AIM Ticker ZRL ASX Ticker - ZRL. Investor Briefing - Melbourne May 10 th Africa s most active exploration company

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1 AIM Ticker ZRL ASX Ticker - ZRL Investor Briefing - Melbourne May 10 th 2008 Africa s most active exploration company

2 Disclaimer The information contained in this presentation is subject to updating, completion, revision, further verification and amendment without notice. This presentation does not constitute, or form part of, any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any shares in Zambezi Resources Limited ( ZRL ), nor shall it (or any part of it) or the fact of its distribution, form the basis of, or be relied on in connection with, or act as an inducement to enter into any contract or commitment therefore. No representation or warranty, express or implied, is made or given by or on behalf of ZRL, any of ZRL s directors, or any other person as to the accuracy or completeness or fairness of the information or opinions contained in this presentation and no responsibility or liability is accepted by any of them for such information or opinions or for any errors, omissions, misstatements, negligent or otherwise, or for any communication written or otherwise, contained or referred to in this presentation. Accordingly, neither ZRL nor any of the ZRL directors, officers, employees, advisers, associated persons or subsidiary undertakings shall be liable for any direct, indirect or consequential loss or damage suffered by any person as a result of relying upon the statement or as a result of any admission in, or any document supplied with, this presentation or by any future communications in connection with such documents and any such liabilities are expressly disclaimed. The information in this report that relates to exploration results is based on information compiled by Business Development Manager Fergus Jockel BSc (Hons), who is a full-time employee of Zambezi Resources, and a Member of the Australian Institute of Geoscientists. Mr Jockel is a Competent Person as defined in the December 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code) and consents to the inclusion in the report of the matters based on the information in the form and context in which it appears. Slide 2

3 Zambezi - The Investment Opportunity THIS PRESENTATION Copper Fundamentals Strong Zambezi Strategy Zambezi s Projects Cheowa (Cu-Au) Kangaluwi (Cu) Joint Ventures (U) Conclusion Slide 3

4 Fundamentals for Copper are good Extracted from presentation at 7 th Wold Copper Conference, Santiago, Chile, April 2008 by Allan Trench Slide 4

5 Zambezi Strategy - Corporate Profile Business Focus Other Investments and JVs Country of Operation Directors NOMAD: UK Brokers Issued Capital Options & Warrants Market Capitalisation (1) Cash (2) Copper & Gold Exploration & Development Uranium JVs with Rio Tinto PLC and Lithic Metals & Energy (AIM:LMY); 17.5% of LMY valued at US$2.7m (1) Zambia & Mozambique (<5%) Chairman Brian Rear Managing Director Julian Ford Ex.Dir. Exploration Geoff Johnson Non-Exec Director Jeremy Wrathall Grant Thornton: Evolution Securities 188,185,279 12,250,000 ~A$54 million ( 25 million) 4.5 million, (A$9 million) Note 5 May 2008 Note 2) Based on Q1 2008, ASX report Slide 5

6 Zambezi Strategy: People - Directors Mr Brian Rear - AWASM, MSc (London), DIC; MBL (South Africa) Non-Executive Chairman, Australian. Mr Julian Ford - B.Sc Chem Eng, B. Comm, Grad.Dip.Bus.Man Managing Director, Australian. Dr Geoffrey Johnson - B.Sc (Hons), PhD (Geology), Grad. Dip. Env. Sc. Exploration Director, Australian. Mr Jeremy Bruce Earl Wrathall - B.Sc (Min.Eng) Non-Executive Director, British. Mr Willie Sweta - M.Sc. (Met), Dipl (Min. Eng) Executive Chairman, Mwembeshi Resources (Zambian operational company), Zambian. Slide 6

7 A World Class Copper Province Slide 7

8 Mineral Endowment Southern Africa Slide 8

9 Mineral Endowment Zambia & DRC Slide 9

10 Zambia Exceptional Mineral Endowment Slide 10

11 Project Location in Zambia Slide 11

12 Zambezi Strategy - Summary Copper+/or Gold Projects in Southern Africa Multiple Projects Joint Venture Partners Effective Exploration Exploration Capacity & Expertise People: 25+ Geologists State of the art exploration methods utilised, e.g. VTEM Drill Rigs 3 contracted companies 100,000m drilled in Rigs contracted for 2008 Slide 12

13 Joint Ventures Key Part of Company Strategy Slide 13

14 Cheowa Project (Glencore JV - 51%) Slide 14

15 Cheowa Project (Glencore earning 51% Interest) Glencore Earning a 51% Interest at Cheowa by funding the first phase of exploration for US$10 million Additional JV on Chongwe Copper Belt ( CCB ) where Glencore are spending US$6 million Both JV s will be combined into single JV. Project Milestones Scoping Study, Q no technical fatal flaws Wet Season Drilling, Q1 2008, Helicopter Supported Drill Program completed ahead of schedule Pre Feasibility Study, Q Slide 15

16 Cheowa Project Plan View Slide 16

17 Cheowa Long Section Slide 17

18 Cheowa Summary Inferred Resource as at Dec 2007; 1.05% Cu & 0.22g/t Au over 1.2 kms of strike at CC2. Drilling continuing through the wet season demonstrates JV parties commitment to the project. Glencore will meet 51% commitment by Sept Q Mineralisation identified at CC10, CC12 & CC13 (Eastern Conductors); and at depth at CC2. PFS on schedule to be completed by June Fast track development decision by Dec 2008? Slide 18

19 Kangaluwi Project 100% ZRL Slide 19

20 Kangaluwi Project Geochemical Targets Slide 20

21 Kangaluwi Project 2008 drilling Slide 21

22 Kangaluwi Project Cross Section E Slide 22

23 Kangaluwi Project Cross Section E Slide 23

24 Kangaluwi Summary Zambezi believes it has identified a significant new copper camp. Six copper projects identified by soil sampling so far. Only one prospect (Kangaluwi) substantially tested, representing <5% of potential copper mineralisation. >100,000 metres of drilling planned for 2008 field season, already commenced. Zambezi in negotiation with potential JV partners. Slide 24

25 Project Generation Other Projects Slide 25

26 Zambezi Record - Managing Political Risk 2005 HIV/AID s management Community involvement Stakeholder engagement 2006 African Emerging Mining Conference at Livingstone Adopted Enduring Values 2007 Formed Association of Zambian Mining Exploration Companies (AZMEC) Zambia Wins Mines & Money s Country Award 2008 Dealing with new Zambia Tax Laws Dealing with the new Zambia Mines Act Conservation partnership(s) Slide 26

27 Zambezi Summary Strategy Focused on Cu & Au exploration and mine development in Zambia. Manage & Control Projects More Joint Venture Funding Diversify Country Risk Priority Projects Multiple Projects: Cheowa & Kangaluwi Cheowa Development Decision & Glencore JV Kangaluwi JV Partners & Major Drill Campaign Two Uranium JVs (managed by third parties) Project Generation Airborne Magnetics just completed Heliborne VTEM (May/June 2008) A number of new, large copper systems being prioritised for Slide 27