A theory of proton magnetic shielding constants is developed within the Extended Hi~ckel formalism using gauge invariant atomic orbitals. The major part of the terms arising from the hamiltonian and orbitals expansions is evaluated. The method is applicable to relatively large molecules and the calculated chemical shifts agree to generally better than 1 p.p.m, with the experimental values. The results for alkanes, ethylenic compounds and benzene are analysed.