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Investor Presentation November 2008

Investor Presentation November 2008. Disclaimer.

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Investor Presentation November 2008

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  1. Investor Presentation November 2008

  2. Disclaimer Certain statements contained in the following presentation constitute forward-looking statements. Such forward-looking statements involve a number of known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the company to be materially different from actual results and achievements expressed or implied by such forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date the statements were made and the readers are also advised to consider such forward looking statements while considering the risks inherent in the business of exploration.

  3. Gold as a Safe Haven Gold as a safe Haven Why Invest in Gold? • Gold and precious metals have not collapsed • Gold is historically a safe haven; a hedge against inflation • Analysts predict gold price will rise above $1,000 per oz • Fewer new gold discoveries and mature exploration in North America • Most companies now with properties offshore – Africa, Asia, China • Lowering your risk • Invest in gold companies in the most prospective areas • Invest in gold companies with superior real estate for gold • Invest in gold companies that have superior boards and technical teams • Invest in gold companies that understand the countries they are operating in

  4. Midlands Minerals • Well managed junior gold company run by a proven successful management team • Operates in stable countries with a long history of gold mining and has a portfolio of highly prospective gold properties and secure licenses • Ghana 300 sq km • Tanzania 1,400 sq km • The Company has a significant gold deposit on its Sian project in Ghana • The Sian project is rapidly moving towards gold production while exploration continues to expand the current 400,000 oz resource • Target – 1 million ounces in 18 months (subject to financing)

  5. An Experienced Team Key Management • Kim F. Harris, President and CEO • Founder of Midlands Minerals • Joe B. Hinzer, M.Sc., P.Geo., COO • President of Watts, Griffis and McOuat • Paul Singer, C.A., CFO • C.A. with over 30 years of experience • A seasoned field team in Africa

  6. Market Performance Midlands 6 month Comparison with S&P/TSX Venture Composite Index LEGEND MEX S&P/TSX-V Source: TSX.com 6

  7. Independent Research Puts Midlands in Top 20 out of 40 Junior Explorers • Haywood Securities’ Junior exploration Index (HJEI) • Midlands one of 40 junior exploration companies covered by Haywood Securities • HJEI tracks the performance relative to markets • Midlands Minerals • # 13 in Top 20 Juniors under Year-To-Date Performance • # 10 in the Top 20 Juniors under Quarter-To-Date Performance

  8. Capital and Share Structures Capital Structure Institutions 40% Insiders 19% Others 41% Share Structure Issued and Outstanding Shares 53.0 m Options 4.2 m Warrants 5.8 m Fully Diluted 63.0 m 8

  9. Major Gold Deposits in Africa • Focused on gold • Ghana • Tanzania: • Two geopolitically stable countries • Quality gold • projects largest gold producer 2nd top gold producer 3rd top gold producer

  10. Exploration Strategy • Gold (and diamonds) • Politically stable countries • High geological prospects • History of gold mining • Secure tenure for licenses • Fair and favorable tax regime • Superior infrastructure (roads, power, transportation) • Access to trained local personnel • Social acceptance of mining by locals

  11. Investment Opportunity • A fully permitted gold project (a past open pit gold producer) in elephant country - Ashanti Gold Belt - Ghana • 400,000 oz of gold and poised to go over one million oz • Processing plant, infrastructure already in place • Price of gold poised to go to $1,000+ an oz • Cost of producing an oz of gold in Ghana - $325 per oz • Sian Project – increase oz and start production • Cost of infrastructure – Minimal • Cost of relocating villages – Zero • Permitting costs – Zero • Mining lease - Already in place

  12. Gold in Ghana • Sian/Praso on Ashanti Gold Belt; host to 120 mil oz • 30 km NE of Newmont’s Akyem 8.7 mil oz deposit (right distance for a major find) • Kaniago: right distance from the Obotan 2.8 million ounce deposit 12

  13. Gold in TanzaniaLake Victoria Goldfields • On trend with with Geita (18+ mil oz) and Bulyanhulu (15+ mil oz) • Itilima, Kishapu, & Lalago • Gold and diamond projects • 20 km south of Williamson diamond mine (20+ mil carats) • Highly prospective for both gold and diamonds • Drilled 2 diamondiferous kimberlites • Indicator minerals • Right chemistry for diamonds 13

  14. Priority Projects:Sian/Praso Presentation will focus on priority projects: Sian/Praso, Ghana Most advanced, early term ROI Sian - past gold producer with a 91% recovery rate Just 30 km north of Newmont Mining’s 8.7 mil oz Akyem gold deposit on the Ashanti Gold belt Infrastructure, power, roads water and CIL (Carbon in Leach) plant 30 year mining lease Sian resource has potential to reach + 1 million oz in the next drilling program 14

  15. Sian/Praso Projects Sian/Praso, Ghana Contiguous permits, completely surrounded by Newmont 16 km continuous soil anomaly between Sian/Praso Same geology and graphitic structure as Newmont’s Akyem with 8.7 mil oz Only 10% drilled to date 16km 15

  16. Sian: Fully Permitted Real Value • Months away from gold production • 30 year mining lease • Villages already relocated • Roads, power, all infrastructure in place • 400,000 oz resource targeted to reach 1+ million ounces with next phase of drilling • CIL plant built in 2001 by Sian Goldfields Limited

  17. Sian Plant

  18. Sian Plant

  19. Sian Plant

  20. Sian Plant

  21. Investment Decision Points High Risk Decreasing Risk Exploration Drilling • - Exploration Drilling • Resource Generation • Definition Drilling • Resource Categories Feasibility Study Mine Development Early Exploration - Soil Surveys - Geological Mapping - Geological data review - Target generation

  22. Sian: Two Types of Gold Mineralization High-grade gold type Bulk grade gold type Carbonate-Potassium-Pyrite Quartz flooding with Pyrite and Chalcopyrite 2.0 g/t Au / 7 meters 10.8 g/t Au / 7 meters

  23. Work Done to DateSian/Praso, Ghana 14,000 Meters Drilled - 2007/2008 • 5 new gold zones discovered • 16 km strike length of continuous gold soil anomalies yet to be drill tested • Over 14,000 soil samples assayed • The gold resource on Sian has gone up: • From 100,000 oz to 192,400 oz – indicated: 2.33 g/t avg. grade • From 100,000 oz to 203,350 oz – inferred: 2.35 g/t avg. grade • Yet to be drilled soil results with grades of up to 2 g/t • Large open ended soil anomalies = high potential for discovery • Near Term Objective: • Further drilling is expected to grow the gold deposit on Sian/Praso to at least 1 million oz of gold in the short term 23

  24. Short Term Realistic Target:1,000,000 oz of Gold 3 Good Reasons • NI 43-101 resource estimation (May 2008) recommends infill drilling in the Esaase Pit • Previous owners drilled to 120 meters deep • Midlands up to 350 meters deep with double digit values at depth • New gold zones discovered

  25. Short Term Target:1,000,000 oz Realistic Target Sian/Praso in same geology as Newmont’s 8.7 mil oz Akyem deposit 16 km continuous soil anomaly Only 10% of anomaly drilled to date 400,000 oz of gold with average grade of 2.4 g/t Indicated (2,568,000 tonnes @ 2.33 g/t) Inferred (2,694,000 @ 2.35 g/t) 16km 25

  26. 43-101 InfillRecommendations • 43-101 Recommendations to • increase the resource • Infill drilling in the pit • Drill beyond the previous 120 meter level Esaase Open Pit 26

  27. Moving Towards 1,000,000 oz on Sian, Ghana Drilling Below 120 meter level Continuity of Grades at Depth: 2007 drilling: 10.81 g/t over 7m from 174m – 181m 24.3 g/t over 3m from 178m – 181m 2.08 g/t over 11m from155m - 166m 4.8 g/t over 5 m from180m - 185m 2008 drilling: 15.13 g/t over 2 m from 100m - 102m 11.22 g/t over 2 m from 47m - 49m 1.97 g/t over 2 m from 22m - 24m 2.21 g/t over 3 m from 6m - 9m 27

  28. Sian Infill Drilling Program

  29. Plan Forward:New Drill Targets • Priority drill targets identified • Scouting in shaded areas • Still covering less than 10% of anomalies

  30. Financing Requirements 30 Up to $3,000,000 • To get to 1+ million ounces of gold on Sian/Praso • To conduct an engineering review/prefeasibility on Sian • To get the Sian project ready for gold production by 2010

  31. Use of Funds • Up to $1,700,000 for definition infill drilling to increase the gold resource to over one million ounces   • Up to $300,000 to complete a bankable engineering review of the CIL plant and get it ready for re-commissioning • Up to $250,000 to conduct an airborne survey to accelerate drilling • Up to $400,000 working capital • Up to $350,000 for contingency

  32. Return on Investment • Get to 1 million oz of gold in 18 months • Re-commission the CIL plant • Commence production of gold and create a revenue stream • 400,000 oz @ $100 per oz in the ground = $40 million • $3 million will increase the resource to 1 million oz • 1 mil oz @ $100 per oz in the ground = $100 million

  33. 5 Good Reasons to Invest in Midlands • Under-valued gold company with superior gold assets • Current share price is a deal • Two safe gold producing countries – Ghana and Tanzania • A focused and experienced management team • Well thought out exploration strategy • Early return on investment

  34. Other Corporate Information

  35. Board of Directors Kim F. Harris • Founder of Midlands Minerals • Over 20 years of business experience in Africa, including over 12 years in exploration • Edward A. Harris (Vice Chair) • VP and Portfolio Manager with McLean Budden Ltd. since 1990 • Over 30 years experience in the financial industry • Mark B. Keatley • CFO of Ashanti Goldfields Ltd. from 1994 to 2000 • Currently CFO of a UK based firm • Karl Schmed • President, Global Colour Link & Associates • Pierre Lalande, P.Geo. • Chief Geologist for IAMGold Corp. from 1994 to 2001 • Previously Senior Geologist, Watts, Griffis and McOuat, Ltd. R. John Carruthers • Director of Industrial Business Development with Casebank Technologies Inc. from March 1999 to early 2004 • Manager with Deloitte & Touche until February 1999 • Karl Schmed • President, Global Colour Link & Associates • Noel Nedrick • Financial Consultant 35

  36. How to Contact Us Head Office 1210 Sheppard Ave East, Suite 302 Toronto, Ontario M2K 1E3 Tel: 416-492-6992 Fax: 416-492-6993 Email: info@midlandsminerals.com Website: www.midlandsminerals.comInvestor Relations: www.agoracom.com/ir/MidlandsMinerals Accra, Ghana P.O. Box 30679, K.I.A.Aviation House, Suite 203Accra, Ghana Shinyanga, Tanzania P.O. Box 1175 Shinyanga, Tanzania

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