ALTECH BATTERIES LTD — Capital/Financing Update 2012

Jul 10, 2012

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MEDIA/ASX RELEASE 11 JULY 2012

STAGE 1 DIAMOND DRILLING COMMENCES AT THE SOUTHDOWN EXTENSION IRON ORE PROJECT

HIGHLIGHTS

• AMMG is continuing its stage 1 drilling program with a diamond drilling program following the previously reported positive metallurgical results from the RC drilling.

• Southdown Extension Iron Ore Project now 100% owned.

• Stage 1 diamond drilling will extend the known width and depth of the mineralisation in this location and complete stage 1.

• Southdown Extension project is located approximately 80kms from the port and town of Albany.

• Port of Albany is proposing to upgrade its capacity to handle ‘cape-sized’ vessels.

Australia Minerals and Mining Group Limited ( ASX: AKA ) (“AMMG” or “the Company”), is pleased to announce that the stage 1 drilling program is continuing with diamond drilling, which has commenced at the Company’s 100% owned Southdown Extension Iron Ore Project (“Southdown Extension”) in south-Western Australia.

The follow-up diamond drilling program will consist of approximately 300 metres of diamond drilling and is aimed at extending the known width and depth of the expected mineralisation in this location (refer to Figure 1 below).

The diamond drill rig is obtaining HQ and NQ diameter core to a vertical depth of approximately 300m, which will be used for iron assay and metallurgical testing (see Figure 2 below). The Company will announce further drilling updates and test work analysis as stage 1 diamond drilling program progresses.

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Figure 1. Geological cross section showing stage 1 RC drill hole locations and planned diamond drill hole

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Figure 2. Diamond drilling rig used for stage 1 drilling program at Southdown Extension Project

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Previous Metallurgical Results

The stage 1 reverse circulation (RC) drilling program produced positive metallurgical test work results, with Davis Tube Recovery (DTR) analysis producing an average concentrate grade of 68% iron with mass recovery of up to 35.6%, low silica and low alumina.

The first phase drilling program consisted of 294 metres of RC drilling with three (3) drill holes averaging 100 metres to test magnetic anomalies identified via ground geophysical work and further define the magnetite mineralisation.

Southdown Extension Project Background

In October 2011, AMMG announced that it had acquired Minemakers’ 80% interest in the Southdown Extension project. AMMG recently entered into a purchase agreement for the remaining 20% interest with the holders of tenement E70/2640. The terms are pro-rata to the sales agreement with Minemakers Limited.

Previous holders, Minemakers (ASX: MAK), announced in 2007 that strong magnetite mineralisation had been intersected during a successful diamond drill hole program (see Figure 3 below). The DTR analysis indicated a coarse grind magnetite using over 20 micron grind size with an average iron concentrate at 66%. Three targets over 9.4km strike length were targeted (ASX: MAK, 25/03/07).

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Figure 3. Map showing previous drill hole locations and target areas along 9.4km strike length

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Figure 4. AMMG’s 100% owned Southdown Extension Project lies along strike from Grange Resources’ Southdown Magnetite Project

ENDS

For more information on AMMG please see below or contact:

Ric Dawson Tony Dawe Managing Director Professional Public Relations Pty Ltd T: +61 8 9389 5557 T : +61 8 9388 0944 ric@ammg.com.au tony.dawe@ppr.com.au

About AMMG

AMMG was established for the purpose of securing exploration ground over areas that have typically been subject to historical exploration and where significant geological data was available and/or the land was considered sufficiently prospective. Areas with existing or potential access to infrastructure were also targeted.

To date, the Company has identified project areas located in Western Australia and Queensland, which the directors believe may have the potential for the realisation of economic resources of these commodities currently targeted, being - iron ore, gypsum, kaolin/aluminous clay, mineral sands, salt and coal.

The Company itself or under joint venture now has 20 granted tenements and 44 applications for tenements covering approximately 12,886km[2] over the project areas. AMMG is pursuing a diversification strategy at this stage of the Company’s development in order to provide additional development options and potential production opportunities.

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