AUREKA LIMITED — Interim / Quarterly Report 2012

Apr 25, 2012

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ASX Release: 26 April 2012

March 2012 Quarter

Navarre Minerals Limited

ABN 66 125 140 105

ASX Code: NML

Corporate Details

Issued capital: 55.8M ordinary shares 2.6M unlisted options

Directors & Management: Kevin Wilson (Non-Executive Chairman)

Geoff McDermott (Managing Director)

John Dorward (Non-Executive Director)

Colin Naylor (Non-Executive Director)

Jane Nosworthy (Company Secretary)

Steve Harper (Chief Geologist)

Contact Details

Geoff McDermott Managing Director

Navarre Minerals Limited 40 – 44 Wimmera Street Stawell VIC 3380 Australia

Report to Shareholders

Highlights

• Major focus on Tandarra Gold prospect, 40 km north of Bendigo with program of diamond, reverse circulation (“RC”) and air-core drilling approximately 50% complete.

• Tandarra drill program results confirm and expand original theories on similarities to Bendigo Goldfield quartz reef accumulations.

• Multiple shallow, moderate to high grade gold drill intercepts returned from Tandarra RC drilling including: 4m @ 9.2g Au/t from 18m down-hole in RCT063; 4m @ 9.4g Au/t from 44m down-hole in RCT050; and 6m @ 3.1g Au/t from 40m down-hole in RCT062.

• Resource definition drill results received to date demonstrate significant shallow and potentially economic gold mineralisation over a strike length of 650m at Tandarra within a 2.5km zone previously established by air-core drilling.

Summary

Navarre’s $4.2 million exploration program of drilling and geophysics over the Tandarra Gold prospect is one of the largest greenfields gold exploration projects in Victoria. Tandarra is at the centre of the Company’s Bendigo North Gold Project, 40 kilometres north of Bendigo, in Victoria, Australia. Significant progress towards the goal of delivering a maiden mineral resource was achieved during the quarter including:

• completion of 71 reverse circulation (“RC”) and 5 diamond drill holes for 7,336 and 855 metres respectively;

• continued demonstration with RC drill results received to date that near surface moderate to high-grade gold mineralization on the Tomorrow Line extends over a strike length of at least 650 metres; and

• confirmation by diamond drilling that Tandarra geology and mineralisation is analogous to the Bendigo Goldfield.

Finance

• Cash in bank was $3.7 million at 31 March 2012 ($4.8 million at 31 December 2011).

Corporate

PO Box 385 Stawell VIC 3380 Australia

Tel: +61 (0)3 5358 8625

Email: info@navarre.com.au Website: www.navarre.com.au

• Formal agreements signed with ASX-listed Castlemaine Goldfields Limited for Navarre to farm-in to the prospective Raydarra and Sebastian tenements, adjacent to and south of Tandarra.

Outlook

• Drilling program at Tandarra continues during the June quarter with RC, diamond and air-core rigs active.

• Trial geophysical surveys to be undertaken at Raydarra and Sebastian Gold Projects.

• Initial air-core drill program to commence at Raydarra.

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1. BACKGROUND

Navarre Minerals Limited (ASX Code: NML) is an Australian gold and base metals exploration company with projects located in central and western Victoria with the potential for large gold and copper-gold-zinc deposits.

Navarre’s goal is to define a maiden mineral resource and to become a low-cost, significant Victorian gold producer through exploration success.

2. EXPLORATION

2.1. BENDIGO NORTH GOLD PROJECT (Tandarra prospect, EL 4897 & EL 5364)

The Bendigo North Gold Project is a recent greenfields gold discovery under shallow cover, 40 kilometres north of the 22 million ounce Bendigo Goldfield (Figures 1 & 2).

Navarre’s focus during the quarter was continuation of a resource definition RC drill program and commencement of diamond drilling at the Tandarra prospect. Several high-grade gold results were returned from RC drilling during the quarter. Highlights include:

• 4m @ 9.2g Au/t from 18m down-hole, including 1m @ 30.9g Au/t, in RCT063;

• 4m @ 9.4g Au/t from 44m down-hole, including 1m @ 33.6g Au/t, in RCT050;

• 24m @ 2.5g Au/t from 35m down-hole, including 3m @ 10.9g Au/t and 1m @ 15.3g Au/t, in RCT006;

• 6m @ 3.1g Au/t from 40m down-hole, including 4m @ 4.5g Au/t, in RCT062;

• 5m @ 3.9g Au/t within 12m @ 1.8g Au/t from 73m down-hole in RCT028; and

• 2m @ 5.5g Au/t from 77m down-hole, including 1m @ 10.3g Au/t, in RCT069.

• *All results are reported as down-hole lengths. A full suite of results for Q1 2012 is provided in Table 1.

To date, significant gold intercepts returned from RC drilling occur over a strike length of 650m, which is expected to expand with further results from within the 2.5km of strike previously outlined by scout air-core drilling (Figure 3). The results are believed to be supportive of a conceptual open pit. The Company is working towards demonstrating the economic potential of a mining operation targeting high-grade, unevenly distributed pods of gold contained within broad zones of gold in quartz mineralisation.

During the quarter, 71 RC holes were drilled for 7,336 metres with a further 4,000 metres scheduled to be completed before the RC rig leaves site at the end of April 2012. In addition five diamond holes for 855 metres were drilled during the quarter in order to aid interpretation of RC drill intercepts for resource modeling purposes.

During the quarter, a significant backlog of results built up at the assay laboratory (3,582 samples have been processed to date, while 1,315 remain with the assay laboratory). The Company is working closely with the laboratory to ensure this backlog clears as quickly as possible.

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TABLE 1: Bendigo North, Tandarra prospect, Quarter 1 2012 RC Drill Results

HOLE ID	EASTING (MGA94)	NORTHING (MGA94)	DIP	AZIMUTH (MGA94)	FINAL DEPTH	FROM (m)	TO (m)	DOWN-HOLE INTERVAL(m)	GOLD (g Au/t)
RCT010	246852	5972828	-70	090	171 includes includes includes includes includes	30 32	38 33	8 1	0.4 1.1
						42	43	1	1.2
						53 57	58 58	5 1	0.4 1.2
						65 66	72 67	7 1	0.7 1.2
						85 85	92 86	7 1	0.5 1.5
						123	124	1	1.4
						153	154	1	0.9
						163 169	171 170	8 1	3.4 24.0
RCT011	246871	5972825	-70	090	123 includes and	20	23	3	0.6
						65 66 66	82 76 67	17 10 1	0.8 1.2 6.0
RCT012	246894	5972828	-70	090	171				NSR
RCT013	246801	5972946	-70	090	111 includes	27 29	36 30	9 1	1.0 3.0
RCT014	246820	5972945	-70	090	105	45	47	2	1.5
						69	71	2	0.6
RCT015	246846	5972936	-70	090	99				NSR
RCT016	246794	5973031	-70	090	105	68	69	1	2.5
						79	80	1	1.0
RCT017	246813	5973031	-70	090	99				NSR
RCT018	246834	5973031	-70	090	141				NSR
RCT019	246769	5973243	-70	090	138	134	135	1	0.6
RCT020	246789	5973244	-70	090	102				NSR
RCT021	246809	5973244	-70	090	102				NSR
RCT022	246749	5973244	-70	090	96				NSR
RCT023	246584	5972939	-70	090	90	66	67	1	0.8
RCT024	246602	5972939	-70	090	102				NSR
RCT025	246984	5972622	-70	090	108 includes	24 41	49 47	25 6	0.8 1.9
RCT026	247003	5972622	-70	090	102				NSR
RCT027	247023	5972623	-70	090	156				NSR
RCT028	247018	5972419	-70	090	102 includes includes	73 79 82	85 84 83	12 5 1	1.8 3.9 14.8
RCT029	247038	5972420	-70	090	108	78	80	2	0.5
RCT030	247058	5972421	-70	090	108	59	63	4	1.0
						70	75	5	1.1
						79	81	2	0.5
RCT031	246701	5973879	-70	090	66				NSR
RCT032	246686	5974080	-70	090	72				Assayspending
RCT033	246579	5973029	-70	090	102				Assayspending
RCT034	246595	5973028	-70	090	102				NSR
RCT035	246616	5973028	-70	090	96				NSR
RCT036	246880	5973120	-60	270	96				Assayspending
RCT037	246784	5973030	-70	090	85				Assayspending
RCT038	246878	5973121	-60	270	102				Assayspending
RCT039	246939	5973030	-60	090	108				Assayspending
RCT040	247092	5972218	-60	090	96				Assayspending
RCT041	247111	5972219	-70	090	96				Assayspending
RCT042	246847	5973042	-80	270	90 includes	60 66	79 67	19 1	1.1 7.5

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HOLE ID	EASTING (MGA94)	NORTHING (MGA94)	DIP	AZIMUTH (MGA94)	FINAL DEPTH	FROM (m)	TO (m)	DOWN-HOLE INTERVAL(m)	GOLD (g Au/t)
RCT043	246928	5972751	-80	270	84 includes and includes and	31 34 34	45 43 35	14 9 1	0.6 0.8 3.0
						53 53 58	71 62 62	18 9 4	1.0 1.8 2.5
RCT044	246916	5972749	-80	270	72				Assayspending
RCT045	246903	5972754	-80	270	66 includes includes and	27 42	44 43	17 1	1.0 10.6
						54 55 55	60 59 56	6 4 1	1.9 2.8 6.1
RCT046	246965	5972750	-62	270	102 includes	87 90	94 91	7 1	0.8 3.4
RCT047	246856	5972929	-80	270	72	52	53	1	0.7
						66	67	1	4.2
RCT048	246832	5973043	-80	270	80				NSR
RCT049	246822	5973042	-80	270	90				Assayspending
RCT050	246843	5972929	-80	270	102 includes and	44 44 57	47 45 58	4 1 1	9.4 33.6 2.6
RCT051	246830	5972929	-80	270	60				Assayspending
RCT052	246817	5972928	-80	270	60 includes includes	21 27 27	31 31 28	10 4 1	0.9 1.8 4.3
RCT053	246636	5972950	-80	270	126				NSR
RCT054	246621	5972949	-80	270	135 includes and	101	102	1	1.7
						118 124 124	133 130 125	15 6 1	0.7 1.0 2.0
RCT055	246604	5972948	-80	270	114	54	55	1	0.8
						100	102	2	1.6
RCT056	246651	5972952	-80	270	138	33	34	1	0.8
RCT057	246591	5972956	-80	270	120	66	68	2	1.1
RCT058	246794	5973043	-80	270	78	37	38	1	1.3
RCT059	246819	5973250	-80	270	102				NSR
RCT060	246805	5973250	-80	270	96				NSR
RCT061	246837	5972820	-80	270	102				NSR
RCT062	246997	5972630	-80	270	150 includes includes includes	40 41	46 45	6 4	3.1 4.5
						76 81	93 88	17 7	1.2 2.2
						103 108	113 113	10 5	1.0 1.6
RCT063	246982	5972630	-80	270	120 includes	18 20	22 21	4 1	9.2 30.9
						70	71	1	1.2
						76	77	1	4.0
						97	98	1	1.1
						103	107	4	2.4
RCT064	246961	5972630	-80	270	108				Assayspending
RCT065	247012	5972630	-80	270	120				Assays pending
									Assays pending Pre- collar for DDT003
RCT066	247145	5972820	-55	270	70
RCT067	247104	5972420	-80	270	108	34	36	2	0.6
						46	47	1	0.5
						49	50	1	0.5
						69	70	1	4.5
						89	90	1	0.7

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HOLE ID	EASTING (MGA94)	NORTHING (MGA94)	DIP	AZIMUTH (MGA94)	FINAL DEPTH	FROM (m)	TO (m)	DOWN-HOLE INTERVAL(m)	GOLD (g Au/t)
RCT068	247088	5972420	-80	270	102 includes and and and	37	38	1	0.8
						58 58 61 73 84	90 59 62 74 85	32 1 1 1 1	0.4 3.6 1.0 2.0 1.0
RCT069	247070	5972420	-80	270	84 includes	77 77	79 78	2 1	5.5 10.3
RCT070	247126	5972410	-80	270	96				Assayspending
RCT072	247042	5972020	-80	270	96				Assayspending
RCT073	247006	5971820	-76	270	142				Assayspending
RCT074	246991	5971820	-76	270	120				Assayspending
									Assays pending Hole failed to reach basement
RCT075	247092	5971620	-80	270	50
RCT076	247256	5971420	-80	270	108				Assayspending
RCT077	246720	5973460	-80	270	105				Assayspending
RCT079	246632	5973680	-80	270	102				Assayspending
RCT081	246500	5973460	-80	270	120				Assayspending
RCT082	246480	5973460	-80	270	90				Assayspending
RCT084	246462	5973680	-80	270	96				Assayspending

All assay results have been determined by Leachwell[©] (24 hour) cyanide leach 2,000g analysis. A series of external standards and blanks are used to assess laboratory assay quality control. All samples intervals are 1m in length. All reverse circulation samples have been recorded as dry and samples are split using an on-board rotary splitter. Intervals are length weighted grade average. True widths are yet to be determined. NSR refers to no significant results. There has been insufficient drilling undertaken on the Tandarra prospect to define a Mineral Resource and it is uncertain if further exploration will result in determination of a Mineral Resource.

Farm-in agreement on ground to the south of Tandarra

On 20 February 2012 Navarre and Castlemaine Goldfields Limited (ASX Code: CGT) announced that they had finalised two farm-in agreements covering the Raydarra and Sebastian Gold Projects, located to the south of Tandarra (Figures 1 & 2). Under the terms of the deal, Navarre may earn up to a 75% interest in the Projects.

During the quarter, Navarre completed a trial line of geophysics at Raydarra. Following encouraging results from that survey, the Company commenced a six hole air-core drill program on 19 April 2012 to test four geophysical targets that appear to be continuous with quartz reefs identified on Navarre’s Tandarra prospect. The Raydarra Project is similar to Tandarra insofar as it sits on a “buried hill” or dome covered by a thin veneer of Murray Basin sand and clay and where the depth to the top of the basement rocks is as shallow as 6 metres.

2.2. KINGSTON GOLD PROJECT (EL 5280 & ELA 5380)

The Kingston Gold Project is 30 kilometres northeast of the 5 million ounce Stawell Gold Mine operation in western Victoria (Figure 1). Kingston is an historic gold mine and the Company is following-up several previous high-grade gold intercepts. Historic gold workings occur within a northeast trending zone of quartz stockwork veining and associated brecciation defining an area of approximately 100m wide and over 1 kilometre in strike length (Figure 4).

On 24 January 2012 Navarre announced a diamond drill result of 16.9m at 5.5g Au/t from a depth of 65.7m down-hole, including 3.1m at 29.5g Au/t, in DDK001. Visible gold was also identified in DDK001 between 65.7m and 65.9m down-hole on the upper or hangingwall contact of a quartz lode structure. DDK001 was drilled targeting high grade gold mineralisation 10m north of percussion hole KINC058 which intersected 9m at 40.5g Au/t from 78m down-hole (Figures 4 & 5).

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Results from diamond holes DDK002 and DDK003 were received during the quarter. Low gold grades were returned for these holes despite both intersecting a large quartz lode structure. Navarre believes that these results are consistent with the nuggety nature of gold mineralisation reported historically at the Kingston Mine prospect (Table 2).

TABLE 2: Kingston Diamond Drill Results

HOLE ID	EASTING (MGA94)	NORTHING (MGA94)	DIP	AZIMUTH (MGA94)	FINAL DEPTH	FROM (m)	TO (m)	DOWN- HOLE INTERVAL (m)	GOLD (g Au/t)	NOTES
DDK001	677992	5920278	-60	112	218.3 includes	65.7 65.7	82.6 68.8	16.9 3.1	5.5 29.5	Main Lode
						128.3	129.5	1.2	NSR	FW Lode
DDK002	677992	5920278	-50	112	131.6 includes	63.9 72.3	76.5 73.0	12.6 0.7	0.3 3.5	Main lode
						104.6	106.7	2.1	NSR	FW Lode
DDK003	678044	5920291	-60	112	101.4 includes	33.8 38.6	63.6 39.0	29.8 0.4	0.1 1.0	Main Lode
						89.3	100.0	10.7	NSR	FW Lode

All assay results have been determined by fire assay with AA finish. A series of external standards and blanks are used to assess laboratory assay quality control. All samples intervals are based on cut half core samples of varying lengths of up to 1.5 metres based on geological intervals. NSR refers to no significant results. Core recovery for reported intervals is moderate to high. Core loss intervals are ascribed a zero gold grade. Intercepts are down-hole lengths with grades weighted for length. True widths are not known. There has been insufficient drilling undertaken on the Kingston Mine prospect to define a Mineral Resource and it is uncertain if further exploration will result in determination of a Mineral Resource.

Other activity during the quarter includes the completion of a 4,200 line kilometre airborne magnetic survey across the old Kingston Mine and Landsborough Fault. This data will be analysed in the second quarter to identify regional drilling targets.

The Landsborough Fault is believed to be a major control on gold mineralisation in the region. In April 2012, the Company was granted exploration licence EL 5380 (Glendhu), covering 185 square kilometres of the Landsborough Fault adjoining the southern end of the Kingston Gold Project (Figures 1 & 6). Navarre now has a dominant land position along the Landsborough Fault (refer Figure 6), a parallel fault system to the nearby Stawell Fault which is considered to be a controlling structure for over 6 million ounces of historic gold production from the Stawell and Ararat Goldfields.

2.3. BLACK RANGE BASE METALS PROJECT (EL 4973, EL 4590 & EL 5164)

The Black Range Project is a base metals and gold exploration target in the Grampians – Stavely region of western Victoria (Figure 1). The project area contains about 60 kilometres of Cambrian age volcanics that show pronounced geological similarities to the Mount Read Volcanics (“MRV”) of northwest Tasmania, which are host to a number of volcanic massive sulphide deposits such as Rosebery, Hellyer and Que River and the large Mt Lyell copper-gold deposit.

An independent review of the geology and exploration conducted to date on the Black Range Project is underway and expected to be completed in the second quarter of 2012 by a consultant from the Centre of Excellence in Ore Deposits (“CODES”) at the University of Tasmania. CODES are experts in Tasmania’s MRV and Navarre awaits the final report to assist with target generation.

2.4. BALLARAT SOUTH GOLD PROJECT (EL 4996)

No exploration progress to report as the Company continues to prioritise Bendigo North and Kingston.

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3. ACTIVITIES PLANNED FOR JUNE 2012 QUARTER

• Continuation of Tandarra drilling program to June 2012 when it will pause for the cropping season and recommence in September 2012;

• Completion of a six hole air-core drill program at Raydarra;

• Receipt of 1,315 outstanding assay results from Tandarra;

• Further geophysical surveys at Raydarra and commencement of a trial program at Sebastian; and

• Target generation at Kingston following analysis and modeling of data from the airborne geophysics survey.

4. CORPORATE

The Company held $3.7 million cash as at 31 March 2012.

There are 55.8 million ordinary shares and 2.6 million unlisted options on issue.

- ENDS -

For further information contact:

Geoff McDermott Managing Director

E: info@navarre.com.au

• T: +61 (0)3 5358 8625

Competent Person Declaration

The information in this release that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Steve Harper, who is a Member of The Australasian Institute of Mining and Metallurgy and who is Chief Geologist of Navarre Minerals Limited. Mr Harper 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 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr Harper consents to the inclusion in the release of the matters based on his information in the form and context in which it appears.

Forward-Looking Statements

This announcement contains “forward-looking statements” within the meaning of securities laws of applicable jurisdictions. Forward-looking statements can generally be identified by the use of forward-looking words such as “may”, “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “believe”, “continue”, “objectives”, “outlook”, “guidance” or other similar words, and include statements regarding certain plans, strategies and objectives of management and expected financial performance. These forward-looking statements involve known and unknown risks, uncertainties and other factors, many of which are outside the control of Navarre and any of its officers, employees, agents or associates. Actual results, performance or achievements may vary materially from any projections and forward-looking statements and the assumptions on which those statements are based. Exploration potential is conceptual in nature, there has been insufficient exploration to define a Mineral Resource and it is uncertain if further exploration will result in the determination of a Mineral Resource. Readers are cautioned not to place undue reliance on forward-looking statements and Navarre assumes no obligation to update such information.

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Figure 1: Location of Navarre’s mineral projects, interpreted major mineral corridors, sub-surface exposure of basement rocks and extent of cover rock sequences.

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Figure 2: Location map of the Bendigo North, Raydarra and Sebastian Gold Projects.

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Figure 3: Satellite image of Tandarra prospect showing location of diamond drilling, significant drill intercepts and status of RC drilling.

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FIGURE 4: Plan of southwest end of Kingston Gold Project showing location of Navarre Minerals diamond holes (DDK001 - DDK003), previous drilling with significant gold intercepts, surface quartz veining and mapped extents of northeast trending zone of brecciation and quartz stockwork veining.

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FIGURE 5: Kingston geological cross-section interpretation (refer to Figure 4, Section AB) displaying previous drilling and Navarre’s recent drill holes DDK001 and DDK002.

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FIGURE 6: Simplified geological plan of Navarre’s Kingston and Glendhu exploration properties, location of major regional faults believed to control gold mineralisation and location of historic goldfields.

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