28
A New Company Built For Growth NOVEMBER 2012 TSX:USA OTCQX:USGIF
A New Company Built For Growth
NOVEMBER 2012
TSX:USA
OTCQX:USGIF
Forward Looking Statement – Safe Harbour
Certain information in this presentation may contain forward-looking statements. This information is based on current
expectations that are subject to significant risks, assumptions and uncertainties that are difficult to predict. Potential risks
include: that U.S. Silver & Gold may not achieve anticipated synergies; loss of key personnel; reduction in the anticipated cash
levels; and, not achieving production goals stated. Actual results might differ materially from results suggested in any forward-
looking statements. All statements, other than statements of historical fact, included in the presentation, including, without
limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of
U.S. Silver & Gold, are forward-looking statements. Words such as “expect”, “anticipate”, “estimate”, “may”, “will”, “should”,
“intend”, “believe” and other similar expressions are forward-looking statements. Forward-looking statements are not
guarantees of future results and conditions but rather reflect our current views with respect to future events and are subject to
risks, uncertainties, assumptions and other factors, and actual results and future events could differ materially from those
anticipated in such statements. There can be no assurance that such forward-looking statements will prove to be accurate.
U.S. Silver & Gold assume no obligation to update the forward-looking statements, or to update the reasons why actual results
could differ from those reflected in the forward looking-statements unless and until required by securities laws applicable to the
U.S. Silver & Gold. Additional information identifying risks and uncertainties is contained in filings by U.S. Silver & Gold with
the Canadian securities regulators, which filings are available at www.sedar.com.
An additional Cautionary Note to Investors – In the event that we use certain terms in this presentation, such as “resource”,
“measured resource”, “indicated resource” and “inferred resource”. U.S .investors are cautioned that, while such terms are
recognized and required by Canadian Securities Laws, the United States Securities and Exchange Commission does not
recognize them. Under U.S. standards, mineralization may not be classified as a “reserve” unless the determination has been
made that the mineralization could be economically and legally produced or extracted at the time the reserve determination
has been made. U.S. investors should not assume that all or any part of measured or indicated resources will ever be
converted into reserves. In addition, “inferred resources” have a great amount of uncertainty as to their existence and as to
whether they can be mined legally or economically. Accordingly, information concerning descriptions of mineralization in this
presentation may not be comparable to information made public by companies that are subject to the SEC’s Industry Guide 7.
Mr. Jim Atkinson, Vice President, Exploration and a Qualified Person under Canadian Securities Administrators guidelines has
approved the applicable contents of this presentation.
2
USA – Today
5 M oz Ag by 2015
2.6 - 2.8M oz Silver (Ag)
Established, Long-life Operating Assets
Strong Operating Cash Flow
Significant Ongoing Brownfield Expansion
Dominant Land Position in the Prolific Silver Valley
Favourable Environment for Accretive Acquisitions
Proven Management & Board
20,000- 25,000 oz Gold (Au)
3
Darren Blasutti
President and CEO, Director
• Former SVP Corporate Development and Investor Relations for Barrick Gold, reported to President and CEO
• Led Barrick's strategic development for over 13 years executing over 25 gold mining transactions including Sutton Resources,
Homestake Mining, Placer Dome, consolidation of the Cortez property from Rio Tinto
• Responsible for creation of Barrick Energy to hedge Barrick’s exposure to energy prices
Robert Taylor
COO
• Over 35 years of experience in operations, management, engineering, and exploration for underground and open-pit mines
• Most recently VP and President North American Operations for Kinross Gold where he was responsible for all operations
and exploration
• Former VP, Mine Operations at Stillwater Mining in Montana
Warren Varga
CFO
• Over 17 years of progressive financial leadership experience and brings extensive senior management expertise
• Most recently Senior Director, Corporate Development at Barrick Gold Corporation and former CFO of RX Gold & Silver Inc.
• Member of the Canadian Institute of Chartered Accountants and the Chartered Financial Analyst Institute
Steve Long
SVP, Operations
• Over 33 years experience in mine engineering and management
• Senior manager for underground mining operations for Newmont Mining Corporation, Barrick Gold, Echo Bay and
Homestake Mining
Jim Atkinson
VP, Exploration
• Licensed Professional Geologist, over 40 years of experience in exploration geology
• Completed more than a dozen exploration programs across North America
Daren Dell
VP, Technical Services
• Over 20 years experience and brings extensive knowledge gained from evaluating mining assets around the globe
• Formerly Director, Corporate Development and Director, Technical Evaluations at Barrick Gold. Prior to joining Barrick Gold,
Mr. Dell was at Placer Dome for 15 years
Management Team Overview
4
Board of Directors Overview
Gordon Pridham
Chairman
• Over 30 years of experience as a global finance executive
• Serves on the public company boards of Newalta Corporation and Titanium Corporation, where he is Chairman of the Board
Hugh Agro
Director
• Retired in 2009 as EVP Strategic Development at Kinross Gold, where he oversaw corporate development and exploration
• Held senior positions with Placer Dome Canada and Deustche Bank
John Brock
Director
• Geologist with 40 years experience as an executive for 20 public junior exploration companies. CEO of Pacific Ridge Exploration
• Participated in 12 major mineral deposit discoveries in north and western Canada, Nevada, Mexico, and Ecuador
Alex Davidson
Director
• Retired in 2009 as EVP Exploration and Corporate Development at Barrick Gold
• 2005 AO Dufresue Award to recognize exceptional achievement and distinguished contribution to mining exploration in Canada
• In 2003 was named Prospector of the Year by PDAC for discovery of Alto Chicama in Peru
Louis Dionne
Director
• Former Senior Vice President Underground Operations at Barrick Gold
• Currently a director of Detour Gold Corporation and Aurizon Mining Ltd.
Alan Edwards
Director
• Board of directors for AuRico Gold Inc., Entrée Gold Inc., Copper One Inc., Oracle Mining Corp. and AQM Copper Inc. (Chairman)
• Senior management positions with Frontera Copper, Apex Silver Mines, Kinross, Cyprus Amax and Phelps Dodge
Tom Ryley
Director
• Board of directors for Newalta Corporation, Tribute Resources and Benefuel Inc., where he is Chairman of the Board
• Former Executive Vice President of Suncor Energy, where he worked for 25 years in a variety of roles
Lorie Waisberg
Director
• Former Senior Partner at Goodmans LLP and EVP, Finance and Administration of Co-Steel Inc.
• Accredited with Institute of Corporate Directors and sits on Boards of Tembec and Chemtrade Logistics Inc
Darren Blasutti
Director
• President and CEO
5
Asset Overview
Asset Overview
7 Geographic Concentration Of Assets
Galena Mine Complex – 100%
• High grade Cu-Ag and Pb-Ag
• Produced over 240 M oz Ag historically
• Over 23 M oz Ag in “Proven and Probable”
Reserves and 12 M oz Ag in “Measured and
Indicated” Resources*
• Galena area operating
• Coeur area being re-started
• Lead Zone being assessed for bulk mining
potential
• Excess hoisting and milling capacity
• Experienced work force
Drumlummon Mine – 100%
• High grade Au and Ag
• Produced over 1 M oz Au and 12 M oz Ag
• Extensive mining infrastructure
• Recently acquired adjacent Belmont mine
• Plan to process ore at Galena Complex in 2013 * Descriptions of our mineral deposits are not comparable to similar information reported by U.S. companies which are
subject to the reporting and disclosure requirements under the United States federal securities laws and the rules and
regulations thereunder.
7
Galena Mine Complex
8
Galena and Coeur Areas
• Galena Q3 YTD 2012 production of 1.62 M oz Ag @ $20/ounce from 25
production stopes, includes almost a month of lost time due to shaft and
mill re-habilitation
• Coeur re-development started February 2012 with small production
starting late 2012
- $5 million budgeted in 2012
- Ramping up over the course of 2013, expecting 300,000-500,000 in 2014
- Current M&I resource is 3.3 million oz Ag* with drilling underway
targeting 6.0 million oz Ag by 2014.
• Two separate mills with total 1,500 tons/day capacity, currently operating
at 60%
• Consistent mill recovery rates of 96% for silver-copper and 92% for silver-
lead ores
• Continued exploration success and mine life extension at Silver Vein and
350-370 Vein
- Veins extending at depth
- 2 newly discovered veins in 2012
- Focused on increasing resources near existing infrastructure
• Expect to increase silver reserves and resources in 2012; extending mine
life
* See www.us-silver.com for NI 43-101 Technical Report
Large Reserve and Resource Base
2nd largest
Primary silver
producer in
the U.S.
8
Galena Mine Complex Long Section
9
Western
Coeur Mine
Deep
Coeur Mine Deep
Silver
Vein
Lead Zone
CDA
“GAP”
Argentine
Vein
Controlled by US Silver & Gold
Galena Mine Complex
10 Reducing cash costs in 2013 and beyond
Lead Zone
• Semi-continuous mineralized zone extending from Galena into
Caladay Mine at depth
- Currently 2,800 vertical feet with estimated strike length of
1,200-3,600 feet and apparent widths of 200-400 feet
• Mineralization comprises broad areas of Ag and Pb mineralization often
associated with high grade veins containing both higher and lower grade
areas
- Global grades of 3-4 oz/ton Ag and 3 - 5% Pb
- Higher grades are 30-40 % with continuous widths of 15-30 feet
ranging from 5-10 oz/ton Ag and 5-11% Pb
• Global tonnage target of 60-70 million tons and potential silver
resource of 150-200 million ounces
• Re-habilitation completed and drilling commenced in the 3rd
quarter
• A preliminary plan will be communicated first half of Q1, 2013
• Area is expected to support lower cost bulk mining methods
• Update expected by year-end on economic potential of
mineralized area
10
Additional
Brownfield
Production
Galena Complex Lead Zone (Looking North)
11
1600
2400
4000
3200
5500
4900
Caladay Galena #3 Shaft
E W
Higher grade areas
(block modelled)
Lead Zone
Downdip projection of
lead zone (2013 Target)
2500 0
feet
Drumlummon Mine
12
• Q3 YTD 2012 production of 16,600 oz Au and 280,000 oz Ag
• Q3 YTD 2012 mill recoveries averaged 91% for Au and 84% for Ag
• 2012 Plan estimates 110,000 tons of ore at 0.25 oz/t Au and 4 oz/t Ag
• Labour and cost reductions being rolled out in Q4, 2012
• Plan in place to process Drumlummon ore in Idaho starting in early 2013 to achieve
expected processing synergies
• All current required permits in place under small miners exemption. In process of renewing
appropriate water discharge permit.
• Continued resource expansion and mine life extension success at Drumlummon and the
recently acquired Belmont mine
• 2012 exploration success at the Frankie Vein, Sampson area of the Drumlummon Vein, the
New Years Vein and high grade silver veins in the Neenan area near Bald Butte moly
project
12
Drumlummon Mine – Claims and Property Boundaries
13
Near Term Operating Goals
14 Unlocking value of existing operating assets
5.0M oz Ag by 2015
Focus 2013 and LOM plan on high-grade profitable
ounces versus arbitrary ounce targets
Increase 2013 productivity at the Galena Complex by
moving to a 24/7 shift schedule
Enact labour cost reductions at the Drumlummon site
and begin processing high gold and silver ore at
Galena Complex in early 2013
Deliver Coeur area re-development ramp-up
Prepare preliminary analysis of the Lead Zone for
future bulk mining development
Assess the Belmont property for mid to late
2013 development
USA -Tomorrow
14
Cash (US M)* $ 16.8
Working Capital (US M)* $ 30.1
Current Debt (US M)* $ 7.9
Q3 YTD 2012 Production oz (Ag) 1,903,600
Q3 YTD 2012 Cash costs per oz (Ag)* $ 18.61
Q3 YTD 2012 Production oz (Au)* 16,600
Q3 YTD 2012 Average Recoveries (Ag)* 94.0%
Q3 YTD 2012 Average Recoveries (Au)* 92.0%
Adjusted Q3 Net Income (US M) $3.7
Adjusted Q3 YTD Net Income (US M) $5.3
Key Operating Metrics
15 Corporate office synergies of $3 million/annum achieved in 2013 budget
* As at September 30 , 2012
Share Price Performance & Capital Structure
16
Symbol: USA-T
Shares Basic: 59.9 M
Options : 5.4 M
Warrants: 2.0 M
Fully Diluted: 67.3 M
Recent Price*: $2.00
Market Cap (CDN): $119.5 M
*As of November 20, 2012
$0.00
$0.50
$1.00
$1.50
$2.00
$2.50
$3.00
Aug-12 Sep-12 Sep-12 Oct-12 Oct-12 Nov-12
1,000,000
500,000
0
Vo
lum
e (
TS
X)
Sh
are
Price
250,000
750,000
Strategic Objectives
Strategic Objectives
18 Grow earnings and cash flow per share
Execute on brownfield expansions
Assess exploration, processing and capital
synergies with geographically focused assets
Assess accretive per share acquisition opportunities in North America
Secure line of credit to support future growth initiatives
1
2
3
4
18
Roadmap For
Success
Exceed 5.0 M oz Ag by end of 2015:
EV / M&I Resources* EV / 2013E EBITDA*
Junior Silver Producer Multiples
Increase visibility within investment community
EV
/ M
&I R
eso
urc
es (
US
$/o
z A
gE
q)
EV
/ 2
013E
EB
ITD
A
$7.44
$6.28
$3.44 $3.12
$2.90
$1.80
$0.57
$0.00
$1.00
$2.00
$3.00
$4.00
$5.00
$6.00
$7.00
$8.00
FVI EDR SVM HL USA SPM RVM
Average: $3.78
10.18x
6.61x 6.23x 6.10x
3.93x
2.26x 2.05x
$0.00
$2.00
$4.00
$6.00
$8.00
$10.00
$12.00
SPM EDR HL FVI SVM RVM USA
Average: 5.88x
* As at November 10, 2012 based on Cormark Securities Estimates Market data and other statistical information used in this presentation may be based on independent industry publications, government publications, reports by market research firms, or other published
independent sources. Some data is also based on U.S. Silver & Gold’s good faith estimates that are derived from its review of internal data and information, as well as the sources listed above.
Although U.S. Silver & Gold believes these sources are reliable, U.S. Silver & Gold has not independently verified the information and cannot guarantee its accuracy or completeness.
19
Attractively Positioned Among Peers
Re-Rating Potential
$0
$300
$600
$900
$1,200
0.0 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0
Ente
rpri
se V
alu
e(U
S$ M
M)
2012 Production Guidance (MM oz Ag Eq.)
Mid-Tier Silver Producers
EDR
SVM
FVI
U.S. Silver & Gold
Companies Included: FVI – Fortuna Silver Mines Inc.; SVM – Silvercorp Metals Corp.; EDR – Endeavour Silver Corp. 1Enterprise Value is calculated on a fully-diluted ITM basis 2Silver equivalent based on Cormark research 2012 metal prices of US$1,800/oz Au, US$32.50/oz Ag, US$0.90/lb Pb, US$0.89/lb Zn and US$3.71/lb Cu 3U.S. Silver & Gold production guidance is sum of RX Gold Q1 results annualized and latest U.S. Silver production guidance
U.S. Silver & Gold is attractively positioned amongst its mid-tier silver producer
peers and could experience a significant re-rating
20
Why USA?
We’re built for growth
2nd largest primary silver producer in the U.S.
Strong operating and market fundamentals
Executing on brownfield expansion opportunities
Disciplined strategy for targeted acquisitions
Large land package with significant organic upside
Experienced management team
Catalysts in place for improved valuation
21
Appendix
GALENA COMPLEX LONG SECTION
No
. 3
Sh
aft
Ga
len
a S
haft
Ca
lad
ay S
ha
ft
Co
eu
r S
haft
2400
Sea Level
3700
5500
Call
ah
an
Sh
aft
4900
2800 3000
3400
1200
Silver
Vein
5200
4600
4300
4000
LEGEND
Ag - Pb Veins
Ag - Cu Veins
Major Production Areas
0 2500
feet
1
DRUMLUMMON VEIN LONG SECTION (Looking Northwest)
2
South
Drumlummon
Zone
1600 Level
1400
1200
1000 Level
800
400 Level
1.5+
1.00 - 1.49
0.50 - 0.99
0.20 - 0.49
No significant intersection
Grade x Thickness (oz.ft)
Decline
0 1000
feet
Nine-Hour
Workings
#1 Shaft #2 Shaft
A/B Block
A
B
C
D
Jubilee
Sampson
Pixley 1
Pixley 4
Ore Shoots
A
B
C
D
Existing workings
Ore shoots
Drilling station
Mined stopes
D Block
OPEN
OPEN
Drilled (assays pending)
Jubilee Deep
Target Area
Pixley Deep
Target Area #1 South Deep
Target Area
FRANKIE SECTION
6000’
5900’
5800’
5700’
5600’
5500’
5400’
5300’
5200’
5100’
5000’
400 LEVEL (5430’)
600 LEVEL (5230’)
Veins
Drill holes
Elevations
Frankie Structural Zone
Periodic Veining and Pod
Shaped Ore Zonation
200 Feet Wide
250
feet
0
3
NORTH STAR VEIN LONG SECTION (Looking North)
4
BELMONT LONG SECTION
200 Level
300 Level
400 Level
600 Level
750 Level
2 1
Zone 1
19,000T @
0.81 oz/ton Au
2.66 oz/ton Ag Zone 2
32,300T @
0.42 oz/ton Au
1.45 oz/ton Ag
250
feet
0
*
* *
*
Phase 1 proposed drilling
Phase 2 proposed drilling
Possible Ore
Existing Workings
Historical Mineralization
Mined Out
*
5
(1) Note that these are historical estimates that are not NI43-101 compliant.
A qualified person has not done sufficient work to classify this historical estimate
as current mineral resources or mineral reserves.
(1)
