Tungsten in Spain & Portugal AIM : WRES www.wresources.co.uk - PowerPoint PPT Presentation

Tungsten in Spain & Portugal AIM : WRES www.wresources.co.uk February 2016

Disclaimer This presentation was prepared by and is the property of W Resources Plc (“W Resources” or “the Company”). No reproduction or distribution this material is permitted to companies or individuals outside of those for whom this is intended. No agents, brokers or investment banks are authorised to present this material to other parties for the purpose of soliciting potential clients or transactions of any kind without prior consent to do so. While the Company is not aware of any inaccuracies, no warranty or representation is made by the Company or their respective employees and representatives as to the completeness or accuracy of the information contained herein. The Company, JLSI and their respective employees and representatives expressly disclaim any liability for damages, direct or consequential, arising out of or related to this presentation or omissions there from, or any other information provided in writing, orally or otherwise regarding this potential transaction. Any party considering a transaction with the Company agrees to look solely to its own due diligence and any representations, warranties and/or covenants set forth in a fully-executed, definitive written agreement with the Company relative to the transaction. Certain matters discussed in this presentation are “forward - looking statements”. These forward -looking statements can often but not always be identified because the context of the statement will include words such as “the Company expects,” “anticipates” or words of s imilar import. Similarly, statements that describe the Company’s capabilities, future plans, objectives or goals are also forward -looking statements. Such forward looking statements are subject to significant risks and uncertainties, including the financial performance of the Company and the viability of its technology. These risks could cause actual results to differ materially from those currently anticipated. Although the Company believes the expectations reflected in any forward-looking statements are based on reasonable assumptions, the Company can give no assurance that its expectations will be attained. Potential investors, customers, suppliers and other readers are urged to consider this factor carefully in evaluating any forward-looking statements. Forward-looking statements made herein are only made as of the date of this presentation and the Company undertakes no obligation to update such forward looking statements to reflect subsequent events or circumstances. Technical information in this presentation has been prepared and approved for inclusion by Mr Fernando de la Fuente, who is a “qualified person” in respect of the AIM Rules for Companies with over 39 years experience in the Exploration and Mining Geology industry. Mr de la Fuente holds a B.Sc. in Geology and a MSc in Geology from the University of Granada in Spain. He is also a member of the Spanish College of Geologists (Number 49), the Spanish Society of Mineralogy, founder member of the Spanish Society of Geology, member of the Spanish Association of Applied Geology to Mineral Deposits, member of the Society for Mining, Metallurgy and Exploration, Inc., member of PDAC. Some of the technical information contained in the W Resources Plc February 2016 Presentation was prepared and first disclosed under the JORC Code 2004. It has not been updated since to comply with the JORC Code 2012 on the basis that the information has not materially changed since it was last reported. Foreign Exchange rate used in this presentation - US$1.00 = € 0.90 February 2016 2

Overview Projects Ticker: AIM: WRES Two large tungsten mines in development Focus: Tungsten, copper & gold - production, development & La Parrilla Mine, Spain: JORC Resource of exploration 51mt @ 0.096% WO 3. Open pit tungsten Shares in issue: 3,693,937,493 Ordinary Shares mine development. Fast tracking for 2016 production Market cap: GBP 19.58m (@ 0.53p – 19 Feb 2016) Experienced Michael Masterman Régua, Portugal: Tungsten development. Directors: Byron Pirola JORC resource of 5.46mt @ 0.28% WO 3 , David Garland at a cut-off of 0.10% WO 3. Focussed on trial mine production in 2017 Significant Shareholders (as at 21 January 2016) Tarouca, Portugal: Former tungsten and M Masterman 20.52% tin mine where advanced exploration is Hansource Investments Ltd 9.02 % progressing B Pirola 6.77 % CAA / Portalegre, Portugal: Advanced H Gibson 4.63 % copper-gold exploration C Scott 4.04 % February 2016 3

Overview Régua, Portugal Open pit / UG tungsten Tarouca, Portugal mine development - 1,300 tpa Former tungsten / tin mine advanced Régua JORC Resource of Porto exploration 5.46mt @ 0.28% WO 3 . SPAIN progressing Tarouca Madrid Portalegre Lisbon La Parrilla Mine, Spain La Parrilla CAA / Portalegre, Open pit tungsten Portugal PORTUGAL mine development - Advanced copper- 1,300 tpa expanding gold exploration Seville to 5,000 tpa JORC estimate JORC Resource of underway 51mt @ 0.096% WO 3 . February 2016 4

Milestones to Date La Parrilla Total JORC resources estimate increased 16% to 51 mt at 0.096% WO 3 and 0.108% Sn Built and commenced production at La Parrilla tailings, achieving product quality of 60% WO 3 Shipped over 111 tonnes of tungsten concentrate to date Strong customer relationships and credibility of product Established infrastructure base for FTM development, grid power connection, road, laboratory and water access Environmental and development approval received in H2 2015 On track for first mine production in late 2016 Régua Drilled extensions – remains open in all directions and at depth Conceptual mine study completed New JORC Resource increased from 4.46Mt at 0.308% WO 3 to 5.46Mt at 0.280 WO 3 Trial Mine targeting first mine production in 2017 February 2016 5

La Parrilla Highlights By 2018: 5,000 TPA tungsten US$ 90 m pa Revenue 150% increase large profitable mining company US$ 16 m US$ 121 MTU capital cost low operating costs US$ 124 m NPV 70 % IRR net present value robust high return project February 2016 6

La Parrilla - ‘‘The Grill’’ Current 51mt JORC 1. Large deposit open north, south & west 100 mt target 2. Scalable to market, Faster to build growth at low capital cost Low cost to expand US$16m financing Low cost opex 3. Bankable AAA Customers Approved February 2016 7

La Parrilla - Updated Resource Estimate 70% / 36mt Indicated (Increase from zero to 36mt) Open at higher grades to North, South, West and at Depth 3 high grade zones at surface identified for initial mining Tonnage WO 3 Sn Classification (Mt) (ppm) (ppm) Indicated 36 965 115 Inferred 15 947 92 Total 51 960 108 Golder Associates Pty Ltd – February 2016 February 2016 8

La Parrilla Mine - Large Resource Growth Potential IP04 Significant intersection 32 metres @ 0.55% WO 3 La Parrilla West (LPW) Area IRC1-33 19 metres @ 0.20% WO 3 Fast Track Mine IRC1-40 40 metres @ 0.32% WO 3 (FTM) Area February 2016 9

La Parrilla - 100m + Tonne Target U.V February 2016 10

La Parrilla - 100m + Tonne Target February 2016 11

Optimisation Results: Sectional View February 2016 12

Mining Pit 11 Initial 5 years of operation Low strip ratio in initial years (1:1) Feed Grade average of 0.110% WO 3 Lateral N, S, W resource expansion will increase NPV February 2016 13

La Parrilla - Scalable at Low Cost 5,000 tpa * + US$ 30m 2,600 tpa * • Crushing Circuit upgrades 1,300 tpa * • X-Ray Ore Sorting or increased jig capacity + US$ 6m FTM – US$ 16m • Concentrator capacity upgrades • New crushers • Increase crusher hr • Jig & Mill • Increase Jig run hr • Concentrator • Concentrator * Concentrate @ 66% WO 3 Upgrades capacity upgrades February 2016 14

La Parrilla - Low Financing Requirement $’000 / Long term Capex Required Project tonne Production US$ Millions FTM La Parrilla 10,400 5,000 36 52 16 (W Resources Plc) Barruecopardo 23,076 2,600 60 (Ormonde) Drakelands 58,260 ~3,450 201 (Wolf Minerals) Nui Phao 73,300 6,000 440 (Masan Group) Source: Ormonde, Wolf Minerals & MasanGroup Websites February 2016 15

La Parrilla - Scalable Installed equipment capacity from day one • 325 tph Crushing and Screening • 200 tph of Jigging Capacity • 80 tph of Final Concentration Capacity Concentrate 66% WO 3 1300 tpa 2600 tpa 5000 tpa Unit Area Feed Rate Feed Rate Feed Rate RoM 875ktpa 1.9Mtpa 3.5Mtpa Crushing 220 325 500 Jigging 130 190 300 (2 trains) Concentrator 70 110 250 Production 85,000 mtu 160,000 mtu 300,000 mtu Capex $16m $6m $30m February 2016 16

La Parrilla: Fast Track Mine Layout Existing Open Pit Open pit = low mining costs Existing Tailings Initial Fast Track Dump Mining Area Coarse Jig Rejects & Dry Stacked TSF Mine Waste Dump Extra TSF Storage Capacity February 2016 17

Core Infrastructure in Place 7km from main Seville / Madrid Highway Power grid connection established Access to quality water supply Short trucking distance from both Atlantic and Mediterranean ports Accommodation, office and employee facilities operational On-site laboratory operational February 2016 18