Corporate Presentation, March 2011

TSX-V:DSM OTCQX:DHCAF

A Forbes & Manhattan Group Company

Forward Looking Statements

Caution regarding forward-looking information:

This presentation contains "forward looking information" within the meaning of applicable Canadian securities legislation. Forward looking information includes without limitation, statements regarding the proposed use of the proceeds of the financing, the receipt of all necessary approvals, the issue of permits, progress in development of mineral properties, future production and sales volumes, capital and mine production costs, demand and market outlook for rare earth metals, future metal prices and treatment and refining charges, the financial results of the Company, the future financial or operating performance of the Company, and terms and the availability and likelihood of future acquisitions. Generally, forward looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; market risks; risks related to leverage; acquisition risks; and other risks of the mining and trading industries. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

This presentation does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the UnitedStates. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

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Investment Objectives

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o Ownership of physical stockpiles of Rare Earth Elements

without any mining risk

o Diversified basket of metals eliminates single element exposure risk

o Demonstrated ability to source and export Rare Earth Elements from China

o Current inventory stored in LME approved warehouses located off-shore near

end-users

o Generate profits from trading individual elements to downstream customers

o Tax effective corporate structure to maximize inventory and trade gains

Capital Structure

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Capital Structure

Stock symbol:

Shares issued:

Fully diluted:

Price (03/03/11):

Market Cap:

52-week High/Low:

DSM – TSX:V

73.1 M

99.5 M

$0.39

$28 M

$1.05-$0.32

Inventory Value (Mar 14, 2011)

$0.58 per Share (Basic)

$0.52 per Share (FD)

Key Institutional Shareholders

Goodman & Co ~10%

AGF Management ~ 6%

RAB Capital ~ 4%

Aberdeen International Inc ~ 3%

Management & Insiders ~ 4%

Management

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Scott Moore, MBA, President & Chief Executive Officer

Mr. Moore is an experienced capital markets executive with 20 years experience in the resource sector. Former CEO of Franc-Or Resources Corp and VP Corporate Development for Aberdeen International. Former Director of

Sulliden Gold and Avion Gold. He has raised in excess of $250 million in resource companies in the last 3 years. He holds a Bachelor of Arts degree from the University of Toronto and an MBA from the Kellogg School of Management

Alastair Neill, P.Eng., MBA, Executive Vice-President

Mr. Neill is the former GM, Rare Earth Division and VP Business Development for Neo-Material Technologies (TSX:NEM) and brings over 15 years of direct Rare Earth experience. Mr Neill lives full time in Beijing.

He holds a MBA from York University and a Bachelor of Engineering in Material Science from the University of Western Ontario

Brad Boland, C.M.A., Chief Financial Officer Mr. Boland was the CFO of Consolidated Thompson Iron Mines Limited until July 2009 From May 2005 to September 2007, he was at Kinross Gold Corp., most recently serving in the position of Vice President,

Corporate Controller. Prior to that, from August 1998 to February 2005, Mr. Boland was at Goldcorp Inc., as Corporate Controller and the Vice

President, Finance.

Jihong Gan, BA, MA, Manager Contracts and Administration Ms. Gan is an accomplished administrator with a specialization in East Asian languages. Ms. Gan has a Bachelor of Arts (Major: Japanese) from the Shanghai International Studies University in Shanghai and a Masters

of Arts in East Asian Language studies from Osaka University of Foreign Studies.

BUSINESS MODEL2010 Achievements

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199,000 kilograms of Heavy Rare Earth Oxides in Inventory at Dec 31

289,000 kilograms of Heavy Rare Earth Oxides Acquired in 2010

11 acquisition trades executed in 2010 totaling $30.84 million

$15.65 million in gross sales and $5.2 million in gross profit in Q4 2010

5 Sales contracts with 4 different customers executed in Q4 2010

Attractive Value Proposition

Participate in the expected price appreciation of

rare earths and strategic industrial metals

No Exploration or Mining Risk

Metals Inventory Grades* Quantity Cost Market Value

as at March 22, 2011 (Kgs) ($millions) ($millions)

Busan Korea

Dysprosium Oxide 4N 15,000 $4.60 $7.70Dysprosium Fe Santoku 12,000 $3.50 $6.70

Gadolinium 4N5+ 10,000 $0.70 $1.30Lutetium Oxide 4N+ 3,000 $0.90 $1.20

Neodymium Oxide 4N+ 10,000 $1.00 $1.70Terbium Oxide 4N+ 13,000 $6.60 $11.00Yttrium Oxide 5N 10,000 $0.40 $1.20

Shanghai China

Europium Oxide 4N5+ 6,000 2.2 3.1Yttrium Oxide 4N5+ 120,000 0.9 2.5

Total: 199,000 $20.80 $36.40

*Grades:

4N = 99.99%

4N+ = 99.99+%

5N = 99.999%

4N5+ = 99.99%/99.999+%

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• Produces +95% of Global Supply

• Export Tariffs of 25% imposed to drive manufacturing to China

• Export Quotas reduced every year for last 5 years

• China reduces Quotas for second half 2010 by 70%

CHINA REDUCES QUOTAS FOR H1-2011 BY 35%

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China - Guarding the Supply

“Chinese adamant on rare-earth metal cuts”-

Aug 30-2010

Rare Earths in the Limelight

“China Tightens Grip on Rare Minerals”

“China slashes first batch of rare earth export quotas by 35.17%”- Dec 30-2010

Japan rare earths imports from China plunge in Nov

December 27, 2010 -- TOKYO (Source: Reuters)

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“China Cracks Down on Illegal Mining of Rare Earth Metals” – Dec 2010

“China Cuts Rare Earth Exports”

A Paradigm Shift in the REE Industry

Security of supply no longer just a commercial Issue

It is now a Political Issue

Rare Earth Supply Technology and Resources

Transformation Act [RESTART] introduced to both the U.S House of

Representatives and the U.S. Senate in 2010

Japanese Industry Minister asked Chinese Minister of Industry

and Information for reductions to this year's export quota to be

reversed. “We are concerned that rare-earth metals will not

come to Japan in the future”.

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“ China Defends Rare Earth Quotas as inline with

WTO” Bloomberg Dec 30-2010

“What Are Rare Earth Elements”

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Rare Earth Element or REE are Lanthanide series elements and are found at the bottom of

the Periodic Table

15 elements plus Yttrium are classified as REE and have specific magnetic, fluorescent and

chemical properties

Some are classed as Light, Medium or Heavy REE and have varying applications in laptops,

LCD’s , cellular phones and hybrid vehicles.

Heavy REE such as Europium, Terbium and Dysprosium command the highest value

Rare Earth ElementsIndustry Primer

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Product Miniaturization

Lighter Weight

Energy Efficiency / Environmental Compliance

Enhanced Control and Measurement

Enhanced Performance and Functionality

Essential inputs for virtually all

electronic products

No substitutes exist that have the

same characteristics and provide

the same benefits

Rare Earth Applications

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1kg Neodymium

15kg Lanthanum

0.1kg Dysprosium

Top-selling car in Japan

Toyota PriusBiggest User of Rare Earths of any Object in the World

100 g of Dysprosium is worth approximately $10

Without Dysprosium you don’t have a Prius

The Largest User of Rare Earths Tomorrow1mt Neodymium needed for every 3 MW of wind power generated

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Current State of the Rare Earth Markets

15Source: Rhodia

Supply Side Response

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MolyCorp Inc AMEX-

MCP

Re-opening the Mountain Pass

mine closed since 1998 with

production in 2013

Primarily a Light Rare Earth

Deposit with 86% of 2013

production in Cerium,

Lanthanum and Neodymium

Expected to produce

approximately 40,000 Tonnes per

year

No production of Heavy Rare

Earth Elements ( DY,Tb,Yt)

Lynas Corporation ASX-

LYC

Starting Mt Weld mine with

announced production in late 2011

Primarily a Light Rare Earth

Deposit with 96% of 2012

production in Cerium, Lanthanum

and Neodymium and Praseodymium

First production is 11,000 tonnes per

year.

No production of Heavy Rare

Earth Elements ( DY,Tb,Yt)

SUPPLY/Demand Gap Increasing

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IMCOA Rare Earth Oxide Forecast

SUPPLY/Demand Gap Increasing

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Rare Earth Oxide Forecast

Current State of the Rare Earth Markets

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No significant commercial stockpile exists globally

No buffer to volatile pricing or actions from China

No ability to hedge against future price increases

Limited supply-side response

Most advanced Rare Earth mining projects are 2-5 years away from delivering product to market with substantial financial and technical hurdles to overcome

Dacha has the inventory today and the ability to grow its stockpile quickly

An Actively Managed Physical Portfolio

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Dynamic Physical Portfolio

of Rare Earths+

Trading Operations

Fundamental Research

Asset Allocation

First Mover Advantage

Risk Minimization

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Pacorini Metals

Shanghai

Warehouse

Pacorini Metals

LME Warehouse

Korea

Inventory Insured

at Market Value

Why buy DACHA?

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Rising Commodity Prices For Rare Earth forecast in next 3-5 years

Only Rare Earth Company that actually owns the finished product

Focused on high value Heavy Rare Earths

Demonstrated Ability to acquire REE in China despite reduction inexport quotas

No new supply of Heavy Rare Earths till 2015 at the earliest

Diversification into other strategic metals

A Forbes & Manhattan Group Company

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Forbes & ManhattanA Private Merchant Bank

Dacha Strategic Metals Inc.

Management Team

Scott MoorePresident and CEO

Alastair NeillExecutive VP

Brad BolandCFO

Board of Directors

Scott Moore Alastair NeillJean-Guy Lambert

Claude Blanchet

Stan Bharti George Faught

Strategic Metal Advisory Board

Alastair NeillDr. Allen Alper Don Bubar

Gen. Ron Hite

G. Scott MoorePresident and CEOTel: 416-861-5903

smoore@dachametals.com

TSX:DSM OTCQX:DHCAF

China Office11th Floor, Kerry Centre

North Tower1 Guanghua RdBeijing, China

1000020

Toronto Office65 Queen St west, Suite 800

Toronto, OntarioM5h 2M5