FireFly Metals Ltd. — Capital/Financing Update 2010

Nov 7, 2010

Exploration Office Warehouse I, 5 Butler Blvd Burbridge Business Park Adelaide Airport SA 5950 Postal Address PO Box 247 Export Park SA 5950

ABN: 96 110 336 733

Tel: +61 8 8375 3900 Fax: +61 8 8375 3999 www.monaxmining.com.au

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For Immediate Release Monday, 8 November 2010

ASX RELEASE

Gravity Survey Commences at Monax’s Punt Hill

Copper-Gold Project in S.A.’s Far North

HIGHLIGHTS

• Gravity survey commenced at Punt Hill Iron-Oxide Copper-Gold Project

• First phase of exploration as part of farm-in agreement with world Top 10 copper producer, Antofagasta

• Drilling program planned for April 2011

Monax Mining Limited (ASX: MOX) is pleased to announce it has commenced a major regional and detailed gravity survey at its Punt Hill Iron-Oxide Copper-Gold project in South Australia’s Far North.

The survey is the first phase of exploration as part of Monax’s recently announced farm-in agreement with major Chilean mining company, Antofagasta PLC ("Antofagasta"), through its wholly-owned subsidiary Antofagasta Minerals S.A.

A proposed drilling program is due to commence at the Punt Hill project following the gravity survey in April 2011 once all necessary approvals have been granted.

Antofagasta is a major Chilean-based copper mining company listed on the London Stock Exchange, which owns and operates three copper mines in Chile. It produced 442,500 tonnes of copper in 2009, and is forecasting an increase in production to 700,000 tonnes in 2011, ranking it as one of the Top 10 copper producers in the world.

Antofagasta is looking to expand its portfolio and currently has exploration and evaluation programs in North America, Latin America, Europe, Africa and Asia. The Punt Hill farm-in agreement (“the Agreement”) with Monax represents its first investment in Australia.

Under the agreement, Antofagasta can earn a 51% interest in the Punt Hill project by committing US$4 million over four years.

Once Antofagasta has obtained this 51% interest, Monax has the ability to remain at 49% by co-funding exploration or development costs, or can elect to have its interest diluted.

Antofagasta can earn a further 19% equity in the project by expending a further US$5 million on exploration and development of the project tenements. If a development decision is made, Antofagasta will pay Monax a success fee of US$10 million. The agreement commits Antofagasta to spend a minimum of US$1.5 million on the Punt Hill project within the first two years.

The Punt Hill project is located within the iron oxide copper-gold (IOCG) province of the eastern Gawler Craton in South Australia, which hosts the Olympic Dam and Prominent Hill mines, as well as the Carrapateena and Hillside deposits (Figure 1). The project comprises two tenements including EL 3457 – Punt Hill and the recently granted EL 4548 – Yeltacowie.

Monax has previously undertaken gravity surveys over parts of EL 3457, and drilling based on these surveys has reported significant copper mineralisation over large intervals including:

• 159m @ 0.47% Cu, 0.12 g/t Au, 5.3 g/t Ag, 0.48% Zn & 0.12% Pb (from 846m) including 17m @ 1.1% Cu, 8.5 g/t Ag & 1.2% Zn from 853m (Hole GHDD6)

• 122m @ 0.47% Cu, 0.1 g/t Au, 6.6 g/t Ag & 0.38% Zn (from 840m) including 15m @ 0.96% Cu, 0.13 g/t Au, 10.5 g/t Ag & 0.52% Zn (from 840m – drill hole GHDD4)

• 126m @ 0.4% Cu (from 837m) including 14m @ 0.7% Cu (from 846m) and 14m @ 1.0% Cu, 0.25 g/t Au & 4.5 g/t Ag (from 940m drill hole GHDD1)

EL 4548 has available gravity data collected over selected parts of the tenement on a 350m x 350m grid. Figure 2 shows the current distribution of gravity stations across the project area and Figure 3 shows the additional gravity stations to be collected under the new survey. The new gravity survey is designed to provide further detailed gravity data in areas deemed prospective, as well as provide regional data in areas of poor coverage. Gravity has proven to be the primary tool for targeting mineralisation in this area and this survey will add 8035 new stations to the 6800 existing stations, resulting in a very comprehensive and high quality data set.

Monax has identified at least ten regional IOCG targets based on the current available gravity data, along with the highly prospective Gopher and Otcheck anomalies on EL 3457 which were defined in the 2009 gravity survey (Figure 4). The Gopher anomaly is located about 15km northwest of the Groundhog prospect, representing a discrete gravity target compared to the prominent gravity ridge seen within the Groundhog area (Figure 4). The Gopher anomaly is approximately 1.5km in length and is modelled at between 250m and 350m depth. Previous exploration drilling by Monax to the north has demonstrated that basement rocks are shallower within this part of the project.

The Otcheck anomaly is located about 6km northwest of the Prairie Dog prospect (Figure 4). Hole PDDD2 reported 152m @ 0.32% zinc from 856m including a 1m intersection of 7.58% copper and 10 g/t silver at 880m. The Otcheck anomaly is currently being modelled.

Other anomalies on EL 3457 include McGregors, North Gap, Treasure Dam, Whittata Hill, Shore Hill, as well as the Greenfield gravity trend, which will benefit significantly from the new gravity data. The Greenfield gravity trend which is currently defined in the regional data (1km x 500m) represents a potential third northwest trending gravity ridge. 250m x 250m gravity will be undertaken to provide greater detail of the basement and search for potential zones of elevated gravity response which may represent upthrust blocks and IOCG mineralisation.

The recently granted EL 4548 is considered by Monax to be highly prospective with at least five areas of interest. The Hunter Hill and Bowman areas along the eastern tenement boundary represent two prominent gravity features, which are on similar structural trends as Carrapateena, located approximately 12km to the east (Figure 4).

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The southern section of EL 4548 contains the Barber Dam, Sherrys Dam and Racecourse gravity features. Two historic drill holes on the tenement (HUD1 & HUD2) demonstrate that basement is around 370m below the surface. This southern section is being re-surveyed at 250m x 250m to provide higher quality gravity data, as this area has been identified as high priority for future drilling.

The gravity survey will take approximately forty days to complete and the data will be processed, modelled and interpreted over the December – February period. Monax is planning to undertake further geophysical testing and screening of selected anomalies using a deep induced polarisation system to rank targets for drill testing.

Drilling of selected targets is planned for April-June 2011 after all necessary approvals are granted.

Gary Ferris Managing Director Monax Mining Limited

For further information please contact:

Gary Ferris Managing Director, Monax Mining Ph: (08) 8375 3900 Email: info@monaxmining.com.au

Duncan Gordon Investor Relations Ph: 0404 006 444

The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr G M Ferris, who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Ferris is employed full time by the Company as Managing Director and, has a minimum of five years relevant experience in the style of mineralisation and type of deposit under consideration and qualifies as a Competent Person as defined in the 2004 edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Ferris consents to the inclusion of the information in this report in the form and context in which it appears.

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Figure 1: Location of IOCG Province on eastern Gawler Craton

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Figure 2: Location of current gravity stations within the Punt Hill project area.

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Figure 3: Location of new gravity stations.

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Figure 4: Current gravity data on the Punt Hill project area showing the location of potential gravity targets including the Gopher and Otcheck targets.

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