KINGSROSE MINING LIMITED — Share Issue/Capital Change 2007

Dec 5, 2007

6.DEC.2007 7:35 ASX PERTH

NO.234 P.5/7 Kingsrose Mining Limited

FOR RELEASE TO THE MARKET

6 December 2007

The Manager, ASX Limited Level 8, Exchange Plaza 2 The Esplanade Perth WA 6000

Dear Sir

We wish to advise that the material terms and conditions of the Options are as follows:

(a) Each Option entitles the holder to one (1) Share.

(b) The Options are exercisable at any time prior to 5pm Western Standard Time on 31 December 2012 (the Expiry Date).

(c) The exercise price of the Options is 25 cents per Option.

(d) The Options are freely transferable.

(e) The Company will provide to each Option holder a notice that is to be completed when exercising the Options (Notice of Exercise). The Options may be exercised wholly or in part by completing the Notice of Exercise and delivering it together with payment to the secretary of the Company to be received any time prior to the Expiry Date. The Company will process all relevant documents received at the end of every calendar month.

(f) Upon the exercise of an Option and receipt of all relevant documents and payment, the holder in accordance with paragraph (e) will be allotted and issued a Share ranking pari passu with the then issued Shares.

(g) There will be no participating rights or entitlements inherent in the Options and the holders will not be entitled to participate in new issues of capital which may be offered to Shareholders during the currency of the Options. However, the Company will ensure that for the purposes of determining entitlements to any such issue, the record date will be at least 7 business days after the issue is announced. This will give Option holders the opportunity (where available) to exercise their Options prior to the date for determining entitlements to participate in any such issue.

(h) If there is a bonus issue (Bonus Issue) to Shareholders, the number of Shares over which an Option is exercisable will be increased by the number of Shares which the holder would have received if the Option had been exercised before the record date for the Bonus Issue (Bonus Shares). The Bonus Shares must be paid up by the Company out of profits or reserves (as the case may be) in the same manner as was applied in the Bonus Issue, and upon issue will rank equally in all respects with the other Shares on issue as at the date of issue of the Bonus Shares.

(i) In the event of any reconstruction (including consolidation, sub-division, reduction or return) of the issued capital of the Company prior to the Expiry Date, all rights of an Option holder are to be changed in a manner consistent with the Listing Rules.

(j) In the event that the Company makes a pro rata issue of securities, the exercise price of the Options will be adjusted in accordance with the formula set out in Listing Rule 6.22.2.

Yours faithfully KINGSROSE MINING LIMITED

JEANNETTE P. SMITH

COMPANY SECRETARY