MARCH 2012 QUARTERLY REPORT PERTH, Western Australia, April 30, 2012: Coalspur Mines Limited ( Coalspur or Company ) (ASX: CPL, TSX: CPT) is pleased to present its quarterly report for the three months ending March 31, 2012. Highlights: Completed a Feasibility Study on Vista, which will be the final major technical study on the Company s flagship Vista Coal Project ( Vista ). Highlights of the Feasibility Study include: Total development costs of C$1.23 billion required to reach full production capacity of 11.2Mtpa.Forecast annual marketable coal production capacity of 11.2Mtpa and a 30 year mine life on Vista; Marketable Coal Reserves of 313Mt from a Recoverable Coal Reserve of 566Mt; Mine gate costs of C$27.3/t in the first 10 years of production and C$34.4/t over the life of mine. Secured additional throughput allocation with Ridley Terminals Inc. ( Ridley Terminals ) for up to 5.0Mtpa. Coalspur has now contracted up to 13.5Mtpa of throughput allocation which satisfies the port requirements for Vista. Progressed an optimization study on Vista which resulted in an increase in the forecasted annual marketable coal production capacity to 12.0Mtpa from 11.2Mtpa (announced 26 April 2012). Progressed regulatory applications necessary to construct, operate and commission a mining facility at Vista. Approval of applications is targeted for early 2013 and construction on Vista to commence immediately afterwards. Entered into an agreement with the Highland Park Group to provide Coalspur with a loan facility of C$70 million ( Facility Agreement ). The Facility Agreement will provide Coalspur with the capital resources for detailed engineering and to pursue certain business development opportunities. Continued the process of identifying potential strategic investment partners which may provide future funding for the development of Vista and coal marketing arrangements. Subsequent to quarter end the Company: Acquired an additional 14,432 hectares of coal bearing leases in the Hinton region for C$13 million. The new leases are adjacent to the northeast boundary of Vista and have the potential to leverage off of any future infrastructure built on Vista.
CANADIAN COAL PROJECTS Vista Coal Project Vista Feasibility Study Coalspur completed a Feasibility Study on Vista in January 2012 which is the final major technical report to be completed before construction commences on the project. Highlights of the Feasibility Study include: Production Capacity and Coal Reserves Annual marketable coal production capacity of 11.2Mtpa (since upgraded to 12Mtpa). The production capacity forecast assumes the process plant will run at an average of 6,800 plant operating hours or at 78% net effective utilization. Proven and Probable Marketable Coal Reserve of 313Mt from a Recoverable Coal Reserve of 566Mt. Economics Mine gate cash costs in the initial 10 years of production of C$27.3/t and LOM costs of C$34.4/t. Freeonboard ( FOB ) cash costs are C$61.0/t in the initial 10 years of production and are C$68.1/t over LOM. Projected first phase development costs of C$860 million and an incremental C$370 million to reach full capacity of 11.2Mtpa in the second phase. Incorporating forecast coal prices from Wood Mackenzie and a Canadian dollar to US dollar exchange rate of 0.94 resulted in an aftertax net present value of C$2,116 million. Projected initial 10 year average annual operating cashflows (EBITDA) of C$421 million per annum ( Mpa ) and LOM average annual operating cashflows of C$587Mpa. Further details of the Feasibility Study are contained in the news release dated January 30, 2012. Commencement of Detailed Design Engineering on Vista On March 21, 2012 Coalspur announced that it commenced detailed design engineering on Vista. The detailed engineering will build on the Feasibility Study and provide for the final mine, infrastructure and process design for Vista. An owner s team of project professionals will be responsible for the overall project management for Coalspur. CWA Engineering Inc. was contracted to perform the engineering, procurement and construction management of the project and will engage subcontractors to perform other specialized services. Optimization Study on Vista Increases Production to 12.0Mtpa On April 26, 2012 Coalspur announced the results of an optimization study on Vista which resulted in the increase in forecast annual marketable coal production capacity by 0.8Mtpa to 12.0Mtpa. 2
The optimization study was completed by CPG Resources QCC Pty Ltd ( CPG ) as part of the ongoing engineering work on Vista. The optimization study included an analysis of the relationship between the clean coal production potential from Vista compared to the annual plant operating hours. The study concluded that the coal process plant is capable of operating at approximately 7,300 hours per year (83% net effective utilization) as compared to 6,800 hours per year (78% net effective utilization) which was estimated in the Feasibility Study. The increase in operating hours is possible through enhanced scheduling between mining operations and the coal process plant and from optimized equipment selection. Table 1: Optimization Study Clean Coal Production Summary Clean Coal Production (Mtpa) Annual Plant Operating Hours Net Effective Utilization Monthly Plant Operating Hours Monthly Cumulative Operating Days Hour Variance Cumulative Operating Day Variance 11.2 6,791 78% 566 23.6 12.0 7,276 83% 606 25.3 40 1.7 Increased Port Capacity at Ridley Terminals Up to 13.5Mtpa During the quarter Coalspur announced that it had concluded a second agreement with Ridley Terminals on terms for the shipment of export thermal coal from Vista for an additional 5.0Mtpa. This follows an earlier agreement with Ridley Terminals, which was announced in October 2011, which entitles Coalspur to 8.5Mtpa of port allocation and contains similar commercial terms. Coalspur has now contracted up to 13.5Mtpa of throughput allocation which satisfies the port requirements for Vista. Any excess port capacity will be utilized through production enhancements at Vista and other development opportunities. Submission of Regulatory Applications for Phase 1 of Vista Coalspur progressed the regulatory applications for Phase 1 of Vista required to construct, operate and commission Phase 1 of Vista which will allow for production of up to 5.0Mtpa for 20 years. These applications include an Environmental Impact Assessment ( EIA ), regulatory applications under the Coal Conservation Act, Alberta Environmental Enhancement Act ( EPEA ), and Public Lands Act. Coalspur expects to receive approval of these regulatory applications in early 2013 with construction on Vista to commence immediately afterwards. Following submission of the Phase 1 regulatory applications, Coalspur will commence the regulatory applications for Phase 2 of Vista, which will expand the capacity of Vista from 5.0Mtpa to 12.0Mtpa. Coalspur is scheduled to submit the Phase 2 applications in 2013. This twophase regulatory approach follows the schedule outlined in the Vista Feasibility Study which utilizes the Mine Permit and Coal Processing Plant Approval that was transferred to Coalspur by the Alberta Government in May 2011. 3
Figure 2: Vista Coal Project Preparation Plant Flowsheet Vista South Coal Project Vista South Drilling During the quarter the Company completed additional exploration drilling on Vista South which included over 40 rotary holes. Coalspur will utilize the newly acquired geological data in conjunction with previous drill results to complete a resource update which is expected to be available in the quarter ending June 30, 2012. CORPORATE Figure 3: Vista South Drilling Locations Facility Agreement with Highland Park Group On February 27, 2012, the Company announced that it had entered into a Facility Agreement with the Highland Park Group for a C$70 million loan facility. The purpose of the Facility Agreement is to provide the Company with substantial capital resources to commence detailed engineering on Vista and pursue further business development opportunities. 4
The key terms and conditions of the Facility Agreement are as follows: i. The secured facility is for up to C$70.0 million, to be drawn in increments of C$10.0 million; ii. Interest is payable every 180 days and bears an annual interest rate of 6.25%; iii. iv. Drawdown period 12 months from the satisfaction of the conditions precedent; Repayment period 24 months with from first draw down; v. Coalspur may repay the facility early, at its discretion, with no penalty; vi. Shareholder approval for the grant of security and issue of options (received April 26,2012); vii. viii. Having received shareholder approval, Coalspur will issue the Highland Park Group 8 million unlisted establishment options with an exercise price of A$1.562, which is equal to the volume weighted average ASX market price for 5 trading days prior to the execution of the Facility Agreement. These options will expire 3 years from the date of issue; and Coalspur will also issue 7 million unlisted funding options, which will vest at the rate of 1 million options per C$10.0 million drawn, with an exercise price equal to the greater of A$1.24992, or 120% of the volume weighted average market price for the 5 trading days prior to the relevant drawdown date. The options will expire 3 years from their respective vesting dates. Unvested options cannot be exercised and will expire on repayment or termination of the Facility Agreement. Acquisition of Additional Coal Leases On April 30, 2012 the Company announced that it had acquired 14,432 hectares of coal bearing leases adjacent to Vista ( Vista Extension ) for C$13 million in cash. Vista Extension is located on the northeast boundary of Vista and is in a land use area classified as category four which is the most favourable for resource development in Alberta. Coalspur is now focusing on maximizing the value of Vista Extension. Coalspur is planning a drilling program on Vista Extension in the coming months to support future technical studies on the property. A JORC and NI 43101 compliant Coal Resource estimate is underway and will be completed shortly. Figure 4: Additional Coal Leases Acquired Discussions with Potential Strategic Investment Partners The Company continues to pursue strategic investment partners who may provide future funding for the development of Vista and enter in to coal marketing arrangements. The process has resulted in a number of potential strategic parties expressing interest in Vista. The 5
Company has shortlisted several parties with which is continues discussions in relation to funding the development of Vista. Coalspur has engaged a financial advisor to assist with the transaction and is progressing to finalize the structure of any potential funding transaction. The Company currently anticipates that this process will be completed during the fourth quarter of the current fiscal year, however, the structure of any transaction and/or funding arrangement is yet to be determined. The facility agreement with the Highland Park Group provides flexibility for a strategic investor to acquire up to 25% of Vista. Going Forward The Company has a significant amount of initiatives underway that are focused on enhancing the economics of Vista and furthering the understanding of Vista South s potential. Activities in the coming months are expected to include: Continue project financing discussions with potential offtake partners; Negotiate a definitive transportation agreement with CN Rail; Update the resource estimate on the Vista South Coal Project ( Vista South ); Prepare a resource estimate on the newly acquired Vista Extension leases; and continue discussions with mining contractors to evaluate the potential of contract mining operations during the construction phase and the initial years of mining at Vista. For additional information, please contact: Gene Wusaty Managing Director and CEO Telephone: +1 403 975 7901 6
Regulatory Disclosures For further information regarding the Vista Coal Project and Vista South Coal Project, including a description of Coalspur s quality assurance program, quality control measures, the geology, samples collected and testing procedures in respect of the projects, please refer to the technical report on the Vista Coal Project titled Coalspur Mines Limited: Feasibility Study of the Vista Coal Project, Hinton, Alberta dated January 26, 2012 and the technical report on the Vista South Project titled Resource Estimate for the Vista South Coal Property dated December 15, 2010, which are compliant with National Instrument 43101 Standards of Disclosure for Mineral Projects ( NI 43 101 ) and are available for review on SEDAR at sedar.com. Competent Person / Qualified Person Statements The information in this news release that relates to Recoverable Coal Reserves, mining engineering, mining capital cost, mining operating costs, and economic financial analysis is based on information compiled by Mr. David Leslie, who is a Member of the Association of Professional Engineers, Geologists and Geophysicists of Alberta. Mr. Leslie is a fulltime employee of Coalspur. Mr. Leslie has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves' ("JORC Code"), and a Qualified Person under NI 43101. Mr. Leslie has approved and consents to the inclusion of such information in this report in the form and context in which it appears. The information in this news release that relates to coal quality and process yield estimates to derive Marketable Coal Reserves, operating costs and capital costs related to coal crushing, coal handling, and infrastructure, coal crushing, handling, processing and thermal drying is based on information compiled by Mr. Gordon Mudryk, who is a Member of the Association of Professional Engineers, Geologists and Geophysicists of Alberta. Mr. Mudryk is a fulltime employee of Coalspur. Mr. Mudryk has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the JORC Code, and a Qualified Person under NI 43101. Mr. Mudryk has approved and consents to the inclusion of such information in this report in the form and context in which it appears. The information in this news release that relates to Coal Resources is based on information compiled by Mr. John Innis, who is a Member of the Association of Professional Engineers, Geologists and Geophysicists of Alberta. Mr. Innis is a fulltime employee of Coalspur. Mr. Innis has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the JORC Code, and a Qualified Person under NI 43101. Mr. Innis has approved and consents to the inclusion of such information in this report in the form and context in which it appears. All other scientific and technical information in this Report is based on information compiled by Mr. Eugene Wusaty, who is a Member of the Association of Professional Engineers and Geoscientists of Alberta. Mr. Wusaty is a fulltime employee of Coalspur. Mr. Wusaty 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 JORC Code, and a Qualified Person under NI 43101. Mr. Wusaty has approved and consents to the inclusion of such information in this report in the form and context in which it appears. Forward Looking Statements This Report contains forwardlooking information that is based on the Company s expectations, estimates and projections as of the date on which the statements were made. This forwardlooking information includes, among other things, statements with respect to the Company s PreFeasibility Study and Feasibility Study, production rates, drilling programs, time lines and completion dates, permits and approvals, business strategy, plans, development, objectives, performance, outlook, growth, cash flow, projections, targets and expectations, mineral reserves and resources, studies, results of exploration and related expenses. Generally, this forwardlooking information can be identified by the use of forwardlooking terminology such as will, expect, potential, outlook, anticipate, project, target, likely, believe, estimate, intend, may, would, could, should, scheduled, plan, forecast, future, evolve or variations of such terms and similar expressions. Persons reading this Report are cautioned that such statements are only predictions, and that the Company s actual future results or performance may be materially different. Forwardlooking information is subject to known and unknown risks, uncertainties and other factors that may cause the Company s actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forwardlooking information. Such factors include, without limitation, inherent uncertainties and risks associated with mineral exploration; uncertainties related to the availability of future financing necessary to undertake activities on the Company s properties; uncertainties related to general economic conditions; uncertainties related to global financial conditions; risks related to the integration of businesses and assets acquired by the Company; risks associated with the Company having no history of earnings or production revenue; uncertainties related to the possible recalculation of, or reduction in, the Company s mineral reserves and resources; uncertainties related to the outcome of studies to be undertaken by the Company; uncertainties relating to fluctuations in coal price; the risk that the Company s title to its properties could be challenged; risks related to the Company s ability to attract and retain qualified personnel; uncertainties related to the requirement for ministerial approval for a change of control of the Company; risks relating to consultation with the public and aboriginal groups; uncertainties related to the competitiveness of the mineral resource industry; risks associated with the Company being subject to government regulation, including changes in regulation; risks associated with the Company being 7
subject to environmental laws and regulations, including a change in regulation; risks associated with the Company s need for governmental licenses, permits and approvals; uninsured risks and hazards; risks associated with fluctuations in foreign exchange rates; risks related to default by joint venture parties, contractors and agents; inherent risks associated with litigation; risks associated with potential conflicts of interest; risks related to effecting service of process on directors resident in foreign countries; uncertainties related to the Company s limited operating history; risks related to the Company s lack of a dividend history; risks relating to short term investments; and uncertainties related to fluctuations in the Company s share price. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. In making the forwardlooking statements the Company has applied several material assumptions which may prove to be incorrect, including, but not limited to, (1) that all required third party approvals will be obtained for the development, construction and production of its properties, (2) there being no significant disruptions affecting operations, whether due to labour disruptions, supply disruptions, power disruptions, damage to equipment or otherwise; (3) permitting, development and expansion proceeding on a basis consistent with the Company s current expectations; (4) currency exchange rates being approximately consistent with current levels; (5) certain price assumptions for coal; (6) production forecasts meeting expectations; (7) the accuracy of the Company s current mineral resource and reserve estimates; (8) labour and materials costs increasing on a basis consistent with the Company s current expectations; (9) that any additional required financing will be available on reasonable terms; and (10) assumptions made and judgments used in engineering and geological interpretation. There can be no assurance that forward looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking statements. The Company disclaims any intent or obligation to update or revise any forwardlooking statements whether as a result of new information, estimates or options, future events or results or otherwise, unless required to do so by law. 8
Appendix 5B Mining exploration entity quarterly report Appendix 5B Mining exploration entity quarterly report Presentation Currency Canadian Dollars Coalspur Mines Limited and its subsidiaries (Group) have prospectively changed its functional and presentation currency from Australian to Canadian dollars on February 1, 2012 following the completion of the Vista Coal Project Feasibility Study. The Canadian dollar has been determined to be the Group s functional currency due to: The majority of the Group s assets being located in Canada; The majority of existing assets and liabilities of the Group being denominated in Canadian currency; The recently arranged funding facility beng denominated in Canadian currency; and The majority of of the Groups existing and expected operating and development expenditures are denominated in Canadian currency. As it more accurately represents the economic effects of the underlying transactions, events and conditions within the Group the Group has adopted the Canadian Dollar as its presentation currency commencing February 1, 2012 following the completion of the Vista Feasibility Study. Impact on Appendix 5B report: All currency values in this Appendix 5B are expressed in Canadian dollars, unless expressly identified as Australian dollars ( A$ ). As this is the first report presented in Canadian Dollars the table below sets out the A$ equivalents of the major components of the consolidated statement of cashflow for the 9 months ended 31 March 2012 for information purposes. Item C$, as stated A$, equivalent Net operating cash flow (13,556) (12,818) Net investing cash flow (44,645) (42,213) Net financing cash flow 12,248 11,581 Net Increase (decrease) in cash held (45,953) (43,450) Cash at beginning of year to date 67,973 65,700 Line 1.21 Exchange rate adjustments 200 (800) Ending cash balance 22,220 21,450 Future reports will be presented in Canadian Dollars.
Appendix 5B Mining exploration entity quarterly report Appendix 5B Rule 5.3 Mining exploration entity quarterly report Introduced 1/7/96. Origin: Appendix 8. Amended 1/7/97, 1/7/98, 30/9/2001, 01/06/10. Name of entity COALPSUR MINES LIMITED ABN Quarter ended ( current quarter ) 73 003 041 594 March 31, 2012 Consolidated statement of cash flows Cash flows related to operating activities 1.1 Receipts from product sales and related debtors 1.2 Payments for: (a) exploration & evaluation (b) development (c) production (d) administration 1.3 Dividends received 1.4 Interest and other items of a similar nature received 1.5 Interest and other costs of finance paid 1.6 Income taxes paid 1.7 Other Current quarter $C 000 (1,303) (2,147) 92 (25) Year to date (9 months) $C 000 (9,116) (4,918) 503 (25) Net Operating Cash Flow (3,383) (13,556) Cash flows related to investing activities 1.8 Payment for purchases of: (a) prospects (b) equity investments (c) other fixed assets 1.9 Proceeds from sale of: (a) prospects (b) equity investments (c) other fixed assets 1.10 Loans to other entities 1.11 Loans repaid by other entities 1.12 Other a) Port deposit and option fee b) Capitalized development costs (9,000) (2,410) (6,027) (708) (35,500) (2,410) Net investing cash flows 1.13 Total operating and investing cash flows (carried forward) (11,410) (44,645) (14,793) (58,201) + See chapter 19 for defined terms. 30/9/2001 Appendix 5B Page 1
Appendix 5B Mining exploration entity quarterly report 1.13 Total operating and investing cash flows (brought forward) (14,793) (58,201) Cash flows related to financing activities 1.14 Proceeds from issues of shares, options, etc. 1.15 Proceeds from sale of forfeited shares 1.16 Proceeds from borrowings 1.17 Repayment of borrowings 1.18 Dividends paid 1.19 Other (provide details if material): (a) share issue costs Net financing cash flows 12,841 12,841 (593) 12,841 12,248 Net increase (decrease) in cash held (1,952) (45,953) 1.20 Cash at beginning of quarter/year to date 1.21 Exchange rate adjustments to item 1.20 1.22 Cash at end of quarter 23,904 268 67,973 200 22,220 22,220 Payments to directors of the entity and associates of the directors Payments to related entities of the entity and associates of the related entities Current quarter $C'000 1.23 Aggregate amount of payments to the parties included in item 1.2 189 1.24 Aggregate amount of loans to the parties included in item 1.10 1.25 Explanation necessary for an understanding of the transactions Following the publication of the Vista Coal Project Feasibility Study, the functional and Presentation currency of the group was prospectively changed to Canadian dollars as of February 1, 2012. 1.12: The Company paid a nonrefundable deposit of C$8 million in the current quarter and C$24 million in the previous quarter to secure port capacity, and a C$1 million option fee in the current quarter and C$2.5 million in the previous quarter for the right to obtain additional port capacity. Noncash financing and investing activities 2.1 Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows Not applicable 2.2 Details of outlays made by other entities to establish or increase their share in projects in which the reporting entity has an interest Not applicable
Appendix 5B Mining exploration entity quarterly report Financing facilities available Note: $70 facility was approved by shareholders April 26, 2012. 3.1 Loan facilities 3.2 Credit standby arrangements Amount available $C 000 Amount used $C 000 70,000 210 51 Estimated cash outflows for next quarter 4.1 Exploration and evaluation 4.2 Development 4.3 Production 4.4 Administration Total Reconciliation of cash Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows. 5.1 Cash on hand and at bank 5.2 Deposits at call 5.3 Bank overdraft 5.4 Other (provide details) Current quarter $C 000 $C 000 13,286 19,406 1,520 34,212 Previous quarter $C 000 2,088 660 20,132 23,244 Total: cash at end of quarter (item 1.22) 22,220 23,904 Changes in interests in mining tenements 6.1 Interests in mining tenements relinquished, reduced or lapsed Tenement reference Not applicable Nature of interest (note (2)) Interest at beginning of quarter Interest at end of quarter 6.2 Interests in mining tenements acquired or increased + See chapter 19 for defined terms. 30/9/2001 Appendix 5B Page 3
Appendix 5B Mining exploration entity quarterly report Issued and quoted securities at end of current quarter Description includes rate of interest and any redemption or conversion rights together with prices and dates. 7.1 Preference + securities Performance shares 7.2 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buybacks, redemptions, conversions. Total number Number quoted Issue price per security (see note 3) Amount paid up per security (see note 3) 32,500,000 Not applicable Not applicable (25,000,000) 7.3 + Ordinary securities 620,729,899 620,729,899 Not applicable Not applicable 7.4 Changes during quarter (a) Increases through issues 25,891,155 15,000,000 70,000 25,891,155 15,000,000 70,000 A$0.80 A$0.35 A$0.80 A$0.35 (b) Decreases through returns of capital, buybacks 7.5 + Convertible debt securities (description) 7.6 Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted 7.7 Options (description and conversion factor) Options: 2,750,000 2,750,000 2,750,000 2,750,000 800,000 1,150,000 1,150,000 350,000 125,000 1,450,000 1,450,000 1,450,000 2,000,000 15,000,000 Rights: 2,723,625 Exercise price A$0.10 A$0.15 A$0.20 A$0.25 A$0.40 A$0.50 A$0.60 A$0.70 A$0.35 A$0.85 A$0.95 A$1.05 A$0.80 A$0.70 Exercise price $Nil Expiry date 31 Dec 2013 30 June 2014 31 Dec 2014 30 June 2015 31 Dec 2013 30 June 2014 31 Dec 2014 30 Jun 2015 10 Feb 2013 30 June 2014 31 Dec 2014 30 Jun 2015 30 Aug 2013 31 Dec 2012 7.8 Issued during quarter 7.9 Exercised during quarter 7.10 7.11 Expired Debentures during quarter Rights: 87,875 100,375 100,375 100,375 15,000,000 70,000 15,000,000 70,000 Exercise price A$Nil A$Nil A$Nil A$Nil Exercise Price A$0.80 A$0.35 Exercise price 31 July 2012 30 June 2013 30 June 2015 30 June 2016 Expiry date A$0.80 A$0.35 Expiry date + See chapter 19 for defined terms. Appendix 5B Page 4 30/9/2001
Appendix Mining exploration entity quarterly report 5B Compliance statement 1 This statement has been prepared under accounting policies which comply with accounting standards as defined in the Corporations Act or other standards acceptable to ASX (see note 4). 2 This statement does /does not* (delete one) give a true and fair view of the matters disclosed. Sign here:... Date: April 30, 2012 (Director/Company secretary) Print name: Simon Robertson Notes 1 The quarterly report provides a basis for informing the market how the entity s activities have been financed for the past quarter and the effect on its cash position. An entity wanting to disclose additional information is encouraged to do so, in a note or notes attached to this report. 2 The Nature of interest (items 6.1 and 6.2) includes options in respect of interests in mining tenements acquired, exercised or lapsed during the reporting period. If the entity is involved in a joint venture agreement and there are conditions precedent which will change its percentage interest in a mining tenement, it should disclose the change of percentage interest and conditions precedent in the list required for items 6.1 and 6.2. 3 Issued and quoted securities The issue price and amount paid up is not required in items 7.1 and 7.3 for fully paid securities. 4 The definitions in, and provisions of, AASB 1022: Accounting for Extractive Industries and AASB 1026: Statement of Cash Flows apply to this report. 5 Accounting Standards ASX will accept, for example, the use of International Accounting Standards for foreign entities. If the standards used do not address a topic, the Australian standard on that topic (if any) must be complied with. == == == == == + See chapter 19 for defined terms. 30/9/2001 Appendix 5B Page 5