Australian Technology: Inspiring Global Mining Innovation

1. Australian Technology: Inspiring Global Mining Innovation Kevin Fitzpatrick Chief Operations Officer | MICROMINE

2. Australia’s Mining Industry • Mining industry represents approximately 8% of GDP • Minerals exports account for $138 billion – more than 50% of Australia’s exports • Annual investments over $50 billion – $4 billion in R&D • Directly employs some 200,000 Australians (2% of total national employment) • Total government revenue payments (taxes and royalties) of US$4 billion • Global supplier – 2nd largest minerals sector by value of production (after USA) • Commodity exports will reach $480 billion in 2030 from a base of $210 billion in 2010.

3. Mining Industry Challenges • Unprecedented demanddriven by the needs of emerging economies • Mature ore bodies and fewer tier one surface deposits being discovered • Inevitable migration from surface to underground operations • Lower gradeswith longer haul distances combined with massive volume demand • Next generation ore bodies bringinginherently complex mineralisation. • Stakeholders demanding less environmental impact from their operations • Carbon constrainedfuture framed by the context of Global warming • Structurally higher energy prices and possibly real energy constraints • Future being different from the past in some fundamental, unavoidable ways.

4. “Boom Age of Mining” 2004 to 2007 • High commodity prices • Easy access to capital • High Labour costs/low availability • More volume = more equipment • Exploit known deposits, marginal new ground. • “Financial system repair 2012” • Massive government stimulus • Growth returns • Emerging nations power ahead • Confidence returns • “Shell shock” hangover 2012 ’03 to ‘07 Historical High >2012 ’07 to ‘12 • “Technology Age of Mining” • Unprecedented volume challenge • Combat declining grades • Productivity focus/low cost • Autonomy & Smart Systems • Safety via technology • Less people = more technology • “Global financial melt down ’07 to ‘09” • Banker driven risk taking stalls system • Distorted balance sheets uncovered • Housing market distortions spread panic • Monopoly money mentality grinds to a halt Post crash Low Out of Crisis is the Emergence of the“Technology Age of Mining” Global Mining Activity Index Time (Year)

5. Australia’s Mining Technology Sector • Australian exports of mining technology, equipment and services represents 3.3% of total goods and services exports • Sector directly employs over 5% of total national employment • Global supplier – 2nd largest exporter of mining products and services (after USA) • Leader in mining innovation in terms of funding of R&D – estimated $4 Billion per annum

6. Leader in Technology Innovation • World recognised leader in mining software technology • World leader in mining automation technology – long haul driverless trucks remotely controlled • Leading ‘underground communication’ technologies • Leading surface to underground “through the rock” communications

7. Global Demand for Technology • The demand for resources continues to expand in China, India, Russia, the FSU, Brazil and smaller emerging economies • This is driving the demand for Mining Technologies like never before, particularly in the areas of exploration, mine development tools, automation and communication, and advanced mineral processing • All economic predictions continue to emphasise the probability of an ongoing Supercycle in the demand for resources

8. Global Demand for Technology • “We believe the coming years will see the highest ever demand for resources and therefore technologies to find, mine and process these commodities and convey them to market safely with the highest level of productivity.”

9. About MICROMINE • Founded in Perth, Western Australia in 1986 • Services over 12,000 clients in 90 countries • 20 offices in the worlds major mineral producing countries • Intuitive solutions for the entire mining process

10. Our Clients Include…

11. Technology and Industry Awards • C.Y.O’Connor Award for • Excellence in Engineering • Australia China Business Award • BRW Private Business Awards • Information and Communication • Technology Export Award • Austmine Craig Senger • Top Exporter Award

12. Solutions for the Mining Lifecycle

13. WhatisFieldMarshal? • An application created specifically for collecting and manipulating geological field data

14. What is Geobank? Geobank is a flexible, reliable and secure Data Management System that validates, stores and presents data from a variety of sources.

15. What is Micromine? • A geological exploration, modelling and mine design solution for all stages of the mineral extraction process

16. What is Pitram? • Mine management and control solution that helps achieve business sustainability and operational improvement goals

17. What is Micromine Consulting Services (MCS)? • MCS provides geological and mining consulting services to mineral resource companies worldwide

18. Why the MICROMINE Solution? • Industry leadership in mining solutions from exploration to mining output • Global expertise in consulting compliant with local and industry standards • Solutions for the entire mining lifecycle • Best-of-breed data management solution • A solutions approach tailored to meet your requirements

19. MICROMINE’s Global Footprint

20. MICROMINE in Kazakhstan • Established presence for more than 10 years • Employ more than 20 people – staff are local not expatriates • Development base in Almaty and Tashkent • Invest in business growth and job creation • Permanent MICROMINE owned office, NOT an agency • Local staff trained in Australia

21. MICROMINE in Kazakhstan • Local reporting standards - collaboration with GKZ • Education investment – collaboration with East Kazakhstan State Technical University and Tashkent State Technical University • Sponsorship and participation in Kazakhstan and Australia cultural exchanges • Kazakhstan contributes 6% of MICROMINE annual revenue before EBITDA

22. Thank you