MMG : MINERAL RESOURCES AND ORE RESERVES STATEMENT AS AT 30 JUNE 2019

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)

(HKEX STOCK CODE: 1208)

(ASX STOCK CODE: MMG)

MINERAL RESOURCES AND ORE RESERVES STATEMENT AS AT 30 JUNE 2019

This announcement is made by MMG Limited (Company or MMG and, together with its subsidiaries, the Group) pursuant to rule 13.09(2) of the Rules Governing the Listing of Securities on 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 of the Company (Board) is pleased to report the Group's updated Mineral Resources and Ore Reserves Statement as at 30 June 2019 (Mineral Resources and Ore Reserves Statement).

The key changes to Mineral Resources and Ore Reserves Statement as at 30 June 2019 are:

• The Group's Mineral Resources (contained metal) have increased for zinc (4%) and decreased for copper (1%), lead (6%), silver (7%), gold (6%) and molybdenum (8%).
• The Group's Ore Reserves (contained metal) have increased for molybdenum (2%) and decreased for copper (7%), zinc (15%), lead (23%), silver (13%) and gold (9%).
• Cobalt has been reported for the first time in Mineral Resources and now includes 48kt cobalt from Kinsevere and 4kt from the regional deposits.

For copper metal, the main reasons for the changes are depletion, cost increases and pit design at Kinsevere which were partially offset by increased metal price. For zinc metal, the main reasons for the changes are depletion at all sites and changes in the mine design at Dugald River deposit.

All data reported here are on a 100% asset basis, with MMG's attributable interest shown against each asset within the Mineral Resources and Ore Reserves tables (pages 4 to 7).

MMG Limited

MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

MINERAL RESOURCES AND ORE RESERVES STATEMENT

A copy of the executive summary of the Mineral Resources and Ore Reserves Statement is annexed to this announcement.

The information referred to in this announcement has been extracted from the report titled Mineral Resources and Ore Reserves Statement as at 30 June 2019 published on 22 October 2019 and is available to view on www.mmg.com. The Company confirms that it is not aware of any new information or data that materially affects the information included in the Mineral Resources and Ore Reserves Statement and, in the case of estimates of Mineral Resources or Ore Reserves, that all material assumptions and technical parameters underpinning the estimates in the Mineral Resources and Ore Reserves Statement continue to apply and have not materially

changed. The Company confirms that the form and context in which the Competent Person's findings are

presented have not been materially modified from the Mineral Resources and Ore Reserves Statement.

By order of the Board

MMG Limited

Gao Xiaoyu

CEO and Executive Director

Hong Kong, 22 October 2019

As at the date of this announcement, the Board comprises nine directors, of which two are executive directors, namely Mr Gao Xiaoyu and Mr Xu Jiqing; three are non-executive directors, namely Mr Guo Wenqing (Chairman), Mr Jiao Jian and Mr Zhang Shuqiang; and four are independent non-executive directors, namely Dr Peter William Cassidy, Mr Leung Cheuk Yan, Ms Jennifer Anne Seabrook and Professor Pei Ker Wei.

MMG | 2019 Mineral Resources & Ore Reserves Statement

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MMG Limited

MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

EXECUTIVE SUMMARY

Mineral Resources and Ore Reserves for MMG have been estimated as at 30 June 2019 and are reported in accordance with the guidelines in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (2012 JORC Code) and Chapter 18 of the Listing Rules. Mineral Resources and Ore Reserves tables are provided on pages 4 to 7, which include the 30 June 2019 and 30 June 2018 estimates for comparison. The Measured and Indicated Mineral Resources are inclusive of those Mineral Resources that convert to Ore Reserves. All supporting data are provided within the Technical Appendix, available on the MMG website.

Mineral Resources and Ore Reserves information in this statement has been compiled by Competent Persons (as defined by the 2012 JORC Code). Each Competent Person consents to the inclusion of the information in this report that they have provided in the form and context in which it appears. Competent Persons are listed on page 8.

MMG has established processes and structures for the governance of Mineral Resources and Ore Reserves estimation and reporting. MMG has a Mineral Resources and Ore Reserves Committee that regularly convenes to assist the MMG Governance and Nomination Committee and the Board of Directors with respect to the reporting practices of the Company in relation to Mineral Resources and Ore Reserves, and the quality and integrity of these reports of the Group.

Key changes to the Mineral Resources (contained metal) since the 30 June 2018 estimate have been mostly related to depletion1 at all sites together with increased costs and changes to pit design at Kinsevere. An increase in metal price assumptions and decreases in cut-off grades (except Kinsevere) have partially offset these depletions. In the DRC, Mineral Resources have been declared for copper and cobalt at three new satellite oxide deposits. At Dugald River, a net increase has resulted from Mineral Resource extension in the hangingwall and footwall lenses which has replaced 2018 depletion.

Key changes to the Ore Reserves (contained metal) since the 30 June 2018 estimate have been mostly related to depletion. Ore loss and dilution greater than planned have been offset by gains from higher metal price assumptions. Decreases at Kinsevere are related to unplanned ore loss and dilution as well as to geotechnical challenges which have resulted in increased cut off grades and pit design changes. At Dugald River, changes to pillar design and mining sequence have resulted in lower Ore Reserves.

Las Bambas has been operating for 36 months since commercial production was declared on 1 July 2016. During this time the mine has experienced both positive and negative reconciliation factors compared to the Ore Reserve. Ore loss factors by material type have been increased for the 2019 Las Bambas Ore Reserve estimates (10% for mixed ores and 3%-5% for primary ore depending on the pit phase).

Pages 9 and 10 provide further discussion of the Mineral Resources and Ore Reserves changes.

1 Depletion in this report refers to material processed by the mill and depleted from the Mineral Resources and Ore Reserves through mining.

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MMG Limited

MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

MINERAL RESOURCES1

All data reported here is on a 100% asset basis, with MMG's attributable interest shown against each asset within brackets.

				2019												2018
Deposit	Tonnes	Cu	Zn	Pb	Ag	Au	Mo	Co		Tonnes		Cu		Zn		Pb		Ag		Au		Mo		Co
(Mt)	(%)	(%)	(%)	(g/t)	(g/t)	(ppm)	(%)		(Mt)		(%)		(%)		(%)		(g/t)		(g/t)		(ppm)		(%)
Las Bambas (62.5%)
Ferrobamba Oxide
Copper
Indicated	2.1	1.7								3.0		1.7
Inferred	1.3	1.8								1.1		1.9
Total	3.4	1.7								4.1		1.7
Ferrobamba Primary
Copper
Measured	553	0.56			2.4	0.05	202			546		0.60						2.7		0.05		1099
Indicated	465	0.58			2.5	0.05	166			426		0.61						3.0		0.05		890
Inferred	239	0.61			1.3	0.03	79			254		0.63						3.0		0.05		493
Total	1,257	0.57			2.2	0.04	166			1,226		0.61						2.9		0.05		2483
Ferrobamba										1,230
Total	1,261
Chalcobamba Oxide
Copper
Indicated	6.5	1.4								6.1		1.5
Inferred	0.5	1.5								0.7		1.5
Total	7.0	1.4								6.8		1.5
Chalcobamba Primary
Copper
Measured	113	0.44			1.4	0.02	75			75		0.44						1.4		0.02		189
Indicated	174	0.63			2.4	0.03	179			179		0.67						2.5		0.03		353
Inferred	38	0.51			1.8	0.02	33			33		0.54						1.9		0.03		70
Total	325	0.55			2.0	0.02	287			287		0.60						2.2		0.03		612
Chalcobamba
Total	332									293
Sulfobamba Primary
Copper
Indicated	98	0.61			4.3	0.02	89			89		0.65						4.6		0.02		187
Inferred	133	0.50			5.2	0.02	106			106		0.56						6.3		0.02		238
Total	230	0.55			4.8	0.02	194			194		0.60						5.5		0.02		425
Sulfobamba
Total	230									194
Oxide
Copper
Stockpile
Indicated	11.4	1.2								9.9		1.2
Total	11.4	1.2								9.9		1.2
Sulphide Stockpile
Measured	9.0	0.46								2.3		0.41
Total	9.0	0.46								2.3		0.41
Las Bambas
Total	1,844									1,730

1 S.I. units used for metals of value; Cu=copper, Zn=zinc, Pb=lead, Ag=silver, Au=gold, Mo=molybdenum, Co=cobalt.

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MMG Limited

MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

MINERAL RESOURCES - DRC1

					2019												2018
Deposit	Tonnes	Cu	Zn	Pb	Ag	Au	Mo	Co		Tonnes		Cu		Zn		Pb		Ag		Au		Mo		Co
	(Mt)	(%)	(%)	(%)	(g/t)	(g/t)	(ppm)	(%)		(Mt)		(%)		(%)		(%)		(g/t)		(g/t)		(ppm)		(%)
Kinsevere (100%)
Oxide Copper
Measured		1.4	4.2						0.17		2.0		4.3
Indicated		7.2	3.3						0.08		9.7		3.1
Inferred		0.9	2.4						0.09		1.8		2.4
Total		9.5	3.3						0.10		13.6		3.2
Transition Mixed Copper Ore
Measured		0.5	2.5						0.21		1.3		2.9
Indicated		2.0	2.0						0.14		3.4		2.0
Inferred		0.3	1.9						0.09		0.4		1.9
Total		2.8	2.1						0.15		5.2		2.3
Primary Copper
Measured		1.2	2.8						0.28		6.1		2.7
Indicated		19.5	2.3						0.13		15.8		2.1
Inferred		2.4	1.9						0.12		2.0		1.7
Total		23.2	2.3						0.14		24.0		2.2
Oxide-TMO Cobalt
Measured		0.03							0.61
Indicated		0.3							0.59
Inferred		0.1							0.56
Total		0.4							0.58
Primary Cobalt
Measured		0.01							0.33
Indicated		0.2							0.31
Inferred		0.1							0.29
Total		0.3							0.30
Stockpiles
Measured
Indicated		12.9	1.8								10.2		2.2
Total		12.9	1.8								10.2		2.2
Kinsevere
Total		49.2									52.9
Sokoroshe II (100%)
Oxide Copper
Measured
Indicated		0.8	3.5						0.28
Inferred		0.1	1.9						0.11
Total		0.9	3.3						0.26
Nambulwa (100%)
Oxide Copper
Measured
Indicated
Inferred		0.9	2.3						0.11
Total		0.9	2.3						0.11
DZ (100%)
Oxide Copper
Measured
Indicated
Inferred		0.5	1.9						0.16
Total		0.5	1.9						0.16

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MMG Limited

MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

MINERAL RESOURCES1

				2019												2018
Deposit	Tonnes	Cu	Zn	Pb	Ag	Au	Mo	Co		Tonnes		Cu		Zn		Pb		Ag		Au		Mo			Co
(Mt)	(%)	(%)	(%)	(g/t)	(g/t)	(ppm)	(%)		(Mt)		(%)		(%)		(%)		(g/t)		(g/t)		(ppm)			(%)
Dugald River (100%)
Primary Zinc
Measured	12.9		13.1	2.3	69					8.9				12.9		2.3		72
Indicated	20.9		12.3	1.6	23					24.3				12.6		2.0		30
Inferred	25.5		11.7	1.2	7					23.5				12.1		1.5		8
Total	59.3		12.2	1.6	26					56.7				12.4		1.8		27
Primary
Copper
Inferred	8.7	1.6				0.2				6.6		1.5								0.2
Total	8.7	1.6				0.2				6.6		1.5								0.2
Dugald										63.3
River Total	68.0
Rosebery (100%)
Primary Sulphides
Measured	6.1	0.20	8.3	2.9	109	1.3				6.4		0.21		8.6		2.9		113		1.3
Indicated	3.1	0.18	7.0	2.4	92	1.3				5.6		0.23		7.6		2.4		91		1.2
Inferred	7.3	0.33	8.9	3.1	100	1.5				6.0		0.28		7.4		2.8		89		1.4
Total	16.6	0.26	8.3	2.9	102	1.4				18.1		0.24		7.9		2.7		98		1.3
Rosebery										18.1
Total	16.6
High Lake
(100%)
Measured
Indicated	7.9	3.0	3.5	0.3	83	1.3				7.9		3.0		3.5		0.3		83		1.3
Inferred	6.0	1.8	4.3	0.4	84	1.3				6.0		1.8		4.3		0.4		84		1.3
Total	14.0	2.5	3.8	0.4	84	1.3				14.0		2.5		3.8		0.4		84		1.3
Izok Lake
(100%)
Measured
Indicated	13.5	2.4	13	1.4	73	0.18				13.5		2.4		13.3		1.4		73		0.18
Inferred	1.2	1.5	11	1.3	73	0.21				1.2		1.5		10.5		1.3		73		0.21
Total	14.6	2.3	13	1.4	73	0.18				14.6		2.3		13.1		1.4		73		0.18

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MMG Limited

MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

ORE RESERVES1

All data reported here is on a 100% asset basis, with MMG's attributable interest shown against each asset within brackets.

Reserves

				2019										2018
Deposit	Tonnes	Cu	Zn	Pb	Ag	Au	Mo		Tonnes		Cu		Zn		Pb		Ag		Au		Mo
(Mt)	(%)	(%)	(%)	(g/t)	(g/t)	(ppm)		(Mt)		(%)		(%)		(%)		(g/t)		(g/t)		(ppm)
Las Bambas (62.5%)
Ferrobamba Primary Copper
Proved	487	0.59			2.5	0.05	205		504		0.62						3		0.05		197
Probable	295	0.65			2.9	0.06	172		287		0.68						4		0.07		179
Total	783	0.61			2.7	0.05	192		791		0.64						3		0.06		191
Chalcobamba Primary Copper
Proved	73	0.52			1.7	0.02	161		56		0.54						1.8		0.02		144
Probable	122	0.71			2.7	0.03	128		139		0.72						2.7		0.03		135
Total	195	0.64			2.4	0.03	141		195		0.67						2.5		0.03		137
Sulfobamba Primary Copper
Proved
Probable	69	0.73			5.2	0.03	164		59		0.81						5.9		0.03		161
Total	69	0.73			5.2	0.03	164		59		0.81						5.9		0.03		161
Primary Copper Stockpiles
Proved	9.0	0.46			2.3		151		2.30		0.41						1.7				158
Total	9.0	0.46			2.3		151		2.30		0.41						1.7				158
Las Bambas Total	1,056								1,048
Kinsevere (100%)
Oxide Copper
Proved	1.0	4.2							1.9		4.4
Probable	4.3	3.2							6.1		3.7
Total	5.3	3.4							8.0		3.8
Stockpiles
Proved
Probable	6.6	1.9							7.7		2.3
Total	6.6	1.9							7.7		2.3
Kinsevere Total	11.9								15.7
Dugald River (100%)
Primary Zinc
Proved	11.8		10.9	2.0	57				6.9				11.5		2.1		65
Probable	14.1		11.1	1.5	18				21.7				11.7		2.0		30
Total	25.9		11.0	1.7	36				28.6				11.7		2.0		38
Dugald River									28.6
Total	25.9
Rosebery (100%)
Proved	3.6	0.20	7.4	2.7	107	1.3			3.7		0.21		8.3		3.0		114		1.4
Probable	1.1	0.20	6.9	2.5	95	1.3			1.7		0.19		7.3		2.9		113		1.4
Total	4.7	0.20	7.3	2.7	104	1.3			5.4		0.21		8.0		3.0		114		1.4
Rosebery Total	4.7								5.4

1 S.I. units used for metals of value; Cu=copper, Zn=zinc, Pb=lead, Ag=silver, Au=gold, Mo=molybdenum.

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MMG Limited

MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

COMPETENT PERSONS

		Table 1 - Competent Persons for Mineral Resources, Ore Reserves and Corporate
		Deposit		Accountability	Competent Person	Professional	Employer
			Membership
		MMG Mineral Resources and Ore		Mineral Resources	Rex Berthelsen1	HonFAusIMM(CP)	MMG
		Reserves Committee
		MMG Mineral Resources and Ore		Ore Reserves	Neil Colbourne1	MAusIMM	MMG
		Reserves Committee
		MMG Mineral Resources and Ore		Metallurgy: Mineral Resources / Ore	Geoffrey Senior1	MAusIMM	MMG
		Reserves Committee		Reserves
					Rex Berthelsen4
		Las Bambas		Mineral Resources	HonFAusIMM(CP)	MMG
					Yao Wu1
		Las Bambas		Ore Reserves	MAusIMM(CP)	MMG
				Metallurgy: Mineral Resources / Ore	Amy Lamb1
		Las Bambas		MAusIMM(CP)	MMG
			Reserves
					Douglas Corley1
		Kinsevere		Mineral Resources	MAIG R.P.Geo.	MMG
		Kinsevere		Ore Reserves	Dean Basile	MAusIMM(CP)	MMG
				Metallurgy: Mineral Resources / Ore	Nigel Thiel1
		Kinsevere		MAusIMM(CP)	MMG
			Reserves
					Douglas Corley1
		Rosebery		Mineral Resources	MAusIMM(CP)	MMG
					Karel Steyn1
		Rosebery		Ore Reserves	MAusIMM	MMG
				Metallurgy: Mineral Resources / Ore
		Rosebery		Kevin Rees	MAusIMM(CP)	MMG
			Reserves
					Douglas Corley1
		Dugald River		Mineral Resources	MAIG R.P.Geo.	MMG
					Karel Steyn1
		Dugald River		Ore Reserves	MAusIMM	MMG
				Metallurgy: Mineral Resources / Ore	Nigel Thiel1
		Dugald River		MAusIMM(CP)	MMG
			Reserves
					Allan Armitage2
		High Lake, Izok Lake		Mineral Resources	MAPEG (P.Geo)	Formerly MMG

The information in this report that relates to Mineral Resources and Ore Reserves is based on information compiled by the listed Competent Persons, who are Members or Fellows of the Australasian Institute of Mining and Metallurgy (AusIMM), the Australian Institute of Geoscientists (AIG) or a Recognised Professional Organisation (RPO) and have sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which they are undertaking to qualify as Competent Persons as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Each of the Competent Persons has given consent to the inclusion in the report of the matters based on their information in the form and context in which it appears.

1. Participants in the MMG Long-Term Incentive Plans which may include Mineral Resources and Ore Reserves growth as a performance condition
2. Member of the Association of Professional Engineers and Geoscientists of British Columbia

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MMG Limited

MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

SUMMARY OF SIGNIFICANT CHANGES

MINERAL RESOURCES

Mineral Resources as at 30 June 2019 have changed since the 30 June 2018 estimate for a number of reasons with the most significant changes outlined in this section.

Increases:

• increases to the Mineral Resources (contained metal) for zinc (3%) at Dugald River are due to continued drilling, resulting in additions in the hangingwall and footwall lenses;
• additional copper Mineral Resources (60kt) have been added from MMG's DRC tenements from the deposits of Sokoroshe II, Nambulwa and DZ. Cobalt has been reported for the first time and now includes 48kt cobalt from Kinsevere and 4kt from the regional deposits.

Decreases:

The decreases in Mineral Resources (contained metal) are due to:

• depletion at all producing operations;
• reduction in tonnage at Kinsevere Hill South Inferred Resource after drilling;
• overall reduction in Kinsevere due to a small increase to cut-off grade and changes to pit design parameters resulting from geotechnical assumptions.

MMG | 2019 Mineral Resources & Ore Reserves Statement

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MMG Limited

MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

ORE RESERVES

Ore Reserves as at 30 June 2019 (contained metal) have decreased for copper (7%), zinc (15%), lead (23%), silver (13%), gold (9%) and increased for molybdenum (2%).

Variations to Ore Reserves (contained metal) on an individual site basis are discussed below:

Increases:

• a net increase in Ore Reserves for molybdenum at Las Bambas due to increased metal price assumptions.

Decreases:

A net reduction in Ore Reserves (metal) for copper, zinc, lead, silver and gold due to:

• depletion at all producing operations;
• a further reduction at Las Bambas due to increase in ore loss assumption;
• a further reduction at Kinsevere due to changes in ore loss assumption, pit design from changed geotechnical assumptions and reductions in uneconomic stockpiles. Increase in copper price assumption did not offset the above;
• a further reduction at Dugald River due to changed pillar design and mining sequence;
• at Rosebery, metal price increases had negligible impact on the overall outcome compared to depletion.

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MMG Limited

MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

KEY ASSUMPTIONS

PRICES AND EXCHANGE RATES

The following price and foreign exchange assumptions, set according to the relevant MMG Standard as at January 2019, have been applied to all Mineral Resources and Ore Reserves estimates. Price assumptions for all metals have changed from the 2018 Mineral Resources and Ore Reserves statement.

Table 2 : 2019 Price (real) and foreign exchange assumptions

	Ore Reserves	Mineral Resources
Cu (US$/lb)	3.18	3.64
Zn (US$/lb)	1.22	1.46
Pb (US$/lb)	0.90	1.08
Au US$/oz	1252	1461
Ag US$/oz	16.66	19.19
Mo (US$/lb)	8.58	9.81
Co (US$/lb)	23.23	30.19
USD:CAD	1.30
AUD:USD	0.78	As per Ore Reserves
USD:PEN	3.20

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MMG Limited

MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

CUT-OFF GRADES

Mineral Resources and Ore Reserves cut-off values are shown in Table 3 and Table 4 respectively.

Table 3 : Mineral Resources cut-off grades

			Likely
Site		Mineralisation	Mining	Cut-Off Value	Comments
			Method1
		Oxide Copper	OP	1% Cu	Cut-off is applied as a range that varies for each deposit
Las Bambas						and mineralised rock type at Las Bambas. In-situ copper
	Primary Copper	OP	0.14 - 0.22% Cu	Mineral Resources constrained within US$3.64/lb Cu pit
						shell.
		Oxide Copper & Stockpiles	OP	0.6%	CuAS2	In-situ copper Mineral Resources constrained within a
		Transition Mixed Copper	OP	0.7%	Cu3
		US$3.64/lb Cu pit shell.
		Primary Copper	OP	0.8%	Cu3
Kinsevere						In-situ cobalt Mineral Resources constrained within a
	Oxide TMO Cobalt	OP	0.4%	Co7	US$3.64/lb Cu pit shell, but exclusive of copper
						mineralisation.
						In-situ cobalt Mineral Resources constrained within a
		Primary Cobalt	OP	0.2%	Co7	US$3.64/lb Cu pit shell, but exclusive of copper
						mineralisation.
Sokoroshe II		Oxide Copper	OP	1.1%	CuAS2	In-situ copper Mineral Resources constrained within a
	US$3.64/lb Cu pit shell.
Nambulwa	/	Oxide Copper	OP	0.9% CuAS2	In-situ copper Mineral Resources constrained within a
DZ		US$3.64/lb Cu pit shell.
Rosebery		Rosebery (Zn, Cu, Pb, Au, Ag)	UG	A$165/t NSR4	Remnant upper mine areas A$165/t NSR4
Dugald River		Primary Zinc (Zn, Pb, Ag)	UG	A$138/t NSR4
	Primary Copper	UG	1% Cu
						CuEq5 = Cu + (Zn×0.30) + (Pb×0.33) + (Au×0.56) +
High Lake		Cu, Zn, Pb, Ag, Au	OP	2.0%	CuEq5	(Ag×0.01): based on Long-Term prices and metal
	recoveries at Au:75%, Ag:83%, Cu:89%, Pb:81% and
						Zn:93%.
						CuEq5 = Cu + (Zn×0.30) + (Pb×0.33) + (Au×0.56) +
			UG	4.0%	CuEq5	(Ag×0.01): based on Long-Term prices and metal
High Lake		Cu, Zn, Pb, Ag, Au				recoveries at Au:75%, Ag:83%, Cu:89%, Pb:81% and
				Zn:93%.
Izok Lake		Cu, Zn, Pb, Ag, Au
				ZnEq6 = Zn + (Cu×3.31) + (Pb×1.09) + (Au×1.87) +
			OP	4.0%	ZnEq6
			(Ag×0.033); prices and metal recoveries as per High
						Lake.

1. OP = Open Pit, UG = Underground
2. CuAS = Acid Soluble Copper
3. Cu = Total Copper
4. NSR = Net Smelter Return
5. CuEq = Copper Equivalent
6. ZnEq = Zinc Equivalent
7. Co = Total Cobalt

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MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

Table 4 : Ore Reserves cut-off grades

Site	Mineralisation	Mining	Cut-Off Value	Comments
		Method
	Primary Copper Ferrobamba		0.17 - 0.21 %Cu	Range based on rock type recovery.
Las Bambas	Primary Copper Chalcobamba	OP	0.20 - 0.25 %Cu
	Primary Copper Sulfobamba		0.22 - 0.27 %Cu
				Approximate cut-off grades shown in
		OP	1.3% CuAS1	this table for ex-pit material. Variable
Kinsevere	Copper Oxide	cut-off grade based on net value
				script.
		OP	1.0% CuAS12	For existing stockpiles reclaim.
Rosebery	(Zn, Cu, Pb, Au, Ag)	UG	A$165/t NSR2
Dugald	Primary Zinc	UG	A$138/t NSR13
River

1. CuAS = Acid Soluble Copper
2. NSR = Net Smelter Return

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MINERAL RESOURCES AND ORE RESERVES STATEMENT 30 June 2019

PROCESSING RECOVERIES

Average processing recoveries are shown in Table 5 More detailed processing recovery relationships are provided in the Technical Appendix.

Table 5: Processing Recoveries

							Concentrate
Site	Product		Recovery			Moisture
					Assumptions
		Copper	Zinc	Lead	Silver	Gold Mo
Las Bambas	Copper Concentrate	86%	-	-	75%	71%	10%
Molybdenum Concentrate					55%	5%
	Zinc Concentrate		84%	6%	9%	7%	8%
Rosebery	Lead Concentrate		8%	80%	41%	14%	7%
Copper Concentrate	57%			41%	37%	8%
	Doré1 (gold and silver)				0.2%	28%
Dugald River	Zinc Concentrate	−	87%		35%	−	10%
Lead Concentrate	−		64%	37%	−	10%
Kinsevere	Copper Cathode	76%	−	−	−	−	−
(96% CuAS2)

The Technical Appendix published on the MMG website contains additional Mineral Resources and Ore Reserves information (including the Table 1 disclosure).

1. Silver in Rosebery doré is calculated as a constant ratio to gold in the doré. Silver is set to 0.17 against gold being 20.7
2. CuAS = Acid Soluble Copper

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