IRON BEAR RESOURCES LTD — Investor Presentation 2013

May 26, 2013

ASX Announcement 27 May 2013

Marampa Presentation

Cape Lambert Resources Limited ( ASX: CFE ) ( Company ) is pleased to attach a copy of a presentation in respect to the Marampa Project which will be presented by Company executives to potential investors in China this week.

Yours faithfully

Cape Lambert Resources Limited

Cape Lambert is an Australian domiciled, mineral investment company. Its current investment portfolio is geographically diverse and consists of mineral assets and interests in mining and exploration companies.

The Company continues to focus on investment in early stage resource projects and companies, primarily in iron ore, copper and gold. Its “hands on” approach is geared to add value and position assets for development and/or sale.

The Board and management exhibit a strong track record of delivering shareholder value.

Tony Sage

Executive Chairman

Australian Securities Exchange Code: CFE

Ordinary shares 685,107,562

Unlisted Options 11,040,000 ($0.29 exp 22 Nov 2013)

Board of Directors

Tony Sage Executive Chairman Tim Turner Non-executive Director Brian Maher Non-executive Director Ross Levin Non-executive Director Claire Tolcon Company Secretary

Key Projects and Interests Marampa Iron Ore Project Pinnacle Group Assets

Cape Lambert Contact

Tony Sage Executive Chairman

Eloise von Puttkammer Investor Relations

Phone: +61 8 9380 9555 Email: info@capelam.com.au

Australian Enquiries

Professional Public Relations David Tasker Phone: +61 8 9388 0944 Mobile: +61 433 112 936 Email: david.tasker@ppr.com.au

UK Enquiries

Tavistock Communications Emily Fenton / Jos Simson Phone: +44 (0)207 920 3150 Mobile: +44 (0)7899 870 450

www.capelam.com.au

Cape Lambert Resources Limited[ABN 71 095 047 920 ]

Corporate - 32 Harrogate Street, West Leederville WA 6007

Marampa Project

May 2013

Disclaimer

This presentation contains summary information about Marampa Iron Ore Limited ( Marampa ) and its activities and it is not intended for general circulation or publication and it cannot be reproduced without the prior written consent of Marampa.

This presentation contains forecasts and forward looking information. Such forecasts, projections and information are beyond the control of Marampa and are not a guarantee of future performance, involve unknown risks and uncertainties. Actual results and developments will almost certainly differ materially from those expressed or implied. Marampa has not audited or investigated the accuracy or completeness of the information, statements and opinions contained in this presentation. Accordingly, to the maximum extent permitted by applicable laws, Marampa makes no representation and can give no assurance, guarantee or warranty, express or implied, as to, and takes no responsibility and assumes no liability for, the authenticity, validity, accuracy, suitability or completeness of, or any errors in or omission, from any information, statement or opinion contained in this presentation. The information in this presentation is provided at the date of this presentation and is subject to change without notice and Marampa is under no obligation to update or keep current the information contained in this presentation.

You should not act or refrain from acting in reliance on this presentation. It does not purport to contain all information which its recipients may require in order to make an informed assessment of Marampa. You should conduct your own investigation and perform your own analysis in order to satisfy yourself as to the accuracy and completeness of the information, statements and opinions contained in this presentation before making any investment decision. This presentation does not constitute financial product advice (nor investment, tax, accounting or legal advice) and has been prepared without taking account of any person’s investment objectives, financial situation or particular needs.

Competent Person

The information in this presentation that relates to Exploration Results and Mineral Resources is based on information reviewed and compiled by Mr Olaf Frederickson who is a member of the Australasian Institute of Mining and Metallurgy. Mr Frederickson is a consultant to Marampa and has sufficient experience which is relevant to the style of mineralisation and the type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Frederickson consents to the inclusion in the presentation of this information in the form and context in which it appears.

The contents of this presentation relating to metallurgy are based on information compiled by Mr Mike Wardell-Johnson, a Member of the Australasian Institute of Mining and Metallurgy. Mr Wardell-Johnson is a consultant to Cape Lambert Resources Limited and has sufficient experience relevant to the styles of mineralisation and the deposit under consideration and to the activity he is undertaking to qualify as a Competent Person, as defined in the 2004 edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Wardell-Johnson consents to the inclusion in this presentation of the matters compiled by him in the form and context in which they appear.

Exploration Targets

The estimates of Exploration Target sizes should not be misunderstood as estimates of Mineral Resources. The estimates of Exploration Target sizes are conceptual in nature and there has been insufficient results received from drilling to date to estimate a Mineral Resource in accordance with the JORC Code (2004). It is uncertain if further exploration will result in the determination of a Mineral Resource.

Information in this presentation that relates to Exploration Results, Mineral Resources or Ore Reserves and is based on previous announcements made by Cape Lambert Resources Limited (or other relevant parties) to the ASX.

By accepting this presentation, you agree to be bound by the above conditions and limitations.

Project Overview

Location and Tenure	- Sierra Leone, West Africa - Granted Exploration Licence (305km2)
JORC Resource	- 681Mt @ 28.2% Fe
Product	- High-grade hematite concentrate (>65% Fe)
Development Strategy	- Stage 1 - 2.5Mtpa - Stage 2 - 10Mtpa - Stage 3 - 15Mtpa
Project Stage	- Environmental Licence Approved - Mining Licence in preparation - 15Mtpa Scoping Study update complete
Rail Access	- Stage 1 - 2Mwtpa (1.84Mtpa) - Binding Heads of Agreement HOA) in place with African Minerals Ltd. - Transport cost - open book, at cost plus 20%
Port Access	- Stage 1 - stockpile, reclaim, transhipping and ship loading at Pepel; - Stage 2/3 - stockpile, reclaim, ship loading up to 15Mtpa at proposed transhipping port at Tagrin
Mine Gate Sales	- Up to 2Mwpta for three years from commencement of production pricing indexed to Platts 62% Fe CFR North China

Pepel Infrastructure

Pepel Railway

Transhiping at Pepel Port

Key Project Parameters

Parameter	Units	Stage 1	Stage 2	Stage 3	Life of Mine
		2.5 Mtpa	10 Mtpa	15 Mtpa
Mine Life	years	1.5	1	13.5	16
Mining
Waste Mined	Mt	6.9	16.6	805.5	829.0
Ore Mined	Mt	15.0	26.6	513.7	555.3
Waste to Ore Ratio		0.5	0.6	1.6	1.5
Average Feed Head Grade	% Fe	36.2	31.9	26.8	27.3
Processing
Concentrate Produced	Mt	2.7	9.3	190.2	202.2
Mass Recovery	%	51.3	44.3	36.0	36.4
Capital Cost - Project	$M	345.1	838.8	456.6	1,640.5
Capital Cost - Transport Infrastructure	$M	23.1	482.1	191.0	696.2
Total Capital Cost	$M	368.2	1320.9	647.6	2,336.7
Unit OperatingCost	$/t ore	12.51	16.13	19.68	19.32
Unit OperatingCost	$/t Conc.	69.431	46.16	53.13	53.03

Based on 15Mtpa Updated Scoping Study - May 2013. Numbers are averaged over the years in which they occur.

• 1 Opex reduces to $50.42/t of concentrate if African Minerals exercises its option to purchase concentrate at Mine Gate.

Key Project Parameters - Financials[1]

Description	Unit	65% Fe Concentrate FOB Selling Price	65% Fe Concentrate FOB Selling Price	65% Fe Concentrate FOB Selling Price
		US$95 /t	US$100 /t	US$105 /t
Base Case – No Mine Gate Sales
Total Revenue	$M	19,213.3	20,224.5	21,235.8
Net Project Cashflow	$M	3,741.7	4,475.8	5,210.0
2NPV10%	$M	761.6	1,059.1	1,356.2
2IRR	%	17.7	20.4	22.9
Mine Gate Sales Case3
Total Revenue	$M	19,213.3	20,224.5	21,235.8
Net Project Cashflow	$M	3,762.8	4,496.9	5,231.1
2NPV10%	$M	883.8	1,191.6	1,497.3
2IRR	%	19.9	23.0	26.0

• 1 Based on 15Mtpa Updated Scoping Study – May 2013.

2 NPV and IRR numbers are after royalty and tax payments.

3 Assumes AML elects to exercise its option to purchase 2Mwtpa of concentrate at Mine Gate for 3 years.

Geology & Mineral Resources Deposits

• 7 known deposits

• 20km strike length

Drilling

• Drilling completed to 31 July 2011 totals 51,982m:

• 24,290m of RC drilling in 199 holes

• 27,692m of diamond drilling in 122 holes

• Drilling on 200m and selected 100m sections completed at Gafal, Matukia, Mafuri and Rotret deposits.

Mineral Resource

• Total JORC Indicated and Inferred Resources of 681 million tonnes at 28.2% Fe at 15% cutoff grade.

• Mineral Resource covers only 4 deposits (60% of known strike).

• Indicated Mineral Resource is 38% of total.

• Total Exploration Target[1] 1.0 – 1.25 billion tonnes at 20-38% Fe (including JORC resource).

1 Refer to Disclaimer on Slide 2 regarding Exploration Targets

Geology & Mineral Resources (cont.)

Ore Types

• Coarse-grained specular hematite in schist

• Laterite 1-5m thick (“red cap” ore) and soft oxide 20-30m deep (“powder ore”) with grades of 27-50% Fe.

• Hematite schist to >300m depth (“fresh ore”) with grades of 20-35% Fe.

Geology & Mineral Resources (cont.)

Ore Types Matukia: Laterite (“red-cap”) and Oxide Ore (“powder”) ores MPDD015 (0.0m -12.6m) 12.6m at 47.9% Fe, 23.5% SiO2, 4.4% Al2O3, 0.02% P, 0.0% S, 1.9% LOI

Gafal West: Fresh Ore MPDD038 (391.1m -397.2m) 6.1m at 38.3% Fe, 31.7% SiO2, 2.1% Al2O3, 0.12% P, 0.0% S, 4.2% LOI

Mining & Site Layout

Process Plant

• Centrally located and adjacent to existing railway.

• Stage 1 - Commencing 2016* - low Opex oxide circuit at 2.5Mtpa.

• Stage 2 - Increased output to 10Mtpa commencing 2018. Oxide and fresh ore circuits.

• Stage 3 - Increased output to 15Mtpa commencing 2019.

Conventional Open Pit Mining

• Soft oxide pre-stripping and mining.

• Multiple open pits provide working face flexibility.

• Conventional drill, blast, load and haul.

Mine Development

• Develop Rotret, Gafal and Mafuri for Stage 1.

• – Life of Mine strip ratio 1.5:1 (Waste: Ore).

• Commencement date can be brought forward to 2015 if Stage 1 is Fast Tracked

Geology & Mineral Resources

Metallurgical Testwork

• Based on bulk composite samples from many HQ and NQ diamond drill cores from Gafal West, Matukia and Rotret.

Process Flowsheet

• Simple and robust beneficiation process using proven wet high intensity magnetic separation (“WHIMS”) technology.

• Coarse grind size reduces power requirements.

Marampa Concentrate produced from Metallurgical Testwork

• Concentrate parameters:

• Hematite concentrate grading >65% Fe, <5% silica + alumina.

• Life of Mine mass yield of 36.4% with iron recovery 80-90%.

Power

• Grinding power <8kW/t ore (based on comminution testing).

• 15Mtpa Production - 125MW HFO power station - plantsite. - 26MW HFO power station – portsite.

Photomicrograph of hematite (black flakes) in schist; (scale bar = 0.5mm)

Primary Grind-Size Significantly Coarser than Magnetite Peers

• Three stage crushing and screening followed by ball milling to a coarse primary grind size (P98 of 850µm) with 3 stage WHIMS magnetic separation and one intermediate grinding stage. Final concentrate P80 of ~180-200µm.

• Coarse grind size significantly reduces Opex power costs.

• High grade hematite concentrate, with potential to produce premium DRI feed.

Company	Project	Primary Grind Size (P80μm)	Mass Recovery (%)	Concentrate Grades %	Concentrate Grades %	Concentrate Grades %	Concentrate Grades %	Concentrate Grades %
				Fe	SiO2	Al2O3	S	P
Marampa Iron Ore	Marampa*	440	46	64.7	3.2	1.0	0.002	0.01
Zanaga Iron Ore	Zanaga	65	33.6	66.1	4.5	0.19	N/A	N/A
African Minerals	Tonkolili	38	26.5	70.3	2.9	0.43	N/A	0.01
Bellzone	Kalia	65	31.8	68.7	3.9	0.14	0.320	0.01
Sundance	Mbalam	53	48	66.6	3.5	0.3	N/A	0.03
Gindalbie	Karara	35	39.6	68.2	4.75	0.08	N/A	0.01

• *Matukia run-of-mine composite sample with Fe recovery 94% N/A – Not Available

Transport

Rail

• Connected to existing ship loading facility at Pepel Port via 73km Marampa operational heavy haulage narrow gauge railway (Marampa Infrastructure).

Access

• Rights to access 2Mwtpa of capacity on the Marampa Infrastructure (rail and port).

• In addition, AML has 3 year option to purchase 2Mwtpa of concentrate at mine gate.

• Up to 15Mtpa through the proposed Tagrin trans-shipping port facilities (accessed via pumping concentrate to Tagrin).

Rail Proximity Comparative Advantage to Peers

Marampa is ~2.5km from existing operational heavy haulage Lunsar–Pepel railway

Estimated Rail Distances for Selected African Iron Ore Projects

London Mining ‐ Marampa 40 Road haulage then barging Existing Cape Lambert ‐ Marampa 73 CFE has access rights to African Minerals rail line Greenfield Bellzone ‐ Forecariah 76 Trucked to transhipping port of Konta Core Mining ‐ Kango 80 Likely combination of barging and transhipment, with rail later Wuhan Iron & Steel ‐ Bong 80 Severstal ‐ Putu 127 Xstrata ‐ Lebthenia 180 100km from existing SNIM rail line African Minerals ‐ Tonkolili 200 Phase 1: Refurbished for 74km with a new extension of 126km BHP ‐ Mt Nimba 240 Arcelor Mittal ‐ Western Range 260 Refurbishment completed in Sep 11 Bellzone ‐ Kalia 300 Rail to be built by Bellzone’s partner, CIF Core Mining ‐ Avima 300 Could link with SDL planned rail, or with Gabon national railway Affero ‐ Nkout 330 Adjacent to SDL planned rail corridor Equatorial ‐ Badondo 340 ~150km spur to SDL planned rail corridor Zanaga ‐ Zanaga 350 Needs refurbishment and capacity upgrade Exxaro ‐ Mayoka DSO 439 Needs refurbishment and capacity upgrade Equatorial ‐ Mayoka‐Moussondji 465 200km spur to existing Liberian railway Vale ‐ Simandou Blocks 1 & 2 475 Main rail corridor to unlock the region Sundance ‐ Mbalam / Nabeba 510 CMEC ‐ Belinga 560 >35km of existing Xstrata ‐ Askaf 600 SNIM line, access Xstrata ‐ Guelb El Aouj 650 deal likely Rio Tinto ‐ Simandou Blocks 3… 650 311km Arcelor Mittal ‐ Faleme 741 new track 0 100 200 300 400 500 600 700 800 Planned Rail Length (km)

Shipping

Stage 1

• Pepel Port - trans-shipment to Cape-size vessels in main channel of Freetown Harbour.

Stage 2

• Tagrin Port – construction of a 15Mtpa transshipping port. Barge transhipping to Cape-size vessels off the coast.

Pepel Port

Local Company Infrastructure

Management

• Project management and exploration teams in place.

• Administration office in Freetown.

Project Facilities - Lunsar

• Project office.

• Accommodation and messing for Ex-pat staff.

• Maintenance workshops and stores.

• Sample preparation laboratory.

• Drill core and sample storage.

Top: Sample preparation laboratory at Lunsar Middle: Drill core storage facility at Lunsar Project Office Bottom: Administration office in Freetown

Social Development

Community Projects

• Several projects completed since February 2010 including, school renovations, new schools, medical clinics.

National Employment

• Local employment including >100 Sierra Leone national staff, plus casual work force.

• Work force training.

Empowerment Projects

• Scholarship program.

• Food for work program.

Consultation

• Public hearings and feedback as part of Environmental and Social Impact Assessment process.

Appendices

A. Geology & Resource Summary B. Metallurgy Summary C. Sierra Leone Background

Appendix A: Mineral Resources at the Marampa Project[1]

Deposit	JORC Category	Tonnes	Grade (%)	Grade (%)	Grade (%)	Grade (%)	Grade (%)	Grade (%)
		(millions)	Fe	SiO2	Al2O3	P	S	LOI %
Matukia	Indicated	77	30.1	40.6	4.9	0.140	0.004	3.1
	Inferred	115	30.2	40.3	5.2	0.132	0.005	3.2
	Total	192	30.2	40.4	5.1	0.135	0.005	3.2
Gafal	Indicated	55	29.6	41.5	5.1	0.130	0.002	3.0
	Inferred	178	26.1	47.0	6.7	0.191	0.005	2.2
	Total	233	26.9	45.7	6.3	0.177	0.004	2.4
Mafuri	Indicated	130	27.5	45.0	5.8	0.150	0.002	2.3
	Inferred	59	27.4	45.2	7.8	0.100	0.009	2.9
	Total	189	27.5	45.1	6.4	0.140	0.004	2.5
Rotret	Inferred	67	29.2	44.1	6.3	0.140	0.008	2.4
Total Indicated		262	28.7	43.0	5.4	0.143	0.003	2.7
Total Inferred		419	27.9	44.5	6.4	0.153	0.006	2.6
Total		681	28.2	43.9	6.0	0.149	0.005	2.7

1 As estimated by Golder Associates in January 2013

Appendix B: Metallurgical Test Work Results

==> picture [641 x 255] intentionally omitted <==

----- Start of picture text -----

Final Product Grades
Head % Mass Iron
Composite
Grade Recovery Recovery
(Fresh ore)
% Fe % %
Fe SiO Al O P S
2 2 3
Gafal South
28.4 64.5 4.4 1.4 0.04 0.003 31.8 80.7
Oxide
Gafal South
26.7 65.8 2.7 1.0 0.01 0.003 30.4 84.3
Fresh (I)
Gafal South
27.4 65.7 1.6 0.6 0.01 0.002 32.9 84.2
Fresh (II)
----- End of picture text -----

Appendix C: Sierra Leone

• Population 6.2 million

• Total land area is 71,740km[2]

• Tropical climate, rainy season from May to November (3-4m /year)

• 2010 GDP US$4.8 billion growing at >7%/year

• Became independent from British colonial rule in 1961

• Constitutional Republic

• Civil war 1991-2002

• 134/178 countries in the 2010 Transparency International Corruption Perception Index (up from 159/180 in 2007)

• Established commercial and mining framework (based on English systems)

• Comprehensive and modern new law

  • “The Mines and Minerals Act

  • (2009)”

• 3 peaceful elections since 2002

• World Bank rates sovereign risk as “Low”