WEEBIT NANO LTD — Capital/Financing Update 2014

Nov 20, 2014

Suite 7, 55 Hampden Road, Nedlands WA 6009 P.O.Box 994, Subiaco WA 6904 Tel: +61 (08) 9389 9919 Fax: +61 (08) 9389 0576

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21 November 2014

Dear Shareholder,

NON-RENOUNCEABLE RIGHTS ISSUE

On 20 November 2014, Radar Iron Ltd ( Company ) announced a non-renounceable pro rata offer to shareholders with a registered address in Australia or New Zealand ( Eligible Shareholders ) of approximately 132,248,630 fully paid ordinary shares on the basis of 1 new share for every existing share held on 27 November 2014 ( Record Date ), at an issue price of $0.035 per new share ( Rights Issue ). Pursuant to the Rights Issue, the Company will raise approximately $4.6 million (before costs).

The Rights Issue is fully and conditionally underwritten by Victory Mining Pty Ltd.

The proposed use of funds is as follows:

Use of funds1 Full Subscription ($’000) (approx.)	Use of funds1 Full Subscription ($’000) (approx.)
Payment of remaining acquisition price of the Yerecoin Project 2,880
Progression of the technical studies on the Yerecoin Project	1,000
Commence drilling for the Uruara Project in Brazil in November/December 2014	149
General working capital2	250
Costs of the Offer 350
Total use of funds 4,629

Notes:

• 1 This table is a statement of the proposed application of the funds raised as at 20 November 2014. As with any budget, intervening events and new circumstances have the potential to affect the Company’s decisions. The Company reserves the right to vary the way funds are applied.

• 2 The Company has approximately $700,000 existing funds on hand. This will also be utilised as working capital and on projects as appropriate.

The Company expects the Rights Issue to be conducted in accordance with the following timetable:

Event	Date1
Prospectus lodged with ASIC and ASX	20 November 2014
Ex Date – Shares trade ex Entitlement	25 November 2014
Record date to determine Entitlement	27 November 2014
Prospectus with Entitlement and Acceptance Form dispatched	28 November 2014
Offer opens for receipt of Applications	28 November 2014
Closing date for acceptances	10 December 2014
Deferred settlement trading	11 December 2014
Notify ASX of shortfall	15 December 2014
Issue of new shares	17 December 2014
Dispatch of shareholding statements	17 December 2014
Normal trading of new shares expected to commence	18 December 2014

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The Directors may extend the closing date by giving at least 3 Business Days’ notice to ASX prior to the closing date, subject to such date being no later than 3 months after the date of the prospectus. As such the date the new shares are expected to commence trading on ASX may vary.

The new shares issued pursuant to the Rights Issue will rank equally with existing fully paid ordinary shares in the Company. Application has been made for the quotation of the new shares.

The Rights Issue will be offered under a prospectus lodged with ASIC on 20 November 2014, a copy of which will be sent to Eligible Shareholders. Eligible Shareholders should consider the prospectus carefully in deciding whether to acquire new shares and attaching new options offered under the Rights Issue, and will need to complete the personalised entitlement and acceptance form accompanying the prospectus to take up their entitlements. Eligible Shareholders may also apply for additional shares in excess of their entitlement.

The capital structure of the Company before and after completion of the Rights Issue is set out below:

				Shares	Options
Securities on	issue	at	the date of the	132,248,630	5,000,000
announcement	of the Rights		Issue
Securities offered under		this	Rights Issue	132,248,630	Nil
Total securities	on issue	following Rights Issue1		264,497,260	5,000,000

1 This assumes no shares will be issued or options exercised before the Record Date.

The Company has decided that it is unreasonable to make offers under the Rights Issue to shareholders with a registered address outside Australia or New Zealand ( Ineligible Shareholders ), having regard to the number of such shareholders, their holdings and the compliance costs required to offer the shares under the Rights Issue to those shareholders. If you are an Ineligible Shareholder no offer will be made to you and the prospectus prepared by the Company in relation to the Rights Issue will not be sent to you. If you are an Ineligible Shareholder you do not need to take any action in relation to the Rights Issue.

Should you have any questions regarding the Rights Issue you may contact the Company on (08) 9389 9919 or consult your stockbroker or professional adviser. A copy of the prospectus may be viewed on the ASX Limited website at www.asx.com.au, or alternatively at the Company’s website at www.radariron.com.au.

We look forward to your participation in the Rights Issue.

Yours sincerely

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Alan Tough

Chairman

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