Published by Raymond James Ltd. Mining September 19, 2016Newmarket Gold Inc. NMI-TSX, Sep-14-16, price C$3.90 Fosterville Drilling – Harrier Continues to Show Promise Link to the

Canada Research Published by Raymond James Ltd.

Please read domestic and foreign disclosure/risk information beginning on page 12 and Analyst Certification on page 11. Raymond James Ltd. | 2100 – 925 West Georgia Street | Vancouver BC Canada V6C 3L2

Mining September 19, 2016 Industry Comment

RJL Mining Weekly: Comps, Commodities, Leaders/Laggards, Research

This Week’s Research: Barrick Gold Corp. ABX-NYSE | ABX-TSX, Sep-15-16, price US$17.19 ABX Announces Temporary Suspension of Veladero Mine Link to the Full Research Document Asanko Gold Inc. AKG-TSX | AKG-NYSE, Sep-15-16, price C$5.60 Asanko Provide Production Update, Ups Guidance Link to the Full Research Document OceanaGold Corp. OGC-TSX, Sep-15-16, price C$4.38 Drills Turning on Multiple Fronts; Haile Continues to Impress Link to the Full Research Document Integra Gold Corp. ICG-TSX, Sep-15-16, price C$0.77 Assessing Lamaque’s Bigger Picture Link to the Full Research Document Newmarket Gold Inc. NMI-TSX, Sep-14-16, price C$3.90 Fosterville Drilling – Harrier Continues to Show Promise Link to the Full Research Document SEMAFO Inc. SMF-TSX, Sep-14-16, price C$5.88 Mana Update, 3 year Targets: Mixed Compared with Expectations Link to the Full Research Document Endeavour Mining Corp. EDV-TSX, Sep-14-16, price C$23.21 Ity Update: Not an Itty-Bitty Mine Link to the Full Research Document Altius Minerals Corp. ALS-TSX, Sep-14-16, price C$9.72 Portfolio Opportunities Knock and Increasing Cash flow Expected Link to the Full Research Document Newmarket Gold Inc. NMI-TSX, Sep-14-16, price C$3.90 NMI – Fosterville Resource Drilling Returns High Grades and Visible Gold Link to the Full Research Document Alacer Gold Corp. ASR-TSX, Sep-13-16, price C$3.42 PFS for Gediktepe (Dursunbey) Adds Asset to Project Pipeline Link to the Full Research Document Alamos Gold Inc. AGI-NYSE, Sep-12-16, price US$7.88 AGI Increases Resources at La Yaqui Link to the Full Research Document Roxgold Inc. ROG-TSXV, Sep-12-16, price C$1.47 ROG – Operational Update from Yaramoko Link to the Full Research Document

Phil Russo

416.777.7084 [email protected]

Chris Thompson M.Sc. (Eng), P.Geo


Alex Terentiew MBA


Brandon Throop (Associate)


Justin Stevens (Associate)


Kyle Franklin (Associate)


https://client.raymondjames.ca/research_documents/60d68dbf7d3b43be919afef9f9f32816.pdf

https://client.raymondjames.ca/research_documents/7e1e9d23a43c4f5810b310435fd3fc63.pdf

https://client.raymondjames.ca/research_documents/a33c2702401b9c82c431eceb0abd7334.pdf

https://client.raymondjames.ca/research_documents/7c35205245b96993bbb90534e1df9495.pdf

https://client.raymondjames.ca/research_documents/ab9f380c3d6084019e914b2979a7a524.pdf

https://client.raymondjames.ca/research_documents/17e1d9e0fda1733b84d743fd2f09f21b.pdf

https://client.raymondjames.ca/research_documents/3f79dcc4759144eacbb7bf3991d4a2c6.pdf

https://client.raymondjames.ca/research_documents/dc262738307312992e4e0989b309b34e.pdf

https://client.raymondjames.ca/research_documents/2a99aa5cbf93e1958283b112ea1ce51b.pdf

https://client.raymondjames.ca/research_documents/fb1114c526957cd1effdbd860bf33bd9.pdf

https://client.raymondjames.ca/research_documents/9c06db13cea0d0ecb953a141dce02bed.pdf

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Canada Research | Page 2 of 14 Mining

Raymond James Ltd. | 2100 – 925 West Georgia Street | Vancouver BC Canada V6C 3L2

Recent Industry Research & Initiations: Integra Gold Corp. ICG-TSX, Sep-15-16, price C$0.77 Assessing Lamaque’s Bigger Picture Link to the Full Research Document Orezone Gold. ORE-TSXV, Aug-19-16, price C$1.18 and Roxgold. ROG-TSXV, Aug-19-16, price C$1.60 ORE + ROG – Opposites (are) Attract(ive) Link to the Full Research Document Precious Metals: Moving Price Decks Higher As Economic Backdrop Supports Momentum, Jun-27-16 Link to the Full Research Document

https://client.raymondjames.ca/research_documents/7c35205245b96993bbb90534e1df9495.pdf

https://client.raymondjames.ca/research_documents/e2b654bbad2606c91dd7f0bb750e6818.pdf

https://client.raymondjames.ca/research_documents/5fdbf7a1acb8d526df1ff8a7187e35db.pdf

Mining Canada Research | Page 3 of 14


CANADIAN METALS DAILY COMPS - PRECIOUS METALS Sep-19-16

Covered Senior Gold Producers Price Target Stock Target Mkt Cap Cash Total Debt EV Dividend NAVPS P/NAV

($) Price Rating Return ($mln) (mln) ($mln) ($mln) Yield 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E ($) (x)

Agnico Eagle AEM-NYSE | AEM-TSX US$51.44 $53.00 H/INC MP3 3% $11,496 $163 $1,080 $12,413 0.6% $809 $1,027 15.3x 12.1x $297 $559 2% 5% $3.63 $4.60 14.2x 11.2x 1,549 1,556 $594 $613 $24.56 1.90x PR

Barrick Gold ABX-NYSE | ABX-TSX US$17.34 $20.00 H/INC MP3 15% $20,166 $2,323 $9,126 $26,969 0.5% $3,892 $4,261 6.9x 6.3x $1,467 $2,102 5% 8% $2.45 $3.13 7.1x 5.5x 5,213 5,003 $577 $588 $8.06 1.64x PR

Goldcorp GG-NYSE | G-TSX US$15.57 $24.00 H/INC OP2 54% $13,258 $401 $3,201 $16,058 0.8% $1,541 $2,144 10.4x 7.5x $338 $835 2% 5% $1.66 $2.08 9.4x 7.5x 2,959 2,987 $634 $606 $11.65 1.26x PR

Kinross KGC-NYSE | K-TSX US$4.09 $7.00 H/GRW OP2 71% $5,056 $750 $1,982 $6,288 0.0% $1,328 $1,671 4.7x 3.8x $388 $627 6% 10% $0.90 $1.15 4.5x 3.6x 2,663 2,573 $728 $703 $4.67 0.90x PR

Yamana Gold AUY-NYSE | YRI-TSX US$4.39 $7.00 H/INC OP2 60% $4,135 $125 $1,733 $5,743 0.5% $851 $1,018 6.7x 5.6x $279 $291 5% 5% $0.75 $0.84 5.8x 5.2x 1,442 1,523 $649 $649 $4.01 1.06x PRAverage 41% 0.5% 8.8x 7.1x 4% 7% 8.2x 6.6x 1.35x

Covered Intermediate Gold Producers Price Target Stock Target Mkt Cap Cash Total Debt EV Dividend NAVPS P/NAV


Alamos Gold AGI-NYSE | AGI-TSX US$7.87 $10.00 H/INC OP2 27% $2,095 $274 $314 $2,135 0.3% $175 $227 12.2x 9.4x ($21) $43 -1% 2% $0.52 $0.73 15.2x 10.8x 390 407 $778 $760 $7.60 1.03x PR

B2Gold BTO-TSX C$3.59 $5.00 H/GRW OP2 39% $2,525 $100 $462 $2,887 0.0% $271 $332 10.7x 8.7x ($137) ($2) -5% 0% $0.28 $0.28 9.8x 9.6x 546 540 $555 $610 $3.07 1.14x CT

Detour Gold DGC-TSX C$27.84 $38.50 H/SPEC OP2 38% $3,683 $154 $401 $3,930 0.0% $233 $401 16.9x 9.8x $189 $282 5% 7% $1.57 $2.22 13.4x 9.5x 524 623 $727 $690 $22.76 0.93x PR

Eldorado Gold EGO-NYSE | ELD-TSX US$3.99 $7.00 H/GRW OP2 75% $2,840 $717 $590 $2,714 0.5% $227 $300 12.0x 9.1x ($261) ($141) -10% -5% $0.25 $0.34 16.0x 11.9x 512 417 $642 $554 $5.79 0.67x PR

Endeavour Mining EDV-TSX C$23.96 $27.00 H/GRW OP2 13% $1,680 $117 $239 $1,802 0.0% $284 $416 6.4x 4.3x $54 ($25) 3% -1% $2.20 $3.06 8.2x 5.9x 471 556 $729 $748 $19.89 1.21x CT

IAMGOLD IAG-NYSE | IMG-TSX US$3.99 $5.50 H/GRW MP3 38% $1,817 $554 $629 $1,891 0.0% $303 $405 6.2x 4.7x ($20) ($15) -1% -1% $0.60 $0.75 6.7x 5.3x 781 816 $798 $843 $3.92 1.02x PR

New Gold NGD-AMEX | NGD-TSX US$4.44 $4.75 H/GRW MP3 7% $2,265 $295 $789 $2,759 0.0% $342 $383 8.1x 7.2x ($348) ($173) -13% -6% $0.59 $0.61 7.5x 7.2x 392 395 $657 $702 $3.69 1.17x PR

OceanaGold OGC-TSX C$4.25 $6.00 H/GRW OP2 42% $1,961 $104 $228 $2,085 0.6% $296 $438 7.1x 4.8x ($57) $322 -3% 15% $0.48 $0.72 6.8x 4.5x 516 594 $584 $533 $4.07 1.04x CT

Tahoe Resources THO-TSX | TAHO-NYSE C$17.66 $22.25 H/INC OP2 28% $4,150 $91 $35 $4,094 1.8% $411 $536 10.0x 7.6x $157 $219 4% 5% $1.13 $1.51 11.8x 8.9x 706 798 $610 $637 $15.52 1.15x CTAverage 34% 0.3% 9.9x 7.3x -2% 2% 10.6x 8.2x 1.04x

Covered Junior Gold Producers Price Target Stock Target Mkt Cap Cash Total Debt EV Current NAVPS P/NAV


Asanko Gold AKG-TSX C$5.34 $6.75 H/GRW OP2 26% $813 $159 $119 $772 0.0% $38 $119 20.5x 6.5x ($32) $15 -4% 2% $0.14 $0.47 28.6x 8.7x 145 193 $966 $754 $5.31 1.00x CT

Guyana Goldfields GUY-TSX C$8.74 $10.50 H/SPEC MP3 20% $1,118 $19 $139 $1,239 0.0% $124 $141 10.0x 8.8x $60 $96 5% 8% $0.60 $0.64 11.0x 10.4x 157 204 $535 $683 $6.90 0.96x PR

Mandalay Resources MND-TSX C$1.07 $1.40 H/INC OP2 35% $365 $41 $58 $382 3.7% $85 $124 4.5x 3.1x $44 $73 11% 19% $0.21 $0.27 3.9x 3.0x 175 190 $700 $674 $1.17 0.91x CT

Newmarket Gold NMI-TSX C$4.25 $5.00 H/GRW OP2 18% $571 $52 $0 $519 0.0% $119 $142 4.4x 3.7x $69 $84 13% 16% $0.64 $0.75 5.0x 4.3x 231 221 $696 $713 $4.15 1.03x CT

Roxgold ROG-TSXV C$1.58 $2.25 H/GRW OP2 42% $441 $44 $77 $526 0.0% $26 $83 20.4x 6.4x ($28) $76 -5% 14% $0.11 $0.24 14.9x 6.6x 64 98 $502 $457 $1.74 0.91x CT

SEMAFO SMF-TSX C$5.47 $7.25 H/GRW OP2 33% $1,342 $167 $59 $1,234 0.0% $171 $184 7.2x 6.7x $75 $60 6% 5% $0.45 $0.47 9.3x 8.9x 242 236 $532 $535 $5.82 0.93x CTAverage 26% 0.6% 9.3x 5.7x 6% 10% 11.6x 7.0x 0.97x

Covered Royalty & Streaming MinersPrice Target Stock Target Mkt Cap Cash Total Debt EV Current NAVPS P/NAV


Franco-Nevada FNV-NYSE | FNV-TSX US$70.18 $75.00 H/INC OP2 7% $12,468 $637 $460 $12,291 1.2% $466 $536 26.4x 22.9x $416 $463 3% 4% $2.41 $2.60 29.1x 27.0x 452 475 $246 $304 $34.73 2.07x PR

Royal Gold RGLD-NASDAQ | RGL-TSX US$75.56 $85.00 H/INC OP2 12% $4,932 $118 $677 $5,492 1.2% $275 $368 20.0x 14.9x $193 $316 4% 6% $3.04 $4.84 24.9x 15.6x 323 346 $237 $230 $40.78 1.71x PR

Sandstorm Gold SSL-TSX | SAND-NYSE C$7.15 $7.25 H/GRW OP2 1% $813 $5 $77 $885 0.0% $50 $47 17.8x 19.0x $38 $48 5% 6% $0.24 $0.30 22.3x 17.9x 47 51 $283 $298 $4.61 1.22x PR

Silver Wheaton SLW-NYSE | SLW-TSX US$26.60 $33.50 H/INC OP2 26% $11,706 $216 $1,371 $12,861 1.0% $652 $757 19.7x 17.0x $621 $729 5% 6% $1.46 $1.66 18.2x 16.0x 765 767 $329 $357 $18.61 1.43x PRAverage 12% 0.9% 21.0x 18.4x 4% 6% 23.6x 19.1x 1.61x

Covered Gold Developers/ExplorersPrice Target Stock Target Mkt Cap Cash Total Debt EV Dividend NAVPS P/NAV

($) Price Rating Return ($mln) (mln) ($mln) ($mln) Yield 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E Start 2016E Stage 2016E ($) (x)#######

Alacer Gold ASR-TSX C$3.37 $4.50 H/GRW OP2 33% $744 $311 $0 $433 0.0% $71 $72 6.1x 6.0x ($180) ($315) -42% -73% $0.28 $0.25 9.2x 10.1x na 125 Prod. $647 $4.13 0.52x PR

ATAC Resources ATC-TSXV C$0.52 UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR -

Integra Gold ICG-TSXV C$0.76 $1.10 H/SPEC OP2 44% $257 $57 $0 $200 0.0% ($1) ($5) nm nm ($4) ($56) -2% -28% ($0.01) ($0.01) nm nm 2018E na Devel. na $1.15 0.56x PR

Orezone ORE-TSXV C$0.63 $1.10 H/SPEC OP2 75% $73 $7 $0 $67 0.0% ($5) ($4) nm nm ($4) ($4) -7% -6% ($0.03) ($0.03) nm nm 2019E na Devel. na $1.87 0.27x CTAverage 51% 0.0% 6.1x 6.0x -17% -36% 9.2x 10.1x 0.45x

Covered Silver ProducersPrice Target Stock Target Mkt Cap Cash Total Debt EV Current NAVPS P/NAV

($) Price Rating Return ($mln) (mln) ($mln) ($mln) Yield 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E ($) (x)########

Coeur Mining CDE-NYSE US$12.43 $16.50 H/GRW OP2 33% $2,018 $258 $511 $2,272 0.0% $239 $338 9.5x 6.7x $55 $152 2% 7% $1.20 $1.68 10.4x 7.4x 41.9 44.1 $11.16 $11.17 $10.38 1.19x CT

Endeavour Silver EDR-TSX | EXK-NYSE C$6.43 $5.50 H/GRW MP3 -14% $611 $20 $19 $610 0.0% $50 $65 12.2x 9.3x $10 ($40) 2% -7% $0.30 $0.38 16.0x 12.9x 9.4 8.1 $11.45 $11.32 $4.20 1.64x CT

First Majestic Silver FR-TSX | AG-NYSE C$15.05 $11.25 H/GRW UP4 -25% $1,862 $71 $67 $1,858 0.0% $144 $166 12.9x 11.2x $57 $82 3% 4% $0.73 $0.83 15.6x 13.7x 19.0 17.7 $9.05 $9.96 $7.08 2.24x CT

Fortuna Silver FVI-TSX | FSM-NYSE C$9.74 $12.00 H/GRW OP2 23% $1,071 $96 $41 $1,016 0.0% $97 $130 10.5x 7.8x $22 ($17) 2% -2% $0.53 $0.71 13.8x 10.4x 14.1 14.9 $8.35 $8.61 $7.79 1.26x CT

Pan American Silver PAAS-NASDAQ | PAA-TSX US$16.92 $18.50 H/INC OP2 10% $2,575 $178 $60 $2,457 0.3% $209 $275 11.7x 8.9x ($25) $102 -1% 4% $1.23 $1.46 13.8x 11.6x 48.1 43.5 $7.98 $7.51 $12.29 1.46x CT

Silvercorp Metals SVM-TSX C$4.26 $3.00 H/GRW MP3 -30% $538 $62 $9 $485 0.0% $54 $61 9.0x 7.9x $9 $28 2% 6% $0.24 $0.27 13.2x 11.7x 8.7 8.6 $10.58 $10.90 $2.16 2.00x CTAverage -1% 0.0% 11.0x 8.7x 2% 2% 13.8x 11.3x 1.63x

Covered Silver Developers/ExplorersPrice Target Stock Target Mkt Cap Cash Total Debt EV Current NAVPS P/NAV

($) Price Rating Return ($mln) (mln) ($mln) ($mln) Yield 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E Start 2016E Stage 2016E ($) (x)

Bear Creek BCM-TSXV C$3.13 $4.00 H/SPEC OP2 28% $244 $18 $0 $226 0.0% ($4) ($6) nm nm ($4) ($6) -2% -3% ($0.04) ($0.05) nm nm 2020E na Feas. na $7.46 0.37x CT

MAG Silver MAG-TSX | MAG-NYSE C$20.40 $22.50 H/SPEC OP2 10% $1,240 $142 $0 $1,098 0.0% ($4) ($5) nm nm ($16) ($58) -1% -5% ($0.06) ($0.06) nm nm 2019E na Devel. na $17.58 1.18x CTAverage 19.0% 0.0% nm nm -2% -4% nm nm 0.78xCT = Chris Thompson; PR = Phil RussoNote: M/INC - Medium Risk/Income, M/GRW - Medium Risk/Growth, H/INC - High Risk/Income, H/GRW - High Risk/Growth, H/SPEC - High Risk/Speculation, UR - Under Review, R - Restricted.Source: Bloomberg, Capital IQ, Raymond James Ltd.

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Prod. (Moz AgEq) Cash Cost (AgEq)FCF FCF / EV CFPS P/CFEBITDA EV/EBITDA

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Precious Metals - Gold & Silver



Covered Base Metals ProducersRep. Price Target Stock Target Mkt Cap EV Current NAVPS P/NAV

Currency ($) Price Rating Return ($mln) ($mln) Yield 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E 2016E 2017E ($) (x)

Capstone Mining Corp. CS-TSX USD C$0.75 $1.30 H/GRW OP2 73% $286 $446 0.0% ($0.07) $0.03 nm 17.0x $0.29 $0.30 2.0x 1.9x $126 $141 3.6x 3.2x $1.25 0.45x AT

Copper Mountain Mining Corp. CUM-TSX CAD C$0.46 $0.70 H/GRW MP3 54% $54 $489 0.0% ($0.08) $0.16 nm 2.9x $0.30 $0.42 1.5x 1.1x $55 $89 8.8x 5.5x $1.38 0.33x AT

First Quantum Minerals Ltd. FM-TSX | FQM-LSE USD C$10.57 $14.00 H/GRW OP2 32% $7,286 $10,715 0.2% $0.25 $0.47 30.0x 17.0x $1.39 $1.62 5.8x 4.9x $1,122 $1,391 9.5x 7.7x $15.19 0.53x AT

HudBay Minerals, Inc. HBM-TSX | HBM-NYSE USD C$4.95 $8.25 H/GRW OP2 67% $1,144 $2,027 0.5% $0.09 $0.48 30.0x 7.8x $1.13 $1.17 3.3x 3.2x $340 $448 6.0x 4.5x $7.09 0.53x AT

Imperial Metals Corp. III-TSX CAD C$6.46 UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR -

Lundin Mining Corporation LUN-TSX USD C$4.95 $6.25 H/GRW MP3 26% $3,562 $3,397 0.0% $0.04 $0.35 30.0x 10.7x $0.68 $0.72 5.5x 5.2x $530 $643 6.4x 5.3x $4.02 0.93x AT

Nevsun Resources Ltd. NSU-TSX | NSU-NYSE MKT USD C$4.14 $5.00 H/INC MP3 21% $1,240 $831 3.9% $0.13 $0.07 24.2x 30.0x $0.48 $0.29 6.6x 10.7x $167 $111 5.0x 7.5x $4.98 0.63x AT

Taseko Mines Ltd. TKO-TSX | TGB-NYSE MKT CAD C$0.60 $0.95 H/GRW MP3 58% $134 $419 0.0% ($0.28) ($0.05) nm nm $0.08 $0.40 8.0x 1.5x $6 $90 71.0x 4.7x $1.40 0.43x AT

Teck Resources Limited TCK.B-TSX | TCK-NYSE CAD C$24.11 $21.00 H/INC MP3 -13% $13,890 $21,839 0.4% $0.88 $1.64 27.4x 14.7x $3.81 $4.56 6.3x 5.3x $2,492 $3,120 8.8x 7.0x $13.91 1.73x AT

Trevali Mining Corp. TV-TSX CAD C$0.92 $1.30 H/SPEC OP2 41% $346 $438 0.0% $0.08 $0.20 10.9x 4.6x $0.17 $0.27 5.4x 3.4x $65 $118 6.7x 3.7x $0.88 1.04x ATAverage 40% 0.5% 25.4x 13.1x 4.9x 4.1x 14.0x 5.4x 0.73x

Covered Base Metals DevelopersRep. Price Target Stock Target Mkt Cap EV Current NAVPS P/NAV


Ivanhoe Mines Limited IVN-TSX USD C$1.86 $2.25 H/SPEC OP2 21% $1,445 $702 0.0% ($0.04) ($0.07) nm nm $0.05 $0.17 27.5x 8.5x ($52) ($57) nm nm $2.44 0.58x ATAverage 21% 0.0% nm nm 27.5x 8.5x nm nm 0.58x

Covered Iron Ore and Base Metal Royalty CompaniesRep. Price Target Stock Target Mkt Cap EV Current NAVPS P/NAV


Altius Minerals Corp. ALS-TSX CAD C$9.93 $14.50 H/GRW OP2 46% $431 $478 1.2% ($0.14) $0.07 nm 30.0x $0.31 $0.57 30.0x 17.6x $19 $44 25.4x 10.9x $10.44 0.95x AT

Labrador Iron Ore Royalty Corp. LIF-TSX CAD C$13.14 $17.00 H/INC MP3 29% $841 $820 7.6% $0.86 $1.46 15.3x 9.0x $0.94 $1.27 13.9x 10.3x $82 $102 10.0x 8.0x $18.46 0.71x ATAverage 4.4% 15.3x 19.5x 22.0x 13.9x 17.7x 9.5x 0.83x

Covered Uranium Producers/FundRep. Price Target Stock Target Mkt Cap EV Current NAVPS P/NAV


Cameco Corporation CCO-TSX | CCJ-NYSE CAD C$11.59 UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR -

Paladin Energy PDN-TSX | PDN-ASX USD C$0.16 UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR -

Uranium Participation (Fund) U-TSX CAD C$4.05 UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR -

UR Energy URE-TSX | URG-NYSE MKT USD C$0.68 UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR -Average nm nm nm nm nm nm nm nm nm

Covered Uranium Explorers/DevelopersRep. Price Target Stock Target Mkt Cap EV Current NAVPS P/NAV


Denison Mines DML-TSX | DNN-NYSE MKT USD C$0.62 UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR -

Fission Uranium FCU-TSX CAD C$0.64 UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR -

Kivalliq Energy KIV-TSXV CAD C$0.09 UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR -

NexGen Energy NXE-TSX CAD C$1.91 UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR -

UEX Corporation UEX-TSX CAD C$0.21 UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR UR -Average nm nm nm nm nm nm nm nm nmAT = Alex TerentiewNote: M/INC - Medium Risk/Income, M/GRW - Medium Risk/Growth, H/INC - High Risk/Income, H/GRW - High Risk/Growth, H/SPEC - High Risk/Speculation, UR - Under Review, R - Restricted.

Source: Bloomberg, Capital IQ, Raymond James Ltd.

P/CF EBITDASuitability

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P/CF

CANADIAN METALS DAILY COMPS - BASE METALS & URANIUMS

EBITDA EV/EBITDAEPS P/E CFPS P/CF

EV/EBITDA

Analyst

Analyst

Analyst

SuitabilityEBITDA EV/EBITDAEPS P/E CFPS P/CF

Suitability

SuitabilityEBITDA EV/EBITDA

EPS P/E CFPS P/CF EBITDA

EPS P/E CFPS

EV/EBITDAAnalyst

Company Name

Company Name

Company Name

Company Name

Company Name

Suitability

Analyst

Symbol

Symbol

Symbol

Symbol

Symbol

Sep-19-16

Base Metals & Minerals



Copper - Spot Prices (US$/lb) & LME Inventories (kt) Gold/Silver - Spot Prices (US$/oz)

2016E 2017E 2016E 2017E

52.99675181 nm(Invalid Identifier)20.00 nm

Nevsun Resources Ltd.*

4153.06704

Zinc - Spot Prices (US$/lb) & LME Inventories (kt) Nickel - Spot Prices (US$/lb) & LME Inventories (kt)

14.5

OP2

2020 1 Week 4 Weeks 1 Year RJL

2013A 2014A 2015A 2016E 2017E 2018E Long-term Last Close Date Last Close Prev. Close % Chg % Chg % Chg % Chg 2016E

RJL Commodity Price Forecast: PricesCopper (US$/lb) $3.33 $3.11 $2.50 $2.22 $2.45 $2.65 $3.00 Copper (US$/lb) Sep-16-16 $2.16 $2.16 0.1% 3.4% -0.3% -9.5% $2.22

Zinc (US$/lb) $0.87 $0.98 $0.88 $0.94 $1.10 $1.15 $1.00 Zinc (US$/lb) Sep-16-16 $1.00 $1.01 -0.7% -3.5% -3.8% 31.5% $0.94

Nickel (US$/lb) $6.82 $7.66 $5.38 $4.47 $5.25 $5.50 $7.00 Nickel (US$/lb) Sep-16-16 $4.39 $4.38 0.1% -6.3% -6.1% 0.3% $4.47

Lead (US$/lb) $0.97 $0.95 $0.81 $0.82 $0.85 $0.85 $0.90 Lead (US$/lb) Sep-16-16 $0.88 $0.88 -0.3% 2.3% 3.5% 15.1% $0.82

Molybdenum (US$/lb) $10.20 $11.38 $6.70 $6.22 $6.50 $6.50 $6.00 Molybdenum (US$/lb) Sep-16-16 $7.26 $7.26 0.0% 0.0% 1.6% 30.6% $6.22

Cobalt (US$/lb) $12.33 $13.99 $13.09 $10.88 $11.50 $12.00 $12.00 Cobalt (US$/lb) Sep-16-16 $12.13 $12.13 0.0% 0.9% 0.9% -3.6% $10.88

Gold (US$/oz) $1,413 $1,266 $1,160 $1,292 $1,400 $1,400 $1,400 Gold (US$/oz) Sep-16-16 $1,310 $1,315 -0.3% -1.3% -2.3% 15.0% $1,292

Silver (US$/oz) $23.90 $19.08 $15.70 $17.53 $20.00 $20.00 $20.00 Silver (US$/oz) Sep-16-16 $18.78 $18.98 -1.1% -1.4% -2.7% 23.7% $17.53

Platinum (US$/oz) $1,487 $1,385 $1,056 $1,005 $1,075 $1,100 $1,250 Platinum (US$/oz) Sep-16-16 $1,018 $1,032 -1.4% -4.2% -8.7% 3.8% $1,005

Palladium (US$/oz) $726 $803 $692 $611 $675 $700 $775 Palladium (US$/oz) Sep-16-16 $673 $657 2.6% -0.4% -5.2% 11.0% $611

Uranium (US$/lb) $39 $33 $37 $38 $50 $60 $70 Uranium (US$/lb) Sep-16-16 $25.25 $25.25 0.0% -0.6% -1.9% -32.2% $38

Iron Ore Fines (US$/t) $136 $97 $56 $55 $55 $55 $58 Iron Ore Fines (US$/t) Sep-16-16 $55.97 $55.97 0.0% -3.1% -8.2% -3.0% $55

Coking Coal (US$/t) $159 $126 $102 $92 $112 $112 $115 Coking Coal (US$/t) Sep-16-16 $187.00 $185.00 1.1% 10.2% 69.2% 133.8% $92Copper Inventories

LME (tonnes) Sep-16-16 349,000 349,225 -0.1% -0.5% 65.7% 4.1%

USD/CAD 0.97 0.90 0.78 0.76 0.76 0.81 0.85 COMEX (tonnes) Sep-16-16 77,466 77,282 0.2% 2.4% 5.9% 77.9%

USD/EUR 1.33 1.33 1.11 1.12 1.11 1.15 1.19 SHANGHAI (tonnes) Sep-15-16 136,329 143,716 -5.1% -5.1% -21.0% -7.8%Total Copper Inv. 562,795 570,223 -1.3% -1.3% 23.3% 6.9%


CANADIAN METALS DAILY COMPS Sep-19-16

$0

$6

$12

$18

$24

$30

$36

$42

$48

$54

$60

$1,000

$1,100

$1,200

$1,300

$1,400

$1,500

$1,600

$1,700

$1,800

$1,900

$2,000

Jan-10 Jul-10 Jan-11 Jul-11 Jan-12 Jul-12 Jan-13 Jul-13 Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16

Silv

er S

po

t P

rice

s ($

/oz)

Go

ld S

po

t P

rice

s ($

/oz)

Gold Silver

-

75

150

225

300

375

450

525

600

675

750

825

$1.90

$2.15

$2.40

$2.65

$2.90

$3.15

$3.40

$3.65

$3.90

$4.15

$4.40

$4.65


Tota

l In

ven

tori

es o

f LM

E st

ock

s (k

t)

Spo

t P

rice

s ($

/lb

)

-

150

300

450

600

750

900

1,050

1,200

1,350

1,500

$0.50

$0.60

$0.70

$0.80

$0.90

$1.00

$1.10

$1.20

$1.30

$1.40

$1.50


Tota

l In

ven

tori

es o

f LM

E st

ock

s (k

t)

Spo

t P

rice

s ($

/lb

)

0

50

100

150

200

250

300

350

400

450

500

550

$3.00

$4.00

$5.00

$6.00

$7.00

$8.00

$9.00

$10.00

$11.00

$12.00

$13.00

$14.00


Tota

l In

ven

tori

es o

f LM

E s

tock

s (k

t)

Spo

t P

rice

s ($

/lb

)



BTO-T | BTG-N

(Invalid Identifier)


CANADIAN METALS DAILY COMPS - PRECIOUS METALS Sep-19-16


$0

$500

$1,000

$1,500

$2,000

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

Jan-09 Jul-09 Jan-10 Jul-10 Jan-11 Jul-11 Jan-12 Jul-12 Jan-13 Jul-13 Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16

Go

ld S

po

t ($

/oz)

Go

ld H

old

ings

by

ETFs

(ko

z)

Total Known Gold Holdings by ETFs

Gold - Total known ETFs Gold, Spot

$0

$10

$20

$30

$40

$50

$60

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000


Silv

er S

po

t ($

/oz)

Silv

er

Ho

ldin

gs b

y ET

Fs (

koz)

Total Known Silver Holdings by ETFs

Silver - Total known ETFs Silver, Spot

$0

$500

$1,000

$1,500

$2,000

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000


Go

ld S

po

t ($

/oz)

Ne

t Lo

ng

Po

siti

on

s (k

oz)

Gold - Non-Commercial Net Long Positions

Non-Commercial Gold Combined Positions (CFTC NYME Futures) Gold, Spot

$0

$10

$20

$30

$40

$50

$60

0

100,000

200,000

300,000

400,000

500,000

600,000


Silv

er S

po

t ($

/oz)

Ne

t Lo

ng

Po

siti

on

s (k

oz)

Silver - Non-Commercial Net Long Positions

Non-Commercial Silver Combined Positions (CFTC NYME Futures) Silver, Spot

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

90.0

Jan-09 Jul-09 Jan-10 Jul-10 Jan-11 Jul-11 Jan-12 Jul-12 Jan-13 Jul-13 Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16G

old

/ S

ilve

r R

atio

Gold / Silver Ratio

3.0

8.0

13.0

18.0

23.0

28.0

33.0


Go

ld P

rice

/ X

AU

In

de

x

Gold Price / XAU Index



As of:


Sep-15-16

CANADIAN METALS DAILY COMPS - FORWARD CURVES Sep-19-16


2.15

2.16

2.17

2.18

2.19

2.20

Pri

ce (

$/l

b.)

Forward Curve - Copper

0.96

0.98

1.00

1.02

1.04

1.06

1.08

Pri

ce (

$/l

b.)

Forward Curve - Zinc

4.30

4.40

4.50

4.60

Pri

ce (

$/m

t)

Forward Curve - Nickel

0.84

0.85

0.86

0.87

0.88

0.89

0.90

0.91

0.92

Pri

ce (

$/l

b.)

Forward Curve - Lead

12.00

12.10

12.20

12.30

12.40

Pri

ce (

$/l

b.)

Forward Curve - Cobalt

7.00

7.20

7.40

7.60

Pri

ce (

$/l

b.)

Forward Curve - Molybdenum

1,300

1,320

1,340

1,360

1,380

1,400

Pri

ce (

$/t

oz.

)

Forward Curve - Gold

18.5018.7519.0019.2519.5019.7520.0020.2520.5020.7521.00

Pri

ce (

$/t

oz.

)

Forward Curve - Silver

0

200

400

600

800

1,000

1,200

Pri

ce (

$/t

oz.

)

Forward Curve - Platinum

652

654

656

658

660

662

Pri

ce (

$/t

oz.

)

Forward Curve - Palladium

0.70

0.71

0.72

0.73

0.74

0.75

0.76

Pri

ce (

$/l

b.)

Forward Curve - Aluminum

24

26

28

30

Pri

ce (

$/l

b.)

Forward Curve - Uranium



Source: Capital IQ, Raymond James Ltd.

Sep-19-16RJL Mining Universe Leaders & Laggards

1 Week % Return 3 Month % Return YTD % Return 1 Year % Return

-2%

-2%

-4%

-5%

-5%

6%

4%

-3%

-4%

-4%

-8%

-9%

-10%

-11%

7%

-2%

-5%

-6%

-11%

5%

5%

-1%

-1%

-13%

3%

-4%

-4%

-5%

-14%

-6%

-6%

-7%

-7%

-9%

-10%

-6%

-13%

11%

7%

7%

3%

0%

-2%

-3%

-4%

-4%

-14%

-1%

1%

0%

0%

-2%

13%

-2%

-7%

-7%

-13%

-25%-20%-15%-10%-5% 0% 5% 10% 15% 20% 25%

ABX

AEM

KGC

AUY

GG

EGO

EDV

BTO

THO

DGC

NGD

AGI

IAG

OGC

NMI

MND

GUY

AKG

SMF

ORE

ROG

ICG

ASR

ATC

ALS

FNV

RGLD

SLW

SSL

CDE

FR

SVM

PAA

EDR

FVI

MAG

BCM

TCK.B

TKO

CS

TV

CUM

FM

NSU

LUN

HBM

IVN

LIF

U

URE

PDN

CCO

KIV

FCU

UEX

DML

NXE

2%

-9%

-13%

-14%

-18%

26%

17%

8%

3%

3%

3%

-3%

-4%

-7%

10%

2%

0%

-7%

-8%

13%

9%

7%

-34%

-44%

27%

20%

14%

-1%

-7%

57%

37%

34%

20%

13%

-6%

22%

20%

64%

57%

21%

15%

14%

8%

-3%

-6%

-23%

94%

5%

-3%

-8%

-16%

-19%

13%

-10%

-13%

-16%

-30%

-100% -50% 0% 50% 100% 150% 200%

AEM

AUY

GG

ABX

KGC

BTO

EDV

NGD

IAG

AGI

THO

OGC

EGO

DGC

NMI

AKG

MND

GUY

SMF

ASR

ROG

ICG

ATC

ORE

SLW

SSL

RGLD

FNV

ALS

SVM

EDR

CDE

FVI

PAA

FR

MAG

BCM

TV

TCK.B

FM

CS

LUN

NSU

CUM

TKO

HBM

IVN

LIF

U

URE

PDN

CCO

KIV

FCU

UEX

DML

NXE

157%

151%

121%

110%

15%

299%

123%

123%

90%

86%

78%

70%

59%

26%

217%

163%

97%

74%

41%

171%

163%

133%

9%

9%

115%

86%

60%

58%

-15%

373%

298%

246%

209%

198%

136%

405%

111%

197%

80%

52%

39%

19%

6%

-3%

-23%

-23%

170%

-18%

-9%

-20%

-21%

-34%

198%

37%

29%

11%

-6%

-100% -50% 0% 50% 100% 150% 200%

ABX

AUY

KGC

AEM

GG

EDV

BTO

IAG

DGC

OGC

NGD

AGI

THO

EGO

NMI

AKG

GUY

SMF

MND

ICG

ROG

ORE

ATC

ASR

SLW

SSL

FNV

RGLD

ALS

SVM

CDE

FR

FVI

EDR

PAA

BCM

MAG

TCK.B

TV

FM

CS

LUN

NSU

TKO

CUM

HBM

IVN

LIF

URE

PDN

U

CCO

NXE

UEX

KIV

DML

FCU

Sen

ior

Go

ld

Pro

du

cers

Jun

ior

Go

ld

Pro

du

cers

Go

ld

Dev

elo

per

sR

oya

lty

&

Stre

amin

g M

iner

s

Silv

er

Pro

du

cers

Silver Developers

Bas

e M

etal

Pro

du

cers

Base Metal Developers

Ura

niu

m

Pro

du

cers

Ura

niu

m

Dev

elo

per

sIn

term

edia

te G

old

Iron Ore Companies

136%

135%

125%

96%

35%

214%

181%

156%

129%

93%

91%

61%

48%

34%

215%

184%

163%

67%

56%

129%

126%

124%

76%

36%

114%

107%

99%

53%

-2%

545%

401%

234%

225%

213%

147%

440%

109%

351%

104%

80%

70%

30%

24%

10%

2%

-7%

205%

37%

-21%

-24%

-32%

-36%

165%

37%

-10%

-11%

-22%

-100% -50% 0% 50% 100% 150% 200%

AUY

ABX

KGC

AEM

GG

EDV

IAG

BTO

AGI

DGC

NGD

OGC

THO

EGO

NMI

GUY

AKG

MND

SMF

ORE

ROG

ICG

ATC

ASR

SLW

RGLD

SSL

FNV

ALS

SVM

CDE

FR

EDR

FVI

PAA

BCM

MAG

TCK.B

FM

TV

CS

LUN

TKO

NSU

CUM

HBM

IVN

LIF

U

URE

CCO

PDN

NXE

UEX

KIV

DML

FCU



Source: Capital IQ, Raymond James Ltd.

Senior Gold Producers

RJL Mining Universe Leaders & Laggards Sep-19-16

Junior Gold Producers

Uranium Producers/Fund Uranium Developers

Current Price Position within 52 Week High/Low Spread

Base Metal

DevelopersBase Metal ProducersSilver Developers

Silver ProducersRoyalty & Streaming Miners Gold Developers

Iron Ore Companies

Intermediate Gold Producers

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

AEM AUY ABX KGC GG

52 Week High

52 Week Low

RGLD SLW SSL FNV ALS

52 Week High

52 Week Low

NMI AKG GUY MND SMF

52 Week High

52 Week Low

SVM EDR PAA CDE FVI FR

52 Week High

52 Week Low

TCK.B TV FM LUN CS NSU HBM TKO CUM

52 Week High

52 Week Low

IVN

52 Week High

52 Week Low

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

LIF

52 Week High

52 Week Low

URE PDN U CCO

52 Week High

52 Week Low

KIV NXE UEX DML FCU

52 Week High

52 Week Low

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

BCM MAG

52 Week High

52 Week Low

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

ROG ASR ICG ORE ATC

52 Week High

52 Week Low

EDV BTO AGI DGC OGC THO EGO NGD IAG

52 Week High

52 Week Low



IMPORTANT INVESTOR DISCLOSURES Raymond James & Associates (RJA) is a FINRA member firm and is responsible for the preparation and distribution of research created in the United States. Raymond James & Associates is located at The Raymond James Financial Center, 880 Carillon Parkway, St. Petersburg, FL 33716, (727) 567-1000. Non-U.S. affiliates, which are not FINRA member firms, include the following entities which are responsible for the creation and distribution of research in their respective areas; In Canada, Raymond James Ltd. (RJL), Suite 2100, 925 West Georgia Street, Vancouver, BC V6C 3L2, (604) 659-8200; In Latin America, Raymond James Argentina S.A., San Martin 344, 22nd Floor, Buenos Aires, C10004AAH, Argentina, +54 11 4850 2500; In Europe, Raymond James Euro Equities, SAS, 40, rue La Boetie, 75008, Paris, France, +33 1 45 61 64 90, and Raymond James Financial International Ltd., Broadwalk House, 5 Appold Street, London, England EC2A 2AG, +44 203 798 5600.

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RATINGS AND DEFINITIONS

Raymond James Ltd. (Canada) definitions: Strong Buy (SB1) The stock is expected to appreciate and produce a total return of at least 15% and outperform the S&P/TSX Composite Index over the next six months. Outperform (MO2) The stock is expected to appreciate and outperform the S&P/TSX Composite Index over the next twelve months. Market Perform (MP3) The stock is expected to perform generally in line with the S&P/TSX Composite Index over the next twelve months and is potentially a source of funds for more highly rated securities. Underperform (MU4) The stock is expected to underperform the S&P/TSX Composite Index or its sector over the next six to twelve months and should be sold.

Raymond James & Associates (U.S.) definitions: Strong Buy (SB1) Expected to appreciate, produce a total return of at least 15%, and outperform the S&P 500 over the next six to 12 months. For higher yielding and more conservative equities, such as REITs and certain MLPs, a total return of at least 15% is expected to be realized over the next 12 months. Outperform (MO2) Expected to appreciate and outperform the S&P 500 over the next 12-18 months. For higher yielding and more conservative equities, such as REITs and certain MLPs, an Outperform rating is used for securities where we are comfortable with the relative safety of the dividend and expect a total return modestly exceeding the dividend yield over the next 12-18 months. Market Perform (MP3) Expected to perform generally in line with the S&P 500 over the next 12 months. Underperform (MU4) Expected to underperform the S&P 500 or its sector over the next six to 12 months and should be sold. Suspended (S) The rating and price target have been suspended temporarily. This action may be due to market events that made coverage impracticable, or to comply with applicable regulations or firm policies in certain circumstances, including when Raymond James may be providing investment banking services to the company. The previous rating and price target are no longer in effect for this security and should not be relied upon.

Raymond James Argentina S.A. rating definitions: Strong Buy (SB1) Expected to appreciate and produce a total return of at least 25.0% over the next twelve months. Outperform (MO2) Expected to appreciate and produce a total return of between 15.0% and 25.0% over the next twelve months. Market Perform (MP3) Expected to perform in line with the underlying country index. Underperform (MU4) Expected to underperform the underlying country index. Suspended (S) The rating and price target have been suspended temporarily. This action may be due to market events that made coverage impracticable, or to comply with applicable regulations or firm policies in certain circumstances, including when Raymond James may be providing investment banking services to the company. The previous rating and price target are no longer in effect for this security and should not be relied upon.

Raymond James Europe (Raymond James Euro Equities SAS & Raymond James Financial International Limited) rating definitions: Strong Buy (1) Expected to appreciate, produce a total return of at least 15%, and outperform the Stoxx 600 over the next 6 to 12 months. Outperform (2) Expected to appreciate and outperform the Stoxx 600 over the next 12 months. Market Perform (3) Expected to perform generally in line with the Stoxx 600 over the next 12 months. Underperform (4) Expected to underperform the Stoxx 600 or its sector over the next 6 to 12 months. Suspended (S) The rating and target price have been suspended temporarily. This action may be due to market events that made coverage impracticable, or to comply with applicable regulations or firm policies in certain circumstances, including when Raymond James may be providing investment banking services to the company. The previous rating and target price are no longer in effect for this security and should not be relied upon.

In transacting in any security, investors should be aware that other securities in the Raymond James research coverage universe might carry a higher or lower rating. Investors should feel free to contact their Financial Advisor to discuss the merits of other available investments.

Suitability Ratings (SR)

Medium Risk/Income (M/INC) Lower to average risk equities of companies with sound financials, consistent earnings, and dividend yields above that of the S&P 500. Many securities in this category are structured with a focus on providing a consistent dividend or return of capital.

Medium Risk/Growth (M/GRW) Lower to average risk equities of companies with sound financials, consistent earnings growth, the potential for long-term price appreciation, a potential dividend yield, and/or share repurchase program.

High Risk/Income (H/INC) Medium to higher risk equities of companies that are structured with a focus on providing a meaningful dividend but may face less predictable earnings (or losses), more leveraged balance sheets, rapidly changing market dynamics, financial and competitive issues, higher price volatility (beta), and potential risk of principal. Securities of companies in this category may have a less predictable income stream from dividends or distributions of capital.

High Risk/Growth (H/GRW) Medium to higher risk equities of companies in fast growing and competitive industries, with less predictable earnings (or losses), more leveraged balance sheets, rapidly changing market dynamics, financial or legal issues, higher price volatility (beta), and potential risk of principal.

High Risk/Speculation (H/SPEC) High risk equities of companies with a short or unprofitable operating history, limited or less predictable revenues, very high risk associated with success, significant financial or legal issues, or a substantial risk/loss of principal.



RATING DISTRIBUTIONS

Coverage Universe Rating Distribution* Investment Banking Distribution

RJL RJA RJ Arg RJEE/RJFI RJL RJA RJ Arg RJEE/RJFI

Strong Buy and Outperform (Buy) 70% 54% 53% 52% 41% 17% 11% 0%

Market Perform (Hold) 30% 42% 47% 34% 17% 8% 0% 0%

Underperform (Sell) 1% 4% 0% 14% 0% 5% 0% 0%

* Columns may not add to 100% due to rounding.

RAYMOND JAMES RELATIONSHIP DISCLOSURES

Raymond James Ltd. or its affiliates expects to receive or intends to seek compensation for investment banking services from all companies under research coverage within the next three months.

STOCK CHARTS, TARGET PRICES, AND VALUATION METHODOLOGIES

Valuation Methodology: The Raymond James methodology for assigning ratings and target prices includes a number of qualitative and quantitative factors including an assessment of industry size, structure, business trends and overall attractiveness; management effectiveness; competition; visibility; financial condition, and expected total return, among other factors. These factors are subject to change depending on overall economic conditions or industry- or company-specific occurrences.

RISK FACTORS

General Risk Factors: Following are some general risk factors that pertain to the businesses of the subject companies and the projected target prices and recommendations included on Raymond James research: (1) Industry fundamentals with respect to customer demand or product / service pricing could change and adversely impact expected revenues and earnings; (2) Issues relating to major competitors or market shares or new product expectations could change investor attitudes toward the sector or this stock; (3) Unforeseen developments with respect to the management, financial condition or accounting policies or practices could alter the prospective valuation.

Risks - Mining 1) Political risk - producing mines and exploration and development projects are in various countries/continents, companies are generally exposed to varying levels of political risk, including mine nationalization, higher royalties and taxes, and other regulatory challenges that may impact production levels and profitability. In addition, there is always a risk permits for continuing production or new development may not be attainable due to unforeseen circumstances. Furthermore, mining companies may be the subject of claims and litigation arising in the ordinary course and conduct of business, and thus may be forced to defend itself in court. 2) Development risk - in constructing, commissioning and expanding mining assets (potential for cost overruns) 3) FX risk - due to fluctuations in various currencies which may affect profitability of operations and/or capital costs estimates 4) Operating risk - of maintaining current production and cost profiles 5) Labour risk - Labour markets around the world as they relate to mining activities have been experiencing significant challenges hiring and retaining a sufficiently large workforce. In response to the labour tightness, compounded with high levels of inflation in many countries, there has been substantial upward pressure on wages. An inability to hire an adequate workforce and the rising wage demands continues to elevate the risk of labour disputes, which may result in strikes, and thereby impact future levels of production and sales. 6) Resource Risk - Although generally companies have NI43-101 compliant resources, there exists a risk that further work leads to a deterioration of the grade and/or size of the deposit. 7) Cost Inflation Risk - Our outlook assumes certain future capital and operating costs for operating mines and development projects. Although we apply conservative estimates to these assumptions, there is the risk that our assumptions versus actual incurred costs in the future may differ. 8) Commodity Price Risk - Our outlook assumes certain commodity price forecasts. Although we apply conservative estimates to these assumptions, there is the risk that our assumptions versus actual incurred commodity prices in the future may differ.



Additional Risk and Disclosure information, as well as more information on the Raymond James rating system and suitability categories, is available for Raymond James at rjcapitalmarkets.com/Disclosures/index and for Raymond James Limited at www.raymondjames.ca/researchdisclosures.

INTERNATIONAL DISCLOSURES

FOR CLIENTS IN THE UNITED STATES:

Any foreign securities discussed in this report are generally not eligible for sale in the U.S. unless they are listed on a U.S. exchange. This report is being provided to you for informational purposes only and does not represent a solicitation for the purchase or sale of a security in any state where such a solicitation would be illegal. Investing in securities of issuers organized outside of the U.S., including ADRs, may entail certain risks. The securities of non-U.S. issuers may not be registered with, nor be subject to the reporting requirements of, the U.S. Securities and Exchange Commission. There may be limited information available on such securities. Investors who have received this report may be prohibited in certain states or other jurisdictions from purchasing the securities mentioned in this report. Please ask your Financial Advisor for additional details and to determine if a particular security is eligible for purchase in your state.

Raymond James Ltd. is not a U.S. broker‐dealer and therefore is not governed by U.S. laws, rules or regulations applicable to U.S. broker‐dealers. Consequently, the persons responsible for the content of this publication are not licensed in the U.S. as research analysts in accordance with applicable rules promulgated by the U.S. Self Regulatory Organizations.

Any U.S. Institutional Investor wishing to effect trades in any security should contact Raymond James (USA) Ltd., a U.S. broker‐dealer affiliate of Raymond James Ltd.

FOR CLIENTS IN THE UNITED KINGDOM:

For clients of Raymond James & Associates (London Branch) and Raymond James Financial International Limited (RJFI): This document and any investment to which this document relates is intended for the sole use of the persons to whom it is addressed, being persons who are Eligible Counterparties or Professional Clients as described in the FCA rules or persons described in Articles 19(5) (Investment professionals) or 49(2) (High net worth companies, unincorporated associations etc) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (as amended) or any other person to whom this promotion may lawfully be directed. It is not intended to be distributed or passed on, directly or indirectly, to any other class of persons and may not be relied upon by such persons and is therefore not intended for private individuals or those who would be classified as Retail Clients.

For clients of Raymond James Investment Services, Ltd.: This report is for the use of professional investment advisers and managers and is not intended for use by clients.

For purposes of the Financial Conduct Authority requirements, this research report is classified as independent with respect to conflict of interest management. RJA, RJFI, and Raymond James Investment Services, Ltd. are authorised and regulated by the Financial Conduct Authority in the United Kingdom.

FOR CLIENTS IN FRANCE:

This document and any investment to which this document relates is intended for the sole use of the persons to whom it is addressed, being persons who are Eligible Counterparties or Professional Clients as described in “Code Monétaire et Financier” and Règlement Général de l’Autorité des Marchés Financiers. It is not intended to be distributed or passed on, directly or indirectly, to any other class of persons and may not be relied upon by such persons and is therefore not intended for private individuals or those who would be classified as Retail Clients.

For clients of Raymond James Euro Equities: Raymond James Euro Equities is authorised and regulated by the Autorité de Contrôle Prudentiel et de Résolution and the Autorité des Marchés Financiers.

For institutional clients in the European Economic Area (EEA) outside of the United Kingdom: This document (and any attachments or exhibits hereto) is intended only for EEA institutional clients or others to whom it may lawfully be submitted.

Proprietary Rights Notice: By accepting a copy of this report, you acknowledge and agree as follows:

This report is provided to clients of Raymond James only for your personal, noncommercial use. Except as expressly authorized by Raymond James, you may not copy, reproduce, transmit, sell, display, distribute, publish, broadcast, circulate, modify, disseminate or commercially exploit the information contained in this report, in printed, electronic or any other form, in any manner, without the prior express written consent of Raymond James. You also agree not to use the information provided in this report for any unlawful purpose.

This report and its contents are the property of Raymond James and are protected by applicable copyright, trade secret or other intellectual property laws (of the United States and other countries). United States law, 17 U.S.C. Sec.501 et seq, provides for civil and criminal penalties for copyright infringement. No copyright claimed in incorporated U.S. government works.

Additional information is available upon request. This document may not be reprinted without permission.

RJL is a member of the Canadian Investor Protection Fund. ©2016 Raymond James Ltd.

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