NEOMETALS LTD — M&A Activity 2011

May 22, 2011

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ASX Code: MRP

Acquisition of Nimbus Silver Mine - Clarification

Contact Details

PO Box 778 109 Maritana Street Kalgoorlie WA 6430

T +61 (0) 8 9021 5866 F +61 (0) 8 9021 5348 E info@macphersonsreward.com.au

ABN 98 139 357 967 ACN 139 357 967

MacPhersons Reward Gold Limited announced on 20 May 2011 that it has entered into a binding MOU to acquire the Nimbus Silver Project, located in Kalgoorlie, including mine, mill and polymetallic deposits from Reed Resources Ltd. In that announcement reference was made to a polymetallic exploration target with a range of 200,000 – 400,000 tonnes grading 5-6% Zinc, 100 – 200 g/t silver, 0.8 – 1.0% lead. The Company advises that this is an exploration target only and the potential quantity and grade is conceptual in nature. There has been insufficient exploration completed to define a mineral resource and it is uncertain if further exploration will result in the determination of a mineral resource.

For more information on MacPhersons Reward and to subscribe for regular updates, please visit our website at: www.macphersonsreward.com.au or contact our Kalgoorlie office care of Morrie Goodz.

Capital Structure

Ordinary Shares on issue: 194 M

Options on issue: 22 M Exercise Price $0.30 Expiry 31 December 2013

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Morrie Goodz Managing Director

Board of Directors

Ashok Parekh

Chairman – Executive Director

Morrie Goodz

Managing Director – Executive Director

Jeff Williams Non-Executive Director

Competent Person’s Statement

The information in this report that relates to mineral resources and exploration results is based on information compiled by Mr Morrie Goodz who is a Fellow of the Australasian Institute of Mining and Metallurgy. Mr Morrie Goodz is a full time officer of MacPhersons Reward and 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”. Mr Goodz has given his consent to the inclusion in this report of the matters based on the information in the form and context in which it appears.

About MacPhersons

MacPhersons Reward is a Kalgoorlie-based gold resource company with a number of advanced exploration projects located 37 km southwest of Kalgoorlie. Following two years of tenement acquisition MacPhersons Reward has for the first time put together 7 km of strike extension along the MacPherson open pit.

The tenement package has 8 open pits and 2 recent discoveries over a strikelength of 3 Km, that provide significant potential for both strike and depth extensions to the known mineralised zones, with >95% of historical drilling being shallower than 70 metres. There are no records of diamond drilling beyond the MacPherson open pit and no geological models, yet a substantial history of surface discoveries and workings.

The Company believes that its aggressive diamond drilling programme will unlock the geological mysteries and deliver value to the shareholders.

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