SRLC AGM 2010

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Annual General Meeting | May 11 th 2011

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Forward looking Information

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This investor presentation includes certain forward looking information reflecting prospective managementscurrent expectations regarding the target amount, purpose and returns of bridge and mezzanine resourcelending, the targeted gross yield and book value, the potential valuation for Sprott Resource Lending Corp.

(SRLC) and the establishment of an annual dividend and a normal course issuer bid for SRLC. Generally,forward looking information can be identified by the use of forward looking terminology such as plans,expects, target, estimate, forecast, intends, anticipates or variations of such words and phrases orstatements that certain actions, events or results may, would, might, or will be taken, occur or beachieved. This forward looking information reflects managements current expectations and assumptionsincluding, but not limited to, the ability of the companies invested in to achieve their objectives; difficulty in

obtaining financing or raising capital; the level and volatility of prevailing interest rates and credit spreads;potential price to book value ranges; adverse developments in the availability of desirable loan and investmentopportunities whether they are due to competition, regulation or otherwise; a compression of the yield on theinvestments; SRLCs regulatory and tax structure; the adequacy of SRLCs cash resources and working capital;and the timing of cash flows, if any. This forward looking information is not a guarantee of future performanceand is subject to a number of risk factors, including, but not limited to, changes in interest rates that affect costof capital; operating in a highly competitive market for investment opportunities; lack of liquidity in theinvestments; and changes in the laws or regulations that govern SRLCs business. Actual results may differmaterially from information contained in the forward looking information as a result of one or more of theaforementioned risk factors. Accordingly, you should not place undue reliance on the forward lookinginformation contained herein. SRLC undertakes no obligation to publicly update or revise any forward looking

information contained herein, except as required by applicable laws, rules and regulations.

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The Opportunity

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The natural resource industry is a large market comprised of companies that require continuous development and investment.

Sprott Resource Lending (SRL) aims to become the leading mezzanine lender to the sector.

Banks have become more risk adverse, with high associated costs of hedging, approvals and reporting.

SRL partners with resource entrepreneurs to provide timely, flexible,customized financing solutions.

SRLs flexibility allows participation in unconventional financings.

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Sprott Resource Lending Summary

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Market capitalization of ~$263 million Listed on TSX (SIL) and Amex (SILU)

Resource Loan portfolio

Closed and pending: 6 companies, $86 million Initial Target: 20 25 transactions, $250 million Long Term Target: 50+ transactions, $1 billion

Sources of income Cash interest stability of revenue Shares and warrants potential for upside

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Various Financing Solutions

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Bridge Loans

Precious Metal Loans

Acquisition Financing

Project Financing

Convertible Debt

Combinations of Debt and Equity Financing

Debt Markets are becoming more integrated. SRLC will considerbroadening our platform where appropriate

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Origination Capabilities

Origination has historically been the primary challenge for specialty lenders to the sector

SRLC is positioned to benefit from: Active resource markets Relationship network of SRLC shareholders:

Sprott, Dundee, Global Resource Investments When combined, believed to be largest global exposure to junior

resource sector Large network of financial industry connections

Screening, due diligence and underwriting funnel has traditional metrics: >100 opportunities investigated >30 formal term sheets issued 6 investments made and pending

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Experienced multi disciplinary team at SRLC for independent assessment and monitoring

Credit Process

Experienced professionals form old Quest organization, within SRLC, Sprott Inc., Board of Directors, and major shareholders allows SRLC to:

At Origination At Loan Maturity

Assess the quality and the desirability of borrower

assets/security on an independent basis

Assess the strengthof management

Select opportunities with greatest upside potential while satisfying allcredit qualifications

Explore natural avenues for loan takeout through

more permanent financing, if required

Source buyers if borrower or asset is distressed

During Term

Ongoing assessment of borrower performance

Ongoing monitoring of market conditions

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Industry Update

Equity market strength continues to dampen origination activity

Pipeline of deals is still strong 6 deals, representing deployable capital of $90MM plus, currently in

negotiation

Signs of commodity fatigue lead management to be careful in deploying capital too quickly

Relationship building is paramount and our main focus Will focus on building energy exposure (Calgary, Houston,

international) over next 6 12 months

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Executed Mandates

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African Minerals

US$417,700,000Two Year Secured

Loan Facility

Mandalay Resources

C$10,000,000Two Year Secured

Loan Facility

Timmins Gold

C$18,000,00014 Month Secured

Loan

Facility

Ram Power

US$50,000,000Two Year Secured

Loan Facility

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Resource Loan Position

As at: April 30, 2011

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Amount Deployed

Funded Resource Bridge LoansFunds for use in completing projects $45 MM

Expected To Close $41MM

Significant Amount of Capital Remaining to be Deployed (Cash + Real Estate Portfolio)

$202 MM

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Real Estate Loan Book Update

Cash position amounts to $114 MM (April 8, 2011)

Management anticipates that successful monetization of real estate loans

will be substantially complete by Q2 2011 dovetails with resource book build

April 8, 2011* Real estate portfolio of $87 MM (Loans $57MM, Foreclosed

Properties

$30MM)

broken

down

as

follows: $24MM to $31MM expected to be monetized by Q2 2011 in the regular

course $55MM to $62MM are more unique but bid levels/interest are

increasing Quicker repayment options exist depending on resource loan demand

11* Note: Amount calculated using December 31, 2010 loan loss allowance

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Peter Grosskopf President & CEO

Jim GrosdanisChief Financial Officer

Also CEO, Sprott Inc. and President Sprott Consulting LP as of September 7, 2010 Formerly President, Cormark Securities Inc. and co founder of Newcrest Capital Inc.

Former founding member of Dundee Bank of Canada as Vice President of Operations

SRLC has an experienced and proven executive team

Management Team

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Formerly Senior Vice President of Asset Management for Quest Capital Corp., CFO and Treasurer of Quest Capital Corp. Narinder

NagraChief Operating Officer

Chartered Accountant and former Director of Finance of a division of Magna International and Coca Cola Ltd.

Kent WilliamsVice President, Finance

Former Vice President, Asset Based Lending at Royal Bank of Canada. Former Analyst (Mining & Credit), Polar Securities.

Andrew SteuterVice President,

Origination

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Murray Sinclair,Chairman

Chairman of SRLC. Current Director, Sprott Resource Corp.

Serves

as

advisor

to

SRLC

for

origination

and

remediation

President & CEO

Vice Chairman of Spur Ventures Inc., Director of Tasman Metals Ltd. and Hansa Resources Limited

Former President & CEO SRLC. Serves as advisor to SRLC for origination and remediation

Retired Partner, DuMoulin Black LLP

Chief Investment Strategist and Portfolio Manager, Sprott Asset Management

President and CEO of Dundee Resources Limited

Retired

Partner

KPMG

President of the Crerar Group of Companies

Executive Chairman of Allied Nevada Gold

Board of Directors for the AGM

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Peter Grosskopf

Robert G. Atkinson

Brian Bayley

W. David Black

John Embry

Murray John

Dale Peniuk

Stewart J.L. Robertson

Robert M. Buchan (Proposed)

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SRLC Target Metrics

Pay initial dividend by the second half of 2011

Defend net asset value through normal course issuer bid

Increase dividend yield to higher yield range Once capital is fully engaged in resource lending

Target

up

to

net

10

percent

annual

cash

returns Investigate options to maintain tax free status beyond existing

tax pools

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