Corporate Presentation September 2020 The leading high-grade gold - - PowerPoint PPT Presentation

TSX: GCM OTCQX: TPRFF September 2020

The leading high-grade gold producer in Colombia

Corporate Presentation September 2020

TSX: GCM OTCQX: TPRFF

TSX: GCM OTCQX: TPRFF September 2020

Disclaimer

Forward-Looking Statements

This presentation contains "forward-looking information", which may include, but is not limited to, statements with respect to the future financial or operating performance of the Company and its projects, and, specifically, statements concerning anticipated growth in annual gold production, future cash costs and AISC, future G&A and capex, operating and free cash flow, future repayments of its gold-linked notes, future dividends and purchases of common shares under the NCIB. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Gran Colombia to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Factors that could cause actual results to differ materially from those anticipated in these forward-looking statements are described under the caption "Risk Factors" in the Company's Annual Information Form dated as of March 30, 2020 which is available for view on SEDAR at www.sedar.com. Forward-looking statements contained herein are made as of the date of this presentation and Gran Colombia disclaims, other than as required by law, any obligation to update any forward-looking statements whether as a result of new information, results, future events, circumstances, or if management's estimates or opinions should change, or

• therwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future

events could differ materially from those anticipated in such statements. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements. All amounts are denominated in U.S. dollars, unless indicated otherwise.

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TSX: GCM OTCQX: TPRFF September 2020

Emerging Mid-Tier Gold Miner

Focus in Colombia Marmato Project

Caldas Gold Corp

57.5% ownership

• High-grade underground mines
• 2019 Production: 214,000 ozs
• One of the Top 5 Highest Grade Underground Global Gold

Mines…16.4 g/t in 2019

• Exploration extending existing mines and expanding to

include regional targets

• Spun out to Caldas Gold Corp in February 2020, retaining

control position

• 2019 Production: 26,000 ozs
• Building Colombia’s next major gold mine
• 2020 PFS and Wheaton stream validate underground mine

expansion into the Deeps Zone

Segovia Operations

Flagship Operation

100% ownership

Core Projects in Historic Mining Districts with Significant Exploration Upside

2019 Gold Production 240,000 ozs +10% over 2018

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TSX: GCM OTCQX: TPRFF September 2020

Installation of Facial Recognition Technology

• Biometric facial recognition was installed for touchless access,

health screening, and mask compliance.

• The technology takes the temperature of each employee and alerts

if temperatures are over 38° C.

Employee Sanitization Stations

• Additional employee sanitization stations were installed.
• Stainless steel sinks with pedal pumps are used to avoid

surface contact.

Increased Security & Protection Protocols

• Continued COVID-19 restrictions in place, in-line with Colombian

national guidelines.

• Suspension of international travel for employees and restriction of

foreign personnel to our operations at Segovia.

• Work from home strategy for all office staff.
• Mandatory PPE and signage installed to aid in protective

measures and social distancing.

• Increased disinfection, monitoring of possible symptoms, and

around-the-clock employee access to medical care.

COVID-19 Response

Protecting our Workforce

TSX: GCM OTCQX: TPRFF September 2020

TSX: GCM OTCQX: TPRFF September 2020

COVID-19 Response

Supporting Vulnerable Communities

Protein groceries for families in Segovia, Remedios, Marmato, Caldas, Riosucio and surrounding communities of Chinchina and Mato Sanitation kits to first responders 110,000 face masks for the communities of Antioquia and Caldas Gran Colombia supported vulnerable communities, donating:

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TSX: GCM OTCQX: TPRFF September 2020

Fully Diluted = ~89.4M shares

Warrants

GCM.WT.B: 11.2 million @ CA$2.21 (2024 expiry) Unlisted: 3.3 million @ CA$5.40 (2023 expiry) Unlisted: 7.1 million @ CA$6.50 (2023 expiry)

Stock Options

1.8 million @ CA$2.55 to CA$4.05 (2021-2024 expiry)

Convertible Debentures

CA$20 million @ CA$4.75 (2024 expiry)

Exchanges

TSX: GCM OTCQX: TPRFF

Capital Structure

Undervalued Versus Peers Common Shares

61.9 million

Market Capitalization

(as of August 31, 2020)

CA$372 million (1) Quarterly Dividend

• CA$0.015 per common share
• Payment date: October 15,

2020

• Record date: September 30,

2020

NCIB (2)

• Commencing September 4,

2020 for a 12-month period

• Authorized to purchase up

to 5.9M common shares

(1) Based on C$6.00 at close on August 31, 2020. (2) The NCIB will allow the Company to purchase for cancellation up to 5,934,811 Shares of the Company over a 12-month period, representing 10% of the current issued and outstanding Shares in the public float as of August 31, 2020. TSX: GCM OTCQX: TPRFF September 2020 $3.00 $4.00 $5.00 $6.00 $7.00 $8.00

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TSX: GCM OTCQX: TPRFF September 2020

Valuation

Significant Re-Rating Potential

TSX: GCM OTCQX: TPRFF September 2020

Stifel GMP - CA$8.75/share target price

(August 14, 2020 Research Report)

“Another solid operational Q for GCM; significant free cash flow generation ahead. GCM currently trades at 0.44x spot P/NAV behind peers at 0.55x. GCM has a Free Cash Flow Yield of 32% versus peers at 10%.”

Red Cloud Securities - CA$13.00/share target price

(August 17, 2020 Research Report)

“Confidence in H2/20 signaled with dividend declaration. GCM trades at 1.8x 2021E EV/EBITDA and 0.43x NAV versus peers at 5.0x and 0.9x.”

Fundamental Research - CA$11.41/share target price

(August 28, 2020 Research Report)

“We estimate GCM’s shares are trading approximately 75% below all the average metrics of senior producers. GCM’s forward EV/EBITDA is just 1.5x versus the senior producers’ average of 8.1x.” Frank Holmes, U.S. Global Investors

(August 20, 2020, Twitter)

“ GCM has the highest free cash flow yield 16% vs 75 gold stocks we follow with median 2.5%. Gold stocks trade at 13x cash flow and GCM is 3x.”

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Directors

Miguel de la Campa, Vice Chairman – Company co-founder with 30+ years of experience in financing and developing mining and other resource projects Jaime Perez Branger – Executive with 30+ years of experience in finance and capital markets Robert Metcalfe – Lawyer and corporate director Hernan Martinez – Former Colombian Minister of Mines and Energy Monica De Greiff – Former Executive President of the Bogota Chamber of Commerce and former Colombian Minister

• f Justice

De Lyle Bloomquist – Corporate director

Management

Serafino Iacono, Executive Chairman – Company co-founder with 30+ years of experience in capital markets and public companies Lombardo Paredes, CEO - 20+ years of corporate leadership and

• perations management experience in the resource sector in

Latin America Mike Davies, CFO – CPA,CA with 20+ years of international and public company experience in resource and other sectors Alessandro Cecchi, VP Exploration – Exploration geologist with 20+ years of experience focused gold exploration and development in South America Amanda Fullerton, VP Legal and Corporate Secretary – Lawyer with 12 years of experience in corporate securities law in resource industries Jose Ignacio Noguera, VP Corporate Affairs – Lawyer with 20+ years of experience in public and government affairs and sustainability in the resource sector in Colombia Angel Meza, General Manager, Segovia Operations – Mine engineer with 17+ years of experience in mining operations in South America and Africa Inivaldo Diaz, Technical Manager, Segovia Operations – Civil mine engineer with 24+ years of experience in the mining industry in South America

The Right Team

Seasoned Experience in Colombia

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TSX: GCM OTCQX: TPRFF September 2020

GRAN COLOMBIA 2.0

Segovia Operations

40.7 13.0 5.5 5.0 2016 2017 2018 2019 LTI Frequency Rate

Health and Safety is a Top Priority

80 75 93 126 149 193 214 $1,169 $1,037 $695 $655 $664 $623 $607 2013 2014 2015 2016 2017 2018 2019 Production (koz) Cash Cost (US$/oz)

Substantial Production Growth while Lowering Costs

✓ DEMONSTRATED OPERATING AND

MINE BUILDING EXPERIENCE IN LATIN AMERICA

✓ TRACK RECORD OF IMPROVEMENT ✓ STRONG HEALTH & SAFETY RECORD ✓ FOCUSED ON BUILDING STRONG

COMMUNITY RELATIONSHIPS

Segovia Lost Time Incidents

Source: Company filings.

The Right Team

Focused on Cash, Costs & Execution

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Annual Gold Production reaches 240,000 ozs Higher gold prices fueling Adjusted EBITDA growth AISC reflects focus on controlling costs

$M

Free Cash Flow is servicing debt and building cash

kozs

• 40

80 120 160 200 240 2017 2018 2019 H1-2019 H1-2020

Segovia Marmato

$M $- $250 $500 $750 $1,000 2017 2018 2019 H1-2019 H1-2020 AISC Total Cash Cost US$/oz $- $50 $100 $150 2017 2018 2019 H1-2019 H1-2020 $- $20 $40 $60 $80 $100 $120 2017 2018 2019 H1-2019 H1-2020 Operating Cash Flow Free Cash Flow

Refer to Company’s MD&A for computations.

Results

Performance Drivers

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AISC (-23%)

$- $20 $40 $60 $80 $100 $120 $140 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Gold Notes Convertible Debentures Cash $M 2018 2019

Gran Colombia’s balance sheet continues to get stronger each quarter

Free Cash Flow strength facilitates implementation of a quarterly dividend commencing September 30, 2020.

(1) Aggregate principal amount outstanding.

2020

Results

Cash & Debt (1)

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• Issued April 30, 2018 and mature on April 30, 2024
• Senior secured obligation of Gran Colombia
• US$38.4 million outstanding as of August 31, 2020
• Listed on the TSX under the symbol GCM.NT.U
• 8.25% annual coupon paid monthly in cash
• Quarterly principal repayments in cash with gold kicker above US$1,250/oz
• Company sets aside physical gold each month into a Gold Trust Account to meet quarterly principal payment
• bligations
• Less than 5% of Segovia’s projected future production is required to meet principal repayments

B (Outlook Stable)

• 5,000

10,000 2020 2021 2022 2023 2024

Amortization Schedule

August 2020 to April 2024

(Ounces to be Deposited to Gold Trust Account)

Gold Notes

Exposure to Upside on Gold

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• Colombia is an OECD member

country with a growing economy, and

• ne of the lowest inflation rates in

Latin America

• The latest Colombia Tax Reform

reduces the corporate income tax rate and repeals the 4% surcharge imposed on corporate income

• Reducing the total tax rate from 37%

in 2018 to 33% in 2019, and 32% for 2021, and 30% for 2022 and onwards

Annual GDP (US$B) $745 (4th largest in Latin America) Population 49.8 Million GDP Per Capita ($US) $14,943 5-Year GDP CAGR (%) 2.8% Inflation 3.2% Public Debt to GDP 50.5% Free Trade Agreements 8 countries (including the US, Canada, and EU) Ease of Doing Business Ranking 3rd best in Latin America (65th Globally out of 19) Investor Protection Ranking 1stin Latin America (15th Globally out of 190) Economic Freedom Index Ranking 45th Globally out of 180 Credit Rating Investment Grade by Moody’s, Fitch, and S&P

Why Colombia

A Great Mining Jurisdiction

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License Boundaries for Segovia & Carla (100% Owned)

5 10 15 20 25 30 35 40

Fosterville (Kirkland) Macassa (Kirkland) Eagle River (Wesdome) Kainantu (K92) Segovia (GCM) Island (Alamos) Midas (Hecla) Cerro Negro (Newmont) Cerro Moro (Yamana) Bambanani (Harmony) Yaramoko (Roxgold) Gwalia (St Barbara) Brucejack (Pretium) Red Lake (Newmont)

Comparative Asset Milled Grade(1)

g/t

Amongst the Highest-Grade Mines in the Gold Sector

16.4 g/t

2019 Segovia Milled Grade

Segovia Operations

Production Stage

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(1) Source: company reports, year ended December 31, 2019

TSX: GCM OTCQX: TPRFF September 2020

1) Derived from the NI 43-101 Technical Report Prefeasibility Study Update, Segovia Project, Colombia, dated May 14, 2020, prepared by SRK Consulting (US) Inc. (“SRK”). 2) Mineral resources are not mineral reserves and do not have demonstrated economic viability. 3) All figures are rounded to reflect relative accuracy of the estimate. All composites have been capped where appropriate. 4) The Mineral Resources are reported at an in situ cut-off grade of 3.0 g/t Au over a 1.0 m mining width, which has been derived using a gold price of US$1,400 per ounce and technical and economic parameters for the existing underground mining and conventional gold mineralized material processing using a gold recovery of 90.5%. Each of the mining areas have been sub-divided into Pillar areas (“Pillars”), which represent the areas within the current mining development, and long-term resources (“LTR”), which lie along strike or down dip of the current mining development. 5) Derived from the Amended NI 43-101 Technical Report Prefeasibility Study Update, Segovia Project, Colombia, dated July 8, 2019, prepared by SRK. Project Deposit Type Measured Indicated Measured & Indicated Inferred Tonnes (kt) Grade (g/t) Au Metal (koz) Tonnes (kt) Grade (g/t) Au Metal (koz) Tonnes (kt) Grade (g/t) Au Metal (koz) Tonnes (kt) Grade (g/t) Au Metal (koz) Segovia Providencia LTR 118 15.9 60 296 13.0 124 414 13.8 184 315 8.3 84 Pillars 108 26.1 90 116 12.1 45 224 18.8 135 389 20.0 249 Sandra K LTR 385 10.3 128 385 10.3 128 315 8.6 87 Pillars 152 10.9 53 152 10.9 53 El Silencio LTR 824 11.5 304 824 11.5 304 1,736 8.3 462 Pillars 1,459 10.7 504 1,459 10.7 504 395 12.1 154 Verticales LTR 771 7.1 176 Subtotal Segovia Project LTR 118 15.9 60 1,504 11.5 555 1,623 11.8 616 3,136 8.0 809 Pillars 108 26.1 90 1,727 10.8 602 1,835 11.7 692 784 16.0 403 Carla Subtotal Carla Project LTR 154 9.7 48 154 9.7 48 178 9.3 53 December 31, 2019 (1) 226 20.8 151 3,385 11.1 1,205 3,611 11.7 1,356 4,098 9.6 1,265 December 31, 2018 (2) 218 20.0 140 3,289 11.2 1,187 3,507 11.8 1,327 3,562 10.1 1,157 % Change vs previous 4% 4% 8% 3%

• 1%

2% 3%

• 1%

2% 15%

• 5%

9%

In the 2019 MRE update, Gran Colombia more than replaced what it mined in the year.

Segovia Operations

Mineral Resource Estimate as of December 31, 2019

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Area Category Tonnes (kt) Grade (g/t) Au Metal (koz) Providencia Proven 165 16.5 88 Probable 154 12.0 59 Sandra K Probable 249 8.9 71 El Silencio Probable 1,313 9.9 419 Carla Probable 104 10.0 33 December 31, 2019 (1) Total 1,985 10.5 670 December 31, 2018 (2) Total 1,941 11.0 688 % Change vs previous 2%

• 5%
• 3%

1) Derived from the NI 43-101 Technical Report Prefeasibility Study Update, Segovia Project, Colombia, dated May 14, 2020, prepared by SRK Consulting (US) Inc. (“SRK”). 2) Mineral resources are inclusive of mineral reserves. 3) All figures are rounded to reflect relative accuracy of the estimate. All composites have been capped where appropriate 4) Ore reserves are reported using a gold cutoff grade ranging from 3.25 to 4.24 g/t depending on mining area and mining method. The cutoff grade calculations assume a $1,350/oz Au price, 90.5% metallurgical recovery, $6/oz smelting and refining charges, $25/t G&A, $26/t processing cost, and projected LoM mining costs ranging from $76/t to 115/t. Mining dilution is applied to a minimum mining height and estimated overbreak (values differ by area/mining method) using a zero grade. Mineral Reserves have been stated on the basis of a mine design, mine plan, and cash-flow model. There are potential survey unknowns in some

• f the mining areas and lower extractions have been used to account for these unknowns.

5) Derived from the Amended NI 43-101 Technical Report Prefeasibility Study Update, Segovia Project, Colombia, dated July 8, 2019, prepared by SRK.

Segovia Operations

Mineral Resource Estimate as of December 31, 2019

TSX: GCM OTCQX: TPRFF September 2020

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TSX: GCM OTCQX: TPRFF September 2020 Chicharron (Gold X Mining)

Currently operating mines on only 3 of 27 known veins in the RPP-140 license.

Segovia Operations

Blue Sky Potential

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Segovia Operations

Maria Dama Processing Plant

• Plant has capacity to handle up to 1,500 tpd.
• Plant includes crushing, grinding, gravity concentration, gold flotation, cyanidation of the flotation concentrate, Merrill-

Crowe precipitation and refining of both the Merrill-Crowe precipitate and gravity concentrate to produce a final doré.

• Onsite lab provides quick turnaround of development samples; exploration samples processed in SGS Medellin.
• The “El Chocho” tailings storage facility will receive material over the next seven years and a filter press

commissioned in 2019 enables tailings to be dry stacked; onsite water treatment facility is treating excess water to Colombian standards before being discharged.

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Third Party Miner Contracts

• Agreements with 30+ third party miner groups
• Mine designated areas with the Company’s mining title
• GCM pays for recovered gold at fixed price
• Contractors manage miners & fund own costs
• GCM processes ore and sells the gold & silver
• GCM provides health & safety training

Benefits of Contract Mining Model

• Environmental benefits – GCM controls processing,

reducing mercury use

• Employment – expanded workforce
• Improved health & safety
• Workers receive health & pension benefits
• Government receives tax & royalties

Improving Health & Safety in Our Mines Funding Community Programs

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Segovia Operations

Positive Agent for Change

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TSX: GCM OTCQX: TPRFF September 2020

Caldas Gold Corp (TSX-V: CGC, OTCQX: ALLXF) was formed in a spin out by Gran Colombia Gold in February 2020; GCM holds a 57.5% equity interest(1). Caldas Gold is focused on a major underground mine expansion at Marmato to incorporate the Deeps Zone mineralization. The existing mine has been in operation since 1991 and has produced an average of ~24,000 ozs of gold annually over the last 10 years (2019 – 25,750 ozs). Exploration drilling is continuing to upgrade and expand the Deeps Zone mineralization. US$110M stream financing with Wheaton Precious Metals to fund mine expansion.(2) Completed CA$50M equity private placement and US$83M Gold-Linked Notes Offering as part of the financing for the mine expansion.(2)

Located in a Historic Mining District about 80 km south of Medellin

(1) As of July 2, 2020, Gran Colombia now owns 44,547,100 common shares of Caldas Gold. (2) Refer to Caldas Gold press releases dated July 29, 2020 and August 26, 2020.

Building Colombia’s Next Major Gold Mine

Mine Expansion into the DEEPS ZONE

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• Marmato mine in Zona Baja will comprise of two distinct operations: Upper Zone and Deeps Zone.
• Upper Zone: Immediate optimization of existing mining operation to reduce dilution, improving production and reducing

cash costs, together with an expansion of the existing processing plant over the next two years from 1,200 tpd to 1,500

• tpd. A total pf 5.1M tonnes to be processed over 13-year life with average LoM Au grade of 4.2 g/t resulting in 0.6M ounces
• f gold (32% of total).
• Deeps Zone: US$269M initial capital in 2020 to 2023. Total of 14.6M tonnes processed over a 11-year life starting in mid-

2023 at an average LoM Au grade of 2.9 g/t resulting in 1.3M ounces of gold (68% of total).

• Combined:
• 1.9M ounces of gold with LoM cash cost of US$778 per ounce and LoM AISC of US$880/oz.
• At US$1,400 per ounce long-term gold price, total undiscounted LoM after-tax project cash flow of US$491M (NPV

5% - US$256M).

• Before financing, after-tax IRR = 19.5% and payback by 2026.

Precious Metal Production Profile (ozs/year)

• 50,000

100,000 150,000 200,000 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033

Gold Silver

Marmato Project

Life-of-Mine Plan (“PFS”) Results (1)

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(1) Source: Caldas Gold NI 43-101 Technical Report Pre-Feasibility Study Marmato Project Colombia dated August 17, 2020 prepared by SRK.

TSX: GCM OTCQX: TPRFF September 2020 Source: GCM press release dated February 3, 2020

The 2019 Phase 2 drilling continued to demonstrate an improvement of grades in the Deep Zone

Marmato Project

Exploration Upside

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Juby Project (Ontario) Toroparu (Guyana) Meadowbank (Nunavut) Zancudo Project (Colombia)

• 100% interest.
• Former high-grade producer in the Titribi mining district of Antioquia, about 27 km south of Medellin.
• Currently being drilled by IAMGOLD under a 6-year option agreement signed in March 2017 whereby

IAMGOLD can earn up to 70%.

• Completed acquisition of 100% interest on July 2, 2020
• Advanced exploration-stage gold project within the Shining Tree area in the southern part of the Abitibi

greenstone belt.

• Gold was discovered in the Shining Tree area in the 1930’s.
• Over 14,000 acres controlled through claims covering 10 km strike length on the mineralized trend.
• Initial exploration phase will evaluate historical data incorporating machine learning and other studies to

develop a drilling program for execution in 2021.

• 20% equity interest (TSX-V: GLDX).
• Advancing PFS for one of the largest undeveloped gold deposits in the Americas with 7.35 Mozs M&I and

3.15 Mozs Inferred. Commencing 58 km road connecting it to the Aurora Project and Tidewater.

• Robert Friedland recently joined as non-executive Chairman.
• 26% equity interest (TSX-V: WA).
• Exploring its 100% owned Meadowbank Project strategically positioned along trend immediately adjacent

to Agnico Eagle’s Meadowbank/ Amaruq producing gold mines.

• Recently completed initial 3,545 m drilling program.

Pipeline

Additional Opportunities for Growth and Value Creation

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Why Invest in Gran Colombia?

Leading High-Grade Gold Producer in Colombia Undervalued versus peers Strong free cash flow yield and healthy balance sheet Pays quarterly dividend Segovia is one of the top-5 highest grade global underground mines Focusing on significant exploration upside at Segovia Strong management with Latin American mining experience

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For Further Information, Contact: Mike Davies Chief Financial Officer (416) 360-4653 investorrelations@grancolombiagold.com

Segovia Operations: El Chocho Tailings Storage Facility and Filter Press