CORAZON MINING LIMITED — Interim / Quarterly Report 2009

Apr 29, 2009

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QUARTLERY REPORT 31 MARCH 2009

Highlights

• Farm‐in agreement with private Canadian company Nichromet Extractions Inc concluded for Cuban and Guatemalan Nickel Projects

• Graynic’s farm‐in agreement is a significant opportunity to take a regional strategic position in Central America

• Cash reserves of $1.5 million as at 31 March 2009

FARM‐IN AGREEMENT FOR CUBA AND GUATEMALA NICKEL PROJECTS

During the quarter activities were focused on the final negotiations for a farm in agreement with private Canadian company, Nichromet Extractions Inc. (Nichromet) for nickel projects in Cuba and Guatemala.

Under the terms of the farm‐in agreement Graynic will spend US$3 million within 36 months to earn a 50% interest in Nichromet’s projects in Cuba and Guatemala. Graynic can then elect to spend a further US$6 million within an additional 36 month period to earn an additional 25% interest in Nichromet‘s Cuba and Guatemala projects, bringing Graynic’s ownership level to 75%. It is envisaged that this stage would include the completion of a pre‐feasibility study for one of the projects. Once Graynic achieves 75% ownership, Nichromet will be responsible for funding its respective ownership position of 25%. If Graynic elects not to move to a 75% ownership position then Nichromet and Graynic will remain joint 50% owners of the projects and each party will be responsible for funding their respective ownership positions.

Graynic’s farm in agreement with Nichromet covers all the assets contained within these companies, namely the Cajalbana Nickel Project in Cuba and the Rio Negro, Santa Anita and Baja Verapaz Nickel Projects in Guatemala. Collectively these projects represent a suite of nickel assets that delivers to Graynic numerous potential development opportunities in a region with proven profitable nickel laterite production.

The Directors of Graynic believe that the farm‐in and joint venture agreement provides the Company with a significant strategic position in Central America and is pleased to have secured this opportunity in line with the Company’s strategic plan and project generation activities to target nickel laterite projects in tier 1 terrains at a mid‐to‐advanced stage of exploration in regions that have had historical barriers to entry. The acquisition also provides the opportunity for Graynic to generate additional project opportunities in both country locations.

Level 1 PO Box 935 350 Hay Street West Perth WA 6872 Subiaco 6008 T: +61 8 6364 0518 Perth, Western Australia F: + 61 8 6210 1872 admin@graynicmetals.com.au www.graynicmetals.com.au

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Subsequent to the conclusion of the March Quarter reporting period Graynic was advised by Nichromet that it was seeking to renegotiate the terms of the agreement, as it considered that certain Conditions Precedent of the Binding Term Sheet between the parties had not been met. Graynic advises that it is currently in discussions with Nichromet to resolve these outstanding issues and looks forward to a positive resolution in the near future.

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Map showing locations of Cajalbana (Cuba) and Baja Verapaz and Sierra de Santa Cruz (Guatemala)

AUSTRALIAN PROJECTS

Quartz Circle – Western Australia

During February an environmental rehabilitation programme was completed at Quartz Circle. The rehabilitation work was to address the recent drilling programme and also historic drilling activity at the site and involved the rehabilitation of access tracks and drilling sites. Graynic is currently considering its future work plans for Quartz Circle following the drilling programme undertaken last year.

CORPORATE

Cash Position

As at 31 March 2009 Graynic had $1.5 million in cash, which is sufficient to meet all planned expenditure for the 2009 calendar year. As at 29 April 2009, Graynic’s holding in Wolf Minerals Limited of 2,000,000 shares were valued at $1,040,000 (based on the market price of this date), which can be realized to provide an additional source of interim funding if required.

Planning has now commenced to secure additional access to additional funding during the calendar year to be able to progress exploration activities in both Cuba and Guatemala in line with the Term Sheet. Preliminary discussions have been positive and Graynic will continue to keep the market informed.

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Enquiries: Bronwyn Barnes James Moses Managing Director Media and Investor Relations 08 6364 0518 Mandate Corporate 0417 093 256 0420 991 574 bronwyn@graynicmetals.com.au james@mandatecorporate.com.au www.graynicmetals.com.au

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