SOUTHERN HEMISPHERE MINING LIMITED — Capital/Financing Update 2014

Mar 12, 2014

ASX RELEASE

MARCH 13, 2014

Australian Securities Exchange Level 8 Exchange Plaza 2 The Esplanade PERTH WA 6000

Notification of Shortfall under Rights Issue

Southern Hemisphere Mining Limited (ASX: SUH ) (the “Company”) confirms that its 1 for 4 non-renounceable rights issue offer ("Offer") closed at 5:00pm WST on Friday, March 7, 2014.

The Company gives notice of shortfall of subscriptions for its Offer as follows:

1. The Company received acceptances for a total of 28,511,165 shares and 14,255,582 attaching options raising $1,283,002;

2. The number of shares offered under the Offer was 49,706,590 shares and 24,853,295 attaching options resulting in a shortfall of 21,195,425 shares and 10,597,712 attaching options (“Shortfall Shares and Options”).

The Shortfall Shares and Options will be placed entirely under sub-underwriting agreements through Lead Manager Euroz Securities Limited resulting in final proceeds of $2,236,796 before costs.

The issue of shares and options noted above under the Offer will occur on Tuesday, March 18, 2014. It is anticipated that normal trading of the shares and options will commence from Wednesday, March 19, 2014.

Yours faithfully

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Derek Hall Company Secretary

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ASX: SUH AUSTRALIAN OFFICE ABN: 17 140 494 784 Suite 7, 1200 Hay Street www.shmining.com.au West Perth WA 6005 TEL: +61 8 9481 2122

CHILEAN OFFICE Minera Hemisferio Sur SCM Office 41, Zurich 255 Las Condes, Santiago TEL: +56 2 474 5071