ARIKA RESOURCES LIMITED — Capital/Financing Update 2008

Feb 28, 2008

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Announcement

Portland Orthopaedics Offers Share Purchase Plan

Funds to boost US and Australian sales expansion

29 February 2008, Sydney: Portland Orthopaedics Limited (ASX:PLD) has initiated a Share Purchase Plan ( “SPP”) providing shareholders at the record date, 11 March 2008, the opportunity to buy up to $5,000 of new Portland shares. New shares under the SPP will be issued at 10.0 cents per share, 9.1% discount to the closing share price on 28[th] February 2008 and a 5% discount to the 5 day volume weighted average price (5 day VWAP).

The date of commencement of the SPP is 12[th] March 2008. The closing date is 9th April 2008. Information and documents to enable take-up, will be mailed to all shareholders on the 12[th] of March 2008.

Portland CEO John Brassil said, “This is a unique opportunity for loyal shareholders to take advantage of market conditions and the current undervaluing of the stock to achieve an exposure that I am confident will return to them a mid to long term profit. I encourage shareholders to read recent and soon to be released investor announcements. Among these announcements is information which describes Portland’s path to creating greater shareholder value. The funds raised in the SPP will support further investment in inventory to enable the projected rapid sales growth in Australia and the USA.”

Portland Chairman, John Lee said “I encourage shareholders to read the documents they receive carefully and if they have any questions to speak to the company, their personal advisors or to Computershare.”

Enquiries:

John Brassil John Lee Managing Director Chairman Portland Orthopaedics Portland Orthopaedics 02 9700 1533 0419 407 191

phone: + 61 2 9700 1533 Fax: + 61 2 9666 8544 Web: www.portland-orthopaedics.com Post: Unit 3, 44 McCauley St Matraville 2033 ABN: 92 082 839 992