HASTINGS TECHNOLOGY METALS LTD — Capital/Financing Update 2012

Mar 7, 2012

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ASX Announcement 8 March 2012

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HASTINGS’ KICKSTARTS DEVELOPMENT WORK AT HEAVY RARE EARTH PROJECT

The Manager

Company Announcements Office Australian Securities Exchange 4th Floor, 20 Bridge Street SYDNEY NSW 2000

Hastings Rare Metals Limited ACN 122 911 399

Highlights

• Appointment of leading project management and engineering firm Jacobs Engineering Group (formerly Aker Solutions) as manager of Hastings HREO project.

• Jacobs is one of the world’s largest and most diverse providers of professional technical services.

• Metallurgical and scoping study to be undertaken by Jacobs.

Level 9, 50 Margaret Street Sydney NSW 2000 PO Box R933 Royal Exchange NSW 1225 Australia

Telephone: +61 2 9078 7674 Facsimile: +61 2 9078 7661 admin@hastingsraremetals.com www.hastingsraremetals.com

Directors

David Nolan (Chairman) Steve Mackowski (Director) Anthony Ho (Director)

• World leading rare earth technology group ANSTO (Australian Nuclear Science and Technology Organisation) to be engaged to work on the project.

Hastings Rare Metals Ltd (ASX:HAS) is pleased to announce the appointment of Jacobs, a leading world specialist in process and project management, to act as manager for the Hastings HREO project. Jacobs is one of the world’s largest engineering firms listed on the NYSE (Market Capitalisation $5.75 Bn). Jacobs will work with the Hastings Project team to progress the project development through to the Pre Feasibility (PFS) stage.

Jacobs’ scope of works will include:

Stage 1 Initial Studies

Advisory Board Tony Grey Dr Tony Mariano

ASX Code: HAS

Shares on Issue 104 million

• Review of all previous studies and information

• Work with the ANSTO to:

  • Validate and verify previous flow sheets

  • Optimise product suite for dysprosium and yttrium focus

Stage 2 Process Development

• Develop process design criteria

• Generate a process model to create the mass balance

• Develop a block flow diagram

Stage 3 Scoping Study

• Review and update scoping study on the basis of a mid range capital and operating cost estimate for the preferred process route

AddressLevel 9, 50 Margaret Street, Sydney NSW 2000Postal AddressPO Box R933 Royal Exchange NSW 1225 Australia Telephone02 9078 7674Fax 02 9078 7661Emailadmin@hastingsraremetals.comWebsitewww.hastingsraremetals.com ABN43 122 911 399

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ASX Announcement 8 March 2012

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Hastings is targeting completion of the Scoping Study by August 2012 and will provide regular updates on the progress of each Stage. The Scoping Study will be updated for product optimisation later in 2012.

The Technical Director of Hastings, Steve Mackowski, stated:

“The process and project engineering delivery team is now in place to roll out the vision of the Hastings team.

Jacobs have extensive worldwide experience on similar projects, and the technical team working on this project have worked on Australian rare earths projects for a number of years. ANSTO have extensive rare earths experience, notably with the Lynas Project, the Arafura Nolan’s Project and the recent Dubbo Project with Alkane.

The team bring not only rare earths knowledge, but vastly enhanced knowledge by the work on similar mineralogy with other major REE projects.

I could not imagine a team of process and project engineers better qualified, experienced and motivated than the group now together for the Hastings Project. I look forward to the completion of these stages and moving forward to the Pre Feasibility/Bankable Feasibility stages.”

For further information contact:

David Nolan Steve Mackowski Chairman Technical Director dnolan@hastingsraremetals.com smackowski@hastingsraremetals.com

Media contact:

Robert Williams, FCR, Investor Relations +61 2 8264 1003

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For further information please contact: Hastings Rare Metals Limited, Tel: (02) 9078 7674 www.hastingsraremetals.com

AddressLevel 9, 50 Margaret Street, Sydney NSW 2000Postal AddressPO Box R933 Royal Exchange NSW 1225 Australia Telephone02 9078 7674Fax 02 9078 7661Emailadmin@hastingsraremetals.comWebsitewww.hastingsraremetals.com ABN43 122 911 399

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