HELIX RESOURCES LIMITED — AGM Information 2002

Nov 17, 2002

HELIX RESOURCES LIMITED A.C.N. 009 138 738 Incorporated in Western Australia

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CHAIRMAN'S ADDRESS TO THE 17TH ANNUAL GENERAL MEETING, 18 NOVEMBER 2002

For nearly seventeen years now I have been following in some form or other, Australia's premium platinum explorer Helix Resources Limited, in its endeavours to find a platinum mine in Australia. From the early days of the discovery of alluvial and primary platinum occurrences near Fifield in New South Wales, through to the current Munni Munni joint venture, with the major platinum group metals producer Lonmin, Helix has persisted in the search.

When I addressed you last year, it seemed as though our Munni Munni Project would develop, through a satisfactory feasibility study, to a platinum mine. The joint venture has defined a 24 million tonne resource of platinum group metals, and gold containing some 2.1 million ounces of precious metal at Munni Munni, but unfortunately, it is not immediately mineable, due to the predominance of palladium and its present low price, and the volatility of prices in its group of metals.

Today the world relies on Southern Africa and Russia for the supply of these metals. Neither region seems very stable, and rising costs are accommodated by serious currency depreciation. It is only a matter of time before metal prices rise or their currencies become worthless.

We must remember that Helix has a significant platinum group metal resource in Australia, and I emphasise - in Australia, with an inground value at today's metal prices of \$1.6 billion, with further exploration potential.

Regrettably, further drilling at Munni Munni during the year did not disclose additional higher grade ore, however, continued exploration leading to the discovery of additional ore at a higher grade, will significantly improve the chances for early commencement of mining, and I remain certain that, in the future. Munni Munni will be a mine.

Over \$12 million has now been spent on the Munni Munni project, with Lonmin having spent some \$8.7 million as a sole contributor under the earning requirements of the joint venture agreement. Helix, as manager of the exploration activities for the joint venture, is currently reviewing all results as a precursor to recommending further work. The joint venture partners will meet before year end to discuss what activities are required to be continued at Munni Munni in 2003, and I look forward to keeping all shareholders updated.

Although for the moment feasibility studies for the Munni Munni development are not proposed, Helix will begin work on what is believed to be another layered intrusion, about three times the size of Munni Munni. The Loongana geophysical anomaly on the Nullabor Plain in Western Australia, has characteristics similar to a layered ultramafic intrusion. If this is the case, then the potential for this complex to contain platinum group metals is high, and I am pleased to advise that the first drilling program ever conducted by any exploration company at the Loongana anomaly is currently in progress. Members of the exploration team will be happy to discuss the details of this project after the conclusion of the meeting.

As well as holding tenure over a number of other pgm projects, including several grass roots projects in Western Australia and the basement mineralisation rights to the Fifield Project in New South Wales, gold exploration also features strongly in Helix's exploration agenda for 2003. Two projects, Barlee and Gnaweeda in Western Australia, have returned good geochemical gold anomalism from preliminary exploration carried out this year.

In South Australia, at Carappee, on the Gawler Craton, 591 calcrete samples recently collected by the Company have outlined a 200 metre wide 2.5 kilometre long gold, copper, zinc, arsenic anomaly which remains open to the south. Drilling is currently in progress to evaluate this anomalism at depth.

In addition, Helix maintains its watch for an acquisition of an advanced project, and has strengthened its technical team to accommodate this.

The Treasury presently holds \$4.4 million and I am pleased to advise that we have recently sold our shareholding in Platinum Australia Limited, which has added a further \$1.74 million, being a profit of about \$1.5 million equivalent to a share placement of 20% at the current share price, without the diluting effect. This gives a new total of just over \$6 million.

The October 2002 Options were clearly out of the money at the due date, and option holders were advised by the Board not to take up their entitlement. As a consequence, the Board has decided to issue new Options by way of a Rights Issue. The Options will expire on the 30^th November 2005, with an exercise price of 25 cents. Under the terms of this new issue, shareholders will be offered the right to purchase 1 Option for every 3 fully paid Helix shares, for a nominal amount of 1 cent per option. Full details will be sent to all shareholders shortly.

In light of not proceeding with the Munni Munni development, at management's recommendation, the Board has endorsed that the Company's Senior Executives and Directors' remuneration be reduced by 25% commencing 1 January 2003. Without a major project under development, the rewards for the Executives and Board or the Company, have been set too high.

Finally, on behalf of the Board, I want to thank management and staff for all their efforts in a difficult year, and you, our Shareholders for your support. I look forward to reporting our ongoing exploration activities throughout 2003.

EWEN W I TYLER CHAIRMAN