Developing Silver and Gold Resources in Mexico November 24, 2017 1 - PowerPoint PPT Presentation

Developing Silver and Gold Resources in Mexico November 24, 2017 1

Forward Looking Statement • This presentation is prepared by Monarca Minerals Inc. (MMN – TSX.V) Management of Monarca are solely responsible for content and format. Management has compiled this presentation from industry information and 43- 101 reports and news releases with specific underlying Qualified Persons as set out in the Releases and reports. Industry Information has been compiled from publically available sources and may not be complete, up to date or reliable. • This presentation contains forward-looking statements within the meaning of Canadian and U.S. securities laws. Such forward looking statements are subject to risks and uncertainties which could cause actual results to differ materially from estimated results. Such risks and uncertainties include, but are not limited to, the Company’s ability to raise capital to fund development and exploration, changes in general economic conditions or financial markets, changes in metal prices, general cost increases, litigation, legislative, environment and other judicial, regulatory, political, competitive developments in Mexico, technological and operational difficulties or inability to obtain permits encountered in connection with The Company’s exploration activities, community and labour relations matters and changes in foreign exchange rates, all of which are described in more detail in the Company’s filings with the Canadian Securities Regulators. • This presentation is for information purposes only and is not a solicitation. Please contact the Company for complete information and consult a registered investment representative / advisor prior to making any investment decision. • Investors are urged to consider closely the disclosure in Monarca’s annual and quarterly reports and other public filings, accessible through the Internet at www.sedar.com • Although the Company believes its properties have promising potential, its properties are in the early stages of exploration. None have yet been shown to contain proven or probable mineral reserves. There can be no assurance that such reserves will be identified on any property, or that, if identified, any mineralization may be economically extracted. TSX.V-MMN 2 November 29, 2017

Company Overview Focus on the exploration and development of silver and gold projects along the highly productive mineralized belt that made Mexico the largest silver-producing country in the world Tejamen project has a NI 43-101 inferred resource • of 28.7 million troy ounces of Ag (15ppm cutoff), contained in 19.8 million tonnes @ 45 g/t Ag San Lucas provides significant exploration potential • for Ag, Au and base metals, with drillhole results up to 527ppm Ag El Sol provides significant exploration potential for • Ag, Au and base metals, with surface mine dump assays up to 358ppm Ag, 1.95ppm Au, 19.6% Zn and 22.6% Pb San Lucas Au/Ag Vein San Jose Recently signed a LOI, this 5,580-hectare property in Chihuahua has excellent indications • of multi-element mineralization associated with skarn, gossan and altered intrusive rocks All projects are in mining and capital-friendly jurisdiction of Durango and Chihuahua • Experienced board and management team • TSX.V-MMN 3 November 29, 2017

Board of Directors & Management FRANK HOGEL, CHAIRMAN & DIRECTOR: Mr. Hogel currently serves as Chief Executive Officer of Peter Beck Performance Funds and sits on the advisory board of Concept Capital Management Ltd. He has an MBA degree from the University of Nurtingen, Germany. ALLAN FOLK, INTERIM CEO & DIRECTOR: Mr. Folk has spent 30 years in the Investment Industry. During that period he has helped finance numerous junior mining companies. He is Chairman of Atlanta Gold Inc., Director of Bonterra Resources Inc. and Vice President of Brant Securities. He received a BBA from the University of Wisconsin in1972. CARLOS ESPINOSA – PRESIDENT & DIRECTOR Carlos Espinosa, has 25 years of experience with international business development, Canadian capital markets and commercial banking. He is former Head of Business Development, Global Mining at the TSX and TSXV and former Deputy Trade Commissioner of Mexico, in Toronto. He holds an MBA from Kellogg School of Management at Northwestern University and a BBA from Mexico and is fluent in Spanish. JAMES McVICAR – DIRECTOR Mr. McVicar is a senior partner of Peterson McVicar LLP in Toronto with 20 years of experience focused in corporate finance and mining law. He previously spent close to three years as legal counsel in the Corporate Finance Branch of the Ontario Securities Commission (OSC) and later in his career was appointed to the OSC's Securities Advisory Committee for a 2 year term. BRUCE REILLY – CFO Mr. Reilly is a graduate of the University of Toronto with a Bachelor of Commerce degree, and is a Chartered Accountant (1985). For the past twenty plus years, Bruce Reilly has successfully developed and managed a chartered professional accounting firm. Mr. Reilly also sits on the Board of Platinex Inc. (CSE "PTX") and iSign Media Solutions Inc. (TSX-V “ISD”). MICHAEL R. SMITH – EXECUTIVE VP – EXPLORATION & QUALIFIED PERSON Mr. Smith has 38 years of experience in the mining, working for Barrick Gold, Continental Gold, Oremex Silver and continues to provide Qualified Person services. He is an SME Registered Member, ID 4167376RM. He graduated from Arizona State University in 1979 (BS) and the Mackay School of Mines in 1981 (MS) in Geology. Mike lives in Mexico and is fluent in Spanish. TSX.V-MMN 4 November 29, 2017

Stock Information • TSX-V SYMBOL - MNN • Basic Shares Issued . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49.6 Million • Stock Options Outstanding . . . . . . . . . . . . . . . . . . . . . . . . . 2.1 Million 2.1Million @ $0.14 • Warrants Outstanding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24.2 Million 5.4 Million - Exercisable @ $0.50 expiry Oct 2017 (Debenture/Equity) 13.2 Million - Exercisable @ $0.18 expiry May 2020 0.7 Million - Exercisable @ $0.13 expiry May 2020 3.4 Million - Exercisable @ $0.18 expiry July 2020 0.1 Million - Exercisable @ $0.13 expiry July 2020 1.4 Million - Exercisable @ $0.15 expiry June 2021 • Fully Diluted Shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 75.9 Million • Basic Market Cap @ $0.10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4.96 Million • Cash in the bank at August 31, 2017 . . . . . . . . . . . . . . . . . . . . . $1.28 Million • Major Shareholders Eric Sprott Concept Capital Management TSX.V-MMN 5 November 29, 2017

Project Portfolio in Durango TEJAMEN (Durango State) • Flagship property with a NI 43-101 inferred resource of 28.7 million troy ounces of Ag (15ppm cutoff), contained MONARCA MINERALS INC. OREMEX SILVER INC. in 19.8 million tonnes @ Project locations Project locations 45ppm Ag Excellent potential to expand • resource and for high grade Tejamen veins and mantos San Lucas SAN LUCAS (Durango State) El Sol Excellent exploration • potential for veins and mantos EL SOL (Durango State) Excellent potential to extend • Southern Silver’s Blind/El Sol zone onto concession with geophysical anomaly (IP) continuation 6 November 29, 2017

Project Locations: Durango State • Monarca’s projects are located in an area of Mexico renowned for major Ag, Au and base metal deposits. • The area has a long mining history dating back to early colonial times. • The area has significant infrastructure and transportation systems with local mining expertise. November 29, 2017 TSX.V-MMN 7

Tejamen: 43-101 Resource Key silver valuation component and flagship project Monarca owns 100% mineral rights and surface access • in progress • NI 43-101 Inferred Resource of 28.7 million troy ounces of Ag (15ppm cutoff), by Gustavson Associates • NI 43-101 Inferred Resource of 19.8 million tonnes @ 45ppm Ag 215 RC holes (36,139m) and 10 core holes drilled • between 2003 and 2008 • Los Mantos remains open to the south, east and at depth in high grade veins • Significant exploration upside in feeder veins beneath both Los Mantos and Cerro Prieto deposits, grades of to 6m of 1,400ppm Ag, with about 5% Pb & Zn November 29, 2017 TSX.V-MMN 8

Tejamen: Deposits & Drilling • Completed 36,139m of drilling Cerro Prieto Upper • Defined 2 primary Cerro Prieto Cerro Prieto Lower Ag deposits: Los Mantos and Cerro Prieto • Los Mantos drill result highlights: • Hole MMT-141: 80m at 417 g/tAg Los Mantos • Hole MMT-101: Los Mantos 89m at 621 g/tAg November 29, 2017 TSX.V-MMN 9

Tejamen: Satellite Image • Located close to Tejamen town with 700 Cerro Prieto Area people • Nearby town of Nuevo Ideal provides basic services • Power and water available Mineralized Zone • Year-around access with Representative Outline low topographic relief • Moderate climate conditions • 1.5 hours by highway north of Durango, Mexico Los Mantos Area November 29, 2017 TSX.V-MMN 10