MACRO METALS LIMITED — Capital/Financing Update 2007

Jan 8, 2007

ASX ANNOUNCEMENT

09 January 2007

BRAINYTOYS ACQUIRES LICENCE FOR JAY JAY THE JET PLANE AND HIS FRIENDS

Brainytoys Limited (ASX Code: BRT) (Brainytoys) is very pleased to announce that it has signed an extensive licensing agreement with PorchLight Entertainment, Inc. (PorchLight) for JAY JAY THE JET PLANE^TM (Jav Jav) and its associated range of characters.

The licensing agreement, which includes digital content rights, allows Brainytoys to produce and distribute a broad range of products based on Jay Jay and his Tarrytown pals, including:

• electronic toys;
• remote control toys;
• computer games:
• plug-and-play games; and
• other associated electronic products.

These will be available for sale to the U.S. and Canadian Markets; the first Brainytoys Jay Jay product lines are expected to reach retail shelves in the second quarter of 2007.

Jay Jay the Jet Plane is a TV series that follows the exciting adventures of a perky and curious sixyear-old jet plane, Jay Jay, and his airplane friends. They live and play at Tarrytown Airport, a place where imagination takes flight!™

Each Jay Jay episode includes valuable life lessons for young children. They learn important lessons about cooperation, teamwork, responsibility, and science and nature.

Jay Jay is currently seen in over 85 million households worldwide and broadcast in the U.S. on over 200 PBS TV member stations, Jay Jay can also be seen in the U.S. daily on the recently launched PBS KIDS Sprout network, a fresh, new destination devoted to preschool children and their parents and caregivers. PBS KIDS Sprout is a 24-hour preschool channel available on digital cable and satellite television and complementary video on demand (VOD) service. PBS KIDS Sprout currently has over 24 million committed subscribers.

Brainvtovs Ltd 6-B 8owen Street O'Cosnor WA 6163 Australia

BRAINYTOY

T: (+618) 9331 8441 F: (+618) 9331 8452 E: info@braieytoys.com W: www.brainvtovs.com ASX 831 - ABN 28.091.891.583

This past year also saw the number of Jay Jay episodes increase to 90; the introduction of Lina, a new Hispanic character; as well as the debut of the official Jay Jay the Jet Plane fan club at www.jayjay.com.

Earlier this year Porchlight announced that they will produce the first Jay Jay feature length animated movie, "Jay Jay's Race Around the World". The movie is slated for release in spring of 2008.

Mr Aguero, Managing Director of Brainytoys said, "We are very pleased to have secured this extensive Licence for Jay Jay and his friends. With the launch of the animated movie next year we believe that Jay Jay and his friends will enjoy a significant boost to their already substantial and growing popularity. Brainytoys is very excited to be developing a broad range of innovative products for this dynamic and very entertaining children's series".

"PorchLight is very excited about our new partnership with Brainytoys," said Caren Shalek, SVP of Consumer Products. "With the recent debut of exciting new television episodes, the addition of Lina, and the launch of our new fan club, we expect Jay Jay to continue to soar to new heights. Brainytoys is launching a line of new and innovative products into the market and we are thrilled that these products will be part of the Jay Jay licensing program."

ABOUT PORCHLIGHT ENTERTAINMENT

PorchLight Entertainment is a multi-faceted company focused on the production and distribution of high-quality family entertainment. Since its formation in 1995 by veteran entertainment executives Bruce D. Johnson and William T. Baumann, PorchLight has produced the Emmy award-winning animated series, Tutenstein, for Discovery Kids and Jetix (formerly Fox Kids Europe), Jay Jay The Jet Plane for PBS KIDS, the animated children's series Adventures from The Book of Virtues (PBS KIDS), Four Eves for France 3 and Nickelodeon Asia and the animated long form movies The Night Before Christmas: A Mouse Tale, The Haunted Pumpkin of Sleepy Hollow, and Christmas Dinosaur. PorchLight is currently co-producing Animalia for PBS, CBBC, and Network Ten and Nickelodeon in Australia and a series of direct-to-videos for Leapfrog, the leading electronic toy company, among other productions. PorchLight Entertainment can be found at www.porchlight.com.

ABOUT BRAINYTOYS LIMITED

Brainytoys (www.brainytoys.com), headquartered in Perth Westem Australia, is a global toy and game development company with a growing portfolio of over 50 products targeting various segments of the world's toy and game industry, with an emphasis on electronics and software technology.

Listed under the Australian Stock Exchange (ASX) symbol BRT in March 2005 as the first and only public toy and game development issue on the Australian Stock Exchange, Brainytoys is emerging as a highly praised source of creative, innovative, new generation products for the world's toy and game markets and global consumers.

ENDS

For further information contact: Alex Aguero, Managing Director Ph: (08) 9331 8441

alexa@brainytoys.com