1st QUARTER 2018 - cdn.ceo.ca.s3-us-west...

Member of the Canadian Investor Protection Fund

Please see page 22-23 for Analyst Certification, Important Information and Legal Disclaimers.

Adventus Zinc Corporation (ADZN-V)

Ascot Resources Ltd. (AOT-V)

Aurion Resources Ltd. (AU-V)

Desert Lion Energy (DLI-V)

Fireweed Zinc Ltd. (FWZ-V)

IDM Mining Ltd. (IDM-V)

Mawson Resources Limited (MAW-T)

Northern Empire Resources Corp. (NM-V)

Oklo Resources Limited (OKU-ASX)

Osisko Metals Incorporated (OM-V)

Pan Global Resources Inc. (PGZ-V)

Regulus Resources Inc. (REG-V)

Reunion Gold Corporation (RGD-V)

Sable Resources Ltd. (SAE-V)

Steppe Gold Ltd. (Private)

Trilogy Metals Inc. (TMQ-T)

Xanadu Mines Limited (XAM-ASX)

1st QUARTER 2018

Member of the Canadian Investor Protection Fund

Please see pages 27 to 31 for Analyst Certification, Rating Structure, and Important Information and Legal Disclaimers.

Haywood’s Junior Exploration Q1/18 Report 2

Haywood Mining [email protected] Vol. 14, No. 1, Feb 28, 2018

Colin Healey, [email protected]

Geordie Mark, PhD, [email protected] Kerry Smith, MBA, [email protected]

Mick Carew, PhD, MAusIMM [email protected]

Pierre Vaillancourt [email protected]

Aazan [email protected] Alvin Islam, GIT [email protected]

Danny Ochoa, PEng, [email protected] Emma Boggio, MSA, CPA, [email protected]

Douglas Ibbitson, [email protected]

In This Issue

Revising Our Watch List

Metal Prices and Performance

Companies to Watch

Precious Metals

Ascot Resources Ltd. (AOT-V)

Aurion Resources Ltd. (AU-V)

IDM Mining Ltd. (IDM-V)

Mawson Resources Limited (MAW-T)

Northern Empire Resources Corp. (NM-V)

Oklo Resources Limited (OKU-ASX)

Reunion Gold Corporation (RGD-V)

Sable Resources Ltd. (SAE-V)

Steppe Gold Ltd. (Private)

Base Metals

Adventus Zinc Corporation (ADZN-V)

Fireweed Zinc Ltd. (FWZ-V)

Osisko Metals Incorporated (OM-V)

Pan Global Resources Inc. (PGZ-V)

Regulus Resources Inc. (REG-V)

Trilogy Metals Inc. (TMQ-T)

Xanadu Mines Limited (XAM-ASX)

Other

Desert Lion Energy (DLI-V)

Gold

Base Metals

Other

Junior Exploration Q1/18 Report

Companies: Equity Performance

Source: Capital IQ and Haywood Securities

Metal Prices: Gold, Silver, and Copper Performance

Source: Bloomberg

Indices: S&P/TSX Composite Index and S&P/TSX Venture Composite Index

Source: Capital IQ

ALG, 4% AOT, 0%

AU, -56%

FWZ, 160%

GTT, -20%

HAN, 4%

IDM, -18%

KNT, -6%

KTN, 0%

MAW, 48%

NVO, -54%

OKU, 58%

ORM, -26%

PRB, -7%

QMX, 2%

REG, -4%

RGD, 13%

RUP, 18%

XAM, -10%

-70%

-20%

30%

80%

130%

180%

Pe

rio

d R

etu

rn

0.90

0.95

1.00

1.05

1.10

No

v-0

9

No

v-1

8

No

v-2

7

De

c-06

De

c-15

De

c-24

Jan

-02

Jan

-11

Jan

-20

Jan

-29

Feb

-07

Feb

-16

Feb

-25

Ind

exe

d P

erf

orm

ance

Gold Silver Copper

780

820

860

900

14,800

15,050

15,300

15,550

15,800

16,050

16,300

No

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9

No

v-1

8

No

v-2

7

De

c-06

De

c-15

De

c-24

Jan

-02

Jan

-11

Jan

-20

Jan

-29

Feb

-07

Feb

-16

Feb

-25

TSX

Ve

ntu

re C

om

po

site

TSX

Co

mp

osi

te

TSX TSXV



Contents Revising Our Watch List ............................................................................................................................................................... 4

Q4/17 Junior Exploration Constituent Performance Table .......................................................................................................... 7

Completed Equity Financings for 2015 to 2018 Table ............................................................................................................... 8

Junior Exploration Q1/18 Report Table ..................................................................................................................................... 8

Metal Price Performance Graphs ............................................................................................................................................... 9

Q1/18 Junior Exploration Constituent Summaries ..................................................................................................................... 10

Adventus Zinc Corporation (ADZN-V) ............................................................................................................................... 10

Ascot Resources Ltd. (AOT-V) ........................................................................................................................................... 11

Aurion Resources Ltd. (AU-V) ........................................................................................................................................... 12

Desert Lion Energy (DLI-V) ................................................................................................................................................ 13

Fireweed Zinc Ltd. (FWZ-V) ............................................................................................................................................... 14

IDM Mining Ltd. (IDM-V) ................................................................................................................................................... 15

Mawson Resources Limited (MAW-T) .............................................................................................................................. 16

Northern Empire Resources Corp. (NM-V) ....................................................................................................................... 17

Oklo Resources Limited (OKU-ASX) .................................................................................................................................. 18

Osisko Metals Incorporated (OM-V) ................................................................................................................................. 19

Pan Global Resources Inc. (PGZ-V) .................................................................................................................................... 20

Regulus Resources Inc. (REG-V) ........................................................................................................................................ 21

Reunion Gold Corporation (RGD-V) .................................................................................................................................. 22

Sable Resources Ltd. (SAE-V) ............................................................................................................................................ 23

Steppe Gold Ltd. (Private) ................................................................................................................................................. 24

Trilogy Metals Inc. (TMQ-T) .............................................................................................................................................. 25

Xanadu Mines Limited (XAM-ASX) .................................................................................................................................... 26

Haywood Analyst Certification, Rating Structure, and Important Information and Legal Disclaimers ................................ 27



Revising Our Watch List

Market Volatility the Story of 2018 So Far: Global equities saw a synchronous rise in 2017, despite mounting concerns that a correction was due. The surge in valuations was reflected in the major U.S. indices, with both the Nasdaq Composite and the Dow Jones Industrial Average rising 24% and 27% in 2017, respectively. This rise proceeded with minimal volatility, as the CBOE Volatility Index (VIX) rarely climbed above 12, despite continued geopolitical concerns over North Korea and ongoing controversial headlines surrounding the Trump administration. It was a different story for Canadian markets, with the S&P/TSX Composite Index declining for much of the first three quarters of 2017, before moving up ~8% from September 11th to the end of 2017. Global mining stocks were a mixed bag during this period, although large-cap miners enjoyed a surge from early October, with the S&P/TSX Global Mining Index soaring 16% in a little over a month. The upswing was largely attributable to base and diversified miners, as the S&P/TSX Base Metals Index rose 23% during the same period. In contrast, the S&P/TSX Global Gold Index rose 9% (more detail on commodity prices provided below). So far, the new year has been a different story. The end of January saw a sharp decline in global equities, with the Dow (down 10%), Nasdaq (down 9%) and TSX Composite (down 6%) all falling sharply between January 29th and February 8th. Mining stocks weren’t spared either, with the S&P/TSX Global Mining Index and VanEck Vectors Junior Gold Miners ETF (GDJX) both falling 7%. The past 2 weeks have seen the major indices recover some of the losses endured, as volatility reverted toward mean levels, with the VIX sitting at ~16 as of publication, below its long-term average of ~20. Additionally, the bearish trend in the U.S. dollar index (down 2% YTD) has bullish implications for commodities and we anticipate junior mining equities will be particularly strong beneficiaries from a weaker dollar going forward. With this context in mind, we break down the performance of commodity prices and their associated equities, and follow with our revised watch list for the next three months of 2018.

Gold Equities Struggle Despite Robust Gold Price: Perhaps unsurprising given the performance of global stocks since the beginning of the year, the gold price has held well above the $1,300 level thus far in 2018. The yellow metal hit a high of $1,358 in late January, before following global equities and commodity prices downward, but by only 3%. This slide contrasts with the 10% fall in the S&P/TSX Global Gold Index and the 11% fall in the GDXJ described above. The increased market volatility highlighted by the VIX during this time likely helped the gold price given its haven status. Furthermore, inflation figures from the United States were higher than expected as the heated U.S. market begins to impact consumer prices, with the Consumer Price Index jumping 0.5% in January. While inflation remains historically low at 2.1%, the unexpected jump may prompt further rate hikes by the Federal Reserve. The price of gold rose 4% since our last publication, finishing at US$1,333 per ounce. Silver prices were relatively more volatile compared with gold, hitting a high of US$17.7 per ounce in late January, before falling to $16.35 per ounce on February 9 (a 7% drop). The price of silver finished lower since our last publication (down 2%) at US$16.65 per ounce. Palladium prices remained above platinum, with the latter overtaking the former in September for the first time since 2001. Given the performance of platinum (up 7%) and palladium (up 5%) since our last publication, it appears that platinum is closing the gap.

Base Metals Enjoy Another Strong Quarter in Q4/17: All base metals were up in the fourth quarter of 2017. London Metal Exchange (LME) nickel was the most positively impacted metal, up 22% quarter over quarter (QoQ), followed by copper and zinc, up 12% and 4% QoQ respectively. The average Q4/17 zinc price was US$1.47/lb versus US$1.34/lb in Q3/17; the average Q4/17 copper price was US$3.09/lb versus US$2.88/lb in Q3/17, and the average Q4/17 nickel price was US$5.26/lb versus US$4.78/lb in Q3/17. The LMEX Index finished the quarter at 3,418.9, up 9.4% QoQ. In 2017, copper, zinc, and nickel were up 30%, 30%, and 28% respectively. LME inventories were all down QoQ, led by copper (-32%), followed by zinc and nickel at -29% and -4% QoQ respectively. Excluding bonded warehouse inventories, we calculate the current days of consumption at 11.1 for copper and 6.1 for zinc. Deficits continue to drive the zinc price as a result of recent mine closures and slow supply response, while demand has remained steady. We forecast continued tightness in the zinc market this year, as global inventories continue to decline, but look for supply to gradually recover in 2019. The long-term copper



price outlook is positive, despite surpluses anticipated in the next 2 years. In the near term, China’s gross domestic product (GDP) and growth in industrial output are expected to support demand. Longer term, surging growth in electric vehicle production is expected to bolster copper demand, and could drive a future nickel supply shortfall. While nickel inventories remain high with 71 days of consumption, we estimate demand could increase by as much as 50% by 2030, to 3 million tonnes. An additional 1.2 million tonnes of nickel would need to be produced annually to meet the expected 2030 demand.

Slow Start to 2018 for Uranium: The uranium sector has had an unexciting start to 2018, although market sentiment has improved following the production cuts announced by Cameco and Kazatomprom last year. Spot prices have traded down to the ~US$21/lb of U3O8 range from ~US$24/lb, while the long-term price remains unchanged at US$30.00/lb. Contract activity has declined, although volume is up, with 73.1 million pounds of U3O8 over 35 contracts awarded in 2017, compared to 65.8 million pounds over 56 contracts in 2016. Despite this change, the daily Broker Average Price (BAP) and the Fund Implied Price (FIP) have been making greater highs and deeper lows since hitting a low of ~US$18/lb in November 2016, implying a bullish trend we believe is still in its very early stages. Last year marked the first major production cut since the Fukushima disaster in 2011, with Kazatomprom committing to a production deferral of ~10.4 million pounds in 2018 and a further ~18.2 million pounds in 2019 and 2020 each. Cameco also announced plans to suspend operations at its McArthur River mine for most of 2018, which will take ~15 million pounds offline. We anticipate that a sustained increase in the commodity price will be necessary to restart operations. UxC estimates global production of 139 million pounds in 2018, representing a ~9% annual decline. However, 2019 and 2020 are estimated to see global production rise as CGN’s Husab project in Namibia ramps-up. Such a rise should drive spot price volatility over the next 2 years as the global reactor fleet expands to absorb excess supply. We continue to expect the market to balance within the 2020 to 2022 time horizon.

Lithium: After a stellar 2017 that saw benchmark lithium prices gain >30%, and our broad group of more than 50 lithium equities gain >120% on average, the equities have since exhibited a weaker start to 2018, with the same group falling around 10%. Momentum in lithium and the battery metals space in general, continues to be supported by the disruptive demand force of the anticipated electric vehicle revolution expected to be spearheaded by China, but with wide adoption globally as well. Elevated lithium prices have led to substantial investment in exploration and development globally, with a multitude of green and brown -fields projects defining new lithium resources and postulating the associated economics for both hard rock and brine assets, generally outlining Lithium Carbonate Equivalent (LCE) production costs well below current benchmark prices, which could temper or stabilize lithium prices near-term. That said, we believe the battery metals will continue to remain at the forefront of investors’ minds in coming years as the demand/supply profile crystalizes with maturity. In that light, we continue to search for unique opportunities in the space backed by strong management teams with clear strategies for execution to advance projects which are hallmarked by significant near-term catalysts that we believe will have a positive impact on the stock.

Junior Explorers: Late 2017 Optimism Countered Early 2018 Losses: After Junior mining equities fell during the first half of 2017, the latter half of the year up to our last report in November saw little for investors to get excited about, with the S&P/TSX Venture Composite Index (TSXV) climbing 5% over 4 months and the GDXJ unchanged. Junior miners and explorers had a late-year surge, with the TSXV and GDXJ surging 16% and 6% in just over a month. However, the positive sentiment for Junior explorers was short-lived as they followed the decline in general markets, losing much of the gains made a few weeks prior. February has seen Junior equity prices vary considerably as general market volatility rose. Despite the performance of Junior explorers in the markets, there is reason for some optimism, as equity raises for Canadian-listed miners and explorers went up between November and January ($2.3 billion) compared with the period between August and October ($1.6 billion). Some of the more notable financings since our last report include Endeavour Mining Corp. (EDV-T; $370 million [Buy Rating, $32.00 Target Price]), First Majestic Silver Corp. (FR-T; $184 million [Not Rated]), and Cobalt 27 Capital Corp. (KBLT-V; $85 million [Buy Rating, $15.00 Target Price]).



Another reason for optimism is the number of mergers and acquisitions (M&A) over the past quarter. As illustrated by S&P Global Market Intelligence and its December Quarter 2017 report, while the total value of M&A mining activity globally for Q4/17 was lower compared to Q3/17 ($3.2 billion versus $4.9 billion), the number was higher (47 versus 40). Three significant M&As included Sibanye Gold’s (SGL-JSE, Not Rated) acquisition of Lonmin Plc. for US$327 million, Centerra Gold’s (CG-T, Not Rated) acquisition of AuRico Metals Inc. for US$238 million, and Agnico Eagle’s (AEM-T, Not Rated) acquisition of Kirkland Lake for US$162 million.

The mixed performance of Junior mining equities is reflective of the performance of the companies featured in our last Junior Exploration Report. Of those 19 companies, only 8 registered positive returns. Of the 8 companies, the highest performer was a base metals explorer despite the list of 19 companies including only 4 base metals-focused names. The 3 highlight positive performers from our watch list are as follows:

▪ Fireweed Zinc Ltd. (FWZ-V; ↑160%): Following the Company’s updated mineral resource estimate from its Macmillan Pass lead-zinc project in the Yukon Territory

▪ Oklo Resources Limited (OKU-ASX; ↑58%): Currently drilling at its Dandoko project in southwestern Mali

▪ Mawson Resources Limited (MAW-T; ↑48%): Exploring its Rompas-Rajapalot project in Finland and recently announcing a C$8.1 million strategic investment by Goldcorp Inc. (G-T, Not Rated).

A summary of each company’s performance since our last publication, in addition to selected commodities and indices, is given in the table below.

We have reviewed our list of companies for Q1/18, adding six new names to our watch list: Adventus Zinc Corporation (ADZN-V), Northern Empire Resources Corp. (NM-V), Osisko Metals Incorporated (OM-V), Pan Global Resources Inc. (PGZ-V), Sable Resources Ltd. (SAE-V), and Trilogy Metals Inc (TMQ-T). We note that one criterion for companies to be featured in our Junior Exploration Q1/18 Report is that we believe they can deliver news flow during the next quarter. We constantly assess companies not featured, and the composition of companies presented in future editions will be reviewed based on the same criteria.



Q4/17 Junior Exploration Constituent Performance

Source: Capital IQ, Bloomberg, and Haywood Securities

9-Nov-17 26-Feb-18

TSXV:ALG Algold Resources Ltd. Pierre Vaillancourt 0.14 0.15 4% Au

TSXV:AOT Ascot Resources Ltd. Mick Carew 1.35 1.35 0% Au

TSXV:AU Aurion Resources Ltd. Mick Carew 2.28 1.00 -56% Au

TSXV:FWZ Fireweed Zinc Ltd. Mick Carew 0.67 1.74 160% Pb/Zn/Ag

TSXV:GTT GT Gold Corp. Mick Carew 0.76 0.61 -20% Au

TSXV:HAN Hannan Metals Ltd. Geordie Mark 0.28 0.29 4% Pb/Zn/Ag/Cu

TSXV:IDM IDM Mining Ltd. Mick Carew 0.11 0.09 -18% Au

TSXV:KNT K92 Mining Inc. Mick Carew 0.50 0.47 -6% Au

TSXV:KTN Kootenay Silver Inc Colin Healey 0.19 0.19 0% Ag

TSX:MAW Mawson Resources Limited Geordie Mark 0.40 0.59 48% Au

TSXV:NVO Novo Resources Corp. Mick Carew 8.10 3.74 -54% Au

ASX:OKU Oklo Resources Limited Geordie Mark 0.26 0.41 58% Au

TSXV:ORM Orford Mining Corporation Pierre Vaillancourt 0.37 0.28 -26% Au

TSXV:PRB Probe Metals Inc. Pierre Vaillancourt 1.40 1.30 -7% Au

TSXV:QMX QMX Gold Corporation Pierre Vaillancourt 0.23 0.23 2% Au

TSXV:REG Regulus Resources Inc. Mick Carew 2.14 2.05 -4% Au/Ag/Cu

TSXV:RGD Reunion Gold Corporation Kerry Smith 0.12 0.14 13% Au

TSXV:RUP Rupert Resources Ltd. Mick Carew 0.91 1.07 18% Au

ASX:XAM Xanadu Mines Limited Mick Carew 0.29 0.26 -10% Au/Cu

Commodities & Indicies

Gold (US$/oz) 1,285 1,333 4%

Silver (US$/oz) 17.00 16.65 -2%

Copper (US$/lb) 3.07 3.21 4%

Uranium (US$/lb) 20.20 23.38 16%

Nickel (US$/lb) 5.56 6.30 13%

S&P/TSX Composite Index 16,082 15,715 -2%

S&P/TSX Venture Composite Index 793.20 826.87 4%

S&P/TSX Global Mining Index 57.29 61.13 7%

Note: Price performance based on November 9, 2017-February 26, 2018

AnalystCommodity

FocusTicker Company

Price Period

Return



Completed Equity Financings for 2015 to 2018

*Excluding transactions > $1 billion


Junior Exploration Q1/18 Report

Source: Company Reports, Capital IQ, and Haywood Securities

Analyst Company Ticker MCap Cash Ent Value

Last

Published 2018 YTD Region Commodity

Mick Carew Adventus Zinc Corporation TSXV:ADZN $52.4M $14.0M $38M -9% 21% Ecuador, Ireland, Newfoundland Au/Ag/Zn/Pb/Cu

Mick Carew Ascot Resources Ltd. TSXV:AOT $199.6M $16.5M $183M 0% -11% British Columbia Au

Mick Carew Aurion Resources Ltd. TSXV:AU $69.2M $20.0M $49M -56% -54% Finland Au

Colin Healey Desert Lion Energy Inc. TSXV:DLI $92.6M $11.1M $82M N/A N/A Namibia Li

Mick Carew Fireweed Zinc Ltd. TSXV:FWZ $46.0M $14.0M $32M 160% 46% Yukon Territory Pb/Zn/Ag

Mick Carew IDM Mining Ltd. TSXV:IDM $35.8M $6.0M $30M -18% -14% British Columbia Au

Geordie Mark Mawson Resources Limited TSX:MAW $83.5M $16.0M $68M 48% 31% Finland Au

Mick Carew Northern Empire Resources Corp. TSXV:NM $90.4M $18.0M $72M 46% 48% Nevada Au

Geordie Mark Oklo Resources Limited ASX:OKU $125.6M $11.0M $115M 58% 1% Western Australia Au

Pierre Vaillancourt Osisko Metals Incorporated TSXV:OM $50.9M $38.0M $13M -31% -13% New Brunswick, Quebec Zn/Pb/Cu

Mick Carew Pan Global Resources Inc. TSXV:PGZ $19.8M $1.8M $18M 47% 39% Spain Cu/Au/Zn

Mick Carew Regulus Resources Inc. TSXV:REG $152.2M $6.0M $146M -4% 11% Peru Au/Ag/Cu

Kerry Smith Reunion Gold Corporation TSXV:RGD $43.2M $20.0M $23M 13% -13% South America Au

Mick Carew Sable Resources Ltd. TSXV:SAE $19.3M $3.7M $16M -8% 0% Argentina, Mexico, British Columbia Au/Ag

Pierre Vaillancourt Steppe Gold Ltd. Mongolia Au/Ag

Pierre Vaillancourt Trilogy Metals Inc. TSX:TMQ $197.7M $15.4M $182M 56% 37% Alaska Au/Ag/Zn/Pb/Cu

Mick Carew Xanadu Mines Limited ASX:XAM $153.1M $11.2M $142M -10% -7% Mongolia Au/Cu

Private



Metal Price Performance (year on year)

Source: Bloomberg

15

16

16

17

17

18

18

19

19

1,200

1,220

1,240

1,260

1,280

1,300

1,320

1,340

1,360

Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb

US$

/oz

Ag

US$

/oz

Au

Gold & Silver

Gold Silver

750

800

850

900

950

1,000

1,050

1,100

1,150

850

950

1,050


US$

/oz

Pd

US$

/oz

Pt

Platinum & Palladium

Platinum Palladium

4.00

4.50

5.00

5.50

6.00

6.50

7.00

2.10

2.30

2.50

2.70

2.90

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3.30


US$

/lb

Ni

US$

/lb

Cu

Copper & Nickel

Copper Nickel

1.10

1.20

1.30

1.40

1.50

1.60

1.70

0.90

1.00

1.10

1.20

1.30


US$

/lb

Zn

US$

/lb

Pb

Lead & Zinc

Lead Zinc

50

55

60

65

70

75

80

85

90

95


US$

/t 6

2%

Fin

es

CFR

Ch

ina

Iron Ore

Iron Ore

19

20

21

22

23

24

25

26

27


US$

/lb

U3

O8

Uranium

Uranium

14,900

15,100

15,300

15,500

15,700

15,900

16,100

16,300

16,500


Ind

ex

TSX

TSX

740

760

780

800

820

840

860

880

900

920

940


Ind

ex

TSXV

TSXV




Adventus Zinc Corporation (ADZN-V, $0.92) Company Description: Adventus Zinc is an exploration company focused on the Curipamba copper-lead-zinc project in Ecuador, in addition to a portfolio of other projects in Ireland and Newfoundland. The Company completed an initial public offering in February 2017 and has a strong investor base, including Altius Minerals Corp. (ALS-T, Not Rated), Greenstone Minerals Corp., and Resource Capital Funds, a private equity fund. Together they own 61% of the Company, while management and Insiders own 4%. Adventus is leveraging off the recent expansion of investment activity in Ecuador prompted by increased political stability and a stable tax regime, and the recent signing of the EU’s Free Trade Agreement. In 2017, some of the world’s largest mining companies, including BHP Billiton (BHP-ASX, Not Rated), Lundin Gold (LUG-T, Buy Rating, $7.75 Target Price), and First Quantum Minerals (FM-T, Not Rated), invested ~$1 billion in the country. The Company has a tight share structure, with 56 million shares outstanding and a cash position of C$14 million following a financing in December 2017. Ownership: In late 2017, Adventus entered into an earn-in agreement whereby it can earn 75% of the Curipamba zinc project for $25 million over 5 years from Salazar Resources (SRL-V, Not Rated). Adventus will be the lead operator of the project. Flagship Project: Curipamba Copper-Lead-Zinc Project ▪ The Curipamba project hosts the El Domo deposit, which contains a National

Instrument 43-101 compliant global resource of 11.4 million tonnes (Mt) grading 1.54% copper, 2.21% zinc, 0.24% lead, 2.05 grams per tonne (g/t) gold, and 43 g/t silver, with 82% of the resource classified as Indicated. To date, 45,000 metres have been drilled on the property, which includes a 10,000-metre program last year that had such highlights as 6.87 metres grading 7.42% copper, 1.01% zinc, 1.47 g/t gold, and 10.9 g/t silver. El Domo is flat-lying and close to surface and remains open to the northeast and at depth. Currently, the average drill spacing is 50 metres, and a combination of step-out and infill drilling is planned for 2018. Several highly prospective exploration projects surround the El Domo resource; the Sesmo, Cade/Cade Sur, and Roble targets have historical channel-sample results, including 185.5 g/t gold and 1,055 g/t silver over 2 metres at Sesmo, and 15.12 g/t gold, 258 g/t silver, 0.56% copper, 3.25% lead, and 5.25% zinc over 3.6 metres at Roble. Drilling and geophysics are planned to follow-up on these historical channel samples in 2018.

Other projects: Ireland and Newfoundland ▪ While Curipamba remains the Company’s primary focus, Adventus also has a portfolio

of projects in Ireland (~192,000 hectares) and Newfoundland, Canada (~37,000 hectares). The Irish portfolio is headlined by the Rathkeale zinc-lead project, which covers ~24,000 hectares and is situated along the trend that hosts Glencore’s (GLEN-LON, Not Rated) Tobermalug deposit. In Newfoundland, Adventus holds ground that surrounds the historical Buchans camp of deposits, which produced 16.2 Mt grading 14.5% zinc, 7.56% lead, 1.33% copper, 126 g/t zinc, and 1.37 g/t gold. The Company expects to complete further exploration work, with the possibility of a small drill program at Rathkeale and Newfoundland (~10,000 metres). Adventus aims to develop these projects to drill-ready status and may consider strategic partnerships to move the projects forward.

Current Work Program: Curipamba: US$7 million budget / 20,000 metres, two drill rigs focused on infill and step-out drilling at the El Domo deposit. Metallurgical studies. Airborne and ground geophysics surveys will also be completed in H1/18. Newfoundland and Ireland: potential for ~10,000 metres of drilling at each project. The Company will also continue to look for other acquisitions that meet its criteria. Resources/Reserves (100%): 8.8 Mt grading 1.62% copper, 2.42% zinc, 0.27% lead, 2.34 g/t gold, and 48 g/t silver (Indicated), and 2.6 Mt grading 1.29% copper, 1.51% zinc, 0.14% lead, 1.09 g/t gold, and 29 g/t silver (Inferred) Financial Position: Cash: ~$14 million in cash (February 2018); Last Financing: $10 million. Private placement of 11.3 million common shares at C$0.88 per share.

0.0

1.0

$0.00

$0.20

$0.40

$0.60

$0.80

$1.00

$1.20

$1.40

Feb

-17

Mar-

17

Apr-

17

May-

17

Jun-1

7

Jul-17

Aug-1

7

Sep-1

7

Oct-17

Nov-

17

Dec-

17

Jan-1

8

Volu

me (

M)

Adventus Zinc Corporation (TSXV:ADZN)

Price Daily Volume

50-day MA 100-day MA

TSXV:ADZN

Shares I/O (M) 56.9

Shares F/D (M) 61.7

Market Cap (C$M) 52.4

52 Week High/Low $1.15 / $0.57

3 Month Performance -6.5%

Current Cash Est. (C$M) 14.0

Debt 0.0

Enterprise Value (C$M) 38.4

Estimated Burn (2018) (C$M) 12.0

Company CEO Christian Kargl-Simard

Reserve / Resource (attrib)

Grade In Situ

Gold 2.1 g/t 0.56 Moz

Silver 43.4 g/t 0.01 Moz

Zinc 2.21% 415.68 Mlb

Lead 0.24% 44.97 Mlb

Copper 1.54% 290.51 Mlb

Catalysts

Adventus Zinc Corporation

• Commenced 2018 exploration program at

Curipamba, targeting new VMS and goldsilver

systems with two drill rigs

• Airborne and ground geophysics surveys H1 2018

• In-fill drilling, metallurgical testing of El Domo

deposit, preparations for future engineering studies

2018




Ascot Resources Ltd. (AOT-V, $1.35) Company Description: Ascot Resources is a gold exploration company focusing on its 100% owned Premier and Dilworth properties within the Golden Triangle of northern British Columbia. Both projects are located approximately 20 km south of the town of Stewart. Both Premier and Dilworth were historical gold-producing mines, with Premier producing ~2.1 Moz of gold and 44.9 Moz of silver. The projects are accessible by road, serviced by 25 kV power, and are located approximately 25km from the Stewart, B.C. port concentrator. Some of the historical mine infrastructure also remains. The Company is cashed-up with ~$16.5 million (December 2017). Ascot completed its 2017 program drilling 379 holes (118,856 metres). The underground drilling has been deferred until further engineering and geological work has been completed. Newely appointed CEO Derek White previously worked with several Major miners, including BHP Billiton (BHP-ASX, Not Rated). Exploration Projects (100%-owned) ▪ Premier Gold Project: The Premier mine area is Ascot’s flagship project, where more

than 290,000 metres in 1,300 holes have been drilled since 2007. A historical gold producer, Premier is a high-grade vein-controlled gold deposit occurring in multiple zones over a 1 km2 area with bonanza grades, including 14,304 g/t gold and 6,830 g/t silver (in hole P14-707). Premier is divided into three zones: the Premier Main and West Zone (where most of the historical production is from), the Northern Lights and BC Silver Zone, and the Sebakwe Zone. The deposit has a “bowl” shape to the south; in cross section, mineralization occurs as shallow to moderately plunging corridors that begin from surface and have been defined to a depth of > 400 metres. While the Premier Main and West Zones have been the key focus for much of Ascot’s tenure, drilling has recently been concentrated on the Northern Lights and BC Silver Zone. In 2017, Ascot identified two subzones, Prew and Ben, in the Northern Lights area.

▪ Dilworth/Martha Ellen/Big Missouri: Together, the Dilworth/Martha Ellen/Big Missouri deposits have a combined National Instrument 43-101 compliant resource of 4 Moz of gold grading 0.73 g/t and 40 Moz of silver grading 7 g/t silver (at a 0.30 g/t gold cutoff). We note that at a 1.00 g/t gold cutoff, the deposits return a global resource of 2 Moz grading 1.72 g/t gold and 14 Moz grading 12.4 g/t silver. Drilling and the subsequent resource estimate, released in 2014, were focused on large-tonnage, lower grade material that was the target of bigger gold producers at the time. The three deposits that compose the global resource described above occur along a north-northwest trend over 6 kilometres, with each deposit separated by ~1 kilometre of underexplored ground. It is Ascot’s view that these underexplored zones provide considerable resource upside.

▪ Regional Exploration: Beyond Premier and Dilworth/Martha Ellen/Big Missouri, there are other underexplored and untested gold-in-soil and rock-chip anomalies elsewhere within the Company’s land package that will be a focus for future exploration.

▪ Other Projects: Ascot also has two non-gold assets: Swamp Point (aggregate mine) and the Mount Margaret copper project in Washington State. Mount Margaret has been stalled by permitting issues, but the Company received draft recommendations for additional drilling permits. Final permits are still pending.

Current Work Program: No budget had been allocated for 2018 at the time of publication. However, the Company expects to drill test higher grade zones at Big Missouri, Unicorn, and Martha Ellen, as well as several exploration targets, including Indian, Sebakwe, and Power/Hope. A maiden resource estimate is being prepared for Premier and Northern Lights. Resources/Reserves (100%): Global (pit constrained) resource (Indicated and Inferred) of 3.97 Moz of gold grading 0.72 g/t and 39.02 Moz of silver grading 7.02 g/t silver. Financial Position: Cash: ~$16.5 million in cash (December 2017) Last Financing: In December 2016, Ascot closed a private placement of 4 million flow-through common shares at $2.25 per flow-through share for gross proceeds of $9 million.

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Ascot Resources Ltd. (TSXV:AOT)

Price Daily Volume


TSXV:AOT

Shares I/O (M) 147.6

Shares F/D (M) 169.6


52 Week High/Low $2.10 / $1.26



Debt 0.0


Company CEO Derek White


Grade In Situ


EV/oz Au (US$) $58

Peer Average EV/oz Au (US$) $62


Catalysts

Ascot Resources Ltd.

• Finalized drill plan to be announced in conjunction

with the new NI 43-101 resource Q1 2018




Aurion Resources Ltd. (AU-V, $1.00) Company Description: Aurion is a gold exploration company focused on the highly prospective Central Lapland Greenstone Belt (CLGB) in Finland. The CLGB exhibits characteristics that are similar to the prolific Abitibi Greenstone Belt in Canada and is host to Agnico Eagle’s Kittila, Europe’s largest gold mine. The Company controls ~200,000 hectares of highly prospective exploration tenements, including its flagship, the 100% owned Risti gold project, and Kutuvuomo, a joint venture with B2Gold (BTO-T, Buy Rating, $5.00 Target Price). The Aamurusko prospect is the Company’s primary focus following the discovery of high-grade gold-mineralized boulders in 2016, with ~717 samples that have returned an average grade of 32.97 g/t gold over an area 1.4 kilometres by 1 kilometre. Following a strategic investment by Kinross ($16 million), Aurion completed a maiden drill program. Key institutional investors in the Company include RBC, Mackenzie, and Sentry. Flagship 100% Owned Project: ▪ Risti Gold Project: Risti covers a 15,000-hectare area of untested ground containing

several high-grade boulder fields. While the Aamurusko boulder field has been the focus after an area 1.0 by 0.5 kilometre returned the high-grade rock samples highlighted above, two other boulder fields have also been discovered. The K2 prospect is located ~1.8 kilometres to the southwest of Aamurusko, where eight rock samples returned > 1.0 g/t gold, including highs of 12.15 g/t gold and 166.0 g/t gold. At Notches, seven samples returned > 10 g/t gold, with two samples returning 420.0 g/t gold and 622 g/t. Aurion completed a maiden drill program comprising 21 drill holes in December. Encouragingly, drilling intersected significant intervals of quartz veins and vein stockwork zones. Narrow zones of gold mineralization (1.0 metre grading 4.9 g/t gold and 0.5 metre grading 6.8 g/t gold) are associated with crack-seal textures like those observed in the surface boulders, providing further evidence that the high-grade quartz boulders are locally derived. Aurion commenced a follow-up 2,000-metre drill program in January, which is expected to be completed before PDAC.

B2Gold Joint-Venture Projects: ▪ Kutuvuoma represents Aurion’s most advanced project and is a joint venture with B2

Gold. Aurion is free-carried through to feasibility study (Residual 25% interest in the project). The property hosts shear-hosted quartz-sulphide vein breccia mineralization that covers a 5-kilometre mineralized trend defined by shallow drilling. Highlight results to date include 11.4 g/t gold over 13.3 metres. A small open pit remains from some modest gold production where ore was transported to Pahtavaara, now owned by Rupert Resources (RUP-V; Not Rated), for processing. However, the waste piles at Kutuvuoma contain high-grade rocks, including visible gold, suggesting the operator at the time had trouble with the mining and processing of the ore. Recent metallurgical test work averaged 84% recovery from gravity separation.

▪ Ahvenjarvi is an early stage exploration target that exhibits mineralization characteristics like the Kutuvuoma project to the east. The property is a shear-zone-hosted quartz-tourmaline sulphide vein breccia, which covers an area approximately 2 kilometres by 2.3 kilometres, with multiple gold showings and vein trends.

Other projects: ▪ The Company also has a 100% interest in the Ruoppa and Sila projects. The Ruoppa

project is characterized by quartz-sulphide vein stockwork in dike swarms that covers an area approximately 2.3 kilometres by 1 kilometre, with grades up to 30.7 g/t gold. The Company announced earlier this month that it has signed a non-binding Letter of Intent with Kinross Gold Corp. (K-T, Not Rated) giving Kinross the right to earn up to 70% of the Outa project.

Financial Position: Cash: ~$20 million (December 2017); Last Financing: Private placement of 6.85 million common shares with Kinross at a price of $2.32 per share for gross proceeds of $16 million.

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Aurion Resources Ltd. (TSXV:AU)

Price Daily Volume


TSXV:AU

Shares I/O (M) 69.2

Shares F/D (M) 74.6


52 Week High/Low $3.49 / $0.75



Debt 0.0



Company CEO Michael Basha


Grade In Situ


EV/oz Au (US$) $76


Catalysts

Aurion Resources Ltd.

• Results from the current drill program at the

Aamurusko boulder field Q1 2018

• Prospecting and drilling results from other

projects H1 2018




Desert Lion Energy Inc. (DLI-V, $2.00) Company Description: Desert Lion is on track to build Namibia’s first large-scale lithium mine. The Company holds an 80% stake in the Desert Lion lithium project located in Erongo, Namibia. It began trading on the TSX Venture Exchange on February 26, 2018. Project and Asset Base ▪ The project includes three past-producing lithium mines on a 301 km2 land package (plans

to eventually expand the Exclusive Prospecting Licenses (EPL) to 1,000 km2) within proximity to necessary infrastructure (water, power, road, rail, etc.). Phase I production involves the processing of >700,000 tonnes of ore stockpiles targeting the lithium bearing mineral lepidolite. An off-take agreement with a Chinese converter is in place for 100% of Phase I production where the deal included a US$4.5 million prepayment and a ROFR on Phase II production as part of the agreement. Phase II will involve the development of the in situ mine and expansion of the Phase I floatation plant. Phase III will involve lithium carbonate (LC) production at an LC plant to be constructed near the Port of Walvis Bay that will be fed from the expanded floatation concentrator.

Key Takeaways from Recent Site Visit ▪ Desert Lion has done an excellent job of execution thus far, with Phase I production well

underway. It is currently loading trucks and delivering ore to port ahead of first shipment to its off-taker in the next 6 to 8 weeks, providing clear visibility on first cash flow. The Company expects to generate US$15 million to US$20 million in earnings before interest taxes, depreciation, and amortization (EBITDA; 100% basis) in 2018 from Phase I production with the addition of an on-site floatation concentrator mid-year, with the transition to Phase II production taking place by mid-2019.

Exploration Activities ▪ Phase I exploration included high-resolution (50-metre spacing) magnetic and radiometric

airborne surveys, with results pending, that will help define 2018 exploration plans further. In addition, 2017 exploration activity included 15,000 metres of diamond drilling, 4,000 metres of reverse circulation (RC) drilling, mapping, and channel sampling at the Rubicon mine, and 8,200 metres of diamond and RC drilling at the Helikon mine, plus 2,700 metres of stockpile drilling. The anticipated Q2/18 initial resource will be based on a total of 20,000 metres of drilling (18,000 metres drilled, plus 2,000 to be drilled in early 2018). The target for this initial resource is in the range of 5 Mt to 7 Mt grading 1.0% Li2O (or ~124 to 173 kilotonnes [kt] of lithium carbonate equivalent (LCE)). The broader 2018 drill program (Phase II exploration program) will consist of ~40,000 metres, to expand the initial resource, feeding a resource update by year-end, and test regional targets (e.g., Marble Hill target located mid-way between Rubicon and Helikon). The target for the year-end resource update is 10 Mt to 15 Mt grading 1.0% Li2O (247 kt to 371 kt LCE).

Catalysts ▪ 1) Next 6 to 8 weeks: First concentrate shipment to Chinese off-taker / first revenue within

days of Walvis Bay Port departure. 2) Q1/18 end: Expects to receive Mining Licence to be fully permitted for Phase II production of mined ore (Environmental Permit already in hand). 3) Q2/18 end: Initial Mineral Resource Estimate (MRE) on the Rubicon/Helikon deposits targeting 5 Mt to 7 Mt grading 1.0% Li2O (124 kt to 173 kt LCE). 4) Q2/18 end: Preliminary Economic Assessment based on MRE, and including economics of Phase II/III production (mined ore processing at on-site concentrator + LCE plant near port). 5) Q2/18 end: Completion of mill/floatation concentration plant construction (at mine-site) that will process fines from stockpiles and mined ore. 6) Q4/18 end: Updated MRE on the Rubicon/Helikon deposits.

Financing: ▪ The Company raised ~$27 million in 2017, with its last financing round completed at $1.82

per share, implying an $86.2 million post-money valuation. Desert Lion listed on the TSXV in February 2018.

TSXV:DLI

Shares I/O (M) 46.3

Shares F/D (M) 56.6


52 Week High/Low N/A

3 Month Performance N/A


Debt 0.0


Company CEO Tim Johnston

Catalysts

Desert Lion Energy Inc.

• Expects to receive Mining License to be fully

permitted for Phase II production (production of

mined ore) (Environmental Permit already in-hand)

Q1 2018

• Initial Mineral Resource Estimate (MRE) on the

Rubicon/Helikon deposits targeting 5-7 million

tonnes grading 1.0% Li2O (124 kt LCE to 173 kt LCE)

Q1 2018

• Preliminary Economic Assessment based on MRE,

and including economics of Phase II/III production

(mined ore processing at on-site concentrator + LCE

plant near port) Q2 2018

• Completion of mill / floatation concentration plant

construction (at mine-site) that will process fines

from stockpiles and mined ore Q2 2018

• Updated Mineral Resource Estimate (MRE) on the

Rubicon/Helikon deposits Q4 2018




Fireweed Zinc Ltd. (FWZ-V, $1.74) Company Description: Fireweed Zinc is a Vancouver-based, Canadian mining exploration and development company. It is focused on advancing the Macmillan Pass project with a project located in the Yukon Territory, Canada, The Macmillan Pass project hosts two sedimentary-exhalative (SEDEX)-style lead-zinc-silver deposits, the Tom and Jason deposits. An updated resource estimate in January returned 50 Mt grading 6% zinc, 3.6% lead, and 34.4 g/t silver (Indicated and Inferred). The Company’s property is accessible by gravel road and by air via the Macmillan Pass airstrip. Key Exploration Project: Macmillan Pass Project ▪ Ownership: (Option to earn 100%): Macmillan Pass is under an option agreement

whereby Fireweed can acquire 100% of the project from Hudbay for $1 million over 2 years, plus 15% of Fireweed’s issued and outstanding shares upon exercise of the option.

▪ Location: ~400 kilometres from Whitehorse

▪ Exploration Target: The Tom and Jason zinc-lead-silver deposits are proximal vent SEDEX deposits formed during Devonian rifting activity in the Selwyn Basin. The Selwyn Basin is one of the world’s most productive basins for SEDEX zinc-lead-silver deposits and hosts 12 large deposits, including Fireweed’s Tom and Jason. Both deposits contain higher grade zones of mineralization of up to 15% to 30% lead + zinc, and silver grades of more than 200 g/t. These higher-grade zones are associated with highly altered, laminated to brecciated sedimentary rocks, and are typical of ‘feeder’ or ‘vent’ zones in similar SEDEX deposits elsewhere. Lower grade mineralization at both Tom and Jason is associated with more prominent laminated horizons and lower lead:zinc ratios. Both the Tom and Jason deposits are steeply dipping and extend to a depth of more than 400 metres. The higher-grade zones are the primary focus of Fireweed, and the Company is currently undergoing a rigorous mapping and drill-core relogging program to better understand the orientation of sedimentary layering and syn-sedimentary structures that are an important control on mineralization. The Tom West and Tom East Zones, both of which are exposed at surface, are interpreted to have formed one continuous lens prior to folding of the Tom sequence. With claims covering an area of approximately 5,159 hectares, the project is accessible by a 3-kilometre road from the North Canol Road off the Robert Campbell Highway in the southeast Yukon.

▪ Historical Work: The Tom deposit was discovered in 1951 by Hudbay Minerals Inc., followed by the discovery of the Jason deposit by the Ogilvie joint venture in 1974. In 2007, Hudbay acquired the Jason deposit, thus combining both the Tom and Jason deposits within the one project for the first time.

Current Work Program: Fireweed aims to commence a large-scale drill program in the summer that will upgrade high-priority zones in the current resource, step-out drill along potential zones of extension, and drill new targets outside of the current Tom and Jason resources. Core from the drill program will also be used for additional metallurgical test work. The Company has also begun preparations for a Preliminary Economic Assessment (PEA), which is expected in Q2/18. Resources/Reserves (100%): Both deposits contain combined historical resources of 11.21 Mt grading 6.59% zinc, 2.48% lead, and 21.33 g/t silver (Indicated), and 39.47 Mt grading 5.84% zinc, 3.14% lead, and 38.15 g/t silver (Inferred). Financial Position: Cash: ~$14 million Debt: Nil Last Financing: In February 2018, Fireweed Zinc completed a private placement of 5,700,000 common shares and 3,000,000 flow-through shares at a price of $1.32 per common share and $1.66 per flow-though share, for aggregate gross proceeds of $12,504,000.

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Fireweed Zinc Ltd. (TSXV:FWZ)

Price Daily Volume


TSXV:FWZ

Shares I/O (M) 26.5

Shares F/D (M) 35.8


52 Week High/Low $1.95 / $0.67

3 Month Performance 56.9%


Debt 0.0


Company CEO Brandon Macdonald


Grade In Situ


Zinc 6.00% 6.71 Blb

Lead 3.00% 3.34 Blb

Catalysts

Fireweed Zinc Ltd.

• Preliminary Economic Assessment Q2 2018

• Commence large-scale drilling program with three

goals (Summer 2018):

1. Upgrade priority zones to M&I for Pre-Feasibility

2. Expand known zones through step-outs

3. Drill new targets and prove up entirely new

deposits

• Extensive regional exploration including

Geochemistry, Geophysics,etc (Summer 2018)

• Expand baseline environmental to kick off

permitting process (Summer 2018)




IDM Mining Ltd. (IDM-V, $0.09)

Company Description: IDM Mining’s Red Mountain project is in the “Golden Triangle” of northwest B.C., with Pretium’s (PVT-T; Not Rated) Valley of the Kings, Seabridge’s (SEA-T; Not Rated) KSM, and the historic Eskay Creek deposits all within 150 kilometres. IDM’s focus is on development and exploration at and around Red Mountain, a 1,000 tonne per day (tpd), 6-year underground project that is expected to begin in 2019. The project and surrounding land package are under an option agreement with Seabridge Gold; all property expenditures have been incurred, with one $1.5 million sum payable to Seabridge on commencement of production. With the feasibility study completed, IDM is focused on resource expansion and exploration. An adjustment of the geological model has identified a number of potential sites for expansion. IDM has a strong institutional shareholder base (40%), as well as corporate shareholders including Osisko Mining (OSK-T, Buy Rating, $6.50 Target Price), Osisko Gold Royalties (OR-T, Buy Rating, $18.00 Target Price), Premier Gold (PG-T; Not Rated), and Kinross (K-T; Not Rated). Exploration/Development Project: Red Mountain ▪ Ownership: IDM has completed the acquisition of title for a 100% interest in the Red

Mountain project from Seabridge Gold Inc. Seabridge has the right to acquire 10% of annual production for US$1,000 per ounce for up to 50,000 ounces.

▪ Location: British Columbia

▪ Development Project: Red Mountain hosts a resource of 583,700 ounces of gold grading 8.75 g/t gold, and 1,655,700 ounces of silver grading 24.82 g/t silver (Measured and Indicated), as well as 64,800 ounces of gold grading 6.21 g/t gold, and 105,500 ounces of silver grading 10.11 g/t silver (Inferred). Gold-silver-copper mineralization is hosted in granitic intrusive and andesitic volcanic rocks, and is associated with quartz–sericite-k-feldspar–pyrite veining/breccia zones and alteration. A feasibility study was completed in June 2017 and returned an after-tax net present value (NPV)5% of $104 million and an internal rate of return (IRR) of 32% (1.9-year payback) over a 5.4-year mine life. Recent drilling at the Marc Zone suggests expansion potential to the south and at the 141 Zone to the west of the north-south-trending Marc, AV, and JW Zones. Recent drilling also identified potential within the Bray Zone located ~300 metres north of the current reserves and resources. There are also several highly prospective exploration targets beyond the current reserve and resource, which have been progressively revealed by the retreat of glaciers within the project area. Of note is the Lost Valley target, where channel sampling along flat-lying quartz veins has returned individual assays of up to 34.6 g/t gold and 183.0 g/t silver.

▪ Historical Work: Approximately 1,700 metres of underground development were completed by Lac Minerals between 1990 and 1994. The Company also drilled approximately 400+ holes, in addition to carrying out bulk sampling, engineering, and feasibility studies. Seabridge acquired the Red Mountain property in 2002, and completed a PEA in 2013. Prior to IDM’s involvement, there has been no exploration work of significance within or surrounding the Red Mountain deposit since 1996 (outside of the current resource).

Current Work Program: During 2017, a total of 29,312 metres of core drilling was completed, consisting of 104 underground, 8 surface, and 3 geotechnical core holes. The Company is currently working on a revised geological model. The model, along with 2017 drill results not included in the last resource estimate, will be incorporated into an updated resource estimate sometime in late Q1, early Q2/18. Resources/Reserves (100%): Global resource of 648,500 ounces of gold grading 8.49 g/t gold, and 1,761,200 ounces of silver grading 23.9 g/t silver. Financial Position: Cash: ~$6 million Last Financing: September 2017: $6 million flow-through private placement comprising two tranches totalling 38.7 million flow-through common shares at $0.155 per share.

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IDM Mining Ltd. (TSXV:IDM)

Price Daily Volume


TSXV:IDM




52 Week High/Low $0.18 / $0.09



Debt 0.0


Company CEO Robert McLeod


Grade In Situ


EV/oz Au (US$) $58



Catalysts

• Commencement of production 2020

IDM Mining Ltd.

• Permitting:

-Application of Environmental Assessment

Certificate and Environmental Impact Statement

under review

-EA certificate expected H1 2018, operating permits

in H2 2018

• Resource update expected Q1 2018

• Construction H2 2018, H1 2019




Mawson Resources Limited (MAW-T, $0.59) Company Description: Mawson is a gold exploration company focused on its Rompas-Rajapalot gold project, which is located south of the Arctic Circle in Northern Finland. High-grade gold styles (disseminated and coarse) occur over a 10 km2 area with two main targets: the Rajapalot system and the earlier defined Rompas vein system (further divided into North and South Rompas). Originally discovered by AREVA, Mawson acquired the project in April 2010. Currently, the Company holds 2 granted exploration permits, 11 exploration permit applications, and 2 reservations in Finland, with the Rajapalot/Rompas encompassing a permitted area of 23,184 hectares consisting of 13 exploration and permit applications.

Key Exploration Project: Rompas-Rajapalot Project (Northern Finland)

▪ Ownership: 100%

▪ Exploration Target: Mawson’s focus is on two targets within the project area: 1) Rajapalot, discovered by Mawson in 2012, is characterized by disseminated hydrothermal gold mineralization along the contact between mafic rock units and altered quartzite. Gold mineralization is strongly associated with elevated induced polarization (IP) and electromagnetic (EM) anomalism. 2) The Rompas vein system represents another priority target for the Company, and is defined by a northwest-southeast-trending geophysical anomaly interpreted to represent a high-strain deformation zone. Gold and uranium mineralization within the deformation zone at Rompas is hosted in quartz-carbonate veins and albitic vein breccias occurring in two zones known as North Rompas and South Rompas.

▪ Historical Work: The Rajapalot target was discovered by Mawson in August 2012 and is located ~5 kilometres to the east of Rompas, an earlier discovered gold-uranium-rich target area. Initial work included rock-chip sampling and geophysical surveys, followed by a drill program that began in May 2013. Highlights from drilling at Rajapalot include 19.5 metres grading 7.4 g/t gold, and 5.4 metres grading 37.6 g/t gold. Winter drilling in 2015/2016 tested to define the extent of the hydrothermal system at Rajapalot, with highlights including 19.6 metres grading 7.5 g/t gold, and 5.0 metres grading 24.1 g/t gold with visible gold present. The Rompas vein system was discovered by an airborne radiometric survey in 2008 by AREVA. AREVA conducted reconnaissance sampling and mapping in 2008/2009 and identified more than 150 gold-uranium occurrences, before divesting the property to Mawson in 2010. Since then, the Company has undertaken channel and rock-chip sampling, and defined a broad footprint of mineralization of more than 6 kilometres in strike length and 200 to 250 metres width. Drilling commenced at Rompas in May 2013, with hole ROM0011 intersecting 6 metres grading 617 g/t gold the highlight.

2018 Work Program: Mawson is looking to follow-up on the diamond-drilling program conducted last year and continue the geologic mapping, sampling, 3D target model construction, and drilling exploration program within the Rompas-Rajapalot project area. A significant drilling program (15,000 metres) consisting of five drill rigs is planned to resume at Rajapalot in March, and a program of 900 shallow holes is now underway at Rompas, with the main goal of defining a National Instrument 43-101 compliant resource estimate over the duration of the year. In February, Mawson announced the closing of a C$8.1 million strategic investment by Goldcorp Inc., which now holds approximately 12.7% of the issued and outstanding share capital. The Company anticipates using the net proceeds from the placement to continue exploration of its mineral properties in Finland and to cover general corporate expenses. Resources/Reserves (100%): N/A Financial Position: Cash: ~$16.0 million (Est. February 14, 2018) Last Financing: February 2018: $8.1 million private placement issued to Goldcorp Inc. comprising 15.0 million shares at C$0.45 per share, plus ½ warrant exercisable at $0.65 per share for 2 years ending on February 14, 2020

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Mawson Resources Limited (TSX:MAW)

Price Daily Volume


TSX:MAW




52 Week High/Low $0.65 / $0.29



Debt 0.0


Company CEO Michael Hudson


Grade In Situ

Uranium 0.05% 130.62 Mlb

Zinc 4.75% 63.93 Mlb

Copper 0.40% 5.29 Mlb

Catalysts

Mawson Resources Limited

• 15km DDH resource exploration and 900 hole BOT

drilling program Q1 2018

• Ground Magnetics Survey 2018

• NI 43-101 Resource Estimate 2018




Northern Empire Resources Corp. (NM-V, $1.36) Company Description: Northern Empire is a gold exploration and development company focused on an emerging gold district in southern Nevada. The Company acquired the Sterling project from Imperial Metals (III-T; Not Rated) for US$10.1 million, 1.67 million shares, and a 2% net smelter return (NSR) in May last year and has expanded its project area to ~142 km2. The project, located in southern Nevada, is situated within the Walker Line Tectonic Belt and is proximal to several operating mines and exploration projects, including Round Mountain, Comstock, and Castle Mountain over the border in California; the Bullfrog Mine, which produced 2.3 million ounces grading 2.3 g/t gold, is located ~7 kilometres to the west of Northern Empire’s property boundary. A National Instrument 43-101 compliant resource estimate based on historical drill data returned an Inferred resource of 709,000 ounces grading 2.23 g/t gold (at a 1 g/t gold cut-off) within four deposits.

Sterling Gold Project: 100%-owned ▪ Sterling Gold Project: Northern Empire’s Sterling project is a fully permitted high-

grade, heap leachable gold deposit with well-conditioned infrastructure (built in 2010). The permit is currently unbonded and would need to be paid before operations could commence. Historically, three separate open pits and two underground mines were operated at Sterling. Importantly, Sterling was run of mine, which likely reduced capex and operating costs significantly. The mine historically enjoyed high grades (averaging 7.44 g/t gold) at favourable recovery rates between 80% and 88%. The Sterling site has an active leach pad and an additional area to the north that is permitted for a heap leach facility. We note that the current processing facility has the infrastructure in place to produce gold doré on-site; however, additional permits and minor modifications to the equipment are required.

▪ Crown Gold Projects: As with Sterling, we see significant potential for the current gold resources at Daisy, Secret Pass, and SNA to increase with additional drilling. Last year, Northern Empire drilled four holes at the Daisy and Secret Pass projects. The two holes drilled at Daisy both yielded gold mineralization; one confirmatory hole within the resource envelope returned 47 metres grading 1.47 g/t gold and 21 metres grading 1.83 g/t gold, while one step-out hole returned 21 metres grading 1.0 g/t gold. At Secret Pass, located ~2 kilometres northeast of Daisy, one confirmatory hole and one step-out hole returned 82 metres grading 1.26 g/t gold and 30.5 metres grading 0.55 g/t gold respectively. In 2018, Northern Empire will drill 10 holes at Daisy and 15 holes at Secret Pass. The results of metallurgical test work on drill core collected from last year’s drilling are expected to be released soon.

Management: The Company has a strong management team and Board, including Douglas Hurst, founder of Newmarket Gold, later sold to Kirkland Lake Gold (KL-T; Not Rated) for $1 billion, and John Robins, founder and former Chairman of Kaminak Gold, which was sold to Goldcorp (G-T; Not Rated) for C$520 million. Current Work Program: Since acquiring the Sterling project in May, most of Northern Empire’s efforts to date have focused on the Sterling resource. Specifically, 49 drill holes comprising mostly rotary percussion (RP) were completed at Sterling in 2017 targeting gaps in the Sterling resource, with highlight intersections including 10.00 metres grading 14.59 g/t gold and 12.19 metres grading 8.37 g/t gold. Results are pending for the final nine holes from last year’s program. In 2018, Northern Empire will continue to de-risk the project; many of the historical holes lacked sufficient documentation to be classified as Indicated/Measured resources; more drilling will be required. In addition, we expect Northern Empire to continue to define extensions to the resource. A ~15,000-metre drill program (~50 holes) has been allocated for 2018 with a budget of $12 million for the year. Financial Position: Cash: $18 million, no debt Last Financing: November 28, 2017, C$15 million comprising 16.67 million common shares at $0.90 per share.

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Northern Empire Resources Corp. (TSXV:NM)

Price Daily Volume


TSXV:NM

Shares I/O (M) 66.5

Shares F/D (M) 77.2


52 Week High/Low $1.43 / $0.58



Debt 0.0



Company CEO Michael Allen


Grade In Situ


EV/oz Au (US$) $130


Catalysts

Northern Empire Resources Corp.

• 15,000 metre drill program - H1 2018

• Initial baseline environmental studies -H1 2018

• Initial metallurgical studies on all deposits -H1

2018




Oklo Resources Limited (OKU-ASX, A$0.41) Company Description: Oklo is an Australian exploration company with a primary focus on gold exploration in southwestern Mali, West Africa. The Company holds eight gold projects encompassing an area of 1,389 km2, with its flagship gold projects Dandoko, Moussala, and Socaf focused in west Mali, and Yanifola, Kolondieba, Sirakouru, and Solabougouda in south Mali. The priority targets of Seko, Diabarou, and Disse lie within the 134 km2 Dandoko project area situated within the highly prospective Proterozoic Birimian Greenstone Belt and within the vicinity of numerous large-scale gold deposits and operating mines. Dandoko is located within the Kenieba inlier in west Mali, approximately 160 kilometres east of the Capital of Bamako and 30 kilometres east of B2Gold’s Fekola project. Flagship Project: Dandoko Project (Seko, Diabarou, and Disse) (ownership 100%) ▪ Location: Southwestern Mali, West Africa

▪ Exploration Target: Oklo maintains its primary focus on the advancement of its Dandoko gold project. The Dandoko project tenement area hosts underlying Lower Proterozoic Birimian metavolcanic and metasedimentary basement rocks and is located along a series of north-northeast-trending structures within the southern extents of the Senegalo-Malian Shear Zone (SMSZ). The north-northeast-trending structures within the Proterozoic Birimian Greenstone Belt are interpreted as splays originating from the regional scale SMSZ north-northwest-trending strike-slip fault and remain highly prospective as significant structural conduits for gold mineral emplacement. Gold sampling derived from auger drilling across the Dandoko and Moussala projects highlights several targets. In particular, it has delineated a 12-kilometre north-northeast-oriented trend that holds several target areas, including Seko where follow-up air core (AC) drill traverses have outlined a number of gold-mineralized trends (7+ kilometres long in total), some of which correlate to artisanal workings. Deeper drilling on these targets highlights gold mineralization associated with silicification and iron-carbonate alteration with sulphide and quartz. Notably, the project outlined an area of oxidization around 80 metres from surface.

▪ Historical Work: Previous exploration work at Dandoko occurred from 2010 to 2012 consisting of mapping, soil sampling, pitting, and trenching by Compass Gold Corporation (CVB-V, Not Rated). The property was thereafter acquired by Oklo from Compass Gold in 2013. The Company completed six RC holes totalling 884 metres in 2015, with a further seven RC holes totalling 1,146 metres in 2016. Significant intersections from the 2015 RC program reported 29 metres grading 10 g/t gold, with 2016 results including 6 metres grading 54 g/t. Recent diamond drilling from RCSEK17-014 returned 79 metres grading 2.17 g/t gold from surface at the SK2 anomaly.

Current Work Program: The primary focus of the $3.5 million Phase 1 2017/2018 campaign remains to advance Dandoko through continued exploration work on the project’s respective tenements. As of the end of the December 2017 quarter, the Company successfully completed the infill and step-out AC, RC, and DD drilling campaign, which consisted of 193 AC holes for a total of 15,992 metres, 30 RC holes for 4,863 metres, and 3 DD holes for 515 metres along five outlined anomalies at Seko. Assay results from the AC program indicate significant oxide gold mineralization at Seko over strike lengths exceeding 2 kilometres at Anomaly 1, and 1.2 kilometres at Anomaly 3. The 2017/2018 campaign commenced in Q4/17 and is anticipated to be completed at the end of February 2018. The focus remains on follow-up AC drilling over geochemical anomalies previously outlined in the 12-kilometre Dandoko corridor, with results pending from a further 76 AC, 4 RC, and 3 DD holes with drilling ongoing. Furthermore, the Company is currently completing a detailed 2D and 3D IP geophysical survey across the 12-kilometre Dandoko gold corridor. Financial Position: Cash: ~11 million (December 2017) Last Financing: May 2017: $8.7 million private placement comprising 36.2 million ordinary share units at an issue price of $0.24 per unit.

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Oklo Resources Limited (ASX:OKU)

Price Daily Volume


ASX:OKU



Market Cap (A$M) 125.6

52 Week High/Low $0.50 / $0.19


Current Cash Est. A$M 11.0

Debt 0.0

Enterprise Value (A$M) 114.6

Company CEO Simon Taylor


Grade In Situ


Catalysts

Oklo Resources Limited

• Phase 1 AC, RC and DD $3.5 M Drilling Program Q1

2018

• 2D and 3D IP Geophysical Survey at 12km Dandoko

gold corridor Q1 2018

• Kourofing Project Acquisition




Osisko Metals Incorporated (OM-V, $0.72) Company Description: Osisko Metals is a Canadian exploration and development company with a focus on zinc. In 2017, Osisko Metals acquired more than 63,000 hectares in the Bathurst Mining Camp (BMC) in New Brunswick, and is now the owner of the largest land package in this volcanogenic massive sulfide (VMS) district. In addition, following the recent acquisition of Pine Point Mining (ZINC-V, not rated), the Company now controls the Pine Point project in the Northwest Territories. With both projects, Osisko Metals now controls two major past-producing base metals camps in Canada. In Québec, the Company controls 42,000 hectares covering 12 grassroots zinc targets. Exploration Projects ▪ Bathurst Mining Camp. The Bathurst Mining Camp is a mining district in northeast New

Brunswick, hosting some of Canada’s largest and longest historically operating zinc mines. The BMC hosts 45 known VMS deposits typical of the Appalachian Mountains. Osisko Metals’ claims host significant historical deposits, including Key Anacon, Mount Fronsac, Flat Landing Brook, Gilmour South, Camel Back, and in Quebec, Louvicourt. In September 2017, Osisko Metals began a Phase 1 diamond-drill program focused on resource definition and expansion of several of these historical deposits. One key target, the Key Anacon property, is host to a high-grade historical deposit containing a resource of 1.87 Mt grading 6.93% zinc, 2.63% lead, 0.16% copper, and 84 g/t silver, and has seen limited exploration work since its discovery in the 1950s.

▪ Pine Point Project. The Pine Point project is located near Hay River in the Northwest Territories. During its 23-year production history, more than 98 deposits were identified, of which 52 were mined, producing nearly 64 Mt of ore, to make it one of Canada’s most profitable zinc-lead mines. The Pine Point project benefits from substantial infrastructure, including paved road access, a rail head in Hay River, and hydroelectric power available on site. With a positive PEA filed in May 2017, the project is ready for development and offers Osisko Metals the potential to selectively upgrade the 46 undeveloped historical deposits and to convert the near-surface, historical, unclassified resources of 70.8 Mt of 4.2% zinc and 1.6% lead into a NI 43-101 Mineral Resource Estimate.

Work Program: Osisko Metals currently has a 50,000-metre drill program underway at its Bathurst Camp to upgrade and expand the historical deposits. Key Anacon and Key Anacon East are highlighted targets for the Company. The Company has also initiated a 50,000-metre drill program at Pine Point to confirm, upgrade and expand the portfolio of over 40 historical deposits. The exploration program at Pine Point will also include an airborne geophysical survey planned for Q2/18, including detailed gravity gradiometry and total field magnetics. The favourable carbonate horizon is approximately 200-300m thick where the majority of the historic drilling targeted zinc-lead mineralization in the upper third of the favourable stratigraphy. Financial Position: Cash: $38 million (as of January 2018); Last Financing: In September 2017, Osisko Metals completed a bought-deal private placement of 4,211,000 flow-through common shares at $1.90 per share for gross proceeds of $8.0 million.

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Osisko Metals Incorporated (TSXV:OM)

Price Daily Volume


TSXV:OM

Shares I/O (M) 70.4

Shares F/D (M) 92.0


52 Week High/Low $1.74 / $0.27



Debt 0.0


Company CEO Joseph Hussey


Grade In Situ

N/A N/A

Catalysts

Osisko Metals Incorporated

• Current 50,000 metre drill program at Bathurst

Camp

• Pine Point Camp drill program Q1 2018




Pan Global Resources Inc. (PGZ-V, $0.25) Company Description: Pan Global is an exploration company focusing on precious and base metals in Spain. The Company has several projects in its portfolio, with two (Minera Aguila and Escacena) under separate option agreements. Minera Aguila is considered its flagship project and is well located along sealed roads approximately 300 kilometres south of Madrid. Early stage exploration work, including mapping and rock-chip sampling, combined with ancient mine workings in the area, suggests there is potential for iron oxide-copper-gold (IOCG) style and lead-zinc breccia-style mineralization and remains untested. Pan Global is led by Tim Moody, former Exploration Director, Vice President, and Director of Business Development at Rio Tinto. His 24 years at Rio Tinto included 3 years as Exploration Manager in Spain. Ownership: Option to acquire 100% of the Minera Aguila project for a total of C$450,000 cash and 4.7 million shares of Pan Global. Escacena can be 100% acquired by payments totalling C$350,000 and $1 million in exploration expenditures, plus an NSR royalty of 0.5% (< 12,500 tonnes of copper production) and 0.75% (> 12,500 tonnes of copper production). First option to acquire 70% of Minera Aguila is anticipated within the next month. ▪ Project #1: Minera Aguila: The Minera Aguila project consists of a series of ancient

mine workings that are coincident with several soil copper anomalies and copper anomalous rock-chip samples over an area of approximately 14,950 hectares. The largest is the Torrubia Copper Trend that extends 3.1 kilometres by 0.32 kilometre in a northeast-southwest orientation. Along strike and to the southwest of Torrubia is the Cerro Aguila anomaly that extends 0.6 kilometre by 0.3 kilometre. Anomalous rock-chip samples grade up to 28% in places, while up to 0.69% copper-in-soil samples have been reported. Many of the rock samples from the old mine workings contain hematite quartz breccia textures reminiscent of IOCG-style copper-gold mineralization (e.g., Olympic Dam in South Australia). Cross-cutting the Torrubia and Cerro Aguila anomalies is the Zumajo trend that strikes northwest-southeast and is anomalous in lead and zinc where > 8% lead has been documented. Rock-chip samples from several ancient mine dumps at Zumajo contain distinct epithermal-style banded textures, perhaps suggesting lead-zinc mineralization may be a lower temperature overprint of the IOCG-style copper-gold mineralization. We note that Europe’s largest lead-producing district, Linares-La Carolina, is located 50 kilometres to the west. Apart from some historical drilling at Zumajo (no assays have been recovered), the Minera Aguila project remains untested by drilling.

▪ Project #2: Escacena: The Escacena project is within 5 kilometres from Grupo Mexico’s Aznalcóllar mine and is situated on the same volcanic trend that hosts Grupo’s Los Frailes and First Quantum Minerals’ (FM-T, Not Rated) Las Cruces mines, both interpreted to be volcanic-hosted massive sulphide (VHMS) style deposits. Of primary interest are the Cañada Honda and La Romana prospects; both are associated with an elevated gravity anomaly. At La Romana, historical drilling by Exxon intersected a combination of stockwork and massive sulphide copper-zinc mineralization over a > 1.3-kilometre strike length proximal to historical copper workings. Copper-gold mineralization at the Cañada Honda prospect to the north of La Romana is associated with a 1.5 kilometre by 0.5-kilometre gravity anomaly and has several historical drill holes that hit copper-gold mineralization, including 2 metres grading 3.4 g/t gold.

Current Work Program: Minera Aguila: All drill permits have been received. 350,000-euro drilling program (3,000 metres) expected to commence in May/June. Geophysics and continued prospecting and surface rock-chip sample will continue. Escacena: Awaiting confirmation of receipt of mineral rights in June/July. Expects to announce drill program on receipt of mineral rights. Rock-chip sampling and geophysics in the meantime. Financial Position: Cash: ~1.8 million (January 2018) Last Financing: $1.06 million private placement of 21.23 million units at a price of $0.05 per unit comprising one common share and one warrant exercisable at $0.10 per share.

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Pan Global Resources Inc. (TSXV:PGZ)

Price Daily Volume


TSXV:PGZ

Shares I/O (M) 79.4

Shares F/D (M) 81.3


52 Week High/Low $0.30 / $0.05



Debt 0.0



Company CEO Timothy Moody


Grade In Situ

N/A N/A

Catalysts

Pan Global Resources Inc.

• Approximately 10-15 line-km of Induce Polarity

(IP) and Magneto Tellurics (AMT) is planned for Cu

and Pb-Zn-Ag targets Q1 2018

• Further exploration drilling Q2 2018




Regulus Resources Inc. (REG-V, $2.05) Company Description: Regulus was formed in December 2010 after Antares Minerals Inc. was acquired by First Quantum Minerals (FM-T; Not Rated) for approximately C$650 million. Initially, the Company focused on the Rio Grande copper-gold project in Argentina. However, Regulus acquired the AntaKori copper-gold-silver project in northern Peru through the merger with Southern Legacy Minerals Inc. in September 2014. AntaKori is located adjacent to the Tantahuatay gold heap leach mine (Buenaventura/Southern Copper Joint Venture, which produced 145,000 ounces of gold in 2015) and the Cerro Corona copper-gold mine (Gold Fields, which produced 160,000 ounces of gold in 2015). The Company also holds interests in the Puchuldiza gold project in Chile (100%) and the Golden Brew Carlin-type gold project in Nevada (up to 50%). Project #1: AntaKori (100% Owned) ▪ Location: Northern Peru.

▪ Exploration Target: The AntaKori project lies within the Yanacocha-Hualgayoc mining district in the Department of Cajamarca, northern Peru. Several large-scale porphyry copper-gold deposits are located nearby, including the recently discovered Yanacocha, Cerro Corona, and Tantahuatay deposits, which all lie within 35 kilometres of the AntaKori project. Mineralization in the AntaKori property consists of several types: (a) epithermal high-sulphidation mineralization associated with structures within the Tertiary volcanic rocks, (b) retrograde and prograde skarns and associated massive sulphide bodies developed within the Cretaceous age sedimentary rocks and older intrusive rocks, and (c) porphyry-style mineralization and associated hydrothermal breccias. These mineralization styles are like surrounding deposits (see above) that occur along a northwest-trending fault system interpreted to have been responsible for the emplacement of these deposits. The current 294.8 Mt resource envelope reflects property boundaries, not geological boundaries; AntaKori is on both Regulus and Coimolache (JV between Buenaventura, Southern Copper; SCCO-NYSE and a Peruvian family) mineral rights. Copper-gold mineralization at AntaKori is open in all directions.

▪ Historical Work: Historically, 70 drill holes totalling 17,950.81 metres were completed on the AntaKori project between the 1960s and 2008. After Southern Legacy acquired the project in 2012, it relogged the existing diamond-drill holes and completed a National Instrument 43-101 compliant resource in July 2012, based on the pre-existing 70 drill holes. The initial National Instrument 43-101 compliant Inferred resource estimate for AntaKori is 295 Mt grading 0.36 g/t gold, 10.2 g/t silver, and 0.48% copper.

Current Work Program: In 2017 Regulus commenced a 15,000- to 18,000-metre ($5 million) drill program at AntaKori, with highlight results including 523 metres grading 0.65% copper, 0.47 g/t gold, and 7.93 g/t silver (hole DHSF17-160) within high-sulphidation and skarn-related mineralization. Regulus is currently one-third of the way through the program, which has an estimated budget of ~$6.5 million. We note that the Company now has three drill rigs with a possible two being added by April 2018. A revised resource estimate is expected in mid-2018. In May 2016, the Company announced a series of agreements with its neighbours, which will see collaboration on several exploration and development activities: 1) Buenaventura/Southern Copper’s Tantahuatay gold mine joint venture (JV) can lay back its existing oxide mine onto Regulus’ property in return for a NSR royalty. 2) The Tantahuatay gold mine JV and Regulus will collaborate, explore, and potentially co-develop the total sulphide resources belonging to both parties (at/directly adjacent to the AntaKori deposit). (3) Buenaventura will option a prospective land position (immediately northeast of AntaKori) to Regulus to explore and earn up to 70%. AntaKori Resources/Reserves (100% basis): Inferred 294.8 Mt grading 0.48% copper, 0.36 g/t gold, and 10.16 g/t silver Financial Position: Cash: $6 million (January 2018); Last Financing: In November 2017, share purchase warrants issued pursuant to the Company’s 2014 private placement were exercised, for $3.89 million comprising 5.56 million warrants at an exercise price of $0.70.

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Regulus Resources Inc. (TSXV:REG)

Price Daily Volume


TSXV:REG

Shares I/O (M) 74.2

Shares F/D (M) 86.6


52 Week High/Low $3.00 / $1.33



Debt 0.0



Company CEO John Black


Grade In Situ


EV/oz Au (US$) $32



Zinc 0.28% 1.61 Blb

Lead 0.12% 0.45 Blb

Copper 0.44% 4.22 Blb

Catalysts

Regulus Resources Inc.

• Results from 15-18,000 metres drilling program at

AntaKori (ongoing)

• Revise resource estimate by H2 2018




Reunion Gold Corporation (RGD-V, $0.135) Company Description: Reunion Gold is advancing exploration projects in Guyana and French Guiana. Strategy: Reunion recently signed option agreements to acquire: 1) an 80% interest in the 122 km2 Haute Mana project, subject to certain conditions; 2) a 75% interest in the 84 km2 Dorlin property, both located in French Guiana; 3) an 80% interest in the 20 km2 Aremu project in Guyana, 4) a 100% interest in 78 km2 of concessions and exploration permits located in French Guiana, part of the Boulanger Gold Project, and 5) 100% interest in the Waiamu (35,000 acres) and Arawini Gold (22,000 acres) projects in Guyana. A ~US$9 million exploration program is planned over the next 12 months on these projects. Management team: Reunion is led by President & CEO Réjean Gourde, a mining engineer with more than 30 years’ experience in the mining industry who was previously Senior Vice President at Cambior where he was responsible for all of Cambior’s operations in the Guiana Shield, and took the Rosebel mine in Suriname from feasibility to production. ▪ Dorlin Gold Project: Reunion Gold has an option to acquire a 75% interest (less a 0.5%

NSR) in an exploitation permit covering 84 km2 in central south French Guiana, in an area approved for mining. The Company has to complete a feasibility study by late 2021 with a minimum of US$3 million spent over the first three years. A historical resource was completed in 1997 estimating 1,571,700 ounces of gold at an average grade of 1.1 g/t gold (all categories), to a depth of 150 meters (estimated using a gold price of US$400/oz).

▪ Boulanger Project: Reunion Gold has an option to acquire from CMB a 100% interest (less a 2% NSR) in the Carapa exploitation permit and the Boulanger, Central Bief, Devez North and Devez South mineral concessions (75.2 km2 of mineral concessions and a 24 km2 exploitation permit). CMB has mined the project for alluvial gold over the last +20 years, recovering on average about 10-12,000 ounces per year. This project has a cheap earn-in and has excellent infrastructure in an area designated for mining.

▪ Aremu Gold Project: The Aremu project has been exploited by small scale legal miners for over 30 years, with mining confined to alluvium and some quartz stringers in saprolite. Reunion has an 80% option on 5,164 acres and the site has never been drilled or properly explored. Aremu has reasonable access by river and road, and permits are already in place for exploration.

▪ Haute Mana Gold Project: Reunion Gold has an option to acquire an 80% interest in seven mining concessions covering ~122 km2 in the central-south part of French Guiana, by completing a PEA on the project by December 2021. The Haute Mana project is cut by the Sophie-Saul shear, with at least six targets along this shear zone, mostly from artisanal work both in alluvial and primary sources. Haute Mana is a very prospective target geologically, but is remote and early stage.

Work Program: Reunion plans on spending around $9 million on exploration activities this year. At Dorlin, an application has been submitted for an exploration permit and the Company intends to relog and resample historic core as well as a conduct 9,000 metres of diamond drilling in the Nivré Mountain prospect area along with 100 km IP survey in the northern extension of the Nivré area (a US$4.4 million program). At Boulanger, existing core will be relogged and resampled plus geological mapping, surface sampling and trenching will be completed to confirm continuity and geometry of the mineralized quartz veining. A minimum 1,000 metre diamond drill program is expected to commence at Boulanger once required permits are obtained (a US$2.4 million budget). Reunion plans a US$0.7 million program at Haute Mana, including compilation of historical work and preliminary reconnaissance exploration, once permits are received and the transaction closes. At Aremu, Waiamu and Arawinin, Reunion will conduct an early stage prospecting program (US$1.3 million budget). Financial Position: Cash: $20 million. Last Financing: $9.12 million private placement (48 million shares at $0.19) by Barrick Gold (ABX-T, Buy Rating, $26.00 Target Price) .

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Reunion Gold Corporation (TSXV:RGD)

Price Daily Volume


TSXV:RGD




52 Week High/Low $0.18 / $0.10



Debt 0.0



Company CEO Réjean Gourde


Grade In Situ


EV/oz Au (US$) $42


Catalysts

Reunion Gold Corporation

• Dorlin - 9,000 metre drill program in the Nivre

Mountain prospect area and 100 km IP survey -

completed by year end 2018

• Boulanger - compilation of historical work, 1,000

metre drill program - by end of Sept. '18

• Haute Mana - compilation of historical work,

supervise rehab work and prep exploration permits

• Aremu - systematic exploration program




Sable Resources Ltd. (SAE-V, $0.165) Company Description: Sable Resources is a gold exploration company focused on early stage, grassroots exploration. Sable’s strategy is to identify early stage projects in favourable geological terranes and define new projects to resource stage. The Company is targeting epithermal-style gold and silver deposits, and has several projects in Argentina, Mexico, and British Columbia. Sable recently signed an earn-in agreement for 100% interest in Don Julio, a high-sulphidation epithermal gold project in Argentina. Mexico has been a primary focus for Sable; with three targets drill ready, Sable has 140 additional targets that require mapping and sampling. With projects in Argentina, British Columbia, and Mexico, the Company can operate and generate news flow year-round. Sable Resources is led by Tom Obradovich, former CEO of Barkerville Gold Mines (BGM-V, Buy Rating, $1.60 Target Price). Tom was important in the initial stages of Barkerville soon after the Company was acquired. Principle geologist for Barkerville Gold Mines Terence Harbot is on the Board of Directors. Sable is cashed-up with ~$3.7 million and continues to look for other projects for potential acquisitions.

Ownership: Recent earn-in agreement signed to acquire 100% of the Don Julio gold project in Argentina by cash payments of $5 million, 2.4 million shares, and $3 million in exploration work over 6 years. Bot project (British Columbia) is subject to remaining payments of 500,000 shares and completion of a National Instrument 43-101 resource.

Exploration Projects:

▪ Argentina: Don Julio: Don Julio is located adjacent to Barrick Gold’s (ABX-T, Buy Rating, 26.00 Target Price) Alturas gold mine (~6.8 million ounces) and is characterized by a lithocap 4 kilometres by 3 kilometres with anomalous gold associated with quartz allunite pyrite alteration and quartz veins.

▪ Mexico: Margarita: Margarita is a low-sulphidation epithermal silver target located approximately 8 kilometres northwest of Sunshine Silver’s Las Gatos silver mine in the state of Chihuahua. A 1.7-kilometre outcropping vein with epithermal textures has been channel sampled, returning assays ranging from 100 to 900 g/t silver. The target has never been drill tested. Vinata: Vinata is a grassroots discovery where 167 rock-chip samples returned gold grades up to 184 parts per billion (ppb) and anomalous arsenic (As), antimony (Sb), mercury (Hg), and barium (Ba), characteristic of high-sulphidation epithermal systems. Sable is conducting a follow-up rock and soil-sampling program and detailed geological mapping. El Escape: El Escape is another epithermal-style target characterized by chalcedonic silicification, brecciation, and veins. Gold values of up to 0.609 ppm gold and 0.702 ppm silver have been assayed in rock samples.

▪ British Columbia: Sable’s British Columbian projects vary from intrusion-related to magmatic sulphide+platinum group element (PGE)-style mineralization. Except for the Baker project, each of the projects is grassroots stage. Baker contains two historical mines, a 35-man camp, airstrip, and a 200 to 250 tpd mill. Historical drilling suggests gold-silver mineralization continues underneath the historical mines.

Current Work Program: Vinata: Nine drill holes have been planned, and a drill permit has been submitted; the Company expects to commence drilling in Q4/18.

Financial Position: Cash: ~$3.7 million in cash (February 2018); Last Financing: $3 million: 20 million shares at $0.15 per share, plus warrant exercisable at $0.25 per share for 24 months.

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Sable Resources Ltd. (TSXV:SAE)

Price Daily Volume


TSXV:SAE




52 Week High/Low $0.20 / $0.11



Debt 0.0


Estimated Burn (H1 2018) (C$M) 0.3

Company CEO Thomas Obradovich


Grade In Situ


Catalysts

Sable Resources Ltd.

• Planned exploration drilling of 9 holes totaling

2,580 metres to test current targets

• Detailed geological mapping, rock and soil

sampling along trend to define new drill targets Q1

2018

• Drilling Planned after Permitting Process for Q4

2018



Source: Haywood Securities

Steppe Gold Ltd. (Private) Company Description: Steppe Gold is a private, precious metals exploration and development company focused on Mongolia. In September 2017, the Company acquired the advanced-staged ATO Project in Mongolia from Centerra Mongolia for US$22M. Prior to the acquisition, Centerra Mongolia spent over US$25M on exploration and studies, including 67,000m of drilling on the ATO project. The Company also has two exploration-stage mineral properties in Mongolia, the Uudam Khundii property and the Bayan Undur property. Steppe Gold is planning to have an IPO in early 2018. Projects: ▪ ATO Project: The ATO Project is located in the Tsagaan Ovoo soum territory, Dornod

province of Eastern Mongolia, 660 km east of the Ulaanbaatar, the capital of Mongolia. The ATO mining license covers an area of 5,493ha; the Company recently delineated P&P mineral reserves of ~210 koz at an average grade of 1.25 g/t Au and 673 koz of silver at an average grade of 10 g/t Ag. ATO contains M&I mineral resources totaling ~587 koz gold at an average grade of 1.49 g/t Au, and 3.9 Moz silver at an average grade of 9.99 g/t Ag. Inferred resources on the property total ~35 koz gold at an average grade of 1.1 g/t Au, and 848 koz silver at an average grade of 25.2 g/t Ag.

▪ ATO Development Plan: Management is planning a quick start-up with first gold pour expected in Q4/18. The project is a low capex (US$19.5M), low-opex, oxide heap leach gold-silver production with cash costs of US$333/oz Au. The permitted project is expected to be fully financed post IPO. The project is on track for a first gold pour in Q4/18, and is expected to produce 1.2Mt oxide ore per annum over a 4.5-year mine life. The operation is expected to produce 146.7 koz Au and 672.5 koz Ag. A gold and silver streaming agreement for US$23M and a US$4M placement have been secured to develop the mine.

▪ Mungu Gold-Silver Discovery: Steppe Gold is working on development studies and a work program to extend the mine life at ATO with 100-150 koz of additional gold resources below the heap leach oxide zone, and at the Mungu gold-silver discovery. Mungu-Bayangol-Highland is a 20km structure containing gold and silver.

▪ Uudam Khundii: In the Bayankhongor gold belt, the Company owns a 14,400-ha exploration land package which is an 80/20 JV with the provincial government of Bayankhongor. Uudam Kundii is in a highly prospective “new gold belt” area, with drill programs on the adjoining Erdene Resources (ERD-T, Not Rated) licenses showing encouraging results. ERD have drilled a total of 177 holes to date, of which 150 holes intersected anomalous gold mineralization. Over 17% of ERD drill holes have intersected 1+ metre samples of greater than 32 g/t gold. Steppe has commenced an exploration program and drill programs are scheduled to commence in March 2018 with four identified targets. The exploration program includes ground magnetics, IP geophysics, rock chip sampling and soil geochemistry.

Work Program: A 20,000m drilling program is underway at the ATO, with three drill rigs on site. An initial resource estimate for the Mungu Discovery is estimated for Q2/18. Drilling on the Bayanmunkh gold copper porphyry discovery is expected to commence by Q2/18. The exploration program includes geophysics and rock and soil geochemistry. Management Team: The Company’s CEO, Matthew Wood, was the co-founder and Executive Chairman of the Mongolian coal company, Hunnu Coal Limited, which was sold to Banpu PCL in 2011 for US$500M. The Senior Management team is comprised of Mongolian nationals: Bataa Tumur-Ochir, VP Mongolia and Director of Steppe Gold and Dr. Zamba Batjargal, formerly Minister of Environment in Mongolia and Ambassador of Mongolia to Japan. Financial Position: Initial Public Offering: The Company is in the process of listing the Steppe Gold Ltd. common shares on the TSX. The offering price is in the range of C$2.75-C$3.25/sh for an approximate offering size of C$30M, implying a market capitalization of $80-90M. The closing date is expected to be in H1/18.

(Private)

Company CEO Matthew Wood

Catalysts

Steppe Gold Ltd.

• 20,000m drilling program is underway at

the ATO- ongoing

• Initial resource estimate for the Mungu

Discovery Q2 2018

• Drilling on the Bayanmunkh gold copper

porphyry discovery to commence by Q2

2018




Trilogy Metals Inc. (TMQ-T, $1.87) Company Description: Trilogy Metals is advancing exploration at its Upper Kobuk polymetallic Mineral Projects (copper dominant, with zinc-lead-gold-silver) in the Ambler mining district in Northwest Alaska. Trilogy has been working in the Ambler mining district since 2004. Land holdings cover approximately 353,000 acres, the key projects are the Arctic and Bornite deposits. Partnerships: Trilogy and South32 signed an agreement in April 2017 whereby South32 was granted an option to form a 50-50 joint venture to hold Trilogy’s Alaskan assets. Option payments are $10M a year for up to 3 years. South32 can exercise the option to form the JV at any time and pay the subscription price into the JV. Upon exercise of the option, Trilogy will transfer its Alaskan assets and South32 will contribute a minimum of $150M to a newly formed Joint venture. Trilogy also has a partnership with the NANA native corporation, with a Net Smelter Royalty (1-2.5%) and the option for NANA to be an equity partner (16-25%) or receive a net proceeds royalty (15% NPI). Projects: ▪ The Arctic deposit, is a polymetallic (Cu, Zn, Pb, Au, Ag) volcanogenic massive sulphide

deposit located approximately 470km northwest of Fairbanks, Alaska. Current activities are focused on engineering and environmental site investigation studies that will form the basis for completing a future pre-feasibility study. Arctic has an Indicated resource of 36Mt grading 3.1% Cu, 4.2% Zn, 0.7% Pb, 0.6g/t Au, 47.6g/t Ag, and an Inferred resource of 3.5Mt. The Arctic PEA, completed in April 2017, features a mine plan with capex of $718M for a 12-year mine life at a mill throughput of 10ktpd, with annual CuEq payable production of 95kt, at cash costs of $0.62/lb net of copper by-products. Based on a copper price of $2.90/lb, a zinc price of $0.85/lb, and a gold price of $1,300/oz, the project would generate after-tax NPV8% of $637M and an IRR of 18%.

▪ The Bornite deposit is a clastic and carbonate-hosted copper deposit located approximately 25 km southwest of the Arctic project. Mineralization is hosted in less-strongly deformed Devonian clastic and carbonate sedimentary rocks. Widespread hydrothermal dolomitization is characteristic of the belt and locally hosts the associated copper mineralization. The project features a 1km wide continuous zone of high grade mineralization, which is open to the north. The Bornite project has in-pit Indicated resources of 40.5Mt grading 1.02%, and Inferred resources of 84.1Mt grading 0.95% Cu; and an underground resource of 58Mt grading 2.9% Cu.

Work Program: The pre-feasibility study for the Arctic project is on track for completion in Q1/18. A key to the development of the Ambler district is the construction of a road connecting the district to existing road infrastructure. The Alaska Industrial Development & Export Authority (AIDEA) has begun the permitting process for the road, Trilogy expects a 2-3 year permitting timeline. Planning is underway for the 2018 program at the Bornite project, which will include infill and offset drilling to better define and expand the copper resource. Financial Position: Cash: $15.4 million, no debt (February 2018); Last Financing: In December 2017, South32 committed to fund the $10 million 2018 program and budget for the Bornite project; Shareholders: The stock has strong institutional ownership, including Electrum Group, Paulson & Co., and Resource Capital. In total, institutions and management own 59% of the shares.

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Trilogy Metals Inc. (TSX:TMQ)

Price Daily Volume


TSX:TMQ




52 Week High/Low $2.03 / $0.60



Debt 0.0


Company CEO Rick Van Nieuwenhuyse


Grade In Situ



Zinc 0.73% 1.78 Blb

Lead 0.13% 0.31 Blb


Catalysts

Trilogy Metals Inc.

• Scoping to be completed Q1 2018 and EIS

anticipated to be completed 1 year later

• Pre-feasibility study for Arctic project Q1 2018




Xanadu Mines Limited (XAM-ASX, A$0.26) Company Description: Xanadu is a copper-gold exploration company focused on Mongolia’s South Gobi region. Xanadu’s flagship project is Kharmagtai, an advanced-stage porphyry copper-gold project located ~420 kilometres southeast of Ulaanbaatar and ~100 kilometres northwest of Rio Tinto’s Oyu Tolgoi mine (2.4 billion tonnes grading 0.78% copper and 0.33 g/t gold). Kharmagtai is proximal to good infrastructure, with sealed roads within 70 kilometres of the project, as well as a nearby powerline from Tsogttsetsii to Manlai. The Company is earning into the project as part of a joint venture with Mongol Metals LLC. Mongol Metals own 90% of Oyut Alaan LLC, the entity that holds the Kharmagtai licences. The remaining 10% of the project is held by Oyut Alaan LLC and QGX. Xanadu announced a capital raising in September for A$15.4 million, which settled a residual $3.6 million debt facility incurred as part of the acquisition. Xanadu’s aim is to eventually list on the Toronto Stock Exchange for greater access to the capital markets in North America. The Company just submitted a preliminary prospectus to the Ontario Securities Commission. Project #1: Kharmagtai Copper-Gold Project ▪ Ownership: Earning up to 76.5% Location: Mongolia ▪ Exploration Target: Kharmagtai comprises multiple gold-rich porphyry centres and

associated tourmaline breccia pipes hosted in a multi-phase intrusive complex that ranges from dioritic to granodioritic in composition. Copper and gold are associated with both the porphyry-style and tourmaline breccia-style mineralization, crosscut by later epithermal-style and carbonate-pyrite-chalcopyrite-sphalerite-galena veins. The porphyry phase represents a larger portion of the mineral resource defined to date (see below); the current resource estimate at Kharmagtai is open-pit constrained, with most of the drilling completed to date (prior to Xanadu’s involvement) focusing on shallower mineralization within outcropping areas. Xanadu’s aim is to expand on the current resource at depth, particularly within higher grade zones offset by shallow-angle faults (e.g., Zesen Uul). Recent drilling results include hole KHDDH415 (264 metres grading 0.56% copper and 1.46 g/t gold from surface, including 148 metres grading 0.81% copper and 2.41 g/t gold. Meanwhile, a combination of magnetic geophysical data and gridded geochemical sampling using rotary mud drilling have defined several interpreted porphyry centres that remain untested. To date, ~19 untested porphyry targets have been identified within the Company’s Kharmagtai licence boundary.

▪ Historical Work: Copper porphyry mineralization was first identified at Kharmagtai in 1979. Following limited surface trenching and diamond core drilling by Mongolian and Russian explorers, QGX Gold (private) identified copper-gold mineralization at three main centres in the late 1990s: Altan Tolgoi, Tsagaan Sudal, and Zesen Uul. Ivanhoe Mines (IMMI) joint-ventured into the project in 2002, carried out extensive surface geochemistry and geophysics, excavated 119 trenches (65,636 metres), and carried out 208 RC (27,747 metres) and 172 diamond-drill holes (54,269 metres) through to 2006. The period between 2007 and 2011 saw exploration drilling focus on deep copper mineralization associated with late-stage tourmaline breccias. Xanadu acquired a controlling interest in the project in 2014.

▪ Resources/Reserves (100% basis): Assuming a 0.3% copper equivalent (CuEq) and 0.5% CuEq cutoff for open-pit and underground resources respectively, a resource estimate in 2012 returned 203 Mt grading 0.34% copper and 0.33 g/t gold (open pit and underground combined)

2017 Work Program: Budget of A$11.2 million will see Xanadu drill through to ~Q3/18 this year. Financial Position: Cash: ~A$11.2 million (after A$15.4 million private placement). Debt: Paid off following last financing (below). Last Financing: September 2017: A$15.4 million comprising 76 million common shares at A$0.20 per share.

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Xanadu Mines Limited (ASX:XAM)

Price Daily Volume


ASX:XAM


Market Cap (A$M) 153.1

52 Week High/Low $0.35 / $0.17


Current Cash Est. A$M 11.2

Debt 0.0

Enterprise Value (A$M) 141.9

Estimated Burn (2018) (A$M) 12.0

Company CEO Andrew Stewart


Grade In Situ


EV/oz Au (US$) $108



Catalysts

Xanadu Mines Limited

• 3-rig drill program through winter 2017 and into

2018. Assay results expected to be released over this

period.



Important Information and Legal Disclaimers

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accurately reflect my/our personal views about the subject securities and the issuer. No part of my/our compensation was, is,

or will be directly or indirectly related to the specific recommendations.



Important Disclosures Of the companies included in the report the following Important Disclosures apply:

Ticker

Company (Haywood does not formally cover the

following companies) 1 2 3 4 5 6 7 8

TSXV:ADZN Adventus Zinc Corp. X X

TSXV:AOT Ascot Resources Ltd. X

TSXV:AU Aurion Resources Ltd X X X

TSX:BTO B2Gold Corp. X X

TSXV:BGM Barkerville Gold Mines Ltd. X X

TSX:ABX Barrick Gold Corp. X

TSXV:KBLT Cobalt 27 Capital Corp. X

TSXV:DLI Desert Lion Energy Corp. X X X X

TSX:EDV Endeavour Mining Corp. X X

TSXV:FWZ Fireweed Zinc Ltd. X X X

TSX:HBM Hudbay Minerals Inc. X X

TSXV:IDM IDM Mining Ltd. X

TSX:LUG Lundin Gold Inc. X

TSX:MAW Mawson Resources Ltd. X X

TSXV:NM Northern Empire Resources Corp. X X X X X

ASX:OKU Oklo Resources Limited

TSXV:OM Osisko Metals Inc. X X

TSX:OSK Osisko Mining Corp. X X

TSX:OR Osisko Gold Royalties Ltd. X X

TSXV:PGZ Pan Global Resources Inc. X X

TSXV:REG Regulus Resources Inc. X

TSXV:RGD Reunion Gold Corporation X X X

TSXV:SAE Sable Resources Ltd. X X X X

Private Steppe Gold Ltd.

TSX:TMQ Trilogy Metals Inc. X

ASX:XAM Xanadu Mines Limited X

1 The Analyst(s) preparing this report (or a member of the Analysts’ households) have a financial interest in this company.

2 As of the end of the month immediately preceding this publication either Haywood Securities, Inc., its officers or directors beneficially owned 1% or more of this company.

3 Haywood Securities, Inc. has reviewed lead projects of this company and a portion of the expenses for this travel have been reimbursed by the issuer.

4 Haywood Securities Inc. or an Affiliate has managed or co-managed or participated as selling group in a public offering of securities for this company in the past 12 months.

5 Haywood Securities, Inc. or an Affiliate has received compensation for investment banking services from this company in the past 12 months.

6 Haywood Securities, Inc. or an Affiliate has received compensation for investment banking services from this company in the past 24 months.

7 Haywood Securities, Inc. is restricted on this company at the time of publication.

8 Haywood Securities, Inc. or an Affiliate expects to receive or intends to seek compensation for investment banking services from this company in the next 3 months.

Other material conflict of interest of the research analyst of which the research analyst or Haywood Securities Inc. knows or has reason to know at the time of publication or at the time of public appearance:

▪ Haywood Securities, Inc. pro group holdings exceed 10% of the issued and outstanding shares of Aurion Resources Ltd (AU-V), Pan Global Resources Inc. (PGZ-V).

http://clientcentre.haywood.com/uploadfiles/secured_reports/RVOct32011.pdf



Rating Structure Each company within an analyst’s universe, or group of companies covered, is assigned: (i) a recommendation or rating, usually BUY, HOLD, or SELL; (ii) a 12 month target price, which represents an analyst’s current assessment of a company’s potential stock price over the next year; (iii) an overall risk rating which represents an analyst’s assessment of the company’s overall investment risk; and (iv) specific risk ratings or risk profile parameters which in their aggregate support an analyst’s overall risk rating. These ratings are more fully explained below. Before acting on our recommendation we caution you to confer with your Haywood investment advisor to determine the suitability of our recommendation for your specific investment objectives, risk tolerance and investment time horizon.

Recommendation Rating BUY –The analyst believes that the security will outperform other companies in their sector on a risk adjusted basis or for the reasons stated in the research report the analyst believes that the security is deserving of a (continued) BUY rating.

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SELL – Investors are advised to sell the security or hold alternative securities within the sector. Stocks in this category are expected to under-perform other companies on a risk adjusted basis or for the reasons stated in the research report the analyst believes that the security is deserving of a (continued) SELL rating.

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RESEARCH COMMENT – An analyst comment about an issuer event that does not include a rating or recommendation.

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Haywood’s focus is to search for undervalued companies which analysts believe may achieve attractive risk-adjusted returns. This research coverage on potentially undervalued companies may result in an outweighed percentage of companies rated as BUY. Management regularly reviews rating and targets in all sectors to ensure fairness and accuracy.

For further information on Haywood Securities’ research dissemination policies, please visit: http://haywood.com/what-we-offer/research/research-policy

Overall Risk Rating Very High Risk: Venture type companies or more established micro, small, mid or large cap companies whose risk profile parameters and/or lack of liquidity warrant such a designation. These companies are only appropriate for investors who have a very high tolerance for risk and volatility and who are capable of incurring temporary or permanent loss of a very significant portion of their investment capital.

High Risk: Typically micro or small cap companies which have an above average investment risk relative to more established or mid to large cap companies. These companies will generally not form part of the broad senior stock market indices and often will have less liquidity than more established mid and large cap companies. These companies are only appropriate for investors who have a high tolerance for risk and volatility and who are capable of incurring a temporary or permanent loss of a significant loss of their investment capital.

Medium-High Risk: Typically mid to large cap companies that have a medium to high investment risk. These companies will often form part of the broader senior stock market indices or sector specific indices. These companies are only appropriate for investors who have a medium to high tolerance for risk and volatility and who are prepared to accept general stock market risk including the risk of a temporary or permanent loss of some of their investment capital.

Moderate Risk: Large to very large cap companies with established earnings who have a track record of lower volatility when compared against the broad senior stock market indices. These companies are only appropriate for investors who have a medium tolerance for risk and volatility and who are prepared to accept general stock market risk including the risk of a temporary or permanent loss of some of their investment capital.

http://haywood.com/what-we-offer/research/research-policy

http://haywood.com/what-we-offer/research/research-policy



Distribution of Ratings (as of February 28, 2018)

IB Clients % # (TTM)

Buy 72.4% 71 92.9%

Hold 12.2% 12 7.1% Sell 0.0% 0 0.0% Tender 1.0% 1 0.0% UR (Buy) 0.0% 0 0.0%

UR (Hold) 0.0% 0 0.0% UR (Sell) 0.0% 0 0.0% Dropped (TTM) 14.3% 14 0.0%

Price Chart, Rating and Target Price History (as of February 28, 2018)

B2Gold Corp. (BTO-T) Date Target(C$) Rating7/20/17 $5.00 Buy1/25/17 $5.50 Buy8/5/16 $6.00 Buy8/3/16 $5.00 Buy

7/11/16 $4.50 Buy5/31/16 $2.80 Buy5/13/16 $2.75 Hold3/18/16 $2.10 Hold

11/16/15 $2.10 Buy3/17/15 $2.75 Buy

Transferred Coverage 09/12/12; Re-Initiated Coverage 02/05/14

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Barrick Gold Corporation (ABX-T) Date Target(C$) Rating2/16/18 $26.00 Buy

10/17/17 $28.00 Buy7/20/17 $30.50 Buy4/26/17 $37.00 Buy2/17/17 $38.50 Buy1/25/17 $33.00 Buy7/11/16 $37.50 Buy5/31/16 $25.25 Buy4/27/16 $25.00 Buy4/18/16 $20.50 Buy2/19/16 $19.50 Buy1/12/16 $14.50 Buy8/7/15 $11.00 Buy

7/15/15 $15.65 Hold4/29/15 $15.75 Hold

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Barkerville Gold Mines Ltd. (BGM-V) Date Target(C$) Rating4/20/17 $1.60 Buy3/30/17 $1.00 Buy

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Cobalt 27 Capital Corp. (KBLT-V) Date Target(C$) Rating2/23/18 $15.00 Buy

12/19/17 $14.00 Buy8/9/17 $11.50 Buy


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Endeavour Mining Corporation (EDV-T) Date Target(C$) Rating10/17/17 $32.00 Buy7/20/17 $35.00 Buy1/25/17 $31.00 Buy

10/20/16 $33.00 Buy7/11/16 $33.00 Buy5/31/16 $22.00 Buy4/21/16 $19.75 Buy3/21/16 $14.50 Buy1/18/16 $12.00 Buy12/3/15 $11.00 Buy

Initiated Coverage 08/21/14; 10:1 Prices/Targets adjusted to reflect

Stock Consolidation 12/02/15; Transfer of Coverage 10/20/16

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Hudbay Minerals Inc. (HBM-T) Date Target(C$) Rating1/12/18 $13.50 Buy

10/19/17 $12.50 Buy8/4/17 $12.00 Buy

7/20/17 $11.00 Buy6/20/17 $9.00 Buy

11/29/16 $10.00 Buy11/14/16 $8.25 Buy11/9/16 $7.25 Hold3/1/16 $7.25 Buy

1/18/16 $6.75 Buy1/12/16 $8.50 Buy7/15/15 $12.00 Buy5/11/15 $12.00 Hold

Initiated Coverage: 12/19/13; Transferred Coverage 6/20/2017

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B: Buy; H: Hold; S: Sell; T: Tender; UR: Under Review Source: Capital IQ and Haywood Securities

Lundin Gold Inc. (LUG-T) Date Target(C$) Rating10/17/17 $7.75 Buy1/25/17 $8.25 Buy7/11/16 $8.75 Buy5/31/16 $7.25 Buy12/8/15 $5.00 Buy


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Osisko Gold Royalties Ltd (OR-T) Date Target(C$) Rating2/21/18 $18.00 Buy

10/17/17 $19.00 Buy7/20/17 $19.50 Buy1/25/17 $18.25 Buy

10/20/16 $19.00 Buy7/11/16 $20.25 Buy3/2/16 $19.00 Buy

12/16/15 $18.75 Buy

Initiated Coverage 12/16/2015; Transfer of Coverage

10/20/2016

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Osisko Mining Inc. (OSK-T) Date Target(C$) Rating4/6/17 $6.50 Buy

3/17/17 $5.00 Buy10/20/16 $4.00 Buy7/11/16 $4.00 Buy5/31/16 $3.00 Buy2/4/16 $2.00 Buy

12/10/15 $2.50 Buy

Initiated Coverage 12/10/2016; Transfer of Coverage

10/20/2016

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1st QUARTER 2018 - cdn.ceo.ca.s3-us-west...

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