November 28, 2014
Qualified Person: Dallas Cox, B.Eng (Mining), MAusIMM(CP), Principal Consultant of Crystal Sun Consulting Limited has worked as a mining engineer for 28 years, including 10 years as an independent mineral industry consultant. Mr. Cox graduated with a degree in Mining Engineering at the University of New South Wales, Kensington in 1986. He is a member of The Australasian Institute of Mining and Metallurgy, a Chartered Professional (CP), and a qualified person under the guidelines of National Instrument 43- 101. Mr Cox has approved the scientific and technical information in this news release. Forward Looking Statements: This presentation contains forward-looking statements including management's assessments of future plans and operations, and expectations of future production, including the statements with respect to when Mindoro expects production and the direct shipping of high-iron laterite resources at the Agata project to commence. These statements are based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated. These risks include, but are not limited to, the risks associated with the mining and exploration industry (e.g. operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty with respect to results of exploration, the uncertainty of estimates and projections relating to production and the uncertainty of the availability of capital). The assumptions used in the preparation of such statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Company does not undertake to update forward-looking statements except where required to do so by law. www.mindoro.com 2
• Agata limonite DSO operation underway • Plans to ship higher grade saprolite • DFS on nickel processing due by year end • Drilling to increase ni laterite resource • Drilling limestone to advance DSO concept • Experienced partners with successful track record www.mindoro.com 3
Prime 25.4% 68.4% Resources (Philippines) 5% 30.7% 2 Mindoro TVI Pacific 14.4% (TSXV: MIO) (TSX:TVI) 100% MRL Nickel 40% 1 Agata Joint TVIRD 60% (Philippines) Venture Co.’s (Philippines) 1 Option signed in August 2014 to acquire 2 TVI Pacific’s 30.7% interest held through 25% interest from Minimax Mineral subsidiary TVI International Marketing Exploration. Limited www.mindoro.com 4
• Mindoro listed on TSX Venture • Subject to strict financial and disclosure requirements. • TVI Pacific listed on TSX • Subject to further rigorous financial controls and reporting standards. • JV partner TVIRD to list on PSE • Further rigorous financial and disclosure requirements. www.mindoro.com 5
Mindoro (black line) vs TSX Global Mining Index (blue) (1 yr.) 6 www.mindoro.com
($CDN) Sept 27/13 Nov 27/14 Shares outstanding 297M 297M Fully diluted 370M 367M Share price $0.025 $0.040 Market capitalisation $7.4M $11.9M Treasury $239,000 $507,000 (June 2013 & 2014) 7 www.mindoro.com
Bridge Loan • Negotiating with TVIRD for CDN$400,000 • 8% interest • Secured with shares of MRL Nickel • Repayable earlier of Jan. 31, 2015, or receipt of proceeds from proposed convertible debenture Convertible Debenture • Negotiating with TVIRD for CDN$2M convertible debenture • Similar terms as bridge loan • 2 year term • Conversion feature in accordance with rules of TSXV Both financing proposals are subject to final board and regulatory approvals www.mindoro.com 8
(TVI Resource Development (Phils.), Inc) • Agata Mining Ventures Inc. (AMVI) • All Agata DSO operations • Mindoro: 40% & TVIRD: 60% (operator) • Agata Processing Inc. (API): • All Agata non-DSO operations • Mindoro: 40% (15% + 25% option ) • TVIRD: 60% (operator): produce a definitive feasibility study to complete 60% earn-in Interests at production: • Pan de Azucar Mining • TVIRD: 60% • Pan de Azucar Processing • Minimax: 25% • Mindoro: 15% www.mindoro.com 9
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LUZON AGATA NORTH RESOURCE Combined Limonite & Saprolite • Measured & Indicated: 33.94M DMT @ 1.10% Ni Manila • Inferred: 2.09M DMT @ 1.04% Ni AGATA SOUTH RESOURCE Combined Limonite & Saprolite • Indicated: 5.04M DMT @ 0.86% Ni • Inferred: 0.45M DMT @ 0.83% Ni Taganito Nickel Project PALAWAN 30,000 ni tpa Located in the Surigao region, which (Sumitomo- Nickel Asia) Coral Bay Nickel 21,000 Ni tpa has hosted DSO operations since the MINDANAO (Sumitomo/Nickel Asia) 1980s; between 13 & 15 DSO operations since 2011 and exported 27 million wmt in 2013. www.mindoro.com 11
High iron nickel laterite and limestone deposits 2 km from the coast. On west coast, protected from seasonal monsoons LATERITE which limits shipping season on east coast. Little vegetation; few people, no one living on LIMESTONE laterite deposit. MRL NICKEL PHILIPPINES INC. LATERITE RESOURCE www.mindoro.com www.mindoro.com 12 12
Well-Defined Laterite Profile Ferruginous Limonite Zone (high iron – low nickel Phase 1 Direct Shipping Ore (DSO) grades) Included in Agata North Resource proven and probable: Limonite Zone • 9.7M wmt @ 0.93% Ni & 48% Fe (high iron – • DSO operation now underway medium nickel grades) Saprolite Zone Phase 2 Processing (low iron-medium • Supplement limonite DSO nickel • Majority as feed for planned grades) nickel processing plant • DFS due by end of year www.mindoro.com 13
Base Case at $22/wmt (1) (for 100% of Project ) • Mindoro: 40% NPV (10%) after tax (USD) $38M • TVIRD: 60% IRR% 187 Mine Life 10 yrs (majority mined <4 years) Opex 2 $10-$12/wmt Full Capex $11.9M Capex Payback 1 yr. Estimated Total Free Yrs. 4 - 17 Cash Flow for Project Yr. 1 Yr. 2 Yr. 3 (per annum) LOM $(6.9) $10.6 $20.6 $15.0 $1.7 – 1.1 $50.7 Million US$ 1 DSO prices are volatile: reached high of >$40/wmt in July 2014; currently $13-14/wmt www.mindoro.com 14
• DSO offtake agreements: 1.5M wmt high fe/low ni • US$3M advance payments received by Agata Mining • Two DSO shipments to date (3 rd in progress) • Plans to ship every 3-4 weeks • China Bank Letter of Advice to Agata Mining: • US$8M term loan facility (subject to AMVI board approval) • Secured by suretyship of Prime Asset Venture • Proposed use of proceeds: • Ramp up DSO operations • Definition drilling of nickel laterite and limestone • Resource estimate updates www.mindoro.com 15
DSO Shipments Oct. 23 Nov. 18 Tonnes shipped 54,181 55,499 Grade 0.7% ni & 49% fe 0.8% ni & 49% fe Gross Revenue (to jv co.) US$890,000 US$916,000 • Nov. 27/14 market pricing (source: FerroAlloyNet): • 0.6%-0.8% ni & 49% fe = $13-$14 / wmt (Agata grades currently being shipped) • 1.5% ni & 25% - 40% fe = $37- $38 /wmt (similar to Agata saprolite grades) • Plans to ship higher-grade saprolite (1.5% or higher) (subject to securing off-take agreement(s) for saprolite DSO) : • Higher revenue associated with higher nickel content • Agata Mining to ensure sufficient saprolite remains for planned processing operatioin • Definition drilling underway to upgrade resource. www.mindoro.com 16
Objective: upgrade current resource estimate 1. Definition drilling: • 494 diamond drill holes planned • 15-20m depth = total ~7,904 m • Results from 93 holes: up to 2.3% ni & 52.5% fe 2. Data verification drilling: • 143 twin holes planned • 52 holes to date: indicating higher grade & thicker saprolite horizons Expect drilling completed Q1-2015 www.mindoro.com 17
• Aug 2014: bill introduced in Philippines to ban unprocessed exports of ore (direct shipping ore, “DSO”). • Sept. 9: Proponents of bill suggest 7 yrs. before any ban would take effect. • Mindoro’s Agata DSO project would be substantially mined out well in advance. • Production of intermediate nickel product targeted 2016. www.mindoro.com 18
Mining high iron-low nickel limonite for DSO Low iron-high nickel saprolite for potential future processing www.mindoro.com 19
Active Mining Benches Causeway Causeway Payong-payong Stockyard 1 Stockyard 2 village, scheduled for relocation www.mindoro.com 20
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Shippable stockpiles ready to be hauled to causeway stockyard Sampling Stands www.mindoro.com 22
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Loading barges with ship moored offshore www.mindoro.com 26
Transporting laterite ore from the causeway onto a barge. www.mindoro.com 27
Vessel to be loaded with approx. 55,000 tonnes of high iron – low nickel laterite ore from Agata and shipped to purchaser in China. . www.mindoro.com 28
Barges transport ore to offshore vessel. www.mindoro.com 29
Loading laterite ore onto the vessel from a barge. www.mindoro.com 30
The first NHP ‘cake’ at 52% to 54% nickel grade produced during the Agata Pilot Plant test at Intertek Minerals Philippines 31
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