AUREKA LIMITED — Interim / Quarterly Report 2012

Jan 30, 2012

ASX Release: 31 January 2012

December 2011 Quarter

Report to Shareholders

Highlights

Navarre Minerals Limited

ABN 66 125 140 105 ASX Code: NML

• First resource definition drill traverse of 9 month, $4.2 million program of drilling and geophysics completed at Tandarra prospect.

• Tandarra resource definition reverse circulation drill hole RCT006 intersects 24m @ 2.5g Au/t from 35m down-hole, including 1m @ 15.3g Au/t from 45m down-hole and 3m @ 10.9g Au/t from 50m down-hole.

Corporate Details

Issued capital: 55.8M ordinary shares 2.4M unlisted options

• 14 sub-parallel quartz reef lines with confirmed gold mineralisation identified over a 4.0 kilometre east-west distance at Tandarra.

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

• Navarre increases footprint in Bendigo region with farm-in to the Raydarra project (the southern extension of Tandarra) and the Sebastian project.

Geoff McDermott (Managing Director)

• 16.9m at 5.5g Au/t from 65.7m down-hole recorded in first diamond hole, DDK001, at Kingston Gold Project, including 3.1m @ 29.5g Au/t from 65.7m down-hole.

John Dorward (Non-Executive Director)

Summary

Colin Naylor (Non-Executive Director)

Navarre’s focus during the quarter was the resourcing and commencement of a major 9 month, $4.2 million exploration program of drilling and geophysics over the Company’s flagship Tandarra prospect, 40 kilometres north of Bendigo, Victoria. Several milestones have been achieved during the quarter at Tandarra including:

Jane Nosworthy (Company Secretary)

• Completion of 53 line kilometres of geophysics from which 29 potential quartz reef targets were identified.

Steve Harper (Chief Geologist)

• Confirmation of gold mineralisation within 14 of the 29 quartz reef targets with scout air-core drilling.

Contact Details

• Commencement of resource definition reverse circulation drilling with a broad zone of gold mineralisation outlined in the first drill traverse.

Geoff McDermott Managing Director

In addition, the first diamond hole completed at the Kingston Gold Project returned high-grade gold.

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

Finance

• Cash in bank was $4.8 million at 31 December 2011 ($5.4 million at 30 September 2011).

PO Box 385 Stawell VIC 3380 Australia

Corporate

• Announced agreement with ASX-listed Castlemaine Goldfields Limited for Navarre to farm-in to the prospective Raydarra and Sebastian tenements.

Tel: +61 (0)3 5358 8625

• Jane Nosworthy appointed Company Secretary on 16 January 2012.

• Corporate and registered office moved to Stawell.

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

• Drilling programs at Tandarra and Kingston to continue during the March 2012 quarter.

Navarre Minerals Limited 40-44 Wimmera Street PO Box 385, Stawell VIC 3380 Australia Tel: +61 (0) 3 5358 8625 www.navarre.com.au

1. BACKGROUND

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

The Company’s main goal for 2012 is to define a maiden mineral resource and thereafter to become a lowcost, 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 contains the Tandarra prospect, which is a recent greenfields gold discovery under shallow cover 40 kilometres north of the 22 million ounce Bendigo Goldfield (Figure 1).

Navarre’s focus during the quarter to December 2011 was the resourcing and commencement of a major 9 month, $4.2 million exploration program of drilling and geophysics to target and define gold mineralisation under shallow cover at the Tandarra prospect.

Geophysics

Fifty three line kilometres of electrical geophysics were completed since the program commenced in September 2011. The geophysics program detected 29 potential quartz reef targets in the basement rocks lying below less than 40 metres of Murray Basin sands and clay cover (Figure 2). The 29 targets occur over an east-west distance of 5.4 kilometres.

Scout Air-Core (AC) drilling

Following on from the geophysical program, 4,317 metres of reconnaissance or scout AC drilling in 47 drill holes was completed during the quarter into potential quartz reef targets (Figure 2).

Of the 29 potential quartz reef targets identified by geophysics to date, 27 of the target positions have been probed with at least one AC drill hole during the quarter or as a result of previous drill testing. Using a threshold for anomalous reef gold mineralisation of greater than 0.1g Au/t, the Company has now confirmed 14 potential reefs for follow-up drilling. The “confirmed reefs” occupy a mineralised area of 4 kilometres (east-west) by up to 7.5 kilometres (north-south) (Figure 2). Table 1 contains results for anomalous gold detected by AC drilling during the quarter. The best AC drill result for the quarter was in ACT045 which recorded 16.0m @ 0.3g Au/t from 56m down-hole, including 2.0m @ 1.9g Au/t from 61m down-hole. The gold intersection in ACT045 represents a potential new zone of gold mineralisation approximately 4 kilometres east of the Tomorrow line.

Reverse Circulation (RC) resource evaluation drilling

RC drilling commenced on 19 December 2011 over the Tomorrow Anticline with a total of 689m in 6 holes completed by 31 December (Figures 2, 3 & 6). The highlight of this drilling was from a quartz reef system intersected in drill hole RCT006 which was announced to the ASX on 30 January 2012. Drill hole RCT006 intersected 24.0m @ 2.5g Au/t from 35m down-hole, including 1.0m @ 15.3 g Au/t and 3.0m @ 10.9g Au/t (Table 2 & Figure 3). Subsequent to the December quarter, another three RC holes over a lateral extent of 60m have been drilled east of RCT006 to complete the first drill traverse with two of the holes (RCT007 & RCT008) intersecting significant quantities of limonite and hematite stained quartz veining (believed to be favourable for gold mineralisation). Assay results for these holes and a geological cross-section interpretation will be available in the March 2012 quarter

Navarre Minerals Limited 40-44 Wimmera Street PO Box 385, Stawell VIC 3380 Australia Tel: +61 (0) 3 5358 8625 www.navarre.com.au

TABLE 1: Bendigo North Gold Project, Tandarra Prospect – Anomalous Scout Air-Core results returned during the quarter to December 2011

HOLE ID	EASTING (MGA94)	NORTHING (MGA94)	DRILL HOLE ANGLE	FROM (m)	TO (m)	DOWN- HOLE INTERVAL (m)	GOLD (g Au/t)
ACT043	249884	5972769	-90	14.0	15.0	1.0	0.1
ACT045	250075	5972775	-90 includes	56.0 61.0	72.0 63.0	16.0 2.0	0.3 1.9
ACT061	246773	5973030	-90 includes and	36.0 37.5 51.0	43.5 39.0 54.0	7.5 1.5 3.0	0.2 0.6 0.1
ACT063	246986	5973230	-90	123.0	124.5	1.5	0.2
ACT067	247415	5973235	-90	91.5	94.5	3.0	0.1
ACT081	248059	5973235	-90	58.5	60.0	1.5	0.1
ACT087	245998	5972801	-90	90.0	91.5	1.5	0.4

Results for ACT043 are interpreted to represent the presence of alluvial gold in the cover sequence overlying the basement rocks. 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 have been taken from variably dry to wet air-core drilling using spear sampling on either 1.0m or 1.5m intervals. Intervals are length weighted grade averages.

TABLE 2: Bendigo North Gold Project, Tandarra Prospect – Results from RC Drill Traverse No. 1 across the Tomorrow Anticline

HOLE ID	EASTING (MGA94)	NORTHING (MGA94)	DRILL HOLE ANGLE	DRILL HOLE AZIMUTH	FROM (m)	TO (m)	DOWN- HOLE INTERVAL (m)	GOLD (g Au/t)	COMMENTS
RCT001	246883	5972740	-70 includes and and includes	090	29.0 29.0 42.0 71.0 75.0	31.0 30.0 44.0 87.0 78.0	2.0 1.0 2.0 16.0 3.0	1.6 2.9 0.5 1.1 4.3	Tomorrow Reef No.1
RCT002	246853	5972740	-70	090				NSR	Hole drilled west of reef
RCT003	246873	5972740	-70	090				NSR	Hole drilled west of reef
RCT004	246843	5972740	-70	090				NSR	Hole drilled west of reef
RCT005	246863	5972740	-70	090				NSR	Hole drilled west of reef
RCT006	246893	5972730	-60 includes includes and	090	35.0 45.0 50.0 135.0	59.0 46.0 53.0 154.0	24.0 1.0 3.0 19.0	2.5 15.3 10.9 0.2	Tomorrow Reef No.1 Tomorrow Reef No.2
RCT007	246913	5972724	-60	090					Awaiting assays
RCT008	246933	5972730	-60	090					Awaiting assays
RCT009	246953	5972740	-60	090					Awaiting assays

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.

Navarre Minerals Limited 40-44 Wimmera Street PO Box 385, Stawell VIC 3380 Australia Tel: +61 (0) 3 5358 8625 www.navarre.com.au

“We are particularly pleased with the width of gold mineralisation intersected in RCT006 and its relatively shallow depth from 35m down-hole as it aligns with our concept target of a mineral resource that may be suitable to potential open pit mining”, commented Geoff McDermott, Navarre’s Managing Director.

Operational issues resulted in lower than planned drill metres achieved in the December 2011 quarter. This was addressed, subsequent to the quarter end on 16 January 2012, with the appointment of a new drill contractor. Operations re-commenced with RC resource definition drilling on 200m (north-south) spaced drill traverses across the 2.7 kilometre strike of the Tomorrow Anticline and the contractor is achieving planned drill rates. The Company plans to complete a 25,000m RC program prior to the commencement of the cropping season in April 2012. A second RC drill rig is expected to mobilise in February 2012.

Farm-in agreement

On 23 November 2011 Navarre and Castlemaine Goldfields Limited announced their agreement on terms for two farm-in arrangements covering Castlemaine’s prospective Raydarra and Sebastian Gold exploration licenses (ELs) near Bendigo in Victoria (Figure 1). These ELs are along strike from the 22 million ounce Bendigo Goldfield and south of Navarre’s Tandarra prospect. Under the terms of the deal Navarre may earn up to a 75% interest in the ELs.

Navarre expects to complete the formal farm-in agreements with Castlemaine during the March 2012 quarter.

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

The Kingston Gold Project is located 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).

During December 2011, Navarre received regulatory approvals for a 7 hole, 1,200 metre diamond drill program to follow up historic shallow high grade intercepts adjacent to the Kingston Mine workings. Drilling commenced on 20 December 2011 with 3 holes completed to date for 451m (Figures 4 & 7). A mineralised quartz lode was intersected in all 3 holes which is similar in character to that mined 30 kilometres southwest in AuRico Gold Inc.’s Wonga Mine (part of the Stawell Gold Mine).

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 the first hole of the 7 hole program at the Kingston Gold Project. Visible gold was also identified in DDK001 between 65.7m and 65.9m down-hole within a quartz breccia on the hangingwall side 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 (Figure 4). Navarre’s diamond drill program is expected to provide a vital understanding of the structural and stratigraphic controls on gold mineralisation as well as information about the geometry and alteration assemblages to better plan further drill testing of the Kingston Reef system.

In the March 2012 quarter the Company plans to fly a 4,200 line kilometre airborne magnetic survey across the historic Kingston Mine and Landsborough Fault, a major regional control on gold mineralisation, to better define the geology from which to prioritise and rank regional drilling opportunities. Navarre has a dominant land position along the prospective Landsborough Fault (Figure 5), a parallel fault system to the nearby

Navarre Minerals Limited 40-44 Wimmera Street PO Box 385, Stawell VIC 3380 Australia Tel: +61 (0) 3 5358 8625 www.navarre.com.au

Stawell Fault which Navarre believes is a controlling structure for over 5 million ounces of historic gold production.

The Company expects to release in the coming weeks more drill results from two further diamond holes at the Kingston project. The remaining four drill holes of the program are expected to be completed during the March 2012 quarter.

The Company has also been awarded priority and awaits grant of an exploration licence (ELA 5380) covering 185 square kilometres of the prospective Landsborough Fault adjoining the southern end of the Kingston Gold Project (Figure 1).

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

The Black Ranges 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 is 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 Ranges Project is underway by a consultant from the Centre of Excellence in Ore Deposits at the University of Tasmania.

2.4. BALLARAT SOUTH GOLD PROJECT (EL 4996)

No exploration activities to report.

3. ACTIVITIES PLANNED FOR MARCH 2012 QUARTER

• Continuation of drilling activities at Tandarra and Kingston.

• Execution of final farm-in agreements with Castlemaine for the Raydarra and Sebastian properties north of Bendigo.

• Commencement of geophysical surveys at Kingston and Raydarra.

4. CORPORATE

On 16 January 2012, Jane Nosworthy was appointed as Company Secretary and, on the same date, the Company’s corporate and registered office was relocated to 40-44 Wimmera Street Stawell Victoria, Australia.

The Company held $4.8 million cash as at 31 December 2011.

- ENDS -

For further information contact:

Geoff McDermott Managing Director

E: info@navarre.com.au

T: +61 (0)3 5358 8625

Navarre Minerals Limited 40-44 Wimmera Street PO Box 385, Stawell VIC 3380 Australia Tel: +61 (0) 3 5358 8625 www.navarre.com.au

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 forwardlooking 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 forwardlooking 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, subsurface exposure of basement rocks and extent of cover rock sequences.

Navarre Minerals Limited 40-44 Wimmera Street PO Box 385, Stawell VIC 3380 Australia Tel: +61 (0) 3 5358 8625 www.navarre.com.au

Figure 2: Map showing location of recently detected geophysical anomalies, confirmed mineralised quartz reefs, completed geophysical survey area and location of AC and RC drilling activity undertaken on the Bendigo North Project, Tandarra Prospect during the December 2011 quarter.

Navarre Minerals Limited 40-44 Wimmera Street PO Box 385, Stawell VIC 3380 Australia Tel: +61 (0) 3 5358 8625 www.navarre.com.au

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Figure 3: Location map of RC drilling program at Tandarra prospect

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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.

Navarre Minerals Limited 40-44 Wimmera Street PO Box 385, Stawell VIC 3380 Australia Tel: +61 (0) 3 5358 8625 www.navarre.com.au

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Figure 5: Simplified geological plan of Navarre’s Kingston and Landsborough Fault exploration tenements, location of major regional faults believed to control gold mineralisation and location of historic goldfields.

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Figure 6: Reverse Circulation drilling at Tandarra Prospect.

Navarre Minerals Limited 40-44 Wimmera Street PO Box 385, Stawell VIC 3380 Australia Tel: +61 (0) 3 5358 8625 www.navarre.com.au

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Figure 7: Diamond drilling at Kingston Gold Project.

Navarre Minerals Limited 40-44 Wimmera Street PO Box 385, Stawell VIC 3380 Australia Tel: +61 (0) 3 5358 8625 www.navarre.com.au