Equity & Debt Placement UpdateBRISBANE, November 16, 2009 –...

Equity & Debt Placement Update


BRISBANE, November 16, 2009 – Metal Storm Limited (ASX trading code: MST, OTC Symbol:


MTSXY).


Metal Storm has previously announced the signing of a Equity Subscription Agreement and a


Loan Facility Agreement for an investment of US$35 million by Assure Fast Holdings Limited


BVI (AFHL).


The First Tranche of approximately AU$2.1million (US $1.925 million) of Capital was initially


scheduled to close on 3 November but had been extended subsequently until Friday of last


week.


The Board has now extended the First Tranche payment until Thursday 19 November in line


with Metal Storm’s added requirement that the full funding of US$35 million is placed jointly


under the authority and control of Metal Storm and AFHL prior to Metal Storm calling


Shareholder and Note Holder meetings seeking agreement to the funding package. The


confirmation of the joint funding is expected this week but is not yet in place.


A Metal Storm Director has been in Hong Kong assisting with closure of the transaction during


the past week.

The market will be kept informed of further developments.