• Optimisation Study confirms attracti ve base case project

• Annual ave rage payable metal production of 15, 0 00t Cu, 26, 0 00t Zn & 0.4 Moz Ag

• Increased Ore Reserve will provide a 10 year project life

• Pre – production capital of $202M

• Maximum cash down (initial + working capital) of $233 M

• Average annual free cash flow from operations (pre – tax) of $ 64 M per year

• Net cash flow (after capital, tax and royalties) of $270M

• C1 cash costs of $1. 30 /lb Cu (US$1.09/Ib Cu)

The Optimisation Study has incorporated the 2013 Feasibility Stud y to further de – risk and improve the Project returns , along with incorporating the overarching conditions of the recently released positive Ministerial Assessment issued by the Victorian Minister for Planning. The scope of the P roject encompasses concurrent development of the two underground deposits to feed a central 1.0Mtpa differential flotation concentrator that would produce an average of approximately 14 0,000tpa of copper and zinc concentrates over a project life of approximately ten years. The concentrate product s would be exported to customer smelters in the southern Asia region.

Independence Group NL Managing Director , Peter Bradford , said " The Stockman P roject represents a viable development project for the Company that has been significantly de – risk ed with the completion of the Optimisation Study and recent Ministerial Assessment approval. The operating skills and capital requirements sit comfortably within the capabilities of th e Company , which remains committed to advancing the Project to the next milestone gating decision . The Company will continue to advance the Project with the critical path being to secure a range of licenses from the Commonwealth and the various Victorian d ecision m aking a uthorities , which could take 12 – 18 months . "

Under the Victorian system the Ministerial conditions provide an overarching guide to the Decision Making Authorities ( " DMAs " ) , but are not binding. Therefore, the Company needs to advance securin g these licenses to further de – risk the Project before the IGO Board makes any project sanction decision. Although the full licensing process could take an estimated twelve to eighteen months, it is expected that the critical elements will be secured by Oc tober 2015. It would be at this milestone the Company would make a decision , in the context of the markets at that time, on whether or not to advance to engineering, procurement and construction activities.

On completion of the proposed work programme , the Project would be further de – risked, such that, subject to market conditions and IGO Board approval, engineering, procurement and construction activities could commence.

Further detail on the Stockman Project is contained in the background i nformatio n attached to this announcement.