Southern Copper Corporation

March, 2017

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I. Introduction 1 .

Management Presenter Presenters Title Raul Jacob  Vice President. Finance & CFO 2 .

Grupo Mexico does not undertake any obligation to publicly release any revision to these forward-looking estimates to reflect events or circumstances after the date of this presentation. Readers are cautioned not to place undue reliance on these forward- looking statements. the behavior of other market participants and the actions of governmental regulators. These forward-looking estimates are subject to risk and uncertainties that could cause actual results to differ materially from the expressed in the forward-looking statements. such as future market conditions. 3 . Safe Harbor Statement This presentation contains certain statements that are neither reported financial results nor other historical information. which speak only as of the date of this presentation. Many of these risks and uncertainties relate to factors that are beyond Grupo Mexico’s ability to control or estimate precisely. These estimates are forward-looking statements within the meaning of the safe-harbor provisions of the Mexican securities laws. commodity prices.

96 % SCC Peru Branch Minera Mexico (*) As of December 31. 2016 4 .1% (*) 99. Corporate Structure 100.0% (*) AMERICAS MINING CORPORATION 88.29 % 99.9% (*) Public Float 11.

000 Machinery 0.00 Products 800.00 200. Inventories Copper Consumption by End-use 4. and government stimulus programs. will be offset by 850K production cuts.50 for greenfield production.000 3.00 - 5-Mar-14 3-Jan-12 8-Jun-12 7-Apr-15 10-Sep-15 5-May-16 21-Mar-12 27-Aug-12 13-Nov-12 31-Jan-13 16-Jan-15 24-Jun-15 22-Apr-13 10-Jul-13 26-Sep-13 13-Dec-13 23-May-14 11-Aug-14 27-Nov-15 25-Jul-16 29-Dec-16 28-Oct-14 17-Feb-16 11-Oct-16 Construction 5 31% LME COMEX shanghai LME Cash Wood Mackenzie 2015 .000 2.000 Transport Consumer 11% 900.50 700.00 600.000 25% 3.00 . ― Market copper prices below estimated incentive price of Asia Ex China $3.50 300. ore grade decay and scrap scarcity.$3.50 10% 100.000 1. 2015 LME Copper Cash Price vs. 12% Wood Mackenzie Dec. Copper – The Best Fundamental Story in Commodities Solid Fundamentals Copper Consumption by Region ► Copper has the best fundamentals in the basic materials space: Other ― 2016 demand driven by US and EU markets.00 23% 400.000. 8% China 46% ― Additional production expected for 2016-2017. Europe 17% ― No greenfield projects approvals at current prices.000 Industrial 1. state electrical infrastructure USA demand.50 1.000 4.50 Electrical 500.000 0. 12% Japan ― China: Expect 3% demand growth due to housing market 5% recovery (tier 1 and 2 cities).000 Network 2.

fully integrated operations ►Experienced management team ►Strong financial performance / investment grade since 2005 ►Outstanding dividend history ►Good long-term copper & by-product fundamentals 6 . Southern Copper Strengths ►Highest copper reserves of the industry ►Excellent organic growth projects ►Low cost.

Overview of Operations 7 .II.

50 x Lb of Cu): San Martin Charcas San Luis Potosi Copper Production: 900 kt Taxco Sales: $ 6.95/lb.8 B 47% of Sales Key #1 copper company by reserves 2 Copper open pit mines Underground mines #5 copper producer 3 Smelters and Refineries Projects #10 copper smelter 3 #8 refinery 3 Cuajone Tia Maria Source: Company Filings Ilo Toquepala Notes: 1 Copper contained in reserves based on US$2.0 B Peru EBITDA: $ 2. Company Overview Copper Reserves 1: 71. El Pilar La Caridad Santa Eulalia El Arco Santa Barbara 2017 Estimates (@ $2.90 per pound of copper as of December 31.4 mmt Mexico Buenavista 2016 Cash Cost $ 0. 2016 2 Based on available companies reports 3 Wood Mackenzie Limited 2014 8 .

2015 Dec.31. Annual Rep. 10K 20F Annual Rep. 31.35 SCC SCC after Anglo Codelco Freeport BHP Rio Tinto Xstrata 2015 expansion American Billiton 9 .7 ► Four large-scale open-pit mines Copper Reserves (Mt) 50 ► Two world class copper greenfield projects (El Arco / Tia Maria) and several other 40 36. 2015 Dec.7 31. World’s Largest Copper Reserves Copper Reserves as Reported SCC Highlights ► #1 mine life among copper producers 80 ► #5 world’s largest producer of mined copper 70. 20F 20F 20 Period Dec.31.0 20.10 $3. 30.7 Mine Life 20 13. 2014 Dec. 31. 2014 Dec.00 3. Reserve Rep. 2014 Jun. 2014 Dec. 2014 Dec.35 N/A N/A N/A $3.1 70 ► Highly diversified geographical presence 60 56. 31. 2014 Dec.90 N/A $2.6 33.31.8 opportunities 30 27. 2014 0 Cu Price $2.31.7 100 94 10 80 0 VALE American SCC Codelco BHP Billiton Freeport Rio Tinto Glencore Antofagasta 59 Xstrata 60 Anglo 40 34 34 25 21 21 18 Source 10K Annual Rep.0 10. 31.

Geographic Footprint & Product Diversification 2016 Revenue by Product 2016 Revenue by Market Other Acid 5% Mexico 26% Zinc 2% 4% Molybdenum Peru 5% 5% Chile 2% Silver Brasil 4% 6% Europe 19% Copper 78% Asia 23% Other American United States 1% 20% 10 .

20 1. Low Cost Operations Cash Cost per Pound of Copper Produced Low Cost Drivers Net of By-Products 1.95  Significant SX-EW production  Strong by-product credits 0.11  Fully integrated low cost operations 1.00  World class assets (US$/lb) 1.89 18% Operating Materials 20% (US$/lb) 1.66 1.45 Fuel Maintenance 12% 19% 1.07 1.2 1.92 Other 1.70 1.8  Management focus on cost efficiency 2013 2014 2015 2016 Operating Cash Cost per Pound of Copper Cost Structure (1) Produced 2.0 0.20 2013 2014 2015 2016 Power Labor 18% 11 13% (1) LTM .

WMQ42015 12 . 2015 Copper Production Cash Cost by Company Source: Wood Mackenzie Copper Mine Cost Model.

Financial Overview 13 .III.

34 0.5x 3.406 7.394 12.333 736 777 1.035 EBITDA 2.277 14.18 0.406 Total Debt 4.294 7.046 $5. Equivalents & Short Term Investments $703 $878 $597 $1. SCC Financial Summary (US$ MM) 2014 2015 2016 2017 E Copper Price (LME) US$ per pound 3.519 Total Assets 11.039 Cash Flow Statement: Capital Expenditures $1.46 0.945 2.208 Dividends paid per share 0.593 13.832 7.11 2.829 EBITDA Margin 47% 38% 41% 47% Net Income 1.952 5.105 Free Cash Flow 1 (174) (270) (195) 918 Dividends paid to common shareholders 381 271 139 62 Total Debt / EBITDA 1.08 Balance Sheet Statement: Cash.150 $1.119 $1.1x 2.804 5. 14 .557 7.7x 2.327 Total Shareholders' Equity 5.212 2.50 Income Statement: Net Revenues $5.954 Total Liabilities 5.380 $6.788 $5.530 $1.954 5.50 2.263 5.1x 1 Free Cash Flow defined as net cash from operating activities less capital expenditures.728 1.181 5.21 2.

1 2045 $1.6 2028 $51 Rio Tinto 31% BHP 2.8 2035 $1.1 2040 $1.000 Freeport 30% Freeport 4.1 2020 $400 2022 $300 BHP 36% Rio Tinto 2. Solid Financial Performance Top Tier Margins and Conservative Leverage for Increased Financial Flexibility 2016E EBITDA Margin (%) 2016E Total Debt / EBITDA (x) Amortization Schedule SCC 43% Antofagasta 2.6 American 2042 $1.200 Anglo 21% First Quantum 6.500 American Source: Bloomberg Consensus Source: Company Reports and Bloomberg Consensus 15 .100 First Quantum 27% Anglo 4.4 2025 $500 Antofagasta 33% SCC 2.

$158M .$2. & SX/EW .$500M – 50K . 105K Oz Au $2.200 1.Concentrator Plant 1Q16 .4K Tons Cu. 0.4B .60K Tons Zn 26K Tons Cu 2H13 .SX/EW III 4Q14 . Investment Program to Significantly Increase Production Board approved Other projects 2013-16 2017-20 MEXICO PERU Buenavista: El Pilar 1Q18 .$1.622 1.$38M .7K Tons Mo Tia Maria SX/EW 2Q20 – $1.000 786 800 600 472 400 200 - 2016 2017 2018 2019 2020 2021 16 Source: SCC .2B .6K Tons Mo Pilares 3Q18 .$360M Los Chalchihuites .$92M 10K Tons Cu Tons Cu 2016-2021 Capex Program Overview (MM) 2015-2020 Copper Production Forecast (‘000 MT Cu) 1.$525M 120K Tons 2Q18 . 7.8B .4M Oz Tons Cu.8B Los Chancas Conc.120K Malpica .105 1.189 1. 7K Expansion . & SX/EW - .2K 184K Tons Cu.Molybdenum Plant 3Q13 .118 1.$200M 34.1K Angangueo Polymetallic Mine .134K Tons Cu.100K Tons Cu .7 Tons Mo 188K Tons Cu.800 1.$1.10. Tons Zn. 0.600 1. Cuajone Concentrator Cu Tons Mo $170M .22K Tons Cu. 2.400 1. 3. 4K Tons Pb.4B .$140M Expansion Cuajone: Variable Cut-off Grade + HPGR 16K Tons Cu .$310M – 35K Tons Cu El Arco Conc. 2.6K Tons Mo Tons Mo Toquepala Concentrator Expansion .Mine equipment $505M Ilo Smelter & Refinery Buenavista Zinc Conc.5K Tons Cu Ag . 1Q19 .

9 10.105 low pre stripping for Tia Maria and Greenfield Projects Buenavista projects Tia Maria SXEW Project Probable 1.5 21.5 15 11.0 11.3% 188.253.0 11.Industry Source: Wood Mackenzie (Global Copper Mine Supply Summary.5% 22.0 10.798 focused on capital efficiency Total / Weighted Average Intensity 1.6% 120.9 613 5 400 0 Restarts Extensions of Expansions Expansions SCCO Probable Possible SCCO - Existing Mine to Existing New Process Brownfield Greenfield 2011 2012 2013 2014 2015 Life Mine/Plant (X) Plant (N) Brownfield . Best-in-class Mining Projects Reaching Completion Providing Competitive Cash Costs and Increased Production Levels Key Differentiators to Achieve Project Capital Intensity at SCCO Projects Lower Capital Intensity SCCO Project Pipeline • Use of less capital intensive and Initial Capex % of Total Incremental Production Capital Intensity environmentally friendly SX/EW Type (US$MM) Capex Av.532 increase coming from brownfield Buenavista SXEW III Expansion (N) 1.1 10 800 4.0 12.Industry Greenfield .379.6 1.) technology for 45% of production growth Brownfield Projects • Significant economies of scale in Cuajone variable cut-off grade + HPGR Expansion (X) 158.4 16.000 21.7% 130.535 16.0 4.600 1. SCCO filings and presentations 17 .4 11.493 • Experienced project development team Angangueo Possible 174.7 1.749.9 24.7 2.0% 40.553.738 • Reduced mining preparation cost due to Total / Weighted Average Intensity 4.3% 470.5 3. SCCO Projects 2011-2015 Capex Evolution Weighted Avg.052 9. Cu Eq.0 7.7 1.497 Pilares Extension 189.0 2.182 infrastructure for 77% of production Toquepala concentrator expansion Expansion (N) 1.363 expansions Buenavista concentrator expansion Expansion (N) 1.785.150 11.0 9.2 19.4 28. May 2014).2 21.9% 120. (kt/a) (US$/tpa Av. Cu Eq.916 Industry-Wide Capital Intensity Comparison vs.363. Project Capital Intensity of Existing Projects US$MM US$ 000 per tonne of Cu Equivalent Annual Incremental Production 25 2.200 1.8% 10.9% 100.9 1.6 75.703 20 17.

50 $2.42 $4.945 56% 57% 57% 49% 47% 38% 47% 41% 2010 2011 2012 2013 2014 2015 2016 2017 E Cu price $3.212 $1.50 18 . Investments focused on cost competitiveness • Fully integrated low cost operations • Outstanding dividend history • Experienced management with proven track record SCC EBITDA and % Margin (in US$ millions) $3.00 $3.865 $2. SCC’s Major Strengths SCC is the Premier Copper Play • World class assets in investment grade countries • #1 in reserves of any company with various exploration prospects .728 $2.829 $2.773 $2.945 $2.32 $3.11 $2.21 $2.910 $3.Increasing copper production • Capacity to deliver projects through flexible capital structure and significant cash generation capability.61 $3.