HAMMER METALS LIMITED — Capital/Financing Update 2009

Nov 17, 2009

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18 November 2009

The Manager

Australian Stock Exchange Limited (“ASX”)

Company Announcements Office

Dear Sir

RIGHTS ISSUE CLOSES OVER SUBSCRIBED

Midas Resources is pleased to announce that the Rights Issue announced on 16 October 2009 closed on 13 November 2009 over subscribed. All shares offered under the rights issue were taken up by existing shareholders, with a significant number of shareholders applying for additional shares. The issue raised approximately $1.6 million before costs.

The net proceeds from the rights issue will be used to fund the Company’s exploration programme and for working capital.

The holding statements for the new securities will be dispatched shortly.

Yours faithfully

Phillip MacLeod Company Secretary