Corporate Profile

Amarillo Gold Corporation is advancing two gold projects in Brazil, where we have a strong social license to operate. Both are in mining-friendly states, and close to excellent infrastructure.

Our flagship asset is our development stage Posse Gold Project on our Mara Rosa Property in the State of Goiás. A positive feasibility study shows that Posse has a 10-year mine life at an AISC to produce gold of US$706 per ounce. With mineralization eight kilometres northeast of the deposit, which is open at depth, there are many opportunities to expand the resources at Mara Rosa and add to Posse’s mine life.

Using a gold price of US$1,400 per ounce and a foreign exchange rate of 4.3:1 for the Brazilian real to the U.S. dollar, the project has an after-tax internal rate of return of 25%, an after-tax payback of 2.6 years, and a net present value of US$183 million. We are finalizing our construction debt financing and received the License to Install in February 2021, which allow us to start construction.

Our second asset is its exploration stage Lavras do Sul Project in Grande do Sul State. It has more than 22 projects centred around historic gold workings.

We are led by a team mine-builders with experience in project management in both Canada and Brazil. We have approximately C$50 million in cash, 382.1 million shares outstanding, and a market cap of approximately $113 million. The board and management team own approximately 6% of the shares outstanding. We are covered by Stuart McDougall of Mackie Research Capital and Justin Chan of Sprott Equity Research.

February 2021