1. Developing Silver
Resources in Mexico
Q1 2013
TSX VENTURE: OAG OTCQX: ORAGF FRANKFURT: OSI
2. Forward Looking Statement
• This presentation is prepared by Oremex Silver Inc. (OAG – TSX.V) and Oremex Gold Inc.
(OAU – TSX.V). Management of Oremex are solely responsible for content and format. Management has
compiled this presentation from industry information and 43-101 reports and news releases with specific
underlying Qualified Persons as set out in the Releases and reports. Industry Information has been
compiled from publically available sources and may not be complete, up to date or reliable.
• This presentation contains forward-looking statements within the meaning of Canadian and U.S. securities
laws. Such forward looking statements are subject to risks and uncertainties which could cause actual
results to differ materially from estimated results. Such risks and uncertainties include, but are not limited to,
the Company’s ability to raise capital to fund development and exploration, changes in general economic
conditions or financial markets, changes in metal prices, general cost increases, litigation, legislative,
environment and other judicial, regulatory, political, competitive developments in Mexico, technological and
operational difficulties or inability to obtain permits encountered in connection with The Company’s
exploration activities, community and labour relations matters and changes in foreign exchange rates, all of
which are described in more detail in the Company’s filings with the Canadian Securities Regulators.
• This presentation is for information purposes only and is not a solicitation. Please contact the Company for
complete information and consult a registered investment representative / advisor prior to making any
investment decision.
• Investors are urged to consider closely the disclosure in Oremex’s annual and quarterly reports and other
public filings, accessible through the Internet at www.sedar.com
• Although the Company believes many of its properties have promising potential, its properties are in the
early stages of exploration. None have yet been shown to contain proven or probable mineral reserves.
There can be no assurance that such reserves will be identified on any property, or that, if identified, any
mineralization may be economically extracted.
TSX VENTURE: OAG 2
3. Company Overview
Focus on the exploration and development of silver projects
along the highly productive mineralized belt that made Mexico the
largest silver-producing country in the world
• Oremex Resources Inc. was renamed Oremex Silver Inc.
in Q3, 2011 to reflect pure silver focus
• Spin-out of gold projects was listed as Oremex Gold
Inc. (OAU – TSX.V)
• Portfolio of silver projects includes mineral resource of
50.8M oz. of silver (22 Mt at 69 g/t Ag) with P.E.A. at the
Tejamen project
• All projects are in mining and capital-friendly jurisdictions
• Declared a dividend-in-kind of 14M common shares of
Oremex Gold
• Experienced board and management team
• Successful track record of mine development in Mexico
with seasoned ability for new project evaluation and
acquisition
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4. Board of Directors & Management
JOHN CARLESSO – EXECUTIVE CHAIRMAN
Mr. Carlesso is the President of Cervello Capital Inc., a Toronto-based private merchant
bank. He has extensive experience as a founder, director and an executive with several
junior resource companies throughout Latin America and internationally
MICHAEL R. SMITH, R.G. – DIRECTOR & CEO/PRESIDENT
Mr. Smith is a geologist with significant international mining operations experience.
Previously, Mr. Smith served as Chief Mine Geologist for Barrick Gold Corp. at the
Goldstrike Mine in Nevada. He subsequently became General Manager of Exploration
and Development for Barrick Gold in South America. Mr. Smith also managed design
and operational aspects of engineering geology and has been involved in all aspects of
ore reserve calculations, parameters and block modeling
Michael Ivan, CPA, CA. CFO
Mr. Ivan has a significant amount of public resource company experience and began
his career with Collins Barrow Toronto LLP, a public accounting firm. Over the course
of his career he has gained extensive international business experience, having
serviced clients throughout North and South America; in addition to also working in
public accounting in Australia. He is a graduate from Wilfrid Laurier University with an
Honours Bachelor of Bus Admin degree.
TSX VENTURE: OAG 4
5. Share Capitalization (Jan 1, 2013)
Basic Shares Issued . . . . . . . . . . . 144.8 million
Stock Options Outstanding . . . . . . . . 8.9 million
1.95 million @ $0.10
0.6 million @ $0.15
3.1 million @ $0.32
0.25 million @ $0.26
3.0 million @ $0.19
Warrants Outstanding . . . . . . . . . . . . 31.5 million
2.3 million - Exercisable @ $0.16 expiry May 2013
2.2 million - Exercisable @ $0.10 expiry July 2015
20.8 million - Exercisable @ $0.10 expiry Oct 2017 (Debenture/Equity)
6.2 million - Exercisable @ $0.10 expiry Oct 2017
Fully Diluted Shares . . . . . . . . . . . . . 185.2 million
* All prices expressed in C$
TSX VENTURE: OAG 5
6. Silver Project Portfolio
TEJAMEN (Durango State)
Oremex Silver Portfolio
OREMEX SILVER INC. • Flagship property with 50.8M oz. Ag
TEJAMEN (Durango State)
(22Mt at 69 g/t Ag), 43-101 mineral
Project locations
• Flagship P.E.A.
resource withproperty with
50.8M oz., 43-101 mineral
• Potential to expand resource
resource with P.E.A.
• Potential to expand resource
CHALCHIHUITES (Zacatecas State)
• Skarn and carbonate replacement
CHALCHIHUITES (Zacatecas State)
deposits (CRD) manto system with past
• Skarn and carbonate replacement
San Lucas production of(CRD) mantosilver-zinc-lead
deposits high-grade system
Tejamen • Grades up to productionAg, 0.99 g/t Au,
with past 3,800 g/t of
high-grade silver-zinc-lead
+ 1.6% Pb
Chalchihuites
• • Grades up to underground
Completed initial 3,800 g/t silver,drill
El Sol
program, g/t gold + 1.6%and surface
0.99 underground Pb
• Completed initial underground
mapping and sampling
drill program, underground and
• Initiating follow-up ~4,350m surface
surface mapping and sampling
drilling program
• Initiating follow-up ~1,600m
• On strike with and adjacent tosurface
underground and ~4,350m First
Majestic Silver’s (NYSE: AG) Del Toro
drilling program
Project (within 4 km) adjacent to First
• On strike with and
Majestic Silver’s (NYSE: AG) Del Toro
Project (within 4 km)
TSX VENTURE: OAG 6
7. Silver Project Portfolio
SAN LUCAS (Durango State)
OREMEX SILVER INC. • 66 hole, 10,000m drilling program
Project locations completed
• Similar geology to Tejamen but with
base metals
• Further drilling to establish resource
and follow up high grade zones,
1,856 g/t silver
San Lucas EL SOL (Durango State)
Tejamen
• Potential for silver-rich, base metal
Chalchihuites skarns and CRD
El Sol • Adjacent to Cerro Las Minitas
(763,830T @ 211 g/t Ag, 5.2% Pb,
7.17% Zn)
• Cerro Las Minitas acquired by
Southern Silver Sept 23/10 for $3M
+ $3M expenditures
• Strong IP geophysics demonstrate
excellent drill targets
TSX VENTURE: OAG 7
8. Tejamen: Preliminary Assessment
• Key silver valuation component and flagship
project
• Oremex Silver owns 100% mineral rights
• Surface access being negotiated
• Wardrop Report (2006) defines 50.8M oz. Ag
• 22Mt at 69 g/t Ag
• Snowden Report (2006) outlines viability of
open pit, heap leach operation
• 10,000 TPD
• Estimated CapEx USD $45 million
• 2:1 strip ratio
• 3.5 - 4.0M oz. silver per year
• Operating cost scenario of $5.75/ tonne
• Cash operating cost of $4/ oz. Ag
• Block model shows Los Mantos remains open to the south and east
• Significant exploration upside in feeder veins beneath both Los Mantos and Cerro Prieto
deposits, grades to 6m of 1,400 g/t silver, with about 5% lead & zinc
TSX VENTURE: OAG 8
10. Tejamen: Target Locations
Cerro Prieto Upper
• Completed 36,318m
of drilling
Cerro Prieto Lower
• Defined two primary
targets: Los Mantos
Pueblo Fault and Cerro Prieto
• Los Mantos drill
result highlights :
• Hole MMT-141:
80m at 417 g/t Ag
• Hole MMT-101:
Los Mantos
89m at 621 g/t Ag
View of Cerro Prieto and Los Mantos with drill holes
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11. Tejamen: Site Map
• Located close to
Tejamen town with
Vein outcrops 400 people
CERRO PRIETO
• Power and water
access
Perimeter potential • Year-around access:
LOS MANTOS open pit at a low elevation and
in easy to access
topography
• Mining-friendly
jurisdiction with
no violence
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12. Tejamen: Ore Body Geological Section
Opportunity for upside to
SECTION FROM expand the resource by
WARDROP drilling the South Eastern
ENGINEERING area of the project with high
grade mineralisation
TSX VENTURE: OAG 12
14. Tejamen: Community Infrastructure Program
Oremex Silver is committed to responsibly • Due to the success of the program, the
conducting our business to deliver long-term vast majority of the Tejamen Community supports
benefits for the communities we operate in Oremex Silver and the development of the project
• Beginning in 2009, current management of • Together with the Tejamen Community
Oremex Silver began establishing positive Association, Oremex Silver is in the process
community relations with the local Tejamen of negotiating surface access
town population • A decision from the Secretaria de la Reforma
• The company employed local labour for Agraria is expected in the future
various opportunities
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15. Chalchihuites Silver Project
• Located on the north edge of the Chalchihuites silver
district where historic, high-grade silver, lead and zinc
production came from veined manto deposit
• Eight concessions total 440 hectares
• Initial 4 hole, 525 m underground drill program
completed Q1, 2012
• Highlights of the mineralized intervals include:
• 5.5 m of 212.26 g/t Ag containing
1.7 m of 563 g/t Ag
• 5.4 m of 28.56 g/t Ag and 0.82 g/t Au comprising
of 1.4 m of 56.6 g/t Ag and 2.54 g/t Au
• Sample values:
• 2,000 - 3,540 g/t Ag, 0.011 - 3.405 g/t Au,
0.020 - 13.2% lead and 0.012 - 5.4% zinc
• Exploratory surface drill program anticipated to
commence
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16. Chalchihuites Silver Project
• Two parallel silver/ gold/ base metal mineralized shear zones, separated by approx. 100m
• Mineralization can be traced over a WNW zone with a map area of approx. 900 m long
by 200 m wide
• The shear zones have proven vertical extent of about 300m and 75m along strike
length
• Veins, breccias and mantos on Chalchihuites project are similar to those of First Majestic
Silver Corp. (NYSE: AG) and Pan American Silver Corp. (TSX: PAA)
• On strike with and adjacent to First Majestic Silver’s Del Toro Project (within 4 km)
Purísima Santa María First Majestic’s
mine mine Dolores mine
North view of the Purisima mine located at the middle of the project.
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18. Overview
• Management with a successful track record of mine discovery, exploration and
development in Mexico and seasoned ability for project evaluation and acquisition
• Highly prospective portfolios of silver assets with substantial exploration upside
• Tejamen asset underpins the value of the company and provides a “call option” on
price of silver
• Spin-out of Oremex Gold to unlock unrecognized value
• Oremex Silver shareholders to receive Oremex Gold share dividend
• All projects are located in a democratic, mining and capital-friendly jurisdiction
• Dedicated to building a discrete, legitimate growth platform
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19. info@oremexsilver.com
www.oremexsilver.com
Contact Information
1200 - 333 Bay St. | Toronto, ON M5H 2R2 | T: +1 (416) 309.4321
TSX VENTURE: OAG OTCQX: ORAGF FRANKFURT: OSI
