UPDATE ON SRIG - ALTONA TRANSACTION

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Altona Mining Limited (“Altona” or the “Company” - http://www.commodity-tv.net/c/mid,5428,Company_Updates/?v=294584) and Sichuan Railway Investment Group (“SRIG”) concluded a Framework Agreement on 26 June 2015 to develop the Cloncurry Project in north-west Queensland through an incorporated Joint Venture. On close, the Joint Venture will be 60% owned by SRIG and 40% by Altona. The Joint Venture will own 100% of the Cloncurry Project and have US$227.5 million (A$316 million at 0.72 A$:US$) of cash available with a subsequent tranche of US$24.96 million (A$34.6 million) available 12 months after close.

A delegation of SRIG executives and a Board member recently completed a 10 day visit to the project site and to Brisbane. The purpose was to view the results of SRIG’s confirmatory drilling at the Little Eva deposit, to meet with representatives of the Queensland Government, to meet with SRIG’s various due diligence consultants and to commence detailed negotiation on the Formal Agreements with Altona.

As part of technical due diligence, two diamond drill holes of 250 metres length were drilled by SRIG to twin prior Altona drilling and visual indications suggest that similar results will be obtained. Assay results are expected by year end. SRIG are undertaking confirmatory metallurgical testwork which will be completed in late January 2016. Legal and commercial due diligence are underway and a valuation has been completed. SRIG have not advised Altona of any material issues to date.

The parties were initially targeting completion of due diligence and execution of Formal Agreements in late November-early December 2015. The commencement of due diligence by SRIG was delayed and is behind schedule. Given the delay and the pending Australian Christmas and Chinese New Year holiday periods; the indicative schedule advised in June 2015 will not be achieved.

The parties intend to extend the end date for completion of the transaction, including the execution of Formal Agreements and obtaining regulatory approval, from 22 March 2016 to 31 July 2016.

SRIG have agreed to extend the US$2 million Performance Guarantee to match the revised timetable.

Separately, SRIG subsidiary SRBM recently agreed to purchase a 60% interest in the Asmara copper-zinc-gold project in Eretria for US$78 million from TSX.V listed Sunridge Gold Corp.

Please direct enquiries to:

Alistair Cowden James Harris Jochen Staiger

Managing Director Professional Public Relations Swiss Resource Capital AG

Altona Mining Limited Perth Tel: +41 71 354 8501

Tel: +61 8 9485 2929 Tel: +61 8 9388 0944 js@resource-capital.ch

altona@altonamining.com james.harris@ppr.com.au

About Altona

Altona Mining Limited is an ASX listed company which recently sold its successful Outokumpu mine in Finland and is now focussed on the Cloncurry Project in Queensland, Australia.

The Cloncurry Copper Project has Mineral Resources containing some 1.65 million tonnes of copper and 0.41 million ounces of gold. The first development envisaged is the 7 million tonnes per annum Little Eva open pit copper-gold mine and concentrator. Video about the proposed mine: http://www.commodity-tv.net/c/mid,3159,Companies_und_Projects/?v=101337 Altona has completed a Framework Agreement with Sichuan Railway Investment Group to fully fund and develop Little Eva. Little Eva is permitted with proposed annual production⁽¹⁾ of 38,800 tonnes of copper and 17,200 ounces of gold for a minimum of 11 years. A Definitive Feasibility Study was published in March 2014.

Altona Mining is listed on the Australian Securities Exchange and the Frankfurt Stock Exchange.

¹Refer to the ASX release ‘Cost Review Delivers Major Upgrade to Little Eva’ dated 13 March 2014 which outlines information in relation to this production target and forecast financial information derived from this production target. The release is available to be viewed at www.altonamining.com or www.asx.com.au. The Company confirms that all the material assumptions underpinning the production target and the forecast financial information derived from the production target referred to in the above-mentioned release continue to apply and have not materially changed.

About SRIG

SRIG was established in 2009, is based in Chengdu in south-western China and is 100% owned by the Sichuan People Provincial Government. The group’s principal businesses are in the road, bridge and rail construction and management sectors. SRIG had total assets of US$26.8 billion in 2014 and revenues over US$6 billion. It has more than 20,000 employees. SRIG has signalled its intention to diversify into other industries both within China and internationally.

SRIG has 24 operating subsidiaries including Sichuan Road and Bridge Group (“SRBG”), listed in Shanghai which operates toll roads, bridges and hydropower stations. It has a market capitalisation of US$3 billion.

CCXI, a Moody’s company, rated SRIG as AA+ with a stable outlook for a 2014 bond issue of approximately US$320 million. CCXI noted SRIG’s expertise, highlighting that SRIG was the first Chinese enterprise to secure an overseas bridge construction contract (Norway).

Competent Persons Statement

The information in this report that relates to Exploration Targets, Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Dr Alistair Cowden, BSc (Hons), PhD, MAusIMM, MAIG. Dr Cowden is a full time employee of the Company and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaking to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Dr Cowden consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

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