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BREAKTHROUGH MINERALS LIMITED Capital/Financing Update 2009

Aug 10, 2009

64579_rns_2009-08-10_9bce6d83-5f8d-476c-b1c1-945e350e794d.pdf

Capital/Financing Update

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11th August 2009 09 – 22 ASX Code: ATQ

ATOMIC FUNDING FOR NGAKA BANKABLE FEASABLITY STUDY

1 FOR 2 RIGHTS ISSUE TO FUND COAL EXPLORATION IN TANZANIA

Atomic Resources Limited (ASX Code: ATQ) (“Atomic”) is pleased to announce that it has completed a placement of 8,670,000 shares at a price of 10.5 cents to sophisticated investors to raise $0.91 million. The money raised will fund on-going expenditure in relation to the Bankable Feasibility Study (BFS) at Ngaka in Western Tanzania, which commenced in May 2009*.

To complete funding for the BFS and further working capital, Atomic will do a 1:2 Rights Issue offer to all ordinary shareholders. Shareholders will be offered one new ordinary share for every two ordinary shares currently held, at an application price of 10.5 cents per share.

The Company will apply for the quotation of new shares on the ASX together with new shares issued in the Rights Issue. A prospectus relating to the Rights Issue is expected to be lodged with ASIC and ASX on Monday 17[th] August and will be available after lodgment on the Company’s website www.atomicresources.com.au and on the ASX web site.

Atomic Managing Director Mr. Dave Holden said the funds raised by the Rights Issue will be used to fund the completion of the BFS already underway at Ngaka, where Atomic has identified a 179 Million tonnes JORC compliant resource of moderate ash, low moisture and low sulphur bituminous thermal coal.

“We also intend to commence resource estimation drilling of the Mbuyura and Mkapa Blocks, north of Ngaka which we believe have the potential to host additional tonnes of coal, and conduct exploration drilling at our newly acquired projects at Liweta, Mbamba Bay and Muhukuru, which have combined exploration potential of approximately 90[1] million tonnes of coal” said Mr. Holden.

“We aim to complete the BFS by mid 2010 and commence mining within 12 months of that date. In the meantime, we will continue to explore our coal concessions, grow our coal resources and further our position as Tanzania’s largest private coal company.”

ENDS

About the company:

Atomic Resources Limited is a solid energy resource company with advanced coal resources in Tanzania and uranium assets in both Tanzania and Australia .

The Ngaka Thermal Coal Project[2] is situated in western Tanzania. Atomic have delineated a JORC compliant 179Mt thermal coal resource at Ngaka and has commenced a BFS to develop a mining operation at Ngaka. A significant proportion of the coal to be mined at Ngaka will be sold to feed a proposed 400 Mw IGCC “clean coal” power station to be built at the Ngaka mine site through a Public/Private Partnership between the Tanzanian Government and private investors. Any surplus coal produced at Ngaka can be exported and/ or sold to domestic customers.

Dave Holden Managing Director

1 - Previously released to the ASX: Announcement 09-19 on 27[th] July 09, and Announcement 08-20 on 30[th] July 08.

2 - The Ngaka project is held by Tancoal Energy Limited an incorporated company with National Development Corporation Tanzania (“NDC”) 30% and Pacific Corporation East Africa Limited (“PCEA”) 70%. PCEA is a subsidiary of Atomic Resources Limited (85%) and P Tsegas (15%).

The information in the report to which this statement is attached relates to Exploration Results, Mineral Resources or Ore Reserves based on information compiled by Mr D. J. Holden, who is a Member of The Australian Institute of Mining and Metallurgy, with over 20 years experience in the mining industry. Mr Holden has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity he is undertaking as to qualify as a Competent Person as defined in the 2004 edition of the “Australian Code for Reporting of Mineral Resources and Ore reserves”. Mr Holden consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

For further information contact: Shareholder Enquiries David Holden Atomic Resources Limited Ph: (08) 9322 2033 www.atomicresources.com.au

Media Enquiries Tony Dawe Dawe Media Group Mob: 041 3322 110 [email protected]

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