Growth by discovery, acquisition

and development

Corporate presentation, February 2014

Phu Kham Copper-Gold and Ban Houayxai

Gold-Silver Operations providing strong cash

flow to support dividends and growth

Phu Kham brownfield opportunities to

progressively lift annual copper and gold

output:

Process plant capacity expanded in 2012;

Increased Recovery Project 2013

Copper production to increase steadily to

peak at approx. 90,000tpa in 2018/19

Pre-development opportunities:

KTL Copper-Gold Project, Laos

Inca de Oro Copper-Gold Project, Chile

Frieda River Copper-Gold Project, PNGi

Production and growth

i: The agreed acquisition of a majority interest in the Frieda River Project remains subject to a condition precedent.

Established operation with competitive

cash costs

Process plant expanded in 2012:

processing rates exceeding upgraded

16Mtpa plant design rate

Increased Recovery Project completed in

Jun quarter 2013: step change in

recoveries achieved

Copper production to increase steadily to

peak at approx. 90,000tpa in 2018/19

2013 production of 64,885t copper at an

average C1 cash costi of US$1.36/lb; all-

in sustaining costsii US$2.37

Phu Kham: a foundation for growth

i: C1 direct operating costs, based on payable copper in concentrate produced, after precious metal

credits.

ii: C1 cash costs plus royalties; corporate support and shared services costs; sustaining capital; lease

principal and interest charges; and deferred mining and inventory adjustments capitalised.

Data shown on a 100% equity basis.

Phu Kham: 16Mtpa Upgrade and Increased

Recovery Project

2nd regrind mill six additional cleaner cells

2nd filter

3rd transformer

2nd ball mill

Increased flotation capacity

16Mtpa Upgrade Project

Increased Recovery Project

Increased recovery achieved through less

selective rougher flotation together with

increased regrind, cleaner flotation and

concentrate handling capacity

Project completed June quarter 2013,

several months ahead of schedule and

under budget

Record recovery performances during the

December half 2013; copper 74.9% (up

from 71.1% for June half 2013); and gold

50.3% (up from 40.9%)

Copper recoveries for 2014 are scheduled

to range from 74% to 86% depending

upon ore quality

Phu Kham: Increased Recovery Project

Data shown on a 100% equity basis.

Ban Houayxai Gold-Silver Operation

Established operation, competitive costs

2013 production of 112,546oz gold at an

average C1 cash cost of US$611/oz after

silver credits; all-in sustaining costs of

US$964/oz

Pervasive zone of high-grade gold

mineralisation extends beneath the current

pit design

Ban Houayxai Gold-Silver Operation

Data shown on a 100% equity basis

Phu Kham district

1000m

N Phu Kham

Nam San

Haul Road prospect

LCT deposit

Nam Ve; 7km NW of LCT

High priority target for exploration

Prospective for copper-gold and gold-

silver mineralisation

Extends from Phu Kham at least 14km to

Nam Ve

Includes the LCT deposit

Nam Ve - scout drilling intersected high-

grade gold and copper-gold mineralisation

Other near-mine targets at Phu Kham to

be drill tested in 2014

Core shed prospect

Study largely completed on the low

capital cost development option to

truck high-grade copper mineralisation

to Phu Kham for processing

Close to existing road and power

infrastructure; nearby town of

Phonsavan could provide a workforce

Delivery of crushed ore to the Phu

Kham process plant will bypass that

operation’s crusher constraint

Ore Reserve estimate reported as a

subset of the Phu Kham Ore Reserve

KTL Copper-Gold Project, Laos

Data shown on a 100% equity basis.

Joint Venture with Codelco (PanAust 60.45%)

Sulphide feasibility study completed in mid-

2012; provided strong production in first five

years

Study extended to evaluate the potential for

existing oxide and additional sulphide

resources, including Carmen (PanAust 100%),

to make a material contribution to the Project

Considering options for project scale: from a

down-scaled higher grade 9Mtpa processing

rate to an expanded 18Mtpa processing rate

Initial evaluations favour the smaller, higher

grade approach which should provide

improved operating costs over the first ten

years of project life

Inca de Oro Copper-Gold Project, Chile

Carmen deposit (PanAust 100%):

positive results from resource drilling

Porphyry-style mineralisation

discovered, overprinting earlier IOCG

mineralisation

Near surface low strip ratio open-pit

opportunity

Carmen copper-gold deposit, Chile

Benefiting from existing infrastructure

Frieda River Copper-Gold Project

Frieda River Mineral Resources

HIT deposit: M I & I

Resources of 2,090Mt @

0.45% Cu, 0.22 g/t Au

Koki copper-gold

deposit

Ekwai copper-gold

deposit

Nena deposit: M I & I

Resources of 45Mt @

2.55% Cu, 0.60 g/t Au

Mineralisation

open at depth

Mineralisation

open at depth

Mineralisation

intersected by drilling

PanAust has entered into a share sale and purchase agreement with

Glencore Xstrata plc to acquire its shares in Xstrata Frieda River Ltd (XFRL)

Initial cash consideration of US$75M in two tranches: US$25 million upon

transaction close; and US$50 million on 31 December 2015

On successful completion of a project development a 2% NSR royalty

becomes payable that will not exceed US$50 million

Completion of the acquisition is consistent with PanAust’s strategy to ensure

access to sufficient mineral resources to secure the Company’s growth

beyond the life of the Phu Kham Operation in Laos

The likely timing for implementation of PanAust’s development concept for

Frieda River coincides with rising production levels scheduled for Phu Kham

The PanAust Glencore Agreement

Average annual production of 100,000t copper and 160,000oz gold in

concentrate at a C1 cash cost of approximately US$1.25/lb after gold credits*

Open pit mine with low strip ratio of less than 0.6:1

Mill feed of 430M tonnes grading 0.54% copper and 0.3g/t gold for an 18-year

mine life; represents 20% of the HIT Mineral Resource

Metallurgical recoveries of 80% to 85% for copper and 70% to 75% for gold

Development capital estimate**: US$1.5Bn to US$1.8Bn; competitive capital

intensity of approx. US$13,000/t of annual copper equivalent production

PanAust scoping study results

*Gold credit estimated at US$1,200/oz **2013 dollars

PanAust’s commitment to sustainable

development is a key consideration in the

way the Company undertakes its business

activities

Strong emphasis on delivering sustainable

benefits to the communities within the

vicinity of its operations

Further information on PanAust’s

sustainability programs and credentials,

including the latest Sustainability Report,

can be viewed at the Company’s website

Strong commitment to sustainable development

Around 50% of food requirements for the Phu Kham

camp are sourced locally

PanAust’s community development programs have a

strong focus on education

EBITDA expected to be between US$200M

and US$225M assuming a copper price of

between US$3.20/lb and US$3.40/lb,

US$1,300/oz gold and US$22/oz silver

Group consolidated production of 65,000t

to 70,000t copper, 160,000oz to 165,000oz

gold and approx. 1.2Moz silver

Phu Kham copper production of between

65,000t and 70,000t at an average C1 cash

cost of between US$1.50/lb and

US$1.60/lb

Ban Houayxai gold production of

approximately 100,000oz at an average C1

cash cost of between US$650/oz and

US$700/oz

2014 financial performance and outlook

Data shown on a 100% equity basis.

Competitive copper and gold producer

with strong cash flow to support growth

initiatives

Increased free cash flow following

conclusion of major capital development

program

Progressive increase in copper

production at Phu Kham; peaking at

approx. 90,000tpa in 2018/19

Organic growth provided by capital

efficient brownfield opportunities and

pre-development opportunities in Laos,

Chile and PNG

Proven track record as a successful

developer of operations

Summary

Supplementary slides

Listed on the Australian Securities Exchange (ASX:PNA)

Issued securities (20 Feb 2014) 621M shares

0.6M unlisted options & rights

Share price (20 Feb 2014) A$1.895

Market capitalisation A$1.2Bn

12-month average daily turnover ~A$10M

FY2012 dividends paid Total A$0.07/share

FY2013 dividends Total A$0.06/sharei

Substantial shareholders Guangdong Rising Assets

Management (GRAM) ~22.5%

Goldman Sachs Asset Management ~5.2%

Shareholding structure ~71% institutional investors (incl. GRAM)

Top 20 shareholders ~58%

PanAust Limited securities

i: Final dividend of A$0.03/share to be paid in April 2014

Cash of US$130.3M

Debt of US$162M; undrawn facilities of US$113M

Facilities comprise: US$250M revolving debt facility with a syndicate of

seven banks; a US$25M working capital facility

Four-year term (from Jan 2013); interest rate of US LIBOR plus a fixed

margin of 3.5%/yr on revolving facility (plus political risk insurance)

Equipment lease facilities drawn to a total of US$67.7M

Gearing (debt/debt+equity) of 18%

Financial position as at 31 December 2013

March 2013: PanAust received the 2013 Sustainability Leadership Award at the Asia Mining

Congress in Singapore in recognition of PanAust’s program to create and support business

opportunities within the villages closest to the Company’s mining operations in Laos

Previously at the Asia Mining Congress, PanAust received awards for “Best Community

Development Initiative” in the Southeast Asia category for:

2011 – The positive contribution that PanAust’s Technical Trades program had made to

local communities and the greater Lao economy

2010 – PanAust’s Livelihood Improvement Programme designed to assist sustainable

development of the local communities

December 2011: PanAust received the Government of Lao PDR Labour Order Class 1

Award for the “best development in a rural area” for the Company’s outstanding contribution

to rural socio-economic development and poverty eradication

December 2011: PanAust received the Ethical Investor magazine 11th Sustainability Award

within the social and community category in recognition of the Company’s Livelihood

Improvement Program that is designed to assist the sustainable development of the

communities around the Phu Kham Copper-Gold Operation in Laos

Award winning sustainability performance

PanAust’s commitment to sustainable development is a key consideration in

the way the Company undertakes its business activities and incorporates a

strong emphasis on delivering sustainable benefits to the communities within

the vicinity of its operations.

Further information on PanAust’s sustainability programs can be viewed at the

Company’s website www.panaust.com.au

Sustainability Report 2012: PanAust uses the reporting requirements of the

Global Reporting Initiative (GRI) G3, and reports to an A+ Application Level.

To achieve this rating the report has undergone external verification prior to

publication.

PanAust’s Sustainability Report and GRI index are available on PanAust’s

website at www.panaust.com.au/reports The 2012 Assurance Statement

provided by the external agency (ERM-Siam, Co Ltd) is incorporated into the

report.

Strong commitment to sustainable development

Good operating environment, stable

government

Ready access to key infrastructure: power,

water, road

Mineral Exploration and Production

Agreement (“MEPA”) – sets out approvals

process for project development, operating

framework and fiscal regime – mine

development fast track

30-year tenure refreshed with each new mine

development

25% company tax rate and net smelter return

royalty of 3% to 6%

GoL owns 10% of Phu Bia Mining Ltd,

PanAust’s Lao-registered entity

Laos: a great place to operate

Phu Kham copper-gold concentrate is

trucked to ports in Vietnam and

Thailand for export to custom smelters

Concentrate sold under a blend of

frame and spot price contracts to both

custom smelters and metals traders

The Company manages short-term

and provisional price risk (over the

quotational period) on copper sales

through swaps and fixed price

agreements with customers

Concentrate sales

This presentation has been prepared by the management of PanAust Limited (the 'Company') for the benefit of

brokers, analysts and investors and not as specific advice to any particular party or person.

The information is based on publicly available information, internally developed data and other sources. No

independent verification of those sources has been undertaken and where any opinion is expressed in this

document it is based on the assumptions and limitations mentioned herein and is an expression of present opinion

only. No warranties or representations can be made as to the origin, validity, accuracy, completeness, currency or

reliability of the information. The Company disclaims and excludes all liability (to the extent permitted by law), for

losses, claims, damages, demands, costs and expenses of whatever nature arising in any way out of or in

connection with the information, its accuracy, completeness or by reason of reliance by any person on any of it.

Where the Company expresses or implies an expectation or belief as to the success of future exploration and the

economic viability of future projects, such expectation or belief is based on management’s current predictions,

assumptions and projections. However, such forecasts are subject to risks, uncertainties and other factors which

could cause actual results to differ materially from future results expressed, projected or implied by such forecasts.

Such risks include, but are not limited to, exploration success, gold and copper price volatility, changes to the current

mineral resource estimates, changes to assumptions for capital and operating costs as well as political and

operational risks and governmental regulation outcomes. For more detail of risks and other factors, refer to the

Company's other Australian Securities Exchange announcements and filings. The Company does not have any

obligation to advise any person if it becomes aware of any inaccuracy in, or omission from, any forecast or to update

such forecast.

Important notice