FOCUS MINERALS LTD — Capital/Financing Update 2009

Aug 11, 2009

ABN 48 106 732 487

12 August 2009

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ASX Announcement

Exclusive Ore Treatment Negotiations Commenced

KEY POINTS

• Focus Minerals Limited signs exclusive right to negotiate an agreement with Matsa for the treatment of ore from the North Scotia deposit at Matsa’s 100% owned Norseman Project.

• First ore delivery planned for First Quarter 2010.

• Focus Minerals to take placement of shares in Matsa.

Agreement to Treat Ore

Matsa Resources Limited (ASX:MAT, the “Company”) is pleased to announce that it has signed an Agreement with Focus Minerals Limited (ASX:FML, “Focus Minerals”) giving Focus Minerals the exclusive right to conclude a formal and binding Transaction Agreement for the treatment of ore from the North Scotia gold deposit within Matsa’s Norseman Project. Whilst the terms have already been substantially agreed upon, this exclusive period is valid until 30[th] September 2009.

The terms of the agreement will present opportunities for both companies to benefit from the processing and sharing of profits from the North Scotia gold deposit. The consideration for the treatment of gold ore will be determined by a formula that accounts for the ore grade, recovery rates and the cost of processing.

The details of the agreement will be:

• Matsa will mine and haul its ore to the Focus Minerals plant near Coolgardie;

• Focus Minerals will treat the ore in scheduled campaigns commencing in February 2010 depending on delivery schedules as determined by Matsa’s mining programme;

• Matsa and Focus Minerals will together monitor the entire process of ore treatment including reconciliation of output;

• Focus Minerals will deliver gold within 5 days of the completion of the processing cycle.

The signing of this preliminary agreement presents the mutual benefit that the two companies can create when dealing with each other. Furthermore, both companies are eager to explore ways they can continue to work together to further enhance the prospects of additional volumes in the future, including ore from Matsa’s other deposits.

Head Office: 310A Newcastle Street, Perth Western Australia 6000 Tel : +61 8 9230 3555 Fax : +61 8 9227 0370 Kalgoorlie Office: Suite 1, Vosper House, 31‐33 Dugan Street, Kalgoorlie 6430 Tel: +61 8 9021 7200 Fax: +61 8 9021 7277 reception@matsa.com.au www.matsa.com.au P a g e

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Matsa executive chairman Mr Paul Poli said “the signing of this agreement and creation of this intended partnership is significant to Matsa as it ensures that the Company can honour its commitment to create near term cash flow for the Company. The directors of Matsa will be able to turn the Company into a profitable mining business and to further enhance the prospects of the Norseman project. We have been able to engineer the change of the Company’s circumstances to be a potential miner in a difficult economic climate and world uncertainty. Our thanks must go to our team of professionals and to Focus Minerals for having the foresight to seize this opportunity.”

Share Placement

In addition to the agreement, Matsa is pleased to announce that Focus Minerals will take a placement of shares in the Company subject to certain conditions to the value of $200,000 being the average of the VWAP for each of the trading days from and including 3[rd] August 2009 up to and including 7[th] August 2009 being 16.1 cents. This placement will demonstrate the confidence and determination Focus Minerals has in the two company’s ability to work together to ensure that a final agreement is completed promptly and efficiently.

Mining Studies on Track

Further to the release on 10[th] June 2009 the Company confirms that the mining studies and associated works continue to progress well at this stage, with no material delays expected prior to receiving mining approval by the end of 2009 and for the commencement of mining activities early in 2010.

The North Scotia Scoping study, announced in March 2009, (refer diagrams 1 and 2 below), indicates that the project is capable of producing between 21,000 an 26,300 ounces of gold from between 90,000 and 120,000 tonnes of ore at around 6.8 to 7.2 g/t.

This study was based on the use of a conventional mining fleet and the Company is confident that the milling, mining and capital costs are realistic given the location of the proposed mine to both Norseman and Kalgoorlie.

For further Information please contact:

Andy Viner Paul Poli Executive Director Executive Chairman

Phone +61 8 9230 3555

Fax +61 8 9227 0370 Email reception@matsa.com.au Web www.matsa.com.au

The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Richard Breyley, who is a member of the Australasian Institute of Mining and Metallurgy. Richard Breyley is a full time employee of Matsa Resources. Richard Breyley has sufficient experience which is relevant to the style of mineralisation and the type of ore deposit under consideration 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 Mineral Resources and Ore Reserves. Richard Breyley consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

MATSA RESOURCES LIMITED

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Diagram 1: North Scotia Long section, showing grams x metres of intersection.

MATSA RESOURCES LIMITED

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Diagram 2: North Scotia Cross section at 3180, showing drillhole intercepts.

MATSA RESOURCES LIMITED

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