RIEDEL RESOURCES LIMITED — Capital/Financing Update 2013

May 6, 2013

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Suite 1, 45 Ord Street West Perth Western Australia 6005 Tel: +61 8 9226 0866 Fax: +61 8 9486 7375 PO Box 1559, West Perth Western Australia 6872 www.riedelresources.com.au ABN: 91 143 042 022 ASX: RIE

7 May 2013

ASX/Media Announcement

Completion of Share Placement

The Directors of Riedel Resources Limited ( “Riedel” or “the Company” , ASX: RIE) are pleased to advise that the Company has completed a Share Placement offered to sophisticated and professional investors and has negotiated a Terms Sheet for a Convertible Note facility with clients of Oracle Securities Pty Ltd, raising combined funds of approximately $0.49 million.

The placement has raised $0.10 million before costs, with the issue of 1.71 million ordinary shares at an issue price of $0.06 per share and free attaching unlisted option on a 1:1 basis exercisable at 10¢ per share on or before 30 April 2015 (“Options”) as follows;

• 1.71 million new shares at 6.0¢ per share to raise circa $0.10 million to be issued within the Company’s 15% placement capacity under Listing Rule 7.1.

• 1.71 million Options to be issued within the Company’s 15% placement capacity under Listing Rule 7.1.

Key terms of the Convertible Note are:

• The facility will raise up to $0.39 million before costs and has a maturity date of 30 June 2014;

• An interest rate of 8% is payable quarterly in arrears in cash or freely tradeable Ordinary Fully Paid Shares of the Company (the “Interest Shares”), at the lender’s sole discretion. The Interest Shares will be issued at a price per share equal to the lower of 90% of the 10 consecutive trading day volume weighted average price (“VWAP”) on the Australian Securities Exchange (“ASX”) prior to execution of the Secured Convertible Debenture agreement or 90% of the 10 consecutive trading day volume weighted average price (“VWAP”) on the Australian Securities Exchange (“ASX”) prior to the relevant quarterly interest payment notice.

• The Secured Convertible Debentures will be secured by a first charge over the Company’s Millrose Project Area and Cheritons Find (Redwing) gold prospect.

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• The debentures can be converted in full or any part thereof into freely tradeable Ordinary Fully Paid Shares of the Company (the “Conversion Shares”), at the lender’s sole discretion at any time after 30 June 2013. The Conversion Shares will be issued at a price per share equal to the lower of 90% of the 10 consecutive trading day VWAP on the ASX prior to execution of the Secured Convertible Debenture agreement or 80% of the 10 consecutive trading day VWAP on the ASX prior to the relevant conversion notice.

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• The company shall issue to the investor 9.75 million unlisted options to purchase fully paid ordinary shares in the company with a strike price equal to 130% of the 10 consecutive trading day VWAP on the ASX prior to execution of the Secured Convertible Debenture agreement with an expiry date 31 December 2016.

• A fee equal to 6% of the Issue Amount is payable to Oracle Securities in cash or freely tradeable Ordinary Fully Paid Shares of the Company (the “Broker Shares”), at the Company’s sole discretion. The Broker Shares will be issued at a price per share equal to 90% of the 10 consecutive trading day volume weighted average price (“VWAP”) on the Australian Securities Exchange (“ASX”) prior to execution of the Secured Convertible Debenture agreement.

Funds raised from the Placement and Convertible Note will be applied to exploration of the company’s projects and working capital.

Yours sincerely

Jeffrey Moore Managing Director

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