NABANGA PROJECT NI 43-101 TECHNICAL REPORT – PRELIMINARY ECONOMIC ASSESSMENT Prepared by: Patrick Pérez, P.Eng. DRA/Met-Chem Yves A. Buro, P.Eng. DRA/Met-Chem Ewald Pengel, MSc., P.Eng. DRA/Met-Chem François Thibert, MSc., P.Geo. SEMAFO Inc. Richard Roy, P.Geo. SEMAFO Inc. Effective Date: September 30, 2019 Report Date: November 14, 2019 DRA/Met-Chem Ref.: C3852-Nabanga-PEA-Final Report SEMAFO NI 43-101 Technical Report Preliminary Economic Assessment – Nabanga Project / Page i TABLE OF CONTENTS 1 SUMMARY ......................................................................................................................................................... 1 1.1 Property Description and Location ................................................................................................................ 1 1.2 Accessibility, Climate, Local Resources, Infrastructure, and Physiography .................................................. 1 1.3 History ........................................................................................................................................................... 2 1.4 Geological Setting and Mineralization ........................................................................................................... 3 1.5 Exploration Work and Drilling ........................................................................................................................ 4 1.5.1 Exploration ............................................................................................................................................... 4 1.5.2 Drilling...................................................................................................................................................... 5 1.6 Mineral Processing and Metallurgical Testing ............................................................................................... 6 1.7 Mineral Resources Estimate ......................................................................................................................... 6 1.8 Mining Method ............................................................................................................................................... 7 1.9 Recovery Methods ........................................................................................................................................ 7 1.10 Project Infrastructure ..................................................................................................................................... 7 1.11 Market Studies and Contracts ....................................................................................................................... 8 1.12 Environmental Studies, Permitting and Social or Community Impact ............................................................ 8 1.13 Capital and Operating Costs ......................................................................................................................... 8 1.13.1 Capital Cost Estimate (Capex) ................................................................................................................ 8 1.13.2 Operating Cost Estimate (Opex) .............................................................................................................. 9 1.14 Economic Analysis ...................................................................................................................................... 10 1.15 Interpretation and Conclusions .................................................................................................................... 11 1.16 Recommendations ...................................................................................................................................... 11 1.16.1 Mining and Geology ............................................................................................................................... 11 1.16.2 Process.................................................................................................................................................. 11 1.16.3 Environment .......................................................................................................................................... 12 2 INTRODUCTION .............................................................................................................................................. 13 2.1 Terms of Reference Scope of Study ........................................................................................................... 13 2.2 Qualified Persons ........................................................................................................................................ 13 2.3 Effective Date and Declaration .................................................................................................................... 14 2.4 Site Visit ...................................................................................................................................................... 14 2.5 Units and Currency ..................................................................................................................................... 15 3 RELIANCE ON OTHER EXPERTS .................................................................................................................. 16 4 PROPERTY DESCRIPTION AND LOCATION ................................................................................................ 17 4.1 Property Location ........................................................................................................................................ 17 4.2 Property Description .................................................................................................................................... 18 4.2.1 Nabanga Research Permit (Exploration Permit) .................................................................................... 18 4.2.2 Industrial Operating Permit (Mining Permit) ........................................................................................... 20 4.2.3 Mining Agreement ................................................................................................................................. 20 4.3 Royalties, Back-in Rights, Payments, Encumbrances ................................................................................. 20 4.4 Environmental Liabilities.............................................................................................................................. 21 4.5 Required Permits ........................................................................................................................................ 21 4.6 Significant Factors or Risks ......................................................................................................................... 21 4.7 Conclusions ................................................................................................................................................. 21 November 2019 DRA/Met-Chem Ref.: C3852-Nabanga-PEA-Final Report 002-C3852-NI43-101_PEA_Nabanga_Final SEMAFO NI 43-101 Technical Report Preliminary Economic Assessment – Nabanga Project / Page ii 5 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY ............. 22 5.1 Accessibility ................................................................................................................................................. 22 5.2 Climate ........................................................................................................................................................ 22 5.3 Local Resources and Infrastructure ............................................................................................................ 24 5.4 Physiography .............................................................................................................................................. 24 5.5 Vegetation ................................................................................................................................................... 24 5.6 Surface Rights ............................................................................................................................................. 24 6 HISTORY .......................................................................................................................................................... 25 6.1 Prior Ownership and Ownership Changes .................................................................................................. 25 6.2 Previous Mineral Exploration Work ............................................................................................................. 25 6.3 Previous Mineral Resources and Production .............................................................................................. 26 6.3.1 Historical Resources – Snowden 2012 .................................................................................................. 26 6.3.2 Historical Resources – Snowden 2015 .................................................................................................. 27 6.3.3 Historical Resources – Conclusions ...................................................................................................... 28 6.4 Previous Mineral Production ....................................................................................................................... 28 7 GEOLOGICAL SETTING AND MINERALIZATION ........................................................................................