PEEL MINING LIMITED — Investor Presentation 2011

Apr 19, 2011

IP UNDERWAY AT RUBY SILVER; DRILLING UNDERWAY AT APOLLO HILL; ASSAYS AWAITED FOR 4-MILE

Highlights:

Ruby silver project IP geophysics survey underway; reconnaissance mapping at Rockvale mine identifies lode at surface for more than 750m – on strike with Ruby silver mine

Apollo Hill gold project metallurgical diamond drilling underway; resource extension RC drilling due to commence later this week

4-Mile (May Day/Gilgunnia precious-base metal project) RC drilling completed; base metal sulphides intersected; assays awaited; down hole EM underway

Ruby silver project

Peel Mining is pleased to report that field activities at its 100%-owned Ruby silver project are now underway with an approximately 15 line kilometre IP geophysical survey covering the Tulloch and Rockvale mine areas commencing this week. This survey is being completed to aid in the delineation of sulphide-bearing quartz-carbonate veins in preparation for follow-up drilling.

In late February 2011, Peel was granted EL7711 covering the historic Ruby-Tulloch-Rockvale silverfield located approximately 30 km east of Armidale, New South Wales. The area contains numerous historic silver mines, workings and prospects including: the Ruby silver mine which produced 350,000 ounces silver at 620 g/t silver; and the Tulloch silver mine which produced 50,000 ounces silver at 6,200 g/t silver. The area has been subject to limited modern exploration and drilling, however a 1968 drill intercept of 5.08m at 6,700 g/t silver from 90.5m at Ruby mine remains to be followed up.

Peel also recently completed a first-pass reconnaissance geological mapping and sampling programme over the Tulloch, Rockvale and G Reef/Happy Valley areas. This mapping has delineated the Rockvale line of lode at surface for more than 750m, and on strike with the Ruby silver mine.

Peel is now seeking relevant regulatory approvals in anticipation of an upcoming drill programme.

Apollo Hill gold project

Peel Mining is also pleased to report that diamond drilling at its 100%-owned Apollo Hill gold project is now underway. The aim of this drilling (two drillholes for 300m) is to provide representative goldmineralised material for broad metallurgical testwork to further evaluate the extraction characteristics of Apollo Hill gold mineralisation.

Preliminary testwork completed by Peel in 2010 yielded excellent overall gold extraction including greater than 80% gravity recoverable gold and rapid cyanide leach kinetics. Peel plans to complete additional testwork designed to assess the following metallurgical characteristics of Apollo Hill ore:

• Gold leaching/gravity separation characteristics of oxide, transitional and fresh ore types;
• Bond Crushing Work Index of fresh ore;

Peel Exploration Limited ACN 119 343 734

Unit 1, 34 Kings Park Rd, West Perth, WA 6005. Ph: (08) 9382 3955. Fax (08) 9388 1025. E:rtyson@peelex.com.au

• Bond Ball Mill Work Index of fresh ore;
• Bond Abrasion Index of fresh ore, and;
• Immersion SG testwork.

Furthermore, a 3,000m RC extensional drill programme is scheduled to commence later this week. This programme of 20 drillholes is designed to increase sample density to allow for the extension of the Apollo Hill resource model a further 200m (grid) south and to a minimum depth of about 150 metres below surface. Upon completion of this drilling and receipt of final assay results, Peel plans to update the current resource estimate for Apollo Hill of 341,000 oz contained gold at a 0.5 g/t Au cutoff.

May Day-Gilgunnia precious-base metal project

Peel recently completed a programme of three RC drillholes (for a total of 663m) targeting a newlyrecognised coincident (EM and magnetic) geophysical anomaly at the historic 4-Mile goldfield prospect located within its 100%-owned May Day-Gilgunnia project.

Peel is very encouraged to report the intersection of visible base metal sulphide mineralisation (galena and sphalerite) in zones up to 10m wide, within all three drillholes. True width is unknown. Handheld XRF analysis confirms the presence of zinc and lead mineralisation with visual estimates via geological logging indicating individual metres containing up to 5% combined sphalerite and galena. Other accessory sulphide minerals observed includes pyrrhotite, pyrite, arsenopyrite and chalcopyrite. The sulphides occur within a package of sediments comprising carbonaceous shales and siltstones. Final assay results remain outstanding and will be reported as soon as they are received and compiled.

Prior to drilling, Peel refined the Four-Mile EM anomaly by completing a ground-based fixed-loop TEM survey. This survey confirmed the existence of a moderate-strong conductor. Peel is now planning to complete a downhole EM survey, scheduled to be completed this week, to further refine the EM conductor.

Commenting on the activity Peel Managing Director said: "The 4-Mile results are very encouraging with confirmation of potentially important base metal mineralisation. We are planning to rapidly assess the 4-Mile prospect with downhole EM in preparation for follow-up drilling. Early access at our Ruby silver project also ensures drilling there as soon as possible. Peel is focussed on advancing each of our projects in as timely and cost effective manner as feasible."

For further information, please contact Rob Tyson on 0420 234 020.

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 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 form and context in which it appears.

Peel Exploration Limited ACN 119 343 734

Unit 1, 34 Kings Park Rd, West Perth, WA 6005. Ph: (08) 9382 3955. Fax (08) 9388 1025. E:rtyson@peelex.com.au

Figure 1 – 4-Mile VTEM late time (3-10 mS)

Peel Exploration Limited ACN 119 343 734

Unit 1, 34 Kings Park Rd, West Perth, WA 6005. Ph: (08) 9382 3955. Fax (08) 9388 1025. E:rtyson@peelex.com.au

Figure 2 – 4-Mile RTP Magnetics

Peel Exploration Limited ACN 119 343 734

Unit 1, 34 Kings Park Rd, West Perth, WA 6005. Ph: (08) 9382 3955. Fax (08) 9388 1025. E:rtyson@peelex.com.au

Figure 3 – Ruby silver - disseminated aggregates of coarse galena and minor sphalerite developed within a laminated quartz vein

Figure 4 – Ruby silver – outcropping virgin scorodite-boxworks lode

Peel Exploration Limited ACN 119 343 734 Unit 1, 34 Kings Park Rd, West Perth, WA 6005. Ph: (08) 9382 3955. Fax (08) 9388 1025. E:rtyson@peelex.com.au