ENERGY METALS LTD — Capital/Financing Update 2007

Nov 11, 2007

12 November 2007

«Holder_Name» «Address_Line_1» «Address_Line_2» «Address_Line_3» «Address_Line_4» «Address_Line_5»

Energy Metals Limited ABN 63 111 306 533 Level 2 18 Kings Park Road West Perth WA 6005 PO Box 1033 West Perth WA 6872 Western Australia Telephone: (08) 9322 6904 Facsimile: (08) 9321 7950 Email: enquiry@energymetals.net Web: www.energymetals.net

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Dear Shareholder

NON-RENOUNCEABLE RIGHTS ISSUE

On 12 November 2007 Energy Metals announced to the market a non-renounceable rights issue of fully paid ordinary shares ("Shares") to eligible shareholders holding Shares as at 28 November 2007 (the "Record Date") to subscribe for one (1) Share for every twenty (20) Shares then held at an issue price of $3.50 per Share (“Rights Issue”).

Pursuant to new provisions introduced into the Corporations Act 2001, the Company is not required to prepare a prospectus for the Rights Issue.

In accordance with the Listing Rule 7.7.1 of the Australian Securities Exchange, the Company has considered the number of shareholders with registered addresses outside of Australia and New Zealand and the size of the shareholdings held by those shareholders. Taking this into consideration as well as the costs of complying with the legal requirements and the requirements of the regulatory authorities relating to shareholders with registered addresses outside of Australia and New Zealand, the Company has formed the view that it is unreasonable to extend the Rights Issue to those shareholders.

Accordingly, Energy Metals is unable to extend to you the opportunity to participate in the Rights Issue.

If you have any questions in relation to the Rights Issue, please do not hesitate to contact the Company on 61 8 9322 6904.

Yours faithfully,

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LINDSAY DUDFIELD Executive Director.