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January 2017 AGC: TSX-V

Near Production Gold Reserves in Brazil

Source: Amarillo The Qualified Persons for Amarillo are Frank Baker, M. IOM3 and MAusIMM. and Buddy Doyle MAusIMM

AMARILLO GOLD

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AMARILLO GOLD

Gold is at record
highs in Reals

NOW IS THE TIME

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AMARILLO GOLD

Vice President Scott Eldridge – CFO & Corporate Secretary • 8 years finance and accounting experience.Proven Management Team Buddy Doyle – President & CEO • 28 years exploration experience • 23 years with Rio Tinto on numerous global assignments • 13 years as North American exploration manager for diamonds. Australia and Africa • Most recent job was commissioning a 2million tonne per year Gold mine in Western Australia Arao Portugal – Director of Strategy • Government and community liason. da Silva – General Manager Brazil • 20 years exploration experience in Brazil managing several exploration campaigns • Responsible for drilling off several of Jaguar Mining’s Brazilian gold deposits Frank Baker – Project Development Manager • Graduate of Sheffield University with Masters in Metallurgy. >$14B in-situ diamonds • +30M oz Lihir (Au) deposit discovery/definition team. raised over $500M USD for global mining projects including equity and project finance debt 3 AMARILLO GOLD . • Excellence in Diamond Exploration award in 2007 Luis Carlos F. over thirty years experience. South America. Brazil Citizen • Taken three mines from Feasibility into production on three continents. various roles including Co-Country Manager. project leader for the Diavik discovery/ pre-feasibility. premitting specialist • Joined Yamana in 2003.

Portfolio Manager. Practical regulatory experience. Brasil.El Hilorico /El Galeno (Au-Cu). fluent in Portuguese Rostislav Raykov – Director • Bachelor of Science in Business Administration. • Since 2002. various roles as Securities Analyst. Companies. Navidad (Ag). and Investment Banking Analyst in USA David Birkett – Director • Bachelor of Arts in Economics. Directors Rick Brown – Business Development. focused on management and property acquisitions • Projects include: Peru. • Over $100m in money raised under his tutelage 4 AMARILLO GOLD . founder of numerous Venture Co. from University of North Carolina • CEO of Adherex Technologies Inc.Calcatreu (Au). Argentina. Director • Exploring South America since 1993.Mara Rosa (Au) • Brazilian resident. University of Waterloo • 25 years of experience with public resource companies Patrick Power – Director • 20 years of Venture exchange experience.

Brazil Our projects are located in areas of excellent infrastructure: MARA ROSA PROJECT • Federal highway. 320km from Brasilia • Hydroelectric grid power • 35km from 4M oz Chapada mine (Yamana) • 62km from the 1. 320km from Porto Alegre • Hydroelectric and thermal grid power • 70km from coal mining 5 AMARILLO GOLD .Project Locations .5M oz Pilar Mine (Yamana) • 100km from 1M oz Serra Grande mine (AngloGold / Kinross) LAVRAS DO SUL PROJECT • Tarmac highway.

Major Permitting Milestone Achieved • The License Preliminary Permit (LP) was granted May 2016 for the Mara Rosa Gold Project • This event has allowed the project to move forward and advance into BFS • Next permitting step to begin construction is the Instillation License (LI) 6 AMARILLO GOLD .

social and environmental approval. (ii) approval of the mine development plan (PAE) which also demonstrates project economic feasibility (FS). Judicial) similar process in each State. • Granted once all aspects of the approved project design are implemented Process administered by Each State and the Ministry Public (Public Defender. (iii) and approval of the basic environmental plan (PBA) Operation License (LO) • Grant of mining concession by Mining and Energy Ministry (DNPM) • Requires inspection of the constructed mine and plant to ensure compliance with codes and provisions of LP. 7 AMARILLO GOLD . LI. Brazil Permit Process Preliminary License (LP) • OBTAINED MAY 2016 • Most challenging part of the permit process • Entails environmental base line . public hearings • Awarded by the Environmental Protection Agency and the Judicial Ministry Installation License (LI) • Now in progress • Provides authorization to initiate construction • Obtain by: (i) fulfillment of LP conditions.

Mara Rosa: Outstanding Infrastructure Sub-Station 4km from Posse Serra Mesa Hydro 450MW Entrance to Mara Rosa Village Turn off to Posse Deposit Chapada mine 32km away BR-153 major N-S Highway Source: Amarillo Source: Yamana website 8 AMARILLO GOLD .

Moving Towards Production Posse Gold Deposit The Posse deposit is a Shear hosted gold deposit.Mara Rosa Project . Source: Amarillo 9 AMARILLO GOLD . with a gneiss hanging wall and greenstone foot wall dipping at 47 degrees to the NW.

Key Land Position in Competitive Belt • 62.600 ha of mining permits • 12 km co-incident K-channel /Au soil anomaly • 5 large mines within 100 km radius -Yamana’s Chapada Cu-Au 35 km • AGC 100% title • 2% NSR on Posse deposit Town of Mara Rosa • Step one of the Permit to mine granted 10 AMARILLO GOLD .500 ha of exploration permits • 2.

6 km wide •260m deep •67 hectares •HW 55 deg •FW 40 deg 11 AMARILLO GOLD .63/tonne  (post-tax) IRR 26.000 oz  Nominal Tax Rate 34%  Mine life 7 years  DCF $1200/ oz Au Pit Dimensions •1.5 mtpa plant) $184 M  (post-tax) NPV 5 $178 M • Overall costs $24. US/Real 1.9  Av annual Production 124.4 km long •0. PFS: Completed Nov 2011 Mara Rosa Project  Pit shell $1100 / oz Au • CAPEX (2.6% • CIL recovery 92%  ROI 3 years • Selling costs 4%  Cost/oz $524 ($464) • Approx.

52 g/t 229.630 1.117 1.87 g/t 339.600 Probable 11.708 1.60 g/t 606.34 g/t 156.900 Inferred 3.174.400 Source: Coffey Mining International Nov 2011– 43-101 accredited.67 g/t 1. Norman Lock supervising Qualified person 43-101 compliant based upon 283 drill holes (>33.200 Resource M + I 4.72 g/t 945.000 metres) 12 AMARILLO GOLD .739 1.825 1.Posse Deposit Reserves Cut-off = 0.361 1.700 TOTAL COMBINED R&R 21.50 g/t Au Tonnes (‘000) Average Grade Ounces Au Proven 5.600 Total (P + P)* 17.

26 g/t 287.458 1.100 Inferred 7.026 1.100 Indicated 13.50 g/t Au Tonnes (‘000) Average Grade Ounces Au Measured 8.568 2.52 g/t 659.210.71 g/t 1.119 1.000 Resource M + I 22.700 • Significant improvement: Measured increased by 53% • Remains open to depth and along strike • Inferred increased by 84% • New resource will be used to update PFS Source: Keith Whitehouse Member of the AUSMIM Qualified person Australian Exploration Field Services 13 AMARILLO GOLD . Posse Resource update July 2016 Cut-off = 0.00 g/t 551.

econ.SRK Updating the PFS Comparison of 2011 PFS and new PFS (Q1 2017): Old PFS New PFS Gold price Pit $1100.67g/t 1. Strip 6.90/$ R3. model $1200 $1200 (3 year av.900 ounces @ 1.70/tonne based on other Brazil operations Power cost 5c/Kwhr 8c/Kwhr 14 AMARILLO GOLD .4:1 Capex Capex $184mm Seek to reduce Mining cost $1.40/tonne $1.174.100 ounces @ 1.71g/t Geotech Footwall 40 deg.210.20/$ Resource estimate 1. Strip 8:1 Footwall 46 deg.) Exchange rate R1.

5 15 AMARILLO GOLD .6 31.0 2.9 40.8 21.7 2.8 26.3 rate of return %) NPV0 $M 165 219 274 328 383 437 NPV5 $M (Base Case) 93 136 178 221 264 307 NPV7 $M 71 110 149 188 227 266 NPV10 $M 44 78 112 146 181 215 Pay Back period 5.1 3.3 35.Posse PFS DCF Gold Price and Discount Rate Base Case Gold Price/oz $1000 $1100 $1200 $1300 $1400 $1500 IRR (internal 16.5 3.1 4.

Significant Land Position in Competitive Belt Amarillo Yellow Yamana Dark Blue Eldorado Lime Green Radiometric Ternary Image Mara Rosa Belt 16 AMARILLO GOLD .

Mara Rosa Mine Plan 17 AMARILLO GOLD .

Pit wall geotech work : successfully decreasing the strip ratio 2. Increased resource confidence: Moved significant portion of Indicated to Measured 4. Current Strategy Update PFS showing enhancement and move the project into BFS Continuous optimization work has been completed to optimize economics since the 2011 PFS Achievements: 1. Expansion drilling: to the north of the deposit has shown the mineralization extends 300m 18 AMARILLO GOLD . Updated resource: The centre of the Posse orebody has defined gold in an area previous considered waste 3.

Everything outside footwall.4:1 strip when footwall was raised 5 degrees 19 AMARILLO GOLD . all show fabric. but no clevege or shistosity Orebody wire frame and still in the pit is waste.1:1. and right darker rocks South part of orebody. Geotech Drilling and Improvements • Feasability quality Geotech study completed • Allows to Footwall pit to be raised from 40% to 46% Image of typical core from Posse deposit. to the left hanging wall Figure show cross section of current proposed pit through Middle lighter coloured rock represent the orebody. Orebody wireframe shown. Current strip 8. Earlier work showed a 6. Green areas are additional waste to accommodate haul roads.

orange 75m green 50m. (See box on the image to the left). gram*metres in each drill hole. purple 125 gm. The northern part of the orebody has never been drilled to depth in the triangle shape on the image to the left. red 100. to add 250K ounces. The drilling was designed to remove the saddle. deposit 150m north and is still open in this direction.5g/t and widths average 25m this would have the potential Exploration drill extend the Area of Saddle infill drilling. If grades hold @ 1. reducing waste and adding modest ounces. Exploration Upside 19 holes drilled in 2012 filled in the “saddle” which was treated as waste in the last PFS. 20 AMARILLO GOLD . blue 25m. Area of possible resource Image is from the PFS it shows a depiction of the orebody as defined by expansion.

Bottom: main entrance to village Source: Amarillo 21 AMARILLO GOLD . Lavras Do Sul Project Centre: Drill rig Butia prospect.

300 Years of Mining History Lavras do Sul • Several periods of mining from 1700’s through to 1950’s • 1st wave 1780's 2nd wave 1880's alluvials and soils • 2nd wave 1900's hard rock 3 central stamp mills • 3rd wave 1930 Hydraulics • 1980’s – First exploration drilling campaign (CBC & CRM) • 2005 – Rio Tinto drilled ~3.000 m • 2006 – Amarillo acquires initial interest • 2007 – Completes airborne magnetics over Lavras intrusion • 2008 – Drills 232 m @ 1.95 g/t Au at Butiá target 19 garimpos throughout the mining district Source: Diary of a German mercenary in Brazil. painting from gold rush days 1880’s 22 AMARILLO GOLD .

Grey is the IAMGOLD deal. 23 AMARILLO GOLD . Magenta is Lucia ground part of the Rio Tinto deal.Land Disposition Lavras do Sul Yellow is CBC ground part of Rio Tinto deal.

54 g/t BUTIA 120 m @ 3.5m @ 0.23 g/t Lavras do Sul ADVANCED TARGETS (with highlighted Au drill results) Old Gold Workings CERRITO 135. Colour image: airborne magnetics showing geology and structure.Drilling Highlights: 120m @ 3. roads in black.17 g/t PARADAO 12m @ 4.85 g/t CANELEIRA 37m @ 1. 24 AMARILLO GOLD .23 g/t Digital Elevation in grey.

000 43-101 compliant interim resource estimate for the Butia prospect 0.05 215. • Update resource estimate with Butia and Cerrito pending.88 523.Butiá Prospect Initial Resource Lavras do Sul 0. the Butia Prospect.9 0.4 1. 25 AMARILLO GOLD . • Bulk tonnage near surface.000 Inferred 12.3g/t cut Tonnes Tonnes Grade Grade(g/t) (g/t) Ounces Ounces (mt) (mt) Indicated 6.74 0.3g/t cut 0.05 1.88 0.000 Total Total 22.000 308.4 6.000 523.000 215.1 0.1 22. 1 of Butia Zone 19. showed high grade plus 2g/t zones connect up and discovered new zones not in current resource estimate. Source: Amarillo • Drilling results released this year.3g/t cut-off • This is the first Resource Estimate from 1 of the 3D Model of Prospects at Lavras Do Sul.74 308.9 12.

4m @ 0.42 g/t • + 700m strike • up to 80m wide • + 120m depth • More than one zone Source: Amarillo 26 AMARILLO GOLD .Cerrito Prospect: Current Drill Project Lavras do Sul • Bulk tonnage. 5. 56m @ 1. 71m @ 1.000 m of drilling completed to date • Gold results incl. 143.08 g/t.75 g/t. near surface gold deposit • Over 15 holes completed. approx. low grade.

second stage underway • Second significant project with much blue sky at LDS • Results-driven and proven management who act like owners • Exemplary capital management record • Low market cap compared to peers. need to change this through getting the story out 27 AMARILLO GOLD .Why Invest in Amarillo Key project milestones • Mara Rosa updated PFS expected in Q1 2017 • Bankable Feasability 8 months • First and most important stage of permitting completed.

2million Institutions 42% Options ($0.38 $34 million Retail 20% 28 AMARILLO GOLD . @ $0.Corporate Information Capital Structure Major shareholders Shares outstanding 80 million Board & Management 15% Warrants (0.4 million High Net Worth 23% Market cap.25c) 4.28) 2.

com Lawyers: Auditors: Clark Wilson LLP MSCM LLP (Moore Stephens) 800 – 885 West Georgia Street 8th Floor. BC V6C 3H1 Canada Toronto. 701 Evans Avenue Vancouver.com Scott Eldridge Chief Financial Officer Tel: 1-604-722-5381 scott@amarillogold.com Tel: +55 31 3261 5974 rick@amarillogold. Praca Carlos Chagas 49 – Salas 504 a 506 PO BOX 10144 Bairro Santo Agostinho – Belo Horizonte - Vancouver BC Canada V7Y 1C6 MG Tel: 1-604-689-1799 Brasil CEP 30170-913 buddy@amarillogold.Further Information Canada: Brazil: Buddy Doyle Rick Brown President and CEO Business Development Suite 1818 701 W. Georgia St. Ontario M9C 1A3 Canada 29 AMARILLO GOLD .

Appendix: Aligned Shareholders Gold-linked Credit Facility: • Group of 3 substantial shareholders provided non-dilutive financing • Up to 5.25c • ROFR on any financing below $0.500 ounces • Subsequent draws of 270 ounces per quarter • Loan matures in 2019 • 12% interest rate per annum (only on drawn amount) • 4.25c 30 AMARILLO GOLD .000 ounces spread over drawdown schedule • Initial amount 2.3 million warrants @ $0.