A SCARCE ASSET IN A TRUE MINING DISTRICT March 2018
FORWARD LOOKING STATEMENT This presentation of Guyana Goldfields Inc. (the "Company") contains other unanticipated difficulties or interruptions; the possibility of cost overrun or statements that constitute "forward-looking statements." Such forward-looking unanticipated expenses in the work program; the risk of environmental statements involve known and unknown risks, uncertainties and other factors contamination or damage resulting from the Company's operations; risks that may cause our actual results, performance or achievements, or associated with title to mineral properties; and other risks and uncertainties developments in our industry, to differ materially from the anticipated results, discussed appear elsewhere in the Company's documents filed from time to performance or achievements expressed or implied by such forward-looking time with the Toronto Stock Exchange and Canadian securities regulators. statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects," These statements are based on a number of assumptions, including "aims," "plans," "anticipates," "believes," "intends," "estimates," "projects," assumptions regarding general market conditions, the availability of financing for "potential" and similar expressions, or that events or conditions "will," "would," proposed transactions and programs on reasonable terms, the cost of "may," "could" or "should" occur. Information inferred from the interpretation of exploration and development and the ability of outside service providers to drilling results and information concerning mineral resource and mineral reserve deliver services in a satisfactory and timely manner. Forward-looking statements estimates may also be deemed to be forward looking statements, as such are based on the beliefs, estimates and opinions of the Company's information constitutes a prediction of what might be found to be present when management on the date the statements are made. Except as expressly and if a project is actually developed. Forward-looking statements this document required by applicable securities laws, the Corporation undertakes no obligation include statements regarding: the Company's expectations regarding drilling to update these forward-looking statements in the event that management's and exploration activities on properties in which the Company has an interest; beliefs, estimates or opinions, or other factors, should change. and the Company's statements regarding estimates of reserves and resources on properties in which the Company has an interest. This presentation uses the terms "Inferred Resource", "Indicated Resource", “Measured Resource” and "Mineral Resource". The Company advises readers There can be no assurance that such statements will prove to be accurate. that although these terms are recognized and required by Canadian securities Actual results and future events could differ materially from those anticipated in regulations (under National Instrument 43-101 "Standards of Disclosure for such statements, and readers are cautioned not to place undue reliance on Mineral Projects"), the US Securities and Exchange Commission does not these forward-looking statements that speak only as of their respective dates. recognize these terms. Readers are cautioned not to assume that any part or all Important factors that could cause actual results to differ materially from the of the mineral deposits in these categories will ever be converted into reserves. Company's expectations include among others, risks related to fluctuations in In addition, "Inferred Resources" have a great amount of uncertainty as to their mineral prices; uncertainties related to raising sufficient financing to fund existence, and economic and legal feasibility. It cannot be assumed that any planned work in a timely manner and on acceptable terms; changes in planned part of an Indicated or Inferred Mineral Resource will ever be upgraded to a work resulting from weather, logistical, technical or other factors; the possibility higher category. Under Canadian rules, estimates of Inferred Mineral Resources that results of work will not fulfill expectations and realize the perceived potential may not form the basis of feasibility or pre-feasibility studies, or economic of the Company's properties; uncertainties involved in the estimation of studies except for a Preliminary Assessment as defined and permitted under resources and reserves; the possibility that required permits may not be National Instrument 43-101. Readers are cautioned not to assume that part or obtained on a timely manner or at all; the possibility that capital and operating all of an Inferred Resource exists, or is economically or legally mineable. The costs may be higher than currently estimated and may preclude commercial Mineral Resources stated in this presentation are not Mineral Reserves and, in development or render operations uneconomic; the possibility that the estimated the absence of a current feasibility study, do not demonstrate economic viability. recovery rates may not be achieved; risk of accidents, equipment breakdowns The determination of Mineral Reserves can be affected by various factors and labour disputes or including environmental, permitting, legal, title, taxation, socio-political, and marketing issues. 2 www.guygold.com
INVESTMENT HIGHLIGHTS High grade Au producer with +16 years reserve life with upside Simple metallurgy and mine plan, positive grade reconciliation to date A Scarce Asset Exceptional free cash flow generation No by-products 100% Pure Gold Minimal currency exposure Exposure Oil price hedged for the near term up to 2020 Organic Growth Average annual gold production of 270,000 ounces over the next five years Strong Balance Cash position of US$75M vs. debt of US$60M as at Dec 31, 2017 Sheet +200,000 acre land package in highly prospective & underexplored greenstone belt District Potential Targeting open pit exploration targets within a 30km radius from Aurora Mill Focus on Iroma, Wynamu and Arangoy targets 3 www.guygold.com
Excellent Track Record and Growth Profile 350 900 Gold Recovered / Costs 800 300 700 250 600 Costs (US$/oz) Recovered Oz 200 500 400 150 300 100 200 50 100 ‐ 0 ¹ ² 2017 2018E 2019E 2020E 2021E 2022E Underground Open Pit Operating Cash Cost AISC (1) Guidance of 160k‐180k oz (2) Guidance of 190k‐210k oz 4 www.guygold.com
2018 Guidance 2018 Guidance Gold production 190,000-210,000 Cost of sales (production costs, royalty and depreciation) $850-900/oz Cash cost¹, excluding royalty $430-480/oz All-in sustaining 1 (“AISC”) $830-880/oz • Production is expected to be weighted towards the second half of the year due to mine sequencing and increased throughput to be available with the completion of the phase 1 expansion. • The 2018 mine plan is primarily made up of all hard rock ore from the central tonalite/diorite ore at Rory’s Knoll and East Walcott deposits. • Costs are based on an increased stripping rate during 2018, offset by the increased and more cost- efficient production offered by the process plant expansion investments. (1) This is a non-IFRS measure. Refer to non-IFRS Performance Measures section in the latest MD&A 5 www.guygold.com
Optimized LOM Mine Plan: Highlights Comparison 2017 Updated Description (@ US$1,200 gold price) 2018 LOM Plan FS Ore tonnes (Mt) 43.0 34.7 Average grade (Au oz/t) 2.87 3.00 Process recovery (%) 94.8 93.8 Payable gold (Moz) 3.8 3.1 Annual gold production (2018‐2022 koz) 270 242 Mine Life (years) 16 14 AISC ($/oz)¹ 797 745 Post‐tax NPV 5% (M$) 898 821 Financials @ 5% $1,000/oz $1,100/oz $1,300/oz $1,400/oz Discount Rate gold price ² gold price gold price gold price Pre‐tax NPV ($mlns) 722 891 1,393 1,645 Post‐tax NPV ($mlns) 588 713 1,081 1,264 (1) This is a non-IFRS measure. Refer to non-IFRS Performance Measures section (2) Royalty decreases from 8% to 5% at gold prices at and below US$1,000/oz 6 www.guygold.com
Optimized LOM Plan OPEX Description Unit 2018 LOM 2017 Updated FS OP Mining $/tonne mined 2.20 2.09 RK UG Mining $/ore t mined 24.83 25.72 Satellite UG Mining $/ore t mined 48.35 50.82 Processing $/t processed 16.06 14.25 G&A $/t processed 9.12 8.67 Operating Cash Cost¹ $/oz 627 613 (w/ royalty) Operating Cash Cost¹ $/oz 531 517 (excl. royalty) AISC¹ $/oz 797 745 1 This is a non-IFRS measure. Refer to non-IFRS Performance Measures section. 7 www.guygold.com
COMBINED RECOVERED GOLD 30 350 Total Material Mined / Gold Recovered 300 25 Material Mined (Mtonnes) 250 Gold Recovered (k oz) 20 200 15 150 10 100 5 50 ‐ ‐ 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 Ore Processed UG Ore OP Ore Waste Recovered Oz 2017 FS Oz www.guygold.com 8
Excellent Projected Cash Flow Generation 300 Project Cash Flow Generation ‐ $1,300/oz 250 200 Cash Flow (US$mlns) 150 100 50 0 2018E 2019E 2020E 2021E 2022E Operating Cash Flow Free Cash Flow www.guygold.com 9
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