Mining project to invest

With USD$10million, you purchases the machinery, equipment, supplies, install the system of extraction and separation,

INCLUDING the start of the plant, for 3 months
The cost of the land does not include, NOT PURCHASED,

in Mexico there are only concessions of the land,

for the extraction of the mine, the sale of the mineral, ALL
You have all the permits, studies and evaluation records of RESERVES PROVEN,

you already have the ground and availability to start from IMMEDIATE 

Under the Mexican Constitution, minerals are part of the national patrimony, governed under Article 27 of the Constitution.

The Mining Law was introduced in June 1992 (amended in 2013) and establishes that minerals found in Mexican territory are owned by the Mexican Nation, and that private parties may exploit such minerals (except oil and nuclear fuel minerals) through mining licenses or concessions granted by the Federal Government.

}Mining concessions are valid for 50 years from the date of registration and are freely transferable. Foreign ownership has no restrictions.

}A Mining Boom is starting in this region

}Close to the International cargo port of Ensenada

}It borders with the State of California.

}The Region offers safe business conditions

 Open pit exploitation of the iron-black sands mining concession identified as “Vetarena El Sara II”, mineral is to be processed in rotatory drums and separated by magnetic methods, getting 94% Fe grade concentate, then will be processed to obtain green pellets with hidraulic compresure process.

BASIC OPERATION NEEDS.

}Chinese markets use over a thousand million tonnes of iron per year in their steel industry.

We expect to produce in the medium term at least 600,000 or 840,000 tonnes/year.

As a phase to two of the project expanding to a production1.2 million ton/year

Potential iron reserves estimation: based on the sections and data

estimated with the ARC GIS 9.3 software, the following values were

obtained

Total of Iron Tonnage: 28’584,421

}Reserves reported in the previous slide are the result of a study conducted in one of the sections of the conssesion.

}A volumetric study of the entire topography was completed to calculate reserves in cubic meters. Results obtained are: 308,178,088 cubic meters of material with a density of 3.2 in 986,169,881 tonnes of sand.

 }Grade of raw sand is 17% to 23% of Fe content

}This gave us 641,010,423 tonnes of material to be exploited

 }Concentrates ratio is 15% to 20%

 }Being extremely conservative, if we consider only 10% of these reserves as Fe, we can potentially obtain 64,101,042.3 tonnes of concentrate.

 Chemical analysis of iron concentrated in eolian sands by GTM Lab in Manzanillo, Colima, Mexico produced values of 9.75%, in contrast with black sands tested by Clarkson Lab. and Supply Inc. that produced a total of 23.65%.

}Based on such sampling and field works to prove the black sands concentration of iron in the two types of deposits, results are being adjusted in order to give more accurate values in terms of reserves estimation, as follows:

}Eolian sands (low grade):

2% of the Total of Iron

17% of the Total of Iron

}Due to laboratory test with dry magnetic

 concentration. We obtained from the ore,

Iron concentrate 64.37% Fe with a concentration

ratio of 15% average. 0.01 % Phosphorous,

0.35% SiO2, and 1.5% Al2O3 , S <0.01%

}This result can be easily improved in a

 real concentrator plant

 5.3.1 Objectives

}To Process and commercialize 900,000 tons/year of pelletized magnetite ,

 with a minimum grade of 64%.

 }Managing operating costs carefully and a good administration

and taxes managenent to ensure good economic profit levels.

 }100% compliance with all environmental and

 safety requirements in order to be a self-

sustainable enterprise.

5.3.2 Goals.

}To develop and working under a program of continuous mining exploration to identify partnership opportunities for the growth of the organization

 Price of the Product:
-Product ID: Magnetite / Hematite green pellets 64% Fe
-Price por ton paid in port: $ 81.50 USD / Ton
-900,000 tons/year
Sales Estimates per year Sales USD
2015 (840,000 tons) $ 59’902,500. 00
2016 $ 68’460,000. 00
2017 $ 68’460,000. 00
2018 $ 68’460,000. 00
2019 $ 68’460,000. 00
2020 $ 68’460,000. 00
2021 $ 68’460,000. 00
2022 $ 68’460,000. 00
2023 $ 68’460,000. 00