August 21 st 2017 Focused on Discovery TSX-V: KGC Disclaimer - - PowerPoint PPT Presentation

TSX-V: KGC

Corporate Presentation

August 21st 2017

Focused on Discovery

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Disclaimer

TSX-V: KGC

This Company Overview contains forward-looking statements that are not historical facts. Forward-looking statements involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking statements, including statements regarding the mineral potential of the various properties and projects. Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, the Company’s inability to reach satisfactory agreements with First Nations to facilitate its exploration and development plans for the properties and projects, the Company's inability to obtain any necessary permits, consents or authorizations required for its planned activities, and the Company's inability to raise the necessary capital or to be fully able to implement its business strategies. The reader is referred to the Company's public disclosure record which is available on SEDAR (www.sedar.com). Although the Company believes that the assumptions and factors used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this Company Overview, and no assurance can be given that such events will occur in the disclosed time frames or at all. Potential investors should conduct their own investigation as to the suitability of investing in securities of the Company. Except as required by securities laws and the policies of the TSX Venture Exchange, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. This Company Overview does not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale

• f any of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful, including any of the

securities in the United States of America. No securities of the Company have been or will, in the foreseeable future, be registered under the United States Securities Act of 1933 (the “1933 Act”) or any state securities laws and may not be

• ffered or sold within the United States or to, or for account or benefit of, U.S. Persons (as defined in Regulation S under

the 1933 Act) unless registered under the 1933 Act and applicable state securities laws, or an exemption from such registration requirements is available.

Forward - Looking Caution

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Strategy

Kestrel Gold’s Strategy

Kestrel Gold’s strategy for growth and shareholder value is to define, acquire and systematically explore quality projects where sound geological models exist that suggest there is excellent potential for sizeable mineral exploration targets. These projects will typically have near surface mineralization with good, recoverable metal grades and be located in easily accessible, politically stable regions of the world and importantly, be cost-effective for exploration. The increased 2017 portfolio of Yukon and British Columbia projects puts Kestrel in a position to explore in several regional areas where large gold and copper deposits have already been found. This coupled with the variety of target models, gives Kestrel the realistic objective that significant new discoveries could be

• realized. Our focus is on DISCOVERY.

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Board of Directors

• Kevin V. Nephin, Director, President, CEO Kevin V. Nephin has worked in the investment industry for more than

25 years. His experience includes 13 years as an Investment Advisor, primarily focused on mining and exploration

• companies. Mr. Nephin was previously a director and officer of Parklane Mines and Minerals Inc. and Micrologix

Biotech Inc.

• Rob Solinger, Director, CFO Mr. Solinger is a Chartered Accountant with over 30 years of finance experience in

a variety of industries including oil and gas, technology and financial services. He currently consults to a number of public and private companies. In the past Mr. Solinger has served as the CFO for a number of public companies including Ironhorse Oil & Gas, Defiant Resources and Truax Resources his skills include strategic planning, finance, accounting, acquisitions and divestitures.

• Stuart W. Peterson, Director Mr. Peterson has been a Chartered Accountant (C.A.) since 1982. Upon gaining

his C.A. designation, he co-founded a public practice that now operates as PROACT Chartered Accountants. PROACT prepares financial statements, regulatory filings for small to medium sized companies and financial statements for public companies. He is also active in providing consulting to private and public companies, primarily in the resource sector, including assistance in setting up capital pool companies. Mr. Peterson previously served as Chief Financial Officer of Indicator Minerals Inc. and Foundation Resources Inc., both companies which are listed on the

• Exchange. Mr. Peterson obtained his Bachelor of Commerce in 1978 from University of Calgary and obtained his

Chartered Accountant designation from the Canadian Institute of Chartered Accountants in 1982.

• Scott Kellaway, Director Mr. Scott Kellaway is currently the President and CEO of Family Memorials Inc. which

trades on the TSX Venture exchange and has been for 13 years. He has extensive experience in business management and fund raising for venture companies. TSX-V: KGC

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Management

• Kevin V. Nephin, Director, President, CEO Kevin V. Nephin has worked in the investment industry for more

than 25 years. His experience includes 13 years as an Investment Advisor, primarily focused on mining and exploration companies. Mr. Nephin was previously a director and officer of Parklane Mines and Minerals Inc. and Micrologix Biotech Inc.

• Rob Solinger, Director, CFO Mr. Solinger is a Chartered Accountant with over 30 years of finance experience in

a variety of industries including oil and gas, technology and financial services. He currently consults to a number of public and private companies. In the past Mr. Solinger has served as the CFO for a number of public companies including Ironhorse Oil & Gas, Defiant Resources and Truax Resources his skills include strategic planning, finance, accounting, acquisitions and divestitures.

• Debbie Fern, CIM, Corporate Secretary Ms. Fern, received her Bachelor of Commerce degree from the

University of Calgary in 1979. She has been with PROACT Chartered Accountants since 1984 in various capacities. She is currently the Office Manager and is an integral part of the management of PROACT Chartered Accountants.

• William Taylor, M.Sc, P.Geo, FGS, Consulting Vice President of Exploration, Qualified Person William

Taylor has worked as a geoscientist since 1984, employed with major mining and engineering companies, a government mine department and has consulted for a number of junior exploration mining companies. TSX-V: KGC

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Technical Team

• William Taylor, M.Sc, P.Geo, FGS, Consulting Vice President of Exploration, Qualified Person William

Taylor has worked as a geoscientist since 1984, employed with major mining and engineering companies, a government mine department and has consulted for a number of junior exploration mining companies.

• Bernie Kreft, Consultant to Kestrel Mr. Kreft has worked as an independent prospector within the Yukon and

B.C. for over 25 years, and he was named Yukon Prospector of The Year in 1998. He has acquired or discovered many significant targets including mineral deposits: Copper Canyon, Clear Lake, Nak, Louise Lake and Blende.

• Jean Pautler, B.Sc, P.Geo, Consultant to Kestrel, Qualified Person Ms. Pautler is a geologist with over 35

years experience in the Canadian Cordillera. Formerly with Teck Corp, she now runs JP Exploration Services, a private geological consulting company. In 2010 Jean was named Yukon Prospector of The Year for her role in helping discover the Golden Saddle deposit.

• Carl Schulze, B.Sc, P.Geo, Consultant to Kestrel, Qualified Person Mr. Schulze has worked extensively

within Canada with a focus on the Cordillera. Over his career he has worked for numerous public companies in varying capacities as well as having served as President of the Yukon Chamber of Mines and the Resident Geologist for the Government of Nunavut. Carl recently joined the Yukon division of Aurora Geosciences Ltd. as Project Manager. TSX-V: KGC

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Yukon & B.C. Projects

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Yukon & B.C. Projects

• Kestrel Gold’s flagship property is the 100% owned King Solomon Dome property which is

a 30 minute drive south of Dawson City in the heart of the infamous Klondike Goldfields that have produced an estimated 20 million ounces of placer gold with the motherlode source still to be found

• Kestrel Gold has also recently acquired the option to earn a 100% interest in 4 gold

properties in the Yukon and 4 copper-gold properties in north western British Columbia

• The properties come with important and sizable exploration databases
• The Yukon gold properties are located in the Tintina Gold Belt which extends from

northern B.C. to southwest Alaska, and includes the significant gold deposits of Donlin Creek, Pogo, Fort Knox, Eagle, White Gold and Coffee

• The B.C. copper-gold properties are located in Stikine Terrane which hosts the significant

copper porphyry deposits of Galore Creek, Schaft Creek, Red Chris, Copper Canyon, KSM and Kemess

• Kestrel is conducting a summer program of prospecting, soil and rock sampling and

pending further financing, trenching and drilling later in the season

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Tintina and the Golden Triangle

• The Tintina Belt has past

production and current estimated gold resources at several tens of millions of ounces

• Producing mines include Fort Knox,

Pogo and at the development stage in the Yukon, Coffee and Eagle

• B.C.’s Golden Triangle has

produced and may well continue to produce some of the highest grade concentrations of gold (and silver) anywhere in the world (Eskay Creek, Snip, Brucejack)

• Like Tintina, the Golden Triangle

also hosts a number of sizable copper (+/- gold) porphyry deposits and advanced stage projects including one producing copper - gold mine (Red Chris)

Concentrated Mineral Wealth

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Roads and Power

• Kestrel’s projects are very well

located in relation to the existing and importantly expanding infrastructure in both the Yukon and North Western B.C.

• The projects are mostly directly

and partially accessible by road

• In B.C., the recent construction

the Northwest Transmission power line along with proposed roads into Brucejack, KSM, Shaft Creek and Galore Creek is helping to establish the Golden Triangle region as one of the most desirable mining districts to conduct mineral exploration

Infrastructure

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Increasing Investment

• In recent months a trend is developing that major mining companies are increasing their equity share in

junior explorers and developers - with Yukon projects in particular, being some of the most sought after

• “B.C. is already seen across Canada and around the world as an attractive place to invest and do

business in mining,…We expect B.C.’s reputation to remain strong in the years to come”

SEE APPENDIX FOR DETAILS ON RECENT INVESTMENTS BY MAJOR MINING COMPANIES IN BOTH THE YUKON AND B.C.

Source: The Northern Miner, August 7, 2017 citing CIBC World Markets Report

A Positive Outlook for both the Yukon and B.C.

Source: PwC Canada report, May 16, 2017

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King Solomon Dome Property

• Kestrel’s flagship King Solomon Dome (KSD) property

is situated on ridges interpreted to be a potential source of the estimated 20 million ounces of placer gold recovered since the discoveries that started the great Klondike gold rush of 1896

• Kestrel’s 100% owned KSD property is only 30

minutes drive from Dawson City, Yukon Territory – exploration costs are accordingly far below most

• ther Yukon projects
• The creeks draining from the vicinity of this

topographical high point are still producing some of the highest concentrations of gold in any placer region globally

• The `mother lode’ source has to date never been

found – but the drainage pattern alone, suggests a very localized concentration of gold and silver

King Solomon Dome and where the Great Klondike Gold Rush Started

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King Solomon Dome Property

400 metres 400 metres

Kestrel discovered (and undrilled) Mineralized Gold and Silver Zones (from 2011 Trenching) Gold in Soil 30 to 60 ppb Au Gold in Soil 61 to 100 ppb Au Gold in Soil 101 to 4000 ppb Au

• Kestrel’s 2011 IP Geophysical survey identified a

large IP anomaly over a distance of 1.2 km open to the north and south and to depth and correlates with the soil geochemical anomaly

• A second follow up 3D IP survey conducted in 2012

confirmed the chargeabilty anomaly to an even greater depth (and still open)

IP Chargeabilty Survey and Main Gold in Soil Anomaly

IP Survey Soil Geochemical Survey

Note: A regional geology map is available on the Properties Section of www.kestrelgold.com

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King Solomon Dome Property

Mitchell Trend

Dominion Creek Headwaters Sheba Sheba South Sheba West Sheba East Mitchell East

Mitchell Shaft

King Solomon Dome Peak Sheba South East

400 metres

• Mitchell East : up to 17.1 g/t Au over 0.19 m

and 5.40 g/t Au over 2.0 m (Mitchell Shaft: 3.73 g/t Au over 3.0 m* - known showing)

• Sheba West: up to 8.8 g/t Au over 0.25 m and

0.57 g/t Au over 11.0 m

• Sheba South: 0.48 g/t Au over 8.0 m and 1.59

g/t Au over 0.95 m

• Dominion Creek Headwaters: 2.02 g/t Au
• ver 0.25 m

NEW Untested Zones Partially Tested (drilled) Known Zones

• Sheba East : up to 9.40 g/t Au and >50 g/t

Ag over 0.40 m, 0.42 g/t Au over 14.01 m (and 60.8 g/t Au over 0.8 m*)

• Sheba South East: 3.99 g/t Au 2278 kg bulk

sample*, 40.67 g/t Au over 0.7m*, 0.85 g/t Au over 6.0 m*, 4.59 g/t Au over 1.5 m*

Ground Magnetic Survey (2012) and Main Zones of Mineralization (from Trenching)

* Non NI 43-101 Compliant Historical Values

DDH13-01 DDH13-03 DDH13-02

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King Solomon Dome Property

• Remarkably, the 1200 m preliminary diamond drill 3 hole program

was the first at the Dome since the Klondike Gold Rush, 117 years before

• All three holes encounter at least some low grade gold

mineralization especially where increased quartz and pyrite is present and the vein system is shown to be persistent to depth but highly influenced by structures

• DDH13-02 (in Sheba East area) returned 9m of 0.27 g/t Au at 29m to

39 m below surface and up to 4.89 g/t Au at 53m below surface

• DDH13-03 returned 0.65 g/t Au across 6.5m at 189m to 195.5m

down hole (approx. 164m to 169m below surface) with numerous fault gouge zones throughout its length

• The Klondike chloritic schist host lithology is fairly homogeneous

across the three holes but the level of structural complexity varies – suggesting that the frequency, distribution, orientation and nature of structures needs to be incorporated into the geological model to help delineate possible zones of higher grade gold and silver mineralization

The First ever Diamond Drilling at the “Dome” begins in 2013

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King Solomon Dome Property

A conceptual exploration model for how high grade gold may concentrate at KSD

• The conceptual model shows the

postulated reasons for variations in gold concentrations and grade within the Klondike Schist

• Further exploration will focus on factors

that are thought to influence the distribution of “high grade” gold i.e. faults and mafic “reactive”masses (which should be indicated to some degree by the ground magnetics)

• Upcoming work will “detail in” on mapped

and interpreted fault structures and ground magnetics within the broader chargeability and geochemically anomalous footprint

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King Solomon Dome Property

Mitchell Shaft and Trend

• Photo shows quartz pile near Mitchell Shaft circa 1913 - samples assayed up to 20.7

g/t Au by MacLean (Dawson Mining Recorder)*

• A dozen visible gold localities were noted by MacLean in 1913 along a 700 m strike

length, south of the Mitchell Shaft with samples recording up to 34 g/t Au over 1.2 m*

Kestrel and Historical Trenching (throughout northern KSD)

• Several samples of high grade gold and silver obtained in Kestrel’s 2011 trenching

program (23 rock samples returned values greater than 2 g/t Au and up to 17 g/t Au)

• Photo shows a quartz vein in Klondike Schist which returned 9.40 g/t Au over 0.40 m in

the Sheba East area

• Several samples of multi-gram high grade gold are documented by previous workers

Dominion Headwaters (and southern KSD)

• These gold (in quartz vein) nuggets are believed to be obtained on the KSD property

and in the uppermost headwaters of Dominion Creek (upstream of in situ 2 g/t Au quartz vein material sampled by Kestrel), a very substantial placer gold producing creek for it’s entire length

• Soil sample of 4000 ppb Au several hundred metres further south of nugget location

*Non NI 43-101 Compliant Historical Values

Near surface elevated gold values in rock are widespread throughout KSD

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King Solomon Dome Property

The image above looking NE from the Dome peak, illustrates the property wide extent of areas to be tested for both high grade and bulk tonnage, near surface gold and silver mineralization, in Kestrel’s next exploration program

KSD conclusion: Many untested areas for property-wide follow up exploration

Note: A regional geology map is available on the Properties Section of www.kestrelgold.com

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Val - Jual & Ten Properties

• The project consists of two claim

blocks, Val-Jual and Ten totalling approximately 2,650 hectares, located within the White Gold District, 45 km northwest of the Golden Saddle deposit and 75 km north-northwest of Goldcorp's Coffee deposit

• A database of over 5,900 soil

samples, airborne geophysical data and results from rock sampling, trenching, mapping and limited diamond drilling is being utilized by Kestrel

Regional Geology and location in relation to White Gold

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Val - Jual & Ten Properties

• Numerous northwesterly trending, quartz

veins, stockworks, and fault zones occur with several rock grab sample values in the 8-16 g/t Au range to a peak value of 41.8 g/t Au

• The properties are surrounded by active

gold placer claims

• Recently the area has become the focus of

much increased exploration interest and Kestrel’s properties are completely surrounded by K2 Gold Corp. (Flume), White Gold Corp. (Dime/Money) and Goldstrike Resources Limited (Kings Ransom) all with active 2017 field programs

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• Explored by Teck in 1998 -2000 - five mineralized zones were initially discovered
• Limited trenching of “lower order - more accessible areas” returned good gold results including 1.6 g/t

Au over 25m which included 11.1 g/t Au over 3m before Teck discontinued Yukon exploration in 2001

• Subsequent work in 2010-11 (Solomon Resources) found geochemical soil anomalies far more extensive

than originally thought, extending over an area 2700 metres by 3880 metres in size with gold values returning up to 1436 ppb

• Eight distinct mineralized targets were identified with arsenic and lead generally found to be reliable

pathfinder elements

• Limited airborne geophysics suggested the presence of faults and dilatant zones that in light of the

subsequent work and further understanding in the White Gold Area may represent structural traps for the concentration of bonanza grade mineralization

• White Gold district and Pogo geological models can likely be applied and tremendous upside exploration

potential exists because Kestrel believes the main high grade surface sample areas and structural zones

• f interest have not been drill tested!

Val - Jual & Ten Properties

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Val - Jual & Ten Properties

• Au anomalies may correlate with intrusives, which are postulated to manifest on the airborne Potassium-

Thorium (K/Th) map as grey ``lows`` . Greater competency of the intrusive rocks may be provide a better host to mineralization

• Structures extending beyond the intrusives should not be overlooked (utilizing airborne first vertical

derivative magnetics)

Au Soil Geochemistry Airborne Magnetics Airborne K/Th

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• The extensive gold in soil

anomalies as shown to the left are now being revisited by Kestrel’s technical team with close attention being paid to how these regions correlate with structural lineations outlined in Solomon’s airborne magnetic survey

• Further 2017 sampling and

prospecting by J. Paulter P. Geo and B. Kreft is expected to delineate a number preliminary phase one drill targets

Val - Jual & Ten Properties

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Clear Creek Property

• The Clear and Barney properties are road accessible, total approximately 2850 hectares, and are

located approximately 60km southwest of Victoria Gold’s Eagle Gold Project and 60km southeast of the Brewery Creek Mine

• The Clear Creek drainage is still being actively placer mined and placer gold was first discovered in 1898
• Bema Industries first realized the significant hard rock gold potential of the area in 1978 on behalf of

Canada Tungsten Corporation

• The importance of the Clear Creek property is because of an area in the north central portion of the

property which is road accessible and has had relatively little follow up exploration since the early 1990’s

• A structurally controlled, intrusion related Fort Knox type target with mineralization as sheeted quartz

veins, stockworks, disseminations and within hornfels contact zones

• There is room in this area for a Fort Knox type exploration target and the type of mineralization recognised

for early stage exploration to suggest this is a very viable target model

• Fort Knox is one of Kinross’s largest gold producing mines with 2016 production of 409,844 oz Au

(equivalent) and lies within the same Tintina Gold Belt of Clear Creek (and all of Kestrel’s Yukon properties)

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Clear Creek Property

• In early 1990’s Hemlo Gold Mines Inc. (operated by Noranda)

discovers mineralized shear structure returning 1.09 g/t Au

• ver 35 metres at surface at the Eiger Zone
• RC hole drilled into diorite and ending in mineralization,

returned 0.65 g/t Au over 85 metres bottoming in 3.0m of 1.296 g/t Au

• A grab sample at the Eiger zone returned 319.5 g/t Au and a

trench near the Saddle Zone, over a kilometre to the west and within the same mapped east west trending fault structure, returned 2.0 g/t Au over 24 metres

• Trenching in the Saddle Zone, returned values of 2.11 g/t
• ver 25 metres
• Pathfinder elements include Ag, As, Bi and W and high

bismuth is documented with high grade gold in rock samples exhibiting visible gold

• The 2.8 kilometre long gold soil anomaly encompasses both

the Eiger and the Saddle zones - with values exceeding 4200 ppb Au

• 2017 Fieldwork is focused on defining drill targets

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Barney Ridge Property

• The road accessible Barney Ridge property is

host to 2 main gold soil anomalies which have yet to be “closed off”

• Prospecting of these anomalies has

encountered both intrusive as well as sediment hosted mineralization, grab samples of which have returned values up to 7.72 ppm Au and 152 ppm Ag

• Part of Clear Creek Placer gold drainage
• Modern day bedrock exploration work began in

the late 1970's and early 1980's with Canada Tungsten investigating stocks and related skarns for their tungsten and tin potential

• Structurally controlled Fort Knox type target as

at Clear Creek with potential for high grade zones

• 2017 Fieldwork is focused on defining drill

targets

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Dease Porphyry Properties

• The Dease Porphyry project consists of 7,246 ha of mineral titles covering 4 target areas:

Hu, Hotai, Lode and Gnat

• Kestrel is keen to take advantage of the excellent copper prospectivity of the region
• The project is located near the northern tip of the Golden Triangle hosting important

advanced stage copper porphyry deposits of Shaft Creek, Galore Creek, North Rok and the Red Chris Copper Mines

• The excellent gold prospectivity of the project will also be evaluated by Kestrel. The

northern tip of the Golden Triangle is host to the Tatogga Property of GT Gold Corp. which is currently one of the most closely watched regions of the Golden Triangle following positive drill results

• The Dease Porphyry project is within Stikine Terrane, host to the most significant porphyry

copper and copper- gold deposits of northern British Columbia

• An extensive database including results for soil, silt, and rock sampling along with airborne

magnetics and ground IP surveys exists for the area of the project and will be used to guide further work

Kestrel adds Copper exploration with the Dease Porphyry Project in B.C.

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Dease Porphyry Properties

• Hu is host to two targets: Hu and Hu West.

Hu West consists of a coincident chargeability and Cu-Mo-Ag soil anomaly along with grab sample values up to 7.07%

• Cu. At Hu, grab samples of syenite returned

up to 2.01% Cu and 708 ppb Au

• The Lode target area covers skarn alteration

and veining within a mixed volcanic- sedimentary-intrusive package that is variably silicified and propylitically altered. Grab sample values range up to 13% copper and 1,012 ppb Au

• At Hotai, IP chargeability highs are found

coincident with total field magnetic highs and copper values up to 0.56% from grab samples of potassic altered diorite outcrops

• The Gnat Target consists a massive sulphide

cemented breccia within a hornblende quartz monzonite, a select grab sample of which retuned >1.0% Cu and 5.219 g/t Au

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Discovery is our Focus

Discovery comes with experience, planning, perseverance and boots on the ground

Ongoing 2017 Fieldwork is defining several targets to be drilled

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Contact

Further maps and information covering all of our assets can be found on the projects page of our website: www.kestrelgold.com

KESTREL GOLD INC.

Head Office Suite 208 110 12th Avenue SW, Calgary, Alberta Canada T2G OR7 Email: info@kestrelgold.com Phone: +1 604-799-2456 Contact: Kevin V. Nephin, Director, President, CEO Stock Exchange TSX - Venture Stock Symbol KGC

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APPENDIX: Increasing Investment

• Direct investment in TSX-listed shares of junior gold companies is currently the highest it’s been in the last 10 years: $290

million has been invested into juniors this year, which is double the value of 2015 and 2016 combined *

• A trend is developing that major mining companies are increasing their equity share in junior Yukon explorers and

developers (see Appendix)

• It is anticipated by CIBC that more direct investments are in store, and that juniors with projects in the Yukon, Quebec,

Ontario and Nevada are the most sought-after*

• Of all the investments, CIBC notes, Newmont offered the most generous premium. Its investment in the Yukon with

Goldstrike, for example, “was the highest premium paid [at 94%] over the past five years on the TSX” *

• “The B.C. mining industry is on solid ground as we head into the second half of 2017. More capital is slowly becoming

available for junior companies and their smaller projects, while larger operators are beginning to boost investment to help build a more sustainable industry for the future”**

• “B.C. is already seen across Canada and around the world as an attractive place to invest and do business in mining,…We

expect B.C.’s reputation to remain strong in the years to come” **

* Source: The Northern Miner, August 7, 2017 citing CIBC World Markets Report ** Source: PwC Canada report, May 16, 2017

Positive outlook for both the Yukon and B.C.

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APPENDIX: Recent Yukon Mining Investment

• May 12, 2016: Goldcorp announces acquisition of Kaminak Gold Corporation for approximately C$520 Million
• June 24, 2016: Goldcorp acquires flow-through shares of Independence Gold Corp. for approximately C$1.95 Million

representing 19.9% of the common shares

• July 27, 2016: Eric Sprott private placement in Golden Predator Mining Corp. for C$7.3 Million (from a total of C$16.36

Million) for 13.55% of the issued and outstanding common shares (19.04% assuming exercise of warrants)

• December 5, 2016: Agnico Eagle Mines Limited in a share purchase agreement to make a strategic investment to

purchase 19.93% of the common shares of G4G Capital Corp (White Gold Corp.) for C$14.52 Million

• March 2, 2017: Goldcorp acquires flow-through shares of Triumph Gold Corp (formerly Northern Freegold Resources Ltd.)

for approximately C$6.27 Million representing 19.9% of the common shares

• March 6, 2017: Newmont in a Strategic Alliance with Goldstrike Resources Ltd. providing for C$53 Million (US$39.5

Million). Newmont will have the option of holding up to 19.9% common shares

• May 4, 2017: Barrick Gold Corporation purchases flow-through common shares of ATAC Resources Ltd. to own

approximately 19.9% of the issued and outstanding shares for proceeds of C$8.34 Million

• May 18, 2017: Kinross in a vend-in of Yukon property to create White Gold Corp. Strategic Alliance and acquire an

approximately 19.9% interest in White Gold Corp. in a cash and share deal worth around C$60 Million

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APPENDIX: Recent B.C. Mining Investment

• March 3, 2017: Osisko Gold Royalties Ltd. streaming agreement with Taseko Mines Ltd. for Taseko’s 75% share of payable

silver production from the Gibraltar Mine for US$33 Million

• March 7, 2017: Osisko Gold Royalties Ltd. private placement agreement with IDM Mining Ltd. for C$15.248 Million

resulting in Osisko holding 19.9% of the IDM shares on a non-diluted basis

• July 6, 2017: Hudbay Minerals Inc. mineral property farm-in agreement with Amarc Resources Ltd for Ike Copper

Porphyry property (49% ownership by funding C$25 Million and 50% by funding C$40 Million….)

• August 4, 2017: Goldcorp will complete a flow-through private placement for the common shares of Colorado Resources
• Ltd. following which Goldcorp will own approximately 14.25% of the issued and outstanding shares of Colorado

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APPENDIX: B.C. Government and Policy

• Since 2011, seven new mines have been permitted in British Columbia and expansions of nine major mines have been

approved

• The mining industry in British Columbia recorded its highest net revenue since 2012 last year
• Turnaround time for Notice of Work permits has move than halved since 2011
• AuRico Metals’ announcement in March 2017 that its Kemess Project became the first in the mining industry to have its

environmental assessment decision approved under the new single provincial and federal process.

• The new B.C. Provincial Government confirmed support for mineral exploration and mining in BC policies such as

continuing the flow-through share tax credit for mineral exploration

• Protecting trade exposed sectors like mining operations in order to maintain competitiveness and removing PST from

electricity used for mining operations have been discussed

• Ensuring permits are processed efficiently for both mineral exploration and mining, and investing in industry training

programs has also been mentioned

• July 18 2017 Premier Mandate Letter states …”Establish a BC Mining Jobs Task Force to create and sustain good jobs in

this important industry”…..”Develop an improved and properly resourced approvals process to assess mining applications, and increase industry safety by establishing an independent oversight unit”

• New B.C. provincial government is using the same UN template (in line with Canadian Federal Government in 2016) of the

United Nations Declaration on the Rights of Indigenous Peoples signed by 148 member states of the UN

• The industry continues to collaborate with communities, First Nations and other stakeholders to ensure that its projects

meet the highest environmental standards and operate with a strong social license

• Much of the exploration, development and mine production in NW B.C. (Snip, Eskay Creek, Golden Bear and now Red

Chris) is located within the traditional territory of the Tahltan First Nation

• The Tahltan Nation Development Corporation has provided heavy civil construction contracting and mine services

throughout northwest Canada since 1985

• British Columbia’s mining policies, strong economy and competitive tax policies mean that B.C. is well-positioned to take

advantage of the next upswing in commodity prices

Sources: Energy, Mines and Petroleum Resources FACTSHEET: Mining industry overview, March 28, 2017, BC mineral exploration and mining industry welcomes new government: Association for Mineral Exploration, July 18, 2017, July 18, 2017 Mandate Letter from Premier BC to Minister of Energy, Mines and Petroleum Resources, Mining.com Mar. 23, 2016

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www.kestrelgold.com

APPENDIX: Yukon Government and Policy

• Mining is the most important private industry in the Yukon in terms of GDP (19%) share
• First Nations and the Yukon Government have recently championed a “government - to - government relationship” to

ensure that industry, the territorial government and First Nations are on the same page for mineral projects

• Yukon is at the forefront of land claim negotiations in Canada. As of 2008, 11 of 14 Yukon First Nations have finalized their

land claims with Final and Self-Government Agreements in effect, and Yukon’s relationships with First Nations governments continue to develop based on implementation of Final and Self-Government Agreements

• The Yukon Mineral Exploration Program provides a portion of risk capital to help explorers
• The Yukon government has approved funding for 38 hard rock and 21 placer mining projects, through the Yukon Mineral

Exploration Program.. The funding totals $1.6 million dollars. Individual projects were eligible for grants up to $40,000

• Fuel Tax Exemption for miners and other off-road industries
• The Government of Yukon provides strong support to its knowledge sectors with continued investment in infrastructure

and innovation

• Yukon is 99.9 per cent connected to broadband and wireless services
• Yukon has close proximity to major distribution channels: Alberta to the south-east connects Yukon to a primary

distribution centre in western North America. B.C. and Alaska to the south and west which connects Yukon to primary shipping lanes to Asia.

• Yukon has an established government-maintained highway system that connects to every community in Yukon except the

fly-in community of Old Crow, located in northern Yukon. Yukon has major airlines providing daily flights from the southern gateways of Vancouver, British Columbia (B.C.), Calgary and Edmonton, Alberta, twice weekly flights from Kelowna, Ottawa and Yellowknife, as well as smaller freight airlines that provide transport and supplies to Yukon’s communities

Sources: The Visual Capitalist 2017: http://www.visualcapitalist.com/yukon-mineral-potential-coming-of-age/ CBC News North, May 19, 2017: http://www.cbc.ca/news/canada/north/yukon-mineral-exploration-funding-placer-mining-1.4122819, Invest Yukon 2017: http://www.invest-yukon.com/Invest.aspx