monument mining investor presentation nov 2010

8/6/2019 Monument Mining Investor Presentation Nov 2010

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TSXV: MMY FSE: D7Q1

A New Gold Producer in Malaysia

Executing the Next Stage of Growth

November 2010


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Cautionary Statement

This presentation includes certain estimates, projections and forwardlooking statements within the meaning of Section 21E of the SecuritiesExchange Act of 1934, as amended that have been provided by the Companywith respect to its anticipated future performance. Such forward lookingstatements reflect various assumptions by the Company concerninganticipated results, which assumptions may or may not prove to be correct.

No representations are made as to the accuracy of such statements,estimates or projections. These forward-looking statements are madepursuant to the safe harbor provisions of the Private Securities LitigationReform Act of 1995. While these statements are made to convey theCompany's progress, business opportunities and growth prospects, suchforward-looking statements represent management's opinion. Whereasmanagement believes such representations to be true and accurate based oninformation and data available to the Company at this time, actual resultsmay differ materially from those described. The Company's operations andbusiness prospects are always subject to risks and uncertainties.

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The Company

Focused on gold production and explorationoperating in Pahang State in the Central Gold BeltDistrict in Malaysia

Proven Mine Builders

Three projects, 100% owned: Selinsing Mine

Damar Buffalo Reef

Famehub

Established platform for Future Growth Low cost gold production at 100% Selinsing Gold Property

Additional reserves at 100% owned Damar Buffalo Reef

Years of gold exploration ahead at large Famehub landpackage

Attractive valuation



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Capital Structure

Shares Outstanding: 171.2 MWarrants: 82.8 M

Options: 24.9M

Convertible Note Shares: 20.0 M

Convertible Note Warrants: 20.0 M

Fully Diluted: 318.9 M

Share Price (November 11, 2010): $0.65

52 Week High/Low: $0.70 / 0.235

Market Capitalization: $111.28 M

Convertible Notes: $8.00 M

Insiders: 11%

Major Shareholders

Orifer S.A.

Wira Mas Trust (Selinsing Gold Project Original Vendors)

European Investors Group



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Malaysia

Government: Federal Parliamentary democracy with a constitutionalmonarchy

Population (2009): 28.3 million

Annual Growth Rate: 2%

Nominal GDP (2009): $191.5 billion Annual real GDP growth rate: 5.9% (2006); 6.3% (2007); 4.6% (2008); - 1.7% (2009)

Nominal per capita income (GNI): $6,897

Workforce (10.89 million, 2007): Services: 57%

Industry: 28% (Manufacturing: 19%; Mining and Construction: 9%; agriculture: 15%)

(Source: Wikipedia)

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Land Position

100% owned Selinsing& Damar Buffalo Reefproperties totalingover 2,000 acres alonga 4.5 km strike zone

100% owned Famehubland package totalling32,000 acres to theNorth and East of the

Selinsing mine site



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Malaysia Geological Survey

Selinsing has secured a partnership with Australian University GeologyDepartment to fully fund a program in which they will survey the countryfor large metal deposits

Once this survey is complete, the data will be compiled into acomprehensive database/report and donated to the MalaysianGovernment and kept private for three years, before becoming public data

The company being the sponsor of this program will be in a position ofadvance knowledge regarding results and seek to secure and increase anappropriate land tenure position



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Management Team

Robert Baldock President & CEO25 years of experiences of raising equity and mining project finance, directing mining project development and millconstruction.

Cathy Zhai CFO, Corporate Secretary & VP Corporate Finance13 years experience with publicly l isted companies at CFOs capacity or equivalent in corporate finance, public reporting andbusiness strategic planning.

Kevin Wright Project Mining Engineer and General Manager

33 years experience in designing, building and managing safe, profitable mines.

Zaidi Harun VP Exploration15 years of exploration experiences, 8 years at Selinsing Gold project.

Scott Ladd VP Business Development

15 years of mining company experience with Kinross Gold, Vale Inco, Grande Cache Coal and Hudson Bay Mining andSmelting.

Charlie Northfield Processing Manager

A hands on Mineral Processing Engineer with 30 years broad experience throughout the mining industry in gold, metalsulphides and oxides in addition to industrial minerals processing.



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Selinsing Gold Mine

Team over 150 at the Mine Site



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Selinsing Cross Section(First Pit)



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Selinsing Deposit

Resource Tonnes Grade (g/t) Oz/Au Oxide Sulphide

Indicated 4.82 M 1.49 230,000 134,000 96,000

Inferred 10.32 M 1.17 388,000 20,000 368,000

First Gold Pour October 2009

Commercial Production announced inSeptember 2010

400,000 tonnes/year plant

40,000 oz/Au year capacity

Mill Upgrade planned: 75,000 100,000 ozAu

Recovery rate ranged between 92% -

95% over both oxide & sulphidematerial

Cash cost estimated at U$317 forinitial year

First pit estimated 5-year mine life

Currently drilling for furtherresources at Selinsing property



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Proven Mine Builders

Selinsing Gold Mine Project:

From greenfield acquisition to First Gold Pour 28 Months

Complete Plant Construction 24 months

Low Capital Expenditure $20 Million

Gravity Circuit in Production January 2010

Full Commercial Production September 2010

Zaidi Harun (VP Exploration),Kevin Wright (Project Mining Engineer & GM), and

Jimee Shah (Selinsing Gold Mine Manager Sdn Bhd)



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Selinsing Open Pit

Open Pit June 2007

Open Pit June 2010



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Selinsing Plant

Plant Site June 2007

Plant Site June 2010



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The Production Process


Trucking ore to the plant

Treatment Plant

Crusher

Processing Facilities

Gold Pour

Gold bar


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Production Data 2009

Q1 Q2 Q3 Q4 Total

Ore Mined (tons) 69,524 165,823 229,495 197,488 662,330

Ore Processed (tons) 3,524 82,828 95,022 90,746 272,120

Ore Stockpiled (tons) 64,533 145,034 280,737 387,545 387,545

Q1 Q2 Q3 Q4 Total

Gold produced (oz) - 1,400 4,127 8,266 13,793

Gold Sold (oz) - 660 3,716 9,417 13,793

Cash Cost/oz (US$/oz) - 371 234 198 226



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Future Cash Flow Estimates


In US$ millions 2009 2010 2011 2012 2013 2014 Total Project

Cash Injection 18.30 - - - - - 18.30

Revenue - 29.60 47.60 33.50 39.90 38.40 189.00Total Cash Inward 18.30 29.60 47.60 33.50 39.90 38.40 207.30

Total Expenses 17.80 15.60 17.10 16.60 16.80 10.80 94.70Surplus Cash 0.50 14.00 30.50 16.90 23.10 27.60 112.60

NPV (discounted @ 10%): 84

IRR: 104%

Low Malaysian Operating costs:

Average cash cost per ounce: US$317/oz

Labour: Approx. 25% of Australian or Canadian rates allowing for a 2:1 efficiency factor.

Contractors: Hourly rate for 30 ton pull CAT excavator with driver and fully maintained is under US$20/per hour

* At $1,400 gold the surplus would increase to $176.0 Million.

Financial Overview US$US$1,000 Gold *


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Grand Opening Ceremony

October 25, 2010

Selinsing Gold Mine OpeningCeremony was officiated by

the Chief Minister of Pahang

State Dato Sri Di Raja Yang

Amat Berhormat Dato Sri Hji

Adnan Bin Hji Jakob

About 500 people in

attendance, including the

Chief Minister along with State

Cabinet members, about 120

state officials and local

community leaders,

shareholders, the Companys

Directors and officers, and

guests from Europe, Australia

and Canada


Bob Baldock, President & CEO of Monument Mining; Chief Minister of Pahang State

Dato Sri Di Raja Yang Amat Berhormat Dato Sri Hji Adnan Bin Hji Jakob; YH Dato Haji

Lias b. Mohd Noor, CEO of Pahang State Development Corp. (PASDEC); and Zaidi Harun,

VP Exploration of Monument Mining


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Damar Buffalo Reef



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Damar Buffalo Reef

Highly prospective geology trend north from Selinsing deposit

Approximately 2,000 acres (> 4.5 continuous Km)

Historical Resource totaling 2,512,000 tonnes at 2.29 g/t Au

Existing historical resource of 185,400 oz/Au

Drill program to date suggests a much larger gold camp which stretchesfrom Selinsing in the south to the north for over a 4.2 km long shear zone

Damar (Famehub) continues, in part, further North along trend for another12 km



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Damar Buffalo Reef

Grade Highlights



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Famehub Acquisition

32,000 acres of prospective land adjacent to Selinsing and Buffalo Reefproviding significant upside potential



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Agressive Drilling Program

$3.4 Million Exploration program for 2010/2011approved

12 months: 116 drill holes; 18,390 m aimed at: Increase Gold reserves

Build up gold resource pipeline in Malaysia

Selinsing: Convert inferred resources to reserves

Damar Buffalo Reef: Convert inferred into measured and indicated

Update NI 43-101

Famehub: Select prospective drill targets

Drilling at Selinsing



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Goals

Extension of Selinsing plant toincrease output capacity toapproximately 1 M tonnes peryear

Complete new NI 43-101technical reports on Selinsing andDamar Buffalo Reef

Aggressive drilling

to increase resource inventory to> 1 M oz/Au by ongoing andfurther exploration



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Corporate Social

Responsibility

Job Creation Over 150 Malaysian employees at the site, the creation of local jobs for community

residents is key

Goods & Services construction and expansion programs, operation of plant and mine provide a constant

demand for labor, contract services and supplier goods and services from the localcommunities of Koyan and Kuala Lipis

Training and Education Encouraging local young people to seek full education and improve their skills and

professional capabilities

Offering scholarships to local students to attend Universities and gain degree statuseducation for professional roles such as underground and surface mining engineers,geologists, metallurgists, chemists and similar mining industry roles

Offer work experience while they undertake their degree education and uponcompletion offer full employment



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Investment Opportunity

Building value with cash flow from operations

Gold exposure at a low producing cost

US$ 317.00 oz/Au

There is only a 5,000 oz hedging on gold sales

MMY benefits from the high price of gold on the open market

Exploration upside

Acquisition growth potential



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Thank you!


monument mining investor presentation nov 2010

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