ASTRON LIMITED — Interim / Quarterly Report 2012

Apr 29, 2012

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ASTRON LIMITED ABN 97 000 285 272

Notice to the Australian Stock Exchange Production and Exploration Report Quarter Ended 31 March 2012

Donald Mineral Sands Pty Ltd (100% controlled by Astron Limited) (DMS)

DMS owns EL4432, EL4433, EL5255, EL5263, EL5353 and MIN5532 which together comprise the Donald Mineral Sands Project (Donald Project).

PRODUCTION

During the quarter the Donald Project did not conduct any production activities.

DEVELOPMENT

During the quarter development on the Donald Project continued. The following was undertaken:

Water

• As was reported in November 2011, DMS acquired an annual water allowance of 6,975 ML of water for a period 25 years from the Grampians Wimmera Mallee Water Authority (GWMW). DMS has the option, subject to the approval GWMW, to extend the term of the allowance for an additional 25 years. The total purchase consideration of the 6,975 ML allowance was $17,937,500.

• DMS continued its work on determining the viability of utilising the existing water channels for the initial phase of the project.

Feasibility study

• Work continued on the definitive feasibility study. This included:

• testing and commencement of an independent verification on Astron’s zircon washing process;

• updating capital costs and the work schedule for construction;

• updating operating costs; and

• updating product selling price forecasts.

Marketing of products

• Commenced dialogue with customers in relation to off-take agreements.

• Ore from the pit at the Donald Project was sent to China for purposes of processing for customer trials and the further testing of the zircon washing process.

Registered Office: Level 19, 2 Market Street, Sydney NSW 2000, Australia Tel: 61 2 9375 2361 Fax: 61 2 9375 2121 www.astronlimited.com

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Purchase of land

• In March 2012, DMS purchased 472 Lawlor Road (573 acres of land) for $629,805. This block of land neighbours the mining licence.

Funding

• During the March quarter Astron focused on its strategy for funding the Donald Project, this included:

• commencing our investor relations programme with a relaunch of Astron at the Hong Kong Mines and Money conference; and

• opened discussions with potential debt funders.

EXPENDITURE SUMMARY

Total expenses incurred were:

Production Activities	Dec Qtr 2011	YTD 2011 FY
	Nil	Nil
DevelopmentActivities	Dec Qtr 2011	YTD 2012 FY
	416,666	1,510,695

Niafarang project

DEVELOPMENT

Mining licence application

Work continued on the components required to apply for the mining licence. The most significant of which are:

• the environmental impact assessment; and

• the mining license feasibility study report.

Resource and reserves

Astron commenced work on updating its reserve estimate for the Niafarang project.

Registered Office: Level 19, 2 Market Street, Sydney NSW 2000, Australia Tel: 61 2 9375 2361 Fax: 61 2 9375 2121 www.astronlimited.com

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EXPENDITURE SUMMARY

Total expenses incurred were:

Production Activities	Dec Qtr 2011	YTD 2011 FY
	Nil	Nil
DevelopmentActivities	Dec Qtr 2011	YTD 2012 FY
	192,365	329,394

Sydney 30 April 2012

Contact details Simon Peters Mark Nielsen Project Manager - Donald Company Secretary (03) 5385 7088 (02) 9375 2361

Registered Office: Level 19, 2 Market Street, Sydney NSW 2000, Australia Tel: 61 2 9375 2361 Fax: 61 2 9375 2121 www.astronlimited.com