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TICKERS: GRG; GARWF; G6A

Canadian Metals Explorer Now Offers 'Attractive Entry Point'
Research Report

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A Fundamental Research Corp. report relayed this company's investment highlights.

Pirquitas Mill Facility

In an Oct. 9 research note, Fundamental Research Corp. analyst Siddarth Rajeev indicated that Golden Arrow Resources Corp.'s (GRG:TSX.V; GAC:FSE; GARWF:OTCQB) recent share price drop represents a current buying opportunity. Fundamental has a CA$0.98 per share fair value estimate on Golden Arrow; the company's stock price is now around CA$0.29 per share.

The average enterprise value:resource ratio of the other junior silver companies in Fundamental's coverage universe has decreased to CA$1.63 per silver equivalent ounce from CA$2.29 since May, when the research firm initiated coverage on Golden Arrow, due to the decrease in silver prices. Golden Arrow's shares are trading at CA$0.54 per ounce, much lower than the average.

Aside from its current valuation, Golden Arrow is an attractive investment, in part, Rajeev pointed out, due to its joint venture partnership, with SSR Mining, in Puna Operations Inc., which is composed of the Chinchillas and Pirquitas projects. Golden Arrow owns 25% of Puna; SSR owns 75%.

This year, 3 to 4.4 million ounces of silver are to be produced at Chinchillas, according to SSR Mining estimates. "GRG will receive a 25% share of the net profit," Rajeev emphasized. Ore from Chinchillas will be processed at Pirquitas, and that should begin soon.

Also, Golden Arrow owns the Antofalla project in Argentina, which recently yielded "encouraging" drill results, indicated Rajeev. They included 3 meters of 191 grams per ton silver, 1 meter of 283 grams per ton silver and 2.1% zinc.

Rajeev reiterated that Golden Arrow is rated Buy.

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Disclosures from Fundamental Research Corp., Golden Arrow Research Corp., October 9, 2018

The opinions expressed in this report are the true opinions of the analyst about this company and industry. Any “forward looking statements” are our best estimates and opinions based upon information that is publicly available and that we believe to be correct, but we have not independently verified with respect to truth or correctness. There is no guarantee that our forecasts will materialize. Actual results will likely vary. FRC and the Analyst do not own shares of the subject company. Fees were paid by GRG to FRC. The purpose of the fee is to subsidize the high costs of research and monitoring. FRC takes steps to ensure independence including setting fees in advance and utilizing analysts who must abide by CFA Institute Code of Ethics and Standards of Professional Conduct. Additionally, analysts may not trade in any security under coverage. Our full editorial control of all research, timing of release of the reports, and release of liability for negative reports are protected contractually. To further ensure independence, GRG has agreed to a minimum coverage term including an initial report and three updates. Coverage cannot be unilaterally terminated.





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