DATELINE RESOURCES LIMITED — Interim / Quarterly Report 2018

Mar 15, 2018

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DATELINE RESOURCES LIMITED

A.C.N. 149 105 653

FINANCIAL REPORT to SHAREHOLDERS

for the HALF YEAR ENDED

31 DECEMBER 2017

DATELINE RESOURCES LIMITED CORPORATE INFORMATION FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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Directors & Officers

Mark Johnson AO - Chairman Stephen Baghdadi - Executive Director Greg Hall - Non-Executive Director John Smith - Company Secretary

Registered Office

Level 29 2 Chifley Square Sydney NSW 2000

Bankers

Commonwealth Bank of Australia 48 Martin Place Sydney NSW 2000 Website: www.commbank.com.au

Auditors

HLB Mann Judd Level 19, 207 Kent Street Sydney NSW 2000 Website: www.hlb.com.au

PO Box 553 South Hurstville NSW 2221

Share Registry

T: +61 (02) 8231 6640 F: +61 (02) 8231 6487 E-mail: info@datelineresources.com.au Website: www.datelineresources.com.au

Securities Exchange

Australian Securities Exchange Limited ("ASX") Home Exchange – Sydney ASX Symbol – DTR (ordinary shares)

Security Transfers Registrars Pty Ltd 770 Canning Highway Applecross WA 6153 Website: www.securitytransfer.com.au

Solicitors

K & L Gates Level 31, 1 O'Connell Street Sydney NSW 2000 Website: www.klgates.com

Australian Company Number

ACN 149 105 653

Australian Business Number

ABN 63 149 105 653

Domicile and Country of Incorporation Australia

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DATELINE RESOURCES LIMITED DIRECTORS’ REPORT FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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The Directors present their report of Dateline Resources Limited (“the Company”) for the half year ended 31 December 2017 (“the Period”).

1. DIRECTORS

The names of the Company’s Directors in office during the Period and until the date of this report are set out below. Directors were in office for this entire Period unless otherwise stated.

Director/ Position	Duration of Appointment
Mr. Mark Johnson AO Chairman	Appointed 22 April, 2013
Mr. Stephen Baghdadi CEO and Executive Director	Appointed 3 July, 2014
Mr. Greg Hall Non-Executive Director	Appointed 19 January 2016

2. COMPANY SECRETARY

The Company Secretary role was held by the following individual during the half year:

• Mr. John Smith (appointed 24 October 2013).

3. PRINCIPAL ACTIVITIES

Dateline Resources Limited is an Australian publicly listed company focused on gold mining and exploration in Colorado, United States of America. The Company owns 100% of two, permitted gold mining projects in Colorado. The Lucky Strike Mine and Mill is located in Gunnison County and was discovered in 1885. Two shafts were developed at the project and a processing mill on site is being refurbished and upgraded by DTR. The Gold Links Mine, also in Gunnison County, is located ~50kms from Lucky Strike and forms part of Colorado’s Gold Creek district. Two separate vein systems have been mined on the property, Sacramento and the 2150. 2150 has over 600 metres of mineralisation across a +700-metre development drive. Historical gold grades ranged from 1.5 oz p/t to 10 oz p/t Au. Ore mined by DTR will be processed at the Lucky Strike Mill. In addition to these assets, Dateline owns a small 25tpd mill and freehold land in Saguache County in Colorado. The company is reviewing its interests in Fiji with a view to identifying a JV partner that would enter a farm in agreement on its Fijian assets.

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DATELINE RESOURCES LIMITED DIRECTORS’ REPORT (Continued) FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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4. REVIEW OF OPERATIONS AND ACTIVITIES

Tenement Schedule

enement Schedule
Project	**Number **	Ownership	**Location **
Udu	SPL1387	100%	Fiji
Udu	SPL1396	100%	Fiji
Udu	SPL 1506	100%	Fiji
Udu	SPL 1507	100%	Fiji
Gold Links Mine	34 Patented Claims	100%	Colorado USA
Gold Links Mine	20 Unpatented Claims	100%	Colorado USA
Lucky Strike Permitted Mine and Mineral Hill Historic Mine	16 Patented Claims	100%	Colorado USA

Gold Links

Development and Exploration

During the December 2017 quarter, the company revised the plan to develop the decline to reach an existing raise and create a second means of egress. The revised plan requires the installation of a new escapeway rather than the rehabilitation of the existing raise and will lessen the distance of decline development.

The development of the decline has progressed and is approximately 20 metres away from the site where the new second escapeway will be installed. Under Mine Safety and Health Administration (MSHA) rules no mining can take place until a second method of egress is established.

An exploration program includes channel sampling and close spaced drilling from underground was commenced in the September quarter of 2017, continued throughout the December Quarter. The objective of this program is to get an understanding of the distribution of grade in a 100metre section of approximately 3000sqm area the Company has targeted for near term exploration and development.

This program is expected to be completed by mid-February 2018 at which stage the data will be analysed and the company will advise the market of the outcome of the program.

Permitting

The Colorado Department of Health has approved our permit application for the loading of ore at surface. Prior to obtaining approval, all ore that was planned to be used in the commissioning of the Lucky Strike Mill had to be loaded underground.

Compliance

MSHA (The US Mine Safety and Health Administration) conducted their quarterly site visit and no citations were issued.

Sacramento

A desktop review of the historical exploration data that was conducted by Ivory Oil in the 1980’s has led to the development of a surface drilling program to test the existence of the Sacramento vein to 100ft below the last known workings and to twin (replicate) the unverified results reported by Ivory Oil of drill hole DH2 which purported to intersect 1.1metres of 64 grams of gold per tonne. If successful, this would form the foundation of a step out drilling program to identify the extent of the mineralisation of the Sacramento Zone

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DATELINE RESOURCES LIMITED DIRECTORS’ REPORT (Continued) FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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Lucky Strike Mill

Mill Commissioning

• During the December quarter, work was carried out on the mill with a view to commence commissioning as soon as possible. Whilst auditing the individual components of the mill, it was discovered that a critical part needed replacing. Notwithstanding, we have stockpiled approximately 1,200 tonnes of low grade commissioning ore onsite but due to the extended lead time to get the replacement part the mill was not commissioned in December. The company will provide an update to the market in February.

Permitting

• During the December quarter the company received approval from the Department of Mines, Reclamation and Safety (DRMS) to be registered as the owner of the Lucky Strike Mill. The company sought an amendment to its milling permit that would enable the company to toll treat ore from the Gold Links mine and other nearby smaller mining operations. The amendment was granted in November 2017.

Toll treating

• Discussions have commenced with several parties that have stockpiled ore and are desirous of shipping the ore to our lucky Strike Mill for processing. The company is assessing the offers on a case by case basis and these discussions may materialise into toll treating agreements in the March or June quarter.

Compliance

• MSHA (The US Mine Safety and Health Administration) conducted their quarterly site visit to the Lucky Strike Mill and no citations were issued.

Mineral Hill and Lucky Strike Prospects

• During the quarter, the company conducted a desktop review of the historical data on the Lucky Strike and the Mineral Hill mines from reports dating up to 1985-1986

• The key findings of the review are as follows:

Lucky Strike Mine – Permitted to extract 70,000 tonnes per annum

• Mined via a shaft down to 220ft (~70m) and over 600ft (~200m) on strike.

• Average grade mined was between 12-15 grams per tonne.

• Mineralisation is contained in quartz vein with clear distinction between hanging and footwall.

• Mining abandoned in the 1980’s when the price of gold was low and the grades meant that mining was sub-economic.

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DATELINE RESOURCES LIMITED DIRECTORS’ REPORT (Continued) FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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Recommendations from Review of Lucky Strike Mine historical reports

• In the Northern Hemisphere summer, conduct drilling program to test the down-dip extension of the vein below the 220ft (~70m) level.

• If mineralisation is confirmed below the 220ft level, commence development of a plan that may be implemented to produce ore at the Lucky Strike mine which will create additional feed for the Lucky Strike mill that is located <50m from the existing shaft.

Mineral Hill – Historical Mine not currently permitted for mining

The Mineral Hill reports suggest that the claims host several veins that outcrop at surface and the company intends on testing the veracity of the report in June/July 2018 by conducting surface trenching and a bulk sampling program.

Both the Lucky Strike and the Mineral Hill prospects were historical mines and are now owned by Dateline. The properties are adjoining and make up part of the company’s freehold land holdings in Gunnison County Colorado.

Udu – Fiji

In the December Quarter, core samples were collected from site and sent for metallurgical test work. We expect the test work to establish if the Udu ore is amenable to separation and floatation and if it is, we would actively seek a JV partner that is interested in completing a PFS for a 500,000tpa mining operation at Udu.

FINANCIAL RESULTS

The financial results of the Company for the half year ended 31 December 2017 are:

	31-Dec-17	30-Jun-17
Cash & Cash equivalents ($)	1,033,647	261,279
Net Assets($)	9,571,562	5,627,546
	31-Dec-17	31-Dec-16
Revenue ($)	474	157
Net Profit (Loss) After Tax ($)	(1,554,279)	(140,229)
Profit/(Loss) per Share (Cents)	(0.30)	(0.11)
Dividend($)	-	-

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DATELINE RESOURCES LIMITED DIRECTORS’ REPORT (Continued) FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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5. SIGNIFICANT MATTERS AFTER BALANCE DATE

• On 15 January 2018, the Company received a short term loan of $1.1 million from Southern Cross Exploration N.L. (Interest rate of 10% per annum with a repayment date of 7 August 2018).

• On 19 February 2018, the Company announced that it had negotiated materially improved acquisition terms with the vendors of both the Gold Links mine and the Sooner Lucky Strike mine and mill in Colorado, USA as detailed below:

Gold Links acquisition terms

The original terms for the acquisition of the Gold Links leasehold were:

• Cash payments totaling US$10m with the first US$3m due in September 2018, and

• The remaining US$7M payable in instalments through to September 2022.

The new agreement with the Gold Links Leasehold vendors (Gold Links Lease) is as follows:

• Issue 30m fully paid ordinary shares in Dateline.

• Cash payments of US$2.5m on 31 December 2022 or before at a rate of US$50.00 per gold ounce mined. This amount is fixed and payable at 31 December 2022 if not paid earlier by royalties.

• Further cash payments of up to US$2.5m at a rate of US$50.00 per gold ounce mined within 100 years of this agreement. This is contingent on mining operations.

Sooner Lucky Strike acquisition terms

The Company has also agreed new terms for the acquisition of the Sooner Lucky Strike Mine including approximately 350 acres of freehold and a 125tpd processing plant (Lucky Strike)

The original Lucky Strike acquisition terms were:

• US$4m payable over four years in equal $250,000 quarterly payments commencing 1 April 2018.

• US$10m payable in April 2022 for the purchase of the freehold land.

• US$10m payable from production.

The new Lucky Strike agreement is as follows:

• Issue 30m fully paid ordinary shares in Dateline.

• Cash payments of US$2.5m on 31 December 2022 or before at a rate of US$50.00 per gold ounce mined. This amount is fixed and payable at 31 December 2022 if not paid earlier by royalties.

• Further cash payments of up to US$2.5m at a rate of US$50.00 per gold ounce mined within 100 years of this agreement. This is contingent on mining operations.

These new terms were reflected in the financial statements for the 6 months ended 31 December 2017 as provided evidence of conditions existing before 31 December 2017.

Dateline has also negotiated the acquisition of approximately 900 acres of land which gives the Company freehold title over the Gold Links property that it currently controls via a lease. A total of 30m fully paid ordinary shares (28m were issued on 12 March 2018) and 10m options exercisable at a 2.5cents each with an expiry date of 31 December 2020 will be issued to the vendors as full and final payment for the 900 acres of land.

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DATELINE RESOURCES LIMITED DIRECTORS’ REPORT (Continued) FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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• On 14 March 2018, the Company increased its Colorado precious metals portfolio with the acquisition of the Raymond and Carter gold mines which adjoin DTR’s Gold Links property. The acquisition price is US$2 million with settlement in approximately 90 days. The Company has a 30 day period to exercise its right to walk away from the transaction for any reason.

6. AUDITOR’S INDEPENDENCE DECLARATION

The auditors independence declaration under Section 307C of the Corporations Act 2001 is set out on Page 9.

Signed in accordance with a resolution of Directors.

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Mark Johnson AO Chairman 16 March 2018

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DATELINE RESOURCES LIMITED ACN 149 105 653

AUDITOR’S INDEPENDECE DECLARATION

As lead auditor for the review of the financial report of Dateline Resources Limited for the half-year ended 31 December 2017, I declare that to the best of my knowledge and belief, there have been no contraventions of:

• (a) the auditor independence requirements of the Corporations Act 2001 in relation to the review; and (b) any applicable code of professional conduct in relation to the review.

This declaration is in respect of Dateline Resources Limited and the entities it controlled during the period.

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Sydney, NSW 16 March 2018

M D Muller Director

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DATELINE RESOURCES LIMITED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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Note Continuing operations Revenue Directors fees and other benefits Exploration Expenditure Employment Expenses Administration expenses 4 Profit/(Loss) from continuing operations before income tax Income tax expense Profit/(loss) from continuing operations after income tax Other comprehensive profit/(loss) Foreign Currency Translation Reserve Total comprehensive profit/(loss) for the period Profit/(loss) for the period is attributable to: Owners of the Company Total comprehensive profit/(loss) for the period attributable to: Owners of the Company Profit/(loss) per share from continuing operations attributable to the ordinary equity holders of the Company: Basic and diluted profit/(loss) per share – cents per share	31-Dec-17 $ 474 - (103,963) (452,999) (997,791) (1,554,279) - (1,554,279) 24,659 (1,529,620) (1,554,279) (1,554,279) (1,529,620) (1,529,620) Cents (0.30)	31-Dec-16	31-Dec-16
			$ 157 (18,250) - - (122,136)
			(140,229) -
			(140,229) 7,417
			(132,812)
			(140,229)
			(140,229)
			(132,812)
			(132,812)
			Cents (0.11)

The above Consolidated Statement of Comprehensive Income should be read in conjunction with the accompanying notes.

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DATELINE RESOURCES LIMITED CONSOLIDATED STATEMENT OF FINANCIAL POSITION FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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Note Current Assets Cash & cash equivalents Trade & other receivables Financial Assets Total Current Assets Non-Current Assets Plant & equipment land & buildings 5 Exploration & evaluation expenditure 6 Total Non-Current Assets TOTAL ASSETS Current Liabilities Trade & other payables 8 Loans from Related Parties 7 Total Current Liabilities Non-Current Liabilities Trade & other payables 8 Total Non-Current Liabilities TOTAL LIABILITIES NET ASSETS Equity attributable to the equity holders of the Company Contributed equity 9 Reserves 10 Other Equity 11 Accumulated losses TOTAL EQUITY

31-Dec-17 30-Jun-17 $ $ 1,033,647 261,279 35,490 43,067 25,472 25,842 1,094,609 330,188 7,686,193 4,164,556 7,425,236 4,898,753 15,111,429 9,063,309 16,206,038 9,393,497 4,137,509 322,318 538,697 6,229 4,676,206 328,547 1,958,270 3,437,404 1,958,270 3,437,404 6,634,476 3,765,951 9,571,562 5,627,546 16,722,515 12,254,584 571,821 501,457 960,000 - (8,682,774) (7,128,495) 9,571,562 5,627,546

The above Consolidated Statement of Financial Position should be read in conjunction with the accompanying notes.

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DATELINE RESOURCES LIMITED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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Balance as at 1 July, 2017 Total Profit / (loss) Total other comprehensive income Total comprehensive Income for the Period Transaction with owners in their capacity as owners Contributions of equity Balance as at 31 December 2017 Balance as at 1 July, 2016 Total Profit / (loss) Total other comprehensive income Total comprehensive Income for the Period Transaction with owners in their capacity as owners Contributions of equity Balance as at 31 December 2016	Issued Capital Other Equity Accumulated Losses Option Valuation Reserve Foreign Currency Reserve TOTAL $ $ $ $ $ $ 12,254,584 - (7,128,495) 115,339 386,118 5,627,546 - - (1,554,279) - - (1,554,279) - - - - 24,659 24,659
	- - (1,554,279) - 24,659 (1,529,620) 4,467,931 960,000 - 45,705 - 5,473,636
	16,722,515 960,000 (8,682,774) 161,044 410,777 9,571,562
	Issued Capital Other Equity Accumulated Losses Option Valuation Reserve Foreign Currency Reserve TOTAL $ $ $ $ $ $ 8,766,335 - (5,376,733) - 411,602 3,801,204 - - (140,229) - - (140,229) - - - - 7,417 7,417
	- - (140,229) - 7,417 (132,812) 2,538,249 - - 115,339 - 2,653,588
	11,304,584 - (5,516,962) 115,339 419,019 6,321,980

The above Consolidated Statement of Changes in Equity should be read in conjunction with the accompanying notes.

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DATELINE RESOURCES LIMITED CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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Cash flows used in operating activities Payment to suppliers and employees Interest received Net cash flows used in operating activities Cash flows used in investing activities Payment for acquisition of subsidiaries net of cash acquired Payment for fixed assets Payment for exploration & evaluation expenditure Net cash flows used in investing activities Cash flows from financing activities Proceeds from issue of shares Advance of related party loans Net cash flows from financing activities Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at beginning of period Cash and cash equivalents at end of period

31-Dec-17 31-Dec-16 $ $ (1,010,519) (195,468) 474 157 (1,010,045) (195,311) (189,955) - (447,664) - (1,979,772) (577,301) (2,617,391) (577,301) 3,867,336 1,115,655 532,468 272,055 4,399,804 1,387,710 772,368 615,098 261,279 72,363 1,033,647 687,461

The above Consolidated Statement of Cash Flows should be read in conjunction with the accompanying notes.

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DATELINE RESOURCES LIMITED DIRETORS’ DECLARATION FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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1. CORPORATE INFORMATION

The financial report of Dateline Resources Limited (the “Company”) covers the period from 1 July 2017 to 31 December 2017 (the “Period”). The Company was incorporated on 3 February 2011.

In June 2011, the Company was listed on the Australian Securities Exchange (ASX) through initial Public Offering Prospectus dated 18 April 2011.

The Company is an Australian-based mineral exploration company with existing exploration projects in the Republic of Fiji and mining permits in Colorado USA. The address of the registered office of the Company is Level 29, 2 Chifley Square Sydney NSW 2000.

The financial report of Dateline Resources Limited for the Period was authorised for issue in accordance with a resolution of the Directors on 16 March 2018.

2. BASIS OF PREPARATION AND ACCOUNTING POLICIES

(a) Basis of preparation

This general purpose interim condensed financial report of the Company for the Period has been prepared in accordance with AASB 134 Interim Financial Reporting and the Corporations Act 2001 . Compliance with AASB 134 ensures compliance with International Financial Standard IAS 34 Interim Financial Reporting .

The half-year financial report does not include all notes of the type normally included within the annual financial report and therefore cannot be expected to provide as full an understanding of the financial performance, financial position and financing and investing activities of the Company as the full financial report.

It is recommended that the interim financial report be read in conjunction with the annual financial statements for the year ended 30 June 2017 and considered together with any public announcements made by the Company during the Period and up to the date of this report in accordance with the continuous disclosure obligations of the ASX Listing Rules.

The accounting policies and methods of computation adopted in the preparation of this financial report for the Period under review are consistent with those adopted in the annual financial statements for the year ended 30 June 2017. These accounting policies are consistent with Australian Accounting Standards and with International Financial Reporting Standards.

(b) Going Concern

The financial report has been prepared on a going concern basis, which contemplates the continuity of normal business activities and the realisation of assets and liabilities in the normal course of business.

During the period, the consolidated entity incurred a comprehensive loss of $1,529,620 (2016: $132,812 loss) a net cash inflow of $772,368 (2016: $615,098 inflow) and net cash out flow from operations of $1,010,045 (2016: $195,311). As at 31 December 2017, the consolidated entity also had a deficiency in working capital of $3,581,598 (2016: $1,641 working capital) and cash assets of $1,033,647 (2016: $261,279).

The ability of the consolidated group to continue as a going concern is dependent upon the group being able to generate sufficient funds to satisfy exploration commitments and working capital requirements. The directors are in the process of taking the following measures which have been designed to ensure that the going concern assumption remains appropriate and that the group is able to settle liabilities and commitments as and when they are due:

• Commence mining at Gunnison, as soon as possible;

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DATELINE RESOURCES LIMITED DIRETORS’ DECLARATION FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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• Seeking other funding opportunities through various transactions including future fundraising including mergers or joint ventures;

• By issuing equity to settle future liabilities, if appropriate; and

• Adopting all appropriate measures to ensure that the cashflows remain sufficient to ensure that it remains a going concern.

Some of these measures already adopted by the board since 31.12.17 have been disclosed in note 16.

The directors believe that the going concern basis for the preparation of the financial report of the Group is appropriate. The directors note that should the Group be unsuccessful in implementing the above mentioned measures, there is material uncertainty that the Group may be able to realise its assets or discharge its liabilities in the normal ordinary course of business and at the amounts stated in the financial report.

3. OPERATING SEGMENTS

AASB 8 requires operating segments to be identified on the basis of internal reports about components of the Company that are regularly reviewed by the chief operating decision maker in order to allocate resources to the segment and to assess its performance.

Australia USA Fiji Consolidation Entries TOTAL 31 December 2017 A$ A$ A$ A$ A$ Revenues 474 - - - 474 Segment Result (500,052) (1,051,043) (3,185) - (1,554,280) 31 December 2016 Revenues 157 - - - 157 Segment Result (138,877) - (1,352) - (140,229) 31 December 2017 Total Segment Assets 23,852,659 2,222,192 4,188,505 (14,057,318) 16,206,038 Total Segment Liabilities 8,363,669 307,369 4,928,036 (6,964,599) 6,634,475 30 June 2017 Total Segment Assets 18,957,035 5,327,270 4,158,744 (19,049,552) 9,393,497 Total Segment Liabilities 2,175,714 4,976,789 4,893,118 (8,279,670) 3,765,951	Australia USA Fiji Consolidation Entries TOTAL 31 December 2017 A$ A$ A$ A$ A$ Revenues 474 - - - 474 Segment Result (500,052) (1,051,043) (3,185) - (1,554,280) 31 December 2016 Revenues 157 - - - 157 Segment Result (138,877) - (1,352) - (140,229) 31 December 2017 Total Segment Assets 23,852,659 2,222,192 4,188,505 (14,057,318) 16,206,038 Total Segment Liabilities 8,363,669 307,369 4,928,036 (6,964,599) 6,634,475 30 June 2017 Total Segment Assets 18,957,035 5,327,270 4,158,744 (19,049,552) 9,393,497 Total Segment Liabilities 2,175,714 4,976,789 4,893,118 (8,279,670) 3,765,951
4. ADMINISTRATION EXPENSES Consulting and corporate expenses Compliance and regulatory expenses Depreciation expenses Exchange rate (Gain)/loss Finance charges Other administration expenses TOTAL ADMINISTRATION EXPENSES	31-Dec-17 31-Dec-16 418,804 62,859 51,175 24,407 - 2,670 44,122 - 257,790 - 225,900 32,200 997,791 122,136 Consolidated

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DATELINE RESOURCES LIMITED DIRETORS’ DECLARATION FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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5. PLANT & EQUIPMENT LAND & BUILDINGS Carrying amount of Fixed Assets (a) Plant & Equipment At Valuation / Cost Less accumulated depreciation Total Plant & Equipment Movement during the Period Balance at the beginning of the period Depreciation Expense Balance at the end of the period (b) Office Equipment At Cost Less accumulated depreciation Total Office Equipment Movement during the Period Balance at the beginning of the period Depreciation Expense Balance at the end of the period (c) Mining plant & equipment At Cost Less accumulated depreciation Total mining plant & equipment Movement during the Period Balance at the beginning of the period Additions Mining plant & equipment acquired on acquisition of Gunnison Gold Pty Ltd Mining plant & equipment acquired on acquisition of ALSH LLC (ALSH) (Note 12) Balance at the end of the period (d) Mining land & buildings At Cost Less accumulated depreciation Total Mining land & buildings Movement during the Period Balance at the beginning of the period Additions Mining land & buildings acquired on acquisition of ALSH Mining land & buildings acquired on acquisition of Gunnison Gold Pty Ltd Balance at the end of the period	31-Dec-17 30-Jun-17 $ $ 7,686,193 4,164,556 53,682 53,682 (53,682) (53,682) - - - 123 - (123) - - 51,773 51,773 (51,773) (51,773) - - - 5,587 - (5,587) - - 4,777,111 2,832,494 - - 4,777,111 2,832,494 2,832,494 - 447,664 509,283 - 2,323,211 1,496,953 - 4,777,111 2,832,494 2,909,082 1,332,062 - - 2,909,082 1,332,062 1,332,062 - - - 1,577,020 - - 1,332,062 2,909,082 1,332,062 Consolidated	31-Dec-17 30-Jun-17 $ $ 7,686,193 4,164,556 53,682 53,682 (53,682) (53,682) - - - 123 - (123) - - 51,773 51,773 (51,773) (51,773) - - - 5,587 - (5,587) - - 4,777,111 2,832,494 - - 4,777,111 2,832,494 2,832,494 - 447,664 509,283 - 2,323,211 1,496,953 - 4,777,111 2,832,494 2,909,082 1,332,062 - - 2,909,082 1,332,062 1,332,062 - - - 1,577,020 - - 1,332,062 2,909,082 1,332,062 Consolidated
		$ 4,164,556
		53,682 (53,682)
		-
		123 (123)
		-
		51,773 (51,773)
		-
		5,587 (5,587)
		-
		2,832,494 -
		2,832,494
		- 509,283 2,323,211 -
		2,832,494
		1,332,062 -
		1,332,062
		- - - 1,332,062
		1,332,062

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DATELINE RESOURCES LIMITED DIRETORS’ DECLARATION FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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6. EXPLORATION & EVALUATION EXPENDITURE Carrying amount of exploration expenditure Movement during the Period Balance at the beginning of the Period Expenditure incurred during the Period Tenements acquired on acquisition of Gunnison Gold Pty Ltd Expenditure written off during the year Balance at the end of the Period Tenements acquired on acquisition of ALSH (Note 12)	31-Dec-17 30-Jun-17 $ $ 7,425,236 4,898,753 4,898,753 4,556,309 1,979,772 404,430 546,711 - - 848,653 - (910,639) 7,425,236 4,898,753 Consolidated
The ultimate recoupment of the costs carried forward for exploration and evaluation expenditure is dependent on the successful development and commercial exploitation, or alternatively, the sales of the respective area of interest. The Board has reviewed the situation and the status of the exploration assets and considers that their carrying value is appropriate and recoverable as at 31 December 2017.
7. LOANS FROM RELATED PARTIES Current Amounts owed to Southern Cross Resources NL Amounts owed to Mr. Mark Johnson Total current loans from shareholders Total non-current loans from shareholders TOTAL LOANS FROM RELATED PARTIES 8. TRADE & OTHER LIABILITIES Current Trade creditors & accruals Amount owed to the vendors of CRG Mining LLC The amount above of $3,580,583 (June 2017 $0) was arrived rate of 10% p.a. to future payments. Non-Current Amount owed to the vendors of ALSH LLC Amount owed to the vendors of CRG Mining LLC	288,697 6,229 250,000 - 538,697 6,229 - - 538,697 6,229 $ $ 556,926 322,318 3,580,583 - 4,137,509 322,318 after applying a discount 1,958,270 - - 3,437,404 1,958,270 3,437,404

The ultimate recoupment of the costs carried forward for exploration and evaluation expenditure is dependent on the successful development and commercial exploitation, or alternatively, the sales of the respective area of interest. The Board has reviewed the situation and the status of the exploration assets and considers that their carrying value is appropriate and recoverable as at 31 December 2017.

The amount above of $1,958,270 (June 2017 $3,437,404) was arrived after applying a discount rate of 10% p.a. to future payments. Amounts in the current period payable to the vendors of ALSH LLC are payable on 31 December 2022.

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DATELINE RESOURCES LIMITED DIRETORS’ DECLARATION FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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9. CONTRIBUTED EQUITY (a) Share Capital

(a) Share Capital Ordinary Capital Number of Shares Paid Up (b) Movements in Share Capital 01 Jul 2017 Opening Balance 16 Aug 2017 Issue of shares 06 Oct 2017 Issue of shares 12 Oct 2017 Issue of shares 20 Oct 2017 Issue of shares 09 Nov 2017 Issue of shares 13 Dec 2016 Share Issue Costs 31 Dec 2016 Closing Balance 10. Reserves Option Valuation Reserve Foreign Currency Transalation Reserve	31-Dec-17 30-Jun-17 630,495,810 400,495,804 $16,722,515 $12,254,584 Number of Shares $ 400,495,804 12,254,584 109,241,756 2,184,835 30,000,000 600,000 10,000,000 200,000 75,758,250 1,515,165 5,000,000 100,000 - (132,069) 630,495,810 16,722,515 31-Dec-17 30-Jun-17 $ $ 161,044 115,339 410,777 386,118 571,821 501,457 Consolidated Consolidated Consolidated

Option Valuation Reserve

On 14/12/17, 6 million unlisted options (exercise price of 3.3 cents; expiry date of 27.9.18) were issued to unrelated party employees of CRG Mining LLC, valued at $45,704. The balance of $115,339 as at 30.6.17 related to the issue of 35 million unlisted options that were issued as part of the acquisition of Gunnison Gold Pty Ltd.

Foreign Currency Translation Reserve

The foreign currency translation reserve records exchange differences arising on translation of the foreign controlled subsidiaries.

11. OTHER EQUITY Shares to be issued to the vendors of ALSH (note 16)	31-Dec-17 30-Jun-17 $ $ 960,000 - 960,000 - Consolidated

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DATELINE RESOURCES LIMITED DIRETORS’ DECLARATION FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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11. RELATED PARTY DISCLOSURES

Transactions with related parties

• (i) During the period Southern Cross Exploration N.L. advanced to the Company a short term loan of $250,000. The loan is unsecured, has an interest rate of 7% per annum and a repayment date of 31 December 2018 or the provision of 30 days notice that repayment is required.

• Also during the period Southern Cross Exploration N.L. paid expenses of $38,697 on behalf of the Company. This amount is unsecured and is expected to be repaid in full by 31 March 2018.

• (ii) During the period Mr Mark Johnson advanced to the Company a short term loan of $250,000. The loan is unsecured, has an interest rate of 7% per annum and a repayment date of 31 December 2018 or the provision of 30 days notice that repayment is required.

• (iii) During the period Southern Cross Exploration N.L. (SXX) took up their full entitlement in the nonrenounceable Rights Issue announced to the market on 21 July 2017. SXX acquired 80,005,001 fully paid ordinary shares at a cost of $0.02 per share.

12. ENTITIES ACQUIRED DURING THE PERIOD

(a) Summary of acquisitions

On 3 October 2017 the Group acquired 100% of the issued capital of ALSH LLC which owns the Mineral Hill and Sooner Lucky Strike Gold mines, 19 mining permitted claims over approximately 350 acres of freehold land. Included in the acquisition is a fully functional and permitted mill.

• (b) Purchase consideration

The total purchase consideration paid was $3,620,684 which included 30,000,000 fully paid ordinary shares in Dateline Resources valued at $600,000, cash consideration of $189,955, deferred consideration of $1,870,729 and other equity of $960,000 which represents 30,000,000 ordinary shares to be issued to the vendors of ALSH (note 16) .

The value of assets recognised as a result of the acquisition are as follows:

			Tenements Mining plant and equipment Miningland & buildings	Tenements Mining plant and equipment Miningland & buildings	Value $ 546,711 1,496,953 1,577,020
					3,620,684

13. DIVIDENDS

No dividend has been paid during the Period and no dividend is recommended for the Period.

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DATELINE RESOURCES LIMITED DIRETORS’ DECLARATION FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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14. COMMITMENTS

There were contracted commitments as at 31 December 2017 in regard to Royalty Arrangements to the vendors of CRG Mining LLC. (CRG). The vendors of CRG are entitled to receive a royalty payment of US$100 for each ounce of gold produced from any mining operations conducted on the acquired tenements up to a maximum of US$7,000,000 (Maximum Amount). The Maximum Amount is to be paid to the vendors of CRG no later than 4 years after any deferred consideration is paid to the vendors of CRG (Royalty Period). The amount of the royalty to be paid for each year during the Royalty Period is the lesser of:

• (i) US$2,000,000 and,

• (ii) the difference between the Maximum Amount and the total amount of the royalty payments already paid to the vendors of CRG during the Royalty Period.

There were contracted commitments as at 31 December 2017 in regard to Royalty Arrangements to the vendors of ALSH LLC. (ALSH). In addition to the amount of fixed consideration as shown in note 8, a further amount of up to US$2.5 million is payable contingent to future production for up to 100 years from the date of the contract at a rate of US$50 per gold ounce mined.

15. CONTINGENT LIABILITIES

There are no contingent liabilities as at 31 December 2017 (Nil as at 30 June 2017).

16. SIGNIFICENT MATTERS AFTER BALANCE DATE

• On 15 January 2018, the Company received a short term loan of $1.1 million from Southern Cross Exploration N.L. (Interest rate of 10% per annum with a repayment date of 7 August 2018).

• On 19 February 2018, the Company announced that it had negotiated materially improved acquisition terms with the vendors of both the Gold Links mine and the Sooner Lucky Strike mine and mill in Colorado, USA as detailed below:

Gold Links acquisition terms

The original terms for the acquisition of the Gold Links leasehold were:

• Cash payments totaling US$10m with the first US$3m due in September 2018, and

• The remaining US$7M payable in instalments through to September 2022.

The new agreement with the Gold Links Leasehold vendors (Gold Links Lease) is as follows:

• Issue 30m fully paid ordinary shares in Dateline.

• Cash payments of US$2.5m on 31 December 2022 or before at a rate of US$50.00 per gold ounce mined. This amount is fixed and payable at 31 December 2022 if not paid earlier by royalties.

• Further cash payments of up to US$2.5m at a rate of US$50.00 per gold ounce mined within 100 years of this agreement. This is contingent on mining operations.

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DATELINE RESOURCES LIMITED DIRETORS’ DECLARATION FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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Sooner Lucky Strike acquisition terms

The Company has also agreed new terms for the acquisition of the Sooner Lucky Strike Mine including approximately 350 acres of freehold and a 125tpd processing plant (Lucky Strike)

The original Lucky Strike acquisition terms were:

• US$4m payable over four years in equal $250,000 quarterly payments commencing 1 April 2018.

• US$10m payable in April 2022 for the purchase of the freehold land.

• US$10m payable from production.

The new Lucky Strike agreement is as follows:

• Issue 30m fully paid ordinary shares in Dateline.

• Cash payments of US$2.5m on 31 December 2022 or before at a rate of US$50.00 per gold ounce mined. This amount is fixed and payable at 31 December 2022 if not paid earlier by royalties.

• Further cash payments of up to US$2.5m at a rate of US$50.00 per gold ounce mined within 100 years of this agreement. This is contingent on mining operations.

These new terms were reflected in the financial statements for the 6 months ended 31 December 2017 as provided evidence of conditions existing before 31 December 2017

Dateline has also negotiated the acquisition of approximately 900 acres of land which gives the Company freehold title over the Gold Links property that it currently controls via a lease. A total of 30m fully paid ordinary shares (28m were issued on 12 March 2018) and 10m options exercisable at a 2.5cents each with an expiry date of 31 December 2020 will be issued to the vendors as full and final payment for the 900 acres of land.

• On 14 March 2018, the Company increased its Colorado precious metals portfolio with the acquisition of the Raymond and Carter gold mines which adjoin DTR’s Gold Links property. The acquisition price is US$2 million with settlement in approximately 90 days. The Company has a 30 day period to exercise its right to walk away from the transaction for any reason.

17. EARNINGS PER SHARE Basic and diluted loss per share Net loss used to calculate earnings loss per share Weighted average number of ordinary shares on issue used in the calculation of earnings per share	Six Months ended Six Months ended 31-Dec-17 31-Dec-16 ($0.30) ($0.11) ($1,554,279) ($140,229) 510,448,184 127,450,782 Consolidated

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DATELINE RESOURCES LIMITED DIRETORS’ DECLARATION FOR THE HALF YEAR ENDED 31 DECEMBER 2017

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In the Directors’ opinion:

• (a) The consolidated financial statements and notes, set out on pages 10 to 21, are in accordance with the Corporations Act 2001, including:

• (i) Giving a true and fair view of the financial position as at 31 December 2017 and the performance for the period 1 July 2017 to 31 December 2017 of the Company.

• (ii) Complying with Accounting Standard AASB 134 Interim Financial Reporting, the Corporations Regulations 2001 and other mandatory professional reporting requirements.

• (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 is made in accordance with a resolution of Directors.

On behalf of the Board of Directors.

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Mark Johnson Chairman 16 March 2018

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DATELINE RESOURCES LIMITED ACN 149 105 653

AUDITOR’S INDEPENDECE DECLARATION

To the members of Dateline Resources Limited:

We have reviewed the accompanying half-year financial report of Dateline Resources Limited (“the company”) which comprises the consolidated statement of financial position as at 31 December 2017, the consolidated statement of comprehensive income, the consolidated statement of changes in equity and the consolidated statement of cash flows for the half-year ended on that date, notes comprising a summary of significant accounting policies and other explanatory notes, and the directors’ declaration, for the consolidated entity comprising the company and the entities it controlled at the half-year end or from time to time during the halfyear.

Directors’ Responsibility for the Half-Year Financial Report

The directors of the company are responsible for the preparation of the half-year financial report that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal control as the directors determine is necessary to enable the preparation of the half-year financial report that gives a true and fair view and is free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express a conclusion on the half-year financial report based on our review. We conducted our review in accordance with Auditing Standard on Review Engagements ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity in order to state whether, on the basis of the procedures described, we have become aware of any matter that makes us believe that the half-year financial report is not in accordance with the Corporations Act 2001 including: giving a true and fair view of the consolidated entity’s financial position as at 31 December 2017 and its performance for the half-year ended on that date; and complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001 . As the auditor of the company, ASRE 2410 requires that we comply with the ethical requirements relevant to the audit of the annual financial report.

A review of a half-year financial report consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Australian Auditing Standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Independence

In conducting our review, we have complied with the independence requirements of the Corporations Act 2001 . We confirm that the independence declaration required by the Corporations Act 2001 , which has been given to the directors of the company, would be in the same terms if given to the directors as at the time of this auditor’s report .

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DATELINE RESOURCES LIMITED ACN 149 105 653

AUDITOR’S INDEPENDECE DECLARATION (CONTINUED)

Conclusion

Based on our review, which is not an audit, we have not become aware of any matter that makes us believe that the half-year financial report of Dateline Resources Limited is not in accordance with the Corporations Act 2001 including:

• (a) giving a true and fair view of the consolidated entity’s financial position as at 31 December 2017 and of its performance for the half-year ended on that date; and

• (b) complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001 .

Material Uncertainty Related to Going Concern

Without modifying our opinion, we draw attention to Note 2(b) Going concern basis, which indicates that the company’s ability to continue as a going concern is dependent on it raising sufficient capital. This condition, along with other matters set forth in Note 2(b), indicate the existence of a material uncertainty that may cast significant doubt on the company’s ability to continue as a going concern. Our opinion is not modified in respect of this matter.

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HLB Mann Judd Assurance (NSW) Pty Ltd Chartered Accountants

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M D Muller Director

Sydney, NSW 16 March 2018

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