Corporate Presentation July 2013 TSX-V : RGX The information - PowerPoint PPT Presentation

Corporate Presentation July 2013 TSX-V : RGX

The information presented contains “ forward-looking statements ” , within the meaning of the United States Private Securities Litigation Reform Act of 1995, and “ forward-looking information ” under similar Canadian legislation, concerning the business, operations and financial performance and condition of Argex Mining Inc. ( “ Argex or the Company ” . Forward-looking statements and forward-looking information include, but are not limited to, statements with respect to estimated production, the estimation of mineral reserves and mineral resources; the realization of mineral reserve estimates; the timing and amount of estimated future production; costs of production; capital expenditures; success of exploration activities; permitting time lines and permitting, mining or processing issues; government regulation of mining operations; environmental risks; unanticipated reclamation expenses; title disputes or claims; litigation liabilities; and limitations on insurance coverage. Generally, forward-looking statements and forward-looking information can be identified by the use of forward-looking terminology such as “ plans ” , “ expects ” or “ does not expect ” , “ is expected ” , “ budget ” , “ scheduled ” , “ estimates ” , “ forecasts ” , “ intends ” , “ anticipates ” or “ does not anticipate ” , or “ believes ” , or variations of such words and phrases or state that certain actions, events or results “ may ” , “ could ” , “ would ” , “ might ” or “ will be taken ” , “ occur ” or “ be achieved ” . Forward-looking statements and forward-looking information are based on the opinions and estimates of management as of the date such statements are made, and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements or forward-looking information. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. The Company does not undertake to update any forward- looking statements or forward-looking information that are incorporated by reference herein, except in accordance with applicable securities laws. The technical information contained in the presentation has been reviewed by André Laferrière, Qualified Person for Argex and conforms to National Instrument 43-101 Standards of Disclosure for Mineral Projects. Investors are advised that National Instrument 43-101 of the Canadian Securities Administrators requires that each category of mineral reserves and mineral resources be reported separately. Mineral resources that are not mineral reserves do not have demonstrated economic viability. The Qualified Person has not done sufficient work to classify the historical resources estimates and the issuer is not treating the historical estimate as current mineral resources The Qualified Person has been unable to verify the information related to the Ni 43-101 mineral resources reported from other companies and included in the presentation Cautionary Note to U.S. Investors Concerning Estimates of Measured, Indicated or Inferred Resources The information presented uses the terms “ measured ” , “ indicated ” and “ inferred ” mineral resources. United States investors are advised that while such terms are recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize these terms. “ Inferred mineral resources ” have a great amount of uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or any part of measured or indicated mineral resources will ever be converted into mineral reserves. United States investors are also cautioned not to assume that all or any part of an inferred mineral resource exists, or is economically or legally mineable. 2 TSX-V : RGX

Patented Extraction Economic Growth Developing Industry Process Potential Relationships NDA ’ s in place with  TiO 2 prices expected to rise   Game-changing, patented major end-users and with global economic growth. extraction process for high- distributors. purity titanium dioxide (TiO 2 ) Currently averaging $3,650  production. Developing collaborative US/tonne*.  partnerships in major sectors  Process can uniquely (accelerate and de-risk the convert low grade ilmenite into learning curve.) high purity TiO 2 .  Currently negotiating purchase and sales agreements with end-users and distributors. *Source: ICIS April 2013 3 TSX-V : RGX

TiO 2 is the most used white pigment  giving life to a colorful world. Safe and environmentally friendly.  The most important properties are  optical:  Brightness  Opacity Gloss   Tone (white) and under-tone (color)  Weather resistant and durable Abrasion (inks, fibers)  4 TSX-V : RGX

Rubber Food & Fibres Specialties Inks 2% Pharmaceutical 2% 3% 3% s 1% Paper 9% Paint 58% Plastics 22% Source: TZMI 2012 5 TSX-V : RGX

6.4 million tonnes per year (2011)* China 4% 7% 22% 9% 10% 20% 13% Others, 15% *Source: Ti Insight 2012 6 TSX-V : RGX

 Current TiO 2 price - $3,650 US tonne* *Source: ICIS Apr. 2013  Prices are expected to double from 2010 to 2015** **Source: Ti Insight LLC, Dec. 2011 7 TSX-V : RGX

Average German uses 9lbs  of TiO 2 per year. Average North American  uses 7lbs of TiO 2 per year. BRICS* currently uses on  average 2lbs of TiO 2 per year.  As emerging countries standard of living increases, so will their use of TiO2. (Ref. Ti Insight, LLC - December 2010) * BRICS = Brazil, Russia, India, China & South Africa 8 TSX-V : RGX

HISTORY OF TiO 2 PRODUCTION  In 1916, the Titanium Pigment Corporation of Niagara Falls, New York and the Titan A/S, of Norway simultaneously began commercial TiO 2 production with Sulfate Process.  In 1948 DuPont introduced the Chloride Process.  60 + years later Argex enters the market with the CTL process. 9 TSX-V : RGX

ARGEX’S CTL PROCESS Patented.  Proprietary.   Environmentally friendly. The only TiO 2 process that can effectively extract  TiO 2 from ores containing different contaminates such as MgO, V, Cr, etc. Uniquely converts low quality ilmenite or mine  tailings that others cannot use into high purity TiO 2 . 10 TSX-V : RGX

 Ongoing refinement has driven TiO 2 purity beyond 99.8%. Color, brightness and opacity of TiO 2 products  meet or exceed those of the industry leaders. Environmentally friendly process:  − Closed-loop process. − Every byproduct is saleable. − Low temperatures required for process. − Minimal inert residual (less than 10% of the feed). − Able to utilize ilmenite from mine tailings that others cannot use. ARGEX’S CTL PROCESS 11 TSX-V : RGX

ARGEX PLANT AND R&D CENTRE VALLEYFIELD, QC 12 TSX-V : RGX

ARGEX’S CTL PROCESS Crushing Ilmenite Ore And milling Acid regeneration Solvant extraction Regenerated HCl ( iron circuit) Filtration Lixiviant Mixed acids Leaching Solvant extraction Atmospheric Inert solid tails Co-product (titanium circuit) pressure Iron oxide Acid regeneration HCl recycling system Regenerated HCl TiO 2 precipitation TiO 2 recovery Surface treatment (filtration) Co-product Finish product Magnesium oxide TiO 2 pigment 13 TSX-V : RGX

CTL PROCESS : MULTIPLE ADVANTAGES Sulphate Chloride CTL Low High Low Raw material cost Ilmenite Rutile Ilmenite ($/ton of TiO 2 feed) ($300) ($1800) ($250) TiO 2 final product Low purity High purity High purity ($/ton of TiO 2 ) ($3500+) (~$4500) (~$4500) Capital expenditure Medium High Low Operational costs Medium High Low Environmental High Medium Low Flexibility in processing Limited Limited Complete flexibility raw material (Cr, V) (Mn, Mg, size) High temp. Very High temp. Low temp. Process Condition High pressure High pressure Atm. pressure (140-180 0 C) (800-1,400 0 C) (70 0 C) TiO 2 Pigment production Rutile/Anatase Rutile Rutile/Anatase 14 TSX-V : RGX