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31 October 2014

QUARTERLY ACTIVITIES REPORT

September 2014

Highlights

Iron Ore

� Mt Webber mine officially opened on 15 July 2014.

� Stage 1 completed in July 2014 along with first haulage of ore to Port Hedland.

� During the quarter 529,703 tonnes of ore mined - AJM share 158,911 tonnes.

� Mt Webber mine to produce up to 6 Mtpa (Altura share 1.8 Mtpa) following the

completion of Stage 2 of the project scheduled for December 2014.

Coal

� During the quarter 280,192 tonnes of coal produced from the Delta Coal mine - AJM

share 93,397 tonnes.

� Focus on increasing higher calorie coal stocks and maintaining consistent monthly

production and sales.

� In-Principle Forest Area approval received from the Indonesian Minister for Forestry for

the SPK IUP in the Tabalong project.

Lithium

� Agreement signed with Pathion Inc. that puts Lithium Corporation in a strong cash

position to move forward with its assessment of its graphite properties.

� Altura continues search for off-take partner to develop world class Pilgangoora project.

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Altura Mining Limited – Quarterly Activities Report September 2014

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IRON ORE

MT WEBBER (Pilbara – Western Australia) 30% Altura Mining Limited, 70% Atlas Iron Limited

Production

Production for the quarter at the Mt Webber mine was as follows:

Sept 2014

Quarter

June 2014

Quarter

Variance

Tonnes Tonnes Tonnes

Ore Tonnes Mined (100% terms) 529,703 533,443 (3,740) Ore Tonnes Mined (Altura 30% share) 158,911 160,033 (1,122)

Note: Ore Tonnes Mined represents ore tonnes delivered to Run-of-Mine (ROM) stockpiles at the processing plant.

Official Opening of the Mt Webber Mine

As reported in the previous quarterly, the Mt Webber DSO mine was officially opened on 15 July

2014 by the Western Australian Minister for Mines and Petroleum, The Hon Bill Marmion MLA.

This followed a welcome by senior elders of the Njamal people, the traditional owners of the land

at Mt Webber.

The opening of the Mt Webber mine has achieved a significant and transformative milestone in

Altura’s development in attaining the status of an iron ore producer. The project has provided an

opportunity to enter the iron ore market through landmark cooperative agreements covering

mining, processing, transport and ore sales.

Project Development

Stage 1 of the project has now been completed with the final commissioning occurring early in the

quarter. Haulage of ore by road to Port Hedland from Mt Webber commenced during July 2014.

Production at the project is commencing at a nominal rate of 3 million tonnes per annum (Mtpa)

and is expected to increase to 6 Mtpa after the commissioning of the second phase expansion.

Stage 2 of the project is on schedule and is due to be completed by December 2014.

Managing partner Atlas Iron has been making material reductions in overall costs for its operations

including Mt Webber. The ability to successfully implement these cost reductions is aligned with

addressing the overall change in the iron ore market conditions.

Ore Sales

During the quarter 529,703 tonnes were delivered to the ROM pad at Mt Webber in 100% terms

(158,911 tonnes Altura share). The Average Realised CFR Sale Price (AUD/dmt) was $74.46 for the

September quarter.

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The Mt Webber mine continued to ramp up during the quarter and as such the costs include

additional one-off development costs that are expected to normalise in the December quarter.

The planned increase to the 6 Mtpa rate in the March 2015 quarter will provide additional cost

savings to the operation. A recent revision of the planned production and costs by managing

partner Atlas has focussed on delivering cost improvements along with the planned increase in

product.

September Quarter Summary – Mt Webber (AJM Result)

Average Realised CFR Price AUD / dmt $74.46

Average Freight AUD / dmt $12.17

Average Realised FOB Price AUD / dmt $62.29

Average Sale Price to AGO* AUD / dmt $9.37

* Average Sale Price to AGO is Average Realised FOB Price less Operating Costs, AGO Infrastructure Charge, AGO Marketing Fee

and Royalties – excludes Loan Repayment and Interest.

The above results are based upon the Ore Sale Agreement between Altura and Atlas whereby the

point of sale of Altura’s proportion of production takes place at the ROM pad. Pricing and costs

are reconciled quarterly based on actual sales by Atlas.

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Mt Webber Mine Official Opening

Paul Mantell (AJM Director), Mark Hancock (AGO Executive Director), James Brown (AJM Managing Director),

David Flanagan (AGO Chairman) and Ken Brinsden (AGO Managing Director)

Mt Webber Operations – Stockpiling and Processing

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Mt Webber – Location Map

About Mt Webber

The Mt Webber Iron Ore Project is located 150 kilometres south-southeast of Port Hedland in the world’s

premier iron ore province, the Pilbara. Altura has a 30% interest in the Mt Webber Iron Ore DSO project

(and five other Pilbara tenements that form part of the JV agreement). Atlas Iron is Altura’s JV partner for

this project.

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Altura Mining Limited – Quarterly Activities Report September 2014

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COAL

DELTA COAL MINE (East Kalimantan – Indonesia) Thermal Coal (33⅓% AJM)

Mine Operations

Production and sales for the quarter were as follows:

Sept 2014

Quarter

Sept 2013

Quarter

9 months

YTD Sept 2014

Tonnes Tonnes Tonnes

Saleable coal production (100% terms) 280,192 379,936 921,023 Coal sold (100% terms) 317,820 261,845 918,364 Saleable coal production (Altura 33⅓% share) 93,397 126,645 307,008 Coal sold (Altura 33⅓% share) 105,940 87,282 306,121

Production at Delta Coal during the 3 months to 30 September 2014 was in line with the previous

quarter with monthly average coal production of 93,397 tonnes (monthly average June quarter

2014 of 95,452 tonnes).

However, production in the September quarter 2014 was some 26% below the corresponding

quarter in 2013. Production for July and August was substantially below plan at 70,959 tonnes and

83,605 tonnes respectively, although improved weather and mining conditions in September

resulted in production of 125,628 tonnes of coal which is at the desired 1.5 Mtpa production rate.

During the quarter the mine operations experienced 32 rainfall affected days for a total of 329

millimetres which is well below the overall June quarter total rainfall (June quarter - 53 rainfall

affected days for a total of 913 millimetres). The most significant change was the month of

September which recorded only a single rainfall day and 1 millimetre of rainfall demonstrating the

contrasting wet and dry seasonal influence.

The September quarter average coal price of US$32.17 per tonne was lower than the US$43.35

average price for the June quarter with the average selling price reflected in the volume of lower

energy product sales. Sales for the September quarter totalled 317,820 tonnes compared to the

June quarter of 294,228 tonnes. Sales for the quarter were focussed at reducing stock levels of

the 4,400 kcal (GAR) coal in line with demand for this product. A total of 286,378 tonnes of this

product was sold during the quarter.

The Delta mining operation is based on a strategy to blend the coals mined currently from the

discrete pits. Currently the mine is operating in five (5) separate pits within the concession; these

are identified as Pit 2N, Pit 21, Pit 29, Pit 37 and Pit 43. The coals from these pits can vary in both

quantity and quality which is taken into consideration by the mine according to their marketing

requirements.

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Each of these pits can also operate under a different cost mechanism determined by a mix of strip

ratio and waste haulage distance. The opportunity this method provides Delta is to offset higher

and lower stripping and waste haulage costs within each of its contractors’ mining areas which in

turn allows the mine to operate under an average mining cost scenario whereby the higher strip

ratio and higher value coals are offset with lower strip ratio and lower value coals.

During the September quarter both Pit 29 and Pit 43 suffered internal wall failures due to

increased rainfall and softer low wall material. Pit 43 suffered minor delays however Pit 29 was

the subject of a review and redesign of both access and mining location. The variance from the

plan resulted in lower than forecast production in July and August.

Coal Pricing

The Indonesian Coal Reference Price or HBA for September quarter 2014 was US$69.69 per tonne

compared to US$73.64 for June quarter 2014. The HBA represents the Indonesian Government

set benchmark pricing for coal sales and is based on GCV (GAR) 6,322 kcal/kg, Total Moisture (arb)

8.00%, Sulphur (arb) 0.80% (arb) and Ash Content (arb) 15.00%. Therefore price adjustments

(based on quality) are performed in order to equate to Delta’s range of coal specifications from

4,400 – 5,000 kcal/kg (GAR) products.

The Delta Coal operations continue to look for opportunities to increase productivity and decrease

costs. Given the highest cost component of the operations is mining contractor costs there is an

added focus in working with the contractors to improve efficiencies and productivities within each

pit.

Further Work

The Company is working with independent consultants to update the current Coal Reserves and

Resources estimates at Delta Coal. This work is scheduled for completion in the December quarter.

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Delta Coal Mine – Location Map

Delta Coal Mine – Map of Mine Layout

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TABALONG COAL JOINT VENTURE (South Kalimantan – Indonesia) - 70% AJM

Project Approvals

Altura advised on 30 September 2014 that it had received the In-Principle Forest Area approval

from the Indonesian Minister for Forestry for its 70% owned Suryaraya Permata Khatulistiwa (SPK)

IUP in the northern area of the Tabalong Coal Project in South Kalimantan, Indonesia.

This approval is the final step before the issue of the Borrow and use of Forest Area Permit (Ijin

Pinjam Pakai Kawasan Hutan) which will allow for the commencement of construction and mining.

The initial approval area of 465.29 hectares allows for the mining pit, waste dumps, mine

infrastructure and haul road with the survey and compliance documentation (including marking

out of the area) to be completed in approximately 3 months. Additional approvals and exchange

of IPPKH areas will be required as part of the ongoing mining project progression.

The Company is also seeking an additional In-Principle Forest Area approval for the adjoining SCC

IUP, and it is anticipated that subsequent approval will similarly be gained in the near future.

Tabalong Coal Project JV – Location Map

About the Tabalong Coal Project

The Tabalong Coal Project consists of five (5) Mining Licences (IUPs) in the province of South Kalimantan on

the island of Borneo. All five (5) IUPs are granted for Operation Production and Altura is seeking the

necessary Forestry Land Use approvals to allow mining to proceed.

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Further Work

The Company is working with independent consultants to update the current Coal Resource

estimate for the Tabalong Coal Project. This work is scheduled for completion in the December

quarter.

CATANDUANES COAL (Philippines)

The Coal Operating Contract (COC) 182 known as “Area 3 – Catanduanes” covers an area of 7,000

hectares and is located on Catanduanes Island on the eastern seaboard of the Philippines (see

map below). The area was awarded to Altura Mining Philippines Inc. in Q1 2013 following the

Philippine Energy Contracting Round 4 (PECR4) in March 2012.

Exploration activities cannot commence until there is a resolution to the previously reported land

access problems. Higher level discussions by Altura’s Philippine partners with the Department of

Energy have progressed during the quarter in regards to the strategy to move forward with

exploration activities in Area 3 as well as the grant of the remaining two (2) bids submitted in the

Philippine Energy Contracting Round 4 (PECR4) in March 2012.

Catanduanes – Location Map

About Coal

Coal is a plentiful natural source of energy. Thermal coal provides a reliable fuel for electricity generation

with Indonesia now the world’s largest exporter of thermal coal products. Higher value PCI (pulverised coal)

and coking coal are used in the production of steel.

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Altura Mining Limited – Quarterly Activities Report September 2014

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LITHIUM

ALTURA LITHIUM – Pilgangoora (Western Australia - 100% AJM)

Altura has previously identified a world class lithium deposit located in the Pilbara region of

Western Australia. Following the completion of a project scoping study (see ASX release on 19

November 2012), the Company believes there is strong potential for the deposit to be mined and

recover a highly saleable spodumene concentrate.

During the quarter internal work on a pre-feasibility study continued, and the search for a suitable

off-take and equity partner for the potential spodumene concentrate operation at Pilgangoora is

ongoing.

LITHIUM CORPORATION (Nevada, USA & British Columbia, Canada - 15% AJM)

On 21 August 2014 Altura announced that Lithium Corporation had signed an Asset Purchase

Agreement with Pathion Inc. to sell its interests in the BC Sugar flake graphite property, as well as

the San Emidio and Fish Lake Valley lithium-brine properties.

The agreement puts Lithium Corporation in a strong cash position to move forward with its

assessment of the Mt Heimdahl graphite property in British Columbia.

High purity graphite is presently the most widely used anode material for lithium ion battery

technology. Typically greater than ten times more graphite is used in comparison to lithium in

lithium ion battery production.

Please refer to the Lithium Corporation website for further information.

About Lithium

Lithium (Li) is recovered from the mineral spodumene and lithium-rich brines. It is used in a range of

products such as ceramics, glass, batteries and pharmaceuticals. Lithium use has expanded significantly in

recent years due to increasing use in rechargeable batteries in portable electronic devices and in batteries

and electric motors for hybrid and electric cars.

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Altura Mining Limited – Quarterly Activities Report September 2014

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SCHEDULE OF MINING TENEMENTS

The following mining tenements were held by the Company at the end of the quarter:

Location Tenement Interest

Pilbara, Western Australia E 45/2244 100%

E 45/2268 100%

E 45/2277 100%

E 45/2287 100%

E 45/2288 100%

E 45/2312 100%

E 45/2346 100%

E 45/3488 100%

P 45/2758 100%

M 45/1209 30%

M 45/1230 100%

M 45/1231 100%

Mt Shoobridge, Northern Territory EL 29549 100%

MCN 60 100%

MLN 296 100%

MLN 544 100%

Tanami, Northern Territory ELA 26626 100%

ELA 26627 100%

EL 26628 100%

EL 29828 100%

Delta, East Kalimantan PT Delta Ultima Coal 33⅓%

Tabalong, South Kalimantan PT Suryaraya Permata Khatulistiwa 70%

PT Suryaraya Cahaya Cemerlang 70%

PT Suryaraya Pusaka 70%

PT Kodio Multicom 56%

PT Marangkayu Bara Makarti 56%

Catanduanes, Philippines COC 182 (Area 3) - Catanduanes 100%

The following mining tenement was relinquished during the quarter:

Location Tenement Interest

Smithfield, Western Australia E 70/2254 100%

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Altura Mining Limited – Quarterly Activities Report September 2014

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About Altura Mining Limited (ASX:AJM)

“Aggressively building independently sustainable businesses that deliver profitability, liquidity and growth in coal, iron

ore and non-ferrous mining and exploration” - The Altura Vision

Altura is a multi-faceted miner with significant coal, iron ore and lithium projects in Indonesia and Australia, a diverse

minerals exploration portfolio, and a profitable mining services arm that provides drilling, geophysical and project

development services.

With experienced leadership and a strong and supportive shareholder base, Altura’s success is further underpinned by

its solid suite of exploration and development projects. The Company’s main focus is coal production from the Delta

Coal project in Indonesia, and the Tabalong Coal project which is in the final stages of approvals before mining

commences.

Key Projects and Prospects:

• Iron Ore: Mt Webber DSO joint venture with Atlas Iron, in production at 3 million tonnes per annum rate and

expected to increase to 6 million tonnes per annum rate in December 2014.

• Coal: a 33⅓ % interest in the Delta coal mine currently targeting production 1.5 million tonnes per annum rate in

East Kalimantan, Indonesia.

• Coal: Mine construction planned at Tabalong upon receipt of final regulatory approvals.

• Coal: Exploration tenement at Catanduanes on the eastern seaboard of the Philippines.

• Lithium: Prefeasibility at Pilgangoora WA, one of the world’s largest high grade deposits.

• Uranium: Exploration stage of key targets in Hayes Creek region, Mt Shoobridge NT.

• Base/Precious Metals: Exploration stage for lead, copper, zinc, gold and silver prospects - Shoobridge NT, Pilbara

WA, Tanami NT.

For further information, please visit www.alturamining.com or phone James Brown, Managing Director on

+ 61 7 3814 6900.

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