DEEP YELLOW LIMITED — Interim / Quarterly Report 2011

Apr 28, 2011

Appendix 5B Mining exploration entity quarterly report

Rule 5.3

Appendix 5B

Mining exploration entity quarterly report

Introduced 1/7/96. Origin: Appendix 8. Amended 1/7/97, 1/7/98, 30/9/2001, 01/06/10.

Name of entity

Name of entity
DEEP YELLOW LIMITED
ABN 97 006 391 948 Consolidated statement of cash flows	Quarter ended (“current quarter”)
	31 MARCH 2011
Cash flows related to operating activities 1.1 Receipts from product sales and related debtors 1.2 Payments for (a) exploration & evaluation (b) development (c) production (d) administration 1.3 Dividends received 1.4 Interest and other items of a similar nature received 1.5 Interest and other costs of finance paid 1.6 Income taxes paid 1.7 Other (provide details if material) Net Operating Cash Flows		Current quarter $A’000	Year to date (9 months) $A’000
		- (2,797) - - (986) - 314 - - -	- (11,700) - - (3,023) - 1,455 - - 557
		(3,469)	(12,711)
Cash flows related to investing activities 1.8 Payment for purchases of: (a) prospects (b) equity investments (c) other fixed assets (d) environmental and other bonds 1.9 Proceeds from sale of: (a) prospects (b) equity investments (c) other fixed assets (d) environmental and other bonds 1.10 Loans to other entities 1.11 Loans repaid by other entities 1.12 Other (provide details if material) Net investing cash flows 1.13 Total operating and investing cash flows (carried forward)		- - (34) (6) - - 17 22 - - -	- - (130) (13) - - 17 22 - - -
		(1)	(104)
		(3,470)	(12,815)

• See chapter 19 for defined terms.

30/9/2001

Appendix 5B Page 1

Appendix 5B Mining exploration entity quarterly report

1.13 Total operating and investing cash flows (brought forward)	1.13 Total operating and investing cash flows (brought forward)	1.13 Total operating and investing cash flows (brought forward)	(3,470)	(3,470)	(3,470)	(12,815)
Cash flows related to financing activities 1.14 Proceeds from issues of shares, options, etc. 1.15 Proceeds from sale of forfeited shares 1.16 Proceeds from borrowings 1.17 Repayment of borrowings 1.18 Dividends paid 1.19 Other (provide details if material) Net financing cash flows			275 - - - - -			473 - - - - -
			275			473
Net increase (decrease) in cash held 1.20 Cash at beginning of quarter/year to date 1.21 Exchange rate adjustments to item 1.20 1.22 Cash at end of quarter			(3,195) 20,350 (204)			(12,342) 29,577 (284)
			16,951			16,951
Payments to directors of the entity and associates of the directors Payments to related entities of the entity and associates of the related entities
1.23 1.24	Aggregate amount of payments to the parties included in item 1.2 Aggregate amount of loans to the parties included in item 1.10					Current quarter $A'000
						519
						-
1.25 Explanation necessaryforanunderstanding ofthe transactions Non-cash financing and investing activities 2.1 Details of financing and investing transactions which have had a material effect on consolidated assets andliabilities but didnotinvolve cash flows NIL 2.2 Details of outlays made by other entities to establish or increase their share in projects in whichthereporting entityhas an interest NIL	Explanation necessaryforanunderstanding ofthe transactions
	NIL
	Details of outlays made by other entities to establish or increase their share in projects in whichthereporting entityhas an interest
	NIL
Financing facilities available Add notes as necessary for an understanding of the position.
3.1 Loan facilities 3.2 Credit standby arrangements		Amount available $A’000		Amount used $A’000
		-		-
		-		-

Financing facilities available	Financing facilities available
Add	notes as necessary for an understanding of the position.
		Amount available	Amount used
		$A’000	$A’000
3.1	Loan facilities	-	-
3.2	Credit standby arrangements	-	-

• See chapter 19 for defined terms.

Appendix 5B Page 2

30/9/2001

Appendix 5B Mining exploration entity quarterly report

Estimated cash outflows for next quarter

Estimated cash outflows for next quarter
4.1 Exploration and evaluation 4.2 Development 4.3 Production 4.4 Administration	$A’000
	3,650
	-
	-
	900
Total	4,550

Reconciliation of cash

Reconciliation of cash
Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related itemsinthe accountsis asfollows.	Current quarter $A’000	Previous quarter $A’000
5.1 Cash on hand and at bank 5.2 Deposits at call 5.3 Bank overdraft 5.4 Other (provide details)	6,451	4,850
	10,500	15,500
	-	-
	-	-
Total: cash at end of quarter(item 1.22)	16,951	20,350

Changes in interests in mining tenements

6.1 Interests in mining tenements relinquished, reduced or lapsed 6.2 Interests in mining tenements acquired or increased	Tenement reference	Nature of interest (note (2))	Interest at beginning of **quarter **	Interest at end of **quarter **
	EPM16534	Partial relinquishment	7 blocks	4 blocks
	EPM18127 EPM14367	Application granted Farmin	0 blocks 0%	18 blocks 51%

• See chapter 19 for defined terms.

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Appendix 5B Mining exploration entity quarterly report

Issued and quoted securities at end of current quarter

Description includes rate of interest and any redemption or conversion rights together with prices and dates.

	Total number	Number quoted	Issue price per security (see note 3) (cents)	Amount paid up per security (see note 3) (cents)
7.1 Preference+securities (description) 7.2 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy- backs,redemptions	-	-	-	-
	-	-	-	-
7.3 +Ordinary securities 7.4 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy- backs	1,127,534,458	1,127,534,458	-	-
	1,000,000	1,000,000	-	-
7.5 +Convertible debt securities(description) 7.6 Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted	-	-	-	-
	-	-	-	-
7.7 Options (description and conversion factor) 7.8 Issued during quarter 7.9 Exercised during quarter 7.10 Expired during quarter 7.11 Cancelled during quarter	Unlisted options 612,500 7,337,500 3,230,000 2,145,000 1,370,000 1,300,000 460,000 2,625,000 3,425,000 625,000	- - - - - - - - - -	Exercise Price 74.6 cents 27.5 cents 40.0 cents 45.0 cents 60.0 cents 27.5 cents 27.5 cents 35.0 cents 45.0 cents 60.0 cents	Expiry Date 30/06/2011 30/06/2011 30/06/2011 30/06/2011 30/06/2011 31/12/2011 30/06/2012 30/06/2012 30/06/2012 30/06/2012
	-	-	-	-
	600,000 175,000 225,000	- - -	27.5 cents 27.5 cents 27.5 cents	30/06/2011 31/12/2011 30/06/2012
	-	-	-	-
	-	-	-	-

• See chapter 19 for defined terms. Appendix 5B Page 4

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Appendix 5B Mining exploration entity quarterly report

	Total number	Number quoted	Issue price per security (see note 3) (cents)	Amount paid up per security (see note 3) (cents)
7.12 Performance Rights 7.13 Granted during quarter 7.14 Vested during quarter 7.15 Lapsed during quarter 7.16 Cancelled during quarter	Unlisted rights 180,000 684,495 400,000 1,271,205 1,500,000 750,000		Vesting price - - - - - -	Vesting dates 01/07/2011 01/08/2011 30/11/2011 01/08/2012 30/06/2013 01/07/2013
	180,000 684,495 400,000 1,271,205 1,500,000 750,000		- - - - - -	01/07/2011 01/08/2011 30/11/2011 01/08/2012 30/06/2013 01/07/2013
	-	-	-	-
	-	-	-	-
	-	-	-	-
7.17 Debentures (totals only)	-	-
7.18 Unsecured notes (totals only)	-	-

• See chapter 19 for defined terms.

30/9/2001

Appendix 5B Page 5

Appendix 5B Mining exploration entity quarterly report

Compliance statement

• 1 This statement has been prepared under accounting policies which comply with accounting standards as defined in the Corporations Act or other standards acceptable to ASX (see note 4).

• 2 This statement does /does not* (delete one) give a true and fair view of the matters disclosed.

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Sign here: ............................................................ Date: 29 April 2011 (Director/Company secretary)

Print name: Mark Pitts

Notes

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

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

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

• 4 The definitions in, and provisions of, AASB 1022: Accounting for Extractive Industries and AASB 1026: Statement of Cash Flows apply to this report.

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

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• See chapter 19 for defined terms. Appendix 5B Page 6

30/9/2001