RAIDEN RESOURCES LIMITED — Capital/Financing Update 2013

Sep 9, 2013

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ASX Announcement

Tuesday 10 September 2013

SubZero issues Redeemable Convertible Notes

SubZero Group Limited (“SZG” or the “Company”) has announced its intention to raise between $5 million and $12 million from sophisticated investors to fund operations and further growth through the issuance of 5 year redeemable convertible notes (the “Notes”). In announcing the issuance of the Notes, SubZero Group Managing Director, Scott Farrell, said “the recent award of multiple significant contracts to SubZero were of such size and structure that they could no longer be accommodated by our existing provider of debtor securitisation both in terms of concentration levels and the progressive nature of the invoicing. Accordingly we have had to look at alternative debt and equity structures to meet our ongoing funding needs.”

The Notes will be secured and will carry a coupon of 10% payable quarterly. They can be redeemed by the company at any time at $1.10 or upon expiry at face value. Likewise they may be converted after 24 months at $0.25 however, should the SZG share price be less than $0.25, the redemption price will be the higher of $0.20 cents or the 30 day VWAP. Each Note carries with it the option to acquire two (2) ordinary SZG shares at $0.25. The right to convert the shares and grant the options will be subject to shareholder approval at the AGM in November 2013.

Bell Potter Securities Limited are acting as Lead Manager to the issuance of the Notes.

In providing guidance on SZG’s outlook, Mr Farrell said “production and booking indicators continue to rise strongly and given SZG is strongly positioned to take advantage of the emerging maintenance boom we are expecting revenue for FY14 to be around $123 million and EBITDA to be between $14 million and $18 million. However we are expecting a softer run rate for the first half as the sector transitions from a capital implementation market to capital maintenance programs.

Given recent levels of capital expenditure we are expecting the programmed maintenance market to increase dramatically, and this gives SZG a solid two year see through. Based on the increasing export volumes from the Newcastle export facility SZG is taking a preliminary future view on FY15 and we are looking at revenue of between $150 million and $175 million with EBITDA between $24 million and $28 million. We believe that with our investment in people and facilities we are extremely well positioned for the future.”

For further information:

Scott Farrell – 0438 251 699 Managing Director SubZero Group Limited

About SubZero Group Limited

The SubZero Group carries on an established mining service business based in the Hunter Valley, New South Wales. Its clients are almost exclusively involved in the Hunter Valley thermal coal mining industry. SubZero Group’s services include Mechanical Support (heavy machinery repairs), Structural Support (on and offsite engineering and fabrication) and Production Support (mining project support and equipment hire). SubZero has a presence in over 25 coal mines and over 90 clients including Rio Tinto, BHP Billiton and Xstrata. Further information can be found at the SubZero website: http://subzeroservices.com.au/

SubZero Group Limited ABN 68 009 161 522 PO Box 561 Muswellbrook NSW 2333 | P: 02 6540 9400 | F: 02 6540 9444 www.subzeroservices.com.au