BARYS RESOURCES LIMITED — Capital/Financing Update 2012

Aug 15, 2012

RIGHTS TRADING INFORMATION AND DESPATCH OF PROPSECTUS

ANNOUNCEMENT

16 AUGUST 2012

Further to its announcement of 1 August 2012, Mining Group Limited (ASX:MNE) confirms it has today despatched to shareholders its Prospectus for the Company’s renounceable entitlement issue of up to approximately 50,202,344 new shares on the basis of one new share for every one share held by shareholders on the record date, at an issue price of $0.10 per new share for the purpose of raising up to approximately $5,020,235, together with the attached Managing Director’s letter.

As well as subscribing for their entitlement in new shares, shareholders may apply for additional new shares in excess of their entitlement under the shortfall offer.

As the entitlement issue is renounceable, shareholders may sell their rights on market. Trading in the rights will continue until 23 August 2012 under ASX Code MNER. If you are an existing eligible shareholder and you wish to sell your rights, you can do so using your existing SRN or HIN, as applicable.

Shareholders should read the Prospectus in full before deciding on the action that they wish to take. A copy of the Prospectus is available on the Company’s website, www.mininggroup.net.au

For further information please contact:

Zeff Reeves Managing Director

P: + 61 8 9322 6424

Media

Investors

Donna Cole or Carrie Parsons Ronn Bechler LastSay Communications Market Eye carrie@lastsay.net.au ronn.bechler@marketeye.com.au P: +61-433 472 947 P: +61-400 009 774 P: +61-08 6102 7295

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GROUND FLOOR, 3 RICHARDSON STREET, WEST PERTH, WESTERN AUSTRALIA 6005 TELEPHONE 08 9322 6424 FAX 08 9486 1258

www.mininggroup.net.au

About Mining Group Limited

Mining Group Limited (ASX: MNE) is an ASX listed, Australian based exploration company established to explore, evaluate and acquire commercially significant resource projects in Australia and overseas.

Mining Group seeks to develop the Comval Copper Gold Project in the Philippines along with exploring the prospective Western Australian based Boorara, Teutonic and Lake Christopher Projects.

Mining Group has a strong Board and management team with considerable technical, commercial and corporate experience in the resources sector.

For more information visit the Mining Group website at www.mininggroup.net.au

16 August 2012

Dear Shareholder,

Entitlement Issue and Comval Project Exploration Program Funding

I write to you today in relation to our exciting exploration successes at our Comval Project in the Philippines and our recently announced capital raising initiatives.

As you will be aware, since acquiring our interest in the Comval Project in January of this year we have been active in our exploration programs at the exciting project. We have undertaken substantial drilling activity in the last quarter, with 13 drill holes completed – 9 at Bayag Bayag, 3 at Tagpura and 1 at Maangob – for a total of approximately 3,000 metres.

We have received promising results at Bayag Bayag drill hole BCPDH00001 from first assays received, with intercepts of 44 metres at 0.64% Cu from 39 metres, including 28 metres at 0.88% Cu from 55 metres. More recently we have received assays for another 5 Bayag Bayag drill holes, with further skarn style copper intercepts encountered and porphyry style feeders encountered in Bayag Bayag drill hole BCPDH00006.

We are pleased to report that detailed ground magnetics and geological mapping works have been completed between Bayag Bayag and Tagpura, identifying further skarn targets. We are also continuing with validation and verification work on historical data to assist with our understanding of the mineralisation at both Tagpura and Maangob.

We are excited about the prospects for the next phase of exploration and as a result, and after considering the various alternatives available to us, your Board has resolved to undertake a conditional partially underwritten 1:1 renounceable entitlement issue at 10 cents per share to raise up to $5 million (Entitlement Issue). These funds will allow Mining Group to continue its exploration activities at its Comval Project, which we believe is the most appropriate path to deliver shareholder value growth.

Your Board believes that the Entitlement Issue is the fairest way to undertake the fund raising given the significant discount to our previous share price that the current market conditions imposed upon us. Further, and importantly, existing shareholders will be afforded the opportunity to subscribe for shares in addition to their right by either purchasing additional rights on the ASX or subscribing for any shortfall that may arise.

This Entitlement Issue is designed to provide you with the opportunity to maintain or increase your exposure to our recent exploration success at the Comval Project. Recent drilling has confirmed our exploration model and, together with ground magnetics, has indicated the potential to continue to expand the mineral inventory at the Comval Project.

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The funds raised will be used in part to identify and test the best skarn and porphyry targets at our Comval Project to complement the known deposits of Tagpura and Maangob. The upcoming phase of our exploration program includes up to 250 line kilometres of ground magnetics, up to 5,000 metres of diamond drilling, up to 100 line kilometres of soil sampling and further detailed mapping and surface sampling.

The first $2.5 million of the Entitlement Issue has been conditionally underwritten by Paterson Securities Limited, which has been designed to secure a base of $2.5 million of the total $5 million we are seeking.

We encourage all shareholders to consider the opportunity carefully and read all information provided.

As this Entitlement Issue is offered at a discount to our share price immediately prior to announcement of the proposed capital raising, in the interests of ensuring you, as an existing shareholder, benefit from your shareholding and prior support for the Company, we have elected to make this Entitlement Issue renounceable. Therefore if you are unable to participate, you will be afforded the opportunity to generate some value should you wish to sell your entitlements on ASX.

The Entitlement Issue is being made pursuant to a prospectus that was lodged with the Australian Securities and Investment Commission on 1 August 2012 (Prospectus). The Prospectus is enclosed and is also available at the Company’s website: www.mininggroup.net.au or on the ASX website at www.asx.com.au.

Please contact me if you have any queries regarding the Entitlement Issue. On behalf of the Board, I would like to thank you for your continued support as a shareholder of Mining Group.

Yours sincerely,

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Zeff Reeves Managing Director P: + 61 8 9322 6424

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