HAWSONS IRON LTD — Investor Presentation 2012

Apr 30, 2012

Carpentaria’s Hawsons Iron Project Braemar Iron Formation and a new magnetite industry for SA / NSW

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

1

Carpentaria

==> picture [150 x 108] intentionally omitted <==

==> picture [112 x 326] intentionally omitted <==

==> picture [161 x 110] intentionally omitted <==

Aim :

Discover, Develop and Mine mineral resources to grow shareholder value and fund further discoveries in Eastern Australia

Abilities :

Strong geoscientific and engineering team

Track Record :

• Established Resource at Hawsons

• Positive PFS released

• Tin / Tungsten near Broken Hill

• Tungsten Resource

• Gold – Lachlan Fold Belt

• Nickel – North of Broken Hill

2

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.

3

Company Snapshot

ASX : CAP FINANCIAL 5[th] March 2012 Cash A$7.5 million INVESTMENTS

2.2 m Guildford Coal Ltd fully paid shares ~ value $1.4m 28[th] April

QUOTED SECURITIES 99.2 m shares

LARGEST SHAREHOLDERS Aust’ Conglin Int’ Inv’ : 10.6% Conglin Yue : 3.7% Atlas Iron Ltd : 8.7% Directors & Management (inc’ unlisted Options) : 12.3%

Share Price and Volume 12 months

==> picture [441 x 232] intentionally omitted <==

----- Start of picture text -----

High $0.59 28 [th] April 2012High $0.59
Low $0.175
----- End of picture text -----

KEY ASSETS Hawsons Iron Project JV – Carpentaria 60% Tungsten / Tin Project Carpentaria 100%

18 November 2011 4

HAWSONS IRON PROJECT Largest Magnetite Project in NSW

==> picture [97 x 128] intentionally omitted <==

==> picture [121 x 128] intentionally omitted <==

==> picture [548 x 387] intentionally omitted <==

----- Start of picture text -----

5
----- End of picture text -----

What Makes Magnetite Look Good ?

Global hematite iron ore grades are declining

Cause :

• Increased production in low grades

• Lack of “new” high grade coming on

Effect :

==> picture [286 x 203] intentionally omitted <==

----- Start of picture text -----

55% Fe
----- End of picture text -----

• Trend towards direct charge iron

• Increased pellet demand

• Increase in magnetite consumption

==> picture [86 x 85] intentionally omitted <==

==> picture [278 x 191] intentionally omitted <==

----- Start of picture text -----

55% Fe
----- End of picture text -----

6

Macquarie Commodities Research – June 8[th] 2011

What Makes Magnetite Look Good ? WHY MAGNETITE Price Advantage Price Premium (Platt’s)

: April 29[th] Iron price /t in US$  for 62% Fe $145.40  Hematite 55% $128.98  Magnetite con’ 69% + $161.81 A $32.83 premium which offsets processing costs Slide 7

HAWSONS IRON PROJECT - SUMMARY

• Prefeasibility Study – Start up at 5mtpa ramp to 20 mtpa concentrate production, 20 year mine life

==> picture [345 x 206] intentionally omitted <==

• NPV $3.2 billion, IRR 23% (November 2011)

• CAPEX of $2.9b

• Life of mine Fe price U$87/t @ 69%

• Est. cost in China US$63 – 68 /t  PFS Audited Sept 2011 – all ok

• Infrastructure – Port, rail capacity, water, and power all available for start up

• Mining and Processing –low unit costs because low strip ratio, wide mining widths and soft ore

• Marketing - Saleable concentrate low silica, no impurities

Native Title has been extinguished

==> picture [97 x 127] intentionally omitted <==

==> picture [120 x 127] intentionally omitted <==

==> picture [152 x 118] intentionally omitted <==

8

HAWSONS IRON PROJECT

Resource and Exploration Target[1 ]

Inferred Iron Resource (Dec 2010) 1.4 Billion Tonnes Davis Tube Recovered Grade (DTR) 15.5% (cut off grade 12%)

• Concentrate Grade – 69.9% Fe,

• 2.50% SiO2, no other impurities

• Contained Iron concentrate: 220 million tonnes

 Exploration Target[1] 6 to 11 Billion Tonnes

 DTR 14-17% magnetite

• Concentrate Grade of 69-71% Fe

• Contained Iron : 800 - 1,900 million tonnes

==> picture [583 x 208] intentionally omitted <==

1 The potential quantity and grade of the exploration targets is conceptual in nature and there has been insufficient exploration to define a Mineral Resource. It is uncertain if further exploration will result in the

determination of a Mineral Resource. 9

9

HAWSONS IRON PROJECT

Optimization Studies – Mining (Nov 2011)

• Low cost mining operation

• Economies of scale

• Waste to ore ratio – 0.3 : 1

• Pre strip – start mining east end

• In Pit Crushing and Conveying

• Cost estimate - $15/t of concentrate

==> picture [326 x 253] intentionally omitted <==

==> picture [276 x 257] intentionally omitted <==

10

HAWSONS IRON PROJECT Value of low Waste : Ore

==> picture [348 x 333] intentionally omitted <==

----- Start of picture text -----

+ 600 m mining widths
Waste Pit outline
150 m mining widths
200 m
----- End of picture text -----

Example at same scale

Waste to ore 0.3 : 1, 15.5% DTR Mine 130t material to produce 100t of ore 100t ore gives 15.5t of concentrate

8.4 t material moved produces 1 tonne concentrate

Waste to ore 2.3: 1, 36% DTR

Mine 330t material to produce 100t of ore

100t ore gives 36t of concentrate

9.2 t material moved produces 1 tonne concentrate

11

HAWSONS IRON PROJECT

Optimization Studies – Processing

Unique Metallurgical Characteristics :

• Low bond work index of 6 - 8 kw hrs /t

(BIF’s ~ 15 – 25 kw hrs/t)

• Low abrasion index ~ 0.09

• (BIF’s ~ 0.78 and taconites 0.62)

• Grain size 30 – 100 µm

• Ideal for pellet production

• Ideal for slurry pipe operation

• Lab’ trials – suitable for impact crushing

Quartz Magnetite

==> picture [325 x 248] intentionally omitted <==

• Lower processing (power) costs

• Cost estimate - $11/t of concentrate

12

HAWSONS IRON PROJECT Optimization Studies – Simplified Flow Diagram

==> picture [689 x 398] intentionally omitted <==

----- Start of picture text -----

ROM
Rougher Mag Sep
ISA Mill
Impact Crushing
+65mm
Ball Mill
Recleaner Mag Sep
-65mm
Fines -1mm
Barmac
Cleaner Mag Sep
Stockpile
Concentrate
despatching
Fines -1mm Tailings
Tailings disposal
Lower cost front end
----- End of picture text -----

HAWSONS IRON PROJECT Optimization Studies - Processing

Preliminary Costings for 5mtpa module

	Equipment	5Mtpa	5Mtpa	Installed	Installed	Estimated	Estimated	Option Study	Option Study		Installed		Estimated	Estimated
		(equivalent)		Power		Costs		5Mtpa			Power			Costs
				kW		M AUD		(Anticipated)			kW		**M AUD **
	Primary Crushers	Gyratory	1	1,200		4.5		Impact	2		2,400			2.0
								Crusher
	Secondary	Cone	2	1,900		7.0		Barmac	5		3,000			2.5
	Crushers
	Tertiary Crushers	HPGR	4	16,000		31.2		-	-		-
	Total			19,100		42.7					5,400			4.5
					Impact
					Crusher						Barmac
											Crusher

HAWSONS IRON PROJECT

Transport Options – Availability of Bulk Handling Port

Start Up (5mtpa)

• 13Mtpa available using existing rail to Port Pirie

• MOU with Flinders Ports Pty Ltd to establish 20 – 30 mtpa option

• Barge to Capesize /Panamax

Full Production 20mtpa options

• Rail plus slurry pipeline

*Port Pirie bottleneck solved Two spare berths Out of town stock pile and conveyor

==> picture [316 x 196] intentionally omitted <==

Port Pirie common berth facility

Availability of long-term handling and storage facility - great advantage over many other proposed magnetite projects

15

HAWSONS IRON PROJECT Ownership

• Carpentaria 60%, BMG 40%

• Partner BMG has till May 15[th ] 2012 to start next stage - $25m cash to CAP and pay for a BFS

• Has to complete BFS within 2 years

• If no funds received by May 15[th] , 2012

• Third party can buy BMG’s share ($13m) or

• Subsidiary of CAP could also purchase for $13m and CAP would regain 100% of project

==> picture [280 x 210] intentionally omitted <==

==> picture [284 x 216] intentionally omitted <==

----- Start of picture text -----

16
----- End of picture text -----

HAWSONS IRON PROJECT Cost Summary

Costs per tonne concentrate	AUD
Mining Costs	$15
Processing Costs	$11*
Other (incl’ Royalties)	$8
Transport to and onto Ship	$13a- 19b
Total FOB Port Pirie	$47-53

a Long term pipeline estimate b Rail to Port Pirie estimate * Original PFS estimate

 FOB costs highly competitive (av. Closer to $60)

 Average operating costs drop over life of mine after Pre Strip

==> picture [268 x 198] intentionally omitted <==

FOB – Free on board

17

HAWSONS IRON PROJECT

Future Work Program

BFS :

• Obtain regulatory approvals

• Full access agreements

• Mining Leases

• Define full transport options

• Continue environmental studies

• Upgrade resource - drilling

==> picture [263 x 201] intentionally omitted <==

Pit Area

• Bulk sampling for pilot plant test work

• Geotechnical work

• Refine mining / processing options

==> picture [280 x 191] intentionally omitted <==

----- Start of picture text -----

18
----- End of picture text -----

HAWSONS IRON PROJECT

Other Iron Projects

==> picture [388 x 363] intentionally omitted <==

Torrowagee NSW :

• 100% CAP

• Previous intersections

• To be drilled

Braemar SA :

• Farm in

• Can earn 100%

• Recon’ work

South Dam :

• Farm out

• Potential revert 100% CAP

19

HAWSONS IRON PROJECT

In Summary

 Long mine life project

 Positive PFS

 Unique soft ore provides low cost options

 Optimizing studies reducing costs further  BFS to start mid year  Power, water available

 Transport and port options existing today

 Close to Broken Hill with mining culture  No native title issues

 Additional high potential Braemar Magnetite Projects

Slide 20

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

==> picture [366 x 51] intentionally omitted <==

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. 21

21