IGO LIMITED — Capital/Financing Update 2010

Nov 3, 2010

INDEPENDENCE GROUP

GROWING A GREAT AUSTRALIAN MINING COMPANY BY MINERAL DISCOVERIES & MINE DEVELOPMENT

EQUITY RAISING AND INVESTOR UPDATE 4th November 2010

Chris Bonwick – Managing Director

1

DISCLAIMER

� PRESENTATION OF GENERAL BACKGROUND

This document contains general background information about the activities of Independence Group NL (" Independence " or the " Company ") current as at the date of this presentation. It is information in a summary form only and does not contain all the information necessary to fully evaluate any transaction or investment. It should be read in conjunction with Independence's other periodic and continuous disclosure announcements to the ASX available at www.asx.com.au

� COMPETENT PERSON COMPLIANCE STATEMENT

The information in this presentation that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr Christopher Bonwick who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Bonwick is a full‐time employee of Independence and has sufficient experience which is relevant to the style of mineralisation 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. Mr Bonwick consents to the inclusion in the presentation of the matters based on his information in the form and context in which it appears.

� ORE RESERVES AND MINERAL RESOURCES REPORTING REQUIREMENTS

As a company with securities listed on the ASX, Independence is required to report its ore reserves and mineral resources in compliance with the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the “ JORC Code ”) .While Independence’s reserve and resource estimates comply with the JORC Code, they may not comply with the relevant guidelines in other countries, and do not comply with the U.S. SEC's Industry Guide 7, which, among other things, may require the use of different assumptions for the estimation of reserves, and does not recognise mineral resources. Accordingly, Independence would not be permitted to report mineral resources in an SEC filing. Investors should note that Independence's ore reserves may be lower if they were calculated under Industry Guide 7 and that its mineral resources are not proved or probable reserves, for the purposes of Industry Guide 7 and there can be no assurance that such mineral resources will ultimately be converted into such reserves or that Independence will be able to legally and economically extract them.

� FUTURE PERFORMANCE

This announcement contains certain “forward looking” statements. The words “believe”, “anticipate”, "expect”, “project”, “forecast”, “estimate”, “potential”, “could”, “may”, “target”, “consider” and “will” and other similar expressions are intended to identify forward looking statements. Forward looking statements, opinions and estimates provided in this announcement are based on assumptions and contingencies which are subject to change without notice, as are statements about market and industry trends, which are based on interpretations of current market conditions. Forward‐looking statements including projections, indications or guidance on future earnings or financial position and estimates are provided as a general guide only and should not be relied upon as an indication or guarantee of future performance. There can be no assurance that actual outcomes will not differ materially from these statements. To the full extent permitted by law, Independence and its directors, officers, employees, advisers, agents and intermediaries disclaim any obligation or undertaking to release any updates or revisions to the information to reflect any change in expectations or assumptions.

There are a number of risks, both specific to Independence and of a general nature which may affect the future operating and financial performance of Independence and the value of an investment in Independence including and not limited to nickel or gold demand and price movements, foreign exchange rate fluctuations, mining and development risks, potential for further capital requirements, exploration risks, risks associated with Resource estimates, regulatory risks, ability to exploit successful discoveries, environmental risks, title risks, joint venture and contractor risk, reliance on key personnel, economic factors, insurance risks, stock market conditions, liquidity risks, securities investment risks and other risks. Theses risks are explained in further detail in the key risks section of this document.

2

DISCLAIMER cont’d

� NOT A PROSPECTUS

This document is not a prospectus or a product disclosure statement under the Australian Corporations Act 2001 (Cth) (" Australian Corporations Act ") and has not been lodged with the

Australian Securities and Investment Commission. The offer of Independence ordinary shares to which this presentation relates will (in respect of the placement and the Entitlement Offer) only be made to persons to whom offers can be made without a prospectus in accordance with Chapter 6D.2 of the Australian Corporations Act.

� NOT INVESTMENT ADVICE

The information provided in this presentation is not intended to be relied upon as advice to investors or potential investors and has been prepared without taking into account the recipient’s investment objectives, financial circumstances or particular needs. Any investment decision should be made based solely upon appropriate due diligence and, if applicable, upon receipt and careful review of relevant offering documents. Recipients of this presentation are advised to consult their own professional advisers. An investment in any listed company, including Independence, is subject to significant risks of loss of income and capital. Cooling‐off rights do not apply to an investment in any Independence ordinary shares. The recipient cannot, in most circumstances, withdraw an application once it has been accepted.

� NOT AN OFFER IN THE UNITED STATES

This presentation does not constitute an offer, invitation, solicitation or recommendation in relation to the subscription, purchase or sale of securities in any jurisdiction and neither this

presentation nor anything in it shall form the basis of any contract or commitment. This document may not be released or distributed in the United States. This document does not constitute an offer to sell, or a solicitation of an offer to buy, securities in the United States. Any securities described in this document have not been, and will not be, registered under the US Securities Act of 1933 (as amended) and may not be offered or sold in the United States except in transactions exempt from, or not subject to, registration under the US Securities Act and applicable US state securities laws.

3

INTERNATIONAL OFFER RESTRICTIONS

This document does not constitute an offer of securities in any jurisdiction in which it would be unlawful. New Shares may not be offered or sold in any country outside Australia except to the extent permitted below:

EUROPEAN ECONOMIC AREA – GERMANY

The information in this document has been prepared on the basis that all offers of New Shares will be made pursuant to an exemption under the Directive 2003/71/EC ("Prospectus Directive"), as implemented in Member States of the European Economic Area (each, a "Relevant Member State"), from the requirement to produce a prospectus for offers of securities.

An offer to the public of New Shares has not been made, and may not be made, in a Relevant Member State except pursuant to one of the following exemptions under the Prospectus Directive as implemented in that Relevant Member State:

• a) to legal entities that are authorised or regulated to operate in the financial markets or, if not so authorised or regulated, whose corporate purpose is solely to invest in securities;

• b) to any legal entity that has two or more of (i) an average of at least 250 employees during its last fiscal year; (ii) a total balance sheet of more than €43,000,000 (as shown on its last annual unconsolidated or consolidated financial statements) and (iii) an annual net turnover of more than €50,000,000 (as shown on its last annual unconsolidated or consolidated financial statements);

• c) to fewer than 100 natural or legal persons (other than qualified investors within the meaning of Article 2(1)(e) of the Prospectus Directive) subject to obtaining the prior consent of the Company or any underwriter for any such offer; or

• d) in any other circumstances falling within Article 3(2) of the Prospectus Directive, provided that no such offer of New Shares shall result in a requirement for the publication by the Company of a prospectus pursuant to Article 3 of the Prospectus Directive.

UNITED STATES

This document may not be released or distributed in the United States. This document does not constitute an offer to sell, or a solicitation of an offer to buy, securities in the United States. Any securities described in this document have not been, and will not be, registered under the US Securities Act of 1933 (as amended) and may not be offered or sold in the United States except in transactions exempt from, or not subject to, registration under the US Securities Act and applicable US state securities laws.

FRANCE

This document is not being distributed in the context of a public offering of financial securities (offre au public de titres financiers) in France within the meaning of Article L.411‐1 of the French Monetary and Financial Code (Code monétaire et financier) and Articles 211‐1 et seq . of the General Regulation of the French Autorité des marchés financiers ("AMF"). The New Shares have not been offered or sold and will not be offered or sold, directly or indirectly, to the public in France.

This document and any other offering material relating to the New Shares have not been, and will not be, submitted to the AMF for approval in France and, accordingly, may not be distributed or caused to distributed, directly or indirectly, to the public in France.

Such offers, sales and distributions have been and shall only be made in France to (i) qualified investors (investisseurs qualifiés) acting for their own account, as defined in and in accordance with Articles L.411‐2‐II‐2° and D.411‐1 to D.411‐3, D.734‐1, D. 744‐1, D.754‐1 and D.764‐1 of the French Monetary and Financial Code and any implementing regulation and/or (ii) a restricted number of non‐qualified investors (cercle restreint d’investisseurs) acting for their own account, as defined in and in accordance with Articles L.411‐2‐II‐2° and D.411‐4, D.734‐1, D.744‐1, D.754‐1 and D.764‐1 of the French Monetary and Financial Code and any implementing regulation.

Pursuant to Article 211‐3 of the General Regulation of the AMF, investors in France are informed that the New Shares cannot be distributed (directly or indirectly) to the public by the investors otherwise than in accordance with Articles L.411‐1, L.411‐2, L.412‐1 and L.621‐8 to L.621‐8‐3 of the French Monetary and Financial Code.

4

INTERNATIONAL OFFER RESTRICTIONS cont’d

SWITZERLAND

The New Shares may not be publicly offered in Switzerland and will not be listed on the SIX Swiss Exchange ("SIX") or on any other stock exchange or regulated trading facility in Switzerland. This document has been prepared without regard to the disclosure standards for issuance prospectuses under art. 652a or art. 1156 of the Swiss Code of Obligations or the disclosure standards for listing prospectuses under art. 27 ff. of the SIX Listing Rules or the listing rules of any other stock exchange or regulated trading facility in Switzerland. Neither this document nor any other offering material relating to the New Shares may be publicly distributed or otherwise made publicly available in Switzerland.

Neither this document nor any other offering material relating to the New Shares have been or will be filed with or approved by any Swiss regulatory authority. In particular, this document will not be filed with, and the offer of New Shares will not be supervised by, the Swiss Financial Market Supervisory Authority (FINMA). This document is personal to the recipient only and not for general circulation in Switzerland.

SINGAPORE

This document and any other materials relating to the New Shares have not been, and will not be, lodged or registered as a prospectus in Singapore with the Monetary Authority of Singapore. Accordingly, this document and any other document or materials in connection with the offer or sale, or invitation for subscription or purchase, of New Shares, may not be issued, circulated or distributed, nor may the New Shares be offered or sold, or be made the subject of an invitation for subscription or purchase, whether directly or indirectly, to persons in Singapore except pursuant to and in accordance with exemptions in Subdivision (4) Division 1, Part XIII of the Securities and Futures Act, Chapter 289 of Singapore (the "SFA"), or as otherwise pursuant to, and in accordance with the conditions of any other applicable provisions of the SFA.

This document has been given to you on the basis that you are (i) an existing holder of the Company’s shares, (ii) an "institutional investor" (as defined in the SFA) or (iii) a "relevant person" (as defined under section 275(2) of the SFA). In the event that you are not an investor falling within any of the categories set out above, please return this document immediately. You may not forward or circulate this document to any other person in Singapore.

Any offer is not made to you with a view to the New Shares being subsequently offered for sale to any other party. There are on‐sale restrictions in Singapore that may be applicable to investors who acquire New Shares. As such, investors are advised to acquaint themselves with the SFA provisions relating to on‐sale restrictions in Singapore and comply accordingly.

UNITED KINGDOM

Neither the information in this document nor any other document relating to the offer has been delivered for approval to the Financial Services Authority in the United Kingdom and no prospectus (within the meaning of section 85 of the Financial Services and Markets Act 2000, as amended ("FSMA")) has been published or is intended to be published in respect of the New Shares. This document is issued on a confidential basis to "qualified investors" (within the meaning of section 86(7) of FSMA). This document should not be distributed, published or reproduced, in whole or in part, nor may its contents be disclosed by recipients to any other person in the United Kingdom.

Any invitation or inducement to engage in investment activity (within the meaning of s.21 FSMA) received in connection with the issue or sale of the New Shares has only been communicated, and will only be communicated, in the United Kingdom in circumstances in which s.21(1) FSMA does not apply to the Company.

In the United Kingdom, this document is being distributed only to, and is directed at, persons (i) who have professional experience in matters relating to investments falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotions) Order 2005 ("FPO"); (ii) who fall within the categories of persons referred to in Article 49(2)(a) to (d) (high net worth companies, unincorporated associations, etc.) of the FPO; or (iii) to whom it may otherwise be lawfully communicated (together "relevant persons"). The investments to which this document relates are available only to, and any invitation, offer or agreement to purchase will be engaged in only with, relevant persons. Any person who is not a relevant person should not act or rely on this document or any of its contents.

5

INTERNATIONAL OFFER RESTRICTIONS cont’d

HONG KONG

WARNING: This document has not been, and will not be, registered as a prospectus under the Companies Ordinance (Cap. 32) of Hong Kong (the "Companies Ordinance"), nor has it been authorised by the Securities and Futures Commission (the "SFC") in Hong Kong pursuant to the Securities and Futures Ordinance (Cap. 571) of the Laws of Hong Kong (the "SFO"). No action has been taken in Hong Kong to authorise or register this document or to permit the distribution of this document or any documents issued in connection with it. Accordingly, the New Shares have not been and will not be offered or sold in Hong Kong by means of any document, other than:

• to "professional investors" (as defined in the SFO and any rules made under that ordinance); or

• • in other circumstances that do not result in this document being a "prospectus" (as defined in the Companies Ordinance) or that do not constitute an offer to the public within the meaning of that ordinance.

No advertisement, invitation or document relating to the New Shares has been or will be issued, or has been or will be in the possession of any person for the purpose of issue, in Hong Kong or elsewhere that is directed at, or the contents of which are likely to be accessed or read by, the public of Hong Kong (except if permitted to do so under the securities laws of Hong Kong) other than with respect to New Shares that are or are intended to be disposed of only to persons outside Hong Kong or only to professional investors (as defined in the SFO and any rules made under that ordinance). No person allotted New Shares may sell, or offer to sell, such shares in circumstances that amount to an offer to the public in Hong Kong within six months following the date of issue of such shares.

The contents of this document have not been reviewed by any Hong Kong regulatory authority. You are advised to exercise caution in relation to the offer. If you are in doubt about any contents of this document, you should obtain independent professional advice.

6

AGENDA

Pages Summary & Independence Overview 8 ‐ 12 Tropicana Joint Venture 13 – 21 Long Nickel Mine 22 ‐ 29 Regional Exploration 30 – 36 Corporate Goals 37 Equity Raising Overview 38 – 40 Key Risks 41 – 45 Additional Information 46 ‐ 49

7

SUMMARY & INDEPENDENCE OVERVIEW

Independence is undertaking an equity raising to partly fund its share of the expected Tropicana JV project costs

• The Tropicana JV project is Independence’s primary near term growth driver

• a 3.3M oz Au PFS open cut reserve in a new Australian gold province

• Independence holds 30% of the joint venture, with AngloGold Ashanti Australia Limited holding the remaining 70%

• Based on current information, Independence now expects:

• the Tropicana JV bankable feasibility study (“BFS”) to be received in November 2010

• ‐ Tropicana capital costs to be A$600m – A$620m

  • A$600m – A$620m A$100m ‐ A$120m

• working capital requirements of

• Independence’s share of total costs to be approximately A$210m – A$220m

• Independence has announced a A$164.3m equity raising to partly fund its estimated costs for Tropicana

• a A$113.8m institutional placement at A$6.65 per share (“Institutional Placement”)

• ‐ a A$50.6m fully underwritten, accelerated, non‐renounceable 1 for 15 entitlement offer at A$6.65 per share (“Entitlement Offer”)

• Bell Potter Securities Ltd has been appointed Sole Lead Manager of the Institutional Placement and Underwriter of the Entitlement Offer

• Euroz Securities Ltd has been appointed Co‐Manager of the Institutional Offer

8

SUMMARY & INDEPENDENCE OVERVIEW

Independence is undertaking an equity raising to partly fund its share of the expected Tropicana JV project costs

• Total cash reserves following the equity raising expected to be approximately A$295.1m:

• A$137.3m cash (30 September 2010)

• A$157.8m net cash raised through the equity raising

• Near term expenditure estimated at approximately A$272m – A$282m ‐ Tropicana JV ‐ A$210m – A$220m

  • A$210m – A$220m A$29.4m A$19.3m

• Long Nickel Mine ‐

• Regional exploration ‐

• Tropicana exploration, Boston Shaker and Havana Deeps feasibility studies ‐

A$13.1m

• Independence continues to build a great Australian mining company through mineral discoveries and mine development

• ongoing production from the 100% owned Long Nickel Mine with the potential for further exploration and development upside

• the potential near‐term commencement of the Tropicana project

• a suite of regional exploration opportunities

9

INDEPENDENCE OVERVIEW ‐ CORPORATE

Tight share structure and no debt

Capital Structure:

ASX 200 Code: IGO

114.1M shares and 0.8M staff options pre equity raising 138.8M shares and 0.8M staff options post equity raising Market Cap. (01/11/10): A$820M

Daily turnover (6 month average) – 0.4M

Substantial Shareholders: (pre equity raising)

JF Capital: 11.6M shares Orion: 7.1M shares NAB: 6.8M shares Australian Institutions: 47%, O/S Inst: 17% 67 Institutions in top 100

Financials: (pre equity raising)

2009/10 Profit: A$28.7M 2009/10 EPS (dil.): A25.3c Cash: A$137.3M (as at 30.9.10) Debt: Nil Dividends paid 2009/10: 2c interim + 3c final

10

INDEPENDENCE OVERVIEW ‐ ASSETS

Multiple growth opportunities

LONG NICKEL

MINE

� Production

TROPICANA

� Potential Near Term Growth

REGIONAL EXPLORATION

� Growth

2009/10 Cash Costs:
without royalty	A$4.01/lb Ni
with royalty	A$4.44/lb Ni
2009/10 Revenue:	A$9.60/lb Ni
Jun 10 Resources: 91,500t Ni @ 5.4% Ni
Jun 10 Reserves: 53,400t Ni @ 4.1% Ni
Extending mine life – New Moran discovery
June 2010 resource: 546,000t @ 7.2% Ni (39,400t Ni)
PFS Open Cut Resource: 30% of	5.01M oz Au
PFS Open Cut Reserve: 30% of 45Mt @ 2.3g/t Au
	(3.3M oz Au)
Significant underground & regional potential
7 high quality Ni, Au, Sn and Cu‐Pb‐Zn projects.
Exclusive 292,000 sample geochemical database.
Unique exploration targeting & technology

11

IGO HISTORY AND SHARE PRICE

Five ore bodies discovered to date Monthly Average Share Price to 01.11.10

12

TROPICANA JV – (IGO – 30%) IGO’S SECOND POTENTIAL CASH GENERATOR

A New Australian Gold Province

AngloGold Ashanti – 70% (Manager)

Tropicana JV

==> picture [247 x 14] intentionally omitted <==

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

“New Gold Province under sand”
----- End of picture text -----

13

TROPICANA JV SIGNIFICANT DISCOVERIES TO DATE

Numerous gold anomalies and potential for other gold discoveries

14

TROPICANA JV PRE‐FEASIBILITY RESOURCE & RESERVE

PFS Resources/Reserves estimated using owner‐operator costs

100% Project:

Jun 2009 Open Pit Resource: 75.3Mt @ 2.1g/t Au – 5Moz (A$1,250/oz) Dec 2009 Open Pit Reserve: 45Mt @ 2.3g/t Au – 3.3Moz (A$1,059/oz)

15

TROPICANA JV

NEW BOSTON SHAKER DISCOVERY

Boston Shaker will not be included in BFS

Tropicana gold system still growing along‐strike and down‐dip.

16

TROPICANA JV UNDERGROUND POTENTIAL

High‐grade, true width in‐pit gold intercepts suggest underground potential

17

TROPICANA JV HAVANA DEEPS INTERCEPTS

Havana Deeps will not be included in BFS

Tropicana gold system still growing along‐strike and down‐dip.

18

TROPICANA JV HAVANA DEEPS CROSS‐SECTION

Tropicana JV Havana Deeps Step Out Hole

19

TROPICANA JV PRE‐FEASIBILITY OUTCOME (100% PROJECT)

Open‐cut Resource: Mining Reserve:

75.3 Mt @ 2.07g/t Au (5.01 M oz Au) at June 2009

45 Mt @ 2.3g/t Au (3.3 M oz Au) – Owner Operator costing (A$1059/oz Au, US$103/barrel oil & 15% discount rate assumptions )

Infrastructure:

5.5 Mt pa treatment plant

Gold Production:

330,000 ‐ 410,000 oz Au pa (recovered) over 8‐10 years

Indicative BFS Timetable:

• BFS Completion

November 2010 (Contract mining costing)

• Decision to proceed

November 2010

• First gold pour 2013

20

TROPICANA JV CURRENT PROPOSED PLANT LAYOUT

Designed to reduce energy consumption compared to standard gold plants Estimated BFS plant and infrastructure $600‐620M Estimated BFS working capital $100‐120M Current estimated IGO contribution $210‐220M

21

LONG NICKEL MINE – IGO 100%

Moran, McLeay and Long nickel ore bodies yet to be closed off

HISTORY

• IGO Starting Reserve = 26,800 Ni t

• • IGO Production to date = 66,801 Ni t

• June 2010 Resource = 91,500 Ni t

• • June 2010 Reserves = 53,400 Ni t

GOALS

• Sustainable 9,000t Ni pa in bottom 3rd of world‐wide nickel production cash costs.

• Low cost nickel producer.

• New Reserves to increase mine life.

22

PRODUCTION FORECAST & HEDGING

History of exceeding production guidance

2009/10 2009/10 Guidance Actual • Production 8,000‐8,400 Ni t 8,615 Ni t • Grade 4.0% Ni 4.25% Ni • Cash Costs (payable) ‐ with royalty A$4.20‐4.40/lb Ni A$4.44/lb Ni ‐ without royalty A$3.90‐4.10/lb Ni A$4.01/lb Ni 2010/11 Sep 2010 Guidance Quarter • Production 8,800‐9,200 Ni t 2,702 Ni t • Grade 4.1% Ni 4.5% Ni • Cash Costs (payable) ‐ with royalty A$4.40‐4.60/lb Ni A$4.36/lb Ni ‐ without royalty A$4.00‐4.20/lb Ni A$3.73/lb Ni • Hedging Oct 2010 ‐ Jun 2013 5,160 Ni t @ A $22,464/t (A$10.19/lb)

5,160 Ni t @ A $22,464/t (A$10.19/lb)

23

QUARTERLY CASH COSTS & REVENUE

High operating margins and consistent low cash costs over 6 years

==> picture [606 x 348] intentionally omitted <==

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

Revenue A$/lb Ni
(includes hedging)
Payable Cash Costs A$/lb Ni
----- End of picture text -----

24

LONG MINE NICKEL DEPOSITS & TARGETS LONGITUDINAL PROJECTION

Largest Reserve since IGO reopened the mine (mine life extended to at least 2016)

25

MORAN NICKEL DEPOSIT

Moran remains open to the south

26

MORAN SOUTH CROSS‐SECTION

Moran remains open to the south

27

LONG NORTH

Long ore body remain open to the north

28

LONG MINE COMPLEX PRODUCTION / ORE RESERVE COMPARISON Consistently mining more nickel than Reserve estimate Oct 2002 – Jun 2010 PRODUCTION SUMMARY Initial Ore Reserve Estimate: 40,373 Ni t Mined from Ore Reserve: 52,665 Ni t (+30%) Mined outside Ore Reserve: 11,444 Ni t (+28%) TOTAL: 64,109 Ni t (+58%)

40,373 Ni t 52,665 Ni t (+30%) 11,444 Ni t (+28%) 64,109 Ni t (+58%)

29

IGO GOLD & BASE METAL EXPLORATION PROJECTS

High quality nickel, gold, copper‐lead‐zinc and tin exploration projects

30

DUKETON JV – ROSIE PROSPECT MASSIVE NICKEL SULPHIDES (IGO earning 70%)

High value ore ‐ potential for significant bi‐product credits

Rosie Prospect massive nickel sulphides assaying: 5.2m @ 9.1% Ni,

1.1% Cu,

0.2% Co,

7.1g/t PGE’s

(2.2g/t Pt, 1.7g/t Pd,

1.8g/t Ru & 0.8g/t Rh)

31

ORRBACKEN PROJECT ‐ SWEDEN (JV: IGO EARNING UP TO 73%)

==> picture [696 x 259] intentionally omitted <==

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

Numerous concealed TEM anomalies
NiS rich gabbro boulder
----- End of picture text -----

32

HOLLETON GOLD PROJECT (IGO 100%)

Large gold anomaly discovered under cover

==> picture [514 x 13] intentionally omitted <==

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

REGIONAL GEOLOGY GOLD GEOCHEMISTRY
----- End of picture text -----

==> picture [308 x 405] intentionally omitted <==

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

33
----- End of picture text -----

KARLAWINDA GOLD PROJECT (IGO 100%) BIBRA GOLD PROSPECT

==> picture [700 x 462] intentionally omitted <==

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

Potential
heap leach
Cross‐section
Sep 2010 Qtr gold
Report
operation
34
----- End of picture text -----

PROJECT GENERATION DE BEERS DATABASE (IGO 100%)

No buy‐back or royalties on future mineral discoveries

• Long term exploration asset to find new Australian mineral camps.

• 293,000 geochemical samples collected.

• 2,278 samples reporting visible gold.

• 2,025 geophysical surveys.

• IGO analysing samples for 57 elements including Ni, Cu, Pb, Zn, Au, Ag, Pt, Pd, Ur, rare earths, Sn, Li, K etc.

• 28,385 sampled analysed by IGO to‐date. Numerous new metal anomalies.

35

BIRRINDUDU PROJECT – NORTHERN TERRITORY

(IGO 100%)

New Australian tin discovery

Cassiterite rich heavy mineral concentrate

36

INDEPENDENCE CORPORATE GOALS

Focus on:

Low cash costs Mine longevity Innovative exploration Strong balance sheet

37

EQUITY RAISING OVERVIEW

Equity raising:

An Equity raising of A$164.3m, consisting of:

‐ a A$113.8m Institutional Placement

‐ a A$50.6m underwritten accelerated non‐renounceable pro‐ rata 1‐for‐15 Entitlement Offer

Use of funds: Funds used to partly finance estimated Tropicana JV project expense

‐ Based on current information, IGO’s share of expenses estimated at approximately A$210m ‐ A$220m

Offer price:

Offer price of A$6.65 for the Placement and Entitlement Offer

‐ 7.5% discount to the closing price on 3 November 2010 ‐ 6.0% discount to the 5 day VWAP

‐ 6.3% discount to the TERP

Management & Underwriting:

Bell Potter Securities Ltd has been appointed:

‐ Sole Lead Manager to the Institutional Offer ‐ Underwriter of the Entitlement Offer

Euroz Securities Ltd has been appointed:

‐ Co‐Manager of the Institutional Offer

38

EQUITY RAISING OVERVIEW

Timetable

Institutional Entitlement Offer Opens Institutional Entitlement Offer Closes Ordinary Shares Recommence Trading Record Date to Determine Entitlements Retail Entitlement Offer Opens Institutional Settlement Date Institutional Trading Date Retail Entitlement Offer Closes Retail Entitlement Offer Settlement Date Retail Allotment Date Retail Trading Date

Thursday, 4 November 2010 7.00am Perth time, Friday 5 November 2010 Monday, 8 November 2010 5.00pm Perth time, Tuesday 9 November 2010 Friday, 12 November 2010 Friday, 19 November 2010 Monday, 22 November 2010 Friday, 26 November 2010 Friday, 3 December 2010 Monday, 6 December 2010 Tuesday, 7 December 2010

39

PRO‐FORMA BALANCE SHEET

Current Assets Cash & cash equivalents Trade & other receivables Other Financial Assets Other current assets Non‐Current Assets Exploration, eval. & devel. expenditure Property, plant & equipment Deferred tax assets Other financial assets Intangible assets Total Assets Current Liabilities Trade & other payables Current tax payable Other financial liabilities Non‐Current Liabilities Deferred tax liabilities Other financial liabilities Provisions Total Liabilities Net Assets Equity Share capital Reserves Retained earnings Total Equity

30 September 2010 ($m)1 Adjustments ($m)2 Pro‐forma ($m) 137.3 157.8 295.1 29.3 29.3 8.6 8.6 0.3 0.3 94.9 94.9 7.2 7.2 7.3 7.3 4.4 4.4 0.9 0.9 290.2 157.8 448.0 18.9 18.9 5.0 5.0 18.8 18.8 20.3 20.3 5.2 5.2 1.4 1.4 69.6 ‐ 69.6 220.6 157.8 378.4 29.6 157.8 187.3 (2.5) (2.5) 193.5 193.5 220.6 157.8 378.4

1. Figures are unaudited as at 30 September 2010. The last audited financial statements were as at 30 June 2010

2. Adjustments reflect net capital raising proceeds, being gross proceeds of $164.3 million less the payment of transaction costs associated with the issue of fully paid shares amounting to $6.6 million which is being recognised against issued share capital

40

KEY RISKS

Activities in the Company and its controlled entities, as in any business, are subject to risks which may impact on the Company's future performance. There are a number of factors, both specific to the Company and of a general nature, which may affect the future operating and financial performance and position of the Company and the outcome of an investment in the Company. Some of these risks can be adequately mitigated by the use of safeguards and appropriate systems but many are beyond the control of the Company and its Directors and cannot be mitigated.

Prior to deciding whether to take up their Entitlement, Shareholders should read this entire Investor Presentation and review announcements made by the Company to ASX (at www.asx.com.au, ASX: IGO) in order to gain an appreciation of the Company, its activities, operations, financial position and prospects.

Shareholders should also consider the summary risk factors set out below which the Directors believe represent some of the general and specific risks that Shareholders should be aware of when evaluating the Company and deciding whether to increase their shareholding in the Company. The risk factors set out below are not intended to be an exhaustive list of all of the risk factors to which the Company is exposed.

SPECIFIC RISKS

The risk factors set out below have been identified as being key risks specific to an investment in Independence.

� Tropicana JV Gold Project

Independence holds a 30% interest in the Tropicana Joint Venture, with AngloGold Ashanti Australia Limited ("AngloGold") holding the remaining 70%.

Independence currently expects results from the bankable feasibility study for the Tropicana Project (“BFS”) to be received in November 2010. There is a risk that the outcome of the BFS may result in either or both of Independence or AngloGold deciding not to proceed with the development of the Tropicana Project or the project being delayed. In addition, there is a risk that the BFS may indicate that the anticipated value or returns from the Tropicana Project may be less than currently expected, and the estimated costs of proceeding with the project to production and costs of production will be more than Independence’s current cost estimates.

AngloGold, as the manager and operator of the Tropicana Joint Venture, is responsible for running the Tropicana Project, in accordance with its mandate as provided in the Joint Operating Agreement. However, in this capacity, AngloGold will act in the best interests of its own shareholders and may not always act in the best interests of Independence.

� Gold and Nickel prices

The gold and nickel mining industry is competitive. There can be no assurance that gold and nickel prices will be such that the Company can mine its deposits at a profit. Gold prices and nickel prices fluctuate due to a variety of factors including supply and demand fundamentals, international economic and political trends, expectations of inflation, currency exchange fluctuations, interest rates, global or regional consumption patterns and speculative activities. Similarly, demand and supply of capital and currencies, forward trading activities, relative interest rates and exchange rates and relative economic conditions can impact exchange rates.

The Company has put in place hedging contracts for part of its expected nickel production in order to reduce its exposure to potential falls in future nickel prices, however, the Company is still exposed to spot prices for the remainder of its anticipated future nickel production. These factors may have a positive or negative effect on the Company's project development and production plans and activities together with the ability to fund those plans and activities.

� Foreign exchange rates

The Company receives payments from its sales of nickel and gold in United States dollars. The Company converts the majority of these funds into Australian dollars, hence the Company is exposed to movements in exchange rates, the impact of which cannot be predicted reliably. The Company has put in place some derivative financial instruments ~~‐ i~~ n an attempt to mitigate some of its exposure to foreign exchange rate risk. However, the Company is still exposed to the risk on the currency received that has not been hedged.

41

KEY RISKS (cont’d)

� Mining and development risks

Profitability depends on successful exploration and / or acquisition of reserves, design and construction of efficient processing facilities, competent operation and management and proficient financial management.

Mining and development operations can be hampered by force majeure circumstances, environmental considerations and cost overruns for unforeseen events. In respect of its business activities, the Company has made estimates of capital expenses, operating costs and working capital requirements based on current circumstances, and its current understanding of those matters, in particular relating to the Tropicana Project and Long Nickel Mine. There is a risk that these estimates may differ from the Company's actual requirements and results.

� Future capital requirements

The Company’s ongoing activities may require substantial further financing in the future for its business activities, in addition to amounts raised pursuant to the Entitlement Offer. Any additional equity financing may be dilutive to Shareholders, may be undertaken at lower prices than the current market price (or Entitlement Offer price) or may involve restrictive covenants which limit the Company’s operations and business strategy.

Although the Directors believe that additional capital can be obtained, no assurances can be made that appropriate capital or funding, if and when needed, will be available on terms favourable to the Company or at all. If the Company is unable to obtain additional financing as needed, it may be required to reduce, delay or suspend its operations and this could have a material adverse affect on the Company’s activities and could affect the Company’s ability to continue as a going concern.

GENERAL RISKS

Mineral exploration and mining may be hampered by circumstances beyond the control of the Company and are speculative operations which by their nature are subject to a number of inherent risks. These include the general risk factors set out below.

� Exploration risks

The success of the Company depends on the delineation of economically minable reserves and resources, access to required development capital, movement in the price of commodities, securing and maintaining title to the Company's exploration and mining tenements and obtaining all consents and approvals necessary for the conduct of its exploration activities.

Exploration on the Company's existing exploration and mining tenements may be unsuccessful, resulting in a reduction of the value of those tenements, diminution in the cash reserves of the Company and possible relinquishment of the exploration and mining tenements. The Company may also experience unexpected shortages or increases in the costs of consumables, spare parts, plant and equipment.

� Resource estimates

Resource estimates are expressions of judgement based on knowledge, experience and industry practice. These estimates were appropriate when made, but may change significantly when new information becomes available.

There are risks associated with such estimates. Resource estimates are necessarily imprecise and depend to some extent on interpretations, which may ultimately prove to be inaccurate and require adjustment. Adjustments to resource estimates could affect the Company’s future plans and ultimately its financial performance and value. Gold and nickel price fluctuations, as well as increased production costs or reduced throughput and / or recovery rates, may render resources containing relatively lower grades uneconomic and may materially affect resource estimations.

42

KEY RISKS (cont’d)

� Regulatory risks

The Company's operations are subject to various Federal, State and local laws and plans, including those relating to mining, prospecting, development permit and licence requirements, industrial relations, environment, land use, royalties, water, native title and cultural heritage, mine safety and occupational health.

Approvals, licences and permits required to comply with such rules are subject to the discretion of the applicable government officials. No assurance can be given that the Company will be successful in obtaining any or all of the various approvals, licences and permits or maintaining such authorisations in full force and effect without modification or revocation. To the extent such approvals are required and not retained or obtained in a timely manner or at all, the Company may be curtailed or prohibited from continuing or proceeding with production and exploration.

� Ability to exploit successful discoveries

It may not always be possible for the Company to exploit successful discoveries which may be made in areas in which the Company has an interest. Such exploitation would involve obtaining the necessary licences or clearances from relevant authorities that may require conditions to be satisfied and/or the exercise of discretions by such authorities. It may or may not be possible for such conditions to be satisfied. Further, the decision to proceed to further exploitation may require participation of other companies whose interests and objectives may not be the same as the Company's.

� Environmental risk

The operations and activities of the Company are subject to the environmental laws and regulations of Australia. As with most exploration projects and mining operations, the Company's operations and activities are expected to have an impact on the environment, particularly if advanced exploration or mine development proceeds. The Company attempts to conduct its operations and activities to the highest standard of environmental obligation, including compliance with all environmental laws and regulations.

The Company is unable to predict the effect of additional environmental laws and regulations which may be adopted in the future, including whether any such laws or regulations would materially increase the Company’s cost of doing business or affect its operations in any area. However, there can be no assurances that new environmental laws, regulations or stricter enforcement policies, once implemented, will not oblige the Company to incur significant expenses and undertake significant investments which could have material adverse effect on the Company’s business, financial condition and performance.

� Title risks

The Native Title Act 1993 (Cth) ( NTA ) recognises and protects the rights and interests in Australia of Aboriginal and Torres Strait Islander people in land and waters, according to their traditional laws and customs. Native title may impact on the Company's operations and future plans. Native title is not generally extinguished by the grant of exploration and mining tenements, as they are not generally considered to be grants of exclusive possession. However, a valid exploration or mining tenement prevails over native title to the extent of any inconsistency for the duration of the title.

If invalid because of native title, tenements granted prior to 1 January 1994 have been validated by the NTA. Tenements granted between 1 January 1994 and 23 December 1996, if invalid because of native title, are also likely to have been validated subject to satisfying criteria established in the NTA. For tenements that may still be subject to native title to be validly granted (or renewed) after 23 December 1996 the "right to negotiate" regime established by the NTA must be followed resulting in an agreement with relevant native title parties or a determination by an independent tribunal as to whether the tenement can be granted from a native title perspective.

Alternatively an Indigenous Land Use Agreement may be entered into between the Company and relevant native title parties. An expedited regime not requiring agreement or determination by an independent tribunal may apply to some exploration tenements subject to satisfying criteria established in the NTA.

The Company must also comply with Aboriginal heritage legislation requirements which require heritage survey work to be undertaken ahead of the commencement of mining and exploration operations.

43

KEY RISKS (cont’d)

� Joint venture parties, agents and contractors

There is a risk of financial failure or default by a participant in any joint venture to which the Company is or may become a party or the insolvency or managerial failure by any of the contractors used by the Company in any of its activities or the insolvency or other managerial failure by any of the other service providers used by the Company for any activity.

� Key personnel

A number of key personnel are important to attaining the business goals of the Company. One or more of these key employees could leave their employment, and this may adversely affect the ability of the Company to conduct its business and, accordingly, affect the financial performance of the Company and its Share price. Recruiting and retaining qualified personnel are important to the Company’s success. The number of persons skilled in the exploration and development of mining properties is limited and competition for such persons is strong.

� Economic factors

The operating and financial performance of the Company is influenced by a variety of general economic and business conditions, including levels of consumer spending, oil prices, inflation, interest rates and exchange rates, supply and demand, industrial disruption, access to debt and capital markets and government fiscal, monetary and regulatory policies. Changes in general economic conditions may result from many factors including government policy, international economic conditions, significant acts of terrorism, hostilities or war or natural disasters. A prolonged deterioration in general economic conditions, including an increase in interest rates or a decrease in consumer and business demand, could be expected to have an adverse impact on the Company’s operating and financial performance and financial position.

The Company's future possible revenues and Share prices can be affected by these factors, which are beyond the control of the Company Competition

The Company competes with other companies, including major mining companies in Australia and internationally. Some of these companies have greater financial and other resources than the Company and, as a result, may be in a better position to compete for future business opportunities. There can be no assurance that the Company can compete effectively with these companies.

� Insurance risks

The Company will endeavour to maintain insurance within ranges of coverage in accordance with industry practice. However, in certain circumstances the Company's insurance may not be of a nature or level to provide adequate cover. The occurrence of an event that is not covered or fully covered by insurance could have a material adverse effect on the business, financial condition and results of the Company.

Insurance of risks associated with minerals exploration and production is not always available and, where available, the costs can be prohibitive. There is a risk that insurance premiums may increase to a level where the Company considers it is unreasonable or not in its interests to maintain insurance cover or not to a level of coverage which is in accordance with industry practice. The Company will use reasonable endeavours to insure against the risks it considers appropriate for the Company's needs and circumstances. However, no assurance can be given that the Company will be able to obtain such insurance coverage in the future at reasonable rates or that any coverage it arranges will be adequate and available to cover claims.

44

KEY RISKS (cont’d)

� Stock market conditions

As with all stock market investments, there are risks associated with an investment in the Company. Share prices may rise or fall and the price of Shares might trade below or above the issue price for the New Shares.

General factors that may affect the market price of Shares include economic conditions in both Australia and internationally, investor sentiment and local and international share market conditions, changes in interest rates and the rate of inflation, variations in commodity process, the global security situation and the possibility of terrorist disturbances, changes to government regulation, policy or legislation, changes which may occur to the taxation of companies as a result of changes in Australian and foreign taxation laws, changes to the system of dividend imputation in Australia, and changes in exchange rates.

� Liquidity risk

There can be no guarantee that there will continue to be an active market for Shares or that the price of Shares will increase. There may be relatively few buyers or sellers of Shares on ASX at any given time. This may affect the volatility of the market price of Shares. It may also affect the prevailing market price at which Shareholders are able to sell their Shares. This may result in Shareholders receiving a market price for their Shares that is less or more than the price paid under the Offer.

� Securities investment risk

Applicants should be aware that there are risks associated with any securities investment. Securities listed on the stock market, and in particular securities of mining and exploration companies have experienced extreme price and volume fluctuations that have often been unrelated to the operating performances of such companies. These factors may materially affect the market price of the securities regardless of the Company's performance. The past performance of the Company is not necessarily an indication as to future performance of the Company as the trading price of Shares can go up or down. Neither the Company nor the Directors warrant the future performance of the Company or any return on an investment in the Company.

� Other

Other risk factors include those normally found in conducting business, including litigation resulting from the breach of agreements or in relation to employees (through personal injuries, industrial matters or otherwise) or any other cause, strikes, lockouts, loss of service of key management or operational personnel, non‐ insurable risks, delay in resumption of activities after reinstatement following the occurrence of an insurable risk and other matters that may interfere with the business or trade of Independence.

45

IGO CONTACT DETAILS

Perth Office Managing Director – Chris Bonwick Ground Floor, Suite 1 183 Great Eastern Highway, Belmont, Western Australia Postal: PO Box 496, South Perth, Western Australia 6951 Telephone: +61 8 9479 1777 Facsimile: +61 8 9479 1877 Email: contact@igo.com.au Website: www.igo.com.au ASX Code: IGO

46

LONG NICKEL MINE

JUNE 2010 RESOURCES AND RESERVES

	RESOURCES Undiluted at 1% Ni Cut-off1, 2		MINING RESERVE
	as at 30 June 2010		as at 30 June 2010
	Tonnes Ni % Ni Tonnes		Tonnes Ni % Ni Tonnes
LONG	Measured 26,000 5.6 1,500	LONG	Proven 15,000 2.8 400
	Indicated 215,000 4.8 10,300		Probable 98,000 2.9 2,900
	Inferred 105,000 4.4 4,600
	Sub-Total 346,000 4.7 16,400		Sub-Total 113,000 2.9 3,300
MORAN	Measured - - -	MORAN	Proven - - -
	Indicated 494,000 7.2 35,700		Probable 739,000 4.4 32,700
	Inferred 52,000 7.1 3,700
	Sub-Total 546,000 7.2 39,400		Sub-Total 739,000 4.4 32,700
**VICTOR SOUTH **	Measured 17,000 7.0 1,200	**VICTOR SOUTH **	Proven 24,000 4 1,000
	Indicated 232,000 2.7 6,300		Probable 55,000 5.1 2,800
	Inferred 131,000 1.7 2,200
	Sub-Total 380,000 2.6 9,700		Sub-Total 79,000 4.8 3,800
McLEAY	Measured 85,000 8.1 6,900	McLEAY	Proven 121,000 3.9 4,700
	Indicated 248,000 5.7 14,200		Probable 261,000 3.4 8,800
	Inferred 94,000 5.1 4,800
	Sub-Total 427,000 6.1 25,900		Sub-Total 382,000 3.5 13,500
BROKEN STOCKS	Measured 3,000 4.0 100	BROKEN STOCKS	Proven 2,000 3.0 100
	Sub-Total 3,000 4.0 100		Sub-Total 2,000 3.0 100
TOTAL	1,702,000 5.4 91,500	TOTAL	1,315,000 4.1 53,400

Reserves are included in resources

Notes:

• 1 The cut‐off grade used for the Victor South resource is 0.6% Ni.

• 2 Ore tonnes have been rounded to the nearest thousand tonnes and nickel tonnes have been rounded to the nearest hundred tonnes.

47

TROPICANA JV

2009 PRE‐FEASIBILITY RESOURCES AND RESERVES

Owner Operator Costs

June 2009 Open Pit Resources

December 2009 Open Pit Reserves

	Tonnes	Grade	Grade	Contained	Contained
	(Mt)	(g/t)	1	Gold
				(Moz)	2
Measured	24.2	2.3		1.79
Indicated	39.8	2.0		2.58
Inferred	11.3	1.8		0.64
TOTAL	75.3	2.1		5.01

	Tonnes	Grade	Grade	Contained	Contained
	(Mt)	(g/t)	3	Gold
				(Moz)	4
Proved	22	2.4		1.7
Probable	23	2.1		1.6
TOTAL	45	2.3		3.3

• 1 Cut‐offs: 0.6g/t Au oxide, 0.7g/t Au fresh ore.

• 2 A$1,250/oz Au optimisation.

• 3 Cut‐off: 0.7g/t Au oxide ore, 0.8g/t Au fresh ore.

• 4 A$1,059/oz optimisation

• 5 See final slide for JORC required competent person sign‐off.

48

COMPETENT PERSON STATEMENT

Note: The information in this presentation that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr Christopher M Bonwick who is a full‐time employee of the Company and is a member of the Australasian Institute of Mining and Metallurgy. Christopher Bonwick has sufficient experience which is relevant to the style of mineralisation 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’. Christopher Bonwick consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

49