December 2010

Developing Copper, Zinc and Gold Deposits in Eritrea, East Africa

2

Sunridge Gold – Highlights

The Asmara Project in Eritrea hosts four deposits, three of which, Emba Derho, Adi Nefas and Debarwa, have combined TSX 43-101 approved Indicated resources totaling:

• 1.28 billion lbs (580,000 tonnes) copper

• 2.5 billion lbs (1,130,000 tonnes) zinc

• 1.05 million oz gold

• 31.8 million oz silver

In addition a fourth deposit, the Gupo Gold deposit, contains an Inferred resource of 189,000 ounces of gold.

3

Sunridge Gold – Highlights

• Feasibility underway at Debarwa. Option to mine and direct ship 18-20% copper material being studied.  Estimated capital cost of “DSO” mine ~$15 million

• Prefeasibility Study on Northern Deposits (Emba Derho, Adi Nefas, Gupo, and overlap on Debarwa) deposits early in 2011

• Definition drilling begun at Debarwa. Expansion drilling to start at Emba Derho and Adi Nefas in January 2011

• Expansion drilling scheduled for late 2010/early 2011 at Adi Nefas and Debarwa

• “De-riskification” of region continues – Bisha Mine on track for com-missioning late 2010

• Discovery of potential new VMS district in Madagascar – drilling to begin in spring 2011

• Well funded to complete all studies and exploration work over next couple of years – over $28 million in treasury

4

Eritrea and the Asmara Project

ERITREA LOCATIONS

Asmara

MassawaBisha

Hambok

Zara

Asmara Projects

Eritrea

38°E

16°NRed Sea

Sunridge Gold VMS/Gold Projects ~ 800 sq kmOther VMS/Gold Projects

5

Eritrea

• Population approx 4 million, largely subsistence agriculture

• Asmara considered one of the most beautiful and safest cities in Africa

• Mining code based on Northern Territory, Australia

• Business conducted in English

• Asmara Project located on excellent infrastructure; paved roads, grid power, rail and road to Port of Massawa, and good water supply for future mining operations

6

Eritrea – New World Class VMS and Gold Mining District

Changing landscape of Eritrea – “De-riskification”:

• Nevsun’s Bisha Mine scheduled for commissioning in Q4 2010 and production in Q1 2011

• Enamco (government mining company) has completed all their jv financial requirements to date with Nevsun

• Majors enter Eritrea with Antofagasta Minerals, Lundin Mining, and Thani Ashanti signing jv and/or option agreements

• Barrick Gold – looking for opportunities

Asmara Project – Three Main Focus Areas

Antofagasta-Sunridge Exploration Area:

-Antofagasta funding exploration drilling on new targets

Northern Projects:

- Emba Derho, Adi Nefas, and Gupo Gold- 100% Sunridge Owned-Positive Scoping Study Complete at Emba Derho-Coming! Prefeas/Feasibility Studies 2011

Debarwa Copper-Zinc-Gold VMS Deposit:

- 100% Sunridge Owned- New! Updated resource estimate underway- New! Feasibility has begun

7

8

Debarwa Deposit

Feasibility Study now underway at Debarwa copper-gold-zinc Project with objective of fast tracking to production by direct shipping of high grade copper material (18-20 % Copper).

100% Sunridge Owned

Debarwa high-grade copper-zinc-gold VMS deposit – 100 % Sunridge Owned

Highlights of copper-gold intercepts in the copper supergene zone:

•D-005 20.36 % Cu, 2.18 g/t Au over 13.00 m. •D-019 21.27 % Cu, 2.29 g/t Au over 9.80 m.•D-021-D 20.59 % Cu, 1.96 g/t Au over 11.30 m. •D-022-D 19.31 % Cu, 5.80 g/t Au over 7.0 m.•D-036-D 20.87 % Cu, 1.99 g/t Au over 11.00 m.•D-044-D 20.19 % Cu, 2.18 g/t Au over 6.05 m.

9

Debarwa Deposit

Zone Cut Off Million Tonnes Au g/t Ag g/t Cu%

Zn%

Oxide 0.5 g/t Au 2.442 1.71 13.79 0.12

0.09

Supergene 1% Cu 1.336 1.54 33.87 5.36

0.08

Primary 1% Cu 0.699 0.87 22.31 2.533.23

Totals 4.477

Debarwa Indicated Resources*

* Resource Estimate by MSA Geoservices (Pty) filed on SEDAR March 4,2008

open

North

open open

Direct shipment material (18-20% Cu)

1.4 km

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Debarwa Deposit: Section 99965N

17.16m @ 8.53 g/t Au20.1m @ 15.30% Cu, 9.69 g/t Au

10m @ 24.97 g/t Au

16.7m @ 8.02% Cu, 1.61 g/t Au, 35.81 g/t Ag

15.12m @ 4.42% Cu, 8.23% Zn, 2.00 g/t Au

18m @ 3.96% Cu, 5.48% Zn, 1.37 g/t Au

9m @ 3.15 g/t Au

Supergene Zone

Primary Zone

Gossan / Leached Zone

elev 1800m

elev 1850m

elev 1900m

DEBD-002

DEB

R-0

23

-D

DEBD

-029

DEBR-0

21-D

DEBR-0

50-D

DEBR-0

65-D

DEBD

-014

17m @ 12.33% Cu, 1.85 g/t Au

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Debarwa Project – Study Participants

• Feasibility Study awarded to SENET\AMC Consultants on the Debarwa Project, with completion (Final Draft Report) forecast in October 2011.

• Tailings Facility design by Knight Piésold; including water and hydro-geological studies.

• Blue Coast Metallurgical will design and supervise test-work and prepare flow-sheet(s) design.

• Lions Gate Geological responsible for geological model and resource estimate.

• Ongoing environmental baseline studies and social engagement program by Sunridge, Knight Piésold, and Global Consultants.

1212

Debarwa Feasibility Study Schedule

• Feasibility Study awarded to SENET/AMC. Study commenced November 2010

• November 2010 - Commenced 4,000 m drilling for metallurgical and structural analysis, resource definition and expansion

• February 2011 - Final resource model

• May 2011 - Metallurgical parameters and flow-sheet criteria

• June 2011 - Mine design and production schedule complete

• June 2011 - Decision to fast-track direct ship ore

• August 2011 - Finalized process plant design

• September 2011 - Preliminary Draft Report

• October 2011 - Final Report

• Completion of SEIA by late 2011

13

Northern Deposits

• Northern Deposits include 3 deposits 100 % Sunridge Owned:

Emba Derho – 62.5 million tonnes indicated resource containing 996 Mlbs Cu, 1,907 Mlbs Zn, 574,000 oz Au, 20 M oz Ag

Adi Nefas – 2.7 Mt (indicated) resource at 1.4%Cu, 8.4% Zn, 2.9 g/t Au, 99.3 g/t Ag

Gupo Gold - 189,000 Oz (inferred) at 2.99 g/t Au

• Positive Scoping Study at Emba Derho demonstrates strong economic potential with open pit mining plan

• Gold exploration potential at Medrizien Gold Target located 500 meters from Emba Derho

• Prefeasibility for Northern Deposits to commence February 2011

• Ideally located 15 km from Asmara on excellent infrastructure

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Northern Deposits

15

Emba Derho 43-101 Resource Wardrop, September 17, 2008

Summary of Indicated Mineral Resource

ZoneCut-off

Million

Tonnes

Copper %

Zinc%

Au g/tAg g/t

Gold Oxide0.2 g/t Au

3.510 - - 0.84 5.14

Zinc-rich1.0% Zn

20.545

0.28 2.35 0.39 12.13

Copper-rich

0.5% Cu

38.425

1.02 0.99 0.18 9.31

Total 62.48

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Emba Derho 43-101 Resource Wardrop, September 17, 2008

ZoneCut-off

Million Tonnes

Mlbs Cu

Mlbs Zn

KOz Au

MOz Ag

Gold Oxide Cap

0.2 g/t Au

3.510 5 3 94.8 0.58

Zinc-rich Primary

1.0% Zn

20.545 127 1,065 258 8.0

Copper-rich

Primary

0.5% Cu

38.425 864 839 222 11.5

Totals 62.48996

(450,000 tonnes)

1,907(865,000 tonnes)

574.8 20.1

Total Contained Metal at Emba Derho

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Northern Deposits – Emba Derho

Ideal for open pit mining

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Emba Derho 43-101 Resource Model

19

Emba Derho Scoping Study – Base Case

Completed June 2009 by Wardrop UK – Base Case Study:

• Open pit mining at 4 M tonnes per year for 10.4 years (42 Mt out of 62 Mt) - potential mine life extension

• Base Case IRR - 21.6%

• Initial estimated capital costs - US$331.8 M, sustaining capital US$67.3 M

• Base Case NPV -US$203.9 M at 10% discount rate pre-tax

• Produce 200,000 t of Cu & Zn concentrates annually containing 55,000 t Zn, 25,000 t Cu, 20,000 oz Au & 0.6 m oz Ag

• Total operating costs - US$21.19/tonne milled

Scoping Study – Sensitivity to Metal Prices

SENSITIVITY TO METAL PRICES

Base Case Prices5 Year Average

2 Year Average Price

Pre-tax NPV @ 10% US $ 203.9 323.8

IRR % 21.6 27.7

Pre-tax Payback Years 4.0 3.2

Mine Life Years 10.4 10.4

METAL PRICES

Copper US $ lb 2.50 2.95

Zinc US $ lb 1.00 0.95

Gold US $ oz 650.00 835.00

Silver US $ oz 11.00 14.00

Historical average metal prices sourced from London Metal Exchange as of June/09

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21

Emba Derho Optimization

Wardrop - opportunities for improving Emba Derho economics:

•Include 95,000 ozs Au @ 0.84 g/t from Oxide Gold Zone in pre-feasibility study

•Include Adi Nefas and Gupo Gold will be included in Prefeasibility Study

•Medrizien, compelling gold target , is located 500 meters away from Emba Derho and could add surface gold resources

•4,000 meters drilling at Gupo and 1,000 meters in initial drill program for Medrizien, fall 2010

•Steepen pit slope. A generic shallow pit slope (45 degrees) was used in scoping study

•Removal of ~20% internal waste with DMS system

 

22

Emba Derho Optimization

23

Northern Deposits – Adi Nefas

Zone Cut Off

Million

Tonnes

Au g/t

Ag g/t Cu% Zn%

Primary

2% Zn 2.73 2.85 99.30 1.39 8.38

INDICATED RESOURCES *

Adi Nefas and Gupo Gold are within 6 km of Emba Derho and will be included in future prefeasibility/feasibility studies at Emba Derho:

Adi Nefas:– high grade zinc-copper-gold VMS deposit.

* Resource Estimate by MSA Geoservices (Pty) filed on SEDAR March 4,2008

24

Northern Deposits – Gupo Gold

Gupo Gold Deposit:

•189,000 ounces gold grading 2.99 g/t gold in inferred category

•Gold cyanide extraction tests returned 95% to 98% gold recovery

•Gupo has the potential to be a low cost open pit gold mine which could contribute to start up operations for the northern deposits

•5,000 metre drill program to planned to upgrade resource to indicated category, determine continuity of deposit and test for extensions

25

Northern Deposits – Medrizien Gold

Medrizien Gold Prospect:

•Located 500 meters from Emba Derho Deposit on 100% Sunridge Owned ground

•Gold mineralization varies from 5 metres to 25 metres in thickness over 3.5 kms strike length

•65 rock grab samples taken over the strike length of the prospect, with 10 samples over 1.0 g/t Au averaging 12.13 g/t Au, highest assay being 74.7 g/t Au

•8 rock samples taken from old underground workings range from 0.14 g/t Au up to 319 g/t Au with an average of 51.32 g/t Au

•Initial drill program to commence December 2010

•Potential to add near surface resources to future mining operations at Emba Derho

26

Northern Deposits – Prefeasibility

Prefeasibility scheduled to begin on Northern Deposits early 2011:

•Study to assess Emba Derho, Debarwa, Adi Nefas as a group

•Study to include Gold Oxide cap at Emba Derho

•Trade off studies to include Debarwa, currently in Feasibility

•Study to consider steeper pit walls and DMS at Emba Derho

•To include upcoming drilling to expand Adi Nefas, Gupo, and initial drilling at Medrizien Gold prospect

27

Antofagasta – Sunridge Exploration Area

• Antofagasta Minerals S.A. signs strategic alliance agreement for US$10 M in exploration expenditures over five years for a 60% interest in the Exploration Area (October 2, 2009)

• Antofagasta invested US$5 M in private placement at $0.40 per share

• Sunridge will be operator until a total of US $7 M has been funded by Antofagasta

• Antofagasta may earn an additional 15% for a total of 75% interest by completing a feasibility study on any project within the Exploration Areas

• Exploration work funded by Antofagasta is ongoing on new highly prospective targets

28

Adi Rassi Copper-Gold Prospect

Adi Rassi:

• a potentially large new copper and gold zone discovery, July 2010

• Drilled over 500 meters along strike to date, zone remains open

Drill Highlights include: 

• AR-002D: 84 metres grading 1.32 g/t gold and 0.84% copper

• AR-003D: 25 metres grading 0.75 g/t gold and 0.54% copper

• AR-004D: 78 metres grading 0.22 g/t gold and 1.0% copper

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Adi Rassi

29

Madagascar – Besakoa Project

A New Emerging VMS District:• Similar to the initial exploration

data collected at both the Asmara Project and Nevsun’s Bisha Project in Eritrea

• Coincident surface gossans, strong soil and gravity anomalies, airborne EM conductors

• Identified on the project which represent the surface expression of VMS systems

• Over 10 strong copper, zinc, gold, and lead geochemical anomalies between 1 and 4 kilometres in length

• Numerous large (longer than 1 kilometre) strong gravity anomalies, coincident with elevated base and precious metal values

• Initial drill program planned for early 2011

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Madagascar – Besakoa Project

3131

SGC - Share Structure November 2010

Symbol: SGC/TSX.V Shares outstanding: 116,684,500Options: wt. avg = $1.25 9,238,500Fully diluted shares: 155,849,465Current cash: CDN$28 million

Market cap. Approx. $135 million

Antofagasta Mineral S.A. (Sierra Gorda Inv. Comp): 11.6%Lundin Mining: 7.4%

www.sunridgegold.com

3232

SGC – 5 Year Chart

33

Sunridge Gold Management

Michael Hopley – President/C.E.O.

David Daoud – Exploration Manager

Scott Ansell – VP Project Development

Don Halliday – Executive Vice President

Doris Meyer – CFO & Director

Greg Davis – VP Business Development

Amanuel Arafine – Eritrean Country Manager, Eritrea

Note: over 35 years combined experience in Eritrea

34

Sunridge Board of Directors

Michael Hopley – President/C.E.O. & Director

Doris Meyer – CFO & Director

Craig Angus – Director, Chairman

Ricardo Muhr – Director (VP - Mineral Resources Antofagasta Minerals S.A.)

Neil O’Brien – Director (Senior VP Lundin Mining)

Stephen Gatley – Director (GM, Lundin Mining)

Mark Corra – Director (CFO of B2 Gold)

Eric Edwards – Director

3535

Summary

• Exploration and development work on Asmara Project focused on 3 distinct areas:

1.Debarwa – Feasibility now commenced. Focusing on direct shipment of high grade copper (18-20% Cu) material

• Northern Deposits - Prefeasibility to begin 2011 Positive scoping study at Emba Derho with strong IRR and NPV, Drilling at Adi Nefas, Medrizien, Gupo Gold, Adi Nefas to begin December 2010,

1.Exploration Areas – Exploration drilling continuing on several targets

1.Discovery of potential new VMS district in Madagascar – drilling to begin in spring 2011

2.Management team has over 35 years of experience in Eritrea

• Excellent project infrastructure and strong government support

• Sunridge remains well funded

• Nevsun on schedule to begin mining at Bisha Q1 2011

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Regulatory Notes

All of Sunridge Gold’s exploration programs and pertinent disclosure of a technical or scientific nature are prepared by, or prepared under the direct supervision of Michael J. Hopley, CPG, Sunridge Gold’s President and CEO, who serves as the qualified person (QP) under the definitions of National Instrument 43-101.

Certain disclosures in this presentation, including management’s assessment of Sunridge Gold’s plans and projects constitute forward-looking statements that are subject to numerous risks, uncertainties, and other factors that may cause future results to differ materially from those expressed or implied. Readers are cautioned not to place undue reliance on forward-looking statements.