China Vanadium Titano-Magnetite Mining Company Limited announced in the 2014 announcements, among other things, that: (a) an Event of Default under the Exchangeable Notes occurred on 2 December 2014 by virtue of the Issuer's failure in paying an amount payable by it under the Note Certificate within five business days following the Final Maturity Date; and (b) on 30 December 2014, the Investor granted a waiver in favour of the Issuer to waive the Event of Default and entered into the supplemental arrangement contemplated under the Supplemental Deed (the Supplemental Arrangement), subject to the consent of the other Noteholders. On 8 January 2015, the Investor received the consent from the other Noteholders to give effect to the waiver and the Supplemental Arrangement except that the Final Maturity Date under the Supplemental Arrangement shall be brought forward from 25 June 2015 to 25 March 2015. Save for the above, there are no other revisions made to the Supplemental Arrangement.

Accordingly, the Final Maturity Date has been extended from 25 November 2014 to 25 March 2015 under the Supplemental Arrangement. On even date, the Investor granted its consent to the other Noteholders in relation to such other Noteholders' waiver and supplemental arrangement which are materially similar in content to the Supplemental Arrangement. The Directors believe that the terms of the Supplemental Deed are fair and reasonable and in the interest of the shareholders of the company as a whole for the reasons set out in the 2014 Announcements and in view of the earlier date of potential redemption on 25 March 2015 (as opposed to 25 June 2015).