CORPORATE PRESENTATION

Kerr Mines TSX: KER I OTC: KERMF I FRA: 7AZ1

January 2018

FORWARD-LOOKING STATEMENTS

This presentation contains forward-looking information, including statements regarding: the proposed timing, schedule, and costs for restarting production at the

Copperstone Mine, rate of production, expected cash costs, expected increase in milling capacity, exploration potential at the Copperstone Mine, proposed debt

restructuring and financing, share capitalization and director ownership,. These forward-looking statements entail various risks and uncertainties that could cause

actual results to differ materially from those reflected in these forward-looking statements. Such statements are based on current expectations, are subject to a

number of uncertainties and risks, and actual results may differ materially from those contained in such statements. These uncertainties and risks include, but are

not limited to, the strength of the economy; the price of gold; operational, funding, and liquidity risks; the degree to which mineral resource and mineral reserve

estimates are reflective of actual mineral resources and mineral reserves; and the degree to which factors which would make a mineral deposit commercially viable

are present; assumptions with respect to the cost and availability of labour for the restart of operations are correct,; results of exploration and validity of geological

models; the risks and hazards associated with underground operations, and any specific risks or assumptions set out or referenced in this presentation. Risks and

uncertainties about Kerr Mines Inc. and its business are more fully discussed in its disclosure materials, including the annual information form, technical reports,

financial statements and MD&As, filed with the securities regulatory authorities in Canada and available at www.sedar.com and readers are urged to read these

materials. Kerr Mines Inc. assumes no obligation to update any forward-looking statements or to update the reasons why actual results could differ from such

statements unless required by law.

This presentation includes certain non-IFRS measures, including cash costs on a per gold ounce basis. Cash costs per gold ounce are defined as costs of

production (including refining costs) divided by the total number of gold equivalent ounces produced. The Company reports total cash costs on a production basis.

In the gold mining industry, these are common performance measures but do not have any standardized meaning, and are non-GAAP measures. As such, they are

unlikely to be comparable to similar measures presented by other issuers. In reporting cash costs per gold ounce, the Company follows the recommendations of the

Gold Institute standard. The Company believes that, in addition to conventional measures, prepared in accordance with IFRS, certain investors use this information

to evaluate the Company’s performance and ability to generate cash flow. Accordingly, it is intended to provide additional information and should not be considered

in isolation or as a substitute for measures of performance prepared in accordance with IFRS.

Technical information in this presentation has been reviewed and approved by Michael R. Smith P. Geo., who is a qualified person that is independent of the

Company, as defined in National Instrument 43-101.

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INVESTMENT HIGHLIGHTS

3

Low Risk

• Past producer (over 500k Oz)

• Existing high grade gold resource (300k Oz, 10.3 g/tn)

• Safe, mining-friendly jurisdiction – Arizona, USA

• Production and environmental permits in place

• Significant capital infrastructure in place and ready to be utilized

Near term Upside

• Pre Feasibility Study on track & production decision in Q1 2018

• Accelerated timeframe and low CAPEX

• Monetization of Copper by-product

• Expansion of Copperstone and Footwall Zones

• 11,800 acres land package, significant exploration potential to grow resources exponentially

Expertise and Experience

• Experienced management team – delivering on strategy

Supportive Shareholder Base

• Insiders hold 30% of the company

• C$14 million raised in 2017

Ticker Symbol TSX: KER I OTC: KERMF I FRA: 7AZ1

Shares Outstanding 255.7 million

Options 9.8 million

Warrants 22.2 million

Fully Diluted 287.7 million

Director/Insider ownership ~30%

52 week range $0.09 - $0.41

Recent price* $0.30

Market Cap $76.7 million

Cash & short term investments (Q4 2017) $5.6 million

Debt** $9.5 million

Major Shareholders Fahad Al Tamimi 21.9%

Claudio Ciavarella 9.5%

Eric Sprott 7.0%* Figures denominated in Canadian dollars

**Debt terms: 3 year term at 8% interest, interest waived in first year

Friendly debt held by Fahad Al Tamimi and Claudio Ciavarella

4

CAPITAL STRUCTURE

Fahad Al Tamimi

Chairman

Saudi-based businessman with global investments in mining and real estate

Peter Damouni

Director

Investment banking. Led financings valued at more than $5 billion

Ayman Arekat

Director

Investment banking with Chase Manhattan, Merrill Lynch, Deutsche Bank

James McVicar

Director

Legal specialization in financings, mergers and acquisitions, corporate governance and commercial matters. Director of Monarca Minerals

Claudio Ciavarella CEO

& Director

CPA, 25 years private business owner. CEO of Kerr Mines since April, 2017

Martin Kostuik

President & Director

25 years mining experience. President of Kerr

Mines since April, 2017. CEO of Rupert Resources.

Operations & Engineering at Barrick’s Goldstrike

Mine

Carmelo Marrelli

CFO

20 year accounting and regulatory compliance

service in the natural resource sector on the TSX

and TSX-V

Brad Atkinson

Director, Exploration

20 years exploration and geology. Formerly with

Phelps Dodge, Newmont and CAT Finance

Michael R. Smith

Professional Geologist

38 years exploration and geology, Chief mine

Geologist, Barrick Goldstrike mine. Led the

Arizona Vulture Gold Mine back into production.

Magna Cum Laude Arizona State and MS

Geology Mackay School of Mines

TECHNICAL ADVISOR

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MANAGEMENT BOARD OF DIRECTORS

Strategic Growth Vision

Expand current resources

• Expand Copperstone Zone at depth

• Expand Footwall Zone at strike and at depth

Regional Exploration

• Property Size: 11,800 acres

• South & SW target – follow up drilling

• NE geophysical target – new drill target generation

Extend mine life Increase production profile Increase resource ounces

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• PFS on track for Q1 2018

• Over US$50 million spend on existing infrastructure and underground development increase NPV and IRR

Production Decision

COMPANY STRATEGY

7Accelerating Timeframe, Reducing CAPEX

• Underground mine development in place, access and utilities

• 450 tons per day processing plant

• Tailings storage facility with capacity for existing resource

• Power and water distribution systems

• Surface buildings including assay lab

• Roads and access to surface exploration sites

EXISTING INFRASTRUCTURE

8

Category Tonnes Grade (g/t Gold) Contained Ounces

Measured 934,000 10.4 311,000

Indicated 8,000 7.9 2,000

M&I 942,000 10.3 313,000

Inferred 335,000 12.2 132,000

* Source: ‘NI 43-101 Technical Feasibility Report Copperstone Project, La Paz County, Arizona’ dated 01/10/11, independently prepared by Dr. C. Anderson,

T. Buchholz, C. Pratt, J. Brown, in accordance with the guidelines of Canadian National Instrument 43-101 – Standards of Disclosure for Mineral Projects

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Resource Update Expected in Q1 2018

RESOURCE ESTIMATES*

9

2018

Phase II Program

PFS including Mine

Plan Optimization

Production Decision

Detailed Engineering

Construction &

Development

Progress towards

Production

✓Q1 Q2 Q3 Q4

TIMELINE – SIGNIFICANT NEAR-TERM CATALYSTS

Source: Michael R. Pawlowski P. Geo, January 2005

Schematic cross-section of the Moon Mountain Detachment Fault and

the Copperstone Listric Fault (depth unknown), Solid heavy lines are

observed faults; broken lines and projected faults

Copperstone Mine

Moss Mine

Gold Road

Mineral Park

Mesquite

Castle

Mountain

ARIZONA

NEVADA Detachment Fault

Known detachment fault-

related Mineralization

Source: USGS Keith R Long Preliminary descriptive deposit

model for detachment fault related model 10

SCALE POTENTIAL – REGIONAL SIGNIFICANCE

11

Objectives

Copperstone Zone

• Enhance continuity and resource

confidence within existing 1,500m strike

• Expansion of resources along strike with

in-fill and down-dip targets

Footwall Target

• Define and validate the Footwall Target as

a new gold zone – add to resources

• Establishing zones of mineralization up to

450m along strike & 180m along dip

• Build on previous successful results

Copperstone Zone

• Enhanced continuity and confirmed reliability

of previous drill results

• Expanded resource and extended the

Copperstone Zone along strike and depth

Footwall Zone

• Successfully established new Footwall Zone

• To date established 375m along strike and

350m along dip

• Demonstrated identical geology to previous

successful Copperstone Zone drill holes

Achievements

SUCCESSFUL PHASE I DRILLING PROGRAM

Strike Length 1,520 m

Dip

Length

305 m

- 305

+ 305

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D ZoneC ZoneB ZoneA Zone Open down

dip along

strikePlan to develop access to A,B, C zones

Supports strengthened economics

• Enhanced continuity and confirmed reliability of previous drill results

• Expanded resource and achieved down dip & up dip extension

• Key results:21m @ 23.1g/t, 6m @ 8.6g/t, 26m @ 13.9g/t

THE COPPERSTONE MINEHistorically produced over 500,000 oz in the open pit

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COPPERSTONE 2017 EXPLORATION UPDATEPlan View Underground Holes

Hole ID Interval* Au Cu AuEq

m g/tonne % g/tonne

KER-17U-04 4.6 5.1 0.51 5.9

KER-17U-05 3.1 7.9 0.36 8.5

KER-17U-06 6.4 8.6 0.15 8.8

KER-17U-11 3.2 7.6 0.72 8.8

KER-17U-12 21.6 23.1 0.10 23.2

includes 18.4 27.0 0.11 27.2

also 14.6 33.8 0.08 34.0

also 4.0 89.9 0.06 90.1

KER-17U-13 3.2 8.8 0.41 9.5

KER-17U-14 26.8 13.9 0.14 14.1

includes 8.8 38.6 0.02 38.6

also 2.7 5.6 0.12 5.8

KER-17U-16 32.0 4.0 0.29 4.4

includes 3.2 7.7 0.99 9.3

also 2.5 10.6 0.02 10.6

also 4.4 10.9 0.07 11.0

KER-17S-01 3.7 6.7 0.06 6.8

* not true width

Copperstone Zone Selected Intervals

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Footwall Zone Selected Intervals

NEW MINERALIZED ZONE – FOOTWALL ZONEOblique View

Phase I Drilling

Historic Drilling

Hole ID Interval* Au Cu AuEq

m g/tonne % g/tonne

KER-17S-02 1.1 9.1 0.07 9.2

KER-17S-03 5.6 2.9 0.43 3.6

KER-17S-04 3.7 7.3 0.21 7.6

KER-17S-07 0.9 4.1 0.15 4.4

KER-17S-10 7.5 3.7 1.36 5.9

includes 4.1 6.6 2.29 10.4

also 3.4 7.9 2.78 12.5

also 2.4 10.9 3.79 17.1

KER-17S-11 3.0 3.9 0.16 4.1

includes 1.5 5.1 0.25 5.5

KER-17S-13 15.2 4.6 0.48 5.4

Includes 4.6 13.2 1.28 15.3

KER-17S-17 9.3 3.6 0.15 3.8

includes 4.3 6.8 0.19 7.2

also 1.8 7.7 0.15 8.0

KER-17S-19 10.7 2.8 0.02 2.9

includes 4.6 3.4 0.04 3.5

and 3.0 4.6 0.01 4.6

KER-17S-21 3.0 6.6 0.66 7.7

and 36.6 7.5 0.26 7.9

includes 3.0 5.0 0.85 6.4

also 7.6 31.2 0.15 31.4

also 3.0 74.9 0.13 75.1

* not true width

Gold Indicator Shell 0.137 gpt Cutoff Including 2017 Drilling

Footwall Zone

Copperstone

Open Pit Top of

Pit Outline

Expanded Footwall Zone

Meters

• South and South West

targets have previous

successful drilling

• Intercepts of 8 g/t to 32 g/t

over 2 – 4 metres

• Detachment fault regionFOOTWALL ZONE

EXISTING

RESOURCE

AND ACCESS

SOUTH WEST

TARGET

SOUTH

TARGET

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REGIONAL EXPLORATION – SOUTH TARGETS

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• South West Target – geophysical

signature identical to Copperstone and

Blue Pearls , supported by previous

drilling indicating identical geology,

inclination, width and grade to

Copperstone

• North East “Blue Pearl” Geophysical

targets – significant strength and similar

size to the geophysical anomaly under

the Copperstone Orebody. The blue

indicates a uniformly magnetic rock with

a very slow change in magnetic field. No

previous drilling

• Adding two exploration licenses totalling

541 hectares (1,331 acres)

REGIONAL EXPLORATION UPSIDE

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• April 2017 – Claudio Ciavarella and Martin Kostuik appointed new CEO and President

• May 2017 – Technical team in place to execute operational plans

• June 2017 – Company closes oversubscribed non-brokered private placement for C$8,000,000

• August 2017 – Initiation of Phase I exploration program

• October 2017 – Released initial results of Phase I exploration program

• December 2017 – Company closes oversubscribed non-brokered private placement for C$6,000,000

• December 2017 – Phase I drilling program completed

• January 2018 – Phase II exploration and engineering program and progress towards production decision

Delivering on Strategy

KEY SUMMARY POINTS

CONTACT INFORMATION

CLAUDIO CIAVARELLA

Chief Executive Officer

E: cciavarella@kerrmines.com

T: +1 (416) 855-9305

INVESTOR RELATIONS

E: ir@kerrmines.com

W: www.kerrmines.com

TECHNICAL APPENDIX

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LAND STATUS

Copperstone Mine

Southwest Target

Blue Pearls

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Age Name Description

Early

Miocene

Basalt Contains gold mineralization.

Cut by mineralized amethyst-quartz-specularite veins and strongly altered. The

mineralization and brecciation observed in the unit is related to the Copperstone

Detachment Fault.

Early

Miocene

Monolithic Breccia

(MSB)Contains gold mineralization.

Monolithic fragments derived from Jurassic QLP. Locally mineralized above the

Copperstone Detachment Fault. Hematization and quartz-specularite mineralization.

Jurassic Quartz Latite

Porphyry (QLP)Contains gold mineralization.

Volcanic flows with well-developed metamorphic foliation. The principle ore host in

the pit where it extends into both the hanging wall and footwall of the Copperstone

Detachment Fault.

Triassic Marble Contains gold mineralization.

Marble occurs at the top of the Triassic meta-sediments in C and D areas. Hosts

intervals of massive specular hematite ± manganese oxide and Cu minerals. The

mineralization and brecciation observed in the unit is related to the Copperstone

Detachment Fault.

Triassic Quartzite Contains gold mineralization.

The mineralization and brecciation observed in the unit is related to the Copperstone

Detachment Fault. Observed in C and D areas.

Triassic Phyllite Contains gold mineralization.

The mineralization and brecciation observed in the unit is related to the Copperstone

Detachment Fault. Observed in C and D areas.

MINE GEOLOGY – LITHOLOGY & ALTERATION

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• Induced polarization – gradient

array progress towards

production decision

REGIONAL EXPLORATION UPSIDE – I.P.

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SW AREA TARGET – FUTURE EXPLORATION

5’ – 10’ +0.5 opt Au

SW Target believed parallel to

Copperstone and Footwall

Zones

May be high angle feeder above

Detachment Fault

Limestone present, like D zone

Copperstone Zone

Drilling only in 200’ x 300’ area

Associated with geophysical

Magnetic and IP anomalies

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SW AREA TARGET – FUTURE EXPLORATIONHole-ID From (m) To (m) Interval* (m) oz/ton Au g/tonne Au

06CS-20 315.5 317.0 1.5 0.598 20.48

06CS-22 231.6 234.7 3.0 0.104 3.56

06CS-22 277.4 280.4 3.0 0.075 2.57

06CS-22 292.6 304.8 12.2 0.15 5.14

07CS-30 251.8 256.9 5.2 0.737 25.24

07CS-31 205.7 207.3 1.5 0.276 9.45

07CS-31 224.0 225.6 1.5 0.125 4.28

07CS-31 246.3 247.8 1.5 0.096 3.29

07CS-31 265.8 271.6 5.8 0.301 10.31

07CS-31 284.4 285.3 0.9 0.239 8.18

07CS-31 287.7 289.3 1.5 0.065 2.23

07CS-31 320.5 323.5 3.0 0.152 5.21

08CS-45 149.4 153.9 4.6 0.211 7.23

08CS-45 155.4 157.0 1.5 0.057 1.95

08CS-45 199.6 210.3 10.7 0.2 6.85

08CS-47 157.0 161.5 4.6 0.115 3.94

08CS-47 172.2 173.7 1.5 0.079 2.71

08CS-48 270.4 271.9 1.5 0.096 3.29

08CS-57 226.8 227.7 0.9 0.15 5.14

08CS-57 228.6 229.2 0.6 0.052 1.78

08CS-57 278.4 279.0 0.6 0.066 2.26

*not true width