NEOMETALS LTD — Capital/Financing Update 2012

Jul 16, 2012

ASX RELEASE

17 July 2012

Contracts Executed – Meekatharra Gold Project

• Crusher Installation and Power Supply Contracts Awarded

Emerging Australian gold producer Reed Resources Ltd ( ASX: RDR ) ( Reed Resources ) is pleased to announce the execution of two key contracts for the Meekatharra Gold Project.

The contract for the installation of the new heavy duty primary crusher has been awarded to ASX listed company GR Engineering Services Limited.

The contract for the supply of power to the Meekatharra Gold Project has been awarded to Pacific Energy (KPS) Pty Ltd, a subsidiary of ASX listed company Pacific Energy Limited.

Reed Resources is pleased to have engaged two leading contractors as it continues with the development of the Meekatharra Gold Project.

ENDS

For further information please contact :

Luke Tonkin John Gardner Reed Resources Ltd MAGNUS Investor Relations T: +61 89322 1182 T: +61 413 355 997 E: enquiries@reedresources.com E: jgardner@magnus.net.au

About Reed Resources

Reed Resources Ltd (ASX: RDR, OTC: RDRUY) is an emerging Western Australian gold producer focused on bringing its flagship Meekatharra Gold Project into production in the December quarter of 2012.

Reed Resources’ wholly owned Meekatharra Gold Project is located in the prolific Murchison region of Western Australia and currently has 3.59Moz of gold in JORC resources and existing infrastructure including the 3 Mtpa Bluebird processing plant.

Reed Resources’ other projects include:

• Mount Marion: High-grade lithium project located 40km south of Kalgoorlie in JV with Mineral Resources Limited (ASX: MIN). Currently under construction.

• Barrambie: Definitive Feasibility Study completed on the production of 6300t of vanadium per annum. Currently in approvals process and evaluating recovery of titanium and iron units.

• Comet Vale: Currently on care & maintenance. High grade JORC resource of 186,000 oz at 10.8 g/t Au.

• Mount Finnerty: Iron ore JV with Cliffs Natural Resources and nickel option with Barranco Resources NL.

Reed Resources’ American Depositary Receipts (ADR’s) trade under the code RDRUY (CUSIP Number: 758254106). Each Reed Resources ADR is equivalent to 10 ordinary shares of Reed Resources as traded on the ASX. The Bank of New York Mellon is the depository bank.

Website: www.reedresources.com

COMPETENT PERSONS STATEMENT

Geological aspects of this report have been compiled by Mr Craig Fawcett (MAIMM), a full time employee of Reed Resources Ltd. Mr Fawcett has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity which is being reported on to qualify as a Competent Person as defined in the Code for Reporting of Mineral Resources and Ore Reserves (2004). Mr Fawcett consents to the inclusion in this report of the matters in the form and context in which it appears.