FORTUNE 2009 ANNUALMANAGEMENT REPORTMINERALS LIMITED

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This discussion contains certain forward-looking information. This forward-looking information includes, or may be based upon, estimates, forecasts, and statements as to management’s expectations

with respect to, among other things, the size and quality of the Company’s mineral resources, progress in development of mineral properties, timing and cost for placing the Company’s mineral

projects into production, costs of production, amount and quality of metal products recoverable from the Company’s mineral resources, demand and market outlook for metals and coal and future

metal and coal prices. Forward-looking information is based on the opinions and estimates of management at the date the information is given, and is subject to a variety of risks and uncertainties

and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. These factors include the inherent risks involved in the exploration

and development of mineral properties, uncertainties with respect to the receipt or timing of required permits and regulatory approvals, the uncertainties involved in interpreting drilling results and

other geological data, fluctuating metal and coal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing

needed in the future, uncertainties related to metal recoveries and other factors. Readers are cautioned to not place undue reliance on forward-looking information because it is possible that

predictions, forecasts, projections and other forms of forward-looking information will not be achieved by the Company. The forward-looking information contained herein is made as of the

date hereof and the Company assumes no responsibility to update or revise it to reflect new events or circumstances, except as required by law.

Corporate ProfileFortune Minerals (TSX: FT) is a mineral resource company with several deposits and

a number of exploration projects, all located in Canada. The Company is focused on

the development of its NICO gold-cobalt-bismuth-copper deposit in the Northwest

Territories and hydrometallurgical processing plant in Saskatchewan. Fortune Minerals

owns buildings and equipment from the Golden Giant Mine at Hemlo, Ontario, which

have been dismantled for relocation to NICO. The Company also owns the world class

Mount Klappan anthracite coal deposits in British Columbia, and the Sue-Dianne

copper-silver-gold deposit and other exploration projects in the Northwest Territories.

Fortune Minerals is focused on outstanding performance and growth of shareholder

value through assembly and development of high quality mineral resource projects toward

accomplishing its goal of becoming a leading vertically integrated company producing high

value metal and coal products.

CONTENTS:

4 2009 & Recent Project and Corporate Highlights

6 Letter to Shareholders

8 NICO Gold-Cobalt-Bismuth-Copper Project

19 Sue-Dianne Copper-Silver-Gold Deposit

20 Mount Klappan Anthracite Coal Project

28 Board of Directors

30 Officers, Managers and Corporate Information

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Property Commodities1 Hectares Fortune Interest

Mount Klappan Anthracite Coal 15,866 100%2

NICO Co, Au, Bi, Cu 5,140 100%

Sue-Dianne Cu, Ag, Au 451 100%2

Salkeld Lake Cu, Zn, Pb, Au, Ag 116 100%2

Camsell River Ag 78 100%2

Great Slave Cu, Au 2,069 100%

Process Plant Commodities1 Hectares Fortune Interest

SMPP3 Co, Au, Bi, Cu 194 100%4

1 Au = gold, Co = cobalt, Bi = bismuth, Cu = copper, Ag = silver, Zn = zinc, Pb = lead.2 Subject to third party royalties.3 Saskatchewan Metals Processing Plant4 Subject to completion of the purchase of lands

PROPERTY INTERESTS:

1. Mount Klappan Anthracite Coal DepositBritish Columbia

2. NICO Gold-Cobalt-Bismuth-Copper DepositNorthwest Territories

3. Saskatchewan Metals Processing Plant

Saskatchewan

4. Sue-Dianne Copper-Silver-Gold DepositNorthwest Territories

5. Salkeld Lake Copper-Zinc-Lead-Gold-Silver ProjectNorthwest Territories

6. Camsell River Silver Project, Northwest Territories

7. Great Slave Copper-Gold-Silver ProjectNorthwest Territories

8. Hemlo Plant, Ontario

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2009 & RecentPROJECT AND CORPORATE HIGHLIGHTS

NICO GOLD-COBALT-BISMUTH-COPPER PROJECT:

• Environmental Assessment terms of reference and work plan received to

permit mine and concentrator;

• New mine plan lowering underground mining costs and increasing contribution of

gold-rich, higher grade ores in first two years of mine life;

• Low strip starter pit identified deferring waste rock pre-stripping;

• Simplified co-mingled waste / tails management area reducing mine footprint;

• 16% production rate increase to 4650 tonnes per day;

• Proved production of higher value bismuth and copper cathode products;

• Pilot plant for hydrometallurgical process proved process flow sheet,

production of high-value cathode products, and improved metal recoveries;

• 43% increase in reserves to 31 million tonnes;

• Increased mine life to 18 years;

• Completed Front-End Engineering and Design for facilities;

• Continued public consultation and environmental studies for permitting;

• Rising demand and constrained supply drove prices for gold, cobalt, bismuth,

and copper higher;

SASKATCHEWAN METALS PROCESSING PLANT (SMPP):

• Completed site selection process and entered into agreement to purchase land;

• Substantially completed process pilot plant studies;

• Substantially completed Front End Engineering and Design for facilities;

• Conducted environmental base line studies;

• Commenced permitting process;

• Received substantial support from Saskatchewan Government, including proposed

tax incentives;

MOUNT KLAPPAN ANTHRACITE COAL PROJECT:

• Entered into Environmental Assessment cooperation agreement with Tahltan First Nation;

• Conducted further environmental baseline studies to support permitting;

• Examined infrastructure enhancements to improve project economics;

• B.C. and federal governments announced extension of power line to support new mines;

• Rising demand and constrained supply drove coal prices to high levels, and they are

continuing to increase;

GOLDEN GIANT MINE:

• Substantially completed dismantling and

demolition of buildings and equipment for

relocation and reuse at NICO;

• Negotiated extension with Newmont Canada for

removal of assets from Hemlo;

• Generated cash from sale of surplus equipment

and scrap metals;

GENERAL CORPORATE:

• Engaged BNP Paribas to arrange up to US$250

million in NICO and SMPP project financing;

• Appointed Grant Chen of China Mining

Resources Group to board of directors;

• Hired Jared Orynik to management team as

SMPP Senior Metallurgist;

• Attracted two new institutional shareholders

with 16% and 11% interests;

• Raised $27.3 million in gross proceeds from

equity and debt financings to offset investing

activities of $15.5 million primarily on plant,

equipment and development expenditures;

• At year-end, had $18.3 million in cash and total

assets of $123.7 million with 94.8 million

issued shares.

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FINANCIAL HIGHLIGHTS:

Below is selected financial information for the years ended December 31.

2008 2009

Cash and cash equivalents 8,935,193 18,328,148

Working capital 6,492,241 17,945,994

Total assets 99,286,206 123,728,635

Total long-term financial liabilities – 2,854,772

Total shareholders' equity 88,133,704 109,283,654

Administrative and investor relations expenses 1,246,810 1,074,374

Loss before income taxes (1,577,793) (1,612,252)

Net loss (1,378,793) (1,332,452)

Basic and diluted loss per share (0.03) (0.02)

Cash provided by (used in) operating activities 825,611 (778,664)

Cash used in investing activities 23,076,613 15,511,190

Cash provided by financing activities 7,967,326 25,682,809

Number of shares issued and outstanding 55,550,107 94,779,407

Number of warrants outstanding 5,448,000 20,890,275

Number of options outstanding 2,785,000 3,300,000

Other equity instrument - 2,388,469

Fully diluted number of shares issued and outstanding 63,783,107 121,358,151

The financial highlights of Fortune Minerals Limited above is summary information only and should be read in conjunction with

the audited consolidated financial statements of Fortune Minerals Limited and the notes thereto for the years ended December

31, 2008 and 2009 and management’s discussion and analysis of financial condition and results of operations for the years

ended December 31, 2008 and 2009. Additional information relating to the Company, including the Company’s annual

information form, is available on SEDAR at www.sedar.com. All dollar amounts are presented in Canadian dollars.

NICO PROJECT:

• Complete commitment for project financing;

• Complete environmental assessment and

mine permitting;

• Negotiate access and impacts and benefits

agreements with Tlicho;

• Negotiate private-public partnership for

completion of access road;

• Appoint construction manager.

SMPP:

• Complete purchase of lands; complete

permitting; complete engineering;

• Appoint construction manager.

GOLDEN GIANT MINE:

• Dismantle service complex and remove assets;

• Conduct refurbishment where required.

MOUNT KLAPPAN:

• Appoint investment banker to manage review

of strategic options;

• Complete agreement with development partner;

• After identifying development partner, complete

environmental assessment and permitting;

• Advance negotiations with Tahltan and other

First Nations for Impacts and Benefits

agreements.

GENERAL CORPORATE:

• Continue building management roster for

construction, management and mine

operations;

• Continue building relationships with financial

institutions, upgrade profile and market

performance.

FUTURE OBJECTIVES:

FIVE -YEAR TOTAL ASSETS

2005 - $47,851,896

2006 - $60,236,785

2007 - $90,353,718

2008 - $99,286,206

2009 - $123,728,635

Letter to Shareholders

Fortune Minerals remains focused on growing a company of substance with world class assets to build long-term shareholder value and respond to the

increasing consumption of metals and energy. We remain focused and determined, confident in our exceptional assets and committed to becoming a lead-

ing Canadian vertically integrated company producing high value metal and coal products.

When we wrote to you a year ago, the world was in the midst a financial and credit crisis unlike anything experienced in decades, severely impacting the

commodities sector and capital markets on which Fortune Minerals is dependent. Our board and management team reacted expeditiously to this global

meltdown by reducing expenditures, and raising capital while cautiously advancing our key development projects toward commercial production. Fortune

Minerals was able to raise more than $27 million in new capital in 2009, in a market where even the largest companies had difficulty financing. And

despite the conditions of the previous year, we remain convinced that we are in a super cycle of strong resource markets underpinned by long-term eco-

nomic growth, particularly in the BRIC countries of Brazil, Russia, India and China, combined with limited near-term supply of raw materials. The future

will belong to those companies that have emerged from this financial crisis with their long-life resources intact. Fortune Minerals is a company with two

key development projects, NICO and Mount Klappan that are being developed to participate in this market of recovering commodity prices.

With test mining and pilot plant processing complete and a positive definitive feasibility study in hand, our wholly-owned NICO gold-cobalt-bismuth-copper

project is proceeding through the environmental assessment process to permit a combined open pit and underground mine and concentrator in the Northwest

Territories. Recent engineering and related work has made numerous improvements that will increase revenues and cash flow for the project, but also result

in an expanded project with higher capital costs. Fortune is targeting production from NICO fifteen months after receipt of its permits to become a significant

low-cost, Canadian producer of gold, cobalt, bismuth and copper metals. The Company was very pleased to engage BNP Paribas, the fifth largest bank in the

world to raise up to US$ 250 million in project financing. New markets, many arising out of environmental concerns, are driving growth in the consumption

of both cobalt and bismuth, while the significant gold content at NICO provides a counter cyclical precious metal hedge during volatile markets. Fortune

Minerals continues to work cooperatively with the Tlicho, Northwest Territories and federal governments, not only for development of NICO, but also nearby

infrastructure initiatives.

One of the significant new improvements for the NICO project arose out of concern for our increasing projected consumption of power and the lack of

available power in the Northwest Territories. We determined that we could move the most power intensive part of our downstream processing to a jurisdic-

tion where low cost power was available. Fortune Minerals underwent an extensive search to identify a suitable site to process in the prairie provinces. A

site outside of Saskatoon was identified as the best for our hydrometallurgical process plant after significant support from the Saskatchewan Government,

including help with identification of the site, fast track permitting and proposed tax incentives. This change in the operational plan will also result in

significantly reduced operating costs, mitigation of increasing capital, reduced staff turnover and a substantial reduction in construction and operational

risk. Permitting of the site near Saskatoon is proceeding to build the hydrometallurgical facility.

Dismantling of the equipment and buildings purchased from Newmont’s Golden Giant Mine at Hemlo, Ontario is now substantially complete, except one build-

ing being used for storage. Some of these assets will be relocated to NICO to materially reduce capital costs for its development. Newmont has also agreed

to extend the deadline for removal of this equipment from Hemlo until April 2011 in order to allow additional time for storage. Fortune Minerals is reducing

the net cost of dismantling its Golden Giant Mine assets by several million dollars from the sale of surplus equipment, scrap metals, and precious metals

recovered from the equipment. The project demonstrates Fortune Minerals ability to plan and execute a major project ahead of schedule and under budget.

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Fortune Minerals is pursuing a strategy of joint venture development for its world class Mount Klappan anthracite coal project in northwest British Columbia.

With 2.8 billion tonnes of in-situ coal resources, Mount Klappan is the largest undeveloped resource of anthracite coal in North America, and one of the largest

in the world. Consumption of premium anthracite coal is growing as a result of new efficient steel manufacturing methods and metallurgical processing, while

supply is constrained from reductions in exports from China and Vietnam. The Mount Klappan deposits straddle the BC railway right-of-way, only 150 kilome-

tres northeast of the port of Stewart and 330 kilometres from Prince Rupert and are strategically located to service the export market. Fortune retained CIBC

World Markets as its financial advisor to examine strategic alternatives for Mount Klappan, including marketing the project for joint venture development. We

regret we did not get this project completed before the onset of the global financial crisis and the process was terminated in early 2009. Fortune Minerals

anticipated shortages of coal and strong prices would return in 2010. Metallurgical coal is now selling for about US$250 per tonne and the steel industry

capitulated to coal industry demands for quarterly pricing. This set the stage for re-initiating the process and Fortune Minerals is currently in discussions

with investment bankers to carry out this mandate. At the same time, the Company has continued to build a stronger relationship with the Tahltan Nation

by signing an environmental assessment cooperation agreement in early 2009. In short, Mount Klappan is a long-life source of premium anthracite coal

whose strategic importance is growing from the global shortage of good quality metallurgical coals.

In 2010, the board of directors of Fortune Minerals was strengthened with the addition of Grant Chen, who is Vice Chairman and CEO of China Mining

Resources Group Limited, the Company’s largest shareholder. We were also pleased to welcome Jared Orynik, P.Eng. as Senior Metallurgist for the

Saskatchewan hydrometallurgical plant based out of Saskatoon. The Company will benefit from his significant previous experience in metallurgical and

solvent extraction process operations at Teck’s Trail metallurgical complex.

Fortune Minerals continues to minimize its administrative expenses, while maintaining positive cash balances ($18 million of cash at year-end) invested

in low risk, liquid instruments. At year-end, Fortune Minerals had total assets of $123.7 million, a measure of our investment in our projects that is much

greater than the current market capitalization for the Company.

Although we have little control over the broader financial markets in which we operate, Fortune Minerals has proactively adjusted to its impacts. We remain

confident in the demand trends for our products and the long-term future of the resource sector. We are proud of the Company’s significant accomplishments

in 2009 as we move steadily closer to our goal of becoming a successful metals and coal producer.

George M. Doumet, Chairman Robin E. Goad, President and CEO

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The NICO project consists of a mine and proposed concentrator in

the southern part of the Northwest Territories (“NWT”) and the

Saskatchewan Metals Processing Plant (“SMPP”) consists of a

hydrometallurgical process plant that will be built near Saskatoon to

treat NICO bulk concentrate and produce high value metal products.

Fortune Minerals has a positive feasibility study for NICO; and during

the year, engaged BNP Paribas, the 5th largest bank in the world, to

arrange a debt facility up to US$250 million for the construction of the

combined NICO and the SMPP projects based on Front End Engineering

and Design updates. With production targeted in late 2012, development

of these projects will make Fortune Minerals a reliable near-term,

Canadian-based, vertically-integrated producer of gold, cobalt, bis-

muth and copper metals to service growing global demand for these

commodities.

NICOGOLD-COBALT-BISMUTH-COPPER PROJECT& SASKATCHEWAN METALS PROCESSING PLANT

LOCATION AND ACCESS:

The NICO mine is located close to existing and planned

infrastructure in the southern part of the NWT. The

property is only 160 kilometres northwest of the City

of Yellowknife, 22 km from the Snare Hydro Complex,

and 50 km north of the community of Whati. NICO is

currently accessed from a winter road extending north

from the town of Behchoko and Highway 3, but the

NWT Department of Transportation has $18 million

budgeted for re-alignment and upgrade of this road for

subsequent upgrade to an all-weather road to access

the nearby communities on a year-round basis.

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907,000ounces of gold

82 millionpounds of cobalt

109 millionpounds of bismuth

27 millionpounds of copper

Proven and Probable Mineral Reserves for the NICO deposit total

31 million tonnes

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UNDERGROUND MINERAL RESERVES

Class Tonnes Au (g/t) Co (%) Bi (%) Cu (%)

Proven 1,403,000 2.23 0.16 0.22 0.04

Probable 767,000 2.92 0.17 0.19 0.03

Total 2,170,000 2.47 0.16 0.21 0.03

OPEN PIT MINERAL RESERVES

Class Tonnes Au (g/t) Co (%) Bi (%) Cu (%)

Proven 15,019,000 0.85 0.12 0.16 0.04

Probable 13,797,000 0.71 0.12 0.15 0.03

Total 28,816,000 0.79 0.12 0.15 0.04

COMBINED MINERAL RESERVES

Class Tonnes Au (g/t) Co (%) Bi (%) Cu (%)

Proven 16,422,000 0.97 0.12 0.16 0.04

Probable 14,564,000 0.83 0.12 0.15 0.03

Total 30,986,000 0.91 0.12 0.16 0.04

Total Contained Metal 907,000 oz 82 million lbs 109 million lbs 27 million lbs

The mineral reserves for the NICO deposit were estimated in compliance with National Instrument (“NI”) 43-101 and CIM guidelines by P&E Mining Consultants Inc. using metal price assumptions of

US$900/oz gold, US$20/lb cobalt, US$10/lb bismuth and US$2.75/lb copper. The net smelter return cut-off values used to estimate the reserves for the open pit were C$48.07/t, and the underground

ores C$88.79/t. Mr. Eugene Puritch, P.Eng. and Fred H. Brown, CPG PrSciNat, both of P&E, are the Qualified Persons responsible for the updated mineral reserves as defined by NI 43-101.

MINERAL RESERVES:

NICO and the Company’s nearby Sue-Dianne copper-silver-gold deposit are the only

known Canadian examples of IOCG deposits, also commonly referred to as Olympic

Dam-type after the multi-billion tonne example of this class located in Australia.

Proven and Probable Mineral Reserves for the NICO deposit total approximately 31

million tonnes, containing 907,000 ounces of gold, 82 million pounds of cobalt, 109

million pounds of bismuth, and 27 million pounds of copper. An additional 6.5 million

tonnes of low-grade material will be mined as waste and stockpiled separately for

processing, if it becomes economical to do so during periods of higher metal prices.

Additional drilling, estimated at 7,000 metres in 43 holes, is planned this summer to

extend the reserves and better define the limits of the orebody for detailed production

scheduling during mine operations. Notably, there is good potential to expand the gold-

rich zones of the deposit where they remain open for possible expansion at depth. This

program has the potential to increase the gold contained in the reserves above one

million ounces. The NICO in-situ reserves currently contain 4 million equivalent gold

ounces with inclusion of the value of the other economic metals in the deposit at the

metal price assumptions used in the reserve estimates.

Top: Test mining the NICO deposit

Right: Scale model of the NICO mine,

concentrator and waste management area

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MINE:

NICO will be mined using a combination of open pit and underground mining to feed a mill and concentrator at a

rate of 4,650 tonnes of ore per day over a minimum 18 year mine life. The deposit will be mined primarily by open

pit methods using trucks and shovels at an average waste-to-ore strip ratio of 3.4:1. The waste rock includes 6.5

million tonnes of low-grade material that will be stockpiled separately and has the potential to extend the concentrator

life by an additional four years if it is economic to process in the future. The ultimate pit dimensions will be 1.35

kilometres long, by 450 metres wide, and 220 metres deep with 10 metre high mining benches.

During the first two years of the mine life, open pit ores will be augmented by higher grade, gold-rich underground

ores in order to accelerate the repayment of initial capital and improve project economics. Underground ores will

contribute approximately 68% of the mill feed during this period, using blasthole open stoping mining methods

from a decline ramp and trackless mining equipment. As a result of the underground bulk sampling programs

already completed in 2006 and 2007, a significant amount of pre-production development, including the decline

access ramp, two mine levels, and a ventilation raise to surface, has already been completed.

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MILL AND CONCENTRATOR:

NICO ores will be processed initially at the site in a mill

and concentrator using conventional crushing and grind-

ing followed by flotation to produce a high value bulk

concentrate. An important economic characteristic of NICO

ores is a very high concentration ratio that reduces 4,650

tonnes of daily mill throughput to an average of 180

tonnes of bulk concentrate containing the recoverable

economic metals. This concentrate will be bagged and

trucked to the town of Hay River for transfer to rail and

delivery to the Company’s proposed hydrometallurgical

process plant near Saskatoon, Saskatchewan.

HEMLO BUILDINGS AND EQUIPMENT:

Fortune Minerals already owns buildings and equipment from the

Golden Giant Mine at Hemlo Ontario, which were purchased from

Newmont Canada Limited for relocation to NICO and construction

of the mill and concentrator. This equipment was dismantled in

2008 and 2009 and demonstrates Fortune’s ability to plan and

execute a major project ahead of schedule and under budget. The

equipment offsets approximately $40 million in capital costs that

otherwise would need to be purchased to acquire new equipment.

The cost of dismantling the Hemlo assets was also partly offset by

the sale of surplus equipment, scrap, and precious metals that

were recovered during demolition of some of these facilities.

Left: Golden Giant Gold Mine site before

and during dismantling

Below: NICO pilot plant flotation circuit

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SASKATCHEWAN METALS PROCESSING PLANT (SMPP):

Fortune Minerals has an agreement to purchase lands adjacent to the Canadian National Railway

Company’s (“CN”) main railway line near Langham, Saskatchewan, 26 kilometres northwest of

the City of Saskatoon, where it plans to construct a hydrometallurgical plant to process NICO

concentrates to high value metal products. This site is strategically located close to the fastest

growing city in Canada with a skilled pool of engineers and chemical plant workers, reliable and

low-cost power supply (5.7 cents/kWh), the Trans Canada Highway, reagent sources, and CN’s rail

network to access markets in North America or points of export. The Saskatchewan Government

has been particularly proactive in helping Fortune Minerals acquire this site, speed permitting and

has introduced proposed tax legislation attractive to the Company. Bulk concentrate received from

the mine will be subjected to further flotation to produce separate gold-bearing cobalt and

bismuth concentrates. These concentrates will undergo treatment by pressure and atmospheric

acid leach to liberate the economic metals, and then electrowinning to produce gold doré, 99.8%

cobalt cathode, 99.5% bismuth cathode and 99.99% copper cathode. Pilot plants have already

been conducted at SGS Lakefield Research Limited (“SGS”) to prove the process flow sheet, ver-

ify the production of high value metal products, establish design criteria, and improve the metal

recoveries that were used in the earlier Micon definitive feasibility study.

Top: CN’s western Canadian route map

Right: CN’s railway and Fortune’s proposed SMPP site near Saskatoon

Below: 3-dimensional engineered image of SMPP

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FEASIBILITY STUDY:

The NICO project has already been assessed in a positive

definitive feasibility study by Micon International Limited

(“Micon”), Met-Chem Canada Ltd., Golder Associates Limited

(“Golder”) and other engineering companies. The economics

from this 2007 feasibility study were updated in 2008 using

new flotation recoveries achieved in the Company’s pilot

plant and updated metal price and currency exchange rate

assumptions, but did not include updated operating or cap-

ital cost estimates. The feasibility study shows a very attrac-

tive rate of return for the development using base case

assumptions and particularly attractive economics using the

prices these metals were trading at the time of the feasibil-

ity study update.

MICON 2008 FEASIBILITY STUDY UPDATE RESULTS

Pre-Tax IRR Pre-Tax NPV (8% Discount) Initial Capital

2008 Base Case 32.3% C$360.7 M C$215 M

April 2008 Metal Price Sensitivity 97.2% C$1,500 M C$215 M

The 2008 feasibility study update used metal prices of US$750/oz gold, US$20/lb cobalt, US$10/lb bismuth, and a C$/US$ exchange rate of C$1/US$0.97. April 2008 metal prices were US$900/oz

gold, US$50/lb cobalt, and US$16/lb bismuth. Mr. Ian Ward was the Qualified Person for the 2007 feasibility study and 2008 update in accordance with NI 43-101.

Right: One of Fortune’s four ball mills

from the Golden Giant Gold Mine

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CURRENT NICO AND SMPP ENGINEERING:

Front-end engineering and design for NICO and the SMPP are now nearing

completion by Aker Metals, a division of Aker Solutions Canada Inc., P&E

Mining Consultants Inc., SGS, Dan Mackie & Associates, Hydroproc

Consultants, EHA Engineering Ltd., Golder, and MDH Engineered Solutions

Corp. (“MDH”). Updated economics for the combined projects are expected

to be available in the third quarter of 2010. Notably, a number of operational

improvements have been made, which will positively impact project

economics, but also increase capital costs for the combined developments.

RECENT IMPROVEMENTS INCLUDE:

� Higher commodity price assumptions;

� Lower cost underground mine plan with no backfilling of mined out stopes;

� Increase in mill feed to 68% from higher grade underground ores in first 2 years of mine life;

� Identification of low strip starter pit to eliminate waste rock pre-stripping;

� Increased metal recoveries for cobalt and bismuth from pilot plant;

� Production of higher value bismuth and copper cathode products;

� Addition of copper to reserves and to the cash flow for the project;

� Downstream processing to metals moved to Saskatchewan to reduce process operating costs (lower power

and labour), and mitigate increase in capital (lower construction and labour costs);

16%increase in production rate

to 4,650 tonnes per day

43%increase in reserves to

31 million tonnes

18+number of years mine life

extended to

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METAL MARKETS:

NICO contains a significant gold co-product that will be the dominant source of revenue

for the project during the first two years of mine operations with annual production of

more than 81,000 ounces. Gold is an important store of wealth that is receiving signif-

icant investor interest as a counter cyclical market hedge.

NICO will have average annual production of approximately 4 million pounds (~1,800

tonnes) of cobalt, representing about 3% of the 2009 world market of approximately

65,000-70,000 tonnes. However, the market has been expanding at approximately 8%

annual growth and is expected to reach nearly 125,000 tonnes in the next few years

due to growing consumption. The largest growth in the market is attributed to the use

of cobalt in the manufacture of lithium ion and nickel metal hydride batteries for

portable electronic devices and plug-in electric and hybrid electric cars. The batteries

for these cars consumes approximately five to seven pounds of cobalt. Consumption of

cobalt is also growing in catalysts used in petroleum refining, liquid natural gas and the

manufacture of automobile tires and plastics. Cobalt is a high-strength, magnetic metal

used also in super-alloys for the aerospace industry, cutting tools, cemented carbides

and industrial magnets. The current price for 99.8% cobalt cathode is approximately

US$24 per pound.

NICO will have average annual production of approximately 4.2 million pounds (~1,900

tonnes) of bismuth, making Fortune Minerals the largest single source producer of bismuth

in the World outside China. Chinese mines presently produce almost 70% of the 2009

world market of approximately 15,000 tonnes. Bismuth is recognized as one of the

safest metals and is used in pharmaceuticals and medicines, including Pepto-bismol®,

bandage dressings, cosmetics, and medical devices. Bismuth is also one of the few

elements that expands upon cooling, making it ideal for a variety of dimensionally

stable alloys and compounds including castings and to protect the seals of automobile

windshields from deterioration. Although similar to lead with very high density and a low

melting temperature, unlike lead, bismuth is not toxic, and consumption is growing as

an environmentally safe replacement for lead in solders for plumbing and electronics,

brasses, hot-dip galvanizing alloys, paint pigments, ceramic glazes, ammunition, radiation

shielding and free-cutting steel. Bismuth is also used together with other metals for anti-

corrosion coatings on premium automobiles and is growing in use in the production of bis-

muth-tellurium alloys for the generation of electricity from heat recovery in diesel

engines. It is also used as a coolant for compact discs. Fortune Minerals has a letter of

intent with MCP Group, the world’s largest processor and consumer of bismuth-based

products to sell the Company’s bismuth production. Bismuth currently sells for about

US$10 per pound.

AVERAGE GOLD PRICE - US$/oz

2005 - $410

2006 - $603

2007 - $695

2008 - $872

2009 - $972

Q1 2010 - $1,109

AVERAGE COBALT PRICE - US$/lb

2005 - $15.67

2006 - $17.72

2007 - $29.69

2008 - $40.22

2009 - $17.67

Q1 2010 - $21.91

AVERAGE COPPER PRICE - US$/lb

2005 - $2.10

2006 - $3.06

2007 - $3.29

2008 - $3.29

2009 - $2.32

Q1 2010 - $3.28

AVERAGE BISMUTH PRICE - US$/lb

2005 - $4.08

2006 - $4.89

2007 - $13.76

2008 - $11.19

2009 - $7.53

Q1 2010 - $8.15

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COBALT USES 1. Batteries - 27%

2. Superalloys - 19%

3. Hard Metals - Cemented Carbides - 14%

4. Pigments - 10%

5. Catalysts - 9%

6. Magnets - 7%

7. Tire Adhesives, Soaps and Dryers - 6%

8. Hardfacing - 4%

9. Agriculture and Recording Media - 4%

BISMUTH USES 1. Metallurgical Additives - 43%

2. Fusible Alloys, Solders and Ammunition - 24%

3. Pharmaceuticals and Chemicals - 31%

4. Other Uses - 2%

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COMMUNITY RELATIONS AND PERMITTING:

The proposed NICO development is undergoing an environmental assessment (“EA”) in the NWT in order to permit the mine and concentrator.

With receipt of the EA Terms of Reference, Fortune Minerals is working on the second phase of the process with preparation of the Developers

Assessment Report for receipt of permits in 2011 and planned production in late 2012. The Company has been actively collecting baseline

environmental data at NICO and the surrounding area since 1998 through Golder and the Tlicho aboriginal people have participated in the

collection of this information. Work has included traditional use, archaeology, socio-economics, vegetation, wildlife, habitat mapping, hydro-

geology, surface hydrology, water quality, fisheries, meteorology and geochemistry studies. The Company is therefore well equipped to

complete the EA. Fortune Minerals has also been actively consulting with the Tlicho Government on its proposed development, including

the decision last year to move the hydrometallurgical process plant to Saskatchewan. Fortune Minerals intends to construct an environ-

mentally sustainable project for the benefit of all stakeholders.

Fortune Minerals is undergoing a concurrent permitting process in Saskatchewan to construct its SMPP near Saskatoon. The decision to

relocate this plant to Saskatchewan was based primarily on economic criteria, but also because of the significant support the Company

received from the Saskatchewan Government, through Enterprise Saskatchewan, and also the Saskatoon Regional Economic Development

Authority. Fortune Minerals has contracted MDH to conduct a hydrogeology assessment, geotechnical soil investigations for the plant site

as well as environmental base line studies to support ongoing permitting activities.

Plant site for the 2006-07 NICO

underground test mining program

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Fortune’s 100% owned Sue-Dianne copper-silver-gold deposit

contains a near-surface resource that is amenable to low-cost,

open pit mining with a low waste to ore strip ratio and remains

open for expansion to the east at depth. Sue-Dianne is located only

25 kilometres north of Fortune’s NICO deposit and proposed mill

and concentrator. Metallurgical tests carried out at SGS Lakefield

indicate high recoveries can be achieved for copper, silver and gold

from this deposit using simple flotation. A high value cathode

copper product can also be produced by pressure acid leach and

electrowinning in the plant which is proposed for NICO. Sue-

Dianne presents an excellent opportunity to supply incremental mill

feed to extend the life of the NICO concentrator.

SUE-DIANNE MINERAL RESOURCE ESTIMATES (0.40% Cu Cut-Off Grade)

Classification Tonnes Cu (%) Au (g/t) Ag (g/t) Cu (millions lbs) Au (oz) Ag (oz)

Indicated 8,444,000 0.80 0.07 3.2 149.1 19,000 855,000

Inferred 1,620,000 0.79 0.07 2.4 28.3 3,600 122,000

The Mineral Resources for the Sue-Dianne deposit were estimated B. Terrence Hennessey, P.Geo. of Micon and Eugene J. Puritch, P.Eng. of P&E Mining Consultants, using a 0.40% copper cut-off grade.

Sue-DianneCOPPER-SILVER-GOLD DEPOSIT

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Mount KlappanANTHRACITE COAL PROJECT

Fortune’s world class Mount Klappan project in northwest British Columbia

contains 2.8 billion tonnes of high rank anthracite coal, making this one of the

largest undeveloped deposits of metallurgical coal in the world. About $86 million

of work has been carried out to develop this asset, including $65 million by Gulf

Canada Resources Limited (“Gulf’) prior to being taken over by ConocoPhillips.

Mount Klappan has been assessed in a positive definitive feasibility study, and

more than 200,000 tonnes of coal was test mined from the Lost Fox and Hobbit

Broatch deposits for pilot plant processing and trial cargos of 100,000 tonnes of

finished coal products to customers in North America, Asia and Europe. Mount

Klappan is in the environmental assessment process for the development of a 3

million tonne per year mine and process plant and a new short-cut road to the

highway and port of Stewart. Fortune is pursuing a strategy of finding a partner to

help develop this very large asset before taking the project through the next steps of

mine permitting. With the current worldwide shortages of good quality metallurgical

coal and increasing prices, we have an attractive market to accomplish this objective.

LOCATION AND ACCESS:

Fortune’s coal licenses cover more than 150 square kilometres of lands straddling

the B.C. railway right-of-way, 150 kilometres northeast of the port of Stewart and

330 kilometres northeast of the port of Prince Rupert. Track has been installed on

this right-of-way to within 150 kilometres south of the proposed mine and the

largely completed road bed currently provides truck access to the provincial highway

system. There are two principal options to transport coal from Mount Klappan to

ocean ports. They include: upgrade and extension of the railway to provide unit

train service to Prince Rupert; or, construction of a new 100-kilometre short-cut

road for truck haulage of product to Stewart. The engineering and environmental

work for this road has already been largely completed as well as engineering for

an upgrade to the bulk terminal in Stewart.

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$86 millionof work has been carried out

to develop this asset.

61 millionproduct tonnes of 10% ash ultra-low

volatile PCI coal for use in theoverseas steel industry.

2.8 billion tonnesof high rank anthracite coal, making this one of the

largest undeveloped deposits of metallurgical coal in the world.

1985-86 pilot plant test

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MINERAL RESOURCES AND RESERVES:

Coal has been identified in more than 30 seams at Mount Klappan to a depth

of 300 metres and coal delineated in four separate resource areas, referred

to as Lost Fox, Hobbit-Broatch, Summit and Nass deposits. Global resources

exceed 2.8 billion tonnes of in-situ anthracite coal, 108 million tonnes of

which are classified as Measured, 123 million tonnes as Indicated, and 2.6

billion tonnes in the Inferred and Speculative classes. Marston & Marston

Inc. (“Marston”) updated the mineral resources and reserves for the initial

open pit in the Lost Fox deposit, which include approximately 102 million in-

situ tonnes of coal that can be washed to produce 61 million product tonnes

of 10% ash ultra-low volatile PCI coal for use in the overseas steel industry.

Marston also completed a pre-feasibility economic assessment for a thermal

coal option, identifying reserves of 106 million tonnes.

MOUNT KLAPPAN RESOURCESArea Measured (MT) Indicated (MT) Demonstrated (MT) Inferred (MT) Speculative (MT)

Lost Fox 107.9 109.5 217.4 91.5 749.6

Hobbit-Broatch – 13.5 13.5 258.4 753.0

Summit – – – 9.6 508.9

Nass – – – – 201.5

Total 107.9 123.0 230.9 359.5 2,213.0

LOST FOX METALLURGICAL COAL RESERVESIn Situ Coal Reserves (MT) 10% Ash Product Reserves (MT)

Measured Indicated Total In-Situ Proven Probable Total Product

85.6 16.1 101.7 51.6 9.2 60.8

LOST FOX THERMAL COAL RESERVESIn-Situ Coal Reserves (MT)

Proven Probable TOTAL RESERVES (MT) ROM COAL STRIP RATIO (bcm/t)

89.5 16.8 106.3 6.6 - life of mine (5.9 - 1st 25 yrs)

MT = millions of tonnes, ROM = Run-of-Mine, Bcm/t = bank cubic metres/tonne

The Mount Klappan Mineral Resource and Mineral Reserve estimates were prepared in 2002, 2005, and 2007, respectively, by Marston Canada Ltd. in compliance with National Instrument 43-101.Richard Marston, P.E. is the Qualified Person responsible for the estimates. For further information on the details of these estimates, please refer to the Company’s disclosures on the Sedar websiteat www.sedar.com.

Left: Feasibility study ultimate pit and

waste rock management areas

Right: 1985-86 test mining the

Lost Fox deposit I-seam

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FEASIBILITY STUDIES:

Mount Klappan has been assessed in several positive

feasibility studies, which demonstrate attractive rates

of return for the project under a number of development

scenarios. The most recent definitive feasibility study

was conducted by Marston in 2008, which assessed

an open pit mine, wash plant and infrastructure to

support production of 3 million tonnes of metallurgical

coal over a minimum 20-year mine life. This study

contemplates production of a 10% ash pulverized coal

injection (PCI) coal for the steel industry, and potential

diversification into charge carbon, sinter and thermal

coal products. Current metallurgical coal prices are well

above the assumptions used in the feasibility study,

which indicates a base case pre-tax internal rate of

return of 40.9% and 8% discounted net present value of

more than C$1.28 billion.

Charge Carbon PCI Sinter / Thermal Thermal

Product Product Product Product

Size 35X6mm 50X0mm 50X0mm 0.5X0mm

Fixed Carbon (%) 84.8 82.6 77.5 67.4

Ash (%) 8 10 15 25

Volatiles (%) 6.4 6.5 6.2 6.6

Sulphur (%) 0.5 0.5 0.5 0.6

Residual Moisture (%) 0.9 0.9 1.1 1.1

Total Moisture (%) 9 9 10 10

HGI 40-45 40-45 40-45 40-45

Energy Kcal/Kg 7,639 7,423 6,830 5,957

Energy GJ/t 32.0 31.1 28.6 25.0

Energy Btu/lb 13,741 13,352 12,285 10,716

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Feasibility study mine plan and process plant

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2008 FEASIBILITY BASE CASE ECONOMICSPRE-TAX AFTER-TAX

IRR 40.9% 31.2%

NPV (8% DISCOUNT) C$ 1,281 M C$ 749 M

CAPITAL (1ST 3 YEARS) C$ 656 M

The 2008 Marston Feasibility study was conducted using base case prices of US$175 per tonne for PCI during the first 5 years, then US$150 per tonne for the remainder of the 20-year mine life.

Coal price sensitivities were also assessed between US$100 to US$300 per tonne. The study was initially conducted using a Canadian to U.S. dollar exchange rate of C$1.00 = US$ 0.97 (C$ 1.03

= US$ 1.00). This currency exchange rate became out of date and the economics was subsequently re-assessed using C$1.00 = US$0.83 (C$ 1.20 = US$ 1.00). Richard Marston, P.E. was the

Qualified Person for National Instrument 43-101. For further information on the details of this study, please refer to the Company’s disclosures on the Sedar website at www.sedar.com.

2008 FEASIBILITY STUDY COAL PRICE SENSITIVITIESFOBT PRICE PRE-TAX PRE-TAX NPV AFTER-TAX AFTER-TAX NPV CASH COST

(US$/t) IRR (%) (8% DISCOUNT) (C$ Millions) IRR (%) (8% DISCOUNT) (C$ Millions) (US$/t)

110 7.8 (8) 4.2 (119) 84.77

120 14.8 280 10.5 83 85.17

130 20.6 536 15.3 256 87.14

140 26.0 790 19.9 428 88.72

150 31.3 1,052 24.2 599 90.00

175 43.6 1,690 33.9 1,013 93.55

200 55.9 2,346 43.2 1,436 96.63

225 67.8 2,991 52.1 1,852 99.94

250 79.3 3,636 60.8 2,26 103.22

275 90.7 4,281 69.1 2,684 106.50

300 101.9 4,921 76.9 3,096 109.90

Note: The cash cost per tonne of coal includes government production royalties, which escalate with higher revenues resulting from increased coal price assumptions.

1985-86 pilot test plant

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ATHRACITE MARKET:

Anthracite is the highest quality coal, measured by carbon and energy content, and represents only 1%

of world coal reserves. These unique properties make anthracite suitable for use in a broad range of

metallurgical, thermal, water purification and composite material products. Anthracite is utilized as a

premium ultra-low volatile pulverized coal injection (“PCI”) coal used to manufacture steel because

injection favours the very low volatile content, which could otherwise explode with higher gas content

coals. Injection is a cheaper and more efficient method of making steel and most steel companies have

converted to this process. The steel industry also consumes anthracite as a blend coal to replace coke,

and with pig iron in sintering plants. Anthracite reductants are used in aluminum and titanium processing,

and as charge carbon in electric-arc steel manufacturing. Carbon filters for water purification are made

from anthracite and it is also used to make carbon composite materials. Thermal uses for anthracite

include smokeless fuels in space heating, heating and cooking briquettes, and kiln fuels used to make

cement and lime. Approximately 40% of the world's electricity is generated from coal-fired power plants,

many of which are configured to burn anthracite. The rising cost of oil is also making gasification and

coal-to-oil liquefaction technologies economically attractive whereby coal is used to make synthetic diesel

and jet fuels. World annual production of anthracite is approximately 400 million tonnes, most of which is

consumed locally for power generation. Notably, China produces half of the world’s anthracite supply and

has now become a net importer. Vietnam, the world’s second largest producer, is also curtailing exports

in order to satisfy its own domestic energy requirements. The global shortage of all metallurgical coals is

resulting in supply imbalance and prices exceeding US$300 per tonne for some premium products and

PCI prices of US$200 per tonne.

AVERAGE COAL PRICES (US$/tonne)

2005 - ULV PCI - $100

2005 - Coking - $125

2006 - ULV PCI - $88

2006 - Coking - $115

2007 - ULV PCI - $80

2007 - Coking - $100

2008 - ULV PCI - $275

2008 - Coking - $300

2009 - ULV PCI - $120

2009 - Coking - $130

Q1 2010 - ULV PCI - $200

Q1 2010 - Coking - $230

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PERMITTING AND COMMUNITY RELATIONS:

Fortune has been actively collecting baseline environmental data since

2004 for the Mount Klappan project and its access corridors. In addition to

the work conducted for Fortune, the project has benefited from studies

undertaken in the 1980’s and 1990’s by Gulf. Studies have included tradi-

tional use, archaeology, socio-economics, human health/country foods,

land use, soils, vegetation, wildlife, habitat mapping, hydrogeology, surface

hydrology, water quality, wetlands, fisheries, meteorology and metal leach-

ing/acid rock drainage potential. The project is currently in the environmen-

tal assessment process to permit the mine and was recently given major

project status to streamline this process. Fortune Minerals is not advancing

the project, however, until it secures a suitable development partner. In early

2009, Fortune also completed an environmental assessment cooperation

agreement with the Tahltan Nation. This agreement sets out the mutual

respect of each others interests and the framework for efficient navigation

through the environmental assessment process when it resumes.

Below: Through the EA process, Fortune is working with First Nations and

other local people to help preserve the beauty of areas not affected by other

commercial or industrial uses and mitigating any impacts that do occur.

JOINT VENTURE DISCUSSIONS:

In 2008, Fortune Minerals retained CIBC World Mar-

kets as its financial advisor to assess alternatives

for partnering the Mount Klappan project. The global

financial crisis in late 2008 precluded the Company

from completing this process and the engagement

was terminated. Market conditions for metallurgical

coal have now recovered and there is a severe

worldwide shortage of good quality metallurgical

coals. In addition to strong prices, steel companies

capitulated to coal producer demands for quarterly

pricing instead of the traditional annual contracts.

Prices are predicted to move higher later this year.

Fortune Minerals is in discussions with investment

bankers with the view to reinitiating the Mount

Klappan engagement process.

Left above: Briquettes

Left below: Lump coal and filter media

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Board of Directors

WILLIAM A. BREUKELMANM.B.A., B.A.Sc., P.Eng., Mississauga, Ontario.

Bill is Chairman and Principal of Gedex Inc.,

a unique company with a high definition

airborne gravity gradiometer technology that

will empower a new resource discovery

industry. Bill is also Chairman and Principal of

Business Arts Inc., a technology incubation

firm. Bill previously Chaired Imax Corporation

and helped it grow into a multinational

entertainment company.

SHOU WU (GRANT) CHENM.B.A., M.Sc., Hong Kong, China.

Grant is Deputy Chairman and CEO of China

Mining Resources Group Limited, a Hong Kong

based company that mines and processes

molybdenum, copper, zinc and other metal

products in China and invests in Canadian

mining companies. Grant previously worked

as a geologist in the precious metals sector in

China and then as an analyst and merchant

banker, and subsequently, Senior Vice

President in the Mining and Metals Division

for Standard Bank.

CARL L. CLOUTERGander, Newfoundland.

Carl is a commercial pilot and former owner

of a charter airline in the Northwest

Territories. He has been active in mineral

exploration in conjunction with more than 35

years of flying in Canada. Carl previously

served as a Sentencing Justice of the Peace

and on the board for the mineral development

assistance program for the Government of the

Northwest Territories.

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JAMES CURRIEB.Sc. (Hons.), P.Eng., Abbotsford, B.C.

Jim is Executive Vice President Operations

and COO for New Gold Inc. With 30 years of

mining engineering and management experi-

ence, Jim has worked on gold, base metals,

coal and industrial minerals projects. Jim

was previously Vice President Operations

with Miramar Mining Corp., General Manager

in Mauritania for First Quantum Minerals Ltd.,

and has worked for major mining companies,

including Placer-Dome Inc., Noranda Inc. and

Fording Coal Limited.

GEORGE M. DOUMETM.Sc., M.B.A., Vancouver, B.C.

(Chairman of the Board)

George is a chemical and nuclear engineer and

President and CEO of Federal White Cement

Ltd., a specialty cement manufacturer. George

is also a principal in other businesses involved

in the mining, production, marketing and

distribution of specialty building products,

chemicals and industrial minerals. George

also serves as a director of the Portland

Cement Association.

JAMES D. EXCELLB.A.Sc., Kelowna, B.C.

Jim is a metallurgical engineer and President

of Narego Solutions Inc. Jim was previously

President and CEO of North American Palladium

Inc., and a senior executive at BHP-Billiton.

With more than 35 years of mining experience,

Jim has managed coal operations in Australia

and the USA, and the Ekati Diamond and Island

Copper mines in Canada. Jim is also a director

of Diamondex Resources Ltd., the Prospectors

and Developers Association of Canada and

Advanced Explorations Inc.

ROBIN E. GOADM.Sc., P.Geo., Arva, Ontario.

Robin is a geologist and President and CEO of

Fortune Minerals Limited. With 28 years of

experience in the mining and exploration

industries in Canada and internationally, Robin

has worked for major mining companies and as

a consultant to resource companies and

government. Robin is a director of the NWT and

Nunavut Chamber of Mines and has served as

President and director of other TSX listed

exploration and development companies.

DAVID A. KNIGHTB.A., LL.B., Oakville, Ontario.

David is a partner with Macleod Dixon LLP,

Barristers and Solicitors, a major Canadian

law firm with extensive experience in the

resource sector. David specializes in securities

law, including public and private financings,

take-overs, stock exchange listings, mergers

and acquisitions and regulatory compliance

and acts for investment dealers and issuers.

David is a member of the Law Society of

Upper Canada.

MAHENDRA NAIKB.Comm., C.A., Unionville, Ontario.

Mahendra is a Chartered Accountant and

CFO of Fundeco Inc., a private investment

company. Mahendra is a founding director of

IAMGOLD Corporation, a TSX and NYSE listed

mid-tier gold mining company. As former CFO,

Mahendra led negotiations for the Sadiola

Mine and Yatela Mine joint ventures with Anglo

American and was responsible for raising

more than US$ 550 million in project debt and

equity financings. Mahendra is also a director

of several private companies.

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OfficersGEORGE M. DOUMET, M.Sc. M.B.A.

Chairman of the Board(Profile under Board of Directors)

ROBIN E. GOAD, M.Sc., P.Geo.

President and CEO(Profile under Board of Directors)

DAVID A. KNIGHT, B.A., LL.B.

Secretary(Profile under Board of Directors)

THOMAS R. RINALDI, B.Sc.

Vice President OperationsTom is a mining engineer with 26 years of

management and engineering experience with gold,

copper and industrial mineral producers including,

Magma Copper, USMX and United Salt.

JULIAN B. KEMP, B.B.A., C.A.

Vice President Finance and CFOJulian is a Chartered Accountant with 20 years of

mining company experience, including senior

financial roles in St. Andrew Goldfields Ltd.,

William Resources Inc., Hillsborough Resources

Limited and their mining contracting divisions.

Administration in London from left to right: Jennifer Kraemer,Lindsay Simmons, Susan Andersen and Rena Zhu.

AUDITORS: Ernst & Young LLP

London, Ontario

TRANSFER AGENT: Computershare Investor Services Inc.

Toronto, Ontario

BANK: Canadian Imperial Bank of Commerce (CIBC)

London, Ontario

CAPITALIZATION: Authorized: Unlimited

Common Shares Issued (April 1, 2010): 94,779,407

Warrants Issued: 20,890,275 exercisable at between $0.72

to $3.00 before December 3, 2011 to April 16, 2013.

Compensation Units Issued: 1,592,313 exercisable at

$0.65 per unit before December 3, 2011 into one share

and 1/2 of 1 warrant.

STOCK EXCHANGE LISTING: The Toronto Stock Exchange,

Trading Symbols: Common Shares – “FT”

Warrants – “FT.WT.A”

LEGAL COUNSEL: Macleod Dixon LLP Barristers & Solicitors

Toronto, Ontario

CORPORATE INFORMATION:

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MICHAEL T. SAMUELS, B.Eng.

Director of Technical Services Mike is a graduate chemical engineer with 12

years experience in mine operations and man-

agement, including as Plant Superintendent at

the Ekati Diamond Mine and Chief Metallurgist

at the Miramar Con Gold Mine.

RICHARD P. SCHRYER, M.Sc., Ph.D.

Director of Regulatory and Environmental AffairsRick is an aquatic scientist with more than

20 years of experience in mine permitting,

environmental assessments, environmental

studies and monitoring, primarily with

Golder Associates Ltd.

ADAM G.J. JEAN, H.B.A., C.A.

ControllerAdam is a Chartered Accountant with

seven years of experience in audit, financial

assurance and risk advisory roles with Ernst

& Young LLP.

JAMES P. MUCKLOW, M.E.Sc., P.Eng.

Environment and Community Affairs ManagerJim is a geological and environmental

engineer with 20 years of experience includ-

ing, as Environmental Manager and Senior

Hydrogeologist with Wardrop Engineering,

Trow Consultants, and Golder Associates.

PATRICK J. MOLONEY, B.Sc., B.Ed.

Human Resources ManagerPat has 11 years of human resources,

labour relations and negotiations experience,

including HR management roles with Keiper

Limited, Coca-Cola Bottling Company

and Philips Lighting.

JARED ORYNIK, P.Eng.

Senior MetallurgistJared Orynik is a metallurgical and materials

engineer with seven years experience in

metal leaching and electro-winning at Teck

Resources’ metallurgical complex in Trail, B.C.

and Pogo Gold Mine in Alaska.

Managers

ANNUAL MEETING:

The Annual and Special Meeting of Shareholders will be held at The Fairmont Royal York Hotel, British Columbia Room (Mezzanine Level), 100 Front

Street West, Toronto, Ontario, M5J 1E3 on the 18th day of May, 2010 at 4:30 pm.

For those persons unable to attend, a second informal meeting for informational purposes will be held at The London Club, 177 Queens Avenue,

London, Ontario, N6A 1J1 on the 19th day of May, 2010 at 4:30 pm.

FORTUNEMINERALS LIMITED

140 Fullarton Street, Suite 1902, London, Ontario N6A 5P2

TEL: 519-858-8188 FAX: 519-858-8155

EMAIL: info@fortuneminerals.com

WEBSITE: www.fortuneminerals.com