SIMS LIMITED — Capital/Financing Update 2010

Feb 9, 2010

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Progress Report

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ASX Release – 10 February 2010

Aluminium Project Update

• Production commenced, first invoices despatched

• Plant upgrade commenced, running to schedule

• Plant productivity increased by 25% during first week of operation

Silica Project Update

• Developments expected prior to 17 February 2010

Corporate

• Broker and Investor Roadshow concluded, overwhelmingly positive response

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Aluminium Project Update

Macquarie Harbour Mining Limited ( MHM or the Company ) is pleased to report that following the commencement of production on 18[th] January 2010, the first invoices have been despatched to Alcoa and Sims for payment.

MHM is continuing to operate the existing technology on the site whilst the upgrade progresses, and does not anticipate any interruptions to operations during this period. Frank Rogers, Managing Director, has been working within the plant on a daily basis, managing the upgrade and overseeing improvements to the existing circuit that do not need alteration. The Company is very pleased to report that plant throughput has increased by 25% during the first week of production, and continues.

The present technology at the site does not provide a closed-loop solution for the treatment of Salt Slag, with a significant proportion of material still being landfilled by Sims prior to MHM’s acquisition. MHM is continuing to operate the existing technology during the upgrade, however the residue is simply stockpiled rather than landfilled, and will be reprocessed once the upgrade is complete. This will allow the Company to maximise the value from the Salt Slag residues, and ensure that the process provides a closed-loop, landfill-free solution.

Silica Project Update

On 3 February 2010 the Tasmanian Premier, David Barlett, released a public statement in the Tasmanian press that he anticipates reporting developments on the Silica Project by 17 February 2010.

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ABN 41 124 212 175

Corporate Detail

ASX Codes: MHM, MHMO

Issued Capital: 87.5M Ordinary Shares 27.5M Listed Options

Substantial Shareholders: Rogers Southern PL 12.34% Directors 14.7% Top Twenty 31.8%

Directors

Chairman Basil Conti FCA, FCIS, FTIA Managing Director Frank Rogers

Executive Director Ben Mead B.Econ

Non-Executive Director P Robertson B.E.(Met), MBA

Non-Executive Director Dr Neil Allen B.Sc, PhD

Contact

PO Box 21 KINGSTON TAS 7050

Tel: +61 (0)3 6229 9955 Fax: +61 (0)3 6229 8430

Email: info@mhml.com.au

Web: www.mhml.com.au

Corporate

Executive Director Ben Mead conducted an Investor and Broker Roadshow over the course of the last week, with some 30 presentations being made. The Company is pleased to report that the response was overwhelmingly positive, and is confident that the recent increase in the share price can be attributed to the work that was carried out to increase awareness of the Company. Ben Mead is also presenting at the “Emerging Stars in Resources” forum in Sydney tonight, which will hopefully continue to spread awareness of MHM and act to support the share price and volume further.

Further Information

For further information please contact Frank Rogers or Ben Mead on +61 (0)3 6229 9955 or at www.mhml.com.au.