Caserones Copper and Molybdenum Deposit Development Project in Chile
JX Nippon Mining & Metals Corporation
Mitsui Mining & Smelting Co., Ltd.
Pan Pacific Copper Co., Ltd.
Mitsui & Co., Ltd.

Pan Pacific Copper Co., Ltd. (hereinafter "PPC"; head office: Otemachi 2-chome, Chiyoda-ku, Tokyo;
president: Yoshimasa Adachi), an integrated copper enterprise jointly established by JX Nippon Mining &Metals Corporation (head office: Otemachi 2-chome, Chiyoda-ku, Tokyo; president: Masanori Okada) andMitsui Mining & Smelting Co., Ltd. (head office: Osaki 1-chome, Shinagawa-ku, Tokyo; president: SadaoSenda), and Mitsui & Co., Ltd. (hereinafter "Mitsui"; head office: Otemachi 1-chome, Chiyoda-ku, Tokyo;
president and CEO: Masami Iijima) have reviewed the investment to develop the Caserones Copper andMolybdenum Deposit Development Project (hereinafter "the Project"), taking stronger Chilean peso against
the US dollar led by higher copper price, inflationary effects on construction materials, equipments andlabor costs and engineering design development into consideration. As a result, estimates for the capital
expenditure (production facilities and related costs) for the Project is increased to approximately US$ 3
billion from original estimates of US$ 2 billion. Despite the increase in the capital expenditure, we believethat the Project still has sufficient economics driven by the increase in copper price.

Additional funding from each shareholders shall be provided to SCM Minera Lumina Copper Chile (headoffice: Santiago, Chile; percentage of investment: PPC 75%, Mitsui 25%), the project company, asnecessary.

Construction of the project is progressing in line with the original schedule. Detailed engineering andconstruction of the camp and access roads to the mine site have been mostly completed. The groundworkfor each of the facilities has started and it is expected that the commercial production will commence in2013 as planned originally.

PPC and Mitsui will continuously strive for the smooth development of the Project.

（Attachment）

An outline of the Caserones Copper and Molybdenum Deposit Development Project

A. Construction period: From 2010 to 2013.
B. Commencement of operation:
・Production of refined copper by hydrometallurgical SX-EW process: in January
2013
・Production of copper and molybdenum concentrates: in September 2013C. Expected mine life: 28 years
D. Flow of production to shipment:≪Production of copper and molybdenum concentrates≫
Crushing and grinding ⇒ Flotation, dewatering, draining⇒ Cu and Mo concentrates ⇒ shipping
Open-pit mining≪ Production of refined copper by SX-EW process ≫Dump-leaching ⇒ SX-EW ⇒copper cathode⇒shipping

Notes 1: (1)Dump-leaching means a process to extract (leach) copper by sprinklingsulfuric acid over a pile of uncrushed copper ore.
(2)SX-EW process means a solvent extractive electrolytic copper winning
process. Copper ion is selectively recovered from the leaching solution, andcopper metal is produced by electrolysis from the copper sulfate solution.
Approximately 20% of the copper from the mines in the world is producedby this process.

E. Estimated volume of ore to be mined
Ore

Volume(milliontons)
1,050

GradeCopper % Molybdenum
(ppm)
0.34
126

Primary and secondary copper sulfide(For production of copper andmolybdenum concentrates)
300
0.25－
Copper oxide and secondary copper
sulfide ore(For production of refined copper bySX/EW process)Notes 2: ・Primary copper sulfide：sulfides which formulated during the metallogenetic
epoch. Chalcopyrite etc.

・Secondary copper sulfide：sulfides made of the primary copper sulfide which
reacted with sulfuric acid. Chalcocite etc.
・Copper oxide：primary copper sulfide which oxidized by rain or weathering.
chalcanthite，malachite ore etc.
F. Daily output of ore: approximately 103,000 tons
G. Estimated annual production volume:(Average during the initial phase of 10 years)
Copper:Copper content in copper concentrate: approx. 150,000 tons
Refined copper produced by SX-EW process: approx. 30,000 tons
Total: approx. 180,000 tons
Molybdenum: approx. 3,000 tons
(Average 28 years)
Copper:Copper content in copper concentrate: approx. 110,000 tons
Refined copper produced by SX-EW process: approx. 10,000 tons
Total: approx. 120,000 tons
(Total production for mine life: approx. 3,547,000 tons)
Molybdenum: approx. 3,000 tons
(Total production for mine life: approx 87,000 tons)
H. Estimated initial investment: approx. 3 billion US dollars

I. Location of the Caserones copper and molybdenum deposit
162 kilometers southeast of Copiapó, the capital of the III Atacama Region ofChile, and 15 kilometers from the border with Argentina.
The deposit lies at altitudes between 4,200m to 4,600m above sea level.

Caserones Copper and Molybdenum Deposit
Development Project