PEPPERMINT INNOVATION LIMITED — Capital/Financing Update 2013

Jul 30, 2013

==> picture [24 x 130] intentionally omitted <==

----- Start of picture text ----- LIMITEDCHRYSALIS RESOURCES----- End of picture text -----

WAIVER FROM LISTING RULE 6.18

31st July 2013

ASX Limited (ASX) has granted Chrysalis Resources Limited (ASX: CYS, “Company”) a waiver from ASX listing rule 6.18, to the extent necessary to permit Eagle Brilliant Holdings Limited (“EBH”) to maintain, by way of a right to participate in any issue of shares or to subscribe for shares, its percentage interest in the issued capital of the Company (the “Top-up Right”). This Top-up Right was granted in respect of a diluting event which occurs or is announced following completion of the term sheet (“Term sheet”) entered into between the Company and EBH as announced on 24 June 2013.

The Top-up Right is subject to the following conditions:

• 1.1 The Top-up Right lapses on the earlier of:

  • 1.1.1 EBH’s holding in the Company falling below 19.90%;

  • 1.1.2 EBH’s holding in the Company exceeding 25%; or

  • 1.1.3 the strategic relationship between the Company and EBH ceasing or changing in such a way that it effectively ceases.

• 1.2 The Top-up Right may only be transferred to an entity in the wholly owned group of Tiandilong Group Limited (“TDL Group”).

• 1.3 Any securities issued under the Top-up Right are offered to EBH for cash consideration that is:

  • 1.3.1 no more favourable than cash consideration paid by third parties (in the case of issues of securities to third parties for cash consideration); or

  • 1.3.2 equivalent in value to non-cash consideration offered by third parties (in the case of issues of securities to third parties for non-cash consideration).

• 1.4 The number of securities that may be issued to EBH under the Top-up Right in the case of any diluting event must not be greater than the number in order for EBH to maintain its percentage holding in the issued share capital of the Company immediately before that diluting event.

• 1.5 The Company discloses a summary of the Top-up Right to persons who may subscribe for securities under a prospectus, and undertakes to include in each annual report a summary of the Top-up Right.

==> picture [466 x 115] intentionally omitted <==

----- Start of picture text ----- Chrysalis Resources Limited Company Snapshot Company Structure Board ManagementA.B.N 58 125 931 964 Listed on ASX 27 May 2008 No of Shares on Issue 196,899,454 Dr Neale Fong - Executive ChairmanLevel 1331 Hay Street ASX Share Code CYS Cash (as at 30 [th] Jun) $0.45M Mr Grant Kidner - Executive DirectorSUBIACO WA 6008 Mr Jianhua Sang – Executive DirectorPO Box 226, Wembley WA 6913 Sector MiningMr Adrian Paul- Non-Executive DirectorPhone: 618 9380 4430Fax: 618 9481 5044 Mr Trevor Benson – Non-Executive DirectorE: info@chrysalisresources.com.au Mr Michael Griffiths – Non-Executive Directorwww.chrysalisresources.com.auMs Mel Cotterell- Company Secretary----- End of picture text -----

WAIVER FROM LISTING RULE 6.18

==> picture [65 x 47] intentionally omitted <==

EBH currently holds 16.02% of the issued capital of the Company. Subject to receiving shareholder approval as per the conditions of the Term Sheet EBH will increase its holding from 16.02% to 25% of the issued share capital of the Company.

Yours sincerely,

==> picture [58 x 38] intentionally omitted <==

Dr Neale Fong Executive Chairman