Arctic Star Exploration | Investor Presentation | February 2019

1. TSX-V: ADD | FRA: A182.F
CORPORATE PRESENTATION
FEBRUARY 2019

2. These presentation materials (“the Presentation Materials”) are being supplied to you for information purposes only on Arctic Star. (the “Company”). These
Presentation Materials have been prepared by and are the sole responsibility of the Company. The Company have taken all reasonable care to ensure that
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directed at (a) persons who have professional experience in matters relating to investments being investment professionals as defined in Article 19(5) of the
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person who is not a Relevant Person or who does not have professional experience in the matters relating to investments should not act or rely on this
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2
CAUTIONARY STATEMENT ON FORWARD
LOOKING INFORMATION

3. 3
Scott Eldridge
DIRECTOR
Buddy Doyle
VP EXPLORATION,
DIRECTOR
Roy Spencer
COUNTRY MANAGER,
DIRECTOR
Patrick Power
PRESIDENT & CEO,
DIRECTOR
Thomas Yingling
DIRECTOR
Sean Charland
DIRECTOR
Bill Ferreira
DIRECTOR
Binny Jassal
CFO, DIRECTOR
BOARD OF DIRECTORS & MANAGEMENT

4. 4
ARCTIC STAR- CAPITAL STRUCTURE
Ticker TSX-V: ADD
Shares Issued 125,514,274
Options 12,043,750
Warrants 44,025,100
Total Shares Outstanding 181,583,124

5. 5
Rough Diamond price and demand rebounding
from record highs in 2011-2013.
Prices have now rebounded
 Indian currency crisis has worked
itself through
 Indian Banks have replaced the
Antwerp banks as debt providers for
rough diamond collateral
 USA & China demand rebounded
WORLD DIAMOND ROUGH PRICES ↑

6. 6
WORLD DIAMOND PRODUCTION FORECAST ↓
The world consumes 127 million
carats of rough diamonds per year.
That’s equivalent to the reserve of a
medium size diamond mine per year.
Argyle diamond mine is scheduled to
close 2020.
Udachnya and Mir diamond mines
have recently closed.
Very little global diamond exploration
since the 2008 GFC.
No new significant discovery since
1990’s.
Source: Bain & Company 2018

7. 7
No. of Players
Top 5 Control
70%
~100 ~5,000 ~10,000
35% of Market
Controlled by
largest
Retailers
Margins 22-24% 1-3% 2-4% 9-11%
$US Value
$16B per
annum
$25B per
annum
$87B per
annum diamond
Component
$176B total
jewelry
Production Sales
Cutting
and
polishing
Sales
Jewelry
manufacturing Retail
Rough Diamonds Polished Jewelry
Source: Bain & Consulting 2018
DIAMOND PIPELINE – PRODUCERS HAVE
THE HIGHEST PROFIT MARGINS

8. 8
FINLAND TIMANTTI – DIAMOND EXPLORATION

9. 9
MULTI BILLION DOLLAR
DIAMOND MINE DISCOVERY
Buddy Doyle (Photo above) leader of the exploration team
that discovered the Diavik Diamond Mine in Canada.
Diavik has produced over 100 million carats since 2003.
Diavik is operated by Rio Tinto and sold 40% to the
Washington Group for $1.2B.
DIAVIK MINE

10. Roy Spencer (Photo above) led the team that
discovered the Grib Diamond Mine in Russia, the 8th
largest diamond mine in the world. Same geological
belt as our Timantti diamond project.
Otkritie Industrial Investments purchased Grib for
1.45B. AGD Diamonds recently consolidated with
Otkritie for a 100% stake in Grib Diamonds 2018.
10
MULTI BILLION DOLLAR
DIAMOND MINE DISCOVERYGRIB MINE

11. 11
REGIONAL TILL SAMPLE – MORE TO BE FOUND
Arctic Star and previous workers
have found numerous diamond
indicator minerals in the till samples
Red dots are indicator minerals, the
large the dots have more indicators
Topo map in purple shade are our
exploration reservations
Blue boxes show areas for follow-up
Indicator distribution suggest more
kimberlite sources to be found
Most of the exploration reservations
are unsampled
Till data a compliation from 2005 AGM European diamond power point & Arctic Star data.
Wolves
Vasa
Kuusamo

12. 12
Finland Was Ranked as World’s
#1 Mining Jurisdiction in the world
by the Fraser Institute 2018.
100% Interest 243 Ha Exploration
Permit near the town of Kuusamo.
No Royalties.
District Scale Land Package:
193,700 Hectares or Exploration
Reservation.
Same Geological belt of rock as
Grib & Lomonosov. Both Mines
Are Multi Billion Dollar Producers.
TIMANTTI FINLAND – A NEW KIMBERLITE FIELD

13. 17km away from Kuusamo, 400m
off the highway
Bus stop 2km from the property
Grid Power
Easy to excavate & drill. As little
as 1-3m of Overburden
13
TIMANTTI – WORLD CLASS INFRASTRUCTURE

14. 14
4 Diamond Bearing Kimberlites Discovered
Ground Geophysics Complete: Magnetic, Gravity
and EM Surveys
Excavator Till Sampling: 20 Samples ~50lbs
Drilled Approximately 600m
TIMANTTI HISTORY – 2018 WORK PROGRAM

15. 15
Vasa
Dykes
White, Black, &
Grey Wolf
Kimberlites
TIMANTTI – KIMBERLITE FIELD DISCOVERY

16. 16
Exploration Reservation 193,700 Ha
Covers the extent of the large
kimberlite indicator plume known
from the Russian border.
Public data thought to outline the
extent of Timantti project kimberlite
field.
KUUSAMO
ARCTIC STAR
ARCTIC STARFINLAND
RUSSIA
ICE DIRECTION AND
LOCATION OF
BORDER INDICATOR
ANOMLAIES
KNOWN KIMBERLITES
Kasama
Wolves
TIMANTTI – EXPLORATION RESERVATION

17. 17
Kimberlite
Sample
Weight Kg
+0.106mm +0.15mm +0.212mm +0.3mm +0.425mm +0.60mm +0.85mm +1.18mm
Total
Stones
White
Wolf 2018
262.33 393 168 95 62 18 11 7 3 758
White
Wolf 2017
147.60 123 85 41 19 9 5 0 2 274
Total 409.93 516 253 136 81 27 16 7 5 1,032
TIMANTTI – WHITE WOLF DIAMOND RESULTS

18. 18
Kimberlite
Sample
Weight Kg
+0.106mm +0.15mm +0.212mm +0.3mm +0.425mm +0.60mm +0.85mm +1.18mm
Total
Stones
Grey Wolf
(Drill)
101.66 29 14 13 8 1 1 0 0 66
Grey Wolf
(Trench)
99.98 28 18 20 8 1 2 0 1 78
Black
Wolf
349.75 267 138 87 45 16 3 3 0 559
Vasa
Dykes
25.74 1 5 5 0 0 0 0 0 11
TIMANTTI – DIAMOND RESULTS

19. 19
Grey Wolf
White Wolf
Black Wolf
Vasa Dykes
Location of drill collars and Kimberlites
discovered to date
Grey background Digital Elevation model
Ice direction characterized by drumlins
Scale bar 500m
TIMANTTI – DRILL COLLARS

20. 20
Comet
Wolf Pack
Meteor
New
Wolf
Cubs
New
Arctic completed a 600 km2 UAV magnetic survey this
Summer, adding to our Winter ground Mag
Greenstones belts and gabbro sills dominate the image
as long linear Mag highs
Some of the new targets highlighted, arrows, kimberlite
targets
Kimberlite targets in the quite quartzites tend to stand
out
New
New
TIMANTTI – NEW TARGETS

21. 21
Wolf Pack
Gen 2 New Drill Targets
Vasa Discovery
Wolf Pack Discovery
Comet Target
(Drill Target)
Meteor Target
(Drill Target)
38 New untested drill targets for 2019. Red
arrows point to the top priority targets.
As little as 1-3 m overburden.
The Wolves seem to form an East-West
trend (Yellow Arrows).
TIMANTTI – NEW TARGETS CONTINUED

22. 22
Diavik has produced over
100 million carats of
diamonds since 2003. It’s
currently operated by Rio
Tinto and sold 40% to the
Washington Group for $1.2B.
The Diagras Property (40%
Arctic Star & 60% Margaret
Lake) consists of 29
contiguous claims
encompassing an area of
22,595 hectares.
Arctic Star & Margret Lake is
using new gravity and EM
geophysical surveys to find
new potential kimberlites.
CANADA – DIAGRAS PROJECT

23. 23
Diagras property in Blue JV Arctic
Star (40%) & Margret Lake (60%).
The Property contains 13 known
kimberlites discovered by
DeBeers with Mag in the 1990's.
We are targeting non-magnetics
using new and improved gravity
technology.
Green Diamonds are kimberlites.
Blue Diamonds are Kimberlites
with mine plans that have Greater
than 1ct/t.
DIAGRAS – JOINT VENTURE

24. Gravity surveys show contrasts of Pyroclastic
Kimberlite and kimberlite breccia revealing rock that
is less dense than the surrounding country rock.
24
MAG SURVEY 2017
Yellow Dots (De Beers) Red Dots
(Majescor) previous drill holes.
DIAGRAS – BLACK SPRUCE KIMBERLITE
GRAVITY SURVERY 2017
New Drill Targets

25. Diamond Size (mm)
Kimberlites
Of Interest
Sample Wt
(kg)
0.074 0.104 0.15 0.212 0.3 0.45
Jack Pine 436.26 248 89 42 12 4
Jack Pine 359.75 186 80 25 6 2
Black
Spruce
167.15 7 3 2 2
Spring 2017 ground geophysical surveys
Color image Ohm Mapper EM results,
380m Elevation Slice
Contours Ground Magnetics
Red and yellow dots previously drilling by
previous explorers
Red arrow large untested EM anomaly
25
DIAGRAS – JACK PINE KIMBERLITE
Gravity
Survey

26. Gravity
EM
Suzanne Kimberlite is assumed to be a
magnetic low, (blue arrow). Ground
Geophysical surveys conducted in
spring 2017.
A second drill target has been
discovered showing a separated gravity
low, and linear Em anomaly coincident
with a break in a Diabase dyke.
26
DIAGRAS – SUZANNE KIMBERLITE

27. Two drill holes where previously drilled into a
magnetic low shown by the red arrow.
Kimberlite was intersected. The EM anomaly
shown above and located on the magnetic
image by the black arrow, seems to break a
Diabase dyke
27
DIAGRAS – HL02 KIMBERLITE

28. STEIN PROJECT - LOCATION & OPTION WITH GGL
The STEIN project is
85 km Northwest
of Taloyoak, Nunavut
Taloyoak
GGL Resources Corp. has the
option to earn into Arctic Star’s
Stein Project up to 60% by
conducting ground geophysics
on high priority drill targets and
discovering kimberlite by drilling,
trenching or in outcrop
Stein property owns 4 permits
covering 1,065 km2
$1.5 mil of exploration
expenditures by previous
explorers. Never drill tested.
Kimberlitic indicator minerals are
showing high chrome, low
calcium G10 pyrope garnets
were followed up-ice direction
28

29. 29
Indicator minerals include diamond
inclusion chemistry
Numerous high priority targets with
kimberlite-like airborne geophysical
signatures up-ice of indicator minerals
Nearest known kimberlites is 240km to
SE; perpendicular to regional ice flow
No previous drilling
Potential to be a new kimberlite district
Detailed ground geophysical surveys
required to refine and prioritize targets
for drilling
INDICATOR MINERALS ON AIRBORNE MAGNETICS
Garnets

30. 30
85 km Northeast of Prince George, BC
Canada. Good Infrastructure, Forestry.
21 Mineral tenures covering 10,482ha
Outcropping 0.96% Nb
Niobium is a Strategic Mineral mandated
by the Trump Administration
First mineralized carbonatite discovered
in Canada in over a decade
Available for Joint Venture
24 m to 95.66 m
0.35% Nb2O5 across 10.42 m, including
2.26 m of 0.63% Nb2O5
87 m to 118.50 m
19.63 m of 9.94% P2O5, including 2.55
m of 20.97% P2O5
1 m to 138.5 m 2.4 m of 0.81% TREO
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CAP PROJECT – DRILL HOLE CAP 17-004

31. 14TH FLOOR - 1111 W. GEORGIA ST.
VANCOUVER, B.C.
V6E 4M3
WWW.ARCTICSTAR.CA
Patrick Power, President & CEO
604-689-1799
INFO@ARCTICSTAR.CA
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