Abitibi Royalties

Canadian Malartic Mine Royalties Update - Seite 2

Historic East Malartic Mine Exploration (3% NSR)

Exploration efforts have focused on exploration and confirmation drilling at the East Malartic historic mine area. A total of 38,300 metres in 40 holes have been completed through September 1, 2017. Drilling is on-going with five drills, with a planned 2017 total program of 47,000 metres of core.

Abitibi Royalties believes that the areas at the East Malartic Mine covered by its 3% NSR include the deeper portions of the Main/East Zones, Porphyry Swarm, East Porphyry and the Chert/Wedge Zone (Fig. 2). The latter three zones may straddle the southern property boundary of the Company's NSR at depth and the Chert/Wedge Zone along strike to the east. These zones are in addition to the Norrie Zone (for more information on Norrie please see news release - August 19, 2014).

To view a long section of the underground ("UG") exploration targets at East Malartic and Odyssey, please see Figure 9 contained in Yamana's September 25, 2017 news release.

Technical Information

Abitibi Royalties has not received any of the 2017 drill hole data from the Internal Zone or from the historic East Malartic Mine that is otherwise not publicly available. The Company cannot make any assurances that all or any of the drilling completed at the Internal Zone or the East Malartic Mine referenced in the Yamana news release dated September 25, 2017 encountered mineralization where Abitibi Royalties holds an NSR. Although the Company believes the drill results from the Internal Zones could have a positive impact on its 3% NSR, the Company has not independently verified the drill hole data and cannot confirm, nor can there be any assurance, that all or any of the previous or current drilling from the Internal Zones encountered mineralization on the Malartic CHL Property where the Company holds a 3% NSR. Additionally, the Company has not been informed of the drilling locations for the historic East Malartic Mine or if the drilling encountered mineralization where Abitibi Royalties holds a 3% NSR. The full impact of the additional drilling will not be known until the mine operators calculate an updated reserve and resource estimate for the portions that are attributable to the Company's NSR interest. Abitibi Royalties anticipates this would occur in early 2018.