CRITICAL RESOURCES LIMITED — M&A Activity 2013

Mar 11, 2013

ASX Release 12[th] March 2013

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Sovereign to acquire Gossan Hill Gold Limited

• Offer made for Gossan Hill Gold Limited

Sovereign Gold Company Limited ACN 145 184 667

Level 2, 131 Macquarie Street Sydney NSW 2000 Tel: +61 2 9251 7177 Fax: +61 2 9251 7500

Contact Michael Leu CEO

email: mleu@sovereigngold.com.au

Latest News

www.sovereigngold.com.au

Directors / Officers

John Dawkins AO Michael Leu Peter Meers Jacob Rebek

ASX Symbol: SOC

• Strategic acquisition provides significant benefits including enhanced scale, technical synergies and resource expansion potential[1]

• Value of Sovereign Gold’s IRGS specialist knowledge recognised

Sovereign Gold Company Limited (Sovereign Gold) (ASX: SOC) is pleased to advise that it has made an offer for the full acquisition of Gossan Hill Gold Limited (Gossan Hill) and has concluded an Implementation Deed with Gossan Hill. The Directors of Gossan Hill have recommended the Offer to Gossan Hill shareholders.

Gossan Hill is an unlisted exploration company with numerous gold prospects in New South Wales.

The acquisition of Gossan Hill provides multiple benefits for the Company, including an expanded exploration footprint in New South Wales with an additional three quality project areas within 8 Exploration Licences.

Previous exploration has indicated significant resource upside at the Gossan Hill properties and in particular, the Hobbs Deposit should enable Sovereign Gold to rapidly deliver resource growth and leverage off its experience exploring for IRGS in New South Wales.

Gossan Hill principal prospects

The Gossan Hill prospects are all in New South Wales, centred on known gold occurrences, some with historic production. The prospects contain more than 20 individual quality targets to be tested.

Mt Adrah – Mt Adrah is believed to belong to the intrusion-related gold deposit category. It lies on the Gilmore Suture, north west of the old gold mining centre of Adelong. Mineralisation in the deposit is open at depth below 315m, and there are a number of near-by prospects yet to be tested by drilling for additional mineralisation of this type.

Bauloora – Potential large, untested low sulphidation epithermal gold mineralised system near Cootamundra. Drilling and detailed geological mapping are planned to test this prospect.

Qualifying Statements

The information in this Report that relates to Exploration Information is based on information compiled by Michael Leu who is a member of The Australasian Institute of Mining and Metallurgy and the Australian Institute of Geoscientists.

Mr Leu is a qualified geologist and is a director of Sovereign Gold Company Limited.

Mr Leu 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 Resources. Mr Leu consents to the inclusion in this announcement of the Exploration Information in the form and context in which it appears.

Peel Fault – East of Barraba in the New England district: a recent discovery of near-surface gold mineralisation in altered rocks in and adjacent to the fault zone, prospective for orogenic and intrusionrelated gold mineralisation along the fault and covered by an extensive tenement holding.

The material terms of the Agreement are:

1. consideration for the acquisition to total up to $700,000. This comprises $200,000 in cash and the issue of 2 million ordinary shares in Sovereign Gold at 25 cents per share;

2. due diligence to Sovereign Gold’s satisfaction including but not limited to technical, legal, accounting and title matters;

3. acquisition of 80% of the Shares of Gossan Hill by Sovereign Gold; and

4. 80% of the Sovereign Gold shares acquired by Gossan Hill shareholders will be subject to voluntary escrow for a period of 12 months.

For further information please contact:

Michael Leu, CEO,

Telephone: +61 2 9251 7177

1 A JORC compliant resource was declared at the Mt Adrah prospect in September 2005. See table overleaf.

ASX Release 12[th ] March 2013 – Page 2

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Figure 1 – Gossan Hill Project Areas (includes Weabonga, under application by Sovereign Gold)

Mt Adrah JORC Resource

Cutoff	INDICATED	INDICATED	INFERRED	INFERRED	TOTAL RESOURCE	TOTAL RESOURCE	TOTAL RESOURCE
Au(g/t)	Tonnes(kt)	Au(g/t)	Tonnes(kt)	Au(g/t)	Tonnes(kt)	Au(g/t)	Au(koz)
0.50	3,162	1.14	3,389	1.13	6,552	1.13	239