PATRONUS RESOURCES LIMITED — Capital/Financing Update 2016

Jul 18, 2016

MHM Metals Limited Level 4, 100 Albert Road South Melbourne VIC 3205 AUSTRALIA

T: +613 9692 7222 F: +613 9077 9233 E: info@mhmmetals.com www.mhmmetals.com

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ASX Announcement

19 July 2016

Update - Investment in KIN Mining N.L

MHM Metals Limited ( MHM or the Company ) (ASX: MHM) advises that following the rejection by KIN Mining N.L (KIN) (ASX: KIN) of MHM’s indicative proposal to combine the two companies, MHM has today ceased to be a substantial shareholder in KIN.

Whilst MHM believes that it could add significant value to KIN’s Leonora Gold Project by seeking to refocus and accelerate development activities in order to bring that project into full scale production by the end of 2017, KIN was unwilling to engage in any discussions with MHM regarding exploring potential opportunities between the two companies.

As such, MHM intends to continue with advancing other opportunities it has identified in the resource sector where its balance sheet and management experience can be applied. MHM will keep its shareholders informed of any material developments, and will need to consult with ASX regarding the application of Listing Rule 11.1 to potential future transactions that the Company may be considering.

Company Snapshot

Capital Structure

Ordinary shares on issue: 136,228,616 Market Cap (at 3.5c): $4,768,001

Directors

Joseph van den Elsen (Managing Director) Paul Kopejtka (Non - Executive Chairman) Chris Goodman (Non - Executive Director)

Company Secretary

Justin Mouchacca

ENDS

For more information :

MHM Metals Limited Joseph van den Elsen Managing Director +61 3 9692 7222

3464-­‐2222-­‐5410v1MHM Metals Limited ABN 41 124 212 175 Registered Office: Level 4, 100 Albert Road, South Melbourne VIC 3205| Tel: 03 9692 7222 | Fax: 03 9077 9233 | E: info@mhmmetals.com | www.mhmmetals.com