BARYS RESOURCES LIMITED — Capital/Financing Update 2011

Oct 3, 2011

FULLY UNDERWRITTEN RIGHTS ISSUE

ANNOUNCEMENT

4 OCTOBER 2011

The Board of Mining Group Limited (ASX:MNE) (“Mining Group” or “the Company”) is pleased to announce a fully underwritten, pro-rata, non-renounceable rights issue of approximately 6,512,500 new options exercisable at $0.20 each on or before 1 July 2014 (“New Options”) on the basis of one New Option for every four Mining Group shares held by shareholders at the Record Date at an issue price of $0.01 per New Option (“Rights Issue”).

The Rights Issue will raise approximately $65,125 before costs. The funds raised by the Rights Issue will be applied, with existing funds and after meeting the expenses of the Rights Issue, towards general working capital.

Cygnet Capital Pty Ltd has been appointed lead manager and underwriter to the Rights Issue. In consideration, Cygnet will be entitled to a 5% capital raising fee and 1% management fee calculated on total funds raised via the Rights Issue plus a minimum subscription of 5,000,000 Options, subject to shareholder approval if required. For clarity, if all shareholders entitled to participate in the Rights Issue take up their New Options, Cygnet Capital will still be entitled to subscribe for 5,000,000 Options on the same terms and conditions as the New Options.

Mining Group intends to lodge a Prospectus for the Rights Issue with the Australian Securities and Investments Commission (ASIC) and announce to Australian Securities Exchange Ltd (ASX) on or around 4 October 2011.

A proposed timetable for the Rights Issue (which is subject to change) is set out below:

Event	Date
Announcement of Offer	4 October 2011
Lodgement of Prospectus with the ASIC	4 October 2011
Notice to Shareholders	4 October 2011
Ex-Date	6 October 2011
Record Date for determiningShareholder entitlements	13 October 2011
OpeningDate and despatch of Prospectus to Shareholders	18 October 2011
ClosingDate of Offer	2 November 2011
Optionsquoted on a deferred settlement basis	3 November 2011
Allotment and despatch of holdingstatements	10 November 2011

The Company intends to apply to the ASX for quotation of the New Options. Further, as disclosed in the Company’s Prospectus dated 6 May 2011, the Company intends to apply

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

f o r quotati o n of 1,500,000 existi n g unlisted options e x ercisable at $0.20 e a ch on or before 1 J u ly 2014. T hese opti o ns are h e ld in escr o w until 1 J uly 2013. A n Appendix 3B ap p lying for q uotation o f the Ne w Options f o llows.

A UTHORISE D BY:

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S h annon C o ates C ompany S ecretary

C ontact:

A ndrew M a urice M anaging D irector a maurice @ mininggr o up.net.au

P: + 61 8 9 3 22 6424 M : 0410 64 2 660

L e vel 1, 17 3 Mounts B a y Road PERTH WA 6 000

About Mining Group Limited

M ining Grou p Limited (A S X: MNE) (“ M ining Grou p ” or “the C ompany”) is an ASX li s ted, Australian based e x ploration c o mpany est a blished to e x plore, eval u ate and ac q uire comm e rcially signif i cant resour c e projects i n Australia a n d overseas.

M ining Grou p seeks to increase sh a reholder w e alth by pr u dent expl o ration of it s prospectiv e Western Australian ba s ed Boorara, Teutonic and Lake Christopher Pr o jects and b y identifica t ion and ev a luation of potential ne w mineral p r ojects and opportuniti e s in Australia and overseas suitab l e for acqu i sition and development by the Co m pany. Mining Group ha s a strong B o ard and m a nagement team who c ollectively h a ve conside r able techni c al, commercial and cor p orate experience in the resources s e ctor.

F o r more information visit the Mining G r oup websit e at www.mi n inggroup.n e t.au