GRANGE RESOURCES LIMITED. — Share Issue/Capital Change 2011

May 5, 2011

Appendix 3B New issue announcement

Rule 2.7, 3.10.3, 3.10.4, 3.10.5

Appendix 3B

New issue announcement, application for quotation of additional securities and agreement

Information or documents not available now must be given to ASX as soon as available. Information and documents given to ASX become ASX’s property and may be made public.

Introduced 1/7/96. Origin: Appendix 5. Amended 1/7/98, 1/9/99, 1/7/2000, 30/9/2001, 11/3/2002, 1/1/2003, 24/10/2005.

Name of entity

Name of Entity: GRANGE RESOURCES LIMITED

ABN

80 009 132 405

We (the entity) give ASX the following information.

Part 1 - All issues

You must complete the relevant sections (attach sheets if there is not enough space).

1+Class of+securities issued or tobe issued2Number of+securities issued orto be issued (if known) ormaximum number which may beissued3Principal terms of the+securities(eg, if options, exercise price andexpirydate;ifpartlypaid+securities,theamountoutstanding and due dates forpayment;if+convertiblesecurities, the conversion priceand dates for conversion)	Ordinary Shares
	334,763 Ordinary Shares
	Not applicable

• See chapter 19 for defined terms.

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Appendix 3B New issue announcement

4Do the+securities rank equally inall respects from the date ofallotment with an existing+classof quoted+securities?If the additional securities do notrank equally, please state:• the date from which they do• the extent to which theyparticipateforthenextdividend, (in the case of atrust, distribution) or interestpayment• the extent to which they donot rank equally, other thaninrelationtothenextdividend,distributionorinterest payment5Issue price or consideration6Purpose of the issue(If issued as consideration for theacquisitionofassets,clearlyidentify those assets)7Dates of entering+securitiesinto uncertificated holdings ordespatch of certificates8Number and+class of all+securitiesquotedonASX(includingthesecuritiesinclause 2 if applicable)	Yes	Yes
	$0.542
	The shares were issued to employees forperformance for the six month periodended 31 December 2010 in accordancewith the terms of the Company’s LongTerm Incentive Plan.
	5 May 2011
	Number	+Class
	1,153,181,487	Ordinary Fully Paid

• See chapter 19 for defined terms.

1/1/2003

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Appendix 3B New issue announcement

9Number and+class of all+securities not quoted on ASX(includingthesecuritiesinclause 2 if applicable)	Number	+Class
	2,100,0002,100,0002,100,000150,000150,000150,000175,00065,0002,369,680	Unlistedoptionsexercisableat$1.9215 and expiring 6 March 2012.Unlistedoptionsexercisableat$2.8715 and expiring 6 March 2012Unlistedoptionsexercisableat$3.3715 and expiring 6 March 2012Unlistedoptionsexercisableat$1.9215 and expiring 1 May 2012.Unlistedoptionsexercisableat$2.8715 and expiring 1 May 2012.Unlistedoptionsexercisableat$2.8715 and expiring 1 May 2012Unlistedoptionsexercisableat$1.9215 and expiring 30 June 2012Unlistedoptionsexercisableat$2.3715 and expiring 1 October 2012Performance Rights

• 10 Dividend policy (in the case of a trust, distribution policy) on the increased capital (interests)

Not applicable

Part 2 - Bonus issue or pro rata issue – Not Applicable

11 Is security holder approval required? 12 Is the issue renounceable or non‐renounceable?

• See chapter 19 for defined terms.

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Appendix 3B New issue announcement

13	Ratio in which the+securities
	will be offered
14	+Class of+securities to which the
	offer relates
15	+Recorddatetodetermine
	entitlements
16	Willholdingsondifferent
	registers (or subregisters) be
	aggregatedforcalculating
	entitlements?
17	Policy for deciding entitlements
	in relation to fractions
18	Names of countries in which the
	entity has+security holders who
	will not be sent new issue
	documents
	Note: Security holders must be told how their
	entitlements are to be dealt with.
	Cross reference: rule 7.7.
19	Closing date for receipt of
	acceptances or renunciations
20	Names of any underwriters
21	Amount of any underwriting fee
	or commission
22	Names of any brokers to the
	issue
23	Fee or commission payable to
	the broker to the issue

• See chapter 19 for defined terms.

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Appendix 3B New issue announcement

24	Amount of any handling fee
	payable to brokers who lodge
	acceptances or renunciations on
	behalf of+security holders
25	If the issue is contingent on
	+security holders’ approval, the
	date of the meeting
26	Date entitlement and acceptance
	form and prospectus or Product
	Disclosure Statement will be
	sent to persons entitled
27	If the entity has issued options,
	and the terms entitle option
	holderstoparticipateon
	exercise, the date on which
	notices will be sent to option
	holders
28	Date rights trading will begin (if
	applicable)
29	Date rights trading will end (if
	applicable)
30	How do+security holders sell
	their entitlements_in full_through
	a broker?
31	How do+security holders sell
	partoftheirentitlements
	through a broker and accept for
	the balance?
32	Howdo+securityholders
	dispose of their entitlements
	(exceptbysalethrougha
	broker)?
33	+Despatch date

• See chapter 19 for defined terms.

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Appendix 3B New issue announcement

Part 3 - Quotation of securities

You need only complete this section if you are applying for quotation of securities

• 34 Type of securities

  • ( tick one )

• (a) � Securities described in Part 1

• (b)[All other securities ]

Example: restricted securities at the end of the escrowed period, partly paid securities that become fully paid, employee incentive share securities when restriction ends, securities issued on expiry or conversion of convertible securities

Entities that have ticked box 34(a)

Additional securities forming a new class of securities

Tick to indicate you are providing the information or documents

35 If the[+] securities are[+] equity securities, the names of the 20 largest holders of the additional[+] securities, and the number and percentage of additional +securities held by those holders

36 If the[+] securities are[+] equity securities, a distribution schedule of the additional +securities setting out the number of holders in the categories 1 ‐ 1,000 1,001 ‐ 5,000 5,001 ‐ 10,000 10,001 ‐ 100,000 100,001 and over

• 37 A copy of any trust deed for the additional[+] securities

Entities that have ticked box 34(b)

38 Number of securities for which +quotation is sought

39 Class of[+] securities for which quotation is sought

• See chapter 19 for defined terms.

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• 40 Do the[+] securities rank equally in all respects from the date of allotment with an existing[+] class of quoted[+] securities? If the additional securities do not rank equally, please state: • the date from which they do • the extent to which they participate for the next dividend, (in the case of a trust, distribution) or interest payment

• • the extent to which they do not rank equally, other than in relation to the next dividend, distribution or interest payment

• 41 Reason for request for quotation now Example: In the case of restricted securities, end of restriction period (if issued upon conversion of another security, clearly identify that other security)

• 42 Number and +class of all +securities quoted on ASX ( including the securities in clause 38)

Number +Class

• See chapter 19 for defined terms.

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Appendix 3B New issue announcement

Quotation agreement

• 1 +Quotation of our additional +securities is in ASX’s absolute discretion. ASX may quote the[+] securities on any conditions it decides.

• 2 We warrant the following to ASX.

  • The issue of the[+] securities to be quoted complies with the law and is not for an illegal purpose.

  • There is no reason why those[+] securities should not be granted +quotation.

  • An offer of the[+] securities for sale within 12 months after their issue will not require disclosure under section 707(3) or section 1012C(6) of the Corporations Act.

Note: An entity may need to obtain appropriate warranties from subscribers for the securities in order to be able to give this warranty

• Section 724 or section 1016E of the Corporations Act does not apply to any applications received by us in relation to any[+] securities to be quoted and that no‐one has any right to return any[+] securities to be quoted under sections 737, 738 or 1016F of the Corporations Act at the time that we request that the[+] securities be quoted.

• If we are a trust, we warrant that no person has the right to return the[+] securities to be quoted under section 1019B of the Corporations Act at the time that we request that the[+] securities be quoted.

• 3 We will indemnify ASX to the fullest extent permitted by law in respect of any claim, action or expense arising from or connected with any breach of the warranties in this agreement.

• 4 We give ASX the information and documents required by this form. If any information or document not available now, will give it to ASX before +quotation of the +securities begins. We acknowledge that ASX is relying on the information and documents. We warrant that they are (will be) true and complete.

Sign here: . Date: 6 May 2011 (Company secretary) Print name: Pauline Carr

== == == == ==

• See chapter 19 for defined terms.

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ASX: GRR

6 May 2011

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N o t i c e u n d e r S e c t i o n 7 0 8 A

Grange Resources Limited (“the Company”) has issued 769,321 ordinary fully paid shares.

The issued shares are part of a class of securities quoted on the Australian Securities Exchange Limited.

The Company gives this notice pursuant to Section 708A(5)(e) of the Corporations Act.

The shares were issued without disclosure to investors under Part 6D.2, in reliance on Sections 708 and 708A(5) of the Corporations Act.

The Company, as at the date of this notice, has complied with:

• (a) the provisions of Chapter 2M of the Corporations Act as they apply to the Company; and

• (b) Section 674 of the Corporations Act.

There is no excluded information for the purposes of Section 708A(7) and (8) of the Corporations Act.