01 February 2019 Erdenes Mongol Group CEO Gankhuu Purevjav

72% of Foreign Investment Mongolia Economic and Mining Industry Overview 2018 Economic Growth 6.4% Inflation Rate 8.1% Credit Rating B Unemployment 6.9% Mining Industry 22% of GDP 72% of Foreign Investment 74% of Industrial Sector 90% of Export Foreign Trade US$ M Turnover US$12,866.8 Export US$7,011.8 Import US$5,875.0 Balance of Trade US$1,136.8

Strategic Mineral Assets Asgat Silver Ore * 6.4 Mt Buren Khaan Phosphate Ore * 192 Mt Erdenet Copper * 4.1 Mt Mo * 0.012% Boroo Gold * 43 t Gatsuurt Gold * 35 t Tumurtei Iron Ore * 228 Mt Ag Gurvanbulag Uranium * 8,580.3 t P Fe U Mardai Uranium * 1,948.1 t Cu/Mo Au U U Baganuur Lignite * 812 Mt Dornod Uranium * 28,868 t Ulaanbaatar C Shivee Ovoo Lignite * 617 Mt Tumurtein Ovoo Zinc Ore * 0.9 Mt Zn C Tavan Tolgoi Coking Coal * 7.4 Bt Oyu Tolgoi Copper * 44.4 M t Gold * 1,903 t Tsagaan Suvarga Copper/Mo Copper Ore * 10.6 Mt C Cu/Mo Nariin Sukhait Coking Coal 125.5 Mt C Cu/Au Erdenes Mongol will hold licenses and state shareholding in strategic mineral assets

13.3 24.6 IPO (billion tugrik) (billion tugrik) Mining and Heavy Industry Sector - 2018 “Mongol Refinery” state-owned LLC Strategic deposit boundaries The Nariinsukhait, Tavantolgoi, Shivee-Ovoo, Baganuur, Tsagaansuvarga, Burenkhaan and Erdenetiin-Ovoo copper-molybdenum deposit boundaries have been specified. The “Mongol Refinery” was established in accordance to the Government of Mongolia's Resolution No. 92 in 2017. Strategic Deposit Exploration geology “Erdenes-Tavantolgoi” JSC 13.3 2018 “Erdenes-Tavantolgoi” JSC has started its preparations for IPO on foreign and domestic stock exchanges. (billion tugrik) IPO 24.6 (billion tugrik) 43 projects 2019

Foreign currency reserve Mining and Heavy Industry Sector - 2018 Amount of gold submitted to the Central Bank of Mongolia 22 tons The type 92 fuel price has decreased by MNT 100 per liter and in cities and provinces except Bayan-Ölgii, Govi-Altai, Bayankhongor it has decreased by MNT 50 respectively. + $897m Foreign currency reserve Meeting and agreement Oil refinery plant $20-40 per ton The Development Bank has provided MNT 53.1 billion for industrial infrastructure projects. Altanshiree ROSNEFT DORNOGOVI $30m

Mining and Heavy Industry Sector – 2019 Policy And Strategy Geological sector Mining sector Ensure transparency and openness of information in extractive industries, simplify the process for granting exploration licenses and increase funding for geological research in the state budget. Terminate illegal mining operations, improve the governance of state-owned mining enterprises and develop public-private partnerships in mining infrastructure. Oil sector Heavy industry sector Accelerate oil exploration and increase reserves, tighten control over production sharing agreement, improve the supply of oil products and quality control system. Stabilize the heavy industry operations, ensure the implantation of large scale projects and supply domestically manufactured steel products.

Erdenes Mongol Group Structure Erdenes OT LLC Baganuur JSC Largest lignite mine in Mongolia Meets 60% of coal consumption in Mongolia including supply of 70% in the central region Plans to do mine expansion and technical renovation and looks at financing opportunity Shivee Ovoo JSC Second largest lignite mine Meets 20% of steam coal demand for power plants in the central region Mon Atom LLC S Licensee of the largest uranium asset in Mongolia Close proximity to world largest nuclear energy producers Ready to put a pilot processing plant into operation Erdenes Asset Management Make and conduct financial estimates and analysis Invest into projects which meet an appropriate rate of return Plans to obtain a license to operate an investment fund from the Financial Regulatory Commission, Mongolia Erdenes Methane LLC Become a major ecology-oriented energy producer in the region Mine and develop coal-bed methane (CBM) in coal basins in Mongolia Seeks financing for CBM prospecting and exploration Erdenes Shivee Energy Construct an environment-friendly and cost-effective power plant Construct a 5280 MW power plant with State Grid Corporation, PRC Obtain approval for FS from the Minerals Council, Mongolia Erdenes Ashid LLC Run mineral prospecting and exploration (PE) with MAK, Mongolia Erdenes Steel LLC Construct a metallurgical industrial complex with Beren Group, Mongolia Obtain approval for FS from the Minerals Council, Mongolia, in Q1 2019 Erdenes Alt Resource LLC Run gold and silver prospecting and exploration (PE) Mine gold and silver Plans to construct a gold and silver refinery Research Sub-Center Created at the Ministry of Foreign Affairs, Mongolia Assist in implementing the Mongolia-Russia-China Economic Corridor Program s World-class copper mine Government and Rio Tinto partnership Access to China’s market by road and railroad Underground mine be put into operation in 2021 100% 100% state-owned enterprise (SOE) Incorporated in 2007 Government mandat to exercise rights in relation to state-owned shareholding in strategic mineral assets and manage the assets as per Parliament and Government resolutions 100% 75% 90% 100% 100% 100% 50% 34% 100% 100% 34% 34% Oyu Tolgoi LLC Badrakh Energy Badrakh Energy LLC Erdenes Tavan Tolgoi JSC - 2018 Parliament Resolution 73 - 2018 Government Resolution 245 Erdenes Mongol is a whole owner of the Tavan Tolgoi-Gashuun Sukhait heavy-duty road Copper Cu Lignite Uranium U Asset CBM Energy PE Coke Steel Gold Au Research

Financing and Investment Core Business Lines and Financial Summary 2017 Mineral Development Asset Management Financing and Investment Trade and Sales Consulting Government Mandate Total Production Copper Concentrate 1.4 Mt Coal 16 Mt Total Assets US$5.6 B Revenue US$2.5 B * 48% of Total Export Revenue

Strategic Goals Strategy Strategic Goals Hold licenses and state shareholding in strategic mineral assets Implement energy, infrastructure, logistics, and processing industry projects Pursue appropriate asset management, raise and use funds for project finance Implement good corporate governance and promote sustainable development Strategy Become a regionally competitive investment and management company capable of developing minerals efficiently, making optimal long-term investment into mining, energy, and infrastructure industries, and promoting sustainable economic growth Strategic Goals

Financial Plan 2019 Revenue Cost Operating Cost 239-km heavy duty road tolls, subsidiary management fees, and Shivee Ovoo coal license lease make up Erdenes Mongol revenue. Total revenue is expected to account for US$42 million in 2019. The volume of coal to go through the road is expected to reach 23 million tons in 2019 as opposed to 19.2 million tons in 2018. Cost Total cost is expected to account for US$18.8 million in 2019. Total road repair and maintenance cost has grown and is expected to account for US$21.6 million in 2019. Operating Cost Operating cost is expected to reach US$3.31 million in 2019.

Financial Outlook Items 2018 2019 2020 2021 2022 2023 Total Total Production Mt 6.2 7.0 8.7 10.0 11.6 12.0 55.5 Road Construct a 303-km Tavan Tolgoi-Khangi-Mandal paved road   Growth in Group Revenue Construct a 416-km Tavan Tolgoi-Choir road Total Revenue 272.8 405.0 884.1 1,448.9 1,670.9 1,804.2 6,486.0 Total Cost 250.3 272.7 627.3 1,035.5 978.3 992.7 4,156.7 Тaxes 6.4 18.6 41.7 66.2 125.1 149.1 407.1 Gross Profit 15.7 120.3 219.8 359.0 576.7 671.7 1,963.1 Investment 21.0 436.5 545.9 123.9 102.8 84.8 1,315.4

Enterprise Capacity and Commodity Mineral Asset: Oyu Tolgoi (Open-Pit Mine) Commodity: Copper Concentrate Capacity: 0.8-0.9 Mt Market: Export Mineral Assets: Baganuur and Shivee Ovoo Commodity: Lignite Capacity: 6-7 Mt Market: Local power plants Mineral Asset: Tavan Tolgoi Commodity: Coking Coal Capacity: 10-15 Mt Market: Export Mineral Asset: Zuuvch Ovoo and Dulaan Uul Commodity: Radioactive Minerals (Uranium) Capacity: 2,000 t Market: Export Location: Tavan Tolgoi-Gashuun Sukhait Commodity: Toll Road Service for commodity transporters Capacity: 18 Mt

Manage assets properly and raise funding and finance Initial Public Offering (IPO) and Secondary Market Offering (SMO) Manage assets properly and raise funding and finance projects 30% (IPO) 24% (SMO) 39% (SMO) Total Number of Shares Government Shareholding Number of Shares IPO/SMO Expected Revenue Erdenes TT 15,000,000,000 12,750,000,000 (85%) 4,500,000,000 US$3-5 B Baganuur 20,974,360 15,730,770 (75%) 9,870,217 MNT30-35 B Shivee Ovoo 13,419,101 12,077,190 (90%) 10,261,665 MNT40-45 B

Metallurgical Industrial Complex Projects Metallurgical Industrial Complex Develop energy, infrastructure, logistics, and downstream processing industry projects Project Developer: Commodity: Status: Project Financing: Capacity: Erdenes Steel LLC Coke and Steel FS has been developed Up to US$ 320 Million Coke 500,000 t and Steel 300,000 t Gold Refinery Project Developer: Commodity: Status: Erdenes Alt Resource LLC Refined Gold Plans to announce an International Competitive Bidding (ICB) for FS development which will follow in 2019 Shivee Energy Complex for Export Project Developer: Commodity: Status: Project Financing: Capacity: Erdenes Shivee Energy LLC Energy FS has been developed US$7 B 5280 MW 4

Mineral Commodity Exchange Projects Develop energy, infrastructure, logistics, and downstream processing industry projects Mineral Commodity Exchange Project Developer: Goal: Status: Project Financing: Erdenes Mongol Establish a minerals exchange to sell mineral commodities on domestic and foreign markets applying principles of transparency, optimization, efficiency, and market, and set fair prices, develop domestic stock market, and regulate export through integrated policy with a view to implementing the Government Minerals Policy FS is being developed US$10 M 4

Develop strategic deposits and hold government shareholding Projects Develop strategic deposits and hold government shareholding Asgat Silver Asset Development Location: Commodity Technology: Status: Capacity: Nogoon Nuur soum (sub-province), Bayan Ulgii aimag (province) Silver and Copper Underground mining methods will be used in light of factors such as insignificant thickness of the ore body, steep falls, and deep-seated location that can have impacts on extraction FS has been developed but needs updates Plans to start developing the asset 350,000-600,000 t (ore)

Coal-Bed Methane (CBM) Projects Develop energy, infrastructure, logistics, and downstream processing industry projects Coal-Bed Methane (CBM) Project Developer: Commodity: Status: Project Financing: Erdenes Methane LLC CBM FS needs developing US$15 M (prospecting and exploration) End Users: Housing Units, Power Plants, and Others Prospecting and Exploration 2019 CBM pipelines Feasibility Study and Product Sharing Agreement Plant Construction and CBM Extraction Processing and Purification Transportation of Liquefied Gas Opportunity to Export Gas and Liquefied Gas 4

Mine Expansion and Technical Renovation Projects Develop energy, infrastructure, logistics, and downstream processing industry projects Mine Expansion and Technical Renovation Project Developer: Commodity: Status: Project Financing: Capacity: Baganuur JSC Lignite FS has been developed US$178.5 M 8-10.5 Mt Mine Expansion and Technical Renovation Project Developer: Commodity: Status: Project Financing: Capacity: Shivee Ovoo JSC Lignite FS has been developed US$120 M 4.5 Mt 4

Thank you for your attention Erdenes Mongol LLC 15 F, Monnis Tower, Chinggis Avenue 15 Khoroo 1, Sukhbaatar District, Ulaanbaatar 14240 Mongolia Tel: (976) 7555 3399 E-mail: info@erdenesmongol.mn Web page: www.erdenesmongol.mn