TIN, TANTALUM AND TUNGSTEN MINING IN RWANDA GETTING INVOLVED IN THE EXTRACTIVE INDUSTRY IN RWANDA UK – RWANDA TRADE & INVESTMENT FORUM, OCTOBER 2014 TIN, TANTALUM AND TUNGSTEN MINING IN RWANDA BEN SMIT, MANAGING DIRECTOR Part of the Pella Resources Group

ABOUT PELLA RESOURCES An Africa focused natural resource and energy group that has a strong track record in exploration and mine development across the continent Origins lie in over 50 years of successfully developing mineral and energy projects Established network, infrastructure and depth of experience in operating across continent Proven track record of success in discovery, development and delivery of projects Emphasis on ethically and socially responsible investment Strongly promotes local partnerships and participation

ABOUT PIRAN RESOURCES Piran has a 90% interest in the Musha and Ntunga mines (25 year licence) through its subsidiary Pella Rwanda Resources Limited Historic mines: Provides invaluable information on product, grade and mining potential Huge scope for significant tin recovery from tailings Two phase mining plan: Recommence reprocessing of tailings Ramp up into commercial production, commence mining of primary ore bodies Exploration underway to determine the extent of the mineral resource and define potential for open pit/underground mining Seeking to make a meaningful contribution to the Rwandan economy

THE OPPORTUNITY Pella sought out Rwanda as an investment destination over two years ago – well known for its mineralogy, specifically tin and tantalum Formed Piran Resources to create a new tin business within the Group Submitted the tender for the Musha and Ntunga mines in late 2012

SECURING PIRAN’S MINING LICENCE Piran’s contract was signed within four months and our licence issued by the Minister ten months later after we had concluded the environmental and social impact assessments as well as a mining feasibility study. Pella signing ceremony – Thomas Nziratimana (Piran), Honourable Evode Imena, Minister of State in the Ministry of Natural Resources in charge of Mining, Claire Akamanzi (Rwanda Development Board)

WORK UNDERTAKEN TO DATE Validated the historical geological information, created a new mining model Conducted a programme of auger drilling, sampling, metallurgical and recovery testing Scoped out first targets for recommencing small scale production Consulted with the local community to look to harness their knowledge and expertise Constructed a pilot plant Has and continues to identify the open pit or underground mining opportunities

WORKING WITH THE RWANDA DEVELOPMENT BOARD A vibrant and dynamic organisation with empowered people Tender process was transparent, uncomplicated and very professional In Piran’s view, the best functioning organisation of this nature on the continent A recent CNN study quoting Rwanda as the 8th easiest country in the world in which to start a new business Actively encourages and facilitates foreign investment

WORKING WITH THE RWANDA DEVELOPMENT BOARD Supportive and a driving force behind the licensing process A real “can do” attitude Progressive, transparent, growth oriented policies

BECOMING A CENTRAL HUB IN AFRICA Transformation post genocide has been hugely impressive Creating a sustainable future Excellent infrastructure good example of this development: – Road networks and transport links – Telecoms – Power Rwandair: “Fly our dream to the heart of Africa”

CHALLENGES AND ISSUES The expectations of a growing and densely populated country and a developing mining economy will have to be met by both Government and industry in close partnership: The creation of formal sector jobs Stimulation of the economy Creation of a middle class The eradication of illegal mining and dangerous practices in artisanal mining Continuing to address the problems regarding conflict minerals

PIRAN’S INITIATIVES These are all key issues that Piran will be looking to address through our operations: Community development Enlisting local communities to recommence artisanal mining Employment, training and equipment Health and safety practices Environmental protection Support of a conflict free and responsibly produced product

THANK YOU We stand ready to face these challenges as a responsible corporate citizen and partner of choice.