Update on Merger with Polymetals - Notice of Meeting

This table indicates that SXG’s shares display a low level of liquidity, with 21% of the Company’s current
issued capital being traded in a twelve month period. For the quoted market price methodology to be
reliable there needs to be a ‘deep’ market in the shares. RG 111.69 indicates that a ‘deep’ market should
reflect a liquid and active market. We consider the following characteristics to be representative of a
deep market:
• Regular trading in a company’s securities;
• Approximately 1% of a company’s securities are traded on a weekly basis;
• The spread of a company’s shares must not be so great that a single minority trade can significantly
affect the market capitalisation of a company; and
• There are no significant but unexplained movements in share price.
Share price Share price Cumulative volume As a % of
low high traded Issued capital
1 Trading Day $0.026 $0.026 - 0.00%
10 Trading Days $0.026 $0.035 2,501,413 0.61%
30 Trading Days $0.026 $0.038 6,776,391 1.66%
60 Trading Days $0.026 $0.043 11,601,340 2.84%
90 Trading Days $0.026 $0.044 24,675,336 6.03%
180 Trading Days $0.026 $0.070 71,808,701 17.56%
1 Year $0.026 $0.070 87,769,957 21.46%
A company’s shares should meet all of the above criteria to be considered ‘deep’, however, failure of a
company’s securities to exhibit all of the above characteristics does not necessarily mean that the value
of its shares cannot be considered relevant.
In the case of SXG, we consider the shares to display a low level of liquidity, with less than 3% of issued
capital traded in 60 trading days prior to 5 April 2013.
Our assessment is that a range of values for SXG shares based on market pricing, after disregarding post
announcement pricing, is between $0.026 and $0.038, with a midpoint of $0.032.
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