HAWSONS IRON LTD — Investor Presentation 2012

May 20, 2012

Carpentaria Exploration Ltd Resources and Energy Symposium Broken Hill May 21-23rd 2012

We find it. We prove it. We make it possible.

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Disclaimer

This presentation has been prepared by the management of Carpentaria Exploration Limited (CAP) for the benefit of analysts, brokers and investors and not as specific advice to any particular party or persons. The information is based on publicly available information, internally developed data and other sources. Where an opinion is expressed in this presentation, it is based on the assumptions and limitations mentioned herein and is an expression of present opinion only. No warranties or representations can be made as to origin, validity, accuracy, completeness, currency or reliability of the information. CAP disclaims and excludes all liability (to the extent permitted by law) for loses, claims, damages, demands, costs and expenses of whatever nature arising in any way out of or in connection with the information, its accuracy, completeness or by reason of reliance by any person on any of it. Where CAP expresses or implies an expectation or belief as to the success of future exploration and the economic viability of future project evaluations, such expectation or belief is expressed in good faith and is believed to have a reasonable basis. However, such expected outcomes are subject to risks, uncertainties and other factors which could cause actual results to differ materially from expected future results. Such risks include, but are not limited to, exploration success, metal price volatility, changes to current mineral resource estimates or targets, changes to assumptions for capital and operating costs as well as political and operational risks and governmental regulation outcomes. CAP does not have any obligation to advise any person if it becomes aware of any inaccuracy in or omission from any forecast or to update such forecast.

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HAWSONS IRON PROJECT

Key Messages

• Very strong project that continues to improve

• Ongoing work maintains momentum

• Competitive globally

• Ownership options all favourable for CAP share holders

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HAWSONS IRON PROJECT Broken Hill NSW

• Current Project Financials (Nov. 11 PFS update)

• 20 Mtpa concentrate – over 23years

• NPV $3.2 billion, IRR 23% , CAPEX $2.9 billion

• Estimated FOB costs $50/t (AUD)

• Large Resource and potential – 50yrs plus

• High Grade Pellet Feed Concentrate - price premium

• 69.9%Fe and 2.50% SiO 2

• Existing Infrastructure

• 13mtpa rail capacity confirmed, 20-30mtpa port option,

water, power all available for start up

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HAWSONS IRON PROJECT Moving forward

• Maintaining Momentum – Project continues to get stronger

• Mining option study improved the base case

• Metallurgical testing

  • crushing circuit complete

  • grinding circuit underway

  • Further cost reductions expected

• Feasibility Study to upgrade Port Pirie to 20-30mtpa (Flinders Ports under MOU)

• New port option allows production to be brought forward

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• Production scheduled for second half of 2015

• Update conservative financial base case

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HAWSONS IRON PROJECT Ownership

Carpentaria (CAP) 60%, BMG Pty Ltd (in Liquidation) 40% (For Sale)

May 15[th] , 2012

• BMG elects not to continue in JV

• Carpentaria reserves its rights

• Clear path opens for new partner

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Options for incoming partner

• Reach agreement on a new JV with CAP and buy BMG share for a fixed $13m and fund development

• Buy BMG share without agreement with CAP and stay at 40%

CAP preference for a new JV partner

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HAWSONS IRON PROJECT

China, Korea, Japan and India

Demand still strong RIO estimates sea borne iron ore demand from China to increase at 100mt p.a. until 2020 (source RIO Chart Book Mar 2012)

Hawsons

• 50 years plus potential mine life

• very stable democracy

• Low operating costs

Forecast new production

• political risk is high esp. over 50 years

• Remote and capital intensive

• Low capital intensity

• high grade low impurity concentrate

• • existing infrastructure

• delays are common

Still looking to secure supply

• April 2012 – CAN 194m deal on Kami deposit Canada (Hebei Iron and Steel)

• April 2012 – AUD 1.5bn invested in Roy Hill WA (POSCO)

• March 2012 – $50-80m * invested in Southdown WA (Kobe Steel, *estimated)

• Indian companies NMDC and Jindal recently made acquisitions

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HAWSONS IRON PROJECT

CIF China Comparison June 2011

Carpentaria PFS – 20mtpa US$63

Note : The CIF costs are at production grade eg hematite producers est. at 60% Fe High grade concentrate producers – magnetite will attract 10 – 20% premium.

This offsets processing and transport costs not reflected in graph

Makes magnetite attractive

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HAWSONS IRON PROJECT Capital Intensity Peer Comparison

• Benefits of Existing • Rail

• • Water

• Power

• • Workforce

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Capital Expenditure per tonne production capacity Australian Hematite and Magnetite Projects

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$350
$300
$250
$200
$150
$100
$50
$-
Source: after RBS Oct 2011
AUD
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HAWSONS IRON PROJECT

Summary

• Very strong project that continues to improve

• Ongoing work maintains momentum

• Competitive globally

• Ownership options all favourable for CAP share holders

• Future

– Secure transport chain – Secure development partner – Commence Detailed Feasibility Study Carpentaria Exploration – Set to Reward Investors

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Carpentaria Exploration We find it. We prove it. We make it possible.

Phone: +61 7 3220 2022 To find out more, visit us at www.capex.net.au

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The information in this presentation that relates to Exploration Results and Resources is based on information compiled by S.N.Sheard, who is a Fellow of the Australian Institute of Geoscientists and has had sufficient experience which is relevant to the style of mineralization and type 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'. S.N.Sheard is an employee of Carpentaria and consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. 11

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