Xanadu Mines Creating value through discovery in Mongolia

C O R P O R A T E P R E S E N T A T I O N | O C T O B E R 2 0 1 7

FORWARD LOOKING STATEMENTS

Nature of this document: The purpose of this presentation is to provide general information about Xanadu Mines Limited (the 'Company'). Unless otherwise stated herein, the information in this presentation is based on the Company's own information and estimates. In attending this presentation or viewing this document you agree to be bound by the following terms and conditions.

Not an offer: This presentation is for information purposes only and does not constitute or form any part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any securities in the Company in any jurisdiction. This presentation and its contents must not be distributed, transmitted or viewed by any person in any jurisdiction where the distribution, transmission or viewing of this document would be unlawful under the securities or other laws of that or any other jurisdiction. This presentation is not considered a recommendation by the Company or any of its affiliates, directors or officers that any recipient invest in the Company nor does it constitute investment, accounting, financial, legal or tax advice.

Not financial product advice: This presentation does not take into account the individual investment objectives, financial situation and particular needs of each of the Company's Shareholders. You may wish to seek independent financial and taxation advice before making any decision in respect of this presentation. Neither the Company nor any of its related bodies corporate is licensed to provide financial product advice in respect of the Company's securities or any other financial products.

Forward‐looking statements: Certain statements in the presentation are or may be "forward‐looking statements" and represent the Company's intentions, projections, expectations or beliefs concerning, among other things, future operating and exploration results or the Company's future performance. These forward looking statements speak, and the presentation generally speaks, only at the date hereof. The projections, estimates and beliefs contained in such forward looking statements necessarily involve known and unknown risks and uncertainties, and are necessarily based on assumptions, which may cause the Company's actual performance and results in future periods to differ materially from any express or implied estimates or projections. It is recognised that it is common practice for a company to comment on and discuss its exploration in terms of target size and type. All statements contained in this presentation by the Company which refer to the potential quantity and grade of the target is accompanied by a detailed explanation of the basis for the statement. The potential quantity and grade for the target is conceptual in nature and, there has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the determination of a mineral resource.

Disclaimer: No representation or warranty, express or implied, is made by the Company that the material contained in this presentation will be achieved or prove to be correct. Except for statutory liability which cannot be excluded, each of the Company, its directors, officers, employees, advisers and agents expressly disclaims any responsibility for the accuracy, fairness, sufficiency or completeness of the material contained in this presentation, or any opinions or beliefs contained in this document, and excludes all liability whatsoever (including in negligence) for any loss or damage which may be suffered by any person as a consequence of any information in this presentation or any error or omission there from. The Company is under no obligation to update or keep current the information contained in this presentation or to correct any inaccuracy or omission which may become apparent, or to furnish any person with any further information, unless required to do so by law. Any opinions expressed in the presentation are subject to change without notice. Recipients of this presentation should make their own, independent investigation and assessment of the Company its business, assets and liabilities, prospects and profits and losses, as well as the matters covered in this presentation. Independent expert advice should be sought before any decision based on an assessment of the Company is made.

Unverified information: This presentation may contain information (including information derived from publicly available sources) that has not been independently verified by the Company.

JORC: The information in this report that relates to the exploration results previously reported in the ASX Announcements dated 28 July 2017. The Company is not aware of any new information or data that materially affects the information included in those relevant market announcements.

EXCEPTIONAL EXPLORATION SUCCESS

One of the most promising Cu‐Au projects globally

One of the highest grade porphyry discoveries

Recent drilling intercepts of 650m at +1% CuEq from surface

Exploration success set to extend resource Growing JORC Resource of 1,533 Mlb Cu & >2 Moz Au* Longest drill intersection & highest grades to date

Accelerated Kharmagtai drilling on multiple priority targets

Chalcopyrite‐pyrite‐ tourmaline cemented breccia: 2 m @ 5.16% Cu &

3.44 g/t Au

Experienced board & management team

*ASX announcement dated 19 March 2015 "Kharmagtai Maiden JORC Resource." Table 1 information dated 29 April 2016 continues to apply.

ONE OF THE PIONEERING COPPER EXPLORERS IN MONGOLIA

Capital structure

Share price (13 October 2017) A$0.31 52w range A$0.17‐0.31

Issued shares 588.7m

Market capitalisation A$182.5m

Cash (30 Jun 2017)¹ A$4.4m

Debt (30 Jun 2017)² A$3.6m

Enterprise value A$181.7m

¹ A$15.4m placement announced on 28 Sep 2017

² Noble facility settlement announced on 5 Oct 2017

Share Price Performance

Experienced Directors

Kevin Tomlinson

Non‐Executive Chairman

Experienced resources company CEO, director and financier with more than 30 years' experience within the Canadian, Australian and United Kingdom Stock markets. Previous development and production boards included Chairman of Medusa Mining (ASX, AIM, TSX) and NED on Centamin Plc (ASX, AIM, LSE, TSX) and Orbis Gold (ASX).

Andrew Stewart

Managing Director & Chief Executive Officer

Geologist with over 15 years' experience in minerals exploration primarily focused on project generation and evaluation and development of exploration strategies throughout Asia and Eastern Europe. Senior technical and management positions at Ivanhoe & Vale.

Ganbayar Lkhagvasuren

Executive Director

Co‐founder of Xanadu and Director since 2006. Joint venture partner in Mongol Metals LLC and brings a vital Mongolian perspective to the Board of Directors. Responsible for day‐to‐day operations in Mongolia.

Darryl Clark

Independent Non‐Executive Director

Exploration geologist with over 20 years' experience throughout Australia, Central Asia and South East Asia. Previous corporate roles with both Vale and BHP Billiton. Responsible for business development strategies and the coordination of discovery events.

Hannah Badenach

Non‐Executive Director

Director Mongolia and Head of Mongolia and Asian/Middle East base metals at Noble Resources International Pte Ltd. Extensive Mongolian, commercial and business development experience across a broad range of commodities.

Marcus Engelbrecht

Non‐Executive Director

Well‐rounded senior mining executive with more than 30 years industry experience. Spent 20 years with BHP Billiton and more recently was MD and CEO of a London listed gold miner operating in Indonesia. He has worked in various emerging markets across the globe, including in Africa and South East Asia.

Michele Muscillo

Non‐Executive Director

Michele has practised exclusively in corporate law for the duration of his legal career and has extensive experience in mergers and acquisitions and capital markets transactions, including the negotiation of significant commercial contracts and agreements. His key areas of practice include Corporate Advisory and Governance, Mergers and Acquisitions, Capital Markets and Resources and Energy.

Xanadu Mines Ltd. published this content on 17 October 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 17 October 2017 02:14:00 UTC.

Original documenthttp://www.xanadumines.com/irm/PDF/1979_0/XanaduPresentationto121MiningInvestmentConferenceHK

Public permalinkhttp://www.publicnow.com/view/AB51F6B1DD866652A94A941BC57F6DFE34AFD590