Deep Ocean Seafloor Mineral Extraction – The Dawn of a New Industry STAR SESSION 16 October, 2010

1. Deep Ocean Seafloor Mineral Extraction – The Dawn of a New Industry STAR SESSION 16 October, 2010

2. Forward Looking Information and Disclaimer • This Presentation may contain forward-looking statements within the meaning of the United States Securities Exchange Act of 1934 and forward-looking information within the meaning of applicable Canadian securities law. • Material forward-looking statements and forward-looking information include, but are not limited to statements or information with respect to the Company’s ability to locate, mine and transport ore from the seafloor; estimates of future production; the method of transport and amount of ore from the Company’s Solwara project; estimates of anticipated costs and expenditures; and development and production timelines. • We have made numerous assumptions about the material forward-looking statements and information contained herein, including those relating to: the future price of copper, gold, silver and zinc; anticipated costs and expenditures; and our ability to achieve our goals. Even though our management believes that the assumptions made and the expectations represented by such statements or information are reasonable, there can be no assurance that the forward-looking statement or information will prove to be accurate. Accordingly you should not place undue reliance on forward-looking statements or information. • Forward-looking statements and information by their nature involve known and unknown risks, uncertainties and other factors which may cause the actual results to differ materially from those described in forward-looking statements or information. "Risk Factors" are presented in the Company's most recent Annual Information Form, available on SEDAR (www.sedar.com). Except as required by law, we undertake no obligation to update forward-looking statements and information as conditions change. • No information in this presentation shall constitute an invitation to invest in Nautilus or any entities of the Nautilus Group. Neither Nautilus, nor any entities of the Nautilus Group, nor their respective officers, employees or agents, shall be liable for any loss, damage or expense however caused (including through negligence) which you may directly or indirectly suffer in connection with this presentation including, without limitation, any loss of profit, indirect, incidental or consequential loss. • This information is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information. • While efforts are made to keep the information in this presentation accurate and timely, neither Nautilus nor any of the entities of the Nautilus Group guarantee or endorse the content, accuracy or completeness of the information herein. You are referred to the Company's documents filed on SEDAR. • All graphics, effects, processes, information and data in this Presentation are owned or used under license by Nautilus. Any reproduction or dissemination, in whole or in part, is strictly prohibited.

3. Outline • Introduction • Approvals Process • International vs Local Perspective • Nautilus’ Leading Strategy • Concluding Remarks

4. Why Go to the Sea? Land-based mine Deep sea production High tech, high grade, low volume, low waste, small footprint • World’s demand for metals continues to rise • Every human activity impacts on the environment • Land resources are stretched • A new concept

5. Seafloor Production Makes Sense • Nautilus is the first company to commercially explore for Seafloor Massive Sulphide (SMS) deposits – HIGH GRADES of copper, gold, zinc & silver • Minimal overburden • Smaller physical footprint than land-based counterparts • Minimal social disturbance

6. Konos Introduction NEW IRELAND • First project: Solwara 1 • Bismarck Sea • 1600 m depth • 30 km from nearest coast • Small extraction area: 0.11 km2 BISMARCK SEA EL 1196 EL 1196 Namatanai EL 1374 EL 1374 MLA 154 SOLWARA 1 NEW IRELAND PROVINCE EAST NEW BRITAIN PROVINCE Rabaul Kokopo BISMARCK SEA NEW BRITAIN PAPUA NEW GUINEA LOCALITY MAP

7. Approvals Legal Social License

8. Legal Process • Mining Act 1992 • Governs the exploration, development, processing and transportation of minerals • Environment Act 2000 • Outlines environmental requirements of an activity • EIS  takes into account social considerations

9. What Makes Good Minerals Policy Framework? • Clear guidelines, timelines • Transparency • Consistency • Efficiency • Benefits justify risk(s) • Environmentally and Socially responsible • Economically viable • Independence of reviewers • Agreement from government and affected stakeholders • Provision for Adaptive Management

10. Social License to Operate • What are we seeking acceptance for? • Disaggregate seafloor material. • Transport the material to a ship. • Transport the material to market. Seafloor Production System Production Support Vessel (PSV) Production Support Vessel (PSV) Riser and Lifting System (RALS) Seafloor Production Tools (SPTs)

11. Nautilus Approach • Early, transparent and inclusive stakeholder engagement • Inclusive multi-stakeholder workshops • Communities • World-renowned experts • Government • NGOs • Ongoing Community Awareness and Consultations • Established CARES www.cares.nautilusminerals.com

12. Achieving Independence • Duke University • Scripps Institution of Oceanography • University of Toronto, Canada • WHOI • CSIRO, Australia • Hydrobiology, Australia • University of Papua New Guinea • Coffey Natural Systems, Australia • Rabaul Volcano Observatory, PNG • Asia Pacific Applied Science Associates (APASA), Australia • Australian National University • Curtin University of Technology, Australia • James Cook University, Australia • Charles Darwin University, Australia • Independent researchers • Freedom to publish • Independent reviewers • Transparency • EIS on website

13. Solwara 1: Defining Features • Small scale (0.11 km2) • Avoids land clearance activities compared to typical land-based mining • No construction of haul roads • Minimal overburden/waste removal • No chemicals, no blasting • Infrastructure can be relocated (mobile) • No direct impact to communities

14. Potential Impacts (note: cartoon only) International Focus

15. Limiting the Impacts • Reference Site (S Su) • Temporary Refuge Areas • Animal relocation • Artificial substrates Solwara 5 SOLWARA 1 North Su Solwara 9b Solwara 9a South Su Mining Lease Application MLA 154 EL 1196 Existing Exploration Licence

16. Potential Impacts (note: cartoon only) “Local” Focus

17. Coastal, Shallow- and Mid-Water Environment • Issues raised during previous community consultations: • Protect marine environments: • Reefs and fisheries • Whales, sharks and turtles • Nautilus response: • “Engineer out” impacts to surface waters: • No extraction impact shallower than 1300 m water depth at Solwara 1 (below where tuna, etc live) • Only impact to surface waters: presence of vessel, supporting vessels and riser pipe

18. Community Awareness Major focus

19. Consultation Methods Brochures Community Meetings Website Local presence/Community Relations Officer Posters Presentations www.cares.nautilusminerals.com

20. Delivering Community Messages Back to the Company Attendance Sheets Issues Register Action List

21. Training and Up-Skilling Employment • Currently ~20% of Nautilus full time employees – PNG Nationals (May 2010) • Nautilus’ ultimate goal is for project workforce to be PNG Nationals Supporting Education • Nautilus-Duke Opportunity Bursary • Training in state-of-the-art techniques under supervision of world renowned deep sea ecologists • Initiative short-listed for an Asian Mining Congress Sustainability Award

22. Concluding Remarks • Our Measure of Success • EIS reviewed, with commendation • EIS approved • Environment Permit granted • Continue to have positive relationships with local communities, governments and scientific community

23. Advantages to Seafloor Production Limited social disturbance Reusable infrastructure Increased worker safety Minimal overburden or stripping Minimal waste From 2006 Annual Report

24. A New Industry, Not Just a Project p nautilusminerals.com TSX & AIM : NUS Dr. Samantha Smith sls@nautilusminerals.com www.cares.nautilusminerals.com

26. Examples of Some of the Studies Conducted • Biology Studies: • Macrofauna (incl., DNA studies) • Benthic Habitat Assessment • Bioaccumulation • Bioluminescence • Existing Resource Utilisation • Hazard and Risk Assessment • Hydrodynamic Modelling: • Cutting • Dewatering • Noise and Light • Oceanography (12 mo) • Sedimentation Rates (24 mo, ongoing) • Sediment Chemistry • Video Survey (>100,000 obs) • Water Quality Additional objective: science will also benefit from additional deep sea studies conducted to obtain data for the EIS

27. Seafloor Communities – ACTIVE SITES Alvinoconcha sp. – aka “Hairy Snails” Infremeria nautilei – aka “Black Snails Eochionelasmus ohtai – “Barnacles 3 Main Habitat Zones at SW1 and SS

28. Seafloor Communities – DORMANT SITES Stalked barnacles Keratoisis Hydroids No significant difference between samples taken from Solwara 1 and South Su (reference site) with respect to the numerically dominant species

29. Project Advantages - PNG Advantages • Unutilised resource • Create jobs – multiplier effect, support industries • Skills and technology transfer • Low disturbance • Little disruption of land holders • Increased worker safety • Royalties and taxes • Education for PNG students (e.g. Duke bursary) • Community Development Fund (voluntary)

30. Limiting the Impacts • Filter water prior to discharge • Dewatering discharge – 25 to 50 m above seafloor • Fast turn-around time (limit changes to water) • 500 m exclusion zone (no collisions) • Fully enclosed ore delivery system (riser pipe) • Filter water prior to discharge (no chemicals) • Dewatering discharge – 25 to 50 m above seafloor • 500 m exclusion zone recommended (no collisions) Legend Mineralised area