FENIX RESOURCES LTD — Capital/Financing Update 2010

Oct 6, 2010

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ASX/MEDIA RELEASE

7 October 2010

ASX Codes: EMG

Options expiring 30 September 2010- Notification of shortfall

The directors advise that in respect of the listed Options expiring 30 September 2010 exercisable by payment of 20 cents each, that a total of 14,555,901 of these options were exercised. Total funds raised is $2,911,180, plus an additional $1,000,000 was raised from the placement of the 5 million shares previously subscribed for by Casimir Capital Asia Pacific Pty Ltd (Casimir or Underwriter) (announced 6[th] September, 2010). Emergent has consequently raised $3,911,180, which sees Emergent in a sound cash position.

In accordance with the Subscription and Underwriting Agreement (Agreement) with Casimir, a shortfall notice for 1,723,308 shortfall shares has been given. Termination events have occurred under the terms of the Agreement.

The Agreement is also subject to two conditions precedent - the Underwriter securing subunderwriting commitments on terms acceptable to the Underwriter in respect of all of the Underwritten Shares, which has been satisfied; and the company entering into a Placement Underwriting Agreement with the Underwriter, on terms acceptable to the Underwriter. If a Condition Precedent is not satisfied on or before 30 September 2010, the Underwriter may terminate the Agreement by notice to the company.

To date the company has not entered into a Placement Underwriting Agreement with the Underwriter.

Casimir may accordingly terminate the Agreement on notice to the company and not fulfill its underwriting commitments in respect of the shortfall shares. If Casimir terminates the Agreement the company will not raise the additional $344,661 on the underwritten shortfall shares.

Under the Agreement Casimir has until 5:00pm on 13 October 2010 to take up the shortfall shares.

For further information please contact:

Nathan Lude Wolfgang Fischer Chief Executive Officer Executive Chairman

Emergent Resources Limited PH: 08 94816600 E: admin@emergentresources.com.au Website: www.emergentresources.com.au