ASTRON LIMITED — Interim / Quarterly Report 2012

Jan 26, 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 December 2011

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). The Donald is a mineral sands mining and processing project in the North-West region of the Victorian Murray Basin, situated between Minyip, Donald and Rupanyup, some 70kms North-East of Horsham.

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

• 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 of 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.

Feasibility study

• Work continued on the feasibility study including further work on more accurately defining operating and capital expenditure.

Exploration

• In December 2011, Astron announced that the inclusion of recent drilling results and the subsequent re-modelling of ELs 4433 and 4432 and MIN 5532 (with a cut-off grade of 1%) at the Donald Project. This led to an improved resource of Heavy Minerals of 194 million tonnes representing 8 % increase on previous announcement in April 2010.

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 Development Activities Dec Qtr 2011 Dec 2011 FY 542,570 1,094,029

Astron Gambian and Senegal Investments

Senegal

The exploration licence for Astron’s mineral sands project in Senegal, the Niafarang project and its extension, was renewed until 26 November 2013.

Gambia

Further to the previous announcements with respect to the Gambian mining operations there was no activity for the current period to report.

The uncertainty continues with regard to the mining licence, company situation and the claim against The Gambian Government.

Sydney 27 January 2012

Contact details

Simon Peters Mark Nielsen Mining and Development Manager 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