1. May 7, 2012
M 7 2012

2. Forward Looking Information
Securities regulators encourage companies to disclose forward-looking information to help investors
g g p g p
understand a company’s future prospects. This presentation contains statements about Inmet, and
Inmet’s future financial condition, results of operations and business based on assumptions we make
about factors that are not within our control but that affect the mining industry generally and our
business in particular, such as metal prices, currency exchange rates, the cost of consumables used at
our operations and changes in legal and regulatory requirements among others
requirements,
These statements are “forward-looking” because we have used what we know and expect today to
make a statement about the future. Forward-looking statements usually include words such as may,
expect, anticipate, believe or other similar words. W b li
t ti i t b li th i il d We believe th expectations or assumptions reflected
the t ti ti fl t d
in these forward looking statements are reasonable. However, actual events and results could be
substantially different because of the risks and uncertainties associated with our business or events that
happen after the date of this presentation. You should not place undue reliance on forward-looking
statements. As a general p
g policy, we do not update forward-looking statements, except as required by
y, p g , p q y
securities laws and regulations
All values expressed in United States dollars
2

3. Presenters and Agenda
Jochen Tilk
Strategy, Financing and Outcome
President & CEO
Fernando Martinez‐Caro
VP, Engineering & Tier One Asset and Basic Engineering
Infrastructure
Craig Ford
VP, Corporate Privilege to Operate
Responsibility
Frank Balint
VP, Corporate Project Economics and Upside
Development
p
3

4. Jochen Tilk
President & CEO

5. “Responsible Growth as a Base Metal Producer Providing
Superior Returns to our Shareholders”
S i R Sh h ld ”
Based on the quality of the project, the milestones achieved to date,
and the solid funding plan, which includes partnerships as well as third
party financing, we decided to proceed with the full construction of
Cobre Panama upon closing of the high yield offering.
•
5

6. Strategy and Introduction
Financing
Fi i
Functional
Tier one opportunity Operational
ownership
project that didn’t readiness
structure
exist before
Ready for construction
6

7. Strategy and Introduction
Financing
Fi i
Functional
Tier one opportunity Operational
ownership
project that didn’t readiness
structure
exist before
Ready for construction
7

8. Cobre Panama:
A Tier 1 Asset in an Attractive Jurisdiction
A Ti 1 A i A i J i di i
Long Mine Life 31+ years Significant Cu Reserves & Resources
Reserves 9.3M t
Meaningful Annual Cu Production M&I (incl. reserves) 14.7M t
Year 2‐16 298k t Inferred 8.7M t
LOM 266k t Clean concentrate, no deleterious qualities
Low Cash Costs ($/lb Cu) Located within immediate proximity to
Year 2‐16 $0.72 Panama Canal
LOM $0.82
Simple mining and proven technology
Large Scale (k tpd) 160‐240+
Inexpensive and secured power
Strong Annual Free Cash Flow • 4.4¢ kWh LOM
Year 2‐16
Year 2 16 $0.9Bn
$0 9Bn • 2 7¢ kWh first 9 years when excess
2.7¢ kWh first 9 years, when excess
LOM $0.8Bn power sold to grid (before D&A)
Large resource and production at low cash costs
8
Note: All figures on 100% basis.

9. Privilege to Operate:
A Meaningful Contributor in an Attractive Jurisdiction
AM i f lC ib i A i J i di i
Panama: Attractive Mining Jurisdiction
• Stable democratic system with investment grade Largest project in Panama, with ability to
rating transform exports and address trade deficit
p y y
• U.S. dollar is the primary currency
• Unaffected by 2009 recession; economy % of Panamanian Exports
continued to grow and reached a rate of 10.6%
in 2011 Agri cul ture
Gol d
3%
7% MPSA
• A ti
Active contract law with conditions similar to
t tl ith diti i il t 82%
Sea food
those in North American, under which MPSA 8% Once in production,
benefits from: Minera Panama will
– Duty‐free imports become the country’s
biggest exporter
biggest exporter
– No withholding tax on exports and dividends
Cobre Panama is a key driver of growth in Panamanian economy
9

10. Strategy and Introduction
Financing
Fi i
Functional
Tier one opportunity Operational
ownership
project that didn’t readiness
structure
exist before
Ready for construction
10

11. Strategy and Introduction
Financing
Fi i
Functional
Tier one opportunity Operational
ownership
project that didn’t readiness
structure
exist before
Ready for construction
11

12. Strategy and Introduction
Financing
Fi i
Functional
Tier one opportunity Operational
ownership
project that didn’t readiness
structure
exist before
Ready for construction
12

13. Management Resource in Place
KPMC Liaison Officer President & CEO PROJECT TEAM
Project Director
External Finance & Construction
Environment Permits & Land Operations Security Manager
HR Director Relations Administration
Director Director Director Director
Director Director
Engineering
Manager
Project Controls
Manager
Our Panama City office
13

14. Fernando Martinez‐Caro
VP, Engineering & Infrastructure

15. Basic Engineering Capital Costs
CAPEX Total
Area % of Project
% of Project
($ MM)
($ )
Mining $760 12%
Process plant $1,184 19%
S e se ces
Site & services $550 9%
Port site facilities $543 9%
Power plant $646 10%
Total Direct Costs $3,682 59%
Construction indirects $844 14%
Total Field Costs $4,526 73%
EPCM services $355 6%
Owner costs
Owner costs $885 14%
Contingency $415 7%
Project Total Costs $6,181 100%
The estimation process and outcome have been extensively reviewed
15
Note: All figures on 100% basis.

16. Capex Inflation Controlled From FEED 2010 in Q2 2009 Dollars
CAPEX Total
($ MM)
FEED study capital costs (power plant not included)
FEED t d it l t ( l t t i l d d) $4,320
$4 320
Power plant $646
Increased process plant capital cost estimate $403
Increased mining capital cost estimate
Increased mining capital cost estimate $312
Increased port site capital cost estimate $285
Other $215
Basic Engineering Capital Cost Estimate $6,181
Capex increase mostly due to power plant and scope increase
16
Note: All figures on 100% basis.

17. Engineering is Significantly Advanced
• Process design
Frozen
• Process flow diagrams
80.0% • Piping & instrumentation diagrams
37.6% • Overall engineering
43.6% • Civil engineering
39.9% • Geotechnical engineering
Execution risk mitigated by depth of engineering work
17

18. By the End of 2012, $4 Billion Would be Committed
Proportion of capital based on level of pricing work completed
• 30 % of Capex under Lump sum
EPC arrangements
10%
JVP Estimates
• Not subject to large currency
$0.57 Bn
19 Packages fluctuations: 93% quoted in US
Budget
dollars, 6% in Canadian dollars,
$
$2.0 Bn 32% 1% in Euros and Swiss Francs
74 Packages
Firm
$3.61 Bn 58%
70 Packages
30% of Cobre Panama’s capex is under lump sum fixed prices
18
Note: All figures on 100% basis.

19. What has Changed Since the FEED?
• No use of cyanide
• Increased throughput rate from upsizing of grinding and processing capacity
from 150k tpd to 160k tpd, with planned expansion to 240k tpd
• Increased recoveries and higher commodity prices lead to slightly higher cut off
• Coal‐fired power plant on MPSA’s balance sheet lowers power costs significantly
Significant improvements since FEED study
19

20. Introducing the Construction Team
• 22 years of experience in engineering and construction
Fernando Martinez‐Caro • Leadership of large EPC projects in Canada, U.S., U.K. and Spain with Grupo
Project Sponsor Ferrovial
• 23 years of experience in mining, aluminum and process industries
f l d d
Cesar Inostroza • Worked on both the contractor and owner sides, for companies like Rio Tinto,
Project Director DuPont, Hatch and SNC‐Lavalin in locations around the world, including the
Middle East, North America and Western Africa
• Qualified and experienced Owner’s Team of 50 members
– Expected to grow to 107 by 2013
Owner’s Team
• Comprised of senior, seasoned individuals with extensive experience in mining
and large project development
• The prime EPCM is Joint Venture Panama (JVP), a joint venture led by SNC‐Lavalin
with partners GyM S.A. and Techint International Construction
EPCM
• JVP has mobilized a qualified team of 154, that could peak at 361 in 2013
20

21. Project Timeline and Milestones
2012 2013 2014 2015 2016
Q1 Q2 Q3 Q4
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Q1 Q2 Q3 Q4
Full Notice to Proceed
Site capture
Infrastructure construction
Tailings starter dam
Process plant construction
Power plant (both units)
First ore processed
First concentrate shipment
First concentrate shipment
21

22. Craig Ford
VP, Corporate Responsibility

23. Privilege to Operate:
Our Sustainability Vision for Cobre Panama
O S t i bilit Vi i f C b P
Cobre Panama will be a profitable venture to sustain Inmet’s growth
objectives, contribute to Panama’s development and be a regional economic
engine that will help alleviate poverty in the project area, catalyzing the
development of sustainable communities and protection of the rich
biodiversity of the Mesoamerican Biological Corridor
23

24. Privilege to Operate:
S i E i t l C t t f th P j t
Socio‐Environmental Context of the Project
• The Cobre Panama project is located in an
undeveloped and remote part of north‐
central Panama
– Within a tropical rainforest with high
Within a tropical rainforest with high
biodiversity value
– Presence of threatened and
endangered species
– Endemic poverty of local communities
– Physical resettlement of approximately 60
households
– A country with little experience of
modern mining
– Presence of artisanal mining
24

25. Building Privilege to Operate
What is privilege • Building trust
Building trust
to operate? • Broad acceptance of our presence
• Approval of our Category III ESIA
• Reception of post‐ESIA approval permits
What evidence
• Lack of conflict in the project area
do we have of
• Free, Prior and Informed Consent of those physically and economically
privilege to
displaced by the project
operate?
• Participation in regional development planning
• Participation of local communities
• Open, transparent dialogue, listening to concerns and incorporating
p , p g , g p g
those into our plans since 2007
How have we
• Building trust by delivering on our commitments
achieved privilege
• Ensuring that the benefits of our operation are shared with
to operate?
the people of Panama
the people of Panama
• Actions to deliver net positive benefit socially and environmentally
25

26. Setting New Benchmarks for Industry Leadership
• Actions to demonstrate application of evolving best practice and deliver net positive
benefit:
Compliance with IFC Performance Standards on Social and Environmental Sustainability
Implementation of the Voluntary Principles on Security and Human Rights
Free, Prior and Informed Consent of those to be resettled
Leading edge biodiversity offset and conservation program
Community based environmental monitoring
Community‐based environmental monitoring
Best practice community response mechanism with a dedicated Grievance Officer
Developing an independent human rights monitoring function
Committed to set new standards socially and environmentally
26

27. Do the Locals Want it? 2,500+ in March 2012
~6,000 jobs to be created (direct and indirect) over operation LOM
27

28. Frank Balint
VP, Corporate Development

29. Economics: Low Operating Costs
Operating Costs per Component ($/t milled)
$0.28 $6.88
$0.88
$ 03
$1.03 Other
$3.29
$3 29
$1.01 Power
$2.44 $4.08 Material
$0.77 Labour
Mine Process Plant G&A Site Services Total
Low operating costs reflect low strip ratio and inexpensive power
29

30. Cash Costs or Total Costs: Defensive Economics on Any Basis
C1 Cash Costs ($/lb Cu) Forecast 2020 Copper Industry C1 Cost Curve1
3.00
Cost Centre
Cost Centre Years 2‐16
Years 2 16 LOM Avg.
LOM Avg
Mine $0.30 $0.32
2.50 Cobre Panama Y2‐16
C1 Cash Cost ($US/lb Paid Copper)
$0.72/lb
2.00
Plant $0.37 $0.44
1.50
G&A $0.11 $0.12
1.00
1.00
Site services
Site services $0.03
$0 03 $0.04
$0 04
Offsite costs $0.30 $0.30 0.50 Cobre Panama Y2‐16
with Stream Sale:
By‐product credits ($0.40) ($0.40) 0.00 $0.86/lb
C1 Cash Costs $0.72 $0.82 (0.50)
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Cumulative Percentile Production
Cumulative Percentile Production
C3 Cash Costs ($/lb Cu) Forecast 2020 Copper Industry C3 Cost Curve1
4.00
Cost Item Years 2‐16 LOM Avg. 3.50
Cobre Panama Y2‐16
d Copper)
C1 cash costs $0.72 $0.82 3.00 $US1.41/lb
C3 Cash Cost ($US/lb Paid
Depreciation and closure $0.50
$ $0.48
$ 2.50
Royalty and front end taxes $0.14 $0.14 2.00
1.50
Interest cost (3rd party debt) 2 $0.04 $0.03
Cobre Panama Y2‐16
1.00
C3 Cash Costs $1.41 $1.47 with Stream Sale:
0.50 $US1.48/lb
0.00
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Cumulative Percentile Production
30
1. 2020 Copper Cost League by Brook Hunt with Brook Hunt’s 2012 Q1 assumptions adjusted for metal prices and derived input costs under the Consensus Long‐Term Price Scenario.
2. Assumes $1.6Bn debt.

31. Robust Economics on Three Price Scenarios
After‐Tax NPV8% ($ Bn)1
$6.0
$6 0
$4.8
$3.2
LT Consensus Forward C
F d Curve 3 Yr Trailing
dropping to Average
LT Consensus
IRR (%) 14.3% 18.5% 19.2%
Cu ($/lb) $2.75 Forward Curve $3.42
Au ($/oz) $1,250 and LT Consensus $1,316
Ag ($/oz) $20.00 $24.90
Mo ($/lb) $15.00 $14.68
Significant leverage to copper
31
Note: All figures on 100% basis.
1. Assumes $1.6 Bn debt.

32. Impressive Cash Flow Generation
Debt Case Project Cash Flow ‐ Consensus vs Spot
2,500 40
2,000
30
1,500
20
1,000
1 000
10
500
‐ ‐
(500)
(10)
(1,000)
(20)
(1,500) Cobre Panama would generate
an annual free cash flow of (30)
(2,000)
$1.5 Bn at current prices1
(2,500) (40)
2012 2017 2022 2027 2032 2037 2042
Debt Case Cash Flow ‐ Consensus ($USm, LHS) Debt Case Cash Flow ‐ Spot ($USm, LHS)
Cumulative Cash Flow ‐ Consensus ($Usb, RHS) Cumulative Cash Flow ‐ Spot ($USb, RHS)
Strong cash flow profile with considerable upside
32
Note: All figures on 100% basis.
1. Based on spot pricing of Cu $3.74/lb, Mo $13.83/lb, Au $1,642.22/oz and Ag $30.37/oz

33. Upside Case #1: Accelerating the Third Line
• Assume advance from Year 10 to Year 3
Assume advance from Year 10 to Year 3
• Could enhance copper production profile by 38% during Years 3‐9
• Total metal production increases during the first 10 Years would be2:
+695 +7 +175 +3,900
25% 25% 37 16% 31% 16 340
16,340
3,435 1,250
2,740 30 1,075 12,440
Copper (k t) Moly (k t) Gold (k oz) Silver (k oz)
Results in ~$5.0 Bn (37%) increase in gross revenue during Years 3‐9 1
33
Note: All figures on 100% basis. Based on the Basic Engineering mine plan accelerated to full 240k tpd throughput during years 3‐9. For illustrative purposes only.
1. Based on Consensus Long‐Term Price Scenario.
2. Payable metal production.

34. Upside Case #2: Resources Beyond Current Mine Plan
Contained Cu
Contained Cu
(Bn lb)
M&I Resource 32
LESS: Reserve 20
Unexploited M&I 12
Inferred 19 Potential valuation range
@ 3¢/lb Cu = $0.9 Bn
@ 6¢/lb Cu = $1.8 Bn
Option value should be further enhanced when infrastructure is in place
34
Note: All figures on 100% basis.

35. Mineral Deposits and Defined Resources Plan Map
Balboa
35

36. Upside Case #3: Inferred Resources in Current Mine Pits
• Inferred mineral
resources
amounting to
321 Mt at 0.26% Cu
within current pit
p
design are treated as
waste
Converting inferred would further reduce the low strip ratio
36

37. Successful Exploration…
Cu M&I Resources (Bn lbs) Cu Inferred Resources (Bn lbs)
(Inclusive of Reserves)
26% 32
142%
142% 26
15% 19
126% 17
11 11
7
1992 1998 2010 2012 1992 1998 2010 2012
...and momentum is just beginning
37
Note: All figures on 100% basis.

38. Strong Exploration Potential
• Concession wide program started late 2010
• Numerous targets identified
• One of the first targets tested in early 2011 resulted in the Balboa discovery
Plan Map Balboa Deposit
• Deposit remains open to expansion in
this direction
• Deposit remains open to expansion
down plunge, with grades of .86% Cu
and 0.26 g/t Au over 241 metres in
Hole 11‐116 and 0.78% Cu and 0.81 g/t
Au over 237 metres in Hole 11‐095
Au over 237 metres in Hole 11 095
• Extensive exploration program for
2012 is underway with some 36 holes
testing additional targets on the
concession
38

39. Jochen Tilk
President & CEO

40. Financing Plan Including Notes Offering
($ Bn)
Current financing $7.6 Other financing options being pursued:
Secured requirement: $0.6 Bn
$1.0 • Project level debt financing, including
In process $6.6
off‐take financing and equipment
In discussions $6.2 financing
$1.0
$5.6 • p g/
Corporate level debt financing /
revolver
$1.0
$4.6 • Sale of additional equity in the project
$1.4
$3.2
$1.5
$1.7
1
Cash on Cash Flow KPMC Note Total Capex Precious Other
Hand Financing Metals
Stream
Inmet has the ability to finance Cobre Panama without equity dilution
40
1. Based on cash flow from current operations. Net of financing costs.

41. A Tier One Asset in a Small Universe
LOM Total Cu Production (Bn lbs)
Feasibility & Construction
Feasibility & Construction Pre Feasibility
Pre‐Feasibility
Denotes project controlled
by <US$10 Bn market cap
30
25
17
13
10
0 9 8 8
7 6 6 6
5 5
Oyu Cobre La s Si erra Rel i ncho Senti nel Agua El Morro Cerro Pebbl e Ha qui ra Ga l ore Ca na ri a co Ca s i no
Tol goi Pa na ma Ba mba s Gorda Ri ca Ca s a l e Creek
Operating Cost ($/t milled)
Feasibility & Construction Pre‐Feasibility
Denotes project controlled
by <US$10 Bn market cap
$15.31 $15.07
$13.40
$13 40 $13.51
$13 51 $12.73
$11.48
$8.68 $9.70
$6.84 $6.88 $6.28
N/A N/A N/A
Agua Cobre Si erra Oyu Cerro El Morro La s Rel i ncho Senti nel Ca na ri a co Ha qui ra Ca s i no Pebbl e Ga l ore
Ri ca Pa na ma Gorda Tol goi Ca s a l e Ba mba s Creek
41
Source: Individual company reports.
Note: All figures on 100% basis.

42. Cobre Panama – Achievements to Date
• Since our 2010 FEED study we have:
Awarded power plant contract
p g
Completed the resettlement negotiations with local communities
Received Panamanian approval of the Environmental & Social Impact Assessment
Increased our copper resources
Established a highly experienced and competent project execution team
Finalized our partnership with LS‐Nikko and KORES
Announced debt financing
A d d bt fi i
Substantial value has been built, and risk reduced
42

43. Conclusion: Back to Inmet
• 20+ years as a builder and operator of underground and open pit mines
• Always been a copper stock: 71% of gross sales last year from Cu, and a higher proportion
expected this year
p pp p g y pp g p y
• Expect copper production growth ~ 25% this year as Las Cruces approaches design capacity
• Cobre Panama delivers another low cash cost mine in a favourable jurisdiction =
30+ years to come
Cu Resource (lbs) per $1,000 invested Inmet Cu Production (MM lbs)
12,703
200%+
,
5,714
4,847
4 847
3,971 3,767
2,950 220 ‐ 250
Inmet Lundin First Quantum OZ Minerals PanAust HudBay 2012 2017
A natural path for Inmet: copper exposure, low cash costs and growth
43

44. Thank You
Th k Y

45. Appendix

46. Risks & Opportunities
• Quotes to build power plant and processing plant are written on a “Lump Sum” and “Not to Exceed” basis
• Quotes are received from audited, sophisticated vendors with balance sheets to manage costs
• Quotes are materially conservative – in some cases the labour multiplier (unit of work over unit of time) used for
the project is as high as 3X and some of the quotes for individual work packages have small overlaps in scope
the project is as high as 3X and some of the quotes for individual work packages have small overlaps in scope
• Advanced stage of engineering (overall 38% complete) in combination with the large portion of firm bids
received (58%) should further reduce potential for unforeseen costs
Cost
• Panama’s use of U.S. Dollars is another positive characteristic that would reduce material cost escalation
Escalation throughout
• Engineering, procurement and construction contractors have incentives to stay on schedule and on budget
• Received an opinion from a third party review that there is sufficient firmness and conservativeness in the
project budget
• By the end of 2012, 50% of the project spend is expected to be committed against firm contracts
• Actively considering early purchase of bulk commodities for construction
46

47. Risks & Opportunities (cont’d)
• Cobre Panama, while being relatively low grade, would be amenable to large scale mining methods that result in
Low Cost
Low Cost the efficient handling of ore and waste
g
Production • Very low strip ratio, roughly a 20% of the average (0.58 vs. 2.53) for all open‐pit copper mines in 2011
from a Low • Proximity to the coast permits the use of a pipeline that travels a short distance, providing a cost efficient method
Grade Mine of delivering concentrate to the port
• Access to low‐cost, self‐generated power which takes advantage of proximity to a coal source
• Inmet has developed three mines within the tenure of the current management (Las Cruces, Cayeli and Troilus)
Management
• For Cobre Panama, recruited an Owner’s team that has relevant experience in construction and operations and
Depth ensured that the engineering, procurement and construction contractors are of a high standard of quality
• Approval of ESIA indicative of support at the highest levels of gov’t; derisks entire permitting process significantly
• Extensive involvement and cooperation at both the gov’t and community level
• Referring to Inmet, Signi Schneider (EDC, Chief CSR Advisor) commented “These companies take a holistic
approach to risk and opportunities. They make CSR part of their business strategies. In the mining sector,
companies that are acquiring mineral assets don‘t want projects that have put the community offside, where
p q g p j p y ,
Gov’t & Social
G ’t & S i l there is a high risk that the project may face roadblocks. They also know their financiers require them to get it
right early on.” (The Globe & Mail ‐ Jan 1, 2012)
• At the community level, the current lack of conflict in the project area indicates that community engagement
efforts are working and a recent study shows overwhelming support for the project.
• Received free prior and informed consent of the community; engaging the local community through employment
p y; g g g y g p y
47

48. Cobre Panama – Summary May 2012 Study Results
Key Parameters Description
Reserves 9.3M t Cu, 5.2M oz Au, 104M oz Ag, 169k t Mo
M&I resources (incl. Reserves) 14.7M t Cu, 9.0M oz Au, 168M oz Ag, 238k t Mo
Inferred resources 8.7M t Cu, 4.8M oz Au, 121M oz Ag, 156k t Mo
Annual production (Yr 2‐16) 298k t Cu, 106k oz Au, 1.6M oz Ag, 3.1k t Mo
Annual production (LOM) 266k t Cu, 87k oz Au, 1.5M oz Ag, 2.9k t Mo
NSR breakdown at $2.75/lb Cu Cu 87%, Au 6%, Mo 5%, Ag 2%
Life of mine (reserves only) 31+ years
C1 cash costs (Yr 2‐16) $0.72/lb Cu
C1 cash costs (LOM) $0.82/lb Cu
160k tpd to 240k tpd throughput, with further expansion
Ore throughput capacity
capacity
Strip ratio 0.58:1
Concentrate Clean concentrate with no deleterious qualities
300 megawatt coal fired power plant (reliable and
Power source
inexpensive source of power)
Logistics On tidewater with immediate proximity to Panama Canal
48
Note: All figures on 100% basis.

49. Mining
• Mine production schedule was developed to maximize Plan View of Site Infrastructure and Design Pits
early revenues and improve overall project returns utilizing
early revenues and improve overall project returns utilizing
a conventional mining fleet
• Ultimate pit plans and mining phase designs have not
changed from the FEED completed in March 2010, with the
exception of the Medio pit extension
• Open pit development sequence has been adjusted to
reflect slightly lower effective cut‐off grades that have
resulted from increased copper recoveries and higher
metal prices used to define ore in the Basic Engineering
Study
• Concentrator site is centrally located within 2 km of the
Botija, Colina, and Valle Grande deposits as well as the
stockpile
– A fourth smaller deposit Medio is about 500 m
A fourth smaller deposit, Medio, is about 500 m
northeast of the Colina pit. The new block model
incorporates a small Medio pit which was targeted by
recent drilling and is part of the mine production
schedule in Years 11‐14
49

50. Processing / Metallurgy
• As part of the 2010 FEED study a large sampling and test program was undertaken to bolster the knowledge from previous work and
provide insight into the variability of the grinding and flotation response
id i i h i h i bili f h i di d fl i
– Metallurgy was further optimized with removal of sodium cyanide as a pyrite depressant and refinements to the cleaner circuits
• Metallurgical recoveries used for the production forecasts in this study are based on the results from the 2010 FEED metallurgical
program as modified by the revised flow sheet test work during Basic Engineering
difi d b h i d fl h kd i i i i
• Cobre Panama concentrator would use current proven technology to produce clean copper and molybdenum concentrates
• Project design is based on an initial ore feed rate of 160k tpd to the processing plant using two grinding lines, each having nominal
capacity of 80k tpd. The design also includes an increase to 240k tpd after Year 9 of operations
f k d h d l l d k d f f
– This potential expansion includes the addition of a second crusher station to source Colina and Valle Grande ore and a third line
in the concentrator which includes crushing, grinding, bulk rougher flotation, water and air systems
• Process plant is designed to process ore at a nominal head grade of 0 5% Cu and 0 01% Mo with design maximum copper head grade
Process plant is designed to process ore at a nominal head grade of 0.5% Cu and 0.01% Mo with design maximum copper head grade
of 0.9% Cu and 0.015% Mo
• Copper concentrate would be delivered by a 32km slurry pipeline from the mine site to the filter plant located at the port in Punta
Rincon
• Af
After pressure filtration, the dewatered concentrate would be stored and subsequently reclaimed and loaded onto bulk concentrate
fil i h d d ld b d d b l l i d dl d d b lk
vessels for delivery to international customers
50

51. Cobre Panama Mineral Resources
• Cobre Panama mineral resources (inclusive of reserves) were re‐estimated in early 2012 to incorporate the 171 holes completed since the
2010 FEED study. The bulk of this drilling was focused on infilling the Brazo Deposit and on outlining the 2011 Balboa discovery. The increase in
M&I resources reflected moving inferred resources into the indicated category on the Brazo d
& fl d f d h d d h deposit and the addition of the Balboa resource.
d h dd f h lb
The bulk of the increases in the inferred category came from Balboa’s addition to the resource statement.
Mineral resources are shown on a 100% basis and are inclusive of mineral reserves.
Contained Metal (x1,000)
Category Tonnes Cu Au Ag Mo Cu Au Ag Mo
(x 1,000) % g/t g/t % Tonnes ounces ounces tonnes
Measured 262,000 0.56 0.13 1.5 0.009 1,476 1,118 12,979 24
Indicated 3,905,000 0.34 0.06 1.2 0.005 13,237 7,845 155,392 214
Total 4,167,000 0.35 0.07 1.3 0.006 14,715 8,963 168,454 238
Inmet’s Share 80% 11,772 7,170 134,763 190
Inferred 3,749,000 0.23 0.04 1.0 0.004 8,660 4,805 120,534 156
Inmet’s Share 80% 6,928 3,844 96,427 125
The mineral reserve and resource estimates are prepared in accordance with the CIM Definition Standards On Mineral Resources and Mineral Reserves,
adopted by CIM Council on November 14, 2004, and the CIM Estimation of Mineral Resources and Mineral Reserves Best Practice Guidelines, adopted
by CIM Council on November 23, 2003, using geostatistical and/or classical methods, plus economic and mining parameters appropriate to each
project. You will find the definitions and guidelines at www.cim.org. Estimates for all operations are prepared by or under the supervision of a qualified
person as defined in National Instrument 43‐101 (usually an engineer or geologist).
Mineral resources include mineral reserves. Mineral resources which do not form part of the mineral reserves do not have demonstrated economic
Mineral resources include mineral reserves. Mineral resources which do not form part of the mineral reserves do not have demonstrated economic
viability. Mineral resources as at March 5, 2012, were estimated by Robert Sim, P. Geo., of SIM Geological Inc. Resource grades are estimated using
ordinary kriging with a nominal block size of 25 m by 25 m by 15 m. Resources are limited inside a pit shell defined by a copper price of US $2.60/lb,
$1.75/t mining cost and $7.02/t total site operating cost, and are tabulated at a cut‐off grade of 0.15% copper.
51

52. Cobre Panama Mineral Reserves
Mineral reserves are shown on a 100% basis.
Contained Metal (x1,000)
Category Tonnes Cu Au Ag Mo Cu Au Ag Mo
(x 1,000) % g/t g/t % Tonnes ounces ounces tonnes
Proven 258,000 0.57 0.14 1.6 0.010 1,478 1,126 13,020 25
Probable 2,061,000 0.38 0.06 1.4 0.007 7,781 4,041 91,008 145
Total 2,319,000 0.40 0.07 1.4 0.007 9,258 5,167 104,028 169
Inmet’s Share 80% 7,406 4,134 83,223 135
The mineral reserve and resource estimates are prepared in accordance with the CIM Definition Standards On Mineral Resources and Mineral Reserves,
adopted by CIM Council on November 14, 2004, and the CIM Estimation of Mineral Resources and Mineral Reserves Best Practice Guidelines, adopted
by CIM Council on November 23, 2003, using geostatistical and/or classical methods, plus economic and mining parameters appropriate to each
by CIM Council on November 23 2003 using geostatistical and/or classical methods plus economic and mining parameters appropriate to each
project. You will find the definitions and guidelines at www.cim.org. Estimates for all operations are prepared by or under the supervision of a qualified
person as defined in National Instrument 43‐101 (usually an engineer or geologist).
There are no known environmental, permitting, legal, taxation, political or other relevant issues that would materially affect the estimates of the
mineral reserves.
Mineral resources as at March 5, 2012, were estimated by Robert Sim, P. Geo., of SIM Geological Inc. Mineral reserves as at December 31, 2011 were
, , y , , f g ,
estimated by William Rose, P.E., of WLR Consulting, Inc., a qualified person under National Instrument 43‐101.
Reserve estimates are based on the following assumptions:
‐ copper price: US $2.25 per pound
‐ gold price: US $1,000 per ounce
‐ silver price: US $16 per ounce
‐ molybdenum price: US $13.50 per pound
molybdenum price: US $13.50 per pound
‐ Mining costs : US $ 1.66 per tonne of ore mined, US $ 1.96 per tonne of waste mined and
‐ Milling and general and administration cost: US $ 5.27 per tonne of ore milled, average life of mine metallurgical recoveries: 89 percent for copper, 52
percent for gold, 46 percent for silver and 53 percent for molybdenum.
52