SWEDEN

Overview

EMX's focus in Europe is Sweden, where the Company's wholly owned Swedish subsidiary has acquired exploration permits totaling over 100 square kilometers. These properties contain a variety of porphyry copper and Iron-Oxide-Copper-Gold (IOCG) exploration targets, in addition to known areas of copper, gold, and platinum group element (PGE)-enriched styles of mineralization. EMX also owns royalty interests in two advanced copper projects in northern Sweden (the Viscaria and Adak projects).

Exploration in the region is challenged by the extensive cover of soils, glacial materials and vegetation, and a consequent lack of outcrop. As a result, previous exploration has tended to focus on occurrences and deposits that were described during the comprehensive state-funded exploration ventures in the second half of the 20th century. EMX considers this challenging environment to be an opportunity, and is using its comprehensive exploration databases and in-house expertise in porphyry and IOCG mineralization to generate exploration projects on target areas that, for various reasons, may not have been subject to activity in the past 10 to 15 years.

In particular, the Company recognizes the potential in northern Sweden for the discovery of copper-gold deposits similar to the Aitik deposit (Europe's largest copper-gold open-pit mining operation). EMX is also assessing opportunities for early stage exploration opportunities elsewhere throughout the Fennoscandia region.

Strategic Alliance and Earn-In Agreement with Antofagasta

EMX has established a Strategic Alliance and Earn-In Agreement (the "Agreement") with Antofagasta Minerals S.A. that is concentrated primarily on copper exploration in Sweden (see EMX News Release dated February 18, 2011). The Agreement includes a regional strategic exploration alliance that covers all of Sweden (subject to certain exclusions), as well as the election of the Kiruna South properties to Designated Project status. Antofagasta can earn up to a 70% interest in a Designated Project through a combination of cash payments and work commitments that result in a NI 43-101 compliant feasibility study. Also under terms of the Agreement, additional properties in the EMX portfolio are being advanced towards Designated Project status, and new areas are being evaluated for acquisition.

Kiruna South Designated Project with Antofagasta. The Kiruna South Designated Project ("KSDP") with Antofagasta is comprised of ten properties covering an area of over 500 square kilometers in Norrbotten County, northern Sweden (please see maps below).



The Pikkujärvi exploration permits include the Sakkek and Sierkavare prospects. Sakkek was originally investigated by Swedish Geological AB (a state-owned exploration service company) in the mid-1980's, and their programs included six wide-spaced, shallow diamond drill holes. This work defined a linear zone of geochemical and geophysical anomalies that extends for about four kilometers. Historic drill holes SAK-1 and SAK-2 intercepted copper and gold mineralization in hydrothermally altered (granitoid and volcanic) igneous rocks.

EMX's deep till sampling confirmed the copper anomalism of the Sakkek target area. As follow-up, seven reconnaissance diamond holes were drilled that targeted zones of anomalous copper mineralization across an area of 1.1 by 0.9 kilometers. The first two holes (SAK-S1B and SAK-S2B) intersected several intervals of copper-gold mineralization, and SAK-S4 drilled 300 meters to the south also intersected copper-gold mineralization at the bottom of the hole (see table and map below, as well as EMX news release dated July 9, 2012).

Hole ID	From (meters)	To     (meters)	Length* (meters)	Copper %	Gold (g/t)	Comments
SAK-S1B	Anomalous Cu-Au mineralization 14.7 to 236.95 m					222.25m @ 584 ppm Cu & 0.01 g/t Au.
	236.95	297.45	60.5	0.24	0.11	TD in hypogene Cu mineralization.
SAK-S2B	22.35	169.60	147.3	0.17	0.10	Upper supergene & lower hypogene zones.
including	41.35	82.40	41.1	0.33	0.08	Supergene Cu-Au mineralization.
including	93.83	111.20	17.4	0.35	0.23	Supergene Cu-Au mineralization.
	320.63	349.85	29.2	0.16	0.11	TD in hypogene Cu mineralization.
SAK-S4	261.00	275.00	14.0	0.10	0.02	TD in hypogene Cu mineralization.

*True widths for reported intercepts are currently unknown.



Copper-gold mineralization in holes SAK-S1B, -S2B and -S4 is chiefly developed as vein/veinlet swarms and hydrothermal breccias hosted by quartz monzonite, monzonite porphyries, and felsic dikes. The other four holes (SAK-S3, SAK-5 through -S7) principally intersected trachyandesites that are cut by monzonite dikes and breccias and contain anomalous levels of copper. These holes appear to have been drilled peripheral to the copper-gold mineralization that occurs in the quartz monzonite and monzonite porphyries.



Sierkavare was first identified by Luossavaara-Kirunavaara AB ("LKAB"), the operating company of the Kiruna iron ore mines. LKAB drilled 36 core holes during 1982 to 1985, targeting copper-gold mineralization hosted by metavolcanic rocks at the contact with a quartz monzonite. Subsequently in 1986, LKAB reported a historical resource estimate on the basis of 27 diamond drill holes totaling 5,414.1 meters (LKAB Report Nr 86-34 by Kirsten Holme, titled "Preliminary tonnage estimate of the Sierkavare copper mineralization") (please see Company news release dated August 5, 2010). EMX has carried out base-of-till, top-of-bedrock, and surface till geochemical sampling in the area, and identified copper anomalism on extensions from Sierkavare coincident with northwest trending geophysical structures.

The Saivo exploration permits cover an area characterized by a north-south trending geophysical lineament extending for over 20 km with coincident copper anomalism in historical base-of-till and mobile metal ion (MMI) geochemical sampling. EMX field work has identified outcropping copper mineralization, and confirmed the geochemical anomalism.

The Puoltsa exploration permit covers favorable geology and geochemistry proximal to, and extending from, the Pahtohavare and Rakkurijärvi copper-gold-iron deposits. A prominent northwest-southeast trending fault passes through the permit area. The Ailatis and Saarijärvi copper-gold-iron prospects are located within the permit, and new targets have been identified.

The Kalixfors exploration permits include favorable geology and geochemistry in an underexplored area. Earlier work in the 1970's identified copper-gold mineralization at Kielinen and Vuotnavare, a copper-molybdenum-gold prospect at Håmojågge, and an extensive field of copper mineralized boulders at Akkavaara. Field work by the Company confirms the presence of a 12 kilometer trend of copper-gold mineralization and geochemical anomalism extending southeast from the Vuotnavare occurrence, which has been tested by only four historic diamond drill holes.

Regional Alliance with Antofagasta. EMX's Regional Alliance with Antofagasta includes the Ussavaara, Mattavaara, Iekelvare, Sattavuoma, Maltosrova, and Rappen exploration permits. These permits cover known occurrences of copper-gold mineralization, as well as surrounding prospective geology. EMX has undertaken reconnaissance field work (geochemical sampling, geological mapping) and historic data compilations on these properties.


EMX Properties Available for Partnership

EMX's Sadjem and Leipovaara exploration permits comprise the Aitik South copper exploration project. The permit areas cover approximately 120 square kilometers, and are about 5 to 15 kilometers east and southeast of the Aitik copper-gold mine. The area was identified as one of the few areas available for application in the copper-productive Aitik-Nautanen district in Norrbotten County. A significant structural feature is marked by airborne magnetics that has been interpreted as a continuation of the regionally important Nautanen Deformation Zone. EMX geologists have identified alteration and copper mineralization in strongly sheared intrusive rocks. The regional geochemical and geophysical datasets, together with field observations, indicate a favorable exploration environment for copper porphyry and IOCG deposits.



The Norrmyran exploration permits, previously a Designated Project with Antofagasta, cover approximately 126 square kilometers in the western part of the Skellefte Mineral belt, Västerbotten County, Northern Sweden. The Skellefte belt is known for its VMS copper-zinc massive sulphide deposits and mines, but also includes porphyry copper and orogenic gold deposits. The Norrmyran exploration permits cover an east-west trending contact between Early Svecokarelian granites (Jörn Suite) to the south, and the regionally extensive post-Svecokarelian granites. Outcrops of copper-molybdenum sulphide vein and stockwork mineralization occur on, and close to this contact.



Regional geochemical sampling (surface till, stream-organics, rocks) was undertaken by the SGU in the 1970's, 80's and 90's. The stream-organic samples clearly identify a coherent zone of copper anomalism close to the granite contact, but the results from the surface till sampling are disappointing due to the thick cover of fluvio-glacial till deposits. EMX's work on the property has identified mineralization and alteration styles characteristic of porphyry copper systems that, together with favorable geophysical and geochemical attributes, define an extensive target area.

The Storåsen exploration permits are located in west central Sweden. EMX has acquired a land position of over 56 square kilometers in the area, and currently holds an unencumbered 100% interest in the property. The property hosts a historic inferred resource defined by Poplar Resources in 2002 that remains open for expansion. As well, there is considerable upside exploration potential elsewhere on the property.



The mineralization is hosted by a "window" of Proterozoic gneisses, mafic metavolcanics and intrusives (amphibolite), and metasedimentary rocks in Caledonian metasediments, and is characterized by disseminated, web-textured, and vein controlled zones of pyrite and chalcopyrite with, gold and platinum group elements.

Mineralized boulders were discovered on the Storåsen property by prospectors in 1974. There are three main clusters of mineralized boulders - in the Central Zone the boulders have been sourced from bedrock mineralization, but the bedrock source has yet to be identified for the boulders in the Bell and Ostlund Zones.

A total of 35 core holes were drilled on the property by the SGU from 1980 to 1989. Most of these were relatively shallow holes (22 of the 35 were less than 100 m), and targeted the Central Zone, where a gabbro sill within the gneiss hosts the mineralization. Only five reconnaissance holes were drilled in the Bell Zone and another two holes in the Ostlund Zone, with all failing to intersect the rich styles of mineralization seen in boulders at the surface.

Poplar Resources drilled an additional drilled 18 additional holes on the property in 2001. These drill results include (true widths unknown):

• 25.25 m of 0.49% Cu, 0.23 g/t Au, 0.27 g/t Pd (DH BB-11),
• 8.46 m of 1.01% Cu, 0.40 g/t Au, 0.96 g/t Pd (DH 86013) and
• 6.75 m of 0.78% Cu, 0.44 g/t Au, 0.64 g/t Pd (DH 86012).

Based upon the Company's follow-up review, the historic Poplar drill results are considered to be reliable and relevant. However, the styles of mineralization seen in boulder samples with >1 ppm PGE have not been intercepted to date by drilling, and the Company considers that the Storåsen property has considerable upside exploration potential. EMX is seeking joint venture partners to advance this interesting project, and test the outstanding targets.