CAZALY RESOURCES LIMITED — Capital/Financing Update 2003

Dec 10, 2003

11 December 2003 ASX Release

RECORD DATE FOR OPTIONS ENTITLEMENT ISSUE

The record date for entitlements for the Company's proposed Entitlements Issue of Options on the basis of one Option for every three (3) shares then held, will be 31 December 2003 subject to obtaining shareholder approval for the issue of the Options at the general meeting of shareholders to be held 18 December 2003.

All shareholders (except Vendors in relation to Vendor shares) registered on the register of Cazaly at 5.00pm on 31 December 2003 will be entitled to participate in the Entitlements Issue.

A Disclosure Document (Prospectus) for the Entitlements Issue will be dispatched to all shareholders entitled to participate in the issue within three business days after the record date.

Should you have any queries on the proposed Entitlements Issue, please contact Director/Secretary Mr Kent Hunter.

Yours sincerely

Nathan McMahon Managing Director

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