ANNUAL INFORMATION FORM for the Year Ended December 31, 2017 Dated: March 22, 2018
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ANNUAL INFORMATION FORM For the Year Ended December 31, 2017 Dated: March 22, 2018 TABLE OF CONTENTS PRELIMINARY NOTES ............................................................................................................................................ 3 CAUTIONARY NOTE REGARDING FORWARD-LOOKING ............................................................................................... 3 NATIONAL INSTRUMENT 43-101 DEFINITIONS .......................................................................................................... 4 CORPORATE STRUCTURE .................................................................................................................................... 5 NAME, ADDRESS AND INCORPORATION OF THE COMPANY ........................................................................................ 5 INTERCORPORATE RELATIONSHIPS ............................................................................................................................ 5 GENERAL DEVELOPMENT OF THE BUSINESS................................................................................................ 6 THREE YEAR HISTORY .............................................................................................................................................. 6 DESCRIPTION OF THE BUSINESS ........................................................................................................................ 9 RISK AND UNCERTAINTIES ....................................................................................................................................... 11 MINERAL PROPERTIES ....................................................................................................................................... 22 EMPIRE STATE MINES .............................................................................................................................................. 22 SUMMARY OF THE PRELIMINARY ECONOMIC ASSESSMENT TECHNICAL REPORT ON THE EMPIRE STATE MINES .... 22 DIVIDENDS ............................................................................................................................................................... 36 CAPITAL STRUCTURE .......................................................................................................................................... 36 GENERAL DESCRIPTION OF CAPITAL STRUCTURE .................................................................................................... 36 MARKET FOR SECURITIES ................................................................................................................................. 37 TRADING PRICE AND VOLUME ................................................................................................................................. 37 PRIOR SALES ............................................................................................................................................................ 37 DIRECTORS AND OFFICERS ............................................................................................................................... 37 NAME, OCCUPATION AND SECURITY HOLDINGS ...................................................................................................... 37 CEASE TRADE ORDERS ............................................................................................................................................ 38 BANKRUPTCIES ....................................................................................................................................................... 39 PENALTIES OR SANCTIONS ....................................................................................................................................... 39 CONFLICT OF INTEREST ........................................................................................................................................... 40 LEGAL PROCEEDINGS AND REGULATORY ACTIONS ............................................................................... 40 INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS .................................... 41 TRANSFER AGENTS AND REGISTRARS ......................................................................................................... 41 MATERIAL CONTRACTS ..................................................................................................................................... 41 INTERESTS OF EXPERTS ..................................................................................................................................... 42 AUDIT COMMITTEE INFORMATION ............................................................................................................... 42 ADDITIONAL INFORMATION ............................................................................................................................. 43 PRELIMINARY NOTES This Annual Information Form (“AIF”) takes into account information available up to and including December 31, 2017 unless otherwise indicated. Throughout this document the terms we, us, our, the Company and Titan Mining refer to Titan Mining Corporation (the “Company” or “Titan Mining”). All financial information in this AIF is prepared in accordance with International Financial Reporting Standards (“IFRS”). Additional financial information may be found in the Company’s audited consolidated financial statements and management’s discussion and analysis for the year ended December 31, 2017. Currency All dollar amounts are expressed in US dollars unless otherwise indicated. Cautionary Note Regarding Forward-Looking Information Certain information contained in this document constitutes forward-looking statements. All statements, other than statements of historical facts, are forward looking statements, including but not limited to the Company’s expectation for the refurbishment and restart of Empire State Mines’ #4 mine. Forward-looking statements are often, but not always, identified by the use of words such as may, will, seek, anticipate, believe, plan, estimate, budget, schedule, forecast, project, expect, intend, or similar expressions. The forward-looking statements are based on a number of assumptions which, while considered reasonable by the Company, are subject to risks and uncertainties. The Company cautions readers that forward-looking statements involve and are subject to known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to differ materially from those expressed in or implied by such forward looking statements and forward-looking statements are not guarantees of future results, performance or achievement. These risks, uncertainties and factors include general business, economic, competitive, political, regulatory and social uncertainties; actual results of exploration activities and economic evaluations; fluctuations in currency exchange rates; changes in project parameters; changes in costs, including labour, infrastructure, operating and production costs; future prices of zinc and other minerals; variations of mineral grade or recovery rates; operating or technical difficulties in connection with exploration, development or mining activities, including the failure of plant, equipment or processes to operate as anticipated; delays in completion of exploration, development or construction activities; changes in government legislation and regulation; the ability to maintain and renew existing licenses and permits or obtain required licenses and permits in a timely manner; the ability to obtain financing on acceptable terms in a timely manner; contests over title to properties; employee relations and shortages of skilled personnel and contractors; the speculative nature of, and the risks involved in, the exploration, development and mining business; and the factors discussed in the section entitled "Risks and Uncertainties" in this document. Although the Company has attempted to identify important risks, uncertainties and other factors that could cause actual performance, achievements, actions, events, results or conditions to differ materially from those expressed in or implied by the forward-looking information, there may be other risks, uncertainties and other factors that cause performance, achievements, actions, events, results or conditions to differ from those anticipated, estimated or intended. Unless otherwise indicated, forward-looking statements contained herein are as of the date hereof and the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as required by applicable law. 3 National Instrument 43-101 Canadian reporting requirements for disclosure of mineral properties are governed by National Instrument 43-101 (“NI 43-101”). The definitions given in NI 43-101 are adopted from those given by the Canadian Institute of Mining Metallurgy and Petroleum. Definitions Mineral Reserve The term “mineral reserve” refers to the economically mineable part of a measured or indicated mineral resource demonstrated by at least a preliminary feasibility study. The study must include adequate information on mining, processing, metallurgical, economic, and other relevant factors that demonstrate, at the time of reporting, that economic extraction can be justified. A mineral reserve includes diluting materials and allowances for losses that might occur when the material is mined. Mineral Resource The