Update on Merger with Polymetals - Notice of Meeting

Meadowhead
Meadowhead Indemnity
The Merger
The Merged Entity
NAV
Our Report
Oz
Peak Litigation
PLY
RBA
Meadowhead Investments Pty Ltd
A full indemnity granted by Meadowhead Investments in favour of Polymetals in
relation to any costs that may arise out of the Peak Litigation
The merger of SXG and PLY by way of a scheme of arrangement
SXG and PLY following the Merger
Net Asset Value
This Independent Expert’s Report prepared by BDO
Ounce
The litigation brought by Peak Gold Mines Pty Ltd against PLY, in the Supreme
Court of New South Wales.
Polymetals Mining Limited
The Reserve Bank of Australia
RG111 Content of expert reports (March 2011)
RG112 Independence of experts (March 2011)
The Transaction
The Scheme
The proposal to issue SXG shares to the Sproule Interests upon implementation of the
Scheme which will result in the Sproule Interests holding approximately 26% of the
issued capital in the Merged Entity (SXG).
A proposed scheme of arrangement pursuant to the Corporations Act between PLY and
PLY shareholders , pursuant to which SXG will issue 11 SXG shares for every 1 PLY
share on issue (if the Scheme is approved and implemented) to effect the Merger.
Scheme Conditions
Shareholders
SIA
Sproule Interests
SXG
USD
the Valmin Code
The conditions precedent the satisfaction or waiver of which must be achieved for
implementation of the Scheme.
Shareholders of SXG not associated with PLY
Scheme Implementation Agreement
PLY’s largest associated shareholders, Meadowhead Investments, Mr D Sproule and
Mrs J Sproule
Southern Cross Goldfields Limited
US dollars
Code for the Technical Assessment and valuation of Mineral Petroleum Assets and
80