0
Mogul Ventures Corp.
OORTSOG OVOO TIN PROJECT
Q2, 2014
2
THE FOLLOWING INFORMATION may contain forward–looking statements. Forward
looking statements address future events and c...
3
COMPANY OVERVIEW
• MogulVentures Corp. focuses on
exploration, development and
production of metals and coal in
Mongolia...
4
MOGUL VENTURES TEAM
STEVEN KHAN, MBA, CFA
Executive Chairman & Director
Previous 20+ years of experience in all aspects ...
5
MOGUL VENTURES TEAM
DAVID A.TERRY, Ph.D., P.Geo.
SeniorTechnical Advisor
Over 20 years of business experience in the nat...
6
MONGOLIA OVERVIEW
• Recognized as the home of some of the world’s largest natural resource deposits
including coal, gold...
7
MONGOLIA: MINING INDUSTRY OVERVIEW
• Investment Capacity of Mongolia’s
mining industry (5 years): $25 - $30B(1)
• 6,000 ...
8
TIN MARKET OVERVIEW
• As growth in electronics manufacturing shifted from the West to the East,Asia has emerged
as the l...
9
TIN USAGE
• Over 50% of Tin is used as a solder.
Emergence of lead-free solders has
boosted demand
• Tinplate’s share (t...
10
TIN PRODUCTION
• Most ofTin production is from underground mines. Estimated cash costs for a typical underground mine
w...
11
TIN SECONDARY SUPPLY
• Including alloys, more than 30% of
world tin consumption is from
recycled tin
• Not surprisingly...
12
TIN MARKET
• In early 2011,Tin prices hit a high of over $32,000/t
• For new mine supplies to materialize, prices are l...
13
LARGEST UNDEVELOPED TIN DEPOSITS
www.mogulvc.comSource: SNL Metals Economics Group, Company websites, Mogul Ventures Co...
14
PUBLIC COMPARABLES
• Mogul’s Oortsog Ovoo is one of the top near-development tin projects in the world
• Oortsog Ovoo h...
15
OORTSOG OVOO DEPOSIT
• Cassiterite (Sn) skarn system with Zn-Pb-Cu-Fe-
W-Ag-In
• Twenty four ore bodies have been ident...
16
OORTSOG OVOO DEPOSIT
• A significant historical body of exploration
work exists on Oortsog Ovoo
• 41 holes were drilled...
17
GROUND MAGNETICS PROGRAM
1km
1km
North Zone
Middle Zone
Central Zone
Eastern Zone
South-Eastern
Zone
Magnetic
Intrusive...
18
2013 WORK PROGRAMS
• Mogul conducted a 1,500 meter confirmation drill program
in October of 2013
• The program focused ...
19 www.mogulvc.com
2013 WORK PROGRAMS
• Drill core logs generally showed a good correlation in
lithology, thickness and de...
20
GOALS AND OBJECTIVES
EXPLORATION AND FEASIBILITYWORK
• Confirm, expand and delineate resources focusing on the Northern...
21
TIMELINE
www.mogulvc.com
Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15
Geochemistry for Drillin...
22
COAL PROJECT
• Mogul’s license also contains a large coal system consisting of
two deposits: Ovdog Hudag and Ikh Ulaan ...
Contact Information
Jamul Jadamba, CEO & President
+1 416.915.4202 | information@mogulvc.com
Suite 5700 – 100 Kings St. We...
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  1. 1. Mogul Ventures Corp. OORTSOG OVOO TIN PROJECT Q2, 2014
  2. 2. 2 THE FOLLOWING INFORMATION may contain forward–looking statements. Forward looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statement. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause Mogul Venture Corp’s actual results, level of activity, performance or achievements to be materially from those expressed or implied by such forward-looking information. Such factors include, but are not limited to: uncertainties related to the historical resource estimates, the work expenditure commitments; the ability to raise sufficient capital to fund future exploration or development programs; changes in economic condition or financial markets, regulatory, political and competitive developments; technological or operational difficulties or an inability to obtain permits required in connection with maintaining, or advancing projects; and labour relation matters *All historical resource estimates quoted herein date from the 1960s and 1970s and are based on prior data and reports obtained and prepared by previous operators and information provided by the State, using a Russian classification system not compatible with 43-101. Insufficient data exists to compare Russian categories to current C.I.M. categories. A qualified person has not completed sufficient work to verify the classification of the historic mineral resources and as such they should not be considered as current resources and they should not be relied upon. Mogul Ventures believes these historical results provide an indication of the potential of the property and are relevant to ongoing exploration. It should also be noted that mineral resources which are not mineral reserves do not have demonstrated economic viability as defined by NI 43-101 guidelines. www.mogulvc.com
  3. 3. 3 COMPANY OVERVIEW • MogulVentures Corp. focuses on exploration, development and production of metals and coal in Mongolia • The Khar Tolgoi property is a 34,055 ha Mining License located in Dundgovi Province www.mogulvc.com • The Oortsog Ovoo (OO) tin + polymetallic project has a historic resource of 39,000 t of contained tin with additional credits for accompanying metals and a significant upside potential. A substantial body of historic work exists, augmented by Mogul’s modern exploration program • OO appears to be one of the largest and highest grade open-pitable tin deposits in the world. Given sufficient financing, portions of the project can be rapidly moved in to production within 12-18 months Shares Outstanding 112,499,907 Warrants Outstanding 554,195 Fully Diluted 113,054,102 Options 0 Insider Ownership ~70% Capital Structure (01.04.2014)
  4. 4. 4 MOGUL VENTURES TEAM STEVEN KHAN, MBA, CFA Executive Chairman & Director Previous 20+ years of experience in all aspects of the investment industry including executive positions with regional and national full-service Canadian investment brokerage houses. Focused on strategic corporate and business development as well as resource and venture capital financing during the last decade. Holds Director and Executive Officer roles in a number of public and private resource companies. Successfully completed major corporate development initiatives both domestically and internationally including in Japan, Korea and China www.mogulvc.com JAMUL JADAMBA , MBA CEO, President & Director Formerly a natural resource and mining-focused investment banker with an extensive capital raising background, servicing worldwide companies, especially in Mongolia. Former Director and co-founder of the Metals & Mining Group at Rodman & Renshaw LLC. Native Mongolian with well-established relationships with influential business and government leaders in Mongolia. Extensively writes and speaks on topics of Mongolian economy, development and politics for organizations such as Oxford Analytica, Institutional Investor and Business New Europe. He holds a B.S. in Business Administration from Northeastern University and M.B.A from N.Y.U.-Stern School of Business
  5. 5. 5 MOGUL VENTURES TEAM DAVID A.TERRY, Ph.D., P.Geo. SeniorTechnical Advisor Over 20 years of business experience in the natural resource sector, focused primarily on exploration of precious and base metal deposits in North and South America. Director of and advisor to several publicly-listed mineral exploration companies. Specializes in public company management, strategic planning, finance, advanced project evaluation, identification and acquisition of opportunities, design and implementation of effective and cost-efficient exploration programs. Held positions with a number of senior mining companies including Boliden Limited, Westmin Resources Limited, Hemlo Gold Mines Inc., Cominco Limited and Gold Fields Mining Corporation. www.mogulvc.com PUJI JADAMBA Country Manager Over twenty years of experience running various entrepreneurial ventures in Mongolia including natural resources, real estate, cashmere, agriculture and import/export. Was a key principal at the first commercial gold mining company in Mongolia. Extensive local network of business and government contacts and unsurpassed ability to execute locally. HENRY PARK, MBA Director A highly experienced commodity strategist and investor with a background among some of the world’s most elite investment firms, Henry brings a depth of knowledge and an impressive network of contacts within the resource sector. Henry was most recently the Managing Director and Commodity Strategist at Electrum Group, a US based mining private equity firm. Prior to Electrum, he held the same position at Soros Fund Management where he oversaw commodity investing in equities and futures. Henry started his career at GE Capital where he was Assistant Vice President in the distressed debt business, followed by Long/Short equity analyst in basic materials sector for Wingspan platform of Ospraie Fund Management. He holds a B.A. in Economics from University of Chicago and M.B.A. from Columbia University.
  6. 6. 6 MONGOLIA OVERVIEW • Recognized as the home of some of the world’s largest natural resource deposits including coal, gold and copper • Strategic location • Next door to the biggest consumer of commodities in the world – China • Friendly relations and no border disputes with both of its neighbors – Russia and China • Mining is the most important sector: • “Contributes 30% of GDP and 70% of exports”(1) • Favorable political environment: • Mongolian Government focused on the long-term development of resource-related sectors and favorable policies towards business and foreign investments • Stable business-friendly democracy: • 20+ year history of uninterrupted peaceful and democratic government • Homogenous country with minimal risk of ethnic or religious conflict www.mogulvc.comSource: (1) the Ministry of Mineral Resources & Energy of Mongolia
  7. 7. 7 MONGOLIA: MINING INDUSTRY OVERVIEW • Investment Capacity of Mongolia’s mining industry (5 years): $25 - $30B(1) • 6,000 known mineral occurrences(2) • 80+mineral deposits found recognized as economic by the Mineral Resources Authority of Mongolia(3) www.mogulvc.com Mongolia is poised to become one of the fastest growing economies in the world in the next two decades Sources: (1) How much capex the country can absorb given known development projects. Statement made by the former Prime Minister Bayar (2), (3) The World Bank report on “Mongolian Mining Sector: Managing the Future”
  8. 8. 8 TIN MARKET OVERVIEW • As growth in electronics manufacturing shifted from the West to the East,Asia has emerged as the leading consumer of Tin • Not surprisingly, China is both its biggest producer and consumer www.mogulvc.com According to LME, Tin (Sn) is the only industrial metal with ongoing physical supply deficits for 2014
  9. 9. 9 TIN USAGE • Over 50% of Tin is used as a solder. Emergence of lead-free solders has boosted demand • Tinplate’s share (tin coated steel, such as in cans and containers) has come down significantly • There is an increasing trend of tin usage for various chemical and industrial applications such as: • Stabilizer for PVC plastics • Lithium-ion batteries • Cutting-edge technologies such as carbon nanotubes and graphene • Solar cells, acid batteries and electric car batteries • Various chemical catalysts www.mogulvc.com Tin Usage Source: ITRI
  10. 10. 10 TIN PRODUCTION • Most ofTin production is from underground mines. Estimated cash costs for a typical underground mine with 1% grade is ~$20,000/t1 • Open pit production is in a small minority, but has advantage as estimated cash costs at 1% grade are under $10,000/t1 • 10% of world mine production comes from the San Rafael underground mine in Peru (owned by Minsur) which is slated to run out of ore within 3 years2. Small and artisanal mines, which account for ~100ktpa of global mine supply, are being closed as well • Top ten producers have experienced production volume declines in 2012 and 20133 • Indonesia, which supplies 40% of globally mined tin, has tightened regulations requiring tin ingots to trade on ICDX and introducing a floor price4 www.mogulvc.com TopTen Producers in 2012 and 2013 Source: (1) Greenfields Research (2) Minsur (3) ITRI (4) Indonesian Tin Association (t) %change (t) %change 1 Yunnan Tin (China) 56,174 69,760 24% 70,383 0.89% 2 Malaysia Smelting Corporation 40,267 37,792 -6% 32,668 -13.56% 3 Minsur (Peru) 30,162 24,822 -18% 24,397 -1.71% 4 PT Timah (Indonesia) 38,132 29,512 -23% 23,718 -19.63% 5 Thaisarco (Thailand) 23,864 22,847 -4% 22,986 0.61% 6 Yunnan Chengfeng (China) 15,430 16,600 8% 18,300 10.24% 7 Guangxi China Tin (China) 15,517 14,034 -10% 11,870 -15.42% 8 EM Vinto (Bolivia) 10,960 11,241 3% 11,253 0.11% 9 Metallo Chimique (Belgium) 10,007 11,350 13% 10,344 -8.86% 10 Gejiu Zi-Li (China) 8,600 7,000 -19% 6,000 -14.29% Total 249,113 244,958 -2% 231,919 -5.32% 2013 Ranking Company 2011 (t) 2012 2013
  11. 11. 11 TIN SECONDARY SUPPLY • Including alloys, more than 30% of world tin consumption is from recycled tin • Not surprisingly, China again is the biggest recycler • Tin recycling is likely peaking or has peaked www.mogulvc.com Secondary RecycledTin Production Source: ITRI
  12. 12. 12 TIN MARKET • In early 2011,Tin prices hit a high of over $32,000/t • For new mine supplies to materialize, prices are likely to hold or stay above current levels of about $23,000/t www.mogulvc.com Actual and Inflation-Adjusted Prices Historic and Forecasted Demand Source: ITRI
  13. 13. 13 LARGEST UNDEVELOPED TIN DEPOSITS www.mogulvc.comSource: SNL Metals Economics Group, Company websites, Mogul Ventures Corp. 0 50,000 100,000 150,000 200,000 250,000 300,000 350,000 ContainedSn(mt) Grade(%) 1.2 1.0 0.8 0.6 0.4 0.2 Xitian Pravourmiiskoye CataviTailings Achmmach MountLindsay Kokhshetau Rentails Heemskirk Tongkah MountGarnet MountPleasant Oropesa NarsiinKhundlen OortsogOvoo BlueTier JeannieRiver Open Pit UG Tailings Dredge Placer
  14. 14. 14 PUBLIC COMPARABLES • Mogul’s Oortsog Ovoo is one of the top near-development tin projects in the world • Oortsog Ovoo has one of the best grades among known potential open pit mines, further improved by likely credits for accompanying metals www.mogulvc.comSource: Company websites Company Project Location Main Mineral Resources Grade Mkt Cap (4/15/14) Proposed Mining Method Economic Interest Kasbah Resources Kasbah Morocco Tin 135,000 t1 0.90% $44M UG 100% Gillian 23,393 0.65% Pinnacles 21,105 0.30% Deadmans Gully 1,510 0.34% Windermere 5,508 0.27% TOTAL2 51,516 0.46% Stellar Resources Heemskirk Australia Tin 71,500 t3 1.14% $11M UG 100% Mogul Ventures Oortsog Ovoo Mongolia Tin 39,200 t4 0.65%5 N/A Open Pit 100% Venture Minerals Mt. Lindsay Australia Tin/Tungsten 81,000 t6 0.20%6 $26M Open Pit 100% 1 JORC compliant resources: Inferred 93,000 t, Indicated 42,000 t 2 JORC compliant resource, included Indicated and Inferred 3 JORC compliant resource, included Indicated and Inferred 4 Historic resource based on 41 drill holes and 207 trenches. Does not include credits for other metals present such as Cu, Pb, Zn, Ag, Au, Bi, Ca and Fe 5 Grade doesn't account for other metals credit 6 JORC compliant resource, only credits Sn, Sn-equivalent average grade would be 0.40% Consolidated Tin Mines Australia Tin $17M Open Pit 50%
  15. 15. 15 OORTSOG OVOO DEPOSIT • Cassiterite (Sn) skarn system with Zn-Pb-Cu-Fe- W-Ag-In • Twenty four ore bodies have been identified and studied to varying extents • A NI 43-101Technical Report by APEX Geoscience Ltd. under way • Historic exploration focused on Sn provided following results: • Historic Resources totalling 39,237 t Sn Metal reported*, making Oortsog Ovoo an overall top 20 deposit in the world1 • ~6.7 Mt @ an average grade of 0.65% Sn, with no credits for other metals present • The deposit was proposed to be mined via 5 open pits to a maximum depth of 150m, with average stripping ratio of 4:1 • Low Sulphide Sn-dominant (0.25 to 1.13% Sn) and High Sulphide Zn-Pb-Cu-Fe-Ag-In zones delineated *Historical resources - see note on Page 2 of Presentation (1) Based on resource size ranking by ITRI Photo: Crystalline Cassiterite from Oortsog Ovoo
  16. 16. 16 OORTSOG OVOO DEPOSIT • A significant historical body of exploration work exists on Oortsog Ovoo • 41 holes were drilled on the three zones depicted • A significant trenching program of 207 trenches was also conducted • Rock chip samples taken by Mogul also had high grades of copper ranging as high as 1.5%, 3% and over 6% • A total of eight mineralized zones have been identified, three of which have had a significant amount of exploration work • There is excellent potential for expanding resources through exploring the zones that have not seen limited work to date as well as areas in between zones
  17. 17. 17 GROUND MAGNETICS PROGRAM 1km 1km North Zone Middle Zone Central Zone Eastern Zone South-Eastern Zone Magnetic Intrusive? • TheVertical Gradient image above shows a strong linear dipole anomaly is associated with the three main segments which comprise the Northern Zone, which has been delineated to date by trenching and drilling over 1.2km of strike length. 0.5km • The Company contracted a detailed ground magnetic survey in June, 2013 covering a 3.5km by 4km area. • The RTP results (above) shows a significant number of magnetic anomalies were detected; many anomalies correlate with known zones while some require follow-up.
  18. 18. 18 2013 WORK PROGRAMS • Mogul conducted a 1,500 meter confirmation drill program in October of 2013 • The program focused only on the Eastern zone and a segment of the Northern zone of the system.These areas had the most detailed historical exploration with the resulting potential for rapid resource confirmation/delineation and near-term development • The program’s main objectives were: • Parallel drill (twin) select historic holes to confirm and correlate accuracy of historic work • Drill vertical and horizontal step out holes to delineate mineralized zones in detail • Conduct modern assays based on a +90% core recovery rates, which were achieved. This may result in an upside in tin grades compared to the historically reported resource average of 0.65% Sn • Improve the overall geological understanding of the deposits • Subsequent to this program, we believe that either the Northern or Eastern zone can be targeted for rapid exploration and development Photo: Drill rigs at the Eastern Zone of Oortsog Ovoo, magnetite core from drilling
  19. 19. 19 www.mogulvc.com 2013 WORK PROGRAMS • Drill core logs generally showed a good correlation in lithology, thickness and depth of orebody intersects where historical holes were twinned • Core from two drill holes were assayed so far with the following results: • DH# 1W intersected 81.6m averaging 0.63% Sn, with all samples >0.1% • DH# 70Q intersected 34.7m averaging 0.55% Sn, with all samples >0.1% • DH# 70Q was a twin hole for historic DH# 70 and compares favorably with the historically reported 56m averaging 0.47% Sn • The tin mineralization is associated with magnetite skarn with wide intervals of >20% Fe • The program generally confirms historical work on the sections of the deposits drilled in this program • It served to boost our confidence in historic work and ability to rely on it for further exploration, resource delineation and engineering work Northern Zone Eastern Zone
  20. 20. 20 GOALS AND OBJECTIVES EXPLORATION AND FEASIBILITYWORK • Confirm, expand and delineate resources focusing on the Northern and Eastern Zones • Metallurgical testing • Resource modelling and engineering work • Develop a PFS or BFS based on the most advanced mineralized zones by end of Q1 2015 www.mogulvc.com FASTTRACK DEVELOPMENT AND PRODUCTION • Mogul already has a Mining License • Pursuant to feasibility work, a small scale 500 tpd open pit operation can be built by Q4 2015 EXPANSION • Expand production from 500 tpd to 2,000 tpd within the next 2-3 years • Conduct additional exploration to increase resources at Oortsog Ovoo with the goal of making it a +100 kt of contained tin project with additional credits for other metals • Look at acquisition opportunities aimed at consolidating and growing Mongolia’s tin sector
  21. 21. 21 TIMELINE www.mogulvc.com Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Geochemistry for Drilling Program Planning for 2014 Work Program PQ Diamond Drilling for Metallurgy Blasting and Trenching - Bulk Sample for Metallurgy Preliminary Metallurgical Testing NQ drillilng for Deposit Confirmation Geophysics Resource Modelling Additional Metallurgy and Process Design Mine and Site Engineering, Economic Study Environmental Baseline Feasibility Study 2014 2015 Item
  22. 22. 22 COAL PROJECT • Mogul’s license also contains a large coal system consisting of two deposits: Ovdog Hudag and Ikh Ulaan Nuur • Ovdog Hudag has a NI 43-101 Resource Estimate and Report by SRK Consulting which found: • Estimated Inferred Resources - 89.6 Mt* of Thermal Coal • 8 coal seams recognized – 4 fully mineable, 2 partially • Average Gross Calorific value – 5,636 to 6,431 kcal/kg (daf)* • Ovdog Hudag coal deposit historical resources, based on Russian drilling from the ‘60s and ‘70s, using a Russian Classification system and based on >85 drill holes: • 1968: C1+C2 resources totalling 201.2 Mt*1 • 1970: B+C1+C2 resources totalling 168.2 Mt*1 • Ikh Ulaan-Nuur coal deposit is located 7km NNE of Ovdog Hudag and was defined by Russian drilling in the ‘60s and ‘70s • 1970:A+B+C1+C2 resources totalling 86.4 Mt*1 • Excellent potential for additional coal resources to be delineated in the undrilled area between Ovdog Hudag and Ikh Ulaan-Nuur • Open pit accessible coal resources with expected low strip ratio * Ovdog Hudag Coal Deposit – NI43-101 Report by SRK Consulting, June 30, 2012 *1 SRK Consulting External Technical memo, May 28, 2011; “Technical Report on the Coal Resources of the Ovdog Hudag Coal Deposit Dundgovi Province, Mongolia” prepared by Flora Tungalag www.mogulvc.com
  23. 23. Contact Information Jamul Jadamba, CEO & President +1 416.915.4202 | information@mogulvc.com Suite 5700 – 100 Kings St. West Toronto, Ontario M5X 1C7, Canada
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