Beacon Hill Resources Plc. 5 Year Growth Plan Mines & Money London December 2013

Beacon Hill Resources Plc 5 Year Growth Plan Mines & Money London December 2013

Disclaimer These presentation slides ( the Slides ) do not comprise an admission document, listing particulars, a prospectus, disclosure statement or product disclosure statement under the Corporations Act 2001 (Cth) relating to Beacon Hill Resources Plc ( the Company ) or any subsidiary of the Company. The Slides and accompanying verbal presentation is not investment advice or financial product advice. This presentation does not constitute an offer or invitation to purchase or subscribe for any securities of the Company ( the Securities ) and should not be relied on in connection with a decision to purchase or subscribe for any such Securities. The Slides and the accompanying verbal presentation do not constitute an offer, invitation or recommendation regarding any decision to sell or purchase Securities in the Company in any jurisdiction and does not and will not form part of any contract for the acquisition of Securities. 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CONTENTS 1. Introduction 2. Growth Strategy of Vertical Integration 3. Minas Moatize Coking Coal Mine 4. Growth Plans and Time Line 3 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Beacon Hill Resources Plc Market Data Board of Directors Market AIM (BHR) & ASX (BHU) Chairman Justin Farr-Jones Share Price (as at 29.11.13) 1.1p per Share Chief Executive Officer Rowan Karstel Total Ordinary Shares 1,578,593,484 Options & Warrants 86,095,577 Non-Executive Director Non-Executive Director Cristian Ramirez Nicholas Von Bruemmer Market Capitalisation 17.6Mil Independent Non-Executive Director Murray d Almeida Shareholders Register (as at 30 Aug 2013) 15.39% Latitude Zero Financial BHR Historical Share Price GBP per share 69.40% 15.22% Pelham Investments Limited All Other Investors Source: Bloomberg, Company Reports 4 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Minas Moatize Coal Project Tete Province, Mozambique (located in the highest coking coal yield area) (Anglo American) 5 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Tasmania Magnesite Arthur River Project Holds mineral tenure over 2 large, high grade magnesite deposits in north-western Tasmania Arthur River Deposit: Mining Lease and Retention Licence Lyons River Deposit: Retention Licence At a cut-off of 40%MgO an Inferred Resource of 25Mt has been estimated 6 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Beacon Hill Resources Growth Strategy 7 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Vertical Integration VERTICAL INTEGRATION STRATEGY Beacon Hill Resources Steel Group Growth Pillars Metallurgical Coke Plant Co-Power Generation 48 MW Pig Iron Caustic Calcined Magnesia Coking and Thermal Coal Magnetite Magnesite (MgO) Mozambique Tasmania 8 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Minas Moatize Coking Coal Mine 3km from the mine 9 BEACON HILL RESOURCES Mozambique Coal 2013 Conference - Maputo JULY 2013

Production (steady state) Run of Mine Saleable Products per annum 2.8 Mtpa 588 000 tons of Coking Coal 627 000 tons per annum of export Thermal (5400 Kcal) On mine cash cost FOB cash cost in Beira (all-in) US$ 22 / saleable ton Strip ratio 0.55 BCM: ton US$108 /saleable ton Capital US$ 22.9 mil for 2014 Life of Mine 15.4 years 10 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Phase 2A 1.8Mtpa Process Plant and Lab Laboratory 11 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Rail Allocation & Rolling Stock BHR receives 0.5 Mt (7.7%) Sena Rail Line Allocation in 2013 MML has entered into an Interim Rail Access Agreement with Portos e Caminhos de Ferro de Moçambique ( CFM ) on the Sena Rail Line for an allocation of 0.5 Mtpa commencing in April 2013 It is the Company s intention to use the Sena Line capacity to commence exports of coking coal Increases to 1.5mtpa in 3 years Specifications of rolling stock Five new Grindrod RL30SCC-3 90 new Gondola-type coal wagons fitted with the patented Sheffield bogey system First rolling stock is expected to be received during Q4 2013 / Q1 2014 12 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Rail Expansion in Moatize & Beira Approximately 8.5km from the Minas Moatize mine Tete (Carbonoc) Siding in Moatize 8.5km from the Minas Moatize mine Beira (Warehouse No4) Rail Siding 13 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

JORC Reserve supports 15.4 year LOM Proven and Probable: Run of Mine Reserves Ash Heat Value Fixed Carbon Inherent Moisture Relative Density Total Sulphur Volatile Matter Tonnes Description Volume (%) (Mj/kg) (%) (%) (t/m 3 ) (%) (%) AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis Chipanga Upper Coal Seam Total Reserve 573 881 980 596 46.22 17.64 38.54 0.93 1.71 1.32 14.32 Chipanga Middle Coal Seam Total Reserve 1 255 049 2 334 212 56.48 12.71 30.00 0.94 1.86 0.74 12.58 Chipanga Lower Coal Seam Total Reserve 21 265 879 36 072 834 42.21 18.74 43.15 0.90 1.70 1.08 13.74 Total Run of Mine Reserve 23 094 809 39 387 641 43.16 18.35 42.25 0.91 1.71 1.06 13.68 Proven and Probable: Saleable Reserves 10.5% Ash Coking Coal Saleable Reserves Ash Heat Value Fixed Carbon Inherent Moisture Total Sulphur Volatile Matter Wash Cut Density Geological Yield Plant Yield Tonnes Description Volume (%) (Mj/kg) (%) (%) (%) (%) (t/m 3 ) (%) (%) AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis Total Coking Coal Saleable Reserve 4 910 504 8 306 407 10.52 31.44 70.65 0.84 0.91 16.46 1.45 23.47 22.13 25.1Mj/kg Themal Coal Saleable Reserves Ash Heat Value Fixed Carbon Inherent Moisture Total Sulphur Volatile Matter Wash Cut Density Geological Yield Plant Yield Tonnes Description Volume (%) (Mj/kg) (%) (%) (%) (%) (t/m 3 ) (%) (%) AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis AD Basis Total Thermal Coal Saleable Reserve 4 652 846 7 861 285 27.61 25.11 57.10 0.81 0.84 14.48 1.63 29.80 28.31 Total Saleable Reserve 9 563 351 16 167 693 18.83 28.36 64.06 0.83 0.88 15.49 1.53 26.55 25.13 Notes 1 Resources and reserves quoted in compliance with JORC 2 Reserves are derived on an air dried basis 3 Coal resources are inclusive of all coal reserves and exclude Inventory coal 4 Beacon Hill Resources has the consent of the competent persons to publish coal resources and reserves Competent Persons Statement The Competent Person for reporting of coal resources, Peet Meyer of PC Meyer Consulting Pty Limited, who is a member of the Geological Society of South Africa (GSSA) and the Fossil Fuel Foundation. Peet Meyer has more than 21 years experience in the southern African coal industry of which he has spent more than 5 years in the Mozambique Coalfields. He has the appropriate relevant qualifications and experience to be considered as a Competent Person as defined in the Standards on Mineral Resources and Reserves Definitions and Guidelines (2004). The CP with responsibility for the reporting of Coal Reserves is Mr Mark Mohring, Pr.Certified Engineer (Engineering Council of South Africa), Member of the Southern African Institute of Mining and Metallurgy, who is a Principal Consulting Mining Engineer with EMPR The Coal Resources and Reserves are reported in compliance with the guidance as defined in Appendix 5A of the ASX Listing Rules being the Australasian Code for Reporting Exploration Results, Mineral Resources and Ore Reserves (the JORC Code), 2004 Edition. Mr Meyer and Mr Griffiths have consented to being named as the authors of the Resource and Reserve Statements respectively in this announcement. 14 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

2013 YTD Milestones Report MINAS MOATIZE: 2013 OBJECTIVES GUIDANCE / DUE DELIVERED /REVISED STATUS ROLLING STOCK: Operating Lease Signed JAN 2013 JAN 2013 RAIL ALLOCATION: 0.5 MTPA Sena Line JAN 2013 FEB 2013 JORC RESOURCE: +31% JORC Resource to 86.8 Mt JAN 2013 JAN 2013 NEW MANAGEMENT EXCO MAR 2013 MAR 2013 EQUITY PLACEMENT: $21 MILLION APR 2013 APR 2013 WASH PLANT UPGRADE: Phase 2A Upgrade 1.8MT DUE Q1 2013 MAY 2013 COKING COAL PRODUCTION: to Commence DUE Q1 2013 MAY 2013 JORC RESERVE: Mining Plan and JORC Reserve DUE Q1 2013 SEP 2013 COMPLETE TETE /BEIRA COAL LOADING STATIONS NOV 2013 H1 2014 COMMENCE COKING COAL EXPORTS DUE Q3/Q4 2013 H2 2014 15 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

2013 YTD Performance Successfully produced Coking Coal Concept proven Plant achieved best throughput of 150tph Power fluctuations and plant efficiencies to be addressed as part of Phase 2B and 2C Ramp up delayed due to depressed coal price environment Convertible fundraising required as bridging finance pending obtaining senior debt to maintain project momentum (with flexibility retained to refinance at lower cost) 16 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Growth Plans and Time line ( 7 focus areas) 17 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

INCREASE IN VALUE GROWTH PLANS AND TIME LINE Proven hard coking coal reserve Tier 1 coking coal asset Coal resource > 150 Mt Vertical Integration Increased logistics Diversification into Steel group 24MW Cogen 20Mtpa SENA Rail capacity 24MW Cogen Pig Iron Opportunity Magnesite Met Coke Plant Met Coke Plant 2.8 Mtpa plant Vale Block 3 360 000 ton per annum met coke Phase I 720 000 ton per annum met coke Phase II 1.8 Mtpa plant 2013 2014 2015 2016 2017 TIME LINE 18 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

(1) MINAS MOATIZE TIER 1 ASSET 19 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Cost / USd / ton Long Run Marginal Cost Curve BHR will be a Tier 1 FOB cash cost producer after CAPEX Business Costs Corporate Costs 210.00 190.00 170.00 BHR post funding phase 2B&C US$ 105/ton (2A: US$ 150/ton) 150.00 130.00 Plant Phase 2B and 110.00 90.00 70.00 50.00 20 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

MINAS MOATIZE WASH PLANT PHASE 2B & C (CAPITAL US$13 MILLION) Phase 2 B Crusher station Floatation plant and thickener Second Primary Wash 21 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Development Budget 2014 Uses of Funds (A) Working Capital WC and Transaction costs (B) Capital Expenditure Washplant Phase 2B/ 2C Rail Sidings and Rail Working Capital $ Million $7.5m $13.0m $5.0m (C) Discretionary Capex and General Corporate $6.0-8.0m Total $31.5-33.5m Senior debt negotiations on-going Approximately $33 million term sheet issued Senior debt reduces reliance on Darwin facilities/re-finance Standby CLN s Cash on balance sheet $8 million Notes: * Current Cash Available of US$ 4.8 Million and balance in contractor prepayments (assuming a share price of 2p in the company) + Assuming foreign exchange rate of US$: of 1.62:1 ** Trance 2 subject to certain specified conditions 22 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

(2) STRATEGY TO INCREASE RESOURCE FOOTPRINT 23 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

SYNERGIES WITH VALE BLOCK 3 Minas Moatize Resource : 50 70 Mt Increase MML life of mine by > 25 years Vale block 3 The drill hole collar positions and lower Chipanga thickness grid 24 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

(3A) METALLURGICAL COKE PLANT STRATEGY JV with off-take partner Global Coke of India 25 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

INDIAN MET COKE MARKET Source: Tex Report, Secretariat of Foreign Trade, UNcomtrade & Hatch 26 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

NON-RECOVERY MET COKE PLANT Capex US$ 55 million 28 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Position of Metallurgical Coke Plant (360 000t of Met Coke plus co-gen of 24MW ) Phase I and II of Met coke plant and co-gen 29 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

(3B) CO-GENERATION STRATEGY 30 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

MOZAMBIQUE LOAD GROWTH : MEDIUM-TERM FORECAST CAGR: Compound annual growth rate 31 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

BOILER FOR NON-RECOVERY PLANT (Capex for Co-gen US$ 25 million, very low running cost ) 32 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

(5) INCREASE IN SENA RAIL AND BEIRA PORT CAPACITY What does it means for MML? 33 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

INCREASE OF INFRASTRUCTURE CAPACITY IN MOZAMBIQUE (SENA RAILWAY & QUAY 13 IN BEIRA) MML got 7.7 % of SENA line capacity 5Mtpa 2013 20Mtpa 2016 1.5 Mt MML rail capacity 34 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

BEIRA QUAY 13 (20 Mt) TERMINAL 13 PORT OF BEIRA 35 BEACON HILL RESOURCES 4th QUARTER UPDATE SEPTEMBER 2013

(6) PIG IRON STRATEGY 36 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

LOCATION OF PIG IRON OPPORTUNITY with ACACIA MINERAÇÃO The existence of magmatic injection titanomagnetite iron ore deposits in the Tete Suite has been known since the 1960 s BHR Investments (BHRIM), a wholly owned group subsidiary has entered into transaction to acquire in stages (via a farm-in work program) up to 70% of the highly prospective license 3788L ( Acacia or License 3788L ) in the Tete Province of Mozambique (the Project ). These deposits are located approximately 35km east of Tete, and are accessible via the road that links Tete to Malawi. Recent high level studies completed by Coffee Mining (Nov 2011) and MINROM (Aug 2013) 37 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

ACACIA LICENSE AREA 38 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

PIG IRON OPPORTUNITY Titanomagnetite Iron Ore 50%Fe, 17%TiO₂ and 0.6%V₂O₅ content ACÁCIA MINERAÇÃO Added Benefits that MML offers Access to cheap Co-Gen Power Thermal Coal for Kilns 1Mtpa of Pig Iron needs 0.75 to 1Mtpa of Thermal Coal SENA rail access (7.7% of line capacity) Offload siding in Beira 39 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

(7) MAGNESITE STRATEGY 40 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Tasmania Magnesite Pre- Concept Study Magnesite (MgCO 3 ) is processed into Magnesia (MgO), an industrial mineral Pre-Concept study based on a phased approach: Caustic calcined magnesia ( CCM ) used as a chemical for feedstock market, Dead burned magnesia ( DBM ) refractory industry, key raw material in manufacture of steel Magnesite 41 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Investment proposition Experienced management team in place Lowest quartile cash costs once Phase 2B and 2C completed Fundraising enables production to increase to 2.8mtpa from 1.8mtpa 588 ktpa coking coal 627ktpa thermal coal Rail allocation and rolling stock now secured 15 year mine life Recent recovery in world coking coal prices Securing Senior debt would reduce Darwin draw down Marketing agreement with Vitol in place and 600ktpa off-take with Global Coke secured Value adding vertical integration strategy Option to increase resource footprint 42 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

43 BEACON HILL RESOURCES Mines & Money London Presentation December 2013

Contacts Rowan Karstel CEO rowan.karstel@bhrplc.com Justin Farr-Jones Chairman jfarr-jones@bhrplc.com www.bhrplc.com info@bhrplc.com 44 BEACON HILL RESOURCES Mines & Money London Presentation December 2013