Magnum Mining And Exploration Limited · ASX:MGU

Magnum Mining And Exploration — Non-Deal Roadshow (October 2018)

15 slides from Magnum Mining And Exploration's roadshow presentation, Oct 22, 2018

1. Slide 1: Institutional Roadshow Presentation

   22 October 2018 The Manager Company Announcements Office ASX Limited Level 40 Central Park 152-158 St Georges Terrace PERTH WA 6000 Dear Sir/Madam Institutional Roadshow Presentation Magnum Mining and Exploration Limited (ASX: MGU) is pleased to provide a copy of a presentation that the Company is u

2. Slide 2: Gravelotte Emerald Project

   • Gravelotte Emerald Project • Hard Rock Trial Mining to commence in early 2019, after successful Phase 1 Trial Mining of dump material

3. Slide 3: Disclaimer

   Disclaimer The summary information contained herein has been provided by Magnum Mining and Exploration Limited (“Magnum” or the “Company”). No representation, expressed or implied, or warranty as to the accuracy or completeness of the information contained herein is made by any party and nothing con

4. Slide 4: Key Points

   Key Points  Near term commercial development opportunity.  Granted Mining Licence and Permits.  Significant mining history and geological data.  Extensive infrastructure.  Emerald brand awareness.  Gravelotte is located in the Limpopo Province, South Africa Gravelotte

5. Slide 5: Strong Production History

   Strong Production History • In the 1950’s & ‘60’s , Gravelotte was the largest emerald mine in the world, employing over 400 sorters, recovering a total of 112.7 million carats of emeralds over the life of operations. • Whilst a complete historical data package is not available, the data that has be

6. Slide 6: Phase 1 – Dump Mining

   Phase 1 – Dump Mining Successful completion of Phase 1 Trial Mining has allowed the Company to finalise the Phase 2 Hard Rock Plant Parameters. Results of Phase 1 Dump Mining: • Treated 256.6 tonnes of crushed dump material from four dumps and recovered 11,775 carats of emeralds. This is an average

7. Slide 7: Phase 2 Trial Mining – Key Parameters

   Phase 2 Trial Mining – Key Parameters • Tonnage to be mined : 8,000 tonnes - hard rock. • Hard Rock Pits – Cobra North, Discovery. • Processing: On site, crushing, washing and XRF/optical sorting. • Projected recovered volume: +250,000 carats. • Projected all up operating costs: <US$2/ct.  Crush si

8. Slide 8: Phase 2 Trial Mining – Planned Timetable

   Phase 2 Trial Mining – Planned Timetable November 2018 • Select and purchase/lease sorting option • Purchase refurbished cone crusher • Fabricate/refurbish washing plant February 2019 • Commission plant and sorter • Mine 8,000 tonne • Commence treating 2,000 tonne per month June 2019 • Completion of

9. Slide 9: Phase 2 Trial Mining – Processing Flowsheet

   Phase 2 Trial Mining – Processing Flowsheet /

10. Slide 10: Advanced Development Potential

    Advanced Development Potential • Historic drilling and mining data confirms continuation of emerald grades and schist thickness at depth. • Significant tailings opportunity situated onsite. • Existing infrastructure. • Historic Cobra and Discovery pits targeted for near term hard rock development. •

11. Slide 11: Base Case Production Targets

    Base Case Production Targets • 100,000 tpa of throughput sourced from hard rock material with recovered grade of 6g/t (30ct/t) (3 million carats per annum). • Opportunity for additional plant feed from tailings grading around 2-3g/t. • Base case sale price for emeralds of US$5/ct. • Targeted cash pr

12. Slide 12: Extensive Infrastructure

    Extensive Infrastructure  55km from Phalaborwa and the Kruger National Park.  Serviced by ESCOM grid power.  Major sealed road to mine gate.  Guest house, 17 x 3 bedroom houses, club house, and amenities.  Mine offices, laboratory, admin offices and clinic.  Workshop and garages.  Mine hostel

13. Slide 13: Gravelotte Summary

    Gravelotte Summary  Historic mining area  Geology well known and understood  Hard rock as well as tailings resource potential once economic values have been established  Cobra branded emeralds well known in market place  Existing infrastructure  Granted Mining Licence and permits  Simple path

14. Slide 14: Issued Capital and Company Directors

    Issued Capital and Company Directors • No. of Shares on Issue: 279,578,818 • No. of Unlisted Options: 9,000,000 Directors: Howard Dawson – Non-Executive Chairman Grant Button – Chief Executive Officer Francesco Cannavo – Non-Executive Director

15. Slide 15: Magnum Summary

    Magnum Summary • Phase 2 Trial Mining to commence in early 2019. • Near term production opportunities. • Tight company structure. • Parcel of emeralds to be produced will provide feedback on demand and value of emeralds. The information in this presentation that relates to Exploration Results and Mi

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