RIEDEL RESOURCES LIMITED — Capital/Financing Update 2011

Jan 26, 2011

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Companies Announcement Office Australian Securities Exchange Limited 10[th] Floor, 20 Bond Street SYDNEY NSW 2000

Suite 6, Level 2 11 Ventnor Avenue West Perth WA 6005 Australia

Tel: +61 8 9226 0866 Fax: +61 8 9226 5333

PO Box 913, West Perth WA 6872 Australia

20 January 2011

www.riedelresources.com.au

ABN: 91143 042 022 ASX: RIE

Updated Statement of Commitments Based upon Actual Funds Raised

Riedel Resources Limited (the Company ) intends to apply the funds raised under the Prospectus dated 12 November 2010 as follows:

Available FundsPre Offer Cash & ReceivablesTotal Raised Under The OfferTotal Funds Available	Actual Subscription ($)
	650,0005,221,6005,871,600

Use of Funds	Year 1 ($)	Year 2 ($)	Total ($)
ExplorationExpenditureAcquisitionCostsAdministration CostsProject GenerationExpensesoftheOfferWorking CapitalTotal	1,507,000253,000722,30050,000879,00060,1003,471,400	1,589,000-702,70050,000-58,5002,400,200	3,096,000253,0001,425,000100,000879,000117,0005,871,600

Yours faithfully,

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Bruce Franzen Executive Director