DART MINING NL

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DART MINING NL ANNUAL REPORT 2009

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Dart Mining

Our Objectives

Our Vision

Dart Mining is a gold and base-metals exploration and development company based in Melbourne, Victoria.

Dart has a sole focus on exploration in north-eastern Victoria targeting historic gold fields and structural concepts with little or no modern exploration activity. Dart has exploration tenement holdings of some 2,800 square kilometers in north-eastern Victoria.

To explore for and discover a gold resource of sufficient size for Dart to become a gold producer;
To grow initial gold production by ongoing exploration success, building a resource base across different gold fields;

• To be successful in discovering and developing large gold and base metals mineralised systems in porphyry targets.

The company’s prospective ground holdings, advanced project generation skills, established local relationships and experienced management group give it confidence that it will continue to advance the properties towards a significant gold and/or base metal discovery.

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2008/09 – Highlights 1 Sustainability 11
2009/10 – Outlook 1 Community 11
Dart Targets 1 Environment 11
Chairman’s Report 2 Health & Safety 11
CEO’s Report 3 Board of Directors 12
Exploration Review 5 Financial Report 13
Porphyry Targets 5
Unicorn 5 INSIDE BACK COVER
Morgan 8 Corporate Directory
Additional Targets 8
North Mammoth 8
Mountain View 9
Dart tenements at
September 2008
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2009/10 – Outlook

2008/09 – Highlights

Dart has identified a new metallogenic province in north-eastern Victoria with potential for world class molybdenum-copper-silver and possible gold (Mo-Cu-Ag +/- Au) porphyries, at both its Unicorn and Morgan projects.
A review of all work so far highlights Unicorn as a very large Mo-Cu-Ag mineralised system with extensive open geophysical conductors, indicative of possible mineralisation beneath the Mo-Cu-Ag surface mineralisation which has had several hundred metres of drill testing but remains open at depth.
Deep conductors beneath Morgan and a newly defined intrusive associated ringlet of silver-gold-bismuth-tin (Ag-Au-Bi-Sn) and gossans, indicate the porphyries may have a gold association that requires investigation.
Detailed soil and rock chip geochemistry over Dart’s Unicorn and Morgan Mo-Cu-Ag porphyries has identified related gold–bismuth (arsenic) anomalies that suggest large gold porphyry targets may be present.
Dart was the recipient of a second Rediscover Victoria Drilling (RVD) grant for $66,000 from the Victorian Government contingent on future exploration drilling at Morgan.
Dart conducted a successful capital raising of $270,500 through a share purchase plan.

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Determine extent of gold mineralisation at Mountain View and continue with exploration drilling on all targets.
Focus on porphyry targets – outstanding, near-term targets, including gold.
Prioritise other targets for exploration in Dart’s newly-defined polymetallic fields.

Dart Targets (current and planned)

Gold Targets

Mountain View
Fairley’s Prospect
Dart goldfield

Polymetallic Porphyry Targets

Unicorn porphyry prospect
Morgan porphyry prospect
Additional exploration licences (Bunroy and Boebuck) were granted to Dart covering ground previously relinquished under statutory compulsory obligations. The Myrtleford EL was also granted.
Donovan’s Hill concealed porphyry copper-gold-silver-moly prospect

Chairman’s Report

HEADLINE

The 2008/09 year has been one of significant progress and achievement for Dart.

On behalf of the Board of Directors, it gives me great pleasure to present to you the Dart Mining NL Annual Report for 2009.

The 2008/09 year has been one of significant progress and achievement for Dart. We now have had two years of exploration activity following a successful Initial Public Offering (IPO) and our listing on Australian Securities Exchange (ASX). The objectives set out in the IPO have been realised and, additionally, Dart has made the exciting very large molybdenum discovery at Unicorn.

When Dart was established, our founding geologists had identified a number of porphyry targets within our Exploration Licences (ELs), earmarked for future exploration. Our geochemical exploration of these targets was advanced in the summer of 2007/08 with exceptional results. Drilling of the Unicorn prospect followed in the spring of 2008/09 and produced very encouraging results.

Over the past 12 months we have also undertaken exploration programs at the Mt Elliott, and Reward Copper prospects in north-eastern Victoria, with some very encouraging results and there are a number of targets which still warrant further testing. Dart also completed analysis of

results from initial drilling in the Buckland EL at the historic Fairley’s Prospect. Again there are a number of targets which still warrant further testing.

We have also extended our EL areas, bringing the total area of our ELs to 2,800 square kilometres over areas surrounding our current prospects.

As they stand, our tenement holdings afford us access to some of the most prospective, under-explored ground in the north-eastern region of Victoria. Dart also has total control of tenements hosting what it believes to be a new metallogenic province in the region. We are very excited about the future opportunities presented by these holdings.

As you will have noticed, our share price fell in the past 12 months in line with general financial market uncertainty and upheavals. In April we offered shareholders a share purchase plan and I am pleased to advise we raised $270,500 with 18 per cent of our shareholders taking up the offer. We are fortunate to have a loyal shareholder base and I again wish to thank shareholders for their ongoing support.

In view of the more difficult environment for the funding of exploration activity,

the Board took steps to ensure ongoing funding is available for exploration. All Directors and staff of Dart have elected to take a 50 per cent pay cut and staff numbers were scaled back in order to maintain sufficient funds to progress the key prospects and carry out further regional gold exploration during 2009. Cash on hand at the end of June 2009 totalled $430,591.

I would like to take this opportunity to thank all of our employees and contractors for their contribution in carrying out all of Dart’s key objectives during the year and their ongoing exceptional commitment to the development of the company.

Once again, I thank all stakeholders for their involvement and support over the past 12 months and look forward to sharing with you the rewards of our successful exploration over the coming years.

Chris Bain Chairman

September 2009

CEO’s Report

Dart Mining NL enters its third year still committed to exploring prospects capable of early production, and hence cash flow, from near surface mineralisation.

Dart Mining NL enters its third year still committed to exploring prospects capable of early production, and hence cash flow, from near surface mineralisation. With our experienced Board and management team and a portfolio of high potential targets, we look forward to being able to rapidly realise the value of our prospects and pass that value onto our shareholders.

In the past 12 months Dart has conducted a sustained and aggressive exploration program, including surface geochemistry and drilling programs, and have been pleased with the exciting results we have received to date.

Porphyry Targets

During the year, Dart undertook drilling at its significant molybdenum find at the Unicorn porphyry base metals prospect south east of Corryong in Victoria.

Initial geochemistry had identified a mineralisation zone of 23 hectares at surface. The drilling programs over the area confirmed the extent of the mineralisation zone along the drill access track extending over some 400 metres at surface. Shallow drill testing (reaching some 180 metres below surface) indicates the vertical extent of the mineralisation still open at depth. Further deep drilling aims to outline zones of economically viable resource within the very significant molybdenum – copper and silver mineralisation already identified. A detailed telluric geophysical survey

(CSAMT) has revealed conductors extend hundreds of metres in depth and laterally beneath volcanic cover surrounding the molybdenum silica cap seen at surface.

It is common for this style of porphyry mineralisation to occur in clusters. The initial survey also highlighted a similar anomaly at the Morgan Porphyry prospect seven kilometres to the southwest of Unicorn. The Victorian Government has awarded Dart a Rediscover Victoria Drilling (RVD) grant for drilling at Morgan in the coming year. This is the second such award to Dart, the first being for another of our porphyry targets, North Mammoth. The RVD program has been designed to promote and assist exploration in Victoria, particularly at green-fields sites.

The company has relinquished the Tooma EL (EL 6172 - NSW) (gold alluvialls) in order to focus on primary targets highlighted as prospective using the company’s regional structural model. Further targets identified by the model have been secured under an application for an EL (Mount Alfred EL 5194) adjacent to the existing Cudgewa EL (EL 5058) within Victoria where recent exploration has highlighted tin-tungsten mineralisation.

The recent exploration carried out on our porphyry targets does not mean we have stopped looking for gold. On the contrary, we have a greater range of opportunities to explore multiple

targets – some of which represent the first work to be undertaken in what is now a new molybdenum-base metal intrusive related metallogenic province in north-eastern Victoria which includes gold and silver, a truly unique opportunity for Dart shareholders and Victoria.

Gold Targets

During the year, Dart completed a number of drilling programs at our gold prospects, including the first recorded drilling at Mount Elliott. The reverse circulation (RC) and diamond drilling programs were focused on a number of old and new targets in the Dart EL at Mountain View and Mount Elliott, and in the Buckland EL at Fairley’s.

We are particularly encouraged by the potential highlighted at Mountain View in both the drilling and soil sampling and have recently been conducting follow-up depth test drilling.

Sustainability

Throughout the year Dart has made sustainability a focus of the company’s activities with behaviours governed by the Occupational Health and Safety and Environmental Management manuals.

Our drilling programs are subject to strict regulation by Victorian authorities and we continue to work closely with the necessary departments to deliver best practice and meet all environmental requirements.

CEO’s Report

POLYGONAL VORTEX MODEL

Dart has also continued its engagement with the local communities in the region, including in particular a minor sponsorship of the Man from Snowy River festival early in 2009 in Corryong. We are fortunate to have a very supportive local community, and are looking forward to continuing to work with them in the future.

At the end of 2008 in response to the deteriorating outlook for funding, we took measures to reduce our costs and this resulted in a reduction in our team. We hope to be able to re-employ and expand on our quality team as we progress our exploration activities over the coming years.

Outlook

Once again Dart has had a very productive 12 months, and still has a lot more exploratory work to do across all our tenement areas. The coming year looks set to be one of consolidation, focus and continued growth as we progress towards identifying an economic resource at our gold and porphyry targets to support a future mining operation.

John Quayle Chief Executive Officer

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September 2009

Exploration Review

Porphyry Targets

Porphyry targets are deposits of igneous intrusive rock and altered surrounding sediments, formed when volcanic magma cooled and solidified at shallow depths within the Earth’s crust.

Associated hydrothermal activity can result in a zoned distribution of gold and base metals mineralisation within and around these high level intrusions. Such deposits hold some of the world’s largest repositories of molybdenum, copper, gold, silver, tin and tungsten, and essentially all of the world’s molybdenum and most of its copper.

The key porphyry targets for Dart are:

Unicorn – A highly significant very large molybdenum, copper and silver anomaly has been identified through geochemistry and drilling.
A follow-up drill program is planned.
Morgan – Situated nearby to Unicorn in the Zulu–Empress corridor intersect, drilling is planned supported by a Rediscover Victoria Drilling (RVD) grant. Similar to Unicorn Morgan also contains some gold and silver along with some high tin anomalism.

A number of other highly prospective porphyry-related targets have been identified but remain untested to date and include:

Donovan’s Hill concealed porphyry prospect
Dinner Creek and Buckwong Creek magnetic gold targets
Dart Pluton string altered intrusive Targets
Cudgewa Corridor tin-tungsten-gold

Unicorn Molybdenum Porphyry

molybdenum anomaly at the Unicorn prospect, with average surface grades of over 450ppm Mo within the +220ppm grade contour covering 23 hectares (see Figure 1) – an area some 850 metres across.

The Unicorn porphyry Mo-Cu-Ag prospect is located in State forest 20 kilometres south of Corryong, a regional centre for north-eastern Victoria with its own airport. It is also close to an electric substation from the Snowy Mountains Hydro-Electric Scheme which could provide a sustainable power source for future development.

Dart’s 2008 diamond and geochemical rotary air blast (RAB) drilling program was completed on a ridge line traverse across this large Mo anomaly zone which is partly enveloped with a wider copper-silver (Cu-Ag) zone. Along with zoned tin, lead

Geochemistry results indicated the presence of a large high-grade

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Figure 1: Unicorn surface Mo geochemistry and Drill Hole Plan.

Exploration Review

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Figure 2: Composite Longsection (Looking West) – Unicorn Molybdenum Porphyry Prospect.

and zinc, partially within volcanic cover, the Unicorn polymetallic system extends some 1,600 metres strike length at surface.

On 1 October 2008, Dart reported that initial assay results from the first two RAB drill holes (DUNRAB008 and 9) had returned very significant intersections of 70m @ 0.038% Mo and 50m @ 0.062% Mo respectively with holes ending in mineralisation.

The 15 hole RAB program was designed to establish the bedrock geochemistry underlying the surface molybdenum anomaly and surrounding apron cover of volcanic rhyolite. Results suggest mineralisation extends laterally beneath apron cover at depth and also that mineralisation was open at depth below the central Mo silica cap, an area featuring prominent topographic bluffs at Unicorn and current diamond drilling focus. The RAB drill program traversed 850 metres of the Mo soil anomaly (Figure 1); with additional information supplied by three diamond drill holes (DUNDD001 to 003) providing a clearer picture of the potential of this very significant discovery.

The three hole diamond drilling program totalled some 540 metres of core with the deepest hole testing the mineralisation up to 180 metres vertically below the surface finishing within mineralisation (Figure 2). Combined with a Controlled Source Audio Magneto Tellurics (CSAMT)

geophysical program, the geological model diagrammatically shown in Figure 3 explains the Mo silica cap drilled near surface as the alteration envelope to mineralisation at depth comprising primary intrusive lobes altered in situ (autometasomatised). Some of these zones will be the target of the next drilling phase. Similar systems worldwide, such as at Henderson, Colorado, typically have higher grade in some of their primary autometasomatised intrusive lobes. Geophysical conductors that may be associated with such features have now been shown to extend several hundred metres deep and beyond. The next step is to drill test this concept at depth.

Visible molybdenite mineralisation was seen throughout the drill holes with each showing zones of intense silica–sericite– pyrite alteration. The drilling shows Mo mineralisation extends beyond 180 metres below surface, e.g. 0.058% Mo over 44m in DUNDD002, 0.045% Mo over 85m in DUNDD001. Copper and silver were significant throughout, e.g. 239m @ 0.093% Cu and 239.1m @ 6.01 g/t Ag in DUNDD001, with some higher intersections including 88m @ 0.17% Cu and 29m @ 10.88 g/t Ag in DUNDD002. Significant tin, bismuth, gallium, rhenium and indium occur associated with the Mo, Cu and Ag mineralisation and some high zinc was found associated with higher indium.

A CSAMT geophysical survey was designed and conducted to explore depth and volumetric extensions to the surface mineralisation. It identified large conductors both below the drilling and in areas where no drilling had taken place and revealed the system is open to the north and south. Copper geochemistry shows the extraordinary size of the wider Unicorn metallogenic system.

In conclusion overall results indicate the Unicorn porphyry prospect including its geological and geophysical modelling demonstrates a very large and significantly mineralised Mo-Cu-Ag system, with geophysical expressions open north and south and extending to large depths beyond the techniques resolution in northern sectors. Unicorn size and geological attributes are in line with world class Mo systems of similar geological styles such as molybdenum-copper-silver porphyries of the American Cordilleras.

Detailed drill designs are being prepared to further test the geophysical anomalies and geological model. The next drilling phase is likely to test the deeper zones of the system up to 500 metres below surface.

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Figure 3: Unicorn CSAMT geophysics Section Line 8100mN showing proposed Phase 2 Drill Design (DUNDDH04&5).

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Figure 4. Unicorn CSAMT lines superimposed on Mo surface geochemistry, from Line 8000mN – 3D Isometric View (looking north-west).

Molybdenum is a metallic element used principally as an alloying agent in steel, cast iron and superalloys to enhance hardness, strength, toughness and corrosion resistance.

Molybdenum usage has doubled in recent years and is expected to increase in demand due to its superior versatility, low toxicity compared to most metals, and because there are few options for its substitution.

First use of new molybdenum :

25 per cent used in the stainless steel industry
50 per cent used in construction
steel, tool & high speed steel and cast iron industries
25 per cent used in chemicals including lubricants for oil production

Currently, 60 per cent of the world’s molybdenum is produced as a by-product of copper mining, with the three largest producers being Chile, Bolivia and Canada.

It is estimated that a new 15 million tonnes per annum mine with a typical mining grade of 600ppm Mo is required per year to meet the increasing world demand.

Gallium and indium are expected to have high usage in new solar powered electronics and light diodes, while rhenium is used in high temperature alloys such as jet engine blades.

Exploration Review

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Morgan Molybdenum Porphyry

The Morgan porphyry prospect is located seven kilometres from the Unicorn project, also within the Empress–Zulu corridor intersect, and shares many similarities with Unicorn.

At the Morgan porphyry prospect, in the previous year a 2.9 kilometre x 2.0 kilometre (approximately) geochemical grid had been sampled on 100 metre centres from which a ring of molybdenum anomalism was identified. In 2009, an infill geochemical program defined the “northern ringlet” some 650 metres in diameter and postulated to be a differentiated intrusive extending of the main intrusive complex ring. It features higher geochemical anomalism, including gold and silver, particularly in a zone termed the “septum” between the rings.

Early in 2009 a geophysics program consisting of two CSAMT lines was completed over the Mount Morgan porphyry (Figure 5). A strong, deep conductor correlates with surface bismuth-silver-copper-tin-gold (Bi-Ag-CuSn-Au) and outer zoned molybdenum mineralisation where previous systematic chip sampling of related gossans showed up to 40m @ 0.46 g/t Au. This indicates additional potential exists for gold mineralisation within the Morgan porphyry. The strong geophysical expression is also suggestive of high sulphide contents at depth (Figure 5).

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Figure 5: Mt Morgan CSAMT lines 2800mE & 2900mE superimposed above molybdenum surface geochemistry.

This work provides further confidence to link the significant geochemical anomaly from the North Mammoth area to the highly prospective Donovan’s Hill concealed porphyry prospect area in Dart’s search for a precious and base metals mineralised porphyry system.

In 2009, Dart was awarded a Rediscover Victoria Drilling (RVD) grant in Round 2 of this Victorian Government initiative to drill test the prospect. The additional infill surface geochemistry, geophysics and geological modelling have greatly assisted final drill hole targeting for the program which is planned for early 2010.

Additional Targets

North Mammoth

Dart has made considerable progress towards understanding the porphyry style of mineralisation in the tenements by conducting geological, geophysical, metallogenic and structural evaluation and analysis through geological time scales, aided by 3D digital modelling.

North Mammoth was the first of the porphyry targets in the Dart EL to undergo detailed exploration. Assisted by the RVD Grant, Dart has confirmed the presence of shallow angle thrust faulting interpreted to conceal the northern extension of the Mammoth porphyry host rock. Magnetic data flown by Geographic Survey Victoria (GSV) in 1995 has now been reprocessed and has refined targeting.

Using this modelling, the company has identified a number of porphyry targets within the tenements, many of which have

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Figure 6: Goldfields within Darts Tenements – North-Eastern Victoria.

anomalous geochemistry and structure indicative of reduced intrusive related gold style gold-silver-base metals mineralisation. Regional structural and geological modelling work in EL5058 adjoining the Dart EL highlighted the Cudgewa Corridor for tin and tungsten exploration where recent sampling has yielded tungsten and tin soil and rock chip anomalism peaking at 4,210 ppm tungsten and 974 ppm tin (ALS sample CRERM000014).

Since listing on the ASX in May 2007, Dart has undertaken a sustained and systematic exploration program as outlined in the Company Prospectus. Drilling programs have been undertaken at the Mountain View prospect in the Dart goldfield and at the Just in Time–HopeNew Chum Lines in the Mount Elliott goldfield. Dart has undertaken prospect soil and/or rock chip sampling at the Onslow and historical Dart mine Gold Reefs and a field check with very limited sampling on the Zulu Goldfield, but the other historic centres are yet to be explored by any form of modern exploration.

Gold Targets Mountain View

The Mountain View prospect is located in the Dart goldfield some 45 kilometres south west of Corryong in north-eastern Victoria. It comprises a number of shallow mines operated from the late 1800s where the gold is associated with sulphide rich lode structures (Figures 6 & 7).

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Figure 7. Mines along the Mountain View Line of Workings – Dart Goldfield.

g/t Au (MVD20) has been identified within a larger lenticular lode channel up to six metres in true width.

The Mountain View line of lode extends over some five kilometres. Detailed mapping and sampling over two kilometres of the strike centred on the main historic workings has identified a series of gold lenses. Limited drilling to date on two known lenses has identified high gold grade in the Main Lens and significant widths of low grade gold mineralisation within the Western Anomaly (Figure 8). A very high grade gold shoot, incorporating over 50 gram-metres in three drill holes including an intersection of 2m @ 59.3

A 950 metre RC drill program has recently been completed at Mountain View. The shoot has now been defined over some 120 metres of strike. Assay results available from five holes of the program confirm the extension of the high grade shoot to the north with results including 6m @ 7.8 g/t Au (including 2m @ 19.3 g/t Au) and 4m @ 8.72 g/t Au (including 1m

Exploration Review

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Hole No. Hole Dip Hole MGA East MGA North Sample From (m) Significant Intersections Cutoffs: Total Depth
Azimuth (m) (m) Interval 0.5 g/t Au (m)
(MGA Grid) (m)
DMVRC001 -84 270 567,478.0 5,960,970.0 1 80 5m @ 0.91 g/t Au 127
DMVRC002 -45 270 567,475.0 5,960,970.0 1 34 2m @ 0.80 g/t Au 59
DMVRC003 -60 270 567,476.0 5,960,970.0 1 47 1m @ 2.02 g/t Au 59
DMVRC004 -70 270 567,460.0 5,960,948.0 1 27 6m @ 7.8 g/t Au 42
28 Including 2m @ 19.3 g/t Au
DMVRC005 -77 270 567,461.0 5,960,948.0 1 37 4m @ 8.72 g/t Au 63
39 Including 1m @ 18.75 g/t Au
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Table 1. Significant Intersections – Initial Assay Results.

@ 18.75 g/t Au) – Table 1. This drilling has also tested the lode channel development at depths up to 80 metres below the lower adit level. Geological logging of the drill chips from these holes indicates mineralisation up to four metres in true width is present (assay results awaited).

Hole DMVRC12 has intersected some 11 metres (down hole) of quartz – sulphide mineralisation in a new lode position east of the defined western anomaly. This is a very significant intersection and indicates that new lode positions occur along the strike of the main shear structure at various levels, some of which are blind (Figure 8).

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Figure 8: Mountain View prospect – showing recent RC drilling into the Main-Lens and Western Anomaly targets.

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Sustainability

Dart’s commitment to the principles and practices of good corporate and environmental citizenship goes beyond the requirements of relevant authorities.

We develop strong partnerships with local communities, governments and businesses for the benefit of all members of the community and the region.

Community

Dart Mining is committed to our local communities and to being a good corporate citizen and neighbour.

We will strive to ensure the local community is informed at all stages of our exploration, development and operating process through regular consultation. We provide regular updates of our activities on our website and meet with community members personally.

We have adopted a local supplier policy aimed at hiring and sourcing equipment and services locally wherever possible. Currently the majority of the Dart team live in north-eastern Victoria and we aim to provide further opportunities for people in the region in future.

As we progress from exploration to development and to an operating mine we will work closely with the communities in which we operate and look to enhance the region economically and socially.

Environment

Dart Mining has an established Environmental Policy, which governs the way in which the company works to protect and minimise any impacts on the surrounding environment.

While our exploration licences cover a vast area, our key targets are primarily within State forest, and any exploration carried out on private land is being done so with the consent of the land owners and in consideration of the local environment.

Any drilling programs are subject to strict regulation by Victorian authorities and we continue to work closely with the necessary departments to ensure all environmental requirements are adhered to.

Responsible environmental practices are essential to the company’s success and to the future of the mining industry in general.

Health and Safety

Safety management is at the forefront of our activities and a performance milestone for company management. Dart has developed detailed Occupational Health and Safety Policies, to protect the safety of our employees, contractors and visitors to our sites.

We are committed to inspiring and developing a safety culture of the highest level within our team, a commitment which will continue through exploration, to development and into production.

Board of Directors

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CHRISTOPHER BAIN

CHAIRMAN, NONEXECUTIVE DIRECTOR

Chris is a geologist and mineral economist with over 30 years experience in the resource industry covering geology, exploration, investment research and corporate advice. Chris is currently Chief Investment Officer of the Phillip Resources Fund.

DEAN TURNBULL

EXECUTIVE DIRECTOR

Dean is an exploration and mine geologist with over 18 years experience, predominantly within Victoria and southern NSW. He has specialised in 3D geological and structural modelling producing geological and exploration models on Victorian gold projects at Bendigo, Glen Wills, Costerfield and Castlemaine.

RICHARD UDOVENYA

NON-EXECUTIVE DIRECTOR

Richard, a Partner of the law firm ResourcesLaw International, Dart’s legal advisors, has 20 years legal experience with focus on the corporate, corporate governance and commercial law areas. He is a director of, and legal advisor to, a number of Australian and international companies.

BERNHARD HOCHWIMMER

EXECUTIVE DIRECTOR

Bernhard been a consulting geologist with 29 years industrial experience as a geo-scientist and has been involved in multiple discoveries including heavy minerals, rare earths, silica and diatomite reserves and a gold discovery.

STEPHEN POKE

NON-EXECUTIVE DIRECTOR

Stephen has in excess of 25 years of technical and management experience in all forms of surface diamond and RC drilling as well as extensive experience in underground drilling. He has been involved with and managed some of the largest drilling programs in Australia in various senior management positions with drilling companies.

EXECUTIVE MANAGEMENT

JOHN QUAYLE

CHIEF EXECUTIVE OFFICER

John has over 30 years experience in management and operations of major listed mining and petroleum companies. John has been instrumental in mining project and company evaluations and acquisitions. He has had roles as diverse as Company Secretary, General Manager Business Development, Planning and Acquisitions, General Manager Sales and Marketing, and Finance Manager.

DART MINING NL 2009 FINANCIAL REPORT

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09 CONTENTS
Directors’ Report	15
Auditors Independence Declaration	32
Income Statement	33
Balance Sheet	34
Statement of Changes in Equity	35
Cash Flow Statement	36
Notes to the Financial Statements	37
Audit Report	63
ASX Additional Information	65

14 DART MINING NL 2009 ANNUAL REPORT

DIRECTORS’ REPORT

Your directors submit their report for the year ended 30 June 2009.

Directors

The names and details of the Company’s directors in office during the financial year and until the date of this report are as follows. Directors were in office for this entire period unless otherwise stated.

Names, qualifications, experience and special responsibilities

Christopher J Bain (Non-Executive Chairman) Appointed 26 May 2006

Chris Bain is a geologist and mineral economist. He has over 30 years experience in resources having worked in underground mine geology in Mt Isa and Tasmania and exploration around Broken Hill. Since joining the finance sector he has been instrumental in mining project divestitures and acquisitions, evaluations and valuations, capital raisings including several initial public offerings and ASX listings. Chris is currently Chief Investment Officer of Phillip Resources Fund and a member of the Australasian Institute of Mining and Metallurgy and the Australian Institute of Company Directors.

Mr Bain is currently Chairman of the Company and a member of the Audit and Risk Management Committee.

Other current directorships of listed companies None.

Former directorships of listed companies in last three years None.

Bernhard R Hochwimmer

(Executive Director) Appointed 26 May 2006

Bernhard Hochwimmer graduated from The University of New England, BSc, 1978, with multidisciplinary double majors in zoology, biochemistry and ecology, and from The University of Tasmania, 1980 with a geology double major. Bernhard has 25 years’ industrial experience as a geoscientist with integrated multidisciplinary training and experience in Engineering Geology and Medical Geology. Bernhard has been involved in multiple discoveries including gold, as well as heavy minerals, rare earths, silica and diatomite reserves for Westralian Sands Ltd (now Iluka). He has published definitive works in both heavy mineral deposit genesis and medical geology. Bernhard is a member of Australian Institute of Geoscientists, and the International Medical Geology Society.

Other current directorships of listed companies None.

Former directorships of listed companies in last three years None.

Dean G Turnbull

Dean G Turnbull Dean Turnbull is a geology graduate from the Bendigo College of Advanced Education (Executive Director) and has a Postgraduate Honours degree in geology from the Key Centre for Ore Deposit Appointed 26 May 2006 and Exploration Studies (CODES) at the University of Tasmania. Dean is an exploration and mine geologist specialising in 3D geological and structural modelling, working on detailed geological models for many Victorian mining centres. Positions previously held have spanned the spectrum from grass roots exploration to Resource/Reserve estimation on large scale mining projects and he has specialised in 3D geological and structural modelling. Dean is a member of Australian Institute of Geoscientists.

Mr Turnbull is currently a member of the Audit and Risk Management Committee.

Other current directorships of listed companies None.

Former directorships of listed companies in last three years None.

DART MINING NL 2009 ANNUAL REPORT 15

09 DIRECTORS’ REPORT

Stephen G Poke

(Non-Executive Director) Appointed 15 June 2006

Stephen Poke has over 25 years of technical and management experience in all forms of surface diamond and reverse circulation drilling as well as extensive experience in underground drilling. Over the past 25 years Stephen has been involved in and managed some of the largest drilling programs in Australia in various senior management positions with drilling companies.

Mr Poke is currently chairman of the Audit and Risk Management Committee.

Other current directorships of listed companies None.

Former directorships of listed companies in last three years None.

Richard G Udovenya

(Non-Executive Director) Appointed 15 June 2006

Richard Udovenya is a Partner of the law firm ResourcesLaw International, the legal advisers of Dart Mining NL. He has over 20 years’ legal experience in Australia and New Zealand and holds a Bachelor of Laws, a Bachelor of Commerce and a Graduate Diploma in Applied Finance and Investment (SIA). Richard is also a Fellow of the Financial Services Institute of Australia and a member of the Australian Institute of Company Directors. Richard’s focus is in the corporate, corporate governance and commercial law areas. He is a director of, and legal advisor to, a number of Australian and international companies.

Other current directorships of listed companies Uranex NL (ACN 115 111 763)

Former directorships of listed companies in last three years None.

chief executive officer and company secretary

John E Quayle

John E Quayle John Quayle graduated from the University of Canterbury (NZ) in 1972 with degrees in Appointed 6 December 2006 Science (Mathematics – Honours) and Business Administration and subsequently in 1999 gained a Masters in Applied Finance from Macquarie University. He has worked in the mining and petroleum sectors throughout his career including senior management roles at BP, North Broken Hill, Pasminco, WMC and lastly at Minara Resources where he was Company Secretary through the period of its recapitalisation. John is a member of the Australasian Institute of Mining and Metallurgy and the Australian Institute of Company Directors.

Interests in the shares and options of the company and related bodies corporate

At the date of this report, the interests of the directors and other key management personnel, directly and indirectly, in the shares and options of Dart Mining NL were:

Director	Ordinary shares	Partly-paid shares	Options over	Options over
			ordinary shares	ordinary shares
			(listed)	(unlisted)
C J Bain	1,100,000	503,332	478,333	400,000
B R Hochwimmer	4,600,000	2,250,000	2,250,000	-
D G Turnbull	4,600,000	2,250,000	2,250,000	-
S G Poke	3,772,500	1,750,000	1,876,250	-
R G Udovenya	240,000	100,000	100,000	400,000
Other key management	personnel
J E Quayle	210,000	-	75,000	1,000,000

16 DART MINING NL 2009 ANNUAL REPORT

DIRECTORS’ REPORT

corporate information

Corporate structure

Dart Mining NL is a company limited by shares that is incorporated and domiciled in Australia. Dart Mining NL has prepared a consolidated financial report incorporating Dart Resources Pty Ltd, which it controlled during the financial year and which is included in the financial statements.

Principal activities

The principal activity of the economic entity during the financial year was exploration for gold and base metals in north-east Victoria.

Employees

The consolidated entity employed 4 employees as at 30 June 2009 (2008: 7 employees).

consoliDateD results

The loss for the consolidated entity after income tax was $1,146,803 (2008: $755,721).

DiviDenDs

No dividends in respect of the current financial year have been paid, declared or recommended for payment.

operating anD financial review

Group overview

Dart Mining NL was established in May 2006 for the purpose of exploring for and developing gold properties in north-east Victoria and southern New South Wales.

Exploration overview

Please refer to the Chief Executive Officer’s Report for details of exploration activities undertaken during the financial year.

Financial overview

Operating results for the year

The loss for the consolidated entity after income tax was $1,146,803 (2008: $755,721). This result is consistent with expectations of costs associated with the exploration program and reflected:

costs associated with managing the exploration program; and
corporate overheads associated with statutory and regulatory requirements as a consequence of being listed on the Australian Securities Exchange.

DART MINING NL 2009 ANNUAL REPORT 17

09 DIRECTORS’ REPORT

Review of financial position

During the year, the Company continued its exploration program in north-east Victoria and southern New South Wales. At the end of the financial year, a proportion of the funds raised during and in prior financial years were held by the Company as cash investments for use in future financial periods. The Company strives to maximise the return on these funds for exploration purposes by investing surplus funds and minimising expenditure on corporate overheads.

Cash flows

The cash flows of the Company consist primarily of payments to employees and suppliers for exploration activities on tenements held, and the maintenance of the corporate head office which manages existing projects as well as costs involved in investigating new exploration opportunities.

capital raising anD capital structure

During the year under review, the Company raised $270,500 by issuing 5,410,000 ordinary shares under a Share Purchase Plan (2008: Nil)

Summary of shares and options on issue

At 30 June 2009 the Company has 48,160,000 ordinary shares, 8,875,000 partly-paid shares (9 cents payable) and 24,175,008 options on issue. Details of the options are as follows:

Issuing entity	Number of shares	Class of shares	Exercise price	Expiry date
	under option
Dart Mining NL	2,800,000	Ordinary	20 cents	31 December 2010
Dart Mining NL	21,375,008	Ordinary	20 cents	31 May 2010

significant changes in the state of affairs

There were no significant changes in the state of affairs of the Company during the financial year.

significant events after the balance Date

There has been no matter or circumstance since 30 June 2009 which has significantly affected or may significantly affect the operations of the consolidated entity, the results of those operations or the state of affairs of the consolidated entity in subsequent financial years.

future Developments

The Board of Directors intends to continue with the exploration of the Company’s tenements and project generation for gold and base metals targets in north-east Victoria as outlined in the prospectus dated 14 March 2007. Further details of the Company’s prospects are included in the Report on Exploration Projects which forms part of the Chief Executive Officer’s Report.

As the Company is listed on the Australian Securities Exchange, it is subject to the continuous disclosure requirements of the ASX Listing Rules which require immediate disclosure to the market of information that is likely to have a material effect on the price or value of Dart Mining NL’s securities.

18 DART MINING NL 2009 ANNUAL REPORT

DIRECTORS’ REPORT09

environmental regulation

The economic entity holds participating interests in a number of exploration tenements. The various authorities granting such tenements require the tenement holder to comply with the terms of the grant of the tenement and all directions given to it under those terms of the tenement. There have been no known breaches of the tenement conditions, and no such breaches have been notified by any government agencies during the year ended 30 June 2009.

Directors’ meetings

The Board of Directors established the Audit and Risk Management Committee on 9 May 2007. The charter for the Audit and Risk Management Committee was adopted on 12 July 2007. The members of the committee consist of Stephen Poke (Chairman), Chris Bain and Dean Turnbull.

The number of directors’ meetings held during the year and the numbers of meetings attended by each director were as follows:

		Board of directors	Board of directors	Audit and	Risk Management	Committee
Directors	Held	Entitled to	Attended	Held	Entitled to	Attended
		attend			attend
C J Bain	8	8	8	2	2	2
B R Hochwimmer	8	8	8	-	-	-
D G Turnbull	8	8	8	2	2	2
S G Poke	8	8	8	2	2	2
R G Udovenya	8	8	8	-	-	-

DART MINING NL 2009 ANNUAL REPORT 19

09 REMUNERATION REPORT

Details of Directors anD other key management personnel

Directors and other key management personnel of the Company during and since the end of the financial year are as follows:

Directors

C J Bain B R Hochwimmer D G Turnbull S G Poke R G Udovenya

Other key management personnel

J E Quayle (Chief Executive Officer)

remuneration philosophy

The Board of Directors of Dart Mining NL is responsible for determining and reviewing compensation arrangements for the directors, the Chief Executive Officer and other key management personnel. The Board’s remuneration policy is to ensure that the remuneration package properly reflects the person’s duties and responsibilities, with the overall objective of ensuring maximum stakeholder benefit from the retention of a high quality Board and executive team. Such officers are given the opportunity to receive their base emolument in a variety of forms, including cash and fringe benefits such as motor vehicles. It is intended that the manner of payment chosen will be optimal for the recipient without creating undue cost to the Company.

To assist in achieving these objectives, the Board intends to link the nature and amount of directors’ and other key management personnel’s emoluments to the Company’s financial and operational performance. It is the Board’s policy that employment contracts are entered into with all senior executives. At the date of this report, executive remunerations are set at levels approved by the Board. The Board has granted these guaranteed levels of remuneration which are not dependent on performance in order to ensure the Group’s ability to retain quality personnel during its infancy.

To link remuneration to the Group’s performance, the Board adopted an Employee Share Option Plan in June 2008. Details of this plan are included in this remuneration report.

The Group’s earnings and movements in shareholders’ wealth since listing to 30 June 2009 are detailed in the following table:

	30 June 2009	30 June 2008	30 June 2007
Revenue	$106,379	$186,684	$76,998
Net loss after tax	($1,146,803)	($755,721)	($101,074)
Share price at start of year or period	18c	21c	17c
Share price at end of year	8c	18c	21c
Dividends	-	-	-
Basic earnings per share	(2.62)c	(1.77)c	(1.28)c
Diluted earnings per share	(2.62)c	(1.77)c	(1.28)c

Employment Agreements are entered into with executive directors and specified executives. The employment contracts with the two executive directors are terminable by either the Company or the executive director by giving three months’ notice. The employment contract with the Chief Executive Officer (CEO) ran until its termination date of 6 December 2008. Until a new contract is negotiated the terms and conditions of the contract continue to pertain apart from salary as noted in the following pages. Contracts do not provide for any additional termination benefits.

20 DART MINING NL 2009 ANNUAL REPORT

REMUNERATION REPORT

remuneration structure

In accordance with best practice corporate governance, the structure of non-executive director and executive remuneration is separate and distinct.

non-executive Director remuneration

Objective

The Board seeks to set aggregate remuneration at a level which provides the company with the ability to attract and retain directors of the highest calibre, whilst incurring a cost which is acceptable to shareholders.

Structure

The Constitution and the ASX Listing Rules specify that the aggregate remuneration of non-executive directors shall be determined from time to time by a general meeting. An amount not exceeding the amount determined is then divided between the directors as agreed. The latest determination was in the constitution adopted on 22 June 2006 which approved an aggregate remuneration of $200,000 per year.

The amount of aggregate remuneration sought to be approved by shareholders and the manner in which it is apportioned amongst directors is reviewed annually. The Board considers advice from external consultants as well as the fees paid to non-executive directors of comparable companies when undertaking the annual review process.

Each non-executive director receives a fee for being a director of the Company. Directors who are called upon to perform extra services beyond the director’s ordinary duties may be paid additional fees for those services.

Non-executive directors have long been encouraged by the Board to hold shares in the company. It is considered good governance for directors to have a stake in the company on whose board he or she sits.

The remuneration of non-executive directors for the financial year ended 30 June 2009 is detailed in this report. From 1 January 2009 the remuneration of non-executive directors was reduced by 50%.

senior executive remuneration

Objective

The Company aims to reward executives with a level and mix of remuneration commensurate with their position and responsibilities within the Company and so as to:

reward executives for Company, business unit and individual performance against targets set by reference to appropriate benchmarks;
align the interests of executives with those of shareholders;
link reward with the strategic goals and performance of the Company; and
ensure total remuneration is competitive by market standards.

Structure

In determining the level and make-up of executive remuneration, the Board obtained independent advice from external consultants on market levels of remuneration for comparable executive roles. It is the Board’s policy that employment contracts are entered into with the all senior executives.

DART MINING NL 2009 ANNUAL REPORT 21

09 REMUNERATION REPORT

variable remuneration – long term incentives

Objective

The objectives of long term incentives are to:

recognise the ability and efforts of the employees of the Company who have contributed to the success of the Company and to provide them with rewards where deemed appropriate;
provide an incentive to the employees to achieve the long term objectives of the Company and improve the performance of the Company; and
attract persons of experience and ability to employment with the Company and foster and promote loyalty between the Company and its employees.

Structure

Long term incentives in the form of the Company’s Employee Share Option Plan provides an opportunity to link in part the remuneration paid to shareholder returns over an extended period. Under the Employee Share Option Plan, employees (excluding directors) were granted Performance Rights to receive a maximum of 504,000 options over unissued shares in the Company in June 2008. Directors were granted Performance Rights to receive a maximum of 492,000 options over unissued shares in the Company following shareholders’ approval obtained at the Company’s Annual General Meeting on 21 November 2008. The number of options to be issued under the performance rights will be subject to meeting or achieving performance targets.

The options will be exercisable on or before 30 April 2012 in all or part of the entitlement on payment of 16.7 cents per share. The options to be issued which result from the exercise of the Performance Rights will be issued no later than 31 March 2010. Funds will not be raised by the Company on the grant of the Performance Rights, therefore they are at no cost to directors and employees. Funds will be raised by the Company as a consequence of the exercise of the options.

The following table lists the performance targets that apply and the weighting given to their achievement in determining the number of Performance Rights available to be granted to the two categories of employees and directors. By way of example, achieving the 100,000oz Au JORC Resource defined by 1 January 2010 target has a 50% weighting in the granting of the Performance Rights. The safety and well-being of all Dart Mining NL employees is paramount and therefore is represented in two ways – a group target and an individual target measured as number of Lost Time Injuries (LTI). The achievement of the group performance target for safety has a maximum weighting of 30% and the achievement of the individual performance target has a weighting of 20%. Achievement below target in the sense of incurring an LTI results in the loss of 10% for the group and 10% for the individual.

Executive directors and employees Performance target	Achieve target Target not met
100,000oz Au JORC Resource or equivalent defned by 1/1/2010 Safety – LTI (target 2008/09 = no LTI) Individual LTI Maximum	50% 0% 30% 10% lost for each group LTI 20% 10% lost for each individual LTI 100%

Non-executive directors Performance target	Achieve target Target not met
100,000oz Au JORC Resource or equivalent defned by 1/1/2010 Individual – site visits (3 visits in 2008/3 visits in 2009) Maximum	80% 0% 20% 20% if attend site six times, 10% for fve 100%

22 DART MINING NL 2009 ANNUAL REPORT

REMUNERATION REPORT

ASX corporate governance principal 8.2 recommends companies seek shareholder approval of equity-based reward schemes for executives. The Company’s current equity-based reward scheme, the Dart Mining Employee Share Option Plan was approved by shareholders at the 2007 Annual General Meeting.

Currently there is no Company policy regarding employees hedging of their options.

service contracts

Service contracts are entered into with executive directors and specified executives.

Bernhard Hochwimmer

Under an agreement dated 27 July 2006 (subsequently varied by deed dated 21 February 2007) the Company engaged B Hochwimmer and Associates Pty Ltd, a company which is controlled by Bernhard Hochwimmer, to provide consulting geological and management services to Dart Mining NL. This agreement was replaced with an employment agreement dated 2 January 2008 between the Company and Mr Bernhard Hochwimmer. The terms of the agreement include inter alia :

Mr Hochwimmer will devote 80% of his time to the Company’s business
The Company has agreed to a remuneration package of $145,000 per annum for Mr Hochwimmer’s services, with annual reviews, together with reimbursement of all business related expenses including motor vehicle running and maintenance expenses. This remuneration package was subsequently reviewed by the Board of Directors to $158,050 per annum effective 1 January 2008 and reduced to $79,025 per annum effective 1 January 2009.
A restraint on Mr Hochwimmer undertaking additional part-time consulting or provision of other services which may conflict with the activities of Dart without the approval of the Chairman which may not be unreasonably withheld. This restraint continues for 12 months after cessation of engagement with the Company.
An obligation on Mr Hochwimmer to maintain confidentiality in respect of proprietary information obtained during employment.
The agreement is terminable by either party on 3 months notice being given.

Dean Turnbull

Under an agreement dated 27 July 2006 (subsequently varied by deed dated 21 February 2007) the Company engaged North East Geological Contractors Pty Ltd, a company which is controlled by Dean Turnbull, to provide consulting geological and management services to Dart Mining NL. This agreement was replaced with an employment agreement dated 2 January 2008 between the Company and Mr Dean Turnbull. The terms of the agreement include inter alia :

Mr Turnbull will devote 80% of his time to the Company’s business
The Company has agreed to a remuneration package of $145,000 per annum for Mr Turnbull’s services, with annual reviews, together with reimbursement of all business related expenses including motor vehicle running and maintenance expenses. This remuneration package was subsequently reviewed by the Board of Directors to $158,050 per annum effective 1 January 2008 and reduced to $79,025 per annum effective 1 January 2009.
A restraint on Mr Turnbull undertaking additional part-time consulting or provision of other services which may conflict with the activities of Dart without the approval of the Chairman which may not be unreasonably withheld. This restraint continues for 12 months after cessation of engagement with the Company.
An obligation on Mr Turnbull to maintain confidentiality in respect of proprietary information obtained during employment.
The agreement is terminable by either party on 3 months notice being given.

DART MINING NL 2009 ANNUAL REPORT 23

09 REMUNERATION REPORT

John Quayle

Under an employment agreement dated 10 January 2007, the Company and Mr John Quayle agreed the terms of his employment including inter alia :

Mr Quayle was engaged to provide services in the capacity of Company Secretary and Chief Executive Officer on a part-time basis for 20 hours per week commencing on 6 December 2006 for a period of 24 months, at an annual salary of $92,650 with periodic reviews. This contract was subsequently reviewed by the Board of Directors increasing to 30 hours per week at an annual salary of $163,500 effective 1 January 2008. This annual salary was subsequently reduced to $81,750 effective 1 January 2009 on the basis of 15 hours per week. Negotiations are continuing in respect of a new contract. Until a new contract is negotiated the terms and conditions of the previous contract apart from salary continue to pertain.
A restraint on Mr Quayle undertaking additional part-time employment which may conflict with the activities of the Company without the approval of the Chairman which may not be unreasonably withheld.
An obligation on Mr Quayle to maintain confidentiality in respect of proprietary information obtained during employment.
The grant of 1,000,000 options to Mr Quayle in 2 tranches:
a) 500,000 options (with an expiry date of 31 December 2010) exercisable at 20 cents vesting on 6 December 2007, and
b) 500,000 options (with an expiry date of 31 December 2010) exercisable at 20 cents vesting on 6 December 2008.

The options may be exercised at any time after vesting date during employment and for 3 months after cessation of employment, after which they lapse. They will not be quoted.

Mr Quayle’s appointment as Chief Executive Officer was confirmed on 8 March 2007.

remuneration of Directors anD other key management personnel

	Short term	Post	Share-	based payments		Percentage of
	employee	employment				share-based
	benefts	benefts				payments
	Salaries	Superannuation	Options	Performance	Total
	& fees			rights
	$	$	$	$	$	%
2009
Directors
C.J. Bain	-	31,250	-	482	31,732	1.52
B.R.Hochwimmer	102,750	15,787	-	3,493	122,030	2.86
D.G.Turnbull	108,750	9,788	-	3,493	122,031	2.86
S.G.Poke	19,708	2,167	-	338	22,213	1.52
R.G.Udovenya	-	21,875	-	338	22,213	1.52
Other key management	personnel
J E Quayle	31,750	90,875	8,934	2,922	134,481	8.82
2008
Directors
C.J. Bain	-	44,486	-	-	44,486	-
B.R.Hochwimmer	139,000	12,525	-	-	151,525	-
D.G.Turnbull	145,000	6,525	-	-	151,525	-
S.G.Poke	31,140	-	-	-	31,140	-
R.G.Udovenya	-	31,140	-	-	31,140	-
Other key management	personnel
J E Quayle	28,075	100,000	39,201	-	167,276	23.43

24 DART MINING NL 2009 ANNUAL REPORT

REMUNERATION REPORT

Bonuses

No bonuses were granted during the financial year ended 30 June 2009.

Employee options

No options were issued or granted to or exercised by the directors and other key management personnel of the Company during the financial year ended 30 June 2009.

At 30 June 2009, the following employee options were in existence:

Grantee	Number	Grant date	Expiry date	Exercise price	Fair value at	Vesting date
					grant date
J E Quayle	500,000	3 January 2007	31 December 2010	20 cents	7.9 cents	6 December 2007
J E Quayle	500,000	3 January 2007	31 December 2010	20 cents	7.9 cents	6 December 2008

The options are not transferrable and may be exercised at any time after vesting date during employment and for 3 months after cessation of employment. They are not quoted.

Performance rights

The following performance rights were granted to key management personnel during the financial year ended 30 June 2009.

Grantee	Number	Grant date	Vesting date	Expiry date	Exercise	Fair value at	Total value
					price	grant date	at grant date
							$
Directors
C J Bain	60,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents	3,620
B R Hochwimmer	174,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents	10,498
D G Turnbull	174,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents	10,498
S G Poke	42,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents	2,534
R G Udovenya	42,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents	2,534

The following key management personnel performance rights were in existence at 30 June 2009

						Fair value at grant
Grantee	Number	Grant date	Vesting date	Expiry date	Exercise price	date
Directors
C J Bain	60,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents
B R Hochwimmer	174,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents
D G Turnbull	174,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents
S G Poke	42,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents
R G Udovenya	42,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents
Other key management personnel
J E Quayle	180,000	27 June 2008	1 January 2010	30 April 2010	-	12.2 cents

inDemnification anD insurance of Directors anD officers

The Company has entered into Deeds of Indemnity with the directors and the company secretary, indemnifying them against certain liabilities and costs to the extent permitted by law.

The Company has also agreed to pay a premium in respect of a contract insuring the directors and officers of the Company. Full details of the cover and premium are not disclosed as the insurance policy prohibits the disclosure.

DART MINING NL 2009 ANNUAL REPORT 25

REMUNERATION REPORT

auDitor inDepenDence anD non-auDit services

A copy of the auditor’s independence declaration under s. 307C of the Corporation Act 2001 in relation to the audit of the full year is included in this report.

The directors are satisfied that the provision of non-audit services, during the year by the auditor (or by another person or firm on the auditor’s behalf) is compatible with the general standards of independence for auditors imposed by the Corporations Act 2001 .

This report has been made in accordance with a resolution of the directors.

==> picture [52 x 37] intentionally omitted <==

C J BAIN Director

==> picture [114 x 35] intentionally omitted <==

R G UDOVENYA Director

Melbourne

16 September 2009

26 DART MINING NL 2009 ANNUAL REPORT

CORPORATE GOVERNANCE STATEMENT

corporate governance statement

The Board of Directors of Dart Mining NL (the Company) is committed to the principle of good practice in corporate governance. The Board believes that genuine commitment to good corporate governance is essential to the performance and sustainability of the Company’s business and as such depends upon the corporate culture – values and behaviours – that underlie day-to-day activities.

The Board continually reviews its corporate governance practices and regularly monitors developments in good practice governance in Australia and overseas. Where international and Australian guidelines are not consistent, the good practice guidelines of the ASX Corporate Governance Council have been adopted as the minimum base for corporate governance practices.

boarD of Directors

The Board has adopted a formal charter which allocates responsibilities between the Board and management which is available from the corporate governance section of the Company website at www.dartmining.com.au. The charter details the composition, responsibilities and code of conduct under which the Board operates. The Board has resolved unanimously that the Company will at all times aspire to “good practice” in corporate governance.

Unless otherwise indicated in this statement the practices specified in the charter have been followed throughout the reporting period and will remain in force until amended by resolution of the Board.

Role of the Board

The Board acknowledges its accountability to shareholders for creating shareholder value within a framework that protects the rights and interests of shareholders and ensures the Company is properly managed. The Board aims to achieve these objectives through the adoption and monitoring of strategies, plans, policies and performance as follows:

a. Providing input into, and approval of, the Group’s strategic direction; approval and monitoring of budgets and business plans; and ensuring appropriate resources are available, including capital management and major capital expenditure.
b. Approving the Group’s systems of risk management, monitoring their effectiveness and maintaining a dialogue with the Group’s auditors.
c. Considering, approving and monitoring internal and external financial and other reporting, including reporting to shareholders, the ASX and other stakeholders.
d. Selection and evaluation of directors, the Chief Executive Officer (CEO), and senior executives and planning for their succession.
e. Setting the CEO and director remuneration within shareholder approved limits and ensuring that the remuneration and conditions of service of senior executives are appropriate.
f. Ensuring, and setting standards for, ethical behaviour and compliance with the Group’s own governing documents, including the Group’s Code of Conduct and corporate governance standards.

Board processes

The Board aims to perform its role and objectives through the adoption and monitoring of strategies, plans, policies and performance; the review of the CEO and senior management performance, conduct and reward; monitoring of the major risks of the Company’s business; and by ensuring the Company has policies and procedures to satisfy its legal and ethical responsibilities.

The Board determines the strategic direction of the Company and sets policies accordingly. In addition to maintaining oversight of the Company’s executive management and operations, the Board monitors substantive issues such as ethical standards and social and environmental responsibilities.

DART MINING NL 2009 ANNUAL REPORT 27

09 CORPORATE GOVERNANCE STATEMENT

Composition of the Board

The names of the directors of the Company at the date of this statement are set out in the Directors’ Report in this financial report. The composition of the Board is determined using the following principles:

a maximum of 12 directors;
a non-executive director as Chairman;
a majority of non-executive directors; and
a balance between independent and non-independent directors.

The Board is currently comprised of five directors: three non-executive directors and two executive directors. The Company’s Constitution provides for a maximum of 12 directors. The Board periodically reviews its size as appropriate. The Chief Executive Officer, who is appointed by the Board, is invited to attend all Board meetings.

Directors are considered to be independent if they are not major shareholders, are independent of management, and are free from any business or other relationship that could materially interfere with their exercise of free and independent judgement. Messrs Bain and Udovenya are considered to fall within this category.

By reason of history the Board comprises a majority of non-independent directors (Messrs Hochwimmer, Turnbull, and Poke) who, being major shareholders themselves, and/or who provide services to the Company either as employees or contractors, have been regarded as being non-independent.

While the composition of the current Board does not comply with ASX Corporate Governance Council recommendation 2.1 which recommends that the board should comprise a majority of independent directors, the Board regards the present composition of directors and Board committees as a good balance at this stage of the development of the Company with the appropriate mix of expertise and experience and ability to represent the interests of all shareholders.

Future director appointees will receive a formal letter of appointment setting out the responsibilities, rights and terms and conditions of their appointment. Directors participate in a comprehensive induction which covers the operations, financial position, strategic and risk management issues, as well as the operation of the Board and any sub-committees.

Meetings

The Board meets on a regular basis to retain full and effective control and monitor executive management. During the financial year to 30 June 2009, the full Board met 8 times. The directors’ attendance at meetings is detailed in the Directors’ Report.

Members of the management team may attend meetings at the invitation of the Board.

Role of Chairman and Chief Executive Officer (CEO)

The Chairman is an independent director elected by the full Board, having no association with the Company, nor is he a substantial shareholder of the Company, and has not previously been an employee.

The Chairman is responsible for leading the Board, ensuring directors are properly briefed in all matters relevant to their role and responsibilities, facilitating Board discussions and managing the Board’s relationship with the Company’s senior executives.

The CEO is responsible for implementing Group strategies and policies. The Board Charter specifies that these are separate roles to be undertaken by separate people.

Term of office

The Board reviews its performance and composition on an annual basis and aims to have members with high levels of intellectual ability, experience, soundness of judgement and integrity to maximise its effectiveness and contribution. Directors serve a maximum three-year term before being required to be re-elected by members. Dart’s constitution provides that at least one third (or the nearest whole number) of directors must retire at each Annual General Meeting, but are eligible for reelection at that meeting. There is no compulsory retiring age.

28 DART MINING NL 2009 ANNUAL REPORT

CORPORATE GOVERNANCE STATEMENT

Independent professional advice

In performing their duties directors have the right to seek independent, professional advice at the Company’s expense, in furtherance of their duties as directors, with the approval of the Chairman, which approval shall not be unreasonably withheld.

boarD committees

The Company has a formally constituted Audit and Risk Management Committee reporting to the Board of Directors. This committee is chaired by a non-executive director and operates under a charter with authority to examine and report on any matters concerning risk management within the company including, but not limited to, operational, occupational health and safety, and financial matters. The charter is published on the Company’s website.

The directors consider that the Company is not of a size nor are its affairs of such complexity as to justify the formation of other special or separate committees such as Remuneration or Nomination committees. The Board as a whole is able to address the governance aspects of the Company’s activities and ensure that it adheres to appropriate ethical standards. However as appropriate and as required the Board will establish Board committees to assist in the execution of its responsibilities. Any committees formed will have written mandates and operating procedures that, together with membership, will be reviewed on a regular basis.

coDe of business conDuct

The Board has adopted a Code of Conduct (the Code) and a policy “Behaviour Standards – Standards of Business Conduct” setting out parameters for ethical behaviour and business practices which applies to all of the Company’s directors, officers and employees. The Code is included in the Board Charter and is available for review on the Company website. The Code is regularly reviewed and updated as necessary to ensure it reflects the highest standards of behaviour and professionalism and the practices necessary to maintain confidence in the Group’s integrity.

In summary, the Code requires that at all times all group personnel act with the utmost integrity, objectivity and in compliance with both the letter and the spirit of the law and Company policies.

Conflicts of interest

All directors of the Company must keep the Board advised, on an ongoing basis, of any private interest that could potentially conflict with the interests of the Company. Where the Board believes that a significant conflict exists, the director concerned does not receive relevant board papers and is not present at the meeting whilst the item is considered. The Board has developed procedures to assist directors to disclose potential conflicts of interest.

All directors and executive officers of the Company are required to disclose to the Company any material transaction or commercial relationship or corporate opportunity that reasonably could be expected to give rise to such a conflict.

Insider trading

Trading in shares by any director or senior executive of the Company within the period between the close of each financial quarter and the release of quarterly, half yearly interim and full year results by the Company requires the express written approval of the Chairman before any trading is conducted or the entry into any share trading agreements.

Fair dealing and ethical standards

The Code requires all directors, officers and employees of the Company to behave honestly and ethically at all times with all people and other organisations.

The Code requires employees who are aware of unethical practices within the Group or breaches of the Company’s trading policy to report these using the Company’s whistleblower program. This can be done anonymously. The Company Secretary also has responsibility for the initial investigations of significant issues raised under the whistleblower program. These matters are reported to the Board.

The directors are satisfied that the Company has complied with its policies on ethical standards, including trading in securities.

DART MINING NL 2009 ANNUAL REPORT 29

09 CORPORATE GOVERNANCE STATEMENT

financial reporting

Reporting standards

The Company is committed to providing shareholders with clear, transparent, and high quality financial information in a timely manner. The Company continuous disclosure policy underpins this approach.

The financial reports of the Company are produced in accordance with Australian International Financial Reporting Standards, other authoritative pronouncements of the Australian Accountings Standards Board and the Corporations Act. The financial statements and reports are subject to review every half year and the auditor issues an audit opinion accompanying the full year results for each financial year.

External auditors

The Company policy is to appoint external auditors who clearly demonstrate quality and independence. The performance of the external auditor is reviewed annually, taking into consideration assessment of performance, existing value and tender costs. Deloitte Touche Tomatsu have been appointed as the external auditors.

An analysis of fees paid to the external auditors, including a breakdown of fees for non-audit services, is provided in Note 22 to the financial statements. It is the policy of the external auditors to provide an annual declaration of their independence to the Board.

The external auditor is requested to attend the annual general meeting and be available to answer shareholder questions about the conduct of the audit and the preparation and content of the audit report.

Management Certification

The Company requires that the Chief Executive Officer make the following certifications to the Board:

that the Company’s financial reports are complete and present a true and fair view, in all material respects, of the financial condition and operational results of the Company and group and are in accordance with relevant accounting standards.
that the above statement is founded on a sound system of risk management and internal compliance and control and which implements the policies adopted by the Board and that the Company’s risk management and internal compliance and control is operating efficiently and effectively in all material respects.

risk assessment

The Board is responsible for ensuring there are adequate policies in relation to risk management, compliance and internal control systems. The Board has appointed an Audit and Risk Management Committee to advise it in these matters. In summary, the Company policies are designed to ensure strategic, operational, legal, reputation and financial risks are identified, assessed, effectively and efficiently managed and monitored to enable achievement of the Company’s business objectives.

Considerable importance is placed on maintaining a strong control environment. There is an organisation structure with clearly drawn lines of accountability and delegation of authority. Adherence to the Code of Conduct is required at all times and the Board actively promotes a culture of quality and integrity.

Detailed control procedures cover management accounting, purchases and payments, financial reporting, capital expenditure requests, project appraisal, environment, health and safety, IT security, compliance, and other risk management issues. There is a systematic review and monitoring of key business operational risks by management which reports on current and future risks and mitigation activities to the Board.

30 DART MINING NL 2009 ANNUAL REPORT

CORPORATE GOVERNANCE STATEMENT

The Company recognises the importance of environmental and occupational health and safety (OH&S) issues and is committed to the highest levels of performance with the systematic identification of environmental and OH&S issues to ensure they are managed in a structured manner. This system allows the Company to:

monitor its compliance with all relevant legislation
continually assess and improve the impact of its operations on the environment
encourage employees to actively participate in the management of environmental and OH&S issues
work with trade associations representing the entity’s businesses to raise standards
use energy and other resources efficiently; and
encourage the adoption of similar standards by the entity’s principal suppliers, contractors and distributors.

continuous Disclosure anD shareholDer communication

The Company is a disclosing entity under the Corporations Act and is subject to the continuous disclosure requirements under the ASX Listing Rules. Communications with shareholders and other stakeholders are given a high priority. In addition to statutory disclosure documents such as Annual Reports and Quarterly production reports, the Board is committed to keeping all stakeholders informed of all material developments that affect the Company in a timely manner.

The Company has a formal policy and comprehensive procedures on continuous disclosure. Once the Board or management becomes aware of information concerning the Company that would be likely to have a material effect on the price or value of the company’s securities (and which does not fall within the exceptions to the disclosure requirements contained in the Listing Rules), that information is released to the ASX.

The Board has appointed the Company Secretary (or in his absence, the Chairman) as the person responsible for communication to ASX. This role includes responsibility for ensuring compliance with the continuous disclosure requirements in the ASX Listing Rules and overseeing and co-ordinating information disclosure to the ASX, analysts, brokers, shareholders, the media and the public. All Company announcements, presentations or other briefings are posted on the company’s website after release to the Australian Securities Exchange.

The Board also endorses full and regular communication with and between directors, the Chief Executive Officer, senior management, the external auditors and other professional advisers, shareholders and other significant stakeholders. The Board also ensures the Company Secretary maintains a good, open and frank relationship with the ASX and its designated Company officers to ensure compliance and full disclosure.

All shareholders have the opportunity to elect to receive a copy of the Company’s annual report at the same time as they receive by post a copy of the Notice of the Annual General Meeting.

Full use is made of annual general meetings to inform shareholders of current developments through appropriate presentations and to provide opportunities for questions.

compliance with asx corporate governance council gooD practice recommenDations

The Company complies with all of the ASX Corporate Governance Principles and Recommendations with the following exceptions:

(i) Independent directors are not in the majority on the Board (Recommendation 2.1): the Board considers the present composition of directors and Board committees as a good balance at this stage of the development of the Company with the appropriate mix of expertise and ability to represent the interests of all shareholders;
(ii) The Company does not have a Nomination Committee (Recommendation 2.4): the Board as a whole meets to consider any additional appointments;
(iii) A member of the Audit Committee is an executive director (Recommendation 4.2): the Board considers that the composition of the Audit Committee is appropriate to properly and effectively discharge its functions.

DART MINING NL 2009 ANNUAL REPORT 31

09

DART MINING NL 2009 ANNUAL REPORT

INCOME STATEMENT FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

Note Revenue 2a Exploration costs written-off 1j Employment related costs Depreciation and amortisation expense 2b Offce expenses Administration expenses Travel expenses Other expenses Loss before income tax expense Income tax expense 3 Net loss for the year Net loss attributable to members of Dart Mining NL Earnings per share From continuing operations: Basic (cents per share) 4 Diluted (cents per share) 4	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ 106,379 186,684 106,379 186,684 (338,968) - (338,968) - (477,532) (529,161) (477,532) (529,161) (63,372) (40,721) (63,372) (40,721) (22,804) (34,737) (22,804) (34,737) (235,700) (230,472) (225,363) (229,989) (66,403) (48,099) (66,403) (48,099) (48,403) (59,215) (47,251) (59,215)
	(1,146,803) (755,721) (1,135,314) (755,238) - - - -
	(1,146,803) (755,721) (1,135,314) (755,238)
	(1,146,803) (755,721) (1,135,314) (755,238) (2.62) (1.77) (2.62) (1.77)

The accompanying notes form part of these financial statements

DART MINING NL 2009 ANNUAL REPORT 33

09 BALANCE SHEET AS AT 30 JUNE 2009

Note Current assets Cash and cash equivalents 16(b) Receivables 5 Prepayments 6 Total current assets Non-current assets Property, plant and equipment 7 Deferred exploration and evaluation costs 8 Investment in subsidiary 9 Goodwill 11 Total non-current assets Total assets Current liabilities Payables 10 Provisions 12 Total current liabilities Total liabilities Net assets Equity Company interest Issued capital 13 Reserves 14 Accumulated losses Total equity	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ 430,591 2,344,148 430,591 2,344,148 17,875 105,965 17,875 104,504 18,894 19,602 18,894 19,602
	467,360 2,469,715 467,360 2,468,254
	148,596 180,238 148,596 180,238 3,143,518 2,245,396 3,143,518 2,245,396 - - 14,001 14,001 - 10,066 - -
	3,292,114 2,435,700 3,306,115 2,439,635
	3,759,474 4,905,415 3,773,475 4,907,889
	83,916 339,297 84,053 339,396 10,916 34,739 10,916 34,739 94,832 374,036 94,969 374,135
	94,832 374,036 94,969 374,135
	3,664,642 4,531,379 3,678,506 4,533,754
	5,422,823 5,175,908 5,422,823 5,175,908 245,417 212,266 245,417 212,266 (2,003,598) (856,795) (1,989,734) (854,420)
	3,664,642 4,531,379 3,678,506 4,533,754

The accompanying notes form part of these financial statements

34 DART MINING NL 2009 ANNUAL REPORT

STATEMENT OF CHANGES IN EQUITY FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

STATEMENT OF CHANGES I	N EQUITYFOR THE FINANCIAL YEAR ENDED 30 JUNE 2009
Consolidated	Ordinary share capital $ Capital raising costs $ Share option reserve $ Accumulated losses $ Total $
Balance at 1 July 2007 Total recognised income and expense Options issued Balance at 30 June 2008 Balance at 1 July 2008 Total recognised income and expense Options and performance rights issued Shares issued during the year Capital raising costs Balance at 30 June 2009 Company	6,012,503 (836,595) 173,065 (101,074) 5,247,899 - - - (755,721) (755,721) - - 39,201 - 39,201
	6,012,503 (836,595) 212,266 (856,795) 4,531,379
	6,012,503 (836,595) 212,266 (856,795) 4,531,379 - - - (1,146,803) (1,146,803) - - 33,151 - 33,151 270,500 - - - 270,500 - (23,585) - - (23,585)
	6,283,003 (860,180) 245,417 (2,003,598) 3,664,642

Balance at 1 July 2007 Total recognised income and expense Options issued Balance at 30 June 2008 Balance at 1 July 2008 Total recognised income and expense Options and performance rights issued Shares issued during the year Capital raising costs Balance at 30 June 2009	6,012,503 (836,595) 173,065 (99,182) 5,249,791 - - - (755,238) (755,238) - - 39,201 - 39,201
	6,012,503 (836,595) 212,266 (854,420) 4,533,754
	6,012,503 (836,595) 212,266 (854,420) 4,533,754 - - - (1,135,314) (1,135,314) - - 33,151 - 33,151 270,500 - - - 270,500 - (23,585) - - (23,585)
	6,283,003 (860,180) 245,417 (1,989,734) 3,678,506

The accompanying notes form part of these financial statements

DART MINING NL 2009 ANNUAL REPORT 35

CASH FLOW STATEMENT FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

09

Notes Cash fows from operating activities Receipts from customers Interest received Payments to suppliers and employees Net cash fows used in operating activities 16(a) Cash fows from investing activities Payments for exploration costs Purchase of plant and equipment Proceeds from sale of plant and equipment Loan to subsidiary entity Net cash fows used in investing activities Cash fows from fnancing activities Proceeds from issue of ordinary shares Payment of share issue costs Net cash fows from fnancing activities Net increase (decrease) in cash held Cash at the beginning of the fnancial year Cash at the end of the fnancial year 16(b)	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ 59,194 - 59,194 73,867 207,558 73,867 207,558 (878,316) (761,702) (878,046) (761,156)
	(745,255) (554,144) (744,985) (553,598)
	(1,381,516) (1,094,812) (1,381,516) (1,094,812) (55,701) (203,253) (55,701) (203,253) 22,000 - 22,000 - - - (270) (546)
	(1,415,217) (1,298,065) (1,415,487) (1,298,611)
	270,500 - 270,500 - (23,585) (118,539) (23,585) (118,539)
	246,915 (118,539) 246,915 (118,539)
	(1,913,557) (1,970,748) (1,913,557) (1,970,748) 2,344,148 4,314,896 2,344,148 4,314,896
	430,591 2,344,148 430,591 2,344,148

The accompanying notes form part of these financial statements

36 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

Note Contents

1.	Summary of signifcant accounting policies
2.	Revenue and expenses
3.	Income tax
4.	Earnings per share
5.	Receivables
6.	Prepayments
7.	Plant and equipment
8.	Deferred exploration and evaluation costs
9.	Investment in subsidiary
10.	Payables
11.	Goodwill
12.	Provisions
13.	Issued capital
14.	Reserves
15.	Franking credits
16.	Cash fow reconciliation
17.	Expenditure commitments
18.	Subsequent events
19.	Employee benefts and superannuation commitments
20.	Share-based payments
21.	Key management personnel remuneration
22.	Auditors’ remuneration
23.	Related party disclosures
24.	Financial instruments
25.	Segment information
26.	Contingent liabilities and contingent assets

DART MINING NL 2009 ANNUAL REPORT 37

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

1 summary of significant accounting policies

Statement of compliance

The financial report is a general-purpose financial report which has been prepared in accordance with the Corporations Act 2001, Accounting Standards and Interpretations, and complies with other requirements of the law.

The financial report includes separate financial statements of the company and the consolidated financial statements of the Group.

Accounting Standards include Australian equivalents to International Financial Reporting Standards (‘A-IFRS’). Compliance with A-IFRS ensures that the financial statements and notes of the Group and the company comply with International Financial Reporting Standards (‘IFRS). The financial report has also been prepared on an historical cost basis, and is presented in Australian dollars

The financial statements were authorised for issue by the directors on 16 September 2009.

The following significant policies have been adopted in the preparation and presentation of the financial report:

(a) Adoption of new and revised Accounting Standards

In the current year, the Group has adopted all of the new and revised Standards and Interpretations issued by the Australian Accounting Standards Board (AASB) that are relevant to its operations and effective for the current annual reporting period. The adoption of these new and revised Standards and Interpretations has had no impact on the financial results of the Group.

Initial application of the following Standards will not affect any of the amounts recognised in the financial report, but will change the disclosures presently made in relation to the Group and the Company’s financial report :

AASB 101 Presentation of Financial Statements – revised September 2007, AASB 2007-8 Amendments to Australian Accounting Standards arising from AASB 101, AASB 2007-10 Further Amendments to Australian Accounting Standards arising from AASB 101

Effective for annual reporting periods beginning on or after 1 January 2009

AASB 8 Operating Segments, AASB 2007-3 Amendments to Australian Accounting Effective for annual reporting Standards arising from AASB 8: Introduces a new management approach to periods beginning on or after segment reporting. AASB 8 only applies to entities which have on issue debt or equity 1 January 2009 securities that are traded in a public market.

AASB 2009-2 Amendments to Australian Accounting Standards – Improving Effective for annual reporting Disclosures about Financial Instruments : Requires enhanced disclosures of fair value periods beginning on or after 1 January 2009 that end on or after 30 April 2009

Initial application of the following Standards and Interpretations is not expected to have any material impact to the financial report of the consolidated entity and the company:

AASB 3 Business Combinations, AASB 127 Consolidated and Separate Financial Statements, AASB 2008-3 Amendments to Australian Accounting Standards arising from AASB 3 and AASB 127: Alters the manner in which business combinations and changes in ownership interests in subsidiaries are accounted for.

Effective for annual reporting periods beginning on or after 1 July 2009

AASB 123 Borrowing Costs – (revised), AASB 2007-6 Amendments to Australian Accounting Standards arising from AASB 123: Eliminates the option of expensing borrowing costs related to qualifying assets, requiring capitalisation instead.

Effective for annual reporting periods beginning on or after 1 January 2009

38 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

NOTES TO THE FINANCIAL STATEMENTS

1 summary of significant accounting policies (continued)

(a) Adoption of new and revised Accounting Standards (continued)

AASB 2008-1 Amendments to Australian Accounting Standards – Share based	Effective for annual reporting
Payments: Vesting Conditions and Cancellations: Clarify and restrict the defnition	periods beginning on or after
of vesting conditions and specify that all cancellations should receive the same	1 January 2009
accounting treatment.
AASB 2008-2 Amendments to Australian Accounting Standards – Puttable Financial	Effective for annual reporting
Instruments and Obligations arising on Liquidation: Permits certain puttable fnancial	periods beginning on or after
instruments and instruments (or components of instruments) that impose on the entity	1 January 2009
an obligation to deliver to another party a pro-rata share of the net assets of the entity
only on liquidation, to be classifed as equity, subject to specifed criteria being met.
AASB 2008-5 Amendments to Australian Accounting Standards arising from the	Effective for annual reporting
Annual Improvements Project: Clarifes the required accounting treatment where	periods beginning on or after
previous practice had varied, although some new or changed requirements are	1 January 2009
introduced.
AASB 2008-6 Further Amendments to Australian Accounting Standards arising	Effective for annual reporting
from the Annual Improvements Project: Includes requirements relating to a sale plan	periods beginning on or after
involving the loss of control of a subsidiary. The amendments require all the assets	1 July 2009
and liabilities of such a subsidiary to be classifed as held for sale and clarify the
disclosures required when the subsidiary is part of a disposal group that meets the
defnition of a discontinued operation.
AASB 2008-7 Amendments to Accounting for the Cost of an Investments in a	Effective for annual reporting
Subsidiary, Jointly Controlled Entity or Associate: Amends AASB 127_Consolidated_	periods beginning on or after
and Separate Financial Statements_and AASB_118 Revenue, AASB 136_Impairment_	1 January 2009
of Assets
AASB 2008-13 Amendments to Australian Accounting Standards arising from AASB	Effective for annual reporting
Interpretation 17	periods beginning on or after
	1 July 2009
AASB 2009-4 Amendments to Australian Accounting Standards arising from the	Effective for annual reporting
Annual Improvements Project: Introduces amendments into Accounting Standards	periods beginning on or after
that are equivalent to those made by the IASB under its program of annual	1 July 2009
improvements to its standards.
AASB 2009-5 Further Amendments to Australian Accounting Standards arising from	Effective for annual reporting
the Annual Improvements Project: As for AASB 2009-4	periods beginning on or after
	1 January 2010
Amendments to IFRS 1 ‘First-time Adoption of International Financial Reporting	Effective for annual reporting
Standards’	periods beginning on or after
	1 January 2009
Group Cash-settled Share-based Payment Transactions - Amendments to IFRS 2:	Effective for annual reporting
Amends IFRS 2 Share-based Payment to clarify the accounting for group cash-settled	periods beginning on or after
share-based payment transactions.	1 January 2010

DART MINING NL 2009 ANNUAL REPORT 39

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

1 summary of significant accounting policies (continued)

(a) Adoption of new and revised Accounting Standards (continued)

The directors anticipate that the adoption of these Standards and Interpretations will have no material financial impact on the financial statements of the Company or the Group.

These Standards and Interpretations will be first applied in the financial report of the Group that relates to the annual reporting period beginning after the effective date of each pronouncement.

(b) Critical accounting judgements and sources of estimations

In applying the Group’s accounting policies, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities. These estimates and assumptions are made based on past experience and other factors that are considered relevant. Actual results may differ from these estimates. All estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects both current and future periods.

The following describes critical judgements that management has made in the process of applying the Group’s accounting policies and that have the most significant effect on the amounts recognised in the financial statements:

Impairment of deferred exploration costs

The Group’s accounting policy for exploration expenditure results in some items being capitalised for an area of interest where it is considered likely to be recoverable in the future or where the activities have not reached a stage which permits a reasonable assessment of the existence of reserves. Management is required to make certain estimates and assumptions as to future events and circumstances, which may change as new information becomes available. If a judgement is made that recovery of a capitalised expenditure is unlikely, the relevant amount will be written off to the income statement.

(c) Principles of consolidation

The consolidated financial statements incorporate the financial statements of the Company and entities (including special purpose entities) controlled by the Company (its subsidiaries) (referred to as ‘the Group’ in these financial statements). Control is achieved where the Company has the ability to control the financial and operating policies of an entity so as to obtain benefits from its activities.

The result of subsidiaries acquired or disposed of during the year are included in the consolidated income statement from the effective date of acquisition or up to the effective date of disposal, as appropriate.

Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by other members of the Group.

All intra-group transactions, balances, income and expenses are eliminated in full on consolidation. In the separate financial statements of the Company, intra-group transactions (‘common control transactions’) are generally accounted for by reference to the existing (consolidated) book value of the items. Where the transaction value of common control transactions differ from their consolidated book value, the difference is recognised as a contribution by or distribution to equity participants by the transacting entities.

(d) Cash and cash equivalents

Cash comprises cash on hand and demand deposits. Cash equivalents are short-term, highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value. For the purposes of the Statement of Cash Flows, cash includes cash on hand and in banks, and money market investments readily converted to cash, net of outstanding bank overdrafts.

40 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

NOTES TO THE FINANCIAL STATEMENTS

1 summary of significant accounting policies (continued)

(e) Revenue recognition

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the entity and the revenue can be reliably measured. The following specific recognition criteria must also be met before revenue is recognised:

Interest Income

Interest revenue is recognised on a proportional basis taking into account the interest rate applicable to the financial assets

(f) Income tax

Current tax

Current tax is calculated by reference to the amount of income taxes payable or recoverable in respect of the taxable profit or tax loss for the period. It is calculated using tax rates and tax laws that have been enacted or substantively enacted by reporting date. Current tax for current and prior periods is recognised as a liability (or asset) to the extent that it is unpaid (or refundable).

Deferred tax

Deferred tax is accounted for using the comprehensive balance sheet liability method in respect of temporary differences arising from differences between the carrying amount of assets and liabilities in the financial statements and the corresponding tax base of those items. The tax base of an asset or liability is the amount attributed to that asset or liability for tax purposes.

In principle, deferred tax liabilities are recognised for all taxable temporary differences. Deferred tax assets are recognised to the extent it is probable that sufficient taxable amounts will be available against which deductible temporary differences or unused tax losses and tax offsets can be utilised. However, deferred tax assets and liabilities are not recognised if the temporary differences giving rise to them arise from the initial recognition of assets and liabilities (other than as a result of a business combination) which affects neither taxable income nor accounting profit. Furthermore, a deferred tax liability is not recognised in relation to taxable temporary differences arising from goodwill.

Deferred tax liabilities are recognised for taxable temporary differences arising on investments in subsidiaries, branches, associates and joint ventures except where the consolidated entity is able to control the reversal of the temporary differences and it is probable that the temporary differences will not reverse in the foreseeable future.

Deferred tax assets arising from deductible temporary differences associated with these investments and interests are only recognised to the extent that it is probable that there will be sufficient taxable profits against which to utilise the benefits of the temporary differences and they are expected to reverse in the foreseeable future.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply to the period(s) when the asset and liability giving rise to them are settled, based on tax rates (and tax laws) that have been enacted or substantively enacted by reporting date. The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the consolidated entity expects, at the reporting date, to recover or settle the carrying amount of its assets and liabilities.

(g) Goodwill

Goodwill acquired in a business combination is initially measured at its cost, being the excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised. Goodwill is subsequently measured at its cost less any impairment losses.

DART MINING NL 2009 ANNUAL REPORT 41

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

1 summary of significant accounting policies (continued)

(h) Goods and services tax (GST)

Revenues, expenses and assets are recognised net of the amount of GST except:

where the GST incurred on a purchase of goods and services is not recoverable from the taxation authority, in which case the GST is recognised as part of the cost of acquisition of the asset or as part of the expense item as applicable; and
receivables and payables are stated with the amount of GST included.

The net amount of GST recoverable from, or payable to, the taxation authority is included as part of receivables or payables in the Statement of Financial Position.

Cash flows are included in the Statement of Cash Flows on a gross basis and the GST component of cash flows arising from investing and financing activities, which is recoverable from, or payable to, the taxation authority are classified as operating cash flows. Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the taxation authority.

(i) Receivables

All debtors are recognised and carried at original invoice amount less a provision for any uncollectible debts. Collectability of debtors is reviewed on an ongoing basis. Debts which are known to be uncollectible are written off. A provision for doubtful debts is raised where some doubt as to full collection exists.

(j) Exploration and evaluation assets

In accordance with AASB 6 Exploration For and Evaluation of Mineral Resources, exploration and evaluation expenditure incurred is accumulated in respect of each identifiable area of interest. These costs are only carried forward to the extent that they are expected to be recouped through the successful development of the area or where activities in the area have not yet reached a stage which permits reasonable assessment of the existence of economically recoverable reserves.

Accumulated costs in relation to an abandoned area are written off in full against operating results in the year in which the decision to abandon the area is made.

When production commences, the accumulated costs for the relevant area of interest are amortised over the life of the area according to the rate of depletion of the economically recoverable reserves.

A regular review is undertaken of each area of interest to determine the appropriateness of continuing to carry forward costs in relation to that area of interest.

Costs of site restoration are provided over the life of the facility from when exploration commences and are included in the costs of that stage. Site restoration costs include the dismantling and removal of mining plant, equipment and building structures, waste removal and rehabilitation of the site in accordance with the clauses of the mining permits. Such costs are determined using estimates of future costs, current legal requirements and technology on an undiscounted basis.

Any changes in the estimates for the costs are accounted for on a prospective basis. In determining the costs of site restoration there is uncertainty regarding the nature and extent of the restoration due to community expectations and future legislation. Accordingly the costs are determined on the basis that restoration will be completed within one year of abandoning a site.

42 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

NOTES TO THE FINANCIAL STATEMENTS

1 summary of significant accounting policies (continued)

(k) Impairment of assets

At each reporting date, the Group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exits, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where the asset does not generate cash flows that are independent from other assets, the consolidated entity estimates the recoverable amount of the cash-generating unit to which the assets belongs.

Goodwill, intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment annually and whenever there is an indication that the asset may be impaired.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised in profit or loss immediately, unless the relevant asset is carried at fair value, in which case the impairment loss is treated as a revaluation decrease.

Where an impairment loss subsequently reverses, the carrying amount of the asset (cash-generating unit) is increased to the revised estimate of its recoverable amount, but only to the extent that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (cash-generating unit) in prior years. A reversal of an impairment loss is recognised in profit or loss immediately, unless the relevant asset is carried at fair value, in which case the reversal of the impairment loss is treated as a revaluation increase.

(l) Property, plant and equipment

i) Acquisition

Items of property, plant and equipment are initially recorded at cost and depreciated as outlined below.

ii) Depreciation of property, plant and equipment

Property, plant and equipment are depreciated on a straight line basis at rates based upon the expected useful lives of these assets. The useful lives of these assets are detailed in Note 7 to the financial statements.

(m) Leases

Leases are classified at their inception as either operating or finance leases based on the economic substance of the agreement so as to reflect the risks and benefits incidental to ownership.

Operating Leases

The minimum lease payments of operating leases, where the lesser effectively retains substantially all of the risks and benefits of ownership of the leased item, are recognised as an expense on a straight line basis. Contingent rentals are recognised as an expense in the financial year in which they are incurred.

Finance Leases

Leases which effectively transfer substantially the entire risks and benefits incidental to ownership of the leased item to the group are capitalised at the present value of the minimum lease payments and disclosed as property, plant and equipment under lease. A lease liability of equal value is also recognised. The consolidated entity has no finance leases as at 30 June 2009.

DART MINING NL 2009 ANNUAL REPORT 43

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

1 summary of significant accounting policies (continued)

(n) Financial assets

Investments are recognised and derecognised on trade date where the purchase or sale of an investment is under a contract whose terms require delivery of the investment within the timeframe established by the market concerned, and are initially measured at fair value, net of transaction costs except for those financial assets classified as at fair value through profit or loss which are initially measured at fair value.

Subsequent to initial recognition, investments in subsidiaries are measured at cost in the company financial statements. Subsequent to initial recognition, investments in associates are accounted for under the equity method in the consolidated financial statements and the cost method in the company financial statements.

(o) Payables

Liabilities are recognised for amounts to be paid in the future for goods and services received, whether or not billed to the consolidated entity. Payables to related parties are carried at the principal amount. Interest, when charged by the lender, is recognised as an expense on an accrual basis.

(p) Issued capital

Issued and paid up capital is recognised at the fair value of the consideration received by the Company.

Transaction costs on the issue of equity instruments

Transaction costs arising on the issue of equity instruments are recognised directly in equity as a reduction of the proceeds of the equity instrument to which the costs relate. Transaction costs are costs that are incurred directly in connection with the issue of those equity instruments and which would not have been incurred had those instruments not been issued.

Interest and dividends

Interest and dividends are classified as expenses or as a distribution of profit consistent with the balance sheet classification of the related debt or equity instruments or component parts of compound instruments.

(q) Employee benefits

Provision is made for employee benefits accruing to employees in respect of wages and salaries, annual leave, long service leave, and sick leave when it is probable that settlement will be required and they are capable of being measured reliably.

Provisions made in respect of employee benefits expected to be settled within 12 months, are measured at their nominal values using the remuneration rate expected to apply at the time of settlement.

Provisions made in respect of employee benefits which are not expected to be settled within 12 months are measured as the present value of the estimated future cash outflows to be made by the consolidated entity in respect of services provided by employees up to reporting date.

(r) Earnings per share (“EPS”)

Basic EPS is calculated as net profit attributable to members, adjusted to exclude costs of servicing equity (other than dividends) and preference share dividends, divided by the weighted average number of ordinary shares, adjusted for any bonus element.

Diluted EPS is calculated as net profit attributable to members, adjusted for:

Costs of servicing equity (other than dividends) and preference share dividends;
The after tax effect of dividends and interest associated with dilutive potential ordinary shares that have been recognised as expenses; and
Other non-discretionary changes in revenues or expenses during the period that would result from the dilution of potential ordinary shares divided by the weighted average number of ordinary shares and dilutive potential ordinary shares, adjusted for any bonus element.

44 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

NOTES TO THE FINANCIAL STATEMENTS

1 summary of significant accounting policies (continued)

(s) Share-based payments

The Group measures the cost of equity-settled transactions with employees and consultants by reference to the fair value of the equity instruments at the date at which they are granted. The fair value is determined by using the BlackScholes model, using the assumptions detailed in Note 20.

a) The fair value determined at the grant date of the equity settled share based payment is expensed on a straightline basis over the vesting period, based on the directors’ estimate of shares that will eventually vest.
b) Equity-settled share based payment transactions with other parties are measured at the fair value of the goods and services received, except where the fair value cannot be estimated reliably, in which they are measured at the fair value of the equity instruments granted, measured at the date the entity obtains the goods or the counterparty renders the service.

(t) Going concern basis

The Group is involved in the exploration and evaluation of mineral tenements and as such expects to be cash absorbing until these tenements demonstrate that they contain economically recoverable reserves.

During the year ended 30 June 2009, the Group incurred negative cash flows of $1,913,557. As at 30 June 2009, the Group has a surplus of current assets over current liabilities of $372,528 including cash reserves of $430,591. This cash balance broadly approximates the Group’s planned expenditure budget which includes exploration activities for the 12 months from the date of this financial report.

Notwithstanding the above, the financial statements have been prepared on a going concern basis which contemplates the continuity of normal business activities and the realisation of assets and settlement of liabilities in the ordinary course of business.

The ability of the Group to continue as a going concern is dependent on its ability to control its operating overhead costs and exploration expenditures as well as to generate sufficient funds from operating activities including :

successful development of existing tenements ;
farm-out of participating interests in the Group’s permits ;
future equity or debt fund raisings including call on partly-paid shares

Having carefully assessed the uncertainties relating to the likelihood of securing additional funding and the Group’s and Company’s ability to effectively manage their expenditures and cash flows from operations, the directors believe that the Group and Company will continue to operate as going concerns for the foreseeable future and therefore it is appropriate to prepare the financial statements on a going concern basis.

In the event that the assumptions underpinning the basis of preparation do not occur as anticipated, there is uncertainty whether the Group and Company will continue to operate as going concerns. If the Group and Company are unable to continue as going concerns they may be required to realise their assets and extinguish their liabilities other than in the normal course of business and at amounts different to those stated in the financial statements.

No adjustments have been made to the financial report relating to the recoverability and classification of the asset carrying amounts or the classification of liabilities that might be necessary should the Group and Company not continue as a going concern.

DART MINING NL 2009 ANNUAL REPORT 45

09 NOTES TO THE FINANCIAL STATEMENTS

FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

2 revenue and expenses

(a) Revenue Continuing operations Interest – other persons/corporations Other income Total revenue (b) Loss before income tax Loss before income tax has been arrived at after charging the following expenses: Depreciation Share based payments 3 income tax Income tax recognised in proft and loss The prima facie income tax expense on pre tax accounting loss reconciles to the income tax expense (beneft) in the fnancial statements as follows Loss from continuing operations Income tax expense (beneft) calculated at 30% Effect of non-deductible expenses Effect of unused tax losses and tax offsets not recognised as deferred tax assets Income tax expense Tax losses not brought to account Tax losses brought forward Current year tax losses Tax losses carried forward	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ 47,185 186,684 47,185 186,684 59,194 - 59,194 -
	106,379 186,684 106,379 186,684
	63,372 40,721 63,372 40,721 33,151 39,201 33,151 39,201 - - - -
	1,146,803 755,721 1,135,114 755,238
	(344,041) (226,716) (340,594) (226,571) 5,818 10,203 2,798 10,203 338,223 216,513 337,796 216,368
	- - - -
	822,056 100,346 819,681 98,454 1,127,409 721,710 1,125,986 721,227
	1,949,465 822,056 1,945,667 819,681

4 earnings per share

earnings per share
	Consolidated
	2009	2008
	$	$
The following refects the income and share data used in calculating
basic and diluted earnings per share:
Net loss for the year	(1,146,803)	(755,721)
Basic earnings per share	(2.62)c	(1.77)c
Diluted earnings per share	(2.62)c	(1.77)c
Weighted average number of ordinary shares used in the calculation of basic and diluted
earnings per share	43,802,356	42,750,000

Diluted earnings per share is calculated after classifying all options on issue remaining unconverted at 30 June 2009 as potential ordinary shares. As at 30 June 2009, the Company has on issue 24,175,008 options over unissued capital and has incurred a net loss. As the options are not dilutive they have not been included in the calculations of diluted earnings per share.

46 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

NOTES TO THE FINANCIAL STATEMENTS

5 receivables

Accrued interest – other persons/corporations Security deposits GST receivable (net) Other receivables	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ 1,478 28,160 1,478 28,160 4,137 9,686 4,137 9,686 11,661 66,059 11,661 66,059 599 2,060 599 599
	17,875 105,965 17,875 104,504

At 30 June 2009 and 30 June 2008 no receivable amounts were past due or impaired

6 prepayments

prepayments
Insurance	18,894 19,602 18,894 19,602
	18,894 19,602 18,894 19,602

7 plant and equipment

	Consolidated Company Plant & equipment $ Computer Equipment & software $ Motor vehicles $ Total $ Plant & equipment $ Computer Equipment & software $ Motor vehicles $ Total $
Gross carrying amount Balance at 1 July 2007 Additions Balance at 1 July 2008 Additions Disposals Balance at 30 June 2009 Accumulated depreciation Balance at 1 July 2007 Depreciation expense Balance at 1 July 2008 Depreciation expense Depreciation reversed Balance at 30 June 2009 Net book value As at 30 June 2008 As at 30 June 2009	8,090 70,476 - 78,566 8,090 70,476 - 78,566 23,204 10,021 110,276 143,501 23,204 10,021 110,276 143,501
	31,294 80,497 110,276 222,067 31,294 80,497 110,276 222,067 32,684 - 21,045 53,729 32,684 - 21,045 53,729 - - (39,640) (39,640) - - (39,640) (39,640)
	63,978 80,497 91,681 236,156 63,978 80,497 91,681 236,156
	(126) (983) - (1,109) (126) (983) - (1,109) (5,089) (19,760) (15,871) (40,720) (5,089) (19,760) (15,871) (40,720)
	(5,215) (20,743) (15,871) (41,829) (5,215) (20,743) (15,871) (41,829) (18,344) (17,292) (27,735) (63,371) (18,344) (17,292) (27,735) (63,371) 17,640 17,640 17,640 17,640
	(23,559) (38,035) (25,966) (87,560) (23,559) (38,035) (25,966) (87,560)
	26,079 59,754 94,405 180,238 26,079 59,754 94,405 180,238
	40,419 42,462 65,715 148,596 40,419 42,462 65,715 148,596

The following useful lives are used in the calculation of depreciation:

Plant & Equipment 3 – 5 years Computer Equipment & Software 3 – 4 years

DART MINING NL 2009 ANNUAL REPORT

09 NOTES TO THE FINANCIAL STATEMENTS

FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

8 Deferred exploration and evaluation costs

Balance at beginning of fnancial year Additional expenditure carried forward Exploration costs written-off Balance at end of fnancial year	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ 2,245,396 1,046,501 2,245,396 1,046,501 1,237,090 1,198,895 1,237,090 1,198,895 (338,968) - (338,968) -
	3,143,518 2,245,396 3,143,518 2,245,396

Ultimate recovery of deferred exploration and evaluation costs is dependent upon success in exploration and evaluation or sale or farm-out of the exploration interests.

9 investment in subsidiary

Subsidiary – Dart Resources Pty Ltd 10 payables – current Trade and other payables Accrued expenses Accrued audit fees Terms and conditions relating to the above fnancial instruments:	- - 14,001 14,001
	- - 14,001 14,001
	34,791 242,089 34,928 242,188 28,625 77,208 28,625 77,208 20,500 20,000 20,500 20,000
	83,916 339,297 84,053 339,396

(i) Trade creditors are non-interest bearing and are usually settled on 30 day terms.

(ii) Other creditors are non-interest bearing and have an average term of 30 days.

11 goodwill

Gross carrying amount Balance at beginning of fnancial year Balance at end of fnancial year Accumulated impairment Balance at beginning of fnancial year Impairment (i) Balance at end of fnancial year Net book value As at 30 June 2008 As at 30 June 2009	10,066 10,066 - -
	10,066 10,066 - -
	- - - - 10,066 - - -
	10,066 - - -
	10,066 10,066 - -
	- 10,066 - -

(i) During the financial year it was determined that goodwill in the Group’s subsidiary was no longer recoverable. Accordingly, the amount of $10,066 was written off. The impairment amount has been included in administration expenses in the income statement.

48 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

NOTES TO THE FINANCIAL STATEMENTS

12 provisions

provisions
Employee benefts	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ 10,916 34,739 10,916 34,739
	10,916 34,739 10,916 34,739

13 issued capital

(a) Issued and paid up capital

Fully paid ordinary shares

5,422,823 5,175,908 5,422,823 5,175,908

Changes to the then Corporations Law abolished the authorised capital and par value concept in relation to share capital from 1 July 1998. Therefore, the Company does not have a limited amount of authorised capital and issued shares do not have a par value.

(b) Movement

Movement
	2009 2008 Number $ Number $
Fully paid ordinary shares Balance at beginning of the fnancial year Shares issued during the year Less transaction costs arising from issue of shares Balance at end of fnancial year	42,750,000 5,175,908 42,750,000 5,175,908 5,410,000 270,500 - - - (23,585) - -
	48,160,000 5,422,823 42,750,000 5,175,908

(c) Terms and condition of contributed equity

Ordinary shares

Ordinary shares have the right to receive dividends as declared and, in the event of winding up of the Company, to participate in the proceeds from the sale of all surplus assets in proportion to the number of and amounts paid up on shares held. Ordinary shares entitle their holder to one vote, either in person or by proxy, at a meeting of the Company.

The Company’s Share Registry had holding locks in place on ordinary shares subject to escrow and did not release them until the expiry of the relevant restriction period or otherwise without ASX approval. During the year, 13,160,412 ordinary shares were released from escrow.

The issued capital of the Company quoted on the ASX is 48,160,000 (2008: 29,589,588) ordinary shares.

Partly-paid shares (9c payable)

For every two ordinary shares issued pre-IPO, shareholders also received one partly-paid share credited as paid to 1 cent, with an unpaid amount of 9 cents per partly-paid share. The Company presently has 8,875,000 unlisted partlypaid shares on issue. The partly-paid shares to 1 cent (9c payable), are subject to a 9 cent call between 1 July 2009 and 31 December 2009. When the call on the partly-paid shares to existing shareholders has been made, the balance that has not been taken up can be sold by public auction at any price reserve as determined by the Board. The newly paid up share capital will form part of ordinary shares and has no additional terms or conditions.

If the call is not made or a portion of the partially-paid shares remains unpaid as at 31 December 2009, the remaining partially-paid shares will be cancelled by the Board.

DART MINING NL 2009 ANNUAL REPORT 49

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

13 issued capital (continued)

Under ASX Listing Rules none of the Company’s unlisted partly-paid shares were subject to escrow restrictions (2008: 6,728,165). The Company’s Share Registry had holding locks in place on partly-paid shares subject to escrow and did not release them until the expiry of the relevant restriction period. During the year, 6,728,165 partly paid shares were released from escrow.

Partly-paid shares issued by the Company are not quoted on the ASX.

(d) Share options

Options over ordinary shares

At the end of the financial year, there were 24,175,008 (2008: 24,175,008) unissued ordinary shares in respect of which the following options were outstanding:

Expiry date	Number	Securities	Escrow period	Exercise price
31 December 2010	2,800,0001	Unlisted options	-	20 cents
31 May 2010	21,375,008	Listed options	-	20 cents

1 includes 1,000,000 options issued on 3 January 2007 in accordance with the CEO designate contract of employment as described in Note 20.

No options have been issued or exercised during the financial year.

(e) Performance rights

At the end of the financial year, there were 996,000 (2008: 504,000) performance rights on issue. Unissued ordinary shares in respect of these performance rights are not determinable at the date of this report

14 reserves

Option reserve Balance at beginning of fnancial year Options and performance rights granted 1,000,000 options granted at a fair value of 7.9 cents per option to J.E. Quayle on 3 January 2007 504,000 performance rights granted to employees and directors at a fair value of 12.2 cents on 28 June 2008 492,000 performance rights granted to employees and directors at a fair value of 6.03 cents on 21 November 2008 Balance at end of fnancial year	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ 212,266 173,065 212,266 173,065 8,934 39,201 8,934 39,201 16,074 - 16,074 - 8,143 - 8,143 -
	245,417 212,266 245,417 212,266

Option reserve
Balance at beginning of fnancial year
Options and performance rights granted
1,000,000 options granted at a fair value of 7.9 cents per option to
J.E. Quayle on 3 January 2007
504,000 performance rights granted to employees and directors at a
fair value of 12.2 cents on 28 June 2008
492,000 performance rights granted to employees and directors at a
fair value of 6.03 cents on 21 November 2008
Balance at end of fnancial year

Consolidated
Company
2009
$
2008
$
2009
$
2008
$
212,266
173,065
212,266
173,065
8,934
39,201
8,934
39,201
16,074
-
16,074
-
8,143
-
8,143
-

245,417
212,266
245,417
212,266

The reserve arises on the grant of share options to third parties and executives as equity-based payments.

15 franking credits

There are no franking credits available for the subsequent financial year.

50 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

NOTES TO THE FINANCIAL STATEMENTS

16 cash flow reconciliation

(a) Reconciliation of loss from ordinary activities after tax to net cash flows from operations

Loss from ordinary activities after tax Non cash fows in operating result Depreciation of property, plant and equipment Impairment of goodwill Exploration cost written off Share-based payments Operating cash fows not recognised as expense Changes in assets and liabilities Decrease in receivables Decrease/(Increase) in prepayments Increase/(Decrease) in payables Increase/(Decrease) in provisions Net cash used in operating activities (b) Reconciliation of cash Cash balance comprises: Cash on hand and at call Term deposits	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ (1,146,803) (755,721) (1,135,314) (755,238) 63,372 40,721 63,372 40,721 10,066 - - - 338,968 - 338,968 - 33,151 39,201 33,151 39,201 88,091 67,468 86,630 67,531 708 (2,550) 708 (2,550) (108,985) 22,726 (108,677) 22,726 (23,823) 34,011 (23,823) 34,011
	(745,255) (554,144) (744,985) (553,598)
	389,362 1,232,181 389,362 1,232,181 41,229 1,111,967 41,229 1,111,967
	430,591 2,344,148 430,591 2,344,148

(c) Financing facility

The group has no available finance facilities at balance date.

(d) Non-cash financing and investing activities

There were no non-cash financing or investing activities during the financial year

17 expenditure commitments

The Company has no expenditure commitments at the end of the financial year, except under exploration tenement licences where the controlled entity is required to rehabilitate each licence area to its original state prior to any exploration works. Refundable cash bonds of $10,000 for three Victorian tenements, Dart, Buckland and Cudgewa, have been lodged with the Victorian Government. A refundable cash bond of $10,000 in respect of the Tooma tenement was returned by the New South Wales Government when the tenement was surrendered.

Operating leases

Leases relate to rented properties with terms between 3 months to 1 year. The following table details the Group’s remaining operating lease commitments at 30 June 2009.

	Consolidated	Consolidated	Company	Company
	2009	2008	2009	2008
	$	$	$	$
1-3 months	-	71	-	71
3 months to 1 year	-	19,308	-	19,308

DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS

FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

18 subsequent events

No other matters or circumstances have arisen since the end of the financial year that have significantly affected or may have a significant effect on the financial operations of the Group, the financial performance of those operations or the financial position of the Group in the subsequent financial year.

19 employee benefits and superannuation commitments

Employee benefts Provisions (current)	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ 10,916 34,739 10,916 34,739
	10,916 34,739 10,916 34,739

Superannuation

The consolidated entity contributes in accordance with the Government Superannuation Guarantee legislation.

20 share-based payments

The aggregate share-based payments for the financial year are set out below:

Details of share-based payments Fair value of options granted to chief fnancial offcer Fair value of performance rights granted to employees Fair value of performance rights granted to directors Expense arising from share-based payments	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ 8,934 39,201 8,934 39,201 16,074 - 16,074 - 8,143 - 8,143 -
	33,151 39,201 33,151 39,201

Executive options

The following table shows options over unissued shares held by the Chief Executive Officer of the Company at 30 June 2009.

Grantee	Number	Grant date	Vesting date	Expiry date1	Exercise	Fair value at
					price	grant date
J E Quayle	500,000	3 January 2007	6 December 2007	31 December 2010	20 cents	7.9 cents
J E Quayle	500,000	3 January 2007	6 December 2008	31 December 2010	20 cents	7.9 cents

1 Expiry date on 31 December 2010 or 3 months after ceasing employment whichever comes first

No executive options were issued or exercised during the year ended 30 June 2009.

52 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

NOTES TO THE FINANCIAL STATEMENTS

20 share-based payments (continued)

Third party options

Options held at the end of the reporting period are as follows:

					Exercise	Fair value at
Grantee	Number	Grant date	Vesting date	Expiry date	price	grant date
Investor Resources
Finance Pty Ltd1	400,000	18 October 2006	18 October 2006	31 December 2010	20 cents	7.9 cents
LAH Securities Pty Ltd2	400,000	18 October 2006	18 October 2006	31 December 2010	20 cents	7.9 cents
Intersuisse Corporate Ltd	1,000,000	18 October 2006	18 October 2006	31 December 2010	20 cents	7.9 cents

1 Investor Resources Finance Pty Ltd is a company in which Mr C. Bain, a director of Dart Mining NL, has an interest

2 LAH Securities Pty Ltd is a company in which Mr R. Udovenya, a director of Dart Mining NL, has an interest

No options were issued during the year. (2008: 21,375,008 options were issued pursuant to a short term prospectus dated 4 July 2007. These options have an exercise price of 20 cents and an expiry date of 31 May 2010. These options did not represent payments for goods or services, and were not included as share-based payments). No options were exercised during the year ended 30 June 2009 (2008: NIL).

Weighted average remaining contractual life

The share options outstanding at the end of the financial year had a weighted average contractual life of 548 days (2008: 913 days).

Performance rights

The following table shows performance rights on issue at 30 June 2009:

					Exercise	Fair value at
Grantee	Number	Grant date	Vesting date	Expiry date	price	grant date
C J Bain	60,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents
B R Hochwimmer	174,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents
D G Turnbull	174,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents
S G Poke	42,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents
R G Udovenya	42,000	21 November 2008	1 January 2010	30 April 2010	-	6.03 cents
J E Quayle	180,000	27 June 2008	1 January 2010	30 April 2010	-	12.2 cents
C Graves	144,000	27 June 2008	1 January 2010	30 April 2010	-	12.2 cents
M Holland	78,000	27 June 2008	1 January 2010	30 April 2010	-	12.2 cents
S Dunn	78,000	27 June 2008	1 January 2010	30 April 2010	-	12.2 cents
B Lee	24,000	27 June 2008	1 January 2010	30 April 2010	-	12.2 cents

The fair value of the performance rights were determined by the use of the Black-Scholes model with the following inputs:

	Grant date	Grant date 21
	27 June 2008	November 2008
Share price	16.7 cents	8 cents
Volatility	100%	120%
Dividend yield	-	-
Interest rate	7.75%	3.6%
Expiry date	30 April 2012	30 April 2012

Options and Performance Rights were priced using the Black-Scholes model. Where relevant, the expected life used in the model are based on management’s best estimate for the effects of exercise restrictions, exercise periods and behavioural considerations. Expected volatility is based on management’s best estimate of volume for a gold explorer.

DART MINING NL 2009 ANNUAL REPORT 53

NOTES TO THE FINANCIAL STATEMENTS

FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

21 key management personnel compensation

(a) Compensation of key management personnel

The aggregate compensation made to key management personnel of the company and the Group is set out below:

Short-term employee benefts Post-employment benefts Share-based payment	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ 262,958 343,215 262,958 343,215 171,742 194,676 171,742 194,676 33,151 39,201 33,151 39,201
	467,851 577,092 467,851 577,092

(b) Remuneration options: granted and vested during the year

No remuneration options were issued during the year.

The following remuneration options vested during the year

J E Quayle 500,000

(c) Share issued on exercise of remuneration options

No shares were issued on the exercise of remuneration options during the year.

(d) Remuneration performance rights : granted and vested during the year

The following remuneration performance rights were granted during the year.

C J Bain	60,000
B R Hochwimmer	174,000
D G Turnbull	174,000
S G Poke	42,000
R G Udovenya	42,000

22 auditors’ remuneration

Amounts received or due and receivable by Deloitte Touche Tohmatsu for: Audit or review of the fnancial statements of the Group	Consolidated Company 2009 $ 2008 $ 2009 $ 2008 $ 31,500 35,553 31,500 35,553
	31,500 35,553 31,500 35,553

54 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

NOTES TO THE FINANCIAL STATEMENTS

23 related party disclosures

(a) The key management personnel of the Group during the financial year were:

Directors Christopher John Bain Bernhard Rupert Hochwimmer Dean George Turnbull Stephen Gary Poke Richard Glenn Udovenya

Other key management personnel

John Edward Quayle

Information on remuneration and retirement benefits of directors is disclosed in Note 21.

(b) Key management personnel share holdings

	Opening	Granted as	Market	Net change	Closing
	balance	remuneration	purchases or	other1	balance
	1 July		exercise of		30 June
			options
	No.	No.	No.	No.	No.
Fully paid ordinary shares in Dart Mining NL
2009
Directors
C.J. Bain	1,070,000	-	100,000	(70,000)	1,100,000
B.R. Hochwimmer	4,500,000	-	100,000	-	4,600,000
D.G. Turnbull	4,500,000	-	100,000	-	4,600,000
S.G. Poke	3,752,500	-	20,000	-	3,772,500
R.G. Udovenya	200,000	-	40,000	-	240,000
Other key management personnel
J.E. Quayle	150,000	-	60,000		210,000
Total	14,172,500	-	420,000	(70,000)	14,522,500
2008
Directors
C.J. Bain	1,026,666	-	43,334	-	1,070,000
B.R. Hochwimmer	4,500,000	-	-	-	4,500,000
D.G. Turnbull	4,500,000	-	-	-	4,500,000
S.G. Poke	3,752,500	-	-	-	3,752,500
R.G. Udovenya	200,000	-	-	-	200,000
Other key management personnel
J.E. Quayle	150,000	-	-	-	150,000
Total	14,129,166	-	43,334	-	14,172,500

1 Net change during the year represents net of shares disposed by Investor Resources Finance Pty Ltd, a company in which C J Bain has an interest, and shares acquired by C J Bain from Investor Resources Finance Pty Ltd.

DART MINING NL 2009 ANNUAL REPORT 55

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

23 related party disclosures (continued)

(b) Key management personnel share holdings (continued)

	Opening	Granted as	Market	Net change	Closing
	balance	remuneration	purchases or	other	balance
	1 July		exercise of		30 June
			options
	No.	No.	No.	No.	No.
2009
Directors
C.J. Bain	503,332	-	-	-	503,332
B.R. Hochwimmer	2,250,000	-	-	-	2,250,000
D.G. Turnbull	2,250,000	-	-	-	2,250,000
S.G. Poke	1,750,000	-	-	-	1,750,000
R.G. Udovenya	100,000	-	-	-	100,000
Total	6,853,332	-	-	-	6,853,332
2008
C.J. Bain	503,332	-	-	-	503,332
B.R. Hochwimmer	2,250,000	-	-	-	2,250,000
D.G. Turnbull	2,250,000	-	-	-	2,250,000
S.G. Poke	1,750,000	-	-	-	1,750,000
R.G. Udovenya	100,000	-	-	-	100,000
Total	6,853,332	-	-	-	6,853,332

(c) Key management personnel performance rights holdings

	Opening	Granted as	Rights	Net change	Closing	Vested and
	balance	remuneration	exercised/	other	balance	exercisable at
	1 July		(lapsed)		30 June	30 June
2009
Directors
C.J. Bain	-	60,000	-	-	60,000	-
B.R. Hochwimmer	-	174,000	-	-	174,000	-
D.G. Turnbull	-	174,000	-	-	174,000	-
S.G. Poke	-	42,000	-	-	42,000	-
R.G. Udovenya	-	42,000	-	-	42,000	-
Key management personnel
J.E. Quayle	180,000	-	-	-	180,000	-
	180,000	-	-	-	180,000	-
2008
Key management personnel
J.E. Quayle	-	180,000	-	-	180,000	-
	-	180,000	-	-	180,000	-

56 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

NOTES TO THE FINANCIAL STATEMENTS

23 related party disclosures (continued)

(d) Key management personnel options holdings

	Opening balance 1 July Granted as remuneration Options exercised/ (lapsed) Net change Other (iii) Closing balance 30 June Vested and exercisable at 30 June 913,333 - - (35,000) 878,333 878,333 2,250,000 - - - 2,250,000 2,250,000 2,250,000 - - - 2,250,000 2,250,000 1,876,250 - - - 1,876,250 1,876,250 500,000 - - - 500,000 500,000 personnel 1,075,000 - - - 1,075,000 1,075,000 8,864,583 - - (35,000) 8,829,583 8,829,583 400,000 - - 513,333 913,333 513,333 - - - 2,250,000 2,250,000 2,250,000 - - - 2,250,000 2,250,000 2,250,000 - - - 1,876,250 1,876,250 1,876,250 400,000 - - 100,000 500,000 100,000 personnel 1,000,000 - - 75,000 1,075,000 575,000 1,800,000 - - 7,064,583 8,864,583 7,564,583
2009 Directors C.J. Bain (i) B.R. Hochwimmer D.G. Turnbull S.G. Poke R.G. Udovenya (ii) Other key management J.E. Quayle 2008 Directors C.J. Bain (i) B.R. Hochwimmer D.G. Turnbull S.G. Poke R.G. Udovenya (ii) Other key management J.E. Quayle

Opening
balance
1 July
Granted as
remuneration
Options
exercised/
(lapsed)
Net change
Other (iii)
Closing
balance
30 June
Vested and
exercisable at
30 June
913,333
-
-
(35,000)
878,333
878,333
2,250,000
-
-
-
2,250,000
2,250,000
2,250,000
-
-
-
2,250,000
2,250,000
1,876,250
-
-
-
1,876,250
1,876,250
500,000
-
-
-
500,000
500,000
personnel
1,075,000
-
-
-
1,075,000
1,075,000
8,864,583
-
-
(35,000)
8,829,583
8,829,583
400,000
-
-
513,333
913,333
513,333
-
-
-
2,250,000
2,250,000
2,250,000
-
-
-
2,250,000
2,250,000
2,250,000
-
-
-
1,876,250
1,876,250
1,876,250
400,000
-
-
100,000
500,000
100,000
personnel
1,000,000
-
-
75,000
1,075,000
575,000
1,800,000
-
-
7,064,583
8,864,583
7,564,583

2009
Directors
C.J. Bain (i)
B.R. Hochwimmer
D.G. Turnbull
S.G. Poke
R.G. Udovenya (ii)
Other key management
J.E. Quayle
2008
Directors
C.J. Bain (i)
B.R. Hochwimmer
D.G. Turnbull
S.G. Poke
R.G. Udovenya (ii)
Other key management
J.E. Quayle

(i) Include 400,000 options held by Investor Resources Finance Pty Ltd, a company in which C J Bain has an interest. 400,000 options were released from escrows in May 2009.

(ii) Include 400,000 options held by LAH Securities Pty Ltd, a company in which R G Udovenya has an interest. 400,000 options were released from escrows in May 2009.

(iii) Net change during the year represents net of bonus options disposed by Investor Resources Finance Pty Ltd, a company in which C J Bain has an interest and bonus options acquired by C J Bain from Investor Resources Finance Pty Ltd. Net change during the previous financial year represents bonus options issued pursuant to a short term prospectus dated 4 July 2007. These options have an exercise price of 20 cents and an expiry date of 31 May 2010. These options do not represent payments for goods or services, and is not included as share-based payments.

All equity transactions with directors and other key management personnel other than those arising from the exercise of remuneration options have been entered into under terms and conditions no more favourable than those the entity would have adopted if dealing at arm’s length.

(e) Other related party transactions during the year:

Drilling services at normal commercial rates totalling $672,570 (2008: $528,124) were provided by Edrill Pty Ltd, of which Stephen Poke is a part owner. At year end an amount of $nil remained outstanding (2008: $123,946). Legal services at normal commercial rates totalling $3,265 (2008: $3,445) were provided by ResourcesLaw International, of which Richard Udovenya is a partner. At year end an amount of $495 remained outstanding (2008: $425).

(f) Ultimate parent:

Dart Mining NL is the ultimate Australian parent company.

DART MINING NL 2009 ANNUAL REPORT 57

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

23 related party disclosures (continued)

(g) Other transactions and balances with key management personnel:

There were no related party transactions other than those described in Note 23(e).

24 financial instruments

(a) Market risk

The Group’s exposure to market risk primarily consists of financial risks associated with changes in interest rates as detailed in note 26 (f). As the level of risk is low, the Group does not use any derivatives to hedge its exposure. Market risks are managed through cash flow forecasts and sensitivity analysis on a regular basis.

(b) Capital risk management

The Group manages its capital to ensure that entities in the Group will be able to continue as a going concern while maximising the return to shareholders through the optimisation of equity. The Group’s capital structure consists of equity comprising issued capital, reserves and accumulated losses. Operating cash flows are used to maintain and monitor the Group’s operating, investing and financing activities.

Categories of financial instruments

	Consolidated	Consolidated		Company
	2009	2008	2009	2008
	$	$	$	$
Financial assets
Loans and receivables	25,107	59,508	25,107	58,047
Cash and cash equivalents	430,591	2,344,148	430,591	2,344,148
Financial liabilities
Trade payables	83,916	339,297	83,916	338,989
Loans	-	-	137	407

(c) Credit risk exposure

Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Group. The Group has adopted a policy of only dealing with creditworthy counterparties as a means of mitigating the risk of financial loss from defaults. The Group’s exposure to credit risks are continuously monitored and controlled by counterparty limits that are reviewed and approved by the management on a regular basis.

The Group does not have any significant credit risk exposure to any single counterparty or any group of counterparties having similar characteristics. The credit risk on liquid funds and derivative financial instruments is limited as the counterparties are banks with high credit ratings assigned by international credit rating agencies.

The carrying amount of financial assets recorded in the financial statements, net of any allowances for losses, represent the Group’s maximum exposure to credit risk.

(d) Liquidity risk management

Ultimate responsibility for liquidity risk management rests with the board of directors, who have built an appropriate liquidity risk management framework for the management of the Group’s short, medium and long term funding and liquidity management requirements. The Group manages liquidity risk by maintaining adequate reserves and banking facilities by continuously monitoring forecast and actual cash flows and matching profiles of financial assets and liabilities.

58 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

NOTES TO THE FINANCIAL STATEMENTS

24 financial instruments (continued)

(d) Liquidity risk management (continued)

Liquidity and interest risk table

The following table details the Group’s remaining contractual maturity for its financial assets.

Consolidated and company	Weighted	Less than	1-3 months	3 months to	1-5 years
	average	1 month		1 year
	effective
	interest rate
	%	$	$	$	$
2009
Non-interest bearing	-	20,971	-	-	4,136
Variable interest rate instruments	3.59	389,363	-	-	-
Fixed interest rate instruments	6.81	-	20,696	20,532	-
2008
Non-interest bearing	-	49,822	1,000	-	8,686
Variable interest rate instruments	5.53	1,232,181	-	-	-
Fixed interest rate instruments	6.60	-	535,778	576,189	-

The following table details the Group’s remaining contractual maturity for its financial liabilities.

Consolidated	Weighted	Less than	1-3 months	3 months to	1-5 years
	average	1 month		1 year
	effective
	interest rate
	%	$	$	$	$
2009
Non-interest bearing	-	83,916	-	-	-
Variable interest rate instruments	-	-	-	-	-
Fixed interest rate instruments	-	-	-	-	-
2008
Non-interest bearing	-	339,297	-	-	-
Variable interest rate instruments	-	-	-	-	-
Fixed interest rate instruments	-	-	-	-	-

DART MINING NL 2009 ANNUAL REPORT 59

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009

24 financial instruments (continued)

(d) Liquidity risk management (continued)

Company	Weighted	Less than	1-3 months	3 months to	1-5 years
	average	1 month		1 year
	effective
	interest rate
	%	$	$	$	$
2009
Non-interest bearing	-	84,053	-	-	-
Variable interest rate instruments	-	-	-	-	-
Fixed interest rate instruments	-	-	-	-	-
2008
Non-interest bearing	-	339,396	-	-	-
Variable interest rate instruments	-	-	-	-	-
Fixed interest rate instruments	-	-	-	-	-

(e) Fair values

The directors consider that the carrying amounts of financial assets and financial liabilities recorded at cost less any accumulated impairments in the financial statements approximates their fair values.

The fair values of financial assets and financial liabilities are determined as follows:

Holdings in unlisted shares are measured at cost less any impairments. The directors consider that no other measure could be used reliably.
Other financial assets and financial liabilities are determined in accordance with generally accepted pricing models.

(f) Interest rate risk management

The Group is exposed to interest rate risks as it holds funds at both fixed and variable interest rates. This risk is managed through the use of cash flow forecasts supplemented by sensitivity analysis. The Group currently holds no amounts of borrowed funds.

Interest rate sensitivity analysis

A sensitivity analysis have been determined based on the exposure to interest rates at reporting date with the stipulated change taking place at the beginning of the financial year and held constant throughout the reporting period. A 50 basis point increase or decrease is used when reporting interest rate risk internally to key management personnel and represents management’s assessment of the possible change in interest rates.

At reporting date, if interest rates had been 50 basis points higher or lower and all other variables were held constant, the Group’s net loss would decrease by $2,529 or increase by $2,529. (2008 increase by $5,149 or decrease by $5,149.) This is mainly due to the Group’s exposure to variable interest rates on cash and cash equivalents.

60 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 200909

25 segment information

The Group operates exploration programmes in Australia. At the date of this report, the Group does not engage in any other type of activities. For the purpose of monitoring performance management reviews the operations as one segment.

26 contingent liabilities and contingent assets

No contingent liabilities or contingent assets existed at the reporting date except under tenement licences in Victoria and NSW where the controlled entity is required to rehabilitate each licence area to its original state subsequent to any exploration works.

DART MINING NL 2009 ANNUAL REPORT

09 DIRECTORS’ DECLARATION

In accordance with a resolution of the directors of Dart Mining NL, we state that:

In the opinion of the directors:
a. the financial statements and notes of the Company and of the Consolidated Entity are in accordance with the Corporations Act 2001, including:
- i. giving a true and fair view of the Company’s and Consolidated Entity’s financial position as at 30 June 2009 and of their performance for the year ended on that date; and
- ii. complying with Accounting Standards and the Corporations Regulations 2001.
b. there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable.
This declaration has been made after receiving the declarations required to be made to the directors in accordance with section 295A of the Corporations Act 2001 for the financial year ended 30 June 2009.

On behalf of the Board

==> picture [52 x 37] intentionally omitted <==

C J BAIN Director

==> picture [114 x 35] intentionally omitted <==

R G UDOVENYA Director

Melbourne

16 September 2009

62 DART MINING NL 2009 ANNUAL REPORT

NOTES TO THE FINANCIAL STATEMENTS

FOR THE FINANCIAL YEAR ENDED 30 JUNE 2008

09

DART MINING NL 2009 ANNUAL REPORT

FOR THE FINANCIAL YEAR ENDED 30 JUNE 2008

09 NOTES TO THE FINANCIAL STATEMENTS

64 DART MINING NL 2009 ANNUAL REPORT

ASX ADDITIONAL INFORMATION 09

Additional information required by the Australian Securities Exchange Ltd Listing Rules and not disclosed elsewhere in this report is as follows. The information is current as at 7 September 2009.

twenty largest shareholDers

		Percentage of	No. of ordinary
	Name of holder	issued capital	shares held
1	North East Geological Contractors Pty Ltd	9.55%	4,600,000
2	Tesaneer Pty Ltd	7.31%	3,520,000
3	B Hochwimmer and Associates Pty Ltd	7.01%	3,375,000
4	J P Morgan Nominees Australia Ltd	4.15%	2,000,000
5	Eagle Eye Metals Limited	2.08%	1,000,000
6	Archer Trading NZ LTD	1.56%	750,000
7	Saracen Mineral Holdings Limited	1.55%	747,500
8	BR and LR Hochwimmer	1.38%	662,500
9	Minadco Pty Ltd	1.36%	656,666
10	B Hochwimmer and Associates Pty Ltd	1.17%	562,500
11	Mr Russell McLarty Simpson & Mrs Elizabeth Vernon Simpson	1.13%	542,250
12	Security & Equity Resources Ltd	1.04%	500,000
12	Mr. Robert David Boyd & Mrs. Sonia Anne Stafford	1.04%	500,000
12	Dahele Pty Ltd	1.04%	500,000
13	Granite Hills (Victoria) Pty Ltd	0.96%	460,000
14	Mr John Andrew Elliott	0.93%	450,000
15	Mr. Robert David Boyd	0.89%	429,500
16	Saracen Mineral Holdings Limited	0.86%	412,500
17	Mr James Brian Vincent	0.83%	400,000
18	Beronia FS Pty Ltd	0.74%	357,142
19	Mr Russell Simpson & Mrs Elizabeth Simpson & Ms Meredith Simpson	0.62%	300,000

19	Mr Richard Maynard Hedstrom	0.62%	300,000
20	HSBC Custody Nominees (Australia) Ltd	0.58%	280,000

shares on issue

shares on issue
Ordinary fully-paid shares	48,160,000
Partly-paid shares (9c payable)	8,875,000

DART MINING NL 2009 ANNUAL REPORT 65

09 ASX ADDITIONAL INFORMATION

substantial shareholDers

Substantial shareholders as advised to the Company are set out below:

		Percentage of	Partly-paid Shares
Name	No. of Ordinary Shares	Issued Capital	(9c payable)
B R Hochwimmer	4,600,000	9.55%	2,250,000
D G Turnbull	4,600,000	9.55%	2,250,000
S G Poke	3,772,500	7.83%	1,750,000

Distribution of member holDings

	Ordinary	shares
Size of holding	No of holders	No of shares
1 – 1,000	3	6
1,001 – 5,000	58	205,258
5,001 – 10,000	166	1,582,884
10,001 – 100,000	298	11,603,803
100,001 and over	87	34,768,049
Total Holders	612	48,160,000

The number of security investors holding less than a marketable parcel is 75.

	Options
Size of holding	No of holders	No of options
1 – 1,000	5	4,745
1,001 – 5,000	212	908,083
5,001 – 10,000	68	555,791
10,001 – 100,000	183	5,697,799
100,001 and over	42	14,208,590
Total Holders	510	21,375,008

The number of security investors holding less than a marketable parcel of 12,500 securities is 459 and with a combined total of 6,266,418 securities.

	Partly-paid shares	Partly-paid shares
		No of partly-paid
Size of holding	No of holders	shares
1 – 1,000	-	-
1,001 – 5,000	-	-
5,001 – 10,000	-	-
10,001 – 100,000	10	800,000
100,001 and over	13	8,075,000
Total Holders	23	8,875,000

66 DART MINING NL 2009 ANNUAL REPORT

ASX ADDITIONAL INFORMATION 09

voting rights

All shares carry one vote per share without restriction.

options on issue

As at 7 September 2009, a total of 24,175,008 options, of which 21,375,008 are listed on the Australian Securities Exchange, remain outstanding as follows:

21,375,008 listed options exercisable on or before 31 May 2010 at an exercise price of 20 cents each.
1,800,000 unlisted options exercisable on or before 31 December 2010 at an exercise price of 20 cents each
1,000,000 unlisted executive options exercisable at 20 cents issued to the Chief Executive Officer John E Quayle. These executive options vested in two tranches of 500,000 on 6 December 2007 and 6 December 2008 and are exercisable at any time during the employment of the executive and for 3 months after the executive ceases employment, or 31 December 2010, whichever is the earlier, after which time they lapse.

tenement scheDule

Tenement number	Licensed	Name & region of subject of licence	Area km2	Current benefcial
	holder			interest
EL4724	Dart Mining NL	Buckland, north-east Victoria	212	100%
		including Fairleys prospect
EL4726	Dart Mining NL	Dart, north-east Victoria including	680	100%
		Mountain View, Elliot, Morgan and
		Unicorn prospects
EL 5131	Dart Mining NL	Bunroy, north-east Victoria	445	100%
		abutting Dart EL
EL 5132	Dart Mining NL	Boebuck, north-east Victoria	325	100%
		abutting Dart EL
EL 5123	Dart Mining NL	Myrtleford, Victoria	61	100%
EL 5058	Dart Mining NL	Cudgewa and Koetong, north-east	1082	100%
		Victoria abutting Dart EL

tenement applications in progress

Tenement application number	Applicant	Name & region of subject of licence	Area km2	Current benefcial
				interest
		Mt. Alfred, north-east Victoria
EL 5194	Dart Mining NL	abutting Dart EL	136	100%

DART MINING NL 2009 ANNUAL REPORT 67

THIS PAGE HAS BEEN LEFT BLANK INTENTIONALLY

68 DART MINING NL 2009 ANNUAL REPORT

Corporate Directory

Dart Mining NL ABN – 84 119 904 880

Board of Directors

C J Bain, R G Udovenya, S G Poke, B R Hochwimmer, D G Turnbull

Company Secretary & Chief Executive Officer

J E Quayle

Registered Office

Easy Access to Information

See our website at www.dartmining.com.au for regular quarterly reports and financial results. Additionally, shareholders or interested parties can register to receive emailed updates shortly after the Company makes any regular or major announcement.

Annual General Meeting

The third Annual General Meeting of Dart Mining NL will be held at the RACV Building, Bourke Street, Melbourne on 18 November, 2009 at 10am.

Level 3, 15 Queen Street, Melbourne 3000

Competent Person’s Statement

Lawyers

ResourcesLaw International, Melbourne

Auditors

Deloitte Touche Tohmatsu, Melbourne

Bankers

Bendigo Bank, Wangaratta

Stock Exchange Listing

The company’s shares are listed on Australian Securities Exchange Limited. ASX Code: DTM

Information in this report that relates to a statement of exploration results of the Company is based on information compiled by Bernhard Hochwimmer, BSc., AIG., IMGA. Mr Hochwimmer is a Director of Dart Mining NL and has sufficient experience relevant to the style of mineralisation and type of deposits under consideration and to the activity undertaken. He is qualified as a competent person as defined in the 2004 Edition of the “Australasian Code for Reporting of Mineral Resources and Ore Reserves” (or “JORC Code”). Mr Hochwimmer consents to the inclusion of this information in the form and context in which it appears in this report.

Share Registry

Link Market Services, Melbourne

PRODUCED BY GRYPHON MANAGEMENT

Level 3, 15 Queen Street Melbourne VIC 3000 Telephone: +61 3 9621 1322 Facsimile: +61 3 9621 1544 Email: [email protected] Website: www.dartmining.com.au

==> picture [228 x 384] intentionally omitted <==

AI assistant

DART MINING NL — Annual Report 2009

64792_rns_2009-11-01_0e045cb4-2edc-4584-abd7-28eb8937ce8a.pdf

Dart Mining

Our Objectives

Our Vision

Contents

2008/09 – Highlights

Gold Targets

Polymetallic Porphyry Targets

Porphyry Targets

Gold Targets

Sustainability

POLYGONAL VORTEX MODEL

Outlook

Porphyry Targets

Unicorn Molybdenum Porphyry

Exploration Review

Exploration Review

Additional Targets

North Mammoth

Gold Targets Mountain View

Exploration Review

Sustainability

Community

Environment

Health and Safety

CHRISTOPHER BAIN

CHAIRMAN, NONEXECUTIVE DIRECTOR

DEAN TURNBULL

EXECUTIVE DIRECTOR

RICHARD UDOVENYA

NON-EXECUTIVE DIRECTOR

BERNHARD HOCHWIMMER

EXECUTIVE DIRECTOR

STEPHEN POKE

NON-EXECUTIVE DIRECTOR

EXECUTIVE MANAGEMENT

JOHN QUAYLE

CHIEF EXECUTIVE OFFICER

DART MINING NL 2009 FINANCIAL REPORT

CONTENTS

Directors

Names, qualifications, experience and special responsibilities

Bernhard R Hochwimmer

Dean G Turnbull

Stephen G Poke

Richard G Udovenya

chief executive officer and company secretary

John E Quayle

Interests in the shares and options of the company and related bodies corporate

corporate information

Corporate structure

Principal activities

Employees

consoliDateD results

DiviDenDs

operating anD financial review

Group overview

Exploration overview

Financial overview

Operating results for the year

Review of financial position

Cash flows

capital raising anD capital structure

Summary of shares and options on issue

significant changes in the state of affairs

significant events after the balance Date

future Developments

environmental regulation

Directors’ meetings

Details of Directors anD other key management personnel

Directors

Other key management personnel

remuneration philosophy

REMUNERATION REPORT

remuneration structure

non-executive Director remuneration

Objective

Structure

DART MINING NL Annual Report 2009