Disclaimer. Issued by Crazy Horse Resources Inc., of Suite West Pender Street, Vancouver, British Columbia V6C 1H2, Canada.

Transcription

1 Disclaimer This presentation and the information contained herein, ( Presentation ) is being issued by Crazy Horse Resources Inc. (the Company ) for information purposes only. This Presentation is not for release, distribution or publication into or in the United States or any other jurisdiction where applicable laws prohibit its release, distribution or publication. Reliance on this Presentation for the purpose of engaging in any investment activity may expose an individual to a significant risk of losing all of the property or other assets invested. This Presentation is not a prospectus, offering memorandum, advertisement, or solicitation and does not constitute or form part of, and should not be construed as, an offer or invitation to sell or any solicitation of any offer to purchase or subscribe for any securities of the Company in Canada, the United States or any other jurisdiction. Neither this Presentation, nor any part of it nor anything contained or referred to in it, nor the fact of its distribution, should form the basis of or be relied on in connection with or act as an inducement in relation to a decision to purchase or subscribe for or enter into any contract or make any other commitment whatsoever in relation to any securities of the Company. No representation or warranty, expressed or implied, is given by or on behalf of the Company, its directors and affiliates or any other person as to the accuracy or completeness of the information or opinions contained in this Presentation and no liability whatsoever is accepted by the Company, its directors and affiliates or any other person for any loss howsoever arising, directly or indirectly, from any use of such information or opinions or otherwise arising in connection therewith. This Presentation does not constitute a recommendation regarding the Company or an investment therein. The Company has not been and will not be registered under the United States Investment Company Act of 1940, as amended, or the US Securities Act of 1933, as amended. Certain statements, beliefs and opinions in this Presentation (including those contained in graphs, tables and charts) are forward-looking, which reflect the Company s current expectations and projections about future events. By their nature, forward-looking statements involve a number of risks, uncertainties and assumptions that could cause actual results or events to differ materially from those expressed or implied by the forward-looking statements. These risks, uncertainties and assumptions could adversely affect the outcome and financial effects of the plans and events described herein. Forward-looking statements contained in this Presentation regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. The Company does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Readers should not place undue reliance on forward-looking statements, which speak only as of the date of this Presentation. The pre-feasibility study of the Company's Taysan Project, referred to herein, includes Inferred Resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as Mineral Reserves, and there is no certainty that the preliminary assessment will be realized. The Taysan pre-feasibility study also includes the results of an economic analysis of Mineral Resources. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. The geological data and pre-feasibility economic assessment of the Taysan Project contained in this Presentation is based on the facts, assumptions and qualifications set forth in the upcoming NI report authored by AMEC Minproc Limited and to be filed on SEDAR at on or before June 14, 2012 under the Company s profile. Readers are invited to review the entire report once it is available. No reliance may be placed for any purpose whatsoever on the information or opinions contained in this Presentation or on its completeness, accuracy or fairness. Readers should not treat the contents of this Presentation as advice relating to legal, taxation or investment matters, and must make their own assessments concerning these and other consequences of the various investments, including the merits of investing and the risks. Readers are advised to consult their own personal legal, tax and accounting advisors and to conduct their own due diligence and agree to be bound by the limitations of this disclaimer. Brian Lueck, director of the Company, is the qualified person who has reviewed the geological data summarized in this Presentation on behalf of the Company. Issued by Crazy Horse Resources Inc., of Suite West Pender Street, Vancouver, British Columbia V6C 1H2, Canada. 1

2 The Philippines History: Became independent in 1946 Government: President Benigno Aquino III Pro-mining government Population: 104 million GDP: US$216.1 billion Natural resources Untapped mineral wealth estimated at US $1,387 billion Top 5 in mineral resources globally Copper, gold and chromate deposits are among the largest in the world Mining industry Established infrastructure and workforce Well defined mining and exploration laws Fiscal incentives 2

3 Mining in the Philippines Company Market Cap Project Status Details Medusa Mining (ASX/LSE) CGA Mining (ASX/TSX) US$1,135M Co-O Gold Project Operating US$754M Masbate Gold Project Operating Annualised production of 100,000 oz Expanding to 400,000 oz pa Reserves of 502,000 oz US$178m 4 mtpa project completed in May 2009 Expanding to 6.5 mtpa 3m oz reserve OceanaGold (ASX/TSX) US$607M Didipio Gold Copper Project Operating Est annual production of 100k oz Au and 30 Mlbs Cu 16 year mine reserve life Metals Exploration (AIM) US$91M Runruno Gold Project Feasibility completed US$150m capital cost Forecast to produce 96,700 oz Au p.a. over 10.3 years Copper Development (AIM) US$82M Hinoba-an & Basay Copper Projects Feasibility Study Forecast Cu production at 15 mtpa at Hinoba-an Pre-feasibility study underway at Basay TVI Pacific (TSX) US$22M Canatuan Copper Mine Operating Production began in ,900 t/d throughput Reserves of 3 Mt at 1.35% Cu Crazy Horse Resource (TSX-V) US$15M Taysan Copper-Gold Project Pre-feasibility Study completed US$502m initial capital cost Forecast Cu production at 15 mtpa Xstrata/ Indophil N/A Tampakan Copper-Gold Project Feasibility completed US$5.2b project to commence production in 2016 Est annual production of 340k t Cu and 350k oz Au Sources: Companies websites and announcements. Market capitalizations as at April 30,

4 Company Overview Advanced stage asset Pre-feasibility study (PFS) on the Taysan Project prepared by AMEC Minproc completed in April Focused strategy Aggressive marketing campaign underway to pursue a sale or joint venture of the Taysan Project. Positioned near growing market Proximity to China, Korea and Japan positions CZH to supply the world s largest copper consumers. Ticker: Crazy Horse Resources Inc. Issued share capital: Options: Fully-diluted share capital: Market capitalization 1 : Cash balance 2 : 1. As at April 30, As at January 31, 2012 CZH 64.5 million 5.9 million 70.4 million C$15.2 million C$2.9 million Experienced management team Management team has a successful track record and extensive experience in the Philippines. The President and CEO s previous company, Copper Resources Corporation, was acquired by JSE-listed Metorex Limited at ~US$200 million. Upside potential PFS considers only first stage of Taysan Project which may potentially be followed by second stage involving either a doubling of capacity and output, with timing dependent on copper prices, or an extension of mine life. 4

5 Management Team Mitchell Alland PRESIDENT & CEO Executive Chairman and CEO of Copper Development Corp. (AIM) Twenty three year career at the World Bank and the International Finance Corporation Extensive experience with mining projects worldwide, including director of Comsur, the largest private mining company in Bolivia, and an alternate director of Escondida, the large Chilean copper mining company Darryl Cardey CFO & DIRECTOR President of Cardey Management Corp., a venture capital financing and investment firm Chartered Accountant from the Institute of Chartered Accountants, British Columbia Director of Minaurum Gold Inc. (TSX-V), Millrock Resources Ltd. (TSX-V) and Tatmar Ventures Inc. (TSX-V) Brian Lueck COO & DIRECTOR President, CEO and director of Solfotara Mining Corp. Chief Operating Officer of Copper Development Corporation (AIM) Member of the Professional Engineers and Geoscientists of British Columbia Practicing Geology in the Philippines since 1995 Paul Reynolds DIRECTOR Professional Geoscientist with over twenty four years of experience working in Canada, the United States, Bolivia, Argentina and Guyana Member of the Association of Professional Engineers and Geoscientists of British Columbia More than 15 years of experience managing public companies as a director/executive officer 5

6 Taysan Project Summary Ownership: 100% Mineral Resource at 0.1% Cu cut-off: Mineral Reserve estimate: Expected mine life: Treatment rate: Forecast production: Estimated initial capital costs 1 : Mt Copper Gold Silver Magnetite Measured % 0.12 g/t 1.2 g/t 3.3% Indicated % 0.09 g/t 0.7 g/t 3.2% Inferred % 0.08 g/t 0.5 g/t 2.7% 353 Mt at 0.27% Cu, 0.11 g/t Au, 0.9 g/t Ag and 3.4% magnetite 24 years, with potential of up to 40 years on the basis of Inferred resource 15 Mtpa Copper Gold Silver Magnetite Total Life of Mine 1,899 Mlbs 833 Koz 5,604 Koz 11.4 Mt Average Annual 79 Mlbs 35 Koz 233 Koz 0.5 Mt % of Revenue 74% 10% 1% 15% US$502 million Estimated operating costs: Years 1-5: US$1.18/lb Cu Equivalent Life of Mine: US$1.68/lb Cu Equivalent Estimated Project economics 2 : NPV 10% IRR Pre-tax US$695 M 33.5% Post-tax US$512 M 30.4% Post-finance 3 US$503 M 49.2% Notes: 1. Excludes value-added taxes. 2. Project economics are based on US$3.00/lb (US$6,614/t) Cu, US$1,000/oz Au, US$26/oz Ag, and US$100/t Magnetite and assume a debt to equity ratio of 65%:35%. As a forward-looking statement, CZH makes no representations or warranties regarding the above estimated economics. 3. Calculated on net cash flow after taking into account debt financing. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

7 Location Manila Taysan Project 11,254ha of exploration tenements The Philippines Historical porphyry copper mining belt Southern Luzon, Philippines 100 km south of Manila 20 km from the City of Batangas, a major port and industrial center Availability of infrastructure and skilled labor 11,254 ha of exploration area 7,586 ha 100% owned and permitted for exploration FTAA application (mining) pending on 4,086 ha 3,668 ha Exploration permit applications pending 7

8 Regional Geology and Tenements 8

9 Taysan Geology Taysan is a typical porphyry copper-gold project hosted by several quartz-diorite intrusive bodies at the margin of the large San Juan Diorite batholith, with a high grade core consisting of breccias and quartz-magnetite vein stockworks. Emplacement of the diorite and ore is controlled by regional, cross cutting faults. Geological mapping and ground geophysics (magnetics and IP surveys) indicate that exploration potential exists in CZH s land holdings to discover new deposits. The copper mineralization is controlled by fault zones dipping between 30 and 60 degrees that crosscut the intrusive bodies. There is potential to expand resources at depth along this structural zone. Interpreted geology showing mineralized units (Source: Erceg, 1995) 9

10 Drill Hole Inventory Drilling at Taysan between 1968 and 2011 Company Drill Hole Type No. of Drill Holes Drill Meters Crazy Horse Previous Companies Resource 91 34,709 Exploration Geotechnical Resource ,253 Exploration 62 9,885 Total Drilling ,583 The Taysan project has been extensively drilled since 1968, with 302 holes for 82,583 meters, of which CZH has drilled 99 drill holes for 36,445 meters between October 2010 and October Earlier drilling was by Taysan Copper Corporation, Newmont, Benguet Resources Corporation, Chase Resources Inc. and Freeport McMoran Exploration Corporation. Feasibility studies were carried out by BHP Engineering (1993) and Pincock Allen & Holt (1981). 10

11 Mineral Resource Taysan Mineral Resource at 0.1% Cu Cut off grade, February 2012 Category M tonnes Cu (%) Au (g/t) Ag (g/t) Magnetite (%) Cu (M lbs) Au (M oz) Ag (M oz) Magnetite (Mt) Measured , Indicated , Inferred , Source: Mining Associates Limited, February Large Measured and Indicated Mineral Resource which contains 1.2 Mt of copper (2.6 billion lbs) provides basis for the Stage 1 project (15 Mtpa for 24 years) that can be followed by Stage 2 expansion to potentially double the throughput rate or extend mine life to up to 40 years. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

12 Pit Optimization and Mineral Reserve The cut-off grade optimization studies undertaken by IMC Mining Group Pty Ltd led to a variable cut-off grade strategy to maximize project cash flow. The cut-off grade optimization, which resulted in an improvement in project NPV by approximately 5%, was achieved by: optimizing the mine production schedule; altering the processing cut-off grade for ore mined during each mining stage; and stockpiling lower grade material to increase head grade delivered to the mill. The mining studies were based on long term commodity prices of US$3.00/lb Cu, US$1,000/oz Au, US$26/oz Ag and US$100/t magnetite concentrate. The Probable Mineral Reserve estimate by IMC Mining Group Pty Ltd* is 353 Mt at 0.27% Cu, 0.11 g/t Au, 0.9 g/t Ag and 3.4% magnetite, and is based on variable cut-off grades for each stage of mining. Nine pit stages were chosen to improve the project value by deferring waste and targeting higher grade and higher margin areas earlier in the mining schedule while providing regular mine stages with a minimum mining width of 50 meters. * Note: The Mineral Reserve estimate relating to the Taysan Project was estimated under supervision by Stewart Lewis BE (Mining) of IMC Mining Group Pty Ltd. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

13 Pit Optimization and Mining High grade starter pits give an average grade (before recovery) of 0.39% Cu, 0.17 g/t Au, 1.5 g/t Ag and 4.2% magnetite for the first five years, compared to the averages of 0.27% Cu, 0.11 g/t Au, 0.9 g/t Ag and 3.4% magnetite over the life of the mine. Measured and Indicated Mineral Resources virtually fill the entire 24-year pit shell. However, some of the resources in the overall pit are in the Inferred category, which is not included in the Mineral Reserve base and is classified as waste. A minimal drilling program may convert this material to Indicated Mineral Resources, allowing the resources to be converted to Mineral Reserves. This would decrease the strip ratio, thereby potentially lowering capital and operating costs. 15Mtpa Looking North - Section 19500N (local grid): Optimized Pit Shells Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

14 Production At the assumed treatment rate of 15 million tonnes per annum, the expected mine life of the Taysan Project is 24 years and the forecast production is as shown in the table below. Recovered Metal Payable Production 1 Cu Total Avg/Year Total LOM LOM LOM Avg/Year LOM Equivalent 2 (Mlbs) Cu Equivalent 2 (tonnes) Copper (Mlbs) 79 1, ,822 1, ,356 Gold ('000 oz) ,798 Silver ('000 oz) 233 5, , ,815 Magnetite ('000 t) , , ,612 Total Copper Equivalent 2 (LOM) 2,462 1,116, Payable production is the amount of metal produced net of treatment and metal refining deductions. 2. Copper equivalent is calculated on the basis of payable production and prices of US$3.00/lb Cu, US$1,000/oz Au, US$26/oz Ag and US$100/t magnetite. LOM = life of mine The Taysan Project will be a conventional open pit operation, using bulk mining methods involving a drill, blast, load and haul operation. Open pit mining will use backhoe excavators and rigid frame dump trucks to mine and haul the ore. The life of mine waste to ore ratio is approximately 1:1. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

15 Drill Hole Coverage and Pit Shells Stage 2 40 year Pit Shell Stage 1 24 year Pit Shell The large Measured and Indicated Mineral Resource which contains 1.2 Mt of copper (2.6 billion lbs) provides the basis for the 15 Mtpa Stage 1 project (24 year mine life). This can be followed by the Stage 2 expansion to potentially double the throughput rate; alternatively, the mine life could be extended to up to 40 years at the current 15 Mtpa rate. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

16 Incidence of Copper and Other Metal Grades 15Mtpa Looking North - Section 19500N (local grid): Copper Grades in Block Model Topography Starter Pit Shell (Pit 1) Pit Stages Base of Oxide Final Pit Shell Excluding Inferred Stage 1 24 year Pit Shell Pit Shell including Inferred Resources Stage 2 40 year Pit Shell Copper grades are highest near the surface enhancing profitability in the early years of operation. Gold and silver grades have a similar distribution with the higher grades also occurring near the surface. Magnetite grades are generally more widely spread and display a more pervasive mineralizing event. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

17 Metallurgy Recovery and Concentrate Head Grade First Five Years Head Grade Life of Mine Recovery Life of Mine Grade in Concentrate First Five Years Grade in Concentrate Life of Mine Copper 0.39% 0.27% 90% 26.7% 24.5% Gold 0.17 g/t 0.11 g/t 69% 9.7 g/t 7.2 g/t Silver 1.52 g/t 0.90 g/t 55% 69.4 g/t 47.9 g/t Magnetite 4.22% 3.43% 94% 68% Fe 68% Fe Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

18 Proposed Process Plant Flow Sheet Conventional SAG/Ball mill flotation plant Proposed plant design is a single train process plant to treat Taysan ore to a maximum head grade of 0.6% Cu. Proposed Plant Configuration: Primary (gyratory) crushing and sizing SAG milling Pebble crushing Ball mills (2) grinding and classification Copper rougher flotation and then regrinding of the rougher copper concentrate Two stage copper cleaner flotation circuit and a cleaner-scavenger circuit Magnetite rougher magnetic separation Magnetite regrind and hydroseparation Magnetite cleaner magnetic separation Copper and magnetite concentrate is then thickened and filtered Copper and magnetite concentrates are transported separately by truck to the port site prior to dispatch by sea freight to customers Tailings pumped to the TSF for deposition Tailings decant pumped to the plant for process raw water Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

19 Site Arrangement for Stage One 15 Mtpa Project North Waste Rock Dump Single 24 year open pit with Twin haul roads for ore and waste Topsoil Stk Process Plant Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April Combined TSF and raw water storage facility 19

20 Water Supply Potential Bore Field Initial Starter Dams for the TSF Fresh Water Supply Dam There is sufficient water available within the mine area. Water requirements include general industrial use including plant, washdown and dust suppression requirements as well as domestic/potable supply for mine staff and local communities, and intermittent water supply (i.e. for fire fighting). These demands will be met from available fresh water sources. The estimated water requirement for a 15 Mtpa operation is approximately 31,820 m 3 /day. It is proposed that 75% of the process water demand will be met through return of decant water from the TSF and the remaining 25% will be supplied from available fresh water sources. The TSF will be built immediately to the south of the open pit in a wide valley that allows for slurry transport and a short pumping distance for return make-up water to the plant. A water supply dam will be built to the southwest of the Project site that will supply fresh make-up water for the plant and will be used to replace the water supply of any communities who are affected by groundwater drawdown in the areas surrounding the open pit mine. A capital expenditure allowance has been made for a bore field to supplement the water from the water supply dam. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

21 Roads Existing sealed roads will be used for site access and for concentrate export. Some upgrading of road surfaces and bridges will be required to be done in cooperation with the provincial and municipal governments, particularly with regard to the export road to Batangas Port. Within the mine site, 14.2 km of roads will be built during the construction phase of the Project, including haul roads within the pit and from the pit to the tailings storage facility (TSF). Other access roads suitable for general mine equipment will also be constructed. Another 16.3 km of haul and access roads will be built in Year 5 to extend access to the TSF embankment areas and provide access around the TSF perimeter to allow tailings disposal and monitoring activities. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

22 Power Electric power is available from the local grid, and there is sufficient excess power produced in Batangas Province to supply the Taysan operation. There is an existing 69kV line and right of way to the Taysan Municipality currently servicing the local population and this right of way may potentially be used to build a second 69kV line. There also exists a 69kV substation at the mine site and, although this substation is unsuitable for the mine operation, there is potential to use this facility during construction. CZH intends to construct a 69kV power line of 18.6 km length from the Batangas substation to the mine site. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

23 Tailings Storage Facility The close proximity of the tailings dam to the open pit source, as does the availability of waste rock from tailings, reduces capital costs for construction of the TSF embankments. Two starter embankments (TSF1-A and TSF1-B) will be constructed in narrow valleys in the headwaters of the Rosario River catchment. The two ponds will join to form a single pond in subsequent raises. A longer embankment (TSF1-C) will be constructed on the catchment divide to the north. The TSF is largely bounded by natural surfaces to the east and south. At mine closure, the tailings surface will be stabilized and re-vegetated, potentially into productive cropping areas such as rice growing. The tailings have a low potential to form acid mine drainage (AMD) which will be controlled by sub aerial deposition. The mine closure plan envisages a central clean water pond discharging to the pit, to be flooded to form a pit lake on closure. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

24 Environmental Considerations The mine site is situated in an area of agricultural land with low density inhabitation owing to the poor agricultural performance of the soil, which is comprised of tuff (volcanic ash). There is no potential for destruction of sensitive habitats and no unique or endangered animal species or community within the Taysan project site that might be affected. The Project has been planned to meet the highest standards of environmental protection, and World Bank standards have been applied to all planned aspects of environmental protection and social responsibility. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

25 Initial Capital & Operating Cost Estimates Forecast Initial Capital Costs 1 US$M Pre-production Mining Costs 20.3 Mining Equipment 45.4 Process Plant Buildings & Mobile Equipment 12.5 On-Site Infrastructure and Services 23.3 Water Supply 12.0 TSF Starter Embankments and Setup 13.7 Access Roads 5.2 Port Facility Batangas 15.7 Transmission line - Batangas to Mine 1.6 Owners Costs 24.9 Land Acquisition 12.1 Batangas Port Acquisition 10.5 Process Plant EPCM 38.8 Infrastructure EPCM 5.1 Contingency 45.3 Subtotal Value-added taxes (VAT) Total Forecast Average Operating Costs 1 Years 1-5 Life of Mine Per Cu Equivalent 2 US$/t US$/lb US$/t US$/lb Mining , Processing 1, , G&A Infrastructure Haulage Value-added taxes Subtotal 2, , Sea Transport Treatment Charges Refining Charges Total 2, , Note: Numbers may not add due to rounding. Note: Numbers may not add due to rounding. Notes: 1. These costs are from the Taysan PFS based on preliminary project parameters which are subject to change. CZH makes no representations or warranties regarding the above cost estimates. 2. Copper equivalent is calculated on the basis of payable production (net of deductions) and prices of US$3.00/lb Cu, US$1,000/oz Au, US$26/oz Ag and US$100/t magnetite. 3. CZH intends to apply for recovery of value-added taxes (VAT) paid on certain capital costs and operating costs in the form of cash refunds. Recovery of 95% of VAT assumed in financial analysis. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

26 Taysan A Leveraged Play on Copper Price US$M 1,200 A 33% increase in the copper price could become a 91% increase in Taysan project value. US$1,116M IRR 50% 45% 1,000 Taysan Project NPV (after tax) at 10% IRR of Taysan Project US$978M 40% 800 US$778M 35% 30% US$512M 25% 20% 15% 200 US$185M 10% 5% - US$2.50/lb US$3.00/lb US$3.50/lb US$4.00/lb US$4.50/lb (US$5,512/t Cu) (US$6,614/t Cu) (US$7,716/t Cu) (US$8,818/t Cu) (US$9,921/t Cu) 0% Note: The above economics of the Taysan Project have been calculated on post-tax project cash flows and assume a debt to equity ratio of 65%:35%. Commodity prices for by-products have been adjusted in accordance to the copper price assumed. As a forward-looking statement, CZH makes no representations or warranties regarding the above economics. Source: Taysan Pre-feasibility Study prepared by AMEC Minproc Limited, April

27 CZH Undervalued Compared to its Peers Copper industry peer comparables CZH is trading significantly below its peers with a copper acquisition cost at an estimated US$3 per tonne (less than 1 cent per lb).. Copper equivalent based on US$3.00/lb Cu; US$1,000/oz Au and US$26/oz Ag. Sources: Bloomberg, TSX, ASX and company websites. Market capitalizations as of April 30,

28 Competitive Advantage 100% ownership of a quality ore body Excellent location and infrastructure Advanced stage of Project Trading at a significant discount to industry comparables Large, strategic tenement package, with 4.6 billion lbs Cu including upside of second stage to double output or extend mine life. Excellent location with proximity to Manila and to dedicated port as well as good infrastructure and experienced in-country management team and strong local support. 28

29 Contact Registered Office Philippines Office Investor Relations Suite W. Pender Street 10F, 105 Paseo de Roxas kin communications Vancouver, British Columbia Legaspi Village, Makati City V6C 1H2 Canada Metro Manila 1229, Philippines

30 Appendix: Copper Market 30

31 Copper Price History in Constant Dollars Real Copper Prices, 1900 to 2011 (2011US$/lb) $6.00 $5.00 $4.00 $3.00 $2.00 $ years 40 years 29 years $ Source: USGS. 31

32 Top 25 Copper Projects 32

33 Top 25 Copper Projects IRR Average Almost 15% at US$2.97/lb avg. Cu price 33

34 Ranking of Top 25 Copper Projects Goldman Sachs believes if the copper market deteriorates, at least half of these projects will not materialize, helping to maintain copper price above US$3.00/lb. 34