Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

MMG LIMITED

五礦資源有限公司

(Incorporated in Hong Kong with limited liability)

(STOCK CODE: 1208)

FIRST QUARTER PRODUCTION REPORT

FOR THE THREE MONTHS ENDED 31 MARCH 2020

This announcement is made pursuant to Rule 13.09 of the Rules Governing the Listing of Securities of The Stock Exchange of Hong Kong Limited (Listing Rules) and the Inside Information Provisions (as defined in the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong).

The board of directors (Board) of MMG Limited (Company or MMG) is pleased to provide the First Quarter Production Report for the three months ended 31 March 2020.

The report is annexed to this announcement.

By order of the Board

MMG Limited

GAO Xiaoyu

CEO and Executive Director

Hong Kong, 23 April 2020

As at the date of this announcement, the Board comprises eight directors, of which one is an executive director, namely Mr Gao Xiaoyu; four are non-executive directors, namely Mr Guo Wenqing (Chairman), Mr Jiao Jian, Mr Zhang Shuqiang and Mr Xu Jiqing;and three are independent non-executive directors, namely Dr Peter William Cassidy, Mr Leung Cheuk Yan and Mr Chan Ka Keung, Peter.

MMG First Quarter Production Report 2020

1

2020 FIRST QUARTER PRODUCTION REPORT

FOR THE THREE MONTHS ENDED 31 MARCH 2020

1Q20

1Q20

YTD20

1Q20

VS 1Q19

VS 4Q19

YTD20

VS YTD19

Copper cathode (tonnes)

Kinsevere

18,207

45%

-11%

18,207

45%

Total

18,207

45%

-11%

18,207

45%

Copper

(contained metal in concentrate, tonnes)

Las Bambas

73,319

-28%

-26%

73,319

-28%

Rosebery

385

2%

-11%

385

2%

Total

73,704

-28%

-26%

73,704

-28%

Zinc (contained metal in concentrate, tonnes)

Dugald River

35,505

-8%

-26%

35,505

-8%

Rosebery

17,452

-6%

-23%

17,452

-6%

Total

52,957

-7%

-25%

52,957

-7%

Lead (contained metal in concentrate, tonnes)

Dugald River

4,277

-16%

-37%

4,277

-16%

Rosebery

5,666

-4%

-17%

5,666

-4%

Total

9,943

-9%

-27%

9,943

-9%

Molybdenum (contained metal

in concentrate, tonnes)

Las Bambas

124

-76%

-48%

124

-76%

Total

124

-76%

-48%

124

-76%

KEY POINTS

  • Total recordable injury frequency (TRIF) of 1.59 per million hours worked for the first quarter in 2020.
  • Total copper production of 91,911 tonnes was 24% below the prior period, largely due to social and operating disruptions at Las Bambas.
  • At Las Bambas, production levels were impacted in January and February as a result of repairs to the overland ore conveyor, together with blockades along Peru's southern road corridor which temporarily restricted both inbound and outbound logistics between 27 January and 8 February.
  • Further disruptions to mining and production activity at Las Bambas have resulted from a nation-wide State of Emergency that was first declared on 15 March, in response to the COVID-19 outbreak. As a result of the State of Emergency and other health restrictions, the transport of concentrates has been suspended, and the movement of people and critical supplies is significantly restricted.

MMG First Quarter Production Report 2020

2

  • Kinsevere copper cathode production of 18,207 tonnes was in line with plan for the first quarter and 45% above the comparative period in 2019, reflecting a shift back to mining at the Central pit.
  • Zinc production of 52,957 tonnes was largely in line with expectations.
  • At Rosebery, zinc production of 17,452 tonnes was 6% below the prior-year comparative period, reflecting anticipated lower ore grades, together with lower milling volumes as work continues to enhance mine flexibility in response to seismic instability at depth.
  • At Dugald River, zinc production of 35,505 tonnes was achieved, with lower feed grades and temporary recovery challenges impacting the result.
  • MMG continues to pro-actively respond to the COVID-19 pandemic, working closely with national authorities in relevant jurisdictions to protect the health and safety of its employees, host communities and other stakeholders. To date, no COVID-19 cases have been identified at any MMG operation.
  • The year-to-date impacts of community disruption and COVID-19 on production, together with ongoing uncertainty regarding the continued impact of virus-related constraints, has resulted in the withdrawal of guidance for Las Bambas.
  • Noting the potential for further impacts and ongoing uncertainty associated with the COVID-19 outbreak, the Company at this stage maintains its full year production and C1 cost guidance for Kinsevere, Dugald River and Rosebery.
  • Positive results continue to be received in relation to drilling programs around existing operating hubs. Drilling over the first quarter of 2020 at Las Bambas extends and confirms previously reported high-grade intercepts (>1%) at the Chalcobamba Southwest Zone, and significant copper and cobalt assay results were received during the quarter from drilling programs at Sokoroshe II and Nambulwa, in the Democratic Republic of Congo.

COVID-19

MMG continues to pro-actively respond to the COVID-19 outbreak, working closely with national authorities in relevant jurisdictions to protect the health and safety of its employees, host communities and other stakeholders. To date, no COVID-19 cases have been identified at any MMG operation.

The Company has implemented business continuity plans at both a corporate and regional level to assist local communities and authorities in limiting the spread of COVID-19, and to help mitigate operational risks. These plans are managed by crisis management teams that meet on a daily basis, with oversight from MMG's executive team. Where possible, flexible and remote working arrangements have been implemented to limit face-to-face interactions. Increased screening by site medical teams, together with adjustments to site rosters and isolation and quarantine procedures for employees arriving at remote camp-based sites have also been introduced. These measures are reinforced by regular employee communications that seek to promote social distancing, and best-practice health and hygiene management.

In addition, the Company has implemented a series of initiatives to support COVID-19 response and awareness initiatives in its host communities. This includes additional funding and support for local and regional health directorates, sourcing of critical PPE, the communication of national public health advice in both official and indigenous languages through community radio stations and in flyers and posters, and other direct support for local communities where a need is identified.

On 15 March, the Government of Peru declared a State of National Emergency and other measures to restrict the spread of COVID-19. This State of Emergency remains in place, extended by the Government of Peru on several occasions. As a result of this situation, Las Bambas has been operating, consistent with national guidelines and Company health protections, at reduced levels of mining and production. The transport of concentrates has been suspended, and the movement of people and critical supplies is significantly restricted.

With the previously mentioned protections in place, operations have largely continued as normal in Australia and the Democratic Republic of Congo (DRC), with relatively limited impacts from the COVID-19 outbreak.

MMG First Quarter Production Report 2020

3

MMG continues to prudently manage its liquidity position, with more than US$510.0 million in cash and undrawn liquidity facilities available to the Las Bambas Joint Venture and a further US$310.0 million available across its other subsidiaries as at 31 March. The Company maintains the strong support of its majority shareholder and funding partners and is proactively pursuing measures to further enhance its liquidity position, reduce discretionary expenditure and review near-term capital requirements.

COMMODITY PRICES, MARKETING AND SALES

COMMODITY PRICES, MARKETING AND SALES

QUARTER-AVERAGE

QUARTER CLOSE

1Q20

4Q19

1Q19

1Q20

4Q19

1Q19

Metal Price

Copper (US$/lb)

2.56

2.83

2.82

2.18

2.79

2.94

Gold (US$/oz)

1,583

1,548

1,304

1,607

1,523

1,293

Lead (US$/lb)

0.84

0.88

0.92

0.78

0.87

0.92

Molybdenum (US$/lb)

9.64

9.14

11.79

8.43

9.20

12.13

Silver (US$/oz)

16.90

18.29

15.57

13.93

18.05

15.10

Zinc (US$/lb)

0.97

1.04

1.23

0.85

1.04

1.36

Sources: zinc, lead and copper: LME cash settlement price; Molybdenum: Platts; gold and silver: LBMA.

Base metal prices fell substantially over the first quarter of 2020, as the global economic impact of the COVID-19 pandemic became increasingly apparent. Copper and zinc prices fell by 22% and 19% respectively over the period. Lead prices fared slightly better, falling by 10%, partly assisted by demand factors associated with lead-acid battery replacement requirements for vehicles.

After initially rallying in January and February, gold prices fell sharply during March, together with equity markets, as investors sought to liquidate positions following the formal declaration of a global pandemic by the World Health Organisation. Gold prices recovered by the close of the quarter, ending 5% higher than at the start of the year. Silver prices closed 22% down for the quarter, due to significant declines in industrial demand.

Copper concentrate market sentiment shifted during the period. COVID-19 related restrictions in the first part of the quarter constrained Chinese smelter production, leading to initial concerns of potential concentrate oversupply. However, the market tightened during March, as China smelting activity recovered and concentrate supply from South America was interrupted by reduced output from key mines. Spot concentrate terms started the year trading below annual benchmark contract levels, before steadily moving higher in February, reflecting the direct COVID-19 impacts on Chinese smelters. They have now returned to trade below annual terms, as smelters seek secure stable concentrate feed. Notwithstanding the changes in market sentiment during the quarter, demand for copper concentrate at primary smelters is still expected to exceed growth in mine supply during 2020.

MMG shipments from Las Bambas during the quarter were lower than planned due to community-related logistics interruptions in January and early February. Following the declaration by the Government of Peru of a State of a National Emergency and other measures to contain the spread of COVID-19, concentrate logistics have been adversely impacted and are suspended, with concentrate stocks at Matarani Port exhausted. As a result, Force Majeure has been declared on Las Bambas copper and molybdenum concentrate sales agreements. For our customers, all cargoes shipped from Las Bambas to overseas ports during the quarter have been discharged and received at destination ports, without any major interruptions.

Spot treatment charges for zinc increased during 2019 and early 2020, based on expectations of additional global zinc mine capacity coming into production. Consistent with this trend, it was reported during March that Korea Zinc and Teck Resources settled 2020 headline zinc concentrate treatment charges, which are used as a reference in many annual contracts, at $299.75/dmt. This marked an increase of $54.75/dmt from the 2019 zinc headline treatment charge of $245.00/dmt, Subsequently, treatment charges in the spot market have started to reduce significantly in

MMG First Quarter Production Report 2020

4

favour of miners, as mine production has fallen due to COVID-19 impacts, while smelter demand remains steady. Lead concentrate terms also improved during the latter part of the quarter. Demand for MMG's qualities of zinc and lead concentrates remains robust, with concentrate shipments from Dugald River and Rosebery mines proceeding smoothly during the quarter.

PROVISIONAL PRICING

The following table provides a summary of the metal that was sold but which remains provisionally priced at the end of the first quarter 2020 and the month that final average pricing is expected to occur at the time of provisional invoicing.

OPEN PRICING AT 1 APRIL 2020

APR-20

MAY-20

JUN-20

JUL-20

TOTAL

Copper (tonnes cathode and

49,527

3,709

3,606

56,842

copper contained in concentrate)

7,953

2,193

10,632

Gold (ounces)

486

Lead (tonnes)

1,607

2,875

4,482

Molybdenum (pounds)

177,536

204,778

382,314

Silver (ounces)

452,978

44,052

296,415

793,445

Zinc (tonnes)

17,560

3,880

8,464

29,904

OPERATIONS

LAS BAMBAS

LAS BAMBAS

1Q20

1Q20

1Q20

YTD20

YTD20

VS 1Q19

VS 4Q19

VS YTD19

Copper (tonnes)

73,319

-28%

-26%

73,319

-28%

Molybdenum (tonnes)

124

-76%

-48%

124

-76%

First quarter performance

Las Bambas produced 73,319 tonnes of copper in copper concentrate during the first quarter. This represented a decrease of 26% from the prior period and reflects reduced mining and milling volumes, which fell by 12% and 23% respectively.

Mining and milling activity was adversely impacted during the period by repairs to the overland ore conveyor and community related logistics disruptions in January and February. As of mid-March, indirect impacts of the COVID-19 pandemic also adversely impacted on site activity levels. These impacts were partially offset by higher ore grades, which were above plan for the quarter.

Molybdenum production for the first quarter was also lower than the prior period. This was primarily a result of de- bottlenecking work on the molybdenum plant, which commenced in 2019. The molybdenum plant is currently going through a commissioning and ramp-up process. It is expected that this work will result in a material uplift in molybdenum production once operations return to normal.

On 27 January, a series of community blockades commenced along Peru's southern road corridor. These actions caused disruption to Las Bambas' outbound and inbound logistics, as well as the operations of several other mining companies that use the impacted public roads. The delivery of additional mine fleet was also delayed by the blockade. During this time, repairs were also required on Las Bambas' overland conveyor, which transports crushed ore to the processing plant. This temporarily limited the steady supply of ore to the mill.

On 8 February, the Government of Peru declared a 30-day State of Emergency along sections of the southern road corridor. This resulted in the cessation of community blockades and facilitated the gradual resumption of normal operations and logistics activity. This State of Emergency was subsequently renewed for a further 30-day period on 7

MMG First Quarter Production Report 2020

5

March. The Company has continued to pursue constructive dialogue with communities along the road and the National Government regarding potential alternative solutions to the existing transportation of concentrate.

On 15 March, the Government of Peru declared a State of National Emergency and also announced other measures to restrict the spread of COVID-19. As a result, normal operating activity at Las Bambas was again impacted, with limits placed on workforce availability and both inbound and outbound logistics. Although mining and processing activity at site has continued, the level of activity and compliance to original mine plans has been progressively impacted. The transport of concentrate has also been significantly limited and is currently suspended. Although initially only in place for a period of 14-days,further declarations have been made by the Government of Peru that will now see restrictions remain in place until at least Sunday, 26 April.

As disclosed in the 2019 Fourth Quarter Production Report, approximately 50,000 tonnes of copper metal was stockpiled at the Las Bambas mine site as at 31 December 2019. This stock has been progressively drawn down over the course of 2020, despite significant logistics challenges during the quarter. Balances fell below 40,000 tonnes by the end of February, however COVID-19 related impacts have resulted in a gradual increase to approximately 45,000 tonnes, as at 31 March. It is intended that this stock will be transported to Matarani Port at the earliest possible opportunity.

Revised outlook

Due to the inherent uncertainty associated with COVID-19 and its impacts on Las Bambas operations, on 13 April MMG withdrew its 2020 guidance for Las Bambas. The Company is working on a range of scenarios for recovery once restrictions have lifted and will provide an update to the market when there is greater certainty regarding the outlook and timing for a return to normal operations. This will include an update on any impacts to the development and permitting timeline for the Chalcobamba pit.

Despite the effects of COVID-19, the Company continues to expect that Las Bambas will deliver around two million tonnes of copper production in the five-year period from 2021 to 2025.

Beyond 2025, the Company continues to advance a series of development programs to maintain a strong production profile at Las Bambas. Positive drilling results as detailed in the Geoscience and Discovery section below continue to support the Company's confidence in the potential for an expansion of the existing Chalcobamba pit design and also reflect the highly prospective nature of the Las Bambas tenements more generally.

KINSEVERE

KINSEVERE

1Q20

1Q20

1Q20

YTD20

YTD20

VS 1Q19

VS 4Q19

VS YTD19

Copper Cathode (tonnes)

18,207

45%

-11%

18,207

45%

First quarter performance

Kinsevere produced 18,207 tonnes of copper cathode in the first quarter. This represented a 45% improvement against the comparative prior year period and follows the return to mining at the Central pit, with associated improvements in ore grade. Lower cathode production compared to the final quarter of 2019 was largely attributable to reduced mill throughput. This was a result of unfavourable ore characteristics, which also impacted recoveries through the accumulation of coarse particles in leach tanks. The effect of this was partially offset by above plan feed grades. Adjustments are being made to the processing circuit to limit impacts in the future.

Mining volumes were below the final quarter of 2019, largely due to the impact of the wet season. This has triggered changes to the mine sequencing plan that will see access to higher grade areas deferred until later in the year, with dilution levels more manageable in the dry season. Temporary local COVID-19 related restrictions placed limits on people movements and also impacted on mining volumes during March. However, this did not directly impact processing activity given the availability of ore stockpiles at site.

MMG First Quarter Production Report 2020

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2020 outlook

Noting the ongoing uncertainty associated with COVID-19, MMG at this stage maintains its existing 2020 guidance for Kinsevere, with production of between 68,000 and 75,000 tonnes of copper cathode and C1 costs of US$1.80-1.95/lb.

The Company continues to investigate options to extend the life of Kinsevere with studies ongoing for the next phase of the Kinsevere project, including the addition of a sulphide ore and cobalt processing circuit alongside the existing oxide circuit. As previously advised, the Company expects to reach a decision on this project during the second half of 2020.

DUGALD RIVER

DUGALD RIVER

1Q20

1Q20

1Q20

YTD20

YTD20

VS 1Q19

VS 4Q19

VS YTD19

Contained metal in concentrate

Zinc (tonnes)

35,505

-8%

-26%

35,505

-8%

Lead (tonnes)

4,277

-16%

-37%

4,277

-16%

First quarter performance

Dugald River produced 35,505 tonnes of zinc in zinc concentrate and 4,277 tonnes of lead in lead concentrate during the first quarter of 2020. Mining and milling volumes of 462,570 and 443,378 tonnes respectively were both in line with plan and continue to demonstrate Dugald River's capacity to operate in excess of nameplate capacity on a sustained basis.

First quarter mining and milling volumes at Dugald River are typically below other periods due to wet weather. Ore mined during the first quarter of 2020 was significantly higher (18%) than the prior year comparative period, reflecting the extensive flooding at Dugald River in early 2019.

The depletion of pre-commissioning ore during the second half of 2019 resulted in low surface ore stocks at the beginning of 2020, limiting mill throughput for the period until a surplus was established toward the end of the quarter. Milling was also impacted by unplanned maintenance requirements, including wet weather related power disruptions. This, combined with lower ore grades and recoveries, resulted in metal production volumes that were below both the prior quarter and prior year comparative periods. Grade declines partially reflect mine sequencing, in addition to higher than anticipated dilution in the South mine. Lower recoveries were largely confined to the first half of the period, with enhanced grinding processes leading to improvements in March.

2020 outlook

After an aggressive and successful ramp up during 2019, work in 2020 will continue to focus on opening up new operating areas, to ensure a steady feed of ore to the mill. The optimisation of recoveries will be a major area of focus in the processing plant. This work will be key in ensuring Dugald River remains on track to deliver annual mine capacity of two million tonnes and targeted zinc equivalent production in excess of 200kt per annum, by 2022.

Noting the ongoing uncertainty associated with COVID-19, MMG at this stage maintains its existing 2020 guidance for Dugald River, with production of between 170,000 and 180,000 tonnes of zinc in zinc concentrate and C1 costs of US$0.70-0.75/lb.

MMG First Quarter Production Report 2020

7

ROSEBERY

ROSEBERY

1Q20

1Q20

1Q20

YTD20

YTD20

VS 1Q19

VS 4Q19

VS YTD19

Contained metal in concentrate

Zinc (tonnes)

17,452

-6%

-23%

17,452

-6%

Lead (tonnes)

5,666

-4%

-17%

5,666

-4%

Copper (tonnes)

385

2%

-11%

385

2%

First quarter performance

Rosebery produced 17,452 tonnes of zinc in zinc concentrate during the first quarter, which together with lead and copper production was in line with expectations. The impacts of reduced throughput were partially offset by higher than anticipated milled ore grades during the period. Lower metal production compared to the fourth quarter of 2019 and the prior year comparative period is attributable to both lower mill throughput and declining ore grades.

Significant surface ore stockpiles at the beginning of 2020 allowed for high throughput in January. However, once these stockpiles were exhausted, the ongoing impact of two seismic events in 2019, as well as continued seismic activity and enhanced risk management practices, have limited access to existing mining fronts and constrained blasting activity. These limitations have temporarily reduced mine output, with a flow impact to milling volumes.

Although above expectations for the quarter, an overall decline in grades compared to prior periods is consistent with previous advice to the market and reflects the nature of the ore bodies in the deeper areas of the mine currently being accessed.

2020 outlook

In the near term, mine planning will continue to prioritise the development of lower seismic risk mining areas and enhance mine flexibility. The processing plant remains focused on optimising recoveries to offset anticipated declines in ore grades as the mine moves into deeper areas.

As previously advised, MMG remains committed to extending the operating life of the Rosebery mine. Resource extension drilling over the period has continued and studies into sustainable longer-term tailings management strategies are also being developed.

Noting the ongoing uncertainty associated with COVID-19, MMG at this stage maintains its existing 2020 guidance for Rosebery, with production of between 55,000 and 65,000 tonnes of zinc in zinc concentrate and C1 costs of US$0.20- 0.30/lb.

GEOSCIENCE AND DISCOVERY

Drilling activities were carried out at the Las Bambas operation in Peru, along with discovery and delineation of satellite copper oxide deposits within a roughly 50km radius (RAD50) of the Kinsevere mine. The focus of the Company's activities during the quarter are detailed below.

LAS BAMBAS

Drilling over the first quarter of 2020 at Las Bambas extends and confirms the near surface skarn and porphyry copper mineralisation at the Chalcobamba Southwest Zone (Figure 1).

The Chalcobamba Southwest Zone is located immediately southwest of the current Chalcobamba Ore Reserve pit, (Figure 2). Coherent, higher-grade copper skarn (>1% Cu) is located beneath a shallow, unmineralised diorite intrusion that strikes EW and dips gently to the S (figures 4 and 5). Additional geologic controls for the high-grade mineralisation include: faults, dyke margins and favourable stratigraphy that strikes NNW and dips moderately to the

MMG First Quarter Production Report 2020

8

SW. Drill intercepts located on the E and SE side of the prospect are dominated by porphyry style mineralisation; whereas, higher-grade skarn mineralisation is located to the west.

As currently defined, the surface footprint of the skarn and porphyry mineralisation, measures 500 metres in an EW direction and 300 metres in a NS direction. Low-grade, porphyry mineralisation (0.2% to 0.5% Cu) contains by product molybdenum ranging from 200 to 700ppm (see appendix).

A total of 20 drill holes were completed in the first quarter of 2020. Assays for 11 of these drill holes have been received since the 2019 Fourth Quarter Production Report. The results are summarized in the appendix (drill holes: CHS19-099 through CHEX20-12. Highlights include:

  • Hole CHS19-100 70.60m @ 2.50% Cu from 56.00m
  • Hole CHEX20-001 26.00m @ 2.22% Cu from 37.0m 40.40m @ 1.07% Cu from 72.6m 44.10m @ 1.01% Cu from 114.4m
  • Hole CHEX20-002 19.40m @ 1.10% Cu from 54.0m 36.85m @ 1.55% Cu from 126.0m
  • Hole CHEX20-008 19.00m @ 2.06% Cu from 78.0m

56.60m @ 1.47% Cu & 314 ppm Mo from 221.4m

Due to limited drill access, most of the drill holes are drilled at oblique angles to the controlling geologic features and thus the reported interval lengths exceed the true thickness. These drill holes were performed as part of an on-going drilling program for hydrogeological, geotechnical and sterilisation purposes that intersected mineralisation. The current drill locations limit the ability to test all targets and the opportunity to confirm the true width of mineralisation. Drilling will continue from the current platforms until new drilling locations have been permitted, which is targeted for the second half of 2020. A summary of all drilling results to date from this program is provided in the appendix and drill hole collars are shown in Figure 2.

Figure 1. Outline of Las Bambas Mining Concessions highlighting the location of Ore Reserves and Mineral Resources as well as the

Chalcobamba Southwest Zone exploration area.

MMG First Quarter Production Report 2020

9

Figure 2. The Chalcobamba Southwest Zone and adjacent Chalcobamba Ore Reserve pit (blue outline) are shown with the traces of all drill holes and the downhole copper grades. Drill holes with white labels were drilled in 2020. Drill hole labels in light yellow indicate select drill holes that were completed in 2019 for reference.

MMG First Quarter Production Report 2020

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Figure 3. Same area shown in Figures 1 & 2 with base map of IP Chargeability depth slice at 200 metres. Drill holes with white labels were

drilled in 2020. Drill hole labels in light yellow indicate drill holes completed in 2019.

MMG First Quarter Production Report 2020

11

Figure 4. Geologic Cross Section drawn along the trace of drill hole CHEX20-002. Drill hole labels with light yellow background indicate

holes that were drilled in 2019. Whereas white drill hole labels identify drill holes that were completed in 2020.

Figure 4. Geologic Cross Sections drawn along the trace of drill holes CHEX20-008. Drill hole labels with light yellow background indicate

holes that were drilled in 2019. Whereas, white drill hole labels identify holes that were completed in 2020.

MMG First Quarter Production Report 2020

12

DRC

In the first quarter of 2020, exploration activities continued to focus primarily on the development of satellite copper oxide deposits within a roughly 50km radius ("RAD50"), that may be suitable for economic exploitation at the Kinsevere mine. During the quarter, with the southern African wet season in full force, activities comprised mainly data analysis, interpretation, and planning for the 2020 field season. A resource delineation drilling program commenced at the Kinsevere site on the Central Sulphide Extension late in the quarter. In addition, a number of significant copper and cobalt assay results were received during the quarter from the 2019 resource drilling campaigns at Sokoroshe II (PE538) and Nambulwa (PE539).

Copper highlights include (true widths):

  • 25.2m @ 2.50% Cu, in drill hole SOK2DD012, from 63.5m downhole
  • 31.5m @ 1.87% Cu, in drill hole SOK2DD015, from 30.0m downhole
  • 25.3m @ 1.98% Cu, in drill hole SOK2DD016, from 68.0m downhole
  • 16.2m @ 2.57% Cu, in drill hole SOK2DD023, from 48.0m downhole
  • 14.0m @ 3.31% Cu, in drill hole SOK2RC070, from 37.0m downhole
  • 26.7m @ 3.93% Cu, in drill hole NAMRC015, from 53.0m downhole
  • 20.1m @ 3.14% Cu, in drill hole NAMRC019, from 32.0m downhole
  • 25.5m @ 2.59% Cu, in drill hole NAMRC020, from 25.0m downhole
  • 30.0m @ 1.92% Cu, in drill hole NAMRC022, from 18.0m downhole
  • 19.1m @ 2.23% Cu, in drill hole NAMRC025, from 24.0m downhole
  • 29.2m @ 2.78% Cu, in drill hole NAMRC029, from 18.0m downhole
  • 26.2m @ 3.37% Cu, in drill hole NAMRC032, from 9.0m downhole
  • 7.9m @ 3.53% Cu, in drill hole NAMRC046, from 44.0m downhole
  • 26.8m @ 2.20% Cu, in drill hole NAMRC051, from 18.0m downhole

Cobalt highlights include (true widths):

  • 43.3m @ 1.09% Co, in drill hole SOK2DD015, from 30.0m downhole
  • 30.4m @ 0.85% Co, in drill hole SOK2DD016, from 60.0m downhole
  • 20.0m @ 0.74% Co, in drill hole SOK2DD016, from 109.0m downhole
  • 32.6m @ 0.70% Co, in drill hole SOK2DD022, from 97.0m downhole
  • 18.2m @ 1.91% Co, in drill hole SOK2DD023, from 50.0m downhole
  • 6.5m @ 0.73% Co, in drill hole NAMRC014, from 23.0m downhole
  • 12.1m @ 0.32% Co, in drill hole NAMRC015, from 64.0m downhole
  • 32.0m @ 0.70% Co, in drill hole NAMRC032, from 6.0m downhole
  • 13.2m @ 0.37% Co, in drill hole NAMRC037, from 26.0m downhole
  • 9.0m @ 0.37% Co, in drill hole NAMRC049, from 22.0m downhole

MMG First Quarter Production Report 2020

13

Figure 6. DRC exploration projects.

Kinsevere

In early March, a 1,900m resource delineation drilling program commenced at Kinsevere in the area between the Central and Mashi pits, where high grade sulphides exist below the final pit design. Currently these sulphides are not economically viable for open pit mining due to the large strip ratios associated with overlying low-grade material in the Kinsevere saddle. The objective of the program is to further define the known sulphide resource and to identify additional sulphide mineralisation down-plunge which may increase the global sulphide Mineral Resource.

Mwepu

Activity for the quarter centered around planning for a Proof of Concept study during the first half of the year to determine the potential for economic extraction.

Nambulwa

Activities during the quarter revolved around updating the models for both the Nambulwa Main and DZ deposits. Final wet chemistry assay results were received for all 2019 resource drilling programs and are being incorporated into the model. Planning activities were undertaken during the quarter in preparation for drafting of the Feasibility Study and the Environmental and Social Impact Statement.

MMG First Quarter Production Report 2020

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Figure 7: Nambulwa Project showing the Nambulwa Main deposit and the best drill intercepts (true width) from the 2019 drill campaign. A

full listing of exploration results is shown in the Appendix.

MMG First Quarter Production Report 2020

15

Figure 8: Nambulwa Project: Nambulwa Main - Representative cross sections showing significant intercepts.

Figure 9: Nambulwa Project showing the DZ deposit and the best drill intercepts from the 2019 drill campaign. A full listing of exploration

results is shown in the Appendix.

MMG First Quarter Production Report 2020

16

Figure 10: Nambulwa Project: DZ - Representative cross section showing significant intercepts.

Sokoroshe II

Final wet chemistry assay results were received for the 2019 resource delineation drilling program and are being incorporated into the resource model. The 2019 program was successful in delineating a previously unknown zone of near-surface, lower orebody-hosted,copper-cobalt mineralisation immediately adjacent to the southeast of the main orebody. This newly identified zone, termed the Southern Orebody, measures >150m strike and up to 30m thickness and still open in multiple directions. It is a cobalt dominant zone with high-tenor cobalt intervals and lesser amounts of associated copper. Work during the quarter has focused on inclusion of the resource extensions from last year with respect to the Southern Orebody, into a detailed mining plan. This will likely require the revision of the Feasibility Study and the Environmental and Social Impact Statement as material changes to the pit design and stockpile dimensions are anticipated.

Figure 11: Sokoroshe II Project showing the best drill intercepts (true width) from the 2019 drill campaign. A full listing of exploration results

is shown in the Appendix.

MMG First Quarter Production Report 2020

17

Figure 12: Sokoroshe II Project: Representative cross section showing significant intercepts.

CORPORATE UPDATE

2019 ANNUAL RESULTS

MMG announced its 2019 annual financial results on 4 March 2020, reporting an underlying net loss after tax attributable to equity holders of US$125.4 million, and net cash flow from operating activities of US$1,145.1 million. Financial performance during the year was impacted by lower commodity prices, reduced copper sales volumes at Las Bambas following community disruptions and operational challenges in the first half at Kinsevere. This was partially offset by the strong performance of Dugald River in its first full year of commercial production.

A non-cash impairment net of tax of US$105.0 million to the carrying value of oxide related assets at Kinsevere, resulted in a full year after tax loss attributable to equity holders of US$230.4 million.

In 2019, MMG's operations produced 451,963 tonnes of copper and 253,520 tonnes of zinc.

MCK UPDATE

On 23 March 2020, the Company announced that MMG Kinsevere was notified that Mining Company Katanga SARL (MCK) has commenced legal proceedings against MMG Kinsevere in the Lubumbashi Courts in the Haut-Katanga Province in the DRC. MMG understands that MCK is associated with former Governor of Katanga Province, Mr. Moise Katumbi and/or his son.

MCK claims that MMG Kinsevere is liable to compensate MCK for losses suffered as a result of MMG Kinsevere's decision to not renew or extend the mining services contract with its associate entity MCK Trucks (then known as NB Mining SA) in 2018, on the basis that MCK was entitled to a "life of mine" agreement with MMG Kinsevere. MCK is seeking an award of damages suffered by MCK of US$158 million (covering a period of February 2018 to September 2019) plus US$100 million in punitive damages. The amount claimed appears overstated as it reflects MCK's potential revenues under a mining services contract as opposed to loss of profit.

Although there has been no court hearing on the merits of the case and no judicial assessment of the quantum claimed, MCK has obtained a freezing order over certain assets of MMG Kinsevere via proceedings that have, in MMG's view, not followed usual legal processes in the DRC. MMG has commenced an appeal process against the freezing order and is also defending a number of additional procedural actions commenced by MCK.

MMG Kinsevere and the Company regard the claim as unfounded and opportunistic, and the amount of the claim completely disproportionate to the losses that could reasonably have been suffered. MMG plans to vigorously contest the claim.

In addition, MMG Kinsevere rejects, in the strongest possible terms, the allegations set out in press releases of MCK and a non-government organisation associated with MCK, relayed by certain media, according to which MMG has allegedly attempted to improperly intervene in courts before which the proceedings between the parties are pending. The accusations are without any merit and prejudicial to MMG Kinsevere's reputation. MMG Kinsevere reserves its rights in relation to these allegations.

-ENDS-

MMG First Quarter Production Report 2020

18

CORPORATE DETAILS

MELBOURNE OFFICE

Level 23, 28 Freshwater Place Southbank

Victoria 3006, Australia

T +61 3 9288 0888

HONG KONG OFFICE

Unit 8506A, Level 85 International Commerce Centre 1 Austin Road West, Kowloon, Hong Kong

T +852 2216 9688

POSTAL ADDRESS

GPO Box 2982, Melbourne, Victoria, 3001, Australia

MMG LIMITED EXECUTIVE COMMITTEE

GAO Xiaoyu, Chief Executive Officer and Executive Director

Ross CARROLL, Chief Financial Officer

LI Liangang, Executive General Manager - Commercial

Troy HEY, Executive General Manager - Corporate Relations

WEI Jianxian, Executive General Manager - Americas

SHARE REGISTRAR

Computershare Hong Kong Investor Services Limited, 17th Floor, Hopewell Centre, 183 Queen's Road East, Hong Kong

IMPORTANT DATES

21 May 2020 - Annual General Meeting

For details please contact Corporate Relations below.

INVESTOR AND MEDIA ENQUIRIES

Blake ERICKSEN

Head of Investor Relations

T +61 3 9288 9185

M +61 475 804 341

E InvestorRelations@mmg.com

Andrea ATELL

Head of Corporate Affairs

T +61 3 9288 0758

M +61 476 830 491

E CorporateAffairs@mmg.com

Chinese Language:

Maggie QIN

Head of China Relations

T +61 3 9288 0818

M +61 411 465 468

E ChinaRelations@mmg.com

Throughout this report figures in italics indicate that this figure has been adjusted since it was previously reported.

MMG First Quarter Production Report 2020

19

APPENDIX - 2020 GUIDANCE

GUIDANCE SUMMARY

2020 GUIDANCE

2019 ACTUAL

Las Bambas

Copper - production

N/A*

382,518 tonnes

Copper - C1 costs

N/A*

US$0.99 / lb

Dugald River

Zinc - production

170,000 - 180,000 tonnes

170,057 tonnes

Zinc - C1 costs

US$0.70 - US$0.75 / lb

US$0.70 / lb

Kinsevere

Copper - production

68,000 - 75,000 tonnes

67,935 tonnes

Copper - C1 costs

US$1.80 - US$1.95 / lb

US$2.24 / lb

Rosebery

Zinc - production

55,000 - 65,000 tonnes

83,463 tonnes

Zinc - C1 costs

US$0.20 - US$0.30 / lb

US$0.20/ lb

*2020 guidance for Las Bambas was withdrawn on 13 April 2020, due to ongoing uncertainty regarding impact of COVID-19 on operations in Peru.

MMG First Quarter Production Report 2020

20

APPENDIX - PRODUCTION RESULTS

LAS BAMBAS

QUARTER ENDED

YEAR-TO-DATE

MAR 2019

JUN 2019

SEP 2019

DEC 2019

MAR 2020

MAR 2020

MAR 2019

Ore mined - copper

tonnes

15,543,100

11,743,412

13,433,089

10,934,016

9,600,874

9,600,874

15,543,100

Ore milled - copper

tonnes

12,822,132

11,992,161

13,683,455

12,785,623

9,898,899

9,898,899

12,822,132

Waste movement

tonnes

28,178,543

25,897,658

39,303,433

34,907,342

35,696,212

35,696,212

28,178,543

COPPER

Ore mined - grade

%

0.79

0.84

0.80

0.91

0.87

0.87

0.79

Ore milled - grade

%

0.86

0.81

0.81

0.87

0.84

0.84

0.86

Recovery

%

88.5

86.6

87.9

89.4

87.8

87.8

88.5

Production

Copper concentrate

tonnes

265,311

219,423

247,882

261,513

199,411

199,411

265,311

Grade

%

38.24

38.45

39.13

38.13

36.77

36.77

38.24

Containing

tonnes

101,452

84,373

96,990

99,702

73,319

73,319

101,452

Sales

Total concentrate

tonnes

111,515

271,521

198,477

271,784

217,013

217,013

111,515

sold

Payable metal in

tonnes

41,262

99,001

72,219

100,435

76,262

76,262

41,262

product sold

GOLD & SILVER

Payable metal in

oz

10,463

27,248

21,889

31,840

24,654

24,654

10,463

product sold - gold

Payable metal in

oz

636,316

1,416,348

1,042,736

1,486,314

1,146,899

1,146,899

636,316

product sold - silver

MOLYBDENUM

Production

Molybdenum

tonnes

1,062

1,189

1,015

526

273

273

1,062

concentrate

Grade

%

48.25

47.33

45.98

45.79

45.55

45.55

48.25

Contained metal

tonnes

512

563

467

241

124

124

512

produced

Sales

Total product sold

tonnes

790

1,097

1,307

775

200

200

790

Payable metal in

tonnes

377

524

612

354

93

93

377

product sold

MMG First Quarter Production Report 2020

21

KINSEVERE

QUARTER ENDED

YEAR-TO-DATE

MAR 2019

JUN 2019

SEP 2019

DEC 2019

MAR 2020

MAR 2020

MAR 2019

Ore mined - copper

tonnes

600,765

544,845

607,922

708,505

383,158

383,158

600,765

Ore milled - copper

tonnes

508,843

590,577

623,533

632,321

565,148

565,148

508,843

Waste movement

tonnes

3,226,912

4,576,461

5,307,732

3,913,258

2,355,250

2,355,250

3,226,912

COPPER

Ore mined - grade

%

2.20

2.00

2.50

2.87

2.87

2.87

2.20

Ore milled - grade

%

2.73

2.92

3.06

3.39

3.35

3.35

2.73

Recovery

%

96.3

95.3

96.4

94.7

94.0

94.0

96.3

Production

Contained metal

tonnes

12,539

16,463

18,495

20,438

18,207

18,207

12,539

produced - cathode

Sales

Total product sold -

tonnes

11,800

15,639

17,804

20,083

17,874

17,874

11,800

cathode

Payable metal in

tonnes

11,800

15,639

17,804

20,083

17,874

17,874

11,800

product sold -

cathode

MMG First Quarter Production Report 2020

22

DUGALD RIVER

QUARTER ENDED

YEAR-TO-DATE

MAR 2019

JUN 2019

SEP 2019

DEC 2019

MAR 2020

MAR 2020

MAR 2019

Ore mined

tonnes

393,004

453,261

494,443

513,169

462,570

462,570

393,004

Ore milled

tonnes

457,478

428,651

542,703

546,738

443,378

443,378

457,478

ZINC

Ore mined - grade

%

10.47

10.33

10.50

10.53

9.97

9.97

10.47

Ore milled - grade

%

9.94

9.90

10.30

10.37

9.56

9.56

9.94

Recovery

%

84.7

84.5

84.6

85.1

83.8

83.8

84.7

Production

Zinc concentrate

tonnes

79,071

73,782

97,005

100,014

72,846

72,846

79,071

Grade

%

48.90

48.59

48.76

48.24

48.74

48.74

48.90

Containing

tonnes

38,665

35,850

47,296

48,247

35,505

35,505

38,665

Sales

Total product sold

tonnes

55,084

95,148

90,059

100,007

83,429

83,429

55,084

Payable metal in

tonnes

22,676

38,634

36,474

40,625

33,881

33,881

22,676

product sold

LEAD

Ore mined - grade

%

1.73

1.93

1.67

1.86

1.63

1.63

1.73

Ore milled - grade

%

1.63

1.90

1.65

1.87

1.55

1.55

1.63

Recovery

%

67.7

68.3

64.3

66.1

62.2

62.2

67.7

Production

Lead concentrate

tonnes

8,730

9,147

9,588

11,758

7,622

7,622

8,730

Grade

%

58.14

60.82

59.97

57.54

56.11

56.11

58.14

Containing

tonnes

5,076

5,563

5,750

6,766

4,277

4,277

5,076

Sales

Total product sold

tonnes

4,313

10,727

10,600

10,756

10,431

10,431

4,313

Payable metal in

tonnes

2,299

5,927

6,042

6,023

5,735

5,735

2,299

product sold

SILVER

Ore milled - grade

g/t

47.93

59.34

53.54

62.73

66.95

66.95

47.93

Payable metal in

oz

128,644

368,674

351,027

344,958

343,156

343,156

128,644

product sold

MMG First Quarter Production Report 2020

23

ROSEBERY

QUARTER ENDED

YEAR-TO-DATE

MAR 2019

JUN 2019

SEP 2019

DEC 2019

MAR 2020

MAR 2020

MAR 2019

Ore mined

tonnes

250,004

248,537

257,342

276,624

221,522

221,522

250,004

Ore milled

tonnes

259,833

251,282

256,572

262,329

234,415

234,415

259,833

ZINC

Ore mined - grade

%

9.01

9.51

9.83

10.73

8.91

8.91

9.01

Ore milled - grade

%

8.43

9.91

9.56

9.90

8.60

8.60

8.43

Recovery

%

84.4

84.7

87.0

86.9

86.6

86.6

84.4

Production

Zinc concentrate

tonnes

34,132

39,032

39,859

41,323

32,363

32,363

34,132

Grade

%

54.16

54.00

53.52

54.61

53.93

53.93

54.16

Containing

tonnes

18,486

21,079

21,332

22,566

17,452

17,452

18,486

Sales

Total product sold

tonnes

37,931

37,968

39,501

32,440

31,744

31,744

37,931

Payable metal in

tonnes

17,705

17,750

18,014

15,004

14,817

14,817

17,705

product sold

LEAD

Ore mined - grade

%

3.08

2.97

3.27

3.53

3.31

3.31

3.08

Ore milled - grade

%

2.98

3.11

3.02

3.28

3.20

3.20

2.98

Recovery

%

76.2

79.0

72.7

79.2

75.5

75.5

76.2

Production

Lead concentrate

tonnes

9,392

10,261

9,344

11,320

9,155

9,155

9,392

Grade

%

62.93

60.28

60.36

60.19

61.90

61.90

62.93

Containing

tonnes

5,910

6,186

5,640

6,813

5,666

5,666

5,910

Sales

Total product sold

tonnes

7,245

11,925

10,694

11,008

5,912

5,912

7,245

Payable metal in

tonnes

4,198

7,112

6,081

6,298

3,426

3,426

4,198

product sold

MMG First Quarter Production Report 2020

24

ROSEBERY (continued)

QUARTER ENDED

YEAR-TO-DATE

MAR 2019

JUN 2019

SEP 2019

DEC 2019

MAR 2020

MAR 2020

MAR 2019

Ore mined

tonnes

250,004

248,537

257,342

276,624

221,522

221,522

250,004

Ore milled

tonnes

259,833

251,282

256,572

262,329

234,415

234,415

259,833

COPPER

Ore mined - grade

%

0.20

0.22

0.21

0.24

0.24

0.24

0.20

Ore milled - grade

%

0.23

0.22

0.24

0.25

0.25

0.25

0.23

Recovery

%

62.4

57.5

62.5

65.8

64.6

64.6

62.4

Production

Copper concentrate

Tonnes

2,223

1,954

2,381

2,339

2,143

2,143

2,223

Grade

%

17.01

16.50

15.89

18.43

17.95

17.95

17.01

Containing

tonnes

378

322

378

431

385

385

378

Sales

Total product sold

tonnes

2,649

1,721

2,498

1,699

1,557

1,557

2,649

Payable metal in

tonnes

430

287

402

296

271

271

430

product sold

OTHER METALS

Ore milled grade -

g/t

1.4

1.2

1.2

1.5

1.4

1.4

1.4

gold

Ore milled grade -

g/t

101.6

104.3

95.2

113.2

113.4

113.4

101.6

silver

Recovery - gold

%

27.2

21.0

21.4

22.3

23.6

23.6

27.2

Production

Gold doré

oz

5,462

3,702

3,650

4,450

3,026

3,026

5,462

Containing - gold

oz

3,314

2,166

2,171

2,916

1,816

1,816

3,314

Containing - silver

oz

1,842

1,296

1,202

1,711

993

993

1,842

Sales

Gold doré sold

oz

5,679

3,023

4,088

4,061

3,447

3,447

5,679

Payable metal in all

oz

8,250

7,254

7,095

5,980

8,250

6,022

5,980

products sold - gold

Payable metal in all

oz

544,262

612,630

555,198

574,515

408,630

408,630

544,262

products sold - silver

MMG First Quarter Production Report 2020

25

APPENDIX - EXPLORATION

JORC 2012 TABLE 1 - LAS BAMBAS EXPLORATION ACTIVITIES

The following information provided in Table 1 complies with the 2012 JORC Code requirements specified by "Table-1 Section 1-3" of the Code.

Table 1 JORC 2012 Code Table 1 Assessment and Reporting Criteria for Las Bambas Exploration Activity

Assessment Criteria

Commentary

Section 1 Sampling Techniques and Data

Sampling techniques

Diamond drilling (DD) was used to obtain an average 2m sample that is half core split, crushed and pulverised to produce

a pulp (95% passing 105µm). Diamond core is selected, marked and numbered for sampling by the logging geologist.

Sample details are stored in a Geobank database for correlation with returned geochemical assay results.

Samples for analysis are bagged, shuffled, re-numbered and de-identified prior to dispatch.

Core samples were cut and sampled at an ALS sample preparation laboratory on-site. Samples are then sent to ALS Lima

for preparation and analysis.

There are no inherent sampling problems recognised.

Measures taken to ensure sample representivity include the collection, and analysis of coarse crush duplicates.

Drilling techniques

The drilling type is wireline diamond core drilling from surface. Drill core is not oriented.

Drill sample recovery

Recovery is estimated by measuring the recovered core within a drill run length and recorded in the Geobank database.

Run by run recovery has been recorded for all 6,226.20 m drilled to date at Chalcobamba Southwest with a recovery of

98.9%. Of diamond drilling in the data used for Mineral Resources estimation for the Sulfobamba, Chalcobamba and

Ferrobamba deposits. Diamond drill recovery average is about 97% for all deposits (98% for Sulfobamba, 97% for

Chalcobamba and Ferrobamba deposits).

The drilling process is controlled by the drill crew and geological supervision provides a means for maximising sample

recovery and ensures suitable core presentation. No other measures are taken to maximise core recovery.

There is no detectable correlation between recovery and grade which can be determined from graphical and statistical

analysis. Preferential loss/gains of fine or coarse materials are not significant and do not result in sample bias as the

nature of mineralisation is stock-work veins and disseminated sulphides. Diamond core sampling is applied, and recovery

is considered high.

Logging

100% of diamond drill core has been geologically and geotechnically logged.

Geological logging is qualitative and geotechnical logging is quantitative. All drill core is photographed.

Sub-sampling

All samples are from diamond drill core. Drill core is longitudinally sawn to provide half-core samples within intervals

techniques and

directed by the logging geologist. The remaining half-core is kept and stored in the original sample tray. The standard

sample preparation

sampling length is 2m for PQ core (minimum 1.2m) and HQ core (minimum 1.2m, maximum 2.2m) while NQ core is

sampled at 2.5m (minimum 1.5m). Sample intervals do not cross geological boundaries.

Geological samples have been processed in the following manner: Dried, crushed, pulverised to 95% passing 105µm.

Sizing analyses are carried out on one in 10-15 samples.

Representivity of samples is checked by duplication at the crush stage in one in every 40 samples. No field duplicates are

taken.

12-month rolling Quality Assurance / Quality Control (QAQC) analysis of sample preparation techniques indicate the

process is appropriate for Las Bambas samples.

MMG First Quarter Production Report 2020

26

Assessment Criteria

Commentary

Section 1 Sampling Techniques and Data

The sample types, nature, quality and sample preparation techniques are considered appropriate for the style of the Las

Bambas mineralisation (porphyry and skarn Cu-Mo mineralisation) by the Competent Person.

Quality of assay data Routine assay methods undertaken by ALS (Lima) for Las Bambas are as follows: and laboratory tests

  • Cu, Ag, Pb, Zn, Mo - 0.5g of sample. Digestion by 4-Acids. Reading by Atomic Absorption Spectrometry (AAS).
  • Acid soluble copper - 0.5g sample. Leaching by a 5% solution of H2SO4 at ambient temperature for 1 hour. Reading by AAS.
  • Au - Fire assay with AAS Finish. Over-range results are re-assayed by Gravimetric Finish.
  • 35 elements - Digestion by aqua-regia and reading by ICP.
  • All the above methods with the exception of the acid soluble copper are considered total digest.

No geophysical tools, spectrometers or handheld XRF instruments have been used in the analysis of samples external to the ALS laboratory for the estimation of Mineral Resources.

For the 2018 and 2019 programmes, duplicated samples were collected at the time of sampling and securely stored. Samples for the 2018 were then sent to the Inspectorate Laboratory, Lima, for third party (umpire) analysis. The 2019 samples are in process. The samples were selected at a rate of 1:40. Results received indicate a good correlation between datasets and show no bias for copper, molybdenum, silver and gold.

ALS release monthly QAQC data to Las Bambas for analysis of internal laboratory standard performance. The performance of the laboratory internal standards is within acceptable limits.

Las Bambas routinely insert:

  • Primary coarse duplicates: Inserted at a rate of 1:40 samples.
  • Coarse blank samples: Inserted after a high-grade sample (coarse blank samples currently make up about 4.2% of all samples analysed).
  • Pulp duplicates samples: Inserted 1:40 samples.
  • Pulp blank samples are inserted before the coarse blank sample and always after a high-grade sample (pulp blank samples currently make up about 4.2% of all samples analysed).

QAQC analysis has shown that for:

•

Blanks: a minimum level of sample contamination by copper was detected during the sample preparation and

assay.

•

Duplicates: the analytical precision is within acceptable ranges when compared to the original sample, i.e.,

more than 90% of the pairs of samples are within the error limits evaluated for a maximum relative error of

10% (R2>0.90). These results were also repeated in the external ALS check samples.

•

Certified Reference Material: acceptable levels of accuracy and precision have been established.

•

Sizing test results are not routinely analysed.

Verification of

Verification by independent personnel was not undertaken at the time of drilling. However, drilling, core logging and

sampling and

sampling data is entered by geologists; assay results are entered by the resource geologist after data is checked for

assaying

outliers, sample swaps, performance of duplicates, blanks and standards, and significant intersections are checked against

core log entries and core photos. Errors are rectified before data is entered into the database.

MMG First Quarter Production Report 2020

27

Assessment Criteria

Commentary

Section 1 Sampling Techniques and Data

No twinned drillholes have been completed.

All drillholes are logged using laptop computers directly into the drillhole database (Geobank). All laboratory primary

data and certificates are stored on the Las Bambas server.

The database has internal validation processes which prevent invalid or unapproved records from being stored.

Additional manual data validation occurs in Vulcan software before data is used.

No adjustments have been made to assay data.

Location of data

Drillholes are set out using UTM co-ordinates with a hand held Differential Global Positioning System (DGPS) and are

points

accurate to within 1m. On completion of drilling, collar locations are picked up by the onsite surveyors using DGPS

(Trimble or Topcon). These collar locations are accurate to within 0.5m.

All drillholes are surveyed using Reflex Gyro Sprint equipment. Measurements are taken every 25 to 50 metres during

drilling itself and the entire hole is surveyed with continuous readings/measurements once the hole has been completed.

The downhole surveys are considered accurate for Mineral Resources estimation work.

The datum used is WGS 84 with a UTM coordinate system zone 19 South.

In June 2018, DIMAP Pty. Ltd processed LiDAR for the area covered by Las Bambas mine site and its surroundings. The

Lidar component of the flight was required to generate a point cloud with +7 pts/sqm minimum, with the core area

covering the exploration site having a density of +12 pts/sqm. The maps delivered were drafted in UTM coordinates and

the projections used were WGS 84. The Lidar surface from this survey is in current use at site and is considered suitable

for Mineral Resources and Ore Reserves estimation purposes.

Data spacing and

The scope of this report covers exploration stage drilling at Chalcobamba Southwest. Drill platforms are variably spaced

distribution

though they are generally about 200m apart. Occasionally, platforms are separated by 100m or less. Multiple, angle

holes may be drilled from a single platform and result in an average data spacing of less than 200m.

Sample security

Measures to provide sample security include:

Adequately trained and supervised sampling personnel.

Samples are stored in a locked compound with restricted access during preparation.

Dispatch to various laboratories via contract transport provider in sealed containers.

Receipt of samples acknowledged by receiving analytical laboratory by email and checked against expected submission

list.

Assay data returned separately in both spreadsheet and PDF formats.

Audit and reviews

No audits on these drilling results have been completed.

Regular laboratory inspections are completed and documented by corporate exploration staff.

MMG First Quarter Production Report 2020

28

Assessment

Commentary

Criteria

Section 2 Reporting

of Exploration Results

Mineral tenement

The Las Bambas project has tenure over 41 Mineral Concessions. These Mineral Concessions secure the right to the minerals in

and land tenure

the area, but do not provide rights to the surface land.

status

Property of surface land is acquired through a separate process. The below map outlines the 41 Mineral Concessions and the

mine property owned by MMG.

Tenure over the 41 Concessions is in good standing. There are no known impediments to operating in the area.

MMG First Quarter Production Report 2020

29

Assessment

Commentary

Criteria

Section 2 Reporting

of Exploration Results

Exploration done

by other parties

Company

Year

Deposit

Purpose

Type

# of DDH

Drill size

Metres Drilled

Cerro de

1996

Chalcobamba

Exploration

6

906.4

Pasco

1996

Chalcobamba

Exploration

DDH

9

Unknown

1,367.30

Cyprus

Phelps

1997

Ferrobamba

Exploration

DDH

4

Unknown

737.8

Dodge

Chalcobamba

4

653.4

BHP

1997

Ferrobamba

Exploration

DDH

3

Unknown

365.8

Chalcobamba

4

658.6

Pro Invest

2003

Ferrobamba

Exploration

DDH

4

HQ

738

Chalcobamba

7

1,590.00

Ferrobamba

109

26,839.90

2005

Chalcobamba

Resource Evaluation

DDH

66

HQ

14,754.10

Sulfobamba

60

13,943.00

Ferrobamba

125

51,004.20

Chalcobamba

95

27,982.90

2006

Sulfobamba

Resource Evaluation

DDH

60

HQ

16,971.50

Xstrata

Charcas

8

2,614.10

Azuljaja

4

1,968.90

Ferrobamba

131

46,710.40

2007

Chalcobamba

Resource Evaluation

DDH

134

HQ

36,617.60

Sulfobamba

22

4,996.60

2008

Ferrobamba

Resource Evaluation

DDH

118

HQ

46,773.80

Chalcobamba

90

22,096.60

2010

Ferrobamba

Resource Evaluation

DDH

91

HQ

28,399.90

2014

Ferrobamba

Resource Evaluation

DDH

23

HQ

12,609.70

Huancarane

Sterilisation

DDH

3

HQ

1,265.60

2015

Huancarane

Sterilisation

DDH

5

HQ

772.60

2015

Ferrobamba

Resource Evaluation

DDH

154

HQ

53,771.70

2016

Ferrobamba

Resource Evaluation

DDH

114

HQ

31,206.20

Chalcobamba

Resource Evaluation

DDH

13

1,880.30

2017

Ferrobamba

Resource Evaluation

DDH

27

HQ

17.793.35

Ferrobamba

Resource Evaluation

DDH

83

HQ-NQ-

48,062.70

BQ

2018

Chalcobamba

Resource Evaluation

DDH

46

HQ

7,278.60

MMG

Chalcobamba SW

Exploration

DDH

7

HQ

3,459.50

Ferrobamba

Resource Evaluation

DDH

91

HQ-NQ-

29,690.70

BQ

Ferrobamba

Resource Evaluation

RC

41

51/2"

5,699.00

Chalcobamba

Resource Evaluation

DDH

8

PQ-HQ-

1,710.00

NQ

2019

Chalcobamba

Exploration

DDH

6

HQ

2,770.95

Chalcobamba SW

Exploration

DDH

55

PQ-HQ-

22,372.00

NQ

Cejrapena

Exploration

DDH

12

HQ

4,215.50

Jatuncharqui

Exploration

DDH

7

HQ-PQ

1,881.55

Chalcobamba SW

Exploration

DDH

23

HQ

6,198.30

2020

Chalcobamba SW

Exploration

RC

1

5 5/8

300.00

Jatuncharqui

Exploration

DDH

6

HQ

1,821.95

Total

1,876

602,185.40

Geology

Las Bambas is located in a belt of Cu (Mo-Au) skarn deposits associated with porphyry type systems situated in south-eastern

Peru. This metallogenic belt is controlled by the Andahuaylas-Yauri Batholith of Eocene- Oligocene age, which is emplaced in

Mesozoic sedimentary units, with the Ferrobamba Formation (Lower to Upper Cretaceous) being of greatest mineralising

importance.

MMG First Quarter Production Report 2020

30

Assessment Commentary

Criteria

Section 2 Reporting of Exploration Results

The porphyry style mineralisation occurs in quartz-monzonite to granodiorite rocks. Hypogene copper sulphides are the main copper bearing minerals with minor occurrence of supergene copper oxides and carbonates near surface. The intrusive rocks of the batholith in contact with the Ferrobamba limestones gave rise to contact metamorphism and, in certain locations, skarn bodies with Cu (Mo-Au) mineralisation.

MMG First Quarter Production Report 2020

31

Assessment Commentary

Criteria

Section 2 Reporting of Exploration Results

Drillhole Information

HOLEID

EASTING

NORTHING

ELEV

AZIMUTH

INCLINATION

TD

CH43200-2

786,070

8,443,199

4,464

0.3

-59.3

153.3

CH43200-3

786,070

8,443,193

4,464

180

-53.3

253.5

CH43325-1

785,943

8,443,325

4,502

20

-59.3

211.3

CH43650-11

785,800

8,443,649

4,514

180

-59.2

181.8

CH43650-12

785,850

8,443,650

4,530

180

-69.9

273.3

CHS18-023

785,797

8,443,403

4,458

138.7

-65.6

500.8

CHS18-028

785,798

8,443,404

4,459

24.9

-65.5

413.6

CHS18-034

785,797

8,443,403

4,458

218.7

-65.2

600

CHS18-040

785,548

8,443,364

4,430

140.2

-60.4

497.1

CHS18-045

785,550

8,443,363

4,429

0.7

-59.9

400.4

CHS18-049

786,063

8,443,189

4,465

290

-60.6

502.6

CHS18-050

785,797

8,443,399

4,458

315.5

-60.5

545

CHS19-003

785,905

8,443,263

4,501

290

-75

64.7

CHS19-004

785,905

8,443,262

4,501

290

-75.1

450

CHS19-006

785,749

8,442,979

4,436

138.9

-64.9

286.6

CHS19-011

786,064

8,443,194

4,464

348.2

-65.1

529.6

CHS19-012

785,668

8,443,308

4,443

159.7

-60.4

509.6

CHS19-016

785,695

8,442,881

4,435

340

-65.5

500

CHS19-019

785,746

8,442,983

4,435

309.59

-60.38

500

CHS19-020

785,553

8,443,371

4,429

50

-65

231.5

CHS19-022

785,943

8,443,325

4,502

190

-60

550.6

CHS19-024

785,694

8,442,880

4,447

179.25

-59.68

398.2

CHS19-025

786,063

8,443,194

4,465

59.96

-59.89

400

CHS19-027

785,746

8,442,983

4,435

29.51

-60.45

519

CHS19-028

785,944

8,443,322

4,502

90.4

-60.06

400

CHS19-033

786,063

8,443,195

4,465

210.16

-59.92

400

CHS19-034

785,558

8,443,358

4,429

224.09

-60.31

314.5

CHS19-036

785,795

8,443,396

4,458

182.28

-55.58

450

CHS19-037

785,942

8,443,324

4,502

359.67

-60.47

444.8

CHS19-039

785,904

8,443,332

4,486

180

-50

523.8

CHS19-040

785,667

8,443,307

4,442

89.87

-74.81

400.3

CHS19-041

786,063

8,443,194

4,465

265.65

-79.04

449.7

CHS19-042

785,796

8,443,401

4,458

94.94

-75.24

81.65

CHS19-043

786,064

8,443,193

4,464

244.06

-69.23

470.7

CHS19-045

785,666

8,443,307

4,442

200.31

-85.11

359.5

CHS19-046

785,903

8,443,332

4,486

330.34

-64.91

388.9

CHS19-048

785,940

8,443,325

4,502

236.43

-80.4

300

CHS19-049

785,794

8,443,399

4,458

310.08

-79.3

408.4

CHS19-050

786,063

8,443,190

4,464

334.79

-82.12

420.4

CHS19-051

785,943

8,443,322

4,502

310

-79

457.2

CHS19-052

785,667

8,443,309

4,442

358.85

-75.3

429.7

CHS19-053

785,722

8,443,366

4,456

159.04

-61.11

584.5

CHS19-054

785,795

8,443,398

4,457

359.09

-44.81

402.9

CHS19-055

786,064

8,443,191

4,464

139.67

-70.73

401.6

CHS19-056

785,942

8,443,322

4,502

340

-45

19.9

CHS19-057

785,795

8,443,401

4,458

252.14

-45.13

400

CHS19-058

785,668

8,443,307

4,442

45.3

-75.53

512.7

CHS19-059

785,724

8,443,368

4,457

310.19

-44.97

407.1

CHS19-060

785,942

8,443,323

4,503

339.62

-44.99

328.6

CHS19-061

786,063

8,443,192

4,464

147.44

-85.21

464.9

MMG First Quarter Production Report 2020

32

Assessment Commentary

Criteria

Section 2 Reporting of Exploration Results

CHS19-062

785,555

8,443,359

4,429

113.05

-45.23

426.6

CHS19-063

785,941

8,443,319

4,502

59.75

-70.38

400

CHS19-064

785,724

8,443,368

4,457

250.61

-50.89

362.3

CHS19-065

785,666

8,443,305

4,443

140.02

-45.31

362.55

CHS19-066

786,065

8,443,191

4,464

135.11

-51.67

272.75

CHS19-068

786,318

8,443,271

4,393

349.69

-45.02

470.4

CHS19-069

785,559

8,443,359

4,429

57.6

-45.5

411.3

CHS19-070

786,064

8,443,192

4,464

180.33

-44.52

495

CHS19-071

785,941

8,443,324

4,502

228.99

-44.72

474.3

CHS19-072

785,668

8,443,309

4,443

359.22

-52.15

487.25

CHS19-077

785,723

8,443,366

4,457

168.76

-85.56

532.75

CHS19-079

786,319

8,443,271

4,393

53.81

-44.48

400

CHS19-081

785,902

8,443,332

4,486

240.34

-45.06

332

CHS19-084

785,668

8,443,306

4,442

105.28

-44.62

380.3

CHS19-085

785,942

8,443,323

4,502

285

-68

45.1

CHS19-089

785,906

8,443,263

4,501

229.62

-45.05

425.25

CHS19-094

785,943

8,443,324

4,503

133.76

-45.15

220.7

CHS19-095

785,666

8,443,306

4,443

259.66

-44.94

303.4

CHS19-099

785,907

8,443,264

4,501

229.95

-65.37

375.55

CHS19-100

785,668

8,443,306

4,443

104.59

-89.17

455.9

CHEX20-001

785,666

8,443,305

4,442

159.04

-45.11

315.2

CHEX20-002

785,665

8,443,307

4,443

179.11

-44.95

300.6

CHEX20-003

785,908

8,443,264

4,501

200.5

-45.07

300

CHEX20-004

785,797

8,443,399

4,458

244.26

-59.97

300

CHEX20-005

785,667

8,443,308

4,443

190.17

-70

300.2

CHEX20-006

786,057

8,443,200

4,467

319.38

3.03

300

CHEX20-007

785,746

8,442,983

4,435

3.4

-45.28

404.4

CHEX20-008

785,907

8,443,265

4,501

214.88

-65.07

313.55

CHS19-105

785,905

8,443,262

4,502

200

-65

325.45

CHEX20-012

785,671

8,443,308

4,442

159.7

-74.7

350.95

CHEX20-013

785,907

8,443,264

4,501

214.47

-44.84

334.05

CHEX20-014

785,559

8,443,358

4,429

113.29

-64.86

300.15

CHEX20-015

785,745

8,442,982

4,436

3.9

-64.92

300.05

CHEX20-016

785,670

8,443,306

4,442

220.11

-65.38

313.6

CHEX20-017

785,908

8,443,266

4,501

235

-80

302.1

CHEX20-018

785,746

8,442,984

4,436

345.12

-45.27

437.6

CHEX20-020

785,669

8,443,305

4,443

219.7

-45.34

300

CHEX20-021

785,907

8,443,265

4,501

150.7

-64.9

300.65

MMG First Quarter Production Report 2020

33

Assessment

Commentary

Criteria

Section 2 Reporting

of Exploration Results

Data aggregation

Downhole sample intervals were aggregated for reporting purposes using a compositing tool in Vulcan mining software. The

methods

tool searches for intervals above a cut-off grade (0.2% Cu in this case) and combines them to achieve a minimum thickness of

20m. 20m downhole in an angled drillhole approximates the vertical bench height of 15m currently in use at Las Bambas.

No metal equivalents were used for intersection reporting.

Relationship

In the Chalcobamba Southwest Zone mineralisation, the geometry of the geology is not well understood yet and therefore the

between

true thicknesses are uncertain at this stage.

mineralisation

width and

All intervals reported are downhole widths.

intercepts lengths

Diagrams

Balanced

The complete list of drillhole interval assays in the Chalcobamba Southwest mineralisation zone are provided with this press

reporting

release.

MMG First Quarter Production Report 2020

34

Assessment

Commentary

Criteria

Section 2 Reporting

of Exploration Results

Other substantive

Over the past 3 years, several orebody knowledge studies have been carried out including skarn zonation, vein densities and a

exploration data

large age dating program. Results from these studies are assisting with improving the understanding of the orebodies. Studies

on clay and talc mapping are also ongoing.

Ground gravity, IP and magnetometry are performed routinely on all exploration projects. Aerial magnetometry, radiometric

and EM surveys have been flown.

Surface mapping, rock chip sampling and soil grid geochemistry are performed routinely on all exploration projects.

Assessment

Commentary

Criteria

Section 3 Estimation

and Reporting of Mineral Resources

Database integrity

The following measures are in place to ensure database integrity:

•

All Las Bambas drillhole data is stored in an SQL database (Geobank) on the Las Bambas site server, which is

regularly backed-up.

•

The entire database was migrated from acQuire to Geobank in 2019

•

Geological logging is entered directly into laptop computers which are uploaded to the database. Prior to

November 2014, diamond drillholes were logged on paper logging forms and transcribed into the database. From

November 2015 logging was entered directly into a customised interface using portable tablet computers.

•

Assays are loaded directly into the database from digital files provided from the assay laboratory.

•

The measures described above ensure that transcription or data entry errors are minimised.

Data validation procedures include:

•

A database validation project was undertaken in early 2015 checking 5% of the assayed samples in the database

against original laboratory certificates. No material issues were identified.

•

The database has internal validation processes which prevent invalid or unapproved records to be stored.

Site visits

The Competent Person has undertaken numerous site visits to Las Bambas since acquisition. In the view of the Competent

Person there are no material risks to the Mineral Resources based on observations of site practices.

Several site visits to the Ferrobamba area and the Chalcobamba area have been conducted but due to local community

restrictions, the Competent Person has been unable to visit Sulfobamba to date.

Geological

• Initial resource definition drilling at the Chalcobamba Southwest Zone continues with associated geological sectional

interpretation

interpretations currently in progress.

• Significant drill intercepts > 1.0% Cu are associated with limestone-hosted skarn alteration; whereas lower grade

mineralisation is hosted by porphyry style alteration.

• 3-D modelling will commence once the 2019 drill program has been completed.

The factors affecting continuity both of grade and geology.

Dimensions

The surface projection of the drill intercepts reported here and located along the SW margin of the Chalcobamba pit (Table 2 -

below) measures roughly 400 metres in a NE direction and 600 metres in a NW/SE direction.

MMG First Quarter Production Report 2020

35

Estimation and

Not applicable as no Mineral Resource is being reported at this time.

modelling

techniques

Moisture

Not applicable as no Mineral Resource is being reported at this time.

Cut-off parameters

A cut-off grade of 0.2% Cu was applied to the intersections reported. The basis for this cut-off is that it approximates the

average cut-off grade for the Mineral Resource reported at the other Las Bambas deposits.

Mining factors or

No specific mining factors have been applied to this deposit, however it is expected that similar methods planned for the

assumptions

mining of Chalcobamba would be equally applied to this area.

Metallurgical

Sulphide and partially oxidised material is included in the Mineral Resources which is expected to be converted to Ore

factors or

Reserves and treated in the onsite concentrator facilities.

assumptions

No other metallurgical factors have been applied to the Mineral Resources.

Environmental

Environmental factors are considered in the Las Bambas life of asset work, which is updated annually and includes provision

factors or

for mine closure.

assumptions

Geochemical characterisation undertaken in 2007, 2009 and 2017 indicate most of the waste rock from Ferrobamba and

Chalcobamba deposits to be Non-Acid Forming (NAF) and that no acid rock drainage from the waste rock dumps from these

two pits should be expected. Waste rock samples from Sulfobamba were found to contain higher concentrations of sulphur

and that 30% to 40% of waste rock could be Potentially Acid Forming (PAF). Suitable controls will be implemented for all PAF

waste rock, including investigating opportunities for backfill into pit voids. It is expected that there will be no material

difference in the character of material from this area to Chalcobamba overall. Additional geochemical characterisation work is

required.

Tailings generated from processing of Ferrobamba and Chalcobamba were determined to be NAF. Geochemical

characterisation of tailings generated from processing of Sulfobamba ores is currently under assessment, however for

environmental assessment purposes it was assumed to have PAF behaviour. Current Life of Asset schedules have Ferrobamba

tailings processing scheduled for several years after Sulfobamba tailings are processed. A closure plan was submitted and

approved by the regulator in 2016 and describes the encapsulation method for Sulfobamba tailings.

Based on the current TSF design and the design assumptions for dry settled density and beach angle, the TSF at Las Bambas

has a final capacity of 784Mt of tailings from processing 800Mt. Three studies have been conducted looking at increasing

tailings storage capacity at Las Bambas:

•

Tailings characterisation test work to assess final settled density and beach slope in current TSF.

•

Options assessment to increase capacity at TSF currently under construction.

•

Pre-feasibility study for an additional TSF.

Bulk density

Bulk density is determined using the Archimedes' principle (weight in air and weight in water method). Samples of 20cm in

length are measured at a frequency of approximately one per core tray and based on geological domains. The density

measurements are considered representative of each lithology domain.

Bulk density measurement occurs at the external, independent assay laboratory. The core is air dried and whole core is wax

coated prior to bulk density determination to ensure that void spaces are accounted for.

Density values in the Mineral Resources models are estimated using Ordinary Kriging within the lithology domain shapes. Un-

estimated blocks were assigned a density value based on an expected value of un-mineralised rock within each geological

domain.

Classification

Not applicable as no Mineral Resource is being reported at this time.

Audits or reviews

No audits or reviews have been undertaken on Chalcobamba SW

MMG First Quarter Production Report 2020

36

Discussion of

There is high geological confidence of the spatial location, continuity and estimated grades of the modelled lithologies within

relative accuracy /

this deposit. Minor, local variations are expected to occur on a sub-25m scale that is not detectable by the current drill

confidence

spacing. Global declustered statistics of the composite databases on a domain basis were compared against the block model.

Block model estimates were within 10% of the composite database. Local swath plots were undertaken for each deposit. All

plots showed appropriate smoothing of composite samples with respect to estimated block grades.

Table 2 - Summary of Significant Downhole Intercepts, Las Bambas, Chalcobamba Southwest Zone Note: NSI = no significant intersection

Hole ID

From (m)

To (m)

Length (m)

Cu (%)

Au (g/t)

Mo ppm

Ag (g/t)

CH43200-2

2.5

72.1

69.6

0.49

0.02

172

1.1

CH43200-3

46

77.5

31.5

0.26

0.03

184

0.8

83.2

196

112.8

0.24

0.02

136

0.6

CH43325-1

12.4

59.4

47

0.75

0.03

7

3.5

CH43650-11

147.5

167.5

20

0.55

0.02

88

1.7

CH43650-12

11

42.9

31.9

0.46

0.02

5

2

106.9

141.3

34.4

1.47

0.07

10

6.9

160.8

181.1

20.4

0.46

0.02

14

2.1

CHS18-023

46.2

90.6

44.4

1.21

0.05

20

3.5

301

321

20

0.27

0.01

291

0.9

354.5

382.8

28.3

0.29

0.01

304

0.8

397.7

435.1

37.4

0.26

0.01

228

0.7

454.6

492

37.4

0.23

0.01

246

0.6

CHS18-028

99.5

119.7

20.2

0.82

0.04

18

4

278.2

338.5

60.3

0.31

0.01

89

1.2

CHS18-034

34.7

54.7

20

0.22

0.01

8

0.7

82.6

102.8

20.2

0.22

0.01

21

0.7

381.5

401.5

20

0.51

0.01

4

1.2

535.6

571.3

35.7

0.46

0.01

164

1.9

CHS18-040

83.5

116.7

33.2

0.38

0.02

8

1.4

133.1

153.1

20

0.25

0.03

127

1.1

206.9

226.9

20

1.2

0.06

26

4.4

411.7

439.9

28.3

0.91

0.05

72

3.4

461.9

497.1

35.2

0.27

0.01

417

1.3

CHS18-045

NSI

CHS18-049

0.9

382.1

381.2

0.37

0.01

263

1

397.5

423.9

26.4

0.23

0.01

141

0.6

426.1

472.3

46.2

0.28

0.01

225

0.7

CHS18-050

30.9

50.9

20

0.47

0.05

6

1.7

86.4

106.4

20

0.21

0.01

4

1.2

122.8

156.7

33.9

0.66

0.02

12

2.1

CHS19-003

NSI

CHS19-004

20

41

21

0.8

0.04

24

3.4

48

68

20

0.27

0.01

5

1.1

128

148

20

0.42

0.02

9

1.5

201

260.5

59.5

1.01

0.06

17

3.9

278

298

20

0.23

0.01

289

0.8

CHS19-006

NSI

CHS19-011

0

35.7

35.7

0.44

0.02

125

1.1

49.9

153

103.1

0.54

0.02

299

1.5

259

279

20

0.25

0.01

116

0.8

289.5

309.5

20

0.23

0.01

86

0.7

333.8

371

37.2

0.25

0.01

77

0.5

391

411

20

0.26

0.01

78

0.5

423

447

24

0.38

0.01

63

0.7

463

490

27

0.23

0.01

67

0.5

CHS19-012

24.8

44.8

20

0.38

0.02

144

1.2

107

233.8

126.8

1.39

0.04

7

4.7

MMG First Quarter Production Report 2020

37

Hole ID

From (m)

To (m)

Length (m)

Cu (%)

Au (g/t)

Mo ppm

Ag (g/t)

282

325.7

43.7

0.34

0.01

560

1.8

CHS19-016

NSI

CHS19-019

23

33.2

10.2

0.21

0.01

6.76

2.28

147

161

14

0.24

0.01

78.29

1.33

388.3

400

11.7

0.2

0.01

41.9

0.7

422

442

20

0.28

0.02

260.5

1.13

CHS19-020

NSI

CHS19-022

37.35

58.85

21.5

0.63

0.05

18.62

3.13

180.4

200.1

19.7

0.2

0.01

264.1

0.61

246

275

29

0.3

0.01

535.9

1.52

292.2

429.5

137.3

0.4

0.02

278

1.38

496

514

18

0.24

0.01

245.44

0.57

CHS19-024

272

290

18

0.36

0.01

154.2

2.44

CHS19-025

0.4

24

23.6

0.77

0.02

263.44

2.23

31

49.5

18.5

0.44

0.01

52.66

1.14

57

115

58

0.29

0.01

308.03

0.76

131

141

10

0.21

0.01

43.4

0.66

CHS19-027

121

173.8

52.8

0.33

0.02

246.22

2.27

316.95

424

107.05

0.3

0.01

147.71

1.1

430

476

46

0.27

0.01

316.7

0.57

485.9

512

26.1

0.28

0.01

248.28

0.42

CHS19-028

23

52

29

1.38

0.12

2.67

6.12

94.25

100

5.75

0.4

0.02

464.24

3.56

114

135

21

0.23

0.01

162.96

0.7

141

159.6

18.6

0.26

0.01

210.52

1.1

180

190

10

0.23

0.01

57.2

0.67

196

206

10

0.21

0.01

88.6

0.49

212

241

29

0.25

0.01

69.88

0.77

247

256

9

0.22

0.01

111.56

0.68

268

274

6

0.13

0.01

24

0.34

328

344

16

0.15

0.01

39.38

0.6

CHS19-033

0

18

18

0.33

0.01

29.98

0.86

41

55

14

0.7

0.03

66.03

3.38

72.2

77.35

5.15

0.9

0.06

985.2

12.02

128.2

207.1

78.9

0.31

0.01

202.4

0.89

235.4

240

4.6

0.19

0.01

44.78

0.61

258

300

42

0.31

0.01

189.73

1

344

356

12

0.31

0.01

88

0.84

364

398

34

0.27

0.01

165.71

0.62

CHS19-034

NSI

CHS19-036

60

70

10

0.98

0.04

4.8

4.64

163.55

169

5.45

0.22

0.01

13.25

0.7

191

197.5

6.5

0.18

0.01

73.28

0.52

210

254

44

0.98

0.07

2.68

4.38

264.4

286

21.6

1.29

0.06

7.99

5.48

355.75

377

21.25

0.21

0.01

222.84

0.97

399

407

8

0.21

0.01

200.25

1.13

CHS19-037

6.2

61.9

55.7

0.7

0.04

9.85

4.31

103

110

7

0.06

0.01

535.35

0.25

188

229

41

0.34

0.01

214.59

0.77

317.8

348.25

30.45

0.36

0.01

300.63

0.73

423

444.8

21.8

0.27

0.01

110.67

0.63

CHS19-039

118.95

125

6.05

0.38

0.02

4.99

1.27

144.3

169

24.7

0.29

0.01

19.62

1.12

232.1

254

21.9

0.81

0.05

191.08

3.76

293.95

300

6.05

0.44

0.02

389.13

1.64

366.7

397

30.3

0.38

0.01

261.77

1.27

410

436

26

0.32

0.01

136.18

1.05

456

477

21

0.24

0.01

109.1

1.14

505.6

523.75

18.15

0.3

0.01

290.57

1.13

MMG First Quarter Production Report 2020

38

Hole ID

From (m)

To (m)

Length (m)

Cu (%)

Au (g/t)

Mo ppm

Ag (g/t)

CHS19-040

26.75

42.3

15.55

1.02

0.04

36.96

3.21

55.8

117

61.2

1.26

0.04

2.43

3.67

212

230

18

0.78

0.04

16.37

2.2

CHS19-041

0.9

176

175.1

0.54

0.02

453.07

2.03

196

216

20

0.33

0.02

588

1.51

238

277.95

39.95

0.24

0.01

97.62

0.41

299

438.55

139.55

0.24

0.01

198.23

0.65

CHS19-042

NSI

CHS19-043

0

198.5

198.5

0.42

0.01

326.16

1.25

275.2

426

150.8

0.28

0.01

195.57

0.79

448

464

16

0.23

0.01

257.25

0.49

CHS19-045

39

147

108

1

0.03

4.09

3.35

162

173

11

0.21

0.01

39.75

0.53

184.5

192

7.5

0.38

0.01

1.24

1.35

CHS19-046

22

43

21

0.55

0.04

4.03

2.15

60

74

14

0.59

0.02

3.26

1.74

84

93

9

0.56

0.02

173.36

2.05

CHS19-048

12

36

24

0.37

0.02

8.83

1.76

41.2

72

30.8

0.4

0.03

7.05

1.84

CHS19-049

82

100.4

18.4

1.02

0.04

3

3.8

301

314

13

0.32

0.00

13

1.0

320

331

11

0.30

0.00

44

1.2

CHS19-050

4

120

116

0.67

0.02

309

1.7

124

138

14

0.24

0.01

465

0.9

140

162

22

0.23

0.01

135

0.9

172

198

26

0.28

0.01

287

1.3

206

222

16

0.23

0.01

282

0.7

230

266

36

0.27

0.01

230

0.7

308

324

16

0.23

0.01

176

0.7

350

374

24

0.25

0.01

220

0.8

CHS19-051

7.8

17.3

9.5

0.20

0.00

6

0.4

18.6

48.05

29.45

0.54

0.05

16

2.8

74.2

87

12.8

0.27

0.03

4

1.3

244

256

12

0.24

0.01

1542

1.3

279

294

15

0.36

0.01

361

1.3

310

377.55

67.55

0.30

0.00

432

0.7

379

400

21

0.22

0.00

311

0.5

435.1

448.85

13.75

0.26

0.01

210

0.9

CHS19-052

29

55.35

26.35

0.86

0.04

74

2.7

62.5

94.05

31.55

1.44

0.05

2

5.2

97.4

149

51.6

1.27

0.06

1

4.9

155

165.1

10.1

0.56

0.01

4

1.5

CHS19-053

117.8

127

9.2

0.33

-0.01

3

1.0

160.55

174

13.45

0.23

0.00

47

0.7

188

208

20

0.73

0.02

28

2.4

226

238.2

12.2

1.50

0.04

9

5.5

270.7

297.3

26.6

0.70

0.02

15

2.5

446

460

14

0.21

0.01

242

0.7

472

498

26

0.29

0.01

326

0.5

508

530

22

0.22

0.01

216

0.6

548

558

10

0.28

0.01

247

0.8

CHS19-054

41

50

9

0.22

0.00

4

0.9

142

154

12

2.22

0.06

8

6.3

217

225

8

0.38

0.02

21

1.0

246.75

283

36.25

0.38

0.01

66

1.3

CHS19-055

0

21

21

0.31

0.01

69

1.4

29

69.9

40.9

0.57

0.02

149

2.0

MMG First Quarter Production Report 2020

39

Hole ID

From (m)

To (m)

Length (m)

Cu (%)

Au (g/t)

Mo ppm

Ag (g/t)

208.3

227

18.7

0.25

0.01

226

1.3

229

255

26

0.24

0.01

352

0.6

320

342.2

22.2

0.26

0.01

127

0.7

CHS19-056

NSI

CHS19-057

18

38

20

0.25

0.01

6

0.8

99.8

134.5

34.7

0.49

0.02

2

2.1

198

207

9

0.29

0.01

2

0.8

216.8

230

13.2

0.42

0.04

1

1.3

CHS19-058

22

62.4

40.4

1.53

0.05

44

4.8

65.5

131.1

65.6

3.19

0.10

4

10.7

352

391.5

39.5

0.99

0.03

6

3.3

494

504

10

0.22

0.01

164

0.6

CHS19-059

NSI

CHS19-060

19

42.7

23.7

1.12

0.05

3

4.4

45.8

61.8

16

0.33

0.02

153

1.6

282

294.85

12.85

0.34

0.01

201

0.9

CHS19-061

0

132

132

0.44

0.01

378

1.3

136

166

30

0.23

0.01

149

0.6

172

186

14

0.25

0.01

257

0.7

196

216

20

0.30

0.01

741

1.5

234

250

16

0.24

0.01

314

0.7

295

303.1

8.1

0.27

0.01

304

0.7

358

380

22

0.22

0.01

285

0.6

CHS19-062

59

82

23

0.29

0.02

6

1.0

86

98.85

12.85

0.28

0.00

1

0.9

104

180.7

76.7

1.23

0.04

3

4.5

283

297

14

0.39

0.01

12

1.4

301

317

16

0.23

0.01

114

0.7

412.35

424

11.65

0.26

0.00

164

0.9

CHS19-063

15

41

26

0.81

0.04

10

4.0

44

61

17

0.35

0.02

25

1.5

147

157

10

0.20

0.01

66

2.1

164

182

18

0.24

0.00

199

1.0

185

212.5

27.5

0.25

0.00

161

0.7

232

265

33

0.64

0.01

78

1.7

267

309

42

0.43

0.01

87

1.3

377

396

19

0.42

0.01

95

0.9

CHS19-064

NSI

CHS19-065

32.2

62.55

30.35

2.00

0.07

26

4.8

134.4

143.85

9.45

0.44

0.01

470

2.2

146.05

194.8

48.75

0.98

0.04

11

4.3

276

284

8

0.23

0.00

131

1.0

289.95

322

32.05

0.29

0.01

242

1.2

326

337.3

11.3

0.25

0.01

249

1.0

CHS19-066

0

14.75

14.75

0.26

0.00

24

0.7

55.1

66

10.9

0.30

0.01

245

0.7

116

126

10

0.22

0.00

126

0.4

132

158

26

0.26

0.00

331

0.9

162

191

29

0.26

0.01

222

0.9

232

248

16

0.23

0.00

283

0.7

260

271.4

11.4

0.21

0.00

148

0.6

CHS19-068

NSI

CHS19-069

131

143

12

0.70

0.02

9

2.5

397

411.3

14.3

0.21

0.01

228

0.6

CHS19-070

0

10.2

10.2

0.25

0.01

21

0.8

MMG First Quarter Production Report 2020

40

Hole ID

From (m)

To (m)

Length (m)

Cu (%)

Au (g/t)

Mo ppm

Ag (g/t)

28.65

45

16.35

0.30

0.01

11

0.9

73

117

44

0.35

0.01

199

1.0

121

147

26

0.25

0.01

96

0.7

275

287

12

0.26

0.02

135

1.4

335

343

8

0.38

0.03

118

4.4

386.1

401.4

15.3

0.23

0.01

53

1.3

CHS19-071

142.1

161

18.9

0.50

0.02

4

1.8

178.3

238.1

59.8

1.56

0.06

79

6.1

239.8

279

39.2

0.53

0.03

80

2.4

CHS19-072

NSI

CHS19-077

18.85

37

18.15

0.40

0.02

13

1.2

39

48.2

9.2

0.45

0.02

34

1.7

349.9

365

15.1

2.89

0.10

46

8.1

CHS19-079

NSI

CHS19-081

153.2

162

8.8

0.73

0.03

4

2.8

171

208.2

37.2

1.34

0.05

2

4.9

228

273

45

1.28

0.05

8

5.4

279

295.7

16.7

2.09

0.07

4

8.8

320

332

12

1.01

0.02

2

3.3

CHS19-084

48

59

11

0.27

0.01

403

1.2

65.1

75

9.9

0.41

0.02

24

1.6

85.6

94

8.4

0.21

0.00

8

1.0

107.4

139.8

32.4

0.39

0.01

4

1.4

155.8

179

23.2

1.47

0.04

1

6.1

212

221

9

0.88

0.04

7

4.0

235

257

22

0.77

0.03

4

3.4

319

329

10

0.27

0.01

203

1.4

353

369

16

0.21

0.01

244

0.6

CHS19-085

NSI

CHS19-089

68.5

151

82.5

1.68

0.07

16

6.0

157

174.9

17.9

1.35

0.08

25

5.3

177.85

227

49.15

4.84

0.20

5

18.2

278

294.2

16.2

0.32

0.01

139

1.1

316

333

17

0.24

0.01

303

1.0

CHS19-094

44

64.5

20.5

0.76

0.05

7

3.5

69

106.8

37.8

0.42

0.02

129

2.5

110.15

126.7

16.55

0.22

0.01

41

0.9

169.45

189

19.55

0.33

0.01

199

0.9

197

220.7

23.7

0.29

0.01

334

1.0

CHS19-095

53

83

30

1.09

0.05

19

3.3

99.1

128

28.9

1.09

0.04

5

3.7

135.2

150.4

15.2

0.35

0.01

21

1.0

CHS19-099

54.3

66

11.7

0.67

0.02

4

2.5

78.5

114

35.5

1.01

0.04

15

3.4

122

151.6

29.6

0.52

0.02

72

1.7

219.75

249

29.25

0.68

0.04

32

2.8

268.5

286

17.5

0.28

0.01

18

1.2

288.7

310

21.3

0.28

0.02

465

1.2

330

355.4

25.4

0.31

0.01

638

1.3

CHS19-100

37.9

50

12.1

0.88

0.03

5

3.3

56

126.6

70.6

2.50

0.08

2

9.3

132

140.45

8.45

0.49

0.01

3

1.3

189

199

10

0.20

0.00

30

0.4

CHS19-105

34

57

23

0.32

0.03

15

3.5

61

88

27

0.99

0.04

4

4.1

MMG First Quarter Production Report 2020

41

Hole ID

From (m)

To (m)

Length (m)

Cu (%)

Au (g/t)

Mo ppm

Ag (g/t)

92

115

23

0.33

0.01

17

1.7

120.3

150.5

30.2

0.52

0.02

341

3.6

226

247

21

0.74

0.04

423

4.5

255

273

18

0.27

0.01

306

1.6

CHEX20-001

37

63

26

2.22

0.07

52

5.4

72.6

113

40.4

1.08

0.03

4

4.4

114.4

158.5

44.1

1.01

0.04

3

4.2

169.1

180.6

11.5

0.31

0.01

235

1.1

248

257.8

9.8

0.40

0.01

248

2.2

268.6

294

25.4

0.39

0.01

284

1.6

CHEX20-002

20.1

39

18.9

0.30

0.01

11

0.6

54

73

19

1.10

0.04

30

2.9

126

162.85

36.85

1.55

0.07

2

6.2

168

194

26

0.46

0.03

1

1.8

CHEX20-003

113.2

133.35

20.15

0.96

0.04

20

3.3

172.55

183.1

10.55

0.49

0.02

122

1.5

197

282.2

85.2

0.55

0.02

251

1.8

CHEX20-004

16

26

10

0.27

0.01

2

0.7

37

48.4

11.4

0.63

0.03

17

2.3

CHEX20-005

44

64

20

0.97

0.03

29

3.3

68

87

19

0.89

0.03

4

3.3

155.4

172.7

17.3

1.77

0.03

3

6.5

186.5

204.9

18.4

0.74

0.02

6

2.9

CHEX20-006

Pending Assays

CHEX20-007

104.4

120.8

16.4

0.75

0.02

769

2.0

164

178.75

14.75

0.41

0.01

748

2.9

189

211.4

22.4

0.42

0.03

561

1.0

220

231

11

0.21

0.01

34

0.6

268.2

282

13.8

1.06

0.06

7

4.7

291.8

314

22.2

0.73

0.04

3

2.9

346

358

12

2.65

0.08

15

7.3

CHEX20-008

34.8

68

33.2

0.62

0.02

5

2.7

78

97

19

2.07

0.10

61

7.4

119

135.05

16.05

0.44

0.02

28

1.6

221.4

278

56.6

1.47

0.07

314

5.2

280

313.55

33.55

0.47

0.03

452

2.8

CHEX20-012

33

66

33

0.75

0.04

17

2.4

87

119

32

0.57

0.02

4

2.3

158

173

15

0.40

0.02

4

1.4

CHEX20-013

Pending Assays

CHEX20-014

Pending Assays

CHEX20-015

Pending Assays

CHEX20-016

Pending Assays

CHEX20-017

Pending Assays

CHEX20-018

Pending Assays

CHEX20-020

Pending Assays

CHEX20-021

Pending Assays

MMG First Quarter Production Report 2020

42

JORC 2012 TABLE 1 - SOKOROSHE II EXPLORATION ACTIVITIES

The following information provided in Table 1 complies with the 2012 JORC Code requirements specified by "Table-1 Section 1-3" of the Code.

Table 1 JORC 2012 Code Table 1 Assessment and Reporting Criteria for Sokoroshe II Exploration Activity

Criteria

Commentary

Section 1 Sampling

Techniques and Data

Sampling

•

A combination of reverse circulation drilling (RC) and diamond drilling (DD) were completed in the

techniques

Project area.

•

Mineralised zones within the drill core were identified based on combined parameters, including

lithological and alteration logging, mineralogical logging and systematic spot pXRF readings. DD core

was sampled nominally at 1m intervals within mineralised zones while unmineralised zones were

sampled at to 2m - 5.3m intervals. Sampling was carried out by longitudinally cutting PQ and HQ drill

core using an Almonte automatic diamond saw and sampling half-core, with half-core retained for future

reference. PQ drill core was quartered and sampled. Three-quarters of the core was retained for future

reference.

•

RC drill cuttings were collected in 1m bulk samples from a rig mounted cyclone. Lithological and

mineralogical logging, supported by systematic spot pXRF readings, were used to identify mineralised

and unmineralised zones in the RC chips. Samples from mineralized zones were riffle split every 1m to

obtain a representative (~2.5kg) sample. Samples from unmineralised zones were riffle split and

composited to 2m intervals. Wet samples were dried in sun and ambient air before splitting and

compositing.

•

Overall, 81% of the samples were less than 2m, with mineralised samples taken at nominal 1m intervals.

•

Samples were crushed, split and pulverised (>85% passing 75 µm) at an onsite ALS laboratory at the

MMG core yard facility in Lubumbashi. 100 grams of pulp material was sent to the SANAS accredited

ALS Laboratories in Johannesburg.

•

The sample types, nature, quality and sample preparation techniques are considered appropriate for the

nature of mineralisation within the Project (sediment hosted base metal mineralisation) by the

Competent Person.

Drilling techniques

•

Diamond drilling: PQ and HQ sizes, with triple tube to maximise recovery. At the end of each drilling run

the core was marked with an orientation mark by using a REFLEX ACE tool. An orientation line was then

drawn along the axis of the core if two consecutive orientations marks could be aligned by docking core

pieces.

•

Reverse circulation drilling: A hammer bit was used for drilling a 5.25 inch (133mm) diameter hole. The

cyclone was manually cleaned at the start of each shift, after any wet samples, and after each hole.

Compressed air from the drilling machine was used to clean/blow out material from the RC rods, hoses,

and cyclone after each rod.

Drill sample

•

Overall DD core recovery averaged 85% across the Project area.

recovery

•

Actual vs. recovered drilling lengths were captured by the driller and an onsite rig technician using a

tape measure. Measured accuracy was down to 1cm. The core recoveries were calculated during the

database exports.

•

Sample recovery during diamond drilling was maximised using the following methods:

o

Short drill runs (~50cm)

o

Using drilling additives, muds and chemicals to improve broken ground conditions.

o

Using the triple tube methodology in the core barrel.

o

Reducing water pressure to prevent washout of friable material

•

Drilling rates varied depending on the actual and forecast ground conditions

•

Core loss was recorded through the core and assigned to intersections where visible loss occurred.

Cavities were noted.

•

Bias due to core loss has not been determined.

•

RC cuttings recovery was measured by weighing each 1m sample bag immediately following collection

from the cyclone.

•

Sample returns for RC drilling have been calculated at 72% .

•

Sample recovery during RC drilling was maximized using the following methods:

o

Adjusting air pressures to the prevailing ground condition.

MMG First Quarter Production Report 2020

43

Criteria

Commentary

o

Using new hammer bits and replacing when showing signs of wear.

Logging

•

All drill samples (DD core, RC chips) were geologically logged using a GeoBank® Mobile interface and

uploaded to a Geobank® database.

•

Qualitative logging includes lithology, mineralisation type, oxidation type, weathering type, colour and

alteration types. Quantitative logging includes mineralisation mineral percentage, alteration mineral

percentage and in the case of core, RQD and structural data have been recorded.

•

All the core and chip samples were photographed both wet and dry.

•

100% of core and chips have been logged with the above information.

Sub-sampling

•

DD core was split in half longitudinally (HQ size) or quartered (PQ size) using an Almonte automatic

techniques and

diamond saw.

sample preparation

•

Sample lengths were cut as close to nominal 1m intervals as possible while also respecting geological

contacts. Samples were generally ~2.5kg in weight.

•

RC samples were collected from a cyclone every meter by a trained driller's assistant. If the sample was

dry the sample was passed through a riffle splitter and a ~2.5kg split was collected into a pre-numbered

clear plastic bag. Residual material was sampled and sieved for collection into chip trays for logging and

the remainder returned to the larger poly-weave bag (bulk reject). The splitter was cleaned using

compressed air or a clean brush and tapped using a rubber mallet. If the sample was wet, the sample

was sun and air dried before being split according to the above procedure.

•

For RC method, field duplicates were inserted at a rate of approximately 5% to ensure sampling

precision was measured.

•

Samples from individual drillholes were sent in a single dispatch to the onsite ALS laboratory at the

MMG core yard facility in Lubumbashi.

•

Samples were received, recorded on the sample sheet, weighed, and dried at 120°C for 4 to 8 hours (or

more) depending on dampness at the sample preparation laboratory.

•

Samples were crushed and homogenised in a jaw crusher to >70% passing 2mm. The jaw crusher was

cleaned with a barren quartz blank after every crushed sample.

•

The sample size was reduced to 1000g in a riffle splitter and pulverised in an LM2 pulveriser to >85%

passing 75 micron. QC grind checks were carried out using wet sieving at 75 micron on 1 in 10 samples.

•

100 grams of pulp material were sent to the SANAS accredited ALS Laboratories in Johannesburg.

•

Crush and pulp duplicates were submitted for QAQC purposes.

•

Certified reference material (high, medium, and low copper grades) were also inserted and submitted to

ALS for analysis at a rate of 3 per 30 samples.

•

The sample size is appropriate for the grain size and distribution of the minerals of interest.

Quality of assay

•

All samples were sent to ALS Chemex Laboratory in Johannesburg

data and laboratory

•

Samples were analysed using a 4-acid digest with ICP MS finish. 48 elements were analysed in total.

tests

•

Acid soluble copper assays were only performed when the total copper assay was greater than 1,000

ppm.

•

~15% QAQC samples were incorporated, including blanks, duplicates (field, crush, and pulp) and

certified reference material per sample analysis batch.

•

QAQC data has been interrogated with no significant biases or precision issues.

•

No geophysical tools, spectrometers, or portable XRF instruments have been used for estimation

purposes.

Verification of

•

Significant intersections have been reviewed by competent MMG employees.

sampling and

•

No twin drilling was completed.

assaying

•

Data are stored in a SQL database with a Geobank® interface.

•

No adjustments to assay data were made.

Location of data

•

Planned collar positions for both diamond drilling and RC drilling were located using handheld GPS

points

devices to ±5m accuracy.

•

Post drilling, actual collar positions were surveyed using DGPS (Geomax Zenith 25 Pro and Topcon Hiper

II) and are considered to be of high accuracy.

•

Grid system is in WGS84/UTM35S

•

Topographic control was by a detailed aerial drone survey.

•

The TN14 GYROCOMPASS™ was used to align the drill rig to the correct azimuth and dip angles.

MMG First Quarter Production Report 2020

44

Criteria

Commentary

•

Downhole surveys were done using the REFLEX EZ-TRAC survey instrument. Downhole surveys were not

carried out on RC drillholes. Azimuth and dip were extrapolated from measurements taken from the

surface using compass and clinometer.

•

The surface Digital Terrain Model (DTM) for the Project was generated from the Airborne Geophysics

XCalibur surveys carried out in 2015. The dataset was found to be adequate with topographic control to

±3m accuracy. High resolution DEM for the Sokoroshe II pit area was surveyed with LiDAR technology in

2017.

Data spacing and

•

Drill hole data are spaced for the main (drillout) area on approximately 40m (N-S oriented) drill sections

distribution

with holes on section spaced 50 to 70m. Several drill sections outside the main area are 50 to 100m

spaced with 50m spacing between drillholes. Three section lines at Sokoroshe II Southeast area are

oriented NE-SW.

•

2m, 3m or 4m composites were taken in zones of no visual mineralisation.

•

Nominal 1m samples were taken in zones of mineralisation.

•

No other sample compositing has occurred.

Orientation of data

•

DD and RC drillholes were predominantly drilled with dips of between 50° and 60° to intersect generally

in relation to

steeply dipping mineralisation. Drilling azimuths were as close as practical to orthogonal to the

geological structure

mineralised trend.

•

No sampling bias is thought to have been introduced due to the relationship of drilling orientation to

key mineralised structures.

Sample security

•

Samples were transported from the field and delivered to the sample processing facility in Lubumbashi

for cutting and preparation. A single cab pick-up was used for the transport. Polyethylene foam,

tarpaulins, and cargo nets were used to secure the load and to avoid possible shifting of core during

transport.

•

RC chip sampling was conducted in the field. Chip samples were packed in a labelled plastic bag along

with a labelled plastic ID tag.

•

The plastic bag was tied with cable ties to secure the sample and to prevent contamination.

•

A set of 15 plastic sample bags were packed into labelled poly-weave bags, ready to be shipped from

the field to the sample preparation laboratory in Lubumbashi.

•

Field packing documents and sample sheets were prepared and sent together with the core trays and

poly-weave bags to the sample preparation laboratory in Lubumbashi.

•

After sample preparation, bar-coded envelopes of 100-200g of pulp for each sample were inserted into

boxes of ~35 envelopes each, labelled with dispatch ID and laboratory destination to be sent by DHL

courier to ALS Chemex in Johannesburg.

•

Two sets of duplicate pulps of 100-200g were inserted into labelled boxes of ~35 envelopes each to be

stored on site in storage containers.

•

The shipment of pulps from Lubumbashi to ALS laboratories was done using DHL Courier services with

waybill number for tracking.

•

The Lubumbashi sample preparation laboratory utilizes the ALS-Chemex LIM System installed at

Kinsevere mine site, generating a unique lab workorder for each batch sample in the analytical chain.

Audit and reviews

•

No external audits or reviews of sampling techniques and data have been conducted.

Section 2 Reporting of Exploration Results

Mineral tenement

•

The Sokoroshe II project consists of one mining tenement or Permis d'Eploitation, PE538, with an area of

and land tenure

6 cadastral units (about 5.1 Km2). The mineral rights of PE 538 are held by La Générale des Carrierés et

status

des Mines (Gécamines), the DRC state-owned mining company. MMG rights to the tenement are

granted under the terms of the Mutoshi Swap Framework Agreement.

•

MMG declared an Inferred Mineral Resource on 17 March 2017 to retain the lease holding and transition

it from a status of Exploration Period to Development Period under clause 6.2. of the agreement.

According to the agreement, the "Development Period" shall start on the date on which the first

Development Work Program has been agreed between Gecamines and MMG Kinsevere (the

Development Period start date). The Development Period shall have a duration of 5 calendar years (1825

days) from the Development Period start date. MMG Kinsevere must establish Proved Ore Reserves to

achieve a viable economic exploitation of the deposits contained in the retained permits viz. PE538

Sokoroshe 2. MMG Kinsevere submitted its first Development Work Program to Gecamines for approval

on 4 July 2017. Pursuant to clause 6.2.4(i), Gecamines was provided with 30 days to express its

comments or disagreement on the first Development Work Program, which will then be deemed

accepted in the absence of receipt of comments or disagreement of Gecamines within this period. MMG

MMG First Quarter Production Report 2020

45

Criteria

Commentary

Kinsevere did not receive any comments or disagreement from Gecamines within the 30 day period (or

any following period). Accordingly, the first Development Work Program was deemed accepted by

Gecamines as from 4 August 2017 and the Development Period Start Date was also 4 August 2017.

Exploration done by

•

Soil sampling on 120x120m grid and geology mapping were done in 1976 by Gecamines. No data

other parties

available for this work.

•

Ruashi Holdings/Metorex carried out unknown exploration work in 2005 at Sokoroshe II. No data

available for this work.

Geology

•

Sediment-hosted style copper deposit hosted in the lower part of the Neoproterozoic Katanga

Supergroup in the Roan stratigraphic group.

•

Copper mineralisation occurs mainly as veins and disseminations in a carbonaceous, massive to

laminated dolomite.

•

Primary copper mineralogy comprises chalcopyrite, bornite, and chalcocite in decreasing abundance.

Oxide copper mineralogy comprises primarily malachite with trace amounts of chrysocolla.

Drill hole

•

Refer to the Sokoroshe II Technical Report for a complete listing of all drill hole information on the

information

Sokoroshe II Project.

Data aggregation

•

Significant copper intersections were reported at 0.5% Total Cu lower cut-off at a minimum width of 3m

methods

with up to 3m internal dilution permitted. Copper equivalents were not used in the reporting of

exploration results.

•

Significant cobalt intersections were reported at 0.2% Total Co lower cut-off at a minimum width of 3m

with up to 3m internal dilution permitted.

Relationship

•

All results are reported as estimated true widths of the modeled mineralised zones.

between

mineralisation

width and intercept

lengths

Diagrams

•

Refer to maps and cross sections in the text of this report.

Balanced reporting

•

The table below shows the complete list of significant copper intercepts received from the Sokoroshe II

(SOK2) 2019 drilling campaign, based on copper-grade-times-thickness measurement. All significant

intercepts are reported based on a 0.5% Total Cu lower cut-off at a minimum drilled width of 3m with up

to 3m internal dilution permitted. Hole locations are shown on the maps in the preceding section. NSA =

No Significant Assays (<0.5% Cu or <3m drilled interval length).

MMG First Quarter Production Report 2020

46

CriteriaCommentary

  • The table below shows the complete list of significant cobalt intercepts received from the Sokoroshe II (SOK2) 2019 drilling campaign, based on cobalt-grade-times-thickness measurement. All significant intercepts are reported based on a 0.2% Total Co lower cut-off at a minimum drilled width of 3m with up to 3m internal dilution permitted. Hole locations are shown on the maps in the preceding section. NSA = No Significant Assays (<0.2% Co or <3m drilled interval length).

Other substantive exploration data

  • Airborne Geophysics - TEMPEST survey
  • Airborne EM, magnetics, and radiometric were flown at the end of 2013.
  • Geological mapping was conducted in 2014. Mapping results indicated lithologies from the Roan stratigraphic unit, the main host rock to the mineralisation. Younger lithologies were also noted from the Nguba and Kundelungu Formations.
  • Airborne Geophysics - Xcalibur survey, flown in 2015

MMG First Quarter Production Report 2020

47

Criteria

Commentary

• Surface geochemistry: Termite mound sampling on a 100m x 100m grid was completed in 2014, which

effectively identified copper anomalous zones within the tenement.

Further work

• Further activities are planned for the 2020 season:

o

Geotechnical and geohydrological drilling.

o

Detailed mining and investment studies.

o

Update of the Environmental and Social Impact Statement.

JORC 2012 TABLE 1 - NAMBULWA EXPLORATION ACTIVITIES

The following information provided in Table 1 complies with the 2012 JORC Code requirements specified by "Table-1 Section 1-3" of the Code.

Table 1 JORC 2012 Code Table 1 Assessment and Reporting Criteria for Nambulwa Exploration Activity

Criteria

Commentary

Section 1 Sampling

Techniques and Data

Sampling

•

A combination of reverse circulation drilling (RC), diamond drilling (DD), and air core drilling (AC) were

techniques

completed in the Project area.

•

Mineralised zones within the drill core were identified based on combined parameters, including

lithological and alteration logging, mineralogical logging and systematic spot pXRF readings. DD core was

sampled nominally at 1m intervals within mineralised zones while unmineralised zones were sampled at up

to 2-4m intervals. Sampling was carried out by longitudinally cutting PQ and HQ drill core using an

Almonte automatic diamond saw and sampling half-core, with half-core retained for future reference. PQ

drill core was quartered and sampled. Three-quarters of the core was retained for future reference.

•

RC drill cuttings were collected in 1m bulk samples from a rig mounted cyclone. Lithological and

mineralogical logging, supported by systematic spot pXRF readings, were used to identify mineralised and

unmineralised zones in the RC chips. Samples from mineralized zones were riffle split every 1m to obtain a

representative (~2.5kg) sample. Samples from unmineralised zones were riffle split and composited to 2m

or occasionally 4m intervals. Wet samples were dried in ambient air before splitting and compositing.

•

AC drill cuttings were collected in 1m bulk samples from a rig mounted cyclone. Samples from zones of

mineralisation were riffle split to obtain a representative (~2.5kg sample). Samples from visually

unmineralised, lithologically similar zones were riffle split and composited to 3m sample intervals (~2.5kg

weight). Wet samples were dried in ambient air before splitting and compositing.

•

Overall, 54% of the samples were less than 2m, with mineralised samples taken at nominal 1m intervals.

•

Samples were crushed, split and pulverised (>85% passing 75 µm) at an onsite ALS laboratory at the MMG

core yard facility in Lubumbashi. 100 grams of pulp material was sent to the SANAS accredited ALS

Laboratories in Johannesburg.

•

The sample types, nature, quality and sample preparation techniques are considered appropriate for the

nature of mineralisation within the Project (sediment hosted base metal mineralisation) by the Competent

Person.

Drilling

•

Diamond drilling: PQ and HQ sizes, with triple tube to maximise recovery. At the end of each drilling run

techniques

the core was marked with an orientation mark by using a REFLEX ACE tool. An orientation line was then

drawn along the axis of the core if two consecutive orientations marks could be aligned by docking core

pieces.

•

Aircore drilling: A blade bit was used for drilling a 3.23 inch (82mm) hole. The cyclone was manually

cleaned at the start of each shift, after any wet samples, and after each hole. Compressed air from the

drilling machine was used to clean/blow out material from the AC rods, hoses, and cyclone after each rod.

•

Reverse circulation drilling: A hammer bit was used for drilling a 5.25 inch (133mm) diameter hole. The

cyclone was manually cleaned at the start of each shift, after any wet samples, and after each hole.

Compressed air from the drilling machine was used to clean/blow out material from the RC rods, hoses,

and cyclone after each rod.

Drill sample

•

Overall DD core recovery averaged 83% across the Project area. As expected, the recovery dropped in

recovery

unconsolidated/highly weathered ground. Below 50m, core recovery averaged 85%, and below 100m, core

recovery averaged 89%.

MMG First Quarter Production Report 2020

48

Criteria

Commentary

•

Actual vs. recovered drilling lengths were captured by the driller and an onsite rig technician using a tape

measure. Measured accuracy was down to 1cm. The core recoveries were calculated during the database

exports.

•

Sample recovery during diamond drilling was maximised using the following methods:

o

Short drill runs (~50cm)

o

Using drilling additives, muds and chemicals to improve broken ground conditions.

o

Using the triple tube methodology in the core barrel.

o

Reducing water pressure to prevent washout of friable material

•

Drilling rates varied depending on the actual and forecast ground conditions

•

Core loss was recorded through the core and assigned to intersections where visible loss occurred. Cavities

were noted.

•

Bias due to core loss has not been determined.

•

RC and AC cuttings recovery was measured by weighing each 1m sample bag immediately following

collection from the cyclone.

•

Sample returns for RC and AC drilling have been calculated at 62% and 63% respectively.

•

Sample recovery during RC drilling was maximized using the following methods:

o

Adjusting air pressures to the prevailing ground condition.

o

Using new hammer bits and replacing when showing signs of wear.

Logging

•

All drill samples (DD core, RC chips and AC chips) were geologically logged using a GeoBank® Mobile

interface and uploaded to a Geobank® database.

•

Qualitative logging includes lithology, mineralisation type, oxidation type, weathering type, colour and

alteration types. Quantitative logging includes mineralisation mineral percentage, alteration mineral

percentage and in the case of core, RQD and structural data have been recorded.

•

All the core and chip samples were photographed both wet and dry.

•

100% of core and chips have been logged with the above information.

Sub-sampling

•

DD core was split in half longitudinally (HQ size) or quartered (PQ size) using an Almonte automatic

techniques and

diamond saw.

sample

•

Sample lengths were cut as close to nominal 1m intervals as possible while also respecting geological

preparation

contacts. Samples were generally ~2.5kg in weight.

•

RC and AC samples were collected from a cyclone every meter by a trained driller's assistant. If the sample

was dry the sample was passed through a riffle splitter and a ~2.5kg split was collected into a pre-

numbered clear plastic bag. Residual material was sampled and sieved for collection into chip trays for

logging and the remainder returned to the larger poly-weave bag (bulk reject). The splitter was cleaned

using compressed air or a clean brush and tapped using a rubber mallet. If the sample was wet, the sample

was sun and air dried before being split according to the above procedure.

•

For RC and AC methods, field duplicates were inserted at a rate of approximately 5% to ensure sampling

precision was measured.

•

Samples from individual drillholes were sent in a single dispatch to the onsite ALS laboratory at the MMG

core yard facility in Lubumbashi.

•

Samples were received, recorded on the sample sheet, weighed, and dried at 120°C for 4 to 8 hours (or

more) depending on dampness at the sample preparation laboratory.

•

Samples were crushed and homogenised in a jaw crusher to >70% passing 2mm. The jaw crusher was

cleaned with a barren quartz blank after every crushed sample.

•

The sample size was reduced to 1000g in a riffle splitter and pulverised in an LM2 pulveriser to >85%

passing 75 micron. QC grind checks were carried out using wet sieving at 75 micron on 1 in 10 samples.

•

100 grams of pulp material were sent to the SANAS accredited ALS Laboratories in Johannesburg.

•

Crush and pulp duplicates were submitted for QAQC purposes.

•

Certified reference material (high, medium, and low copper grades) were also inserted and submitted to

ALS for analysis at a rate of 3 per 30 samples.

•

The sample size is appropriate for the grain size and distribution of the minerals of interest.

Quality of assay

•

All samples were sent to ALS Chemex Laboratory in Johannesburg

data and

•

Samples were analysed using a 4-acid digest with ICP MS finish. 48 elements were analysed in total.

laboratory tests

•

Acid soluble copper assays were only performed when the total copper assay was greater than 1,000 ppm.

MMG First Quarter Production Report 2020

49

Criteria

Commentary

•

~15% QAQC samples were incorporated, including blanks, duplicates (field, crush, and pulp) and certified

reference material per sample analysis batch.

•

QAQC data has been interrogated with no significant biases or precision issues.

•

No geophysical tools, spectrometers, or portable XRF instruments have been used for estimation purposes.

Verification of

•

Significant intersections have been reviewed by competent MMG employees.

sampling and

•

No twin drilling was completed.

assaying

•

Data are stored in a SQL database with a Geobank® interface.

•

No adjustments to assay data were made.

Location of data

•

Planned collar positions for both diamond drilling and RC drilling were located using handheld GPS

points

devices to ±5m accuracy.

•

Post drilling, actual collar positions were surveyed using DGPS (Geomax Zenith 25 Pro and Topcon Hiper II)

and are considered to be of high accuracy.

•

Grid system is in WGS84/UTM35S

•

Topographic control was by a detailed aerial drone survey.

•

The TN14 GYROCOMPASS™ was used to align the drill rig to the correct azimuth and dip angles.

•

Downhole surveys were done using the REFLEX EZ-TRAC survey instrument. Downhole surveys were not

carried out on RC & AC drillholes.

Data spacing and

•

Drill spacing is variable between prospects. Average drill hole data are spaced at ~50 to 100m between

distribution

drill sections. Holes on sections are spaced at ~25-50m apart.

•

2m or 4m composites were taken in zones of no visual mineralisation (3m composites for AC drilling)

•

Nominal 1m samples were taken in zones of mineralisation.

•

No other sample compositing has occurred.

Orientation of

•

DD and RC drillholes were predominantly drilled with dips of between 45° and 60° to intersect generally

data in relation to

steeply dipping mineralisation. Drilling azimuths were as close as practical to orthogonal to the mineralised

geological

trend. The AC drillholes were drilled vertically.

structure

•

In the view of the Competent Person, no bias has been introduced by the drilling direction.

Sample security

•

Samples were transported from the field and delivered to the sample processing facility in Lubumbashi for

cutting and preparation. A single cab pick-up was used for the transport. Polyethylene foam, tarpaulins,

and cargo nets were used to secure the load and to avoid possible shifting of core during transport.

•

RC chip sampling was conducted in the field. Chip samples were packed in a labelled plastic bag along

with a labelled plastic ID tag.

•

The plastic bag was tied with cable ties to secure the sample and to prevent contamination.

•

A set of 15 plastic sample bags were packed into labelled poly-weave bags, ready to be shipped from the

field to the sample preparation laboratory in Lubumbashi.

•

Field packing documents and sample sheets were prepared and sent together with the core trays and poly-

weave bags to the sample preparation laboratory in Lubumbashi.

•

After sample preparation, bar-coded envelopes of 100-200g of pulp for each sample were inserted into

boxes of ~35 envelopes each, labelled with dispatch ID and laboratory destination to be sent by DHL

courier to ALS Chemex in Johannesburg.

•

Two sets of duplicate pulps of 100-200g were inserted into labelled boxes of ~35 envelopes each to be

stored on site in storage containers.

•

The shipment of pulps from Lubumbashi to ALS laboratories was done using DHL Courier services with

waybill number for tracking.

•

The Lubumbashi sample preparation laboratory utilizes the ALS-Chemex LIM System installed at Kinsevere

mine site, generating a unique lab workorder for each batch sample in the analytical chain.

Audit and reviews

•

No external audits or reviews of sampling techniques and data have been conducted.

Section 2 Reporting of Exploration Results

Mineral tenement

•

The Nambulwa Project is located within lease PE539 (100% Gecamines) in the DRC. The lease was acquired

and land tenure

by MMG as part of the Kinsevere Amodiation agreement with Gecamines. The tenement is valid through to

status

April 3, 2024.

MMG First Quarter Production Report 2020

50

Criteria

Commentary

Exploration done

•

Union Miniere (UMHK) explored the Nambulwa Project during the 1920s. UMHK conducted trenching,

by other parties

pitting and tunnelling, mainly at Nambulwa Main.

•

Gecamines explored the Nambulwa Project during the 1990s. Work completed included mapping, pitting,

and limited drilling at Nambulwa Main.

•

Anvil Mining explored the Nambulwa Project between September and December 2007 and was the first

company to effectively define a resource. Anvil's initial phase of exploration included geological mapping,

termite mound sampling, AC drilling (11,830m), RC drilling (6,268m), and DD drilling (668m) focussed on

PE539 and the surrounding tenements. An unclassified resource of 1.1Mt of ore @ 3.3% Cu or 35,000 t of

copper metal was estimated for Nambulwa Main.

Geology

•

Stratiform sedimentary hosted copper and cobalt.

•

Mineralisation is hosted by the Neoproterozoic Katanga Supergroup within the R2 (Mines Series), R3

(Kansuki Fm), and R4 (Mwashya Fm) stratigraphy.

•

Copper mineralisation is both lithologically and structurally controlled and occurs mainly as veins and

disseminations in dolomitic units, carbonaceous shale, and massive to laminated dolomite.

•

Oxide Cu is hosted mainly in the dolomitic units, whereas sulphides (chalcocite, digenite) are hosted in the

black shale unit. Oxide copper mineralogy includes malachite and other black-oxides and they are

sometimes associated with elevated Co mineralisation. Sulphide (chalcocite ± chalcopyrite-bornite)

mineralisation is found in deeper levels of the deposits.

Drill hole

•

Refer to the Nambulwa Technical Report for a complete listing of all drill hole information on the

information

Nambulwa Project.

Data aggregation

•

Significant intersections were reported at 0.5% Total Cu lower cut-off at a minimum width of 3m with up to

methods

3m internal dilution permitted. Copper equivalents were not used in the reporting of exploration results.

Relationship

•

All results are reported as estimated true widths of the modeled mineralised zones.

between

mineralisation

width and

intercept lengths

Diagrams

•

Refer to maps and cross sections in the text of this report.

Balanced

•

The table below shows top 20 copper intercepts received from the Nambulwa 2019 drilling campaign,

reporting

based on copper-grade-times-thickness measurement. All significant intercepts are reported based on a

0.5% Total Cu lower cut-off at a minimum drilled width of 3m with up to 3m internal dilution permitted.

Hole locations are shown on the maps in the preceding section. NSA = No Significant Assays (<0.5% Cu or

<3m drilled interval length).

  • The table below shows bottom 20 copper intercepts received from the Nambulwa 2019 drilling campaign, based on copper-grade-times-thickness measurement. All significant intercepts are reported based on a

MMG First Quarter Production Report 2020

51

Criteria Commentary

0.5% Total Cu lower cut-off at a minimum drilled width of 3m with up to 3m internal dilution permitted. Hole locations are shown on the maps in the preceding section. NSA = No Significant Assays (<0.5% Cu or <3m drilled interval length).

  • The table below shows the top 20 significant cobalt intercepts received from the Nambulwa 2019 drilling campaign, based on cobalt-grade-times-thickness measurement. All significant intercepts are reported based on a 0.2% Total Co lower cut-off at a minimum drilled width of 3m with up to 3m internal dilution permitted. Hole locations are shown on the maps in the preceding section. NSA = No Significant Assays (<0.2% Co or <3m drilled interval length).
  • The table below shows the bottom 20 cobalt intercepts received from the Nambulwa 2019 drilling campaign, based on cobalt-grade-times-thickness measurement. All intercepts are reported based on a 0.2% Total Co lower cut-off at a minimum drilled width of 3m with up to 3m internal dilution permitted. Hole locations are shown on the maps in the preceding section. NSA = No Significant Assays (<0.2% Co or <3m drilled interval length).

MMG First Quarter Production Report 2020

52

Criteria

Commentary

Other substantive

•

Airborne Geophysics - TEMPEST survey, Airborne EM, magnetics, and radiometric were flown at the end of

exploration data

2013. 3D inversion of the EM data identified a prominent conductor body over the western, central and

eastern section of the Project.

•

Geological mapping was conducted in 2014 and 2017. Mapping results outlined the presence of the

geologically prospective rock units that are the main host rock to the mineralisation. Younger lithologies

were also noted from the Nguba and Kundelungu Formations.

•

Surface geochemistry: Termite mound sampling on 100m x 100m grid was completed in 2014, which

effectively identified copper anomalous zones within the tenement. Additional geochemical surveys

include 50m x 50m soil sampling conducted in 2017.

•

Airborne Geophysics - Xcalibur survey, flown in 2015

•

- Magnetics - effective at mapping structural and stratigraphic domains

•

- Radiometrics - effective at mapping lithological contrasts and regolith domains.

•

Ground IP and AMT survey - helped in mapping the conductive and resistive bodies at depth.

Further work

•

Further activities are planned for the 2020 exploration season:

o

Geohydrological drilling and geotechnical drilling for engineering studies and pit

optimizations.

o

Development of the Feasibility Study and the Environmental and Social Impact

Statement

Table 3: Complete tabulation of all copper results from the 2019 drilling campaign at the Nambulwa Project. All significant intercepts are reported based on a 0.5% Total Cu lower cut-off at a minimum width of 3m with up to 3m internal dilution permitted. Copper equivalents were not used in the reporting of exploration results. NSA = No Significant Assays (<0.5% Cu or <3m drilled interval length).

Prospect

Hole_ID

E

N

RL

EOH

Type

Dip

Azimuth

DH_From

Cu_Intercept_TT

NAM

NAMRC014

557037

8768234

1242

55

RC

-50

42.8

22.0

5.7m @ 1.73 % Cu

NAM

NAMRC015

557014

8768210

1241

120

RC

-50

42.8

53.0

26.7m @ 3.93 % Cu

NAM

NAMRC015

557014

8768210

1241

120

RC

-50

42.8

93.0

2.4m @ 1.33 % Cu

NAM

NAMRC016

556980

8768251

1241

65

RC

-50

42.8

28.0

2.9m @ 3.25 % Cu

NAM

NAMRC016

556980

8768251

1241

65

RC

-50

42.8

37.0

5.8m @ 1.12 % Cu

NAM

NAMRC017

556961

8768220

1239

110

RC

-50

42.8

-

NSA

NAM

NAMRC018

556949

8768284

1245

100

RC

-50

42.8

15.0

2.5m @ 1.17 % Cu

NAM

NAMRC019

556928

8768263

1240

198

RC

-50

42.8

32.0

20.1m @ 3.14 % Cu

NAM

NAMRC019

556928

8768263

1240

198

RC

-50

42.8

86.0

8.4m @ 1.73 % Cu

NAM

NAMRC019

556928

8768263

1240

198

RC

-50

42.8

106.0

77.2m @ 0.74 % Cu

NAM

NAMRC020

556847

8768319

1242

80

RC

-50

42.8

25.0

25.5m @ 2.59 % Cu

NAM

NAMRC021

556762

8768388

1236

140

RC

-50

42.8

44.0

8.7m @ 2.55 % Cu

NAM

NAMRC021

556762

8768388

1236

140

RC

-50

42.8

60.0

15.7m @ 1.69 % Cu

MMG First Quarter Production Report 2020

53

Prospect

Hole_ID

E

N

RL

EOH

Type

Dip

Azimuth

DH_From

Cu_Intercept_TT

NAM

NAMRC021

556762

8768388

1236

140

RC

-50

42.8

121.0

6.1m @ 1.19 % Cu

NAM

NAMRC022

556879

8768359

1263

85

RC

-52

220.8

18.0

30.0m @ 1.92 % Cu

NAM

NAMRC022

556879

8768359

1263

85

RC

-52

220.8

67.0

4.1m @ 0.55 % Cu

NAM

NAMRC023

556784

8768406

1243

65

RC

-50

42.8

22.0

5.2m @ 1.71 % Cu

NAM

NAMRC023

556784

8768406

1243

65

RC

-50

42.8

45.0

4.0m @ 0.88 % Cu

NAM

NAMRC024

557166

8767998

1249

75

RC

-65

122.8

-

NSA

NAM

NAMRC025

557204

8767943

1256

65

RC

-55

122.8

24.0

19.1m @ 2.23 % Cu

NAM

NAMRC025

557204

8767943

1256

65

RC

-55

122.8

57.0

4.8m @ 1.31 % Cu

NAM

NAMRC026

557207

8767972

1256

75

RC

-55

122.8

20.0

20.0m @ 1.57 % Cu

DZ

NAMRC027

555909

8768067

1224

45

RC

-50

290.8

-

NSA

DZ

NAMRC028

555924

8768044

1225

65

RC

-50

262.8

37.0

10.6m @ 2.28 % Cu

DZ

NAMRC029

555904

8768043

1226

48

RC

-50

262.8

18.0

29.2m @ 2.78 % Cu

DZ

NAMRC030

555929

8768059

1225

57

RC

-50

290.8

32.0

9.9m @ 0.99 % Cu

DZ

NAMRC031

555944

8768055

1224

70

RC

-50

290.8

-

NSA

DZ

NAMRC032

555882

8768040

1226

40

RC

-51

261.8

9.0

26.2m @ 3.37 % Cu

DZ

NAMRC033

555966

8768025

1224

110

RC

-50

262.8

66.0

8.3m @ 0.53 % Cu

DZ

NAMRC034

555869

8767951

1228

140

RC

-50

69.8

47.0

21.2m @ 1.02 % Cu

DZ

NAMRC034

555869

8767951

1228

140

RC

-50

69.8

100.0

2.2m @ 1.92 % Cu

DZ

NAMRC034

555869

8767951

1228

140

RC

-50

69.8

110.0

13.2m @ 0.51 % Cu

DZ

NAMRC034

555869

8767951

1228

140

RC

-50

69.8

131.0

2.9m @ 0.53 % Cu

DZ

NAMRC035

555938

8768022

1225

90

RC

-50

262.8

41.0

7.3m @ 1.57 % Cu

DZ

NAMRC035

555938

8768022

1225

90

RC

-50

262.8

76.0

10.2m @ 0.60 % Cu

DZ

NAMRC036

555919

8768020

1226

70

RC

-50

262.8

24.0

4.5m @ 0.85 % Cu

DZ

NAMRC036

555919

8768020

1226

70

RC

-50

262.8

35.0

11.3m @ 1.01 % Cu

DZ

NAMRC037

555893

8767955

1228

80

RC

-50

69.8

22.0

27.8m @ 0.77 % Cu

DZ

NAMRC038

555891

8768018

1227

60

RC

-50

262.8

49.0

3.6m @ 1.59 % Cu

DZ

NAMRC039

555928

8767968

1227

53

RC

-50

69.8

-

NSA

DZ

NAMRC040

555899

8767906

1230

86

RC

-50

71.8

32.0

5.8m @ 1.43 % Cu

DZ

NAMRC040

555899

8767906

1230

86

RC

-50

71.8

61.0

5.8m @ 2.42 % Cu

DZ

NAMRC041

555965

8767880

1229

90

RC

-50

249.8

44.0

7.4m @ 1.28 % Cu

DZ

NAMRC041

555965

8767880

1229

90

RC

-50

249.8

57.0

3.3m @ 1.24 % Cu

DZ

NAMRC041

555965

8767880

1229

90

RC

-50

249.8

68.0

3.3m @ 0.70 % Cu

DZ

NAMRC041

555965

8767880

1229

90

RC

-50

249.8

76.0

6.6m @ 0.97 % Cu

DZ

NAMRC042

555948

8767871

1231

64

RC

-50

249.8

23.0

6.6m @ 0.62 % Cu

DZ

NAMRC042

555948

8767871

1231

64

RC

-50

249.8

59.0

4.1m @ 1.25 % Cu

DZ

NAMRC043

555924

8767915

1230

65

RC

-50

71.8

21.0

5.8m @ 0.77 % Cu

DZ

NAMRC043

555924

8767915

1230

65

RC

-50

71.8

46.0

18.4m @ 1.60 % Cu

DZ

NAMRC044

555925

8767867

1232

35

RC

-50

249.8

-

NSA

DZ

NAMRC045

555950

8767925

1228

43

RC

-50

71.8

-

NSA

DZ

NAMRC046

555959

8767845

1228

54

RC

-45

251.8

44.0

7.9m @ 3.53 % Cu

DZ

NAMRC047

555962

8767821

1229

55

RC

-50

251.8

47.0

4.7m @ 2.50 % Cu

DZ

NAMRC048

555933

8767805

1233

30

RC

-50

251.8

-

NSA

DZ

NAMRC049

555933

8767787

1232

60

RC

-55

71.8

41.0

6.3m @ 1.13 % Cu

NAM

NAMRC050

557227

8767928

1259

55

RC

-55

122.8

-

NSA

NAM

NAMRC051

557254

8767969

1266

55

RC

-55

127.8

18.0

26.8m @ 2.20 % Cu

NAM

NAMRC052

557228

8767985

1260

70

RC

-55

127.8

19.0

21.8m @ 1.06 % Cu

NAM

NAMRC053

557271

8767990

1267

50

RC

-55

127.8

26.0

6.0m @ 1.36 % Cu

NAM

NAMRC054

557230

8768020

1257

75

RC

-55

127.8

34.0

14.0m @ 1.94 % Cu

NAM

NAMRC054

557230

8768020

1257

75

RC

-55

127.8

55.0

3.0m @ 0.67 % Cu

NAM

NAMRC055

557180

8767955

1252

72

RC

-55

122.8

48.0

20.1m @ 0.93 % Cu

NAM

NAMRC056

557155

8767973

1247

80

RC

-55

122.8

-

NSA

NAM

NAMRC057

557193

8767920

1253

45

RC

-55

122.8

-

NSA

NAM

NAMRC058

557169

8767936

1250

50

RC

-55

122.8

-

NSA

NAM

NAMRC059

557207

8768003

1253

80

RC

-55

127.8

24.0

23.8m @ 1.21 % Cu

NAM

NAMRC060

557185

8768006

1252

85

RC

-55

127.8

36.0

20.9m @ 1.58 % Cu

NAM

NAMRC060

557185

8768006

1252

85

RC

-55

127.8

63.0

3.0m @ 0.59 % Cu

NAM

NAMRC061

557294

8768013

1266

55

RC

-50

167.8

-

NSA

NAM

NAMRC062

557269

8768021

1263

62

RC

-55

127.8

-

NSA

NAM

NAMRC063

557244

8768040

1257

70

RC

-55

127.8

-

NSA

MMG First Quarter Production Report 2020

54

Prospect

Hole_ID

E

N

RL

EOH

Type

Dip

Azimuth

DH_From

Cu_Intercept_TT

NAM

NAMRC064

557220

8768060

1252

80

RC

-55

127.8

-

NSA

NAM

NAMRC065

557187

8768013

1252

85

RC

-55

127.8

51.0

9.9m @ 0.95 % Cu

Table 4: Complete tabulation of all cobalt results from the 2019 drilling campaign at the Nambulwa Project. All significant intercepts are reported based on a 0.2% Total Co lower cut-off at a minimum width of 3m with up to 3m internal dilution permitted. NSA = No Significant Assays (<0.2% Co or <3m drilled interval length).

Prospect

Hole_ID

E

N

RL

EOH

Type

Dip

Azimuth

DH_From

Co_intercept_TT

NAM

NAMRC014

557037

8768234

1242

55

RC

-50

42.8

23.0

6.5m @ 0.73 % Co

NAM

NAMRC014

557037

8768234

1242

55

RC

-50

42.8

36.0

7.3m @ 0.27 % Co

NAM

NAMRC015

557014

8768210

1241

120

RC

-50

42.8

64.0

12.1m @ 0.32 % Co

NAM

NAMRC016

556980

8768251

1241

65

RC

-50

42.8

40.0

5.8m @ 0.30 % Co

NAM

NAMRC016

556980

8768251

1241

65

RC

-50

42.8

54.0

7.9m @ 0.30 % Co

NAM

NAMRC017

556961

8768220

1239

110

RC

-50

42.8

-

NSA

NAM

NAMRC018

556949

8768284

1245

100

RC

-50

42.8

26.0

5.0m @ 0.31 % Co

NAM

NAMRC018

556949

8768284

1245

100

RC

-50

42.8

38.0

2.5m @ 0.29 % Co

NAM

NAMRC019

556928

8768263

1240

198

RC

-50

42.8

-

NSA

NAM

NAMRC020

556847

8768319

1242

80

RC

-50

42.8

48.0

6.4m @ 0.39 % Co

NAM

NAMRC021

556762

8768388

1236

140

RC

-50

42.8

-

NSA

NAM

NAMRC022

556879

8768359

1263

85

RC

-52

220.8

-

NSA

NAM

NAMRC023

556784

8768406

1243

65

RC

-50

42.8

30.0

5.2m @ 0.21 % Co

NAM

NAMRC024

557166

8767998

1249

75

RC

-65

122.8

-

NSA

NAM

NAMRC025

557204

8767943

1256

65

RC

-55

122.8

38.0

5.7m @ 0.33 % Co

NAM

NAMRC026

557207

8767972

1256

75

RC

-55

122.8

29.0

13.3m @ 0.28 % Co

DZ

NAMRC027

555909

8768067

1224

45

RC

-50

290.8

-

NSA

DZ

NAMRC028

555924

8768044

1225

65

RC

-50

262.8

14.0

4.4m @ 0.34 % Co

DZ

NAMRC029

555904

8768043

1226

48

RC

-50

262.8

18.0

10.7m @ 0.33 % Co

DZ

NAMRC030

555929

8768059

1225

57

RC

-50

290.8

24.0

10.8m @ 0.23 % Co

DZ

NAMRC031

555944

8768055

1224

70

RC

-50

290.8

39.0

2.5m @ 0.24 % Co

DZ

NAMRC032

555882

8768040

1226

40

RC

-51

261.8

6.0

32.0m @ 0.70 % Co

DZ

NAMRC033

555966

8768025

1224

110

RC

-50

262.8

-

NSA

DZ

NAMRC034

555869

8767951

1228

140

RC

-50

69.8

61.0

3.7m @ 0.34 % Co

DZ

NAMRC034

555869

8767951

1228

140

RC

-50

69.8

70.0

3.7m @ 0.34 % Co

DZ

NAMRC035

555938

8768022

1225

90

RC

-50

262.8

-

NSA

DZ

NAMRC036

555919

8768020

1226

70

RC

-50

262.8

20.0

7.5m @ 0.25 % Co

DZ

NAMRC036

555919

8768020

1226

70

RC

-50

262.8

35.0

11.3m @ 0.22 % Co

DZ

NAMRC037

555893

8767955

1228

80

RC

-50

69.8

26.0

13.2m @ 0.37 % Co

DZ

NAMRC038

555891

8768018

1227

60

RC

-50

262.8

-

NSA

DZ

NAMRC039

555928

8767968

1227

53

RC

-50

69.8

7.0

4.5m @ 0.27 % Co

DZ

NAMRC040

555899

8767906

1230

86

RC

-50

71.8

32.0

8.7m @ 0.39 % Co

DZ

NAMRC041

555965

8767880

1229

90

RC

-50

249.8

44.0

4.1m @ 0.51 % Co

DZ

NAMRC041

555965

8767880

1229

90

RC

-50

249.8

58.0

5.7m @ 0.25 % Co

DZ

NAMRC042

555948

8767871

1231

64

RC

-50

249.8

19.0

3.3m @ 0.33 % Co

DZ

NAMRC042

555948

8767871

1231

64

RC

-50

249.8

29.0

14.7m @ 0.25 % Co

DZ

NAMRC043

555924

8767915

1230

65

RC

-50

71.8

9.0

7.7m @ 0.37 % Co

DZ

NAMRC044

555925

8767867

1232

35

RC

-50

249.8

3.0

2.0m @ 0.34 % Co

DZ

NAMRC045

555950

8767925

1228

43

RC

-50

71.8

7.0

10.6m @ 0.25 % Co

DZ

NAMRC046

555959

8767845

1228

54

RC

-45

251.8

16.0

9.5m @ 0.26 % Co

DZ

NAMRC046

555959

8767845

1228

54

RC

-45

251.8

44.0

5.5m @ 0.42 % Co

DZ

NAMRC047

555962

8767821

1229

55

RC

-50

251.8

24.0

8.7m @ 0.22 % Co

DZ

NAMRC048

555933

8767805

1233

30

RC

-50

251.8

-

NSA

DZ

NAMRC049

555933

8767787

1232

60

RC

-55

71.8

22.0

9.0m @ 0.37 % Co

NAM

NAMRC050

557227

8767928

1259

55

RC

-55

122.8

37.0

10.0m @ 0.29 % Co

NAM

NAMRC051

557254

8767969

1266

55

RC

-55

127.8

32.0

4.0m @ 0.27 % Co

NAM

NAMRC052

557228

8767985

1260

70

RC

-55

127.8

-

NSA

NAM

NAMRC053

557271

8767990

1267

50

RC

-55

127.8

31.0

5.0m @ 0.30 % Co

NAM

NAMRC053

557271

8767990

1267

50

RC

-55

127.8

42.0

4.0m @ 0.30 % Co

NAM

NAMRC054

557230

8768020

1257

75

RC

-55

127.8

42.0

4.0m @ 0.34 % Co

MMG First Quarter Production Report 2020

55

Prospect

Hole_ID

E

N

RL

EOH

Type

Dip

Azimuth

DH_From

Co_intercept_TT

NAM

NAMRC055

557180

8767955

1252

72

RC

-55

122.8

48.0

8.6m @ 0.29 % Co

NAM

NAMRC056

557155

8767973

1247

80

RC

-55

122.8

-

NSA

NAM

NAMRC057

557193

8767920

1253

45

RC

-55

122.8

-

NSA

NAM

NAMRC058

557169

8767936

1250

50

RC

-55

122.8

-

NSA

NAM

NAMRC059

557207

8768003

1253

80

RC

-55

127.8

-

NSA

NAM

NAMRC060

557185

8768006

1252

85

RC

-55

127.8

45.0

4.0m @ 0.26 % Co

NAM

NAMRC060

557185

8768006

1252

85

RC

-55

127.8

54.0

3.0m @ 0.28 % Co

NAM

NAMRC061

557294

8768013

1266

55

RC

-50

167.8

34.0

6.0m @ 0.28 % Co

NAM

NAMRC062

557269

8768021

1263

62

RC

-55

127.8

-

NSA

NAM

NAMRC063

557244

8768040

1257

70

RC

-55

127.8

-

NSA

NAM

NAMRC064

557220

8768060

1252

80

RC

-55

127.8

-

NSA

NAM

NAMRC065

557187

8768013

1252

85

RC

-55

127.8

-

NSA

MMG First Quarter Production Report 2020

56

Statement of Compliance with JORC Code Reporting Criteria and Consent to Release

This report has been compiled in accordance with the guidelines defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves ("2012 JORC Code").

Competent Person Statement

I, Marcus Tomkinson, confirm that I am the Competent Person for the Exploration Results section of this Report and:

  • I have read and understood the requirements of the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code, 2012 Edition).
  • I am a Competent Person as defined by the JORC Code, 2012 Edition, having five years' experience that is relevant to the style of mineralisation and type of deposit described in the Report, and to the activity for which I am accepting responsibility.
  • I am a Member of The Australasian Institute of Mining and Metallurgy
  • I have reviewed the relevant Exploration results sections of this Report to which this Consent Statement applies.

I am a full time employee of MMG Ltd. at the time of the estimation.

I have disclosed to the reporting company the full nature of the relationship between myself and the company, including any issue that could be perceived by investors as a conflict of interest.

I verify that the Exploration Results sections of this Report is based on and fairly and accurately reflects in the form and context in which it appears, the information in my supporting documentation relating to the Exploration Results.

Competent Person Consent

Pursuant to the requirements Clause 9 of the JORC Code 2012 Edition (Written Consent Statement)

With respect to the sections of this report for which I am responsible -I consent to the release of the Exploration results as presented in this report:

23 April 2020

Name and Member Number

Marcus Tomkinson

City of Residence

AUSIMM Member 206648

Melbourne

Signature of Witness:

Witness Name and Residence: (e.g. town/suburb)

Blake Ericksen, Melbourne

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MMG Ltd. published this content on 23 April 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 23 April 2020 12:47:05 UTC