ALTONA SELLS FINNISH ASSETS FOR US$95 MILLION (A$101 MILLION)

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Altona Mining Limited (“Altona” or the “Company” - http://bit.ly/1oe3ury) has entered into an agreement for the sale of all of its Finnish operations and most of its exploration assets in Finland to Boliden Mineral AB (Publ) (“Boliden”), a Swedish base metal miner and smelter (“Transaction”). Boliden (www.boliden.com) currently buys all of Altona’s concentrate products. The Transaction The consideration for the Transaction will be US$95 million for the assets together with adjustments for working capital, net debt and net capital expenditure during the settlement period. Based upon current estimates the total consideration will be approximately US$100 million in cash. This equates to A$106 million at an exchange rate of AUD:USD 0.94. Closing is expected to occur on 1 October 2014. At closing US$10 million will be held in an escrow account pending the determination of the final consideration which will be adjusted to reflect the actual movements in working capital, net debt and net capital expenditure during the settlement period. The Transaction is conditional upon, amongst other things, the approval of Altona shareholders at a General Meeting to be held on or about 14 August 2014. A simple majority of those voting in person or by proxy is required to pass the resolution. The Transaction is also dependent on the approval of Finnish competition authorities. The Company does not expect this to be withheld given the relatively small volume of Altona’s concentrate relative to the European market size. The material terms of the Share Purchase Agreement are set out in the appendix to this release. Upon closing of the Transaction it is expected that Altona will have between A$120 and A$125 million in cash after all costs. It is anticipated that the Company will have sufficient tax losses to cover any tax liability arising from the Transaction. Return to Shareholders The Company intends to make a cash payment to shareholders of 15 cents per share, which equates to approximately A$80 million in total. The payment will be comprised of a combination of an equal capital reduction, a buy back of shares or a dividend. The relative proportions of equal capital return, share buy back or dividend will be determined by the Directors after the receipt of a ruling from the Australian Taxation Office. Should the Transaction be approved at the General Meeting to be held on or about 14 August 2014, and if required, shareholders will be asked to approve the capital management initiatives proposed to be undertaken by Directors at a further General Meeting to be called after the tax ruling is received. Any cash return to shareholders is conditional on the Transaction being completed. Transaction Benefits If completed, it is envisaged that the Transaction may deliver a number of benefits to shareholders, including: • consideration approximately equivalent to 20 cents per share; • a proposed 15 cent per share cash return to shareholders which is slightly below Altona’s volume weighted average share price of 16 cents for the three months prior to this announcement; and • the optionality of further returns through the partnering or sale of the Little Eva Project which is retained in a strong and simple company focussed on its Australian assets. Strategy for Altona Should shareholders approve the Transaction and the capital management initiatives are made, Altona will retain between A$40 and A$45 million in cash, 100% ownership of the Little Eva Project at Cloncurry in Queensland and an interest in the adjacent Chinalco Yunnan Roseby exploration joint venture. It will have limited continued involvement in Finland. The strategy for the Company after the closing of the Transaction and implementation of capital management initiatives is as follows: • strive to realise value from the Little Eva Project through the pursuit of a strategic partnership or sale of the asset; • enhance Little Eva through resource definition drilling at the satellite deposits Turkey Creek and Lady Clayre, testing of high prospectivity targets at Greenhills and Airport, re-optimisation of reserves and other activities; • reduce corporate overheads to reflect the reduction in activities of the Company and to minimise cash burn; and • consider corporate or asset transactions which deliver shareholder value. Retained Assets in Finland Altona will retain the Hautalampi Project near Outokumpu but has granted Boliden an option to either mine the Hautalampi deposit in exchange for payment of a 2% Net Smelter Royalty or to purchase the project outright for US$3 million. The option has a 10 year term. Altona will also retain the Sarkiniemi nickel mine. Provisional Timetable • By week ending 18 July 2014: Notice of Meeting and Explanatory Memorandum dispatched to shareholders. • 14 August 2014: General Meeting of shareholders to approve the Transaction. • 1 October 2014: Completion of the Transaction. • October - November 2014: General Meeting of shareholders to approve the return of capital. • December 2014: Proposed cash distribution to shareholders. All dates are approximate. Credit Suisse is acting as Financial Advisor to Altona for this Transaction. Gilbert + Tobin is acting as Legal Adviser to Altona.

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ALTONA SELLS FINNISH ASSETS FOR US$95 MILLION (A$101 MILLION)