Platinum

Prophecy Platinum Corp. – Developing Its Wellgreen PGM Nickel Property in Canada’s Yukon Territory

Overview

Prophecy Platinum Corp. (TSXV:NKL,OTCQX:PNIKF,FWB:P94P) is a mineral exploration company focused on developing platinum group metals (PGM) and nickel sulphide projects. Defining and driving the company, is its flagship Wellgreen Ni-Cu-PGM property – a unique base and precious metals project in Canada’s Yukon Territory. An NI 43-101 compliant report provides a resource estimate for the site of 289 million tonnes in inferred resource with grades 0.38% Ni, 0.35% Cu, 1.18 g/t PGM+Au and 14 million tonnes in indicated resource at 0.69% Ni, 0.62% Cu, 2.25 g/t PGM+Au.

Prophecy also controls the Shakespeare Ni-PGM project in Ontario, Canada. A recently producing property, during the twelve months of operation ending January 31, 2012, a total of 151,910 tonnes of ore from Shakespeare was delivered to the Strathcona Mill at a grade of 0.314% nickel, 0.368% copper, 0.019% cobalt, 0.348 g/t platinum, 0.389 g/t palladium, 0.203 g/t gold and 2.164 g/t silver. In September 2012, Propehecy announced a resource update that added approximately 30% to Shakespeare’s global resource.

Prophecy’s further holdings include the Lynn Lake Nickel Copper project in Manitoba, the Las Aguilas Nickel PGM deposit in Argentina, as well as five prospective claims in Uruguay.

Investment Highlights

• PEA released in June 2012 and updated July 2012
• Wellgreen: 289 million tonnes of inferred resource with grades 0.38% Ni, 0.35% Cu, 1.18 g/t PGM+Au and 14 million tonnes of indicated resource at 0.69% Ni, 0.62% Cu, 2.25 g/t PGM+Au
• Yukon is a mining friendly jurisdiction
• Ideal location – Wellgreen is highly accessible to main roads, great infrastructure, electricity and water
• Exploration upside – Current strike length is 2.6 km but geophysical anomaly extents additional 2.3 kms with further exploration potential
• One of only a few deposits of PGM outside South Africa
• Presence of exotic PGM elements, including Rhodium, Iridium, Osmium and Ruthenium
• 20,000 metre drill program planned for 2012 at Wellgreen

Key Projects

Wellgreen Property – Yukon Territory, Canada

Prophecy Platinum’s 100% owned Wellgreen property is rich in platinum group metals (platinum (Pt), palladium (Pd) and rhodium Rh), nickel (Ni) and copper (Cu.)

Conveniently located in the south west of Canada’s mining-friendly Yukon Territory, the site is approximately 35 kilometres northwest of the airstrip at Burwash Landing, just 15 km from the Alaska Highway and 402 km from Alaska’s Haines deep sea port.

Management is focused on advancing the project, and launched its planned 20,000 metre 2012 drill program with underground drilling that began in February. This represents the first phase of an extensive infill drilling program expected to upgrade a significant portion of Wellgreen’s NI 43-101 inferred resource into the measured and indicated category. A surface program, designed to supplement this underground phase, will continue throughout the summer and will also include some step-out drilling into Wellgreen East to explore the blue sky potential of the overall project.

In August 2012, Prophecy Platinum announced the results of ongoing metallurgical testing for its Wellgreen Project. Metallurgical tests indicated separate nickel-PGE-cobalt concentrates grading up to 12.9% nickel and copper-PGE-gold concentrates grading up to 23.2% copper can be produced from Wellgreen’s disseminated PGE-Ni-Cu mineralization. The results are preliminary with grade and recovery optimizations planned on both precious and base metals in phase 2 of the metallurgical program in the fall.

Preliminary Economic Assessment

Preliminary metallurgical results were announced in May 2012 with test results to be incorporated into a high level scoping study by Wardrop Engineering which was released on June 18, 2012 and updated July 25, 2012.

The resource estimation at a 0.2% nickel equivalent (NiEq) cut-off resulted in an Indicated Resource of 14.4 Mt at grades of 0.68% nickel, 0.62% copper, and 2.23 g/t platinum+palladium+gold. An additional Inferred Resource of 446.6 Mt at grades of 0.31% nickel, 0.25% copper, and 0.87 g/t platinum+palladium+gold.

Drilling confirmed the presence of a substantial mineralized system located in the hanging wall of the semi-massive sulphide pods previously targeted as the Wellgreen deposit, thus defining a new geological target previously untested at Wellgreen.

Wellgreen PGM Nickel Resource:

Based on resource estimated at 0.2% NiEq cut-off

Shakespeare Property – Ontario, Canada

Prophecy Platinum’s 100%-owned Shakespeare Nickel Mine is located 70 km west of Sudbury, Ontario. The project was acquired as part of a business combination agreement completed in June 2012 under which Prophecy acquired all of the issued and outstanding securities of URSA Major Minerals, and thereby its assets, including Shakespeare. URSA Major holds a 100% beneficial interest in the Shakespeare project area which contains all of the Shakespeare reserves and resources and is subject to a 1.5% royalty in favour of Xstrata.

The Shakespeare Mine has all permits including a Permit to Take Water, Certificate of Approval for noise and air emissions, and a Certificate of Approval for the Shakespeare Mine and Mill co-disposal facility and sedimentation pond for water treatment. URSA Major received acceptance of a certified Closure Plan for the Shakespeare Mine and Mill Project from the Ontario Ministry of Northern Development and Mines (“MNDM”) in 2007. URSA also received a permit from the Ontario Ministry of Natural Resources (“MNR”) for the operation of a gravel pit located approximately 3 km north of the Shakespeare nickel-copper project, in the Sudbury area of Ontario.

In September 2012, Prophecy announced an updated Mineral Resource estimate for the Shakespeare Deposit Underground East Zone. At a C$50/tonne NSR cut-off, the Underground East Zone contains an Indicated resource of 3.57 million tonnes grading 0.32% nickel, 0.39% copper, 0.02% cobalt, 0.34 g/t platinum, 0.37 g/t palladium, and 0.2 g/t gold. The East Zone also contains an Inferred resource of 1.87 million tonnes grading 0.32% nickel, 0.36% copper, 0.02% cobalt, 0.34 g/t platinum, 0.36 g/t palladium, and 0.21 g/t gold. This resource update adds approximately 30% to Shakespeare’s global resource.

Shakespeare PGM Nickel Reserve:

Based on resource estimated at cut-off NSR of C$50/tonne

Management

Greg Johnson – President and CEO
Mr. Johnson has over twenty-five years of experience in the exploration and development of large scale projects in the mining industry and, through his global network of contacts, has been involved in raising over $650 million in project financing.

Prior to joining Prophecy, Mr. Johnson held the position of President and CEO at South American Silver, where he lead the significant advancement and expansion of the Company’s two development stage projects in South America – including a world class silver deposit and a major new copper-gold discovery. During this time, South American Silver’s market capitalization increased from $20 million to a peak of $350 million.

John Sagman - Senior Vice President and COO
Appointed to Prophecy Platinum November 2012, John Sagman holds a degree in Mining and Mineral Process Engineering from the University of British Columbia and has over thirty years of mining experience including the design, development, commissioning and management of both open pit and underground mining projects. Mr. Sagman formerly held the position of Vice President of Technical Services with Capstone Mining Corp. where he oversaw reserve estimates, prefeasibility studies, mining methods, equipment selection and drove the ongoing improvement of technical processes. John lead Phase V of Prefeasibility studies at the Minto copper-gold mine; an open pit mine that produced 37 million pounds of copper in 2011 and is located approximately 150km from Prophecy’s Wellgreen deposit.

Mr. Sagman has an extensive background of related project management success with major mining operations, including Vale’s Totten Ni-Cu-PGM mine as well as Xstrata Nickel’s Craig, Fraser, Lockerby, Strathcona and SMRQ Raglan projects.

Jeffrey Mason, CA – CFO
Mr. Mason is a Chartered Accountant with over twenty years’ experience in financial reporting and has worked with various medium and large publicly-traded mining companies in the area of accounting, corporate finance and regulatory reporting. Mr. Mason spent fifteen years with Hunter Dickinson Inc. (HDI), as Corporate Secretary, Chief Financial Officer and Director for numerous public mining companies. As CFO of Taseko Mines Limited during this time, he was instrumental in the acquisition, reactivation and financing of the Gibraltar copper-molybdenum mine in British Columbia, as well as its expansion from dormant into the second largest open pit copper mine in Canada. He brings a broad scope of both domestic and international mining experience, including negotiating the purchase of the Xietongmen open pit Copper-Gold Project on behalf of Continental Minerals Corporation and setting up a Joint Venture arrangement with Jinchuan Mining Group, before the eventual outright purchase of Continental by Jinchuan for C$432 million. Mr. Mason also was the CFO for Northern Dynasty Minerals Ltd. which in July 2007, established a 50:50 partnership with Anglo American plc to engineer, permit, construct and operate a modern, long-life mine at Pebble. Under the terms of the agreement, Anglo is required to invest US$1.425 – $1.5 billion in project costs to retain its 50% interest. To the end of 2011, the Pebble Partnership and its owners had invested over US$500 million on the Pebble Project.

Mr. Mason holds a B.Com. from the University of British Columbia (1980) and obtained his Chartered Accountant designation from the British Colombian Institute of Chartered Accountants (1982), while at the international accounting firm of Deloitte & Touche. He received a Director (ICD.D) designation in 2008, from the Institute of Corporate Directors at the University of Toronto’s Rotman School of Management.

Rob Bruggeman, CFA – Vice President of Corporate Development
Rob Bruggeman has worked in the brokerage industry in Toronto for over a decade. He held positions of a small cap equity research analyst, proprietary trader, and most recently, he led the institutional equity sales and trading group at a boutique brokerage firm.

Neil Froc, P.Eng. – Project Manager
Neil Froc is a registered Professional Engineer and has been involved in various stages of precious metals, base metals and industrial mineral exploration since 1980. Formerly Executive Vice President with Hard Creek Nickel Corp. , he brings expertise that includes project management on a very large western Canadian nickel-copper-PGE deposit (31.4 Mtpa).

Samir Devendra Patel, LLB – Corporate Secretary and Corporate Counsel
Mr. Samir Devendra Patel also joins Prophecy Platinum as Corporate Secretary, bringing extensive legal experience in the area of securities and corporate law, particularly in relation to M&A transactions, continuous disclosure requirements, and equity and debt financings. Prior to joining Prophecy, Mr. Patel was with the Securities & Capital Markets Group in the Vancouver office of Borden Ladner Gervais LLP, a leading, full-service, national law firm. His practice involved advising clients in a variety of sectors with respect to securities, corporate and commercial law matters, including public company financing transactions, mergers & acquisitions and restructuring transactions.
Mr. Patel graduated from the University of Nottingham in the United Kingdom with a Bachelor of Laws (Honours) in 2005, and completed his National Accreditation requirements at the University of Victoria in 2008. He was admitted to the British Columbia Bar in 2009.

Chris Ackerman, LLB – Investor Relations Manager

Directors and Consultants

Dr. Larry Hulbert D.Sc., P.Geo – Geological Consultant
Dr. Hulbert spent 23 years with the Geological Survey of Canada (GSC) as Senior Research Scientist where his focus was in the Metallogeny of Mafic-Ultramafic Rocks. His analysis and research included numerous Ni-Cu-PGM projects including Prophecy’s Wellgreen property.

Gary Johnson – Metallurgical Consultant
Mr. Johnson is a metallurgist with over 30 years of experience in all aspects of the mining industry. He worked closely with LionOre Mining International to develop the Activox process for treating sulphide concentrates. He also was closely involved with Tati Nickel Mining Company (Pty) Limited, in Botswana, which grew to become the largest nickel mine in Africa. Mr. Johnson became a Managing Director of Norilsk’s Australian operations in 2009.

Mike Sylvestre M.Sc, P.Eng – Director
Mr. Sylvestre spent decades with Inco Ltd. Most notably, he was the CEO Vale Inco, New Caledonia, President Vale Inco, Manitoba Operations and Vice President of Operations PT Inco, Indonesia. Mr. Sylvestre brings over 35 years of mining experience to Prophecy.

Myron Manternach – Director
Held positions of Managing Director with Octavian Advisors and Vice President of investment banking with JP Morgan.

Greg Hall – Director
Held positions of director with Haywood Securities Inc., vice-president with Canaccord Capital Corporation, and senior vice-president with Leede Financial Markets Inc.

Harald Batista – Director
Mr. Batista is an accomplished entrepreneur with over 2 decades of sales and marketing experience. He holds an MBA degree from Santa Clara University in California and is a member of the prominent Batista family in Brazil that includes Eliezer Batista, the founder of Vale do Rio Doce Company (now Vale) and Eike Batista, the founder of EBX Group. EBX Group focuses on investment opportunities in infrastructure and natural resources, sectors in which Brazil presents important competitive differentials.

Wesley J. Hall – Director
Mr. Hall was a founding board member and the longest serving President of the Canadian Society of Corporate Secretaries (CSCS), an organization he continues to be involved with and support along with other corporate governance and investor relations organizations. He is also currently the Chairman