Mayur Resources Platform in Papua New Guinea‘A unique mineral resources development in Asia’

3 December 2014

PNG Mining Conference

Sydney

Investment Platform – Asset Portfolio

Tenure:-

15 granted licences

3 ELAs

All 100% owned

Commodities:-

Iron & Mineral sands

Coal

Copper / Gold

Portfolio Overview Projects Overview – one of the largest tenement holdings in PNG

The area of Mayur’s portfolio is equivalent to just under 7% of PNG’s landmass.

2Mayur’s extensive tenement portfolio

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Investment Thesis Overview – Why PNG?

A snap-shot of the business environment in Papua New Guinea

A political system based on constitutional democracy and modelled on the ‘Westminster’ system with an established rule of law.

The use of English as the official business language

A significant reliance on natural resources development for sustained and long term economic growth – >75% of exports derive from these natural resources

Proven ability to deliver resources mega projects (e.g. completion this year of the $18bn PNG LNG project - led by Exxon Mobil)

A well regulated mining industry – administered by the Mineral Resources Authority in Port Moresby – aligned with international best practice

Centralized government – all key government departments, ministers and decision makers in Port Moresby

A stable mining fiscal regime - with relatively low taxes and royalties compared with many other resource rich countries, especially peers in the developing world

Membership of the World Trade Organization (WTO) and Asia Pacific Economic Cooperation (APEC)

Doing business ‘with PNG’ not just in PNG

Mayur Iron – Ironsands and Mineral Sands Projects Overview

PROJECTS OVERVIEW• A vast (multibillion tonne) mineralised province in PNG with potential to become

the world’s largest iron and mineral sands precinct

• Huge tenement portfolio - >23,000 km² under exploration

• 450 km of continuous tenements along coastline and delta regions

• Vision to be come a new global player in production of magnetite iron ore and industrial minerals

• Test work has proven the production of iron ore concentrate (58 – 67.5% Fe) with low impurities & +65% ZrO2 (Zircon) product

• One of the highest yielding (17.5% recovery) iron projects in the world when benchmarked to other industry peers

• Development based upon low capital and operating costs at the bottom end of quartile one of the global cost curve with onshore (dredge) mining – estimated OPEX FOB of US$16 per tonne with Zircon credits & US$25FOB without Zircon credits

• 50% of in ground ore is heavy mineral with proven presence of other industrial minerals, particularly high quality Zircon (0.6% - 2.2% in Heavy Mineral) – 30% of overall revenue comes from Zircon product (30,000 tonnes per annum)

• Established team with extensive experience in delivering early stage mineral development projects in PNG and globally

IRON ORE & INDUSTRIAL MINERALS IN PNG Asia’s new 'world-class’ low cost iron and mineral sands precinct

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Introduction - Highlights

• A vast (multibillion tonne) mineralised province in PNG with potential to become the world’s largest iron and mineral sands precinct

• Inferred Mineral Resource (2012 JORC) of 64Mt @ 8% iron within an additional 150 Mt exploration target

• Estimated 50% HM (heavy minerals) containing Zircon, Rutile and Ilmenite in addition to magnetite

• 3 additional regions identified across portfolio - each with estimated 100-200 Mt iron sands (plus Zircon, Rutile etc).

• Proven production of iron ore concentrate (58 – 60% Fe) and Zircon (+65% ZrO2) and one of the highest yielding (17.5% recovery) ironsands projects in the world

• Development concept based on low cost on and offshore (dredge) mining – estimated OPEX of US$25/t FOB – zircon equivalent credits reduce ironsands product cost to $16/t FOB (lowest cost iron globally)

• Established team with extensive experience in delivering early stage mineral development projects in PNG and globally

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Total portfolio area:

23,000 km2

450 km

Gulf of Papua

Iron and mineral sands in PNG

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Introduction - Location and Access

Projects are easy to access via a combination of dirt and bitumen roads from Port Moresby to Kerema (5 hour drive) Kerema is the Provincial Capital of Gulf Province with its own airport Access to projects from Kerema is via boat Area very sparsely populated (hence less issues with landowners) Entire 450km of coastline is mineralised (See red crosses in map below)

Mayur Ironsands Projects - Location and Accessibility

Iron and mineral sands in PNG

KEREMA

PORT MORESBY

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Geology – Depositional Formation - Beach sand / dunal deposits

• Top stratigraphic horizon depth from surface averaging 2-6m thick

• Concentrated by storm surges and wind action

• Low slimes and virtually no oversize material

High Grade Beach Deposits near Uamai (RC774401 – Fe 59.82%) High Grade Beach Deposits near Aivau (RC774411A – 57.98% Fe)

Iron and mineral sands in PNG

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Projects Overview – 3 Regions of interest in the Gulf Of Papua

• The Gulf of Papua has enormous and as yet untapped iron and mineral sands potential

• The following regional map shows the location of all the prospects across Mayur’s portfolio.

• This can be broadly split into 3 Regions (and associated EL groupings) in descending order of priority (1 being top priority):

The Gulf Region River Deltas and Prospect Group Boundaries

Iron and mineral sands in PNG

REGION 1

KEREMA REGION

Orokolo Bay & Malalua Projects

Aeromagnetic Ground Magnetics In fill Drilling Maiden JORC

Resource Exploration Target Pilot Plant Concept

Complete Concept Study

Complete

REGION 3

DECEPTION BAY REGION

Exploration Targets identified (on and

offshore)

REGION 2

FLY RIVER REGION

Scoping Study conducted by previous

explorer on Kiwai Island

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3 1

Orokolo Bay Project - Development Concept

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Iron and mineral sands in PNG

Development Process Stages :

1. Pre strip

2. Mine using conventional dredge

3. Floating processing plant – gravity and

magnets (no chemicals)

4. Tails behind dredge pond (85% of ore mined will be returned)

5. Contour tailings area and rehab with plants and stabilising grasses)

6. Convey product onto tranship barges for export

2 3

4

1

5 6

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Mayur results were taken from magnetically concentrated samples and benchmark extremely favorably with other products.

Some key observations as follows:

• Fe grades –concentrate range spec of 58-67 % Fe

• Potential for Vanadium and Titanium, as a valuable by-product, with rutile, zircon and ilmenite

• Impurities compare well – NZ Iron and Steel is the industry benchmark and Mayur has both lower SiO 2 and Al2O3

• Main markets are blast furnaces in China and new mills and alternative steel making technologies using Direct Reduction-Submerged Electric Arc processes or Rotary Hearth Furnace

• Based on the above - a 1 Mtpa iron product operation will also produce 30,000 tonnes of Zr or 66,000 tonnes of crude concentrate

Product Specs – Titanomagnetite and Zircon

Iron and mineral sands in PNG

Titano- Magnetite

Fe 60% (58.0% min)

SiO2 2.2% (2.7% max)

Al2O3 2.2% (2.5% max)

TiO2 8 - 10.2% (10.6% max)

P 0.05% (0.07% max)

V2O5 0.57%

Zircon (final product)

ZrO2 (incl. HfO2) 66% min

Total iron (as Fe2O3) 0.08% max

TiO2 0.15% max

Al2O3 0.50% max

Activity Conc. 10Bq/g maxZirconTitano-Magnetite

Iron and mineral sands in PNG

• BlueScope is expanding its NZ Iron Sands mining operations from 1.3 million to 4 million tonnes per annum!

• BlueScope’s Managing Director and CEO, Mr Paul O’Malley:

“With a low cost of extraction, our iron sands operations are a valuable part of BlueScope’s business portfolio – making an excellent contribution to earnings from exports and providing low cost iron unit feed to New Zealand steelmaking”…….

• Mayur has a comparable specification with the added benefit of economic quantities of Zircon and other Heavy Minerals

BLUESCOPE ANNOUNCEMENT – December 2013TRIPLING PRODUCTION OF NEW ZEALAND TAHAROA IRON SANDS EXPORTS

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Orokolo Bay Project – Project Economics, Globally Unique

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Iron and mineral sands in PNG

1. Single Product (Titano-Magnetite) – CFR under USD $40 / t positions production at the lowest end of the global iron ore cost curve

2. Co-Product (Titano-Mag & Zircon) – zircon credits and revenue off set further reduces the CFR to USD $30 / t part of worlds lowest cost iron producers

DEVELOPMENTYEAR 2

EXPLORATIONYEAR 1PHASE 1

INDIATVE TIMELINE:

Magnetite

< US$ 40/t CFR

ORE

TITANO-MAGNETITE (58-60% Fe)

(1 Mtpa)

TITANO-MAGNETITE (1 Mtpa) & ZIRCON (+65% Zr) (30 Ktpa)

Magnetite with Zircon credits

US$ 30/t CFR

Phase 1

1

2

1 2

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FOB COST + SHIPPING = 1st QUARTILE OF GLOBAL COST CURVE

Orokolo Bay Project – Phased Development Concept – Future Scalability

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Iron and mineral sands in PNGPr

ojec

t Dev

elop

men

t Val

ue

100,000 t – Bulk Sampling

Phase 1 - 1 Mtpa

2014 2015 2016 2017 2018+

Bankable Future Upside

Phase 2 -3 Mtpa

• Start Bulk Sampling within 12 months

• Pilot Plant – Concept Design Complete

• Permitting & Approvals underway

• Phase 1 - Start-up Production - dredge mining operation within 2 years

• Phase 2 – Expand Production to 3 Mtpa

• Future Phases – World Class Scalability

• Huge upside potential with the Gulf of Papua tenement portfolio covering >23,000 km2

• A major alternative low cost iron feed stock for steel making in Asia

• Provide the next large world scale source of zircon and other heavy minerals

Mayur Energy – Coal Projects Overview

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PROJECTS OVERVIEW

• Coal exploration portfolio encompassing the entirety of PNG’s coal province within the Papuan Basin

• Vision to develop Asia’s next low cost coal precinct based on the Kalimantan-style model that has been so successful in Indonesia

• Exploration licenses or rights to explore over a 120 km strike length of outcropping ‘Shu Coal Measures’ (within the coal-bearing Era Beds Formation)

• Initial exploration programs completed and targets generated - over 4 metre thick seams are known to sub crop at surface

• Prospects for thermal coal identified in a number of locations

• Close proximity to deep draft rivers and coast to access seaborne market

• Senior team assembled with extensive experience in delivering early stage mineral development projects, in PNG and globally, with coal a particular strength

• Drilling programme completed to delineate Papua New Guinea’s first JORC Coal Resource

COAL IN PAPUA NEW GUINEAOpening up a new frontier for coal in Asia – ‘the next Kalimantan’

Coal in PNG

Introduction - ‘PNG - A new frontier for Coal in Asia’

Coal exploration projects in PNG - consisting of:

• 4 granted tenements in the Papuan Basin

• Exclusive Option Agreement with Waterford on 4 adjacent ELs

Together the licences make up the entirety of the coal province closest to the coast

Initial reconnaissance exploration programs completed – 4.1m and 3.2m coal seams outcropping at surface on EL1875

Coal seams located on Mayur’s Orokolo Bay EL2305

Access to low-cost transport infrastructure – barge coals on the Purari or Vailala Rivers

Senior team assembled with extensive experience in delivering early stage mineral development projects, in PNG and globally, with coal a particular strength.

Typical Kalimantan specs:- Average CV at Depot Creek – 5174 kcal/kg GAR, Average Ash 3.58%, Average TS 0.49%

50-100Mt initial resource potential15

Introduction to Mayur’s coal projects

Coal exploration portfolio encompassing the entirety of PNG’s coal province within the Papuan Basin – 120km strike

Current exploration – Example

Coal in PNG

Sample Number WGS84_E WGS84_N Location Seam

Thick (m) Ash% TS% TM% IM% CV MJ/kg

ADB kcal/kg

GAR kcal/kg VM% FC% HGI

39751 280397 9204711.4 Depot Creek 2.5 1.5 0.52 21.20 11.6 24.1 5754 5129 44.5 42.4 42

39752 280397 9204711.4 Depot Creek 2.5 1.5 0.34 20.80 11.5 24.3 5799 5190 44.3 42.7 42

39753 281318.1 9203825.1 Depot Creek 4.1 2.9 0.34 22.20 12.2 23.6 5646 5003 43.7 41.2 42

39754 281318.1 9203825.1 Depot Creek 4.1 3.1 0.25 20.90 13.7 23.3 5565 5101 41.9 41.3 38

39755 281318.1 9203825.1 Depot Creek 4.1 3.6 0.34 21.10 13.4 24.0 5725 5216 44.1 38.9 42

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Typical ‘Kalimantan-style’ CV’s

Very low Ash

3 - 20km from barge-able Vailala River

5-50 km from coastline

50 – 100 Mt resource potential

Part of 120km long coal seam trend

A minimum of 8 coal seams (most likely many more)

Outcropping coal seams

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Coal based DRI Steel Making Opportunity in Gulf Province, PNG – MoU signed

Mayur DRI & Steelmaking – future potential for steel making in PNG

Coal and iron within the same region in PNG – a unique opportunity to develop a steel industry South East Asia

Coal Ironsands Pig Iron*

China

Indonesia

Japan

PNG

Australia

Direct reduction (DR): Direct reduction involves the production of solid iron from iron ores and a reducing agent (e.g. natural gas or coal). The solid product is called Direct Reduced Iron (DRI) and is mainly applied as feedstock in electric arc furnaces (EAF).

DRI plants have a much lower capital cost than traditional blast furnaces

Coal-based DRI plants are flexible as to plant location, because coal is often widely distributed in large deposits and is easy to transport.

The proximity of coal and iron deposits in Gulf Province and the low production costs thus offers future potential opportunity to develop a highly competitive steel making industry

Steel (export or domestic)

*It takes approx 1 tonne of coal and 2 tonnes of ironsands to produce 1 tonne of steel.

DRI Plant - RHF

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Proposed road (Kerema-Kikori)

Mayur Exploration – Copper & Gold Projects Overview

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PROJECTS OVERVIEW

• Proven geology and address – Pacific rim ring of fire

• Compelling geology associated with porphyry systems, volcanic arcs and collapsed calderas

• Estimated 450,000 Oz gold resource (non-JORC) on Feni (EL 2096)

• Feni as neighbour has massive Lihir-style size and potential

• Five other projects in under-explored copper-gold provinces - including the semi-advanced Tunawada copper-gold porphyry on Basilaki Island (EL2095)

• Historical and recent exploration has returned excellent results, including 16.25% Cu (up to 40 % Cu) and 3.92 g/t Au (up to 239 g/t Au) in rock chips

• Community support in all project locations

• Development pathway - identify drill targets within the next 6 months

COPPER & GOLD IN PAPUA NEW GUINEA Leveraging PNG’s status as one of the world’s most prolific copper & gold provinces

Tenure - Copper & Gold Assets

• 5 EL’s granted

• Total area under exploration 2,435 km²

• Geological rationale based on finding and developing epithermal (volcanic arcs setting) and porphyry systems

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Porphyry Systems - Projects

Name EL # Status Km2

1 Sideia* 2095 Granted607

2 Basilaki * 2095 Granted

3 Sitipu 2040 Granted 492

Volcanic Arcs & Calderas – Projects

Name EL # Status Km2

1 Feni Island* 2096 Granted 382

2 Rambutyo 2094 Granted 525

3 Witu Islands 2093 Granted 429

*priority projects

Copper & Gold in PNG

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‘Lihir-style’ Caldera targets – Feni, Rambutyo, Bali & Garove Islands

Volcanic Island Arcs in the Bismarck Sea – EL2096, EL2093 and EL2094

Structural interpretation – Rambutyo IslandStructural interpretation – Bali Island

Structural interpretation – Garove Island

Structural interpretation – Feni Island

Copper & Gold in PNG

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EL 2096 - Feni Islands – A Tier 1 ‘Lihir-style’ Caldera target

• Two main islands in the group – Ambitle (14 km long) and Babase (10km)

• About 2,000 inhabitants of both islands.

• Licence covering an area of 382km² over 4 collapsed volcanic calderas. Both islands have at their centres eroded calderas.

• A large mineralising system exists on Feni Islands with 3 mineralisation style targets:-

Lihir / Simberi style Au potential within collapsed caldera.

Porphyry copper-gold potential.

Deeper high-grade multi-vein epithermal Au deposits

• Both islands show very similar geology, to the Lihir Mine (65 Moz Au),

• Numerous active thermal areas are aligned along young faults and caldera ring fracture zones.

• Older counterparts of the active geothermal areas have been the main exploration targets.

• Copper intersections at surface (20 metres) grading 0.4% copper for 70 metres

Feni Islands – Regional Geology

Copper & Gold in PNG

Sideia Is – Sideia Cu -Au Project

• 10km long zone of high-grade, narrow vein mineralised structures

• High-grade (>10%) copper samples collected at Yamaloi & Magipota prospects

• Historic rock chips 0.24 – 40.3% cu & Mayur rock chips up to 27.5% Cu, 3.92 g/t Au, 397ppm Mo.

• Narrow vein copper mined in the late 1800’s, shafts and adits located by Mayur

• Potential porphyry at depth indicated by anomalous Mo assays in multiple samples and presence of black magnetite

EL2095 - Basilaki and Sideia Islands

Copper zone – Sideia Island. Gold in bedrock – Tunawada Prospect.

EL 2095 – 2 projects one tenement, Basilaki Island & Sideia Island

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Basilaki Is - Tunawada Cu-Au Project

• Historic exploration demonstrated highly prospective Cu & Au anomalies

• Multi-phase porphyry system, Cu & Au defined in two separate zones

• Extensive chlorite-sericite-pyrite-silica alteration system confirmed, implying greater possibility for potential economic mineralisation

• 250m x 800m zone of prospective gold-in-bedrock anomaly (see image)

• Historical rock chip results up to 239 g/t Au

• Breccia zone with potential for high grade gold located by Mayur

• Historic exploration in the 80’s-90’s demonstrated highly prospective copper and gold anomalies

Copper & Gold in PNG

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