Pdac presentation march2011

PDAC 2011 BRUCE GRIFFIN – CHIEF EXECUTIVE OFFICER

TORONTO MARCH 2011

MIL RESOURCES LTD

NOTICE AND DISCLAIMER CAUTIONARY STATEMENT

This document has been prepared by MIL Resources Ltd (the Company). This document contains background information about the Company and its projects current at the date of this document. It does not purport to be all inclusive or complete. Recipients should conduct their own investigations and perform their own analysis in order to satisfy themselves as to the accuracy and completeness of the information, statements and opinions contained in this document. The document is for information purposes only. Neither the document nor the information contained in it constitutes an offer, invitation, solicitation or recommendation in relation to the purchase or sale of shares in any jurisdiction. This document may not be distributed in any jurisdiction except in accordance with the legal requirements applicable in such jurisdiction. Recipients should inform themselves of the restrictions that apply in their own jurisdiction. To the fullest extent permitted by law, MIL Resources Ltd, its officers, employees, agents and advisers do not make any representation or warranty, expressed or implied, as to the currency, accuracy, reliability or completeness of any information, statements, opinions, estimates, forecasts or other representations contained in this document. No responsibility for any errors in or omissions from this document is accepted. This document contains "forward-looking statements". Such forward-looking statements include, without limitation, (i) estimates of future earnings, and the sensitivity of earnings to metals prices; (ii) estimates of future production/sales (iii) estimates of future cash costs; (iv) estimates of future cash flows, and the sensitivity of cash flows; (v) statements regarding future debt arrangements; (vi) estimates of future capital expenditures; (vii) estimates of reserves and (viii) the timing or results of permitting, construction and production activities. Where MIL Resources Ltd expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to, metals price volatility, currency fluctuations, increased production costs, variances in ore grade or recovery rates from those assumed, as well as political and operational risks in the countries in which we operate and governmental regulation and judicial outcomes. The Company does not undertake any obligation to release publicly any revisions to any "forward-looking statement" to reflect events or circumstances after the date of this document, or to reflect the occurrence of unanticipated events. To the extent that there is information set out in this document any potential quantity and grade is conceptual in nature, there has been insufficient exploration to define a mineral resource under the JORC Code and it is uncertain if further exploration will result in the determination of a mineral resource under the JORC Code. The information contained in this document that relates to Exploration Results or Mineral Resources or Ore Reserves is based on information compiled by John Haggman who is a Member of the Australian Institute of Geoscientists. Mr. Haggman is a director of MIL Resources Ltd. Mr. Haggman has sufficient experience which is relevant to the style of mineral deposits under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 edition of the “Australasian Code for Reporting of Mineral Resources and Ore Reserves”. Mr Haggman consents to the inclusion in this presentation of the matters based on his information in the form and context in which it appears.

PDAC 2011 2

Papua New Guinea Major gold/copper production …

• OK Tedi, Porgera, Lihr, Hidden Valley, Simberi

and projects

• Frieda, Yandera, Wafi-Gulpu, Woodlark

Major gold companies exploring in PNG …

• Barrick, Newcrest, Harmony, Newmont, Highlands Pacific

as well as juniors

• Coppermoly, Frontier, Gold Anomaly, Goldminex, Papuan Precious Metals and others

Large investments are being made in PNG

• LNG Project, Ramu, Hidden Valley

PDAC 2011 3

MIL Resources (ASX:MGK) Large Papua New Guinea land position

• 14 exploration licences and exploration licence applications

• More than 10,000km2

Track record of grant and renewal

• Amazon Bay granted in December 2005 and renewed twice

• Support from warden hearings for ELA and EL renewals in late 2010

Achieving on the ground results

• Amazon Bay – airborne geophysics, drilling and metallurgical testing

• Poi – airborne geophysics, extensive sampling trenching

• Golden Peak – sampling and trenching

• Domara – airborne geophysics

PDAC 2011 4

Agenda • Excellent land position

• Building a strong team

• Adding value

• Fund raising

PDAC 2011 5



• Adding value

• Fund raising

PDAC 2011 6

South East Papua Gold Poi

• 11km x 1.5km geophysical anomaly

• Coincident gold geochemistry over 9

prospects

• Characteristics of large porphyry gold copper systems found in island arc settings such as PNG

Golden Peak

• 800m X 2000m alteration zone

• Gold geochemistry over several km2

Domara

• Radiometric anomalies identified

• Adjoining Papuan Precious Metals and

Goldminex tenements

PDAC 2011 7

Poi • EL 1628 and ELA 1643, 100% MIL

• Porphyry gold-copper

• Radiometric anomaly 11km x 1.5km open

along strike

• Coincident with cross-cutting radiometric

structures and anomalous geochemistry

• Prominent NE – SW transfer structure

• 9 gold zones defined by stream

geochemistry over 27 km2

• Aladdins prospect trenching

20m @ 7.17g/t Au, 0.50%Cu and

9.60g/t Ag

• Visible gold in streams

PDAC 2011 8

• Recent assays:

20m of 7.2 g/t Au

Including 6m of 22.4 g/t Au

Golden Peak

PDAC 2011 9

• Gold geochemistry over several km2

• EL 1625, 100% MIL

• 40km east of Port Moresby

Domara • EL 1637, 100% MIL

• Radiometric anomalies defined

• South of Papuan Precious Metals EL1424

• 3 Cu/Au porphyry structures

• 2Ni/PGM targets

• … and Goldminex EL1576

• elevated gold in drainage geochemistry

Domara Geophysical Targets (after Steve Collins – Arctan Geophysical Services)

PDAC 2011 10

New Britain Gold• EL 1640 and 1642, 100% MIL

• Copper-molybdenum-gold systems

• EL’s located close to :

• Barrick / Coppermoly $20M JV area

• Ok Tedi / Frontier’s $36 million JV areas

• Esso Minerals (1982-3) & CRA (1985) identified high-grade gold:

• Dagi South (18.4g/t Au)

• Ania South (10.7g/t Au)

• Gasmata (10.8g/t Au)

• Yonathan River (50.1g/t Au)

PDAC 2011 11

New Ireland Gold Legusulum

• ELA 1638, 100% MIL

• Legusulum Cu/Au/Mo deposit

• 70m thick leached cap over 1km2

• Rockchips to 6.1g/t Au

• Explored by Swiss Aluminium during

early 1970’s

• 13 DDH’s total 1500m

• Ave depth 115m, Ave grade 0.25% Cu

Palabong

• ELA 1645, 100% MIL

• Porphyry copper-gold targets

• Weitin River caldera with copper stream

sediment anomaly

Mussau and Tanga Islands

• ELA 1818 and 1639, 100% MIL

• Located on the Simberi – Lihir – Tanga -

Feni Island chain (hosts over 49 mOz of

gold resources)

• 10km x 5km zone of epithermal quartz

float - rock chips returning 28 g/t Au at

Mussau

• Epithermal gold with assays to 2.0g/t

Au at Tanga

PDAC 2011 12

Amazon Bay • EL 1396, 1623 and 1681

• 42% MIL Resources, earning to 51%

• Strandlines along 70km of coast

• Exploration target of 3 – 4 billion tonnes of vanadium rich magnetite ironsands

potentially containing +200Mt of concentrate

• Preliminary metallurgy produced concentrate grading 1.02% V205, 52.3% Fe, 17.3%

Ti02, 3.5% Si02, 1.8% Al203

• Vanadium content of 1.02% V205 compares favourably to other projects, for example;

Balla Balla Atlas Iron Limited 0.63% V2O5

Windamurra Atlantic Limited 0.47% V2O5

Ballambie Reed Resources 0.82% V2O5

PDAC 2011 13



• Adding value

• Fund raising

PDAC 2011 14

Building a strong team • Two field geologists already engaged to supervise PNG work programs

Recruit one additional field geologist

• Exploration manager to manage overall exploration program

Recruit an experienced exploration manager in 1H 2011

• Manager in place to manage community and PNG government relations

• Utilizing external experts to supplement internal knowledge

• Full time CEO appointed in November 2010

• Experienced and knowledgeable Board

PDAC 2011 15



• Adding value

• Fund raising

PDAC 2011 16

Golden Peak • Preferred first drill targets

• Simple logistics by PNG standards (40km from Port Moresby)

• Well defined targets

• 2010 trenching and sampling provided location control for historical results

• 2011 Program:

• Continue trenching and sampling to recreate Elders high grade results - Completed

20m of 7.2 g/t Au

Including 6m of 22.4 g/t Au

• Extend trenching and sampling to determine the extent of high grade mineralization and define

drill targets

• If successful:

Drill up to 2000m into targets

PDAC 2011 17

Poi • 2 targets defined in 2010

• Aladdins

20m @ 7.17 g/t Au, 0.50% Cu and 9.60 g/t Ag

including 2m @ 41.5 g/t Au and 2m @ 31.6 /t Ag

• Wallaby Ridge

• Awaiting further trenching and sampling results and interpretation

• 2011 Program:

• Technical expert review to refine model

• Continue trenching and sampling to define drill targets

• If successful:

Drill up to 2000m into 3 targets – 6000m in total

• Extend geochemical sampling to test northern and southern extension

PDAC 2011 18

Other PNG Gold/Copper Legusulum

• Conduct and interpret geophysical surveys to define drill target

• If successful, drill up to 5000m into target

New Britain

• Commence geochemical sampling, follow up with geophysical surveys

Palabong

• Commence geochemical sampling, follow up with geophysical surveys

Massau Island

• Conduct and interpret geophysical surveys, follow up with geochemical sampling

PDAC 2011 19

Amazon Bay • Improve understanding of ore body

• Drill 3 reconnaissance lines to define inland strandlines

• Investigate options to enhance preferred flow sheet

• Actively seeking partners for development

• Vanadium rich titanomagnetite concentrate into China

PDAC 2011 20

Work Program – Timing 1H 2011 2H 2011 2012

Geochem Sampling Poi Drill up to 6000m

Geophysics Legusulum Drill up to 5000m

New Britain Geochem Sampling Geophysics

Geochem Sampling Golden Peak Drill up to 2000m

Palabong Geochem Sampling Geophysics

Massau Is. Geophysics Geochem Sampling

Amazon Bay Drill 3 Lines

EL Grant?

EL Grant?

EL Grant?

EL Grant?

PDAC 2011 21

Work Program – Cost • 2011 expenditure of $3m – $4m

Define and drill Golden Peak targets

Define and commence drilling 3 Poi targets

Acquire geophysics, define Legusulum drill target, commence drilling

Exploration work on New Britain, Palabong and Massau Island

Drill 3 reconnaissance lines at Amazon Bay

Build and maintain capability

PDAC 2011 22



• Adding value

• Fund raising

PDAC 2011 23

March 2011 Fund Raising • Raise ~$4.25m net

• Placement

35m shares at 2c

Sophisticated, professional and institutional investors

• Fully underwritten 3 for 5 entitlement offer

Approximately 190m shares at 2c

Australian and New Zealand shareholders

PDAC 2011 24

Ongoing news flow in 2011 • Golden Peak

Geochem

Drilling

• Poi

Expert review

Geochem

Drilling

• Legusulum

Geophysics

Drilling

• New Britain/Palabong/Massau Island

Initial Geochem/Geophysics

PDAC 2011 25

Share price and capital structure

Capital Structure (as at 25 February 2011)

• Market Capitalisation $11.9m as at 25 February 2011

• 339,879,819 shares

• 60,329,111 listed 31 May 2012 options

• 33,333,333 unlisted redeemable preference shares

• 26,900,183 unlisted options (various exercise dates and prices)

PDAC 2011 26

Pdac presentation march2011

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