GERMAN RESOURCE AG: STRONG EARNINGS GROWTH AND RECORD 2011

GERMAN RESOURCE AG: STRONG EARNINGS GROWTH AND RECORD 2011

27.06.2012 Heidelberg – The German commodity group is 2011, in the sixth year of existence, very strong growth and has achieved a record result. With sales of EUR 15,2 My. the consolidated net profit after minority interests amounted to EUR 10,85 My. A significant influence on the result was beside the profit from the gold production in Australia and the partial sale of Rhein Petroleum GmbH, the EUR 8,1 My. contributed to the success. The German commodity scored as the parent company 2011 with revenues of EUR 378.000 a net profit of EUR 8,7 My.

The Group's equity increased to 31.12.2011 to EUR 31,0 My. (+247%), The balance sheet total of EUR 40,1 My. (+127%) The long-term liabilities amounted to EUR 4,5 Mine, The equity ratio was 77,5% (Previous year 71%). Cash and cash equivalents and marketable securities amounted to EUR 9,8 My. (Previous year EUR 4,9 Mine).

The consolidated financial statements of the German commodity group, including group management report and financial statements of the German AG are now commodities, as well as the Annual Report on the homepage of the company available. Currently, a German version available. An English version will follow shortly.

The following overview summarizes the current status of the individual business sectors and projects:

Gold
German raw materials Australia Pty Ltd., Georgetown Goldmine
(Participation rate 100%)

After completion of the production of oxide ores in Georgetown in December 2011 had decided the DRAG, not immediately begin the transition to the sulfide production, but to negotiate with interested parties to sell. With these prospects in early June, a period of exclusivity for the accurate assessment of the project (Due Diligence) agreed, up later than mid-August is. The prospective buyer has for a non-refundable premium of AUD 250.000 (EUR 200.000) paid.

Oil and Gas
Rhein Petroleum GmbH (25%)

The Rhein Petroleum GmbH in May was their extensive seismic surveys in southern Germany to successfully complete. In total, data from an area around 670 collected km2. Currently there is a detailed analysis and interpretation of data. The company plans, to design a drilling program on this basis and if possible to start this year.

Oil and Gas
Tekton Energy LLC (63%)

Tekton Energy has a total of nine wells in the project area in the Wattenberg field in Colorado, USA, drilled. All wells were successful. Since early April, the production runs from the first three holes, since the end of May from three other wells. In early July should be connected, the remaining three holes. Then the company will also report on the first month of production since the end of May producing wells. Currently, management of preparing a 3D seismic survey, to be held in July. It is part of the preparatory work for several horizontal wells, are planned for autumn. 60% the production of the first nine holes against a decline in oil prices of WTI (Western Texas Intermediate) under 90 USD has been secured.

Tungsten, Molybdenum
Wolfram Camp Mining Pty Ltd und Bamford Hill (I 100%)

The tungsten mine delivered in February of the first container of WO3 concentrate on the customers Global Tungsten. WCM began in mid-May with the regular supply of concentrates on 14-day basis. Previously, there was intense from February to April optimization work on the treatment plant. They aimed in part to the increase of the daily throughput, Secondly, they were also required, because it has determined in the concentrates increasingly higher levels of arsenic, the specification of the customer exceeded the permissible. In the second half of April, therefore, a number of process steps, converted and installed several new pieces of equipment. Since early May, the daily throughput is increased significantly and the arsenic levels are reduced as far, that the concentrates could be sold.

The commencement of commercial production is for the 1. July is planned. In the second week of July is held the official opening of the mine. Over the next few weeks will begin the planned exploration program at Wolfram Camp Hill and Bamford. Will be for the Bamford Hill deposit for the first time created a resource estimate for the Australian JORC standard, among other things.

Zinn
Tin International Ltd. (61%)

Tin International, the operating subsidiary Sachsenzinn GmbH has successfully drilling program in April on the two license areas in Geyer and mountain of God completed. The core samples are partly still in the laboratory for analysis, Work on the new resource estimate has nevertheless begun. In the coming weeks, these resources will report to the Australian JORC standard for Geyer and mountain of God awaits. The preparation of the planned for September / October IPO of the International TIN on the Australian ASX has also been started and is on schedule.

Rare earth
Rare earth Storkwitz AG (61%)

Currently running on the license area of ​​the company near Delitzsch in Saxony confirmatory drilling. It serves, similar to the International Tin, the transfer of the historical resource estimate in the modern, internationally accepted JORC standard. It should continue to a depth of 700 m to confirm the GDR as defined ore body and bring some new information on the situation of the body. In addition to this drilling, the Company has a number of technology partnerships with universities and companies agreed, which aim, to develop new methods for processing and separation of rare earths.

Zinc-lead
Devonian Metals Inc. (47%)

Devonian Metals in mid June, a new resource report to the Canadian standard NI 43-101 submitted. He relates the holes, during the past two years on the license areas of the company near Wrigley / North-West Territories, Canada, were taken, with a. The total resource could be almost doubled from the previous estimate and now amounts to 9,5 My. Tonnes, with around 6% Zinc and lead and 12 Grams of silver per ton with a standard open pit mining of the border 1% (combined lead and zinc). Currently already running another, Glencore financed by the partner with geochemical exploration program, geophysics and metallurgical investigations.

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The German commodity group has begun, to streamline its portfolio and partially realign. The Board pursued for 2012 and 2013 the goal, profitable to produce oil and tungsten, individual companies or. Investments to sell all or part of, one or two IPOs successfully completed. As a result, a larger cash position will be established, order with respect to

Acquisitions, but also the uncertain macroeconomic environment to be able to act at all times.

2012 The Board expects to turn a profit contribution from product- as well as the sale of investments. In the best case, could both components of the result of 2011 lie. The current global economic situation and the very uncertain market outlook, however, difficult to forecast.

For 2013 , the Executive Board in a stable economic development in the Group expects sales and earnings, well above the 2011 is, both operationally and from sales of investments. For 2013 The Board also plans to, The first Annual General Meeting that a dividend (for the year 2012) propose.

Heidelberg, 26. June 2012

About the German commodity AG

The Entry Standard listed German AG to build a new commodity to commodity producers. Focus on gold, Beer & Gas and so-called high-tech metals such as tungsten, Tin and rare earths. All projects are located in politically stable countries with a focus on Germany. The business model is based on the (Re-) Development of deposits, have been well explored in the past. The first production began in January 2011. For more information on German visit www.rohstoff.de.

The Annual Report 2011 Deutsche Rohstoff

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