EMX was founded in 2001 by a group of senior level experienced geologists and explorers and has a strong management team. The Company’s principal office is in Vancouver, Canada, with its operational offices in Littleton (Colorado), Haiti, Turkey, Eastern Europe and Kyrgyz Republic. EMX has a market capitalization of CAD 40 million and approximately CAD 8 million in cash at hand. The Company’s ownership includes both institutional and individual investors. Largest shareholders include the Rule Family Trust (16.51%), Newmont (5.95%), the Lundin family (5.25%), the CEO (3.91%) and Directors (2.5%).

The total cost of continued exploration activities over the next two years is estimated at US$20 million to US$25 million, and the Company is seeking to raise US$5 million from IFC. It is proposed that IFC will invest US$ 5 million in equity into Eurasian Minerals Inc. IFC’s investment will be used to fund EMX’s prospecting and exploration expenditures in Haiti and for activities in other countries as agreed. Newmont is responsible for funding exploration during its earn-in phase at Lamine, one of three designated projects managed by Newmont.

10.30 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan
Equity	10.30

* These investment figures are indicative

EMX’s main projects are listed below:
The Lamine copper exploration project is located in a remote mountainous area 15km south of the Atlantic Ocean and approximately 50km west of the port city of Cap Haitien.
The La Miel gold exploration project is located in a remote mountainous area adjacent to the Haiti-Dominican Republic border, approximately 50 km South of the Atlantic Ocean and 65 km East of Cap Haitien.
The Grand Bois gold exploration project is located in a mountainous area 28km southwest of the port city of Cap Haitien, along the highway towards Port au Prince, Haiti.
The Akarca gold exploration project is located in a remote mountainous area in the Bursa province of Western Anatolia, Turkey.
The Sisorta gold exploration project is located in a remote mountainous area in the Sivas Province, in North-Central Turkey.

The proposed IFC investment in exploration stage projects would not result in any immediate incremental production and the development impacts during this stage are expected to be limited. Local employment in an extremely poor part of Haiti is expected to be the main direct development impact during this phase. Indirectly, the advancement of exploration projects in Haiti could also have a positive impact of attracting additional foreign investments to an underdeveloped but promising sector of the Haiti economy.
Because the investment predates advanced exploration and feasibility studies, it is not yet possible to fully quantify or specify the potential development impacts during any possible mine development or production. If continued exploration eventually leads to mine development and production, the development impacts for Haiti could be substantial and include both revenues/foreign exchange contribution to the national economy and development of vital transportation/energy infrastructure that would improve possibilities for other economic activities.

Access to Capital: IFC has an important role to help the Company raise the necessary financing to enable it to continue its exploration program. The Company sees IFC as a long term strategic partner with the potential to provide value added services down the road.
E&S: IFC environmental and social specialists will engage with the Company to provide input and guidance to ensure that Environmental and Social Baseline Study and the Environmental and Social Impact Assessment meet the IFC Performance Standards.
Country risk: IFC’s investment is expected to help reassure foreign investors and encourage increased participation in Haiti’s growing economy.
Subsequent Project Development Support: In the event the mine development moves forward, IFC expects to contribute in various ways, including potential help to raise the necessary funding for mine development.

This is a Category B project according to IFC’s procedures for Environmental and Social Review of Projects because the project only involves exploration and therefore has limited adverse impacts and risks which are manageable. This categorization evaluates actual project risks, where the project is defined as the scope of work funded by IFC’s investment. The scope of the Project is limited and it has limited adverse environmental impacts that are generally site-specific, largely reversible, and readily addressed through mitigation measures. Future development and mining project activities that result from exploration success will be assessed on a case by case basis.

The key environmental and social issues related to Eurasian’s projects are:

Corporate level:
Social & environmental assessment (baseline and SEA) as well as management;
Labor & working conditions; and
Community health, safety, and security.

Project level:
Exploration activities: dust and noise control, water management including drainage, trenches, drilling pads and access roads rehabilitation, use of forested and agricultural land for exploration and, if warranted, development, occupational health and safety, visual impacts and community safety; and
Adjacent communities: traffic, land acquisition and economic displacement, if a mine is developed; and emergency preparedness and response.
Eurasian currently has a comprehensive set of Health, Safety, Environmental, and Community/Labor (HSEC/L) policies in place. Current management of HSEC/L issues by Eurasian has been assessed as being broadly consistent with good international industry practice and IFC Performance Standards, and an agreed Action Plan is being implemented to close gaps and ensure on-going compliance with these standards.
The company is also committed to formalizing existing community engagement activities and has agreed to prepare a Stakeholder Engagement Strategy Template (SES) to guide all activities in Haiti, and to prepare site specific Stakeholder Engagement Plans (SEPs) for each exploration property to ensure adequate on-going community engagement that will build local “social license to operate” and meet the requirements of IFC’s PS. Environmental and Social aspects on projects managed by EMX’s JV partners will be addressed by EMX using commercially reasonable efforts to encourage its partners to implement IFC Performance Standards or equivalent practices.

Poor governance in Haiti creates risks to the successful progress of exploration activities in Haiti as well as to the realization of the development impacts of a potential future mine operation. In light of the potentially very large positive development impacts for the country, IFC assesses the governance risks to the projects to be acceptable. The governance situation and government capacity in Haiti have improved over the last couple of years and this trend is expected to continue. Mine development is at least five or more years away, allowing time before any tax or royalty payments would be made to the government. The Company is committed to good governance and transparency and will disclose all payments made to the Government. Transparency of sector regulation is strengthened by that mining concession agreements are made publicly available on the Government of Haiti’s homepage.