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Operations Update 24 th September 2012

Operations Update 24 th September 2012. Disclaimer. THIS PRESENTATION IS BEING SUPPLIED TO YOU SOLELY FOR YOUR INFORMATION AND MAY NOT BE REPRODUCED, FURTHER DISTRIBUTED TO ANY OTHER PERSON OR PUBLISHED IN WHOLE OR IN PART, FOR ANY PURPOSE.

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Operations Update 24 th September 2012

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  1. Operations Update 24th September 2012

  2. Disclaimer THIS PRESENTATION IS BEING SUPPLIED TO YOU SOLELY FOR YOUR INFORMATION AND MAY NOT BE REPRODUCED, FURTHER DISTRIBUTED TO ANY OTHER PERSON OR PUBLISHED IN WHOLE OR IN PART, FOR ANY PURPOSE. These presentation materials are confidential and are directed only at persons who fall within the exemptions contained in Articles 19 and 49 of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (such as persons who are authorised or exempt persons within the meaning of the Financial Services and Markets Act 2000 (“FMSA”), or in the United States who qualify as an “accredited investor”, “qualified institutional buyer” or “qualified purchaser” under United States Securities laws, or an "accredited investor" under National Instrument 45-106 in Canada, and certain other investment professionals, high net worth companies, unincorporated associations or partnerships and the trustees of high value trusts) and persons who are otherwise permitted by law to receive them. These presentation materials are directed only at persons having professional experience in matters relating to investments and any investment or investment activity to which these presentation materials relate is available only to such persons. Persons who do not fall within this category of investor should not take any action upon this presentation, but should return it immediately to Fox-Davies Capital Limited (“FDC”). Postage and other reasonable delivery costs will be refunded. It is a condition of your receiving this presentation that you fall within, and you warrant to Angel Mining PLC (the “Company”) and FDC that you fall within, the category of person described above. Persons of any other description, including those who do not have professional experience in matters relating to investments, should not rely on these presentation materials or act upon their content. This presentation has not been approved by an authorised person pursuant to Section 21 FSMA. This presentation has not been approved by any regulatory authority or by the UK Listing Authority as a prospectus under the Listing Rules made under Part V of the Financial Services and Markets Act 2000 (“FSMA”), has not been the subject of any due diligence or independent review of the assumptions, data, results, forecasts and calculations contained therein, and is subject to updating, completion, revision, verification and amendment. Recipients of this presentation must be aware that an investment in the Company involves a high degree of risk that any proposed investor must bear in its entirety. Any investment in the Company should be regarded as being a highly speculative investment. Recipients of this presentation who intend to purchase shares of the Company are reminded that no reliance may be placed for any purpose whatsoever on the information or opinions contained in this presentation or on its completeness, accuracy or fairness. It is entirely the responsibility of those purchasing shares of the Company to undertake their own enquiries and due diligence exercise directly with the Company. The presentation materials do not constitute or form any part of any offer or invitation to sell or issue or purchase or subscribe for any shares in the Company nor shall they or any part of them, or the fact of their distribution, form the basis of, or be relied on in connection with, any contract with the Company relating to any securities. The presentation materials are not intended to be distributed or passed on, directly or indirectly, or to any other class of persons. They are being supplied to you solely for your information and may not be reproduced, forwarded to any other person or published, in whole or in part, for any other purpose. Any other person who receives this presentation should not rely or act upon it. By accepting this presentation the recipient represents and warrants that they are a person who falls within the above description of persons who are entitled to receive this presentation. The information contained in this presentation is confidential and the property of the Company. No reliance may be placed for any purpose whatsoever on the information contained in this presentation or on its completeness, sufficiency, accuracy or fairness. No representation or warranty, express or implied, is made or given by or on behalf of the Company or its directors or employees, or FDC or their professional advisers or any other person as to the completeness, sufficiency, accuracy or fairness of the information, beliefs or opinions contained in this presentation and in the presentation and no responsibility or liability is accepted to placees for any such information or opinions. Any reliance on this communication could potentially expose you to a significant risk of losing all of the property invested by you or the incurring by you of additional liability. Save in the case of fraud, no liability is accepted for any loss, cost or damage suffered or incurred as a result of the reliance on such information, opinions or beliefs. Certain statements and graphs throughout the presentation are “forward-looking statements” including management’s and third party assessments of future plans, operations, values and returns and represent the company’s international projects, expectations or beliefs concerning, among other things, future operating results and various components thereof or the company’s future economic performance. These projections, estimates and beliefs contained in such forward-looking statements necessarily involve known and unknown risks and uncertainties which may cause the company’s actual performance and financial results in future periods to differ materially from any estimates or projections. These risks include, but are not limited to, risks associated with the mining industry in general, delays or changes in plans with respect to exploration and development activities and capital expenditures, the uncertainties of estimates and projections relating to production, political risks, costs and expenses and health and safety and environmental risks, commodity price and exchange rate fluctuations, and uncertainties resulting from competition and ability to access sufficient capital, and risks relating to the ability to complete capital markets transactions referred to in the presentation. The distribution of this presentation in certain jurisdictions may be restricted by law and therefore persons into whose possession this presentation comes should inform themselves about and observe any such restrictions. Any such distribution could result in a violation of the law of such jurisdictions. Neither this presentation, nor any copy of it, may be taken or transmitted into the United States. Australia, Ireland, South Africa or Japan or into any jurisdiction where it would be unlawful to do so. Any failure to comply with this restriction may constitute a violation of relevant local securities laws.

  3. Focussed on Greenland • Highly prospective and underexplored land mass • Greenland is seeking to increase economic independence as Danish subsidy is reduced • Opportunities in gold, zinc, lead, coal, iron ore, rare earths and precious stones, etc. • Angel is the only operational mining company in Greenland • Founder Member of the Greenland Mining Association

  4. Nalunaq Gold Mine – Mine .

  5. Nalunaq Gold Mine – Mine • Shipment of the new long hole drill is now planned for 4 October and it should be on site early November • Bolt tests complete so resin packs are now on order • Agreement needed with BMP to enable us to use mechanical rock bolts where rock failure would not otherwise be significant • Development in Mountain Block are going well – a series of single rises to create a stope – grade over 100gpt

  6. Nalunaq Gold Mine – Plant • Production has been poor in August and September due to low grade and problems with crushing circuit 16/8 Pour 18 17.6kg 507 ozs gold 26/8 Pour 19 8.31kg 240 ozs gold 13/9 Pour 20 8.87kg 256 ozs gold • Crushing circuit is now fixed so that all crushing can be done underground • Delay in delivery of balls for ball mill has caused gold recovery to fall. Balls due on site today. • New liner for the ball mill is in transit – due before end of month

  7. Nalunaq Gold Mine – Plan . NOTE: Gold Recovered is a forecast of process plant activity but the actual pouring of gold dore will, in part, take place in the following month.

  8. Nalunaq Gold Mine – Exploration . Possible sampling area Contact between granite and Nalunaq host rock

  9. Nalunaq Gold Mine – Exploration . The Granite continues behind the Nalunaq Mountain

  10. Nalunaq Gold Mine – Exploration Team Leader – Joshua Hughes (Nuna Minerals A/S) Team – 2 geologists Equipment – Air Greenland helicopter for 1 week Commencing – 24 September Activity – collecting rock samples Looking for – quartz with gold, quartz, granite

  11. Black Angel zinc and lead mine Mine Entrance Mine Camp

  12. Black Angel Zinc/Lead Mine • A high grade zinc/lead mine (typically 15% Zn, 6% Pb) • Operated by Cominco from 1976 and closed in 1990 • JORC compliant resource • 4.5m tonnes @ 8.6% Zn and 3% Pb, • Plus non-JORC compliant resource • 2.6m tonnes of @ 14.9% Zn and 5.5% Pb • Capex estimate to build the mine - $85 million • Target output pa 30,000 tonnes Zn and 8,000 tonnes Pb • Cash generation potential of first 5 years (pillar extraction) - $186m • Life of Mine – over 20 years

  13. Resource Statement – JORC compliant Wardell Armstrong International - 2007

  14. Resource – Non JORC compliant Deep Ice Zone • Extensively drilled by Cominco pre JORC • Grid pattern was 200m x 300m drilling through the ice cap • Many intersections with mineralisation • Best hole hit 5.9m, 19.5% Zn, 13.1% Pb Internal Report by Dr. Bob Dowdell, dated August 2008, estimates:- 2.6m tonnes of inferred resource at 14.9% Zn, 5.5% Pb

  15. Map of known deposits DEEP ICE ZONE Drill intersection with 6.9 metres @ 19.5% Zn & 13.1% Pb SOUTH LAKES Measured and Indicated Resources: 1.7Mt @ 6.9% Zn & 2.5% Pb NUNNGARUT Indicated Resources: 0.2 Mt @ 9.0% Zn & 3.4% Pb ARK Measured Resources: 492kt @ 4.7% Zn & 2.2% Pb

  16. Existing infrastructure

  17. Black Angel - Financing • Need for JORC resource statement for Deep Ice Zone • Cash Cost per tonne estimated at $1,125 • Fuel Oil accounts for 34% of cash cost • Net Smelter Return, at a MP of $2,000 per tonne for Zn/Pb, is $1,416 • Margin potential is therefore $291 per tonne • Hydro could reduce fuel oil cost to 8% of cash cost and reduce the cash cost per tonne to $960 per tonne • NIRAS can produce a pre-feasibility assessment of the hydro scheme before the end of the year

  18. Black Angel Programme

  19. The Future • We have already learned a great deal, • much of it – the hard way. • We now know how to operate in Greenland. • To set the standard for mining in Greenland • Develop NGM, BA and other Greenlandic projects • To lead in the new, and last, frontier

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