IODM LIMITED — Capital/Financing Update 2012

Feb 14, 2012

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Suite 202, 122 Walker St W www.paradigmmetals.com.au North Sydney 2060 E info@paradigmmetals.com.au New South Wales T +61 2 9955 7130 AUSTRALIA F +61 2 8920 3576

ABN 28 102 747 133

ASX / Media Announcement

15 February 2012

WHITE ROCKS TUNGSTEN PROSPECT

Option to Purchase EL6274 Granted to Resmetco Ltd

• The Company has granted Resmetco Limited an option to purchase PDM’s interest in EL6274 ”White Rock”

• During the 18 month option period, Resmetco is obliged to keep EL6274 in good standing.

• The option may be exercised by Resmetco within the 7 days after Resmetco has been admitted to the Official List of the ASX

• On exercise, Resmetco is to issue PDM 4,000,000 fully paid ordinary shares in Resmetco

Paradigm Metals (ASX Code: PDM) is pleased to announce that it has granted Resmetco Limited (A.B.N. 89 150 566 626). an option to purchase PDM’s 100% interest in NSW Exploration Licence 6724 which contains the Company’s White Rock tungsten project.

Resmetco (RSM) is an unlisted public company based in Brisbane and is focussed on exploring and developing strategic metals projects in Australia, and plans to list on the ASX in 2012.

The option may be exercised by Resmetco within the 18 month option term and only after Resmetco has been admitted to the Official List of the ASX. During the option term, Resmetco is required to keep EL 6274 in good standing. On exercise of the option, Resmetco is required to issue 4 million ordinary fully paid Resmetco shares to PDM

EL 6724 which contains the White Rock project along with a number of tungsten and base metal exploration targets is located 40km north of Yass in the central west of NSW. The White Rock tungsten prospect has a JORC compliant inferred resource of 260,000 tonnes of 0.7% tungsten oxide and 0.15% tin oxide.

PDM’s Chief Executive Officer Greg Curnow noted “Resmetco’s plan to aggregate the White Rock tungsten resource with other similar smaller resources provides the potential to achieve value from the relatively small White Rock resource and the shareholding in Resmetco, if the option is exercised, will deliver value for PDM shareholders”

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Further information on the White Rock prospect and other Paradigm projects can be found on the company’s website at www.paradigmmetals.com.au while information about Resmetco Limited can be found at www.resmetco.com.au.

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Greg Curnow Chief Executive Officer Paradigm Metals

Ph: (02) 9955-7130 Fax: (02) 8920-3576 Email: info@paradigmmetals.com.au Website: www.paradigmmetals.com.au

The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Dr Graham Carman who is a Member of the Australasian Institute of Mining and Metallurgy. Dr Carman is a non-executive director of the Company, 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”. Dr Carman consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

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