DTH presentation Patricio Lagarini

Agenda Market Overview Chilean Market Analysis Market Value Territory Management MS & CS Market Strategy Market Presentation

Chile Market Overview Business Development Decreasing grades (More Tons to move….) In 2002 the Cost of producing 1 lb of copper was 0.4 USD, with a selling price of 0.7 USD/lb. Currently, the average cost is 1.95 USD/lb with a selling price of 3 USD/lb. Still margins are good for Major Mining Groups. Last year average selling price was 3.606 USD/lb, so margin was better than a decade ago Productivity must increase and industry has been focused on producing more, because that is where higher profitability was. Secondary enrichment and leaching material diminished (focus in primary ore) Significant capital to sustain production levels or stay in business Higher plant capacities Fleet size Infrastructure: energy, water Increasing requirements to operate Higher focus in H&S Lack of skilled personnel: 70 000 Eng & technicians by 2017 In Chile, since 2000 onwards the average salary of workers has increased 82% while productivity only improved 36%. Labor cost in Chile increased 53% from 2007 to date, while in AUS, US, Canada has increased 27%. Business Development

Chile Drilling Tools Chilean Market Annual Sales : Musd 80 Product Mix : Top Hammer 27% Pp : DTH 16% E : Raise Boring 1% O : Rotary 56% Total DTH & Rotary market: Musd 58 (*) RC is not included Business Development

Chile DTH Market Share Business Development

Chile Rotary Market Share Business Development

TERRITORY MANAGEMENT Business Development

Potential Market by Region I Region Market Potential :MUSD 5,2 Product Mix : DTH = 4% Rotary = 96% Region Weight : 10% Business Development

Potential Market by Region Key Customers Collahuasi NIS MUSD 3,3 Customer Share 0% Cerro Colorado NIS MUSD 1,2 Quebrada Blanca NIS MUSD 0,3 Salinas Punta de Lobos NIS MUSD 0,4 Business Development

Potential Market by Region II Region Antofagasta Market Potential : MUSD 11 Product Mix : DTH = 22% Rotary = 78% Branch Weight : 17% Business Development

Potential Market by Region Key Customers Escondida NIS MUSD 4,9 Customer Share 0 % Lomas Bayas NIS MUSD 1 Mantos Blancos NIS MUSD 0,32 Customer Share 100 % Michilla NIS MUSD 0,15 Zaldivar NIS MUSD 0,7 Mantos de la Luna NIS MUSD 0,96 Business Development

Potential Market by Region II Region Calama Market Potential : MUSD 13 Product Mix : DTH = 20% Rotary = 80% Branch Weight : 21% Business Development

Potential Market by Region Key Customers Codelco Chuquicamata NIS MUSD 2,4 Customer Share 0 % Codelco Radomiro Tomic NIS MUSD 1,97 Codelco Mina Sur NIS MUSD 0,25 El Abra NIS MUSD 1,7 El Tesoro NIS MUSD 0,45 Spence NIS MUSD 1 Jaime Navarrete NIS MUSD 0,15 Business Development

Potential Market by Region III Region Market Potential : MUSD 10,2 Product Mix : DTH = 22% Rotary = 78% Branch weight : 16% Business Development

Potential Market by Region Key Customers Candelaria NIS MUSD 2 Customer Share 0 % Codelco Salvador NIS MUSD 1,3 Customer Share 0 % Rocmin Candelaria NIS MUSD 0,24 Maricunga NIS MUSD 0,7 Mantos de Oro NIS MUSD 0,4 Manto Verde NIS MUSD 1 Business Development

Potential Market by Region Branch Serena Market Potential : MUSD 7,3 Product Mix : DTH = 31% Rotary = 69% Branch Weight : 12% Business Development

Potential Market by Region Key Customers Carmen de Andacollo NIS MUSD 0,4 Customer Share 0 % Los Pelambres NIS MUSD 1,7 Customer Share 80 % Pascua Lama Customer Share 0 % Los Colorados NIS MUSD 1,16 Perfochile NIS MUSD 0,9 Customer Share 0% Business Development

Potential Market by Region Branch Quinta Región Market Potential : MUSD 6,4 Product Mix: DTH = 47% Rotary = 53% Branch Weight : 10% Business Dvelopment

Potential Market by Region Key Customers El Soldado NIS MUSD 2,4 Customer Share 0 % Codelco Andina NIS MUSD 1 Customer Share 0 % Codelco El Teniente NIS MUSD 0,13 Major Drilling NIS MUSD 1,7 Business Dvelopment

Potential Market by Region Branch Santiago Market Potential : MUSD 5,7 Product Mix : DTH = 17% Rotary = 83% Branch Weight : 9% Business Development

Potential Market by Region Key Customers Los Bronces NIS MUSD 2,2 Customer Share 0 % ICV NIS MUSD 1 Tricomin Los Bronces NIS MUSD 0,36 Customer Share 100 % Epsa NIS MUSD 0,4 Contractors NIS MUSD 1,7 Customer Share 0 % Business Development

Market Strategy Big Investment on new sales organization and facilities to increase the market coverage. Customer Oriented Focus on Market and Customer Share Establish long term relationship through “Consignment Stock” or different kind of agreements. Identify opportunities Mining: Pre-Splitting, Sampling, etc Quarries: Cement, Aggregates, etc New projects… Focus on applications where our product portfolio can be applied Select Key Customers to become them as an active reference in the market Organize tests in order to prove the benefits of our products Business Development

INNOVATING FOR PERFORMANCE