Prospectus - Kingsrose Mining

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10. CONVERTIBLE NOTES – UNSECURED
11,000,000 Convertible notes – unsecured of 20c each - 2,200,000
The convertible notes proposed to be issued will be for a term of 30 months from the date of issue and bear
interest at the rate of 6% per annum payable annually in arrears. Each convertible note can be converted into
one fully paid ordinary share in the company at any time on or before the redemption date at the option of the
noteholder. Any convertible notes not converted by the redemption date will at the option of the Company be
redeemed for cash at the rate of 20c per convertible note or converted to shares on the basis of one fully paid
ordinary share in the company for each 20c convertible note on issue.
11. ISSUED CAPITAL
Issue of 20 ordinary fully paid shares on incorporation 6 January 2005 20 20
Proposed issue of 20,000,000 ordinary fully paid shares to be issued to
KRM (WA) Pty Ltd as trustee for the Kingsrose Unit Trust as per asset
sale agreement 10,000 10,000
Issue of seed capital of 8,800,000 ordinary fully paid shares on
3 October 2007 for cash - 63,000
Proposed issued of 30,000,000 ordinary fully paid shares for cash - 6,000,000
Proposed issue of 6,250,000 ordinary fully paid shares to
Airedale (Asia) Limited for loan conversion - 1,250,000
10,020 7,323,020
Less estimated costs of issue
Cash - (400,000)
Contributed equity 10,020 6,923,020
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