Update on Bananghilig Scoping Study

MEDUSA MINING LIMITED

ABN: 60 099 377 849

Unit 7, 11 Preston Street

Como WA 6152

PO Box 860

Canning Bridge WA 6153

Telephone: +618-9367 0601

Facsimile: +618-9367 0602

Email: [email protected]

Internet: www.medusamining.com.au

11 April 2013

AMENDMENTS/CLARIFICATION TO CERTAIN KEY PARAMETERS OF THE BANANGHILIG SCOPING STUDY

(ASX & LSE: MML)

Further to an announcement dated 09 April 2013 pertaining to a Scoping Study on the Bananghilig Gold Deposit the Company wishes to advise amendments/clarification to certain key parameters of the Scoping Study.

Amendments/clarification to Key Scoping Study Parameters

·; Indicative recovered head grade 1.3 g/t gold;

·; Indicative mining OPEX of US$10.50 per tonne;

·; Indicative waste to ore strip ratio of 4:1 (after pre-strip);

·; The cost of pre-strip is included in CAPEX costs of US$220 million;

·; Indicative cash costs: US$565 per ounce and excludes royalties.

For further information please contact:

DISCLAIMER

This announcement may contain certain forward-looking statements. The words 'anticipate', 'believe', 'expect', 'project', 'forecast', 'estimate', 'likely', 'intend', 'should', 'could', 'may', 'target', 'plan' and other similar expressions are intended to identify forward-looking statements. Indications of, and guidance on, future earnings and financial position and performance are also forward-looking statements.

Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of Medusa, and its officers, employees, agents and associates, that may cause actual results to differ materially from those expressed or implied in such statements.

Actual results, performance or outcomes may differ materially from any projections and forward-looking statements and the assumptions on which those assumptions are based.

You should not place undue reliance on forward-looking statements and neither Medusa nor any of its directors, employees, servants or agents assume any obligation to update such information.