MINERAL COMMODITIES LTD — Capital/Financing Update 2008

Nov 27, 2008

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Mineral Commodities Ltd

ACN 008 478 653 ABN 39 008 478 653

Unit 15, Level 1, 51-53 Kewdale Road Welshpool, Western Australia 6106 PO Box 235, Welshpool DC 6986 Telephone: 61 8 9353 4890 Facsimile: 61 8 9353 4894 Email: info@mncom.com.au Web: www.mncom.com.au

28 November 2008

Australian Stock Exchange Company Announcements Office

– Granting of Mining Right Tormin Mineral Sands Project Placement of Shares

The Board of Mineral Commodities Limited (”MRC”) is pleased to advise that its South African subsidiary, Mineral Sands Resources Pty Ltd, has signed the Mining Right for the Company’s Tormin Mineral Sands Project along with the Steenvas Mining Right conversion.

The granting of the Mining right is a significant milestone in the development of Mineral Commodities Limited as a mineral sands producer. The Company will now move to appoint an EPCM contractor to complete the final plant design and engineering with construction expected in 2009.

The granting of the mining right is underpinned by the entering into of a new Black Empowerment arrangement with Xolco, the Company’s Bee partner on its Xolobeni Mineral Sands Project. The agreement provides for Xolco to be issued with 50% of the issued capital of Mineral Sands Resources Pty Ltd for consideration of R50,000,000 (approximately $7.5million) to be paid via a preferential dividend from cash flows derived from the project.

Placement of Shares

The Board of MRC also advises that the Company is currently finalising a placement of 18,400,000 shares at $0.02 to raise $368,000. The funds raised will be used to meet certain upfront payments associated with the Tormin Mineral Sands Project.

The placement is being made to Exempt Investors under the Companys 15% capacity under the ASX listing rules.

Background to Tormin Mineral Sands Project

The Tormin Mineral Sands Project (“Project”) is based on a beach sand deposit located on the west coast of South Africa, approximately 400km north of Cape Town. The deposit is strategically situated close to Trans Hex Group’s (THG) diamond mining operations and approximately 50km south of Anglo American Group’s Namakwa Sands’ large scale heavy mineral sands mining operation located at Brand se Baai.

The Project is also located close to Koekenaap from where Tormin’s planned output of mineral concentrate can be transported by existing inland rail some 200kms to the export port at Saldanha Bay.

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In 2005 Bateman Engineers conducted a feasibility study on the Project including pilot processing test work which demonstrated that high quality zircon (ceramic grade) and Hi Ti product could be produced from the Tormin material. The Company subsequently commissioned an independent review by South African engineering consultants RSV K’enyuka to further refine the flow sheet including investigating the viability of only producing a non-magnetic zircon enriched heavy mineral concentrate which would not require a Mineral Separation Plant (“MSP”) thereby significantly reducing the capital and operating costs.

The Project has been scoped to produce an enriched non magnetic concentrate containing predominately zircon and rutile. The results of the study by RSV K’enyuka are being refined and various engineering firms have been approached to undertake the final design and construction of the processing plant and the mining operations.

The Tormin Project was previously investigated by THG who estimated the Mineral Resource at 3.43Mt containing 81,300t zircon and 20,200 of rutile in Measured, Indicated and Inferred categories based on RC drilling. As part of a review to update the Mineral Resource it has been reestimated using the THG RC drilling data and results of the MSR bulk sampling program. The revised estimate is 2.71Mt containing 76,100t zircon and 18,300t rutile.

Yours faithfully

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Mark Caruso Managing Director

For enquiries in connection with this release please contact:

Mineral Commodities Limited +61 8 9353 4890 telephone +61 8 9353 4894 facsimile e-mail: info@mineralcommodities.com.au

Competent Persons

The information in this report that relates to Mineral Resources and Exploration Results for the Tormin Mineral Sands Project is based on information compiled by Greg Steemson who is a Fellow of the Australian Institute of Geoscientists. Greg Steemson has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Greg Steemson consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

The information in this report that relates to Mineral Resources and Exploration Results of the Xolobeni Project is based on information compiled by Daniel Guibal (SRK Consulting) a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.