Mr. John Shaw has been appointed as Chairman of the Discovery Metals Ltd.' Board, effective immediately. Mr. Shaw has been a director of Discovery Metals since 2006 and has more than 40 years' experience in exploration, development and operations of open cut and underground mines in Asia, Australia, Africa and Canada. Mr. Gordon Galt, previous Chairman of the company, and Mr. Morrice Cordiner, non-executive director of the company, have notified the Board of their resignations from the company, effective from the close of business on 20 May 2013. The company announced that Mr. Shaw will now fulfil the role of Chairman of Discovery Metals.

Discovery Metals Ltd. (ASX:DML) is in talks with various interested parties for the sale. Discovery Metals has commenced the calling of bids from interested parties and has signed confidentiality agreements with a number of parties and some of these parties have commenced their due diligence investigations. The process is expected to take approximately 4 weeks from May 20, 2013, with a closing date for receipt of binding proposals of no later than June 10, 2013. Cathay Fortune Corp. (CFC) has sent a proposal which is indicative, conditional and subject to a due diligence review. The price range proposed by CFC is AUD 0.35-AUD 0.40 per share. Discovery Metals has engaged Australia Branch of UBS AG (SWX:UBSN) and Credit Suisse (Australia) Limited as its financial advisors.

Discovery Metals Ltd. announced that the Supreme Court of Queensland has dismissed Sedgman Limited's application against the company regarding a claim that Discovery Metals makes a payment to Sedgman in the amount of $20,027,470.07. The Supreme Court agreed with Discovery Metals that Sedgman acted, among other things, outside the terms of the May 2010 Engineering Procurement & Construction FIDIC Contract (EPCC) in trying to bypass a very clear dispute resolution and arbitration process set out in the EPCC. Discovery Metals looks forward to resolving remaining issues relating to the performance of Sedgman in accordance with the terms of the EPCC. Discovery Metals intends to exercise its rights with respect to the recovery of costs associated with the Supreme Court matter.