CHALICE MINING LIMITED — Investor Presentation 2009

Jul 1, 2009

“The New East African-Focused Gold Company”

www.chalicegold.com

Corporate Presentation July 2009

Disclaimer

The material used in this presentation is intended to be a summary of the proposed merger between Chalice Gold Mines Limited and Sub-Sahara Resources NL and includes activities that are current and proposed based on the information available to Chalice Gold Mines Limited as at 3rd June 2009.

This presentation may contain value references and "forward looking statements“ which are subject to various risks and uncertainties that could cause actual results and future events to differ materially from those expressed or implied by such statements. Investors are cautioned that such statements are not guarantees of future performance and resu ts.l

This presentation does not include all available Information on Chalice Gold Mines Limited and should not be used in isolation as a guide to investing in the Company. Any potential investor should also refer to Chalice Gold Mines Limited Annual Reports and to ASX releases and take independent professional advice before considering investing in the Company.

For further information about Chalice Gold Mines Limited, visit the website at www.chalicegold.com

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• Public company developing the Zara Gold Project in Eritrea, East Africa

• Targeting 100,000 ozpa production from known 944,000oz resource

• Merger with Sub-Sahara Resources NL to be com leted in Au ust 2009 sub ect to shareholder p g ( j

• approval)

• Strategic landholding in emerging Arabian-Nubian gold & base metal province (Sukari, Bisha)

• Expected completion of Scoping Study in October 2009 and Feasibility Study in May 2010

• Overview

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• Chalice and Sub-Sahara to merge via Scheme of Arrangement; fully supported by both Boards

• Scheme consideration to comprise 1 Chalice share for 10.73 Sub-Sahara shares

� Merger to combine Chalice’s strong cash position with Sub- Sahara ’ s 69% interest in the Zara Gold Project

• Chalice to acquire a further 11% interest, subject to completion of the merger

• Post merger Chalice to control 80% interest in the Zara Project

Merger Overview

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• Approx 121M shares on issue

• Market Cap of ~A$30M (based on Chalice share price of $0.25)

Post Merger Board

Tim Goyder (Executive Chairman) Doug Jones (Managing Director) Mike Griffiths (Executive Director) Anthony Kiernan (Non-executive Director)

• Studies commenced to rapidly

progress Zara Project through to production

• Board has extensive African gold experience, including Eritrea

Expected Post Merger Substantial Shareholders:

Tim Goyder 14.2% Anvil Mining 6.9% David Kennedy 5.6%

Post Merger Snapshot

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• Emerging gold and base metal province – current gold endowment >20Mozs

• Numerous multi-million oz gold deposits and mines dating back to ancient times

• Largely unexplored in modern times

• Centamin’s 13Moz Sukari Gold Mine in Egypt commenced production

• Nevsun’s $250M Bisha gold & base metal mine under construction in Eritrea - 1 Moz gold, 750 Mlb copper, 1 Blb zinc, 9 Moz silver)

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Gold in the Arabian-Nubian Shield

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Location 7 Zara Gold Project –

• Stable operating and social

• environment

• Proactive Government stance on

• mining developments – “open for business”

• Modern Mining Code

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• Increasing foreign exploration & mining investment – 13 groups now active in country

Eritrea Overview

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�
Major regional scale structural
corridor controls gold
Koka Prospect
occurrences
Konate Prospect
Fah Prospect
� Tenements cover 50km strike
Debre Keyih
Debre Tsaeda
Prospect
on this corridor (600km²) Prospect
�
Numerous prospects identified
from artisanal gold workings
�
Koka Deposit has been main
focus of exploration to date
BLEG Au
> 50ppb
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Zara Project – Regional Setting
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• Koka Deposit - JORC compliant resource of 5 Mt at 5.8 g/t gold for 944,000 oz

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� Based on results from 109 diamond drill
holes (~18,000m drilled)
�
600m strike length, 20-30m wide and open
at depth
�
Only drilled to 250m below surface
� Bulk of resource shallower than 150m
Category Lower Tonnes Gold Metal
grade (Mt) (g/t) (Koz)
cut-off
(g/t)
Indicated 1.2 4.55 5.9 867
Inferred 1.2 0.49 4.9 77
TOTAL 1.2 5.04 5.8 944
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The Koka Gold Deposit

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Koka Gold Deposit - looking north

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Galena
Visible Gold
Pyrite
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• Quartz stockwork veins cutting microgranite; similar in style to Sukari gold

mineralisation

• Visible gold & high gold values associated with sulphides in quartz veins

• Limited oxide – bulk of resource is primary sulphide

• Metallurgically simple - preliminary testwork indicates high gold recoveries

(>95%), 40% gravity recovery, low reagent consumptions

Koka Deposit - Mineralisation

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Koka Deposit – 3D Model

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33m @ 4.17 g/t
28m @ 8.16 g/t
18m @ 9.46 g/t
7m @ 23.29 g/t
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Koka Deposit – Section 9840N

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E
W
10m @ 76.8 g/t
11m @ 14.7 g/t
6m @ 42.3 g/t
Koka Section 9520N 15
Deposit –
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�
Exploration to date
focused on Koka Main
Zone – very little drilling
outside this target
�
Other targets identified
include:
Koka Main
Koka
Zone
East
� Koka East – artisanal
workings on high-grade
quartz vein
Koka South
Ext.
� Koka South Extension –
IP Resistivity anomaly
Koka Exploration – ‘near mine’
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Koka
Main
Zone
Koka
South Ext
Resistivity
Anomaly 200 m
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• Koka Main Zone associated

with IP Resistivity anomaly

• Reflects silica alteration

associated with mineralization

• Strong IP Res si tivity anoma y l identified 500m to the south

� Koka Ground follow-up confirmed South Ext zone of silica-sericite altered Resistivity Anomaly microgranite similar to Koka Koka Exploration – IP Resistivity

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�
Anomalous gold values
associated with Koka
Sth Ext resistivity and
alteration zone
Koka
Koka
South
� Drill holes into northern East
Ext
end of zone confirmed Ext
Koka-style alteration
and mineralization
�
Potentially the top of a
‘blind’ system open to
south and down plunge
� Koka East extension
confirmed >30ppb >10ppb >5ppb
Koka South Extension – Geochemistry
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Koka Prospect
Konate Prospect
Fah Prospect
Debre Keyih
Debre Tsaeda
Prospect
Prospect
BLEG Au
> 50ppb
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• No exploration in district before 1998 when Koka discovered

• Koka geological setting extends throughout 600km[2 ] tenement block

• Numerous prospects identified from artisanal gold workings

• Drainage BLEG geochemical anomalies identified – will be followed up

Regional Exploration … virtually untouched

• Complete Scoping Study in October 2009

• Complete Feasibility Study in May 2010

o 5,000m of drilling to upgrade resource

o Hydrological drilling – contract let

o Metallurgical testwork commenced

o Socio-economic studies & EIS ongoing

• Lycopodium appointed to lead engineering studies

• Experienced ‘Owner’s Representative’ appointed – metallurgist Steven Chadwick

• Regional exploration program to be expanded

Forward Program

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• Focused growth strategy via merger with Sub-Sahara

• Rare opportunity to develop a high-grade gold project with major exploration upside

• Strategic ground position in highly gold endowed, underexplored Arabian-Nubian Shield

• Tar g etin g 100,000 oz p a p roduction from known 944,000oz resource

• Experienced Board and Management with extensive expertise in African gold sector

• Aggressive work programme underway to develop the Koka Gold Deposit and discover additional resources

Summary

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Competent Persons Statement

The information in this report that relates to Exploration Results is based on information compiled by Dr Doug Jones, a full-time employee and Director of Chalice Gold Mines Limited, who is a Member of the Australasian Institute of Mining and Metallurgy and is a Chartered Professional Geologist. Dr Jones has sufficient in the field of to as a experience activity being reported qualify Competent Person as defined in the 2004 edition of the Australasian Code for Reporting of Exploration Results, Minerals Resources and Ore Reserves, and consents to the release of information in the form and context in which it here . appears

The Independent Resource Estimate for the Koka deposit was prepared by Mr Brian Woolf, whilst employed as a Specialist Resource Geologist for Coffey Mining Pty Ltd. Mr Woolf, who is a Member of the Australasian Institute of Mining and Metallurgy, has sufficient experience in the field of Resource Estimation to qualify as a Competent Person as defined in the 2004 edition of the Australasian Code for Reporting of Exploration Results, Minerals Resources and Ore Reserves, and consents to the release of information in the form and context in which it appears here.