HAMMER METALS LIMITED — Capital/Financing Update 2014

Aug 27, 2014

==> picture [104 x 96] intentionally omitted <==

MARKET RELEASE

28 August 2014

Hammer Metals Limited

TRADING HALT

The securities of Hammer Metals Limited (the “Company”) will be placed in Trading Halt Session State at the request of the Company, pending the release of an announcement by the Company. Unless ASX decides otherwise, the securities will remain in Trading Halt Session State until the earlier of the commencement of normal trading on Monday, 1 September 2014 or when the announcement is released to the market.

Security Code: HMX

Jill Hewitt Senior Adviser, Listings Compliance (Perth)

Page 1 of 1

28 August 2014

ASX Limited Level 40 Central Park 152-158 St Georges Terrace PERTH WA 6000

Attention: Elizabeth Harris

Dear Elizabeth,

Hammer Metals Limited (ASX:HMX) (“Hammer”) – Request for Trading Halt

In accordance with Listing Rule 17.1 Hammer requests that an immediate trading halt be placed on its securities pending the release of an announcement regarding a proposed capital raising.

Hammer expects the trading halt will be required for a period not exceeding the commencement of trading on the second day following the date of this request, in accordance with ASX Listing Rule 17.1.1 and ASX Operating Rule 16.4.2, and that an announcement regarding the proposed transaction will likely be made before the commencement of normal trade on 1 September 2014.

Hammer is not aware of any reason why the trading halt should not be granted, nor of any other information relevant to this request.

Yours sincerely

==> picture [134 x 47] intentionally omitted <==

Mark Pitts Company Secretary

1