all rank among the Top 15
gold producers in the world
!   Currently, South America receives more mining
exploration than any other part of the world
!   38% of worldwide investment in metallurgical
prospecting goes to South America
!   Illegal mining is a huge problem looming over
much of Latin America, not just Peru
Management, Directors & Advisory Board
Len Clough, President, CEO & Chairman
Mr. Len Clough worked at RBC Dominion Securities in Vancouver from 1998 to 2010. From
2010 to 2013, he served as Managing Director of Kingfisher Advisors SA (“Kingfisher”), a
financial advisory firm that specialized in offering financial advisory services to institutional
and non-institutional clientele. Mr. Clough is a Director of Dynasty Metals and Mining Inc.,
an Ecuadorian mining company operating the Zaruma mine.
Andrew James Neale, Director
Mr. Andrew Neale is a mining industry executive with more than 25 years of experience in
international mine operations management, engineering, construction and environmental
management. For the past 3 years, he has been engaged by a private management
group to modernize and expand the HEMCO gold mining operation in Nicaragua. Mr.
Neale previously served for 12 years with Freeport-McMoRan Copper and Gold Inc.
Carlos H. Fernandez Mazzi, Director
Mr. Mazzi’s career is highlighted by his leadership in the development of the US $1.0 billion
San Cristobal project in Bolivia as CEO of Minera San Cristobal S.A. He was also the CEO
of the W.J. Clinton Foundation's Clinton Giustra Sustainable Growth Initiative with a focus
on impact investing and sustainable development in Latin America.
Management, Directors & Advisory Board
Carlos Mirabal, Advisor
Mr. Carlos Mirabal has more than 35 years of experience in the mining industry. From 2006
to 2010, he served as President & CEO of Orvana Minerals Corp. Prior to that, Mr. Mirabal
spent 33 years with Compania Minera del Sur S.A. ("Comsur”), where he served as Vice
President of Operations. In this position, he was a key member of the management team
responsible for the construction and operation of Orvana’s Don Mario Mine in Bolivia.
David Hutchins, Advisor
Mr. Hutchins has 30 years' experience as a resource analyst and fund manager. His career
began with the Melbourne Stock Exchange in 1979 and he later became an executive
director of M&G Investment Management in London. He was a founding director of
Resources Investment Trust plc at its launch in January 2002 and CEO of Ocean Resources
Capital Holdings plc. Mr. Hutchins is a member of the FTSE Gold Mines Index Committee.
Dan O’Brien, Chief Financial Officer
Mr. O'Brien is a member of the Institute of Chartered Accountants of British Columbia and
is also Chief Financial Officer for a number of publicly listed exploration companies that
trade on the Toronto Stock Exchange and TSX Venture Exchange. He was previously a
senior manager at a leading Canadian accounting firm where he specialized in the audit
of public companies in the mining and resource sector.
Capital Structure
Share Price (March 10, 2014) ……………………………
$0.12 CAD
Market Capitalization …………………………………………
Insider, Management & Related Ownership ………………...
Shares Issued ……………………………………………….
Warrants Outstanding …………………………………….
Exercise Price: $0.15
Exercise Price: $0.15
Exercise Price: $0.15
Expiry: 02-Apr-15
Expiry: 23-Dec-15
Expiry: 21-Jan-16
Options Outstanding …………………………………….....
Shares Fully Diluted …………………………………………
Contact Information
Corporate Head Office
Unit 1 – 15782 Marine Drive
White Rock, BC, Canada V4B 1E6
Tel: (604) 536 2711 Fax: (604) 536 2788
Shawn Perger, Shareholder Relations
Tel: +1 778 686 0135
Appendix & Endnotes
Comprehensive Study
Standard Tolling is contracting with a number of independent consultants to
complete a Comprehensive Study. It will be overseen by Andrew Neale.
The components of the report will be:
1 Ore Supply incl. Plant Location
2 Testing and Assay Plan
3 Ore Purchase Process with Small Miners
4 Legal, Permitting and Government Relations
5 Plant Design and Construction
6 Operations and Staffing
7 Financial incl. Budgeting and Modeling
Comprehensive Study
GOLD SALES – based on spot price when buying and selling, with deductions to
cover gold price fluctuation risk and exchange rate risk. A spread is created
between Payable Metals (what is paid to the small miner) and Recovered Metals
(what is recovered at the plant and sold).
PROCESSING FEES – adjusted to account for changes in the gold price (referred
to as “price participation”) and includes refining and selling costs.
SALE OF RECOVERABLE METALS – seller is only paid by the toll processor for gold
content. Any recovered silver or base metals accrues to the account of
Standard Tolling.
Location, Location, Location
Standard Tolling has hired a Peru based geological consultant to
complete a two-phase survey to map
1 Small mining activity throughout Peru
2 Ore flow patterns
3 Existing mills, permitted and unpermitted
Must consider transport costs as miners incur the expense
Access to Pan American Highway is key
Upon completion of the survey, the Company will decide on the
best region for a plant and either pursue an existing mill purchase or
proceed with building a new facility
Plant Acquisition Plan