PROBABLE RESERVES TONNES GRADE GPT 1 CONT AINED OUNCES T immins W est Mine 4811000 52 798000 Bell Creek Mine 960000 42 129000 T otal 927000 RESOURCES MEASURED AND INDICA TED 2 TONNES GRADE GPT 1 CONT AINED OUNCES T immins W est Mine 5978000 55 1061000 Gold River T rend 690000 53 117000 Bell Creek Mine 4685000 47 710000 V ogel 2219000 175 3 125000 Marlhill 395000 45 57000 FennGib 40800000 099 3 1300000 T otal 3245000 RESOURCES INFERRED TONNES GRADE GPT 1 CONT AINED OUNCES T immins W est Mine 3549000 54 615000 Gold River T rend 5273000 61 1028000 Bell Creek Mine 6080000 46 904000 V ogel 1459000 360 4 169000 FennGib 24500000 095 3 750000 T otal 3466000 1 Grams per tonne 2 Measured and Indicated resources are inclusive of reserves 3 Openpit resources 4 Combination of underground and openpit resources LSG A Str A te G y Focu S ed on V AL ue c A S h F L ow Poi S ed F or P o S iti V e F ree c A S h FL ow Lake Shore Gold s strategy is focused on delivering value for shareholders by generating net free cash fow LSG Reserves and Resources As of April 2013 Lake Shore Gold s strategic priorities are 1 Advancing T immins W est Mine and completing its mill expansion to a capacity of 3000 tonnes per day leading to production of at least 140000 ounces per year starting in 2014 at cash operating costs below US700 per ounce 2 Continuously improving operating performance and effectively managing costs 3 Evaluating growth projects to support future growth and 4 Reducing debt and strengthening the balance sheet through internally generated capital Production is expected to increase at least 40 in 2013 to 120000 to 135000 ounces of gold Milling capacity increased 25 to 2500 tpd in December 2012 to increase further to 3000 tpd in Q313 Capital spending to decline close to 50 in 2013 to 90 million Cash costs to improve to US800 to US875 per ounce Three largescale mining complexes with a total of 32 million ounces of measured and indicated resources and 35 million ounces of inferred resources T immins W est Complex T otal probable reserves of 798000 ounces 4811000 tonnes 52 gpt 1178000 ounces of indicated resources and 1643000 ounces of inferred resources resources inclusive of reserves Bell Creek Complex Initial probable reserves of 129000 ounces 960000 tonnes 42 gpt 892000 ounces of measured and indicated resources and 1073000 ounces of inferred resources resources inclusive of reserves FennGib Openpit project with 13 million ounces of indicated resources and 075 million ounces of inferred resources 2011 83585 85782 120000 to 135000 2012 2013F Production ozs recovered Milling Capacity tpd at year end 2011 2000 2500 3000 2012 2013F Capital Spending M 2011 129 170 90 2012 2013F F Forecast