2
This presentation contains "forward-looking statements" within the meaning of applicable securities laws, including statements relating to life ofmine production plans, exploration plans and the growth and strategy of Mandalay. Actual results and developments may differ materially fromthose contemplated by these statements depending on, among other things: exploration results or production results not meeting management’sexpectations; capital, production and operating cost results not meeting current plans; and changes in commodity prices and general market andeconomic conditions. The factors identified above are not intended to represent a complete list of the factors that could affect Mandalay. Adescription of additional risks that could result in actual results and developments differing from those contemplated by forward lookingstatements in this news release can be found under the heading “Risk Factors” in Mandalay’s annual information form dated March 31, 2017 andin its final prospectus dated July 18, 2016, copies of which are available under Mandalay's profile at www.sedar.com. Although Mandalay hasattempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can beno assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from thoseanticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
Quality Control and Assurance
Quality control and assurance programs are implemented in line with the standards of National Instrument 43-101.
The exploration programs at Costerfield and Björkdal are supervised by Chris Gregory (Member, Australian Institute of Geoscientists, VP ofOperational Geology for Mandalay and a “Qualified Person” as defined under National Instrument 43-101. Mr. Gregory regularly visits Costerfieldand Björkdal, and supervises the collection and interpretation of scientific and technical information contained in this presentation.
The exploration programs at the Cerro Bayo and Challacollo projects are supervised by Scott Manske, Chief Cordilleran Geologist of MandalayResources, and an Oregon registered Professional Geologist. A “Qualified Person” as defined by NI 43-101, he has reviewed and approved thetechnical and scientific information on these projects contained in the presentation.
Dr. Mark Sander (Member: AusIMM), President and CEO of Mandalay, has visited the Costerfield, Cerro Bayo, Challacollo, and Björkdal andhas supervised the preparation of this presentation.
All currency references in US$ unless otherwise indicated.
Forward-looking Statements
3
A Values-Based and Value-Focused Company
WE ARE SUCCESSFUL WHEN:
Our employees live and work safely and experience the
personal satisfaction that comes with high performance
and recognition
The communities in which we operate value our
presence
Our environmental impact is minimized and causes no
permanent harm
We have a large, diversified set of customers who are
delighted with and compete for our products
Our shareholders realize a superior total return on their
investment and support our corporate values
Our values are visibly demonstrated by strong local
management, at the point of impact with our stakeholders,
and coordinated across the Company for maximum effect
4
Designed for Value: How We are Different
Acquire only when we see possibility of an immediately accretive transaction with
strong value uplift in 3-5 years
Target cash cost of production: 50% of ‘reversion to mean’ metal price
100% ownership; no private royalties, no streams
Flat, virtual, low-cost organizational structure; local GM accountability
Direct relationships and sales contracts with customers
Return cash to shareholders when possible
No hedging of metal prices
Stingy with equity
Reasonably levered
(PRODUCTION SUSPENDED)
5
1.7
32
79.967.7 64.4 68
50.9
-0.8
30.6
61.275.9
52.4
73.4
53.7
20.6
92.2
171.8
166.9
184.6194.5
185.51,224
1,570
1,670
1,411
1,2651,160 1,248
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
-50
0
50
100
150
200
250
2010 2011 2012 2013 2014 2015 2016
1. The Company defines EBITDA as earnings before interest, taxes and non cash charges/ (income). EBITDA should not be considered by an investor as
an alternative to net income or cash flow as determined in accordance with IFRS – EBITDA figures reflect adjusted EBITDA, please see the Company’s
Management’s Discussion and Analysis.
Mandalay Acquisition Timeline
2009
• Costerfield, Australia
• Gold & Antimony
2010
• Cerro Bayo, Chile
• Silver & Gold
2014
• Challacollo, Chile
• Silver & Gold
2014
• Björkdal, Sweden
• Gold
• No acquisition
• Optimize operations
• Pay down debt
• Exchange warrants
• Begin dividends
2011-2013
Revenue EBITDA Cash from Operations Gold Price
Mandalay Financial Performance 2010-2016
Results: Consistent Performance Across the Price CycleU
S$ M
M
Go
ld P
rice (
US
$)
6
Based on Matched Production and Reserves Growth
With Continuing Capital and Overhead Spending Discipline
15,854 63,351
107,941 126,908
154,810 166,679
114,000-128,000254,000
520,000 633,000
772,000
1,123,000
1,054,000 1,024,000
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
0
50,000
100,000
150,000
200,000
250,000
300,000
2010 2011 2012 2013 2014 2015 2016 2017E
Oz A
u E
q.
Ye
ar-
En
d R
es
erv
es
Oz A
u E
q.
An
nu
al
Pro
du
cti
on
145,497
12.8
24.9
35.9 34.4
40.3 39.5
29.5
810
392333
271 260237 203
- 100
200
300
400
500
600
700
800
900
2010 2011 2012 2013 2014 2015 2016-
5.0
10.0
15.0
20.0
25.0
30.0
35.0
40.0
45.0
CapexspendingperozAuEq.$/oz
Capexspending($m)
Mandalaycapitalspendingatoperatingmines(excludingexploration)
3.6 3.4
5.3 5.1
6.7
4.44.8
224
54 49 40 4426 33
-
50
100
150
200
250
2010 2011 2012 2013 2014 2015 2016- 1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
OverheadspendingperAuEq.$/oz
Overheadspending($m)
Mandalaycorporateoverheadspending
Acquisition
7
0
50
100
150
200
250
300
2010 2011 2012 2013 2014 2015 2016
US
$/o
z A
u E
q. P
&P
Ad
de
d
Mandalay cost of acquiring and discovering reserves
Cumulative Cost per oz Au Eq. Acquired or Discovered
Cost Per oz Au Eq. Discovered in yr
Cost Per oz Au Eq. Acquired in yr
And Adding Reserves Cost-effectively
2016 metal price assumptions: $1,202/oz Au, $16.87/oz Ag and $6,820/t Sb
1. Source: BMO
Acquisition + Exploration
adds at cumulative average
$79/oz Au Eq. (for
developed & producing
reserves)
Cerro BayoBjörkdal
Median for all Au sector acquisitions
2012 – 2016 = $254/oz Au Eq.(1)
8
Creating and Delivering Value for Shareholders
$0
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
$14,000,000
Dividends Paid (USD)*
6% of revenues (dividend contribution)
A $10,000 investment on Sept. 24, 2009
would be worth on Sept. 19, 2017(1-4):
• Mandalay: $23,373
• Peer Index: $12,894
• Gold Seniors: $7,645
Record
Dividends
Since 2009, Mandalay has returned cash to
shareholders via:
• Warrant redemptions
• Share buybacks
• Dividends
(1) Adjusted for reinvested dividends. Assumes investment in Mandalay made as part of private placement announced on 24-Sep-09 to fund acquisition of Costerfield and accounts for
warrant exchange offer of 0.47 shares per warrant. (2) Peer Index: Alacer, Argonaut, Dundee PM, Kirkland Lake, Klondex, Perseus, Primero, Richmont. (3) Gold Seniors: Agnico Eagle,
AngloGold, Barrick, Goldcorp, Gold Fields, Kinross, Newcrest, Newmont, Polyus, Randgold. (4) End date as at Sept 19, 2017.
*Annual cash dividend paid quarterly, based on 6% of the Company’s trailing quarter’s gross revenue and the future cash requirements of the Company
0.0
5.0
10.0
15.0
20.0
25.0
$0
$20,000
$40,000
$60,000
$80,000
$100,000
Sep-09 Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15 Sep-16
Volu
me (
mill
ions)
Invest
ment
Valu
e
Mandalay(1) Peer Index(2) Gold Senior(3)
Total Return vs. Peers and Seniors through Sept. 19, 2017
Dividend
Suspended
9
Major Shareholders(1)
Holders Shares (Million) Shares (Percentage)
GMT Capital 72.6
Ruffer LLP 56.5
CI Investments 46.1
AzValor 31.8
Plinian + Management + Directors 30.5
Large Holders (Top-5) 237.5
Other Holders 213.8
TOTAL 451.3
16.1%
12.5%10.2%
7.0%
6.8%
47.4%
Broader Ownership and Higher Liquidity Over Time
Analyst Coverage
Firm Analyst
BMO Brian Quast
Raymond James Chris Thompson
Scotia Trevor Turnbull
Volume
30-day Average Daily Volume 859,264
100-day Average Daily Volume 1,076,243
Average Daily Volume across all trading platforms (as of September 19, 2017)
1. Known ownership positions are estimates - as at September 18, 2017 - Ownerships and percentages rounded to one decimal place.
1. Exercise Price: C$0.60 – C$1.13 expiry dates ranging from Mar 18, 2018 – Jun 30, 20242. Market Capitalization converted to US$ using exchange rate of 1 CAD = 0.79 USD (Nov. 8, 2017)
3. Cash and Cash Equivalents and Interest-Bearing Debt as at end of Q3-2017 (Sept 30, 2017)
10
Strong Balance Sheet as of Sept 30, 2017
Millions
(Except Share Price Info)
Share price (Nov. 8, 2017 - close) (C$) $0.315/shr
Shares Outstanding 451.3
Stock Options(1) 21.1
RSUs 0.7
Fully Diluted Shares Outstanding 473.1
Market Capitalization (C$) $142.2
Cash and Cash Equivalents (US$)(3) $24.8
Total Interest-Bearing Debt (US$)(3) $39.6
Total Enterprise Value (US$)(2,3) $126.5
Mandalay secured US$40 million revolving credit facility July 25, 2017
US$25 million undrawn
Mandalay is well-capitalized to fund its capital plans and acquisitions
11
Björkdal Gold Mine: Investment Thesis Demonstrated
Land package 12,949 hectares
Ownership 100%
P&P Reserves(1) 10,600,000 t @ 1.68 g/t Au for 574 koz
2016 Production 48,143 oz Au
Key for 2017:
Grade control working properly and debottlenecking mine
operations has increased rate of delivery of high-grade ore
Phase 1 of low-grade ore sorting program (crushing and screening)
implemented with 50% grade upgrade; design and detailed
engineering for Phase 2 complete
Flotation expansion project completed on time and on budget,
performing as planned (1.7% recovery increase)
Continued exploration success
(1) Source: Roscoe Postle Associates, Effective September 30, 2016, documented in an independent NI 43-101 Technical Report filed Jan. 27, 2017
12
Björkdal Operating Performance and Improvements
$0$5$10$15$20$25$30$35
0
100,000
200,000
300,000
400,000
Q4-14 Q2-15 Q4-15 Q2-16 Q4-16 Q2-17
$/
Ton
ne
Ton
ne
s P
er Q
ua
rter
Mining Rate and Unit Cost
t Mined Cost/ t Mined
$0
$2
$4
$6
$8
$10
0
100,000
200,000
300,000
400,000
Q4-14 Q2-15 Q4-15 Q2-16 Q4-16 Q2-17
$/
Ton
ne
Ton
ne
s P
er
Qu
arte
r
Processing Rate and Unit Cost
t Processed Cost/ t Processed
Björkdal Operational Improvements:
Record High Rate Record Low Cost
Introduced best practice mapping, drilling,
sampling, and modelling of high nugget-effect
gold deposits
Produced a more refined resource model to
support more selective underground & open pit
mining techniques
Established a local assay lab for faster grade
control turnaround
Increased grade of mill feed through more
selective underground and open pit mining at an
increasing rate (making up for discarding waste)
Implemented crushing and screening of low-
grade ore for 50% grade improvement
Flotation expansion completed on time and on
budget
Pilot test and detailed engineering for optical
ore sorting$0
$500
$1,000
$1,500
0
5,000
10,000
15,000
20,000
Q4-14 Q2-15 Q4-15 Q2-16 Q4-16 Q2-17 $/
oz
Au
Ou
nce
s G
old
Pe
r Q
uar
ter
Saleable Gold Produced and Unit Cost
Au oz Cost/ oz Au
13
Björkdal Debottlenecking: Lifted Mill OutputConsistently-delivered higher-grade ore results in demonstrated higher production
0
0.5
1
1.5
2
2.5
3
3.5
-
5,000
10,000
15,000
20,000
25,000
30,000
g/t
Au
Pro
ce
sse
d
To
nn
es p
roce
sse
d
Björkdal plant throughput – tonnes and grade
Throughput - tonnes Throughput - grade
Consistent tonnes processed each week
75
80
85
90
95
100
-
500
1,000
1,500
2,000
2,500
Au
re
co
ve
ry %
Sa
lea
ble
Au
oz
pro
du
ce
d
Björkdal processing output and recovery – saleable ounces
Throughput - Saleable ounces Throughput - Recovery
(Before commissioning of flotation expansion in early July)
Output - Saleable ounces Au
14
Björkdal: Recent Open Pit & Underground Intercepts Extending Open Pit
Mineralization to NorthExtending Underground
Mineralization to North East
Infilling Underground
Mineralization to East
Infilling Underground
Mineralization to North
Together with H2 2016 results,
expect significant addition of
Mineral Resources and
Reserves in Q4 update
15
Emerging High-Grade Skarn Intercepts at Björkdal
Continuous
volumes of skarn
Smaller shoots of
high-grade within
skarn
A few ‘000 tonnes
of high-grade
skarn mined and
processed in Q2
with both high
reconciled grades
and good recovery
16
Costerfield Gold-Antimony Mine:Turnaround Complete; Dependable Performance
Land package 1,293 hectares
Ownership 100%
P&P Reserves(1) 619,000 t @ 6.5 g/t Au; 2.8% Sb
2016 Production 41,310 oz Au, 3,598 t Sb
Key for 2017:
May 2017 – Completed the capital development to access near-mine
shoots and support next few years of production
July 2017 – Completed tailings lift construction for current LOM tailings
September 2017 – Positive initial results of low-cost aquifer injection test
End 2017 – Expected end of year 2017 Mineral Reserve increases at
Brunswick and further exploration upside (expected release Feb. 2018)
(1) Source: SRK Consulting (Australia), Effective December 31, 2016, documented in an independent NI 43-101 Technical Report filed March 31, 2017
17
Costerfield Operational Improvements:
Record High Rate Record Low Cost
Improved mine output/mill throughput from
170 tpd to 450 tpd (capped by grid power
and site grinding capacity)
Changed mining method from cut-and-fill to
blast-hole stoping with cemented rock fill
(greater production, lower unit costs)
Increased sub-level spacing from 5 to 10 m
Introduced contract capital development for
faster and lower cost results
Replaced mechanized mining fleet
Introduced mobile crusher to decrease
particle size of mill feed (better recoveries,
higher throughput)
Grew mine life from zero reserves to roughly
4 years while mining continuously for 7
years – discovered Cuffley and N-lode
Costerfield: Continuous Improvement
$0
$100
$200
$300
$400
0
20,000
40,000
60,000
Q4-09(Dec. only)
Q4-10 Q4-11 Q4-12 Q4-13 Q4-14 Q4-15 Q4-16
USD
/ To
nn
e
Ton
nes
Pe
r Q
uar
ter
Mining Rate and Unit Cost
t Mined Cost/ t Mined
$0
$50
$100
$150
0
20,000
40,000
60,000
Q4-09(Dec.only)
Q4-10 Q4-11 Q4-12 Q4-13 Q4-14 Q4-15 Q4-16
USD
/ To
nn
e
Ton
ne
s P
er
Qu
arte
r
Processing Rate and Unit Cost
t Processed Cost/ t Processed
$0
$1,000
$2,000
$3,000
0
5,000
10,000
15,000
20,000
Q4-09(Dec. only)
Q4-10 Q4-11 Q4-12 Q4-13 Q4-14 Q4-15 Q4-16
USD
/ O
z A
u E
q.
Ou
nce
s P
er
Qu
arte
r
Au Equivalent Production and Unit Cost
Oz Au Eq. Cost/ Au Eq. Oz
18
Brunswick Resource Enlarged by Recent Drilling
Ready for Mineral
Resource and Reserve
estimation in Q3/Q4
19
Emerging Costerfield Deeps High-Grade Shoot
Emerging mineralized shoot
below historic workings
Very high-grade gold
• 60 to >100 g/t Au
At least:
• 400 m on strike
• 100 m vertical
Open
20
Cerro Bayo Silver-Gold Mine: Optimizing the FutureLand package 23,106 hectares
Ownership 100%
P&P Reserves(1) 979,000 t @ 282 g/t Ag; 2.29 g/t Au
Project Status:
Currently on care and maintenance
Inundation event at Delia NW mine on June 9, 2017
Production suspended pending risk assessment (2-4 mo.) for restart
Independent root cause investigation report ongoing
Risk assessment on restart of Laguna Verde mines end-2017
No significant loss of reserves or Life of Mine production in long-term
Restart depends on receipt of the eight permits required for the LOM,
some of which have been in progress for many months
(1) Source: Roscoe Postle Associates, Effective December 31, 2016, documented in an independent NI 43-101 Technical Report filed March 31, 2017
BRANCATarget
MARCELA & RAUL VEINS (10 KM BEHIND VIEWPOINT)
Inundation
21
Cerro Bayo Operational Improvements:
Shifted the mining method from
shrinkage stoping to completely
mechanized blast hole open stoping;
Ramped up throughput from 0 tpd –
1,400 tpd from three mines
Installed flotation automation system to
maximize silver and gold recoveries
Extended mine life from 3 years at
1,200 tpd to 4 years at 1,400 tpd while
mining continuously for 6 years
Production suspended pending risk
assessment (2-4 mo.) and subsequent
permitting for restart. Mine on care and
maintenance
Record High Rate Record Low Cost
Cerro Bayo Operating Performance
$0
$50
$100
0
50,000
100,000
150,000
Q4-10 Q2-11 Q4-11 Q2-12 Q4-12 Q2-13 Q4-13 Q2-14 Q4-14 Q2-15 Q4-15 Q2-16 Q4-16 Q2-17
$/
Ton
ne
Ton
ne
s P
er Q
ua
rter
Mining Rate and Unit Cost
t Mined Cost/ t Mined
$0
$50
0
50,000
100,000
150,000
Q4-10 Q2-11 Q4-11 Q2-12 Q4-12 Q2-13 Q4-13 Q2-14 Q4-14 Q2-15 Q4-15 Q2-16 Q4-16 Q2-17
$/
Ton
ne
Ton
ne
s P
er
Qu
arte
r
Processing Rate and Unit Cost
t Processed Cost/ t Processed
$0
$5
$10
$15
$20
0
500,000
1,000,000
1,500,000
Q4-10 Q2-11 Q4-11 Q2-12 Q4-12 Q2-13 Q4-13 Q2-14 Q4-14 Q2-15 Q4-15 Q2-16 Q4-16 Q2-17
$/
oz
Ag
Ne
t B
ypro
du
ct
Oz
Ag/
Qu
arte
r
Saleable Silver Produced & Unit Cost
Ag oz Cost/ oz Ag net Au
22
Challacollo Silver-Gold Project 2017
Key for 2017:
May 2017 – Water sufficient to support eventual operation discovered
Permitting for production well in process
Option to optimize project for lower CAPEX
Land package 20,378 hectares
Ownership 100%
Location 130 km SE of Iquique, Chile
Indicated Resource 4.7 MM t @ 200 g/t Ag for 30 MM oz Ag
Elevation Approx. 1,500 ASL
23
Invest With Us: How We Will Deploy Your Capital1. Acquire new assets counter-cyclically – at discount to value
• Acquire only when we see possibility of an immediately accretive transaction with strong value
uplift in 3-5 years
• Keep portfolio evergreen – exit assets that do not fit
2. Execute focused operational improvement projects at each site
3. Apply relentless, disciplined financial management
• Restart Cerro Bayo with optimized, risk-assessed plan• Maintain good Björkdal performance; further upside includes complete commissioning of flotation
expansion; add optical sorting; extend mine life with exploration
• Extend Costerfield life with Brunswick lode if prudent and beyond with further exploration
• Optimize Challacollo feasibility with lower capital and operating costs
• Mining – projects focused on safer, more mechanised mining with higher extraction, lower dilution
and reduced cost
• Metallurgical – projects focused on higher recovery, higher availability, higher quality products with
higher payables and reduced costs
• Commercial – more diverse customers paying better terms
• Low cash cost and overheads for high EBITDA margins
• Low DD&A for high P&L margins – low acquisition cost, focused CAPEX & exploration
• Prudent, low-cost leverage to fund growth when needed
• Minimize shareholder dilution
• Compare all potential uses of cash to the benefits of returning cash to shareholders
4. Engage all stakeholders in a values-based and value-focused organization
TSX:MND
For more information, please contact:
Greg DiTomaso
Director, Investor Relations
Tel: 647.260.1566
Email: [email protected]
Company Website: www.mandalayresources.com
Twitter: @MandalayAuAg