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Current state of the Mining Sector and the Strategy for its Future Development Cracow, Poland 28 February 2019 Mining sector institutional framework in Colombia
Responsible for the National Policy Deputy Minister of Mines
Mining Authority and Sectoral Planning and Geological Knowledge Mining Resources Market Monitoring and Monitoring of Manager Geological Threats A country to explore
Caribbean Atlantic Ocean tectonic plate KNOWLEDGE OF HIGH SUBSOIL POTENTIAL Caribbean Sea
GEOLOGICAL 71% GOLD
Andes COPPER System GEOPHYSICAL 68% Pacific URANIUM Ocean South American GEOCHEMICAL 35% tectonic plate PHOSPHATE
Amazonian Craton Cocos and Nazca Tectonic plate A country to explore
Mineral potential 9,471 Projects in the region Mining Concession Proposals 8.35% of the territory
GOLD 39%
“High gold potencial”
Antioquia Gold 20% 69% Rest of the country
80% 32% A country to explore
Mining activity is only 3.26% MINERALS of the territory Construction Titled area materials 41% 3,723,379 ha Gold and 7,935 Mining titles 21% precious metals Rest of the Antioquia 18% country Other minerals 16% 84% Coal 16%
Total area Emeralds 4% 114,218,901 ha Gold mining activities
Potential Areas Gold deposits are clustered in districts associated with metallogenic belts in the provinces of Antioquia, Santander, Tolima, Huila, Caldas, Aluvial Nechi Mina La Ye Nariño, Cauca and Bolivar. Deposits are also found along the Pacific Mina Carla El Limon coast, which are formed by the erosion of the western branches of Soto Norte Buritica Rionegro the Andes mountain chain. With an average tenor between 0.7 g/t Yaragua Segovia and 10.8 g/t Au. Cisneros
El Roble
Condoto Choco Gramalote 1,678 Titles Miraflores Marmato (1.76% of national territory) Batero- Quinchia La Colosa
La Custodia 217 Titles – Exploration
Project in exploration Project next to production Project in exploitation 174 Titles - Construction & Assembly 3,730 Mining Concession Proposals (6,217,162 ha) 1,287 Titles - Exploitation Copper mining activities
Potential Areas Colombia presents three (3) belts of copper porphyries in which important prospects for copper are found: ✓ Central: El Alacran, Quebradona, El Pisno, Piedrasentada-Dominical
San Matias and Mazamorras. Titiribi ✓ Western: Acandi, Murindo, Pantanos-Pegadorcito, Andagueda and La Mina Piedrancha. Anza ✓ Eastern: Andes, Infierno-Chili, Dolores and Mocoa. Murindo Pantanos 442 Titles (0.6% of national territory) Cobrasco
El Roble (682,066 ha)
Quebradona El Dovio 130 Titles - Exploration Mocoa 80 Titles - Construction & Assembly Project in exploration Project in exploitation 232 Titles - Exploitation 1,174 Mining Concession Proposals In Colombia deposits with an average tenor (2,238,309 ha) between 0.70 % and 3.46 % Cu, are explored. Coal mining activities
Thermal coal production area Potential Areas Colombia is the world's fourth largest exporter of coal with low ash content
Metallurgical coal production area and low sulfur dioxide emissions and one of the largest coal proved reserves La Luna Mina El Hatillo Cerrejon of anthracitic and bituminous coal in Latin America with a share of
Mina La Francia Mina Calenturitas 48.3% (4,881 million tonnes). Mina El Descanso Mina La Jagua
Sator Mina La Loma Pribbenow 1,263 Titles Las Palmeras Minas Rincon (0.66% of national territory). 756,183 ha Hondo y Similoa Open Proyecto San Underground Joaquin Mina Rio Blanco Pit Mina La mining 7% Margarita Paz del Rio 28 Titles - Exploration 93%
Milpa Mina San Luis
Mina Casa Sanoha 123 Titles - Construction & Assembly Blanca Proyecto La Proyecto Rondon Tabaquera Thermal Mina Palmarito Metallurgical 7% Mina La Luz 1,112 Titles - Exploitation Colombia Coal 93% Proyecto Company Carbocoque Proyecto La Ramada Project in exploration Minminer Colombian coal production Project next to production Colombia produces high quality thermal Project in exploitation 880 coal due to its high calorific value: about represents 81.2% of Latin Mining Concession Proposals American production. (892,674 ha) 13,068 BTU. Emerald mining activities Potential Areas
Colombian emeralds are number one in the world for quality, due to their Western Emerald Belt
Eastern Emerald Belt hydrothermal sedimentary origin that gives them a brightness, transparency, color, play of lights and optimal hardness.
La Pita Mine 330 Titles
Cunas Mine Peñas (0.06% of national territory) Blancas Mine
Coscuez Mine Guacheta Mine (63,018 ha)
Muzo Mine Vega de San Juan Mine 9 Titles - Exploration Yacopi Mine Macanal Mine
Buena Vista Chivor Mine Mine 44 Titles - Construction & Assembly
277 Titles - Exploitation
Main Projects in exploitation Colombian emerald explotation is carried out in Hydrothermal sedimentary origin 446 underground operations. Mining Concession Proposals is unique in the world. (251,675 ha) Gold production is expected to increase by 24% in 2020
Investments 2017 / Gold projects with an Projects in pipeline 2018 approved environmental license 2021* – Miraflores 0.51 g/t Au, 2.28 g/t Ag 2018 - Cisneros 2021* – Anza 3.43 g/t Au, 30.6 g/t Ag
2018 - Rionegro 2021 – Soto Norte 9 million oz Au
2023* – Batero-Quinchia 2020 - Buritica 0.81 g/t Au, 1.8 g/t Ag 2023* – Andes 3.3 g/t Au, 26.8 g/t Ag, 2.74% Zn Gramalote 2022 - 2023* – San Matias 1.5 g/t to 11 g/t Au, 1% to 10% Cu
* Estimated projection by NMA How to invest?
Two ways to obtain a Mining Title
Application process Negotiation First-come 30 years → renewable for 30 of an existing First-served additional years title Concession Contract
▪ Any mineral ▪ Any available area Mineral rights can be freely ▪ Any natural or legal Construction person, Colombian Exploration and Exploitation transferred assembly national or foreigner between investors ▪ General requirements Concertation with local authorities Public Hearing Application process Local stakeholder engagement strategy
The first step in Colombia regarding the relationship with the territory is taken by the National Government! Public hearings Concertation 46 municipalities 198 local authorities
Antioquia (45) Boyaca (26) Social Territorial Communities entity Accountability Committees Nariño (13)Cesar (12) Bolivar (12) Incorporation of the mining component in the territorial 81 planning instruments 90 documents Signed concession contracts Milestones and challenges of the Mining Authority
Mining Management Integrated System (New Colombian Mining Cadastre)
Use of satellite Digitization of EFFICIENCY images to mining records support the control MODERNIZATION TRANSPARENCY
Online services miningincolombia.anm.gov.co Website for investors