HIGHLIGHTS THIS QUARTER

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1 Tel: 61 (8) Fax: 61 (8) ASX ANNOUNCEMENT/MEDIA RELEASE BrazIron, Ltd Suite 5, Level 3 38 Richardson Street WEST PERTH WA 6005 ASX: BZL 22 April 2014 BRAZIRON QUARTERLY ACTIVITIES REPORT FOR THE PERIOD ENDING 31 MARCH 2014 HIGHLIGHTS THIS QUARTER Progress being made on the granting of the Mining License application over the Company s flagship Urubu Deposit. Continued Business Development discussions on potential new base metals, iron ore and steel projects in Brazil, China, Africa and Australia. Strong cash balance of $5.11 million and no debt. Corporate cost reductions result in cash burn during the quarter of only $240,000. Participation in a rehabilitation and educational program in the town of Xique-Xique, the community central to the Urubu Deposit, via donation of equipment and trees.

2 Company Overview BrazIron Limited ( BrazIron or the Company ) is an exempted company incorporated in Bermuda. It was established with the objective of pursuing Brazilian mineral exploration opportunities and potential mining of iron ore. Through its Brazilian subsidiaries Octa Ferro S.A. and BR Ferro Mineracao S.A., BrazIron holds interests in several mineral licenses covering 652km² of land prospective for iron, located in the States of Para and Bahia in Brazil. The Company s flagship project is the Xique Xique Project located in Bahia (Figure 1). Exploration and resource definition drilling commenced in 2008 and continued intermittently, due to various permitting requirements, until the September quarter of 2013 when a JORC reportable Inferred Mineral Resource of 25.3% Fe was estimated. Figure 1: Location Map

3 Exploration Program Results Xique Xique Project 100% BrazIron JORC Reportable Mineral Resource - Urubu Prospect At the Urubu Prospect (Figure 2) two parallel itabirite ridges extending over a distance of 4,300 metres have been the subject of recent resource definition drilling by the Company. A NE-SW orientated fault essentially splits the itabirite into two bodies; a larger northern section extending over 3,200 metres of strike, and a smaller southern section extending over 1,100m of strike. A diamond drilling program commenced in February 2012 and continued to August 2012 before being temporarily suspended in order to allow additional environmental permits to be obtained. These additional environmental permits have now been granted. RC Drilling commenced in late May 2013 and was completed on 28 June Thirteen (13) Reverse Circulation (RC) holes were completed for a total of 1,199m. The drilling program was carried out efficiently with no major issues. The program achieved excellent sample recovery with all QA/QC procedures carried out to industry standard. As a result, in the September quarter of 2013 a combined Inferred Mineral Resource for the southern and northern areas of the Urubu Prospect of 25.3% Fe was estimated (Table 1). Table 1: Inferred Mineral Resource Estimate Urubu Deposit Tonnes Fe SiO 2 Al 2 O 3 P LOI Mt % % % % % Southern Section Northern Section Total *Lower Cut Off Grade of 15% Fe applied The Company is awaiting approval of final reports previously to the Department of National Mineral Production (DNPM), which provides for the extension of several mineral licences at Xique Xique. Subsequent to submission, additional information was requested by the DNPM to compliment the final report after which this additional information was efficiently to the DNPM for review. An allowance of time must now be made for this information to be reviewed. All additional information added strength to the application for renewal and highlighted BrazIron s commitment to further developing the prospects contained within the Xique Xique licenses.

4 The licensing and permitting process for exploration and mining within Brazil is complex and often lengthy, therefore continual correspondence with the DNPM is working to ensure that the approval of the final report for the Urubu tenement is processed as quickly as possible. The Company continues to follow all protocols and lodge legal filing requirements to effectuate approval of the final report. DNPM protocol is to grant the Mining Licence within 12 months post approval of the final report. Figure 2: Drill Plan JORC Reportable Inferred Mineral Resource of 317.7Mt at 25.8% Fe in the Northern Section JORC Reportable Inferred Mineral Resource of 24.1% Fe for the southern section

5 Areião and Morro Alto No field work was conducted during the quarter. Xingu Project 100% BrazIron The Company has been awaiting approval of final reports previously to the Department of National Mineral Production (DNPM), which provides for the extension of several mineral licenses at Xingu. The Board believes that all protocols and legal filing requirements have been sufficiently met by BrazIron. Subsequent to the end of the quarter, the DNPM informed the Company that it had denied the extension of some tenements of BrazIron s Xingu prospect located in Para State. Xingu has been a dormant project inside the Company s portfolio for approximately three years as we have been awaiting formal guidance from the DNPM after the submission of several required reports previously filed. The tenements that were denied extensions were the following: / / /2004 It is the intention of the Company to appeal the decision and re-apply for reconsideration to approve, as additional data can be presented on these particular tenements. In accordance with DNPM parameters, the Company has sixty (60) days to complete an application for reconsideration. Macaúbas Project 100% BrazIron No field work was conducted during the quarter. Rehabilitation During the quarter BrazIron was able to participate in a local environmental council rehabilitation program. By donating a number of trees and the use of vehicles to the local school in Xique Xique (the town central to the Urubu Deposit), BrazIron was a fundamental participant in the Green Areas program. With the local school children working under the guidance of the Xique Xique environmental council, the program has seen hundreds of trees planted throughout the town centre. Corporate Activities During the quarter BrazIron released its 2013 Annual Report to shareholders with no material issues noted by our auditors. As of March 31, 2014, BrazIron had a cash balance of $5.11 million and no debt.

6 Business Development The Board of Directors and the Executive team are continuing to actively look for new projects and acquisitions whilst moving forward with current projects. Many projects have been reviewed and the Company will continue to seek new opportunities that will add shareholder value, as a matter of upmost importance. ASX Announcements Made During the Quarter Date Title 31/03/2014 Annual Report to Shareholders 10/02/2014 Schedule of Tenements 31/01/2014 Quarterly Activities Report 31/01/2014 Quarterly Cashflow Report Activities for Next Quarter During the next quarter, Management will continue to focus on completing all report submissions for approval from the DNPM and will thereafter commence with the application for mining approval of the flagship Xique Xique Project.

7 Tenements Held by the Company at the End of the Quarter Xique Xique Project Tenement Schedule y Licence No. Registered Holder Equity (%) Issue Date Expiry Date /2005 BR Ferro Mineração S.A. 100% 13/06/2008 Final report 1, /6/ /2005 BR Ferro Mineração S.A. 100% 13/06/2008 Final report 2, /6/ /2005 BR Ferro Mineração S.A. 100% 13/06/2008 Final report 2, /6/ /2012 BR Ferro Mineração S.A. 100% 03/12/ /10/2016 1, /2012 BR Ferro Mineração S.A. 100% 06/01/ /11/ /2011 BR Ferro Mineração S.A. 100% 5/10/2011 6/08/2014 1, /2011 BR Ferro Mineração S.A. 100% 5/10/2011 6/08/2014 1, /2011 BR Ferro Mineração S.A. 100% 5/10/2011 6/08/ /2011 BR Ferro Mineração S.A. 100% 5/10/2011 6/08/2014 1, /2012 BR Ferro Mineração S.A. 100% 03/12/013 01/10/2016 1, /2012 BR Ferro Mineração S.A. 100% 06/01/ /11/ /2012 BR Ferro Mineração S.A. 100% Application 1, /2012 BR Ferro Mineração S.A. 100% Application 1, /2012 BR Ferro Mineração S.A. 100% 18/02/ /12/2016 1, /2012 BR Ferro Mineração S.A. 100% 18/02/ /12/2016 1, /2012 BR Ferro Mineração S.A. 100% Application 1, Total 24, Area (ha) Licence No. Registered Holder Macaúbas Project Tenement Schedule Equity (%) Issue Date Expiry Date /2012 BR Ferro Mineração S.A. 100% Application /2012 BR Ferro Mineração S.A. 100% Application 1, /2005 BR Ferro Mineração S.A. 100% 12/11/2008 Final report 9/11/2011 1, /2012 BR Ferro Mineração S.A. 100% Application /2013 BR Ferro Mineração S.A. 100% 24/11/ /11/ Total 3, Area (ha)

8 Licence No. Registered Holder Xingu Project Tenement Schedule Equity (%) Issue Date /2004 Octa Ferro SA 100% 23/06/ /2004 Octa Ferro SA 100% 23/06/2005 Expiry Date Preliminary report 24/04/2008 Preliminary report 24/04/2008 Area (ha) 6, , /2004 Octa Ferro SA 100% 23/06/2005 Preliminary report 24/04/2008 9, /2007 Octa Ferro SA 100% Application 9, /2007 Octa Ferro SA 100% 02/04/2009 Preliminary report 26/01/2012 3, /2008 Octa Ferro SA 100% 21/11/ /09/ /2008 Octa Ferro SA 100% 21/11/ /09/ /2011 Octa Ferro SA 100% Application /2011 Octa Ferro SA 100% Application Total 35, ENDS---- For enquiries in connection with this release, please contact: BrazIron Limited: +61 (0) Telephone +61 (0) Facsimile COMPETENT PERSONS STATEMENT The information in this release which relates to Exploration Results and Mineral Resources is based on information compiled by Mr Dmitry Pertel and Mr Robert Annett, who are Members of the Australian Institute of Geosciences ( AIG ). Mr Pertel is employed by CSA Global Pty Ltd and Mr Annett is a geological consultant. Mr Pertel and Mr Annett have over 20 years of exploration and mining experience in a variety of mineral deposit styles, and have sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which they are 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. Mr Pertel and Mr Annett consent to the inclusion in this release of the matters based on their information in the form and context in which it appears.