Investor Presentation May 2014 1 This document contains certain - PowerPoint PPT Presentation

Investor Presentation May 2014 1

This document contains certain forward-looking information. This forward-looking information includes, or may be based upon, estimates, forecasts, and statements as to management’s expectations with respect to, among other things, the size and quality of the Company’s mineral resources, progress in development of mineral properties, timing and cost for placing the Company’s mineral projects into production, costs of production, amount and quality of metal products recoverable from the Company’s mineral resources, demand and market outlook for metals and coal and future metal and coal prices. Forward-looking information is based on the opinions and estimates of management at the date the information is given, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. These factors include the inherent risks involved in the exploration and development of mineral properties, uncertainties with respect to the receipt or timing of required permits and regulatory approvals, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal and coal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future, uncertainties related to metal recoveries and other factors. Mineral resources that are not mineral reserves do not have demonstrated economic viability. Inferred mineral resources are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as mineral reserves. There is no certainty that mineral resources will be converted into mineral reserves. Readers are cautioned to not place undue reliance on forward-looking information because it is possible that predictions, forecasts, projections and other forms of forward-looking information will not be achieved by the Company. The forward-looking information contained herein is made as of the date hereof and the Company assumes no responsibility to update them or revise it to reflect new events or circumstances, except as required by law . Cautionary Statement regarding the preliminary economic assessment of the Revenue Silver Mine (“RSM”) This presentation includes a preliminary ("PEA") with respect to the RSM. The PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the econeconomic assessment omic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEA will be realized. The PEA is based on the Company's assessment of the mineral resources at the RSM and the RSM's production infrastructure and is subject to the qualifications and assumptions contained in this presentation, including without limitation the assumptions contained under the heading “Financi al Model Assumptions" and the qualifications contained under the heading "Forward- Looking Information” 2

Corporate Information Share Performance Daily Volume Listings: TSX (Canada): FT $0.50 5,000 Closing Price $0.45 4,500 OTC QX (USA): FTMDF $0.40 4,000 Trading Volume (M) Share Price $0.35 Share Price (C$) $0.35 3,500 Shares Out – Basic 188.2 $0.30 3,000 Shares Out – Fully Diluted 197.6 $0.25 2,500 $0.20 2,000 Market Cap – Basic $65.9 $0.15 1,500 Working Capital (Q1 2014) $7.4 $0.10 1,000 Total Assets (Q1 2014) $113.3 $0.05 500 All amounts in M or CAD$M except per share amounts. $0.00 - May-13 Jul-13 Sep-13 Nov-13 Jan-14 Mar-14 Analyst Coverage Ownership Dealer Date Rating Target Procon Resources Inc. 19% Killian Charles Directors & Officers 5% June 28, 2013 Spec Buy $3.30 Industrial Alliance Securities Insiders total (includes Procon) 24% David Davidson May 13, 2014 Spec Buy $1.25 Paradigm Capital Michael Fowler May 12, 2014 Spec Buy $2.65 Loewen Ondaatje McCutcheon As of May 21, 2014 3

 Canadian mining company  Headquartered in London, Ontario, Canada  Operating in mining friendly jurisdictions Acquisition of Revenue Silver Mine  Historical 14 million oz silver producer in southwest Colorado, U.S.A.  Producer in advanced stages of commissioning & ramping up to 400 tons / day  See Revenue Silver Mine presentation for details Two late-stage projects  Arctos Anthracite Project, BC  Positive Feasibility Study  In BC Environmental Assessment process  NICO Gold-Cobalt-Bismuth-Copper Project, Northwest Territories (NT) & Saskatchewan (Sk):  Positive Feasibility & FEED Studies  EA approvals received for NT & Sk sites  Combined pre-tax NPV of $ 1 billion (1) (1) Please see “Cautionary Statement regarding Preliminary Economic Assessment of the RSM” 4

 Significant deposit of gold, cobalt & bismuth co-products & by- product copper  Positioned to be one of the largest & lowest cost suppliers of cobalt sulphate to the rapidly expanding battery sector  Very advanced project with $110 million already invested – Including pilot plants & test mining  EA’s completed in NT & SK  2014 updated positive Feasibility Study based on vertically integrated mine & mill in Northwest Territories & refinery in Saskatchewan  Attractive economics – Pre-tax NPV of $254 million* & IRR 15.6% - Highly leveraged to increases in cobalt & gold prices with low downside risk  Cycle metal pricing sensitivity analysis indicates potential levered pre-tax 7% NPV of $543 million  Negative cash cost – Cobalt cash cost (net of credits) of negative US$5.19/lb  Planned production in 2017 , subject to project financing - Negotiations underway Test mining 2006/2007 *Levered base case: pre-tax, 7% discount rate 5

June 27, 2013 - Strategic (19.4%) investment of C$11.7 million by Procon Resources Inc. (Procon)  Procon is controlled subsidiary of China CAMCE Engineering Co., Ltd.  Procon acquired interest in Fortune as 1 st stage investment for proposed project financing to develop NICO project  Long-term strategic & financial partner to help advance NICO project  Provided financing in challenging capital market – Validates Fortune as company with high growth potential  Financing overview:  CAMCE/Procon anticipated to contribute equity & debt guarantee with Chinese bank  Right to conduct mining contracting & construction services to project on commercially competitive terms  CAMCE/Procon has one seat on Fortune’s board of directors 6

 Proven flow sheet to produce high value products:  Gold: Doré Bars  Cobalt: Sulphate Heptahydrate (~20.9% Co) – Potential to diversify production with cathode, Carbonate, Oxide, Chloride & Nitrate  Bismuth: ingot (>99.995% Bi), needles (>99.995% Bi) & Oxide (89.7% Bi)  Copper: Cement (~90% Cu) – Potential to produce Cathode Gold Doré Cobalt Sulphate Copper Cement Bismuth Ingot Bismuth Needles Bismuth Oxide 7

10-Yr Historical Gold Price $1,800 $1,669  Gold price increased in the past decade $1,574 $1,600  While mine supply remains relatively flat, $1,398 future demand continues to grow: $1,400  $1,211 Growing physical demand from Asia & $1,200 central banks $1,000  Investment demand based on $873 $873 currency protection & safe haven $800 $697 status $604 $600  Flexible financing opportunities $363 $410 $445  Significant counter-cyclical metal hedge $400 NICO contains 1.1 million ounces of gold $200 $- 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Source: Bloomberg, Consensus Economics Inc. 8

 Wide chemical & metallurgical market applications in batteries, high strength alloys, Cobalt Consumption by End Use cutting tools, magnets, catalysts & pigments 2013  High purity cobalt is used in aerospace applications Battery Chemicals 4% 3% 7% (42%) 7%  Cobalt sulphate & oxide used in lithium ion & Superalloys (19%) 42% nickel metal hydride batteries for electronic 9% devices & hybrid/electric vehicles Hard Materials (9%) 9%  Chemical applications accounted for 58% of Catalysts (9%) worldwide cobalt demand in 2013 & expected 19% to dominate future cobalt consumption Ceramics / Pigments (7%)  Over past decade, demand growth was primarily from use in chemical applications, particularly rechargeable batteries & catalysts  Cobalt demand expected to grow at ~7% per year in the next five years 9

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 Tesla plans to build $5 billion lithium-ion battery plant in U.S.  Anticipated to produce 500,000 lithium-ion batteries by 2020 – more than were produced globally in 2013  Model S uses Nickel Cobalt Aluminum (NCA) cathode chemistry from Panasonic (contains ~9% cobalt)  Tesla preference for North America suppliers to minimize environmental impacts & material costs  SMPP stands out as North American facility dedicated to the production of cobalt chemicals 12

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