June 2017 investor_presentation_final_2017_07_05_cp

Corporate Presentation

Open-pit Gold Heap Leach Opportunity in Ghana, West Africa

May 2017

FORWARD LOOKING STATEMENT

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No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained on this presentation. This presentation contains "forward-looking information" concerning Pinecrest Resources (“Pinecrest “ or the “Company”) future financial or operating performance and other statements that express management'sexpectations or estimates of future developments, circumstances or results. Generally, forward-looking information can be identified by the use of forward-looking terminology such as“seeks”, "believes", "anticipates", "plans", “continues”, "budget", "scheduled", "estimates", "expects", "forecasts", "intends", “projects”, “predicts”, “proposes”, "potential", “targets” andvariations of such words and phrases, or by statements that certain actions, events or results "may", "will", "could", "would", “should” or "might" "be taken", "occur" or "be achieved".Forward-looking statements included in this presentation include statements regarding potential mineralization and mineral resources, the potential development scenarios for the variousGold-Silver Projects, including information with respect to the supporting infrastructure, the potential life of mine, rates of production and the effects of steps taken to mitigate localimpacts and the expected completion dates of exploration and drilling, exploration results, estimated and future exploration and administration expenditures, the timing and results ofpreliminary economic assessments, other development studies, and future plans and objectives of Pinecrest. While all forward-looking statements involve various risks and uncertainties,these statements are based on certain assumptions that management of Pinecrest believes are reasonable, including that it will be able to obtain financing and on reasonable terms, thatits current exploration and other objectives can be achieved, that its exploration and other activities will proceed as expected, that its community and environmental impact procedureswill work as anticipated, that general business and economic conditions will not change in a material adverse manner, that Pinecrest will not experience any material accident, labourdispute or failure or shortage of equipment, and that all necessary government approvals for its planned exploration and potential development activities will be obtained in a timelymanner and on acceptable terms. There can be no assurance that the forward-looking statements will prove to be accurate and actual results and future events could differ materially fromthose anticipated in such statements. Important factors that could cause actual results to differ materially from the Pinecrest’s expectations include, among others, the actual results ofcurrent exploration activities being different than those anticipated by Pinecrest, changes in project parameters as plans continue to be refined, changes in estimated mineral resources,future prices of metals, increased costs of labor, equipment or materials, availability of equipment, failure of equipment to operate as anticipated, accidents, effects of weather and othernatural phenomena, risks related to community relations and activities of stakeholders, and delays in obtaining governmental approvals or financing. Although Pinecrest has attempted toidentify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be noassurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers shouldnot place undue reliance on forward-looking statements. Pinecrest does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-lookinginformation or statements whether as a result of new information, future events or otherwise, except as required by law.

PEA Disclosure

The NI 43-101 Preliminary Economic Assessment is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to havethe economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the Preliminary EconomicAssessment will be realized. The Enchi Gold Project PEA Technical Report is available on SEDAR and was prepared by Joanne Robinson P.Eng of WSP Canada aprofessional independent mining engineer registered in Canada and a QP as defined by National Instrument 43-101. Mineral resources that are not mineral reserves donot have demonstrated economic viability.This presentation is not an offer to purchase securities and does not constitute an offering document under Securities legislation.Mr. Gregory Smith, P.Geo, the President and CEO of the Company, is the Qualified Person as defined by NI 43-101, and has prepared and approved the technical data and information inthis presentation

INVESTMENT HIGHLIGHTS

31. Inferred resource using a 0.5 g/t Au cut-off grade.

Strong PEA Results

Pre-Tax NPV5%: US$102MPre-Tax IRR: 34%

Post-Tax5%: US$62MPre-Tax IRR: 25%

Strong Exploration Upside

Substantially underexplored 568km2 land package located on

prolific Bibiani Shear zone

Over 1M oz Au1

April 2015 NI 43-101 compliant Technical Report

Stable Mining Jurisdiction

Ghana is Africa’s 2nd largest gold producer and the world’s 8th largest

Strong Management

Value Creation with Proven Execution

Strategic Shareholders

16% by Kinross Gold38% by Insiders

ENCHI GOLD PROJECT OVERVIEW

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• Open Pit Gold Project: +1 million ounce Inferred gold resource

• Stable Mining Location: Located in Ghana’s prolific Bibiani Shear zone which is host to several multi-million ounce gold deposits (Chirano Gold Mine, Bibiani Gold Mine) (in-country mining by Newmont, Goldfields, Randgold, Kinross)

• Preliminary Economic Assessment Highlights; US$1,300 oz gold price: 61,749 oz per year, Pre-Tax NPV5% US$102M, IRR 34% and US$802 oz cash costs (including royalties) After-Tax NPV5% US$62M and IRR 25%

• Significant upside: Under explored Ashanti Style, shear hosted mesothermal gold system

• Expansion potential: Shallow, near surface resources open in all directions, demonstrating excellent resource expansion and discovery potential

• Drilling: 568km2 land package with drilling planned for 2017 testing numerous high priority gold targets

2015 PEA HIGHLIGHTS (OWNER OPERATED)

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*2.0% NSR to Kinross Gold and US$10 for each newly defined ounce of gold contained in any new NI 43-101 M&I mineral resource estimate or any ounce of gold mined, whichever occurs first. Such amount shall be payable in cash or, atPinecrest’s option, in common shares of Pinecrest, provided that, Pinecrest shall not be entitled to elect to pay in common shares if such issuance would result in Red Back holding more than 20% of the issued and outstanding shares ofPinecrest. The Ghana government has a 10% free carry and a 5% royalty.

Average Annual Production (Au ounces) 61,749

Metallurgical Recoveries (Oxide/Transition/Sulphide %) 75/75/73%

Strip Ratio (w/o) 3.16

Mine Life (years) 8.7

Pre-Production Capital Costs (US$) $84.4M

LOM Sustaining Capital Costs (US$) $38.6M

LOM Cash Cost per Ounce (US$/oz) $802.03

US$1,200/oz US$1,250/oz US$1,300/oz US$1,350/oz

Pre-Tax Payback (years) 3.4 3.0 2.8 2.7

Pre-Tax IRR (%) 24% 29% 34% 38%

Pre-Tax NPV5% (US$) $61.9M $81.9M $101.9M $121.9M

After-Tax Payback (years) 4.1 3.7 3.4 3.1

After-Tax IRR (%) 18% 22% 25% 29%

After-Tax NPV5% (US$) $35.9M $49.0M $62.0M $75.0M

Enchi Gold Project April 2015 PEA – Base Case US$1,300/oz*

Adjusted Enterprise Value1 / Avg. LOM Production (US$/oz)

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VALUE OPPORTUNITY

FDITM Market Cap (US$M) $22 $74 $134 $308 $278 $152 $33 $226 $24 $84

Asset Name (name) Hasbrouck Bombore Cerro Quema Eagle Volta Grande Castle Mountian Enchi Amulsar Kobada Relief Canyon

Au Total Resources (Mozs) 1.1 5.8 0.7 4.4 6.8 5.0 1.1 4.8 2.2 0.8

Head Grade (g/t) 0.58 0.76 0.77 0.67 1.02 0.85 0.91 0.79 1.25 0.72

Gold Recovery (%) 76% 87% 86% 71% 93% 83% 75% 87% 82% 80%

Strip Ratio (x) 1.10 1.07 0.72 0.95 4.27 6.90 3.16 2.20 3.28 3.45

LOM Avg Annual Prod. (kozs) 74 116 79 189 205 176 62 225 53 89

Development Capex (US$M) $151 $266 $117 $288 $298 $271 $84 $370 $45 $22

EV / Total Resource (US$/oz) $24 $10 $161 $55 $32 $29 $26 $34 $9 $99

Adj. EV1 / Avg. LOM Prod. (US$/oz) $3,094 $3,024 $2,926 $2,808 $2,494 $2,348 $1,976 $1,460 $1,327 $1,175

Source: FactSet, company disclosure; 1. Adjusted Enterprise Valued calculated as Enterprise Value + Remaining Development Capex

$3,094 $3,024 $2,926 $2,808 $2,494

$2,348

$1,976

$1,460 $1,327

$1,175

West Kirkland Orezone Orla Victoria Belo Sun Newcastle Pinecrest Lydian African Gold Pershing

Peer Average: $2,295

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VALUE OPPORTUNITY

Enterprise Value / Total Resources (US$/oz)

Source: FactSet, company disclosure

Head Grade (g/t)

$99

$58 $55

$34 $32 $29 $26 $24

$10 $9

Orla Pershing Rye Patch Victoria Lydian Belo Sun Newcastle Pinecrest West Kirkland Orezone African Gold

Peer Average: $51

1.25

1.02 0.91

0.85 0.79 0.77 0.76 0.72 0.67

0.58

0.45

African Gold(Kobada)

Belo Sun(Volta Grande)

Pinecrest(Enchi)

Newcastle(Castle Mountian)

Lydian(Amulsar)

Orla(Cerro Quema)

Orezone(Bombore)

Pershing(Relief Canyon)

Victoria(Eagle)

West Kirkland(Hasbrouck)

Rye Patch(Florida Canyon)

Peer Average: 0.79

$161

PINECREST TEAM – TRACK RECORD OF SUCCESS

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George Salamis, Chief Executive Officer & Director

Ryan King, President & Director

Greg Smith, Vice President Exploration

Daniel Wilson, Country Manager Ghana

Dr. John Thomas, Technical Advisor

Blayne Johnson, Advisor & Director

Doug Forster, Advisor & Director

Edward Farrauto, Director

Doug Hurst, Director

Mike Vint, Director

CAPITAL STRUCTURE & OWNERSHIP

9Source: Capital IQ and SEDI. Market Capitalization priced as of market close on May 9, 2017

Symbol TSX-V: PCR

Shares Outstanding

Basic 62.1M

Options (avg exercise $0.26) 8.6M

Kinross Warrants (avg exercise $0.30) 5.0M

Warrants (avg exercise $0.30) 18.0M

Fully Diluted 93.7M

Working Capital ~C$2.5M

Market Capitalization ~C$27.9M

16%

Management & Insiders 38%

Capital Structure Top Shareholders

RENEWED FOCUS ON AFRICAN GOLD EQUITIES

African focused gold companies up ~25% year-to-date (“YTD”)

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Select Transactions in Africa

US$150M

C$46M

US$570M

A$180M

C$240M

C$31M

Financing Acquisition

• Feb 2015; C$46M bought deal financing completed

• July 2014; US$150M debt facility with Red Kite Mine Finance Trust I secured

• June 2014; US$570M acquisition of Papillion Resources Limited

• March 2016; $240M acquisition of True Gold announced

• Feb 2015; ~A$180M acquisition of Orbis Gold Limited announced

• December 2016; acquisition of remaining 77% of Merrex Gold

A$118M

• February 2016; acquisition of Amara Mining

WEST AFRICAN GOLD DEPOSITS – NON PRODUCING

• Gold assets in West Africa with deposits >0.5M oz Au

• Opportunity to consolidate nearby West African gold deposits

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Toro GoldMako – 1.4M oz

Pinecrest ResourcesEnchi – 1.1m oz

Cassidy Gold CorpKouroussa – 0.7M oz

Polo ResourcesNimini – 0.9M oz

Avesoro ResourcesNdablama – 0.9M oz

Viking AshantiAkoase – 0.8M oz

Legend GoldDIBA/Tabakroloe– 0.9M oz

Endeavour MiningHounde – 2.7M oz

West African ResourcesSanbrado – 2.1M oz

SEMAFONatougou – 2.0M oz

IAMGOLDBoto – 1.7M oz

IAMGOLDDiakha-Siribaya – 1.2M oz

B2GoldFekola – 4.8M oz

B2GoldKiaka – 4.7M oz

Gold Fields LimitedDamang – 6.0M oz

Asanko GoldAsanko Mine – 5.2M oz

Perseus MiningSissingue – 0.9M oz

SEMAFONabanga – 0.6M oz

WEST AFRICAN GOLD DEPOSITS – PRODUCING

• Gold assets in West Africa with currently operating

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Avesoro ResourcesNew Liberty – 1.7M oz

NordgoldTaparko – 1.6M oz

West African ResourcesTanlouka – 1.5M oz

Robex GoldNampala – 1.0M oz Endeavour Mining

Karma – 3.8M oz

RoxgoldYaramoko – 1.1M oz

NordgoldBissa-Bouly – 6.5M oz

Endeavour MiningTabakoto – 2.7M oz

Endeavour MiningAgbaou – 1.1M oz

Endeavour MiningIty – 1.1M oz

IAMGOLDEssakane – 5.1M oz

IAMGOLDSadiola – 8.1M oz

Asanko GoldNkran – 2.3M oz

Golden StarWassa – 5.4M oz

Golden StarPrestea – 3.4M oz

Perseus MiningEdikan – 6.0M oz

Teranga GoldSabodala – 1.2M oz

SEMAFOMana – 5.7M oz

KinrossChirano – 1.8M oz

$200 BILLIONEstimated value of all the gold

in Ghana’s Ashanti Belt

GHANA OVERVIEW

13Source: Fraser Institute Annual Survey of Mining Companies 2016 (February 2017); 911 Metallurgist

Biggest gold producer in Africa

7thBiggest gold producer

in the world

$21.5 MILLIONRoyalties given back to Ghanaian

Communities between 2009 - 2011

$500 MILLION

The amount of tax resulting from gold

produced in Ghana for 2011

70%

The amount of West Africa’s Gold Ghana is

believed to hold

5-10% The amount of Ghana’s labor force

employed by gold mining

2nd

6th / 2nd

Ghana’s rank among African countries on Fraser Institute’s

Overall Investment Attractiveness Index and Policy

Attractiveness Index, respectively

REGIONAL SETTING

• Pinecrest’s Enchi Gold Project is located on the prolific Bibiani Shear zone which hosts multi-million ounce gold deposits

− Enchi Gold Project covers 50km of the Bibiani Shear Zone

• Located within 70km of Kinross Gold Corporation’s Chirano gold mine which produced 286,542 oz Au in 2014

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Bibiani Deposit

Chirano Deposit

Ahafo Deposit

Esaase Deposit

Obotan Deposit

Ashanti Deposit

Perseus Deposit

Tarkwa Deposit

ENCHI GOLD PROJECT OVERVIEW

• 100%1 owned resource delineation stage gold project

• April 2015 NI 43-101 compliant Technical Report with an Inferred resource of +1M oz Au

• Substantially underexplored 696km2 land package

− VTEM airborne geophysical survey identified over 25 new exploration targets

• Resource zones Boin, Nyam and Sewum open in all directions

151. Subject to a 10% carried interest to the Ghana government.

Gold Producers

ENCHI MINERAL RESOURCE ESTIMATE (2015)

The April 2015 Mineral Resource estimate was based on 52,385 metres of diamond and RC drilling in 646 holes as well as data from 13,799 metres in 102 surface trenches. The drilling is spaced at 25 to 50 metre intervals

1. CIM definition standards were followed for the resource estimate.

2. The April 2015 resource models used ordinary kriging (OK) grade estimation within a three-dimensional block model with mineralized zones defined by wireframed solids.

3. A base cut-off grade of 0.5 g/t Au was used for reporting resources with a capping of gold grades at 18 g/t.

4. A US$1,300/ounce gold price, open pit with heap leach operation was used to determine the cut-off grade.

5. A density of 2.45 g/cm3 was applied.

6. Numbers may not add exactly due to rounding.

7. Mineral Resources that are not mineral reserves do not have economic viability.

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Inferred Resource

Cutoff (g/t Au) Tonnes Gold (g/t) Contained Gold (oz)

0.30 72,611,000 0.65 1,526,065

0.40 53,366,000 0.76 1,304,918

0.50 37,357,000 0.90 1,078,697

0.70 20,816,000 1.15 768,000

0.90 12,933,000 1.36 569,879

1.00 10,127,000 1.49 484,388

SUPERIOR DISCOVERY POTENTIAL

• Several high priority gold targets identified to expand the already substantial +1 million gold ounces near surface oxide resource with multi-million ounce opportunities

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2.65g/t Au over 35mOpen in all directions

1.44g/t Au over 17m Open in all directions(900m North of Boin Zone)

3 geo-chemical anomalies over 3km long, limited drilling

1.13g/t Au over 34m open for expansion

Limited drill results include: 2.0g/t Au over 30m, 0.53g/t Au over 81m

New Gold Zone outside of resource estimate, 1.14g/t Au over 68m

Kojina Hill Kwakyekrom

New Gold Zone (1.51g/t Au over 22m) Open

Sewum South 2.01g/t Au over 29m (limited drilling)

Enchi Claim BoundaryGold in soil anomalies

Previous drill successDeposit, Resource zone

ENCHI NEAR SURFACE RESOURCE EXPANSION OPPORTUNITY

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Potential to drill between known zones as demonstrated by Boinand Sewum Long Sections

Near surface oxide resource expansion potential on all resource zones Boin/Nyam & Sewum as many other additional untested zones

BOIN CLEAR EXPANSION OPPORTUNITY

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BOIN PIT SHELLSOpportunity to expand resources between zones

BOIN GOLD ZONENear surface oxide potential to expand with clear drilling gaps

125 m

Vertical

depth

Enchi Claim BoundaryGold in soil anomalies

ProspectsShear Zone

DEPTH POTENTIAL

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• Multi-million ounce Chirano Gold Mine hosts plunging zones of gold mineralization

• Similar to gold zones on the Enchi Gold Project including known zones Boin and Nyam

• Lower grade at surface on both Chirano and Enchi Gold Project (Boin/Nyam)

• Boin/Nyam gold zones previous drilling depth of approximately 75-125 metres

BUILDING VALUE FOR SHAREHOLDERS

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• Expanding Open Pit Gold Resources: +1 million ounce Inferred gold resource

• Stable Mining Location: Located in Ghana’s prolific Bibiani Sheer zone which is host to several multi-million ounce gold deposits (Chirano Gold Mine, Bibiani Gold Mine) (in-country mining by Newmont, Goldfields, Randgold, Kinross)

• Preliminary Economic Assessment Highlights; US$1,300 oz gold price: 61,749 oz per year, Pre-Tax NPV5% US$102M, IRR 34% and US$802 oz cash costs (including royalties) After-Tax NPV5% US$62M and IRR 25%

• Expansion potential: Shallow, near surface resources open in all directions, demonstrating excellent resource expansion and discovery potential

• Drilling: 568km2 land package with drilling planned for 2017 testing numerous high priority gold targets

• Strategic Team with Proven Track Record: Reviewing additional value creation opportunities

APPENDIX

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OWNER OPERATED 2015 PEA HIGHLIGHTS

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*2.0% NSR to Kinross Gold and US$10 for each newly defined ounce of gold contained in any new NI 43-101 M&I mineral resource estimate or any ounce of gold mined, whicheveroccurs first. Such amount shall be payable in cash or, at Pinecrest’s option, in common shares of Pinecrest, provided that, Pinecrest shall not be entitled to elect to pay in commonshares if such issuance would result in Red Back holding more than 20% of the issued and outstanding shares of Pinecrest. The Ghana government has a 10% free carry and a 5%royalty.







LOM Cash Cost per Ounce (US$/oz) $802.03



Pre-Tax IRR (%) 24% 29% 34% 38%


After-Tax Payback (years) 4.1 3.7 3.4 3.1

After-Tax IRR (%) 18% 22% 25% 29%

After-Tax NPV5% (US$) $35.9M $49.0M $62.0M $75.0M

Enchi Gold Project April 2015 PEA – Base Case US$1,300/oz*

CONTRACT MINING 2015 PEA OPTION

24*2.0% NSR to Kinross Gold and US$10 for each newly defined ounce of gold contained in any new NI 43-101 M&I mineral resource estimate or any ounce of gold mined, whichever occurs first. Suchamount shall be payable in cash or, at Pinecrest’s option, in common shares of Pinecrest, provided that, Pinecrest shall not be entitled to elect to pay in common shares if such issuance would resultin Red Back holding more than 20% of the issued and outstanding shares of Pinecrest. The Ghana government has a 10% free carry and a 5% royalty.







LOM Cash Cost per Ounce (US$/oz) $961 (includes royalties and refining)



Pre-Tax IRR (%) 26% 36% 44% 52%


Enchi Gold Project Dec 2015 Contract Mining Option PEA – Base Case US$1,300/oz*

MINED TONNES, GOLD GRADE AND STRIP RATIO

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PRE-PRODUCTION OWNER OPERATED CAPITAL COSTS

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US$84.4M

US$35.6M42%

Processing

US$18.8M22%

Mining

US$4.4M5%

Infrastructure

US$4.9M6%

Engineering & Procurement

US$5.9M7%

Construction

(Indirect)

US$3.1M4%

Owner’s Costs

US$11.8M14%

Contingencies

CONTACT

RYAN KINGPRESIDENT & DIRECTOR

T: 604 628 [email protected]

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mailto:[email protected]

June 2017 investor_presentation_final_2017_07_05_cp

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