Santa Cruz Returns to Production:

Exploration Continues in the Santa Cruz

Mining Camp, Durango, Mexico

Ben Whiting, Douglas Cavey and Jesus Betancourt

1er Congreso
“Tendencias de la Actividad Minera en Mexico”
4 – 6 Septiembre 2008
 Forward Looking Statements

Canadian listed companies are required to make an announcement:

This presentation may contain forward-looking statements including

but not limited to comments regarding the timing and content of
upcoming work programs, geological interpretations, receipt of
property titles, potential mineral recovery processes, etc. Forward-
looking statements address future events and conditions and
therefore involve inherent risks and uncertainties. Actual results may
differ materially from those currently anticipated in such statements.
Orex relies upon litigation protection for forward-looking statements.
 Content of Presentation

The Joint Venture - People

Santa Cruz Project - Introduction
Setting Objectives and Targets
History
Geology and Exploration
Production
Summary
 Introduction

Santa Cruz Au-Ag-Cu Project

A joint venture between
Silverex, S.A. de C.V.
Durango, Mexico
and
Orex Minerals Inc.
Vancouver, Canada
 People

A strong technical and management team:

C.P. Victor Salas Gamero – President, Silverex
Ing. Victor Salas Martos – VP Operations, Silverex
Mr. Gary Cope – President, Orex
Ing. Ben Whiting – Chief Geologist, Orex
Ing. Art Freeze – Director, Orex
Ing. George Cavey – Director, Orex
Ing. Miguel Davila – Technical Advisor
Project Leaders – Douglas Cavey and Jesus Betancourt
Introduction

Orex Minerals Inc.

(TSX Venture
Exchange: REX)
REX is
pleased to have as joint
venture partners
Silverex SA de CV of
Durango, Mexico
We are focusing on the
exploration and
development of Silver
and Gold in Mexico,
starting with the Santa
Cruz Project
Regional Map – Durango, Mexico
 Objectives and Targets

Main Objectives
• Explore a highly prospective and very
under-tested epithermal Au-Ag mining
camp in the heart of the
“Silver Lake Trend”
Sierra Madre Occidental

How large, but still realistic,

can our targets be?
 Objectives and Targets

Potential target types:

San Dimas (Tayoltita) - Goldcorp
La Cienega - Peñoles
 Objectives and Targets

2. Return to Production

Initially this is at a small scale with the current

Santa Cruz Mill at 50 tonnes/day, increasing to 90
tonnes/day --- Depending on exploration success,
how large an operation might be possible?

Potential target scales:

San Dimas – Goldcorp – 2,300 tonnes/day
La Cienega – Peñoles – 3,000 tonnes/day
 History

Santa Cruz,
Cruz like many Mexican mining camps, has a
long history of exploration and production at a small scale
1780s – Earliest phases of small scale mining.
1908 – Santa Cruz Mining Company (SCMC) created.
1910-1917 – Mexican Revolution.
1918-1934 – Intermittent production by SCMC.
1967-1983 – Private – Dougherty Family
1985-present – Private – Salas Family
2005 – Short exploration program by Minco
2007 – Orex Minerals joins with Silverex
2008 – Exploration and Production Resume
 Current Status

Where do we stand today?

Santa Cruz is a large contiguous land package of 16,502
hectares (~ 42,200 acres) mining camp
Historic producing mining operations on the property
A permitted flotation mill and support infrastructure,
reactivated in 2008.
 33 linear kms of Au and Ag bearing veins, with effectively
no historic drilling.
 A renewed exploration effort at a time of strong worldwide
metal demand.
 Geology

Geological Setting is of intermediate epithermal

gold-silver and base metals veins hosted in Tertiary
volcanics of the Sierra Madre Occidental.
The high plateaus are capped by rhyolites and dacite tuffs
of the “Upper Volcanic Series”
Main host for the veins is andesite tuffs and andesitic
agglomerate of the “Lower Volcanic Series” resting on a
basement of Cretaceous metasedimentary rocks.
 Multiple mineralized structures, with extensive alteration,
over 33 linear kms of Au and Ag bearing veins.
 Bonanza high-grade mineralization targets are present.
 The Santa Cruz Camp

 The Santa Cruz camp is divided into three structural districts –

Eastern, Central and Western as follows;
Santa Cruz Project Map
 Eastern District

Multiple northeast and east striking veins, exceeding 8 kms, include

La Fragua, Orozco, Las Trojas, San Luis, San Jose, San Pedro, San
Juan (east) and San Benedicto.

Current tennantite-tetrahedrite (commenced late April 2008)

production is from the La Fragua Mine. This is on east to northeast
striking structures, with narrow, but high-grade veins.

 Small-scale mine extracting tennantite-tetrahedrite (Cu, Ag, Au)

direct-shipping ore being sent to China.

 Additional material from La Fragua not meeting the direct shipping

classification is being processed in the Santa Cruz Mill, which restarted
in mid-June 2008.

 Two phases of drilling are planned for La Fragua and Orozco.

La Fragua – Quartz-Tennantite-Tetrahedrite Mineralization
 Central District

 Multiple north, northeast and east striking veins exceeding 17 kms,

include Santa Cruz, Guadalupana, Marte, Buena Suerte, Chino,
Grande, San Juan and Guadalupe. Only the Chino and Grande veins
have had a minor amount of historic drilling.

 Santa Cruz Mine,

Mine a past producer with 17 levels of underground
development to a depth of 240 metres.

 Drilling planned for the Santa Cruz vein to identify additional “clavos”
(mineralized shoots) along strike adjacent to the mine workings.

 Historic references of face sampling values over 0.25 to 1.00 m

widths show grade ranges 2.0 to 11.5 grams Au/tonne and 1,990 to
30,776 grams Ag/tonne.
Santa Cruz Facilities – Mill, Dormitory, Office, Cookhouse
 Western District

 Multiple northwest striking veins over 6 kms include Jesus Maria,

Christian, Zambraneña, La Perla, Carmen, Creston and Cordon.
Intense alteration zones envelop the veins.

Old mine workings at Zambraneña and La Perla will be re-opened for

examination and additional mapping.

Historic references of face sampling values over 0.50 to 3.00 m width

show grade ranges 1.0 to 26.0 grams Au/tonne and 900 to 3,500 grams
Ag/tonne.

 Highest grab sample recorded Au 5,500 g/t and Ag 110,000 g/t.

Road extension of the Zambraneña Road (upper road) and Jesus

Maria (lower road) has been conducted in 2008 to provide improved
access. The Western District has never been drilled. Two phases of
drilling are planned for 2008.
Jesus Maria Location
Sampling on Lower El Carmen Showing
 Highlights of 2007 Sampling

Sample Target Type Au Ag Ag * Cu Pb Zn

(true width) (g/t) (g/t) Equivalent (ppm) (ppm) (ppm)

100003 Carmen Chip -1.50m 0.370 197.0 219.2 24 918 1546

100004 Carmen Chip - 2.50m 1.002 284.0 344.1 38 108 199

100006 Zambraneña Rock grab 1.233 433.7 507.7 29 52 99

100009 Jesus Maria Chip - 1.00m 10.060 817.0 1420.6 112 470 647

100011 Jesus Maria Chip - 1.10m 1.444 663.6 750.2 114 826 1630

100013 Christian Chip - 1.50m 13.150 929.9 1718.9 134 187 382

100014 Christian Chip - 1.50m 7.780 348.7 815.5 65 85 215

100015 Santa Cruz Rock grab 6.500 882.1 1272.1 102000 95 2208

*Silver-equivalent is defined as silver grade plus 60 times gold grade. Metallurgical recoveries and net smelter
returns are assumed to be 100% for this purpose. Base metal values are not included in the silver-equivalent value.
La Christian Showing
 Exploration - Current Activities

 Current activities on site consist of road and bridge

repairs, as well as new road construction, to gain better
access to Orozco in the east and Zambraneña and Jesus
Maria in the west. The rainy season has made road
conditions a priority.

Ortho-photography has been flown and surveying control

stations have been prepared for topographic control.

 Reconnaissance sampling and geological mapping in the

Western and Eastern Districts has also commenced, as well
as the identification of drill targets.

A drilling program is planned for the dry season.

Road Repairs – Jesus Maria Road
 Proposed Budget 2008-09

Phase I Eastern Central Western Totals

Diamond Drilling No. of Holes 10 6 15

Metres 3000 2000 5000
@ $150/m $450,000 $300,000 $750,000 $1,500,000
Analytical No. of Samples 2000 2000 4000
@ $25/sample $50,000 $50,000 $100,000 $200,000
Geol/Tech (Re: Drilling)
@ $10/metre $30,000 $20,000 $50,000 $100,000
Geological Mapping $10,000 $10,000 $10,000 $30,000
Licensed Surveying $5,000 $5,000 $5,000 $15,000
Support Services $6,000 $4,000 $10,000 $20,000
Report Preparation /Management $10,000 $10,000 $20,000 $40,000
Contingencies @ 10% $56,100 $39,900 $94,500 $190,500
Totals $617,100 $438,900 $1,039,500 $2,095,000
 Proposed Budget 2008-09

Phase II Eastern Central Western Totals

Diamond Drilling No. of Holes 10 6 15

Metres 3000 2000 5000
@ $150/m $450,000 $300,000 $750,000 $1,500,000
Analytical No. of Samples 2000 2000 4000
@ $25/sample $50,000 $50,000 $100,000 $200,000
Geol/Tech (Re: Drilling)
@ $10/metre $30,000 $20,000 $50,000 $100,000
Metallurgical $10,000 $10,000 $10,000 $30,000
Testing
Licensed Surveying $5,000 $5,000 $5,000 $15,000
Support Services $6,000 $4,000 $10,000 $20,000
Report Preparation /Management $10,000 $10,000 $20,000 $40,000
Contingencies @ 10% $56,100 $39,900 $94,500 $190,500
Totals $617,100 $438,900 $1,039,500 $2,095,000
 Production - Current Activities

 Small-scale mining operation has resumed on the

Eastern District’s La Fragua Mine. This is for production of
direct-shipping high-grade tennantite-tetrahedrite ore and
for mill feed.
 The Santa Cruz Mine existing buildings, used to house
approximately 20 workers, are now refurbished and are
being utilized.
 Milling engineering consultants have examined the
Santa Cruz Mill and tailings.
 The Santa Cruz mill was overhauled and commenced
operation in mid-June 2008 at an initial 50 tdp. Initial
production results to be announced soon.
La Fragua – High-Grade and Stockpile Mineralization
Mill Renovations

South Ball Mill

Mill Renovations

Flotation Cells
Froth Flotation – Santa Cruz Mill
Fire Assay – Santa Cruz Lab
 Summary

 A two phase exploration geological mapping, sampling and diamond

drilling exploration program, consisting of 20,000 metres, has been
proposed for the 2008-09 season.
25 kilometres of road repairs have been completed to improve access
in the Central and Eastern Districts.
 New road construction to improve access to the Western District is
underway to complete an upper road to the Zambraneña and a lower
road to the Jesus Maria areas.
Resurfacing the Mesa de la Tortuga airstrip -1.6 Kilometres long, the
longest airstrip in the region.
Small-scale mining operation resumes on the Eastern District’s La
Fragua.
The Santa Cruz mill commenced operation in mid-June 2008 at an
initial 50 tdp, with expansion planned to 90 tdp.
Airstrip – Santa Cruz
 Capital Structure

Listing: TSX Venture Exchange

Trading Symbol: REX

Share Structure
Issued: 47,391,470
Warrants: 4,048,750
Options: 4,082,000
Fully diluted: 55,522,220

Working Capital $300,000

Fully Diluted Working Capital $2,500,000

52 Week Low/High CDN $0.15 to $0.51

 Warrants Outstanding

Warrants Outstanding
Each warrant is exercisable into one common share

Warrants Exercise Price Proceeds Expiry Date

4,048,750 $0.20 809,750 June 2009
Options Outstanding
Each option is exercisable into one common share

Options Exercise Price * Proceeds Expiry Year

684,000 $0.39 266,600 2009
203,000 $0.28 56,300 2010
1,430,000 $0.43 615,150 2011
1,565,000 $0.27 424,550 2012
3,882,000 $ 1,362,600

* Exercise price presented is a weighted average of all options that expire in the year.
Contact Information
 Contact Information

Orex Minerals Inc.

2610-1066 West Hastings Street
Vancouver, B.C. Canada V6E 3X2
Phone: +1.604.684.4691
Fax: +1.604.684.4601
Email: info@orexminerals.com
Web: www.orexminerals.com