Quarterly Activities and Cashflow Report

28 April 2014

Ferrum Crescent Limited

("Ferrum Crescent", the "Company" or the "Group") (ASX: FCR, AIM: FCR, JSE: FCR)

Quarterly Activities and Cashflow Report

For the period ended 31 March 2014

Ferrum Crescent Limited, the ASX, AIM and JSE quoted iron ore developer in northern South Africa, today announces its quarterly results for the three month period ending 31 March 2014.

HIGHLIGHTS:

Moonlight Iron Ore Project:

Ø US$500,000 first payment received from Anvwar Asian Investment ("AAI")

Ø US$500,000 additional payment to be paid by 30 April 2014

Ø US$28.5m implied valuation of Ferrum Crescent by AAI

Ø Payment part of US$10m agreement to acquire a 35% shareholding in Ferrum Iron Ore (Pty) Ltd ("FIO"), which holds the mining right over the three farms that contain the Moonlight Deposit

Ø Shares (in Ferrum Iron Ore) to be allocated but held in trust pending full payment (must be complete at conclusion of the Bankable Feasibility Study ("BFS") or by 31st December 2015, whichever occurs first, to retain interest)

Ø BFS work program planning underway

Corporate:

Ø Appointment of Mr Tom Revy as Managing Director to oversee BFS Completion

o Mr Revy brings over 30 years' experience specialising in operations, project development and corporate management

Ø Cash as at 31 March 2014 was approximately AU$1.43m

Ø The Company announces today also that there are certain board changes to take effect immediately. Ed Nealon will cease to be Executive Chairman but will remain on the board as Non-Executive Chairman. Bob Hair has resigned as a director. Andrew Nealon has resigned as company secretary, in order to pursue other business, and Bob Hair has been appointed company secretary.

Commenting today Tom Revy, Managing Director, said: "The first quarter of calendar year 2014 saw Ferrum gearing up to complete the BFS at the Moonlight Project and make it construction ready. One of the primary motivations for me joining the Company is to ensure that Moonlight can access the necessary infrastructure and produce and deliver to customers a premium iron ore product. We look forward to receiving the next tranche of funds from AAI and updating the market on various aspects of the BFS going forward.

On another note, I would very much like to thank Bob and Andrew for their contributions as a director and as company secretary, respectively. All of us on the board are very grateful for the work that Andrew has done, noting that he has been with the Company from the very early days and we wish him well for the future. We are equally happy that Bob will remain with the Company as secretary," he added.

For more information, please visit www.ferrumcrescent.com or contact:

On 18 March 2014, Ferrum Crescent, the ASX, AIM and JSE quoted iron ore developer, announced that it had signed a final investment agreement with AAI to progress the BFS at the Moonlight Iron Ore Project located in Limpopo Province of South Africa. A total sum of US$10m will be paid to the Company in return for the granting of a 35% interest in the subsidiary Ferrum Iron Ore (Pty) Limited ("FIO"), the holder of the Moonlight assets.

On 28 March 2014, the Company announced that its subsidiary FIO had received the first tranche of US$500,000 from AAI as loan funds (which will following the administrative approval from the South African Reserve Bank be converted into shares) with a further tranche of US$500,000 to be paid by 30 April 2014. In return, AAI will hold 35% of the shareholding in FIO ("AAI Shares") as partly-paid shares. The subscription price for the AAI Shares will be the South African Rand equivalent of US$10m ("Subscription Price"), and the AAI Shares will be allotted but held in trust pending payment in full of the Subscription Price. It is also acknowledged and agreed that, unless mutually agreed between FIO and AAI, the AAI Shares must be fully paid by the payment to FIO of the South African Rand equivalent of the Subscription Price by the completion of the BFS or by 31st December 2015, whichever occurs first.

In the event that the AAI Shares have not been fully paid by that date (or an amended date, if applicable), then the (partly paid) AAI Shares are to be cancelled in accordance with applicable legislation, and fully paid FIO shares are to be allotted and issued to AAI, the number of such shares to be calculated by reference to the percentage of the Subscription Price that has been paid. By way of example, in the event that 10% of the Subscription Price has been paid by that date, then the (10% partly paid) AAI Shares would be cancelled and fully paid FIO shares equal to 3.5% of FIO shares on issue would be allotted and issued to AAI.

Following receipt of the first 2 payment tranches equating to US$1m, the Company will recommence the BFS under the supervision of newly appointed Managing Director, Tom Revy.

AAI is an Oman based investment company chaired by Mr Anvwar Al Balushi. The Moonlight Project provides AAI with potential exposure to an iron ore project capable of producing high-grade pellet product, located within 200km of established rail hubs.

Corporate

During the quarter, Ferrum Crescent announced the appointment of Mr Tom Revy as CEO and Managing Director of the Company, whilst Mr Bob Hair moved to the position of Executive Director from Managing Director.

Mr Revy is a mining professional with 30 years' experience specialising in operations, project development and corporate management. His appointment brings a wealth of experience in project development and planning to Ferrum Crescent as the Company progresses its BFS towards construction readiness. As Development Director at Worley Parsons, Mr Revy worked extensively on the Olympic Dam Expansion and undertook key studies for companies such as AngloAmerican and Codelco. Previously Mr Revy worked at design and construction group, GRD Minproc, working on projects such as the Fortescue Metals phase 2 expansions in Western Australia and on the US$1.8b project Tenke Fungurume project in the DRC.

Exploration Interests

As at 31 March 2014, the Company held an interest in the following mining tenements:

No licences were acquired or disposed of during the quarter.