2. CAUTIONARY DISCLAIMER
Except for historical information, this presentation may contain forward-looking statements. These
statements involve known and unknown risks, uncertainties, and other factors that may cause the
Company’s actual results, levels of activity, performance or achievements to be materially different from any
future results, levels of activity, performance or achievement expressed or implied by these forward-looking
statements.
The factors that could cause actual results to differ materially include, but are not limited to, the following:
general economic conditions; changes in financial markets; the impact of exchange rates; political
conditions and developments in countries in which the Company operates; changes in the supply, demand
and pricing of the metal commodities which the Company mines or hopes to find and successfully mine;
changes in regulatory requirements impacting the Company’s operations; the ability to properly and
efficiently staff the Company’s operations; the sufficiency of current working capital and the estimated cost
and availability of funding for the continued exploration and development of the Company’s exploration
properties.
This list is not exhaustive and these and other factors should be considered carefully, and readers should
not place undue reliance on the Company’s forward-looking statements. As a result of the foregoing and
other factors, no assurance can be given as to any such future results, levels of activity or achievements
and neither the Company nor any other person assumes responsibility for the accuracy and completeness
of these forward-looking statements.
George Gorzynski, P.Eng., a Qualified Person under the meaning of Canadian National Instrument 43-101,is
responsible for the technical information in this presentation.
2
3. PROJECT LOCATION
• Two Adjacent Mineral Districts: The 423 sq km Royal Mines of
Zacualpan & 200 sq km Mamatla Silver Districts are located in the
southern portion of the Mexican Silver Belt
3
4. PROJECT OVERVIEW
• 100% owned
623 km2 districts
• District production
began 1527
• 1975-2009 over
34 million Silver
equivalent ounces
produced
• 2,000+ old mine
workings in GIS
database
(July 2011)
4
5. SUMMARY OF EXISTING OPERATIONS
Excellent • Modern power grid • No environmental issues
• Paved highway access • No security issues
Mining
• Abundant water supply • 3 hour drive from Mexico City
Environment • Trained work force
Existing Facilities • Three mines feed a central 500 tpd processing plant: currently at 419 tpd
• Have 200 tpd pilot plant for Capire mine expansion
Proven Track • Took ownership in 2006 and been profitable annually ever since
Record • Silver production increased from cash flow by 209% from 2007-2010 with
low cost production (avg. $60 per tonne)
• Revenue per production tonne sold increased by 37% while direct costs
per tonne marginally increased by 15% (fiscal years 2008-2010)
6 Months Ended
June 30th 2011 Dec 31st 2010 Dec 31st 2009 Dec 31st 2008
Silver Production (oz) 485,331 750,259* 823,571 645,668
Lead (t) 395 734 969 813
Zinc (t) 686 1,212 1,098 1,053
Revenue per production tonne sold $201.93 $123.25 $109.51 $89.89
Direct cost per tonne produced $74.35 $63.29 $60.39 $54.80
*Silver production was marginally down 9% because the Company revised cut-off grades and mined
more medium grade ore because of high Silver prices during the fiscal year. 5
7. GROWTH STRATEGY
Become a Multi-million Ounce Silver Producer With Multiple Production Centres
1. GUADALUPE MINING &
PROCESSING CENTRE
• Main production area
2. CAPIRE MINING & PROCESSING
CENTRE
• Next development project
• New open pit mine
1
3. HUATECOSCO GOLD & SILVER
EXPLORATION PROJECT
3 • Expand on gold mineralization targets
4 4. SOUTHEAST EXPLORATION
2 PROJECT
• Early stage exploration
7
8. 1. GUADALUPE MINE &
PROCESSING CENTRE
Three mines feed the 500 tpd Guadalupe Processing Plant
CHIVO MINE
• Flagship mine
SAN RAMON MINE
• High grade
epithermal silver
vein with recent
discovery of large
stockwork zone
NOCHE BUENA MINE
• Newest addition to
production profile,
commenced in April
2010
8
9. CHIVO MINE
• Chivo is IMPACT Silver’s flagship producing mine
• Discovered in late 2005, commenced production in November 2007
• Rapid mine development: production within 24 months
• High grade epithermal Silver vein with by-product Lead & Zinc
• Main producing mine
Scoop Tram hauling
CHIVO MINE ore from Chivo Mine
Drilling Highlights
CHIVO MINE
Drilling Highlights
Drill Hole Est. TW (m) Ag (g/t) Ag (oz/t) Au (g/t) Zn (%) Pb (%)
Drill Hole Est. TW (m) Ag (g/t) Ag (oz/t) Au (g/t) Zn (%) Pb (%)
Z08-13 1.9 3,902 114 1.34 3.96 2.16
Z08-13 1.9 3,902 114 1.34 3.96 2.16
Including 0.6 11,463 334 3.46 10.25 5.02
Including 0.6 11,463 334 3.46 10.25 5.02
Z08-25 3.2
3.2 865
865 25
25 0.41
0.41 3.73
3.73 3.90
3.90
Including
Including 1.6
1.6 1,765
1,765 51
51 0.81
0.81 6.42
6.42 7.56
7.56
Z08-11 3.2 793 23 0.21 4.23 3.27
Z08-11 3.2 793 23 0.21 4.23 3.27
Including 1.1 1,792 52 0.46 8.73 7.25
Including 1.1 1,792 52 0.46 8.73 7.25
9
10. SAN RAMON MINE
• San Ramon is located 1.3 km south of Chivo Mine
• High grade epithermal silver vein with historic grades of 5,000 g/t silver
in upper levels
• Restarted mining at San Ramon in 2008
• Expansion of production now starting based on discovery of 20m wide
stockwork zone on Level 5
San Ramon Mine Portal
10
11. NOCHE BUENA MINE
Noche Buena Mine Portal
• Discovery hole drilled
in December 2008
• Initial production achieved in
March 2010
• Rapid development: production NOCHE BUENA SILVER ZONE
within 15 months Drilling Highlights
Drill Hole True Width (m) Ag (g/t) Au (g/t)
Z09-43 3.2 1,078 0.5
• Open for expansion will goal to Including 0.9 2,460 0.9
become main producer Z09-39 3.8 497 0.1
Z09-39 3.7 499 0.1
Including 2.9 618 0.1
Z09-27 4.0 368 0.3
Z09-20 4.6 280 0.3
Z09-12 4.0 319 2.0
11
12. 2. THE NEXT MINING DISTRICT -
CAPIRE VMS SUBDISTRICT
• Pilot Plant operations
planned for early 2012.
• Initial target ~300K oz
silver p.a.
• Development Plan for
full operating mine
targeting expanded
production pending
drilling program
results.
12
13. CAPIRE VMS SUBDISTRICT
• 100% owned;
200 km2 District
• NI 43-101 Mineral
Resource Estimate
on Capire Project
• Northeast quadrant
hosts gold and
silver veins
• Southeast quadrant
hosts veins and
VMS deposits
• Numerous drill
ready targets
Refer to Slide 4: Property Holdings Map. 13
14. NI 43-101 RESOURCE ESTIMATE
Metal Content for Capire + Aurora 1
Ag (oz) Au (oz) Cu (lbs) Pb (lbs) Zn (lbs)
Measured 3,529,969 14,146 3,389,275 18,234,678 46,140,820
Indicated 3,694,066 16,300 3,693,733 19,029,800 49,522,173
Measured &
7,224,035 30,446 7,083,007 37,264,478 95,662,993
Indicated
Inferred 435,959 1,919 475,594 2,260,089 5,823,490
Summary Table Classified Mineral Resources – Measured + Indicated and Separate Inferred
Domain Classification Tonnes Ag (g/t) Au (g/t) Cu (%) Pb (%) Zn (%)
Capire Measured + Indicated 3,104,944 46.46 0.19 0.06 0.33 0.93
Aurora 1 Measured + Indicated 1,807,302 44.50 0.199 0.07 0.36 0.80
Grand Total Measured + Indicated 4,912,246 45.74 0.193 0.06 0.34 0.88
Grand Total Total Inferred 371,066 36.54 0.161 0.06 0.28 0.71
• 10,000m drilling program: 3,000m expansion and site preparation
drilling now begun
• Capire Deposit mineralization expanded to the north and southeast
zones
14
15. CAPIRE MINE DEVELOPMENT
PROJECT
3D SURFACE MODEL
Area of defined NI43-101 Resources
Open for expansion
3D model of planned
Capire open pit
Open for expansion
Area of Phase 2 drill
Planned Processing
program
Plant Site
Open for expansion
Proposed Tailings Facility
DEVELOPMENT PLANS
• 2011: Mine planning/permitting, and 200 TPD Pilot Plant construction
• 2012: Initial estimated Silver production of 300,000 ounces and growing
Inhouse feasibility for expanded plant sizing
16. 3. HUATECOSCO GOLD & SILVER
PROJECT
• Carlos Pacheco was the first gold-copper target to be drilled
• Gold-Copper mineralization found in deeper parts of Silver vein system
• Drill program focused on more targets: Huatecosco Area
DRILLING HIGHLIGHTS
CARLOS PACHECO
Drill Hole True Width Au Ag Cu Zinc
(m) (g/t) (g/t) (%) (%)
Z08-68 2.9 19.6 68 0.29 0.11
Including 1.0 49.7 59 0.31 0.14
Z08-65 2.1 11.3 18 -- --
Including 1.2 18.8 24 -- --
HUATECOSCO
Z11-20 9.48 3.97 48.7 N/A 2.62
Including 4.24 6.96 84.3 N/A 5.11
Z11-17 4.74 3.44 117.6 N/A 0.81
16
17. EXPLORATION PROCESS
• Targets are generated by mapping and sampling of old workings
• Greatly expanded program of exploration drilling for 2011
5 STAGE DEVELOPMENT PROCESS
Identify and Surface and Phase 1 & 2 Mine
Map Old Underground Drilling Planning,
Mines and Sampling, Permitting Production
Workings Detailed and
Mapping Construction
•Golondrinas •Capire •Chivo
More than 250+
2,000 Prospects •Huatecosco •San Ramon
•Santa Lucia
Mapped •Pilarica •Noche
Buena
•Cruz Blanca
First Drill Hole to Production
12 – 24 Months
17
18. ZACATECAS
Exploration Production
• 10 mineral concessions optioned • 200 tpd operational processing
to Defiance Silver Corp. (DEF.V) plant*
for major shareholder position*
• Historical production of over
1 billion oz of Silver
• Nueva Granada Concession
o Old mine dumps returned
100-400g/t silver
• Cristian Mine
o Samples from surface dumps
returned 310g/t Ag, 24% Pb,
8% Zn
• San Pascual Mine
o Samples from the dump
around the shaft returned 875
g/t Ag
*Subject to TSX approval for Option Agreement signed with Defiance Silver Corp , .
18
19. PROVEN LEADERSHIP
BOARD OF DIRECTORS
Frederick W. Davidson (CA) President, CEO & Director
Held senior management positions with Erickson Gold Mines Ltd. and TOTAL Energold Corp. Part of the
management team that took both the Erickson and Mt. Skukum Gold mines from discovery to production.
Currently President of Energold Drilling Corp. (EGD: TSX-V).
George A. Gorzynski (P.Eng) VP Exploration & Director
Director of Tirex Resources Ltd., Rupert Resources Ltd. and Consolidated Spire Ventures Ltd.
H. Walter Sellmer (P.Geo) Director
Held senior management positions with Amax Exploration, Canamax Resources and TOTAL Energold Corp.
Victor A. Tanaka (P.Geo) Director
Held senior positions with Teck Cominco, Asamera, Freeport McMoran, Aber Resources, Major General
Resources and Canarc. Participated in the discovery of Polaris and Sunrise Mines.
Richard J. Mazur (P. Geo, MBA) Director
Holds senior positions in Alto Ventures Ltd. and Forum Uranium Corp.
Peter Tredger (P. Eng, MBA) Director
Vice President of Thompson Creek Metals Company Inc. and held senior management positions at Glencairn
Gold Corp. and Wheaton River Mineral Ltd.
Jean-Pierre Boutin (MBA) Director
President and Money Manager in a private equity firm in Greenwich, Connecticut, former Treasurer of Xerox
Corporation, Emerging Markets. 19
20. PROFITABILITY
$30,000,000
Revenue
$25,000,000 Net Earnings
Operating Cash Flow
$20,000,000
($CDN)
$15,000,000
$10,000,000
$5,000,000
$-
2006 2007 2008 2009 2010 2011
$(5,000,000)
Year
Capital Expenditure Use Efficiency ($CDN)*
Total funds raised since start of Property payments, plant & equipment, Cash in the bank
operations in January, 2006 and exploration expenditures
$28 Million $37 Million $33 Million
**Estimated projection based on in house estimates 20
21. CORPORATE SUMMARY
Year Ended 6 Months Ended Dec 31st Dec 31st Dec 31st
(‘000,000s $CDN except EPS) June 30th 2011 2010 2009 2008
Revenue $15.3 $16.7 $12.2 $8.9
Net Earnings $4.9 $3.4 $1.6 $.66
Cash Flow from Operations $5.9 $5.6 $4.4 $1.7
Cash & Cash Equivalents $32.6 $18.7 $5.3 $5.4
EPS $0.08 $0.07 $0.02 $0.01
• Recent share price: $2.08
• Market capitalization: $135 million
• Shares Outstanding: 69 Million (72 Million Fully Diluted)
• Long-Term Debt: Nil
• Energold Drilling (EGD: TSX.V) owns 6.87 Million shares
• Institutions hold 30% of shares outstanding
• Listings: TSX.V:IPT / Frankfurt: IKL / ISIN: CA45257A1021
21
23. LONG TERM GROWTH STRATEGY
Become a Multi-million Ounce Silver Producer With Multiple Production Centres
1. GUADALUPE MINING &
PROCESSING CENTRE
• Now operating; fed by 3 mines ~ 1 million oz.
silver eq. p.a.
• Exploration on potential new mine targets
2. CAPIRE MINING & PROCESSING
CENTRE
1 •
•
Pilot Plant operations planned for early 2012.
Initial target ~300K oz silver p.a.
• Development Plan for full operating mine to
targeting expanded production pending drilling
program results
3 3. NOCHE BUENA MINING &
PROCESSING CENTRE
• First mine began production in April 2010; at
2 4 •
present ore sent to Guadalupe plant
Exploring gold as well as silver potential here
4. SOUTHEAST MINING &
PROCESSING CENTRE
• Future exploration - many historic mine
workings.
23
24. PLANS FOR 2011
• Ramp up Zacualpan production to 500 tpd with expanded production
from Noche Buena Mine and San Ramon (COMPLETED)
• Place Capire Mine into production initially on a 200 tpd pilot plant basis
• Recent $15 million financing will allow accelerated growth through
expanded exploration and potential acquisitions
• Continue implementing long term vision of multiple processing plants
throughout the districts each fed by multiple mines
For more information please contact us via
Phone:604-681-0172
Email: inquiries@impactsilver.com
24
25. PLANS FOR 2011
• Ramp up Zacualpan production to 500 tpd with expanded production
from Noche Buena Mine and San Ramon (COMPLETED)
• Commence construction at the Capire Mine prior to putting into
production in early 2012 on an initial 200 tpd pilot plant basis
• Recent $15 million financing will allow accelerated growth through
expanded exploration and potential acquisitions
• Expand exploration at Huatecosco Project and Oscar Project
• Continue implementing long term vision of multiple processing plants
throughout the districts each fed by multiple mines
For more information please contact us at:
604-681-0172
inquiries@impactsilver.com
25
