Below an excerpt of an interview with Kwong-Mun Achong, a mining analyst with Northern Securities with a focus on both precious and base metal equities. He previously worked at a Canadian bank owned dealer and at a U.S.-based brokerage. Achong Low obtained both his Master of Business Administration and Bachelor of Science degree in mechanical engineering from the University of Toronto. The full interview was published by The Gold Report.

TGR: In a report, you suggest that Sunridge Gold is one of the more misunderstood stories in the junior gold sector. What misconceptions about Sunridge would you like to correct?

KAL: The biggest misconception is that Eritrea is a bad place to do business. I visited the property in November and saw firsthand that it is a very determined country working to put additional business-friendly policies in place. The people are very friendly and hard working. The United Nations Security Council clouded that view when it put further sanctions on the country in December after some neighboring countries accused it of supporting militant groups, but I think the accusations are politically motivated. Russia and China both abstained from the vote. Also, Russia went on record saying that the evidence of Eritrea’s link to the planned attacks in Addis Ababa was not conclusive.

TGR: But there is unrest in the region. Are you factoring that into a discount rate?

KAL: Definitely. Whether it’s true or not, the market does perceive additional risk in Eritrea. We only use a multiple of 0.4x our net asset value whereas other companies in our space could get from 0.5–1.0x.

TGR: What were your thoughts about the Asmara project when you visited?

KAL: It is very close to infrastructure. You can drive to the site in a matter of minutes. The topography is very supportive of open-pit mining as it is very flat with lots of room to put the mill facilities and tailings pond. It’s also very close to a willing workforce.

TGR: Are there any majors operating in Eritrea right now?

KAL: None that I know are active in the area. There are a number of Chinese companies with interest including the Shanghai Construction Group that recently bid for Chalice Gold Mines Ltd. (CXN:TSX; CHN:ASX), though the others have nothing as advanced as Sunridge or Nevsun Resources Ltd. (NSU:TSX; NSU:NYSE.A).

TGR: Does Nevsun have the cash flow to pull off a takeover?

KAL: For sure. It is producing a lot of gold at one of the lowest cash operating costs in the industry. Last year it produced about 380 thousand ounces of gold and the cash costs for the first three quarters were about $285/ounce (oz). However, I’m not sure that, if it were to expand, it would want to get another asset in Eritrea.

TGR: On the one hand, you’re saying there’s not as much risk as people think, but in this example, you are intimating that there is still a significant amount of risk there?

KAL: There is perceived risk. If a company like Nevsun has a main asset there and it’s not getting the full value that it should for it, then there’s no need to wait around for the market to clue in. It can just take its cash and go after something that the market will recognize.

TGR: What should move Sunridge stock to your 12-month target price of $1/share?

KAL: Of its four main deposits, it has combined three of them into one prefeasibility study due out in about four months. The fourth deposit, the Debarwa deposit to the south of Asmara, has a feasibility study due in the next couple of months. As the market sees that there is real economic benefit to these projects and there is a clear line to their production, Sunridge should get rewarded for that.

TGR: Debarwa is really the crown jewel here, right?

KAL: It’s the highest grade and it may be the closest to production, though I think the crown jewel is Emba Derho, with 62 Mt of VMS.

TGR: What’s the resource there?

KAL: It’s almost 600,000 oz gold, 1 Blb copper and 2 Blb zinc at Emba Derho.

TGR: What’s the estimated production timeline there?

KAL: It could be as early as 2015. After the feasibility is completed, it could start applying for its permits. Sunridge has already started talking with government officials, so I don’t think that will take as long as it has for other companies, like Nevsun.

TGR: Are there any other companies that you would like to discuss today?

KAL: It’s not one that I cover, but it is in a very stable country: Seafield Resources Ltd. (SFF:TSX.V:). It is advancing its Quinchia gold project in Colombia. It is expecting a resource update at its Miraflores deposit by the end of this month and a PEA in a few months. Quinchia currently has 2.5 Moz in global resource and with the new management appearing settled, the relative valuation and news flow makes this stock one to watch.

TGR: Do you have some parting thoughts for our readers?

KAL: Investors need to take the speculation out and do additional due diligence because it’s a stock-picking market. Investors need to look for companies that have good news flow, really good management and an asset that is good enough to put into production when they invest in it.

TGR: Thanks.

Kwong-Mun Achong Low is a mining analyst with Northern Securities with a focus on both precious and base metal equities. He previously worked at a Canadian bank owned dealer and at a U.S.-based brokerage. Achong Low obtained both his Master of Business Administration and Bachelor of Science degree in mechanical engineering from the University of Toronto.

Want to read more exclusive Gold Report interviews like this? Sign up for our free e-newsletter, and you’ll learn when new articles have been published. To see a list of recent interviews with industry analysts and commentators, visit our Exclusive Interviews page.

Nevsun Resources Eritrea

The Globe and Mail attempts to identify gold producers that are good value plays in its Thursday edition. The Globe’s Sonali Verma writes in the Number Cruncher column that she employed the services of Wickham Investment Counsel managers Michael Bowman and Allan Meyer to help screen for gold stocks with low price-to-earnings ratios, low debt and healthy cash balances.

Mr. Meyer says, “A large number of gold stocks are hitting our value screens, something that has been unheard of in the past. … Of the 715 companies that we follow on a value screen, these gold companies are in the top quartile.” He points to “substantial” increases in 2012 earnings over 2011 — on average, the increase in the earnings per share for the companies Wickham recommends is 62 per cent.

The surging price of gold has lifted earnings substantially. Mr. Bowman says, “Companies are yanking the stuff out of the ground at $400 an ounce and selling it at $1,700 an ounce.” Another reason the miners are popping up on the value screen is that gold stocks have not jumped as fast as the price of bullion has. Wickham’s top gold stocks are Nevsun Resources, Primero Mining, Iamgold, Aurizon Mines, Capstone Mining and Pan American Silver.

To read the full article visit: The Globe and Mail

Eritrea Nevsun Bisha Mine

VANCOUVER, BC – Nevsun Resources Ltd. (TSX:NSU)(NYSE Amex:NSU) announces an increased semi-annual cash dividend to US$0.05 per common share (US$0.10 per common share annually).

The dividend is payable on January 15, 2012 to shareholders of record as of the close of business on December 31, 2011. This is the Company’s second dividend after declaring its first dividend in May 2011. This revised dividend represents approximately 5% of cash from operating activities for the past two quarters for 2011.

“We are focused on generating cash flow from operations and expanding reserves at Bisha, while reviewing growth opportunities for Nevsun. With $227 million cash at quarter end and significant ongoing cash flow, Nevsun is well positioned to fund growth and provide a dividend return to our shareholders,” said Cliff Davis, CEO. He went on to comment, “Today’s increased dividend further differentiates Nevsun from its peer group and demonstrates our confidence in future cash flow.”

This dividend qualifies as an ‘eligible dividend’ for Canadian income tax purposes.

Nevsun Resources Eritrea

Mallory Stone reports that the Financial News Network (FFN) looked at the Gold industry and measured relative performance to find the top stocks. Relative outperformance is a bullish sign of underlying fundamental and technical strength. FFN looked at thursday’s price action of all companies in this peer group.

Nevsun Resources (AMEX:NSU) ranks first with a gain of 9.07%; Royal Gold (NASDAQ:RGLD) ranks second with a gain of 6.77%; and Yamana Gold (NYSE:AUY) ranks third with a gain of 5.65%.

AngloGold Ashanti (NYSE:AU) follows with a gain of 4.56% and Randgold Resources (NASDAQ:GOLD) rounds out the top five with a gain of 4.41%.

Nevsun Resources Ltd. is a gold producer and base metal developer. The Company has a gold-copper-zinc mine in Eritrea.

Shabait, Massawa, 30 March 2011- Different study papers focusing on the development of the variety of energy sources were presented today at the symposium of the Ministry of Mining and Energy underway in Massawa under the theme, “Eritrea: 20 Years of Dignity”.

In a paper presented by the head of the hydrocarbon department, Mr. Teklehaimanot Debretsion, the history of fuel exploration in Eritrea was extensively discussed. The study paper also explained that the Ministry had in the past 20 years prepared technical data of international standard and that it had signed three different exploration agreements whose geological and geographical information have been carefully documented. Mr. Teklehaimanot also pointed out that a number of important tasks remain before effective work can be achieved in the department.

The head of renewable energy, Mr. Nebi Gebremedhin on his part indicated that a department for the development of renewable sources of energy has been established and studies are being made as regards their usage and potential. Using renewable sources of energy can play an important role in the nation building endeavors, he added.

Stating that a number of tasks have been accomplished in exploiting renewable sources of energy, Mr. Nebi said that wind turbines in Assab cover 20% of the city’s electricity consumption and that additional turbines with a capacity of up to 30 Kilowatts have been installed in Edi, Berasole, Beilul, Rahaita, Gahro and Dekemhare.

Moreover, Mr. Nebi explained that around 3,000 solar panels have been installed in different parts of the country producing more than 12,000 Kilowatt power and that 65% of remote areas in the country have become beneficiaries of power generated in such manner. More than 80,000 smokeless ovens, which reduce wood consumption by 50%, have also been distributed around the country, he added.

In the study paper presented by the head of geothermal energy, Mr. Ermias Yohannes, it was pointed out that exploration activities were carried out in collaboration with different companies in a bid to introduce such services and that priority is being given to producing the relevant skilled man power so that the existing potentials can be exploited based on internal capacity.

In a statement he made at the opening of the symposium, the Minister of Mining and Energy, Mr. Ahmed Haji Ali stated that extensive efforts are being made to ensure efficient supply of electricity in all parts of the country.

Emphasizing that the success of development endeavors are determined by the investments in the energy sector, the Minister said that the activities to ensure equal distribution of resources in all parts of the country will be further strengthened. The experience gained so far in mining and studies made in land structure are limited and hence more investment is required to promote the role of mining in the country’s economy, he added.

Nevsun Resources Ltd. (TSX: NSU/NYSE Amex: NSU) is pleased to report the gold assays from the thirty-four infill diamond drill holes at the Harena deposit within its Bisha exploration license in Eritrea.

Nevsun plans to use the infill drilling results to complete a resource estimate, mine plan and mining license application to process the material at its Bisha processing plant.

Harena lies 9.5 km southwest of the Bisha Main deposit on an exploration license contiguous to the Bisha Mining license.

Highlights

• High grade, near surface oxide gold cap
• Copper and zinc primary sulphide underneath
• Potential additional feed for Bisha both in CIL and flotation phases

Select High Grade Results Include:

• Hole #H-078 – 18m at 11.78g/t Au, from 51.0 metres to 69.0 metres
• Hole #H-062 – 31.9m at 4.09g/t Au, from 5.6 metres to 37.5 metres
• Hole #H-063 – 51m at 3.34g/t Au, from 19.5 metres to 70.5 metres
• Hole #H-059 – 60m at 2.73g/t Au, from 13.5 metres to 70.3 metres
• Hole #H-081 – 18m at 3.89g/t Au, from 45.0 metres to 63.0 metres
• Hole #H-075 – 24m at 3.19g/t Au, from 46.5 metres to 70.5 metres

The drilling took place in the fall of 2010. Drill hole locations were selected to infill drill the gossanous oxide cap on 25m x 25m and 12.5m x 25m fences which is the same spacing used to define measured and indicatedresource categories at the Bisha Main deposit. The results were positive, and have provided increased confidence to the widths and grades of the gold bearing oxide cap at Harena. A resource estimate on the deposit has been initiated with results expected in late April. If the results are positive a reserve estimate and mine study will be done to support a mining license application.

Detailed results of gold in the oxide are in the attached schedule together with a map of hole locations. The results of assays on the sulphides are still in progress and will be disclosed at a later date.

Nevsun views the Harena deposit as a potential source of supplemental feed for the processing plant at Bisha. Supplemental feed can provide valuable cash flow as an extension to mine life without having to absorb any start-up capital costs.

Darin Wasylik, Senior Geologist for Nevsun, a qualified person under National Instrument 43-101, supervised and directed all work associated with the drilling program.

Sample preparation and analysis were conducted at ALS Chemex of Romania and Vancouver, Canada.

Forward Looking Statements: The above contains statements regarding positive drill results, indications that the Bisha concession may host multiple deposits, the Harena deposit as a potential source of supplemental feed and valuable cash flow, the close relationship between the interpreted graphitic horizon and the Harena massive sulphide, and additional prospects at the Harena area. Although we believe the expectations reflected in our forward looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements. . Forward-looking statements are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements due to a variety of risks, uncertainties and other factors, including, without limitation, those described in the Management Discussion and Analysis of the Company. The Company’s forward-looking statements are based on the beliefs, expectations and opinions of management on the date the statements are made and the Company assumes no obligation to update such forward-looking statements in the future. For the reasons set forth above, investors should not place undue reliance on forward-looking statements.

NEVSUN RESOURCES LTD.

Sunridge Gold

VANCOUVER, BRITISH COLUMBIA — (Marketwire) — 03/01/11 — Sunridge Gold Corp. (TSX VENTURE: SGC) is pleased to announce encouraging copper and zinc recovery results from recent metallurgical tests conducted on mineralized material from the Emba Derho deposit. The metallurgical work is part of the prefeasibility study currently being conducted on the Asmara North deposits located in Eritrea.

Emba Derho Deposit Metallurgical Tests

The results are from locked-cycle copper and zinc metal recovery testwork conducted at SGS (Vancouver) laboratory under the supervision of Blue Coast Metallurgy Ltd on samples from the Emba Derho deposit. Using a conventional, low-cost flotation flow sheet, the test results show a recovery of 92% of the copper producing a 28% copper concentrate and 88% recovery of the zinc producing a 62% zinc concentrate. Precious metal recoveries for gold and silver returned values of 50% and 55%, respectively. Head grades used in the test work were 1.15% copper, 2.14% zinc, 0.07 g/t gold and 5.1 g/t silver.

“These results show unexpected high copper and zinc recoveries from the Emba Derho mineralized material with impressive product grades,” says Michael Hopley, Sunridge’s President and CEO. “Considering the large amount of copper and zinc contained in the Emba Derho deposit this will certainly have a significant positive effect on the economics of the deposit in the ongoing prefeasibility study.”

Sunridge is currently conducting metallurgical testing on the Emba Derho deposit as part of the current prefeasibility study on the Asmara North deposits. The program will include further flowsheet optimization, variability studies and testing of composites made from blending Emba Derho mineralization with that from two other VMS deposits on the Asmara Project, Adi Nefas and Debarwa.

Emba Derho Drill Program

Drilling with three drills has been underway at Emba Derho for the past two weeks as part of a planned 8,500 meter drill program. The first assay results are expected in 4 to 6 weeks.

Qualified Person

Michael J. Hopley, President and Chief Executive Officer of Sunridge is the Qualified Person for Sunridge and the person responsible for preparation of the technical information contained in this news release. This press release has been reviewed by Chris Martin, Principal Metallurgist and President of Blue Coast Metallurgy Ltd. and a Qualified Person under the guidelines of NI 43-101.

ABOUT SUNRIDGE:

Sunridge is a mineral exploration and development company focused on the acquisition, exploration, discovery and development of base and precious metal projects on the Asmara Project in Eritrea and exploration properties in Madagascar. Sunridge currently has approximately 116 million shares outstanding and approximately $25 million in cash. Sunridge trades on the TSX Venture Exchange under the symbol SGC. For additional information on the Company and its projects please visit our website at www.sunridgegold.com or call Greg Davis at the numbers listed below. All of the above mentioned technical reports are filed on the Company’s profile at www.sedar.com.

SUNRIDGE GOLD CORP.

Michael Hopley, President and Chief Executive Officer

This news release contains forward-looking statements that are based on the Company’s current expectations and estimates. Forward-looking statements are frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “suggest”, “indicate” and other similar words or statements that certain events or conditions “may” or “will” occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Such factors include, among others: the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans to continue to be refined; possible variations in ore grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing; and fluctuations in metal prices. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Nevsun Resources Ltd and South Boulder Mines Ltd will be presenting at the annual International Convention and Trade Show of Prospectors and Developers Association of Canada (PDAC) in Toronto.

Both companies have promising mining projects in the Red Sea State of Eritrea. Nevsun has just announced that its Bisha mine has reached commercial production in February 2011 and South Boulder Mines spectacular share price surge seems not to be running out of fuel due to the huge potential investors see in potash and Eritrea.

PDAC is one of the most important investment trade events in the world of exploration. With over 22,000 industry representatives and delegates from over 118 countries the trade show hosts 400 exhibitors promoting mining industry services, products technology and jurisdictions.

The convention is known to be attended by many company representatives seeking out for the right investment and trade deal as well as Geoscientists, Mining media, Mining service sector representatives, International government representative and other industry stake holders.

Other exhibitors from secondary industries include Air Transportation Services, Insurance Companies, Internet Services, Labatories/Labatory Suppliers, Law Firms, Software Companies, Satellite Communications, Universities and more.

Nevsun Resources will be presenting on Monday, March 7 at 11:00 am in Room 801B in the Volcanogenic Massive Sulphides Session and exhibiting at booth 2608A on March 7 and 8 at the Investor Exchange floor.

South Boulder Mines Managing Director Lorry Hughes will be presenting on Tuesday, March 8 at 10:50 am in Room 715 AB, in the Metro Toronto Convention Centre, South Building.

TORONTO (miningweekly.com) – Vancouver-based Nevsun Resources has achieved commercial production at its Bisha mine in Eritrea, and was able to complete the project “very substantially” below its capital cost estimate of around $260-million, CEO Cliff Davis said on Tuesday.

“I’d say it was at least five per cent below,” he said in an interview.

Nevsun poured the first gold at Bisha in December and has since ramped up the plant to average about 5 250 t/d over the last 30 days, with a peak of 6 560 t/d. The operation produced around 40 000 oz of gold during the commissioning phase, and recoveries have been higher than planned, at an average of 89% over the last 30 days.

“We’re now producing over 1 000 oz per day, and because of our very low costs, we are making over a million dollars a day,” Davis told Mining Weekly Online.

To read the full article, please follow this link.

February 22, 2011

• Bisha Declares Commercial Production
• Commercial production achieved on schedule and under budget
• Producing over 1,000 ounces per day
• Produced 40,000 ounces of gold to date
• Recoveries higher than expected

VANCOUVER,BC – Nevsun Resources Ltd. (TSX:NSU / NYSE Amex:NSU) is very pleased to announce that the Bisha Mine in Eritrea has reached commercial production. Commercial production marks the completion of project development, commissioning and operational ramp-up of the mine and processing plant. The operation is currently producing gold at a rate in excess of 1,000 ounces per day.

The commissioning of the plant commenced in late October, with first gold pour in late December and a progressive ramp up thereafter. Plant throughput averaged approximately 5,250 tonnes per day over the last 30 days, with a peak of 6,560 tonnes per day, well above schedule.

Recoveries are also higher than planned, averaging 89% over the last 30 days. During the commissioning phase, Bisha has produced approximately 40,000 ounces of gold.

Nevsun’s President Cliff Davis states “We are very pleased to bring this spectacular deposit into production and under budget. Our success can be attributed to our staff, contractors and the unwavering support of the Government of Eritrea.

The State has understood from the beginning that responsible development of the mining industry has the potential to be a significant economic catalyst to the State of Eritrea over the next several years.”

Commercial production was defined as >90% of planned throughput and >90% of planned recoveries for a period of >30 days.

As announced in the Company’s news release dated January 27, 2011, the Company’s independent engineer is currently working on a re-statement of reserves for the Bisha deposit and anticipates this will be available before the end of this quarter.

Forward Looking Statements: The above contains forward-looking statements concerning development and operating progress. Forward-looking statements are frequently, but not always, identified by words such as “expects,” “anticipates,” “believes,” “intends,” “estimates,” “potential,” “possible” and similar expressions, or statements that events, conditions or results “will,” “may,” “could” or “should” occur or be achieved. Forward-looking statements are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements due to a variety of risks, uncertainties and other factors, including, without limitation, those described in the Management Discussion and Analysis of the Company. The Company’s forward-looking statements are based on the beliefs, expectations and opinions of management on the date the statements are made and the Company assumes no obligation to update such forward-looking statements in the future. For the reasons set forth above, investors should not place undue reliance on forward-looking statements.

NEVSUN RESOURCES LTD.

“Cliff T. Davis”

Cliff T. Davis

President & Chief Executive Officer

A detailed stock quote on TSX: NSU can be found here.

For Investor Relations Contact:

Sunridge Gold

Sunridge Gold Corp (SGC/TSX.V) is pleased to announce that, as part of a recently announced prefeasibility study on the Asmara North deposits, the Company has started an 8,500 meter drilling program at the Emba Derho copper-zinc-gold deposit. The drilling program will consist of approximately 6,000 meters of diamond drilling which will define parts of the Emba Derho deposit in greater detail, test for extensions of the mineralization to the north, west and east and test for depth extensions to the mineralization.

Expansion drilling to the north, east and west will test coincident geophysical gravity and electromagnetic anomalies which could be lateral extensions of the main Emba Derho Deposit.

The main part of the Emba Derho deposit has been drilled from surface to a depth of approximately 300 to 350 meters and the mineralization is open at depth.

A number of the previously drilled holes contained significant copper grades showing that the higher grade copper zone continues to depth – see the table below that summarizes some of these intervals that have been previously reported.

Management believes that there is strong potential to add to the size of the Emba Derho deposit with this program. This drill program will also collect geotechnical data and more metallurgical samples.

In addition to the above extension possibilities, a 2,500 meter reverse-circulation drill program will target further definition and potential expansion of the shallow oxide gold-cap at Emba Derho. Any increase in the gold cap could provide additional resources for an open pit operation.

Current Emba Derho Resource: The September 10, 2008 Wardrop Engineering Inc. Indicated resource estimates for Emba Derho are summarized as follows:

ABOUT SUNRIDGE:

Sunridge is a mineral exploration and development company focused on the acquisition, exploration, discovery and development of base and precious metal projects on the Asmara Project in Eritrea and exploration properties in Madagascar. Sunridge currently has approximately 116 million shares outstanding and approximately $25 million in cash. Sunridge trades on the TSX Venture Exchange under the symbol SGC. For additional information on the Company and its projects please visit our website at www.sunridgegold.com or call Greg Davis at the numbers listed below. All of the above mentioned technical reports are filed on the Company’s profile at www.sedar.com.

Notes:

1. All drill holes reported are diamond drill holes.

2. Drill intercept lengths only are reported in the tabulations; it is estimated that true width will be approximately 80% of the reported drill intercept length.

3. A Quality Assurance/Quality Control program is part of the drilling program on the Asmara Project. This program includes chain of custody protocol as well as systematic submittals of standards, duplicates and blank samples into the flow of samples produced by the drilling.

4. A description of the geology, sampling procedures, and the Company’s laboratory Quality Assurance / Quality Control procedures are as described in each of the Company’s most recent National Instrument 43-101 Technical Reports filed and dated March 15, 2007. These reports are available on the Company’s profile at www.sedar.com.

5. Samples are prepared at African Horn Testing Services (Eritrea) and analyzed at Genalysis Laboratories (a NATA registered laboratory) in Perth Western Australia.

6. The Qualified Person responsible for the release of this exploration information is Michael Hopley, President and Chief Executive Officer of Sunridge Gold Corp.

SUNRIDGE GOLD CORP.

“Michael Hopley”

Michael Hopley, President and Chief Executive Officer

NGEX Eritrea

NGEx Resources Inc. (NGQ-TSX) (‘NGEx’ or the ‘Company’) announces major exploration programs underway in South America and Africa (please see attached project maps). The Company’s exploration budget is focused on large scale copper, gold, and potash targets that demonstrate the potential for world class discoveries.

In total, the Company and its partners are expecting to drill more than 20,000 meters by the end of September, 2011. This is a very significant amount of drilling for a company of our size and we believe that this program can create substantial value for shareholders by defining new mineral resources at our more advanced projects such as Los Helados, or by drilling the initial discovery drill holes on our new projects like the Bada potash project in Eritrea.

Three drill programs are in progress on copper-gold projects in South America with a fourth program scheduled to begin in April. In Eritrea drilling on both base metal and potash projects should start in April. Drilling on all programs is expected to continue through the first half of the year, with results released as they become available. In addition, Teck Resources Limited (“Teck”) plans a $4.5 million program on the Company’s GJ project in northern BC beginning in June. Around 45% of the approximately $17,000,000 expected to be spent on the company’s projects this year will come from its joint venture partners.

SOUTH AMERICA

Los Helados, Chile

Drilling is underway at NGEx’s 60% owned Los Helados project located east of Copiapo in Chile’s Region 3 where previous drilling defined a porphyry copper-gold system measuring about 1,000 meters by 600 meters and up to 700 meters thick and is open in several directions. The best grades intersected to date are associated with a large hydrothermal breccia located in the southern two thirds of the zone. Drilling this field season will focus on defining the higher grade portion of the system. See attached map for some previously released intercepts.

The prospect has recently been surveyed by deep penetrating IP-Resistivity to define zones of higher grade mineralization and any possible extensions to guide further drilling. Using two drills, the Company has completed approximately half of the initial 10 hole, 7,500 meter drill program to date. It is anticipated that this drill program will be extended with the objective of completing sufficient drilling to permit an initial resource calculation later this year.

Josemaria, Argentina

Drilling is also underway at the Josemaria project, located approximately 15 kilometers east of Los Helados in northern San Juan Province, Argentina. Josemaria has a previously announced NI 43-101 inferred resource of 460Mt @ 0.4% Cu and 0.3 g/t Au. This year’s drilling at Josemaria is focused on discovering extensions of the known deposit under post-mineralization cover and testing a strong chargeability anomaly north of the current resource. The current 2,500 meter drill program is funded by JOGMEC who are earning a 40% interest in the project. Approximately 1000 meters have been completed to date.

Filo del Sol, Argentina

A fourth drill is working at the 60% owned Filo del Sol project located approximately 12 kilometers south of Los Helados in San Juan Province, Argentina. Previous drilling at Filo del Sol has identified near surface copper oxides and gold within a large diatreme breccia. Most of the drilling to date has focused on shallow copper sulfate mineralization and deeper copper sulfide in the southern part of the project area. The main copper sulfate mineral, chalcanthite, is water soluble and potentially amenable to low cost heap leaching. Chalcanthite was an important component of copper production from Chuquicamata in the early part of the last century.

A recent review of drill data from Filo del Sol identified several compelling gold targets in the northern part of the project area. An initial 2,000 meter drill program will follow up some of the better gold results from previous drilling and as well as better define the extent of the near surface copper sulfate mineralization. The program will be extended as needed to follow-up any encouraging results.

Colmillos, Chile

Colmillos is an exciting early stage porphyry copper project located east of Ovalle, Chile. Mapping and sampling at Colmillos have defined a 4.3 kilometer trend of tourmaline breccia bodies, local visible copper oxide mineralization and anomalous copper and molybdenum geochemistry. Copper mineralized tourmaline breccias are a common feature of many major porphyry copper systems. An access road has recently been completed and an IP survey is underway. An initial drill program of up to 2,000 meters in 6 to 8 holes is planned for March.

AFRICA

Bada Potash, Eritrea

Initial mapping and geophysical surveying is underway on the Company’s recently awarded Bada potash license located approximately 35 kilometers from the Red Sea coast of Eritrea. NGEx’s license covers the northern portion of the Dallol evaporite basin which in Ethiopia hosts the historic potash deposits of Musley held by Sainik Coal Company, India and Dallol, held by Allana Resources, Canada. The Eritrean portion of the basin hosts the Colluli potash deposit which is currently being explored by South Boulder Mines of Australia. All three areas are being actively explored with resource estimates recently issued for all three projects. Recent results released by South Boulder Mines highlight the potential for shallow potash mineralization on the Eritrean side of the border.

NGEx’s license lies approximately 20 kilometers northwest of South Boulder’s license and covers the northwest extension of the same basin. Any discovery of potash on the Eritrean side of the border will have significant logistical advantages over deposits on the Ethiopian side because they have much closer access to the Red Sea coast.

NGEx has contracted experienced potash consultants and has begun an initial program of gravity and magnetic surveying to define the basin depth and geometry, to be followed by a reconnaissance diamond drilling program of approximately 1000 meters in three holes.

The initial drilling should be completed by the end of April and is expected to provide important information to guide a more extensive exploration program to commence before the end of the exploration season in July.

VMS, Eritrea

The Company holds approximately 650 square kilometers covering prospective stratigraphy near Nevsun Resources’ recently commissioned Bisha Mine. The successful development of the Bisha Mine has significantly increased investor confidence in Eritrea. The Company’s land position hosts the Hambok Deposit for which an initial NI 43-101 resource estimate was announced in 2009 as well as the high grade Aradaib discovery announced in 2010. Previously released drill results from Aradaib include 13 meters of 3.3% Cu, 5.6% Zn, 1.8 g/t Au, and 46 g/t Ag.

In late 2010 the Company completed a high resolution helicopter- borne electromagnetic, magnetic, and radiometric (VTEM) survey covering the Company’s entire land position. The survey was designed to identify volcanic-hosted massive sulfide (VMS) mineralization beneath recent cover. Initial screening of the survey results has highlighted 18 anomalies to be geophysically modeled for massive sulfide bodies. A drill program to test targets generated by the VTEM survey and to follow-up on the positive results from Aradaib is planned for late in the first quarter of 2011. The size of the drill program will be determined once initial follow-up is completed.

CANADA

GJ Project, BC

GJ is a copper-gold project, located in northern British Columbia. The Company has optioned the project to Teck which has the right to earn an initial 51% by spending $12,000,000 by December 31, 2014 and up to a 75% interest by spending an aggregate of $44,000,000 by December 31, 2020. Teck has received internal approval for a $4.5 million exploration program consisting of ground geophysics and up to 5,000 meters of drilling. The objective of the program is to add to the previously reported NI 43-101 compliant resource and to test the potential for high grade copper-gold zones similar to those discovered at Imperial Metals’ nearby Red Chris project. Exploration is expected to begin in late June, 2011 and continue through to September.

Dr. Wojtek Wodzicki, P. Geo. (BC), President and CEO of NGEx, a Qualified Person as defined by National Instrument 43-101, has reviewed the technical contents of this release.

On behalf of the Board,

Wojtek Wodzicki

President and CEO

NGEx Eritrea Projects

NGEx Canada Project

NGEx Vicuna Projects