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August, 2012

Gold Production Iron Ore Development

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Disclaimer This presentation contains certain “forward‐looking statements”. All statements, other than statements of historical fact, that address activities, events or developments that Cleveland Mining Company Limited (“Cleveland” or the “Company”) believes, expects or anticipates will or may occur in the future are forward‐looking statements. Forward‐looking statements are often, but not always, identified by the use of words such as “seek”, “anticipate”, “believe”, “plan”, “estimate”, “target”, “expect”, and “intend” and statements that an event or result “may”, “will”, “can”, “should”, “could”, or “might” occur or be achieved and other similar expressions. These forward‐looking statements reflect the current internal projections, expectations or beliefs of Cleveland based on information currently available to Cleveland. Forward‐looking statements are subject to a number of risks and uncertainties, including those detailed from time to time in filings made by Cleveland with securities regulatory authorities, that may cause the actual results of Cleveland to differ materially from those discussed in the forward‐looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on Cleveland. Cleveland expressly disclaims any obligation to update or revise any such forward-looking statements. F

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Board

David Mendelawitz

Managing Director

– Ex‐Fortescue Head of

Business Improvement

– Geologist 16+ years

experience with gold

and iron ore discovery

success

– International

Exploration, Mining and

Commerce experience

Aaron Finlay

Finance Director

– Ex-CFO ‐ INVESCO,

and CFO Mayne

Pharma Group Limited

– 20+ years corporate

experience

– Ex-Head of Corporate

Tax & Treasury ‐ FTSE 50 fund

management group

– Chartered Accountant

and Chartered

Company Secretary

Jim Williams

Non-Exec. Director

– Ex-Fortescue as Head

of Mining

– Mining Engineer 50+

years experience

– Ex‐CEO Laverton Gold

– Ex‐Principal Mining

Engineer Bechtel

– Reviewed in excess of

20 DFS, with no

project he approved

having ever failed.

Donald Bailey

Chairman

– Ex-Deputy MD of Rio

Tinto plc. Responsible

for mining operations

in South America,

Africa and Europe

– Mining Engineer 50+

years experience

– Founder, CEO and

Chairman of LionOre

Mining Ltd – bought

out by Norilsk Nickel

for >US$6B

Exceptional Experience in Successful Billion-Dollar Mining Projects

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Russell Scrimshaw

Non-Exec. Director

– Ex-Deputy CEO and

Executive Director

Fortescue Metals Group

Ltd.

– Executive positions with

Commonwealth Bank of

Australia, Optus, Alcatel,

IBM and Amdahl USA.

– Adjunct Professor of

Mining Economics at

China Central South

University

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Cleveland Mining Company Ltd

ASX:CDG

Cleveland Iron (Hong Kong)

Amapá Iron Projects

Cleveland Mineração (Brazil)

Cleveland Premier Joint Venture (50%)

Premier Gold Mine

Crixás Gold Projects

Mara Rosa Gold Projects

Cleveland Chile

Canella Gold and Copper Projects

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Group Structure F

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Issued and Paid up Number Shares

Shares on issue (including escrowed shares below) 158,748,171

Options

Options ($18.00) 16,666

Options ($0.20) 3,527,000

Performance Options

($0.20, against significant progress milestones)

31,250,000

Total Options 34,793,666

Shareholding Cleveland Iron Cleveland Mining (CDG) 93.75% Xingi Aosen Steel 6.25%

Current market cap at $0.70 is A$111.1m

Current Value of Cleveland Iron subsidiary A$164m (as per June Placement)

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Capital Structure

ASX: CDG

• A total of 16 million new ordinary shares will be issued at HK$5.00 per

share to raise a total of HK$80 million, or approximately A$10.26

million

• 16 million options over fully paid ordinary shares will be issued to the

investors at an exercise price of HK$5.00 per option, expiring 25

September, 2012.

• 16 million options over fully paid ordinary shares will be issued to the

investors at an exercise price of HK$10.00 per option, expiring 31

March, 2013.

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Crixás Hub (Gold, Brazil) – Premier Mine built

– Expansion planning started

– Excellent exploration results

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Investment Highlights

1. Gold mining and production now starting.

2. Highly-encouraging gold and iron exploration results.

3. Excellent, high-potential, low-risk locations.

4. World-class Board and Management.

5. Strong foundation, well-positioned for strong growth.

Amapá Hub (Iron ore, Brazil) – Significant mineralisation

– Development studies started

– Excellent exploration potential

Cleveland is a multi-commodity mining company, not a project.

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Gold • Low cost production, highly saleable

• Low barriers to entry

• Low Risk

Iron Ore • Potential for high volumes and high income

• Significant expertise in Company

• Strategic investors

• Simplicity of operations once established

Commodities Why both Gold and Iron Ore?

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Commodities Iron Ore

• The current Super Cycle has been China & western debt fuelled

• China is expected to grow at 7% - 8% this year • China Iron and Steel Association (CISA) has announced that it was

looking to secure half of the country's supply of iron ore from smaller

independent players

• Official plans to secure 40% of iron ore from mines in which the state

has an investment by 2015.

• General trend towards vertical integration in industry

• New Pilbara/West Africa/Magnetite supply 2014 onwards

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Iron Ore Chinese Demand

An urban household has 10- 15 times

the steel intensity of a rural one

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• Gold has risen against government indebtedness as

a substitute for money (like the gold standard)

• Gold production has hardly increased over the last

decade despite gold’s price appreciation

• New deposits are not being found fast enough

• Gold companies have not risen in line with the gold price

• Production costs are up

• Investors can purchase Gold EFTs

Commodities Gold

Source:PWC

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• A Chinese official recently called for reserves of 10,000 tonnes by 2020

• This would involve China buying 40% of global mine production over the next eight years – China is the world’s leading gold miner

– It’s begging its people to buy and hoard gold

– New gold trading facilities have opened

– Gold dispensing machines have been installed in public places

– It forbidden to ship or carry gold out of China

Gold The China Syndrome

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Crixás Hub – Gold, central Brazil

• Premier Gold Mine developing strongly

• Stage 1 (crushing, grinding & gravity) commissioning

• Stage 2 (CIL) preparing for construction

• Significant potential for expansion

• Robust drilling results <10km away at O Capitão

Gold Project - high potential to add significant ounces

• Several other gold-prospective projects held in

immediate region

Amapá Hub – Iron Ore, northern Brazil

• Recently acquired, + 200 million tonne non-JORC

deposit. Excellent potential for growth.

• Preparing for JORC compliance, in-fill drilling and DFS.

• Significant iron ore mineralisation found in 1,200km2

exploration tenements

• Coastal, with clear infrastructure solution

Project Highlights F

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Gold Projects Crixás Gold Hub, Brazil

▲Premier process water tanks

▼ Laboratory at Premier

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◄ Premier February, 2012)

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◄ Premier July, 2012

Premier Gold Project Commissioning Underway

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• Mining commencing on inferred foundation

resource to enable fastest route to cash-flow and strong operating base

• Mineralisation at surface, open in several directions and at depth - large prospectivity below

• Further exploration commenced

• Gravity circuit completed

• Construction of CIL to begin shortly

• Excellent location with infrastructure

• AngloGold Serra Grande Mine mining same geological setting for 24 years

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Premier Gold Project (50/50 JV)

▲ Premier Mine Site

▼ Premier plant

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Staged Development Start small, start right, expand rapidly.

Initial Production

• Gravity Circuit (25 – 65% recovery)

• Build team

• Perfect the basics

• Generate early revenue

Improved Efficiency

• Cyanide circuit (92 -97% recovery) • Target early 2013

• Significantly improve cashflow

• Allow for focus on cyanide management

Expanded Production

• Expanded Production • Aim to double production with

O Capitão during 2013. • Aggressive exploration built on cash

flows to expand resource and output.

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• Site of large artisanal mine

• Two mineralised areas identified

• Potential processing at Premier Mine

Strong intercepts include:

High Grade Zone

– 1.30m @ 14.29 g/t Au from 44.7m

– 2.00m @ 17.21 g/t Au from 39.0m

Dona Maria Garimpo

– 11.00m @ 1.01 g/t Au from 51.00m to 62.00m

– 4.40m @ 3.55 g/t Au from 91.00m to 95.40m

– 7.57m @ 1.99 g/t Au from 79.80m to 87.37m

– 16.50 @ 1.16 g/t Au from 46.40m to 62.90m

– 7.57m @ 1.99 g/t Au from 79.80m to 87.37m

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O Capitão Resource Expansion

▼Dona Maria interpretation ▲Garimpeiro pit

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Iron Ore Projects Amapá Hub, Brazil

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Hydro Electricity plant

Railway

Highway

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• Exploration Target of >200mt for Tapereba Hill area based on 40 drill holes

• 40 to 80‐metre‐thick fluvial deposit comprised of hematite and magnetite clasts in a mud and clay matrix. Itaberite identified at the end of one hole.

• High-potential targets throughout tenement

• Mineralisation has no overburden and appears to not require blasting

• Existing port 80km away, road and electricity‐generation (under construction)

• Tonnages expected to support an initial 5mtpa operation (subject to metallurgy) 20

Ferradura Iron Project 5 million tonnes per annum

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Operational Development The next 12 - 18 months

Gold

• Commission Stage 1 of Premier to start gold production

• Construct Phase 2 Premier

• Exploration/ Resource extension at Premier

• Infill drilling at O Capitão

• Double plant capacity to add O Capitão

• Exploration at Mara Rosa

Iron

• Bulk sampling & metallurgical testwork on Ferradura

• RC drilling at Porto Grande

• RC drilling at Ferradura

• Logistics studies at Ferradura and Porto Grande

• Environmental studies and licensing for Ferradura

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Contact

Phone: +61 (08) 6389 6000

Fax: : +61 (08) 6389 6099.

Email: investors@clevelandmining.com.au

Corporate Headquarters: Suite 3, 254 Rokeby Road, Subiaco, Western Australia

Mailing Address: PO Box 2089, Subiaco, Western Australia, 6904

Web: www.clevelandmining.com.au

Competent Person’s Statement

The information in this report that relates to Exploration Results is based on information reviewed by David Mendelawitz, who is a Fellow of the AusIMM. Mr Mendelawitz has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Mendelawitz consents to the inclusion of the matters based on his information in the form and context in which it appears. Mr Mendelawitz is employed by Cleveland Mining Company Ltd. 22

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