April 2009 1 Forward Looking Statements This presentation - - PowerPoint PPT Presentation

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April 2009

Forward Looking Statements

This presentation contains projections and forward looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance of the Corporation. These risks and uncertainties could cause actual results and the Corporation’s plans and objectives to differ materially from those expressed in the forward-looking

• information. Actual results and future events could differ materially

from anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and expressly qualified in their entirety by this notice. The Corporation assumes no obligation to update forward-looking information should circumstances or management’s estimates or opinions change.

Who’s Who In Argentina

ARGENTINA: An Emerging Silver Superpower?

2007 Mine Output Ag

• 1. Peru

112.3 M oz

• 2. Mexico

99.5

• 3. China

86.5

• 4. Australia

62.0

• 5. Chile

59.0 ………

• 14. Argentina

7.0

36.5 M Oz

+ San Jose 7.5 Moz (2009 est.) + Manantial Espejo 4.0 (2009 est.) + Pirquitas 10.0 + Navidad (Loma) 15.0

56.5 M Oz

+ Pascua Lama 20.0 Moz ???

ARGENTINA WOULD BECOME THE WORLD’S 4TH LARGEST PRODUCER

Silver Facts

• Silver has the highest electrical and

thermal conductivity of any metal, the highest optical reflectivity, and the lowest contact resistance.

• More patents being filed for new uses
• f silver each year than for all other

metals combined

• Silver is price inelastic in most

applications (medical, technology, engineering)

• 70% of silver comes to market as a

by-product from the mining of other metals (copper, lead, zinc, gold)

Silver Institute – World Silver Survey 2008; Theodore Butler 2008; Richard Karn: “Silver Intersection” 2006

One of the world’s largest undeveloped silver projects …

Navidad:

606 M oz Ag; 3.5 B lbs Pb

(Snowden Nov 2007)

… and one of the purest

Deposit Class Tonnes (Mt) Ag (g/t) Pb (%) Ag (Moz) Pb (Mlb)

Calcite Hill NW

M + I 14.6 80 0.57 37 182 Inf. 11.0 40 0.75 14 181 Calcite Hill M + I 15.4 98 0.71 49 242 Inf. 4.0 76 0.31 10 27 Navidad Hill M + I 14.4 104 0.40 48 127 Inf. 2.7 79 0.36 7 21 Connector M + I 8.1 93 0.4 24 71 Inf. 3.5 98 0.34 11 27 Galena Hill M + I 59.6 100 1.74 192 2,293 Inf. 10.1 67 1.05 22 235 Barite Hill M + I 6.5 176 0.38 37 54 Inf. 0.4 44 1.26 1 12 Loma M + I 9.1 225 0.09 66 19 Inf. 17.3 159 0.11 89 43 Valle Esperanza ??? Total M + I 127.7 110 1.06 453 2,988 Inf. 49.0 97 0.50 153 546

May 2004 243 M oz Feb 2006 299 M oz Nov 2007 453 M oz

Navidad History to Date

April ‘09 ??

Drilling in Argentina 2008: Navidad’s Contribution

Argentina: 668,000 metres Chubut 12.95% Chubut: 86,500 metres

Navidad: 74,595 metres 86% of Chubut 11% of Argentina

Resource Area 2007

… Expectations for 2009

Pelitas / Areniscas Latita - Superior Latita - Inferior Pelitas

38.65m @ 367 g/t Ag 24m @ 205 g/t Ag 34.40m @ 294 g/t Ag

50 m

270o 090o 20m @ 171 g/t Ag 11.3m @ 112 g/t Ag

Loma de la Plata Section

Mineralization from 0–100m depth

Pelites / Sandstones Latite – Superior Latie - Inferior Pelite

Loma Metallurgy

Conventional Flotation – No Cyanide Needed – High Value Concentrate 50,000 g/t Ag

Loma Open Pit Scoping Study

Economic with no reliance on base metal credits

• Average yearly production of 15M oz
• Average grade:

–231 g/t Ag (yrs 1-3) –140 g/t Ag (yr 4 onward)

• Stripping ratio of 1:1 for first stage pit
• Initial pit mining and processing costs of $4.75/oz
• Pre-production capital expenditures of $272.6M

–10,000 tpd operation with possible expansion to 30,000 tpd

• Silver recoveries 80% using conventional flotation

Based on $12.52/oz Ag and $3.23/lb Cu

Sept 18, 2008 NV08-802 returns: 19.7m @ 870 g/t Ag; 0.12% Pb

Valle Esperanza 2008 Discovery

NV08-649 returns: 20.0m @ 429 g/t Ag; 0.26% Pb

Metallurgy: Valle Esperanza & Barite Hill

As good or better than Loma

• Valle Esperanza:
• Approximately 92% silver recoveries
• High grade concentrate: 53,000 – 65,000 g/t Ag
• 30-35% combined Cu / Pb in concentrate
• Barite Hill:
• Approximately 80% silver recoveries
• High grade concentrate: 24,000 g/t Ag
• 30% combined Cu / Pb in concentrate

• G

R

• ING. JACOBACCI

CALCATREU MINA ANGELA

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GAN GAN ESQUEL BARILOCHE NAVIDAD GASTRE

2500000 mE 2600000 mE 2400000 mE 2300000 mE 5500000 mN 5400000 mN 5300000 mN 2200000 mE

Cerro Cóndor Los Adobes

Focus On Permitting

Depth in Argentina

90% of Navidad employees are Argentinean, 60% are from Chubut

An Experienced Team

CEO Marc Henderson (CFA)

>22 years public companies.

Executive Vice Martin Walter (MBA, Geologist) President

> 15 years experience

CFO Dennis Gibson (CGA)

> 10 years public companies.

VP Exploration John Chulick (MBA, Geologist)

> 23 years in Latin America Ex Meridian (El Penon)

VP Peruvian Dan Noone (MBA, Geologist) Operations

> 20 years in Peru Ex Homestake (Exploration Manager)

Chief Mining Damian Spring Engineer

> 15 years engineering experience

Chief Geologist Dean Williams

> 23 years exploration experience

Environmental Manager Matthew Andrews

> 13 years experience

Manager Institutional Alberto Messidoro and Government Relations

> 15 years experience Ex Yamana’s Agua Rica

Independent Directors

Blaise Yerly Chairman

Director since 1998 International construction equipment

David Constable Director

2002 VP Investor Relations, FNX Mining

John Sutherland Director

2002 VP & CFO Gold Group Resources Inc.

Harry Burgess Director

2008 VP & Senior Mining Engineer, Micon International

Ken Thomas Director

2008 Global Managing Director, Hatch

Darren Maupin Director

2008 Portfolio Manager; Former Fidelity

Calcatreu Pico Machay Navidad

Asset Diversification: Gold Exposure

• Calcatreu
• Initial Feasibility completed
• 1,035,360 gold equivalent ounces
• Pico Machay
• Feasibility completed
• Resource estimate:

Oxide & Mixed 437,000 Au oz (Inferred); Sulfide 146,000 Au oz (Inferred)

– AQI Preliminary Assessment (in-house) – Total Costs per oz = US$300 – Assumed Recovery = 70% – Rate of mining = 10,000 tonnes / day – Estimated annual production 50k oz – AQI owns 75%

Resource Calculations (Oxide & Mixed) Tonnes Au (g/t) Au (oz) Inferred (Oxide & Mixed) 15,926,000 0.85 437,000 Inferred (Sulphide) 8,900,000 0.51 146,000

Pico Machay

Capital Structure

TSX: AQI Shares Outstanding:

– Options Outstanding – Convertible Debenture – Warrants

Fully Diluted: Market Capitalization: Cash: (as of Dec 2008) Recent Share Price: 52 Week High/Low:

Management / Insiders Own (FD)

68.1M

4.6M 1.5M 7.4M

81.6M $169.0M $6.4M $2.48 $10.00-$0.72 12.3%

Updated April 2,2009

For Comparison:

Ag Resource (M+I) plus Reserves (P&P) – M oz

Peñasquito 2.14B Fresnillo 802 Pascua Lama 731 Pitarrilla 644 Navidad 453

plus 3.0 billion lbs Pb

San Cristobal 450

plus 8.0 billion lbs Zn

2007 Top 5 Silver Mines:

Annual Production (million oz)

Cannington, Australia

BHP 37.5

Fresnillo, Mexico

Peñoles 33.2

La Coipa, Chile

Kinross 15.9

Navidad, (Loma de La Plata) AQI

15.0

Dukat, Russia

Polymetal 10.8

Uchucchacua, Peru

Buenaventura 9.9

Silver Institute – World Silver Survey 2008 CPM Silver Yearbook 2008

San Cristobal: Forecast Production 16M oz 2008 Individual data not available for 3 KGHM Polska Mines totaling 39.1 Moz in 2007

Value Drivers

• New Discoveries
• Increased Throughput from

Complementary Metallurgy

• Development Clarity
• Silver Price Upside
• Gold Assets Transaction

Thank You

For more information, please contact: Flora Wood, VP Investor Relations 416-599-4133 or flora@aquiline.com