Table: Bonasika Feasibilty Study Update - from October 6, 2011 News Release

Benchmarks

2011 Feasibility Study Update (“BFSU”)

2010 Feasibility Study (“BFS”)

VARIANCE/

COMMENTS

GEOLOGY & MINING: Start of mining at Bonasika 7 deposit

Number of Deposits

5

3

Bon 6 & 7 now in mine plan

Mineral Resource

(Measured & Indicated)

13,089,000 tonnes

7,528,000 tonnes

(Bon 6 included in 2010)

Adding Bon 7 increased Resource  +74%

Mineral Reserve

(Proven & Probable)

11,098,000 tonnes

2,504,000 tonnes

(Bon 6 was not included)

Bon 6 & 7 increased Reserves

+343%

Better quality bauxite

Fe₂O₃ (content %)

0.9%

(Bon 7 average)

2.1%

(Bon 1, 2 & 5 average)

Lower iron is a highly desirous refractory quality

High grade bauxite zone

Bonasika 7 hosts

Direct Feed Bauxite (“DFB”) zone

Bon 1, 2 & 5

No high grade zone

 Selective mining of high grade zone at Bon 7

Life of Mines

Bonasika 1, 2, 5, 6 & 7 44.5 years

Bonasika 1, 2, & 5

8.5 years

Bon 6 & 7 added

+ 36 years

424% improvement

PROCESS: Simplified with better recovery

Recovery:  from raw ore mined to final product

48%

33%

45% improvement

Magnetic separation circuit

No magnetic separation for Bonasika 6 & 7

Mag separation circuit required for Bonasika 1, 2, & 5

Defer mag. sep. circuit costs for 36 years ($10,786,000)

ECONOMICS: Improved Investment Returns

Financial Results are for Bonasika 6 and 7

Financial Results are for Bonasika 1, 2 & 5

NPV (before tax @ 7.5% discount rate)

 $157.1 million

 $41.4 million

279% improvement

NPV (after tax @ 7.5% discount rate)

 $123.6 million

 $19.4 million

537% improvement

Cash Flow (undiscounted before tax)

 $732.5 million

 $115.3 million

535% improvement

Cash Flow (undiscounted after tax)

 $556.6 million

$73.9 million

653% improvement

IRR (before tax)

18.7%

16.2%

15.5% improvement

IRR (after tax)

17.7%

12.2%

45% improvement

Payback Period (undiscounted)

5 Years

4.5 Years

Fuel Price Assumption

US$85.00 / barrel crude

US$80.00 / barrel crude

+ US$5.00 / barrel crude

Capex (direct) (US$)

$82.7 million

$78.6 million

5.2% increase

Capex (indirect)

$41.2 million

$34.2 million

20% increase

Capex (sustaining)

$36.9 million

$7.5 million

392% increase

Capex (Total)

$160.8 million

$120.3 million

34% increase

Production Costs per tonne of finished product

US$211.04 per tonne

US$182.29 per tonne

16% increase

(All dollar figures in US Dollars unless otherwise stated)