AUSTRALIAN VANADIUM LIMITED — Capital/Financing Update 2014

May 13, 2014

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Yellow Rock Resources Limited ABN 90 116 221 740 Address 420 Newcastle Street | West Perth | WA | 6005 Mailing Address PO Box 332 | Leederville | WA | 6903 web www.yellowrock.com.au p (08) 9227 6300 f (08) 9227 6400 e yrrinfo@yellowrock.com.au

13 May 2014

CLOSE OF NON-RENOUNCEABLE RIGHTS ISSUE NOTICE OF SHORTFALL

Yellow Rock Resources Limited advises that the Non-Renounceable Rights Issue (“Rights Issue”) which offered up to 349,026,205 New Shares on the basis of one (1) New Share for every one Share held on the Record Date, at an issue price of $0.01 per New Share, plus one (1) free attaching New Option exercisable at $0.015 each on or before 31 December 2017 for every one New Share allotted and issued, has now closed.

In accordance with Appendix 7A of the ASX Listing Rules, the Company advises the following:

• The Company received acceptances for a total of 63,621,254 New Shares and 63,621,254 free attaching New Options raising $636,212;

• As such, there is a Shortfall under the Rights Issue of 285,404,951 New Shares and 285,404,951 free attaching New Options

The allotment of New Shares and free attaching New Options under the Rights Issue is scheduled to take place on 19 May 2014, and ASX trading of the New Shares is expected to commence on 20 May 2014.

The Shortfall can be placed at the discretion of the Board no later than three months after the closing date of the offer.

The Company would like to thank all shareholders who participated in the Rights Issue for their ongoing support of the Company.

Yours faithfully,

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Syd Chesson Chairman