3. DISCLAIMER
This presentation relating to MMX Mineração e Metálicos S.A. (“MMX”) includes “forward-looking statements”, as that term is defined in the
Private Securities Litigation Reform Act of 1995, in Section 27A of the Securities Act of 1933 and Section 21E of the U.S. Securities Exchange
Act of 1934. All statements other than statements of historical facts are statements that could be deemed forward-looking statements and are
often characterized by the use of words such as “projects”, “expects”, “anticipates”, “intends”, “plans”, “believes”, “estimates”, “may”, “will”, or
“intends”, or by discussions or comments about our objectives, strategy, plans or intentions and results of operations. Forward-looking
statements include projections regarding our operating capacity, operating expenditures, capital expenditures and start-up dates.
By their nature, these forward-looking statements involve numerous assumptions, uncertainties and opportunities, both general and specific.
The risk exists that these statements may not be fulfilled or, even if they are fulfilled, the results or developments described in such statements
may not be indicative of results or developments in future periods. We caution participants of this presentation not to place undue reliance on
these forward-looking statements as a number of factors could cause future results to differ materially from these statements.
Forward-looking statements may be influenced in particular by factors such as the ability to obtain all required regulatory approvals on a timely
basis or at all, exploration for mineral resources and reserves, difficulty in converting geological resources into mineral reserves, and changes
in economic, political and regulatory conditions. We caution that the foregoing list is not exhaustive. When relying on forward-looking
statements to make decisions, investors should carefully consider these factors as well as other uncertainties and events.
MMX does not undertake to update our forward-looking statements unless required by law. This presentation is neither an offer to sell (which
can only be made pursuant to definitive offering documents) nor a solicitation of an offer to buy any securities in the United States, or any other
jurisdiction. The securities referred to herein have not been registered in any jurisdiction, and in particular, will not be registered under the U.S.
Securities Act of 1933, as amended, or any applicable state securities laws and may not be offered or sold in the United States absent
registration or an applicable exemption from such registration requirements.
This presentation and its contents are proprietary information and may not be reproduced or otherwise disseminated in whole or in part without
MMX’s prior written consent.
Investor Relations
Rodolfo Landim – Investor Relations Officer
Elizabeth Cruz – Manager
Gina Pinto - Analyst
Tel. 55 21 2555-5634 / 5558/ 5563
ri@mmx.com.br
http://www.mmx.com.br/ri
4. COMPANY PROFILE COMPANY OVERVIEW
MMX was created by a team of mining specialists led by Eike Batista
Experienced management team
Majority of members of the Board of Directors are independent
Independent Audit Committee
Focus on iron ore provided by high-quality products
Integrated mining operations and metallic plants connected to independent
logistics, structured in self-sufficient systems
Health, safety, environmental and social responsibility
Listed in the Novo Mercado - BOVESPA
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5. COMPANY PROFILE BOARD OF DIRECTORS & EXECUTIVE
OFFICERS
Eike Batista – Chairman & CEO
Board of Directors Board of Executive Officers
Rodolfo Landim – Executive President and
Michael Stephen Vitton IR Director
Eliezer Batista Adriano Vaz – Administrative and HSEC
Director
Independent Members: Dalton Nosé – Chief Operating Officer,
Metallics
Gilberto Sayão
Joaquim Martino – Chief Operating Officer,
Hans Mende Mining
Paulo Gouvêa – General Counsel
José Luiz Alqueres
Ricardo Antunes – Commercial Director
Peter Nathanial
Rudolph Ihns – Chief Financial Officer
Raphael de Almeida Magalhães
Audit Commitee
Samir Zraick Samir Zraick
Carlos José da Silva Azevedo
Special Advisor:
Rivadávia Carsalade Herbster Gusmão
Amaury Temporal
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6. COMPANY PROFILE CORPORATE STRUCTURE
70% 70% 70% 100%
MMX MMX MMX
MMX
Corumbá Amapá Minas-Rio
(Mine+Railway+Port) (Mine+Pipeline+Port) Metallics
(30% Centennial Asset (30% Centennial Asset (30% Centennial Asset
Corumbá) Amapá) Minas-Rio)
Definitive Share Purchase Agreement signed with Cleveland Cliffs for the purchase of
Centennial Asset´s 30% stake in MMX Amapá for US$ 133 million (approximately 39%
premium over IPO value).
Centennial Asset is negotiating with strategic partners its 30% stake interest in MMX
Corumbá and MMX Minas-Rio.
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7. COMPANY PROFILE MMXM3 IN NOVO MERCADO - BOVESPA
Stock Trading Evolution
Successful IPO Price Number of Volume Market
(US$) Trades Traded (3) Cap. (3)
(daily average) (daily average)
R$ 1,119 million (US$ 509 million) July (1) 377 19 5.3 1,433
August 381 1 1.7 1,449
September 375 2 0.2 1,426
1,373,000 subscribed shares October 373 2 0.2 1,420
November 414 4 1.2 1,575
December (2) 417 3 1.0 1,587
(1) Negotiation started on July 24
(2) As of December 13
(3) In US$ millions
Capital Stock – 3,803,878 common shares Geographic Distribution
Controlling FreeFloat
19% 24%
Shareholder and
Brazil
Management
11% United States
Canada
EU
46%
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8. COMPANY PROFILE MMX IN THE CAPITAL MARKET
Target Price for MMXM3 Stock Split Program
Firm Name Target Price Last Update Date Ratio
ABN Amro $606 Nov 10, 2006 January 2007 2 → 1 share
Credit Suisse $756 Nov 29, 2006
Itau Corretora Buy $568 Oct 26, 2006 July 2007 2 → 1 share
Banco Pactual S.A. $625 Sept 13, 2006
January 2008 10 → 1 share
Macquarie $696 Nov 3, 2006
Average $650 MMXM3 = price per share, minimum lot of 100 shares.
Premium To Current 56%
Listing in Canada – Toronto Stock Exchange:
Auditing of MMX Systems´ resources and mineral reserves under way – Canadian
Standard NI-43.101 – disclosure is expected for 1Q07;
3Q06 USGAAP Financial Statements to be reported in December;
Level I Global Depositary Receipts (GDR) Program approved by CVM in December 2006 -
GDR per Common Share ratio of 40:1 - estimated GDR CAD$12 (Dec 13 prices).
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9. COMPANY PROFILE MMX INTEGRATED SYSTEMS
MMX Integrated Systems develop and operate iron
ore mines, pig iron and semi-finished plants and a
pelletizing plant.
MMX Amapá System
Iron Ore Fines: 6.5 Mtpy
Pig Iron: 2.0 Mtpy
Semi-finished: 0.5 Mtpy
MMX Minas-Rio System
Iron Ore: 26.6 Mtpy
Pellets: 7.0 Mtpy
MMX Corumbá System
Iron Ore: 4.9 Mtpy
Pig Iron: 0.4 Mtpy Engineer Eliezer Batista
Semi-finished: 0.5 Mtpy Natural Reserve
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10. COMPANY PROFILE IRON ORE RESOURCES AND RESERVES
MMX Corumbá System
Mine 63 – expected production: lump (85%) and sinter feed (15%)
Drilling performed: 3,611 meters as of November 2006
Of the 21 mining rights, 3 were researched as of September 2006 (2 measured)
GEOLOGICAL RESOURCES – as of ÁPROJECT
RESOURCES CORUMB 31, 2006
March
MMX Amapá System
Resource
Long term (20 years) supply contract with Gulf Industrial Area AREA Classification Tonnage (MT)
Investment Co. (GIIC) for 6.5 Mtpy
Drilling performed: 28,254 meters as of November 2006 Mine 63 Indicated 65
Of the 18 mining rights, 3 were researched and measured
Taboca and Indicated 220
Vila do Meio Inferred 155
MMX Minas-Rio System Itapanhoacanga
Indicated 408
Inferred 159
Pellet feed production to begin in 2009
João Monlevade Inferred 147
Drilling performed: 19,736 meters as of November 2006
TOTAL 1,154
Of the 27 mining rights, 12 were researched as of November
2006 (5 measured)
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11. OPERATIONAL STATUS MMX PROJECTS TIMELINE
Vertically Integrated High Value-Added Projects
37
31
19
Production of iron ore (Mt)
9
Production of pig iron (Mt)
4 1.5 1.5 1.0
Production of semi-finished (Mt) 0.7 0.1 1.3 0.5 1.0
1 0.2
2003 2004 2005 2006 2007 2008 2009 2010 2011
Engineering; Amapá Start-up Start-up Pellet
Start-up Mini Start-up Minas Plant
Asset acquisition beginning of Railway Amapá Mine Mill Corumbá -Rio System Minas-Rio
drilling Concession System
Start-up Minas-Rio: Start-up Start-up Pig Start-up Mini
Corumbá drilling of new Pig Iron Iron Amapá Mill Amapá
Mine areas Corumbá
Beginning of
Pipeline and
Port
construction
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12. OPERATIONAL STATUS ENVIRONMENTAL PERMITTING TIMELINE
MMX Systems
Corumbá
Mine and processing
Pig Iron Mill
Mini Mill
Amapá
Mine and processing
Port
Pig Iron Mill
Mini Mill
Minas-Rio
Mine and processing
Pipeline
Port
Pellet Plant
2005 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2006 2007 2008 2009 2010
PERMIT GRANTED
Preliminary License – approves project studies
PERMIT EXPECTED
Construction License – authorizes infra-structure works
Operational Start-up
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13. OPERATIONAL STATUS CAPEX DISBURSEMENT TIMETABLE
CAPEX – By System (US$ million) CAPEX – By Activity (US$ million)
2006 2007 2008 2009 - 2013 Total (*)
2,377
Corumbá 88 93 23 - 220
Mine 42 13 - - 72
Metallics 46 80 23 - 148
Amapá 87 294 382 153 915
1,225
Mine 60 54 38 - 152
Logistics 21 59 40 - 120 995
828
Metallics 5 181 304 153 643
543
Minas-Rio 134 772 1,133 427 2,466 330 283 297
254
Mine 100 282 348 241 971 54
Logistics 31 420 569 42 1,062
Pellet Plant 3 70 216 144 433
2006 2007 2008 2009 - 2013 Total (*)
Total 308 1,158 1,538 580 3,602 Mine & logistics Metallics
(*) includes 2005 figures
As of September 2006, expenditure of US$ 64.5 million.
Disbursement timetable under review, payments carried over to 2007 (approximately US$129 million).
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14. OPERATIONAL STATUS FINANCING
Financing in progress to carry out execution of Business Plan
US$ million
Project CAPEX Financing (1) Lenders Status
(1)
Status Term
Mine 2,378 1,744 ABC/Unibanco/
Corumbá 72 26 Itaú BBA/BNDES Disbursed 3 years
Amapá 273 200 Itaú BBA, ABC Firm Commitment 7/10 years
Minas-Rio 2,033 1,518 Unibanco/Syndicate/BNDES US$ 50 mm 12 years
Bridge Loan
Metallics 1,224 985
US$50 mm
Corumbá 148 150 Credit Suisse Bridge Loan 7 years
Amapá 643 510 Itaú BBA/BNDES - 10 years
Minas-Rio (Pellet Plant) 433 325 Itaú BBA/BNDES - 10 years
TOTAL 3,602 2,729
(1) Expected Weighted Average Cost of Borrowing: Libor + 1,5%, assuming 50% funding by BNDES.
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15. MMX SYSTEMS EVOLUTION MMX CORUMBÁ SYSTEM
Mine currently operating under Federal Environmental
License
Mine 63 – Industrial Plant
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16. MMX SYSTEMS EVOLUTION MMX CORUMBÁ SYSTEM
Construction License granted for pig iron plant,
construction of mini blast furnaces initiated in
September
Pig Iron Plant Construction
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17. MMX SYSTEMS EVOLUTION MMX CORUMBÁ SYSTEM
MMX has already initiated charcoal supply program for the pig
iron plant.
Eucalyptus Plantation
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18. MMX SYSTEMS EVOLUTION MMX AMAPÁ SYSTEM
Mine Construction License granted, leveling
and dam works to be completed by December
2006, 100% of key equipment for the operation
under contract with firm delivery dates.
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19. MMX SYSTEMS EVOLUTION MMX AMAPÁ SYSTEM
Railway Operating License granted,
progress in equipment and railway repairs and
acquisition;
Santana Port – Preliminary Environmental
License granted, construction to begin at
1Q07.
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20. MMX SYSTEMS EVOLUTION MMX MINAS-RIO SYSTEM
Serra do Sapo: additional resources to be measured
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21. MMX SYSTEMS EVOLUTION MMX MINAS-RIO SYSTEM
Pipeline with approximately 525 km, passing by 32 municipalities;
Environmental impact study in approval process by IBAMA, Preliminary License
expected dor 1Q07;
Detailed topography concluded, right of way to be concluded in mid 2007.
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22. MMX SYSTEMS EVOLUTION MMX MINAS-RIO SYSTEM
Environmental impact study in approval process by FEEMA, Preliminary License expected
for late December 2006.
Process Area,
Filtering Area and Pellet Plant
Loading capacity: 10.000 t/h
Draft: 21 m
Storage Maximum size of vessels: 220.000 t
Administrative
Services Storage capacity: 2.6 million t
Back area: 1.5 million m²
Açu Port
Açu beach
AÇU SUPER PORT
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23. MMX SYSTEMS ENVIRONMENTAL RESPONSABILITY
Eliezer Batista Natural Reserve – MMX´s commitment with environmental
preservation, 20 thousand hectars in the most preserved area in South Pantanal.
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24. COMPANY PROFILE MULTIPLYING VALUE
Health, Safety,
Environmental
and Social
Responsibility Long term
Integrated and
independent supply
logistics relationships
Low production High value-added
cost at projects, vertically
competitive integrated
capital
expenditure
levels High quality
products
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