Alexander Nubia International Reports Third Quarter Financial Results and Provides Update on Key Project in Egypt

Alexander Nubia International Reports Third Quarter Financial Results and Provides Update on Key Project in Egypt

- Continues to advance flagship Abu Marawat project -

Toronto, Ontario CANADA, November 28, 2011 /FSC/ - Alexander Nubia International Inc. (AAN - TSX Venture), ("AAN" or the "Company"), today reported its financial results for the three- and nine- month periods ended September 30, 2011. All amounts are in Canadian currency unless otherwise noted.

"We are very pleased with the progress we achieved in the third quarter," said Mr. Alexander Massoud, President and CEO of Alexander Nubia International Inc. "Building on our positive diamond drilling results to date, we initiated a Stage-2 diamond drilling program with a focus on resource creation at our flagship Abu Marawat property.  Equally important, we are on budget and on track to produce a NI 43-101-compliant resource estimate in the first quarter of 2012."

Key Operational and Financial Highlights of the Quarter

* Invested $0.9 million in exploration activities at  flagship Abu Marawat project.
* Completed a total of 12,873 metres of drilling at Abu Marawat.
* Maintained a low "burn-rate" and incurred a loss of $163,000.
* Completed ongoing preparatory work to deliver a property-first NI 43-101-compliant resource estimate in Q1-2012 for the Abu Marawat project.
* Contracted Roscoe Postle Associates for the preparation of Company's first NI 43-101 report.
* Constructed road access to Hamama property in preparation for drill program in 2012.
* Refined the geological interpretation of the mesothermal gold-copper-zinc-silver vein system at Abu Marawat. Veins show overall strike and depth continuity over distances of up to 900 metres and 230 metres, respectively.  Veins are open at depth and along strike; widths of veins pinch and swell in response to local structural features.
* Diamond drilling targeted and was successful in demonstrating continuity in veins and vein zones not previously tested, both along strike and down-dips.

Highlights subsequent to quarter end

* Completed 5,109 metres of drilling for an aggregate total of 17,982 metres at the Abu Marawat project. Holes  AAM-080 and AAM-081, the two deepest drill holes on the property to-date, are the last to be drilled at the Abu Marawat property in 2011.
* Commenced drilling at the Hamama zinc-gold-copper-silver property. The company plans to drill approximately four to eight diamond drill holes for the first stage of drilling with results expected by first-quarter 2012.

Selected Financial Metrics

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In thousands except share data       Q3        Q3   9-months  9-months
                                    2011      2010     2011     2010
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Exploration expenses                $926       $77    $3,384     $261
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Net earnings (loss)                $(163)     $(99)    $(562)   $(168)
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Earnings (loss) per basic share  $(0.002)  $(0.002)  $(0.006) $(0.003)
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                                                      Sept 30, Dec. 31,
                                                        2011     2010
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Total cash on hand
(Cash & cash equivalents plus restricted cash)        $2,662   $2,086
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Current liabilities                                     $145     $345
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Working Capital                                       $2,668   $1,853
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Total Assets                                          $9,470   $5,407
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Review of financial performance for the quarter

For the three months ended September 30, 2011, the Company incurred $925,814 in exploration expenditures. This compares to $77,459 for the comparable period of 2010.  The increase is reflective of 1.5 months of drilling activity during the quarter on the Company's primary target, the Abu Marawat Property.  These expenditures bring total exploration costs for the nine months ended June 30, 2011 to $3,383,509 as compared to $261,266 for the same period in 2010.

As is expected from an early-stage mineral exploration company, Alexander Nubia incurred a loss of $163,381 for Q3 2011, up from $98,898 for Q3 2010.  On a year-to-date basis, the Company incurred a loss of $561,942 for 2011, up from $168,245 for 2010.

The increases in exploration expenditures and operating loss in 2011 are primarily due to continuation of drilling and assessment of results at the Abu Marawat property.  The loss during the third quarter of 2011 is comparable to that of the second quarter of 2011.

At September 30, 2011, the Company had working capital of $2.7 million, including cash and cash equivalents of $2,587,724, and restricted cash of $74,706.  The restricted cash is pledged in support of a guarantee provided to the Egyptian Mineral Resource Authority ("EMRA") and is released as exploration expenditures are incurred at the Abu Marawat Concession. Substantially all of the original amount of US$1,065,131 has now been released.


Working capital at September 30, 2011, will be used to continue the drilling program on the Abu Marawat Concession, to fund the assays and analysis thereof along with the preparation of the Company's first NI 43-101 report, and to provide working capital for operating costs that support exploration activities and general corporate purposes.


Outlook

"Now that we have completed our infill drilling program, our focus for the remainder of this year will be to continue to work toward completion of our first NI 43-101 compliant resource estimate at our Abu Marawat Property," Mr. Massoud also said.  "We will achieve this important milestone by leveraging our Egyptian operational expertise and our strong relationships with various stakeholders in the region.  Over the longer term, we remain committed to our strategy of methodically developing our other projects, including the Hamama VMS project at which we are currently drilling our initial holes. Combined, these efforts will help to unlock our full potential and establish Alexander Nubia as a major player in Egypt's Eastern Desert."

The business objectives of the Company for the next 12 months are to:

(i) Explore and develop an economic resource based on the primary targets, Abu Marawat and Hamama properties;
(ii) Continue exploration of precious- and base-metals within the Arab Republic of Egypt's Eastern Desert at other targets within its concessions; and
(iii) Evaluate other regional opportunities for exploration and development of precious- and base-metal mineral targets.

Alexander Nubia will file its interim financial report for the third quarter ended September 30, 2011 and related management's discussion and analysis on www.sedar.com and on its website within prescribed regulatory timelines. Readers are advised that, due to the summary nature of this release, these highlights should be read in conjunction with our interim management's discussion and analysis, and the interim unaudited condensed consolidated financial statements.

Reporting Under New Accounting Standards

All publicly accountable enterprises in Canada were required to adopt new International Financial Reporting Standards ("IFRS"), replacing Canadian Generally Accepted Accounting Principles ("GAAP") effective January 1, 2011.  This is the third quarter that the Company is reporting under these new standards.

About Alexander Nubia International Inc.

Alexander Nubia International Inc. (TSX-V: AAN) is a Canadian exploration and development Company focused on the exploration of precious and base-metal minerals in the Eastern Desert in Egypt.  The Company holds two exploration concessions: Abu Marawat and Fatiri which cover a combined total area of 2,772.5 km2. The Abu Marawat concession includes the Abu Marawat, Hamama and Semna Projects. The Company is currently focused on the exploration of its Abu Marawat project, from which recent drilling carried out by the Company has confirmed the presence of precious and base-metal mineralization and greatly increased the size of the deposit over that reported historically.  For more information please visit www.alexandernubia.com.


For more information on Alexander Nubia please contact:
A. Alexander Massoud
President and Chief Executive Officer
Egypt:     +2 (0) 22 287 6914
Canada:    +1 (877) 607-4747
Email:     amassoud@alexandernubia.com  

Donald M. Cameron, CA
CFO
Canada:    +1 (877) 607-4747
Email:     dcameron@alexandernubia.com  

Nisha Hasan
TMX Equicom
416-815-0700 ext. 258
Email: nhasan@equicomgroup.com  

Cautionary Note Regarding Forward-Looking Statements
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.  The securities of Alexander Nubia International Inc. described herein have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.  Some of the statements contained in this release are forward-looking statements, such as estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur.  Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties.  Actual results in each case could differ materially from those currently anticipated in such statements.  Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.


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Source: Alexander Nubia International Inc. (TSX.V -  AAN) http://www.alexandernubia.com
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