Investor Presentation October 2013 This document contains certain - PowerPoint PPT Presentation

Investor Presentation October 2013

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 . 2

Corporate Information Share Performance $0.70 4,500 Listings: TSX (Canada): FT Daily Volume 4,000 Closing Price $0.60 OTC QX (USA): FTMDF 3,500 Share Price (C$) Share Volume (M) Share Price $0.34 $0.50 3,000 Shares Out – Basic 150.5 $0.40 2,500 Shares Out – Fully Diluted 157.5 2,000 $0.30 Market Cap – Basic $51.2 1,500 $0.20 Working Capital (Q2 2013) $9.7 1,000 Excludes $11.7 from Q3 private placement $0.10 500 Total Assets (Q2 2013) $148.4 $0.00 - All amounts in M or CAD$M except per share amounts. Oct-12 Dec-12 Feb-13 Apr-13 Jun-13 Aug-13 Analyst Coverage Ownership Dealer Date Rating Target China Mining Resources Group Ltd. 10% Killian Charles Procon Resources Inc. 19% June 28, 2013 Spec Buy $3.30 Industrial Alliance Securities Insiders 37% David Davidson July 24, 2013 Spec Buy $1.00 Paradigm Capital Michael Fowler July 22, 2013 Spec Buy $2.65 Loewen Ondaatje McCutcheon As of October 16, 2013 3

Fortune Minerals Limited  Canadian mineral development company  Headquartered in London, Ontario, Canada  Canada Focus - operating in mining friendly jurisdictions Two late-stage projects  Arctos Anthracite Project, BC  Positive Feasibility Study  In BC Environmental Assessment process  NICO Gold-Cobalt-Bismuth-Copper Project, Northwest Territories & Saskatchewan:  Positive Feasibility & FEED Studies  Completing Permitting Process 4

One of the world’s premier metallurgical coal developments – key future supplier to the global steel industry  Joint venture between Fortune Minerals Limited & POSCO Canada Ltd.  Advanced development project with over $100 million of work completed  Updated Feasibility Study with robust economics completed October 2012  Railway development strategy to Port of Prince Rupert – allows for scalable expansion  Plan to extend grid power to site  In BC Environmental Assessment process  Long-term shortages of metallurgical coals with growing world consumption 5

 Validation of Arctos with strategic partnership with POSCO – one of the world’s largest steel companies  Among top 200 global companies - US$ 58 billon revenue - US$ 25 billion market capitalization  Lead innovator in global steel industry  Raw materials investment for vertical integration  POSCO Canada acquired 20% joint venture interest based on template of similar investments in resource projects  $30 million paid to Fortune, $20 million contributed directly to the JV to advance permitting  20% of total development & capital costs – $158 million under current estimates  20% of operating costs for 20% of production in-kind for their own use  Management Committee comprised of Fortune & POSCO representatives overseeing development  Fortune is Project Operator - compensated for providing support over life of mine POSCO Gwanyang steel plant

Arctos is the largest & most advanced Canadian project of high rank anthracite coal  Highest quality metallurgical coal with very high carbon & energy content  Represents only 1% of world coal reserves Metallurgical coal with diverse applications  Metallurgical Reductants / charge carbon  Ultra-Low Vol. PCI  Sinter  Other products:  Filter media  Blend coal with coking coal for making metallurgical coke  Direct coke replacement  Urea fertilizers, synthetic fuels & plastics  Heating & cooking briquettes  Pelletizing  Premium thermal coal  Cement 7

 Steelmakers expanding Pulverized Coal Injection (PCI) use to reduce costs, improve margins  PCI reduces the amount of coke in blast furnace (made from coking coal)  Seaborne PCI market expected to grow at 8% CAGR to 2018  Low-vol PCI typically priced at 70% to 80% of high quality hard coking coal  Arctos PCI will achieve a higher price due to higher carbon & ultra-low volatile content  Arctos coal will also have diverse usage in other metallurgical processes  Sinter feed  Can replace 15% - 30% of blast furnace coke with anthracite  New steel technologies (Cokonyx / HiSmelt)  Growth of electric arc steel manufacturing  Ferroalloys & other metal processing Source: Macarthur Coal, Peabody 8

Supply constraints due to declining exports & lack of new supply  China: 547 million tonnes – net importer since 2004  Vietnam: 44.5 million tonnes – reducing exports to 5% of production by 2015 to utilize production domestically  Few new high-quality deposits in mining friendly jurisdictions Supply of Anthracite - 2011 600 500 Production Production Export Export 400 Mt 300 200 100 0 Vietnam China China Vietnam North Korea* North Korea* Ukraine Russia Other Ukraine Russia Export / 0.8% 43.1% 13.2% 27.1% 48.5% 8.5% Production Source: Company research, corporate presentations, Wood Mackenzie & U.S. Energy Information Administration *Production statistics from 2010 data. “Other” includes Spain, South Africa, South Korea, Germany, USA, and United Kingdom. 9

China became a net coal importer of anthracite in 2004, coking coal in 2007, all coals in 2009 Coal & Anthracite Net Imports by China $350 450 Coal Net Imports (Mt) $300 $291 Anthracite Net Imports (Mt) $300 Hard Coking Coal Price (US$/t) 350 $250 $215 $209 Hard Coking Coal Price (US$/t) $200 250 Net Imports (Mt) $129 $150 $125 $115 $98 $100 150 $58 $47 $45 $50 50 $0 -$50 -50 -$100 -$150 -150 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Source: China Coal Resource Website, Bloomberg 10

Insufficient supply of metallurgical coals Global Met Coal Demand to meet forecast global demand  Increasing demand for anthracite due 1,600 to new steel technologies & lower emissions 1,440 1,400  Emerging economies are driving forces for future metallurgical coal 1,185 demand 1,200  Steel production in China, India, Brazil & other emerging economies 1,000 920 growing rapidly  China’s GDP growth perspective Mt 800  10-14% growth was equivalent to ~$300B of GDP per year 600  Current forecasted growth of 7- 8% is equivalent to ~$550B of 400 GDP per year  Marginal cost of production US$160- 200 180/t - 2010 2015 2020 Source: Peabody Global Energy Analytics, Deloitte 11

 16,411 Ha license area in northwest BC  Plan to use deep water port – Ridley Terminals in Prince Rupert  Mine site straddles railway right-of-way providing access to Ridley Terminals  Track (CN) installed to 150 km south of mine  Railway road bed largely complete to mine  Road access from railway subgrade  Railway extension in Environmental Assessment process  Plan to access grid power to further reduce operating costs  Project in Tahltan & Gitxsan Territories 12