EVOLUTION MINING LIMITED — Investor Presentation 2009

Aug 3, 2009

CATALPA RESOURCES GROWTH TO MID TIER PRODUCER Diggers and Dealers – Media Presentation 4 August 2009

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Disclaimer

Presentation (in this projected form and as verbally presented) is provided on the basis that none of the Company nor its respective officers, shareholders, related bodies corporate, partners, affiliates, employees, representatives and advisers make any representation or warranty (express or implied) as to the accuracy, reliability, relevance or completeness of the material contained in the Presentation and nothing contained in the Presentation is, or may be relied upon as, a promise, representation or warranty, whether as to the past or the future. The Company hereby excludes all warranties that can be excluded by law. The Presentation contains prospective financial material which is predictive in nature and may be affected by inaccurate assumptions or by known or unknown risks and uncertainties, and may differ materially from results ultimately achieved.

The Presentation contains "forward-looking statements". All statements other than those of historical facts included in the Presentation are forward-looking statements including, without limitation, (i) estimates of future earnings, and the sensitivity of earnings to the gold and other metals prices; (ii) estimates of future gold and other metals production and sales; (iii) estimates of future cash costs; (iv) estimates of future cash flows, and the sensitivity of cash flows to gold and other metals prices; (v) estimates o f f u t ure cap it a l expen dit ures; an d ( v i) es ti ma t es o f reserves, an d s t a t emen t s regar di ng f u t ure exp ora l ti on resu lt s an d th e replacement of reserves.

Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to, gold and other metals price volatility, currency fluctuations, increased production costs and variances in ore grade or recovery rates from those assumed in mining plans, as well as political and operational risks and governmental regulation and judicial outcomes. The Company does not undertake any obligation to release publicly any revisions to any "forward-looking statement" to reflect events or circumstances after the date of the Presentation, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws. All persons should consider seeking appropriate professional advice in reviewing the Presentation and all other information with respect to the Company and evaluating the business, financial performance and operations of the Company. Neither the provision of the Presentation nor any information contained in the Presentation or subsequently communicated to any person in connection with the Presentation is, or should be taken as, constituting the giving of investment advice to any person.

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Mid Tier Gold
The Catalpa Growth Story
Producer
Approvals
Finalised
Construction
A$39M Equity
Raised complete
Project Merger
Debt Finalised
A$68M
Catalpa Construction
Name Commences
Change
Merger
Announced
Additions
Hedge
to Board
350,000 oz
A$1,557/oz
Feasibility
Study
Finalised
50% Increase
Reserves
Feasibility
Study
Commences
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Merger - Immediate Benefits to Catalpa Shareholders

Immediate gold producer status: ~30koz/pa of attributable from Cracow Immediate cash flow

Greater scale:

~130+koz/pa

larger proportion of un-hedged production Removal of controlling shareholder Lion 46.9%

largest post merger shareholder 6 . 5% Diversity

two mines

open-cut and underground

Pre-emptive right over Newcrest’s 70% interest in the Cracow Gold Mine Catalpa continues to be focused and well funded and has an experienced Board and ManagementTeam

Exploration Upside

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Creates a Diversified Australian Mid Tier Gold Producer

Edna May 100% Cracow 30% (1) History History Underground 360k oz Underground 650k oz Open Pit 270k oz Open Pit 200k oz Modern Production Modern Production 450k oz Total 630k oz Total 1,300k oz Location Rural Location Rural Workforce Local Workforce Commute Approvals Permitted Approvals Permitted Mine life upside 12 years Mine life upside 10 years Cairns Brisbane Kalgoorlie Perth Sydney 5

Creates a Diversified Australian Mid Tier Gold Producer

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Edna May 100% Cracow 30% (1)
Type Open Pit Type Underground
Annual Production
Annual Production 100k oz [(a)]
- 100% 107k oz [(2)]
Reserve 817k oz
- 30% 31k oz [(2)]
Resource 1.5m oz Reserve
- 100% 176k oz [(3)]
Cash Cost (pre royalty) $636/oz
- 30% 53k oz [(3) ]
Expected cash flow $75m pa [(b)] Resource
Hedging: - 100% 704k oz (3)
- 30% 211k oz [(3)]
352,317 Oz @ $1,557.5/oz
Cash Cost $<600/oz [(4)]
Unhedged
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(a) In construction, 1st gold pour 2Q10

(b) based on $1400/oz gold price post royalty

• (1) Cracow is 70% owned and operated by NCM

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(2) 07/08 figures taken from LST Annual Report 2008 07/08 figures taken from LST Annual Report 2008
Cairns (3) LST Annual Report 2008
(4) Based on Lion’s last 4 quarterly reports
Brisbane
Kalgoorlie
Perth
Sydney
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• (2) 07/08 figures taken from LST Annual Report 2008 07/08 figures taken from LST Annual Report 2008

Catalpa Structure (Post Merger)

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Capital Structure
Ordinary Shares 144.7m
Lion shareholders Catalpa shareholders
100%
% held by:
60.9% [(2)] 39.1%
-
Lion shareholders 60.9%
Lion Investments
(1)
-
Existing Catalpa 39.1%
shareholders CATALPA
(post merger)
Options 15.7m
100% 30%
Post a 1 for 11 share consolidation
Cracow [(3)] Cracow
Edna May Cash
LST will contribute $1.5m of cash and (JV) Pre-emptive
its 11.7m (129.3m pre consolidation) • 100koz+ production • 31koz production •~$40m
• Reserves 817k oz • Reserves 53k oz
Catalpa options under the scheme • Resource 1.5m oz • Resource 211k oz
• 1 [st] gold pour mid 2010 • Operating
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• Catalpa shares and options previously held by Lion will be cancelled within 12 months, subject to Catalpa shareholder approval

Notes:

• (1) To be listed on the National Stock Exchange (NSX)

• Catalpa has a $68m project finance facility with Macquarie Bank

• (2) To be ~57% on a fully diluted basis

• (3) Figures for 30% interest

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Edna May – Catalpa’s Key Asset

Our key asset and growth vehicle 1.5M oz Resource / 817,000 oz Reserve (61% Proved) Well drilled & metallurgically tested >100,000 average oz pa production First gold pour for June Qtr 2010 >7 year mine life based on current Reserve Stron o eratin cash flow g p g Resource & Reserve upgrades planned Regional exploration upside Project capital funded Construction commenced Power, water at gate and town within 2 km Rural location & local labour Recruitment of senior personnel commenced

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OPEN PIT DESIGNS AND SITE LAYOUT

Greenfinch now included in LOM plan

Greenfinch and Edna May Reserve growth positive Further drilling now

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Resource Growth Program – Drilling Now

Pre-collars completed

16 holes for 4,000m drill program commenced 1,000m RC pre-collars drilled Diamond tail drilling commenced

OPEN PIT & UNDERGROUND POTENTIAL

Open pit expansion to…..

Underground potential expanding on 2008 drilling success

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Edna May Gold Project Reserve Growth Potential

Edna May Gold Project - Ore Reserve Upgrade Path

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1,400,000
1.25M
1,200,000
1,000,000
800,000
600,000 2009/12 Reserve Growth Path
400 , 000
2008/09 Reserve Growth Path 50%
200,000
-
Planned Ore Reserve growth to 1.25M ounces
Reserve growth projected to twice Edna May’s historical production of
630,000 ounces
12
Ounces
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Further Regional Targets

RAB targets along Greenstone belt within 10km of process plant Untested auger anomalies Untested historical workings Magnetic lows – Edna May look-alikes

Cracow - Proven Growth, Unhedged Producing Mine

30% - JointVenture Newcrest - 70% and sound operator Large epithermal system 2M oz endowed field 100koz pa producer supported by history – Exploration growth story new structures and extensions of structures

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2005 – Discovered
2009
1995 – Newcrest and 2001 – Discovered 2002 – Kilkenny Structure Encouragement along strike
Sedimentary form 70/30 Discovered
Sovereign, 2008 Kilkenny (south) of
JV to explore Cracow Field Crown Shoot Empire & Resource Kilkenny
targeting epithermal 1999 – Phoenix (200,000oz Resource – New
mineralisation Discovered Structures inferred) Shoot ??
Royal Shoot
1932-92: Sporadic
1931 – Payable gold discovery and production
1875 – First Gold
discovered (Golden of 850koz, mainly from
Discovered 14
Plateau) Golden Plateau
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Mine Life Growth

Edna May growth to 10 years and beyond Cracow growth to 10 years and beyond Significant platform for growth towards a third project

Indicative Merged Entity Recovered Ounce Profile

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160,000
140,000
120 , 000
100,000
80,000
60,000
40,000
20,000
-
FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020
Edna May Reserve Edna May Upside Cracow Inventory Cracow Upside
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Recovered ounces
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Catalpa – Key Dates & Project Timeline

Construction Commissioning First Gold Pre-strip Production Ramp Up Full Production Merger Finalised Cracow Cashflow	2009	2009	2009	2009	2009	2009	2010	2010	2010	2010	2010	2010	2010	2010	2010	2010	2010	2010
	Q3			Q4			Q1			Q2			Q3			Q4
	Jul	Aug	Sep	Oct	Nov	Dec	Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec

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Favourable Valuation Metrics

Catalpa offers strong potential for re-rating

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(1)
EV/Resource EV/Reserve (1)
400
900
350 800
300 700
Weighted average
250 EV/ Resource Oz 600
200 500 Weighted average
EV/ Reserve Oz
400
150 Re-rating potential
300
100 200 Re-rating potential
50
100
0 0
Dominion Avoca Sino Gold Kingsgate St Barbara Catalpa Catalpa Resolute Avoca Dominion Kingsgate Sino Gold Resolute St Catalpa Catalpa
(post merger) Barbara (post merger)
Catalpa production estimate compared to
selected 2008/9 [(2)] Australian gold producers
350
300
250
200
150
100
50
0
Resolute St Barbara Sino Catalpa Dominion Catalpa Avoca Kingsgate
M arket Cap
(A$m) 220.2 388.4 1552.6 (Post 467.6 103.1 393.7 596.0
23 June 2009 merger)
EV$/Resource Oz
EV$/Reserve Oz
'000 Oz Au
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(1) Calculated based on proposed merger ratio and last traded Catalpa share price prior to date of announcement (2) Production figures are total of previous 4 quarters per Company announcements Source: Austock research

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A Strong and Experienced Board

The board of Catalpa post the transaction will comprise

PETER MALONEY, Non-Executive Chairman

Peter Maloney has broad commercial, finance and management expertise and experience. In a long career with WMC Resources, he held the positions of Treasurer, Executive Vice President Americas, and Manager Commercial and Marketing – WA. He has also been Executive General Manager, Finance at Santos and Chief Financial Officer at FH Faulding. Peter has managed varied debt and equity financings, mergers, takeovers, acquisitions, divestments, joint venture negotiations, commodity sale agreements, commodity and currency hedging programs, gold and nickel sales, and has been involved in a number of IPOs.

BRUCE MCFADZEAN, Managing Director

Mr McFadzean, 51, a mining engineer, brings over 30 years of management, mining, processing and project "start up" experience to the organisation, half of which was gained in the employ of global resources brands, Rio Tinto and BHP Billiton. Mr McFadzean has broad commodity experience in gold, iron ore, diamonds and nickel/cobalt and in a wide range of roles including corporate, managerial, technical and operational. Mr McFadzean is a non-executive director of Venture Minerals Limited.

BARRY SULLIVAN, Non-Executive Director

Mr. Sullivan is an experienced and successful mining engineer with a career spanning 40 years. His initial mining experience was gained in the South African gold mining industry, followed by more than 20 years with Mount Isa Mines. In the final 5 years of his tenure with MIM, Mr Sullivan was Executive General Manager responsible for the extensive Mount Isa and Hilton operations. More recently, Mr Sullivan has been working with a number of smaller exploration and mining companies .

JOHN ROWE, Non-Executive Director

John Rowe brings a wealth of geological and business development skills to the Company. Mr Rowe has 35 years experience within the Nickel and Gold industries of Western Australia. He has held a variety of positions in mine management, exploration and business development and was previously employed as an executive of Lion Ore in Australia.

MURRAY POLLOCK , Non-Executive Director

Murray Pollock is a businessman with 40 years experience within the mineral resource sector, principally in drilling. Mr Pollock is a drilling and mine management services consultant for several companies.

GRAHAM FREESTONE, Non Executive Director

Graham Freestone has over 30 years experience in the finance and natural resources industry in Australia and internationally. He has a broad based finance, corporate and commercial background obtained from various senior finance positions with the Shell Group, Acacia Resources and AngloGold.

Graham was comprehensively involved in the float of the Shell Group’s mineral interests through Acacia Resources Limited.

Catalpa’s existing management remains in place

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Catalpa Value Proposition

Catalpa Today	Catalpa Today
Experiencedteamwith rack record of delivering projects Well definedand understood resource Favourablevaluationmetrics Debt and Equityfunding complete Feasibility study completed and assumptions conservative	Favourable environment to negotiate capital and operating costs Plant on site and all permits issued Grid power, water and town infrastructure adjacent to the project Strong cash margin provides platform for growth
Additional Merger Benefits
Immediate gold producer status – ~30koz/pa of attributable production from Cracow Immediate cash flow -Cracow cash costs currently ~$575/oz Greater scale –Company production growing to ~130+koz/pa, with a larger proportion of unhedged production Removal of controlling shareholder –LST currently holds 46.9%. Post merger no shareholder will hold more than 6.5%	Diversity –operating two mines, open-cut and underground operations Pre-emptive right -over Newcrest’s 70% interest in the Cracow Gold Mine Significant potential to increase resources and reserves –through near mine exploration success Remain focused on Edna May build

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Competent Person Statement

The reported Edna May Mineral Resource has been compiled by Mr Nic Johnson. Mr Johnson is a Member of the Australian Institute of Mining and Metallurgy and an employee of Hellman & Schofield 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 Johnsons gives Catalpa Resources Limited consent to use this estimate in reports.

The reported Edna May Ore Reserves have been compiled by Mr Harry Warries. Mr Warries is a Member of the Australian Institute of Mining and Metallurgy and an employee of Coffey Mining 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 Warries gives Catalpa Resources Limited consent to use this estimate in reports.

Information that relates to Mineral Resources and Ore Reserves at Cracow are based on information compiled by Mr A . Pelliccia from relevant Lion Selection Ltd company reports and announcements. Mr Pelliccia is a Member of the Australasian Institute of Mining and Metallurgy and a full-time employee of Catalpa Resources Ltd. Mr Pelliccia has sufficient experience which is relevant to this style of mineralisation and 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 Pelliccia consents to the inclusion in the report of the matters based on their information in the form and context in which it appears.

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