Overview

Latin American Minerals Inc. (TSXV:LAT,OTCQX:LATNF) is a mineral exploration company focused on bringing its flagship Paso Yobai Gold Project to production. LAM is currently setting up a pilot plant gold concentrator plant at Paso Yobai to accelerate resource evaluation to determine the economic feasibility of a full-scale operation.

LAM’s other projects include its Itapoty Diamond and Chiriguelo Rare Earths and Niobium projects also in Paraguay, as well as the Rio Tendal multi-mineral project in Argentina. An exploration program at Chiriguelo is currently under way, identifying new REE targets in September, and the company announced in July it entered an option agreement whereby Itapoty could become a joint-venture with Olivut Resources Ltd.

Investment Highlights

• Paraguay offers largely untapped and excellent exploration potential similar to South Africa and Namibia
• Paraguay is a politically stable, democratic country with legislation favorable for foreign investment, mine operation and exports
• LAT is well-financed with approximately $7 million in cash as of September 2011
• LAT has several promising projects, including its advanced flagship Paso Yobai project, where the Discovery Trend Pilot Plant is expected to begin processing gold by the end of November

Chief Projects

Paso Yobai Gold Project – Paso Yobai, Eastern Paraguay

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The Paso Yobai Gold Project covers 15,615 hectares in the Paso Yobai Gold Trend, approximately 150 kilometers east of Paraguay’s capital city, Asuncion. The project is fully licensed for production and includes exploration concessions covering 7,800 hectares and exploitation concessions covering 7,200 hectares. The project is in well-served by infrastructure, accessible by paved highways and county gravel roads, as well as a nearby labour force, medical aid station, and ambulance service to district hospitals.

A 100 sq-km epithermal mineral system was identified on the Paso Yobai concessions, within which the gold-bearing Discovery Trend is the most advanced target. High-grade mineralization occurs at surface and continues to depths greater than 100 m. Gold is hosted in numerous quartz-carbonate stringers and veins within a mafic dyke that intrudes the underlying sandstone. Based on historical work completed at Paso Yobai, LAM estimates the 1,200m-long Discovery Trend contains a Potential Mineral Deposit ranging from 450,000 to 900,000 tons with grades between 4.0 and 7.0 gpt gold containing up to 225,000 ounces of gold. LAM also believes the Paso Yobai Gold Tend, which is continuously traced along strike for 8 km, could host a mineral deposit between 3.5 and 7 million tons of similar grade.

In February, began a diamond drill program on the Discovery Zone at Paso Yobai. The program defined the continuity of ore shoots along more than 200m of the Discovery Zone from surface to approximately 120m depth. Gold was intersected in all holes ranging from 100 ppb to 111.15 gpt Au over widths ranging from LAM is preparing a pilot plant gold concentrator plant at Paso Yobai to accelerate resource evaluation of the Discovery Trend and to determine the economic feasibility of a full-scale operation. In September, the final module of the gold concentrator plant was shipped from Canada to Paraguay. The plant is expected to be operational by the end of November, making it the first official gold production from modern Paraguay.

Tendal Copper-Zinc Project – La Rioja, Northwest Argentina

LAT’s Tendal Project is an advanced zinc, copper, lead, and silver property located in northwestern Argentina in the province of La Rioja. At an elevation of 3,000m, the property is accessible by an all season gravel road that feeds into a major highway connecting Argentina and Chile.

The property consists of two parcels comprised of six mining concessions covering a total of 36,488ha. Within the concessions are a number of small mining claims called ‘minas’, four of which LAT owns and cover a total of 36 ha, whereas third parties hold eight fluorite minas covering 138 ha.

The Tendal District consists of Precambrian schists overlain by Ordovician shales that Tertiary porphyries have intruded. Three mineralization zones are identified including the Yegua Pircada, Verdiona and Catitas. LAT completed diamond drilling on all three zones, where all holes intersected massive or disseminated sulphide mineralization and alteration typically associated with base metal mineralization, but further exploration is required to confirm the resource potential at Tendal.

The most economically significant is the Verdiona-Catitas massive sulphide trend, which can be traced along strike for almost 2 km, is up to (80 or 60 m – check: conflicting data) thick, and contains a series of stacked lenses ranging from (1 to 4 or 40 m – check: conflicting data) thick. The mineralization is oxidized at the surface, but artisanal mining exposed the primary sulphide minerals to be sphalerite (zinc), chalcopyrite (copper) and galena (lead with silver). Diamond drilling returned up to 4 m averaging 5.2% Zn, 3.5% Pb, and .01% Cu.

In 2010, LAT entered an agreement granting Votorantim Metais the option to earn a 51% interest in Tendal by investing USD 4.5 million over 3 years. Votorantim is the largest zinc producer in South America and the fourth largest in the world.

Chiriguelo REE Project – Paraguay

Earlier this year, LAT acquired 100% interest in the 25,500 ha Chiriguelo Project, a project similar to the Araxá and Catalão niobium deposits in Brazil. Chiriguelo is located 500 km northeast of Asunción near the Brazilian border, accessible by all-weather road, and located in proximity to population centers for logistical support.
Chiriguelo is an alkaline-carbonatite complex with a well-developed circular structure approximately 7 km in diameter that sits on the Western edge of the Parana Basin in a NW-SE trend of alkaline intrusives.

Prior work at Chiriguelo delineated a significant niobium (Nb) target and the a Rare Earth Element (REE) target. In Q4 2009 LAT completed a reconnaissance rock and soil sample survey in the central ring structure of Chiriguelo to follow up anomalous Niobium, REE and radiometric anomalies encountered by the Anschutz Corporation in the early 1980s.

In May 2011, LAT began a $200,000 ground exploration program at Chiriguelo designed to detect and delineate new REE and Nb targets, involving comprehensive grid coverage of ground magnetics, ground radiometrics, and soil and rock sampling.

Preliminary results released in September identified a new REE target with high values over a 2000m x 2000m area. Rock samples were collected at surface throughout the target area, returning an average of 0.93 % Total Rare Earth Oxides for all 46 samples and a 2.53% TREO average for the upper quartile of samples. The average for the 100 soil samples collected was 0.298 % TREO, while the average for the upper quartile of samples was 0.77% TREO, and the highest concentration recorded, 1.41% TREO.

Management

Miles Rideout, B.Sc. (Geophysics) – President & CEO
Mr. Rideout has practiced mineral exploration continuously in Canada and abroad since graduation in 1987. This includes 21 years of experience within Latin America encompassing 600 exploration, mining and engineering projects. In addition to this technical background, Mr. Rideout played a key role in the corporate development and management of Quantec Geoscience Limited in Argentina, Bolivia, Brazil, Chile and Peru.

Julio Martinez, CGA – Chief Financial Officer
Mr. Martinez is a financial professional and CGA with 13 years of experience with public and private companies in Canada and internationally. This experience includes budgeting, accounting and controls related to mine start-up operations in South America, financial reconciliations for multiple Latin American offices, and mergers and acquisitions.

Board of Directors

Richard Boulay – Chairman
Mr. Boulay is a geologist with over 40 years of experience in the exploration, mining industries in Canada and internationally, including15 years of mining and infrastructure financing experience gained with Bank of Montreal, Royal Bank of Canada and Bank of Tokyo. He has extensive experience in the management and financing of public companies in Canada and the United States.

Mr. Boulay is a Director of San Gold Corp. and served as San Gold’s first chief financial officer for two years as that company financed the reactivation of the Rice Lake gold mine and discovered the Hinge type of high grade gold mines near Rice Lake, Manitoba.

Waldo A. Perez, Ph.D., P.Geo. – Director
Dr. Perez has 20 years of academic and industry experience. He directed project generation for Barrick Gold Corp and IAM Gold Inc. throughout South America including Peru, Chile, Paraguay, Bolivia and more extensively, Argentina.

Patricia Sheahan, BA (Geology) – Independent Director – Chair of Compensation Committee
One of the most recognized woman in Canadian mining, Pat’s distinguished career spans 45 years. She pioneered the role of woman executives in mining. Her company provided technical literature and expertise to exploration companies around the world for 35 years before she donated the database and collection of information materials to the Mineral Deposit Research Unit at University of British Columbia in 2000.

She continues as a consultant in diamond exploration information to MDRU. Pat is currently the Chair and Director of several Canadian public mining companies. She also served as a director of PDAC for 14 years and contributed to the Society of Economic Geologists, Geological Association of Canada and the Mineralogical Association of Canada.

Paul Fornazzari, B.Sc., LL.M. – Director
Born in Concepcion, Chile, Paul is fluent in Spanish. Currently he is the head of the Corporate Finance, Securities and Public M&A National Practice Group at Gowling Lafleur Henderson LLP. Paul has 14 years experience advising resource clients in Latin America.

Ian Peres, CA – Director
Mr. Peres is currently President & CEO of Moneta Porcupine Mines Inc. (TSX:ME), an advanced gold exploration with projects in the Timmins, Ontario. Mr. Peres is a Chartered Accountant who articled with Deloitte & Touche LLP and has over 15 years of experience in senior wealth management roles in retail and institutional finance within capital markets.

Mr. Peres was previously CFO of a Toronto-based mining merchant bank and was involved in over 250 equity financings in the junior mining sector in Canada.

Gerry Feldman, CA – Director
Mr. Feldman is currently employed as the CFO and VP of Corporate Development of Pinetree Capital Ltd.

Gerry is a chartered accountant and has 28 years experience in merger and acquisition activities and corporate finance. Gerry currently serves on the boards of several other Canadian public companies.