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XSTATE RESOURCES LIMITED Capital/Financing Update 2010

Nov 1, 2010

Capital/Financing Update

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ABN 96 009 217 154

2 November 2010

ASX Limited

Electronic lodgement

ENTITLEMENTS ISSUE

The board of Xstate Resources Limited advises that a total of 20,112,161 shares were applied for pursuant to the company’s entitlements issue.

A shortfall of 9,904,100 shares will be placed by the underwriter.

For and on behalf of the board.

41 Stirling Highway, Nedlands WA 6009 Tel + 61 8 9423 3200 Fax +61 8 9389 8327 www.xstate.com.au