EVOLUTION MINING LIMITED — M&A Activity 2009

Jul 9, 2009

10 July 2009

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ASX Code: CAH

UPDATE ON MERGER – CATALPA AND LION COMPLETE DUE DILIGENCE

Catalpa Resources Limited (“Catalpa”) and Lion Selection Limited (“Lion”) have each now completed their due diligence in respect of the proposed merger. Each has provided notice to the other that no materially adverse issues have been identified.

Accordingly, the conditions of the proposed scheme of arrangement contained in the Merger Implementation Agreement between Catalpa and Lion in relation to due diligence have been satisfied.

Total number of shares on issue: 1,171,777,896

Share Price Current: $0.097 (9 July 2009)

12 month range: $0.105 (high) - $0.021 (low)

Board of Directors

A number of other conditions of the scheme, as referred to in Catalpa's previous announcement of 24 June 2009, including shareholder approval and court approval, are still to be satisfied.

For further information, please contact:

Mr John Rowe: Non Exec Chairman Mr Bruce McFadzean: Managing Director Mr Murray Pollock: Non Exec Director Mr Barry Sullivan: Non Exec Director Mr Nigel Johnson: Non Exec Director Mr Graham Anderson: Company Secretary Mr Leonard Math: Company Secretary

Contacts:

Bruce McFadzean Managing Director Catalpa Resources Limited Tel (08) 9321 3088

Senior Management

Erik Palmbachs CFO Stuart Pether GM Operations Nick Winnall Exploration Manager Adrian Pelliccia Geology Manager

ENDS

Major Shareholders

Lion Selection Group Limited 46.75% HSBC Custody Nominees 6.49% National Nominees Limited 4.34% ANZ Nominees Limited 2.76% Reneagle Pl 1.62% Goldrich Holdings Pty Ltd 1.37% Nefco Nominees Pty 0.87% Springtide Capital 0.85% Zero Nominees Pty Ltd 0.76% Prospect Cust Ltd 0.58%

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