1. MNT 130.5 billion Initial Public OfferingBEREN MINING JSCMongolian Iron Ore ProcessingCompany INVESTOR PRESENTATION March 2012

2. Forward Looking Statement Todays presentation may include forward-looking statements. These statements represent the companys belief regarding future events that, by their nature, are uncertain and outside of the companys control. The companys actual results and financial condition may differ, possibly materially, from what is indicated in those forward-looking statements. You should not place undue reliance on these forward-looking statements, which apply only as of the date of this publication. Any opinions or estimates herein reflect the judgment of the company at the date of the publication and are subject to change at anytime without notice. The statements in the presentation are current only as of its date, March 07, 2011.Beren Mining JSC, Mongolian Iron Ore Processing Company 2 3. The Company Founded in 2005, Beren Mining is a domestic companythat owns and operates: Mining and exploration licenses for several iron ore deposits in central Mongolia Iron ore concentrate plant with the capacity of producing 250k tons of iron ore concentrate per annum Direct reduction plant with the capacity of producing 30k tons of direct reduced iron (DRI) per annum The mining licenses for iron ore deposits include 14.9million tons of reserves, and 69.7 million tons ofresources, combined 84.5 million tons The exploration licenses cover 16.2 thousand hectares ofland The beneficiation plant commenced production in 2007and currently exports majority of its product to Chinabesides supplying the direct reduction plant thatcommenced production in 2008. 51% owned by Beren Group LLC and 49% owned by SorMetal LLC, both local companiesBeren Mining JSC, Mongolian Iron Ore Processing Company3 4. Assets Mining Operation The company started drilling in theTamiryn Gol area since 2006, andexplored 14.9 million tons of iron orereserves in 4 main deposits, which haveregistered with the Mineral ResourceAuthority of Mongolia. The iron content of the reserves rangefrom 38% to 42% It has also identified 69.7 million tons ofprognostic resources in the area, whichwill be upgraded into reserve categoryLocation:after more detailed studies.Tuvshruulekh Soum, Arkhangai ProvinceDeposits: Completed Technical-economic-Tamiryn Gol (4.5 million tons of reserves, 40% proven)characterization (feasibility study)- Uzliit (3.2 million tons of probable reserves)approved by the Ministry of Mineral - Khadat Tolgoi (4.1 million tons of probable reserves)Resources and Energy in 2011. - Tsenkher (3 million tons of probable reserves) In 1970s, Russian geologists estimatedprognostic resources of the Tamiryn Golarea to be up to 250 million tons of ironore after complete survey. Beren Mining JSC Mongolian Iron Ore Processing Company 4 5. The AssetsTamiryn Gol and Khadat Tolgoi deposits have completed feasibility study approved by the authority bodyTamiryn Gol deposit is currently being minedUlziitThe company has budgeted 15.6 billion MNT (US$11.6 million) forLicense: 11619A further exploration until 2022 mainly based on Tsenkher and Ulziit deposit which will upgrade up to 76 million resources into highly measured reserve category Khadat Tolgoi License: 11595ATamiryn GolLicense: 9772A Tsenkher Deposit License: 10551ABeren Mining JSC, Mongolian Iron Ore Processing Company5 6. ProductionIron Ore ConcentrateThe plant commenced in 2007, exporting since 2008Current capacity is to produce 250k tons of iron ore concentrate with 63% to 67% of iron content per annumRaw material (iron ore) supplied by its own mineCurrently using 84% of the existing capacity100% owned by Beren Mining JSCCurrently sells 92% of the total outcome to China. (plant site)Khukh Gan JSC - Direct Reduced Iron (DRI) The plant commenced in 2008, supplying200000150000Darkhan Metallurgical Plant (DMP) since 2010180000145000besides exporting with small volume 160000140000140000 Current capacity is to produce 30k tons of DRI120000135000with 88% to 92% of iron content per annum 100000130000 80000125000Raw material (concentrate) supplied by the Iron60000120000Ore Concentrate plant40000 20000115000 The installed capacity has been fully used 0110000 56% owned by Beren Group LLC 2008 2009 20102011 ExportDomesticExport PriceThe export volume rose 10x in 2011. Also supplies Khukh GanBeren Mining JSC, Mongolian Iron Ore Processing Company6 7. Infrastructure Connected with the capital city of Mongolian with420km auto-road 93% paved and 7% unpaved 30km from the central paved road, 70km from theprovince capital and 20km from the nearestresidential center (soum) Connected to 35kW electricity line supplyingresidential centers in the region Water is supplied through own technical water wells Currently >100 employees and to be increased toover 800 as the expansion project advances * Road to export market 1153 km in total, 63% rail Erilan CityUB City Products trucked to UB City The company has its own warehouse and reloading The plant facility at UB City Then shipped to China via Trans-Mongolian railwayBeren Mining JSC, Mongolian Iron Ore Processing Company7 8. Expansion Project The plan is to double the existing iron ore concentrating plant capacity to 0.5 milliontons per annum and to build a new direct reduced iron plant with 0.3 Mtpa capacitybased on the mine MiningConcentrationDirect Reduction- Iron Ore with 42% of iron - Iron ore concentrate withcontent 65% of iron content- Direct reduced iron with 95% of iron content- Capacity increases to - Capacity to increase 0.51Mtpa from 0.5MtpaMtpa from 0.25 Mtpa- 0.3 Mtpa capacityBeren Mining JSC, Mongolian Iron Ore Processing Company 8 9. Raw Material SupplyBeing able to supply the major raw materials by itself is a big advantageThe locally supplied raw materials are suitable for the plantsRaw materialQualityconsumptionSupplierIron oreIron ore38-42% iron1 Mtpa Own mineconcentrate contentplantIron ore> 63% Fe 401 Ktpa Own plantconcentrateDirect reducedCoal> 3,000 kcal/kg286 Ktpa Alag Chuluut,iron (DRI) plantSaikhan OvooLimestone > 80% activation 63 KtpaKhutulClay potFire resistant 25,067 piecesChinaIron oreConcentrate Coal Lime StoneClay pot DRIBeren Mining JSC, Mongolian Iron Ore Processing Company 9 10. Production and transportation cost In terms of DRI (similar to pig iron) transportation costs account for 17% of the total costs Mongolian parliament has approved the construction plan of new railroad connecting UB city with the nearest residential center of the plant siteProduction and transportation cost per ton Production cost breakdown (US$ per ton Production costUS$ 32.1 Production US$ 11.3 of concentratecost of DRI 135.89.9 7.135.7 32.1 TransportationPlant to UB cityUS$ 31.4Overburden removal 24.1and extraction 2012 2013 2014Iron oreUB city to the border US$ 16.4concentration135.8 Direct reduction 135.8 117.8 Total costs US$ 80US$ 183.7 Price at theUS$ 117.7US$ 400 border * 2012 projection, * US$ rate = 1335.58 /Mongol Bank/Beren Mining JSC, Mongolian Iron Ore Processing Company10 11. Iron ore and DRI marketsChinese iron ore import (mln tons) China is the largest consumer andthe largest importer of iron ore in theworld Chinese annual iron oreconsumption grown an average11.3% since 2005 Source: WorldSteel The country imports more than 60%of its annual iron ore consumptionChina imported iron ore price Its annual iron ore import grown17.1% in the last 5 years Mongolia has annual consumption ofreported 230k tons of steel makingraw materials Source: BloombergBeren Mining JSC, Mongolian Iron Ore Processing Company 11 12. Chinese steel consumption Chinese steel consumption could reach 750 million tons by 2015Beren Mining JSC, Mongolian Iron Ore Processing Company12 13. Chinese iron ore/DRI consumption Steel making raw materials set for strong demand in another decade Million tons Source: WorldSteelBeren Mining JSC, Mongolian Iron Ore Processing Company13 14. The Issue IssuerBeren Mining Type of share Common # of outstanding shares 1,740,813,320 post IPO Par value MNT 157,35 # of shares offered 522,243,996 The offer price MNT 250 Expected capital to beMNT 130,5 billion raised Expected market cap MNT 435.2 billion /*US$ 325.8 post IPOmillion/ Use of proceeds Construction of the second production line of the concentrating plant and a DRI plant Listing of the shares Mongolia Stock Exchange Date of regulatory (FRC)Feb 15, 2012 approvalBeren Mining JSC, Mongolian Iron Ore Processing Company14 15. Public offering Placement for strategic investors is to take place before a public sale BDSec JSC as sole manager and book runner of the issue Q3 would be expected timing for the public sale The shares will be sold through Mongolian stock exchange The founders shares will be locked up until the commence of the proposed plantsThe offer structureUse of proceeds BerenMining JSC(100%) DRI plant Concentrate plantFounders IPO (30%) other costs (70%)BerenStrategic Public Sor MetalGroup LLCInvestorsOffering LLC (49%)(51%)(70%) (30%)Beren Mining JSC, Mongolian Iron Ore Processing Company15 16. Financial projectionMillion MNT 20112012E 2013E 2014E 2015EConcentrate production /tons/ 40,000100,000 202,500 300,000500,000DRI production/tons/ 10,000 100,000 160,000300,000Sales revenue 6,26216,60560,28297,270179,565COGS1,910 6,09822,23934,554 62,780Gross profit4,35210,50738,04362,716116,785Operating expenses4,128 8,69515,98423,932 43,084EBITDA224 1,81222,05938,784 73,701Tax221815,065 9,246 17,975Net profit202 1630 16,99429,538 55,726Beren Mining JSC, Mongolian Iron Ore Processing Company 16 17. Contact usBDSecMunkhtulga GanboldZaluuchuud Avenue 27-1 Head of Institutional Sales8th Khoroo, Sukhbaatar DistrictEmail: mganbold@bdsec.mnUlaanbaatar, MongoliaPhone 976-11323411Phone/Fax: 976-11313108Email: info@bdsec.mnBeren Mining JSC, Mongolian Iron Ore Processing Company17