CORAZON MINING LIMITED — Capital/Financing Update 2007

Aug 27, 2007

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August 28, 2007

Joint Venture with Graynic Metals Ltd Wertago VMS Project, NSW

ASX Release Stock Code: PRW

Proto Resources & Investments Ltd (“Proto”) is pleased to announce the conclusion of a Farm-in and Joint Venture Agreement (“the Agreement”) with Graynic Resources Ltd (“Graynic; ASX Code: GYN”) on Graynic’s Wertago Project north of Broken Hill in NSW. The Wertago Project hosts the historic Wertago copper mines as well as the Nutherungie Silver fields. Proto has acquired the Project in the belief that it has Volcanic Massive Sulphide (“VMS”) characteristics, which Proto is keen to follow up.

Under the terms of the Agreement Proto can elect to earn 60% of the Project by spending $650,000 with a minimum commitment of $150,000 to be spent during the first six months. Proto has also negotiated an option to earn a further 20% of the Project through additional expenditure and the allotment to Graynic of 500,000 Proto shares.

The Wertago tenements have potential for a range of commodity styles but are best known for Cambrian aged geology akin to the Mt Read volcanics in Tasmania. The Project adds significant exploration potential to Proto in a known mineralised area. Prior to this Joint Venture Graynic committed considerable funds to collecting electromagnetic data that has yet to be fully assessed for targets, providing Proto with the potential to define walk up targets in very short time.

Details

The Wertago Project is located 170 km north-east of Broken Hill in eastern New South Wales. The project contains historic copper mines of the Wertago Copper Field, and the Nutherungie Silver fields. The Wertago Project is located along strike from Black Range Minerals Limited’s Grasmere project.

The Deal is structured in three phases.

• Under the first phase of the agreement, Proto will be obliged to spend a minimum of $150,000 within six months of the commencement of the Agreement, which would include assessment and interpretation of airborne EM; design, collection and interpretation of ground EM follow up; and geochemistry over a number of historical prospects and/or EM anomalies. Proto is able to withdraw

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from the Agreement at the completion of the first phase with no beneficial interest being transferred from Graynic to Proto.

• As part of the second phase, Proto commits to a minimum exploration investment commitment of $350,000 and a maximum exploration investment commitment of $500,000 over an 18 month period to earn a 60% interest in the Wertago Project. At the completion of Phase Two any unused funds above $350,000 would be paid to Graynic as shares up to the maximum $500,000 amount.

• As part of the third phase, Proto will furthermore commit to $500,000 of exploration investment expenditure within 18 months to earn 80% of the Project and will issue Graynic with an additional 500,000 shares in Proto at completion of this phase.

Proto will act as Joint Venture Manager and have responsibility for design, implementation and interpretation of surveys and work programs during this time, including any land access negotiations or other requirements.

Proto is very pleased to have been given the opportunity to partner Graynic on the Wertago Project given its general prospectivity for VMS targets. The Wertago Project also complements Proto’s regional focus with Proto having an existing gold Project at Tibooburra, NSW. Proto is furthermore looking to bulk up its asset register in the light of the financing of the Company’s Barnes Hill nickel deposit, to provide the Company with more development projects to drive future earnings. Proto looks forward to commencing work at Wertago very shortly to better understand the geology and potential for future metal production.

For further information please contact:

Andrew Mortimer Chairman & Managing Director Proto Resources & Investments Ltd Phone: +61 (2) 9225 4000 Fax: +61 (2) 9232 5359 Mobile: +61 (0)433 894 923

The information in this report that relates to Exploration Results is based on information compiled by Andrew Johnstone who is a Fellow of the Financial Services Institute of Australasia, members of both the Australian and American Societies of Exploration Geophysicists, and member of the Australasian Institute of Geoscientists (AIG). Mr Johnstone provides exploration management services to Proto Resources & Investments Ltd. Mr Johnstone has extensive qualifications and experience in the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr. Johnstone consents to the inclusion in the report of the matters based on information provided by him and in the form and context in which it appears.

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Suite 5 Level 1, 350 Hay Street, Subiaco WA 6008 ACN : 112 898 825

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PO Box 1681 West Perth WA 6872

P: (08) 6364 0518 F: (08) 6210 1876

Wertago – Information Overview

The Wertago prospect is located 170 km north-east of Broken Hill in eastern New South Wales. The prospect contains historic copper mines of the Wertago Copper Field, and the Nutherungie Silver fields. The prospect is located along strike from Black Range’s Grasmere Project (500t historic copper (“Cu”) production and their recently reported inferred resource estimate of 5.75mt@ 1.03% Cu, 0.35% zinc (Zn) and 2.3g/t Silver (Ag) and contains approximately 60,000 tonnes Cu).

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Production History

Wertago Copper Field

Historical production totalling 6000t Cu-ore was derived from a large number of Cu workings. Several of these had a similar size to the Grasmere mine which is located on the same structural corridor to the south. Larger mines within the Wertago copper field include Copper Well, Bunker Hill, Eclipse and Brady’s Open Cut. Several of these comprised extensive underground operations, delivering Cu-oxide, carbonates and primary ore – generally at approximately 30% Cu and smelters were constructed locally to smelt the ore.

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Suite 5 Level 1, 350 Hay Street, Subiaco WA 6008 ACN : 112 898 825 PO Box 1681 West Perth WA 6872

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P: (08) 6364 0518 F: (08) 6210 1876

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Nutherungie Silver Field

The Nutherungie Silver Field comprises of several silver-lead mines that were worked up to 1886. Recorded tonnages are low (100’s tonnes), but very high grade.

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Suite 5 Level 1, 350 Hay Street, Subiaco WA 6008 ACN : 112 898 825

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PO Box 1681 West Perth WA 6872

P: (08) 6364 0518 F: (08) 6210 1876

Geology

The Cu workings are hosted within a major faulted contact between Devonian sedimentary rocks. This fault zone is called the Koonenberry Fault and is intimately associated with significant Cu-mineralization in the area. Felsic intrusive rocks are also intimately associated with Cu-mineralization. Surface rock chipping and mapping identified lead (Pb) rich veins. Similarities with mineralisation at Nuntherungie and Thackaringa-style quartz-siderite veins were noted.

Exploration History

The most recent extensive exploration was conducted by Rio Tinto (“Rio”) in 1997. Rio held the prospect area and identified its potential to host Century-style Zn mineralisation associated with the Koonenberry Fault and Porphyry copper gold (Cu-Au) mineralisation associated with felsic intrusive rocks in the eastern portion of the prospect. Rio noted that significant base metal mineralisation had been identified in previous drill core at Wertago, Eclipse and Bunker Hill, but most drill holes were not assayed and others were only assayed for Cu even though sphalerite and galena were observed and noted (Pb-Zn mineralisation).

The grade of some of the veins ( 24% Pb, 1125 g/t Ag ) resulted in Rio claiming that the project has bulk open pit mining potential. Despite Rio’s documented enthusiasm, no drilling was conducted in the economically depressed mineral exploration climate of the late 1990’s.

Historic drilling beneath the Eclipse mine returned 2m @ 4.6% Cu . Most of the historic drilling was never assayed, despite massive Zn sulphides being recorded. Rio declared their intention to locate the earlier diamond drill core and submit it for assay; however this does not seem to have occurred. Previous exploration had involved limited soil sampling, airborne geophysics and drilling around historical workings. Of this historical drilling DDH1 (Laurex Exploration, 1963) intersected 12.2m @ 4.6 g/t Au along the Koonenberry Fault in the eastern portion of the project area. No further drilling has been conducted.

Target

The mining history of the area and the location adjacent to the Koonenbery Fault, which is considered as a major conduit of mineralised fluids, make the project an exciting opportunity to repeat the success at Grasmere. The area is interpreted as under-explored and worthy of a focused exploration effort (to enhance Rio’s findings and to repeat previous drilling successes in the area). Recent geophysical surveys undertaken by Graynic have revealed significant conductors along the Koonenberry Fault trace that require follow up ground EM surveys.

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