MACRO METALS LIMITED — Capital/Financing Update 2007

Nov 1, 2007

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Company Announcements Australian Stock Exchange Limited 20 Bond Street SYDNEY NSW 2000

For immediate release to the market

(1) Issue of Shares for Acquisition of Enertec Enterprises Ltd (“Enertec”)

Following the approval of shareholders in General Meeting of Brainytoys Ltd (“the Company”), the Company is issuing to the Enertec vendors (viz. Mr Jones Lee and related parties) 8,475,837 shares in the Company in part consideration for the acquisition of the whole of the share capital of Enertec.

(2) Notice under Section 708A

The Company issued 1,904,788 shares at an issue price of 8.5 cents per share to raise $161,907 in relation to offers made (including a party related to Mr Jones Lee) pursuant to Section 708A (5) of the Corporations Act for working and development capital purposes.

The Company gives this notice pursuant to Section 708A (5) of the Corporations Act. The shares were issued without disclosure to investors under Park 6d.2 in reliance on Section 708A (5) of the Corporation Act.

The Company, as at the date of this notice, has complied with:

• (a) The provisions of Chapter 2M of the Corporations Act; and

• (b) Section 674 of the Corporations Act.

There is no excluded information for the purposes of Section 708A (7) and (8) of the Corporations Act.

Yours faithfully

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Charles Mackinnon Chairman

02 November 2007

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