AMMSA Visit

McCreedy West Mine

September 2012

2

McCreedy West Mine Site

Portal Sample tower

Warehouse Main office

Waste sorter

Storm water management pond

Cu

Ni PM

MCCREEDY WEST MINE

• 1100 Tons/day from Ni and Cu areas.

• 92% Production from Ni mining areas

• Cut+Fill Mining method -- 78% of ore production

• Longhole Mining method -- 22% of ore production

• Cu areas mined by NV Development, Longhole and Shrinkage methods.

• Stopped Mining PM zone July 2011.

• Production Equipment – 50T+36T Haul Trucks, 7/10 Yd Scooptrams

• Manpower - 82 Hourly

- 24 Staff

3

4

46,000

333,000

496,000

565,000

733,000 740,000

290,000 305,000

327,000

252,000

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012YTD

To

ns

MINE ORE-WASTE PRODUCTION

Ore

Waste

MINE SECTION

5

3500 feet

2000 ft.

vertical

depth

MINE SECTION

6

3500 feet

2000 ft.

vertical

depth

1970 – 1997

15.8 Million Tons

of Ore moved

Ore sent by U/G

Rail to Levack Mine

7,700ft

McCreedy West Mine – 1970 – 1997 ( 27 years)

2012 YTD MINING STATS

7

2012 YTD

Production Stats Actual

Tons 252,000

Ni Grade 1.24%

Cu lbs 2,818,000

Ni lbs 6,175,000

Dev - FT 1,931

8

MCCREEDY WEST MINE – DEVELOPMENT

9

MCCREEDY WEST MINE – Haulage Operation

2011-2012 DEVELOPMENT PRODUCTIVITY

10

0.00

1.00

2.00

3.00

4.00

5.00

6.00

Sep-11 Oct-11 Nov-11 Dec-11 Jan-12 Feb-12 Mar-12 Apr-12 May-12 Jun-12 Jul-12 Aug-12

Dev F

t/m

an

-sh

ift

Axis Title

DEVELOPMENT FT/MAN-SHIFT

Dev Ft /MS Dev Ft /MS Plan

11

McCreedy West Mine – Ore Sorter Pilot Plant

12

McCreedy West Mine – Sorting Operation

KGHM-INTERNATIONAL PROPERTIES IN SUDBURY

McCreedy West Mine 3-D Model

15

GEO-SCIENCE DRILLING 2012 (Nickel-Long Section)

McCreedy WEST MINE: 3D-VIEW NICKEL MINING

Portal

600 ft

1770

954

1760

1580

570

780

950

Pod

570

Pod 39 Pod 7

Pod 31

Pod 23

Pod 33

Pod 37

700 Complex 500

1650 HW Exploration Drift

950-level

EM

1490

Current mining areas

Current drilling

Support 2012 Cu-Mining

780 Nickel-recent drilling

FNF 31094

18

FW

Ore

HW

McCreedy West Mine – 1285 level nickel mining

Mucking Line

19

GEO-SCIENCE DRILLING 2012

McCreedy West CU Drilling – 3D-View Looking West

McCREEDY WEST MINE: COPPER DRILLING 700 COMPLEX SUPPORT 2012 MINING

21

McCreedy West Mine – 600 Level Copper Mining

22

McCreedy West Mine – 860 level copper mining

23

McCreedy West Mine – Geology

Photos courtesy of Steve Clapp-

Creative Photography

24 McCreedy – Production

McCreedy West – Potential Ni Production

Legend

400 ft

Ni-Mining Area 1

Ni-Mining Area 2

Ni-Mining Area 3

Ni-Mining Area 4

Ni-Mining Area 5

Ni-Mining Area 6 Ni-Mining Area 7

Portal

Ni-Contact deposit

PM-FW Deposit

CU-FW Deposit

Ni-mining areas

(Initial proposal)

Ni-Exploration Potential

FW-Exploration

Potential

EM Up dip extension

stope 7 Up dip extension

stope 37

Open

25 25 McCreedy – Production - Future

PM

McCreedy West Levack

Morrison

McCreedy – Production - Future

McCreedy West Plan View Showing Exploration Potential

26

3D-View Showing– Exploration Potential Between McCreedy West and

Levack Mine

27

Portal

570

590

880

950

550

1490

1580 1770

954

1400 E

350 ft

McCreedy – Ni/Cu-Current mining stopes

EM

Stop 1 (570 Level)

Stop 2 (860 Level)

Stop 3 (1770 Level)

820