BSC RESOURCES POSITIONED TO DELIVER

South Africa’s Junior Mining Landscape

Mineral and Petroleum Resources Development Act (MPRDA) came into force in May 2004 with the following consequences: • “Use it or lose it” principle unlocked non-strategic assets by majors. • Interest in Exploration by foreign juniors.

• First time participation of Black South Africans in the ownership and development of the mineral resources of South Africa.

The Creation of BSC Resources Ltd

• • • • • • • • Incorporated in November 2005.

Granted prospecting rights of 39000ha within 6 months (Currently have 77 000ha at the Insizwa project).

Raised ZAR18.2m (South Africa, Canada, USA). Granted prospecting permit for historic Messina Copper Dumps and Oxide caps (September 2007).

Completed Scoping study on the Musina Copper Dumps and Oxide Caps (January 2008).

Raised ZAR 16m (South Africa, Canada and USA) February 2008.

Completed a competent person’s report on the Insizwa Nickel Project (October 2008).

Granted exploration permits on 9 farms in the Northern Natal (KZN) coalfields (October/November 2008).

Strategic Overview

• Hands on Management Team.

• Focused on acquiring and developing near term to production assets.

• Geographic Diversification (South Africa and Botswana).

• Currently building a substantial coal portfolio in the Natal region, close to the Richards Bay port.

• Capitalise on 2009 MPRDA deadline (“Use it or Lose it”) to partner with majors.

BSC and Mining Charter

Mining Charter

Ownership Employment Equity Local Community and stakeholders Procurement

BSC Response

- 41% Black Ownership - 75% Black Executive Management - 75% Black Board composition At Insizwa: - Good relationship with all three tribal authorities and local government.

- Established a Mining Committee that meets on monthly basis - Regular donations to locals schools - All general labour sourced from the community (30 Jobs created) - Establishment of community trust - 50% Female staff complement -Preference given to procurement from local, empowered suppliers

Corporate Social Investment

• Appointed Greater Good South Africa, to design, develop and Implement our CSI policy.

• Main Focus is education (Maths, Science and Technology ) at high school level.

• Our CSI policy is designed to create skills which will benefit the areas where we operate, to alleviate poverty.

Our Point of Difference

• Our Ability to acquire, explore and develop mining projects in Southern Africa.

• Our Ability to raise the necessary finance in South Africa and North America.

• Our Management’s Ability to successfully convert projects. • Our comprehensive geological database.

Management

Bongani Mtshisi – Chief Executive Officer

Bongani is a Mining Engineer who started his career at Anglo Platinum. He subsequently joined De Beers where he rose to Site Manager of the Oaks Mine and later worked for Af Lease/ SXR. He holds a Diploma in Metalliferous Mining and a Certificate in Project Management.

Thapelo Mokhathi – Executive Director

Thapelo holds a degree in Cost and Management Accounting and Executive Program in Mining and Minerals (Wits). He started his career in the mining industry at Impala Platinum as a Shaft Cost Accountant at Implats 10 Shaft and later at Barplats Division. His responsibilities included Capital Budgets, Forecasts and Management Reports. Thapelo is responsible for the administrative and financial management of BSC.

Lazarus Nekhondela – Executive Director

Lazarus is a CA (SA) with extensive experience in Treasury and Merchant Banking, having worked and headed finance departments in Eskom, Gensec Bank as well as at ABSA Corporate and Merchant Bank. Lazarus is responsible for deal structuring and BSC’s overall financial strategy.

Anton Hugo – Executive Director

Anton has a background in institutional fund management, having managed portfolios at Old Mutual, Coronation Holdings, the NUM linked Mineworkers Investment Company and Blue Bay Fund Managers. He has actively followed mining investments for 20 years. Anton is responsible for BSC’s capital raising and investment strategy.

Louis Selekane – Non Executive Chairman

Holds a BSc (Hons) in Geology and a Master in Business Leadership (MBL) from Unisa. Louis has extensive experience in the mining industry and amongst others worked as an Exploration Geologist for AngloGold for 10 years. He is the CEO of the South african Diamond Board and while at the DME was closely involved in drafting the new legislation on mining rights. Louis is BSC’s Non Executive Chairman and oversees the corporate governance and strategic direction of the company.

Darryl Levitt – Company Secretary

Is a Canadian legal practitioner operating in both Canada and South Africa. He has extensive experience in listing South African exploration assets on the TSE, such as Pelawan (Anooraq) and more recently First Uranium and Homeland Energy. His consultancy emphasizes on mining and Black Economic Empowerment (BEE) as well as Reserve Bank liaison.

MUSINA PROJECT

Musina Cu Project Locality Map

Musina Cu Project

• 750 000t of Cu have been refined from 45Mt of ore over the ~ 100 year life (1905 1993) of the Musina Cu mine.

• The ore originated from hydrothermal fluids which formed breccia bodies intermittently over the 15 km strike length of the Musina fault.

• Technology could not previously extract Cu from the oxides and some of the sulphides have been left un-mined leaving potential Cu resources for BSC to evaluate.

• The team currently working on the project includes: • • • Danie Kirsten – previously the General Manager of Musina with a cumulative total of 31 years involvement with the project.

Derrick Dicks – previously the Musina Group Chief Geologist. He has a total of 28 years experience of which he spent 8 years as the Resident Geologist at Musina.

Dr. John Wegener – previously the Musina Group Chief Metallurgist and has 24 years experience on the Musina Cu mines.

Target Estimated In-situ tons

252,000 Esperanza Oxide Cap Harper Mine Oxides Harper Mine Sulphides Digby Shaft Oxides Digby Shaft Sulphides No14 Workings Oxides No 2 Workings Oxides Reggie & Watson Lodes-oxides Molly Too Shaft Oxides Molly Too Shaft Sulphides

Total

90,000 228,000 55,000 80,000 30,000 1,200 30,000 80,000 200,000

1,046,200 Estimated Cu grade

1.36 % total Cu 1.02% oxide Cu 1.4% total Cu 2.0% total Cu 1.5%Cu 1.5% Cu 1.4% Cu 1.3%Cu 1.2%Cu 1260 4560 825 1200 420 156 360

Tonnes metal Cu contained

3427

Musina Cu Project Anticipated Resources (Not Code Compliant)

1.3%Cu 2.5%Cu

1.74%Cu

1040 5000

18,248

Musina Cu Project Molly Too Shaft

Summary table 5 m @ 2.41% Cu (330 – 335 m) 5 m @ 12.62% Cu or 15 m @ 4.9% Cu (422 – 437 m) 10 m @ 1.09% Cu (190 – 200 m) 2 m @ 1.3% Cu (225 – 227 m)

Musina Cu Esperanza Oxide Cap

0m 20m Mined-out sulphides Oxide Cap 100m Borehole traces of proposed holes to evaluate oxides 200m

BURGERSFORT PROJECT

Burgersfort Ni-Cu-PGE Project Locality Map

Project Area ~ 250 km NE of Johannesburg

Burgersfort Ni-Cu-PGE Project Geology Map

Ni-Cu Sulphide Showing Marginal Zone Bushveld Igneous Complex Lower Zone

MD12 –1,42% Ni over 7,62 m MD12B – 0,76% Ni over 10 m

BSC Resources Permit Areas

Target modelled on the Nkomati Ni mine

Airborne electromagnetic Anomalies Ni-Cu Sulphide Showing

Burgersfort Ni-Cu-PGE Project Work Programme

Falconbridge airborne electromagnetic anomaly Areas of detailed (25 * 25 m) soil sample grids Ground geophysics traverse lines (Induced Polarisation and electromagnetic surveys) Falconbridge airborne electromagnetic anomalies Regional soil traverses conducted on 100 m spaced lines and 25 m station spacing across entire property

Burgersfort Ni-Cu-PGE Project

(Photo of Rd running through the northern grid – looking west towards the hills of the Bushveld Complex) • • To date ~3 000 soil samples have been collected over the northern grid.

Ground geophysics (electromagnetics (EM) and induced polarisation (IP) has been completed over the northern grid (results from the contractor still pending).

• The work programme for 2009 will include: • • • • Collecting ~6 000 soil samples over the southern grid.

Collecting 23 500 samples over the 5 southernmost farms Conducting ground geophysics (EM and IP) over the southern grid.

Collating all data and drill testing worthy targets.

Insizwa Project Locality Map

Insizwa Project Geology Map

Widespread distribution of sulphides Easily accessible - N2 highway runs through property 0.15% Ni; 0.24% Cu 2.53% Ni; 1.22% Cu 1.69% Ni; 0.84% Cu 5.71% Ni; 5.66% Cu 0.5% Ni; 0.45% Cu WG: 12.09% Ni; 11.16% Cu 0.46% Ni; 0.35% Cu

Insizwa Project Conceptual Targets

APPROXIMATELY 7 KM

View looking west at the Insizwa Lobe showing approximate position of the mineralised footwall contact in red ~ 5 km Deep seated massive sulphide accumulation expected to be close to mouth of feeder dyke –

Target B

Theory is that sulphides formed at depth and have been brought up with the magma Peripheral disseminated and possibly massive sulphides –

Target A

Theoretical Cross-Section

Insizwa Project Work Programme

Target A Target A Coincident Ni and Cu anomalies above mean plus two std deviations from the Ndzongiseni Area Ndzongiseni Area

Soil Samples Cu

Insizwa Project Work Programme

Soil Samples Ni Target A Coincident Ni and Cu anomalies above mean plus two std deviations from Waterfall Gorge Area Waterfall Gorge Area

Insizwa Project Work Programme

Target A

Insizwa Project Styles of Mineralisation

Blebby Sulphides Target A Massive Sulphides

0

Disseminated Sulphides

10 km

Insizwa Project Selected Borehole Intersection Results

Borehole ID

WG6D WG6E WG6H WG6I WG6K WG4D WG4E WG4K Raise 3

Length of Intersection (m)

20.00

15.13

25.60

11.63

16.68

5.50

1.57

3.35

40.00

Ni %

0.54

0.50 0.43

0.43

0.44

0.50

0.55

0.62

0.41

Cu %

0.53

0.49

0.49

0.39

0.43

0.52

0.32

1.30

0.35

Pt; Pd + Au g/t

1.02

0.79

1.01

0.88

0.56

0.06

0.67

1.94

0.26

Target A

Insizwa Project – Potential Locality of Feeder Dyke for Target B (Massive Sulphide)

Target B 10 km 5 km

Target B Insizwa Project – Potential Locality of Feeder Dyke for Target B (Massive Sulphide)

COAL PROJECTS

Kwa-Zulu Natal Coalfields

Top Seam 0.5 – 5m Bottom Seam 0.5 – 1.3m

14m Alfred Seam >3.8m

Gus Seam >3.3m

17m 15m Dundas Seam >2.6m

Coking Seam >1.5m

Alfred Seam >1.5m

Gus Seam >2m Upper Dundas Seam >1m Lower Dundas Seam >2.5m

Coking Seam >1m Upper Seam Main Seam >17.8m (Economic) Lower Seam

Klip Rivier

Coalfield 30-32 MJ/Kg 1.0-1.3% H 2 0 10-11% Ash 6-24 % VM 1.9% S

Utrecht

Coalfield 20-32 MJ/Kg 1.3-3.7% H 2 0 9-24% Ash 5-31 % VM 0.5-1.8% S

Vryheid

Coalfield 28-33 MJ/Kg 1.0-2.0% H 2 0 7-17% Ash 9-25 % VM 0.7-1% S

Somkele

Coalfield ~33 MJ/Kg 1.0-2.0% H 2 0 ~7% Ash ~5 % VM ~0.7% S

Coal Quality Requirements

Consumption Sectors Coal Type

Power Stations Petrochemical Metallurgical Industries Domestic (Small industries and househoolds Exports Bituminous Bituminous Anthracite Bituminous Anthracite Bituminous Anthracite Metallurgical Bituminous Steam Bituminous

CV MJ/Kg

20.71

21.34

32.06

29.76

29.40

27.32

30.92

31.04

27.71

%H₂O

3.70

4.80

2.30

2.50

2.60

3.10

2.30

2.60

3.00

%Ash

30.10

25.80

7.70

10.70

15.20

14.20

11.00

7.50

13.30

% VM

22.50

22.30

5.50

31.60

7.00

26.60

7.00

31.70

26.60

%S

0.97

0.97

0.74

0.81

0.98

0.72

1.06

0.57

0.61

BSC Permit Areas within the Kwa-Zulu Natal Coalfields (6 granted, rest still under application)

BSC Project Overview

2 Ni-Cu-PGE Projects

Insizwa

– 7 km strike length of sulphide showings - potential for several disseminated sulphide deposits as well as a large, massive sulphide deposit.

Burgersfort

– 2 sulphide showings, historic borehole intersection of 1.42% Ni over 7.62 m, 3 “high quality – according to Falconbridge geophysicist” EM conductors. Anticipate drill testing these by July next year after completing soil sampling and ground geophysics.

1 Cu Project

Musina Cu

- 15 km strike length with 6 sites of oxide and sulphide resources – anticipated total resource of 1Mt @ ~1.75% Cu. Currently capturing hard copies digitally to create wireframes – anticipate drilling targets early in 2009.

Numerous Coal Projects

Large land holding in area of structurally complex yet high quality coal with extensive historical dataset available. Anticipate first drilling to start in early 2009.

2009 Objectives

• BSC is seeking a partner to co-invest alongside it, as it advance its current projects to a bankable phase.

• BSC will capital on the 2009 deadline by acquiring producing assets from the majors that are under pressure to convert for their rights.

• To be a first mover in the “BEE” space by using our managements ability to convert projects and ability to raise the necessary capital to advance our projects.

BSC RESOURCES – POSITIONED TO DELIVER

Contacts

Contact Details: Bongani Mtshisi Block C LaRocca Office Park 321 Main Road Bryanston 2191 Tel: +27 (0)11 463 4779 Fax: +27 (0)11 463 4792 [email protected]