EVOLUTION MINING LIMITED — Capital/Financing Update 2011

Apr 12, 2011

==> picture [143 x 141] intentionally omitted <==

==> picture [418 x 141] intentionally omitted <==

----- Start of picture text -----

Media Release / ASX Announcement
----- End of picture text -----

ASX Codes

Shares: CAH Options: CAHOB

Shares on issue: 177,954,355 Share Price Current:

A$1.62 (12 April 2011) 12 month range: A$2.27 (high) - A$1.36 (low) Market Capitalisation: A$287 million

Board of Directors

Non-exec Chairman MD and CEO Non-exec Director Non-exec Director Non-exec Director Non-exec Director

Mr Peter Maloney Mr Bruce McFadzean Mr John Rowe Mr Barry Sullivan Mr Graham Freestone Mr Murray Pollock

Senior Management

Erik Palmbachs CFO & Company Secretary Stuart Pether COO Nick Winnall Manager Exploration Adrian Pelliccia Manager Bus Dev John Winterbottom Manager Geology John Fraser GM - Edna May Raelene Wyatt Manager HR

13 April 2011

EDNA MAY DRILLING UPDATE

HIGHLIGHTS

• Infill and extensional drill programmes scheduled throughout CY2011 targeting priority areas for Underground Resource upgrade at the multi-million ounce Edna May Gold Operations

• Latest results continue to support strong continuity of high-grade mineralisation down dip of historical workings; in line with expectations

• Best intersections include; 4.00m @ 6.8g/t gold, 5.20m @ 5.6g/t gold and 2.20m @ 7.7g/t gold

• Underground mining studies being progressed; targeting the supply of high grade feed to the Edna May process plant in 2012

==> picture [327 x 225] intentionally omitted <==

Figure 1: Stage 3 diamond drilling at Edna May

==> picture [596 x 79] intentionally omitted <==

==> picture [78 x 80] intentionally omitted <==

EDNA MAY DRILLING UPDATE

Catalpa Resources Limited (ASX:CAH) the emerging mid-tier Australian gold producer announces the results of a further two diamond drill holes, testing the significant potential of high grade underground targets at the Edna May Gold Operations, Westonia, Western Australia.

Hole EMD034 is the second of a seven hole drilling programme in Stage 2, which supports the continuity of mineralisation from historical underground workings at Edna May. Results from Hole EMD034 in this area returned multiple gold intersections including 1.2 metres at 7.6 grams per tonne and 1.2 metres at 9.7 grams per tonne (Figure 2 & 3).

Stage 3 drilling has also commenced and results from EMD038 have been returned with best intersections of 5.20 metres at 5.6 grams per tonne , 4.00 metres at 6.8 grams per tonne and 2.2 metres at 7.7 grams per tonne gold . This hole has identified extensions of the newly defined high-grade hanging wall zone of the Edna May Gneiss and a broader zone of mineralisation extending down dip of the existing Mineral Resource (Figure 2 & 4). Best drill results are presented in Table 1.

Stage 2 and Stage 3 infill and extensional drilling programmes are in progress and fully funded to continue drilling throughout 2011. A second diamond drill rig is scheduled to arrive on site in late April 2011 to accelerate the drilling programmes.

Figure 2: Edna May oblique section showing location of diamond holes EMD034 and EMD038

==> picture [370 x 311] intentionally omitted <==

----- Start of picture text -----

Historic
Underground
Workings
EMD034
EMD038
----- End of picture text -----

2 | P a g e

==> picture [78 x 80] intentionally omitted <==

Figure 3: Edna May oblique section showing reef intersections in diamond hole EMD034

==> picture [416 x 293] intentionally omitted <==

Figure 4: Edna May oblique section showing reef intersections in diamond hole EMD038

==> picture [414 x 293] intentionally omitted <==

3 | P a g e

==> picture [78 x 80] intentionally omitted <==

Table 1: Tabulation of Significant Intercepts Subsequent to Previous Announcement

				Significant Drill Intercepts	Significant Drill Intercepts	Significant Drill Intercepts
	Mine East	Mine North			Azi Mine Grid	From (m)	To (m)	Interval Width	Au (g/t)
Hole			RL	Dip
EMD034	11764	9724	1338	-87	130	180.90	182.10	1.20	7.6
						317.30	318.40	1.10	4.3
						327.70	328.90	1.20	9.7
						334.92	336.10	1.18	4.0
						349.78	351.25	1.47	4.4
EMD038	11519	9670	1342	-81	094	222.05	223.25	1.20	3.0
						229.25	230.35	1.10	7.2
						247.25	248.45	1.20	12.7
						261.55	266.75	5.20	5.6
						308.60	310.80	2.20	7.7
						316.80	318.85	2.05	5.30
						330.20	334.20	4.00	6.80

Note: Sampling conducted between geological features or 1m intervals down hole. All samples assayed using a total digest of a 40g charge by fire assay method. No top cuts have been applied.

Edna May Underground Potential

All historical underground workings terminated at the pegmatite dyke (Figure 5) with mineralisation continuous yet undeveloped beyond this geological structure. Mineralisation beyond the pegmatite has been the primary target of Catalpa’s resource definition and expansion drill programmes in 2010 and 2011 with the aim of providing high-grade ore to the Edna May plant in 2012.

Figure 5: Cross section showing historic underground workings terminating at the pegmatite dyke

==> picture [360 x 278] intentionally omitted <==

----- Start of picture text -----

High Grade Reef
System
Historic
Underground
Workings
Pegmatite Dyke
Mineralised Edna
May Gneiss
----- End of picture text -----

4 | P a g e

==> picture [78 x 80] intentionally omitted <==

An update of the Underground Inferred Mineral Resource (currently 660,000 tonnes @ 9.1g/t gold for 195,000 ounces ) is scheduled for May, 2011. This will include results from Stage 1 (22 drill holes totalling 6,330 metres) and current Stage 2 and 3 infill drilling available at the time of estimation. Results are anticipated to upgrade the Mineral Resource confidence to the Indicated category in a significant portion of the area targeted.

Mining studies are in progress for the development of the underground Ore Reserve and life-of-mine plan in alignment with Catalpa’s five year growth strategy to increase Edna May production by concurrent mining of high grade underground ore with the existing open pit operations. Subject to positive underground mining study results, it is envisaged that high grade mill feed will be delivered to the Edna May plant in 2012.

Figure 6 outlines the current progress of the underground study and demonstrates that the study is on schedule.

Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:	Edna May Underground Potential - Indicative Timetable Figure 6:
		2010								2011											2013 2012
UG Evaluation Maiden UG Resource Stage 1 Edna May Infill Drilling Stage 2 Edna May Infill Drilling Stage 3 Edna May Infill Drilling Edna May Deeps Drilling Greenfinch Drilling Mil R Udt S		ept Qtr		Dec Qtr				Mar Q	tr	Jun Qtr Sept Qtr In Pr In Progress In Prr						Dec Q ogress		Mar Q tr			tr	Jun Qtr			Sept Qtr			Dec Qtr			Mar Qtr
nera esourcepae UG Mining Study Ore Reserve Estimate Borefield Establishment Decline Rehabilitation UG Infill Drilling Trial Mining and UG Dev Ramp up UG Ore Production Full Scale Production										In Pro			ogess gress

Drilling Strategy 2011

Edna May

Infill drilling at Edna May will continue throughout 2011 and includes 45 diamond holes for approximately 24,700 metres. There are three aspects to the proposed program:

• Stage 2 drilling - targeting north-east trending lateral extensions below the current underground resource. The program consists of 7 holes for 2,855 metres drilled through the Edna May Gneiss, hosting the known mineralised high grade zones, and through into the Golden Point, as yet relatively untested at this depth. To date, two drill holes have been completed from stage 2;

• Stage 3 drilling - targeting an upgrade to the Inferred category material within the underground resource down to 500 metres below surface. This program consists of 31 holes for approximately 16,950 metres and one drill hole has been completed from this area to date; and

• Deeps drilling – testing for extensions to high grade mineralisation beneath the underground resource to 700 metres below surface. The Deeps program consists of approximately 7 holes for 4,850 metres. A single deep exploratory hole to 1,150 metres depth will also be drilled at the conclusion of the Deeps program to test the mineralisation presence below the Deeps drilling area.

5 | P a g e

==> picture [78 x 80] intentionally omitted <==

Greenfinch

A drilling program at Greenfinch, west of Edna May pit, is planned for late 2011. The program will consist of 28 Reverse Circulation holes for 5,800 metres, predominantly testing westerly extensions to mineralisation from the Greenfinch planned open pit design. A further 9 diamond holes for 3,800 metres will test mineralisation at depth below the pit design.

6 | P a g e

==> picture [78 x 80] intentionally omitted <==

Competent Person Statement

The reported exploration results have been compiled by Mr John Winterbottom (Manager Geology), who is a Member of the Australian Institute of Geoscientists (AIG) and a full-time employee of Catalpa Resources Limited. He has sufficient experience which is relevant to 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 December 2004 edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves” (JORC Code). Mr Winterbottom consents to the inclusion in the report of the matters based upon his information in the form and context in which it appears.

The reported Edna May Underground Mineral Resource has been compiled by Mr Daniel Guibal. Mr Guibal is a Member of the Australian Institute of Geoscientists and an employee of SRK Consulting Pty Ltd. He has sufficient experience, relevant to the style of mineralisation and type of deposit under consideration and to the activity he is undertaking, to qualify as a Competent Person as defined in the ‘Australasian Code for Reporting of Mineral Resources and Ore Reserves’ of December 2004 (“JORC Code”) as prepared by the Joint Ore Reserves Committee of the Australasian Institute of Mining and Metallurgy, the Australian Institute of Geoscientists and the Minerals Council of Australia. Mr Guibal consents to the inclusion in the report of the matters based upon his information in the form and context in which it appears.

About Catalpa Resources Limited

Catalpa Resources Limited (ASX: CAH) is a fast growing mid tier gold producer with two exciting gold assets; a 100% interest in the 100,000 ounces per annum Edna May Gold Operations in Western Australia and a 30% interest in the 100,000 ounces per annum Cracow Gold Operations in Queensland (70% Newcrest Mining Limited).

Catalpa’s flagship Edna May Gold Operations boasts a nine year mine life with a forward sold position of 300,000 ounces of gold at A$1,557.50 per ounce. The Company recently confirmed an impressive high grade underground Resource of 660,00 ounces at 9.1g/t gold for 195,000 ounces. Mining studies are in progress with a view to establishing an underground operation concurrent with existing open pit operations in 2012.

The Cracow Gold Operations has a history of steady underground gold production of over 100,000 ounces per annum for the past five years and it is considered to have considerable exploration upside. Catalpa has a preemptive right over Newcrest’s 70% stake in the asset.

With a combined Mineral Resource of more than 2 million ounces and a combined Ore Reserve of more than one million ounces of gold, the Cracow and Edna May Gold Operations provide a sustainable long life cash flow to fund Catalpa’s growth strategy and provide shareholder returns.

Catalpa is confident that both Edna May and Cracow offer further Reserve and Resource growth potential, with ongoing exploration programs at both operations. In parallel, the Company strives to proactively identify and assess other production growth opportunities.

The Company has a motivated and technically accomplished management team and a highlyexperienced and supportive Board, committed to realising shareholder value from the Company’s asset portfolio.

==> picture [210 x 170] intentionally omitted <==

For further enquiries contact: Bruce McFadzean Managing Director & CEO Catalpa Resources Limited Tel +61 8 6216 9700

Adrian Pelliccia Manager Business Development Catalpa Resources Limited Tel +61 8 6216 9700

7 | P a g e