BARYS RESOURCES LIMITED — Capital/Financing Update 2011

Oct 4, 2011

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5 October 2011

Dear Shareholder

Notice to Shareholders of Rights Issue

We write to you as the registered holder of Mining Group Limited ( Mining Group ) shares as at today’s date. As announced on 4 October 2011, the Directors of Mining Group have resolved to undertake a fully underwritten nonrenounceable rights issue of approximately 6,512,500 new options (with an exercise price of $0.20 each and an expiry date of 1 July 2014) on the basis of one new option for every four Mining Group shares held by shareholders at an issue price of $0.01 per new option, to raise approximately $65,125 ( Offer ). The Offer is being underwritten by Cygnet Capital Pty Ltd.

The Offer is available to Mining Group shareholders registered on the record date of 13 October 2011 ( Record Date ) and who reside in Australia or New Zealand.

The Offer is being made pursuant to a prospectus which was lodged with the Australian Securities and Investments Commission on 4 October 2011 ( Prospectus ). The Prospectus is available at the Company’s website: www.mininggroup.net.au or on the ASX website (company announcements section, ASX code: MNE) at www.asx.com.au.

If you remain registered as a shareholder of Mining Group on the Record Date you will be entitled to participate in the Offer. The timetable for the Offer is below*:

Event	Date
Announcement of Offer	4 October 2011
Lodgement of Prospectus withtheASIC	4October 2011
Notice to Shareholders	4 October 2011
Ex-Date	7 October 2011
Record Date for determining Shareholder entitlements	13 October 2011
OpeningDate and despatchof Prospectus to Shareholders	18 October 2011
Closing Date of Offer	2 November 2011
Options quoted ona deferred settlement basis	3 November 2011
Allotment and despatch of holding statements	10 November 2011

* Dates subject to change and indicative only. The Company reserves the right to amend this timetable, including, subject to the Corporations Act 2001 (Cth) and the Listing Rules of ASX, to extend the Closing Date.

173 MOUNTS BAY ROAD PERTH WESTERN AUSTRALIA 6000 TELEPHONE 08 9322 6424 FACSIMILE 08 9322 6778
www.mininggroup.net.au

A copy of the Prospectus will be sent to you on 18 October 2011 if you are a shareholder at the Record Date. If you are eligible and wish to participate in the Offer, it will be necessary for you to complete an Entitlement and Acceptance form, which will accompany your Prospectus, and return it with the appropriate application monies, to the Company before the Closing Date.

The Directors of Mining Group recommend that if you are in doubt as to the value of the Offer then you should contact your financial adviser.

If you have any queries in relation to the Offer, please do not hesitate to contact Shannon Coates, the Company Secretary on (08) 9322 6424.

Yours faithfully

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Shannon Coates Non-Executive Director/Company Secretary

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