Colossus Minerals Inc. (TSX:CSI ^[1],OTCQX:COLUF) is an exploration and development company focused on gold and platinum group metals in Brazil. Led by a skilled management team, the company is managing and developing its Serra Pelada gold, platinum and palladium project. Since their IPO in February 2008, Colossus has continuously announced spectacular high-grade results from drilling at Serra Pelada. Colossus is forging ahead with its plans to become the next major precious metal producer in Brazil.

Investment Highlights

• High-Grade Au & PGE Project in Brazil
• Significant Exploration Upside on Expanded Land Package
• Project is Fully Permitted - Acquired Environmental, Installation & Mining License in 2010
• Recent Drill Results : 7.30 m at 1494.70 g/t au, 516.60 g/t pt & 558.90 g/t pd
• Potential to be in lowest cost quartile of producers globally
• Underground drilling program to commence in 4Q 2011 and construction of gravity processing plant is expected to be completed in 2H 2012

Chief Properties

Serra Pelada Project

Colossus' flagship project, Serra Pelada hosts the famed high-grade gold-platinum-palladium deposit.  The Project is being advanced towards production by a Colossus-COOMIGASP (75/25) joint venture.

Serra Pelada is situated in the mineral prolific Carajas region, near the towns of Curionopolis and Parauapebas, Para State, northern Brazil, where access and infrastructure are excellent. Colossus is currently developing a 3,500 metre underground decline which will provide access for underground exploration, definition drilling and access to the orebody for eventual production.

Historically, the “Central Mineralized Zone” (CMZ) at Serra Pelada was mined along 350 metres strike length to depths of about 110 metres. Vale's drilling confirmed that gold-platinum-palladium mineralization extends under the pit for more than 450 metres strike length to the western boundary of the concession. In these areas, mineralization has been encountered at depths of 150-350 metres and constitutes the prime target, hereby referred to as the CMZ.

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A re-assay and full platinum group element (PGE) analysis of Serra Pelada's historical drill core returned astounding results. High-grade PGE-gold intervals assayed include FD-072: 7.88 metres at 406.4 g/t gold, 98.4 g/t platinum, 115.7 g/t palladium, 2.74 g/t rhodium, 1.52 g/t iridium, 0.1 g/t ruthenium and 0.03 g/t osmium, including 1.87 metres at 1,431 g/t gold, 248 g/t platinum, 321.4 g/t palladium, 6.50 g/t rhodium, 4.21 g/t iridium, 0.39 g/t ruthenium and 0.109 g/t osmium.

Assay results from Colossus' drilling at Serra Pelada consistently return remarkable grades of gold and PGMs over significant widths ( SPD - 099: 7.30 metres at 1494.70 g/t gold, 516.60 g/t platinum and 558.90 g/t palladium and SPD - 034: 70.70 metres at 53.59 g/t gold, 20.77 g/t platinum and 31.30 g/t palladium).

In March 2012, follow-up auger drilling in the Elefante Area continued to delineate high grade gold in soils and saprolite with values of 7.81 g/t, 5.70 g/t and 18.00 g/t gold intersections within two metres from surface. The SPD-132 intersected 4.5 metres grading 16.08 g/t gold, 0.61 g/t platinum and 1.19 g/t palladium in the GT Zone filling in a 50 metre wide gap.

The SPD-133 intersected 0.5 metres of 12.65 g/t gold and a separate 0.5 metres of 4.39 g/t gold in the upper limb zone, proving that this zone contains high-grade gold intervals and warrants further exploration. Drill results indicated that both the upper and lower limbs of the fold structure may be more important mineralization-bearing zones than previously believed.

The auger results continued to expand the potential of the Elefante Area. The high grade intercepts in soils close to surface could have immediate economic potential while the gold encountered in bedrock increases the optimization for the planned drill program on the Elefante Area. Drill results on the GT Zone and CMZ expanded the upper and lower limb potential to host additional mineralization. The GT Zone intercepts continued to suggest additional potential for the zone to expand down-plunge and along strike.

Geological Cross Section - 400 metres southwest of the historic pit

 Exploration Potential on New Ground

Cutia Project

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In January 2012, Colossus announced the acquisition of the 633 hectare Cutia Property from Cooperativa Mista do Garimpeiro de Cutia. Located approximately 13 kilometres to the southeast of Serra Pelada, it is accessed by same road.  It is hosted in same geological formation as Serra Pelada (Rio Novo), with 3 metre thick quartz veins outcropping on surface. The main structural feature on the property is the Cutia Fault Zone which traverses the property in a roughly east-west orientation and divides the property between felsic metavolcanics to the north and mafic metavolcanics to the south according to the DNPM maps. The mineralized breccia and quartz vein system that has been historically mined by garimpeiros occurs along this fault zone. The quartz veins range from 3-5 metres wide on surface and contain varied amounts of disseminated, pyrite, malachite and iron oxide minerals as well as the occasional speck of visible gold. A recent university study reported grab sample results of 66g/t Au, 10g/t Ag and >0.5% Cu.

In addition to a site visit, as part of the due diligence process, an airborne geophysical survey was conducted over the Cutia property using a proprietary VTEM (versatile time-domain electromagnetics) system which measures the magnetic and electromagnetic signatures of the underlying property. A total of 303 line kilometres were flown over the property with line spacings of 50 metres in an N-S direction with tie lines flown perpendicular to the survey lines in an E-W direction and spaced every 500 metres. The survey was successful in delineating a roughly 4.8 kilometre long contact zone between two major lithologies. The auriferous quartz vein system on the property occurs at this contact zone. Several highly magnetic bodies as well as weak electromagnetic anomalies were found in the data and will be ground truthed during a follow-up mapping and prospecting program.  Numerous inferred lineaments also resulted from the geophysical interpretation. These lineaments may represent fault and shear structures and make for good exploration targets as they may host auriferous vein material similar to the known showings on the property.

Management

Ari Sussman - Executive Chairman

Mr. Sussman, Executive Chairman, has over 15 years of experience in  the natural resources industry. Having dedicated the majority of his career to the natural resources industry, Mr. Sussman has been instrumental in sourcing, funding and developing high-quality mineral assets. During his career, Mr. Sussman has built a strong network of business contacts throughout Latin America, and in the past decade has raised over $300 million for various ventures.

Presently, he also serves as CEO of Continental Gold Limited a high-grade gold project in Colombia. Previously, Mr. Sussman was involved in Titanium Corporation Inc. Mr. Sussman is currently on the board of Dalradian Resources.

Claudio Mancuso - President and Chief Executive Officer
Mr. Mancuso has over 10 years experience in the mining industry and capital markets. Prior to joining Colossus, he served as Vice President, Treasurer of Agnico-Eagle Mines Limited, a position he held since January 2009. Prior to that appointment, he served Agnico-Eagle in various financial management positions. Prior to joining Agnico-Eagle in 2002, he held positions at the Ontario Securities Commission and BDO Dunwoody LLP, a public accounting firm. Mr. Mancuso is a graduate of the University of Waterloo and is a Chartered Accountant.

Paulo de Tarso Serpa Fagundes - Chief Operating Officer

Mr. Fagundes has 30 years' experience in the mining industry and brings strong operating experience specifically in South American mining projects. Mr. Fagundes was most recently General Manager of the Mercedes Mine in Mexico for Yamana Desenvolvimento Mineral Ltda. where he was responsible for the development of the underground gold mine, and from 2007 to 2009 he was General Manager of Yamana's San Andres Mine in Honduras where he was responsible for operations, administration and a successful expansion of the project. He previously held senior operating positions with Camargo Correa Group, a Brazilian conglomerate and Companhia Brasileira do Cobre, a Brazilian mining company, where he was Manager of the Sao Luiz underground mine.

Mr. Fagundes graduated from Universidade Federal do Rio Grande do Sul in 1981 with a Bachelor of Science in Mining Engineering, and from Universidade de São Paulo in 1999 with an MBA in Business Management - Human Resources. Mr. Fagundes is fluent in Portuguese, Spanish and English.

Alden Greenhouse, CFA - Chief Financial Officer

Mr. Greenhouse has over 10 years capital markets experience. Prior to joining Colossus, Mr. Greenhouse held various senior positions within RBC Capital Markets in commodity risk management, foreign-exchange and fixed income. Prior to joining RBC, Mr. Greenhouse was a Senior Analyst at Dominion Bond Rating Service. Mr. Greenhouse is a graduate of the Michael G. DeGroote School of Business at McMaster University (B.Com), the London School of Economics, University of London (M.Sc.), and he holds the CFA designation from the CFA Institute.

Vic Wall, PhD - VP Exploration
Dr. Wall brings to the Colossus team a wealth of expertise and experience in the generation, acquisition and evaluation of precious, base metal and energy mineral projects. Dr. Wall is a geologist with 35 years in the minerals mining, consulting, and exploration and research industries. Following a career in Australian and North American academes, he held senior positions in a number of multinational major and junior minerals companies. A Fellow of the Australian Institute of Geoscientists, Dr. Wall is Principal of Taylor Wall & Associates, a Brisbane-based consultancy that provides geoscientific services to mineral companies and government agencies, worldwide. His professional highlights include the targeting and acquisition of gold and base metal deposits on several continents, developing new models for precious, base metal and energy mineral systems. In 2001, Dr. Wall was named the winner of the Goldcorp Challenge.

Augusto Kishida, PhD - Vice President of Business Development
Dr. Kishida has over 35 years of experience in the mining industry with a primary focus in Brazil. He has held many high-level positions within various Brazilian companies, including General Manager Brazil for International Brazilian Goldfields, Principal Geologist for Mount Isa Mines Limited, General Manager Brazil for Consolidated Madison Holdings and various positions within Vale, formally known as Companhia Vale do Rio Doce, the largest iron ore mining company globally.

Dr. Kishida holds a BSc. in geology from the Federal University of Rio de Janeiro, Brazil, an MSc. in economic geology from Federal University of Bahia, Brazil and a PhD in geology from the University of Western Ontario, Canada. He is a leader in modern day understanding of Archean Greenstone Belts and associated mineral deposits in Brazil. As well, he has published a number of important papers, including 3 major articles on economic geology.

In the mid 1980s, Dr. Kishida was the pioneer in attracting risk capital from junior exploration companies into Brazil. As a result, he has significant experience is setting up and operating Brazilian mining companies.

As an exploration geologist, he has been actively involved in many important discoveries in leadership capacities. Highlights include the discovery of the Fazenda Brasileiro gold deposit currently being mined by Yamana Gold Inc and the Catalao phosphate deposit being mined indirectly by majority owner Anglo American PLC.

Ann Wilkinson - Vice President Investor Relations
Ms Wilkinson possesses over 20 years experience in the mining industry in the investor relations and other management roles. Prior to joining Colossus, Ann served as Vice President, Investor Relations of Breakwater Resources Ltd., a position she held from October 2005. Preceding that appointment she was Breakwater's Corporate Secretary. Before joining Breakwater in 1995 she held a number of roles with several capital market firms and a couple of junior gold exploration companies. Ms Wilkinson has a B.A. (Economics) from the University of Western Ontario.

Jason Brooks, CA - Vice President Finance
Mr. Brooks has more than 10 years of finance and accounting experience in the mining industry. He most recently served as Assistant Controller of NewGold Inc., an intermediate gold producer. Previously, he spent six years with Barrick Gold Corporation in various financial management positions. Prior to joining Barrick, he spent five years at BDO Dunwoody LLP, a public accounting firm. Mr. Brooks is a graduate of the University of Western Ontario and is a Chartered Accountant.

Board of Directors

Ari Sussman, Executive Chairman
Patrick F.N.Anderson, Director
David Anthony, Director
John Frostiak^1,2,3, P. Eng., Director and Q.P.
Greg Hall^1,2,3, Director, Q.P.
Mel Leiderman, CA, Director
Douglas Reeson^1,2, M.B.A., Director
Antenor F.Silva Jr., Director

 

1 Member of the Audit Committee

2 Member of the Corporate Governance and Compensation Committee

3 Member of the Health, Safety and Environmental Committee