KING RIVER RESOURCES LIMITED — Capital/Financing Update 2012

Jul 2, 2012

ASX ANNOUCEMENT 3 July 2012

==> picture [393 x 84] intentionally omitted <==

----- Start of picture text ----- L APSE OFUN-L ISTED I NCENTIVE O PTIONS----- End of picture text -----

ASX Code: SPM

Capital Structure:

Shares on Issue: 130.7m Options on issue: 6.95m Exercise Price: 24c – 55c Market Cap: $16m (12c)

Board of Directors:

Non Executive Chairman: Anthony Barton

EXPIRY OF UNLISTED INCENTIVE OPTIONS

INCENTIVE OPTIONS EXPIRED 30 JUNE 2012

Speewah Metals Limited (“Speewah” or “the Company”) (ASX: SPM) advises that the following un-listed options expired without exercise as at 30 June 2012.

• 4,500,000 options exercisable at 20 cents;

• 100,000 options exercisable at 50 cents;

• 100,000 options exercisable at 65 cents;

• 100,000 options exercisable at 80 cents.

Non Executive Director: Derek Carew-Hopkins

Non Executive Director: Leon Charuckyj

Executive Director: Richard Wolanski

Projects:

Speewah Dome, 575 km[2 ] Kimberley, WA

Resources:

Titanium/ Vanadium:

4.7 Billion tonnes @ 2% Ti and 0.30% V2O5 (at 0.23% V2O5 cut-off grade)

Fluorite:

6.7 Million tonnes @ 24.6% CaF2 (at 10% CaF2 cut-off)

Metallurgy:

Recovery from concentrate - Ti (+91.1%)

CAPITAL STRUCTURE

The capital structure of the Company following the expiry of these options is as follows:

Ordinary Shares (Listed)

130,668,170 shares

Options (Unlisted)

200,000 options exercisable at 45 cents expiring 31 March 2013;

2,300,000 options exercisable at 55 cents expiring 31 December 2014;

• 1,200,000 options exercisable at 55 cents expiring 31 December 2014; 1,250,000 options exercisable at 37 cents expiring 30 June 2014;

• 2,000,000 options exercisable at 24 cents expiring 31 December 2014.

Richard Wolanski Director

• V (+94.6%)

• Fe (+97.0%)

Project Scoping:

Target production

• TiO2[75,000 tonne pa ] - V2O5[12,400 tonne pa ] Revenue: US$570 million pa NPV: US$1.4 Billion

Other prospects:

Copper/Gold/Silver & Lead PGE + Au

BACKGROUND & SYNOPSIS OF SPEEWAH METALS LTD

Speewah Metals Ltd has established a portfolio of 100% owned tenements covering approximately 575 square kilometres in the East Kimberley region of Western Australia (“Tenements”).

Since Speewah was listed on the ASX in 2007, the company has focused on exploring an extensive zone of vanadiferous and titaniferous magnetite mineralisation. This exploration has delivered Australia’s largest titanium/vanadium in magnetite resource and a high grade Fluorite resource. The projects have advanced beyond exploration and have entered the feasibility and development phase.

The Titanium/ Vanadium/ Hematite Project represents the major asset and value add project for shareholders. Metallurgical studies have significantly reduced technical risk associated with the acid leach and solvent extraction processing technique and enables a focus towards development of a significant mining operation.

Initial planning envisages a mining /processing operation that produces a minimum of the following end products:

• Titanium Dioxide (TiO2) 75,000 tonnes per year

• Vanadium Pentoxide (V2O5) 12,400 tonnes per year

• Hematite (Fe2O3) 410,000 tonnes per year

• Ammonium Sulphate (NH4)2SO4 200,000 tonnes per year

Each of the end products is expected to be produced at high grade purity levels of >98% which would enable Speewah to secure premium pricing for the end products. The recovery process and testwork confirms that modular development of a mine and process facility could see Speewah commence at lower target production levels than were used in the attached financial model and then be scaled up to match capital availability and product demand.

Subject to adequate funding, the objectives for the next 12 months include:

1. Construction and completion of a pilot plant processing facility to demonstrate titanium/vanadium/hematite flowsheet and produce marketing sample to attract off-take and investment/strategic partners;

2. Input pilot plant results into pre-feasibility studies that will deliver optimised flowsheet, operating, and capital cost estimates that have the potential to significantly increase the existing project valuation of US$1.4 Billion.

3. Delivery of the following development approval requirements:

   • a. Achieving Reserve status on Titanium/Vanadium in magnetite Resource;

   • b. Mining Lease;

   • c. Mining Agreement with landholders;

   • d. Application for Environmental Impact Assessment.

4. Commencement of definitive feasibility studies on Titanium/Vanadium/Hematite project.

These objectives are designed to reduce commercial risk and facilitate mine development.