CANNINDAH RESOURCES LIMITED — Capital/Financing Update 2011

May 10, 2011

==> picture [210 x 63] intentionally omitted <==

==> picture [191 x 68] intentionally omitted <==

----- Start of picture text ----- ASX RELEASE11 May 2011ASX Code: PMQ----- End of picture text -----

COMPLETION OF SALE OF WOLFRAM CAMP PROJECT

==> picture [11 x 15] intentionally omitted <==

• Planet Metals Limited is pleased to announce that the sale of its 100% owned subsidiary, Wolfram Camp Mining Pty Ltd, has successfully been completed for a total sale price of $7 million, comprising $3.5 million cash and $3.5 million worth of Deutsche Rohstoff AG shares (listed on the Frankfurt Stock Exchange).

==> picture [11 x 14] intentionally omitted <==

• Both Planet Metals (Vendor) and Deutsche Rohstoff AG (Purchaser) have met their obligations under the Share Sale Agreement (refer ASX release dated 6 April 2011). Deutsche Rohstoff has deposited the balance of the cash component, being $3.3 million into Planet’s bank account.

==> picture [11 x 15] intentionally omitted <==

• The balance purchase consideration (being $3,500,000) will be issued to Planet Metals in 180,500 Deutsche Rohstoff AG shares on 1 September 2011. However the purchaser has an option to pay the balance purchase consideration in cash if it notifies Planet of this intention before 31 July 2011.

==> picture [11 x 15] intentionally omitted <==

• Deutsche Rohstoff AG is a diversified German resources company with a focus on gold and hitech metals such as rare earths, tin and tungsten. Further details about Deutsche Rohstoff are outlined in Planet’s ASX release dated 6 April 2011 or, alternatively, can be obtained from their website at www.rohstoff.de/index-en.shtml.

==> picture [11 x 15] intentionally omitted <==

==> picture [11 x 15] intentionally omitted <==

• The CEO of Planet Metals, Mr Brett O’Donovan, stated, “The completion of the sale provides Planet Metals with the platform and funding to advance its current gold-copper projects and to also pursue additional opportunities in the sector, with a predominant gold-copper focus.”

• It is also worth noting that drilling has commenced at Planet Metals’ Mount Cannindah coppergold project, south of Gladstone (Qld). Drummond Gold is currently earning into the project and has recently commenced a 3,000m drill program to test extensions to existing copper-gold mineralisation.

For further information, please contact:

Brett O’Donovan

Chief Executive Officer Ph: 61 7 3249 3080

About Planet Metals Limited

Planet Metals (ASX Code: PMQ) is a Brisbane-based ASX-listed resource and exploration company, with a focus on copper and gold. The Company’s key operations are the 100% owned Mount Cannindah copper-gold project (subject to a farm-in agreement with Drummond Gold) and the Mount Borium gold project (located between Kidston and Einasleigh, Qld - tenements presently under application). The Company’s major shareholder is Metallica Minerals (ASX Code: MLM) with a 76% shareholding. As at the date of this release, Planet Metals has 59.7 million shares on issue as well as 1.5 million unlisted options. The Company had approximately $708,000 cash on hand as at 31 March 2011, but this will increase markedly following completion of the Wolfram Camp sale.

71 Lytton Road (Cnr Stafford St), East Brisbane Qld 4169 GPO Box 122, Brisbane Qld 4001

T 61 7 3249 3080 F 61 7 3249 3081 ABN 35 108 146 694