CONNEXION MOBILITY LTD — M&A Activity 2011

Feb 1, 2011

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ABN 68 004 240 313 145 Flinders Lane Melbourne, 3000 Victoria, Australia

Date: 2 February 2011

To: Australian Securities Exchange Ltd

Attn: Ms. S Dabski Adviser, Issuers (Sydney)

Companies Announcement Office Electronics Lodgement System

Company Update

The board of ECSI Ltd ("ECSI") are pleased to announce an update on the proposed purchase of Alphacoal Capital Pty Ltd ("Alphacoal") which has been the subject of previous announcements (most recently, on 22 December 2010).

As a result of ECSI's due diligence investigations to date and negotiations with the owners of Alphacoal, there are some outstanding issues for ECSI to consider before deciding to proceed with the proposed transaction. Due to the commencement of Chinese New Year holidays, we expect some delays in finalising the outstanding issues.

ECSI expects to have clarity in relation to the outstanding issues before the end of February 2011 and will further update the market at this time.

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Jim Green Chairman – ECSI Ltd For further information Phone: +613 9018 2222