GR ENGINEERING SERVICES LIMITED — Capital/Financing Update 2014

Dec 22, 2014

23 December 2014

ASX ANNOUNCEMENT

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Receipt of Funds gets Keysbrook Construction Underway

• US$37.5 million received from RCF

• Keysbrook construction contractors commenced works

COMPANY DIRECTORS

Mal Randall Non-Executive Chairman Trevor Matthews Managing Director

Peter Gazzard Technical Director

Nathan Wong Non-Executive Director

• Scheduled first production in December 2015

• Strong corporate and financial position.

MZI Resources Ltd (ASX:MZI) is pleased to announce it has received funds of US$37.5 million from Resource Capital Fund VI L.P. (RCF) and commenced the development of the Keysbrook Project.

This has enabled the Company to repay its short term debt of approximately $6.5 million and notify all Keysbrook constructors to commence works.

GR Engineering Services Limited (ASX:GNG) has commenced construction activities with a contract value of $54.6 million, initially focussed on completing detailed engineering and equipment procurement. Site works will follow in February 2015. Transmin Engineering Pty Ltd have commenced work on the mine feed unit construction with a contract value of $4.7 million and Western Power have also commenced grid power connection works to a value of $3.9 million.

SENIOR MANAGEMENT

Keith Vuleta Chief Financial Officer

Jamie Wright Chief Development Officer

John Traicos Legal Manager/Company Secretary

CONTACT DETAILS

Principal & Registered Office Level 2, 100 Royal Street East Perth Western Australia 6004

MZI has recently settled the acquisition of a Keysbrook property securing the location of the wet concentrator, project access road, borefields, power infrastructure and initial mining activities. Combined with two smaller properties previously acquired in the Keysbrook project area, this acquisition makes the Company a significant landholder in the Keysbrook area.

Website www.mzi.com.au

Email admin@mzi.com.au

A further RCF funding drawdown will be made in the first quarter of 2015 as the Keysbrook development progresses. RMB Australia Holdings Limited (RMB) senior debt facilities (approximately US$51 million) will be used to fund the completion of construction, commissioning and ramp up to full production.

The drawn and further available funding means the Keysbrook project is fully funded through to production with MZI’s corporate costs also fully funded through to the completion of construction.

Phone +61(8) 9328 9800

Fax +61(8) 9328 9911

ABN: 52 077 221 722 ASX CODE : MZI

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Under the current project schedule construction and commissioning is due to be completed by December 2015 with first product shipments and revenue expected soon thereafter.

The recent restructuring of the Company’s share register which now includes a strong cornerstone investor in RCF and new institutional and high net worth shareholders alongside long term supportive shareholders such as Tricoastal Holdings Ltd, together with the debt funding support from RMB, places MZI in a strong corporate and financial position.

For further details please contact:

Trevor Matthews Managing Director +61 8 9328 9800

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