CASSIUS MINING LIMITED — Share Issue/Capital Change 2009

Dec 6, 2009

GULF RESOURCES LIMITED ABN 13 115 027 033

REGISTERED OFFICE

GULF RESOURCES LIMITED LEVEL 10, GOLDFIELDS HOUSE 1 ALFRED STREET SYDNEY NSW 2000

SHARE REGISTRY

Security Transfer Registrars Pty Ltd All Correspondence to: PO BOX 535, APPLECROSS WA 6953

Tel (08) 9315 2333 Fax (08) 9315 2233 EMAIL: registrar@securitytransfer.com.au

7 December 2009

Dear Option Holder

YOUR OPTIONS TO ACQUIRE GULF RESOURCES LIMITED SHARES AT 25 CENTS PER SHARE EXPIRE ON 31 DECEMBER 2009

We are writing to you as a registered holder of 31 DECEMBER 2009 options in GULF RESOURCES LIMITED to remind you that the options will expire at 5:00pm (WST) on 31 DECEMBER 2009.

Your option holding may be exercised in whole or in part by payment of 25 CENTS for each option by no later than 31 DECEMBER 2009. If payment is not received by 5:00pm (WST) on 31 DECEMBER 2009 the options will lapse and all rights under the options will cease at that time.

Some of the courses of action available to you as a holder of these soon to expire options are:

• a) Exercise the options on or before 31 DECEMBER 2009.

• b) Sell your options. Quotation of the options will cease at the close of trading on 22 DECEMBER 2009.

• c) Do nothing (ie, allow your options to expire). If you do not exercise or sell your options they will expire on 31 DECEMBER 2009 and your right to subscribe for ordinary shares in GULF RESOURCES LIMITED at 25 CENTS per share will lapse.

There is no obligation on option holders to exercise their options. However, under paragraph 6.1 of Appendix 6A of the Australian Securities Exchange ( ASX ) Listing Rules, the Company is required to advise option holders of the information contained in this notice.

The closing market sale price of ordinary shares in GULF RESOURCES LIMITED on ASX was 3.5 cents on 4 December 2009, being the last trading day prior to the date of this notice.

During the three (3) months preceding the date of this notice:

• the highest market sale price of ordinary shares on ASX was 5.3 cents on 8 October 2009; and

• the lowest market sale price of ordinary shares on ASX was 3.0 cents on 4 December 2009.

If you wish to exercise your options then you must complete your “Notice of Exercise of Options” form included with this notice and forward it together with payment of 25 CENTS per option exercised to be received no later than 5:00pm (WST) on 31 DECEMBER 2009 to the Company’s share registry, being:

Security Transfer Registrars Pty Ltd PO Box 535 OR 770 Canning Highway APPLECROSS WA 6953 APPLECROSS WA 6953

Cheques should be made payable to “GULF RESOURCES LIMITED” in Australian dollars only and should be crossed “Not negotiable”. If you have any further questions please do not hesitate to contact our Registry on telephone (08) 9315 2333, facsimile (08) 9315 2233, or e-mail registrar@securitytransfer.com.au.

Yours faithfully

Wayne Kernaghan

COMPANY SECRETARY

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NOTICE OF EXERCISE OF OPTIONS

THIS DOCUMENT IS IMPORTANT. IF YOU ARE IN DOUBT AS TO HOW TO DEAL WITH IT, PLEASE CONTACT YOUR STOCK BROKER OR LICENSED PROFESSIONAL ADVISOR.

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GULF RESOURCES LIMITED

REGISTERED OFFICE:

LEVEL 10 GOLD FIELDS HOUSE 1 ALFRED STREET SYDNEY NSW 2000 AUSTRALIA

ABN 13 115 027 033

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SHARE REGISTRY: Security Transfer Registrars Pty Ltd All Correspondence to: PO BOX 535, APPLECROSS WA 6953 AUSTRALIA 770 Canning Highway, APPLECROSS WA 6153 AUSTRALIA T: +61 8 9315 2333 F: +61 8 9315 2233 E: registrar@securitytransfer.com.au W: www.securitytransfer.com.au

ASX Code: GLFOA Holder Number: Number of Options: Amount Payable:

NOTICE OF EXERCISE OF OPTIONS EXPIRING 31 DECEMBER 2009 @ $0.25 EACH

I/We the above named being the registered holder of Options hereby exercise such Options to subscribe for:

NUMBER	NUMBER	NUMBER	OF NEW	OF NEW	OF NEW	ORDINARY FULLY	ORDINARY FULLY	ORDINARY FULLY	ORDINARY FULLY	ORDINARY FULLY	ORDINARY FULLY	ORDINARY FULLY	ORDINARY FULLY	PAID SHARES	PAID SHARES	PAID SHARES	PAID SHARES			AMOUNT	AMOUNT	AMOUNT	AMOUNT	ENCLOSED	ENCLOSED	ENCLOSED	ENCLOSED	ENCLOSED	@	$0.25	$0.25	$0.25	PER SHARE	PER SHARE	PER SHARE	PER SHARE	PER SHARE
				,						,								$				,						,						.

I/We hereby authorise you to place my/our name(s) on the register of members in respect of the number of New Shares allotted to me/us, and I/we agree to accept such Shares subject to the Rules of the Constitution of the Company.

My/Our contact details in case of enquiries are:

NAME

TELEPHONE NUMBER ( )

EMAIL ADDRESS

@

PAYMENT INFORMATION

Biller Code: 117226 CHEQUE/MONEY ORDER Ref:

All cheques (expressed in Australian currency) are to be made payable to GULF RESOURCES LIMITED and crossed "Not Negotiable". Do not forward cash as receipts will not be issued. Sufficient cleared funds should be held in your account as your acceptance may be rejected if your cheque is dishonoured. Cheques or bank drafts drawn on overseas banks in Australian or any foreign currency will NOT be accepted. Any such cheques will be returned and the acceptance deemed to be invalid.

BPAY® this payment via internet or phone banking.

Applicants should be aware of their financial institution's cut-off time (the time payment must be made to be processed overnight) and ensure payment is processed by their financial institution on or before the day prior to the closing date of the offer. BPAY applications will only be regarded as accepted if payment is received by the registry from your financial institution on or prior to the closing date. It is the Applicant's responsibility to ensure funds are submitted correctly by the closing date and time.

REGISTRY DATE STAMP Individual or Securityholder 1 Securityholder 2 Securityholder 3 E & O.E. Sole Director & Company Secretary Director/Company Secretary Director

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