”Pampalo – Sustainable and Profitable August 27, 2010 Gold Mining” Stockholm, August 31, 2010

Pampalo project in brief Pampalo plant is centrally located allowing efficient transportation of ore from other Karelian Gold Line deposits All permits for Pampalo Gold Mine granted Production process has low impact on environment – no cyanide Financing secured – construction on budget and schedule Training programmes on-going All necessary personnel recruited for the construction phase and for running the mine 70 employees in total by the end of 2010 Test production Q4/2010 and full scale Q1/2011 Tailings Storage Facility

Processsing plant

Crusher area and ROM-pad

Ore and waste dumps

Mine warehouse Open pit

2

Ventilation station

27-Aug-10

The Group Transformation from exploration to gold mining Ilmenite deposits Summary and plans for future

Endomines Group in brief Mining company, listed on OMX Stockholm First North Premiere List from 2007 Current focus: commence production at Pampalo Gold Mine 2011 Test production scheduled at Pampalo Gold Mine in Q4 2010, full-scale production in Q1/2011 Targeting 1000kg/a gold production from Q1/2011 Currently known reserves secures production for 6–7 years History of high quality and focused exploration

Finland

Porkonen

Kivimaa Gold deposits Industrial mineral deposits

Ilmenite

Calcite

Pampalo Karelian Gold Line

Helsinki

Ilmenite deposit in Ostrobotnia

Endomines AB (publ.)

4

Endomines Oy

Kalvinit Oy

Gold deposits

Ilmenite deposits 27-Aug-10

Sustainable and profitable Gold Mining Mission To build and operate the Pampalo Gold Mine and other gold deposits along the Karelian Gold Line with long-term good profitability To explore and develop other ore and industrial mineral deposits in the Nordic countries Strategy To control the 40 km long Karelian Gold Line greenstone belt To utilise the centrally located Pampalo concentrator for processing ores from the Karelian Gold Line To use modern and environmentally sustainable technology To increase ore reserves by continuous exploration and strategic acquisitions and alliances Financial objectives To operate with a positive cash-flow from 2011

5

27-Aug-10

Karelian Gold Line 40 km of gold mineralization with excellent potential A total of 23 gold showings

Hosko Kuivisto East

5 with reserves (Pampalo + Pampalo East, Hosko, Muurinsuo, Rämepuro) 2 mining concessions granted 2 with resources (Kuivisto, Kuittila)

Endomines is the sole owner of mineral rights along the Karelian Gold Line Pampalo the first deposit to be mined Additional exploration potential in strike and depth

6

Pampalo

Rämepuro

Muurinsuo Kuittila

27-Aug-10

Australian Southern Cross greenstone belt compared to Ilomantsi greenstone belt Ilomantsi (Karelian Gold line)

Southern Cross

Ilomantsi vs. Southern Cross greenstone belt Gold exploration and production summary Indicators 20 km

Tail or trunk??

Belt length Belt width Claims coverage Gold exploration since Gold produced total Gold produced in 2008 Known reserves & resources

Units

Ilomantsi

km km % year oz oz oz

90 0.5–10 10,000,000 157,147 >2,000,000

Data compiled by GSF / Dr P Eilu

7

27-Aug-10

Board of Directors – strong and multidisciplinary team Karl-Axel Waplan, Chairman

Since 2008. M.Sc. in Mechanical Engineering. CEO of Northland Resources Inc., Canada. Previously CEO of Lundin Mining. Chairman of Radkin, Raw Material Fund and Raw Material Group AB, Sweden. Member of the Board of Union Resources Ltd, Australia. Previously held position as VP of Sales and Marketing at Boliden. Shareholding: 240,000 shares; 20,000 warrants

Lisbeth Godin Jonasson

Tuomo Mäkelä

Since 2009. Geologist. 25 years of experience from mining industry including Chief Geologist Viscaria Mine, Kiruna. Regional Manager at The Confederation of Swedish Enterprise in Östersund. Shareholding: –

Since 2006. M.Sc. in Geology. CEO Outokumpu Mining Oy, Chairman and CEO of Escanor Oy. CEO Saga Mining Oy, Board Member Northland Resources Inc and Talvivaara Sotkamo Oy. Earlier assignments including different management positions of Outokumpu Oy. Shareholding: –

Carina Hellemaa

Lars-Göran Ohlsson

Since 2009. Independent financial adviser. Director,Crisis Management Initiative, 2008-2009.Head of Corporate Finance, Finland, Svenska Handelsbanken, 2004-2007, Exec. Director, UBS, London, 1989-1992/1997-2004. IBJ,1992-1996. M.A. International Relations,Fletcher School of Law and Diplomacy,Tufts University,USA, 2008. Shareholding: -

Timo Lindborg

Since 2006. M.Sc. in Mining. Board member of Dannemora Mineral AB and Geomanagement AB. Earlier assignments include CEO of Riddarhyttan Resources AB, LKAB Prospektering AB and other management positions within the industry. Qualified Person by SveMin. Shareholding: –

Rauno Pitkänen

Since 2006. Founder and CEO of Endomines Oy/AB 1996–2009. Dr. in Industrial Economics, M.Sc. in Civil Engineering and B.Sc. in Geology. Chairman Silver Resources Oy. Shareholding, incl. company and family: 2,565,785 shares; 174,281 warrants

Board Menber since 2010. M.Sc,Mining. Sandvik Mining and Construction, Underground Mining, Manager Projects and Systems. Over 30 years of experience in mining industry with Outokumpu Mining Oy and Tara Mines Ltd as well Global positions in Project and Business development with Outokumpu Mining Oy. Shareholding 8

27-Aug-10

Management – proven track record Markus Ekberg, CEO CEO from Aug 2009. M. Sc. (Geol.), Turku University. 25 years experience with mining projects management and companies from Finland, Norway, Australia and Ireland. Qualified person according to Australian JORC and Canadian NI-43-101 stock exchange codes. EuroGeologist. CEO/Chairman of Tetra Minerals Oy. Shareholding: 50,000 shares; 3,999 warrants

Experienced and professional management related to present phase of the company

Börje Lindén, CFO CFO from 2008. M.Sc. (Econ.) from Swedish School of Economics in Finland. 25 years experience from public companies in Sweden and Finland, including 7 years with PriceWaterhouseCoopers. Shareholding: 41,772 shares; 0 warrants

Jaakko Liikanen, Chief Technical Officer Co-founder and employed since 1996. M.Sc. (Geol.), Uppsala University. 30 years experience from exploration geology and mining in Sweden and Finland, including LKAB Prospekterings AB and Terra Mining AB. Qualified Person by SveMin and FinnMin. Shareholding: 1,346,382 shares; 60,333 warrants

9

27-Aug-10

The Endomines share Largest shareholders as of June 30, 2010

Share price and trading development

Shareholders

%

Suomen Teollisuussijoitus (Finnish Industry Investment Ltd) Yggdrasil AB Friends Provident Int Ltd Avanza Pension Fairford Holdings Svenska Handelsbanken AB kundkonto Lindborg Timo Nordnet Pensionsförsäkring Nordea Bank Finland Ålandsbanken Al Amoudi Mohammed Liikanen Jaakko Strömman International AB Von Kantzow Jarl SEB Life (Ireland)Ass Co Ltd Pohjola Bank client account, London Royalskandia Life Assurance Ltd Söderberg Karl SIX SIS AG, Zurich Sigur Holding S/A Runesson Paula Svea Ekonomi AB

8,18 7,99 7,60 7,58 4,58 4,32 3,50 3,48 3,36 2,81 2,29 1,84 1,36 1,34 1,12 1,05 0,92 0,91 0,89 0,89 0,81 0,76

10

January 2, 2009 through June 30, 2010 10

SEK

9

# of Shares Thousands

5 000 4 500

8

4 000

7

3 500

6

3 000

5

2 500

4

2 000

3

1 500

2

1 000

1

500

0

0 Jan Mar Apr Jun Aug Oct Dec Feb Apr Jun

2009

2010

Total volume

Closing price, adjusted

27-Aug-10

The Group Transformation from exploration to gold mining Ilmenite deposits Summary and plans for future

History of Pampalo and Endomines Pampalo discovery 1990 by GSF – sold to Outokumpu Outokumpu started intensive exploration and test mining at Pampalo 1995 Surface drilling, open pit test mining Underground drilling, decline, test mining

Totally 115 000 tonnes at 15.5 g/t mined and processed at Pyhäsalmi and Vammala plants Mining and processing tested – low risk!

Cost of drilling (55 000 meters) and drifting (3 500 meters) 10 M€ Financed by test mining revenues at low gold prices

Outokumpu ceased activities in November 1999 due to low gold price and strategic decision to withdraw from mining business Pampalo acquired by Dragon Mining NL (Australia) Pampalo acquired by Endomines at favourable terms 2006 Endomines has actively explored since 1996 north of Pampalo 12

27-Aug-10

Gold reserves verified by external consultants High-quality gold assets at Karelian Gold Line Proven and probable ore reserves total 1.4 Mt with an average gold grade of 4.5 g/t (200,000 oz gold) The reserves are all located along the Karelian Gold Line 125,000 oz in Pampalo and 73,000 oz in deposits close to Pampalo

Current reserves for 6–7 years of production

Gold reserves at Karelian Gold Line Deposit Pampalo

Hosko

Rämepuro Pampalo East Muurinsuo

Classification Stockpiled Proven Probable Total Proven Probable Total Probable Probable Probable

Tonnes 22 000 285 000 541 000 848 000 13 000 116 000 129 000 134 000 200 000 67 000 1 378 000

Grade

Gold

Consultant

g/t

Oz

Kg

4,0 5,6 4,1 4,6 8,5 10,0 9,9 3,9 1,5 3,0 4,5

2 829 51 587 70 617 125 033 3 547 37 239 40 786 16 699 9 524 6 438 198 480

88 1 605 2 196 3 889 110 1 158 1 268 519 296 200 6 172

5

WAI GEMELL1,3 GEMELL1,3 MAPTEK1,2 MAPTEK1,2 MAPTEK1,2 MAPTEK1,4 MAPTEK1,4

All reserves reported according JORC-code 1) Used gold price 720 USD/oz 2) Cut-off: 0,5 g/t; 5% Ore loss & 15% dilution 3) Cut-off: 2,5 g/t. Ore losses: drifting 0 %, stoping 5 % and stoping nearby talc chlorite rock 40 % 4) Cut-off: 1,0 g/t; 5% Ore loss & 15% dilution 5) Used gold price 574 USD/oz. Cut-off: 2,5 g/t. Stock Pile top cut 10 g/t Au

13

27-Aug-10

Production to commence at Pampalo – financing secured Net proceeds of rights issue in November 2009 € 15 million Nordea Bank Project Financing € 8 million Proceeds from issued warrants may bring additional € 3.1 million by December 2010 Grant from Finland’s Ministry of Employment and the Economy € 2.5 million Credit guarantees from Finnvera (Government-owned Finnish financing company)

14

Financing of investments, 2009–2010 Investments by sector

€ million

Underground mine Crushing, buildings, processing plant

1.6 8.9

Infrastructure Engineering and project management Reservation and other Total investments

4.6 1.7 1.9 18.7

Company costs Total financing need

2.4 21.1

Financing sources Equity net Loan Government grant Total financing secured

€ million 15.0 8.0 2.5 25.5

27-Aug-10

Pampalo Gold Mine

Pampalo ore and mine

Existing open-pit

Ventilation raises

Existing decline down to 365 m

Ore lenses

15

27-Aug-10

Pampalo mining principle

Drifting Raise

Decline from open-pit to depth of 365 m already existing, length 2,361 m Decline is used for ore trucking

Ore

Long hole drilling

Backfilling

Blasting rings Charging

RC loading

Backfill

Diamond drill holes with assays

Horisontal pillar

20 m

Longitudinal projection 16

Cross section 27-Aug-10

Processing – free milling gold Clean gold production: • No cyanide or acid used • No deleterious material in tailings • No acid drainage

Ore from the mines

Flotation

Feeder

Fines

Crushing

Flotation concentrate 4 000 t/a; 200 g/t Au

Coarse material

Gravimetric separation

Tailings area

Grinding Stockpile

Classification

Gravimetric concentrate 5–10 % Au, 5 t /a

17

27-Aug-10

Construction started October 22, 2009

TRANSFORMATION FROM EXPLORATION TO MINING 18

27-Aug-10

Construction of Pampalo Gold Mine processing plant

Start Oct 22,2009

Plant Jan 14, 2010

Plant Feb 2, 2010

Roofing celebration Mar 11, 2010

Plant Feb 8, 2010

19

27-Aug-10

Undergound mining works ongoing

Drifting Apr 7 2010

Drifting Apr 7 2010

raise, Apr 2010 14 2010 VentilationVentilation raise drifting 14 Apr 20

Mucking Apr 14 2010

27-Aug-10

Works ongoing

Plantexcavation Apr 14 2010 Crusher area Apr 14 2010

Office Apr 14 2010

Power line Apr 14 2010

Flotation cells June 08 2010 21

27-Aug-10

Processing plant works ongoing 21st June

Concrete pouring to the crushed ore strockpile conveyor tunne June 21 2010

Flotation concentrate thickener

Jaw Crusher foundation

Processing hall 21 June

22

27-Aug-10

Processing plant 10th August 2010

Grinding mill shell and heads Jaw Crusher foundation Crusher

Crushed ore stockpile

Tailings area

Conveyor assembly

Processing hall 10th August

23

27-Aug-10

Promising future for Pampalo Expected net sales ~ € 20+ million per annum Production costs € 8–10 million per annum Positive cash flow in 2011 Paying off debt in 5 years Good prerequisite for future exploration Fixed long term gold price hedged Dec 2009 at €843/oz ($1,271/oz) 50% (84,400 oz) of planned production by 2015 Gold concentrate sales agreement with Boliden Harjavalta smelter Personnel training ongoing -70 employees at the year end 24

Pampalo in figures Key figures Annual capacity Gold grade Ore loss Waste rock dilution Recovery Average gold production

Units t/a g/t % % % kg/a

230,000 4–6 5 10–20 86–91 900–1,000

Operating expenditure average, €/t ore Mining Processing Local administration Administration

21 10 4

Total

~35

27-Aug-10

Pampalo project has significant development potential All satellites along the Karelian Gold Line are within trucking distance from the Pampalo Plant The area has good infrastructure with paved roads All satellites outcropping – mining can be started with open pit Satellites open along strike and depth Hosko Kuivisto East

Mineral Resources – Karelian Gold Line Gold deposit Pampalo

Pampalo East Hosko

Rämepuro Muurinsuo Kuivisto East

Pampalo

Kuittila Rämepuro

Muurinsuo Kuittila

Tonnes Grade Oz Kg Classification Au g/t 368,000 6.1 72,000 2,245 Measured 673,000 4.7 101,000 3,163 Indicated 306,000 4.1 41,000 1,255 Inferred 359,000 1.6 18,500 574 Indicated 21,000 1.5 1,000 32 Inferred 11,000 9.7 3,400 107 Measured 519,000 3.7 61,600 1,920 Indicated 547,000 1.8 31,400 985 Inferred 162,000 4.3 23,000 697 Indicated 61,000 4.1 8,000 250 Inferred 211,000 2.7 18,000 570 Indicated 786,000 1.5 37,000 1,179 Inferred 37,000 3.2 3,700 118 Indicated 1) 145,000 1 4,800 145 Inferred 1) 275,000 2.6 22,800 715 Inferred 2) 4,481,000 447,200 13,954

Note: Ore reserves are part of mineral resources and cannot be added Estimated by Runge Limited, Australia, unless other indication 1) Estimated by Maptek KRJA Systems Limited 2) Estimated by Geological Survey of Finland Reporting Code: JORC, Kuittila historical

26

27-Aug-10

The Group Transformation from exploration to gold mining Ilmenite deposits Summary and plans for future

Potential for future development – Kälviä Ilmenite Ilmenite is used for pigments in e.g. paint, plastic, rubber and paper, and titanium metal production The Kälviä Ilmenite project is the most developed in the European Union Endomines competitive advantage is closeness to European customers One potential customer also in Finland (Sachtleben Pigments Oy, Pori) Other major producers are in Australia, Norway, South Africa and the Ukraine EU consumption 1–1.5 Mt/a ilmenite concentrate per annum – all imported Environmental Impact Assessment approved in 2009

28

Finland

Porkonen

Kivimaa Gold deposits Industrial mineral deposits

Ilmenite

Pori

Pampalo Karelian Calcite Gold Line Helsinki

27-Aug-10

The Group Transformation from exploration to gold mining – venture to company Ilmenite operations Summary and plans for future

Risk diversification through projects in different phases High

Porkonen (gold)

Kivimaa (gold)

Muurinsuo (gold)

Risk Hosko (gold)

Rämepuro (gold) Kälvia (ilmenite) Pampalo (gold)

Low

Exploration

Test mining

Feasibility-study

31

Mine development

Mining

27-Aug-10

Summary

33

27-Aug-10