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MCS SERVICES LIMITED Investor Presentation 2013

Jul 29, 2013

65377_rns_2013-07-29_c56810e7-e785-401b-8d1c-effb80bcd6bc.pdf

Investor Presentation

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Acknowledgement & Disclosure
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The information in this presentation is published to inform you about Red Gum Resources Ltd ( RGX ) and its activities. All reasonable effort has been made to provide accurate information, but neither RGX nor any of its affiliates, advisers, consultants, agents or any of their respective directors, officers or employees ( Relevant Parties ) warrant or represent its accuracy and RGX reserves the right to make changes to it at any time without notice.

This presentation may contain certain statements and projections provided by or on behalf of RGX with respect to the anticipated future undertakings. These forward-looking statements reflect various assumptions by or on behalf of RGX. Accordingly, these statements are subject to significant business, economic and competitive uncertainties and contingencies associated with exploration and/or mining which may be beyond the control of RGX which could cause actual results or trends to differ materially, including but not limited to price fluctuations, exploration results, ore reserve and mineral resource estimation, environmental risks, physical risks, legislative and regulatory changes, political risks, project delay or advancement, ability to meet additional funding requirements, factors relating to title to properties, indigenous land rights and related issues, dependence on key personnel, share price volatility, approvals and cost estimates. Consequently, there can be no assurance that such statements and projections will be realised. Neither RGX nor any of the Relevant Parties make any representations as to the accuracy or completeness of any such statement or projection or that any forecasts will be achieved.

This presentation is not a prospectus, may not contain all information that you may require to evaluate RGX and does not constitute an invitation to apply for, an offer to subscribe for or buy, or an offer for the subscription or purchase of, any securities. This presentation is not for distribution in, nor does it constitute an offer of, securities for sale in any jurisdiction where such distribution or offer is unlawful. Potential investors must obtain their own independent advice and make and rely on their own assessment of the opportunity described in this document. This document is not a recommendation by any person in respect of an investment in, or acquisition of, RGX and does not constitute financial advice. No person makes any representation or warranty (express or implied) as to the accuracy, reasonableness or completeness of the content of this document and no person is under any obligation to update any information in this presentation.

To the extent permitted by law, neither RGX nor the Relevant Parties accept any responsibility or liability for any losses or damages of any kind arising out of the use of any information contained in this presentation and all liability is expressly disclaimed and released. Additionally, RGX and the Related Parties make no representation or warranty, express or implied, in relation to this presentation, and to the fullest extent permitted by law, no responsibility or liability (whether for negligence, under statute or otherwise) is or will be accepted by RGX or the Related Parties as to or in relation to the accuracy or completeness of the information, statements, opinions or matters (express or implied) arising out of, contained in or derived from this presentation or any omission from this presentation or of any other written or oral information or opinions provided now or in the future to any recipient or its advisers. In furnishing this presentation, RGX and the Related Parties undertake no obligation to provide any additional or updated information whether as a result of new information, future events or results or otherwise. Nothing in this material should be construed as either an offer to sell or a solicitation of an offer to buy or sell securities.

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Chile – Focused on a World Class Belt
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Cerro Verde Cuajone Quellaveco Toquepala Mocha Cerro Colorado Copaquire Quebrada Blanca Rosario El Abra SANTIAGO Chuquicamata Spence Sierra Gorda Centinela Gaby Polo Sur Zaldivar ANTOFAGASTA Chimborazo Escondida Lomas Bayas El Penon Guanaco El Salvador Manto Verde Potrerillos Los Azules La Coipa Candelaria Refugio Relincho La Fortuna • Pascua • El Indio LA SERENA • IOCG Deposits Andacollo Copper Deps. -others • Los Pelambres Gold Deposits El Espino

Leveraging Our Competitive Edge

Focused on Region IV Segment Less Intensive Historical Exploration Great Opportunities Available Other Nearby Juniors Successful (e.g. Hot Chili, Southern Hemisphere, Helix, Explorator, Pucobre)

Red Gum Focus

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Chile – High Value Growth
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Andocollo Porphyry (Teck) + CMD (Dayton) Red Gum 100%
400Mt @ 0.38% Cu + 3.4Moz Au
Red Gum Acquisition
Los Mantos IOCG (Hot Chili) Third Party Project
Vallecillos Polymetallic (Metminco)
8.1Mt @ 0.82g/t Au, 10 g/t Ag, 1.06% Zn, 0.33% Pb
Mollacas Porphyry (Metminco)
15.5Mt @ 0.51% Cu, 0.13g/t Au
Punitaqui IOCG (Glencore)
Prod. 39,000 tonnes Cu concs. in 2011
Joshua Porphyry (Helix)
Hado Porphyry (Helix)
San Lorenzo IOCG (Salfacorp)
Manuelito IOCG (Manuelito Minerals)
Llahuin Porphyry (Southern Hemisphere Mining)
106Mt @ 0.40% Cu equiv.
El Espino IOCG (Pucobre)
144Mt @ 0.55% Cu, 0.22 g/t Au 0 50
kms
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Drilling Program
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  • Diamond core hole drilling totalling 1500 m completed. Focused on recent geophysical survey anomalies and field mapping.

  • Encouraging results from the first three drill holes released 23[rd] July 2013.

  • Assay results for the remaining drill holes due shortly.

  • Two batches of results expected (RMD 008, 009, 010 and 011; followed by RMD 003, 004, 005 and 006).

  • • Operational and logistical activities successfully completed within short period.

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Chile – Majada IOCG Copper-Gold Project
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0 2
Majada Oeste km
Cu-Au Project
Majada Este
Cu-Au Project
San Lorenzo
Cu-Au
Discovery
12,000m Drilling
Resource
Definition in
Progress
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Majada-Drill Results to date
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Hole From(m) **To(m) ** Width(m) Cu(%) Ag (g/t) **Au(g/t) ** Mo(ppm)
RMD-001 20.00 38.00 18.00 0.67 5.96 0.05 3
including 22.00 25.00 3.00 1.72 22.67 0.04 2
including 31.00 32.00 1.00 1.23 3.30 0.14 3
RMD-002 9.00 25.00 16.00 0.82 2.30 0.05 1
including 10.00 13.00 3.00 1.30 2.77 0.09 0
including 17.00 20.00 3.00 1.72 3.43 0.09 0
RMD-007 26.00 33.00 7.00 1.37 2.50 0.19 139
including 27.25 28.40 1.15 5.54 10.50 0.67 47

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Majada West –Drill Results to Date
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Copper-mineralised zones report shallow intercepts up to 18.0 metres wide grading 0.67% Copper (including higher grade intervals up to 3.0 metres wide grading 1.72% Copper, 0.04 g/t Gold and 22.7 g/t Silver).

  • Mineralisation consistent between RDM 001 and 002, and coincident with shallow, linear, low resistivity anomaly of some 3 km strike length.

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Majada West Drill Results to Date
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008
001
009
011
002
003
010
Resistivity profile at 50m depth
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7 diamond drill holes designed to investigate strike length of shear zone contact between volcanics and intrusive granodiorite.

Good copper grades occurring at shallow depths in both Bore Holes 1 and 2, in oxide-sulphide transition zone at a depth of approximately 2040 m.

  • Assay results of BH’s 008, 009, 010 and 011 due shortly.

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Drill Hole #1, Majada West
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Drill Hole #2, Majada West
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Majada East - Drill Results to Date
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High grade Copper intersections of up to 5.54% encountered; first drill hole data assayed.

Grades above what is typically encountered in Chilean IOCG deposits.

Shallow vein-style copper mineralisation reports up to 7.0 metres grading 1.37% Copper, 0.19 g/t Gold, 2.5 g/t Silver and 139 ppm Molybdenum (including an interval of 1.15 metres grading 5.54% Copper, 0.67 g/t Gold, 10.5 g/t Silver and 47 ppm Molybdenum).Mineralisation ntersected at shallow depths, less than 35 m.

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Majada East Program
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005 004 007 006

Pursuing mineralisation potential proximal to chargeability anomaly broadly coincident with alteration zone between volcanics and intrusive granodiorite.

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Corporate Activity
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  • Recent completion of a fully underwritten Renounceable Rights Issue raising approximately $1.125 million.

  • Company is actively pursuing third party involvement in progressing its exploration and future programs for the Cerro Huancash Project in Peru.

  • Company is pursing more novel funding approaches for its Chilean based activities with the intention of reducing reliance upon equity markets.

  • Changes in Board Composition.

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Corporate Overview ASX:RGX

SHARES ON ISSUE: 112 m
Share Price (26/07/13) 0.027¢
Market Cap (AUD) $3.8m
Debt Nil
KEY SHAREHOLDERS: (26/7/13)
Directors and Founders 25.0%
Community Training Initiatives 3.71%
Warman Investments Pty Ltd. 5.71%
IBT Holdings 3.14%
Tigermoth Investments 5.29%
Nightfall Pty Ltd 2.07%
Washington H Soul Pattinson and Company Limited 1.19%
Bannerblock Super Fund A/C 1.10%
Top 20 shareholders 56.41%
No of shareholders ~400
BOARD OF DIRECTORS:
Ray Shaw Executive Chairman
Jennifer Tobin Non Executive Director
Torey Marshall Non Executive Director

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Peru Activities
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Cerro Huancash
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  • Proximity to Southern Peaks Mining Project is generating industry interest

  • Currently in discussions with third party groups with view to project participation.

 Renewal of local community agreements.

 Cerro Huancash represents a relatively low risk, extension of a known mineralised skarn . Cu-Zn-Au play

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Peru - Cerro Huancash Project
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0 1
km
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Map showing mineralized trend, Ariana Norte and Ariana Sur Prospects, plus Red Gum Resources claim (light blue) and claims controlled by Southern Peaks Mining/Pan American Silver (light green).

  • One 100% licence of 575.6 hectares

  • • Zinc, lead, copper, silver, gold targets over 3 kms of prospective “Ariana Corridor”

  • Southern Peaks Mining recently announced preliminary non 43-101 resources:

  • Ariana Norte : 19.74 Mt @ 1.65% copper, 2.06% zinc, 0.09% lead, 0.79g/t gold and 31g/t silver

  • Ariana Sur : 0.329 Mt @ 0.15% copper, 1.97% zinc, 1.04% lead and 230 g/t silver

  • • Southern Peaks Mining currently undertaking development drilling a few hundred metres north of RGX claim boundary (funded by Barclays)

  • • Red Gum Sampling Up to:

  • o 19.0% Zn, o 17.75% Pb, o 0.89% Cu, o 2,460 g/t Ag and 0.74 g/t Au

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Contact
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Red Gum Resources Limited (ASX : RGX) Suite 9 Lester Court 75a Angas Street Adelaide, SA, 5000

Dr Ray Shaw, Executive Chairman [email protected] Tel: 08 8223 1680 www.redgumresources.com

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Competent Person’s Statement
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  • The information in this document that relates to Exploration Results is based on information compiled by Dr Paul Pearson, who is Fellow of The Australasian Institute of Mining and Metallurgy. Dr Pearson is a consultant to Red Gum Resources Limited (and was formerly the managing director).

  • Dr Pearson has sufficient experience which is relevant to the style of mineralisation and 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’. Dr Pearson consents to the inclusion in this document of the matters based on his information in the form and context in which it appears and verifies that it is based on and fairly and accurately reflects in the form and context in which it appears, the information in any supporting documentation relating to Exploration Results, Mineral Resources and/or Ore Reserves.

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