NICKEL RESOURCES OVERVIEW

CHINA NICKEL - 2013

NATHAN MOSUSU

Acting Executive Manager – Geological Survey Division

MINERAL RESOURCES AUTHORITY

• ~5,500 km SE of China

Deposit Name Size Total Metal Contained in Resources (t)

Host Rock / Unit Formation Model

Doriri Creek S Undefined Gravel / Papuan Ultramafic Belt

Hydrothermal Ni

Frieda Nickel Laterite M 210,000 Ni Laterite/April Ophiolite Residual Ni-Co Laterite

Koreppa Nickel Prospect

S 9,600t Harzburgite/Papua Ultramafic Belt

Residual Ni-Co Laterite

Lake Trist M 440,000 Ni Laterite/Papuan Ultramafic Belt

Residual Ni-Co Laterite

Oenake Mountains S 24,000ppm Ni Laterite/ Papuan Ultramafic Belt

Residual Ni-Co Laterite

Ramu (Kurumbukari) L 623,000 Ni, 66,000 Co Laterite / Marum Ophiolite Complex

Residual Ni-Co Laterite

Wowo Gap L 830,000 Ni, 46,000 Laterite/ Papuan Ultramafic Belt

Residual Ni-Co Laterite

Mambare Nickel Project

M 912,595t Ni Laterite/ Papuan Ultramafic Belt

Residual Ni-Co Laterite

Tabulation of resources for each producing mine and active and inactive prospects

Ramu Producing Mine Descriptive Location: 75km southwest of Madang Province 1:100 000 sheet Number and Name: 7986 BUNDI

Grid Reference: Zone 55 248638mE 9473167mN Latitude 4°45'45.26"S Longitude 144°44'1.99"E

Commodities Size Size Definition

NICKEL LARGE > 500 000 tonnes NI COBALT LARGE > 20 000 tonnes CO

Published Reserves/Resources 143 million tonnes at 1.01% nickel and 0.10% cobalt Production estimate of up to 31,150 tonnes nickel and 3,300 tonnes of cobalt per annum Mining Operations Year Granted Expiry Date Comments OPEN CUT MINING 2008 2018 20 years mine life with potential to increase mine life

Tenure Type/Number SHARE Company Name/Surname 85% CHINESE SYNDICATE 61.00% MCC RAMU NICO LIMITED (A SUBSIDIARY OF MCC) 13% JINCHUAN GROUP LIMITED 13% JINLIN JI’EN NICKEL INDUSTRY CORPORATION LIMITED 13% JIUQUAN IRON AND STEEL GROUP 8.56% RAMU NICKEL LIMITED (A SUBSIDIARY OF HIGHLANDS PACI_C) 3.94% MINERAL RESOURCES RAMU LIMITED (A SUBSIDIARY OF MRDC) 2.50% MINERAL RESOURCES MADANG LIMITED (A LANDOWNER COMPANY) Host Rock/Formation Name/Age Host Rock Formation Name/Age LATERITE PAPUAN ULTRAMAFIC BELT / CRETACEOUS

Mineralization Age ORE PLIOCENE

Deposit Model RESIDUAL NI-CO-CR LATERITE

Web Page www.highlandspacific.com/projects/pdfsProjects/FactSheet_Ramu.pdf

Wowo Gap Active Prospect

Descriptive Location: Oro Province 1:100 000 sheet Number and Name: 8678 SAFIA

Grid Reference: Zone 55 672122mE 8949479mN Latitude 9° 30' 0"S Longitude 148° 34' 4.8"E

Commodities Size Size Definition NICKEL MEDIUM 25 000 - 500 000 tonnes NI COBALT LARGE > 20 000 tonnes CO

Published Reserves/Resources Resource Mining Corporation Limited Company Website (Published June 2011) Global resource estimate of 125 Million tonnes @ 1.06% Ni and 0.07% Co (reported at a 0.8% Ni cut-off) Based on drilling along the 12 kilometers strike length of the project.

Tenure Type/Number SHARE Company Name/Surname EL 1165 100% RESOURCE MINING CORPORATON LIMITED Host Rock/Formation Name/Age Host Rock Formation Name/Age LATERITE PAPUAN ULTRAMAFIC BELT / CRETACEOUS Mineralization Age CAINOZOIC REMOBILISATION OF NICKEL AND COBALT IN CRETACEOUS ULTRAMAFICS Deposit Model RESIDUAL NI-CO LATERITE Comments Anticipated annual production of 13,000 tonnes per annum (tpa) of nickel metal and 1,300 tpa of Co metal equivalents in which the Nickel and cobalt product to be produced as a mixed sulphide product.

Web Page www.resmin.com.au

2011 Mineral Resource Estimate Mt Nickel (%) Cobalt (%)

Indicated 72 1.03 0.07

Inferred 53 1.09 0.06

Total 125 1.06 0.07

Contained Metal (kt) 1,325 83

Frieda River Nickel Laterite Active Prospect

Descriptive Location: Frieda River, West Sepik Province 1:100 000 sheet Number and Name: 7288 STOLLE

Grid Reference: Zone 54 603482mE 9484112mN Latitude 4° 40' 0.0114"S Longitude 141° 55' 58.7994"E Commodities Size Size Definition NICKEL MEDIUM 25 000 - 500 000

Published Reserves/Resources 210 000t (PNG GENMODEL DATABASE) Tenure Type/Number SHARE Company Name/Surname EL 1583 100% REDSTONE METALS LTD Host Rock/Formation Name/Age Host Rock Formation Name/Age LATERITE APRIL OPHIOLITE / CRETACEOUS Mineralization Age ORE PLIOCENE

Deposit Model RESIDUAL NI-CO LATERITE

Mambare Nickel Project Active Prospect

● JORC Complaint resource estimate: indicated and inferred resource of 95.1 million tonnes grading 0.96%Ni and 0.08% Co, for 912,595 tonnes of contained Nickel using a 0.60% nickel cut-off grade.

● Resource estimate is based on the 2011 exploration campaign and from only those holes from the 2008 exploration campaign located within 2011 drilling area. 162 drill holes and 5 test pits.

● Significant resource potential is in the north and west sides of the project which remains untested. Further work to delineate the extent of the current JORC resource.

Lake Trist Active Prospect

Descriptive Location: Wau, Morobe Province 1:100 000 sheet Number and Name: 8283 WAU

Grid Reference: Zone 55 494483mE 9170976mN Latitude 7° 30' 0"S Longitude 146° 56' 59.9994"E

Commodities Size Size Definition NICKEL MEDIUM 25 000 - 500 000 tonnes NI CHROMITE COBALT

Published Reserves/Resources 440 000t (PNG GENMODEL DATABASE)

Tenure Type/Number SHARE Company Name/Surname EL 1675 BESTINO GOLDEN HOUSE (PNG) LTD

Host Rock/Formation Name/Age Host Rock Formation Name/Age LATERITE PAPUAN ULTRAMAFIC BELT / CRETACEOUS

Mineralization Age ORE PLIOCENE

Deposit Model RESIDUAL NI-CO LATERITE

Comments More work is required in the area to redefine and / or increase the known resources/reserves.

Web Page www.exporter.importershub.com/exporter

Koreppa Nickel Prospect Inactive Prospect

Descriptive Location: Popondetta, Oro Province 1:100 000 sheet Number and Name: 8381 ALBERT EDWARD

Grid Reference: Zone 55 524356mE 9120148mN Latitude 7° 57' 34.9914"S Longitude 147° 13' 15.6"E

Commodities Size Size Definition NICKEL SMALL 250 - 25 000 tonnes NI

Published Reserves/Resources 9600t (PNG GENMODEL DATABASE)

Tenure Type/Number SHARE Company Name/Surname N/A

Host Rock/Formation Name/Age Host Rock Formation Name/Age HARBURGITE PAPUAN ULTRAMAFIC BELT / CRETACEOUS

Mineralization Age ORE PLIOCENE

Deposit Model RESIDUAL NI-CO LATERITE

Comments

Web Page

Oenake Mountains Inactive Prospect

Descriptive Location: Vanimo, West Sepik Province 1:100 000 sheet Number and Name: 7182 VANIMO

Grid Reference: Zone 54 504668mE 9703562mN Latitude 2° 40' 54.9834"S Longitude 141° 2' 31.2"E

Commodities Size Size Definition NICKEL SMALL < 25 000 tonnes NI CHROMITE

Published Reserves/Resources 24 000ppm Ni (PNG GENMODEL DATABASE)

Tenure Type/Number SHARE Company Name/Surname N/A

Host Rock/Formation Name/Age Host Rock Formation Name/Age LATERITE PAPUAN ULTRAMAFIC BELT / CRETACEOUS

Mineralization Age ORE PLIOCENE

Deposit Model RESIDUAL NI-CO LATERITE

Comments

Web Page

NAME FORMATION HOST ROCK

MENYAMA NICKLE-

CHROMITE

LATERITE LATERITE

CLOUD MOUNTAIN

AMBUNTI

METAMORPHICS PERIDOTITE

SITIPA RIVER

HEADWATERS APRIL ULTRAMAFICS LATERITE

KOROSAMERI RIVER APRIL ULTRAMAFICS

HAK RIVER FU INTRUSIVE SUITE LAMPROPHYRE

FU RIVER FU INTRUSIVE SUITE LAMPROPHYRE

PAIAWA DRAINAGE

PAPUAN

ULTRAMAFIC BELT GABBRO

MT BWEBWESO

ARUMU

SLOPES,KOKODA

NICKEL PROSPECT

PAPUAN

ULTRAMAFIC BELT LATERITE

AEWO-

SIRORATA,KUMUSI

RIVER

PAPUAN

ULTRAMAFIC BELT PERIDOTITE

OKAWA

TERRACE,KOKODA

PAPUAN

ULTRAMAFIC BELT LATERITE