IODM LIMITED — AGM Information 2010

Nov 16, 2010

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PARADIGM METALS LIMITED 2010 Annual General Meeting Directors’ Address 17 November 2010

Ladies and Gentlemen,

Welcome to the 7[th] Annual General Meeting of the Company and I am pleased to .provide the following short address on behalf of the Board.

The year past is well summarised in the 2010 Annual Report but it is worth noting that, despite our lack of any significant discovery to date, we remain committed to exploring in areas of well known mineralisation in recognised geological provinces, preferably in locations reasonably close to infrastructure, with a focus on well targeted drilling with minimal overhead costs.

Since the last AGM, application of this approach produced some success at Kangiara near Boorowa in southern NSW. The drilling at Kangiara was successful in that a JORC compliant Indicated and Inferred Mineral Resource of 2.7 million tonnes at a grade of 0.51 g/t gold, 23.7 g/t silver, 0.18% copper, 1.03% lead and 1.27% zinc was defined. The current relatively low tonnage and grade is only marginally economic, however, if further work resulted in a doubling of the tonnes, then there is potential for a medium sized open cut mining operation. At this point, we have decided that the risk/reward of this project compared to our gold opportunities means we should defer significant additional spending on Kangiara or find a partner who is focussed on base metals development.

With respect to our other prospects drilled during the year, Rosedale produced intersections but the large area of alteration and gold anomalism at Rosedale South warrants a larger, intensive drill program which currently is beyond the reach of your Company. We are now drilling at the Toolebuc project near Cloncurry in a joint venture with Exco Resources Ltd (PDM 50% and EXS 50%) and we should have results in the next few weeks. We acquired an exploration licence at Temora during the year. This is located on a major structure (the Gilmore Suture) which is associated, regionally, with gold mineralisation. On the EL there are narrow, outcropping, high grade gold quartz veins and an associated broad geochemical gold anomaly that has never been explored for bulk tonnage gold mineralisation.

Paradigm Metals Ltd ABN 28 102 747 133 Suite 202, 122 Walker Street, North Sydney, AUSTRALIA 2060 Ph: +61 (2) 9955‐7130 Fax: +61 (2) 8920‐3576 E‐mail: info@paradigmmetals.com.au

Our main area of activity remains the Lachlan Fold belt in NSW. Notably, we have the right to earn a majority stake in the Yellow Mountain project northwest of Condobolin and we believe that Yellow Mountain is prospective for large sediment‐hosted and/or porphyry gold deposits, deposit types which have not been considered by previous explorers. We also hold 100% of the adjacent Exploration Licence application (ELA 4001). Our initial work has been most encouraging and we expect to start another round of drilling in about 2 weeks, drill availability, weather and crop harvests permitting.

The current non renounceable rights issue, which is fully underwritten by Taylor Collison, is expected to raise some $1.12 million before costs which will be sufficient to fund an aggressive drilling program at Yellow Mountain, and will give us the flexibility to consider other opportunities as they arise. We believe that the rights issue will provide shareholders with the opportunity to increase their holdings at an attractive price and without brokerage and other costs. The non‐executive directors intend to take up their full entitlement in the issue.

We approach the year ahead with a portfolio of good gold targets and, with the rights issue funding, sufficient resources to give shareholders some exciting exposure to a highly prospective gold drilling program. We look forward to giving our shareholders some significant results.

Thank you.

Stephen Lonergan Graham Carman John Gaskell Director and Company Secretary Managing Director Director

Paradigm Metals Ltd ABN 28 102 747 133

Suite 202, 122 Walker Street, North Sydney, AUSTRALIA 2060 Ph: +61 (2) 9955‐7130 Fax: +61 (2) 8920‐3576 E‐mail: info@paradigmmetals.com.au