PAINCHEK LTD — Capital/Financing Update 2014

Sep 25, 2014

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Entitlements Offer - Notification of Shortfall

26[th] September 2014

DIRECTORS

David Deloub Executive Chairman

Ian Prentice Non Executive Director

Jason Eveleigh Non Executive Director

Merah Resources Limited (Merah or the Company) (ASX:MEH) advises that the Company’s 2-for-3 non renounceable Entitlements Offer closed on 24 September 2014.

Applications received under the offer were for 8,223,440 ordinary shares totalling $246,703.20.

Pursuant to ASX Listing Rule 7.40 and Appendix 7A, the Company hereby gives notice of a shortfall in subscriptions of 13,839,894 shares.

Suzie Foreman Company Secretary

SHARE INFORMATION

ASX Code: MEH

Issued Capital:

33.1M Fully Paid Shares 7.0M Unlisted Options

Pursuant to the Underwriting Agreement between the Company and Patersons Securities Limited as detailed in the Entitlement Issue Prospectus, the Company will receive additional applications for the 13,839,894 shortfall shares totalling $415,196.82 (Underwritten Shortfall) where settlement of the Underwritten Shortfall is subject to shareholder approval of the Oresearch Acquisition at the EGM to be held on 29[th] September 2014.

CONTACT INFORMATION

Registered Office:

Level 2, 79 Hay St Subiaco, WA 6008

T: +61 (8) 9200 4436 F: +61 (8) 9200 4437 www.merahresources.com.au

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The Board of Directors expresses its appreciation to all participating shareholders for the support shown under the Entitlements Offer.

On Behalf of the Board of Directors

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Suzie Foreman

Company Secretary

Merah Resources Limited ACN: 146 035 127