DEVELOPMENT AND EXPLORATION IN ECUADOR

Loma Larga

Location: Southern Ecuador (see Technical Filings for Property Location)
Ownership: 100%
Target: Gold
Status: Feasibility Study

INV Metals announced the positive results of the Feasibility Study (“FS”) on the Loma Larga gold property in March 2020. The FS contemplates an underground mine with a daily production rate of approximately 3,000 tonnes per day (“tpd”) in the early years and reaching 3,400 tpd in year 5, resulting in a higher average annual gold recovered production of 203,000 gold equivalent ounces over an initial projected life of mine of approximately 12 years. The FS includes new capital cost estimates, detailed engineering and mine plans, and environmental studies.

Feasibility Study Highlights (5% discount rate, $1,400/oz gold, $18/oz silver, $3/lb copper)
Pre-tax Net Present Value (“NPV”)			USD$783 million
After-tax NPV			USD$454 million
Pre-tax IRR			40.0%
After-tax IRR			28.3%
Pre-tax Payback			2.0 years
After-tax Payback			2.4 years
Mine Life			12 years
Initial Mining Rate			3,000 tpd
Proven and Probable Mineral Reserves
	13.9 million tonnes (4.91 g/t gold, 29.6 g/t silver, and 0.29% copper), containing
		2.56 million equivalent gold ounces which include,
		2.2 million ounces of gold
		13.3 million ounces of silver
		88.0 million pounds of copper
Measured and Indicated Mineral Resources (inclusive of Mineral Reserves)
	24.1 million tonnes (3.76 g/t gold, 24.8 g/t silver, and 0.22% copper), containing
		3.38 million equivalent gold ounces which include,
		2.92 million ounces of gold
		19.2 million ounces of silver
		116.6 million pounds of copper
Inferred Resources
	6.2 million tonnes (2.03 g/t gold, 25.6 g/t silver, and 0.12% copper), containing
		0.5 million equivalent gold ounces
Average annual LOM gold equivalent recovered production¹
		203,000 gold equivalent ounces
Average annual first four full years of recovered production
		263,000 gold equivalent ounces which include,
		223,000 ounces gold
		17,000 gold equivalent ounces silver
		23,000 gold equivalent ounces copper
LOM Cash costs
		Total cash costs	$559/oz
		All-in sustaining costs	$627/oz
		All-in costs	$789/oz
Capital Expenditures (including taxes)
		Initial pre-production capex	$316 million
		Sustaining capital	$71 million
		Closure costs	$22 million
Employment
		During construction	~875 jobs
		After mine is in production	~450 employees

Annual LOM averages are calculated based on full production years from Year 2 to 11.

CIM 2014 Definition Standards were followed for Mineral Reserves.
Mineral Reserves include long hole and drift-and-fill stopes as well as development in ore.
Mineral Reserves are reported at an NSR cut-off value of US$60/t.
Mineral Reserves are estimated using a long-term gold price of US$1,400 per ounce, silver price of U$18.00 per ounce, and copper price of US$3.00 per pound.
Average bulk density is 2.7 t/m³.
Numbers may not add due to rounding.

CIM 2014 Definition Standards were followed for Mineral Resources.
Mineral Resources are reported at an NSR cut-off value of US$55/t.
Mineral Resources are estimated using a long-term gold price of US$1,650 per ounce, silver price of US$21.00 per ounce, and copper price of US$3.75 per pound.
The formula used to calculate gold equivalence (AuEq) is: (Au g/t x 35.78 + Ag g/t x 0.42 + Cu% x 49.58) ÷ 35.78. The formula considers estimated metallurgical recoveries, assumed metal prices and smelter, which include payable factors, treatment charges, penalties, and refining charges.
Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
Mineral Resources are inclusive of Mineral Reserves.
Average bulk density is 2.7 t/m³.
Numbers may not add due to rounding.

The Mineral and Resource estimates were prepared in accordance with the 2010 CIM Definition Standards for Mineral Resources and Reserves as incorporated by references in National Instrument 43-101. Further information about the Project is contained in the Technical Report filed on SEDAR on April 14, 2020.