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Edgewater Exploration Ltd. Edgewater Exploration Ltd. MEG Luncheon Presentation March 26, 2014 Corcoesto Orogenic Gold Deposit Galicia, Northwestern Spain Edgewater Exploration Ltd. MEG Luncheon Presentation March 26, 2014 Corcoesto Orogenic Gold Deposit Galicia, Northwestern Spain Mr. Gregory Smith, P. Geo., Vice President of Exploration for Edgewater Exploration Ltd., is the qualified person as defined by NI 43-101 and has prepared and approved the technical data and information in this presentation.

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Page 1: MEG Luncheon Presentation

Edgewater Exploration Ltd.

Edgewater Exploration Ltd.

MEG Luncheon Presentation

March 26, 2014

Corcoesto

Orogenic Gold Deposit

Galicia, Northwestern Spain

Edgewater Exploration Ltd.

MEG Luncheon Presentation

March 26, 2014

Corcoesto

Orogenic Gold Deposit

Galicia, Northwestern Spain

Mr. Gregory Smith, P. Geo., Vice President of Exploration for Edgewater Exploration

Ltd., is the qualified person as defined by NI 43-101 and has prepared and approved

the technical data and information in this presentation.

Page 2: MEG Luncheon Presentation

Edgewater Exploration Ltd.

People

Company

100% purchase from Lundin Mining Corp. (TSX:LUN)

Measured and Indicated 1,000,000 oz Gold

Inferred 885,000 oz Gold

Earned 51% interest from Red Back Mining now Kinross Gold Corp. (TSX:K) Mid-stage exploration. Inferred Resource of 750,000 oz Au (20Mt @ 1.13g/t Au)

Edgewater

Exploration Ltd.

TSX-V: EDW

Page 3: MEG Luncheon Presentation

Corcoesto Gold Project, Galicia, Spain

TSX-V: EDW

Page 4: MEG Luncheon Presentation

Corcoesto Gold Project

History and Acquisition

1996 - 2003 Rio Narcea conducted an intense exploration program including soil

geochemistry, geophysics, 17 kilometres of trenches, 10,500 rock samples, and more

than 200 drill holes (20,000 metres). In 2003 Kinbaury Gold Corp. optioned the project

and completed an additional 38 holes for 7,600 metres.

Edgewater Exploration Ltd. purchased the Corcoesto Project in 2010 and since then

has completed a series of drilling programs, and technical studies designed to advance

the project, upgrade and expand the mineral resources, and evaluate the economics

Possible limited work during Roman times

1885 - 1910 Sagasta Gold Mines Ltd.

Completed 3km of underground workings and

produced <50,000 ounces of gold

1918 - 1926 the company La Aurífera Gallega,

continued underground work

1972-1973 exploration by Rio Tinto Patiño

1975 Goldfields completed trenching program

1974-1976 work by the IGME included

surveying and rock and soil geochemistry

1983 – 1987 Exploraciones Mineras del

Cantábrico and Rio Tinto Minera (1990),

prospecting including 50 diamond drill holes

(10,000 metres)

Page 5: MEG Luncheon Presentation

Corcoesto Gold Project

Corcoesto

Complex Tectonic

And Structural History

Boiron, M.C., et al 2003.

Page 6: MEG Luncheon Presentation

Corcoesto Gold Project

Corcoesto

Galicia

Mokrsko

Czech Republic

Page 7: MEG Luncheon Presentation

Geologically, Corcoesto is located in the Schistose Domain of Galicia Tras Os

Montes (SDGTM) Zone, which forms the inner part of the Iberian Hercynian Massif

1. Cantabrian Zone

2. West-Asturian-Leonese Zone

3. Central Iberian Zone

4. Galicia-Tras-Os-Montes Zone

5. Ossa-Morena Zone

6. South-Portuguese Zone

Iberian Hercynian Massif

(Farias et al.,1987)

1

2

3

4

5

6

Carlés

El Valle-Boinás

Salave

Penedono

Corcoesto

Known gold deposits

Jales

Corcoesto Gold Project

Las Medulas

Page 8: MEG Luncheon Presentation

Corcoesto Gold Project

Las Medulas – Historic Roman Workings

Approximately 200km south of Corcoesto

Page 9: MEG Luncheon Presentation

Corcoesto Gold Project

Malpica-Tuy Belt

CorcoestoCorcoesto (EDW)

Santa Comba (EDW)

Boticas (Medgold)

Jales / Tres Minas

(Petaquilla)

Barca (Medgold)

Covas (Avrupa)

Valongo (Medgold)

Page 10: MEG Luncheon Presentation

Corcoesto - Property Geology

Geology and gold vein

systems: Cova Crea,

Pozo del Ingles,

Petón de Lobo,

Montefurado,

Fonterremula, Picotos

and Lampreira.

Lithology

Leucocratic gneiss

Schists

Alternating gneiss/

metasediments/migmatites

Felsic dyke

Gold vein sytems

Inferred contact

Page 11: MEG Luncheon Presentation

Corcoesto - Lithologies

Biotitic GneissMetasediments

Leucocratic Gneiss. Coarse grainedLeucocratic Gneiss. Fine grained

Migmatites Felsitic Dyke

Page 12: MEG Luncheon Presentation

Corcoesto - Project Mineralization

Gold mineralization consists mainly of Arsenopyrite-bearing Quartz Veins

included in larger zones of silicification, commonly with sericitic and

potassium feldspar alteration. There are three different styles of

mineralization:

1.- Sheeted Veins

2.- Discrete Quartz Veins

3.- Silicified Breccias

Page 13: MEG Luncheon Presentation

Corcoesto - Project Mineralization

1.- Sheeted Quartz Veins (N70W/70NE):

Tightly spaced mm-cm quartz veins, with weak arsenopyrite

dissemination (<1% As).

Thick mineralized zones at average grade, with intercepts like

1.95g Au/t over 41.10m

Hosted mainly in the fine grained leucocratic gneiss.

COR-29x

Mineralization Styles

Page 14: MEG Luncheon Presentation

2.- Discrete Quartz Veins (N70E/70NW):

Grey-bluish cm-dm quartz veins with fine grained

disseminated arsenopyrite (>1% As).

High grade in narrow zones,

up to 148.50g Au/t over 1.10m

Normally, high grade veins are included in lower

grade zones of weak silicification with small veins.

High grade quartz veins up to 10.72g Au/t over 17.0m

(ddh 10W10)

Hosted mainly in biotitic gneiss and migmatites

(Pozo del Ingles and Cova Crea)

10W10

Mineralization Styles

Corcoesto - Project Mineralization

Page 15: MEG Luncheon Presentation

3.- Silicified Breccia:

Grey-bluish silica with fine grained disseminated

arsenopyrite (>1% As) flooding breccia zones.

High grade in narrow zones, up to 46g Au/t over 1.0m.

Distributed at various sites

Mineralization Styles

Corcoesto - Project Mineralization

Page 16: MEG Luncheon Presentation

Corcoesto - Project Mineralization

Page 17: MEG Luncheon Presentation

Corcoesto - Structural Setting

S-C Fabric SYNTHETIC RIEDEL

FRACTURES (N40-50E)

(TRANSPRESSIVE REGIME)

DEFORMATION ELLIPSOID

ASSOCIATED WITH MAIN (N30E)

DEXTRAL SHEAR

ANTITHETIC RIEDEL

FRACTURES (N80-70W)

(TRANSITIVE REGIME)

DEFORMATION ELLIPSOID MINERALIZED VEINS

DEFORMATION ELLIPSOID

FRACTURES

LEGEND:

EXTENSION

(N50W-30W)

NW TREND FOR

Au-As SOIL ANOMALIES ?

N70E TREND

Au - As SOIL

ANOMALIES

Structural control for

gold mineralization

Jesus Garcia NietoAnd

Lluis Boixet

Page 18: MEG Luncheon Presentation

Corcoesto - Structural Setting

Structural control for

gold mineralization

Page 19: MEG Luncheon Presentation

Corcoesto – Gold/Arsenic Association

Page 20: MEG Luncheon Presentation

Corcoesto Exploration

Exploration Program

- Geochemistry

- Mapping

- Trenching

- Drilling

Page 21: MEG Luncheon Presentation

Corcoesto – Soil Geochemistry

Au (ppb)

0 - 228.8

228.8 - 378

378 - 609.45

609.45 - 1,021.4

1,021.4 - 1,316.9

1,316.9 - 2,659.69

2,659.69 - 5,360

0 - 643.6

643.6 - 851

851 - 1,190

1,190 - 1,627.6

1,627.6 - 2,276.9

2,276.9 - 3,724.19

3,724.19 - 4,090

As (ppm)

Soil Geochemistry (Au and As)

Page 22: MEG Luncheon Presentation

Corcoesto – Soil Geochemistry

Soil Geochemistry (Th and W)

Page 23: MEG Luncheon Presentation

Corcoesto - Trenching

Page 24: MEG Luncheon Presentation

Corcoesto - Drilling

Picotos

Pozo de

Ingles

Peton de

Lobo

Cova Crea

Page 25: MEG Luncheon Presentation

Corcoesto - Drilling

Drilling SummaryNumber of Holes Total Meters

EDW Diamond Drilling

(Oct-2010 up to Feb-2013)

286 53,942.45

KNB Diamond Drilling

2006-2007 45 6,465.10

2005 12 2,245.15

KNB Total 57 8,710.25

RNGM Drilling

Core 192 16,794.65

Reverse Circulation 31 2,366.30

RNGM Total 223 19,160.95

Rio Tinto Drilling

Core 38 7,582.98

Project Total 596 89,396.63

Page 26: MEG Luncheon Presentation

Corcoesto – Longitudinal Sections

Deposit Modeling: Longitudinal Sections (grade x thickness)

Page 27: MEG Luncheon Presentation

Corcoesto – Cross Section

Corcoesto S-N Project Cross Section (3660)

5401

2.28g / 8.00m

12W217

4.20g / 5.70m

12W219

5.66g / 3.50m

10W02

4.27g / 6.00m

12W222

2.87g / 9.80m

12W226

1.80g / 14.90m

10W07

2.28g / 17.10m

12W231

2.92g / 4.50m

11W48

5.43g / 2.10m

11W57

3.15g / 6.70m

5401

2,28g / 8.00m

COR209

4.39g / 11.50m

COR169

11.13g / 10.05m11W52

1.11g / 11.35m

COR221

1.23g / 13.00m

06K33

1.72g / 11.30m

N

S

LOCATION MAP

Cova Crea Pozo de Ingles

Picotos

Page 28: MEG Luncheon Presentation

Corcoesto – Cross Section

N

Deposit Modeling: Cova Crea. Cross Section 3660

5401

2.28g / 8.00m

12W217

4.20g / 5.70m

12W219

5.66g / 3.50m

10W02

4.27g / 6,00m

12W222

2.87g / 9.80m

12W226

1.80g / 14.90m

10W07

2.28g / 17.10m

12W231

3.92g / 4.50m

11W48

5.43g / 2.10m

LOCATION MAP

Cova Crea

Page 29: MEG Luncheon Presentation

Corcoesto - Mineral Resource

2013 Updated Resource Estimate (Micon International, August 2013)

NI 43-101 Pit Constrained Resource Summary (0.5 & 0.8 g/t Gold Cut-off)

Resource ClassCutoff

(g/t Au)

Tonnes

(x1000)

Gold

g/t

Contained Gold

(x1000 oz)

Measured 0.5 14,910 1.34 644

Indicated 0.5 9,298 1.28 383

Measured +

Indicated0.5 24,208 1.32 1,027

Inferred 0.5 5,321 1.21 207

Measured 0.8 10,170 1.67 546

Indicated 0.8 6,065 1.63 317

Measured +

Indicated0.8 16,235 1.65 863

Inferred 0.8 3,733 1.44 173

Page 30: MEG Luncheon Presentation

Corcoesto - Mineral Resource

2013 Updated Resource Estimate (Micon International, August 2013)

1. Mineral resources were classified following the guidelines of the JORC Code

(2012) an accepted reporting code in terms of Canadian National Instrument 43-101.

2. Mineral resources are constrained within a Whittle pit shell based on a gold price

of US$1,400/oz.

3. Numbers may not compute due to rounding.

4. All grades have been quoted in grams per tonne (g/t) for the resource inventory.

5. Density values were assigned in relation to an oxide surface; no further distinction

between fresh and oxide material has been made within this resource estimate.

6. There are no known legal, political, environmental or other risks that could

materially affect the potential development of these mineral resources

7. The 2013 Corcoesto NI 43-101 Resource Estimate Technical Report was

prepared by Jason Che Osmond, M.Sc., EurGeol., C. Geol., FGS, Senior Geologist,

Micon International Co. Limited and a Qualified Person (“QP”) as defined by National

Instrument 43-101 (SEDAR)

Page 31: MEG Luncheon Presentation

Corcoesto – Resource Model

Picotos

Pozo de

Ingles

Peton de

Lobo

Cova Crea

Page 32: MEG Luncheon Presentation

Corcoesto - Exploration Potential

Targets

Page 33: MEG Luncheon Presentation

Preliminary Economic Assessment 2011

W

E

Project Assumptions (US $) Gold Price $ 1,300

Dollar/Euro $ 1.38/ Euro

Royalty 0.5%

Capital Contingency 17.5%

Discount Rate 5.0%

Base Case Highlights Average Annual Gold Production 102,000 Oz

Average Annual Net Revenue $ 60.0 Million

NPV $ 206 Million

Pre-Tax IRR 24%

Pre-Tax Payback 3.4 years

OP and UG Capital Costs $ 135 Million

Operating Cost $713/oz

Life of Mine 9.9 years

Life-of-Mine Parameters Mill Feed Grade 1.70 g/t Au

Stripping Ratio 8.0 / 1

Annual Throughput 2.1 M tonnes

Milling Rate 6,000 t/day

Gold Recovery 89.1%

PRE-TAX FINANCIAL MODEL

Gold Price Scenarios

Units

Base

Case

Gold US $ /Oz 1100 1300 1500

NPV 5% discount 71 206 340

Payback Years 5.6 3.4 2.5

IRR % 12 24 34

Working capital in the amount of $12.5 million, sustaining capital

$33 million and reclamation and closure costs of $10.5 million are also included in the above economic evaluation. Pit shells

calculated at $1100/oz

Page 34: MEG Luncheon Presentation

Preliminary Economic Assessment 2011

W

E

PEA Note Disclosure• CIM definition standards were followed for the resource estimate

• The 2010 and 2011 resource models used an inverse-distance-power (IDP) grade estimation within a three-dimensional block model with mineralized zones defined by wireframed solids.

• A total of 19,075.7 m of surface trenching in 225 trenches, 443.1 m of adit sampling in 4 adits and 42,111.18 metres of diamond and RC drilling in 342 drill holes were used in the resource with sample spacing's that were less than 30 m for Measured resources, less than 40 metres for Indicated resources and less than 195 m for Inferred resources except for Inferred resources below 200 m from surface and for the northern two vein systems that used drill spacing's of 196m

• A base cutoff grade of 0.65 g/t Au was used for reporting resources above a depth of 200 m from surface and a cutoff grade of 2.0 g/t Au was used for reporting resources below 200 m from surface

• Dilution is included for a minimum mining width of 2.0 m on a 4.0 m high mining bench

• Mineral Resources that are not mineral reserves do not have economic viability. Preliminary Economic Assessment NI43‐101 Compliant includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the preliminary assessment will be realized.

• Spanish corporate tax rate is 30%.

Page 35: MEG Luncheon Presentation

Site Layout Approved

Open Pit

Tailings

Waste

Dump

Plant Site

Page 36: MEG Luncheon Presentation

Milestones and Current Status

2011; Preliminary Economic Assessment completed

2011- 2013; >50,000 metres of drilling performed designed to convert resources

January 2013 – Environmental Impact Statement (EIS) Approval

Updated Mineral Resource completed August 2013 (>1M oz Au M&I)

H2 2013 Mining Permit Review process suspended

Financing stipulations imposed by the Galician government

Discussions On-going with Potential Partner

Page 37: MEG Luncheon Presentation

Ministry of Environment Approves EIS

EIS Approval January 2013

Corcoesto Project deemed to be a viable project

and in the public interest for Galicia

- Use of Cyanide approved

- Open pit extraction approved

- Additional data and studies requested

- All requested materials submitted Q3 2013

Edgewater's approved EIS at Corcoesto Gold

Project remains in good standing for 5 years

Page 38: MEG Luncheon Presentation

Corcoesto - Current Status of Permitting

1) The Galician Government stipulated on July 2013 (official notice March 2014) that Edgewater is obliged to show funding sources of 30 M Euros or be in a position to be able to point to a partner’s balance sheet that would satisfy this amount. The amount is approximately 25% of the estimated capital costs.

2) Edgewater's approved EIS for the Corcoesto Gold Project remains in good standing for 5 years; and

3) Edgewater can re-apply for final Corcoesto mining permits at any time once the financial and technical (operational) requirements are met.

Edgewater continues to work to obtain all of the remaining permits

to advance the Corcoesto Project to construction and production.

Advanced discussions with potential partners contemplate a

strategic partnership aimed at benefitting the local communities

surrounding the Corcoesto Gold Project and the development of

the project in the most environmentally sustainable manner.

Page 39: MEG Luncheon Presentation

Thank You

Edgewater Exploration Ltd.

MEG Luncheon Presentation

March 26, 2014

Corcoesto

Orogenic Gold Deposit

Galicia, Northwestern Spain