ZOONO GROUP LIMITED — Capital/Financing Update 2003

May 28, 2003

Level 4 20 Loftus Street SYDNEY NSW 2000

email: gold@goldsearch.com.au

ash/psh/ash570

29 May 2003

The Manager Company Announcements Office Australian Stock Exchange Limited $level 4$ 20 Bridge Street SYDNEY NSW 2000

Via ASX Online

No. of pages $-1$

Dear Sir.

Re: Non-renounceable rights issue – completion of allotment

The directors of Goldsearch Limited advise that they have today allotted a total of 31,051,711 ordinary fully paid shares and attached options pursuant to applications lodged by the underwriters to the offer set out in the Company's prospectus dated 24 March 2003.

This completes the allotment of the 36,491,869 shares and options offered by the prospectus.

The total issued securities of the Company now comprise:

• 182,459,348 ordinary fully paid shares
• 36,491,869 quoted options exercisable at 8 cents each and expiring on 30 $\bullet$ September 2005
• 12,000,000 unquoted executive options exercisable at 15 cents each and expiring on 15 July 2004

For and on behalf of the directors of Goldsearch Limited

P S Hewson Secretary