ASX ANNOUNCEMENT 11 November 2008

Investment Data Issued Shares: 144,552,022

Quoted Shares: 86,960,356

Escrow Issued Shares 57,591,666 (Release from escrow in Dec 08)

Net Assets (30 June 2008) $33.6 million

Annual Net Profit (30 June 2008) $1.7 million

Market Capitalisation $32 million

Annual General Meeting Date 11th November 2008

About NQM North Queensland Metals is an Australian based and listed mining company with a focus on activities in far north Queensland. The company has a 60% interest, and is the manager of the Pajingo Gold Mine near Charters Towers. In addition to its gold operation, North Queensland Metals is pursuing a strategy of developing several mines in the Herberton area, west of Cairns, feeding ore to a central milling facility. The first of these is the Baal Gammon copper-indium project. North Queensland Metals’ tenements in far north Queensland cover the world class Pajingo epithermal gold system as well as the Herberton mineral field which includes hundreds of historic tin and base metal mines and is also prospective for tungsten and molybdenum.

ANNUAL GENERAL MEETING PRESENTATIONS

The following presentations will be given by the Chairman and Chief Executive Officer at the Company’s Annual General Meeting being held at 10am today.

John D McKinstry Dated 11 November 2008

Chief Executive Officer North Queensland Metals Limited

Fax: 07 3666 0510

Email info@nqm.com.au

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CHAIRMAN’S ADDRESS TO NQM ANNUAL GENERAL MEETING In these turbulent economic times, it is pleasing to report on the progress of your Company. North Queensland Metals was transformed into a gold producer when it purchased a 60% interest in the Pajingo gold mine near Charters Towers on 30 December 2007. The acquisition was made for extremely good value. The mine was re-opened within weeks on a long-term sustainable basis. As a result, in our first full year as a listed company, NQM posted an after tax profit of $1.7 million, and now has a revenue stream to fund us through to the point of project development of the Baal Gammon copper-silver-tin-indium mine that we plan to develop. I am sure that you will agree that this puts us in the enviable position among emerging resource companies of being debt free with a positive cash flow. Production at the Pajingo gold mine is being increased in line with the initial plan to produce 70,000 to 80,000 ounces of gold a year over a five-year mine life, at cash costs that provide for significant margins even at the reduced gold price of recent weeks. We have acquired extensive, highly prospective exploration tenements that take in the entire Pajingo epithermal system, and there are excellent prospects of being able to add sufficient resources to sustain a longer term operation at Pajingo. As mentioned in the Annual Report at 30 June 2008 NQM had not hedged any of its gold production, thereby taking full advantage of the rising gold price which, even in the recent fall-back, has remained at over $1000 in Australian dollars as the Australian dollar exchange rate has also weakened against the US. However, as insurance against significant deterioration in the gold price, the company has taken out Put Options extending to March 2009, but since 30 June 2008 NQM has arranged a line of credit and taken hedges above A$ 1150 per ounce to cover one-third of its share of production for the three month period December 2008 to February 2009. From this strong position, we have been able to move forward with the Herberton Project and the initial proposed mine development at Baal Gammon. Our strategy is to develop several mines in the Herberton area, beginning with Baal Gammon, to feed into a central processing facility. A significant event during the year was the acquisition of a large exploration tenement that allows for the extension of the proposed Baal Gammon mine immediately to the north. The tenement also hosts another five advanced base metal prospects. The feasibility study into the development of Baal Gammon was approved during the year. Detailed engineering, key plant procurement, marketing and project finance requirements continue to be progressed. Test work is being undertaken into processing options aimed at low costs and maximum metal recoveries.

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NQM also has many interesting tin prospects in the Herberton area which are currently being investigated. In summary, during the past 18 months since listing we have been able to consolidate strong ground positions in two of Queensland’s best mineral provinces as well as commence production. These are uncertain times and we are proceeding with both confidence and caution – confidence as a steadily increasing gold producer

confidence in the future of the Herberton project where we have

entrenched our dominant position and caution as we progress towards the development of the Baal

Gammon mine. Finally, I would like to thank my fellow Directors, all NQM staff and contractors and shareholders for their continued support. We have the strategies, assets and financial and management strength on which to build considerable value at North Queensland Metals. Neville Thomas Chairman – North Queensland Metals Limited

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PRESENTATION TO 2008 ANNUAL GENERAL MEETING

John McKinstry CEO F

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Disclaimer

• This information presentation is supplied on the following conditions, which are expressly accepted and agreed to by the recipient, as evidenced by the retention of this document. If these conditions are not acceptable to the recipient, all copies of the presentation are to be returned to NQM.

• Any estimates, calculations, statements and projections are

based on assumptions about future events and management actions that may not necessarily take place and are subject to significant uncertainties and contingencies, all of which are difficult to predict and many of which are beyond the control of NQM.

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North Queensland Metals 2006-2008

Core objectives remain unchanged

Pajingo gold mine • Manager and 60% owner • Extending mine life to six years • Exploration potential to extend further Herberton copper-tin-silver-indium • Proceeding with copper-tin mine development at Baal

Gammon • First step in strategy to develop Herberton mines to feed

central mill

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A familiar story – but fairing better than many

NQM

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Commodity view • In AUD expect gold spot price to remain high by

historical standards

• NQM has typically a conservative approach to any forms of hedging – not taking long term views.

• Call options at the right time offer cheap insurance against a severe price downturn

• Forward sales at high prices is an opportunity.

• Forward sales Dec-Feb at 1080oz per month for over $1150/oz

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Commodity view

• Copper price in USD has fallen dramatically, and is unlikely to make a rapid rebound as stockpiles grow

• Silver is solid in AUD and should remain so.

• Tin has fallen, but is still at good levels with little slowing on demand and decreasing stocks.

• Indium is largely unchanged in USD making it increasingly valuable in AUD

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Commodity view - Indium F

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Commodity view F

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PAJINGO Good fortune or good luck – who cares!!

Pajingo has funded NQM and put the company in a sound financial position It continues to improve from month to month in all respects Shows greater potential than when acquired

Zed/Sonia

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Sound Management

• Building a healthy safety culture

• Just under 2000 Hours LTI free to end of October

• Environmental issues under control

• Local community support

• Employee loyalty

Pajingo Mine Manager – Simon Jackson

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Tonnage production is where it should be

Monthly Mining Performance

-

5,000

10,000

15,000

20,000

25,000

30,000

35,000

Jan Feb Mar Apr May Jun Jul Aug Sept

Tonn

es

Mined Ore (t)

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On track to exceed 50,000oz in first 12 months

Cumulative Gold Production

0.005,000.00

10,000.00

15,000.0020,000.0025,000.0030,000.00

35,000.0040,000.00

Jan Feb Mar Apr May Jun Jul Aug Sept

Oun

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Saleable Au (oz)

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Pajingo - Cost of Sales versus Reveue

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200

400

600

800

1,000

1,200

Jan Feb Mar Apr May Jun Jul Aug Sept Oct

$/oz

Production cost

Price received

A healthy margin is being maintained F

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Exploration – new theories to test

Extension Direction

NE trending faults

NW trending faults

Sinistral movement

Formation of ‘Z’ structures

• Most zones of mineralisation are associated with coincident resistivity highs and zones of potassic alteration (hot colours)

• Resistivity data often displays a ‘Z’ shaped pattern e.g. Vera,

Vera South, Jandam • This structural pattern is thought to reflect the underlying

basin architecture of NW and NE trending faults • Zones of mineralisation reflect this underlying structural

fabric where an apparent sinistral movement results in a NE to SW extension direction

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Exploration – new theories to test

Extension Direction

NE trending faults

NW trending faults

Sinistral movement

Formation of ‘Z’ structures

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Exploration – new theories to test F

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On its way:

Lower mining costs from owner operator mining Improved performance from increasing knowledge Accelerated development toward new orebodies Improved recoveries from better plant management Putting exploration theories to the test

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HERBERTON PROJECT

100% equity in Baal Gammon and extensive exploration tenements Decision made to proceed with development of Baal Gammon project Proceeding with caution as drop in commodity prices has affected the economics and the economic crisis has a affected ability to raise capital. Scene right in NQ for amalgamation, and NQM is the dominant player in its region

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The Herberton Project strategy remains sound Objectives:

– Certainty of finance

– Strong downstream processing links

– Input on trading terms

– Be in production before market returns

– Take advantage of downturn to grow resource base

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Baal Gammon North • Situated approximately 1km NE of Baal

Gammon

• Site of previous small scale mining and exploration

• Considered by Newmont to have potential for small underground mine

• The drilling program consisted of six Reverse Circulation holes for a total of 600m.

• Successfully targeted extensions to known vein systems. New interpretations likely.

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• Three contained significant mineralisation - CNS02, CNS04 and CNS06.

• Best intercept was in CNS04, between 111m and 134m. Assays were 2.24 % Cu, 161 ppm In, and 75 ppm Ag.

• The above included 6m (between 118m and 124m) at 3.9 % Cu, 270 ppm In and 132 ppm Ag.

• Intercepts are down hole. True thicknesses will be reported when the mineralised zones are modelled.

• Details reported publicly in recent release

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Copper Firing lineCopper Firing line

AntiAnti--Socialist Socialist ((AuAu))

Brass Bottle Brass Bottle ((CuCu))

Peacemaker Peacemaker ((CuCu))

ArbouinArbouin ( (CuCu))

Middle Ridge Middle Ridge ((CuCu))

Consolation Consolation ((CuCu--InIn--AgAg))

Siberia Siberia ((CuCu--PbPb--ZnZn))

SulphideSulphide and Gold Targets and Gold Targets

MontalbionMontalbion--VictoriaVictoria((CuCu--InIn--AgAg))

Elizabeth Bluffs Elizabeth Bluffs ((AuAu))

Black Sparkle Black Sparkle ((AuAu))

ZigZig ZagZag ( (AuAu--WW--BiBi))

Tom Thumb Tom Thumb ((CuCu??))

AnzaacAnzaac--WowserWowser ( (CuCu--AgAg--ZnZn))

Orient Orient ((AgAg--ZnZn))

Isabel AgIsabel Ag--InIn--ZnZn--CuCu

CalaoCalao ( (PbPb--ZnZn))))

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Tin

• We like tin as a commodity and view it as maintaining a strong price

• NQM sits on some of the best tin exploration ground in Australia

• Priorities have been on other base metals • Have completed a geological report detailing

and prioritising all prospects • Now looking to get devoted exploration started

by talking to third parties

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Herberton HillHerberton Hill

St PatrickSt Patrick

PeacemakerPeacemaker

StannaryStannary Hills Hills

Vulcan TrendVulcan Trend

BoundaryBoundary--ElaineElaine

Big Big GossanGossan

The GiftThe Gift

SailorSailor

Hard Rock Tin TargetsHard Rock Tin Targets

ArbouinArbouin

GtGt. . SouthernSouthern

GG..NormanNorman//Jumna TrendJumna Trend

PompeiiPompeii

AdventureAdventure--Lady AgnesLady Agnes

Mt Mt OrmondeOrmonde

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Summary • We have an undiminished view of the potential

in North Queensland

• We like the commodities we are in

• A conservative approach to debt and over expansion has served the Company well

• NQM is in an enviable position with positive cashflow

• The Company is actively looking at opportunities for growth - especially under the current economic climate

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Top 10 Holders of ISSUED CAPITAL CLASSES (at 04 Nov 2008)

1 MR DONALD ROBIN WALKER 40,000,000 27.672 NEWMONT CAPITAL PTY LTD 15,135,135 10.473 DRILL INVESTMENTS PTY LTD 7,560,000 5.234 HEEMSKIRK CONSOLIDATED LTD 6,600,661 4.575 MR ROBIN SCRIMGEOUR 4,383,515 3.036 LINDWAY INVESTMENTS PTY LTD 3,593,895 2.497 MICHAEL D TILLEY + MARIE T TILLEY 3,296,275 2.288 DEVERAY PTY LTD 2,596,275 1.809 TRAPINE PTY LTD 2,596,275 1.8010 WHITEHAVEN INVESTMENTS PTY LTD 2,596,275 1.80

TOTAL 88,358,306 61.14 Your Company

Company contact details: Office: PO Box 291 Fortitude Valley 4006 Tel: 1300 308 832 Fax: 07 3666 0510 Email info@nqm.com.au Website www.nqm.com.au

• Issued Shares: 144,552,022

• Quoted Shares: 86,960,356

• Escrow Issued Shares 57,591,666

(Release from escrow in Dec 08) • Net Assets (30 June 2008)

$33.6 million • Full Year Profit (30 June 2008)

$1.7M • Market Capitalisation

$33 million

• Directors: – Bruce Kay (non-exec) – Neville Thomas (Chair/non-exec) – Michael Tilley (non-exec) – Don Walker (non-exec)

• Senior Management – John McKinstry – CEO – Kylie Anderson – Company Secretary – Alex MacDonald – General Manager Pajingo – Peter Brown – Project Manager Herberton

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The information in this report that relates to Baal Gammon Exploration Results is based on information compiled by Peter Brown, who is a Member of the Australian Institute of Geoscientists. He is a full time employee of North Queensland Metals Limited. Peter Brown has sufficient experience which is relevant to the style of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Peter Brown consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Competent Person Statement

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