PROSPECT RESOURCES LIMITED — Capital/Financing Update 2010

May 19, 2010

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Ethan Minerals Limited Announces Manganese Prospect JV in Zambia, Africa

Perth: Allegra Mining Zambia Limited (“Allegra Mining”) a company incorporated in Zambia and a wholly owned subsidiary of Ethan Minerals Limited (“Ethan”) is pleased to announce it has entered into a JV with a Zambian company, Eagle Eye Mining Zambia Limited (“Eagle Eye”), to develop potential manganese prospects identified in Zambia.

Under the terms of the JV, Allegra Mining will derive 70% of net revenues existing in identified prospects and any future prospects offered by Eagle Eye to Allegra Mining. Each potential prospect offered to Allegra Mining by Eagle Eye will be assessed on its merits as a standalone project.

The initial prospect of the JV is located in the Mkushi district of Zambia.

The JV covers an area of approximately 77km² and encompasses five known manganese prospects which are located 20km from existing infrastructure including a railway loading station that runs to the port of Dar Es Salaam. Arrangements are in place with the port authorities of Dar Es Salaam to receive and ship the manganese ore.

The JV has paid a one-off agreement fee to the holder of the licence of US$20,000.00 and will pay a royalty of US$22.00 per tonne of manganese produced.

The JV prospects have identified outcrops of manganese which are currently being mined by traditional open pit methods. At present negotiations are underway to sell existing stockpiles of manganese ore as shipments on a trial basis to prospective customers.

The managing director of Ethan, Ken Fitzgerald said an independent analysis of the JV prospect would take place to assist in determining the extent of the identified asset.

“I have visited the site and we have people in Zambia currently working on site. We will carry out a complete due diligence study and supervise the ongoing drilling work and sampling”, Fitzgerald said.

During a recent trip to the site Ethan personnel obtained several samples from the current mining operation and are awaiting analytical (assay) results for these samples.

Ethan will announce results of the ongoing mining and ore definition as the manganese project develops.

For more information please visit the Company website, www.ethanminerals.com.au For more information contact:

Mr. Ken Fitzgerald Mr. Bill McConnell (Media Enquiries) Executive Director Tel: +61 8 9472 5502 Mob: +61 (0)417 099 167 Mob: +61 (0)401 571 222

ETHAN MINERALS Limited ACN 124 354 329

T: +61 8 9472 5502 F: +61 8 9362 2805 E: ethanminerals@bigpond com

Suite 24, 443 Albany Highway Victoria Park WA 6100 Australia