The document discusses various topics related to exploration and mining investment, including: 1) Consolidations in the mining industry through mergers and acquisitions such as Barrick Gold's acquisition of Placer Dome and the merger of Ashanti Goldfields and Anglogold. 2) Companies using junior exploration firms to explore for gold deposits and then acquiring successful juniors, as the CEO of Goldcorp describes. 3) The typical stages of mining projects from generative exploration through development and production. 4) Funding options for mineral projects at different stages from grassroots exploration through feasibility studies, production, and different exchange listings.

1. Guidelines for Exploration and Mining Investment Dennis Buchanan Department of Earth Science and Engineering RMG’s Exploration and Mining Investment Conference 18 November 2005

4. Mining Project Stages of Planning & Execution Generative Targets =100 Exploration Targets = 20 Evaluation Projects =2 Pre-Feasibility Juniors Full Feasibility Development Due Diligence Acquisition Majors Funding

5. Typical Pure Equity Funding Value Enhancement Geochemistry & Geophysics Satellite deposits Abandoned Mine Known extensions Metallogenic belt Site of historical mining and exploration Project Prefeasibility Study GIS-Based review. Satellite imagery Mine Design Bulk Sampling & Metallurgical Tests Drilling Techniques Evaluation Exploration Simplified Kilburn Valuation Economic and technical parameter evaluation Full Feasibility Infill drilling for preliminary economic evaluation Resource Definition RC or diamond drilling for geological modelling Advanced Minor field work, trenching & geological drilling Intermediate Desk-top studies and target generation Grass Roots

6. Components of a Joint Venture Junior Co Local JV Licences and Partnerships Valuation $10M. Needed to determine holdings Major Junior-Major JV 55:45 Management Committee Pre- Feasibility Study Mine Development Junior-Major 20:80 Free carry for Junior but no Profit share before Costs recovered Full Cost $1M Min Expen $2M/yr Over 2 yrs Holding 80:20 In Country Off Shore Feasibility Study

7. Funding Options for Mineral Projects Investment Banks Bond – secured Project Finance Production Institutions Bond - unsecured AIM, Toronto, Major Mining Companies Rights Issue Joint Venture Development Feasibility and permitting AIM, Vancouver, Toronto SE Initial Public Offering Evaluation Drilling, resource estimation, prefeasibility Private Placements Seed Capital Exploration Geochem, geophysics, trenching Source Type Stage

10. MSc in Metals and Energy Finance Course offered jointly by the Department of Earth Science & Engineering and the Tanaka Business School Degree, Imperial College London The MSc course in Metals and Energy Finance is designed to provide training in the technical and financial appraisal of natural resource projects, emphasising quantitative skills and how these are applied in the development of capital-intensive, mining, oil and gas industries.

11. Short Course Activities Guidelines to Investment Stockholm 20-22 February 2006