PEEL MINING LIMITED — Investor Presentation 2009

Aug 17, 2009

Exploring forgotten mineral fields – theAttunga project

NSWMineral Exploration & Investment Conference

Four SeasonsHotel Sydney – August 13, 2009

ASX:PEX

Managing Director – Rob Tyson

Disclaimer

The views expressed here other than historical fact constitute forward‐looking statements. Forward‐looking statements are based upon estimates and assumptions considered reasonable by the Company, albeit subject to uncertainties and contingencies of unknown factors that may cause variation in such forward‐looking statements beyond the Company's ability to control or predict. Nothing in this release should be construed as either an offer to sell or a solicitation of an offer to buy or sell shares inany jurisdiction.

Competent Persons Statement

The information in this report that relates to Exploration Results is based on information compiled by Mr Robert Tyson, who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Tyson is Managing Director of Peel Exploration Ltd. Mr Tyson 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 Tyson consents to the inclusion in this report of the matters based on his information in the formand context in which it appears*.*

PeelExploration Ltd (ASX: PEX)

Portfolio

• •Skarn‐style tungsten (scheelite) mineralisation
• •Skarn‐style copper‐gold (polymetallic) mineralisation
• •Stockwork/sheeted vein style gold mineralisation

Highlights

• • Maiden resource for Attunga Tungsten Deposit and subsequent identification of metallurgical process route
• •Copper‐gold (polymetallic) discovery at Attunga Copper Mine
• • Delineationof extensive gold mineralisation at Kensington

Future

• •Expand/infill resources at Attunga Tungsten Deposit
• • Test newcopper‐gold mineralisation at Attunga Copper Mine
• • Test area betweenAttunga Tungsten Deposit and Attunga Copper Mine
• • Test forporphyry feeder systems at Attunga, Kensington

Capital & Corporate

Capital Structure

•	kl()MCiii@12tttareapasaoncps	$ll37iimon
•	lldhiFuypasares	ll309iimon
•	()Oiiiitponsaroseercseprcesvux	ll305iimon
•	T20op	%60approx

PEXPeople

• • SimonHadfield – Chairman
• •Craig McGown – Non‐executive Director
• • RobTyson – Managing Director
• • DavidHocking – Company Secretary
• • Michael Oates– Project Geologist
• • SteveLeggett – Field and Tenements Manager

Peel's EconomicAttitude

Doing things differently

• • Lowadmin & corporate costs from Day 1
• • Part‐timeCo‐Sec
• •Flexible, affordable, experienced contract staff – day/hr rates
• •$7,000 Landcruiser
• •$70,000 Niton Field Portable XRF analyser
• •Assay cost savings via XRF repaid capital cost in 2 drill programmes
• • Contact locals andhistoric geos for data – anecdotal and physical
• • Utilise DPI andUNE for cost‐effective expertise

Tenements

Our assets – ~ 470km2

• •Attunga: tungsten‐moly‐gold‐copper
• •Dungowan: copper‐zinc‐silver‐gold
• • Armidale:gold‐antimony‐silver‐lead‐zinc
• • MtTennyson East: moly‐tungsten
• • Yerranderie:silver‐lead‐gold

Fig 1. Peel Exploration Project Locations

Tungsten

Anstrategic metal:

• • Tungsten's primary demands are hard metals (tungsten carbide) and steels/alloys usedin manufacturing/construction/mining industries
• • Globalconsumption ~90,000 tpa, doubled in decade
• • China dominates global trade (supply ~85%, reserves ~60%), operations increasingly mature ‐ lowergrade, western users subject to China's stranglehold
• • Westerndevelopments struggling due to Capex/technical issues
• •July 2009: price remained relatively strong: ~US$18,000/t APT, ~US$14,000/t cons
• •Future supply side shock?

Attunga – an excellent location

Key non‐geological points

• • 100%Peel Exploration Ltd
• • 400 kmnorth of Sydney, 20 km north of Tamworth
• • Proximal to excellent infrastructure (road, rail, power & water)
• • Proximal to skilled local workforce (Tamworth population ~42,000)
• •Predominantly freehold landholders
• • Nonative title issues
• • Immediate land access and drilling agreements in‐ place

Fig 2. Tamworth's Golden Guitar

Attunga – Peel's perspective

Attunga Project Area

• • 250km2 ‐granted Sep 2007
• • Intrusive‐relatedgold system (IRGS) model
• • Attunga Tungsten Deposit – amongst richesttungsten deposits in Australia
• • Attunga Copper Mine – "new" copper‐gold discovery
• • Kensington – extensive gold‐tungsten mineralisation
• • Numerous other tungsten and gold prospects
• • Minimal modernexploration
• • Located 20 km North of Tamworth – excellent infrastructure and low‐cost skilledlabour

Fig 3. Attunga Project Geology & Tenements

Attunga – an intrusion‐related gold system

Key geological points

• • IRGSmodel "readily applicable" – independent expert
• • IRGS canbe large
• •Lithologically and structurally complicated area
• • Intersection of major structures (Peel Fault, Bendemeer Lineament, Glen Dhu splay fault, Splinter splay fault)
• • Associated with geochemically suitable major intrusives (Inlet Monzonite, Moonbi Adamellite andthe Attunga Creek Adamellite)
• • Chemically reactive wallrock packages ‐ limestones, calc silicates , serpentinites and carbonaceousshales
• • Wide variety of intrusion‐related mineralisation styles and widespread gold mineralisation
• • NewEngland Orogen proven host for IRGS (Tooloom and Timbarra)

Attunga and IRGS environments

Attunga and IRGS environments

Fault‐hosted, sheeted and stockwork veinsystems: Kensington Au‐W

Intrusion‐hosted systems: Attunga Mo‐ Au

Skarn‐hosted systems: Attunga Copper Mine andAttunga Tungsten Deposit

Hornfels‐hosted breccia and vein systems: Mount Patterson Au

Attunga – a forgotten mineral field revisited

Mining/exploration timeline

• • Pre‐1900– Kensington gold workings
• • 1902– Attunga Copper Mine discovered, worked intermittently until WW2
• • 1968/69 – Attunga Tungsten Deposit (ATD) discovered by Attunga Mining Corp, Peko farms‐in, 25 diamond holes drilled for 4,236m
• • 1970 – Peko withdraws from ATD, small very high‐grade "reserve" defined, end of mining boom
• • 1971 – Kensington tungsten prospect drilled, 55 shallow percussion holes drilled for 1,692m, extensive low‐grade scheelite mineralisation defined
• • 1980s – Challenger Mining explores area, substantial high‐grade "resource" at ATD defined, drilling at Kensington identifies extensive low grade gold
• • 1990s– Geoservices explores area, minimal new work completed
• • 2000s– Goldrap explores area, small helimag survey, 4 RC holes
• • 2007– Peel granted ELs

Attunga Tungsten Deposit

Fluorescing scheelite (powellite)

Attunga Tungsten Deposit

Peel'sactivity

• •Sep 2007 – EL6884 granted, resource modeling initiated
• • Oct 2007 – resampling finds new high‐grade intercept: 2.44m @ 4.3% WO3 and 0.23%Mo
• • Mar 2008 – resampling finds new high‐grade intercept: 12m @ 0.65% WO3 and 0.07%Mo
• • Apr 2008 – independent (Geos Mining) JORC‐compliant inferred resource: results include 1.29Mt @ 0.61% WO3 and 0.05% Mo
• • Aug 2008 – Peel intercepts 42m @ 2.09% WO3 and 0.17% Mo from 21m (incl. 2m @ 24.21% WO3and 1.71% Mo from 22m)
• • Mar 2009 – initial met‐testwork completed with process route identified, high grade WO3concentrates produced
• •Sep 2007‐current – historic data collection, geos across 40 years contacted
• • May 2009 – Peel intercepts 27m @ 0.57% WO3 and 0.06% Mo from 19m (incl. 2m @ 3.38% WO3and 0.27% Mo from 22m)

Attunga Tungsten Deposit is high‐grade

Peercomparisons

Company	jPtroec	RMtesource	WO%3	idCtonaneOW3litequvaen
dl()iPMPDMtaragmeas	hkWiRteoc	026	007	2,015
ldhl()KiISiKIStngsanceee	ldKiIngsan	1340	064	85,760
lli()PEPEXteexporaon	Attunga	1.26	061	9,379
ll()ViMVMLttaeas	hdWtaerse	1510	046	69,300
()hNRNOAoaesources	MPttounayner	025	045	1,433
()ldQOQOLueensanres	lfWCoramamp	095	041	5,660
()hTMiiTHRornng	lhlMioy	373	033	19,023
()kklddHiCiHSKteemsronsoae	LStosanos	524	025	13,002
()llViMVMLttaeas	lllMMiHitugne‐	510	024	12,240
f()lilWMWLFoneras	dllHBemerona	9740	022	225,481
ll()iVMVMLttaeas	lhiMMTtugnerenc‐	8400	019	159,180
l()dHRHAZazewooesources	kkCCooesree	897	017	15,530
k()iMMAKnemaers	iMona	2650	015	39,750
()IRIIIonesorescuc	biMCtarne	2800	001	28,000

Attunga Tungsten Deposit cross section

Fig. 3 Attunga Tungsten Deposit Section 302560mE

Attunga Tungsten Deposit met‐testwork

Key points

• • NAGROMcompleted phase 1 met‐testwork
• • Scheelitegrain size predominantly +100 micron
• • +75 to ‐125 micron grind sweetspot yielded 80% of WO3 to 16% of circuit mass via spirals
• • +75 to ‐125 micron spiral cons upgraded via magnets to 47% WO3 grade cons with 79%recovery
• • Flotation testwork on ‐75 micron tails/fines and spiral/magnetic cons yielded positive upgrade and recovery of WO3 (approx 2x grade @ 95% recovery per cycle)
• •Moly predominantly occurs as powellite

Attunga Tungsten Deposit flowsheet

Fig. 4 Attunga Tungsten Deposit Simplified Process Flowsheet

Attunga Copper Mine copper‐gold discovery

Attunga Copper Mine

• • 800mNorth of Attunga Tungsten Deposit – genetically‐related
• •Polymetallic skarn – historic production of 1,600t @ 6% Cu, 8 g/t Au, 150 g/t Ag
• •Accessory metals include moly, bismuth, +/‐ tungsten, rhenium
• •Unexplored ‐ PEX first to drill (6 holes for 830m)
• • ACM‐004 – 76m @ 1.0 g/t Au, 0.86% Cu, 0.09% Mo, 0.06% Bi and 22 g/t Ag incl. 27m@ 1.6 g/t Au, 1.66% Cu, 0.18% Mo, 39 g/t Ag, and 0.1% Bi
• • Anomalous mineralisationencountered in 4 of 6 holes (inc ACM‐004)
• • Sub‐verticalmineralisation
• • Mineralisationopen
• • Untestedhistoric IP anomalies and unexplained EM anomaly
• •Deeper source potential – mineralised granite/porphyry feeder?

Attunga Copper Mine/Tungsten Deposit geology

Attunga skarn model

Fig. 5 Attunga skarn system model (after G Rabone 1998)

Kensington's extensive gold mineralisation

Stockwork/sheeted vein gold‐tungsten system

• • 5 kmnorth of Attunga Skarn Deposits
• • 1971: percussion drilling program defines extensive, shallow tungsten mineralisation– substantial low‐grade tungsten resource subsequently reported
• • 1987: ~800m diamond drilling program identifies widespread gold mineralisation, results include: 108mat 0.74 g/t Au (KEN‐6) and 13m at 1.1 g/t Au (KEN‐7)
• • July 2008: ~1,200m RC drilling program confirms extensive gold mineralisation, every drillhole mineralised
• • Mar 2009: 100m dipoles IP survey completed generating multiple chargeability anomalies, possible feeder structures identified
• •May 2009: Drilling planned

Kensington – extensive gold mineralisation

OtherPeel assets

OtherPeel Exploration Project Areas

• •Rationalisation underway – Attunga, early cashflow focus
• • EL7272 – Mt Tennyson East contains historic moly‐tungsten prospects, indications that tungsten‐moly mineralisation is an extension to Moly Mines' Mt Tennyson molybdenum deposit
• • EL6613 – Dungowan contains numerous historic copper mines/workings with high‐ grade copper mineralisation at Fishers copper mine (2,643t of ore at 13.4% Cu)
• • EL6722 – Armidale contains several historic silver mines plus gold, antimony, tungsten and molybdenum workings, minimal modern exploration
• • EL7356 – Yerranderie silver field, high grade tailings/dumps never retreated, possible low cost, cash flow

Programme Targets

12‐18months

• •Measured/indicated resource at Attunga Tungsten Deposit
• •Scoping study Attunga Tungsten Deposit
• • Followup drilling at Attunga Copper Mine
• •Measured/indicated resource at Yerranderie

Workfocus

• •Diamond/RC drilling: Attunga Tungsten Deposit, Attunga Copper Mine, Kensington,
• •Geophysics: IP at Attunga skarns
• •Geological/structural mapping at Attunga skarns
• •Auger sampling/met‐testwork at Yerranderie