KORAB RESOURCES LIMITED — Capital/Financing Update 2013

May 30, 2013

®

KORAB RESOURCES LIMITED KORAB HOUSE

www.korab.com.au

31 May 2013

WINCHESTER TRANSACTION

We refer to the Short Form Agreement for the sale of Winchester magnesite project ( Winchester ) announced to the market on 31 December 2012 ( Agreement ). Korab Resources Limited (ASX: KOR) received notice from Augur Investments Ou ( Augur ) on 29 May 2013 advising that they will not provide the confirmation pursuant to Clause 4.2 of the Agreement that no information has arisen as a result of due diligence enquiries in relation to Winchester which could be materially adverse to the operation of a magnesite mining project.

As a result Augur has advised that they will not be proceeding with the sale and purchase of Winchester.

‐ENDS‐

FOR FURTHER INFORMATION, CONTACT: Andrej Karpinski Executive Chairman (08) 9474 6166

ISSUED CAPITAL 135 Mln shares 44 Mln options

ASX CODES KOR KORO

MARKET CAPITALISATION $8 Mln

==> picture [66 x 66] intentionally omitted <==

LEVEL 18, CENTRAL PARK, 152-158 ST. GEORGE’S TERRACE, WA, 6000, AUSTRALIA PO BOX Z5447, PERTH, WA, 6831 AUSTRALIA TEL +61 (8) 9288 4467 FAX +61 (8) 9288 4476 ACN 082 140 252

PAGE 1 OF 1