Capturing value in the Arabian Nubian Shield

Investor Presentation December 2011

Disclaimer
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Group overview
Arabian Nubian Resources Limited (ANR) is a private Guernsey-registered resources company focused on the Arabian Nubian Shield (ANS)

ANRs strategy is to establish a strong gold and base metals (VMS) footprint within the Arabian Nubian Shield
Experienced management team with over 5 years relationship in Eritrea (early entrance) and strong contacts in the Gulf region Currently active in Eritrea (through its wholly-owned subsidiary London Africa Limited which holds the Akordat Exploration Licence) and planning to expand into Sudan and the Kingdom of Saudi Arabia within the next 6 9 months where a number of opportunities have been identified Same geology and types of mineral deposits within the ANS, i.e. transferable exploration knowledge from Eritrea to Sudan to the Kingdom of Saudi Arabia Close proximity of Eritrea / Sudan / Kingdom of Saudi Arabia for servicing projects
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Company Structure
26.7 million share outstanding 1.815m raised to date at 12.5p / share Currently seeking to raise up to 10m @ 20p/share to develop the companys assets targeting a maiden inferred resource of 1Moz Au on its Eritrean properties

Shareholder > 3%
Management Chalice Gold Mines Limited Westward Investments Limited Passport Materials Master Fund II Richmond Capital LLP Ovid Production Corp Forest Nominees Limited London Africa (BVI) Limited Azure Trust Company Limited

Number
10,300,000 3,000,000 2,400,000 2,400,000 2,000,000 1,600,000 1,200,000 1,000,000 1,000,000

%
38.48% 11.21% 8.97% 8.97% 7.47% 5.98% 4.48% 3.74% 3.74%

The Management
Lester Kemp
Founding Director Geologist BSc (Hons) MSc DIC MBA Ex-Royal School of Mines

Rupert Baring
Founding Director Extensive network to high net worth individuals and financial institutions

Nathan Adamson
Finance Director Group Financial Controller for Mantle Diamonds Ltd Ex-BHP Billiton (iron ore in Australia) and ex-Oxus Gold

Dr Richard Belcher
Exploration Manager Exploration geologist with ~8 years postPhD experience in Au, PGE, Ni, Cu, Co Fe and Coal Ex-Jubilee Platinum and Erin Mineral Resources

Co-founder of Mantle Diamonds Limited

25 years industry experience in gold, base metals and other minerals 5 year relationship in Eritrea

Co-founder of Mantle Diamonds Limited

Long history of mining in family

Previous use of funds

Year 1 (2009 2010) - Eritrea Prospecting licence phase
Office established in Asmara Team established with vehicles & equipment ASTER image anomaly generation & field visit to verify targets. High hit rate (> 80%) of ASTER targets with mineralised zones on the ground Reconnaissance sampling (including rock chip sampling and soil sampling) generating a series of possible anomalies Completion of minimum spend required for conversion to Exploration Licence

Year 1 of 3 (2010 onwards) - Eritrea Exploration licence phase

Detailed mapping and soil sampling completed on advanced targets Gravity survey completed at Gerger $ 580,000 VTEM helicopter-borne survey over approximately 80% of licence area (Magnetics + Radiometrics +/- EM) Airborne data processed by Southern Geoscience Consultants (SGC) in Perth (Australia) and multiple anomalies generated Now ready to start drilling.

Why the Arabian Nubian Shield (ANS)?

The ANS is still relatively unexplored and has the potential to host significant precious and base metal deposits Many of the volcanic massive sulphides (VMS) deposits have gold-rich oxide covers e.g. Hassai Mine in Sudan and Bisha in Eritrea The Arabian Nubian Shield is attracting a lot of interest by majors Major gold mines in the Nubian Shield
Sukari (Egypt) Hassai (Sudan) Bisha (Eritrea) Zara (Eritrea) * 14.5Moz Au 2Moz Au recovered 1Moz Au 760,000 oz Au
* 2013

Above and below - Source: Chalice Gold Mines Ltd

Major gold mines in the Arabian Shield

Mahd adh Dahd (KSA) 6Moz Au

Sukhaybarat (KSA) 700,000 oz Au

Eritrea
Great opportunities for world class low cost, high grade gold, copper and copper zinc deposits
Favourable Mining Law 10% free carried interest by the state in any mining operation + option to buy further 30% at market rate Over 18 different resources companies active in the country 1st modern mine in production Nevsuns Bisha (TSX:NSU) Expected to produce 1.14 million ounces of gold, 11.9 million ounces of silver, 821 million pounds of copper, and over one billion pounds of zinc 2nd mine due to start production in 2013 Chalices Zara Gold Mine (ASX:CHN) Increasing interest in the country by the majors

Potential for gold rich VMS deposits, orogenic gold deposits and industrial minerals e.g. potash
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Akordat Exploration Licence map

Exploration Licence covers 1169km2 3 hours by paved road from the capital (Asmara) Major rivers cross cut the licence area Exploration camps established in Akordat and Himbol Nevsuns Bisha Mine is 80 km away Chalices Zara gold mine project is to the northeast Thani Anglo Ashanti has a licence contiguous with our western licence boundary

Zara Gold Mine (2013)

Approximately 80km west

Bisha Mine (in production)

Approximately 80km west 10 km

Prospect summary and map

Prospect name: Metals:
Taninay4 Gerger3 Kofot3 Huruf1 Naddet1 Yakare East3 Melih Ber Noray1 Tablet4 Adinjera2 Engerne2 Garsay Kettin2
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Stage:
Drill ready Drill ready

Mineral deposit type

Orogenic Au Au - Cu Skarn or VMS

Au Au + Cu Au + Cu Au + Ag Au + Ag Cu + Au Au Au Au Au Au
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Near term drill project Disseminated Cu - Au Near term drill project Orogenic Au Near term drill project Orogenic Au VMS VMS Orogenic Au Orogenic Au Orogenic Au Orogenic Au Orogenic Au
4

Au + Cu + Zn + Pb Early stage Early stage Early stage Early stage Early stage Early stage Early stage
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Simplified Geological Map

Hawagu Au district

Engerne Au district

Himbol base metal trend

Tanenay Au trend

Drill target 1: Taninay orogenic gold prospect

Looking southwestwards towards the outcropping vein system at Taninay artisanal workers (lower right) 10

Taninay orogenic gold prospect

Looking north

Looking southeastwards

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Taninay summary
Outcropping quartz vein system striking NNW for >2 km and up to 40m wide in places

Numerous grab samples collected including one at 223 g/t Au

Considerable historic artisanal workings

Geological & structural mapping completed at 1:2,000 scale completed

Soil sampling completed on a 200m x 200m grid completed

Channel sampling completed over ~60% vein completed Drill targets generated

3000m scout drilling scheduled to start late-November

2 holes per drill pad to test grade and depth continuity If early results are encouraging, drilling will continue

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Taninay soil and channel sample values

2km strike of the vein will be tested by preliminary ~3000m scout drilling maximum drill depth 150m depth - HQ Core Drilling scheduled to start late November / early December If initial drilling results are encouraging, drilling will continue with the aim of building up an initial maiden inferred resource

Gold in soils (ppb) map

= priority zone ranging from ( ) high to ( ) low based on preliminary rock chip and channel sampling = drill pad & drill direction

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Drill Target 2: Gerger VMS / Au-Cu prospect

Gerger

.Overview of Kofot Cu-Au-Fe prospect in Eritrea (west side of ridge) looking south to Gerger, with the Yakare river to the west. 14

Results at Gerger
Gerger exploration history
Outcropping gossan identified

23 Grab samples collected highest reported was 4% Cu + 4.5 g/t Au

Mapping followed at 1:2,000 scale Soil sampling (425 samples) on a 200m x 200m grid completed

Coincident copper and gold in soils anomaly

Ground gravity survey subsequently completed on a 200m x 200m grid

Gravity anomaly >0.5Mgal over 1.5km coincident with soils anomaly

VTEM anomalies generated correlating with the above anomalies and thereby de-risking prospect ready for drilling These coincident anomalies are typical of other VMS deposits e.g. Hassai and Bisha Drill targets generated drilling late Q4 2011 or early Q1 2012

Man portable rig in country Water supply work and infrastructure for drilling underway
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Early helicopter-borne VTEM results

Gerger

Discovery gossan at Gerger (above)

Malachite staining on Gerger outcrop (below)

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Gerger conductors and analyses

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Gerger drill program

Proposed drill program at Gerger Satellite images DTM showing conductors

Gerger

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Yakare East..an extension of Gerger prospect?

= VTEM targets for ground checking

VTEM targets

Alteration zone 2.5km

Initial field visit has identified strong broad hematization of the rocks with a possible gossan or magnetite exhalative
Gerger

Further field visit / sampling will follow

Strongest VTEM conductor from the airborne survey. Modelling by SGC of the VTEM data underway
Largest (most extensive) VTEM anomaly generated
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Near Term Drill target: Huruf gold prospect

Exploration summary
The Huruf target is in a zone of regional structural flexure and intersection
Unlike the NE hosted cross veins, most of the NNW vein systems are anomalous in gold

All alluvial gold workings are from streams that drain from the VTEM-anomalous NNW structure
Frequency of gold anomaly and gold grade increases towards Huruf target. 3 out of the 4 rock chip samples collected are anomalous in gold. Most proximal rock chip sample taken is described as quartz vein with abundant vugs and hematite with dense thick ribbons after sulphides. It has up to 9.7g/t Au with a repeat 11.77 g/t Au, 9.9g/t Ag, 3.49% Fe

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Near Term Drill target: Naddet gold prospect

Exploration summary
South of Melih targets
Limited sampling along the Qtz vein Large VTEM anomaly Sulphides found in hand specimen. Coincides with lithological boundary Boundary of granite and volcanic unit Grab sample of 10g/t Au >2km strike length

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Sudanwithin 6 - 9 months
Large footprint within the ANS Great potential for gold-rich VMS systems e.g. Hassai and orogenic gold systems Many licences have already been granted (mainly to locals) + a few foreign companies e.g. Managem (Morocco), Toro Gold (Guernsey) and others Some licences due to be dropped due to inactivity on the licence opportunity for direct licence application Opportunity for JVs with local Sudanese licence holders State ownership between 20 27% 7% royalty Currently in discussions with 3 separate groups as well as assessing the potential for a direct licence application

Hassai Mine visit (above and below)

Kingdom of Saudi Arabiawithin 6 9 months

Arabian Shield Area: 575,000km2 1,000 ancient gold and copper deposits 5,000 historic occurrences, many not yet subject to systematic exploration Very low historical exploration expenditures

High potential for world class precious and base metal deposits
Dominated by Maaden. Recent entrance by Barrick which acquired Equinox (which in turn had acquired Citadel Resources for $1.2BN) In discussions with a potential Saudi partner who has 3 exploration licences
Source: Maaden

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Use of proceeds 18 months working capital

Administration, legals and overheads USD 1,000,000

Purchase of Chalice's shareholding USD 1,000,000

ERITREA regional exploration USD 1,000,000

ERITREA - regional exploration ERITREA - 20,000m drilling SUDAN - VTEM & Drilling KINGDOM OF SAUDI ARABIA - VTEM & Drilling Purchase of Chalice's shares Administration, legals and overheads

USD 1,000,000 USD 6,000,000 USD 3,500,000 USD 3,500,000 USD 1,000,000 USD 1,000,000

KINGDOM OF SAUDI ARABIA VTEM & Drilling USD 3,500,000

Total =
ERITREA ~ 20,000m drilling USD 6,000,000

USD 16,000,000

SUDAN VTEM & Drilling USD 3,500,000

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Contact Details
London Office
Suite 1A, Princes House 38 Jermyn Street London SW1Y 6DN
Tel: +44 (0)20 7025 7042 Fax: +44 (0)20 7287 8028 E-mail: info@anr.ae

Eritrea Office
London Africa (Eritrea) Ltd Rm. 403, SA. Building, Warsai St Asmara, ERITREA PO BOX 1145
Tel: +291(1) 11 11 65

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Appendix 1 - Group Structure

Present structure Proposed new structure

(Guernsey)

100%

100%
BVI Company

100%

BVI Company

London Africa (UK)

Sudanese local company

Saudi Local company

ERITREA

100%

SUDAN
Own licences (100%) in Sudan or partially through a JV with a local partner/s who have their won licenses

SAUDI ARABIA
Own licences (100%) in Saudi Arabia or partially through a JV with a local partner/s who have their own licences

Exploration licence in Eritrea

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