Australia’s Class Leading Nickel Producer

Western Areas NLJune Corporate Presentation20 June 2012

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This presentation is being furnished to you solely for your information and for your use and may not be copied, reproduced or redistributed to any other person in any manner. You agree to keep the contents of this presentation and these materials confidential. The information contained in this presentation does not constitute or form any part of any offer or invitation to purchase any securities and neither the issue of the information nor anything contained herein shall form the basis of, or be relied upon in connection with, any contract or commitment on the part of any person to proceed with any transaction.

You must not take or transmit this presentation or a copy of this presentation into the United States or Japan or distribute it, directly or indirectly, in the United States or Japan or to any US persons. By your acceptance of this document, you acknowledge that you are a not a “U.S. person” for the purposes of the US Securities Act. Neither this document, in whole or in part, nor any copy thereof may be taken or transmitted to any other person. The distribution of this document to other persons or in other jurisdictions may be restricted by law, and persons into whose possession this document comes should inform themselves about, and observe, any such restrictions. Any failure to comply with these restrictions may constitute a violation of the federal securities laws of the United States and the laws of other jurisdictions. The distribution of this presentation in other jurisdictions may be restricted by law, and persons into whose possession this presentation comes should inform themselves about, and observe, any such restrictions.

The information contained in this presentation has been prepared by Western Areas NL. No representation or warranty, express or implied, is or will be made in or in relation to, and no responsibility or liability is or will be accepted by Western Areas NL, employees or representatives as to the accuracy or completeness of this information or any other written or oral information made available to any interested party or its advisers and any liability therefore is hereby expressly disclaimed. No party has any obligation to notify opinion changes or if it becomes aware of any inaccuracy in or omission from this presentation. All opinions and projections expressed in this presentation are given as of this date and are subject to change without notice.

This document contains forward-looking statements. These statements are subject to certain risks and uncertainties that could cause the performance or achievements of Western Areas NL to differ materially from the information set forth herein, although such information reflects forecasts and projections prepared in good faith based upon methods and data that are believed to be reasonable and accurate as at the dates thereof and although all reasonable care has been taken to ensure that the facts stated herein are accurate and that the forward-looking statements, opinions and expectations contained herein are based on fair and reasonable assumptions. Western Areas NL undertakes no obligation to revise these forward-looking statements to reflect subsequent events or circumstances. Individuals should not place undue reliance on forward-looking statements and are advised to make their own independent analysis and determination with respect to the forecasted periods, which reflect Western Areas NL’s view only as of the date hereof.

The information within this PowerPoint presentation was compiled by Mr. Dan Lougher and Mr. David Southam and the information as it relates to mineral resources and reserves was prepared by Mr. Dan Lougher and Mr. John Haywood. Mr. Southam, Mr. Lougher and Mr. Haywood are full time employees of Western Areas. Mr. Lougher and Mr. Haywood are members of AusIMM 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 Competent Persons as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr. Southam, Mr. Lougher and Mr. Haywood consent to the inclusion in this presentation of the matters based on the information in the form and context in which it appears.

For Purposes of Clause 3.4 (e) in Canadian instrument 43-101, the Company warrants that Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.

THIS PRESENTATION IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE U.S.

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Disclaimer and Forward Looking Statements

3

Overview

Operations

Exploration & Growth

People

Nickel Industry

Q&A

“Western Areas has an enviable track record of exploring, finding, developing and producing highly profitable mines..”

Explore Develop

ProduceSales

Agenda

Western Areas is:

A proven explorer, developer and operator led by an experienced management team

An S&P ASX 200 index member

Market cap ~ $800 million at current prices

Profitable, even at current nickel prices

A dividend payer, with a strong balance sheet

Australia’s third largest producer of nickel at 30,000 tonnes of nickel mined and 25,000 tonnes of nickel in concentrate produced

#1 = BHP-B Nickel West and #2 = Glencore (Murrin Murrin)

Australia’s lowest cash cost and therefore highest margin producer of nickel

Employer of approx 500 staff, either directly or through contractors

Into its sixth consecutive year of production, eight consecutive quarter with no downside surprises

First production 26 October 2006

Committed to stable incremental growth from the current solid platform

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Western Areas Overview

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Western Areas Overview – The Business

Production Assets

Flying Fox•1st nickel mine•15,000 Ni tonnes

per annum

Spotted Quoll•2nd nickel mine•10,000 Ni tonnes

per annum

Cosmic Boy•Nickel concentrator

– treats ore from both mines

Exploration & Growth

Forrestania & WA Regional

Canadian Assets

Finland

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%1 T Streeter 14.362 Colonial Group 6.283 M & A Greenwell 5.464 Northward Capital 3.835 Giovanni Santalucia 3.456 Ausbil Dexia 2.917 UBS Asset Management 2.908 Platypus Asset Management 2.099 Goldman Sachs Asset Management 1.86

10 Vanguard Group 1.8311 Independent Asset Management 1.8012 Mt Kellet 1.7013 State Street Corporation 1.6914 Ely Griffiths Group 1.6415 Antares Capital Partners 1.58

TOTAL 53.38

Top 15 ShareholdersListings: ASX & TSX Member of S&P ASX 200

Shares on Issue: 179.7M

Options:(varying strike prices >$7.00)

2.0M

Share Price: ~ A$4.50 (June 2012)

Market Cap:(undiluted)

A$808 million

Cash & Receivables: A$184M at 31 March 2012

Overview – Corporate Summary

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WSA 23 Month Share Price

Closing Share Price

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Commodity Share Price Performance

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BASE METALS SECTOR OUTLOOK

Base Metal Recovery in the Horizon

Relative Share Price PerformanceLast 2 Years

Source Capital IQ, IRESS

May-120

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35%

(11%)

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Copper Index Nickel Index Diversified Index Zinc Index Gold Index WSA

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Operations

WSA operations

WSA concentrate exports

WSA concentrate to BHP Billiton

Location

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Summary

Continuous high grade Nickel to 1300m. Open at depth

Ore grades increase at depth from 3.9% to 6.2% Nickel

Announced intersection T7: 34.7m @ 8.9% Nickel

Production

FY2011 – 347,648t @ 4.7% nickel for 16kt nickel

Low cash cost operation <US$3/lb

FY2012 – Production around 17kt nickel in ore

Purchase of Kagara Nickel Assets

Combined Total High Grade Resource now stands at around 115,000t of Nickel

Major drilling program to commence at Lounge Lizard for next 6 months

T5/ T6 & T7 down dip extensions cross into Lounge Lizard and remain open at depth

Flying Fox now approaching a 10 year mine life

Purchase includes 300sqkm of tenements adjacent to Forrestania operations

Flying Fox Mine

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Summary

Ore Reserve – 3.095mt @ 4.20% nickel containing 131,360t nickel

Ore reserve was upgraded in June 2012 by 94% with an exceptional 88% conversion ratio

Remains open at depth

Drilling is ongoing which will result in conversion of inferred resource to indicated to reserve

Already over a 10 year mine life

Production

Stage 1 underground first ore delivered ahead of schedule

10,000tpa nickel on stage 1

Mine optimisation study well advanced for potential increased in production

Mill study to be completed

Spotted Quoll Mine

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Concentrate Supply

Reliable nickel sulphide concentrate supply dwindling

Quality nickel sulphide is difficult to find

Global nickel grades in decline

Tightness in smelter supply to be experienced from 2013

Laterites & Nickel Pig Iron (swing producer) do not fill the void

Offtake Contracts

Long term offtake to BHP – 10ktpa lifting to 12ktpa nickel

New Jinchuan contract signed:o 12 month contract extensiono Improved commercial termso Significant uncommitted offtake beyond 2013

WSA in a unique position being an independent producer

Ability to complete spot/ opportunistic sales

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NOTE: The graph FORRESTANIA – OFFTAKE CONTRACTS is based on Western Areas’ 10 Year Production Targets. These Targets include estimates and assumptions on production rates of existing ore reserves, conversion of existing mineral resources to ore resources and assumptions on potential extensions to existing mineral resources, based on current information. These Production Targets may vary due to future drilling results, nickel prices, costs and market conditions. Refer to Disclaimer and Forward Looking Statement in Presentation

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2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

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Global Smelter Demand vs Global Concentrate Supply

Nickel in Concentrate Supply Smelter Demand

Concentrate Supply & Offtake Contracts

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Concentrator Summary

Current capacity of 550,000tpa of ore

Nickel concentrate output >25,000tpa Ni

Expansion configured for upgrade to 1mtpa of ore

Concentrate grades of around 14.0% Ni

14,000t of concentrate storage capacity ($43M value)

Export Infrastructure and Logistics Access to >1400 sealed shipping containers

Using 25 trucks for concentrate transportation

Shipping contract in place, FOB Esperance Port

Concentrator Expansion

Built to be expandable

Some items of infrastructure (crusher) already capable of 1mtpa

Second mill already on site

Preliminary high grade expansion study completed

Forrestania Nickel Concentrator

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Exploration & Growth

Short Term < 12 Months

Medium Term 2-5 years

Long Term >5 years

Spotted Quoll > 10 years

Flying Fox > 10 years – drilling in progress

New Morning drilling

Mill Expansion feasibility

Cash costs <US$2.50/lb

Strong cashflow

Dividends

New offtake contract – 15ktpa

List FinnAust Mining 1/2

Spotted Quoll & Flying Fox – 30ktpa

3rd mine from Forrestania (New Morning)

Mill expanded 750 ktpa

First quartile cash costs

Sandstone resource

FinnAust in feasibility

Dividends

Mustang prod – 5ktpa

Forrestania discovery

Base Case production 35-40ktpa , plus new mines

Regional asset producing

FinnAust producing

Base Metals exposure

Dividends

Continued exploration upside

Independent producer

Growth Potential

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JkjjljljlkjKawana JV

80%

Bullfinch North JV

70%

Sandstone JV 70%

Lake King JV 70%

East Bull Lake JV

65% Cosmic

Boy Resource

Mt Alexander

JV 25%

New Morning

Mt Jewel 25%

Mt Gibb JV 70%

Hatters Hill

MakwaCanada

DiggersSouth

Spotted Quoll

Underground Upgrade

Cosmic Boy Mill

Expansion

SpottedQuoll

Flying Fox

Cosmic Boy Mill

= International = WA Regional = Forrestania

Koolyanobbing

Finland -Copper

BioheapSouthern

Cross Goldfields -

Other

Finland -VMS

Finland –Black Schist

The Portfolio

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Exploration Budget of A$30M for FY12, majority to be spent on drilling at Forrestania

100km strike length of prospective Forrestania Nickel Project, within 500km long nickel province

Drilling Priority within 8km long zone (below). New discovery would access existing mine infrastructure

Short Term – Near Mine Exploration

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Sandstone JV (70%)

Targeting a major new nickel camp with potential for multiple mines

One of largest areas of untested nickel prospective ground in Western Australia

Major step up in drilling and geophysical program during 2011/12

Southern Cross JV (70%)

WSA has 70% of nickel rights

Initial testing around Trough Well (Bullfinch North) where there is known mineralisation

Geophysical testing (MLEM) has detected anomalies at Trough Well and in adjacent areas.

Drill testing has commenced with continued drilling and geophysical programs for 2012

Assessment of other parts of JV tenure (approx 3000km2) underway

Western Australia – Regional Exploration

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WSA owns 19.9% of Mustang Minerals - a Canadian listed nickel and PGM company

WSA has two of 5 board seats, plus provides technical assistance Makwa Nickel/Copper mine in Manitoba – feasibility in progress targeting 5ktpa Ni in concentrate Potentially significant Palladium & Platinum discovery near Mayville Copper/Nickel deposit in Manitoba

WSA is earning a 65% interest from Mustang at East Bull Lake

80km west of Sudbury Highly anomalous Nickel/Copper and Platinum/Palladium in Gabbro intrusion Drill program to commence in 2012

Mayville drill core: 74.7m @ 0.75% Cu & 0.24% NiEast Bull Lake VTEM targeting

Canada – Mustang Minerals

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79% WSA, planned to list on AIM in 2012

300km long base metal province in Finland

Numerous nickel/copper/zinc mines & occurrences

12 major project areas, many drilling targets

Geophysics proving very effective in defining targets

Significant results from historic and FinnAust drilling

First mineral resource defined at Rautavaara

Major ramp up of drilling has commenced

Talvivaara type sulphide mineralisation – widespread through northern region

Finland – FinnAust Mining PLC Projects

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21

People

Left to right: Joseph Belladonna (Company Secretary), Dan Lougher (Managing Director), David Southam (Exec Director – Finance), Julian Hanna (Non-Exec Director), Rick Yeates (Non-Exec Director), Terry Streeter (Non-Exec Chairman), Robin Dunbar (Non-Exec Director) & Ian Macliver (Non-Exec Director)

Proven Depth & Experience

Terry Streeter and Julian Hanna founders of Western Areas

Extensive experience in nickel exploration, mining and processing

Global expertise in project sourcing, exploration and mine development

Strong banking, financial, M&A and corporate governance backgrounds

Involvement with other successful nickel companies (Jubilee Mines)

Solid understanding of Chinese markets, project financing and offtakes

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Board of Directors

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Nickel Industry

65% of primary nickel produced used for Stainless Steel

Stainless market dynamics a good proxy for nickel market

Demand growth in Stainless Steel / Nickel mostly driven by China

China still down the curve on stainless steel use per capita, moving to be a net exporter of stainless through finished goods

General growth outlook higher in China

Outlook

Market bottom likely reached – current price uneconomic for many, insufficient to bring on supply

Limited supply of good quality sulphide concentrate for smelters

Nickel Pig Iron constrained due to margin compression

Huge Laterite projects serially underperformers

Indonesian ore export ban and tax increase to bite

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Nickel Market Overview

“The current nickel market appears to be ignoring the

impending impact of Indonesian legislation… As such, the

combination of a tighter market in quarter four through the

implementation of ore export restrictions, plus an increase in

production costs for those remaining NPI producers due to impact of the 20% ore export tax is likely to support nickel prices,

with levels expected to move back above $US20,000/t during

the quarter.

“We therefore favour bullish positions in nickel on a 3-6

month forward basis and in a quarter-four context.”

Citigroup Analysts, 31 May 2012

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Stainless Steel ConsumptionG.R.: + 6.1% p.a.

Post-War Reconstruction Crisis Years Stainless Steel-Boom:

Asia - Europe - USAStainless Steel-Boom:

China

2008 - 2010World-Financial

Crises

© Heinz H. Pariser Alloy Metals & Steel Market Research

Global Stainless Consumption & Usage

© Heinz H. Pariser, Alloy Metals & Steel Market Research

Total Meltshop Feed

External Stainless Scrap

Internal Scrap

Primary Metals

Crude Stainless SteelShipments of

Finished Products

Production Recipe for 304 Stainless – 18% Cr, 8% Ni

(Basis 1,000 t)

540 kg External Stainless Scrap 150 kg

37 kg Primary Nickel 68 kg149 kg Charge & HC Ferrochrome 264 kg

ChinaEurope

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Stainless Steel feedstock

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Stainless Steel Net Exports of Fabricated & Stainless Containing Goods

Stainless Steel Containing & Fabricated Goods

Chinese finished goods exports rising

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China’s future?

2. Low Grade disseminated sulphide

Mature nickel camps contribute ~45% global production

NO MAJOR NEW DISCOVERIES

1. Conventional Nickel Sulphide

4. Chinese Nickel Pig Iron

Chinese nickel pig iron, 15% global production. Announced cut backs

ENERGY INTENSIVE, HIGH COST

3. Nickel Laterite

Laterite & Ferro Nickel contribute >40% global production

HIGH CAPEX, HIGH ENERGY COST

Increasing reliance on low grade and low quality nickel sulphide production.

HIGH CAPEX, MODERATE ENERGY

Increasing energy intensity and production cost

Increasing energy intensity and production cost

Energy Intensity

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Financial Appendices

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Highlights

Record quarter of concentrate sales of 8,154t vs 1st half of 11,595t:

Improved shipping logistics

2nd Jinchuan offtake contract commenced

Cash costs remain the lowest in class at A$2.48/lb

Cash & receivables increased by A$30m, excluding the purchase of Lounge Lizard

7th quarterly delivered without one downside operational surprise

New Spotted Quoll underground (SQUG) operation ahead of schedule and delivering as planned

Expansion of mill from 550ktpa to 750ktpa and SQUG well advanced

Intensive six month drilling program at the recently acquired Lounge Lizard deposit commenced

FYTD

Tonnes Mined Jun Qtr Sep Qtr Dec Qtr Mar Qtr Total

Flying FoxOre Tonnes Mined Tn's 88,873 95,647 100,647 81,143 277,437 Grade Ni % 4.8% 4.5% 4.9% 5.3% 4.9%Ni Tonnes Mined Tn's 4,236 4,258 4,920 4,278 13,456

Spotted Quoll - Tim King PitOre Tonnes Mined Tn's 69,133 59,955 71,406 57,204 188,565 Grade Ni % 6.3% 5.7% 4.8% 4.0% 4.8%Ni Tonnes Mined Tn's 4,325 3,400 3,455 2,280 9,135

Spotted Quoll - UndergroundOre Tonnes Mined Tn's - - 5,996 23,261 29,257 Grade Ni % 0.0% 0.0% 3.3% 4.5% 4.2%Ni Tonnes Mined Tn's - - 197 1,044 1,241

Total - Ore Tonnes Mined Tn's 158,006 155,602 178,049 161,608 495,259 Grade Ni % 5.4% 4.9% 4.8% 4.7% 4.8%Total Ni Tonnes Mined Tn's 8,561 7,658 8,572 7,602 23,832

Tonnes Milled and Sold Jun Qtr Sep Qtr Dec Qtr Mar Qtr Total

Ore Processed Tns 138,513 134,412 138,360 131,748 404,520 Grade % 5.3% 5.1% 5.2% 5.1% 5.1%Ave. Recovery % 93% 93% 92% 93% 93%Ni Tonnes in Concentrate Tns 6,783 6,413 6,632 6,266 19,311

Ni Tonnes in Concentrate Sold Tns 6,497 4,751 6,487 8,154 19,392 Ni Tonnes in Ore Sold Tns 830 357 - - 357 Total Nickel Sold Tns 7,327 5,108 6,487 8,154 19,749

Stockpiles Sep Qtr Dec Qtr Mar Qtr

Ore Tns 97,334 109,969 146,109 175,971 Grade % 5.1% 4.8% 4.5% 4.2%

Concentrate Tns 8,653 19,903 19,375 11,346 Grade % 14.1% 14.3% 14.1% 14.3%

Contained Ni in Stockpiles Tns 6,169 8,132 9,300 8,934

Financial Statistics Jun Qtr Sep Qtr Dec Qtr Mar Qtr Total

Group Production Cost/lbMining Cost (*) A$/lb 1.72 1.60 1.54 1.86 1.66 Haulage A$/lb 0.08 0.09 0.09 0.09 0.09 Milling A$/lb 0.39 0.35 0.35 0.37 0.36 Admin A$/lb 0.14 0.18 0.19 0.19 0.18 By Product Credits A$/lb (0.02) (0.02) (0.02) (0.03) (0.02)

Cash Cost Ni in Con (***) A$/lb 2.31 2.20 2.15 2.48 2.27

Cash Cost Ni in Con/lb (***) US$/lb (**) 2.45 2.29 2.18 2.62 2.36

Exchange Rate US$ / A$ 1.06 1.05 1.01 1.06 1.04

2010/2011 2011/2012

March 2012 Quarterly

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1st Half Highlights ($'000) 1H 2011/12

Mine Production (tonnes Ni) 16,230

Mill Production (tonnes Ni) 13,045

Recovery 93%

Sales Volume (tonnes Ni) 11,587

Cash Costs (US$/lb) 2.23

Cash Costs (A$/lb) 2.17

Exchange Rate USD/ AUD 1.03

Nickel Price (U$/tn) 18,761

EBITDA ('000) 96,633

EBIT ('000) 52,814

NPAT ('000) 24,102

Cashflow from Operations ('000) 64,412

Cash at Bank 160,856

Dividend (cents) 5.0

Highlights

Low cash cost producer A$2.17/lb

Mill recovery at 93%

NPAT of $24.1m – one of the few profitable nickel companies

Cashflow from operations $64.4m

o capex profile decreasing

o $30m exploration budget

Reliable dividend payer

Flexible balance sheet, strong cash

Undrawn debt facility $125m

3 Convertible Bonds:

o July 2012 @ 8.0% - A$105.5m (converts $7.73)

o July 2014 @ 6.4% - A$110.2m (converts $7.53)

o July 2015 @ 6.4% - A$120.0m (converts $6.46)

2H Sales likely to >13,500t of nickel in concentrate

1st Half Year FY2012 Highlights -Margins