AVIRA RESOURCES LTD — Interim / Quarterly Report 2014

Jul 30, 2014

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QUARTERLY REPORT

June 2014

June Quarterly Report Exploration Activities Report Quarter ended 30 June 2014

ASX CODE

MGS

MGT Resources Limited’s (MGT, ASX:MGS) corporate objective is to become a fully-fledged tin producer.

REGISTRY

Computershare

The company’s strategy to achieve this goal is to develop short term cash flow from campaign production from existing tin projects in order to support growth.

SHARES ON ISSUE

The June 2014 quarter saw MGT continue to progress towards executing this strategy.

288,157,040

HIGHLIGHTS

Summer Hills Tin Project

Tin Price: US$22,600/t

Phase One of the 2014 Summer Hills Drilling Programme has been completed and interim results have been received.

The results are encouraging and MGT is currently awaiting the remaining assays.

Better intervals from the assay results received to date are:

• 20m @ 0.6% tin from 12 metres (including 1m @ 5.95% Sn) (SH09; Summer Hill prospect)

• 10m @ 0.34% tin from 45 metres (including 1m @ 1.03% Sn) (SH21; Summer Hill prospect)

• 1m @ 1.9% tin from 16 metres (MAY12; Mayday prospect)

• 7m @ 1.88% tin from 12 metres including 2m @ 3.6% Sn (VK17; Viking prospect)*

• 4m @ 0.45% tin from 17 metres (PS06; Padstow prospect)*

MGT

Resources Limited 2.05/68 York Street Sydney NSW 2000 Australia

T: 61 2 9262 1122 F: 61 2 9299 5175

*The geometry of mineralisation is uncertain for these two holes. It is probable that true widths are less than the reported down-hole intercepts.

Corporate

www.mgt.net.au info@mgt.net.au

ABN: 38 131 715 645

MGT remains well funded with cash reserves of $2.32 million as at 30 June 2014

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1. SUMMER HILLS TIN PROJECT, QUEENSLAND (MGT 89.48%) Includes: Summer Hills ML20547; Mt Veteran Mill ML4349;

1.1 Phase One of 2014 Summer Hills Drilling Programme

MGT Resources Limited (MGT or The Company; ASX:MGS), through its 89.48% owned subsidiary MGT Mining Limited (MGTM) commenced Phase One of its 2014 Summer Hills Drilling Campaign, consisting of reverse circulation percussion drilling on its Summer Hills mining lease (ML20547). Interim drilling results from the first batch of assays received from the ALS laboratory at Bohle were released to the ASX on 21 July 2014. To date, results for 26 holes have been received.

Figure 1 shows a plan of the drilling targets and gives some indication of the number of holes with results still pending. The results from holes for which assays have been received are promising; particularly for the Summer Hill prospect, with broad intersections of moderate grade in a number of holes (SH21: 10m @ 0.34% Sn (including 1 m @ 1.03% Sn) and SH09: 20m @ 0.6% Sn (including 1m @ 5.95% Sn) (see Figure 2).

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Figure One : Locations of drill collars from 2014 Summer Hills Phase One drilling programme and significant results to date.

Supporting the prioritisation of drilling targets, an extensive rock chip sampling programme was conducted at Summer Hill, Viking and Padstow prior to the drilling programme.

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Drilling was conducted to follow up historical results of interest from a number of prospects within the ML, including Mayday, Summer Hill and Viking. A new prospect, Padstow, was also tested as well as follow-up of positive results from Phase Four of the Dalcouth drilling program (completed in late 2013) The programme comprised a total of 63 holes (2835 metres) and one extension of a pre-existing hole (21 metres).

1.2 Aerial Mapping of Summer Hills Mining Lease

High resolution aerial photography was completed over the Dalcouth prospect and surrounding areas using a specialised drone aircraft technology. This technology produces cost effective, detailed photography that has many uses for MGT including detailed geological mapping, mine planning and pit design.

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Figure Two : Aircraft drone taking high resolution digital photographs over the Summer Hills Mining Lease.

1.3 Grant of new application area Nanyetta

MGT has been granted three sub-blocks of ground that overlap with the southern boundary of the Summer Hills ML. The ground is considered prospective due to its proximity to government-mapped granite. The application has been granted for a term of five years.

1.4 Next Steps

Planning for a second phase of drilling to follow up on positive results as well as testing other prospects has already begun. Rock chip sampling and soil sampling infill programmes are being conducted on a number of historical prospects including Veteran and Tom Hood. New areas of interest are also being examined.

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2. NYMBOOL PROJECT, QUEENSLAND (MGT 89.48%) Includes Heads or Tails ML20655; Nymbool EPM16948

2.1 Heads or Tails Campaign Production Suspended

In the March quarter, the Company’s subsidiary MGT Mining Limited (MGTM) was granted permission to process the material from the Heads or Tails mining lease under its current environmental approval. Subsequent to this permission, however, MGTM received advice that in order to process the material, the Mt Veteran Tin Processing Plant tailings storage facility (‘TSF’) would need to be upgraded. Due to the small scale of the Heads or Tails campaign, the cost of upgrading the TSF made the campaign unfeasible as a standalone project.

Heads or Tails is a small mining lease that sits over the tailings from the historic Smiths Creek tin mine. MGT intends to process these tailings at the Mt Veteran Tin Processing Plant as part of its campaign production strategy. Management will reassess the viability of processing Heads or Tails as and when the TSF is upgraded.

3. PYRAMID GOLD PROJECT, QUEENSLAND (MGT 89.48%) Includes Pyramid EPM 12887

During the June quarter, a soil sampling programme was planned and is currently being carried out over the Pyramid Gold Project. The programme aims to cover the structure linking the Gettysberg and Marrakesh prospects. The programme has a 200 metre line spacing and 50 metre spaced samples to cover approximately 5 kilometres of strike along structure for approximately 400 samples.

The Pyramid Gold Project is a non-core project, however following encouraging drilling results from late 2012, the company plans to continue with low budget exploration expenditure in order to maintain the tenement in good standing.

4. SOUTHERN QUEENSLAND PROJECTS (MGT 89.48%) Includes Yarrol EPM 8402, Mt Steadman EPM 12834; Gooroolba EPM 15426

No exploration work was undertaken on the Southern Queensland Projects during the June quarter. The Southern Queensland Projects are prospective for gold and as such are non-core assets for MGT.

The company relinquished 40% of the Gooroolba tenement (EPM15426), retaining 30 sub-blocks.

3. MGT CORPORATE

3.1 Cash

Cash at hand as at 30 June 2014 was $2.32 million.

3.3 Tin Market Summary

Indonesian tin exports to May were well above expectations, however export regulations have recently been tightened which may lead to supply drying up.[1] The tin price has remained steady at approximately US$22,500 per tonne

ENDS

1 Kettle, Peter (ed), ‘Tin Monitor’, CRU Group, June 2014

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Investor and media enquiries:

Alexander Moody Company Secretary T: +61 2 9262 1122 alex.moody@mgt.net.au

ABOUT MGT RESOURCES

MGT is an Australian mining and exploration company listed on the Australian Securities Exchange (ASX:MGS). The board’s corporate objective is to build MGT into a fully-fledged tin mining company. The company’s strategy to achieve this is to develop short-term cash flow from its existing projects.

ABOUT THE SUMMER HILLS TIN PROJECT

MGT’s flagship Summer Hills Tin Project is located a three hour drive south west of Cairns, in far North Queensland. MGT’s primary mining lease Summer Hills ML20547 (Summer Hills ML) was granted in late January 2013 and a shipment of tin was sent the following month to a London Metals Exchange approved smelter in Asia.

ML Contains Mill And Mining And Exploration Targets

Within the Summer Hills ML sits the Mt Veteran Tin Processing Plant on its own ML4349, along with a number of tin mining and exploration targets such as Dalcouth, Extended, Summer Hill, Viking, May Day and Padstow.

Competent Persons statement

Information in this report related to exploration results or mineral resources are based on information compiled by MGT technical staff and checked by Max Rangott of Rangott Mineral Exploration Pty Ltd, who is a member of both the AIG and the AusIMM. Mr Rangott 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, Minerals Resources and Ore Reserves’. Mr Rangott consents to the inclusion in the report of the statements based on the information in the form and context in which it appears.

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Appendix 1

JORC CODE TABLE 1

Section 1: Sampling Techniques and Data

Criteria	Explanation	Commentary
Sampling techniques	Nature and quality of sampling (e.g. cut	Phase one of the 2014 Summer Hills
	channels, random chips, or specific	drilling program was entirely conducted
	specialised industry standard	by reverse circulation percussion drilling
	measurement tools appropriate to the	using a 125-130mm diameter hammer bit
	minerals under investigation, such as	to produce chip samples.
	down hole gamma sondes, or handheld
	XRF instruments, etc.) These examples
	should not be taken as limiting the broad
	meaning of sampling.
	Include reference to measures taken to	Sample representivity was ensured by the
	ensure sampling representivity and the	following measures:
	appropriate calibration of any	- reverse circulation percussion drilling
	measurement tools or systems used.	was used to obtain bulk samples over 1m
		intervals, from which 3-6kg were riffle-split
		off for analysis.
		- all sample was collected through a cyclone with the 1/8thassay sample being collected via a 1/8th– 7/8thriffle splitter
		mounted beneath the cyclone
		- RC chips were logged for lithology,
		weathering, alteration and mineralisation
	Aspects of the determination of	Reverse circulation drilling was used to
	mineralisation that are Material to the	obtain bulk samples over 1m intervals,
	Public Report. In cases where ‘industry	from which 3-6kg were split off for
	standard’ work has been done this would	analysis.
	be relatively simple (e.g. ‘reverse
	circulation drilling was used to obtain 1m	Each 1m sample was analysed at the Mt
	samples from which 3kg was pulverised	Veteran office using a FXL laboratory
	to produce a 30g charge for fire assay’).	portable X-Ray Fluorescence (XRF)
	In other cases more explanation may be	machine. Anomalous samples were sent
	required, such as where there is coarse	to Australian Laboratory Services (ALS)
	gold that has inherent sampling problems.	for further analysis.
	Unusual commodities or mineralisation
	types (e.g. submarine nodules) may	Samples sent to ALS were riffle split at
	warrant disclosure of detailed information.	the laboratory to obtain a sample between
		2.5 and 3.2kg in weight and then
		pulverised. Each sample was analysed
		for Sn using an ore-grade fused disc XRF
		technique (XRF15b).
Drilling techniques	Drill type (e.g. core, reverse circulation,	All drilling in 2014 Phase One was
	open-hole hammer, rotary air blast,	conducted using a reverse circulation
	auger, Bangka, sonic, etc.) and details	percussion rig with face-sampling bits
	(e.g. core diameter, triple or standard	producing 125-130mm diameter holes.
	tube, depth of diamond tails, face-	Shallower holes (<75m) were drilled with
	sampling bit or other type, whether core is	a rig with 600cfm/300psi air capacity
	oriented and if so, by what method, etc.)	while deeper holes were drilled using a rig
		with 750cfm/350psi air capacity. An
		auxiliary compressor of 900cfm/350psi
		and booster of 1000psi capacity was used
		for most deep holes and some of the
		shallower holes.
Drill sample recovery	Method of recording and assessing core	Weights of all samples collected from the
	and chip sample recoveries and results	cyclone are recorded over 1m intervals.
	assessed.	Final recoveries remain to be calculated
		and assessed.
	Measures taken to maximise sample	All sample obtained by the face-sampling
	recovery and ensure representative	drillingwas collected via a cyclone

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Criteria	Explanation	Commentary
	nature of the samples.	attached to the drill rig with the laboratory
		assay sample being collected directly beneath the cyclone using a 1/8th-7/8th
		riffle splitter.
	Whether a relationship exists between	Sample recoveries have yet to be
	sample recovery and grade and whether	calculated in order to assess whether or
	sample bias may have occurred due to	not any sampling bias has occurred.
	preferential loss/gain of fine/coarse
	material.
Logging	Whether core and chip samples have	Geological logging has been carried out
	been geologically and geotechnically	on all holes. The holes have been logged
	logged to a level of detail to support	for lithology, weathering, alteration and
	appropriate Mineral Resource estimation,	mineralisation, to allow correlation
	mining studies and metallurgical studies	between holes where possible.
	Whether logging is qualitative or	The logging of RC chips is both
	quantitative in nature. Core (or costean,	qualitative and quantitative. Alteration,
	channel etc.) photography.	weathering and mineralisation data
		contain both qualitative and quantitative
		fields. Photographs of reference chip
		trays have yet to be taken.
	The total length and percentage of the	The entire length of all drill holes has
	relevant intersections logged.	been geologically logged.
Sub-sampling	If core, whether cut or sawn and whether	Only RC chip samples were taken.
techniques and	quarter, half or all core taken.
sample preparation
	If non-core, whether riffled, tube sampled,	Samples were riffle split to obtain weights
	rotary split, etc. and whether sampled wet	suitable for analysis at ALS. All holes
	or dry.	were dry above an approximate vertical
		depth of 25m. Below 25m vertical, minor
		to occasionally strong water flows were
		encountered in some prospects; however
		the drilling contractor was largely able to
		ensure a dry sample for sampling
		purposes. Less than 1% of all samples
		were affected by water.
	For all sample types, the nature, quality	The sample preparation was conducted
	and appropriateness of the sample	according to industry best practice.
	preparation technique.
	Quality control procedures adopted for all	Quality control procedures involved use of
	sub-sampling stages to maximise	certified reference materials and
	representativity of samples.	limestone blanks inserted at regular
		intervals into the assay sample sequence.
		Quality control samples are included at a
		nominal 1 sample per 15-20 assay
		samples.
	Measures taken to ensure that the	Duplicate samples are yet to be collected.
	sampling is representative of the in situ
	material collected, including for instance
	results for field duplicate/second-half
	sampling.
	Whether sample sizes are appropriate to	Assay sample weights between 2.5 and
	the grain size of the material being	3.2 kg are considered to be appropriate
	sampled.	with respect to any coarse tin that may be
		present.
Quality of assay data	The nature, quality and appropriateness	Assays were conducted at ALS
and laboratory tests	of the assaying and laboratory	Laboratories using a fused disc XRF
	procedures used and whether the	technique (method XR-15b), which is the
	technique is considered partial or total.	current industry standard for ore-grade
		tin. Fused disc XRF is considered a total
		technique, as it extracts and measures
		the whole of the element contained within
		the sample.
	For geophysical tools, spectrometers,	No geophysical tools were used.
	handheld XRF instruments, etc. the
	parameters used in determining the	An FXL laboratoryXRF machine was

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Criteria	Explanation	Explanation						Commentary
	analysis including instrument				make and			used on site to identify anomalous
	model, reading times,			calibration factors				intervals, which were then sent for more
	applied and their derivation, etc.							precise analysis at ALS.
	Nature of	quality	control		procedures			Certified geochemical standards and
	adopted	(e.g.	standards,			blanks,		blank samples were inserted into the
	duplicates,	external laboratory				checks)		assay sample sequence at a nominal rate
	and whether acceptable				levels		of	of one QC sample per 15-20 assay
	accuracy (i.e. lack of bias) and precision							samples. Laboratory assay results for
	have been	established.						these quality control samples are within
								5% of accepted values.
Verification of	The verification of significant intersections							Check assaying by a second laboratory
sampling and	by either	independent or			alternative			has yet to be undertaken.
assaying	company personnel.
	The use of	twinned holes.						No twinned holes were drilled.
	Documentation of		primary		data, data			Data is collected by qualified geologists
	entry procedures, data			verifications, data				and experienced field assistants and
	storage	(physical		and	electronic)			entered into excel spreadsheets.
	protocols.							Spreadsheets are then checked by on-
								site and head office geologists for
								potential errors.
								Data is imported into Microsoft Access
								tables from the Excel spreadsheets with
								validation checks set on different fields.
								Data is then checked thoroughly by the
								Operations Geologist for errors. Accuracy
								of drilling data is then validated when
								imported into MapInfo.
								Data is stored on a server in the
								Company’s head office, with regular
								backups and archival copies of the
								database made.
	Discuss any adjustment			to assay		data.		No adjustments are made to the data.
								Data is imported into the database in its
								original raw format.
Location of data	Accuracy and quality of surveys used						to	Drill hole collar co-ordinates were
points	locate drill	holes (collar and			down-hole			recorded using a handheld GPS meter (+
	surveys), trenches,		mine workings and					4m accuracy). Drill collar coordinates will
	other locations used in			Mineral Resource				ultimately be determined using DGPS
	estimation.							survey equipment.
								Down hole surveys were conducted on all
								holes using a GlobalTech Pathfinder
								downhole camera with surveys taken
								inside a non-magnetic stainless steel drill
								rod.
	Specification of the grid			system used.				Coordinate system is UTM Zone 55 and
								datum is GDA94
	Quality and adequacy of topographic							The Digital Terrain Model of the Summer
	control.							Hills mining lease was derived by
								photogrammetry obtained by consultant
								surveyors with contours provided at 2m
								intervals.
Data spacing and	Data spacing for reporting of				Exploration			Drill holes were drilled at nominal 10 - 20
distribution	Results.							metre intervals dependant on the
								prospect. Where more than one hole has
								been drilled on a section, spacing
								between holes along the section varies
								between 5 and 25m depending on
								topography.
	Whether the data spacing and				distribution			Current hole spacing and distribution is
	is sufficient to establish the				degree		of	insufficient to provide confidence in
	geological	and	grade		continuity			geological and grade continuity for
	appropriate for the Mineral Resource and							resource estimationpurposes.

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Criteria	Explanation	Explanation		Commentary
	Ore Reserve estimation procedure(s) and
	classifications applied.			Further close spaced drilling will be
				necessary prior to calculation of a mineral
				resource.
	Whether	sample compositing has been		No sample compositing has been applied.
	applied.
Orientation of data in	Whether	the orientation of sampling		With the exception of VK17 and PS06, all
relation to geological	achieves	unbiased sampling of possible		holes have been designed to drill normal
structure	structures and the extent to which this is			to interpreted mineralisation trends.
	known, considering the		deposit type.	However, there has been insufficient
				drilling and geological interpretation to
				determine if there is a bias to sampling as
				a result of drilling oblique to or downdip
				on mineralised structures.
	If the	relationship	between drilling	With the exception of VK17, PS05 and
	orientation and the orientation of key			PS06, no sampling bias due to orientation
	mineralised structures		is considered to	has been revealed from Phase One
	have introduced a sampling bias, this			drilling results.
	should be assessed		and reported if
	material.			Hole VK17 may have been drilled parallel
				to and down-dip of a mineralised structure
				although the precise geometry of
				mineralisation in the vicinity of VK17 is
				poorly understood at this time. PS05 may
				have been drilled down-dip on the
				mineralised structure. PS06 was drilled
				oblique to and possibly down-dip of the
				mineralised structure. Further drilling is
				required to establish the geometry of the
				mineralisation.
Sample security	The measures taken to endure sample			Chain of custody is managed by MGT
	security.			from the drill site to Atherton. Samples
				are then handed to Followmont, a local
				transport company, who transport them to
				the ALS laboratory in Townsville where
				sample preparation takes place.
Audits or reviews	The results of any audits or reviews of			To date there has not been an audit of
	_sampling _	techniques and data.		samplingtechniques and data.

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Appendix 2

JORC CODE TABLE 2

Section 2: Reporting of Exploration Results

Mineral tenement and	Type, reference name/number, location	Type, reference name/number, location	Type, reference name/number, location	Type, reference name/number, location	The Mining Leases: ML20547 and
land tenure status	and	ownership including agreements or			ML4349 are located approximately 100
	material issues with third parties such as				kms SW of Cairns in Northern
	joint	ventures, partnerships, overriding			Queensland near to the township of Mt
	royalties, native title interests, historical				Garnet. The MLs are 100% owned by
	sites, wilderness or national			and	MGT Mining, which is a subsidiary of
	environmental settings.				MGT Resources Ltd with 89.48%
					ownership. MGT has an ILUA Agreement
					with the Native Title claimants in the area,
					the Bar Barrum People. There are no
					sites of cultural heritage significance
					listed within the MLs.
	The security of the tenure held at the			time	ML20547 and ML4349 are held for
	of reporting along with		any known		periods of, respectively, 21 years and 14
	impediments to obtaining		a license to		years, and both are in good standing.
	operate in the area.
Exploration done by	Acknowledgement and		appraisal	of	The Mt Garnet-Irvinebank area is one of
other parties	exploration by other parties.				the major tin-producing districts in
					Australia. Hard rock tin ore was obtained
					from open cuts and tunnels within
					ML20547, starting in the 1880s. In
					addition alluvial tin was also mined on a
					large scale; the valleys in and around
					ML20547 have been extensively mined
					by using mechanised equipment, but this
					mining stopped in 1989. Throughout the
					1960s Noranda completed underground
					exploration at Summer Hill, including
					drilling six diamond holes. Tin Australia
					NL conducted surface exploration,
					including rock chip sampling in the
					1990s.This data has not been used in
					current calculations of grade and width.
Geology	Deposit type, geological setting and			style	Tin mineralisation within the Summer Hills
	of mineralisation.				Mining Lease is hosted in metasediments
					of the Hodgkinson Formation.
					Mineralisation is hosted in fracture
					networks, quartz veins and zones of
					chlorite alteration that, in some locations,
					occurs in proximity to rhyolite porphyry
					dykes. Tin mineralisation, which occurs
					as cassiterite (SnO2), also occurs
					disseminated through chlorite rich zones.
					The ML is located in an area of North
					Queensland which, historically, has been
					mined for hardrock and alluvial tin
					deposits.
Drill hole information	A summary of all information material to				See Appendix 1
	the	understanding of the exploration
	results including a tabulation of			the
	following information for all Material			drill
	holes:
	•	Easting and northing of the drill		hole
		collar
	•	Elevation or RL (Reduced Level –
		elevation above sea level in metres)
		of the drill hole collar
	•	Dip and azimuth of the hole

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	• Down hole length and interception
	depth
	• Hole length
	If the exclusion of this information is
	justified on the basis that the information
	is not Material and this exclusion does not
	detract from the understanding of the
	report, the Competent Person should
	clearly explain why this is the case.
Data aggregation	In reporting Exploration Results,	No top-cuts have been applied. A lower
methods	weighting averaging techniques,	cut-off grade of 0.1% Sn has been
	maximum and/or minimum grade	applied in the figures and tables. Several
	truncations (e.g. cutting of high grades)	of the reported intercepts	include 1m
	and cut-off grades are usually Material	intervals of internal dilution (i.e. 1m
	and should be stated.	grading <0.1% Sn) provided that the
		average grade of any 2m	intercept that
		includes the 1m internal dilution is greater
		than 0.1% Sn.
	Where aggregate intercepts incorporate	A list of Sn values for	each metre
	short lengths of high grade results and	included in aggregate intercepts is shown
	longer lengths of low grade results, the	in Appendix 1. In addition,	in the list of
	procedure used for such aggregation	best intersections, high grade intercepts
	should be stated and some typical	are stated with the aggregate intercept.
	examples of such aggregations be shown
	in detail
	The assumptions used for any reporting	No metal equivalents have	been used in
	of metal equivalent values should be	reporting.
	clearly stated.
Relationship between	The relationships are particularly	Due to uncertainty on the exact geometry
mineralisation widths	important in the reporting of Exploration	of mineralisation, the	relationship
and intercept lengths	Results.	between true width of mineralisation and
	If the geometry of the mineralisation with	the length of downhole	intercepts is
	respect to the drill hole angle is known, its	unclear.
	nature should be reported
	If it is not known and only the down hole
	lengths are reported, there should be a
	clear statement to this effect (e.g. down
	hole length, true width not known).
Diagrams	Appropriate maps and sections (with	See Fig. 1-2 and Appendix 1
	scale) and tabulations of intercepts
	should be included for any significant
	discovery being reported. These should
	include, but not be limited to a plan view
	of drill hole collar locations and
	appropriate sectional views.
Balanced reporting	Where comprehensive reporting of all	All exploration results have been reported
	Exploration Results is not practicable,	in Appendix 1; A representative section
	representative reporting of both low and	has been shown in Fig. 2.
	high grades and/or widths should be
	practised to avoid misleading reporting of
	Exploration Results.
Other substantive	Other exploration data, if meaningful and	No other data is appropriate	at this stage.
exploration data	material, should be reported including
	(but not limited to): geological
	observations; geophysical survey results;
	geochemical survey results; bulk samples
	– size and method of treatment;
	metallurgical test results; bulk density,
	groundwater, geotechnical and rock
	characteristics; potential deleterious or
	contaminating substances.
Further work	The nature and scale of planned further	MGT is currently planning	Phase 2 of
	work (e.g. test for lateral extensions or	2014 drilling to test for extensions to
	depth extensions or large-scale step-out	mineralisation both along	strike and
	drilling).	down-dip. This drilling will	also provide
		further information on the	geometryof

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	mineralisation intersected to date.
Diagrams clearly highlighting the areas of	See Fig. 1
possible extensions, including the main
geological interpretations and future
drilling areas, provided this information is
not commercially sensitive.

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Appendix 3

Mining tenements held at the end of the quarter and their location:

State	Tenement Name	Tenement ID	Location	Interest	Holder	Comments
QLD	Mt Veteran	ML 4349	Mt Garnet	89.48%	MGTM	Granted
QLD	Summer Hills	ML 20547	Mt Garnet	89.48%	MGTM	Granted
QLD	Heads or Tails	ML 20655	Mt Garnet	89.48%	MGTM	Granted
QLD	Valetta	ML 20066	Mt Garnet	100%	MGS	Granted
QLD	Nymbool	EPM 16948	Mt Garnet	89.48%	MGTM	Granted
QLD	Nymbool Extended	EPMA 25347	Mt Garnet	89.48%	MGTM	Application
QLD	Pyramid	EPM 12887	Drummond	89.48%	MGTM	Granted
			Basin
QLD	Scartwater	EPMA 25349	Drummond	100%	MGS	Application
			Basin
QLD	St Anns	EPMA 25353	Drummond	100%	MGS	Application
			Basin
QLD	Suttor River	EPMA 25351	Drummond	100%	MGS	Application
			Basin
QLD	Pyramid 3	EPMA 19554	Drummond	89.48%	MGTM	Application
			Basin
QLD	MGT North	EPMA 25154	Drummond	100%	MGS	Application
			Basin
QLD	Yarrol	EPM 8402	Monto	89.48%	MGTM	Granted
QLD	Mt Steadman	EPM 12834	Gayndah	89.48%	MGTM	Granted
QLD	Gooroolba	EPM 15426	Gayndah	89.48%	MGTM	Granted

Mining tenements acquired and disposed of during the quarter and their location:

State	Tenement Name	Tenement ID	Location	Interest	Holder	Comments
QLD	Nanyetta	EPM	Mt Garnet	89.48%	MGTM	Granted

Beneficial percentage interests held in farm-in or farm-out agreements at end of the quarter:

• Not applicable this quarter

Beneficial percentage interests in farm-in or farm-out agreements acquired or disposed of during the quarter:

• Not applicable this quarter

Abbreviations
EPMA	Exploration Permit for Minerals Application
EPM	Exploration Permit for Minerals
MLA	MiningLease Application
ML	MiningLease
MGS	MGT Resources Limited
MGTM	MGT MiningLimited,an unlisted Australianpublic company
QLD	Queensland,Australia

ASX RELEASE

www.mgt.net.au info@mgt.net.au

Appendix(5B( Mining(exploration(entity(quarterly(report(

Rule%5.3%

Appendix 5B

Mining exploration entity quarterly report

Introduced!01/07/96!!Origin!Appendix!8!!Amended!01/07/97,!01/07/98,!30/09/01,!01/06/10,!17/12/10!

Name!of!entity!

MGT!Resources!Limited!and!Its!Controlled!Entities!

	ABN Quarterended(“currentquarter”) 38131715645 30June2014 Consolidatedstatementofcashflows	ABN Quarterended(“currentquarter”) 38131715645 30June2014 Consolidatedstatementofcashflows	ABN Quarterended(“currentquarter”) 38131715645 30June2014 Consolidatedstatementofcashflows	ABN Quarterended(“currentquarter”) 38131715645 30June2014 Consolidatedstatementofcashflows
			30June2014
Cashflowsrelatedtooperatingactivities 1.1 Receiptsfromproductsalesandrelated debtors 1.2 Paymentsfor (a)exploration&evaluation (b)development (c)production (d)administration 1.3 Dividendsreceived 1.4 Interestandotheritemsofasimilarnature received 1.5 Interestandothercostsoffinancepaid 1.6 Incometaxespaid 1.7 Other(providedetailsifmaterial) NetOperatingCashFlows		Currentquarter 30/06/2014 $A		Yeartodate (12months) $A
		(386,897) ^ 26,308 (120,000) ^ 3,607		(1,953,917) ^ 117,926 (480,000) ^ 14,434
		(476,982)		(2,301,557)
Cashflowsrelatedtoinvestingactivities 1.8 Paymentforpurchasesof:(a)prospects (b)exploration&evaluation (c)otherfixedassets 1.9 Proceedsfromsaleof: (a)prospects (b)equityinvestments (c)otherfixedassets 1.10 Loanstootherentities 1.11 Loansrepaidbyotherentities 1.12 Other(providedetailsifmaterial) Netinvestingcashflows 1.13 Totaloperatingandinvestingcashflows (carriedforward)		(636,763) (20,866) ^ ^ ^ ^		(2,392,068) (92,888) ^ ^ ^ ^
		(657,629)		(2,484,956)
		(1,134,611)		(4,786,513)

+!See!chapter!19!for!defined!terms.!

13/1/2014! Appendix!5B!!Page!1!

Appendix(5B( Mining(exploration(entity(quarterly(report(

Appendix5B Miningexplorationentityquarterlyreport
1.13 Totaloperatingandinvestingcashflows (broughtforward)	(1,134,611)	(4,786,513)
Cashflowsrelatedtofinancingactivities 1.14 Proceedsfromissuesofshares,options,etc. 1.15 Proceedsfromsaleofforfeitedshares 1.16 Proceedsfromissueofconvertiblenotes 1.17 Repaymentofborrowings 1.18 Dividendspaid 1.19 Other(providedetailsifmaterial) Netfinancingcashflows	^ ^ ^ ^ ^ ^	^ ^ 6,000,000 ^ ^ ^
	^	6,000,000
Netincrease(decrease)incashheld 1.20 Cashatbeginningofquarter/yeartodate 1.21 Exchangerateadjustmentstoitem1.20 1.22 Cashatendofquarter	(1,134,611) 3,453,065	1,213,487 1,104,967
	2,318,454	2,318,454

Payments(to(directors(of(the(entity(and(associates(of(the(directors( Payments( to( related( entities( of( the( entity( and( associates( of( the( related(entities(

1.23 Aggregateamountofpaymentstothepartiesincludedinitem1.2 1.24 Aggregateamountofloanstothepartiesincludedinitem1.10	1.23 Aggregateamountofpaymentstothepartiesincludedinitem1.2 1.24 Aggregateamountofloanstothepartiesincludedinitem1.10	Currentquarter 30/06/2014 $A
		66,375
		N/A
1.25	Explanationnecessaryforanunderstandingofthetransactions

NonCcash(financing(and(investing(activities(

• 2.1! Details!of!financing!and!investing!transactions!which!have!had!a!material!effect!on! consolidated!assets!and!liabilities!but!did!not!involve!cash!flows!

• 2.2! Details!of!outlays!made!by!other!entities!to!establish!or!increase!their!share!in!projects!in! which!the!reporting!entity!has!an!interest!

+!See!chapter!19!for!defined!terms.!

Appendix!5B!!Page!2!

Appendix(5B( Mining(exploration(entity(quarterly(report(

Financing(facilities(available(

Add%notes%as%necessary%for%an%understanding%of%the%position.%

3.1 Loanfacilities 3.2 Creditstandbyarrangements	Amountavailable $A	Amountused $A
	N/A	N/A
	N/A	N/A

Estimated(cash(outflows(for(next(quarter(

4.1 Explorationandevaluation 4.2 Development 4.3 Production 4.4 Administration	$A
	648,000
	0
	0
	700,000
Total	1,348,000

Reconciliation of cash

Reconciliation of cash
Reconciliationofcashattheendofthequarter(as	Currentquarter	Previousquarter
shownintheconsolidatedstatementofcashflows)	30/06/2014	31/3/2014
totherelateditemsintheaccountsisasfollows.	$A	$A
5.1 Cashonhandandatbank	1,318,454	1,453,065
5.2 Depositsatcall	1,000,000	2,000,000
5.3 Bankoverdraft	8	8
5.4 Other(providedetails)	8	8
Total:cashatendofquarter(item1.22)	2,318,454	3,453,065

+!See!chapter!19!for!defined!terms.!

13/1/2014! Appendix!5B!!Page!3!

Appendix(5B( Mining(exploration(entity(quarterly(report(

Changes(in(interests(in(mining(tenements(

Tenement reference Natureofinterest (note(2)) Interestat beginningof quarter Interestatend ofquarter 6.1 Interestsinmining tenementsrelinquished, reducedorlapsed EPM15426 20sub^blocks relinquished 50sub^blocks 30sub^blocks 6.2 Interestsinmining tenementsacquiredor increased EPM25433 Application granted Application Grantedon 25thJune Issuedandquotedsecuritiesatendofcurrentquarter Descriptionincludesrateofinterestandanyredemptionorconversionrightstogetherwithpricesanddates. Totalnumber Numberquoted Issuepriceper security(see note3)(cents) Amountpaidup persecurity(see note3)(cents) 7.1 Preference +securities (description) 7.2 Changesduring quarter (a)Increases throughissues (b)Decreases throughreturns ofcapital,buy^ backs, redemptions 7.3 +Ordinary securities 288,157,040 139,931,455 Various Various 7.4 Changesduring quarter (a)Increases throughissues (b)Decreases throughreturns ofcapital,buy^ backs Nil 139,931,455^ Note7 N/AperNote3 below–allfully paid N/AperNote3 below–allfully paid	Tenement reference Natureofinterest (note(2)) Interestat beginningof quarter Interestatend ofquarter 6.1 Interestsinmining tenementsrelinquished, reducedorlapsed EPM15426 20sub^blocks relinquished 50sub^blocks 30sub^blocks 6.2 Interestsinmining tenementsacquiredor increased EPM25433 Application granted Application Grantedon 25thJune Issuedandquotedsecuritiesatendofcurrentquarter Descriptionincludesrateofinterestandanyredemptionorconversionrightstogetherwithpricesanddates. Totalnumber Numberquoted Issuepriceper security(see note3)(cents) Amountpaidup persecurity(see note3)(cents) 7.1 Preference +securities (description) 7.2 Changesduring quarter (a)Increases throughissues (b)Decreases throughreturns ofcapital,buy^ backs, redemptions 7.3 +Ordinary securities 288,157,040 139,931,455 Various Various 7.4 Changesduring quarter (a)Increases throughissues (b)Decreases throughreturns ofcapital,buy^ backs Nil 139,931,455^ Note7 N/AperNote3 below–allfully paid N/AperNote3 below–allfully paid	Tenement reference	Tenement reference	Natureofinterest (note(2))	Natureofinterest (note(2))	Interestat beginningof quarter	Interestat beginningof quarter	Interestatend ofquarter
		EPM15426		20sub^blocks relinquished		50sub^blocks		30sub^blocks
		EPM25433		Application granted		Application		Grantedon 25thJune
	Totalnumber		Numberquoted		Issuepriceper security(see note3)(cents)		Amountpaidup persecurity(see note3)(cents)
7.1 Preference +securities (description) 7.2 Changesduring quarter (a)Increases throughissues (b)Decreases throughreturns ofcapital,buy^ backs, redemptions
7.3 +Ordinary securities 7.4 Changesduring quarter (a)Increases throughissues (b)Decreases throughreturns ofcapital,buy^ backs	288,157,040		139,931,455		Various		Various
	Nil		139,931,455^ Note7		N/AperNote3 below–allfully paid		N/AperNote3 below–allfully paid

+!See!chapter!19!for!defined!terms.!

Appendix!5B!!Page!4!

Appendix(5B( Mining(exploration(entity(quarterly(report(

7.5 +Convertible debt securities (description) 7.6 Changesduring quarter (a)Increases throughissues (b)Decreases through securities matured, converted	1,500,000 1,500,000 3,000,000 3,000,000 See Note 6 below for more information.	Nil Nil Nil Nil	$0.0875 $0.20 $0.11 $0.11	$1 $1 $1 $1
	N/A	N/A	N/A	N/A
7.7 Options (descriptionand conversion factor) 7.8 Issuedduring quarter 7.9 Exercised duringquarter 7.10 Expiredduring quarter	300,000 2,250,000 1,200,000 6,800,000 1,975,000	Nil	Exerciseprice $0.30 $0.30 $0.20 $0.15 $0.15	Expirydate 17October2014 25November2014 25November2014 7November2016 17December2016
	N/A	N/A	N/A	N/A
	N/A	N/A	N/A	N/A
	250,000	N/A	$0.25	14June2014 Note8
7.11 Debentures (totalsonly)	N/A	N/A	N/A	N/A
7.12 Unsecured notes(totals only)	N/A	N/A	N/A	N/A

+!See!chapter!19!for!defined!terms.!

13/1/2014! Appendix!5B!!Page!5!

Appendix(5B( Mining(exploration(entity(quarterly(report(

Compliance statement

• 1! This!statement!has!been!prepared!under!accounting!policies!which!comply!with! accounting!standards!as!defined!in!the!Corporations!Act!or!other!standards! acceptable!to!ASX!(see!note!5).!

• 2! This!statement!does give!a!true!and!fair!view!of!the!matters!disclosed.!

Sign!here:!!

==> picture [115 x 23] intentionally omitted <==

Date:!31!July!2014!

(Company!secretary)!

Print!name:!! Alexander!Moody!

Notes

• 1! The!quarterly!report!provides!a!basis!for!informing!the!market!how!the!entity’s! activities!have!been!financed!for!the!past!quarter!and!the!effect!on!its!cash! position.!!An!entity!wanting!to!disclose!additional!information!is!encouraged!to! do!so,!in!a!note!or!notes!attached!to!this!report.!

• 2! The!“Nature!of!interest”!(items!6.1!and!6.2)!includes!options!in!respect!of! interests!in!mining!tenements!acquired,!exercised!or!lapsed!during!the! reporting!period.!!If!the!entity!is!involved!in!a!joint!venture!agreement!and! there!are!conditions!precedent!which!will!change!its!percentage!interest!in!a! mining!tenement,!it!should!disclose!the!change!of!percentage!interest!and! conditions!precedent!in!the!list!required!for!items!6.1!and!6.2.!

• 3! Issued(and(quoted(securities !!The!issue!price!and!amount!paid!up!is!not! required!in!items!7.1!and!7.3!for!fully!paid!securities .%

• 4! The!definitions!in,!and!provisions!of,! AASB%6:%Exploration%for%and%Evaluation%of% Mineral%Resources% and %AASB%107:%Statement%of%Cash%Flows !apply!to!this!report.!

• 5! Accounting!Standards!ASX!will!accept,!for!example,!the!use!of!International! Financial!Reporting!Standards!for!foreign!entities.!!If!the!standards!used!do!not! address!a!topic,!the!Australian!standard!on!that!topic!(if!any)!must!be!complied! with.!

• 6! On!11!November!2011!the!Company!received!an!investment!of!$1,500,000!in!the! form!of!convertible!note!from!Armstrong!Industries!HK!Ltd.!The!note!is! unsecured,!has!a!term!of!2!years,!a!coupon!of!8%!per!annum,!and!is!convertible! at!15!cents!per!share.!!This!note!expired!on!11!November!2013!and!was!rolled!into! a!new!$1,500,000!convertible!note!with!a!term!of!3!years,!a!coupon!rate!of!8%! per!annum!and!a!conversion!price!of!$0.0875.!

+!See!chapter!19!for!defined!terms.!

Appendix!5B!!Page!6!

Appendix(5B( Mining(exploration(entity(quarterly(report(

On!4!May!2012!the!Company!received!a!further!$1,500,000!investment!from! Armstrong!Industries!HK!Ltd!in!the!form!of!another!convertible!note.!This!note! is!also!unsecured,!has!a!term!of!3!years!and!a!coupon!of!8%!per!annum,!and!is! convertible!at!20!cents!per!share.!!

On!16!August!2013!the!Company!received!$3,000,000!from!Marvel!Network! Limited!in!the!form!of!a!3!year!convertible!note.!!Interest!on!the!convertible! notes!is!payable!at!the!rate!of!8%!per!annum.!!The!convertible!notes!may!be! redeemed!or!converted!into!27,272,728!ordinary!if!the!share!price!is!11!cents!per! share!or!less!at!maturity.!!!

On!16!August!2013!the!Company!received!$3,000,000!from!Cloud!Adventurer! Limited!in!the!form!of!a!3!year!convertible!note.!!Interest!on!the!convertible! notes!is!payable!at!the!rate!of!8%!per!annum.!!The!convertible!notes!may!be! redeemed!or!converted!into!27,272,728!ordinary!if!the!share!price!is!11!cents!per! share!or!less!at!maturity.!!!

There!have!been!no!additional!convertible!notes!issued!during!the!Quarter!to! 31/3/2014.!

• 7! There!are!288,157,040!fully!paid!ordinary!shares!on!issue,!with!139,931,455! quoted!on!the!ASX.!The!remaining!148,225,585!shares!are!fully!paid!ordinary! shares!that!are!restricted!and!have!been!escrowed!for!24!months!from!the!date! of!quotation.!

• 8.! 250,000!unlisted!options!exercisable!@!25!cents!expired!on!14!June!2014.!!

• ==!==!==!==!==

+!See!chapter!19!for!defined!terms.!

13/1/2014! Appendix!5B!!Page!7!