EMETALS LIMITED — Capital/Financing Update 2011

May 22, 2011

WEST PEAK IRON

ASX announcement

23 May 2011

ACN: 142 411 390
T: 08 6460 4960
F: 08 9324 3045
E: admin@westpeakiron.com.au
Suite 9, 1200 Hay Street
West Perth WA 6005
PO Box 281
West Perth WA 6872
www.westpeakiron.com.au

Directors & Management

David Parker:
Executive Chairman

Graham Marshall:
Non-Executive Director

John Royle:
Non-Executive Director

Shane Tomlinson:
Exploration Manager

Issued Capital

24,000,001 ordinary Shares
12,000,000 unlisted options exercisable at 20 cents each on or before 30 June 2013
500,000 unlisted options exercisable at 30 cents each on or before 30 June 2013

ASX Code: WPI

WEST PEAK IRON LTD

FARM-IN FOR GOLD AND BASE METALS AT SANTY WELL

The Board of West Peak Iron Ltd (West Peak or the Company) is pleased to announce that it has entered into a Farm-in Agreement with Cohiba Minerals Ltd (Cohiba) for the non-iron mineral rights of the 100% owned Santy Well tenements being E59/1677 & E59/1678.

Key Points:

• The tenements E59/1677 & E59/1678 were applied for directly by West Peak, which have been recently granted and are currently 100% owned;
• Cohiba must spend a minimum of $100,000 on exploration expenditure within the twelve months to earn a 50% interest in the non-iron mineral rights of the tenements, and can earn up to 90% interest through exploration expenditure of $900,000;
• The Farm-in allows West Peak to focus on iron ore exploration while still maintaining an exposure to upside in gold and base metal exploration at its Santy Well Project.
• The Santy Well project includes approximately 40 kms of the northerly limb of the east trending Tallering Greenstone Belt, which has been identified as having potential for gold and base metals.

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WEST PEAK IRON

Farm-in for gold and base metals at Santy Well

OVERVIEW

The Board of West Peak Iron Ltd (West Peak or the Company) is pleased to announce that it has entered into a Farm-in Agreement for the 100% owned Santy Well tenements (E59/1677 & E59/1678), for the non-iron mineral rights with Cohiba Minerals Ltd (Cohiba).

West Peak Executive Chairman, David Parker said, "we are pleased to have been able to enter into a farm-in arrangement on these two tenements, ensuring that a focused approach to testing the gold and base metal potential of this prospective greenstone belt is carried out. This allows West Peak to maintain its focus on exploring for iron in its prospective Liberian and West Australian tenements while still giving its shareholders exposure to the gold and base metal sectors."

SANTY WELL PROJECT

The Santy Well Project is located approximately 60 kms north of Mullewa in the mid west and consists of six tenements (figure1) of which three are granted and three are under application.

The Santy Well project includes approximately 40 kms of the northerly limb of the east trending Tallering Greenstone Belt, which has been identified as having potential for gold and base metals, with drill targets identified. Previous exploration over the Santy Well project area has been reasonably extensive and successful in defining numerous targets from surface exploration and geophysical surveys; however follow up drilling has generally only been of a shallow nature and appears to have been largely ineffective.

Figure1. Santy Well Project outline

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WEST PEAK IRON

Farm-in for gold and base metals at Santy Well

TERMS OF THE FARM-IN

The tenements subject to the Farm-in are E59/1677 & E59/1678 which are currently 100% owned by West Peak. Cohiba must spend a minimum of $100,000 on exploration expenditure within the twelve months to earn a 50% interest in the non-iron mineral rights of the tenements, and can earn up to 90% interest through expenditure of $900,000 in exploration expenditure. West Peak received $10,000 on signing of the agreement. West Peak maintains all iron rights on the tenements.

The Farm-in Agreement is conditional on Cohiba being admitted to the Official List of the ASX and all necessary third party, regulatory and shareholder approvals and consents where applicable. These conditions must be met on or before 31 August 2011.

“END”

For further information contact:
David Parker; Executive Chairman, West Peak Iron Ltd.
Telephone: +61 8 6460 4960
Email: david@westpeakiron.com.au

COMPETENT PERSONS' STATEMENT

Scientific or technical information in this news release has been prepared under the supervision of Mr Shane Tomlinson, an employee of the Company and a Member of the Australian Institute of Geoscientists (AIG). Mr Tomlinson has sufficient experience which is relevant to the style of mineralisation 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” (the JORC Code). Mr Tomlinson consents to the inclusion in this report of the Information, in the form and context in which it appears.

FORWARD LOOKING AND EXPLORATION TARGET STATEMENTS

Some statements in this announcement regarding estimates or future events are forward-looking statements. They involve risk and uncertainties that could cause actual results to differ from estimated results. Forward looking statements include, but are not limited to, statements concerning the Company's exploration program, outlook, target sizes and mineralised material estimates. They include statements preceded by words such as "expected", "planned", "target", "scheduled", "intends", "potential", "prospective", "seek" and similar expressions.

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WEST PEAK IRON

Farm-in for gold and base metals at Santy Well

ABOUT WEST PEAK

West Peak Iron Ltd (West Peak) is a new exploration company with a focus on iron ore exploration.

West peak has focused on increasing its license holdings through direct tenement applications both in WA and Liberia since floating on the ASX in 2010 and is now in the process of initiating exploration activities over these tenements.

ASX code - WPI	Market Cap @ 22 cps - $5.3m
Issued shares - 24.0m	Cash - $1.5m (approx.)

LIBERIA

West Peak has 1,692km² of granted tenure prospective for iron ore in Liberia through a combination of reconnaissance and exploration licences in the Grand Basa, Bomi, Bong and Rivercess counties. All licences have identified iron bearing formations within their extents and are located close to port, rail and road infrastructure (both existing and currently being upgraded to meet iron ore industry requirements). The company is currently preparing to carry out a field program involving mapping and rock chip sampling to identify prospective targets for drill testing in the later stages of the year.

WESTERN AUSTRALIA

West Peak holds nine granted tenements and thirty two tenement applications, of which five are subject to ballot, in the emerging Mid West and Yilgarn Iron Provinces. West Peak's strategy is to actively explore its land holding to identify and focus on those projects which are believed to have the greatest potential for holding economic iron mineralisation.