WEEBIT NANO LTD — Capital/Financing Update 2011

Mar 21, 2011

21 March 2011

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«Holder_name» «Address_line_1» «Address_line_2» «Address_line_3» «Address line 4»

Dear Shareholder,

PRO-RATA NON-RENOUNCEABLE ENTITLEMENTS ISSUE

On 21 March 2011 Radar Iron Ltd (" Radar Iron " or " the Company ") announced a prorata non-renounceable entitlements issue to shareholders on the basis of one (1) new option (“ New Option ”) in the Company for every three (3) shares held, at an issue price of $0.02 per New Option ( “Entitlements Issue" ). New Options will have an exercise price of $0.45, will entitle the holder to be issued one fully paid ordinary share upon exercise, and lapse on 30 April 2012.

Radar Iron wishes to advise shareholders of the Entitlements Issue and to invite eligible shareholders (" Eligible Shareholders" ) who are registered at 5.00pm WST on 5 April 2011 (" Record Date" ) to participate in the Entitlements Issue. The Entitlements Issue will result in the issue of up to approximately 20,626,704 New Options and if fully subscribed will raise up to approximately $412,534 before costs.

Proceeds from the Entitlements Issue will be applied for additional working capital.

A prospectus relating to the Entitlements Issue ( “Prospectus” ) was lodged with the Australian Securities and Investments Commission (“ ASIC ”) and ASX Limited ( “ASX” ) on 21 March 2011, and the Prospectus will be mailed to Eligible Shareholders on or about 6 April 2011. Full details of the Entitlement Issue are contained in the Prospectus, and Eligible Shareholders should carefully consider the Prospectus before deciding whether to acquire New Options. Applications for New Options can only be made on the personalised application form that will accompany the Prospectus.

The Prospectus will not constitute an offer in any place in which or to any person to whom it would be unlawful to make such an offer.

Capital Structure

The capital structure of the Company following completion of the Entitlements Issue is summarized below[1] :

Shares	Number
Shares on issue at the date of the Entitlements Issue	61,880,112
Total Shares on issue at completion of the Entitlements Issue	61,880,112
Options	Number
Options on issue at the date of the Entitlements Issue	22,750,000
New Options as part of the Entitlements Issue	20,626,704
Total Options on issue at completion of the Entitlements Issue	43,376,704

1 Assuming no options are exercised prior to the Record Date and full participation in the Entitlements Issue

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Timetable

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The Entitlements Issue is proposed to be conducted according to the following timetable:

Lodgment Date with ASIC and ASX	21 March 2011
”Ex”date	30 March 2011
Record Date to determine Entitlement	5 April 2011
Prospectus with personalised Application Form dispatched	6 April 2011
Offer opens for receipt of Applications	6 April 2011
Closing date for acceptances	20 April 2011
Securities quoted on a deferred settlement basis	21 April 2011
Notify ASX of under subscriptions	28 April 2011
Allotment and issue of New Options	2 May 2011
Dispatch of shareholding statements	2 May 2011
Trading of New Options expected to commence	3 May 2011
Closing date for applications for Shortfall Options	3 months from Closing Date

Note: All of the abovementioned dates are indicative only and may be subject to change. The Company reserves the right to amend this timetable including, subject to the Corporations Act and the ASX Listing Rules, to extend the closing date.

As soon as practicable following the Record Date Radar Iron will dispatch a Prospectus and personalised Entitlement and Acceptance Form to Eligible Shareholders. If you are eligible and wish to participate in the Entitlements Issue, it will be necessary for you to complete the Entitlement and Acceptance Form and return it, with the appropriate application monies to the Company’s share registry before 5.00pm WST on the anticipated closing date of 20 April 2011.

In calculating entitlements under the Entitlements Issue, fractions will be rounded up to the nearest whole number.

Shareholders may view the Company's ASX releases and Prospectus on the ASX website asx.com.au (ASX code: RAD) and information on the Company and its projects (including ASX releases) at www.radariron.com.au.

If you have any questions in relation to the Entitlements Issue, please do not hesitate to contact the Company on +61 8 9482 0580 or consult with your stockbroker or professional adviser.

Yours Sincerely,

Phillip Wingate Company Secretary

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