IONIC RARE EARTHS LIMITED — Capital/Financing Update 2014

Mar 18, 2014

19 March 2014

Oro Verde Acquires Option Over Projects

Oro Verde Limited (ASX: OVL) (“Oro Verde” or “the Company”) is pleased to inform shareholders that it has entered into a Memorandum of Understanding (“MoU”) to acquire a suite of highly prospective copper, gold and silver projects in the Andean Cordillera of San Juan Province, on the Chilean border of Argentina.

The projects range from the established and previously-drilled copper-gold porphyry target at Cerro Blanco, extensive epithermal vein gold-silver mineralisation at San Francisco, to high-grade gold-silver porphyry mineralisation at Amiches.

Key Points:

• Projects located in mining friendly San Juan Province, Argentina

• Close to major gold producers and projects in development

• Consistent with company strategy of acquiring quality Chilean and nearby projects where value can be added quickly

• Excellent synergies with current operations in Chile

Oro Verde’s Executive Chairman, Dr Wolf Martinick, stated “We are very pleased to have entered into this MoU. The very prospective and partly drilled projects are ideally situated just over the border from Chile in the mining friendly province of San Juan, Argentina. As a measure of the value, these projects lie in the same prospective region as a number of large gold and base metal deposits.”

Cerro Blanco– Cu-Au-Mo Project

The Cerro Blanco Project contains the advanced porphyry Copper Hill target where previous drilling has intersected broad zones of sulphide mineralisation and hydrothermal alteration, characteristic of many large Andean porphyry copper deposits. The mineralisation includes both disseminated and veined chalcopyrite and other copper sulphide minerals hosted by intensely-altered diorite porphyry and dacitic breccias.

In addition to Copper Hill, a number of other copper and gold prospects within the project remain to be followed up.

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Oro Verde Limited (ABN 84 083 646 477) Level 1, 30 Richardson Street, West Perth, WA 6005 PO Box 493, West Perth, WA 6872 Telephone: + 61 8 9481 2555

www.oroverde.com.au

Amiches- AU-Ag-Cu Project

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The Amiches Project is located about 190km north of Cerro Blanco in the central San Juan Province near other epithermal gold-copper projects, and within the Argentine extensions of the highly-prospective El Indio Belt. This belt contains the famous El Indio, Tambo and Pascua-Lama gold deposits and is one of the world’s richest mineral provinces. The name is taken from the famous El Indio mine, situated just 50km northwest of Amiches.

Surface sampling undertaken in February 2013 returned a number of highly encouraging results including:

• 1m at 18.9g/t Au + 389.5 g/t Ag

• 2m at 12.4g/t Au + >200g/t Ag

• 2m at 3.9g/t Au + 95g/t Ag

• 2m at 2.8g/t Au + 49g/t Ag

• 2m at 2.8g/t Au + 56g/t Ag

• 2m at 2.7g/t Au + 56g/t Ag

San Francisco

The San Franciso Project is located 140km north of the Cerro Blanco Project. Previous exploration, including drilling, has established a number of porphyry and epithermal goldsilver targets.

Drilling at the Las Lenas Prospect in 2013 returned promising results including:

• 5m at 2.1g/t Au and 34.9g/t Ag, including 2m at 5.1g/t Au and 79g/t Ag.

Follow-up drilling on this prospect will be considered a high priority.

Next Steps

The MoU envisages that Oro Verde will acquire 100% of the outstanding shares in an Argentinean domiciled company that holds options to acquire the projects detailed above. A binding Heads of Agreement is to be executed by 31 March 2014 after which Oro Verde will have up to 13 May 2014 to complete Due Diligence.

*** ENDS ***

For enquiries contact:

Dr Wolf Martinick Chairman / Managing Director +61 417942466

Brett Dickson Company Secretary +61 8 9481 2555

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Figure 1 – Location of projects

The information in this report that relates to Exploration Results, was prepared and first disclosed under the JORC Code 2004. It has not been updated since to comply with the JORC Code 2012 on the basis that the information has not materially changed since it was last reported, and is based on information compiled by Dr Brad Farrell, BSc Hons Eco Geol, MSc, PhD, who is a Fellow of The Australasian Institute of Mining and Metallurgy, a Chartered Professional Geologist of that body, a Member of the Mineral Industry Consultants Association and the Consultants Society of the Australian Institute of Mining and Metallurgy. Dr Farrell 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 Farrell consents to the inclusion in the report of the foregoing matters based on his information in the form and context in which it appears. He is the Technical Director and a substantial shareholder of Oro Verde Limited.

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