ORBMINCO LIMITED — Capital/Financing Update 2012

May 15, 2012

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16 May 2012

ASX Release By e-lodgement

La Paz Rare Earth Elements Project – completion of early stage metallurgical test work.

The Directors of Australian-American Mining Corporation Limited (“AusAmerican” or “the company”) would like to provide an update on the progress of the company’s 100% owed La Paz Rare Earth elements (“La Paz”) project located in Arizona in the USA.

The La Paz ore body is a homogeneous high tonnage low grade REO which has a high distribution of valuable rare earth elements such as dysprosium, neodymium and europium. The rare earth element (“REE”) in the deposit is Allanite contained in a complex matrix, which has a lack of deleterious elements such as thorium and uranium. The project focusses on heavy rare earths elements (“HREE”) with the project bearing over 19% HREO/TREO.

The Saskatchewan Research Council Mining and Minerals Division (“SRC”) was engaged to conduct metallurgical extraction testing applying gravity, magnetic and flotation separation processes. The objective of the metallurgical test was to define the parameters of an extractable basket of total rare earth oxides (“TREO”). Further tests were then conducted to determine the leaching characteristics of the concentrate. The test work demonstrated;

• A concentrate with a TREO content of ~1200ppm could be produced

• Beneficiation of test material achieved a mass reduction of 22%

• Leaching recoveries were 60% for LREO (Light Rare Earth Oxide), 35% for HREO (Heavy Rare Earth Oxide) and overall 56% for TREO

• Acid consumption was on a 1:1 ratio (acid to ore)

• Mineralogical study revealed that two species of allanite exist of which only one, in very fine grains, contains extractable REE.

Further test work is now required to optimise the test results and AusAmerican plans to commence this work later in the year. Metallurgical performance is the one of the most important drivers for a successful rare earths project and this test work will help identify the key elements for the project with respect to capital costs, operating costs and development timeline.

Australian American Mining Corporation Ltd ABN 99 073 155 781 572 Hay Street, Perth, WA, Australia, 6000 Telephone: (08) 9325 5568 Facsimile: (08) 9325 5574

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AusAmerican is currently undertaking a strategic review of its projects and a field visit to the La Paz project is planned for late June 2012.

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Mark Ceglinski Chairman

Further information:

Please contact; Mark Ceglinski on +61 412 448 108 or mark.ceglinski@ausamerican.com; Jim Malone +61 419 537 714 or jim.malone@iinet.net.au; or North American Investor Relations Manager: Peter Barnes on +1 646 269 3073.

Australian American Mining Corporation Ltd ABN 99 073 155 781 572 Hay Street, Perth, WA, Australia, 6000 Telephone: (08) 9325 5568 Facsimile: (08) 9325 5574