TSXV: NAR TSXV:NAR Canada’s Most Active Diamond Explorer PDAC 2020
CAUTIONARY STATEMENT This presentation contains projections and forward-looking information that involve various risks and uncertainties, including, without limitation, statements regarding the potential extent of mineralization, resources, reserves, exploration results and plans and objectives of North Arrow Minerals Inc. These risks and uncertainties include, but are not restricted to, the amount of geological data available, the uncertain reliability of drilling results and geophysical and geological data and the interpretation thereof and Forward the need for adequate financing for future exploration and development efforts. There Looking can be no assurance that such statements will prove to be accurate. Actual results and Information future events could differ materially from those anticipated in such statements. These and all subsequent written and oral forward-looking statements are based on the estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. The Company assumes no obligation to update forward looking statements should circumstances or management's estimates or opinions change. Disclosure of a scientific or technical nature related to North Arrow’s projects in this Qualified presentation has been reviewed and approved by Ken Armstrong, P.Geo. President and Person under CEO of North Arrow and a Qualified Person under NI 43-101. NI 43-101 1
CORPORATE OVERVIEW as of November 12, 2019 Capitalization Corporate Listing: TSX Venture – NAR Highlights Issued: 110.7 M Options: 10.3 M* Warrants: 44.4 M (25 M @ $0.225, 17.9 M @ $0.10) Fully diluted: 165.4 M Estimated Working Capital: ~$1.0 M M ain Shareholders Management/Directors/Advisors ~24.4% Zebra Holdings and Investments ~10.3% Electrum Strategic Opportunities Fund ~10.3% Ross Beaty ~8.8% *Includes stock options issued November 8, 2019 2
CORPORATE OVERVIEW - PEOPLE D. Grenville Thomas (Chairman) Founder of Aber (now Dominion Diamond), discoverer of the Diavik Diamond Mine; Canadian Mining Hall of Fame inductee. Ken Armstrong P.Geo. (ON) (President, CEO, Director and Qualified Person under NI 43-101) Diamond exploration and evaluation experience with Diavik, Aber, De Beers, Navigator, and Stornoway. Christopher Jennings (Director) Founder of SouthernEra, consultant to Aber; formerly with International Corona Corp., BP Minerals (Canada) and Falconbridge. Blair Murdoch (Director) More than thirty years' experience in senior management of Management private and public companies. Highlights Eira M. Thomas (Advisor) Extensive diamond exploration and development experience in Canada and Africa; Co-founder, CEO & director of Lucara; former officer and director of Aber; former CEO of Kaminak Gold Corporation (acquired by Goldcorp in 2016 for $520 million); currently director of Suncor. Robin Hopkins (Advisor) 25+ years diamond exploration, evaluation and development experience with Stornoway, Navigator, and Aber. Allison Rippin Armstrong (Advisor) 20+ years CSR experience; Ex-Kaminak Gold. 3
CORPORATE OVERVIEW – PROJECTS Assessing a known kimberlite or Advanced Stage diamond deposit 1. Naujaat (100%) Significant diamond inventory; potential value upside: fancy orange-yellow diamonds Next stage of diamond exploration Discovery Stage could lead to discovery 8 2 1 2. Mel (100%) Kimberlite Field discovery 2017 EKATI 3. Loki (100%) Kimberlite 465 discovered 2018; DIAVIK 6 1 st Lac de Gras discovery in > 5 years GAHCHO KUE 4. LDGJV (Dominion ) Kimberlite discovery in 2019 5. Pikoo (100% ) Kimberlite Field discovery 2013 6. Luxx (100%) Permitted & drill ready 5 Grassroots Target development RENARD 7 VICTOR 7. Timiskaming (JV w SWY) Within 3km of TMAC’s Doris Mine; Brownfields Gold similar geology and structures 8. Hope Bay (100%) EXISTING DIAMOND MINE 4
NAUJAAT PROJECT – TICKS ALL THE BOXES Q1-4 Kimberlite Jurisdiction Clear permitting path in Nunavut Near tide water Freight costs 50% of NWT diamond mines Large tonnage ~48 Mt down to 205m below surface Low strip ratio <3:1 vs >10:1 for NWT diamond mines Significant diamond inventory* ~26M contained carats Blue sky potential 15 additional kimberlites for evaluation NAR Unique diamond value Laydown Area proposition 5 * CAUTION – Inferred Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability
Q1-4 DIAMOND DEPOSIT: STATUS 2015 WWW Diamond Valuation based on 384 carats recovered from ~1,350 t $92 per carat modelled “possible high” | $43 per carat modelled “possible low” Primary WWW Conclusions from the 2015 Valuation: • Parcel too small • Yellow diamonds were considered of little interest. Q1-4 “run of mine” from 2014 sample; +9DTC and above. 2015 – Commenced two phase approach to show value upside of Q1-4 diamonds : 1) Cutting/polishing of yellow diamonds 2) Analysis of diamond size frequency distributions (SFD ) 6
Q1-4 DIAMOND PROJECT: STATUS How the project advanced (2015 to present): 1. Cut & Polished Yellow Diamonds: Certified by GIA as fancy vivid orangey yellow diamonds • • Desirable to the luxury gem/jewelry trade 7
Q1-4 DIAMOND PROJECT: STATUS How the project advanced (2015 to present): 1. Cut & Polished Yellow Diamonds: Certified by GIA as fancy vivid orangey yellow diamonds • • Desirable to the luxury gem/jewelry trade 2. Nitrogen aggregation studies show the yellow and white diamonds distinct populations 8
Q1-4 DIAMOND PROJECT: STATUS How the project advanced (2015 to present): 1. Polished Yellow Diamonds: Certified by GIA as fancy vivid orangey yellow diamonds • • Desirable to the luxury gem/jewelry trade Q1-4 Grade/Size Curve Comparative Curves 2. Nitrogen aggregation studies show the yellow and white diamonds distinct populations Total Parcel 3. Yellow diamonds show a much coarser size frequency distribution (SFD) implying potential for higher abundance of yellow diamonds in coarser sizes ‘Dark Yellow’ only 9
Q1-4 DIAMOND PROJECT: STATUS How the project advanced (2015 to present): 1. Polished Yellow Diamonds: Certified by GIA as fancy vivid orangey yellow diamonds • • Desirable to the luxury gem/jewelry trade Q1-4 Grade/Size Curve Comparative Curves 2. Nitrogen aggregation studies show the yellow and white diamonds distinct populations Total Parcel 3. Yellow diamonds show a much coarser size frequency distribution (SFD) implying potential for higher abundance of yellow diamonds in coarser sizes 4. 2015 possible low to high model prices applied to the coarse yellow SFD scenario results in low to high price range of ‘Dark Yellow’ $60 to $220 per carat only 10
Q1-4 DIAMOND PROJECT: STATUS How the project advanced (2015 to present): 1. Polished Yellow Diamonds: Certified by GIA as fancy vivid orangey yellow diamonds • Q1-4 Grade/Size Curve • Desirable to the luxury gem/jewelry trade Comparative Curves 2. Nitrogen aggregation studies show the yellow and white diamonds distinct populations Total Parcel 3. Yellow diamonds show a much coarser size frequency distribution (SFD) implying potential for higher abundance of yellow diamonds in coarser sizes 4. 2015 possible low to high model prices applied to the coarse ‘Dark Yellow’ yellow SFD scenario results in low to high price range of only $60 to $220 per carat 5. At this price the project is very attractive Potential value upside is based on coarse SFD alone; does not factor in that yellow diamonds are fancy coloured, worth a premium price, and of interest to luxury jewelry trade 11
Q1-4 - LARGE TONNAGE, EASY ACCESS Q1-4 looking southwest: 12.5 ha kimberlite • Easy surface access to A28, A61 & A88 phases • Current Q1-4 resource ~48Mt to 205m depth Modelling • suggests ~700m extending the resource to 300m depth could result in ~200m strip ratio < 3:1 • 2017 drilling extended Q1-4 below 300m 12
Q1-4 DELINEATION DRILLING Looking North B B’ 0 m • Several deep drill holes remained in kimberlite 100 m >100m beyond the current model and well below 300m from surface. 200 m Current TFFE 300 m A’ Looking West A A’ 0 m B B’ 100 m 200 m A Current TFFE 300 m 2017 drill holes on 2013 resource model 13
WAY FORWARD – OPTION 1: SFD QUESTION FIRST ~ 1,500-2,000t Sample from Q1-4 Permitted & turn-key program Sample Goal: • Confirm coarse SFD of orangey-yellow diamonds Sample Collection: • Mini-excavators & free digging character • Helicopter supported Test at least 2 phases (A28 & A88) • Sample Processing Options: • Ship sample south for processing Pros: • Staged approach – confirming coarse SFD is binary • Permit and excavators in place – short ramp up • Modelled on 2014/15 bulk sample – cost certainty Cons: • Diamond value remains unanswered 1 Year Timeline: Sample collection & diamond recoveries in 2020 14
OPTION 1: 1,500-2,000 TONNE SAMPLE IN 2020 Same as 2014 & 2017 Small excavator Bags delivered by helicopter to laydown area in Naujaat Transported by sealift to Montreal Trucked to laboratory for diamond recovery 15 8
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