ORION EQUITIES LIMITED — Net Asset Value 2008

Dec 14, 2008

==> picture [253 x 89] intentionally omitted <==

Monday, 15 December 2008

MARKET ANNOUNCEMENT

Net Tangible Asset Backing – 30 November 2008

Month Ending: % Change Net tangible assets (before tax) Pre-Tax NTA Backing per share -14.68 Net tangible assets (after tax) Post-Tax NTA Backing per share -13.69 Based on total issued share capital The NTA position comprises the following items: Net Assets	% Change	30 November 2008 Consolidated 31 October 2008 Consolidated	30 November 2008 Consolidated 31 October 2008 Consolidated
			$20.077m $23.532m
	-14.68		$1.1270 $1.3209 $19.834m $22.981m
	-13.69		$1.1134 $1.2900 17,814,389 17,814,389
			Current Month Previous Month $’millions $’millions 3.323 3.665 3.413 4.099 3.891 6.200 1.322 1.012 0.538 1.072 3.650 3.650 3.420 3.420 (0.028) (0.028) 0.548 0.443 20.077 23.532 (0.058) (0.058) (5.311) (5.311) 5.104 4.818 19.834 22.981
Investments in listed Associated Entities: (a) Shares in Bentley International Limited (BEL) (b) Shares in Scarborough Equities Limited (SCB) Investments in other listed securities: (a) Shares in Strike Resources Limited (SRK) (b) Shares in other listed securities Investments in unlisted options Investment in property Investment in Koorian Olive Grove Provision for dividend Net cash / other assets / provisions Pre-Tax NTA Tax Provisions: (a) Prior year tax (b) Current year tax (c) Net deferred tax asset / (liability) Post-Tax NTA

==> picture [57 x 58] intentionally omitted <==

www.orionequities.com.au

ORION EQUITIES LIMITED

A.B.N. 77 000 742 843

Level 14, The Forrest Centre, 221 St Georges Terrace, Perth, Western Australia 6000 T | (08) 9214 9797 F | (08) 9322 1515 E

ASX Code: OEQ

E | info@orionequities.com.au

20081215 OEQ ASX NTA Backing as at 30 November 2008

Notes for Current Month NTA Position:

• (1) The Company’s investments in Associated Entities (i.e. in which the Company has a greater than 20% interest) are accounted for under the equity method in the consolidated financial statements.

Under the equity method, the carrying amount of each such investment is cost plus a share of the Associate Entity’s net profit or loss (after tax) for the financial year to month end as provided to the Company by each such Associated Entity.

Accordingly, as at 30 November 2008 the Company’s:

• (i) 11,587,938 shares (28.80% interest) (31 October 2008: 11,587,938 shares and 28.80%) in BEL has a carrying value of $0.2868 per share ($3.323m); this compares with BEL’s last bid price on ASX of $0.260 per share ($3.013m) and BEL’s after tax NTA backing of $0.3817 cents per share ($4.423m) at month end;

• (ii) 5,619,645 shares (28.47% interest) (31 October 2008: 5,619,645 shares and 28.47%) in SCB has a carrying value of $0.6074 per share ($3.413m); this compares with SCB’s last bid price on ASX of $0.400 per share ($2.248m) and SCB’s after tax NTA backing of $0.6074 per share ($3.413m) at month end.

• (2) The fair value of investments in ASX listed Strike Resources Limited ( SRK ) comprise 13,190,802 shares (31 October 2008: 13,190,802 shares) with a value of $0.30 (based on the closing bid price on 28 November 2008) (31 October 2008: $0.47) each. The Company notes that SRK’s closing bid price on 12 December 2008 was $0.30.

• (3) The fair value of investments in other listed securities are based on each securities’ last bid price on market at month end.

• (4) The fair value of investments in unlisted options, being the following unlisted options in SRK, is based on a Black-Scholes options pricing valuation model:

• (a) 1,833,333 options, each to acquire one SRK share at an exercise price of 20 cents, on or before 9 February 2011; and

• (b) 1,666,667 options, each to acquire one SRK share at an exercise price of 30 cents, on or before 9 February 2011.

This valuation has been calculated using the Black-Scholes option-pricing model applying the following assumptions:

• (i) SRK’s share price being $0.30 (based on the closing bid price on 28 November 2008) (31 October 2008: $0.47). The Company notes that SRK’s closing bid price on 12 December 2008 was $0.30;

• (ii) A risk free rate of return of 3.50% per annum (based on the 3 year bond yield as at 28 November 2008) (31 October 2008: 4.46% per annum).

• (iii) An estimated future volatility of SRK’s share price of 80% (31 October 2008: 80%).

• (5) Investment in real property is carried at net realisable value.

• (6) Investment in the Koorian Olive Grove comprises a 143 hectare property, approximately 64,500 (9 year old) olive trees, an approximately one gigalitre per annum water licence and depreciable plant and equipment and other grove related infrastructure. The Koorian land and trees are carried at net realisable value.

• (7) Tax Provision Item (c) includes a provision for income tax on net unrealised gains on the Company’s investments in securities and its share of Associated Entities’ after tax net profit for the month (deferred tax liability) and the recognition of future income tax benefits on net unrealised losses on the Company’s investments in securities and its share of Associated Entities’ after tax net loss for the month (deferred tax asset).

Further information:

Farooq Khan Chairman

T | (08) 9214 9797 E | fkhan@orionequities.com.au

William Johnson Director

T | (08) 9214 9797

E | wjohnson@orionequities.com.au

• 2 -