First Quarter 2012 Conference Call & Webcast

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PRODUCING

AND

EXPLORING

Q1 2012 WEBCAST

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CAUTIONARY STATEMENT

This presentation contains forward looking information, within the meaning of applicable Canadian securities legislation, and forward looking statements, within the

meaning of applicable United States securities legislation, which reflects management’s expectations regarding Teranga Gold Corporation’s (“Teranga” or the

“Company”) future growth, results of operations (including, without limitation, future production and capital expenditures), performance (both operational and

financial) and business prospects (including the timing and development of new deposits and the success of exploration activi ties) and opportunities. Wherever

possible, words such as “plans”, “expects”, “does not expect”, “budget”, “scheduled”, “estimates”, “forecasts”, “anticipate” or “does not anticipate”, “believe”,

“intend” and similar expressions or statements that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, have

been used to identify such forward looking information. Although the forward looking information contained in this presentation reflect management’s current beliefs

based upon information currently available to management and based upon what management believes to be reasonable assumptions, Teranga cannot be certain

that actual results will be consistent with such forward looking information. A number of factors could cause actual results, performance or achievements to differ

materially from the results expressed or implied in the forward looking information, including those listed in the “Risk Factors” section of Teranga’s Annual

Information Form , dated March 28, 2012 (the “AIF”). These factors should be considered carefully and prospective investors should not place undue reliance on

the forward looking information. Forward looking information necessarily involves significant known and unknown risks, assumptions and uncertainties that may

cause Teranga’s actual results, performance, prospects and opportunities in future periods to differ materially from those expressed or implied by such forward

looking information. Although Teranga has attempted to identify important risks and factors that could cause actual actions, events or results to differ materially

from those described in the forward looking information, there may be other factors and risks that cause actions, events or results not to be as anticipated,

estimated or intended. There can be no assurance that the forward looking information will prove to be accurate, as actual results and future events could differ

materially from those anticipated in such statements. Accordingly, prospective investors should not place undue reliance on such forward looking information.

Teranga expressly disclaims any intention or obligation to update or revise any forward looking statements, whether as a result of new information, future events or

otherwise, except in accordance with applicable securities law.

Forward looking information and other information contained herein concerning mineral exploration and management’s general expectations concerning the

mineral exploration industry are based on estimates prepared by management using data from publicly available industry sources as well as from market research

and industry analysis and on assumptions based on data and knowledge of this industry which management believes to be reasonable. However, this data is

inherently imprecise, although generally indicative of relative market positions, market shares and performance characteristics. While management is not aware of

any misstatements regarding any industry data presented herein, mineral exploration involves risks and uncertainties and industry data is subject to change based

on various factors.

In addition, please note that statements relating to “reserves” or “resources” are deemed to be forward looking information as they involve the implied assessment,

based on certain estimates and assumptions, that the resources and reserves described can be profitably mined in the future. While management has confidence

in its projections based on exploration work done to date, the potential quantity and grade disclosed herein is conceptual in nature, and there has been insufficient

exploration to define a mineral resource, therefore it is uncertain if further exploration will result in the targets being delineated as a mineral resource.

This presentation does not constitute in any way an offer or invitation to subscribe for securities in Teranga pursuant to the Corporations Act 2001 (Cth) and has

not been lodged with the Australian Securities and Investment Commission.

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2012 Q1 WEBCAST

Alan R. Hill Chairman & CEO

Richard Young President & CFO

FOCUSED

ON GROWTH

FOCUSED ON:

GROWING

RESERVES

GROWING

PRODUCTION

FINANCIAL

STRENGTH

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OPERATING HIGHLIGHTS

Q1 2012

• 41,904 oz’s produced

• 22% higher than Q1 2011


• 35,268 oz’s sold at cash cost of $673/oz

• Cash cost 17% lower than Q4 2011

• Mill expansion tie-in reduced

capacity to pour gold

• Increase to gold in circuit / gold

bullion inventory to 13,262 oz’s

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Q1 2012

• Total tonnes mined 7% higher than Q1

2011

• Improved productivity and

efficiency in mining operations

• Drilling and loading – 3 new blast

hole drill rigs

• Two new Gora haul trucks in use

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Q1 2012

• Unit mining cost

• $2.50/t mined

• Mill throughput

• Harder ore

• Grades of 2.52 gpt grade

• Unit processing cost

• $17.20/t milled

Q2 2012

• Expect similar production to Q1

Guidance

• 210,000 – 225,000 oz’s at cash costs of

$600 - $650/oz

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Q1 2012:

• Revenue of $60.5M


• Higher realized gold prices

• All ounces sold in spot market

• $1,712/oz – average realized price

• Loss of $1.8M

• Capital expenditure planned for 2012

expected to be $50M

• ~$25M remains to be spent in 2012

FINANCIAL HIGHLIGHTS

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Cash position*:

• $14.8M at March 31, 2012

• Sufficient cash + expected future cash

flows + ability to modify hedge deliveries

support minimum liquidity requirements

• Additional flexibility – deferred delivery of

28,000 oz’s due in Q1 to second half 2012

• Rebuild cash balance

• Maintain cash balance of ~$20M

• 2012 to deliver 108,500 oz’s into hedge

book

• Year end balance expected to be

66,000 oz’s


*Cash and cash equivalents, including restricted cash

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FOCUSED ON BUILDING

FINANCIAL STRENGTH

• Rising production, lowering costs

• Improved cash margins

• Expect to increase cash balance throughout

2012

(1) Assumes $1600/oz gold price and cash cost of $625/oz

*Excluding Mine License exploration costs

Rate of margin expansion is a function

of increasing production through regional

exploration success

*After eliminating hedge position

0

200

400

600

800

1000

1200

2011 2012 2013* 2014

Cash Margin ($/oz)(1)

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Potential debt facility

• Provide working capital cushion

• Expand mining fleet to increase production

rate

• Accelerate Mine License exploration

• Conversion of resources to reserves


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• Senegalese elections

• Smooth democratic process

• New President – supportive of mining industry

• Previously served as President of National Assembly, Prime Minister, and

Minister of Mines

• Teranga to work in Partnership with Senegal to help address Senegal’s

immediate financial needs

GOVERNMENT

RELATIONS

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• New mill and downstream plant

commissioned in April

• Completion scheduled for end of Q2

• Secondary crusher

• New stockpile/reclaim facility

• Full capacity scheduled for end of Q2

MILL EXPANSION

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SABODALA MINE LICENSE

EXPLORATION

Q1 Highlights:

• $7.1M spent in Q1

• 25,000m RC/DD drilling

• Intersections of significant widths of high grade

mineralization outside Sabodala ultimate pit

• Part of Main Flat Extension (MFE) drill program

• Lead to an expansion of final pit design and

increased reserves

• Drilling of MFE and Lower Flat Zone (LFZ) confirm

the continuation of the mineralized zone with further

drilling planned

• MFE and LFZ remain open down plunge and

to the northwest

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MINE LICENSE EXPLORATION

Main Flat Extension / Lower Flat Zone (“MFE/LFZ”) – program:

• Convert inferred resources north of current

ultimate pit

• Extend MFE zone M&I down dip to the west (1)

• Additional deep drilling to develop LFZ mineable

resource to depth

• Test for extensions of the LFZ to the east

• Test for parallel zones beneath the Sabodala pit

Full drill results are posted at terangagold.com

(1) MFE - open pit mineable gold inventory at an average grade between 1.5 – 2.0 gpt, LFZ potentially a

similar amount to lower/underground at an average grade between 3.0 and 4.0 gpt, in 2012.

This “exploration target” is not a Mineral Resource. While management has confidence in its projections based

on exploration work done to date, the potential quantity and grade disclosed herein is conceptual in nature,

and there has been insufficient exploration to define a Mineral Resource. It is uncertain if further exploration will

result in the determination of a Mineral Resource.

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FOCUSED

ON GROWTH

FOCUSED ON:

GROWING

RESERVES

MINE LICENSE EXPLORATION – SABODALA PIT

Q1 2012

• 9,500m drilled at Sabodala

• Primarily MFE

• Recent results include:

• 43m at 2.4 gpt from 123m

• 19m at 2.5 gpt from 177m

Deeper (~300m level):

• 12m at 7.5 gpt

• 29m at 3.6 gpt

• 11m at 4.2 gpt

• New open pit objective (MFE/LFZ) by mid-year

2013

• To add 500,000 – 1,000,000 oz’s* (1)

• At grades of between 1.5 to 2.0 gpt to gold inventory

(1) Proximate Statement: This “exploration target” is not a Mineral Resource. While management has confidence in its projections

based on exploration work done to date, the potential quantity and grade disclosed herein is conceptual in nature, and there has

been insufficient exploration to define a Mineral Resource. It is uncertain if further exploration will result in the determination of a

Mineral Resource.

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Sabodala Pit

Masato Extensions

Sambaya Hill

Masato Down Dip

MINE LICENSE EXPLORATION – MASATO

2011

• Confirmed strike length of 500m and dip extent of

200m

Q1 2012

• Strike length extended to 1,600m and dip extent

expanded to 300m

• Masato remains opens to depth and along strike

• Drill testing in both directions

• 10,000m drilled, assays being compiled, geologic

interpretation in progress

2012 Objectives

• Infilling 200m x 500m zone identified in 2011 in

preparation for resource estimate

• Further definition drilling on the high grade pod of

gold mineralization

• Locate southern extension of Masato that strikes

toward our ML


Main Flat Extension

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MINE LICENSE EXPLORATION – NIAKAFIRI

• Deposit remains open at depth

• Drilling planned for second half of the year pending

community discussions

• Expect gold inventory to increase


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• Infill and extending the current resources

• Separated by 500m of undrilled strike length

• Soukhoto drilling is scheduled to begin in Q2

• Updated resource expected at end of year


SOUKHOTO

NIAKAFIRI WEST

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Located 1 km north of Niakafiri, 1 km south of

Sambaya Hill and on the Niakafiri shear system

Q1 2012

• 600m of drilling

• With new information, plan to drill but also

reinterpret previous drilling

• Potentially add gold inventory in 2012


DINKOKHONO

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FOCUSED

ON GROWTH

FOCUSED ON:

GROWING

RESERVES

MINE LICENSE EXPLORATION - 2012

• Minimum 8 drill rigs testing targets

• 2012 Budget of $20M

• 77,000m RR/DD drilling

• 10 drill rigs currently operating

• 8 DD rigs

• 2 RC rigs

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35 km radius

1. MINE LICENSE EXPLORATION 2. REGIONAL EXPLORATION

33km2 1,465km2

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REGIONAL EXPLORATION

• 1,465km2 Regional Land Package

• ~40 drill targets to be drill tested in

2012/2013

• All truckable to mill

• Further 20 targets to be evaluated

with surface sampling or trenching

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Q1 2012 – REGIONAL EXPLORATION

• 4 rigs

• RAB – 31,500m

• RC – 26,000m

• RC focused on Tourokhoto, Saiensoutou,

Jam, KB

• DD – 2,400m

• Several RAB programs

• $8.5M spent during Q1

• Including $1.6M for Gora

• 2012 Budget of $20M

• 90,000m RC/DD

• 140,000m RAB

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TOUMBOUMBA – NEWEST TARGET

• Shear vein system, potential for a small, oxide

deposit

• Located 10 km from the Sabodala mill

• 18 close trending gold anomalous zones identified

from RAB drilling during 2011

Q1 2012 • Potential for near surface oxide deposit on main

Toumboumba mineralized zone

• In April, commenced a 10,000m RC program on a

25m x 25m grid

• Numerous high grade intersections including

4m at 33.9 gpt

• At minimum, potential for economic mill feed


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Q1 2012

• RC program

• 50 holes, 10,000m completed

• Confirmed several zones of sub-parallel

mineralization with results up to 2m at 4.5 gpt

• Also wider zones at lower grades

• Majority of samples pending

TOUROKHOTO

Sabodala Ore Body


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DIEGOUN NORTH – “THE DONUT” Q1 2012

Cinnamon – northern portion of Donut

• 14 RC holes, 2,500m

• Encouraging results at >0.2 gpt gold level

• Many samples, assays pending

Jam – southern portion of Donut

• 14 RC holes, 2,700m, 9 DD holes, 2,100m

• Designed to test NW trending structures defined

and follow-up on previous anomalous RC holes

• Additional 13,000m of RAB drilling completed

• Awaiting final assay

Sabodala Ore Body


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SUMMARY – FOCUSED ON DELIVERING

• Growing production

• Reducing costs

• Executing on our vision to grow the company

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PRODUCING

AND

EXPLORING

Q1 2012 WEBCAST

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COMPETENT PERSONS STATEMENT

The technical information in this presentation that relates to mineral resource estimates within the Mining License is based on

information compiled by Mr. Bruce Van Brunt, who is a Fellow of the Australasian Institute of Mining and Metallurgy. Mr. Van Brunt is

a full time employee of Teranga and not independent. Mr. Van Brunt has sufficient experience relevant to the style of mineralisation

and type of deposit under consideration and to the activity he is undertaking to qualify as a "Competent Person" as defined in the

2004 Edition of the “Australasian Code of Reporting of exploration Results, Mineral Resources and Ore Reserves”. Mr. Van Brunt is a

"Qualified Person" in accordance with National Instrument 43-101 and he consents to the inclusion of this information in the form and

context in which it appears in this announcement.

The technical information in this presentation that relates to the exploration results and targets within the regional exploration program

are based on information compiled by Mr. Martin Pawlitschek, who is a member of the Australian Institute of Geoscientists. Mr.

Pawlitschek is our full time employee and is not “independent” within the meaning of National Instrument 43-101. Mr. Pawlitschek

has sufficient experience relevant to the style of mineralization and type of deposit under consideration and to the activity he is

undertaking to qualify as a Competent Person as defined in the 2004 Edition of the “Australasian Code for Reporting of Exploration

Results, Mineral Resources and Ore Reserves”. Mr. Pawlitschek is a “Qualified Person” in accordance with NI 43-101 and he

consents to the inclusion of this information in the form and context in which it appears in this offering memorandum.

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First Quarter 2012 Conference Call & Webcast

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