2015 investor presentation june

TSXV: FPC | WWW.FALCORES.COM | 1TSXV: FPC | WWW.FALCORES.COM

REDISCOVERING THE ROUYN-NORANDA MINING DISTRICT

REBIRTH OF THE HORNE MINE

JUNE 2015 – TORONTO

TSXV: FPC | WWW.FALCORES.COM | 2

Disclaimer

This presentation contains a review of the Company’s properties in Canada. Viewers are cautioned that the projects are at an early stage of exploration and that estimates and projections contained herein are based on limited and incomplete data. More work is required before the mineralization on the projects and their economic aspects can be confidentially modeled. Therefore, the work results and estimates herein may be considered to be generally indicative only of the nature and quality of the projects. No representation or prediction is intended as to the results of future work, nor can there be any promise that the estimates herein will be confirmed by future exploration or analysis, or that the projects will otherwise prove to be economic.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the accuracy or adequacy of this presentation, which has been prepared by management. There can be no assurance that any of the assumptions in the resource estimates will be supported by a Pre-feasibility or Feasibility Study or that any forward looking event will come to pass. The data is incomplete and considerable additional work will be required to complete further evaluation, including but not limited to drilling, engineering and socio-economic studies and investment.

This presentation contains information with respect to adjacent or similar mineral properties in respect of which the Company has no interest or rights to explore or mine. Readers are cautioned that the Company has no interest in or right to acquire any interest in any such properties, and that mineral deposits on adjacent or similar properties are not indicative of mineral deposits on the Company’s properties. Past performance is no guarantee of future performance and all investors are urged to consult their investment professionals before making an investment decision. Investors are further cautioned that past performance is no guarantee of future performance

Forward-Looking StatementsCertain information included in this presentation constitutes forward-looking statements, including any information as to our projects, plans and future performance. All statements, other than statements of historical fact, are forward-looking statements. The words “expect”, “believe”, “anticipate”, “will”, “intend”, “estimate”, “forecast”, “budget”, “schedule” and similar expressions identify forward-looking statements. Forward-looking statements are necessarily based upon a number of factors and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements.

Such factors include, but are not limited to: changes to current estimates of mineral reserves and resources; labour availability; litigation; availability of and increased costs associated with contractors and exploration equipment; the speculative nature of mineral exploration and development, including the risks of obtaining necessary licenses and permits; contests over title to properties; uncertainty with the Company’s ability to secure capital to execute its business plans; changes in national and local government legislation in Canada; risk of loss due to sabotage and civil disturbances; risks arising from holding derivative instruments; and business opportunities that may be pursued by the company. Many of these uncertainties and contingencies can affect our actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, us. Readers are cautioned that forward-looking statements are not guarantees of future performance.

The company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law.

Cautionary Note to U.S Investors Concerning Measured, Indicated and Inferred Resources

This presentation uses the terms “measured,” “indicated” and “inferred resources. We advise investors that while those terms are recognized and required by Canadian regulations,the United States Securities and Exchange commission does not recognize them. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility orother economic studies. United States investors are cautioned not to assume that all or any part of measured or indicated mineral resources will ever be converted into mineralreserves. United States investors are also cautioned not to assume that all or any part of an inferred mineral resource exists, or is economically or legally mineable.

CAUTIONARY STATEMENT


2.8 MILLION GOLD EQUIVALENT OUNCES OF INFERRED RESOURCES (43-101)*

ROUYN-NORANDA, QUEBEC

* SEE APRIL 17, 2014 FALCO PRESS RELEASE


FALCO – A QUALITY GOLD DEVELOPER

INVESTMENT THESIS

ROBUST INITIAL ASSET IN HORNE 5

DESIRABLE & STRONG LAND POSITION IN

THE ABITIBI

EXPLORATION TARGETS TO DRIVE FURTHER

VALUE

GOOD CONSOLIDATION PROSPECTS

LOW POLITICAL RISKFLEXIBLE BALANCE

SHEET

EXPERIENCED MANAGEMENT WITH TECHNICAL EXPERTISE

STRONG SHAREHOLDER

BASE


Capital Structure

Shareholder Registry

Osisko Gold Royalties 11.4%

Goodman & Company 8.7%

Raymond James 5.3%

Pate Capital 3.9%

1832 Asset Management 3.1%

Quebec Funds 3.0%

Sentry 2.6%

Tocqueville 2.3%

Insiders (D&O) 5.0%

Shares Outstanding (basic) 95,085,657

Stock Options 7,383,890

Warrants 7,235,083

Shares Outstanding (fully diluted} 109,704,630

Cash (March 31, 2015) C$7,436,098

CORPORATE SUMMARY

A NEW DEVELOPMENT VEHICLE IN THE ABITIBI

Share Price Performance

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29-Oct-13 29-Jan-14 29-Apr-14 29-Jul-14 29-Oct-14 29-Jan-15 29-Apr-15

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• 2nd LARGEST GOLD PRODUCER IN CANADA

• ONE OF THE LOWEST FISCAL POLICY IN CANADA

• 6TH SPOT IN THE 2014 FRASER RANKING FOR INVESTMENT ATTRACTIVNESS

• HEALTHY & EXISTING MINING CULTURE

• STRONG & EXPERIENCED LABOUR POOL

• GOVERNMENT SUPPORT AND ESTABLISHED PERMITTING PROCESS

LOW POLITICAL RISK

QUEBEC’S COMPETITIVE ADVANTAGE


Larder Lake13 Moz Au

Kirkland Lake24 Moz Au

Timmins71 Moz Au

Rouyn-Noranda19 Moz Au

Malartic14 Moz Au

Bousquet21 Moz Au

Lennox Creek Fault Zone

Porcupine Destor Fault Zone

Cadillac Fault Zone

ONTARIO

QUEBEC

Rouyn-Noranda

Timiskaming Sediments

Cobalt Plate

Felsic Intrusive

Kap High

Mafic/Ultramafic Volcanics

Geology

Val d’Or14 Moz Au

Major gold mining camp

• 50 current and former gold and base metal mines in the Rouyn-Noranda camp

• Rouyn-Noranda camp has produced 19 Moz of gold and 2.9 Blbs of copper, but underexplored for gold

0 25 50 75 100Kilometres

SOUTHERN ABITIBI GREENSTONE BELT

OVER 100 YEARS OF MINING HISTORY


City of Rouyn-Noranda

Glencore Smelter

Horne Mine

Quemont Mine

Falco Surface Rights

Horne West

Located in an Industrial Park

HORNE PROJECT

LOCATED NORTH OF THE CITY


Initial production

• Horne mine operated for over 50 years

• Since 1976, focus had been on the Horne smelter (Glencore)

• What has changed: higher gold price, bulk underground mining & new exploration techniques

End of Mining(2.5 Blbs Cu & 11.5 Moz Au)

Falco acquires properties(Sep 2012)

Discovery of Horne Mine

Digitization & compilation of Horne historical drill results

(Aug 2013)

NI 43-101 Horne 5 resource estimate

(Mar 2014)

1923 1927 1976 1985 2012 2013 2014

Remnant mining(102,000 oz Au)

History of Horne

$2.2M Regional Exploration (Jun 2014)

HORNE PROJECT

38 YEARS LATER


• Inferred resource estimate from historic drilling

Open at depth and along strike

Discovery costs of <$0.25/oz Au

• 1km strike length; 40-120m thick; 1,700m vertical extent

• En echelon stacked tabular body; well defined metal zonation (gold, copper, zinc)

• Extensively developed (1930s to 1960s)

4,386 drill holes at 15m spacing (305,000m)

40 working levels & 55km of underground development

HORNE PROJECT

MAIDEN RESOURCE ESTIMATE


ENV_B

ENV_C

ENV_D

NSR Assumptions and Parameters • Maiden resource of 2.8 Moz AuEq at 3.4 g/t

• Opportunity to increase the resource: Conservative NSR & base metal payabilities Silver content not considered

Commodity Payable Metal

Metal Price ($US)

Gold 87% $1,300.00

Copper 65% $3.30

Zinc 37% $0.95

Resource Class

Cut-off (NSR $C)

Tonnes(Millions)

AuEq(g/t)

Au(g/t)

Cu(%)

Zn(%)

Contained AuEq (Moz)

Contained Au (Moz)

Contained Cu (Mlbs)

Contained Zn (Mlbs)

Inferred

>50 67.6 2.48 1.8 0.17 0.72 5.4 4.0 261 1,073

>60 50.4 2.75 2.1 0.19 0.73 4.5 3.3 214 814

>70 35.9 3.07 2.3 0.21 0.72 3.5 2.7 168 573

>80 25.3 3.41 2.6 0.23 0.70 2.8 2.2 131 393

>90 17.9 3.77 3.0 0.26 0.69 2.2 1.7 102 272

>100 12.8 4.17 3.4 0.28 0.67 1.7 1.4 79 190

>110 9.5 4.57 3.7 0.30 0.66 1.4 1.1 63 138

Exchange Rate: CAD/USD = 1.05

HORNE PROJECT

RESOURCE ESTIMATE – UPSIDE OPPORTUNITIES


Goldex(Agnico-Eagle)

Young-Davidson(AuRico)

LaRonde(Agnico-Eagle)

Horne 5 **(Falco)

Resource Grade (g/t AuEq) 1.8 2.8 5.1 3.4

Mining Method Long hole Transverse long holeLongitudinal Retreat /

Transverse Open Stoping

Long hole **

Depth (m) 800 - 1,500 750 - 1,500 2,000-3,000 600 - 2,300

Stope Size 15-38 x 30 x 50 20-25 x 20 x 30 5-25 x 15 x 30 20 x 20 x 30 **

Mining Rate 5,100 tpd 8,000 tpd * 7,200 tpd >8,000 tpd **

Operating Cost/NSR $41/t * $53.50/t * $95/t Under review

Annual Production (koz) 71,000 * 200,000 * 230,000 * Under review

* Projected life-of-mine (LOM)

** Horne 5 tonnes and grades per 43-101 report; balance is conceptual

Horne 5 $80 NSR Cutoff in Maiden 43-101 Resource Estimate Under Review

Source: Company website and filings

COMPARABLE MINE ANALYSIS

HIGH MARGIN POTENTIAL


Longitudinal – La Ronde – 2012Longitudinal – Horne 5

2 000

meters

2 000

meters

• High grade gold VMS

• Open at depth

• Similar geometry

• Bulk tonnage mining

HORNE PROJECT

LARONDE SIMILARITIES

Similarities with Agnico’s LaRonde mine located 40 KM away from Horne deposit


• 16,000m surface drill program 9 holes, 9 wedge holes Metallurgical testing Updated NI 43-101

• Primary objectives of confirmation drilling: Upgrade resource category from Inferred to

Indicated Confirm metallurgical parameters (improve

payability) Confirm historic silver grades of >15 g/t

• Targeted Results Increase tonnes by >30% Increase AuEq to >3.5 Moz

• $3.7M cost; Completion by H2 2015

N S

HORNE PROJECT

CONFIRMATORY DRILL PROGRAM – HORNE 5


1 800m

600m

600m

Longitudinal view – Looking to the North

16 000 meters of drilling 9 holes 9 wedges

Program Status: Over 7,000 meters drilled Completed 3 holes and 3

wedges

HORNE PROJECT

CONFIRMATORY DRILL PROGRAM – HORNE 5

2A TargetH5-15-01: Hole completed H5-15-05: Hole in progress

Hole position

600m

3I

2C

2H

2A

2G

1E

1B

2D

1F

H5-15-01H5-15-01AtwH5-15-02

H5-15-02Atw

H5-15-03-A-BH5-15-03Ctw

1 800m

1 200m

600m

600m

H5-15-05

H5-15-01: Completed HolesH5-15-05: Current Drilling

2A Targets

Targeted intersections


Drilling in progress and completed (04/20/2015)

Looking NE

HORNE PROJECT

2015 DRILL PROGRAM – HORNE 5

H5-15-01

H5-15-01A

HorneQuémont

H5-15-02

Horne 5

H5-15-03B

H5-15-03Ctw

H5-15-05


1110.4m

Mineralized Zones Hole H5-15-01

HORNE PROJECT

2015 DRILL PROGRAM – HORNE 5


HORNE PROJECT

CONFIRMATORY DRILL PROGRAM – DRILL LOCATION

Site #1(B,F)

Site #2(A,C,D,E,G,H)

Site #3(I)

Drill site #1

Drill site #2

• 3rd Drill currently being mobilized


Highly Prospective Land in a Top Jurisdiction

• 13 former mines on 740 km2 of Falco properties

• Over 80 years of data archives

• Great land package with several high potential green and brown field prospects

LAND PACKAGE

DOMINANT POSITION IN ESTABLISHED CAMP

Balmoral 700 km

Lake Shore Gold 182 km

Niogold 125 km

Eastmain Resources 125 km

Eagle Hill 124 km

St. Andrews Goldfields 120 km

Integra Gold 30 km

Falco Resources 740+ km


Potential to increase Mineral Resources in the Horne Complex

• 11 gold targets within the shadow of the old mines

• Identified potential Horne West extension at depth

HORNE PROJECT

ADDITIONAL TARGETS IN THE HORNE COMPLEX


Horne West Gatehouse

Au g/t

• Several near-surface mineralized zones close to Horne

• Drilled by Noranda but smelter sought higher copper values

• Would provide early cash flow during production ramp-up

• Horne West mineralization believed to extend from surface to 1,500m

Horne 5Deposit

HorneMine

Possible Extension

HORNE PROJECT

NEAR SURFACE TARGETS


Background

Previously Untested

• Cu-Zn-Au property, located 25km northwest of Rouyn-Noranda

• One of the most significant VMS properties in the Camp

o Lithogeochemically similar to Horne Complex rocks

• Falco identified near-surface conductors related to stratigraphy with the chemical characteristics of Horne Complex

• Over 2km of laterally extensive exhalative sequence, akin to VMS systems

• Several Zn-rich anomalies

o Consistent with lateral placement to VMS mineralization

Distribution Map of High Probability “Horne Type” Samples

Rimo

Horne Complex

RIVIERE MOUILLEUSE (RIMO)

SIMILAR SIGNATURE TO HORNE


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Gra

de A

uE

q (g

/t)Conta

ined A

uE

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Source: Company Reports

(1) Underground operations only

Compares favourably to other modern bulk underground mines

Producer

Developer

Grade

High grade for bulk underground mining

operation

HORNE PROJECT

GOOD GRADES FOR BULK MINING


0

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3,500

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e D

epth

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Resource Depth of Regional Mine Comparables(West to East)

Source: Company Reports

Mined out

Horne 5

HORNE PROJECT

HORNE MINE NOT DEEP


CORPORATE TIMELINE

First Half of 2017

• Full Feasibility Study

•Construction Decision

2016

• Significant Infill Drilling Program from surface

• Initiate dewatering program

2nd

Quarter 2016

• Initial PreliminaryEconomicAssessment

November-December

2015

•New 43-101 Resource Estimate

Summer 2015

•Metallurgy

•Hydrology

•Geotechnical

•Environment

•Engage with community and all stakeholders

January to August 2015

•16,000 meters Confirmatory Drilling Program


CORPORATE OBJECTIVES

COMPLETE CONFIRMATORY DRILL PROGRAM BY THE END OF

SEPTEMBER

INITIATE PRELIMINARY

ECONOMIC ASSESMENT BY

THE END OF 2015

CONTINUE ACQUISITION AND EXPLORATION OF

KEY ADJACENT PROPERTIES

EXPAND CURRENT SIZE OF DEPOSIT

AND TARGET NEAR SURFACE ZONES


Sean Roosen, Chairman• Chairman & CEO of Osisko Royalties

Luc Lessard, President & CEO, Director• Former COO of Canadian Malartic Partnership• Former COO and Senior Vice-President of Engineering

& Construction for Osisko Mining • Former Vice-President of Engineering & Construction

for Iamgold• Former Executive Director of Engineering &

Construction for Cambior

Jim Davidson, Director• Co-Founder of Falco Resources• Former CFO of Western Minerals Group

Claude Ferron, Director• Former COO of Xstrata Copper Canada

Paul Henri-Girard, Director• Former Vice-President of Canadian Operations at

Agnico Eagle Mines

Luc Lessard, President & CEO, Director• Former COO of Canadian Malartic Partnership• Former COO and Senior Vice-President of Engineering &

Construction for Osisko Mining • Former Vice-President of Engineering & Construction for Iamgold• Former Executive Director of Engineering & Construction for

Cambior

Vincent Metcalfe, CFO• Former mining investment banker

Claude Bernier, Exploration Manager• Over 40 years of experience on various exploration projects

Claude Léveillée, Vice-President Community Relations & Human Resources• Former Corporate Director, Human Resources/Organizational

Development at Agnico Eagle Mines

SENIOR LEADERSHIP TEAM

Board of Directors Officers


Executive Office

Falco Resources Ltd.

1100, avenue des

Canadiens-de-Montréal

Bureau 300

Montréal, QC H3B 2S2

Tél. : +1.514.940.0670

Toll Free : +1.888.915.2009

Courriel : [email protected]

Investor Inquiries

Vincent Metcalfe

Tel: +1.514.940.0670 x193

Email: [email protected]

CONTACT US

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