Investor Presentation

September 15th, 2010

Cautionary Note on
Forward-Looking Information

This presentation contains “forward-looking information”, including “financial outlooks”, as such terms are defined in applicable Canadian
securities legislation, concerning Timminco’s future financial or operating performance and other statements that express management’s
expectations or estimates of future developments, circumstances or results. Generally, forward-looking information can be identified by the
use of forward-looking terminology such as “expects”, “targets”, “believes”, “anticipates”, “budget”, “scheduled”, ”estimates”, “forecasts”
“intends” “plans” and variations of such words and phrases, or by statements that certain actions, events or results “may”, “will”, “could”,
“would” or “might”, “be taken”, “occur” or “be achieved”. Forward-looking information is based on a number of assumptions and estimates
that, while considered reasonable by management based on the business and markets in which Timminco operates, are inherently subject to
significant operational, economic and competitive uncertainties and contingencies. Timminco cautions that forward-looking information
involves known and unknown risks, uncertainties and other factors that may cause Timminco’s actual results, performance or achievements
to be materially different from those expressed or implied by such information, including, but not limited to: liquidity risks; foreign currency
exchange rates; equipment failures; dependence upon power supply for silicon metal production; pricing and availability of raw materials;
global economic conditions; credit risk exposure; selling price of silicon metal; customer concentration; transportation delays and disruptions;
class action lawsuits; contract termination claims; interest rates; future growth plans and strategic objectives; environmental, health and
safety laws and liabilities; conflicts of interest; limited history with the solar grade silicon business; selling price of solar silicon; customer
commitments; production cost targets; achieving and maintaining quality of solar grade silicon; customer capabilities in producing ingots;
protection of intellectual property rights; production capacity expansion at the Bécancour facilities; closure of the magnesium facilities;
investment in Applied Magnesium; insurance costs; government and economic incentives; dependence upon key executives and employees;
completion and integration of potential acquisitions, partnerships or joint ventures; intellectual property infringement claims; new regulatory
requirements; and climate change. These factors are discussed in greater detail in Timminco’s Annual Information Form for the year ended
December 31, 2009, as well as Timminco’s most recent Management’s Discussion and Analysis, and are each available on SEDAR via
www.sedar.com. Although Timminco has attempted to identify important factors that could cause actual results, performance or
achievements to differ materially from those contained in forward-looking information, there can be other factors that cause results,
performance or achievements not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to
be accurate or that management’s expectations or estimates of future developments, circumstances or results will materialize. Accordingly,
readers should not place undue reliance on forward-looking information. The forward-looking information in this presentation is made as of
the date of this presentation and Timminco disclaims any intention or obligation to update or revise such information, except as required by
applicable law.

2
Silicon Metal Industry
Industry Breakdown by Market:

Chemicals:
Silicones 50%

10% 40%

2008 Global Sales Chemicals: Aluminum

Polysilicon
(pre-global recession)

$6.4B Chemicals:
Silicones

Chemicals:
Polysilicon

Aluminum

3
Silicon Metal

• A leading producer for more

than 30 years

• 5th largest producer in

Western World

The Backbone • Generated revenue of $128M

in 2008 – the latest full year
of Timminco of production

• Joint Venture with Dow

Corning Corporation
announced on August 10th,
2010
4
Silicon Metal Production

Electric Arc Silicon Metal

Raw Material
Furnace Process
Si

Sold to the
Quartz chemicals and
aluminum
industries.

Our quartz mining rights Quartz is processed Can be used as the

provide security of into silicon metal using primary input in the
supply. electricity, coal and production of our solar
wood chips. grade silicon product.

5
Growing Demand for Silicon Metal
000’s MT
World Consumption
3,000

2,500

2,000

1,500

1,000

500

0
2008 2009 2010 FC 2011 FC 2012 FC 2013 FC 2014 FC
Source: CRU, 2010

• Silicon world demand forecasted to grow by 26.6% from 2008 to 2014

• Demand driven by macro-trends:
• Increasing demand for new applications in silicones
• Emergence of solar energy market
• Increasing demand for aluminum
• Growth in the Western World and China

6
Chemical Industry Demand: Silicones

Silicon Construction-related products,

including sealants, adhesives,
Metal lubricants, paints, coatings

Consumer products including

cosmetics and heat resistant
cooking utensils

2-in-1 shampoo and conditioner

Chemicals
Industry: Increasingly being used as a
Silicones substitute for petroleum-based
plastics

7
Chemical Industry Demand: Polysilicon

Silicon Solar Market Development Potential

Metal
35

30 33%
Projected CAGR
25
2009-2014

MW Installed
20

15

10

Chemicals 5

Industry: 0
2004 2005 2006 2007 2008 2009 2010E 2011E 2012E 2013E 2014E

Polysilicon Source: European Photovoltaic Industry Association

May 2010

• Polysilicon demand expected to grow by 15% – 30% driven

primarily by growth in solar PV market
• Solar PV now accounts for half of polysilicon demand

8
Aluminum Industry Demand

Silicon
Metal 326 lbs

77 lbs

Aluminum
Industry

Source: Ducker Worldwide

Note: As a percentage of curb weight (based on 3,600 lbs)

9
Silicon Metal Pricing

Source: CRU, Mar 2010

Factors driving increasing nominal dollar trend expected to continue

• Pricing recovery continuing in 2010
•Increasingly tight Western supply; consolidation
occurring
Potential
•Interruption of Chinese supply, or forecasted
additional
additional supply does not materialize
upside
•Weak U.S. dollar
•Increases in input costs

10
Western Market Focus

Source: CRU Mar 2010

The Western World relies on Chinese export

to meet almost half of its silicon demand
11
Western supply is tightening

• M&A transactions announced in past 12 months have

captured 16% of Western silicon capacity for upstream
integration
Date Transaction Nameplate capacity
(mt)

Nov 2009 DC acquires 100% Globe metals Brazil 44,000

Nov 2009 DC acquires 49% Globe WV Alloys 37,000

June 2010 Wacker acquires 100% Fesil Holla 55,000

August 2010 DC to acquire 49% Becancour Silicon 23,000

Total capacity captured 159,000

Percentage of total Western supply 16%

Source: Company Press Releases, CRU March 2010

12
Reliance on Chinese Silicon Supply Growth

• Chinese silicon
demand is forecast to
increase
• Chinese forecast
demand growth is
likely to materialize
before supply growth

Could Result in
Silicon Shortage in the
Western World
Source: CRU Mar 2010
13
Our Advantages
1. Access to Stable Source of Electricity

2. Competitive Costs

Power Other* Power

• Competitively priced source of electricity 30% 25%

Raw Materials
• Own source of quartz 5%
• Proprietary electrode technology Transport 40%
Raw
Materials

* Other includes maintenance, labour and SG&A

3. Political Stability

4. High Capital Cost of Greenfield Construction

• Capital cost of greenfield silicon plant $6,000 - $7,000 / mt

• Long lead time for greenfield completion (3-5 years)
• IRR on new construction sensitive to price and cost assumptions

14
Growth Strategy

Restore demand and full production

1. • Full production achieved Nov. 2009 and
maintained to present
• 2010 production essentially sold out

2. Lower production costs

• Achieved lower cost per tonne in Q2/10

3. Explore expansion opportunities

15
Future Opportunities: Solar Grade Silicon

Silicon Metal Solar Grade Silicon

~$ 3/kg $36/kg
Timminco’s average selling
Current spot price price for Q4/09

16
Solar Energy Industry
Global energy consumption is expected Solar Market Development Potential
to rise by 50% from 2005 to 2030

800
Projected 35
700

600
30 33%
Projected CAGR
Quadrillion Btu

25
500 2009-2014

MW Installed
Growing 20
400 energy
demand 15
300

200 10

100 5

0 0
80 85 90 95 0 5 10 15 20 25 30 2004 2005 2006 2007 2008 2009 2010E 2011E 2012E 2013E 2014E
Source: European Photovoltaic Industry Association,
May 2010

Industry will require quality,

economic alternatives to polysilicon
17
Solar Grade Silicon: Market Dynamic with
Polysilicon
Spot Price for Polysilicon

• Solar grade silicon: 500

• Substitute for polysilicon in 400

solar cells

Price ($/Kg)
• Demand increases as price 300

of polysilicon increases
200
• Polysilicon demand
forecasted to grow by 15% 100

to 30% p.a. to 2013

0
2005 2006 2007 2008 2009 8/2010

2008 polysilicon spot price = $450/kg

2010 (Aug) polysilicon spot price = $70/kg

• Polysilicon prices trending upward with increasing demand and

tightening supply.
• Spot prices could move up to higher-cost manufacturers’ cash cost,
which fills last kg of demand.
• Return of demand for solar grade silicon as a lower cost substitute

18
Our Solar Grade Silicon Process

Proprietary, Patent Pending Process

Conventional Semiconductor
Grade Silicon Solar Energy
Process
Industry
Reverse
Conventional polysilicon process: refinement
chemical ultra-refinement (doping)

Solar Grade
Silicon Ingot

Brick
Silicon
Metal
Wafer
Solar Grade
Silicon Cell

Timminco propietary
metallurgical process
Customers turn our raw solar
grade silicon into solar panels
Timminco
Process

19
Economic Alternative to Conventional Process

Anticipated Capital
and Production Cost
Advantages

• Proprietary technology
• Access to stable energy
supply
• Access to own supply of
silicon metal
• 7 purification lines installed
and production-ready

20
Solar Grade Silicon Strategy

Goal:
Enable customers
to manufacture
solar cells that are
indistinguishable
from those made
1. Refine production
with polysilicon process

2. Fine-tune ingoting
process

21
Improving Yield & Cell Efficiency

Batch ABC Test Ingot X Test Bricks Test Equipment

1,600 kg of chunks 400 kg 60 kg

Accurate measurement
Production Ingot 1 of key brick data
400 kg

Analytical Model
Production Ingot 2 Apply doping formula to
400 kg remaining chunks of Batch
ABC (1,200 kg)

Production Ingot 3
400 kg
Doping Formula

22
Progress

• Achieved cell efficiencies:

• Customer A: 15.7%
• Customer B: 16.2%
We are closing the • ISC Konstanz: 15.8%
gap between cells • Improved breakdown voltages
made with our over 12V, the standard for
electronic grade silicon cells
solar grade silicon
and those made • Reduced light-induced
degradation to a level
with polysilicon. comparable with electronic
grade cells

23
 Historical Financial Review
(millions)
Solar Grade Silicon Revenue
Silicon Metal Revenue
Magnesium Revenue
Adjusted Income (Loss)*
Intro of Solar $252.6 Divestiture of
Grade Silicon Magnesium
Operations (July)
$61.7
$184.4 $181.8
$166.2
$3.9

$104.6
$99.3 $5.1
$107.3
$127.7
$99.9
$69.4

$85.1 $74.5 $62.4 $63.1 $10.4 $30.1

$(7.8) $(10.1) $(15.8)

$(81.6)
2005 2006 2007 2008 2009
2005 - 2006 re-stated to conform with 2007 and 2008 financial statement classifications.
24
*See Appendix regarding Non-GAAP financial measures.
Recent Performance

Magnesium Revenue
Revenue Solar Grade Silicon Revenue
(millions) Silicon Metal Revenue

$252.6

$63.1

$104.6
$30.1
$34.3
$22.3

2008 2009 Q2/09 Q2/10

25
Recent Performance

EBITDA* Net Loss Adjusted Income

(millions) (millions)
(Loss)*
(millions)

$21.3 $10.4
$(50.9) $(7.0) $(22.6) $(134.2) $(20.6) $(81.6) $(20.3)
2008 H1/2010 2008
2008 H1/2010 H1/2010
2009 2009
2009

*See Appendix for more details about these Non-GAAP financial measures.

26
Recent Performance

EBITDA* Net Loss Adjusted Income

(millions) (millions)
(Loss)*
(millions)

$(9.9) $(3.1) $(24.0) $(9.7) $(17.2) $(9.5)

Q2/09 Q2/10 Q2/09 Q2/10 Q2/09 Q2/10

Achieved positive EBITDA in Silicon Group in Q2/10

*See Appendix for more details about these Non-GAAP financial measures.

27
Consolidated Capitalization

(millions)

Bank Debt (June 30, 2010) $ 31.2

Long-term Debt (June 30, 2010) 27.9
Due to Affiliated Companies – Convertible
5.4
notes (June 30, 2010)
Market Capitalization – 195.7 million common 79.3
shares issued and outstanding*

*As of September 8, based on TSX closing price of $0.41 per share

Total Capitalization $143.8

28
Joint Venture with Dow Corning

• Becancour Silicon Inc. (BSI) to

transition silicon metal assets to
Joint Venture, known as Quebec Timminco Dow Corning
Silicon
49 % of
• Dow Corning (DC) purchases a BSI
output sold
to DC
49% interest in Quebec Silicon
51% of
output sold
• Silicon metal is sold to BSI and to BSI
DC in quantities proportional to
ownership %
51% equity 49% equity

• BSI retains existing customer

relationships and ships its
production allocation to third
Quebec
party customers Silicon
• Byproducts are sold by BSI as
agent

29
Liquidity and Capital Resources

As at June 30th, 2010:

• Working capital of $20.3 million, excluding cash items and interest
bearing debt
• Cash of $1.5 million
• Credit facilities with Bank of America totaling US$45 million:
• US$39 million revolving credit facility (subject to borrowing
base and availability reserve)
• US$6 million term loan facility
• Term loan with Investissement Quebec of $25 million

Subsequent Events:
• US$39.7 million in net cash proceeds expected upon closing JV
transaction, plus potentially up to US$10.0 subject to achieving
certain performance metrics

30
Turnaround Strategy

1. Stabilize balance sheet

2. Restore demand and full

production of silicon metal

3. Reposition solar grade silicon operations

31
 Balance sheet activities
since January 1, 2009:
• Announced a 51%-owned JV with Dow Corning
Corporation in return for net cash proceeds of
US$39.7 million upon closing and up to
potentially an additional US$10.0 million subject
to achieving certain performance objectives
relating to production cost and capacity
improvements
Stabilize • Raised $56.6M through issuance of common

Balance Sheet equity

• Converted $10.6M in convertible notes to equity

• Converted $44.7M of customer deposit/other

liabilities to equity

• Completed $25M term loan with Province of

Quebec

• Raised $5.3M in convertible debt

• Liquidated $13M of net working capital related to

magnesium

32
 • Improved demand as customer
markets recover

• Restarted all three silicon metal

furnaces
Restore demand
Reached full production in
and full production •
November 2009
in silicon metal
operation • 2010 capacity essentially sold out

• Signed long-term contracts for

90,000 mt over next 5 years
• Return to EBITDA positive
operations

33
 Q2/10 Silicon Metal Sales

293% 389%
34.3

Restore demand
and full production 22.8
in silicon metal
operation
7.0
5.8

Q2/09 Q2/10 Q2/09 Q2/10

Volume (MT) Value ($)

34
Investment Summary
• Significantly strengthened balance sheet (post closing of
Dow Corning JV transaction)
• Leading provider of silicon metal
• Silicon metal operations at full capacity
• Established, core operation in silicon metal
• Market demand recovering and price growth driven by macro-
trends
• JV partner is a global leader in silicon metals business
• Solar grade silicon product line provides additional longer-
term opportunity
• Progressing towards goal of indistinguishability of
cells manufactured with solar grade silicon compared to those
made with polysilicon.

35
Appendix
Non-GAAP Financial Measures

“EBITDA” and “Adjusted Income (Loss)” are not recognized

measures under Canadian generally accepted accounting
principles and are unlikely to be comparable to similar
measures provided by other issuers.

Timminco believes that “EBITDA” and “Adjusted Income

(Loss)” are useful performance measures as they approximate
cash generated from operations, before capital expenditures
and debt service obligations, as well as representing measures
of profitability from ongoing operations.

37
 Reconciliations for Non-GAAP Financial Measures
EBITDA BY QUARTER
($000’s)

2010 2010 2009 2009 2009 2009 2008 2008

Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3

Net loss (9,704) (10,905) (69,403) (18,522) (23,980) (22,317) (1,278) (13,727)

Add back (subtract):

Income taxes - - (14) 17 6,653 (4,876) 1,611 2,035

Impairment of Fundo - - - - - 698 (1,415) 13,845

Equity in the loss of Fundo - - - - - - 1,415 1,822

Loss on disposal of Magnesium - - 3,006 2,180 - - - -

Group

Impairment of property, plant and - - 39,039 - - - 1,025 -

equipment

Loss (gain) on the sale of 14 - (19) 40 (11) - 5 (375)

property, plant and equipment

Interest 1,678 2,113 2,298 2,372 1,830 934 796 549

Amortization of intangible assets 707 707 707 707 435 235 170 138

Amortization of property, plant 1,935 2,026 3,203 3,386 3,090 3,534 2,355 1,509
and equipment

Reorganization costs - - 542 - (1) 3,752 970 824

Environmental remediation costs 161 161 1,230 132 133 132 (136) -

Pension curtailment costs - - - - - - (326) -

Stock-based compensation 2,094 2,042 1,979 1,996 1,991 1,961 1,215 269

EBITDA (3,115) (3,856) (17,432) (7,692) (9,860) (15,947) 6,407 6,889

38
Reconciliations for Non-GAAP Financial Measures
ADJUSTED INCOME (LOSS) BY QUARTER
($000’s)

2010 2010 2009 2009 2009 2009 2008 2008

Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3

Net loss (9,704) (10,905) (69,403) (18,522) (23,980) (22,317) (1,278) (13,727)

Add back (subtract):

Income taxes - - (14) 17 6,653 (4,876) 1,611 2,035

Impairment of Fundo - - - - - 698 (1,415) 13,845

Equity in the loss of Fundo - - - - - - 1,415 1,822

Impairment of property, plant - - 39,039 - - - 1,025 -

and equipment

Loss on disposal of Magnesium - - 3,006 2,180 - - - -

Group

Loss (gain) on the sale of 14 - (19) 40 (11) - 5 (375)

property, plant and equipment

Reorganization costs - - 542 - (1) 3,752 970 824

Environmental remediation costs 161 161 1,230 132 133 132 (136) -

Pension curtailment costs - - - - - - (326) -

Adjusted Income (Loss) (9,529) (10,744) (25,619) (16,153) (17,206) (22,611) 1,871 4,424

39
Investor Presentation
September 15th, 2010