ATHENA RESOURCES LIMITED — Interim / Quarterly Report 2012

Oct 30, 2012

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SEPTEMBER - 2012 QUARTERLY REPORT

ATHENA RESOURCES LIMITED

ASX Symbol: AHN ABN: 69 113 758 900 Address: 24 Colin Street, West Perth WA 6005 Telephone: (08) 9222 5888 Facsimile: (08) 9222 5810 Email: ahn@athenaresources.com.au

www.athenaresources.com.au

CONTACTS

Mr Ed Edwards Managing Director

HIGHLIGHTS

BYRO PROJECT – IRON ORE

• IRON ORE ASSAY RESULTS FROM WHITMARSH FIND, WHISTLE JACK AND BYRO SOUTH DRILL CAMPAIGN

High grades of up to 38.64% Fe. Average intersection grade of 30% Fe

PROJECTS

Byro:

Iron Ore, Nickel-Copper-PGE’s Ashburton: Gold

Thick seams of various width up to 86m. Average intersection thickness of 38m.

• BYRO EAST SAMPLING OF MAGNETIC ANOMALY CONFIRMS HEMITITE IRON POTENTIAL

SECURITIES

122M Shares - AHN

SHAREHOLDERS

Very high grades of up to 68.28% Fe in oxide

MBCR304 68.28% Fe MBCR305 63.06% Fe MBCR302 58.57% Fe

Mr E Edwards 12.48% Ishine International 6.77% Mr D Kelly 6.13% Hon A Thomson 4.07%

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Athena Resources Limited – First Quarter Activities Report

BYRO PROJECT (Athena Resources 100%)

BYRO IRON ORE

During the June quarter the highly prospective Byro Iron Ore Project in the Mid-West region of Western Australia has been further expanded by assay results received from the December drilling campaign at the Byro South, Whitmarsh Find and Whistle Jack iron ore bodies.

Intersections from RC drilling assays include:

Whistle jack Hole ID AHRC0065 AHRC0066 And Whithmarsh find AHRC0064 And AHRC0056 Reported June 2011 And BYRO SOUTH AHRC0053D AHRC0053D AHRC0054D AHRC0058 AHRC0059 AHRC0063D	Intersection 68m @36.46% Fe 22m @ 36.32% Fe 6m @ 22.13% Fe 26m @ 23.6% Fe 26m @ 34.95% Fe 24m @ 20.41% Fe 24m @ 32.76% Fe 33.3m @ 33.42% Fe 39.4m @ 30.35% Fe 44.9m @ 33.64% Fe 86m @ 28.39% Fe 60m @ 21.07% Fe 36m @ 38.64% Fe	From
		132m 86m 128m 44m 88M 0m 52m 80m 125m 90m 56m 0m 86m

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ASX: AHN

Email: ahn@athenaresources.com.au Telephone: +61 8 9222 5888 Facsimile: +61 8 9222 5810

Athena Resources Limited 24 Colin St, West Perth WA 6005 Website: www.athenaresources.com.au

Athena Resources Limited – First Quarter Activities Report

Details

During the quarter Athena Resources Limited (ASX: AHN) were pleased to advise that the Company’s highly prospective Byro Iron Ore Project in the Mid-West region of Western Australia has been further improved by assay results received from the second phase of first pass drilling completed in November/December 2011.

The November/December 2011 Byro program was conducted at the Byro South, Whitmarsh Find and Whistle Jack Prospects and comprised 1,899m of drilling including 1414m of reverse circulation drilling and 485m of Diamond drilling. Targeting was based on high definition aeromagnetic signatures, surface outcrop mapping and sampling as well as drilling results as reported in September 2011.

Assay results at the Byro South, Whitmarsh Find and Whistle Jack Prospects confirm the grades expected from the magnetic susceptibility reported from the drilling announced in December 2011. These results demonstrate continued high grade iron ore intersections. Results are of similar high quality to the first phase of drilling at Byro South in mid-2011.

The magnetite ore at the Byro South, Whitmarsh Find and Whistle Jack Prospects appears within upper amphibolite facies gneissic rock in the form of a migmatite. The ore is matrix to massive, localized in seams that range in thicknesses from 10m to +70m width. Drilling has confirmed the high amplitude aeromagnetic anomalies are a direct result of the magnetite. This successful round of drilling has completed first pass testing of the two new bodies, Whitmarsh Find and Whistle Jack, as well as confirming the Byro South ore body at depth. Excellent results from Davis Tube Test work, DTR, already completed at Byro South can now be followed up with thorough testing of Whitmarsh Find and Whistle Jack ore bodies.

SAMPLING DETAILS

• Assays performed by Amdel-Ultratrace Laboratories of the Bureau Veritas Group.

• All assays XRF202, detection units 0.01 to 0.001

• Assays quoted are head assays from X-Ray Fluorescence Spectrometry, (XRF).

• All Coordinates are in MGA 94 Zone 50

• All intersections are down hole measurements

,

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ASX: AHN

Email: ahn@athenaresources.com.au Telephone: +61 8 9222 5888 Facsimile: +61 8 9222 5810

Athena Resources Limited 24 Colin St, West Perth WA 6005 Website: www.athenaresources.com.au

Athena Resources Limited – First Quarter Activities Report

Figure 1 Location Map

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ASX: AHN

Email: ahn@athenaresources.com.au Telephone: +61 8 9222 5888 Facsimile: +61 8 9222 5810

Athena Resources Limited 24 Colin St, West Perth WA 6005 Website: www.athenaresources.com.au

Athena Resources Limited – First Quarter Activities Report

Table 1. Magnetite Intersections from Assay Results

		Whitmarsh Find	Whitmarsh Find
Hole ID	Easting	Northings	Hole Depth (m)	Intersection	From
AHRC0056	414853	7101751	150	24m@20.41% Fe	0m
AHRC0056	414853	7101751	150	24m@32.76% Fe	52m
AHRC0064	416591	7099691	136	26m@23.6% Fe	44m
AHRC0064	416591	7099691	136	26m@33.82% Fe	88m
			Whistle Jack
Hole ID	Easting	Northings	Hole Depth (m)	Intersection	From
AHRC0065	416535	7099352	200	68m@36.46% Fe	132m
AHRC0066	416950	7099426	200	22m@36.32% Fe	86m
			Byro South
Hole ID	Easting	Northings	Hole Depth(m)	Intersection	From
AHRC0053D	416591	7099691	106	8m@21.75% Fe	8m
AHRC0053D	416591	7099691	106	33.3m@ 33.42%Fe	80m
AHRC0053D	416591	7099691	106	39.4m@ 30.35% Fe	125m
AHRC0054D	416535	7099352	108	8m@21.6% Fe	16m
AHRC0054D	416535	7099352	108	44.9m@ 33.64% Fe	90m
AHRC0054D	416535	7099352	108	11.07m@29.66% Fe	162m
AHRC0057	416950	7099426	150	8m@28.6% Fe	74m
AHRC0057	416950	7099426	150	6m@25.6% Fe	84m
AHRC0058	416953	7099201	154	32m@21.8% Fe	0m
AHRC0058	416953	7099201	154	86m@ 28.39% Fe	56m
AHRC0059	417021	7099216	160	60m@ 21.07% Fe	0m
AHRC0060	416978	7099528	100	28m@24.36% Fe	36m
AHRC0060	416978	7099528	100	10m@31.27% Fe	70m
AHRC0061	417032	7099953	150	46m@27.83% Fe	32m
AHRC0062	416635	7099275	136	9m@30.4% Fe	72m
AHRC0062	416635	7099275	136	8m@22.34% Fe	91m
AHRC0062	416635	7099275	136	8m@18.32% Fe	101m
AHRC0063D	416573	7099593	156.6	23.5m@22.44% Fe	8m
AHRC0063D	416573	7099593	156.6	8m@21.22% Fe	41m
AHRC0063D	416573	7099593	156.6	36m@ 38.64% Fe	86m
AHRC0063D	416573	7099593	156.6	16.49m@30.02% Fe	131m
AHDH0005	416753	7100269	178	22.5m@26.36% Fe	29.9m
AHDH0005	416753	7100269	178	18m@31.7% Fe	116m

ASX: AHN

Email: ahn@athenaresources.com.au Telephone: +61 8 9222 5888 Facsimile: +61 8 9222 5810

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Athena Resources Limited 24 Colin St, West Perth WA 6005 Website: www.athenaresources.com.au

Athena Resources Limited – First Quarter Activities Report

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Figure 2. Whitmarsh Find and Whistle Jack over 1500nT Aeromagnetic filter
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Coordinates MGA94 grid

ASX: AHN

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Email: ahn@athenaresources.com.au Telephone: +61 8 9222 5888 Facsimile: +61 8 9222 5810

Athena Resources Limited 24 Colin St, West Perth WA 6005 Website: www.athenaresources.com.au

Athena Resources Limited – First Quarter Activities Report

Figure 3. Byro South Ore Body drilling shown over aerial photography

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Athena Resources Limited ASX: AHN 24 Colin St, West Perth WA 6005 Website: www.athenaresources.com.au

Email: ahn@athenaresources.com.au Telephone: +61 8 9222 5888 Facsimile: +61 8 9222 5810

Athena Resources Limited – First Quarter Activities Report

Figure 4. Byro South Ore Body drilling shown over 1500nT Aeromagnetic

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ASX: AHN

Athena Resources Limited 24 Colin St, West Perth WA 6005 Website: www.athenaresources.com.au

Email: ahn@athenaresources.com.au Telephone: +61 8 9222 5888 Facsimile: +61 8 9222 5810

Athena Resources Limited – First Quarter Activities Report

High Grade Fe Results at Byro East

During the quarter the Company received assay results for a sampling program designed to test a magnetic anomaly at the northern tip of the Byro East ultramafic intrusion .

Assays have revealed very high grades of up to 68.28% Fe in oxide, Table 1. The samples were taken from sub crop and surface float localized above a strong magnetic anomaly, Figure 1.

Table 1. Hematite assay results from sample

Sample_Id East North	Fe SiO2 Al2O3 TiO2 P S LOI
MBCR301 436370 7124138 MBCR302 436336 7124076 MBCR303 436291 7124022 MBCR304 436250 7123990 MBCR305 436200 7123990	% % % % % % % 47.34 13.32 5.14 0.48 0.024 0.190 11.53 58.57 3.58 1.71 0.08 0.058 0.092 8.11 53.83 7.61 4.13 0.21 0.045 0.164 8.45 68.28 0.63 0.24 0.02 0.017 0.037 0.70 63.06 4.62 2.12 0.26 0.020 0.122 1.04

Note: Fe: Iron; SiO2: Silicon Dioxide; AI2O3 : Aluminium Oxide; P: Phosphorus; LOI: Loss On Ignition

SAMPLING DETAILS

• Assays performed by Amdel-Ultratrace Laboratories of the Bureau Veritas Group.

• Assays are from X-Ray Fluorescence Spectrometry, (XRF).

• Grid: MGA50 (GDA94)

The technical information relating to Athena’s exploration projects was compiled by Mr Liam Kelly an employee of Athena Resources limited. Mr Kelly is a Member of the Australasian Institute of Mining and Metallurgy, and has sufficient relevant experience in the styles of mineralisation and deposit styles under consideration to qualify as a Competent Person as defined in “ The Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code, 2004 edition)”. Mr Kelly consents to this inclusion of the information in this report in the context and format in which it appears.

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ASX: AHN

Email: ahn@athenaresources.com.au Telephone: +61 8 9222 5888 Facsimile: +61 8 9222 5810

Athena Resources Limited 24 Colin St, West Perth WA 6005 Website: www.athenaresources.com.au

Athena Resources Limited – First Quarter Activities Report

Figure 1. Byro Sample Location over Aeromagnetic Anomaly

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Grid: MGA50 (GDA94)
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ASX: AHN

Athena Resources Limited 24 Colin St, West Perth WA 6005 Website: www.athenaresources.com.au

Email: ahn@athenaresources.com.au Telephone: +61 8 9222 5888 Facsimile: +61 8 9222 5810

Athena Resources Limited – First Quarter Activities Report

ABOUT ATHENA

Athena Resources Limited (ASX:AHN), which is based in Perth, was listed on the ASX in 2006 and currently has 122 million shares on issue. Athena’s major asset is its 100% interest in the Byro Project where it is exploring for copper, nickel, PGE’s in addition to iron ore. The company also has significant gold, lead and silver targets in the Ashburton.

The Byro Iron Ore Project (Athena 100% through its wholly owned subsidiaries) is strategically located some 330km north east of Geraldton and about 250km north of the Mt Gibson Tallering Peak Project. It is 100km west of the proposed Midwest Iron Ore Railway to link existing and future iron ore projects in the mid west region to the proposed Oakajee deep water bulk shipping port north of Geraldton.

Figure 3 . Byro Location Map

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E W Edwards Managing Director 31 October 2012

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ASX: AHN

Email: ahn@athenaresources.com.au Telephone: +61 8 9222 5888 Facsimile: +61 8 9222 5810

Athena Resources Limited 24 Colin St, West Perth WA 6005 Website: www.athenaresources.com.au