TSXV & BVL:TK | OTCPK: TKRFF www.tinkaresources.com Corporate Presentation – January 2019
Disclaimer This presentation is not directed to, or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing within such jurisdiction. This presentation does not constitute or form a part of, and should not be construed as an offer, solicitation or invitation to subscribe for, underwrite or otherwise acquire, any securities of Tinka, nor shall it or any part of it form the basis of or be relied on in connection with any contract or commitment whatsoever. Certain information in this presentation contains forward-looking statements and forward-looking information within the meaning of applicable securities laws (collectively "forward-looking statements"). All statements, other than statements of historical fact are forward- looking statements. Forward-looking statements are based on the beliefs and expectations of Tinka as well as assumptions made by and information currently available to Tinka's management. Such statements reflect the current risks, uncertainties and assumptions related to certain factors including but not limited to, all costs varying significantly from estimates, production rates varying from estimates, changes in metal markets, changes in equity markets, availability and costs of financing needed in the future, equipment failure, unexpected geological conditions, imprecision in resource estimates or metal recoveries, ability to complete future drilling programs, drilling program results varying from expectations, delays in obtaining survey results, success of future development initiatives, the completion and implementation of a preliminary economic assessment, pre-feasibility or feasibility studies, competition, operating performance, environmental and safety risks, delays in obtaining or failure to obtain necessary permits and approvals from local authorities, community relations, timing and completion of any surface rights agreements, and other development and operating risks. Should any one or more of these risks or uncertainties materialize, or should any underlying assumptions prove incorrect, actual results may vary materially from those described herein. Although Tinka believes that assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein. Except as may be required by applicable securities laws, Tinka disclaims any intent or obligation to update any forward-looking statement. The Mineral Resources disclosed in this company presentation have been estimated by Mrs. Dorota El Rassi, P.Eng., and Mr. David Ross, P.Geo., both employees of RPA and independent of Tinka. The Zinc/Tin Mineral Resources were publicly released on November 26, 2018, while the Silver Resources were released on Feb 26, 2015. By virtue of their education and relevant experience, Mrs. El Rassi and Mr. David Ross are "Qualified Persons" for the purpose of National Instrument 43-101. The Mineral Resources have been classified in accordance with CIM Definition Standards for Mineral Resources and Mineral Reserves (May, 2014). Readers are encouraged to read the Company’s technical report in their entirety. This presentation has been prepared, reviewed and verified by Dr. Graham Carman, Tinka’s President and CEO and a Fellow of the 2 Australasian Institute of Mining and Metallurgy, a qualified person as defined by NI 43-101.
Company Highlights Tinka owns 100% of the Ayawilca project – one of largest zinc resources not owned by a producer & located in a top mining district Zinc deposit discovered by Tinka & grown rapidly Mineral Resources at Nov. 26, 2018 (following 20,000 m drilling) : Zinc Zone – 11.7 Mt Indicated @ 8.1% zinc equivalent (ZnEq)* & 45.0 Mt Inferred @ 6.7% zinc equivalent Ayawilca Tin Zone – 14.5 Mt Inferred @ 0.70% tin equivalent (SnEq)* Additional potential for resource growth and new discoveries Maiden PEA underway with results anticipated first half 2019 Peru Highly experienced team of mine finders with Peru expertise Strong institutional investor base Solid balance sheet with C$14M cash and no debt (Sep. 30/18) 3 * See resource tables for calculation of ZnEq and SnEq
Zinc Resource Base Case (Nov. 2018 @ $55 NSR cut-off) Based on ~20,000 metres of 2018 drilling (~68,000 metres since 2011-2012) 1.8 billion pounds of zinc in Indicated category (24% of total) 5.6 billion pounds in Inferred category (76% of total) Best grades at South Ayawilca and West Ayawilca Notes : • CIM definitions were followed for Mineral Resources. Tonnage ZnEq Zn Pb In Ag Zn Pb In Ag • Mineral Resources are reported above a cut-off NSR value Category/Area (Mt) (%) (%) (%) (g/t) (g/t) (Mlb) (Mlb) (t) (Moz) of US$55 per tonne. • The NSR value was based on estimated metallurgical recoveries, assumed metal prices and smelter terms, which Indicated include payable factors, treatment charges, penalties, and refining charges. Metal price assumptions were: US$1.15/lb West 7.8 7.7 6.5 0.20 72 15 1,126 35 561 3.9 Zn, US$300/kg In, US$15/oz Ag, and US$1.00/lb Pb. Metal recovery assumptions were: 90% Zn, 75% In, 60% Ag, and 75% Pb. The NSR value for each block was calculated South 3.9 9.1 7.6 0.09 108 16 652 8 422 2.0 using the following NSR factors: US$15.34 per % Zn, US$4.70 per % Pb, US$0.18 per gram In, and US$0.22 per Total Indicated 11.7 8.1 6.9 0.16 84 15 1,778 42 983 5.8 gram Ag. • The NSR value was calculated using the following formula: NSR = [Zn(%)*US$15.34+Pb(%)*US$4.70+ Inferred In(g/t)*US$0.18+Ag(g/t)*US$0.22] • The ZnEq value was calculated using the following formula: West 5.0 7.1 6.4 0.27 34 17 699 30 170 2.8 ZnEq = NSR/US$15.34 • Numbers may not add due to rounding. • “Inferred Mineral Resources” have a great amount of Central 18.6 5.6 4.6 0.23 62 12 1,884 95 1,153 7.5 uncertainty as to their existence, and as to their economic and legal feasibility. It is reasonably expected that the East 11.3 5.9 5.0 0.18 56 14 1,238 44 633 5.0 majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration. United States investors are cautioned not to assume that all South 10.2 9.6 7.9 0.27 103 30 1,764 61 1,047 9.9 or any part of Measured or Indicated Mineral Resources will ever be converted into Mineral Reserves. United States investors are also cautioned not to assume that all or any Total Inferred 45.0 6.7 5.6 0.23 67 17 5,585 230 3,003 25.2 part of an Inferred Mineral Resource exists, or is 4 economically or legally mineable.
Ayawilca Zinc Zone Sensitivity (Nov. 2018) Zinc Zone has high grade zones likely to be targeted for early extraction At an $80/t cut-off, the Zinc Zone resource contains 7.9 Mt Indicated at 10.0% ZnEq and 26.9 Mt Inferred at 8.3% ZnEq Zinc Zone Indicated Mineral Resources Zinc Zone Inferred Mineral Resources NSR US$/t Tonnage ZnEq Zn Pb Ag NSR US$/t Tonnage ZnEq Zn Pb Ag In In Cut-off (Mt) (%) (%) (%) (g/t) Cut-off (Mt) (%) (%) (%) (g/t) (g/t) (g/t) 40 13.6 7.4 6.3 0.16 75 15 40 52.7 6.2 5.2 0.24 60 17 50 50 12.4 7.9 6.7 0.17 80 15 48.1 6.5 5.4 0.24 64 17 55 55 11.7 8.1 6.9 0.16 84 15 45.0 6.7 5.6 0.23 67 17 (Base Case) (Base Case) 60 60 41.5 7.0 5.8 0.23 70 18 10.8 8.5 7.2 0.16 89 16 70 70 9.4 9.2 7.7 0.15 99 16 33.9 7.6 6.4 0.22 78 18 80 80 7.9 10.0 8.4 0.15 111 17 26.9 8.3 6.9 0.22 86 20 See resource table for notes and ZnEq calculations 5
Ayawilca Resource Growth Continues 500 m 6
Scarcity of Large Development Zinc Projects Decade of low zinc prices resulted in a lack of exploration / discoveries Few quality projects (zinc, copper, tin) located in lower risk jurisdictions Ayawilca is well positioned to be the next large zinc development project Zinc Equivalent Resource Size for Selected TSX/TSXV Companies 14.0 (Billons of pounds of Zinc Equivalent) Producing mine Tinka-Ayawilca2018+Tin 12.0 Development project Fireweed-Tom&Jason Global Resource/Reserve Ayawilca project - Zn 10.0 Ayawilca project - Zn+Sn 8.0 Zinc X-Akie Tinka-Ayawilca2018 NEXA-Aripuana 6.0 Trevali-Caribou Notes: - Data from company websites, Rathdowney-Olza believed to be accurate 4.0 NEXA-Vazante - ZnEq based on spot metal prices NEXA-Cerro Lindo Foran-McIlvenna Bay on Nov. 22, 2018 Vendetta-Pegmont - Global resources include 2.0 Measured & Indicated and NEXA-Shalipayco Inferred resources. Vazante and Cerro Lindo data only reflects Trevali-Santander Reserves. - - 10 20 30 40 50 60 70 80 90 7 Global Resource Size (Mt)
Teck Scatter Plot of Zinc Projects Teck considers giant zinc deposit to be > 6Mt Zn+Pb Ayawilca is currently 3.5Mt Zn+Pb and 4.8Mt ZnEq (including tin), with the potential to grow through continued exploration Ayawilca – Zn +Pb only Ayawilca – ZnEq including tin 8
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