Michele Villegas Vassallo Procurement & Contracts Superintendent Supply at Antamina Michele Villegas Vassallo Procurement & Contracts Superintendent

Antamina

- Mine site: Eastern Andes, between 4,300 and 4,700 m. Punta Lobitos Antamina - Mine site: Eastern Andes, between 4,300 and 4,700 m. - Port site: Western range of the Andes.

Antamina: a world class operation

Antamina World Class Project: Long life 20 + years with upside potential. 3rd world largest producer of Cu/Zn concentrates. Second largest producer of Zn concentrate in Peru. First largest producer of Cu concentrate in Peru.

Antamina Increased: Peruvian mining exports by 30% Peruvian GDP by 0.8% Involved: Regional infrastructure development Permitted: Enhanced regional development

360,000 tonnes of material removed per day Mine 360,000 tonnes of material removed per day 51 CAT793 trucks (240 tons) 4 BE shovels 5 BE drills Primary Crusher - Fuller

85,000 tonnes of concentrate per day Concentrator 85,000 tonnes of concentrate per day 1 SAG mill 3 Ball mills

Tailings Dump

Pipeline 302 km long By gravity Five valves stations 10”, 9” & 8” pipe underground Three pumps

“Punta Lobitos” Port Filter Plant – Larox Shiploader – Man Takraf

Supply

Supply Vision We are recognized as an example of supply excellence in the mining sector and contributed to the economic and social fortification of the country by means of the joint development with our strategic partners and their suppliers. Somos reconocidos como un ejemplo de excelencia logística en el sector minero mundial y contribuimos al fortalecimiento económico y social del país mediante el desarrollo conjunto con nuestros socios estratégicos y sus proveedores.

Supply Mission We are responsible for the opportune and efficient supplying of goods and services to assure the continuity the Antamina operations, anticipating changes and tendencies of the market, offering specialized advice to our internal clients. We shared Antamina´s standard in safety, environmental care and relations with the communities, acting with integrity and ethics.

Guiding principles Responding to customer needs. Zero harm is our way of life. Continuos improvement is the way we do business. Compliance and ethics are non-negotiable. We continuously learn from each other. We treat suppliers with respect. We live Antamina values.

Supply - Antamina

ERP (INTEGRATED INFORMATION SYSTEM) Supply Process Purchase Order Materials planning (user or warehouse) Quoting / Tendering Created & approved requisition PO Follow up ERP (INTEGRATED INFORMATION SYSTEM) Forwarder´s whse Local shipping (supplier or 3PL) Transport to final destiny In-Transit whse Lima Final warehouse Customs Clearance

Some supply numbers Total spend 2007: US$ 355 MM By supplier origin 100% 90% 76% 56% Peru Abroad By supplier origin Perú Under contracts With no contract Through contracts By type Goods Services Inventory 79% DCh 21% Goods distribution

Our practices Development of cross-funtional teams Market intelligence for strategic commodities Increase contract spend Understanding and classifying supplier relationships Supplier performance management Sharing opportunities and risks with suppliers to optimise value Supply performance measurement Our workflow is supported by appropiate technology.

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