ORA BANDA MINING LTD — M&A Activity 2005

MONARCH DECLARES SIBERIA OFFER UNCONDITIONAL

Monarch Resources Limited (ASX: MRS) ("Monarch") today declared in accordance with section 650F of the Corporations Act 2001 its takeover offer for Siberia Mining Corporation Limited (ASX: SIB) ("Siberia") free of all conditions (except certain prescribed conditions detailed below) after increasing its interest in Siberia shares to 60%, listed options to 57% and unlisted options to 100%. The takeover offer, which is scheduled to close at 5.00 pm (WST) on 10 January 2006, is the mechanism for agreement to merge the two companies announced on 17 November 2005.

Monarch's Chairman, Michael Kiernan, said there had been a strong flow of acceptances from Siberia shareholders and optionholders following lodgement of Monarch Bidder's Statement and Siberia Target's Statement recommending the offer on 2 December 2005.

"We are very pleased with the response to date and look forward to successfully concluding the offer and completing the merger early in 2006, establishing a significant new Australian gold company," Kiernan said.

"The transaction will be completed at a very positive time for the gold industry, with gold prices recently attaining 25-year highs and a very strong outlook into 2006," he said. "The expanded Monarch will be very well placed to pursue both the development of its own assets and other opportunities in the Australian and international gold sector."

The merger will consolidate ownership of the gold exploration and development assets assembled by Monarch and Siberia in the Davyhurst, Siberia and Lady Ida gold belts north-west of Kalgoorlie. Following completion of the offer, Monarch will have a combined resource base of over 2 million ounces, a centrally located gold treatment facility and extensive regional exploration portfolio. The strategic objective is to commence intensive regional exploration as soon as possible targeting 3-5 years of mineable gold reserves prior to starting production.

The conditions set out in section $8.8(a)(iv)(I)$ to $(M)$ of its Bidder's Statement dated 2 December 2005, being certain prescribed conditions set out in section $652C(2)$ of the Corporations Ac 2001, will remain in place and the offers are not freed from these conditions.

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Released by: Jan Hope/Nicholas Read Jan Hope & Partners Telephone: (+61-8) 9388-1474

On behalf of: Monarch Resources Limited John Davis - Managing Director Telephone: (+61-8) 9481-6422 Web: www.mrl.net.au

BACKGROUND INFORMATION

Monarch Resources Limited (ASX: MRS) is an ASX-listed gold development company which announced in November 2005 that it had secured a core exploration and development asset in Western Australia's Northeastern Goldfields after reaching agreement to acquire the Davyhurst Gold Project from Croesus Mining NL (ASX: CRS) for \$5 million cash.

The Davyhurst Project, which is located 120km north-west of Kalgoorlie, comprises an 841km² tenement package and currently includes an 808,000 ounce gold resource inventory, a 1.2mtpa CIL gold processing facility and associated infrastructure, and numerous high-quality, prospective exploration targets.

The Davyhurst Project is located within the Davyhurst-Mt Ida greenstone belt, which hosts the Zuleika Shear and Ida Fault – structures which reportedly control significant gold endowment. Historically, the Davyhurst field has produced some 1.15 million ounces since 1897.

Siberia Mining Corporation Limited (ASX: SIB) is an Australian Stock Exchange-listed gold company with a strong growth and development focus in the Northeastern Goldfields region of Western Australia. Siberia has established the largest Australian-controlled ground position in the Kalgoorlie region in an arc spanning some 150-200km to the north west of Kalgoorlie and including a 1.4 million ounce resource base, projects with near-term production potential, and a $1.250 \text{km}^2$ exploration portfolio with numerous well-defined targets.

Siberia controls the 35km long Siberia Gold Belt, a geological contact that hosts the high-grade Siberia Gold Camp deposits (comprising resources in excess of 750,000oz at Missouri, Sand King, Invincible and Black Rabbit). Much of this gold belt is obscured by thin cover and remains untested. Ore from the Missouri open pit was previously toll-treated through the Davyhurst mill, located 30km away, by Croesus Mining.

Siberia's tenements also include the Ida Gold Project, comprising a 419,000 oz resource contained within two main deposits (Iguana and Lizard), located along the gold-bearing Ida Shear Zone. Siberia also controls a continuous 75km long extent of this shear zone to the north and south of the Ida Gold Camp. All the necessary approvals for access and mining of the Ida Gold Project deposits have been granted.

-ENDS-

Released by: Jan Hope/Nicholas Read Jan Hope & Partners Telephone: (+61-8) 9388-1474

On behalf of: Monarch Resources Limited John Davis - Managing Director Telephone: (+61-8) 9481-6422 Web: www.mrl.net.au