Lustros Presentation 4 11 12

8/2/2019 Lustros Presentation 4 11 12

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April 2012


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Lustros Ltd. is a US publicly traded companycurrently trading under the symbol PWSV.

Through its subsidiary Bluestone SA (80%ownership) that controls Sulfatos Chile SA,Lustros Ltd. specializes in the production of

high-quality commercial grade copper sulfatevia traditional mining methods.

Through its subsidiary Mineraltus SA (80%ownership), Lustros Ltd. specializes in the

production of copper from the treatment oftailing (waste product of mining process).

Lustros Ltd


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CopperSulfate

Higher grade copper reserves are decreasing worldwide. Thisreality prompted Bluestone SA to develop a value-added productdirectly derived from copper, which is copper sulfate.

One kilogram of copper yields approximately four kilograms ofCopper Sulfate.


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Copper Sulfate: Uses

Copper Sulfate (CuSO4) has variousrich fundamental properties that makeit a useful commercial chemical. It iswidely used as a fungicide, herbicideand pesticide as well as an analyticalreagent.

Increasing demand for use as ahealthy additive to animal feed tonaturally induce hunger.

A comprehensive list of uses for

copper sulfate is available here.
http://www.copper.org/applications/compounds/table_a.htmlhttp://www.copper.org/applications/compounds/table_a.html


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Copper Sulfate Market

Strong Demand for Feed Grade Copper Sulfate:

Approximately 80% of copper sulfate produced globallyis made from copper scrap that contains toxins (such asDioxin), which are no longer accepted by Canada andother important consumer countries.

Our copper sulfate is produced directly from mineralcontent and is free from scrap pollutants making it anideal Feed Grade Copper Sulfate used for agriculturalpurposes.

There is strong interest from companies in Brazil,Canada, Colombia, Peru, and Chile to purchase our FeedGrade Copper Sulfate in quantities exceeding ourpotential production capacity.


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Lustros Strategic Opportunities

Bluestone SA (Traditional Mining):

Mineral rock is processed in our Copper Sulfateprocessing plant in Puerto Escuro, Chile. The mineralis extracted from our own Anika copper mine or bought

from local artisanal miners.

Mineraltus Ltd. (Treatment of Copper Tailings):

Tailings are waste materials generated by traditionalmining. There are over 800 closed mines in Chile, 50%of which are abandoned. Using our state-of-the-artpatented technology, we can extract copper from thesetailings with significant margins.

1

2


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Traditional Mining Subsidiary

Lustros Ltd

1

(via our 60% ownership of Sulfatos Chile,SA)


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Bluestone SA Traditional Mining

Raw Material Sources:

Bluestone SA owns the Anica Mine, a 25-hectare (62 acre) coppermine.

We secured mineral rights to an additional 800 hectares in the area(comprehensive long-term mining plan).

Artisanal miners also sell their mineral rock to the Chilean Governmentat subsidized prices. Mineral rock with below 1.1% copper content isnot accepted. We can buy this lower grade material at significantly

discounted prices.


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Bluestone SA Treatment PlantOur copper sulfate plant is processing

7,500 tons of material per month andis in the process of expanding to a15,000 ton capacity. This will generateapproximately $25M revenue and more

than $16M EBITDA annually.

Monthly capacity of the plant will reach 40,000 tons over a period of time.

The management team of this plant is exceptional and has beenrecognized by the regions authority in mining.
https://docs.google.com/document/d/1uvUCFRrZwMZZqszM4zHZtIClmgdgmvI3AG305DETmXw/edithttps://docs.google.com/document/d/1uvUCFRrZwMZZqszM4zHZtIClmgdgmvI3AG305DETmXw/edit


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Bluestone SA Rich Land

Our Anica copper mine includes 800hectares of land in a copper rich areaof Chile.

Our geologists estimate that therecould be as much as three million tonsof raw material with a copper density

of 1% to 1.5% in our property.


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Bluestone SA Numbers

This business model assumes onenew plant every six months, with tenactive plants by FY2017.

Our prototype plants are engineeredto process 84,000 tons of mineral

rock per year. Each plan yields 4,032tons of Copper Sulfate with a marketvalue of approximately $12.1MM.

These numbers include mining cost.Acquiring mineral rock from artisanal

miners should improve the economicssignificantly.


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Bluestone SA Forecast

This plan assumes that every new front requires a full new plant at$6MM each. We expect to leverage plants more efficiently.


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Bluestone SA P&L


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Treatment of Tailings Subsidiary

Lustros Ltd

2(Turning Waste into

Opportunity)


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Mineraltus SA Treatment of Tailings

Sources of Tailings:

Every ton of copper produced generates 80 tons of copper tailings.

Chile recently enacted a law requiring all mines to present a closureplan that includes treatment of tailings.

There are 846 mines with significant tailing deposits in Chile, 50% ofwhich are abandoned.

Chile produces 3.5 million tons of copper per year, with 280 million tonsof new tailings generated each year.

Mineraltus SA can clean up these tailings at a substantial profit,

charging the government for the clean-up and taking mineral rights onthe abandoned tailings.


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Treatment of Tailings Numbers

This model assumes the implementation of a new tailings front every threemonths.

For modeling purposes we have assumed a new plant for every project,however, it is safe to assume that we will be able to leverage some of the plantsfor several projects

Prototype Tailings Project Project Six-Year Plan

Total Investment $7,091 $214,217

Tons of Mineral Treated 3,600,000 26,750,000

Ley (gr / ton) 0.38% 0.38%

Recovery Rate 58.00% 58.00%

Copper Content 25.00% 25.00%

Total Tons of CuSO4 31,738 235,828

Price per Kg of CuSO4 $3.00 $3.00

Revenue ($000) $95,213 $707,484Operating Cost $44,367 $329,672

Administrative Cost $648 $4,815

Closure Costs $9,000 $66,875

EBITDA $41,198 $306,122


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Treatment of Tailings Forecast

Assumes covering 100% of closure costs. Plan is to charge the mineowner or the Chilean government for these costs.

Treatment of Tailings Forecast($000s)


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Treatment of Tailings P&L


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Combined Forecast

Lustros Ltd

2

(Summary of StrategicOpportunities)


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Income Statement Forecast

Combined forecast($000s)


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Income Statement P&L

Our fairly conservative forecast demonstrates tremendous potentialfor an extremely attractive valuation in the public market.


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Balance Sheet Forecast


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Management Team Highlights

Juan Carlos Camus

Chairman

Gonzalo Troncoso

President & COO

Our management team draws upon decades of experience andproven success in mining, exploration, production, and finance.Full resumes of our experienced Chilean management teamare available here.

Zirk EngelbrechtChief Executive Officer

Trish MaloneCFO & Secretary

Angelique de Maison

Principle Financier
https://docs.google.com/document/d/1H8BoxeFlFozyIVgWQab4br1x05JzN3dvAWCLaRqV74I/edithttps://docs.google.com/document/d/1H8BoxeFlFozyIVgWQab4br1x05JzN3dvAWCLaRqV74I/edit


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Thank You

Contact Info:

Gonzalo TroncosoPresident & COO

Phone: (909) 801-6969Email: [email protected]

Documents

Lustros Presentation 4 11 12