Emu Nickel NL : Issue to Directors and Proposed Rights Issue

ISSUE TO DIRECTORS @ $0.07 & RIGHTS ISSUE Emu Nickel NL

ABN 50 127 291 927

ASX Code: EMU

10 Walker Ave

West Perth, WA 6005

M [phone]

E [e-mail]

PO Box 1112

West Perth, WA 6872

Issued Capital: Shares - Quoted:

34,642,856 fully paid shares

Options - Unquoted:

4,596,438 exercisable at

$1.0878 by 27.2.2013

841,148 exercisable at

$0.5874 by 22.12.2014

82,736 exercisable at

$0.4266 by 21.12.2015

Cash: $3 million Directors: Peter Thomas (Non- executive Chairman) Greg Steemson (Managing

Director)

George Sakalidis & Gavin Rutherford (Non-Executive Directors)

Messrs Thomas and Steemson, two of Emu's directors, have elected to subscribe for 7,142,856 ordinary fully paid shares at $0.07 per share (effectively representing the current market price for the securities) pursuant to the authority in that regard conferred by the approval of shareholders given at the 2012 annual general meeting of Emu thereby injecting an additional $500,000 of working capital.
As foreshadowed in the 2012 Annual Report and more recently in the September 2012 Quarterly Report, Emu Nickel NL has been and is currently assessing several advanced mining projects. While none of these opportunities has crystallised, it is the Board's intention to pursue
this strategy until a project meeting the Board's criteria of early cashflow is realised. To enable the Company to move quickly should such an event occur, the Board has resolved to proceed with a Rights Issue which offers existing shareholders the opportunity to participate in the growth of Emu.
The Rights Issue will: