Corporate Presentation May 2012. Beyond Exploration… 2 Disclaimer The information contained in...

Corporate PresentationMay

2012

Beyond Exploration… 2

Disclaimer

The information contained in these Presentation Materials, and other information received by you in connection with a placing, oral or written, is confidential and is being provided to you with the express understanding that you will respect its confidential nature and that you will not use this information for any purpose other than evaluating a potential investment in the Company and, without the consent of the Company, disclose it to others except your professional advisers who are bound by a duty of confidence or in response to an order of a court of competent jurisdiction or a regulatory request. You further agree to promptly return to our Brokers or the Company these presentation materials and any other documents or information furnished by or on behalf of our Brokers or the Company if you elect not to subscribe for any placing shares, if the Company does not accept your subscription or if the offering is terminated or withdrawn. Your acceptance of the enclosed information will constitute your agreement to be bound by this understanding.These Presentation Materials have been prepared by the Company and not by our Brokers. These Presentation Materials contain descriptive materials and other data relating to future events compiled for the convenience of parties interested in contemplating a subscription for the placing shares. These Presentation Materials are being delivered by our Brokers solely as placing agent to prospective parties with the understanding that they do not purport to be comprehensive or contain all information or describe all risks that investors may require in investigating the Company or describe all risks attaching to such an investment and that all prospective parties will conduct their own independent investigation of those matters which they deem appropriate without reliance upon the Company or our Brokers or any materials set out in these Presentation Materials. Neither the Company nor our Brokers has independently verified any of the information contained herein and neither makes any representations or warranties as to the Company’s future performance or the accuracy or completeness of any information contained in these Presentation Materials (together with any amendments or supplements and any other information that may be furnished by the Company). Prior to making an investment decision, investors should consult their own tax, legal, accounting and other advisors. Our Brokers are authorised and regulated in the United Kingdom by the Financial Services Authority and are acting exclusively for the Company and no one else in connection with any placing. Our Brokers will not regard any other person (whether or not a recipient of this document) as their customer in relation to the placing and will not be responsible to anyone other than the Company for providing the protections afforded to their customers nor for giving advice in relation to the arrangements described in this document. Neither our Brokers has authorised the contents of, or any part of, this document and no liability whatsoever is accepted by them for the accuracy of any information or opinions contained in this document or for the omission of any informationThese Presentation Materials contain certain forward-looking statements, estimates or projections that relate to future events or the Company’s future financial performance. In some cases, forward-looking statements can be identified by terms such as “may”, “will”, “should”, “plan”, “intend”, “believe”, “potential” or other comparable terminology. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the Company’s results, financial performance or achievements to differ materially from any results, financial performance or achievements expressed or implied by any forward-looking statement. Investors should not rely on any forward-looking statement in these Presentation Materials.No action has been or will be taken in any jurisdiction by the Company that would permit a public offering of its shares described herein or the possession or distribution of an offering memorandum in any jurisdiction where action for that purpose is required. These presentation materials do not constitute a prospectus under the Prospectus Rules of the FSA.Except as otherwise indicated, these Presentation Materials speak as of the date hereof. Neither the delivery of these Presentation Materials nor any sale of the Company’s shares shall, under any circumstances, create an implication that there has been no change in the Company’s affairs after the date of this document. Neither the Company nor our Brokers give any undertaking to update these Presentation Materials or any other information supplied or to correct any inaccuracies which may become apparent. This presentation is directed only at “investment professionals” within the meaning of Article 19(5) and “members” of the Company within the meaning of Article 43 of the Financial Services and Markets Act 2000 (Financial Promotions) Order 2005. The investments and investment activities described within this presentation are only available to such “investment professionals” or persons who may receive this communication under Article 43. No other persons should rely on this presentation.


Overview

• AIM-listed gold exploration and development company focused on Turkey

• Turkey is Europe’s largest gold producer and is highly prospective for multi-million oz discoveries – pro-mining environment and supportive government

• Primary project is the Red Rabbit Gold Project (‘RRGP’) – JORC compliant resource of 448,000 oz Au Eq

• 50:50 development JV on RRGP with Proccea Construction Co. – leading Turkish construction and engineering firm

• 49:51 exploration JV in NE Turkey with European Goldfields (now Eldorado)

• Approx. 13% holding in Tigris Resources (private) which focuses on exploration in SE Turkey

• Experienced management team with regional and geological knowledge


Regional Potential


Strategy

• Primary objective to develop a profitable gold mining operation whilst delivering long term value through exploration

• Utilise expertise and regional knowledge to build value through the identification and advancement of projects rapidly through the value curve to the development stage

• Leverage JV structures to control risk and maximise upside potential

• Exploration currently focused on discovery of significant deposits (+1 Moz)

• Target to achieve production at Red Rabbit in 2013


Current Projects

Red Rabbit Gold Project

JV with ProcceaExploration Eldorado JV

Kiziltepe TavsanRRGP

ExpansionRegional Project

ExplorationArdala &Salinbas

JV PipelineTigris Resources

Ariana Resources plc

“Near term production, multiple exploration targets and numerous drill-stage prospects creates a balanced portfolio with significant

upside potential”


Projects Overview


Key Facts

Shareholders Shares (M)

%

Management 7.9 2.9

The Bank of New York (Nominees) Ltd

43.3 16.1

Eldorado Gold Corporation 28.3 10.5

Bruce Rowan Esq 24.4 9.1

Starvest plc 21.6 8.0

Barclayshare Nominees Ltd 14.5 5.4

TD Direct Investing Nominees Ltd 12.4 4.6

LR Nominees Ltd 9.1 3.4

Hargreaves Lansdowne Nominees 9.1 3.4

Share Nominees Ltd 8.1 3.0

Other Significant Accounts (in top 20)

61.9 22.9

Subtotal 240.6 89.3

Private / Other Institutions 28.7 10.7

Total shares in issue 269.3 100%

Shares in Issue 269.3 m

Market Capitalisation

£8.1m (at 3p)

Warrants 15.6 m

12m: 1p expiry 14 Jan 2014 0.6m: 8p expiry 25 Sep 2012 3m: 13p expiry 1 Apr 2013

Options 15.9 m

12.6 m: 5p expiry 21 Mar 2018 2.2m: 8.8p expiry 19 July 2015 1m: 13p expiry 22 Aug 2015 0.1m: 13p expiry 1 Sept 2016

Fully Diluted 296.8Potentially raising £1.5m over 7 years

Price / Date of Listing

12p 28 July 2005

Max. / Min. Price 2.15p - 6.95p (52 week range)

Average Daily Volume (3M) 445,314


The Board

Dr. Kerim SenerManaging Director

Kerim has 15 years’ mining sector experience having graduated from the University of Southampton with a first-class BSc (Hons) degree in Geology in 1997. He obtained an MSc in Mineral Exploration in 1998 from Imperial College London and a PhD from the University of Western Australia. He has worked as an exploration consultant in Africa, Australia and Eastern Europe for both major and junior mining companies. As a Turkish national, he completed his military service obligations in Turkey in 2009. He is a Fellow of The Geological Society of London, Member of The Institute of Materials, Minerals and Mining, Member of the Chamber of Geological Engineers in Turkey and a member of the Society of Economic Geologists. He is a non-executive director of TSX-listed Mediterranean Resources Ltd.

Michael SpriggsChairman

Michael has 37 years' mining sector experience having graduated from Oxford University with a BA (Hons) in Geology in 1964 and an MA in 1968. He obtained an MSc in Geology and Mineral Sciences from the University of Leicester in 1969. He worked for a number of major mining groups, including Anglo American, Falconbridge and Rio Tinto. Michael later spent 11 years with the mining team of the UK investment bank SG Warburg (now UBS) during which time he was appointed Head of the South African Mining Equities Research Team and Director of Corporate Finance. He is a Committee Member of the Association of UK Mining Analysts, a Member of The Institute of Materials, Minerals and Mining and is a Chartered Engineer. Michael serves on the Company's Audit Committee and is chairman of the Company's Remuneration Committee.

Michael de Villiers Non-Executive Director

Michael qualified as a Professional Accountant with Ernst & Young in Cape Town. Michael gained his experience as financial manager at mining and chemicals operations in Namibia, Botswana, Ghana, Bulgaria and the United Kingdom. He is the CFO of Eurasia Mining plc but has been a past director of several AIM and ASX-listed junior mining companies. Michael serves on the Company's Remuneration Committee and is chairman of the Audit Committee.

William PayneNon-Executive Director

William studied Accountancy at Exeter University before training and qualifying as a Chartered Accountant with KPMG in London. He left after 5 years there to become a partner in W H Payne and Co. in 1991. In 2003 he became a partner in top thirty accountancy practice Wilkins Kennedy at their London office. He has a wide diversity of clients, and roles range from audit and assurance to planning, reporting and compliance. He is head of the firm's Property and Construction Group, and is responsible for several outsourced accounts and administration functions. William is also a director of a number of companies, Kibo Mining plc and Sprue Aegis plc.


Red Rabbit Project

• Red Rabbit Project comprising the Kiziltepe and Tavsan sectors in Western Turkey

• Trial production of 387oz Au from Kiziltepe undertaken via the Eti Gumus processing plant

• Current global JORC resource of 448,000 oz Au Eq

• New vein discoveries showing the potential for further near surface resource upside at Kiziltepe

MeasuredIndicatedInferred

Au

Eq

oz

• Kiziltepe Sector:

• 45km of low sulphidation epithermal quartz veins

• JORC compliant resources stand at 232,000oz Au Eq. potential

• Open-pittable, high grade, carbon-in-leach operation

• Tavsan Sector:

• 8km of gold mineralised jasperoid

• JORC compliant resources stand at 215,000oz Au Eq

• Open pittable, low grade, low strip-ratio, heap leach operation

447,591 oz Au Eq (inc. 3.58 M oz Ag)


KIZILTEPE

Kepez

Karakavak

TAVSAN

KIZILCUKUR


Feasibility Study

• Definitive feasibility study underway (Tetra Tech/Wardrop) – PFS stage complete

• Environmental impact assessment (SRK) underway – Baseline studies complete, EIA awaiting TSF inputs

• Production of approx 20,000oz Au Eq per annum over mine life of 8.1 years

• Cash costs estimated at US$441-472/oz during initial assessment – increase expected due to higher contractor mining costs

• Permitting leading to plant construction – H2 2012 (6-8 months construction)

• Land acquisitions are underway with most of the primary open pit area now held by the Company (60% of land currently acquired)

• Forestry permits awaited in the TSF area to complete geotechnical and hydrological drilling


In-pit Resources

In-pit resources defined using a 0.96 g/t Au cut-off grade and using Whittle pit optimisation at a Au price of US$1,058/oz and an Ag price

US$16.6 /oz

Au AgGrade (g/t) Grade (g/t) Au Ag

Arzu South 614,480 4 44.6 78,840 880,320

Arzu North 264,200 2 36.4 16,990 309,170

Banu 82,770 2.1 42.2 5,680 112,300

Derya 109,590 1.5 31.1 5,440 109,640

Kepez 60,000 4.9 n/a* 8,870 n/a*

Total 1,177,800 3.12 38.36 115,820 1,411,440

Vein TonnesContained metal (oz)


Mining Schedule

• Combined reserves (Proven & Probable) in designed pits 1,131,030 tonnes at 3.2 g/t Au and 38.8 g/t Ag, corresponding to 115,820 oz Au and 1,411,440 oz Ag (approx. 142,000 oz Au Eq)

• Outline mining schedule for the various mineralised zones. Tonnages for each pit are expressed in ‘000s tonnes:

Pit Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9

Arzu South 150 150 150 150 14

Kepez 60

Arzu North 76 150 41

Banu 109 1

Derya 126

Stockpile 22 14

Au Grade (g/t) 2.99 4.1 4.44 4.42 3.06 2.04 2.18 1.38 0.68

Ag Grade (g/t) 32.39 45.34 50.8 49.38 14.41 39.77 43.53 26.86 8.49

Oz Au (000s oz) 14.4 19.7 21.4 21.3 14.7 9.8 10.5 6.7 0.3

Oz Ag (000s oz) 156.2 218.7 245 238.1 69.5 191.8 209.9 129.5 3.9


Site Layout


JV Development

• 50-50 JV with Turkish partner Proccea Construction Co. – Proccea earning into 50% on expenditure of US$8 million

• Phase 1 of JV to focus on feasibility and EIA with a budget of US$1.4 million: management control with Ariana - over budget expenditure shared on a 50:50 basis

• Phase 2 of JV to focus on construction with a commitment of US$6.6 million: management control with Proccea

• Capital cost for mine start-up estimated at approximately US$26 million (note: tax incentives on >50 M TL CAPEX) – debt financing planned

• Further exploration drilling currently underway across the Kiziltepe Sector - 4,000m budgeted

• Ariana reserves the right, but not the obligation, to sell resources into the JV at 3X exploration cost within the Red Rabbit AOI but excluding JV licences


New Vein Discoveries


Exceptionally Mineralised Zone

• Drilling on an buried section of the Derya vein resulted in highest grades ever recorded from the Kiziltepe deposit: • 12.1m @ 13.1 g/t Au + 187.6 g/t Ag

(16.5 g/t Au equiv.) • Including 3.2m @ 38.7 g/t Au + 511 g/t

Ag (48.0 g/t Au equiv.)• Including 1m @ 65.9 g/t Au + 760 g/t

Ag(79.7 g/t Au equiv.)

• Drilling also determined that the Arzu North vein system extends to the southeast beneath cover.

• Eastern most part of the Emel Vein is a prospective zone which extends towards the Arzu South structure

• New results identify further potential within the “gap zone”.


Exploration Potential


Exploration Strategy

• Regional Focus: • New discoveries and resource

identification in the Red Rabbit region

• BLEG sampling (Phase 1)

• Western Turkey: • Reconnaissance covering 45,000

km2

• BLEG sampling (Phase 2)• GIS-based epithermal prospectivity

mapping & geological modelling

• Tigris Resources

Low Cost, Targeted Exploration: A comprehensive database with inputs from prospectivity modelling, geophysics, remote-sensing and BLEG sampling have been used to define target areas of interest. Licence auctions are currently underway.

Identify resource opportunities to feed into Red Rabbit JV

Turkey underexplored: Significant exploration upside and potential for multi-million ounce discoveries

Approximately 13% ownership


Eldorado Joint Venture

• 49:51 AAU/EGU joint venture exploration company (Pontid Madencilik) where Eldorado is funding the exploration of a portfolio of licences assigned from Ariana

• Concentrating on the highly prospective Ardala and Salinbas projects and surrounding exploration tenements in Artvin Province of NE Turkey

• European Goldfields had spent approximately US$4.5 million over 4 years on the JV

• Work funded to a definitive feasibility study at which point Ariana will be diluted to 20% for projects already held by the JV and 10% for any new projects

• Funding of development costs thereafter is undertaken on a pro-rata basis and if Ariana is diluted to <5% during this period of joint funding then Ariana will adopt a 1.5% NSR

• Targeting additional projects with the potential to host +1Moz Au


Ardala and Salinbas

SALINBAS55m at 7.8 Au g/t

ARDALA0.25% Cu, 0.45 g/t Au (+Mo)

Drilling Results 2012

• New drilling has defined a gently dipping mineralised body

• Best intercepts related to the follow-up drilling include:

• 9.5m @ 6.48 g/t Au + 39.4 g/t Ag;

• 11.3m @ 4.98 g/t Au + 42.8 g/t Ag and,

• 25m @ 3.34 g/t Au + 7.9 g/t Ag.

• 300m x 500m mineralised body remaining open in several directions

• Resource modelling is in progress and drilling will continue in 2012


The Future

“Our strategy has remained focused – we will continue to develop a profitable mining operation and further resource expansion

through exploration in Turkey”

• Feasibility and EIA on Red Rabbit Project

• Focused project exploration primarily in western Turkey

• Identify other resource opportunities in the Red Rabbit region

• Consider new exploration JVs and initiatives in Turkey

• Become the next formal gold producer in Turkey in 2013


Contact Details

Registered Office: Ariana Resources plcBridge HouseLondon Bridge, LondonSE1 9QR

Technical Consultants:

Tetra Tech WEIUnit 2, Apple WalkKembrey Park, SwindonSN2 8BL

Local Company: Galata Madencilik San. ve Tic. Ltd. Farabi Sokak No: 7/5Çankaya, Ankara 06680Turkey

SRK Consulting – TurkeyTuran Gunes Bulvari, 86/3 Yildiz, Ankara 06550 Turkey

Nominated Adviser:

Beaumont Cornish2nd Floor, Bowman House29 Wilson StreetLondon, EC2M 2SJ

Bankers: HSBC Bank186 Broadway, DidcotOxfordshireOX11 8RP

Brokers: Fairfax I.S. PLC46 Berkeley Square,Mayfair, London, W1J 5AT

Auditors: KPMG15 Canada Square, London, E14 5GL

Solicitors: Gowling Lafleur Henderson LLP15th Floor - 125 Old Broad Street, London , EC2N 1AR

Registrars: Computershare Investor Services PO Box 82, The PavilionsBridgwater RoadBristol, BS99 7NH

Corporate Presentation May 2012. Beyond Exploration… 2 Disclaimer The information contained in...

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