GRATIFII LIMITED — Capital/Financing Update 2012

Jun 7, 2012

ASX ANNOUNCEMENT

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8[th] June 2012

Drilling Update at Youkou/Mekambo-Est Iron Ore Project, Central Africa

• Drilling program to date has delivered 14 holes totalling 698 metres

Ordinary shares on issue 199M Options @ ~22c 28.4M Market cap. @ 18.5c 37M Cash (March 2012) 3.1M

• Assay Results support initial hand-held XRF Niton results

• Next batch of samples exported for independent laboratory assay testing in Johannesburg

• Drilling continues along strike

African focused iron ore explorer, Waratah Resources Limited (ASX: WGO) (“Waratah” or “the Company”), is pleased to announce an update on its drilling program and development progress at its Youkou/Mekambo-Est Iron Ore Project in Central Africa.

Terry Streeter

William Witham

Managing Director

Peter Bennetto

Non Executive Director

Assays confirm Niton results

Waratah previously reported the 7[th] drill-hole, YKD007, was logged at 26 metres at 62% Fe (iron) using the hand-held XRF Niton. The core from this hole was expedited through the ALS Johannesburg laboratory, and the assay results returned confirmed similar or higher Fe content with the best result being (20 metres at 66.9% Fe, 0.089% P, 1.78% Si ).

Assay results for the remaining drill-holes in the first batch sent to ALS Johannesburg have been received and are featured below (Table 1 and Appendix 1). There is a good correlation between the assay results from the laboratory and hand-held XRF Niton.

Company Secretary

CONTACT INFORMATION

AUSTRALIA – Head Office

T: +61 8 6365 4532

F: +61 8 6210 1872

Drilling

Since 29 January 2012, two Company-owned and operated diamond drill rigs have been drilling on site. To date, 14 drill holes have been completed, with over 698 metres drilled to date.

All core samples have been subject to preliminary analysis on site using a handheld portable XRF Niton. Each metre of core is analysed in at least three localities within the sample, taking into account minor changes in lithology.

Managing Director Mr. William Witham said the initial assay results were a positive outcome for shareholders.

“Drilling has been ongoing at Youkou/Mekambo Est and delivering results for the assay laboratories. Drilling rates have been slow due to the hardness of the rock and we look forward to accelerating the drilling program with the arrival of a new heavier diamond rig in the coming months.”

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Hole ID	EAST	NORTH	ELEV	DIP	AZIMUTH	DEPTH	SURVEY	STATUS	IRON MINERALISATION COMMENTS
YKD001	440020	88647	668	-90	0	72.16	GPS	COMPLETE	Fe mineralisation 29 - 61m @ 30% Fe
YKD002	439965	88662	668	-90	0	45.70	GPS	COMPLETE	No significant Fe intersection
YKD003	440041	88727	671	-60	100	43.51	GPS	COMPLETE	Fe mineralisation 7 - 40 m @ 32% Fe
YKD004	440022	88644	669	-60	100	40.83	GPS	COMPLETE	Fe mineralisation 14 - 37m @ 36% Fe
YKD005	439914	88828	698	-90	0	34.52	GPS	COMPLETE	Fe mineralisation 0 - 27m @ 38% Fe
YKD006	440186	89268	671	-60	85	37.71	GPS	COMPLETE	Fe mineralisation 0 - 31 m @ 36% Fe
YKD007	439946	89002	677	-90	0	36.69	GPS	COMPLETE	Fe mineralisation 2 - 28 m @ 62% Fe
YKD008	440120	89172	695	-60	105	60.79	GPS	COMPLETE	Fe mineralisation 14 - 60.79 m @ 31% Fe
YKD009	439980	89067	667	-60	100	26.10	GPS	COMPLETE	No significant Fe intersection
YKD010	439935	88942	678	-60	100	28.97	GPS	COMPLETE	Fe mineralisation 0 - 22 m @ 32% Fe
YKD011	440001	89164	690	-60	100	50.36	GPS	COMPLETE	Fe mineralisation 1 - 47 m @ 32% Fe
YKD012	440070	89360	700	-60	100	100.00	GPS	planned
YKD013	440127	89450	700	-60	100	100.00	GPS	planned
YKD014	440157	89646	700	-60	100	100.00	planned	planned
YKD015	440148	89858	700	-60	100	100.00	planned	planned
YKD031	440217	89448	661	-60	95	40.76	GPS	COMPLETE	Fe mineralisation 1 - 41 m EOH
YKD032	440243	89637	654	-60	100	25.86	GPS	COMPLETE	Fe mineralisation 0 - 25.86 m EOH
YKD033	440256	89835	693	-60	100	63.85	GPS	COMPLETE	Fe mineralisation 0 - 63 m @ 37% Fe
YKD034	440266	90032	686	-60	100	76.80	GPS	COMPLETE	Fe mineralisation 2 - 46 m @ 37% Fe
YKD035	440250	90242	700	-60	100	100.00	GPS	In Progress

Table 1. Youkou Project – Drill Hole Collar Information

ENDS

For further information or media enquiries please contact:

William Witham Managing Director Waratah Resources Ltd. T: +61 8 6365 4532

W: www.waratahresources.com.au

Warrick Hazeldine or Greg Galton Canning Purple T: +61 8 6314 6300 E: WHazeldine@purplecom.com.au E: GGalton@purplecom.com.au

Competent person statement: Technical information in this report is based on information compiled by Mr. William Witham B.Sc. Geology (Hons), Waratah Geologist and a member of the Australian Institute of Geoscientists. Mr. Witham has sufficient exploration experience which is relevant to the styles of mineralisation and types of deposit under consideration and to 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 Exploration Results, Mineral Resources and Ore Reserves’ (“JORC 2004”). Mr. Witham consents to the inclusion in this release of the matters based on his information in the form and context in which it appears.

XRF Analytical method - Drill-core is being analysed using the portable Niton XLT hand held XRF analyzer (Niton). This equipment is being used by Waratah. Waratah is confident to use Niton as an indicator only of iron mineralisation to report exploration results. Waratah’s Niton procedure is to orientate and geologically log drill core. Then a Waratah geologist uses the Niton to record spot readings taken over a 30 second period for iron every 30cm. Results are averaged for intervals of drill core and reported on minimum widths of 1m.

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APPENDIX ONE

NITON AND LABORATORY ASSAY RESULTS

		YKD001			YKD003	YKD003	YKD003	YKD003
FROM	TO	ALS Fe	NITON Fe		FROM	TO	ALS Fe	NITON Fe
26	27	2.7	5		0	5	40.82	16
27	28	6.33	5		5	8	41.05	32
28	29	10.12	5		8	10	39.03	27
29	30	20.9	16		10	11	42.49	37
30	31	31.69	34		11	13	45.91	31
31	32	32.93	36		13	14	21.05	36
32	33	33.12	27		14	15	21.78	14
33	34	34.08	31		15	16	26.23	45
34	35	35.97	34		16	17	18.1	37
35	36	35.73	35		17	18	34.85	14
36	37	34.8	41		18	19	30.69	40
37	38	36.58	34		19	20	32.37	11
38	39	36.59	34		20	21	33.84	40
39	40	32.28	35		21	22	33.26	34
40	41	25.4	34		22	23	40.84	40
41	42	36.17	30		23	24	36.82	40
42	43	30.82	32		24	25	37.27	33
43	44	30.7	31		25	26	37.01	31
44	45	27.52	34		26	27	32.78	33
45	46	32.75	36		27	28	34.98	46
46	47	29.2	36		28	29	39.76	37
47	48	28.74	38		29	30	24.6	35
48	49	24.43	19		30	31	38.62	40
49	50	36.53	34		31	32	38.36	53
50	51	34.97	39		32	33	26.04	30
51	52	35.04	36		33	34	30.82	30
52	53	35.57	46		34	35	31.63	35
53	54	20.45	30		35	36	32.94	33
54	55	21.5	26		36	37	28.59	37
55	56	14.14	10		37	38	29.46	33
56	57	4.45	6		38	39	28.51	32
57	58	11.84	9		39	40	24.67	16
58	59	10.84	12		40	41	3.75	7
59	60	16.43	12		41	42	2.94	2
60	61	16.08	31		42	43	3.53	3
61	62	11.47	14		43	43.57	20.05	36
62	63	7.67	2

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	YKD006	YKD006			YKD007	YKD007	YKD007	YKD007
FROM	TO	ALS Fe	NITON Fe		FROM	TO	ALS Fe	NITON Fe
0	1	31.03	20		3	4	63.37	60
1	2	42.99	22		4	5	66.33	57
2	3	41.15	36		5	7	64.92	57
3	4	37.57	38		7	8	66.68	58
4	5	38.45	46		8	9	67.46	70
5	6	36.47	39		9	10	66.8	58
6	7	37.55	33		10	11	67.92	39
7	8	35.91	46		11	12	67.96	67
8	9	34	30		12	13	67.91	73
9	10	33.67	32		13	14	67.64	70
10	11	34.85	36		14	15	67.89	72
11	12	34.92	40		15	16	67.91	74
12	13	34.61	38		16	17	66.43	67
13	14	35.47	35		17	18	67.95	66
14	15	37.82	38		18	19	67.81	66
15	16	35.63	34		19	20	67.24	66
16	17	34.64	37		20	21	67.67	67
17	18	29.49	38		21	22	67.62	66
18	19	25.41	21		22	23	65.24	63
19	20	21.82	37		23	24	61.25	65
20	21	32.43	39		24	25	64.08	72
21	22	33.73	31		25	26	53.17	56
22	23	21.59	20		26	27	57.03	48
23	24	13.3	15		27	28	36.89	30
24	25	24.98	24		28	29	22.62	20
25	26	20.8	11		29	30	12.5	22
26	27	17.14	15		30	31	13.76	8
27	28	28.11	18		31	32	20.1	24
28	29	25.21	11		32	33	16.25	11
29	30	41.93	30		33	34	14.91	12
30	31	41.07	50
31	32	21.97	9
32	33	26.17	22
33	34	12.88	8
34	35	18.6	10
35	36	21.08	24
36	37	17.13	13
37	37.71	12.81	17

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ABOUT WARATAH RESOURCES LIMITED

Waratah Resources Limited (ASX: WGO) (“Waratah” or “the Company”) is an ASX listed iron ore company with a focus on its projects in the Republic of Congo (“ROC”) and Gabon (“Gabon”) and on the acquisition of other iron projects in the area.

The Company’s Youkou/Mekambo-Est Iron Project is located on the Ivindo Massif which is host to at least 4 billion tonnes of iron ore, including the world class Belinga, Nabeba, Avima and Badondo projects.

Waratah is well positioned to take part in the development of this region into the world’s newest iron ore province, and has developed strong relationships with the ROC and Gabon governments. The Company is currently aiming to define a JORCcompliant resource with its company owned drilling rigs and equipment.

WARATAH RESOURCES LIMITED – PROJECT LOCATION MAP

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