ARIKA RESOURCES LIMITED — Capital/Financing Update 2008

Jul 14, 2008

Portland Orthopaedics Limited. Offer closes 5.00pm (AEST) Friday 25 July 2008.

Portland Orthopaedics is making a non-renounceable pro-rata Offer of New Shares on the basis of one New Share for every one Share held at a price of 2.5 cents per New Share to holders of Shares who are registered as at 7.00pm (AEST) on the Record Date, Thursday 3 July 2008.

www.pldortho.com

To participate you need to:

Portland Orthopaedics’ major shareholders and management support Rights Issue

Portland Orthopaedics Limited has irrevocable commitments from three major shareholders, the chairman, CEO and CFO to support the Rights Issue, which was set out in the document fi led with ASX on 25 June 2008 (Offer Document).

The pre-commitments total $1.72 million or 42% of the scheduled maximum raising.

Eligible shareholders, like you, can apply for as many New Shares as they wish with allocation of the shortfall at the Board’s discretion.

The Offer Closes at 5.00pm (AEST) on 25 July 2008. You should have received the Offer Document and Entitlement and Acceptance Form by mail already.

NO brokerage or stamp duty is payable by you when taking-up the Offer.

If you have not received your Offer Document or Entitlement and Acceptance Form or require it to be re-sent, contact Computershare (details at right).

Please contact me if you have questions in relation to the Offer.

Yours faithfully,

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James A Wynn

Company Secretary Portland Orthopaedics Limited (ACN 086 839 992) Ph: +61 2 9700 1533

Read the Offer Document If you have not received your Offer Document or Entitlement

and Acceptance Form, call Computershare Investor Services on 1300 798 197 (within Australia) or +61 3 9415 4836 (outside Australia). A copy of the Offer Document can be obtained at www.pldortho.com .

		www.pldortho.com.
	Consider and consult	Consider all risks and other information set out in the Offer
		Document and consult your stockbroker, accountant, lawyer or
		other professional adviser before deciding whether to subscribe for
		New Shares under the Offer.
	Complete the	If you wish to take up part, all or in excess of your Entitlement,
	Entitlement andAcceptance FormSubmit yourEntitlement andAcceptance Form	complete the Entitlement and Acceptance Form in accordance withthe instructions set out on the form indicating the total number ofNew Shares you wish to take up.Please return completed forms to:Computershare Investor Services Pty LimitedGPO Box 253 Sydney NSW 2001 Australia
	Payment	Ensure your application is received by the Registry,Computershare, by 5.00pm (AEST) on 25 July 2008.Completed Entitlement and Acceptance Forms must be
		accompanied by a cheque unless payment is made using BPAY®.
		More information on how to pay can be found in Section 3.5 of the
		Offer Document. BPAY® Biller Code is 413039. Use your Shareholder
		ID number as the reference. When using BPAY®, youdo notneed tosend your Entitlement and Acceptance Form to Computershare.
	If you have questions in relation to completing the application process or making payment,
	do not hesitate to contact Computershare Investor Services (see details above).