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December 01, 2011
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Corporate Presentation - Orocan Resource Graphite

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Page 1: Corporate Presentation - Orocan Resource Graphite

December 01, 2011

Page 2: Corporate Presentation - Orocan Resource Graphite

Forward Looking Statements

This presentation contains forward looking statements that are subject

to a number of known and unknown risks, uncertainties and other

factors that may cause actual results to differ materially from those

anticipated in our forward looking statements. Factors that could cause

such differences include: uncertainties inherent in geological

interpretation, changes in world graphite markets, equity markets, cost

and supply of materials relevant to regulations affecting the mining

industry.

Although we believe the expectations reflected in our forward looking

statements are reasonable, results may vary, and we cannot guarantee

future results, levels of activity, or performance of achievements.

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Page 3: Corporate Presentation - Orocan Resource Graphite

Investment Highlights

A PURE PLAY GRAPHITE EXPLORATION COMPANY

Secured Significant Portfolio of Graphite Exploration Properties

► Twelve projects within three highly prospective districts in Quebec & Ontario

► All projects are in districts amenable to large flake, high purity graphite deposits

► All projects have the geological characteristics amenable to a major graphite discovery

Aggressive Exploration Strategy for 2012

► Airborne Electromagnetic - 10,000 line km’s

► Ground EM Survey

► First Phase drill program on a minimum 8-10 prioritized targets

Strong Fundamental Outlook for Graphite Prices

► Global increased consumption of graphite from emerging economies & new technology applications

► EU and USA have named graphite a supply critical mineral

Experienced Team

► Extensive in all areas of; exploration, development, production, and resource finance.

Favorable Share Structure

► Excellent leverage to exploration success with only 15.5m shares Issued & Outstanding

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Page 4: Corporate Presentation - Orocan Resource Graphite

Board and Management

Chris Bogart President & CEO

Director

Extensive experience in the areas of resource finance, business development,

strategic planning and corporate restructuring. President, of Metals Mgmt Group.

Within the Strategic Metals Sector, Mr. Bogart was a Co-founder of Magnum

Uranium a TSX.V company which was purchased by TSX Listed Energy Fuels

(TSX:EFR).

Antoine Fournier, M.Sc. Chief Geologist

20 years experience focused on the exploration of precious and high-tech metals and

minerals

Involved in several significant discoveries during his career, namely the Lac Knife

graphite deposit , Quebec.

Michael Philpot, MBA Director

28 years in the mining industry & currently VP / Co-founder of Coro Mining Corp.

Mr. Philpot held various executive positions with First Quantum Minerals Ltd., incl. VP

of Administration.

Alan Hitchborn, P Geo. Director

32 years of experience in exploration, development, and production including Vice-

President of Resource Estimation group Placer Dome.

Terese J. Gieselman Chief Financial Officer

22 yrs experience in the resource industry with the TSX, TSX.V, NASDAQ and

AMEX, as Chief Financial Officer, treasurer and corporate secretary

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Page 5: Corporate Presentation - Orocan Resource Graphite

Capital Structure

Symbol: OR:TSX.V

Share I/O: 16.58 Million

Warrants: 2.0 Million

Options: 1.03 Million

Fully-Diluted: 19.61 Million

Market Capitalization: $3.9 Million

Cash: $0.6 Million

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Page 6: Corporate Presentation - Orocan Resource Graphite

Graphite Overview

Graphite Highlights

Natural graphite is known for its conductivity, lubrication, heat resistance, and

bonding properties. The combination of conductivity and high-thermal stability allows

graphite to be used in many applications; in batteries, fuel cells, and refractories.

Graphite Pricing/Market

► Prices negotiated directly between producers

and end users

► China supply concerns (73% of global production)

► Tightening Supply, growing use in technological & green applications

– Li ion Batteries, fuel cells, nuclear reactors

► Lack of exploration and development of new projects

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14% 7% 4%

40%

21%

14%

Natural Graphite Consumption By End Use Brakes

Pencils

Other

Steel Manufacturing & Refractories

Carbon Brushes, Batteries, & Expanded Graphite

Lubricants Lubricants

Merchant Research & Consulting (2011)

Page 7: Corporate Presentation - Orocan Resource Graphite

Graphite Growth Dynamics

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► Lithium-ion battery market having a significant impact on the graphite market.

20-30 x more graphite ( by weight) to make Li-ion batteries

► Growth in the flake market also coming from green energy initiatives including fuel cells

and new generation nuclear power and from the evolving applications for graphene.

► Green energy initiatives especially fuel cells and solar electricity applications. Fuel cell

technology is seen as the future for sustainable, portable, self-contained energy

solutions.

► Pebble bed nuclear reactors (PBNR) offer a solution for safe nuclear power. In PNBRs

the fuel is embedded in graphite balls .

Current Li ion battery demand

30,00 tpy and growing 20-30%

annually

Page 8: Corporate Presentation - Orocan Resource Graphite

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► Current world production 1.1 MMt – 5% current growth rate, as high as 12% by 2015

► China produces around 73% of the world’s graphite.

► China has a 20% export duty plus a 17% VAT and has instituted an export licensing system to

ensure supply to its domestic economy.

► The dominance of China as a producer coupled with measures introduced by the Chinese

government are creating supply concerns for the rest of the world.

► Supply issues are exacerbated by the lack of exploration and new mine development over

decades.

“EU and USA have named graphite a supply critical mineral”

73%

7%

3%

2%

3%

12%

China

Brazil

Others

Canada

Korea

India

Graphite Production

USGS 2009

Page 9: Corporate Presentation - Orocan Resource Graphite

Graphite Prices

Graphite prices rising on strong demand

Source: Industrial Minerals Magazine 9

Graphite Product Carbon Content (%) Graphite Size (µm) Price (US$/t)

Large Flake 94-97% >177µm $2,500 - $3,000

Medium Flakes 94-97% 149-177µm $2,200 - $2,500

Fine Flake 94-97% <149µm $2,200 - $2,400

Amorphous 80-85% = >37µm $850

Page 10: Corporate Presentation - Orocan Resource Graphite

Property Locations

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Page 11: Corporate Presentation - Orocan Resource Graphite

Ontario Property Locations

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Page 12: Corporate Presentation - Orocan Resource Graphite

Black Donald Claim Map

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Page 13: Corporate Presentation - Orocan Resource Graphite

Black Donald Property

► Strategically surrounding the past producing Black Donald Mine this ~9000 ha.

property covers a substantial area favorable of marble +/- gneiss geology.

► 100% Interest, Good Infrastructure

► The Black Donald Graphite Mine was one of the largest and richest graphite deposits in

North America. It had reported historic ore grades of up to 80% Cg. During the last 10

years of mine life the average reported grade was 25-30% Cg. Some 94% of the total

value of Ontario graphite production came from the Black Donald Mine.

► Historic Drilling show very encouraging intercepts such as:

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Black Donald has definite potential to host another rusty gneiss-type deposit akin to those currently being developed by

Northern Graphite and Ontario Graphite. The real intrigue here however is the potential to find another high grade Black

Donald deposit in marbles with airborne EM under shallow overburden cover in this general area.

Hole # Length Grade (Cg)

3 32 ft 2.25%

Included 3.6 ft 5.0%

4 28.2 ft 2.36%

8 10.7 ft 5.80%

Included 10.5 ft 3.06%

9 17.5 ft 3.33%

Included 7.6 ft 2.77%

10 55.2 ft 3.77%

12 40 ft 2.67%

Page 14: Corporate Presentation - Orocan Resource Graphite

Little Bryan Claim Map

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Page 15: Corporate Presentation - Orocan Resource Graphite

Little Bryan Property

► 3250 ha. - 100% Interest

► Excellent Infrastructure

► Previously explored by Harrington Sound Resources – 1989

► Hosted in pyritic gneisses, the known graphite mineralization extends over

~ 1.3 km in a general east-west direction. Historic grab samples ranged from a reported 0.63% Cg to 34.06%Cg- Average grade 10.94% Cg

► Systematic channel sampling in trenches also yielded the historic reported results such as:

Disseminated large graphite flakes in gneiss (up to 2mm)

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Hole # Length Grade (Cg)

1 11m 3.79%

Included 6 m 5.15%

4 22 m 3.72%

5 11 m 4.74%

6 10 m 4.93%

Page 16: Corporate Presentation - Orocan Resource Graphite

Quebec Property Locations

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Page 17: Corporate Presentation - Orocan Resource Graphite

Quebec Properties

► There are three major graphite districts in Quebec; Wakefield, North Shore

and New Quebec with notable deposits such as Lac des Iles (Timcal) and

Lac Knife (Focus Metals).

► Our nine properties are all located within these districts and centered on the

metasedimentary belts of the Grenville with known marble/gneiss lithologies

considered essential to host graphite deposit and having been

metamorphosed to sufficiently high grade to produce the larger graphite

flakes.

► These individual blocks all host graphite of various grades (up to 30%+).

► They have not been explored by modern exploration methods.

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Page 18: Corporate Presentation - Orocan Resource Graphite

Quebec Property Overview

New Quebec District

Carheil

► High grade schist/marble lithologies favorable for large flakes.

► Proximal to Lac Knife graphite deposit.

► Excellent access.

► Presence of massive (>30%) graphite boulders and graphite seams in the rocks.

Sandy Lake

► High grade schist/marble lithologies favorable for large flakes.

► Similar geology to Lac knife

► Large claim block, regional targets.

► Up to 12.44% Cg in lenses.

Sandy Lake NE

► High grade schist/marble lithologies favorable for large flakes.

► Similar geology to Lac Knife

► Large claim block, regional targets.

► Up to 30.46% Cg in lenses.

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Page 19: Corporate Presentation - Orocan Resource Graphite

Quebec Property Overview (con’t)

North Shore District

River

► High grade schist/marble lithologies favorable for large flakes.

► Disseminated graphite similar to Bissett Creek type.

► Large claim block, regional targets.

► Poorly explored.

► Large area assaying between 0.1 to 10% graphite.

Wakefield District

Preston

► High grade schist/marble lithologies favorable for large flakes.

► Prospected targets with potential for high‐grade.

► Well circumscribed target with high grade .

► Underexplored.

Notre Dame

► High grade schist/marble lithologies favorable for large flakes.

► Excellent access and infrastructures.

► Largest claim block available in proximal location.

► 10% Cg from historical sampling.

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Page 20: Corporate Presentation - Orocan Resource Graphite

2011 Exploration Program

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Airborne

EM Survey

(10,000 Line

km’s @ 150m

spacing)

Ground EM -

Detailed

ground

geophysics

Mapping,

Sampling,

Trenching

over EM

Targets

First phase

metallurgical

tests on

graphitic

material

Evaluate

exploration

data to

delineate &

prioritize

targets for

Phase 1 drill

program

5,000 m of

DDH Drilling

to test 8-10

priority

targets

Evaluate drill

results to

determine to

prioritize

targets for

rapid

development

Page 21: Corporate Presentation - Orocan Resource Graphite

Contact Information

Orocan Resource Corp

#350-409 Granville St., Vancouver, BC

Canada, V6C-1T2

Tel: 604.683.2509

Fax: 604.683.2506

[email protected]

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