ABX GROUP LIMITED — Capital/Financing Update 2012

May 30, 2012

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AUSTRALIAN BAUXITE LIMITED

ASX:ABZ

31 May 2012

Company Announcement Office Australian Securities Exchange Limited

Goulburn–Taralga Bauxite Resource up by 50% – 38 Million Tonnes – BRR webcast

Australian Bauxite Limited advises that it has released a webcast with CEO Ian Levy.

The interview can be heard on the ABx website on the NEWS tab and at http://www.brrmedia.com/event/98331

For further information please contact

Investor Relations, Henry Kinstlinger Australian Bauxite Limited Telephone: +61 2 9251 717

About Australian Bauxite Limited: ASX Code ABZ

Australian Bauxite Limited (ABx) holds the core of the newly discovered Eastern Australian Bauxite Province. Its 40 bauxite tenements in Queensland, NSW and Tasmania covering 8,700 km[2] were rigorously selected on 3 principles:

1. good quality bauxite;

2. proximity to infrastructure connected to export ports; and,

3. free of socio-environmental or native title land constraints.

All tenements are 100% owned and free of obligations for processing and third-party royalties. ABx has already discovered many bauxite deposits and new discoveries are still being made as knowledge and expertise grows.

The company’s bauxite is high quality and can be processed into alumina at low temperature – the type that is in short-supply globally. Global resources declared to date total 98.7 million tonnes. At the company’s first drilling prospect in Inverell, northern NSW, a resource of 38.0 million tonnes[1] has been reported from drilling 15% to 20% of the area prospective for bauxite and a resource of 37.9 million tonnes[2] of bauxite has been reported at the Taralga project in southern NSW. A 6.0 million tonnes maiden resource was declared at Guyra[3] . A 16.8 million tonnes[4] maiden resource has been declared at the Binjour Plateau in central QLD, confirming that ABx has discovered a significant bauxite deposit including some bauxite of outstandingly high quality. Australian Bauxite Limited aspires to identify large bauxite resources in the Eastern Australian Bauxite Province, which is emerging as one of the world’s best bauxite provinces.

ABx has the potential to create significant bauxite developments in three states - Queensland, New South Wales and Tasmania. Its bauxite deposits are favourably located for direct shipping of bauxite to both local and export customers.

ABx endorses best practices on agricultural land, strives to leave land and environment better than we find it. We only operate where welcomed.

JORC Compliant Resource Statements

The following are Joint Ore Reserve Code (“JORC”)-compliant Public Reports released to the ASX declaring the JORC resources referred to. These can be viewed on the ASX website and the Company will provide these reports, free of charge on request.

1 08/05/2012 ASX Inverell JORC Resource Update, 38.0 Million Tonnes

2 30/05/2012 ASX Goulburn–Taralga Bauxite Resource up by 50% – 38 Million Tonnes

3 15/08/2011 ASX Maiden Guyra Resource, 6.0 Million Tonnes

• 4 12/10/2011 ASX Binjour Maiden Resource, 16.8 Million Tonnes

AUSTRALIAN BAUXITE LIMITED

ACN 139 494 885

Level 2 Hudson House 131 Macquarie Street Sydney NSW 2000 p: +61 2 9251 7177 f: +61 2 9251 7500

w: australianbauxite.com.au e: corporate@australianbauxite.com.au