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1 NEWS RELEASE DECEMBER 20, 2013 NEW HIGH-GRADE COPPER PROSPECT SECURED IN CHILE Guayacán copper-gold prospect returns surface channel samples grading up to 4.13% Cu Key Points: Option secured over prospective Guayacán concessions in central Chile by the recently formed Los Rulos Joint Venture with Lundin Mining Corporation. Guayacán located close to the recently secured Armandiño and Polvareda 2 Prospects. Channel sampling returns grades up to 4.13% Cu from surface and 1.27% Cu from underground. Drilling at Los Rulos Project (Guayacán, Armandiño and Polvareda 2) to commence in Q Southern Hemisphere Mining Limited (ASX: SUH) ( Southern Hemisphere or the Company ) is pleased to advise that it has added a third highly prospective copper-gold concession area, the Guayacán Prospect to the growing portfolio being established under its recently formed 50/50 Los Rulos Joint Venture (see News Release November 18, 2013) with Lundin Mining Corporation (TSX: LUN) ( Lundin Mining ). Figure 1: Location Map El Guayacan Prospect relative to the Armandiño and Polvareda 2 Prospects (270km north of Santiago, Chile) Location The Guayacán concessions are at 1,000m elevation, cover 48 hectares and are located approximately 5km west of the Polvareda 2 Copper/Gold Prospect, which was one of the first two projects acquired by the Los Rulos Joint Venture. ASX: SUH AUSTRALIAN OFFICE CHILEAN OFFICE ABN: Suite 7, 1200 Hay Street Minera Hemisferio Sur SCM West Perth WA 6005 Office 41, Zurich 255 TEL: Las Condes, Santiago TEL:

2 Guayacán Prospect ( Guayacán ) The newly established Los Rulos Joint Venture Company ( Minera Los Rulos ) has executed an option agreement to purchase Guayacán. Guayacán, together with the Armandiño and Polvareda 2 Prospects, were identified during an extensive regional sampling and geophysical survey campaign, show strong indications of high-grade copper mineralisation and represent walk-up drilling targets, with drilling scheduled to commence in Q Preliminary works at Guayacán included field mapping and 4 east west IP (Induced Polarisation) lines across the southern part of the concession area. The sampling program at Guayacán consisted of 38 samples. The five most significant samples by copper grade of this program are detailed below and full results are appended to this announcement. Sample N Sample Type East North Location Cu (%) Au (g/t) EF 02 Channel (2m) Surface EF 01 Channel (2m) Surface MCS-02 Channel (4m) Surface MCS-06 Channel (4m) Surface MCS-04 Channel (4m) Surface Figure 2: Location of samples as marked with dots for Guayacán Page 2

3 Southern Hemisphere s Managing Director, Mr Trevor Tennant, said the addition of Guayacán increased the prospective area within the Los Rulos Joint Venture to 208 hectares, complementing the nearby Polvareda 2 and Armandiño Projects, also located in the Los Rulos area. Mr Tennant noted: Executing the Guayacán option within a month of completing the new Los Rulos Joint Venture with Lundin Mining and the option agreements for Polvareda 2 and Armandiño clearly demonstrates the intent of both Southern Hemisphere and Lundin Mining to rapidly pursue prospects within the Los Rulos Project area. We are looking forward to commencing drilling campaigns at these prospects in the first Quarter of 2014 and will continue to review additional concessions within the Los Rulos area, with a view to further expanding and enhancing our portfolio. Previous Exploration Activity There has been some artisanal mining which produced high-grade oxidised copper under a tribute arrangement with the vendors, which has now expired. Purchase Terms The terms of the purchase option agreement between Brazo Minero Limitada and Minera Los Rulos total cash payments of US$360,000 over 30 months comprising US$20,000 upon the execution of agreement and US$340,000 in half yearly instalments, of which only 50% is payable by Southern Hemisphere under the Los Rulos JV Agreement --ENDS-- About Southern Hemisphere Mining Limited Southern Hemisphere Mining Limited (ASX Code SUH ) is an emerging copper-gold explorer and developer focused on Chile, South America, the world s leading copper producing country and one of the most prospective regions of the world for major new copper discoveries. Southern Hemisphere has accumulated a diverse portfolio of assets in Chile including two projects which are currently joint ventured with leading global mining companies. The Company s focus is the Llahuin Copper/Gold Project, joint ventured with Lundin Mining, where the objective is to build a bulk tonnage copper/gold operation. The Company has signed a further agreement with Lundin Mining; the Los Rulos Joint Venture, which covers a prospective area close to Llahuin. Three prospect acquisitions: Armandiño, Polvareda 2 and Guayacán have so far been executed under the new agreement. The Company also holds the Chitigua Copper Porphyry Project, which is located on the Western Fault and joint ventured with global miner Anglo American plc. Further details on Southern Hemisphere can be found at Lundin Mining Corporation Lundin Mining Corporation is a diversified Canadian base metals mining company with operations in Portugal, Sweden, Spain and the US, producing copper, zinc, lead and nickel. In addition, Lundin Mining holds a 24% equity stake in the world-class Tenke Fungurume copper/cobalt mine in the Democratic Republic of Congo and in the Freeport Cobalt Oy business, which includes a cobalt refinery in Kokkola, Finland. Lundin Mining holds a strategic 11.4% stake in Southern Hemisphere. Page 3

4 Competent/Qualified Person Statement The information in this News Release which relates to copper and gold Exploration Results for the Guayacan Prospect is based on information compiled by Mr Trevor Tennant, who is a Fellow of The Australasian Institute of Mining and Metallurgy. Mr Tennant has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration, and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves and a Qualified Person under NI Standards of Disclosure. Mr Tennant is a full time employee and Managing Director of the Company and consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. For further information, please refer to the Technical Reports and News Releases on the Company s website at For further information please contact: Trevor Tennant (Managing Director, Southern Hemisphere Mining) +56 (2) Media Enquiries Nicholas Read (Read Corporate) +61 (8) Page 4

5 Appendix - Guayacán Sample Results Sample N Sample Type East North Location Cu (%) Au (g/t) MC-01 Channel (4m) Underground MC-02 Channel (4m) Underground MC-03 Channel (4m) Underground MC-04 Channel (4m) Underground MC-05 Channel (4m) Underground MC-06 Channel (4m) Underground MC-07 Channel (4m) Underground MC-08 Channel (4m) Underground MC-09 Channel (4m) Underground MC-10 Channel (4m) Underground MC-11 Channel (4m) Underground MC-12 Channel (4m) Underground MC-13 Channel (4m) Underground MC-14 Channel (4m) Underground MC-15 Channel (4m) Underground MC-16 Channel (4m) Underground MC-17 Channel (4m) Underground MC-18 Channel (4m) Underground MC-19 Channel (4m) Underground MC-20 Channel (4m) Underground MC-21 Channel (4m) Underground MC-22 Channel (4m) Underground MC-23 Channel (4m) Underground MC-24 Channel (4m) Underground MC-28 Channel (4m) Underground MC-29 Channel (4m) Underground MC-30 Channel (4m) Underground MC-31 Channel (4m) Underground MC-32 Channel (4m) Underground MC-33 Channel (4m) Underground MCS-01 Channel (4m) Surface MCS-02 Channel (4m) Surface MCS-03 Channel (4m) Surface MCS-04 Channel (4m) Surface MCS-05 Channel (4m) Surface MCS-06 Channel (4m) Surface EF 01 Channel (2m) Surface EF 02 Channel (2m) Surface Page 5

6 Appendix Criteria Sampling techniques Drilling techniques Drill sample recovery Logging Sub-sampling techniques and sample preparation Quality of assay data and laboratory tests Verification of sampling and assaying Section 1 Sampling Techniques and Data (Criteria in this section apply to all succeeding sections) Explanation Wall chip channel sampling of ground and underground mine works. 2m and 4 m long channels. Sample sizes approximately Kg. n/a n/a Macroscopic description of mine works walls. Whole samples transported to Andes Analytical Assay Ltda (Chile) for crushing and splitting. Au fire assay, Cu atomic adsorption, ICP 39 elements undertaken by Andes Analytical Assay Ltda (Chile) an ISO 9001:2008 certified laboratory. Results reviewed by senior geologist. Location of data points Sample points were located using GPS methods and the PSAD 56 datum, zone -19. Data spacing and distribution Orientation of data in relation to geological structure Sample security Audits or reviews Data was obtained from available lineages of mineralisation. No sampling bias is believed to have been introduced. No extraordinary measures were taken to secure samples. None to date Criteria Mineral tenement and land tenure status Exploration done by other parties Geology Drill hole Information Section 2 Reporting of Exploration Results (Criteria listed in the preceding section also apply to this section) Explanation The Guayacán exploitation concessions are subject to an option agreement between the vendor Brazo Minero Limitada; and the 50/50 Southern Hemisphere/Lundin Mining joint venture company Minera Los Rulos. Past exploration corresponds only to previous small scale mining (mainly underground) done by artisanal miners, which was estimated to be 60t/d averaging 1.2% copper and 0.15 g/t gold. The mineralisation is disseminated high grade copper sulfides hosted in a strongly faulted vertical sequence of volcanic sedimentary hornfels with copper oxides in fractures in surrounding volcanic andesitic rocks. Page 6

7 Criteria Data aggregation methods Relationship between mineralisation widths and intercept lengths Diagrams Balanced reporting Other substantive exploration data Further work Section 2 Reporting of Exploration Results (continued) (Criteria listed in the preceding section also apply to this section) Explanation Where data has been aggregated adjacent sample grades have been simply averaged over the length of the aggregated samples. Refer to Figure 2 of the News Release. Drilling program is planned. Page 7