Tameapa Project 1
Tameapa Regional Geology History San Francisco Mines of Mexico Ltd. (San Francisco), which completed an exploration program, including six drill holes (1,157 m) between 1956 and 1959. Mexichem Fluor S.A. de C.V. (Mexichem), formerly Compañía Minera Las Cuevas S.A. de C.V. (Las Cuevas) from the early 1970s until 2007. Las Cuevas entered into a Joint Venture (JV) agreement with Noranda Inc. (Noranda) and Brenda Mines Ltd. (Brenda) between 1973 and 1981. This JV agreement resulted in the drilling of 17 diamond drill holes (4,372 m) at Pico Prieto and 42 diamond drill holes (10,845 m) at Venado. In 1994, Minera Magma Mexico Exploración, S.A. de C.V. (Magma) entered into an option agreement with Las Cuevas, and compiled all existing data on the Property, re-logged all available core from the previous drill programs, and resampled about 100 m of the old core. Magma also mapped the geology, mineralization, and alteration on the Property. A total of 2,622 m were drilled in 12 diamond drill holes by Magma in 1995. Seven of these holes targeted the chalcocite enrichment zone of Pico Prieto, two tested for the eastern extensions of this zone, and three tested outlying prospects.
Tameapa Regional Geology Continue.. MinCore obtained the rights to the project area in 2007 and commenced a multi-phase exploration program, including: 25,600 meters of core drilling between 2008 and 2010. Aster Surveys Structural study Geophysics Detail mapping at the main exploration area. Rock chip sampling Soils sampling Stream sediment sampling Reconnaissance program Preliminary metallurgical test work Resulting of the elaboration of the PEA in 2011
Regional Geology
Location McEwen Mining Tameapa Project is approximately a 2 hour drive (135 km), along paved roads from Culiacan. Project totals 66,248 ha (additional 2,082 ha pending approval) Excellent infrastructure Regional exploration indicates mining district 5
Tameapa Regional Geology Regional Geology
36 Simplify Local Geology
Pico Prieto Inferred Mineral Resources Cutoff (% CuEq) Tonnage (Mt) Cu (%) Mo (%) CuEq (%) 0.10 991.7 0.18 0.012 0.26 0.15 846.0 0.20 0.013 0.28 0.20 656.0 0.22 0.014 0.31 0.25 443.3 0.25 0.016 0.35 0.30 271.3 0.29 0.017 0.39 0.35 151.5 0.34 0.018 0.44 0.40 86.2 0.39 0.018 0.50 0.45 51.7 0.45 0.017 0.55 0.50 30.4 0.50 0.017 0.61 0.55 18.1 0.56 0.017 0.66 Notes: The PEA incorporates Pico Prieto inferred mineral resources that are considered too speculative geologically to have economic considerations applied to them, and that would enable them to be categorized as mineral reserves. Thus inherent in the PEA is the risk that the value of these inferred mineral resources may not be realized Copper Equivalent (CuEq) = Cu grade + (Mo Price/Cu Price), where Cu price = $2.50/lb, Mo price = $15/lb; 100% metallurgical recoveries assumed. **Value is in-situ value based on Financial Base Case of Cu $2.75, Mo $16.50, 8
Venado Mineral Resources Category Cutoff (% MoEq) Tonnage (Mt) Mo (%) Cu (%) MoEq (%) Indicated 0.07 18.4 0.096 0.10 0.109 0.06 23.5 0.086 0.10 0.099 0.05 29.7 0.077 0.10 0.090 0.04 37.0 0.068 0.10 0.081 0.03 55.1 0.052 0.10 0.066 Inferred 0.07 5.2 0.077 0.12 0.093 0.06 7.5 0.069 0.12 0.084 0.05 10.6 0.061 0.11 0.075 0.04 13.8 0.055 0.10 0.068 0.03 26.5 0.039 0.10 0.052 Notes: The PEA incorporates Pico Prieto inferred mineral resources that are considered too speculative geologically to have economic considerations applied to them, and that would enable them to be categorized as mineral reserves. Thus inherent in the PEA is the risk that the value of these inferred mineral resources may not be realized Copper Equivalent (CuEq) = Cu grade + (Mo Price/Cu Price), where Cu price = $2.50/lb, Mo price = $15/lb; 100% metallurgical recoveries assumed. **Value is in-situ value based on Financial Base Case of Cu $2.75, Mo $16.50, 9
Summary PEA Project Data Projected Mill Feed Production Rate Mine life Production Initial capital investment 642 Mt 100,000 t/d (36 Million t/year) 19 years 3.6 billion lb CuEq $1.03 billion Years 1-5 LOM Annual Production CuEq 215 million lb 185 million lb Copper costs with byproduct credits (Mo,Ag,Au) $0.64 $0.74 Strip Ratio 0.38:1 0.52:1 * The Preliminary Economic Assessment ( PEA ) is preliminary in nature, it includes Inferred mineral resources that are considered too speculative geologically to have economic considerations applied to them to enable them to be categorized as reserves and there is no certainty that the conclusions from the PEA will be realized. **Based on Financial Base Case Cu $2.75, Mo $16.50, Ag $16, Au $1000
Pico Prieto Deposit Pico Prieto 3.7 B lb copper and 248 M lb molybdenum Venado Deposit 98 M lb copper and 64 M lb molybdenum Venado Pico Prieto Strip ratio years 1-5 0.38 : 1 LOM strip 0.52 : 1 11
Tameapa - Organic Growth Potential Only a portion of the porphyry alteration footprint has been explored. The area between Pico Prieto and Venado remains as a high priority for expansion of the known mineralisation. Three other targets remain as strong targets for future exploration. 12
Pico Prieto Sections 20
Organic Growth - Venado New targets west of Venado Drill hole T-08-22: 24m @ 0.37% Cu, 0.027% Mo (enrichment) followed by 346m @ 0.12% Cu, 0.015% Mo Drill hole T-08-29: 10m @ 0.36%, 0.006% Mo (enrichment) followed by 278m @ 0.19% Cu, 0.013% Mo, 0.06 g/t Au Excellent potential to grow Venado: Resource remains open at depth and along strike Southernmost holes intersected porphyrymineralization similar to Pico Prieto. 20
Tameapa - Organic Growth Potential Ground Magnetics 15
Tameapa Organic Growth Potential Soils Sampling
Tameapa Site Layout 17
Near Mine prospects Approx Pico Prieto pit outline Agua Blanca Prospect La Verde 18
La Verde Prospect 19
Agua Blanca Prospect 20
Regional Projects - Location Exploration projects surround MinCore s key Pico Prieto Venado Project Numerous early-stage targets identified on each new project area 21
Regional Projects Stream Sedimet Sampling EL Durazno Pino Alto El Cobre Los Amoles EL Saucito Las Salvias Pico Prieto Agua Blanca Venado La Verde Stream sediments sampling shows several targets with the same signature of Pico Prieto and Venado mineral depósitos. Map obteneid using the geoquimical mineralization index probability 22
Other Regional Targets Cerrito Colorado Cerrito Colorado (Mo) Newly discovered prospect 2.5 km west of Pico Prieto found during reconnaissance program. Disseminated and open space fillings with pyrite, molybdenite, quartz and muscovite; hosted mainly within granodiorite. Both contact related and structurally controlled styles of mineralization. Initial surface sampling returned significant Mo values, including: 10 m @ 0.213% Mo 2 m @ 0.281% Mo 4 m @ 0.107% Mo 12 m @ 0.18% Mo 6 m @ 0.040% Mo
Other Regional Targets Pino Alto Pino Alto (Cu-Ag-Pb-Zn ±Au-Co) New polymetallic discovery 10 km NW of Pico Prieto found by MinCore geologists through prospecting. Defined by strong, coincident and/or overlapping Cu, Pb, Zn, Au, Ag, Co, Mo soil anomalies; recently expanded soil survey coverage extends anomalous area to 2.5 km NW by 100-500 m NE Mineralization occurs in variably altered Lower Cretaceous cherty sedimentary rocks near the contact with intrusive rocks of the Sinaloa Batholith. Limited first pass channel sampling over the western portion of the soil anomaly returned significant values as shown on the Trenching results slide (additional trenching is underway).
Other Regional Targets Pino Alto Pino Alto Trenching Results (anomalous values highlighted) Trench Cu (%) Pb (%) Zn (%) Ag (ppm) Co (%) Au (ppm) Length (m) PN-1 0.03 0.19 0.64 15.57 trace 0.03 30.0 Including 0.10 0.32 0.83 38.40 trace 0.16 5.0 and 0.03 0.21 0.81 15.71 trace 0.02 14.0 PN-2 0.01 0.04 0.25 2.00 trace trace 5.0 PN-3 0.82 trace trace 41.00 trace 0.38 8.0 PN-4 0.79 trace trace 7.05 0.04 0.13 17.3 including 1.28 trace trace 12.20 0.07 0.22 10.0 PN-4a 1.85 trace trace 18.79 0.06 0.34 4.7 PN-5 0.02 1.26 0.05 54.17 trace 0.07 12.0 PN-6 0.04 1.35 0.08 26.72 trace 0.14 12.5 PN-7 0.03 0.07 0.09 13.00 trace 0.06 14.0 PN-10
Other Regional Targets La Calera La Calera (Au-Ag-Cu-Pb-Fe) Early-stage mineralized prospect identified along the Las Salvias La Calera Trend. Located about 5 km SE from Las Salvias) is hosted in andesitic rocks near the contact with the Sinaloa batholith. Mapping has uncovered several old tunnels following NW trending quartz-hematite-goethite veins, with traces of pyrite, chalcopyrite, malachite and magnetite. Mineralization has been traced intermittently over 450 m (open along strike). Channel sampling from the La Calera workings returned anomalous gold, silver and lead values, as follows: 2.0 m @ 0.62 g/t Au, 48 g/t Ag, 0.22% Pb 1.0 m @ 0.17 g/t Au, 32 g/t Ag, 0.08% Pb 2.0 m @ 0.43 g/t Au, 42 g/t Ag, 0.15% Pb 1.5 m @ 0.24 g/t Au, 14 g/t Ag, 0.47% Pb
Other Regional Targets La Calera Polymetallic (Au-Ag-Cu-Fe±Pb- Zn) skarn mineralized prospect - one km south of La Calera along major NW-trending structure. Mineralization consists of quartz, specularite, magnetite, chlorite, pyrite and malachite. Six of the initial 10 chip samples returned anomalous to SIGNIFICANT values of Au, along with Ag, Cu, Fe and weak anomalies of Pb and Zn. Currently mineralization is intermittently traced over a length of about 250 m, beyond which it is covered by soil and late cover.
Thank-you 30