DEVELOP GLOBAL LIMITED - Regulatory Filings 2013

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ASX Announcement
ASX Code: VXR
Released: 27 Sep 2013
For further details
Michael Mulroney
Managing Director
T: +61 8 6389 7400
[email protected]
Board
Tony Kiernan
Chairman
Michael Mulroney
Managing Director
Ray Parry
Non-Executive Director
John Nitschke
Non-Executive Director
Trevor Hart
Company Secretary
Contact Details
Registered Office
Level 2
91 Havelock Street
West Perth WA 6005
T: +61 8 6389 7400
F: +61 8 9463 7836
[email protected]
www.venturexresources.com
ABN: 28 122 180 205
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COMPANY RESOURCE AND ORE RESERVE STATEMENT 30 September 2013

Mineral Resources increase by 2% to 26.37 million tonnes grading 1.2% Cu, 3.4% Zn, 0.3% Pb, 18.9 g/t Ag, 0.1g/t Au (inclusive of ore reserves)
Ore Reserves increase by 16% to 8.37 million tonnes grading 1.8% Cu, 4.0% Zn, 0.3% Pb and 21.5g/t Ag
Statement prepared according to the JORC Code (2012) to accompany Annual Report

Venturex Resources Limited (Venturex) (ASX: VXR) is pleased to announce the Resource and Ore Reserve Statement for the Pilbara Copper-Zinc Project (Project) for the year ended 30 September 2013.

The Project’s total Mineral Resources (Table 1) increased slightly (2.0%) over the last year reflecting the successful drilling campaign completed at Sulphur Springs in late 2012. The reported resources for Whim Creek, Mons Cupri, Evelyn and Salt Creek remain unchanged.

The reported Kangaroo Caves Mineral Resource is a historical resource resulting from the acquisition of the Panorama Joint Venture tenements. The Mineral Resource estimate was completed by independent consultants in October 2007 for the Panorama Exploration Joint Venture partners (refer Sipa Resources Limited ASX announcement dated 22 October 2007). This resource does not include the recent Venturex drilling results (ASX announcement dated 18 June 2013) with a revised mineral resource estimate in progress.

Total Project Ore Reserves have increased by 16% over the past year with the completion of the Feasibility Study in December 2012. The principal increase was at Sulphur Springs reflecting an increased conversion of resource to ore reserve under the revised underground mine plan using the Feasibility Study parameters.

The Resource and Ore Reserve Statement and accompanying notes (Appendix 1) are prepared according to the JORC Code (2012).

MICHAEL MULRONEY Managing Director

For further information, please contact:

Michael Mulroney / Trevor Hart – Venturex Resources Limited on (08) 6389 7400 Tony Dawe – Professional Public Relations on 0405 989 743 / (08) 9388 0944

About Venturex Resources Limited

Venturex Resources Limited (ASX: VXR) is an exploration and development company with a significant portfolio of VMS projects in the Western Pilbara. Venturex owns or controls significant resources of copper, zinc, lead, silver and gold at Sulphur Springs, Kangaroo Caves, Whim Creek, Mons Cupri, Salt Creek and Liberty‐Indee. The Company is committed to a strategy of building a significant copper-zinc production centre in the Western Pilbara. Venturex is also exploring for gold in Brazil through its wholly owned subsidiary CMG Mineração Ltda.

Competency Statements

The information in this report that relates to Exploration Results is based on information compiled or reviewed by Michael Mulroney and Steven Wood and fairly represents this information. Mr Mulroney and Mr Wood, who are Members of the Australasian Institute of Mining and Metallurgy, are full time employees of Venturex Resources Limited and have sufficient experience relevant to the style of mineralisation, type of deposit under consideration and to the activity being undertaking to qualify as Competent Persons as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Mulroney and Mr Wood consent to the inclusion in the report of the matters based on their information in the form and context in which it appears.

The information in this report that relates to Brazil Exploration Results is based on information compiled by Mr Karl Weber and fairly represents this information. Mr Weber who is a Member of the Australasian Institute of Mining and Metallurgy, is a fulltime employee of Venturex Resources Limited, and has sufficient experience relevant to the style of mineralisation, type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Weber consents to the inclusion in the report of the matters based on their information in the form and context in which it appears.


		PROJECT MINERAL RESOURCES

		JORC Classification	Tonnes ('000t)	Cu %	Zn %	Pb %	Ag g/t	Au g/t
Location

		Indicated	967	2.1	1.1	0.2	10.3	0.1
Whim Creek		Inferred	4	0.5	2.3	0.6	13.9	0.1
		Sub-total	972	2.1	1.1	0.2	10.3	0.1
		Measured	1,273	1.5	1.7	0.8	41.1	0.3
		Indicated	3,286	0.7	1.1	0.4	17.7	0.1
Mons Cupri
		Inferred	48	0.7	0.6	0.1	9.0	0.0

		Sub-total	4,607	0.9	1.3	0.5	24.1	0.1
	Zn	Indicated	475	0.2	14.1	4.4	107.1	0.5
Salt Creek		Indicated	423	3.7	0.9	0.1	2.7	0.1

	Cu	Inferred	105	3.5	0.1	0.0	1.5	0.0

	Zn/Cu	Sub-total	1,003	2.0	7.0	2.1	52.0	0.3
		Indicated	453	2.2	4.5	0.4	42.0	0.9
Liberty-Indee		Inferred	204	1.0	1.8	0.2	22.4	0.4
		Sub-total	657	1.8	3.7	0.3	35.9	0.8
		Indicated	8,300	2.0	5.5	0.3	22.3	0.1
Sulphur Springs		Inferred	4,531	0.7	1.5	0.1	8.9	0.1
		Sub-total	12,831	1.5	4.1	0.2	17.6	0.1
		Indicated	4,300	0.6	3.3		14.0
Kangaroo Caves		Inferred	2,000	0.3	3.4		8.0
		Sub-total	6,300	0.5	3.3		12.1
		Measured	1,273	1.5	1.7	0.8	41.1	0.3
		Indicated	18,205	1.4	4.0	0.3	21.1	0.1
TOTAL
		Inferred	6,892	0.6	2.0	0.1	8.9	0.0

		Total Resources	26,370	1.2	3.4	0.3	18.9	0.1

Table 1 – Project Resources and Ore Reserves at 30 September 2013

PROJECT ORE RESERVES	PROJECT ORE RESERVES	PROJECT ORE RESERVES	PROJECT ORE RESERVES	PROJECT ORE RESERVES	PROJECT ORE RESERVES	PROJECT ORE RESERVES	PROJECT ORE RESERVES
	JORC Classification	Tonnes ('000t)	Cu %	Zn %	Pb %	Ag g/t	Au g/t
Location

Whim Creek	Probable	221	2.7	1.3	0.7	10.8	0.1
Mons Cupri	Probable	951	1.7	2.2	1.0	47.1	0.3
Sulphur Springs	Probable	7,200	1.8	4.3	0.1	18.5	0.0
Total		8,372	1.8	4.0	0.3	21.4	0.1

Table 2 – Project Ore Reserves at 30 September 2013

APPENDIX 1 SULPHUR SPRINGS RESOURCE AND RESERVE STATEMENT NOTES Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria		Commentary
	JORC Code Explanation

Sampling techniques	 Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling.  Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.  Aspects of the determination of mineralisation that are Material to the Public Report.  In cases where ‘industry standard’ work has been done this would be relatively simple (e.g. ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information.	 The deposit was sampled with a combination of Reverse Circulation (RC) and diamond (DD) drill holes completed on a variable spacing across the deposit to a maximum vertical depth of depth of 400 metres. The RC drill holes were sampled via a standard adjustable cyclone and riffle splitter from the recovered sample. Diamond drill core was sampled using standard cut half core.  Standard RC drilling produced whole metre RC drill samples split at the rig using a cone splitter producing samples of approximately 3kgs. Diamond drilling completed to industry standard using predominantly NQ size core. Diamond core was orientated, aligned and cut on geologically determined intervals (0.25 to1.2 metres).  Samples were weighed, dried, crushed and pulverised (total prep) to produce a pulp sub-sample for analysis by four acid digest with an ICP/OES, ICP/MS or FA/AAS (Au) finish.
Drilling techniques	 Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc.).	 Drilling technique is predominantly diamond drilling since 1989 (over 75%) using mostly NQ size with some BQ, TT56 and HQ sizes using a variety of rig types. Surface drill core was generally orientated. RC drilling with a 5.5 inch face sampling hammer was used after 2005.
Drill sample recovery	 Method of recording and assessing core and chip sample recoveries and results assessed.  Measures taken to maximise sample recovery and ensure representative nature of the samples.  Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.	 Diamond drill core recovery was recorded by all operators as a percentage of measured recovered core versus drilled distance. Recoveries were generally high except for cavity zones in the oxide zone.  RC samples were weighed and compared to standards to estimate sample recoveries which were consistently high. Any low recovery intervals were logged and entered into the database.  The cyclone and splitter were routinely inspected and cleaned during the drilling ensuring no excessive material build-up. Care was taken to ensure the split samples were of a consistent volume.
Logging	 Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.  Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.) photography.  The total length and percentage of the relevant intersections logged.	 Diamond drill core is all qualitatively logged and most drill holes have been photographed. RC drill holes were all qualitatively logged and RC chip tray samples collected and stored.  Logging by all operators was at an appropriate detailed quantitative standard to support future geological, resource, reserve estimations and subsequent feasibility studies.  All holes were logged in full.
Sub-sampling	 If core, whether cut or sawn and whetherquarter, half or all core taken.	 Diamond core was sawn with a diamond saw and half core samples(quarter

techniques and sample preparation	 If non-core, whether riffled, tube sampled, rotary split, etc. and whether sampled wet or dry.  For all sample types, the nature, quality and appropriateness of the sample preparation technique.  Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples.  Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling.  Whether sample sizes are appropriate to the grain size of the material being sampled.	core in metallurgical holes) taken for assay.  1 metre RC samples were collected and split off the drill rig using a cone splitter. Approximately 90% of the samples were dry in nature.  The sample preparation of the samples follows industry best practice in sample preparation involving weighing, oven drying, pulverisation of the entire sample (total prep) to a grind size of 85% passing 75 micron.  Venturex and previous operators had QAQC procedures involving the use of certified standards, blanks and duplicates. The QAQC has been independently audited with no apparent issues.  No field duplicates have been taken.  The sample sizes are considered appropriate given the relatively fine grained nature of the sulphide mineralisation which is not nuggetty in nature, the sampling methodology and the percent assay value ranges involved.
Quality of assay data and laboratory tests	 The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.  For geophysical tools, spectrometers, handheld XRF instruments, etc., the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.  Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision have been established.	 Various operators used analytical techniques involving a four acid digest multi- element suite with ICP/MS finish (30g FA/AAS for precious metals). The acids used are hydrofluoric, nitric, perchloric and hydrochloric acids, suitable for the dissolution of most silica based samples. The method approaches total dissolution of most minerals. Combustion furnace or Eltra “Leco” analyser assayed total sulphur.  No geophysical tools were used to determine any element concentrations reported.  Duplicates were taken every 25m and post 2008, every RC metre drilled is checked by two 30sec measurements using a Niton handheld XRF.  An independent analysis of intra and inter laboratory bias and precision was undertaken in 2007 by CBH. No discernible bias was noted for samples used.
Verification of sampling and assaying	 The verification of significant intersections by either independent or alternative company personnel.  The use of twinned holes.  Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.  Discuss any adjustment to assay data.	 Prior to 2011, verification procedures were not documented.  Post 2011, significant intersections were checked by the Exploration Manager and Managing Director. Significant intersections are also verified/ by portable XRF data collected in the field and cross-checked against the final assays when received.  A range of primary data collection methods were employed since 1989. Since 2007, data recording used a set of standard Excel templates on a data logger and uploaded to note book computer. The data is sent to Perth office for verification and compilation into an SQL database by the in-house database administrator. Full copies are stored offsite.  Full data base verification of all historical information was completed in 2007 by CBH. All data is loaded and stored in DataShed data base.  The historical data (pre-2007) has been adjusted with all negative assays, representing below detection assays, were converted to positive assays of half value.
Location of data points	 Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.  Specification of the grid system used.  Quality and adequacy of topographic control.	 A full independent resurvey of all pre-2007 hole positions was completed by CBH in 2007.  Post 2007, all hole collar coordinates have been picked up by CBH/Venturex employees using a DGPS with all co-ordinates and RL data considered reliable.  Downhole surveys were performed on all holes by either single shot Eastman camera or reflex gyro readings at 10-50 metre down hole intervals.  Thegrid system used for the location of all drill holes is MGA_GDA94,Zone 50.

		 Topographic control is provided by combination of external survey control, photogrammetry analysis and DGPS reading.
Data spacing and distribution	 Data spacing for reporting of Exploration Results.  Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied.  Whether sample compositing has been applied.	 The nominal drill spacing is generally 30m x 30m to 20m x 20m.  The current spacing is adequate to assume geological and grade continuity of the mineralised domain.  No compositing has been applied to the exploration results.
Orientation of data in relation to geological structure	 Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.  If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.	 The Sulphur Springs drilling is orientated to the south, near perpendicular to the mineralised trend. Limitations imposed by the rugged terrain dictates that some drilling is conducted vertically or at a low angle to the dip of the mineralised system.  Given the stratigraphic nature of the mineralising system, no orientation based sampling bias has been identified in the data.
Sample security	 The measures taken to ensure sample security.	 Independent audits of the data in 2002 and 2006 concluded that the sampling protocols were adequate.  Post 2011, the chain of custody is managed by Venturex. The samples are transported by Venturex personnel to Whim Creek, stored in a secure facility and collected from site by Toll IPEC and delivered to the assay laboratory in Perth. Online tracking is utilised to track the progress of batches of samples.
Audits or reviews	 The results of any audits or reviews of sampling techniques and data.	 Independent audits of the sampling techniques and data were completed as part of previous and current feasibility studies in 2002 (McDonald Spiejers Pty Ltd), 2006 (Golders and Associates), 2008 (Zilloc Pty Ltd) and 2011 (Snowden). The studies were comprehensive and cover all industry standard issues. There does not appear to be any significant risk in accepting the data as valid.

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria	JORC Code Explanation	Commentary
Mineral tenement and land tenure status	 Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings.  The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.	 Sulphur Springs is located wholly within Mining Lease M45/494 and Venturex Resources Limited has a 100% interest in the tenement.  The tenement is within the Njamal Native Title Claim (WC99/8).  The tenement is subject to two third party royalties.  The tenement is a granted Mining Lease, is in good standing and no known impediments exist.
Exploration done by other parties	 Acknowledgment and appraisal of exploration by other parties.	 Previous exploration has been conducted at Sulphur Springs by Sipa Resources Limited in conjunction with Ashling Resources, Homestake Limited and Outokumpu since 1985 under various joint ventures and CBH Resources Limited from 2005.
Geology	 Deposit type, geological setting and style of mineralisation.	 The Sulphur Springs zinc-copper deposit is hosted by the Kangaroo Caves Formation, a volcano-sedimentary sequence within the north – northeasterly trendingtectonostratigraphic domain known as the Lalla Rookh – Western

		Shaw Corridor (LWSC) in the central east of the Archaean Pilbara Craton. The deposit is a well preserved example of an Archaean volcanogenic massive sulphide (VMS) style deposit in a low grade metamorphic terrain.
Drill hole Information	 A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes:  easting and northing of the drill hole collar  elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar  dip and azimuth of the hole  down hole length and interception depth  hole length.  If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.	 Too many holes (>120 holes) to practically summarise. Detailed drill hole data is periodically released with all relevant data appended. See previous release dated 18 October 2012 for recent drill hole information.
Data aggregation methods	 In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually Material and should be stated.  Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail.  The assumptions used for any reporting of metal equivalent values should be clearly stated.	 All reported assays have been length weighted.  No top cut has been applied.  For reporting exploration results, a nominal 0.25% copper and 2.0% zinc lower cut-off has been applied.  High-grade massive sulphide intervals internal to broader zones of sulphide mineralisation are reported as included intervals.
Relationship between mineralisation widths and intercept lengths	 These relationships are particularly important in the reporting of Exploration Results.  If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported.  If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g. ‘down hole length, true width not known’).	 Previous reports highlight down hole intercept and true widths.
Diagrams	 Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views.	 See plans and sections presented in previous ASX release dated 18 November 2012.
Balanced reporting	 Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results.	 All results are reported.
Other substantive exploration data	 Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.	 NA - Exploration results not being released this time.
Further work	 The nature and scale of planned further work (e.g. tests for lateral extensions or _depth extensions or large-scale step-out drilling). _	 NA - Exploration results not being released this time.

 Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.

Section 3 Estimation and Reporting of Mineral Resources

(Criteria listed in section 1, and where relevant in section 2 apply to this section.)

Criteria	JORC Code Explanation	Commentary
Database integrity	 Measures taken to ensure that data has not been corrupted by, for example, transcription or keying errors, between its initial collection and its use for Mineral Resource estimation purposes.  Data validation procedures used.	 Independent audits of the sampling techniques and data integrity were completed as part of previous and current feasibility studies in 2002 (McDonald Spiejers Pty Ltd), 2006 (Golders and Associates), 2008 (Zilloc Pty Ltd) and 2011 (Snowden). The studies were comprehensive and cover all industry standard issues. There does not appear to be any significant risk in accepting the data as valid.
Site visits	 Comment on any site visits undertaken by the Competent Person and the outcome of those visits.  If no site visits have been undertaken indicate why this is the case.	 Regular site visits have been undertaken by the Competent Persons for this Resource and Reserve Statement.
Geological interpretation	 Confidence in (or conversely, the uncertainty of) the geological interpretation of the mineral deposit.  Nature of the data used and of any assumptions made.  The effect, if any, of alternative interpretations on Mineral Resource estimation.  The use of geology in guiding and controlling Mineral Resource estimation.  The factors affecting continuity both of grade and geology.	 The interpretation of the deposit takes full account of all surface and subsurface geological, geochemical and structural information contained in the database to ensure the continuity and integrity of the interpretation.  No detailed alternative interpretations have been validated.  The stratiform nature of the mineralisation requires a very high level of geological control in the interpretation.
Dimensions	 The extent and variability of the Mineral Resource expressed as length (along strike or otherwise), plan width, and depth below surface to the upper and lower limits of the Mineral Resource.	 The Mineral Resource covers two massive sulphide lenses (East and West) identified by drilling. Total long axis length is approximately 500 metres, horizontal cross strike width is 60-125 metres (maximum true width of approximately 30 metres) to a vertical depth of 375 metres. Each lens dips to the north at approximately 40-50o. The deposit lens is open at depth and to the west.
Estimation and modelling techniques	 The nature and appropriateness of the estimation technique(s) applied and key assumptions, including treatment of extreme grade values, domaining, interpolation parameters and maximum distance of extrapolation from data points. If a computer assisted estimation method was chosen include a description of computer software and parameters used.  The availability of check estimates, previous estimates and/or mine production records and whether the Mineral Resource estimate takes appropriate account of such data.  The assumptions made regarding recovery of by-products.  Estimation of deleterious elements or other non-grade variables of economic significance (e.g. sulphur for acid mine drainage characterisation).  In the case of block model interpolation, the block size in relation to the average sample spacing and the search employed.  Any assumptions behind modelling of selective mining units.	 The Sulphur Springs Mineral Resource Estimate takes into account previous estimates completed by Outokumpu (2002) and CBH (2009).  The estimation employed ordinary kriging techniques using Vulcan 8.01 software.  Polygonal interpretation of high-grade copper and zinc domains was done on 20-metre sections. The high-grade copper wireframe used a ~2% cut-off, the high-grade zinc wireframe uses a ~5% cut-off. The cut-offs were determined using log probability plots.  Gaps between high-grade domains were modelled as low grade domains to be later incorporated as planned dilution during the mining process. Three low- grade domains were defined based on geological formation and relative position between high-grade areas. Hard boundaries are used between domains.  Search ellipseparameters determined usingvariography. Parent cell measures

	 Any assumptions about correlation between variables.  Description of how the geological interpretation was used to control the resource estimates.  Discussion of basis for using or not using grade cutting or capping.  The process of validation, the checking process used, the comparison of model data to drill hole data, and use of reconciliation data if available.	20 metres (X axis), 20 metres (Y) and 10 metres (Z) with sub-cells of 5 metres (X), 2 metres (Y), 2 metres (Z), appropriate given an average drill spacing of 20-30 metres. Minimum samples per estimate are 1. Maximum samples per estimate are 20. Discretisation was set to 5(Y) X 5(X) X 2(Z).  Composite length was set at 1 metre (69% of samples) with the kriged estimate validated against original composite grades. Both the copper and zinc high grade domains were validated visually in 20 metre slices.  Oxide ore was not estimated. The estimate also considered the distribution of deleterious elements (e.g. Sulphur, antimony, arsenic, bismuth, cadmium, mercury, iron etc.)
Moisture	 Whether the tonnages are estimated on a dry basis or with natural moisture, and the method of determination of the moisture content.	 Tonnages are estimated on a dry basis. Moisture content in ore is very low.
Cut-off parameters	 The basis of the adopted cut-off grade(s) or quality parameters applied.	 Wireframes used a 2% Cu cut-off and 5% Zn cut-off for high-grade domains. Low-grade domains used a 0.03% Cu cut-off. Cut off grades were determined geostatistically.  The Mineral Resource estimate is reported at 0.4% Cu or 2% Zn, this being an economic cut-off should the project revert to being an open pit operation.
Mining factors or assumptions	 Assumptions made regarding possible mining methods, minimum mining dimensions and internal (or, if applicable, external) mining dilution. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential mining methods, but the assumptions made regarding mining methods and parameters when estimating Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the mining assumptions made.	 Underground mining extraction assumed using variations of mechanised long hole stoping. See Section 4 for full details.
Metallurgical factors or assumptions	 The basis for assumptions or predictions regarding metallurgical amenability. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential metallurgical methods, but the assumptions regarding metallurgical treatment processes and parameters made when reporting Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the metallurgical assumptions made.	 Metallurgical amenability based on detailed metallurgical test work completed as part of historical and current Feasibility Study(s). See Section 4 for full details.
Environmental factors or assumptions	 Assumptions made regarding possible waste and process residue disposal options. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider the potential environmental impacts of the mining and processing operation. While at this stage the determination of potential environmental impacts, particularly for a greenfield project, may not always be well advanced, the status of early consideration of these potential environmental impacts should be reported. Where these aspects have not been considered this should be reported with an explanation of the environmental assumptions made.	 See Section 4 for full details.
Bulk density	 Whether assumed or determined. If assumed, the basis for the assumptions. If determined, the method used, whether wet or dry, the frequency of the measurements, the nature, size and representativeness of the samples.  The bulk density for bulk material must have been measured by methods that	 A very high proportion of the assayed samples (79%) have a bulk density measurement. This is adequate to support interpolation of density into resource models.  Densitymeasurements were conducted on site bythe classical water

	adequately account for void spaces (vugs, porosity, etc.), moisture and differences between rock and alteration zones within the deposit.  Discuss assumptions for bulk density estimates used in the evaluation process of the different materials.	immersion method, using the total core for each sample.
Classification	 The basis for the classification of the Mineral Resources into varying confidence categories.  Whether appropriate account has been taken of all relevant factors (i.e. relative confidence in tonnage/grade estimations, reliability of input data, confidence in continuity of geology and metal values, quality, quantity and distribution of the data).  Whether the result appropriately reflects the Competent Person’s view of the deposit.	 Mineral Resource classification into Inferred, Indicated and Measured categories is based on a combination of average weighted distance from sample points, variography, drill density and geological interpretation confidence.  For the high grade domains a script was run to calculate resource classification based on sample distance using the variograms for Cu and Zn. Indicated was defined by first pass estimation of a Cu weighted sample distance less than 60 and/or a Zn weighted sample distance less than 75. Inferred was defined by the remainder.  A visual inspection of the “indicated” and “inferred” areas showed no way of easily separation with the majority being “indicated”. It was decided to class all high grade areas as “indicated”. The hanging wall high-grade domain in the west is classed “inferred” due to lower drilling density and lack of apparent continuity.  The low grade domains were classed “inferred” as under underground mining conditions, the areas are sub-economic. Where mined, the areas will be included as planned internal dilution.  Under previous plans to open cut the Sulphur Springs deposit, the low grade areas would be of economic value.
Audits or reviews	 The results of any audits or reviews of Mineral Resource estimates.	 The Mineral Resource was reviewed by Snowden in 2011 and the recommendations incorporated into the resource model. The revised resource review has not been independently reviewed.
Discussion of relative accuracy/ confidence	 Where appropriate a statement of the relative accuracy and confidence level in the Mineral Resource estimate using an approach or procedure deemed appropriate by the Competent Person. For example, the application of statistical or geostatistical procedures to quantify the relative accuracy of the resource within stated confidence limits, or, if such an approach is not deemed appropriate, a qualitative discussion of the factors that could affect the relative accuracy and confidence of the estimate.  The statement should specify whether it relates to global or local estimates, and, if local, state the relevant tonnages, which should be relevant to technical and economic evaluation. Documentation should include assumptions made and the procedures used.  These statements of relative accuracy and confidence of the estimate should be compared with production data, where available.	 The resource estimate is considered robust in light of similar results obtained by different parties and estimation methods.  The resource report is a global assessment of the Sulphide Springs deposit.  No production data is available.

Section 4 Estimation and Reporting of Ore Reserves

(Criteria listed in section 1, and where relevant in sections 2 and 3 apply to this section.)

Criteria	JORC Code Explanation	Commentary
Mineral Resource estimate for conversion to Ore Reserves	 Description of the Mineral Resource estimate used as a basis for the conversion to an Ore Reserve.  Clear statement as to whether the Mineral Resources are reported additional to, or inclusive of, the Ore Reserves.	 The Mineral Resource Estimate calculated and announced as at 22 November 2012 (ASX announcement – 22 November 2012) is used for the conversion of a portion of the Mineral Resource to Ore Reserve status.  The Mineral Resource Estimate reported is inclusive of the Ore Reserve.
Site visits	 Comment on any site visits undertaken by the Competent Person and the outcome of those visits.  If no site visits have been undertaken indicate why this is the case.	 Regular site visits have been undertaken by the Competent Persons for this Resource and Reserve Statement.
Study status	 The type and level of study undertaken to enable Mineral Resources to be converted to Ore Reserves.  The Code requires that a study to at least Pre-Feasibility Study level has been undertaken to convert Mineral Resources to Ore Reserves. Such studies will have been carried out and will have determined a mine plan that is technically achievable and economically viable, and that material Modifying Factors have been considered.	 The partial conversion of the Mineral Resource to an Ore Reserve was part of a Definitive Feasibility Study completed in December 2012 (ASX Announcement – 18 December 2012).
Cut-off parameters	 The basis of the cut-off grade(s) or quality parameters applied.	 The cut-off grades applied are calculated using the forecast costs of mining, processing, site administration haulage, metallurgical recoveries, penalty element content, TC/RC charges, royalties, shipping and concentrate marketing. A cut-off grade of 1.85% CuEq was applied.
Mining factors or assumptions	 The method and assumptions used as reported in the Pre-Feasibility or Feasibility Study to convert the Mineral Resource to an Ore Reserve (i.e. either by application of appropriate factors by optimisation or by preliminary or detailed design).  The choice, nature and appropriateness of the selected mining method(s) and other mining parameters including associated design issues such as pre-strip, access, etc.  The assumptions made regarding geotechnical parameters (e.g. pit slopes, stope sizes, etc.), grade control and pre-production drilling.  The major assumptions made and Mineral Resource model used for pit and stope optimisation (if appropriate).  The mining dilution factors used.  The mining recovery factors used.  Any minimum mining widths used.  The manner in which Inferred Mineral Resources are utilised in mining studies and the sensitivity of the outcome to their inclusion.  The infrastructure requirements of the selected mining methods.	 The conversion of the Mineral Resource to an Ore Reserve is achieved by imposing a detailed underground mine design onto the Mineral Resource outline after taking into account geotechnical and mining factors.  The selected mining methods resulted from an analysis of previous underground feasibility studies (AMC, SN Consulting) combined with additional geotechnical analysis. Underground mining methods are: for ore widths >12 metres - transverse longitudinal stoping and for ore widths 3.5 to 12 metres – longitudinal stoping.  Major assumptions include the geotechnical environment shows competent rock masses, low in situ stress with a low seismic risk; mine access is via a single decline system; mining production rate of 1.0mtpa; ventilation by twin raise bored shafts; all primary transverse and longitudinal stopes are backfilled with cemented paste; all secondary stopes are filled with cemented rock.  Stope dimensions were calculated using a Modified Stability Number approach. Average stope strike lengths for all primary and secondary transverse stopes were set at 18 metres and 22 metres respectively for the 30 metre vertical stoping height over widths of 12 to 50 metres. Longitudinal stope strike lengths were set at 25 metres for the 25 metre height for widths <12 metres.  Mining dilution is determined empirically using the Dilution Graph Method, based on the stope stabilityassessment includingallowances for faulting,

		cavities and fill dilution. Mining dilution ranges from 5.5% to 8.2%.  Mining Recovery factors are based on an agreed recovery and dilution matrix. Values range from 79 – 92%  A 5.0 metre horizontal minimum width is applied.  Inferred Mineral Resources are not included in the Ore Reserve. Significant high grade hanging wall and footwall stringer mineralisation is present.  The site is a greenfield site and will require the provision of all surface and underground services (power, water, air, communications, and paste plant) commensurate with a modern decline access mine.
Metallurgical factors or assumptions	 The metallurgical process proposed and the appropriateness of that process to the style of mineralisation.  Whether the metallurgical process is well-tested technology or novel in nature.  The nature, amount and representativeness of metallurgical test work undertaken, the nature of the metallurgical domaining applied and the corresponding metallurgical recovery factors applied.  Any assumptions or allowances made for deleterious elements.  The existence of any bulk sample or pilot scale test work and the degree to which such samples are considered representative of the orebody as a whole.  For minerals that are defined by a specification, has the ore reserve estimation been based on the appropriate mineralogy to meet the specifications?	 The plant design flow sheet uses confirmed metallurgical processes for this style of ore. The technology is standard in the base metal industry and will process the varying ore types through a conventional three stage crushing and grinding circuit, followed by sequential flotation of the copper, lead and zinc sulphide minerals to produce saleable copper, lead and zinc concentrates.  Considerable feasibility study level metallurgical test work programs were completed previously in 2002 and 2006. A further program of confirmatory test work was completed in 2011-12 including extensive testing of individual and composited geological domains. Metallurgical recovery factors were determined for each recovered metal in each concentrate product stream.  The deleterious element content of each concentrate product was determined and profiled against typical concentrate specifications sourced from third party purchasers.  No bulk sample or pilot scale test work has been undertaken.
Environmental	 The status of studies of potential environmental impacts of the mining and processing operation. Details of waste rock characterisation and the consideration of potential sites, status of design options considered and, where applicable, the status of approvals for process residue storage and waste dumps should be reported.	 Extensive studies of all environmental impact aspects of the operation were completed in 2006 by CBH under a previous feasibility study. Further studies by Venturex have refreshed and added to the volume of work during 2011-12.  The project has carefully designed its process and operational footprint to minimise environmental impacts. Full analysis of the issues arising from the Public Environmental Review for the Panorama Copper-Zinc Project submitted by CBH Sulphur Springs Pty Ltd in November 2007 was undertaken.  Final design options were selected to minimize the disturbed area within landform constraints imposed by rugged topography. Accommodation village site was separated from the mine/plant site to minimise noise and dust impacts.  Underground mine extraction was selected on both economic and environmental criteria to minimise visual and surface disruption.  Full waste rock characterisation was completed given the high PAF nature of the material. All waste rock will be temporarily stored in special purpose, lined facilities prior to being returned underground as fill.  The process tailings have a high sulphide content and will be retained in an advanced “dry stack” disposal system that is based on well understood processes and equipment.  The Mining Proposal application documentation has been submitted to the relevant State authorities for approval.
Infrastructure	 The existence of appropriate infrastructure: availability of land for plant development, power, water, transportation (particularly for bulk commodities), labour, accommodation; or the ease with which the infrastructure can be	 The project site is a standalone greenfield development with suitable sites identified and secured under tenure for all required infrastructure.  Haul road access to the sealed Port Hedland- Marble road has been

	provided, or accessed.	constructed under an agreement with Atlas Iron Limited.
Costs	 The derivation of, or assumptions made, regarding projected capital costs in the study.  The methodology used to estimate operating costs.  Allowances made for the content of deleterious elements.  The derivation of assumptions made of metal or commodity price(s), for the principal minerals and co- products.  The source of exchange rates used in the study.  Derivation of transportation charges.  The basis for forecasting or source of treatment and refining charges, penalties for failure to meet specification, etc.  The allowances made for royalties payable, both Government and private.	 Capital costs are derived from formal tenders received from a range of third party suppliers.  Operating costs were derived from first principles and formal tenders received from a range of third party suppliers.  Full allowance is made for any deleterious elements in the concentrates based on information supplied by third party smelters.  Metal price and foreign exchange assumptions are based on analysis of independent forecasts from a range of third party providers.  TC/RC forecasts are based on analysis of independent forecasts from a range of third party providers and third party smelters.  Full allowance was made for all Government (5%) and private royalties payable.
Revenue factors	 The derivation of, or assumptions made regarding revenue factors including head grade, metal or commodity price(s) exchange rates, transportation and treatment charges, penalties, net smelter returns, etc.  The derivation of assumptions made of metal or commodity price(s), for the principal metals, minerals and co-products.	 All revenue factor assumptions are based on the inputs from the production plan, pricing received under formal tenders for land and seaborne transport costs, analysis of independent forecasts from a range of third party providers and third party smelters for TC/RC charges, penalty rates and payability factors.  Metal price and foreign exchange assumptions are based on analysis of independent forecasts from a range of third party providers.
Market assessment	 The demand, supply and stock situation for the particular commodity, consumption trends and factors likely to affect supply and demand into the future.  A customer and competitor analysis along with the identification of likely market windows for the product.  Price and volume forecasts and the basis for these forecasts.  For industrial minerals the customer specification, testing and acceptance requirements prior to a supply contract.	 In-house and independent analysis for future copper and zinc markets has been undertaken for the period 2015 and beyond.  The small volume and high quality of copper concentrate produced will attract a ready market, supported by third party off take proposals.  Zinc concentrate is committed under MOU to Toho Zinc Limited for the first 230,000 tonnes of contained zinc metal. The volume and high quality of zinc concentrate produced would attract a ready market domestically and internationally.
Economic	 The inputs to the economic analysis to produce the net present value (NPV) in the study, the source and confidence of these economic inputs including estimated inflation, discount rate, etc.  NPV ranges and sensitivity to variations in the significant assumptions and inputs.	 Financial results – see ASX announcement 18 December 2012  Economic inputs are based on fixed real revenue/cost pricing from a December 2012 base.  Depreciation rates as per existing accounting standards.  Tax calculations based on existing eligible tax losses and current ATO guidelines  Base case discount rate of 8% real ungeared, sensitivity analysis completed to 12% real.  Full sensitive analysis (+/- 20%) completed on all inputs, prices and costs. Maximum sensitivity is to exchange rates and metal prices.
Social	 The status of agreements with key stakeholders and matters leading to social licence to operate.	 All environmental approval documentation lodged with relevant authorities.  Existing Mining Agreement with traditional owners.  Local Government approvals pending.
Other	 To the extent relevant, the impact of the following on the project and/or on the estimation and classification of the Ore Reserves:  Any identified material naturally occurring risks.  The status of material legal agreements and marketing arrangements.  The status of governmental agreements and approvals critical to the viability of theproject, such as mineral tenement status, andgovernment and statutory	 Major construction, supply, operational, consumables supply and site service contracts remain to be committed and finalised. Zinc concentrate off-take MOU completed. Copper concentrate off-take is uncommitted.  Joint Access and Haul Road Development agreement completed.  All tenements required for the construction and operation of the Project are granted and ingood standing.

	approvals. There must be reasonable grounds to expect that all necessary Government approvals will be received within the timeframes anticipated in the Pre-Feasibility or Feasibility study. Highlight and discuss the materiality of any unresolved matter that is dependent on a third party on which extraction of the reserve is contingent.	 Major State and Federal statutory approval documentation has been completed and submitted. Final approvals are imminent.
Classification	 The basis for the classification of the Ore Reserves into varying confidence categories.  Whether the result appropriately reflects the Competent Person’s view of the deposit.  The proportion of Probable Ore Reserves that have been derived from Measured Mineral Resources (if any).	 The Ore Reserve is classified as a Probable Reserve based on the Indicated Mineral Resource Estimate.  The deposit’s geological model is well constrained. The ore reserve classification is considered appropriate given the nature of the deposit, the moderate grade variability, drilling density and that it is a greenfield deposit with no mining history.
Audits or reviews	 The results of any audits or reviews of Ore Reserve estimates.	 The Ore Reserve estimate has not been audited.
Discussion of relative accuracy/ confidence	 Where appropriate a statement of the relative accuracy and confidence level in the Ore Reserve estimate using an approach or procedure deemed appropriate by the Competent Person. For example, the application of statistical or geostatistical procedures to quantify the relative accuracy of the reserve within stated confidence limits, or, if such an approach is not deemed appropriate, a qualitative discussion of the factors which could affect the relative accuracy and confidence of the estimate.  The statement should specify whether it relates to global or local estimates, and, if local, state the relevant tonnages, which should be relevant to technical and economic evaluation. Documentation should include assumptions made and the procedures used.  Accuracy and confidence discussions should extend to specific discussions of any applied Modifying Factors that may have a material impact on Ore Reserve viability, or for which there are remaining areas of uncertainty at the current study stage.  It is recognised that this may not be possible or appropriate in all circumstances. These statements of relative accuracy and confidence of the estimate should be compared with production data, where available.	 The Ore Reserve estimate is considered robust in light of similar results obtained by different estimation methods. No statistical analysis procedures have been applied.  The Ore Reserve report is a global assessment of the Sulphide Springs deposit.  The accuracy and confidence limits are based on the current mine design and cut-off grade analysis employed in the technical and economic evaluation. Material changes to the technical or economic assumptions used, including operating costs, TC/RC costs, transport charges, concentrate payability factors and metal prices may materially impact the accuracy of the estimate.  No production data is available.

MONS CUPRI RESOURCE AND RESERVE STATEMENT NOTES Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria	JORC Code Explanation	Commentary
Sampling techniques	 Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling.  Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.  Aspects of the determination of mineralisation that are Material to the Public Report.  In cases where ‘industry standard’ work has been done this would be relatively simple (e.g. ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information.	 The deposit was sampled with a combination of Reverse Circulation (RC) and diamond (DD) drill holes completed on 15-30 metre spacing across the deposit to a maximum vertical depth of depth of 300 metres. The RC drill holes are sampled via standard adjustable cyclone and riffle splitter from the recovered sample. Diamond drill core is sampled using standard cut half core.  Standard RC drilling produced whole metre RC drill samples split at the rig using a cone splitter producing samples of approximately 3kgs. Diamond drilling completed to industry standard using predominantly NQ size core. Diamond core was orientated, aligned and cut on geologically determined intervals (0.25 to1.2 metres).  Samples were weighed, dried, crushed and pulverised (total prep) to produce a pulp sub-sample for analysis by four acid digest with an ICP/OES, ICP/MS or FA/AAS (Au) finish.
Drilling techniques	 Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc.).	 Drilling technique is diamond drilling (51%) using mostly NQ size with some BQ and HQ sizes using a variety of rig types. Surface drill core was generally orientated. RC drilling using a 5.5-inch face sampling hammer was used after 2005.
Drill sample recovery	 Method of recording and assessing core and chip sample recoveries and results assessed.  Measures taken to maximise sample recovery and ensure representative nature of the samples.  Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.	 Diamond drill core recovery was recorded by all operators as a percentage of measured recovered core versus drilled distance. Recoveries were generally high.  RC samples were compared to standards to estimate sample recoveries which were consistently high. Any low recovery intervals were logged and entered into the database.  The cyclone and splitter were routinely inspected and cleaned during the drilling ensuring no excessive material build-up. Care was taken to ensure the split samples were of a consistent volume.
Logging	 Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.  Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.) photography.  The total length and percentage of the relevant intersections logged.	 Diamond drill core is all qualitatively logged with wet core photographs taken over the last 8 years. RC drill holes are all were qualitatively logged and RC chip tray samples collected and stored.  Logging is at an appropriate detailed quantitative standard to support future geological, resource, reserve estimations and subsequent feasibility studies.  All holes were logged in full.
Sub-sampling techniques and sample preparation	 If core, whether cut or sawn and whether quarter, half or all core taken.  If non-core, whether riffled, tube sampled, rotary split, etc. and whether sampled wet or dry.  For all sample types, the nature, quality and appropriateness of the sample preparation technique.	 Diamond core was sawn with a diamond saw and half core samples (quarter core in metallurgical holes) taken for assay.  1 metre RC samples were collected and split off the drill rig using a cone splitter. Approximately 90% of the samples were dry in nature.  The samplepreparation of the samples follows industrybestpractice in sample

	 Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples.  Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling.  Whether sample sizes are appropriate to the grain size of the material being sampled.	preparation involving weighing, oven drying, pulverisation of the entire sample (total prep) to a grind size of 85% passing 75 micron.  Venturex and previous operators had QAQC procedures involving the use of certified standards, blanks and duplicates. The QAQC has been independently audited with no apparent issues.  No field duplicates have been taken.  The sample sizes are considered appropriate given the relatively fine-grained nature of the sulphide mineralisation which is not nuggetty in nature, the sampling methodology and the percent assay value ranges involved.
Quality of assay data and laboratory tests	 The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.  For geophysical tools, spectrometers, handheld XRF instruments, etc., the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.  Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision have been established.	 Various operators used analytical techniques involving a four acid digest multi- element suite with ICP/MS finish (30g FA/AAS for precious metals). The acids used are hydrofluoric, nitric, perchloric and hydrochloric acids, suitable for the dissolution of most silica based samples. The method approaches total dissolution of most minerals. Combustion furnace or Eltra “Leco” analyser assayed total sulphur.  No geophysical tools are used to determine any element concentrations reported.  Duplicates were taken every 25m and post 2008, every RC metre drilled is checked by two 30sec measurements using a Niton handheld XRF.  An independent analysis of intra laboratory bias and precision was undertaken. No discernible bias was noted for samples used.
Verification of sampling and assaying	 The verification of significant intersections by either independent or alternative company personnel.  The use of twinned holes.  Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.  Discuss any adjustment to assay data.	 Prior to 2010, verification procedures were not documented.  Post 2010, significant intersections were viewed by the Exploration Manager and Managing Director. Significant intersections are also verified by portable XRF data collected in the field and cross-checked against the final assays when received.  A range of primary data collection methods were employed since 1989. Since 2009, data recording used a set of standard Excel templates on a data logger and uploaded to note book computer. The data is sent to Perth office for verification and compilation into an SQL database by the in-house database administrator. Full copies are stored offsite.  Full data base verification of all historical information was completed in 2009. All data is loaded and stored in DataShed database.  The historical data (pre-2010) has been adjusted with all negative assays, representing below detection assays, were converted to positive assays of 0.001ppm.
Location of data points	 Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.  Specification of the grid system used.  Quality and adequacy of topographic control.	 All hole collar coordinates have been checked by Venturex using DGPS with all co-ordinates and RL data considered reliable.  Downhole surveys were performed on all holes by either single shot Eastman camera or reflex gyro readings at 10-50 metre down hole intervals.  The grid system used for the location of all drill holes is MGA_GDA94, Zone 50.  Topographic control is provided by combination of external survey control, photogrammetry analysis and DGPS reading.
Data spacing and distribution	 Data spacing for reporting of Exploration Results.  Whether the data spacing and distribution is sufficient to establish the degree of geological andgrade continuity appropriate for the Mineral Resource and Ore	 The nominal drill spacing is generally 20m x 20m.  The current spacing is adequate to assume geological and grade continuity of the mineralised domain.

	Reserve estimation procedure(s) and classifications applied.  Whether sample compositing has been applied.	 No compositing has been applied to the exploration results.
Orientation of data in relation to geological structure	 Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.  If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.	 The Mons Cupri drilling is orientated to the south east, near perpendicular to the mineralised trend. Limitations imposed by the rugged terrain dictates that some drilling is conducted vertically or at a low angle to the dip of the mineralised system.  Given the stratigraphic nature of the mineralising system, no orientation based sampling bias has been identified in the data.
Sample security	 The measures taken to ensure sample security.	 Independent audits of the data in 2009 concluded that the sampling protocols were adequate.  Post 2010, the chain of custody is managed by Venturex. The samples are stored in a secure facility at Whim Creek, collected from site by Toll IPEC and delivered to the assay laboratory in Perth. Online tracking is utilised to track the progress of batches of samples.
Audits or reviews	 The results of any audits or reviews of sampling techniques and data.	 Independent audits of the sampling techniques and data were completed as previous and current feasibility studies in 2008 (Straits) and 2011 (Snowden). The studies were comprehensive and cover all industry standard issues. There does not appear to be any significant risk in accepting the data as valid.

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria	JORC Code Explanation	Commentary
Mineral tenement and land tenure status	 Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings.  The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.	 Mons Cupri is located wholly within Mining Lease M47/238 and Venturex Resources Limited has a 100% interest in the tenement.  The tenement is within the granted Ngarluma Native Title Claim.  The tenement is subject to a third party royalty.  The tenement is a granted Mining Lease in good standing within previous operating permits.
Exploration done by other parties	 Acknowledgment and appraisal of exploration by other parties.	 Previous exploration has been conducted at Mons Cupri by Texas Gulf Australia, Dominion Mining Limited and Straits Resources Limited since 1968.
Geology	 Deposit type, geological setting and style of mineralisation.	 The Mons Cupri copper-zinc-lead deposit is hosted by the Mons Cupri Volcanics (Fitton and al., 1975), which is a complex sequence of felsic volcanic, volcanoclastic and epiclastic sedimentary rock and felsic intrusive bodies within the north-north-easterly trending Whim Creek belt in the western Pilbara Craton. The deposit is an example of an Archaean volcanogenic massive sulphide (VMS) style deposit in a low-grade metamorphic terrain.
Drill hole Information	 A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes:  easting and northing of the drill hole collar	 Too many holes (>150 holes) to practically summarise. Detailed drill hole data is periodically released with all relevant data appended.

	 elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar  dip and azimuth of the hole  down hole length and interception depth  hole length.  If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.
Data aggregation methods	 In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually Material and should be stated.  Where aggregate intercepts incorporate short lengths of high-grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail.  The assumptions used for any reporting of metal equivalent values should be clearly stated.	 All reported assays have been length weighted.  No top cut has been applied.  For reporting exploration results, a nominal 0.25% copper and 2.0% zinc lower cut-off has been applied.  High-grade massive sulphide intervals internal to broader zones of sulphide mineralisation are reported as included intervals.
Relationship between mineralisation widths and intercept lengths	 These relationships are particularly important in the reporting of Exploration Results.  If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported.  If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g. ‘down hole length, true width not known’).	 Previous reports highlight down hole intercept and true widths.
Diagrams	 Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views.	 See long section in previous ASX Annual Reports (2010, 2011) and ASX releases.
Balanced reporting	 Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results.	 All results are reported.
Other substantive exploration data	 Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.	 NA - Exploration results not being released this time.
Further work	 The nature and scale of planned further work (e.g. tests for lateral extensions or depth extensions or large-scale step-out drilling).  Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.	 NA - Exploration results not being released this time.

Section 3 Estimation and Reporting of Mineral Resources

(Criteria listed in section 1, and where relevant in section 2 apply to this section.)

Criteria	JORC Code Explanation	Commentary
Database integrity	 Measures taken to ensure that data has not been corrupted by, for example, transcription or keying errors, between its initial collection and its use for Mineral Resource estimation purposes.  Data validation procedures used.	 Independent audits of the sampling techniques and data integrity were completed as part of previous and current feasibility studies in 2008 (Straits) and 2011 (Snowden). The studies were comprehensive and cover all industry standard issues. There does not appear to be any significant risk in accepting the data as valid.
Site visits	 Comment on any site visits undertaken by the Competent Person and the outcome of those visits.  If no site visits have been undertaken indicate why this is the case.	 Regular site visits have been undertaken by the Competent Persons for this Resource and Reserve Statement.
Geological interpretation	 Confidence in (or conversely, the uncertainty of) the geological interpretation of the mineral deposit.  Nature of the data used and of any assumptions made.  The effect, if any, of alternative interpretations on Mineral Resource estimation.  The use of geology in guiding and controlling Mineral Resource estimation.  The factors affecting continuity both of grade and geology.	 The interpretation of the deposit takes full account of all surface and subsurface geological, geochemical, structural and previous mining information contained in the database to ensure the continuity and integrity of the interpretation.  No detailed alternative interpretations have been validated.  The stratiform nature of the mineralisation and previous mining records provide a high level of geological control in the interpretation.  Stringer mineralisation is constrained by geology and assay boundaries.
Dimensions	 The extent and variability of the Mineral Resource expressed as length (along strike or otherwise), plan width, and depth below surface to the upper and lower limits of the Mineral Resource.	 The Mineral Resource covers a single massive sulphide lens and underlying stringer mineralisation identified by drilling. The high-grade stratabound zone measures ~300 metres (NW) by 160 metres (NE). It is approximately 5-20 metres thick and dips to the west at 30 degrees. The stringer feeder zone measures 350metres (EW), 150 metres (down dip) and is generally 30 metres thick.
Estimation and modeling techniques	 The nature and appropriateness of the estimation technique(s) applied and key assumptions, including treatment of extreme grade values, domaining, interpolation parameters and maximum distance of extrapolation from data points. If a computer assisted estimation method was chosen include a description of computer software and parameters used.  The availability of check estimates, previous estimates and/or mine production records and whether the Mineral Resource estimate takes appropriate account of such data.  The assumptions made regarding recovery of by-products.  Estimation of deleterious elements or other non-grade variables of economic significance (e.g. sulphur for acid mine drainage characterisation).  In the case of block model interpolation, the block size in relation to the average sample spacing and the search employed.  Any assumptions behind modelling of selective mining units.  Any assumptions about correlation between variables.  Description of how the geological interpretation was used to control the resource estimates.  Discussion of basis for using or not using grade cutting or capping.  Theprocess of validation, the checking process used, the comparison of model	 The Mons Cupri Mineral Resource Estimate takes into account previous estimates completed by Straits Resources (2008).  The estimation employed ordinary kriging techniques using Vulcan 8.0 software.  Polygonal interpretation of stratiform zinc-lead and stringer copper domains was done on 20-metre sections. The high-grade copper wireframe used a ~0.8% cut-off, the high-grade zinc-lead wireframe uses a ~2% cut-off, the stringer copper wireframe uses a 0.2% cut-off. The cut-offs were determined using log probability plots.  Gaps between high-grade domains were modelled as low-grade domains to be later incorporated as planned dilution during the mining process. Hard boundaries are used between domains.  Search ellipse parameters determined using variography. Parent cell measures 10 metres (X axis), 10 metres (Y) and 3 metres (Z) with sub-cells of 2 metres (X), 2 metres (Y), 0.5 metres (Z), appropriate given an average drill spacing of less than 25 metres. Minimum samples per estimate are 5. Maximum samples per estimate are 20. Discretisation was set to 8(Y) X 8(X) X 2(Z).  In the high-grade zinc-lead and copper domains, high lead grades were cut to 2% and high gold grades were cut to 4 g/t. In the stringer copper domain, high lead and zinc values were cut to 1.5%and 4%respectively.

	data to drill hole data, and use of reconciliation data if available.	 Composite length was set at 1 metre (69% of samples) with the kriged estimate validated against original composite grades. Both the copper and zinc-lead high-grade domains were validated visually in 20 metre slices.  The estimate also considered the distribution of deleterious elements (e.g. sulphur, antimony, arsenic, bismuth, cadmium, mercury, iron etc.)
Moisture	 Whether the tonnages are estimated on a dry basis or with natural moisture, and the method of determination of the moisture content.	 Tonnages are estimated on a dry basis. Moisture content in ore is very low.
Cut-off parameters	 The basis of the adopted cut-off grade(s) or quality parameters applied.	 Wireframes used a 0.8% Cu cut-off and 2% Zn cut-off for high-grade domains. Low-grade domains used a 0.2% Cu cut-off. Cut off grades were determined geostatistically.  The Mineral Resource estimate is reported at 0.4% Cu or 2% Zn, this being an economic cut-off for a standalone open pit operation.
Mining factors or assumptions	 Assumptions made regarding possible mining methods, minimum mining dimensions and internal (or, if applicable, external) mining dilution. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential mining methods, but the assumptions made regarding mining methods and parameters when estimating Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the mining assumptions made.	 Open pit mining extraction assumed using standard blasting and mining practices. See Section 4 for full details.
Metallurgical factors or assumptions	 The basis for assumptions or predictions regarding metallurgical amenability. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential metallurgical methods, but the assumptions regarding metallurgical treatment processes and parameters made when reporting Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the metallurgical assumptions made.	 Metallurgical amenability based on detailed metallurgical test work completed as part of historical and current Feasibility Study(s). See Section 4 for full details.
Environmental factors or assumptions	 Assumptions made regarding possible waste and process residue disposal options. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider the potential environmental impacts of the mining and processing operation. While at this stage the determination of potential environmental impacts, particularly for a greenfield project, may not always be well advanced, the status of early consideration of these potential environmental impacts should be reported. Where these aspects have not been considered this should be reported with an explanation of the environmental assumptions made.	 See Section 4 for full details.
Bulk density	 Whether assumed or determined. If assumed, the basis for the assumptions. If determined, the method used, whether wet or dry, the frequency of the measurements, the nature, size and representativeness of the samples.  The bulk density for bulk material must have been measured by methods that adequately account for void spaces (vugs, porosity, etc.), moisture and differences between rock and alteration zones within the deposit.  Discuss assumptions for bulk density estimates used in the evaluation process of the different materials.	 A very high proportion of the assayed samples have bulk density measurements sufficient to support interpolation of density into resource models.  Density measurements were conducted on site by the classical water immersion method, using the total core for each sample.  Assigned average specific gravity values were used in the resource estimation: 2.3 g/cm3for oxide waste (based on historical determinations), 2.8 g/cm3for fresh waste,2.9g/cm3for the stringer zone,3.0g/cm3for the highgrade

		copper zone and 3.2 g/cm3for the high grade zinc zone.
Classification	 The basis for the classification of the Mineral Resources into varying confidence categories.  Whether appropriate account has been taken of all relevant factors (i.e. relative confidence in tonnage/grade estimations, reliability of input data, confidence in continuity of geology and metal values, quality, quantity and distribution of the data).  Whether the result appropriately reflects the Competent Person’s view of the deposit.	 Mineral Resource classification into Inferred, Indicated and Measured categories is based on a combination of average weighted distance from sample points, variography, drill density and geological interpretation confidence.
Audits or reviews	 The results of any audits or reviews of Mineral Resource estimates.	 The Mineral Resource estimate was reviewed by Snowden (2011) with all recommendations incorporated into a revised estimate released in September 2012. (see Annual Report 2012)
Discussion of relative accuracy/ confidence	 Where appropriate a statement of the relative accuracy and confidence level in the Mineral Resource estimate using an approach or procedure deemed appropriate by the Competent Person. For example, the application of statistical or geostatistical procedures to quantify the relative accuracy of the resource within stated confidence limits, or, if such an approach is not deemed appropriate, a qualitative discussion of the factors that could affect the relative accuracy and confidence of the estimate.  The statement should specify whether it relates to global or local estimates, and, if local, state the relevant tonnages, which should be relevant to technical and economic evaluation. Documentation should include assumptions made and the procedures used.  These statements of relative accuracy and confidence of the estimate should be compared with production data, where available.	 The resource estimate is considered robust in light of similar results obtained by different parties and estimation methods.  The resource report is a global assessment of the Mons Cupri deposit.  No production data for the sulphide mineralisation is available. Previous mining of the oxide copper mineralisation was conducted by Straits Resources in 2007- 2009. The reconciliation information is not considered applicable to resource estimate given the different nature of the material mined.

Section 4 Estimation and Reporting of Ore Reserves

(Criteria listed in section 1, and where relevant in sections 2 and 3 apply to this section.)

Criteria	JORC Code Explanation	Commentary
Mineral Resource estimate for conversion to Ore Reserves	 Description of the Mineral Resource estimate used as a basis for the conversion to an Ore Reserve.  Clear statement as to whether the Mineral Resources are reported additional to, or inclusive of, the Ore Reserves.	 The Mineral Resource Estimate calculated and announced as at 2 September 2012 (Annual Report 2012) is used for the conversion of a portion of the Mineral Resource to Ore Reserve status.  The Mineral Resource Estimate reported is inclusive of the Ore Reserve.
Site visits	 Comment on any site visits undertaken by the Competent Person and the outcome of those visits.  If no site visits have been undertaken indicate why this is the case.	 The Competent Persons for this Resource and Reserve Statement are full-time employees of Venturex and visit the site regularly.
Study status	 The type and level of study undertaken to enable Mineral Resources to be converted to Ore Reserves.  The Code requires that a study to at least Pre-Feasibility Study level has been undertaken to convert Mineral Resources to Ore Reserves. Such studies will	 The partial conversion of the Mineral Resource to an Ore Reserve was part of a Definitive Feasibility Study completed in December 2012 (ASX Announcement – 18 December 2012).

	have been carried out and will have determined a mine plan that is technically achievable and economically viable and that material Modifying Factors have been considered.
Cut-off parameters	 The basis of the cut-off grade(s) or quality parameters applied.	 The cut-off grades applied are calculated using the forecast costs of mining, processing, site administration haulage, metallurgical recoveries, penalty element content, TC/RC charges, royalties, shipping and concentrate marketing. A cut-off grade of 1.50% CuEQ was applied.  Mons Cupri Equation CuEq% = 1.0Cu% + 0.1354Zn% + 1.1211Pb% + 0.0113Ag_ppm + 0.5440*Au_ppm
Mining factors or assumptions	 The method and assumptions used as reported in the Pre-Feasibility or Feasibility Study to convert the Mineral Resource to an Ore Reserve (i.e. either by application of appropriate factors by optimisation or by preliminary or detailed design).  The choice, nature and appropriateness of the selected mining method(s) and other mining parameters including associated design issues such as pre-strip, access, etc.  The assumptions made regarding geotechnical parameters (e.g. pit slopes, stope sizes, etc.), grade control and pre-production drilling.  The major assumptions made and Mineral Resource model used for pit and stope optimisation (if appropriate).  The mining dilution factors used.  The mining recovery factors used.  Any minimum mining widths used.  The manner in which Inferred Mineral Resources are utilised in mining studies and the sensitivity of the outcome to their inclusion.  The infrastructure requirements of the selected mining methods.	 The conversion of the Mineral Resource to an Ore Reserve is achieved by imposing a detailed optimized open pit mine design onto the Mineral Resource outline after taking into account geotechnical and mining factors.  The selected mining method resulted from an analysis of previous feasibility studies (Straits Resources) combined with additional geotechnical analysis.  Major assumptions include the geotechnical environment shows competent rock masses, low in situ stress with a low seismic risk; mine access is via a single ramp; overall pit slopes of 38-44o (including ramps).  Mining dilution of 5% (zero grade) with 97% ore recovery given the pit dimensions.  No horizontal minimum width is applied.  Inferred Mineral Resources are not included in the Ore Reserve.  The site is an existing open pit mine site with all infrastructure in place.
Metallurgical factors or assumptions	 The metallurgical process proposed and the appropriateness of that process to the style of mineralisation.  Whether the metallurgical process is well-tested technology or novel in nature.  The nature, amount and representativeness of metallurgical test work undertaken, the nature of the metallurgical domaining applied and the corresponding metallurgical recovery factors applied.  Any assumptions or allowances made for deleterious elements.  The existence of any bulk sample or pilot scale test work and the degree to which such samples are considered representative of the orebody as a whole.  For minerals that are defined by a specification, has the ore reserve estimation been based on the appropriate mineralogy to meet the specifications?	 The plant design flow sheet uses confirmed metallurgical processes for this style of ore. The technology is standard in the base metal industry and will process the varying ore types through a conventional three stage crushing and grinding circuit, followed by sequential flotation of the copper, lead and zinc sulphide minerals to produce saleable copper, lead and zinc concentrates.  Considerable metallurgical test work programs were completed in 2006-7. Further programs of feasibility level metallurgical test work completed in 2011-12 included extensive testing of individual and composited geological domains.  Metallurgical recovery factors were determined for each recovered metal in each concentrate product stream. Overall recoveries are copper 92%, zinc 68%, lead 60%, silver 81%, gold 90%.  The deleterious element content of each concentrate product was determined and profiled against typical concentrate specifications sourced from third party purchasers.  No bulk sample or pilot scale test work has been undertaken.
Environmental	 The status of studies of potential environmental impacts of the mining and processing operation. Details of waste rock characterisation and the consideration of potential sites, status of design options considered and, where applicable, the status of approvals for process residue storage and waste dumps should be reported.	 Previously operated open pit mine site, site rehabilitated. Further environmental studies by Venturex have refreshed and added to the volume of work during 2011-12.  Full waste rock characterization completed given the high PAF nature of the material. All PAF waste rock will be stored in the existingoxide copper openpit.

		 Ore will be processed offsite.  An amended Mining Proposal application to be submitted to the relevant State authorities for approval in year 5 of the Project.
Infrastructure	 The existence of appropriate infrastructure: availability of land for plant development, power, water, transportation (particularly for bulk commodities), labour, accommodation; or the ease with which the infrastructure can be provided, or accessed.	 The project site is an existing mine site currently on care and maintenance with all required infrastructure secured under tenure.  Site is adjacent to the main North West coastal highway, with close access to Port Hedland and Karratha.
Costs	 The derivation of, or assumptions made, regarding projected capital costs in the study.  The methodology used to estimate operating costs.  Allowances made for the content of deleterious elements.  The derivation of assumptions made of metal or commodity price(s), for the principal minerals and co- products.  The source of exchange rates used in the study.  Derivation of transportation charges.  The basis for forecasting or source of treatment and refining charges, penalties for failure to meet specification, etc.  The allowances made for royalties payable, both Government and private.	 Capital costs derived from formal tenders received from a range of third party suppliers.  Operating costs derived from first principles and formal tenders received from a range of third party suppliers.  Full allowance made for any deleterious elements in the concentrates based on information supplied by third party smelters.  Metal price and foreign exchange assumptions based on analysis of independent forecasts from a range of third party providers.  TC/RC forecasts based on analysis of independent forecasts from a range of third party providers and third party smelters.  Full allowance for all Government (5%) and private royalties payable.
Revenue factors	 The derivation of, or assumptions made regarding revenue factors including head grade, metal or commodity price(s) exchange rates, transportation and treatment charges, penalties, net smelter returns, etc.  The derivation of assumptions made of metal or commodity price(s), for the principal metals, minerals and co-products.	 All revenue factor assumptions are based on the inputs from the production plan, pricing received under formal tenders for land and seaborne transport costs, analysis of independent forecasts from a range of third party providers and third party smelters for TC/RC charges, penalty rates and payability factors.  Metal price and foreign exchange assumptions based on analysis of independent forecasts from a range of third party providers.
Market assessment	 The demand, supply and stock situation for the particular commodity, consumption trends and factors likely to affect supply and demand into the future.  A customer and competitor analysis along with the identification of likely market windows for the product.  Price and volume forecasts and the basis for these forecasts.  For industrial minerals the customer specification, testing and acceptance requirements prior to a supply contract.	 In-house and independent analysis of future copper and zinc markets undertaken for the period 2015 and beyond.  The small volume of copper, zinc and lead concentrate produced will attract a ready market, supported by third party off take proposals. Concentrates to be blended with Sulphur Springs production.
Economic	 The inputs to the economic analysis to produce the net present value (NPV) in the study, the source and confidence of these economic inputs including estimated inflation, discount rate, etc.  NPV ranges and sensitivity to variations in the significant assumptions and inputs.	 Financial results – see ASX announcement 18 December 2012  Economic inputs based on fixed real revenue/cost pricing from a December 2012 base.  Depreciation rates as per existing accounting standards.  Tax calculations based on existing eligible tax losses and current ATO guidelines  Base case discount rate of 8% real ungeared, sensitivity analysis completed to 12% real.  Full sensitive analysis (+/- 20%) completed on all inputs, prices and costs. Maximum sensitivity is to exchange rates and metal prices.
Social	 The status of agreements with key stakeholders and matters leading to social licence to operate.	 All environmental approval documentation in place under existing site approvals.  ExistingMiningAgreement with traditional owners.

		 Local Government approvals in place and current.
Other	 To the extent relevant, the impact of the following on the project and/or on the estimation and classification of the Ore Reserves:  Any identified material naturally occurring risks.  The status of material legal agreements and marketing arrangements.  The status of governmental agreements and approvals critical to the viability of the project, such as mineral tenement status, and government and statutory approvals. There must be reasonable grounds to expect that all necessary Government approvals will be received within the timeframes anticipated in the Pre-Feasibility or Feasibility study. Highlight and discuss the materiality of any unresolved matter that is dependent on a third party on which extraction of the reserve is contingent.	 Major construction, supply, operational, consumables supply and site service contracts remain to be committed and finalised. Zinc concentrate off-take MOU completed. Copper concentrate off-take is uncommitted.  All tenements required for the operation of the Project are granted and in good standing.  Major State and Federal statutory approvals in place, variation to the existing Mining Proposal will be completed and submitted in year 5 of the Project.
Classification	 The basis for the classification of the Ore Reserves into varying confidence categories.  Whether the result appropriately reflects the Competent Person’s view of the deposit.  The proportion of Probable Ore Reserves that have been derived from Measured Mineral Resources (if any).	 The Ore Reserve is classified as a Probable Reserve based on the Measured and Indicated Mineral Resource Estimate.  The deposit’s geological model is well constrained. The ore reserve classification is considered appropriate given the nature of the deposit, the moderate grade variability, drilling density, structural complexity and limited mining history.  Approximately 80% of the Probable Ore Reserve derived from Measured Resources.
Audits or reviews	 The results of any audits or reviews of Ore Reserve estimates.	 The Ore Reserve estimate has not been independently audited.
Discussion of relative accuracy/ confidence	 Where appropriate a statement of the relative accuracy and confidence level in the Ore Reserve estimate using an approach or procedure deemed appropriate by the Competent Person. For example, the application of statistical or geostatistical procedures to quantify the relative accuracy of the reserve within stated confidence limits, or, if such an approach is not deemed appropriate, a qualitative discussion of the factors which could affect the relative accuracy and confidence of the estimate.  The statement should specify whether it relates to global or local estimates, and, if local, state the relevant tonnages, which should be relevant to technical and economic evaluation. Documentation should include assumptions made and the procedures used.  Accuracy and confidence discussions should extend to specific discussions of any applied Modifying Factors that may have a material impact on Ore Reserve viability, or for which there are remaining areas of uncertainty at the current study stage.  It is recognised that this may not be possible or appropriate in all circumstances. These statements of relative accuracy and confidence of the estimate should be compared with production data, where available.	 The Ore Reserve estimate is considered robust in light of similar results obtained by different estimation methods. No statistical analysis procedures have been applied.  The Ore Reserve report is a global assessment of the Mons Cupri deposit based on the assumption that ore will be trucked to Sulphide Springs for processing.  The accuracy and confidence limits are based on the current mine design and cut-off grade analysis employed in the technical and economic evaluation. Material changes to the technical or economic assumptions used, including operating costs, TC/RC costs, transport charges, concentrate payability factors and metal prices may materially impact the accuracy of the estimate.  No production data for the sulphide mineralisation is available. Previous mining of the oxide copper mineralisation was conducted by Straits Resources in 2007- 2009. The reconciliation information is not considered applicable to ore reserve estimate given the different nature of the material mined.

WHIM CREEK RESOURCE AND RESERVE STATEMENT NOTES Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria	JORC Code Explanation	Commentary
Sampling techniques	 Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling.  Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.  Aspects of the determination of mineralisation that are Material to the Public Report.  In cases where ‘industry standard’ work has been done this would be relatively simple (e.g. ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information.	 The deposit was sampled with a combination of Reverse Circulation (RC) and diamond (DD) drill holes completed on 15-30 metre spacing across the deposit to a maximum vertical depth of depth of 300 metres. The RC drill holes are sampled via standard adjustable cyclone and riffle splitter from the recovered sample. Diamond drill core is sampled using standard cut half core.  Standard RC drilling in 2010 produced whole metre RC drill samples split at the rig using a cone splitter producing samples of approximately 3kgs. Previous diamond drilling completed to industry standard using predominantly NQ size core. Diamond core was aligned and cut on geologically determined intervals (0.25 to1.2 metres).  Samples were weighed, dried, crushed and pulverised (total prep) to produce a pulp sub-sample for analysis by four acid digest with an ICP/OES, ICP/MS or FA/AAS (Au) finish.
Drilling techniques	 Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is _oriented and if so, by what method, etc.). _	 Drilling techniques is diamond drilling (55%) using mostly NQ size with some HQ sizes using a variety of rig types. Surface drill core was generally orientated. RC drilling with a 5.5 inch face sampling hammer was used after 2005.
Drill sample recovery	 Method of recording and assessing core and chip sample recoveries and results assessed.  Measures taken to maximise sample recovery and ensure representative nature of the samples.  Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.	 Diamond drill core recovery was recorded by all operators as a percentage of measured recovered core versus drilled distance. Recoveries were generally high.  2010 RC samples were compared to standards to estimate sample recoveries which were consistently high. Any low recovery intervals were logged and entered into the database.  The cyclone and splitter were routinely inspected and cleaned during the drilling ensuring no excessive material build-up. Care was taken to ensure the split samples were of a consistent volume.
Logging	 Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.  Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.) photography.  The total length and percentage of the relevant intersections logged.	 Diamond drill core is all qualitatively logged with wet core photographs taken over the last 8 years. RC drill holes are all were qualitatively logged and RC chip tray samples collected and stored.  Logging is at an appropriate detailed quantitative standard to support future geological, resource, reserve estimations and subsequent feasibility studies.  All holes were logged in full.
Sub-sampling techniques and sample preparation	 If core, whether cut or sawn and whether quarter, half or all core taken.  If non-core, whether riffled, tube sampled, rotary split, etc. and whether sampled wet or dry.  For all sample types, the nature, quality and appropriateness of the sample preparation technique.	 Diamond core was sawn with a diamond saw and half core samples (quarter core in metallurgical holes) taken for assay.  1 metre RC samples were collected and split off the drill rig using a cone splitter. Approximately 90% of the samples were dry in nature.  The samplepreparation of the samples follows industrybestpractice in sample

	 Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples.  Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling.  Whether sample sizes are appropriate to the grain size of the material being sampled.	preparation involving weighing, oven drying, pulverisation of the entire sample (total prep) to a grind size of 85% passing 75 micron.  Venturex and previous operators had QAQC procedures involving the use of certified standards, blanks and duplicates. The QAQC has been independently audited with no apparent issues.  No field duplicates have been taken.  The sample sizes are considered appropriate given the relatively fine grained nature of the sulphide mineralisation which is not nuggetty in nature, the sampling methodology and the percent assay value ranges involved.
Quality of assay data and laboratory tests	 The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.  For geophysical tools, spectrometers, handheld XRF instruments, etc., the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.  Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision have been established.	 Various operators used analytical techniques involving a four acid digest multi- element suite with ICP/MS finish (30g FA/AAS for precious metals). The acids used are hydrofluoric, nitric, perchloric and hydrochloric acids, suitable for the dissolution of most silica based samples. The method approaches total dissolution of most minerals. Combustion furnace assayed total sulphur.  No geophysical tools are used to determine any element concentrations reported.  Duplicates were taken every 25m and post 2010, every RC metre drilled is checked by two 30sec measurements using a Niton handheld XRF.  An independent analysis of intra laboratory bias and precision was undertaken. No discernible bias was noted for samples used.
Verification of sampling and assaying	 The verification of significant intersections by either independent or alternative company personnel.  The use of twinned holes.  Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.  Discuss any adjustment to assay data.	 Prior to 2010, verification procedures were not documented.  Post 2010, significant intersections were viewed by the Exploration Manager and Managing Director. Significant intersections are also verified by portable XRF data collected in the field and cross-checked against the final assays when received.  A range of primary data collection methods were employed since 1968. Since 2010, data recording used a set of standard Excel templates on a data logger and uploaded to note book computer. The data is sent to Perth office for verification and compilation into an SQL database by the in-house database administrator. Full copies are stored offsite.  Full data base verification of all historical information was completed in 2009. All data is loaded and stored in DataShed data base.  The historical data (pre-2010) has been adjusted with all negative assays, representing below detection assays, were converted to positive assays of half the negative value.
Location of data points	 Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.  Specification of the grid system used.  Quality and adequacy of topographic control.	 All hole collar coordinates have been checked by Venturex using DGPS with all co-ordinates and RL data considered reliable.  Downhole surveys were performed on all holes by either single shot Eastman camera or reflex gyro readings at 10-50 metre down hole intervals.  The grid system used for the location of all drill holes is MGA_GDA94, Zone 50.  Topographic control is provided by combination of external survey control, photogrammetry analysis and DGPS reading.
Data spacing and distribution	 Data spacing for reporting of Exploration Results.  Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied.	 The nominal drill spacing is generally 20m x 20m.  The current spacing is adequate to assume geological and grade continuity of the mineralised domain.  No compositing has been applied to the exploration results.

	 Whether sample compositing has been applied.
Orientation of data in relation to geological structure	 Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.  If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.	 The Whim Creek drilling is orientated to the south, near perpendicular to the mineralised trend. Given the stratigraphic nature of the mineralising system, no orientation based sampling bias has been identified in the data.
Sample security	 The measures taken to ensure sample security.	 Independent audits of the data in 2010 concluded that the sampling protocols were adequate.  Post 2010, the chain of custody is managed by Venturex. The samples are stored in a secure facility at Whim Creek, collected from site by Toll IPEC and delivered to the assay laboratory in Perth. Online tracking is utilised to track the progress of batches of samples.
Audits or reviews	 The results of any audits or reviews of sampling techniques and data.	 Independent audits of the sampling techniques and data were completed as previous and current feasibility studies in 2008 (Straits) and 2011 (Snowden). The studies were comprehensive and cover all industry standard issues. There does not appear to be any significant risk in accepting the data as valid.

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria	JORC Code Explanation	Commentary
Mineral tenement and land tenure status	 Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings.  The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.	 The Whim Creek deposit is located wholly within Mining Leases M47/236 and M47/443. Venturex Resources Limited has a 100% interest in the tenements.  The tenements are excluded from the granted Ngarluma Native Title Claim.  The tenements are subject to a third party royalty.  The tenements are a granted Mining Lease in good standing within previous operating permits.
Exploration done by other parties	 Acknowledgment and appraisal of exploration by other parties.	 Previous exploration has been conducted at Whim Creek by Texas Gulf Australia, Dominion Mining Limited and Straits Resources Limited since 1968.
Geology	 Deposit type, geological setting and style of mineralisation.	 The Whim Creek copper-zinc deposit is single conformable hosted by sericite- chlorite altered argillites and siltstones of the Rushall Slate member within the north – northeasterly trending Whim Creek belt in the western Pilbara Craton. The deposit is an example of an Archaean volcanogenic massive sulphide (VMS) style deposit in a low grade metamorphic terrain.
Drill hole Information	 A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes:  easting and northing of the drill hole collar  elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar  dip and azimuth of the hole	 Too many holes (>150 holes) to practically summarise. Detailed drill hole data is periodically released with all relevant data appended.

	 down hole length and interception depth  hole length.  If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.
Data aggregation methods	 In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually Material and should be stated.  Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail.  The assumptions used for any reporting of metal equivalent values should be clearly stated.	 All reported assays have been length weighted.  No top cut has been applied.  For reporting exploration results, a nominal 0.25% copper and 2.0% zinc lower cut-off has been applied.  High-grade massive sulphide intervals internal to broader zones of sulphide mineralisation are reported as included intervals.
Relationship between mineralisation widths and intercept lengths	 These relationships are particularly important in the reporting of Exploration Results.  If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported.  If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g. ‘down hole length, true width not known’).	 Previous reports highlight down hole intercept and true widths.
Diagrams	 Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views.	 See long section in previous ASX Annual Reports (2010, 2011) and ASX releases.
Balanced reporting	 Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results.	 All results are reported.
Other substantive exploration data	 Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.	 NA - Exploration results not being released this time.
Further work	 The nature and scale of planned further work (e.g. tests for lateral extensions or depth extensions or large-scale step-out drilling).  Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.	 NA - Exploration results not being released this time.

Section 3 Estimation and Reporting of Mineral Resources

(Criteria listed in section 1, and where relevant in section 2 apply to this section.)

Criteria	JORC Code Explanation	Commentary
Database integrity	 Measures taken to ensure that data has not been corrupted by, for example, transcription or keying errors, between its initial collection and its use for Mineral Resource estimation purposes.  Data validation procedures used.	 Independent audits of the sampling techniques and data integrity were completed as part of previous and current feasibility studies in 2008 (Straits) and 2011 (Snowden). The studies were comprehensive and cover all industry standard issues. There does not appear to be any significant risk in accepting the data as valid.
Site visits	 Comment on any site visits undertaken by the Competent Person and the outcome of those visits.  If no site visits have been undertaken indicate why this is the case.	 The Competent Persons for this Resource and Reserve Statement are full-time employees of Venturex and visit the site regularly.
Geological interpretation	 Confidence in (or conversely, the uncertainty of) the geological interpretation of the mineral deposit.  Nature of the data used and of any assumptions made.  The effect, if any, of alternative interpretations on Mineral Resource estimation.  The use of geology in guiding and controlling Mineral Resource estimation.  The factors affecting continuity both of grade and geology.	 The interpretation of the deposit takes full account of all surface and subsurface geological, geochemical, structural and previous mining information contained in the database to ensure the continuity and integrity of the interpretation.  No detailed alternative interpretations have been validated.  The stratiform nature of the mineralisation and previous mining records provide a high level of geological control in the interpretation.  Stringer mineralisation is constrained by geology and assay boundaries.
Dimensions	 The extent and variability of the Mineral Resource expressed as length (along strike or otherwise), plan width, and depth below surface to the upper and lower limits of the Mineral Resource.	 The Mineral Resource covers a single massive sulphide lens and underlying stringer mineralisation identified by drilling. The high grade stratabound zone measures ~600 metres (W) by 120 metres (N). It is approximately 10 metres thick and dips to the north at 45 degrees. The stringer feeder zone measures 350metres (EW), 150 metres (down dip) and is generally 15 metres thick.
Estimation and modelling techniques	 The nature and appropriateness of the estimation technique(s) applied and key assumptions, including treatment of extreme grade values, domaining, interpolation parameters and maximum distance of extrapolation from data points. If a computer assisted estimation method was chosen include a description of computer software and parameters used.  The availability of check estimates, previous estimates and/or mine production records and whether the Mineral Resource estimate takes appropriate account of such data.  The assumptions made regarding recovery of by-products.  Estimation of deleterious elements or other non-grade variables of economic significance (e.g. sulphur for acid mine drainage characterisation).  In the case of block model interpolation, the block size in relation to the average sample spacing and the search employed.  Any assumptions behind modelling of selective mining units.  Any assumptions about correlation between variables.  Description of how the geological interpretation was used to control the resource estimates.  Discussion of basis for using or not using grade cutting or capping.  Theprocess of validation, the checking process used, the comparison of model	 The Whim Creek Mineral Resource Estimate takes into account previous estimates completed by Straits Resources (2008).  The estimation employed ordinary kriging techniques using Vulcan 8.0 software.  Polygonal interpretation of stratiform copper-zinc and stringer copper domains was done on 20-metre sections. The copper wireframe used a ~0.8% cut-off, the copper-zinc wireframe uses a ~2% cut-off. The cut-offs were determined using log probability plots.  Gaps between high-grade domains were modelled as low grade domains to be later incorporated as planned dilution during the mining process. Hard boundaries are used between domains.  Search ellipse parameters determined using variography. Parent cell measures 10 metres (X axis), 10 metres (Y) and 3 metres (Z) with sub-cells of 2 metres (X), 2 metres (Y), 0.5 metres (Z), appropriate given an average drill spacing of less than 25 metres. Minimum samples per estimate is 5, maximum samples per estimate is 20. Discretisation was set to 8(Y) X 8(X) X 2(Z).  No grades were cut.  Composite length was set at 1 metre (69% of samples) with the kriged estimate validated against original composite grades. Both the copper and copper-zinc domains were validated visuallyin 20 metre slices.

	data to drill hole data, and use of reconciliation data if available.	 The estimate also considered the distribution of deleterious elements (e.g. Sulphur, antimony, arsenic, bismuth, cadmium, mercury, iron etc.)
Moisture	 Whether the tonnages are estimated on a dry basis or with natural moisture, and the method of determination of the moisture content.	 Tonnages are estimated on a dry basis. Moisture content in ore is very low.
Cut-off parameters	 The basis of the adopted cut-off grade(s) or quality parameters applied.	 Wireframes used a 0.8% Cu cut-off and 2% Zn cut-off for high-grade domains. Cut off grades were determined geostatistically.  The Mineral Resource estimate is reported at 0.4% Cu or 2% Zn, this being an economic cut-off for a standalone open pit operation.
Mining factors or assumptions	 Assumptions made regarding possible mining methods, minimum mining dimensions and internal (or, if applicable, external) mining dilution. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential mining methods, but the assumptions made regarding mining methods and parameters when estimating Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the mining assumptions made.	 Open pit mining extraction assumed using standard blasting and mining practices. See Section 4 for full details.
Metallurgical factors or assumptions	 The basis for assumptions or predictions regarding metallurgical amenability. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential metallurgical methods, but the assumptions regarding metallurgical treatment processes and parameters made when reporting Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the metallurgical assumptions made.	 Metallurgical amenability based on detailed metallurgical test work completed as part of historical and current Feasibility Study(s). See Section 4 for full details.
Environmental factors or assumptions	 Assumptions made regarding possible waste and process residue disposal options. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider the potential environmental impacts of the mining and processing operation. While at this stage the determination of potential environmental impacts, particularly for a greenfield project, may not always be well advanced, the status of early consideration of these potential environmental impacts should be reported. Where these aspects have not been considered this should be reported with an explanation of the environmental assumptions made.	 See Section 4 for full details.
Bulk density	 Whether assumed or determined. If assumed, the basis for the assumptions. If determined, the method used, whether wet or dry, the frequency of the measurements, the nature, size and representativeness of the samples.  The bulk density for bulk material must have been measured by methods that adequately account for void spaces (vugs, porosity, etc.), moisture and differences between rock and alteration zones within the deposit.  Discuss assumptions for bulk density estimates used in the evaluation process of the different materials.	 A very high proportion of the assayed samples have bulk density measurements sufficient to support interpolation of density into resource models.  Density measurements were conducted on site by the classical water immersion method, using the total core for each sample.  Assigned average specific gravity values were used in the resource estimation: 2.67 g/cm3for oxide waste (based on historical determinations), 2.76 g/cm3for transition/fresh waste, 2.79 g/cm3for the transition ore, 2.91 g/cm3for all ore types.
Classification	 The basis for the classification of the Mineral Resources into varying confidence categories.  Whether appropriate account has been taken of all relevant factors(i.e.	 Mineral Resource classification into Inferred, Indicated and Measured categories is based on a combination of average weighted distance from samplepoints,variography,drill densityandgeological interpretation

	relative confidence in tonnage/grade estimations, reliability of input data, confidence in continuity of geology and metal values, quality, quantity and distribution of the data).  Whether the result appropriately reflects the Competent Person’s view of the deposit.	confidence.
Audits or reviews	 The results of any audits or reviews of Mineral Resource estimates.	 The Mineral Resource estimate was reviewed by Snowden (2011) with all recommendations incorporated into a revised estimate released in September 2012. (see Annual Report 2012)
Discussion of relative accuracy/ confidence	 Where appropriate a statement of the relative accuracy and confidence level in the Mineral Resource estimate using an approach or procedure deemed appropriate by the Competent Person. For example, the application of statistical or geostatistical procedures to quantify the relative accuracy of the resource within stated confidence limits, or, if such an approach is not deemed appropriate, a qualitative discussion of the factors that could affect the relative accuracy and confidence of the estimate.  The statement should specify whether it relates to global or local estimates, and, if local, state the relevant tonnages, which should be relevant to technical and economic evaluation. Documentation should include assumptions made and the procedures used.  These statements of relative accuracy and confidence of the estimate should be compared with production data, where available.	 The resource estimate is considered robust in light of similar results obtained by different parties and estimation methods.  The resource report is a global assessment of the Whim Creek deposit.  No production data for the sulphide mineralisation is available. Previous mining of the oxide copper mineralisation was conducted by Straits Resources in 2005- 2008. The reconciliation information is not considered applicable to resource estimate given the different nature of the material mined.

Section 4 Estimation and Reporting of Ore Reserves

(Criteria listed in section 1, and where relevant in sections 2 and 3 apply to this section.)

Criteria	JORC Code Explanation	Commentary
Mineral Resource estimate for conversion to Ore Reserves	 Description of the Mineral Resource estimate used as a basis for the conversion to an Ore Reserve.  Clear statement as to whether the Mineral Resources are reported additional to, or inclusive of, the Ore Reserves.	 The Mineral Resource Estimate calculated and announced as at 2 September 2012 (Annual Report 2012) is used for the conversion of a portion of the Mineral Resource to Ore Reserve status.  The Mineral Resource Estimate reported is inclusive of the Ore Reserve.
Site visits	 Comment on any site visits undertaken by the Competent Person and the outcome of those visits.  If no site visits have been undertaken indicate why this is the case.	 The Competent Persons for this Resource and Reserve Statement are full-time employees of Venturex and visit the site regularly.
Study status	 The type and level of study undertaken to enable Mineral Resources to be converted to Ore Reserves.  The Code requires that a study to at least Pre-Feasibility Study level has been undertaken to convert Mineral Resources to Ore Reserves. Such studies will have been carried out and will have determined a mine plan that is technically achievable and economically viable, and that material Modifying Factors have been considered.	 The partial conversion of the Mineral Resource to an Ore Reserve was part of a Definitive Feasibility Study completed in December 2012 (ASX Announcement – 18 December 2012).
Cut-off	 The basis of the cut-offgrade(s) orquality parameters applied.	 The cut-offgrades applied are calculated usingthe forecast costs of mining,

parameters		processing, site administration haulage, metallurgical recoveries, penalty element content, TC/RC charges, royalties, shipping and concentrate marketing. A cut-off grade of 1.65% CuEQ was applied.  CuEq% = 1.000Cu% + 0.1507Zn% + 0.0000Pb% + 0.0130Ag_ppm + 0.5690*Au_ppm
Mining factors or assumptions	 The method and assumptions used as reported in the Pre-Feasibility or Feasibility Study to convert the Mineral Resource to an Ore Reserve (i.e. either by application of appropriate factors by optimisation or by preliminary or detailed design).  The choice, nature and appropriateness of the selected mining method(s) and other mining parameters including associated design issues such as pre-strip, access, etc.  The assumptions made regarding geotechnical parameters (e.g. pit slopes, stope sizes, etc.), grade control and pre-production drilling.  The major assumptions made and Mineral Resource model used for pit and stope optimisation (if appropriate).  The mining dilution factors used.  The mining recovery factors used.  Any minimum mining widths used.  The manner in which Inferred Mineral Resources are utilised in mining studies and the sensitivity of the outcome to their inclusion.  The infrastructure requirements of the selected mining methods.	 The conversion of the Mineral Resource to an Ore Reserve is achieved by imposing a detailed optimized open pit mine design onto the Mineral Resource outline after taking into account geotechnical and mining factors.  The selected mining method resulted from an analysis of previous feasibility studies (Straits Resources) combined with additional geotechnical analysis.  Major assumptions include the geotechnical environment shows competent rock masses, low in situ stress with a low seismic risk; mine access is via a single ramp; overall pit slopes of 38-44(including ramps).  Mining dilution of 10% (zero grade) with 98% ore recovery given the pit dimensions.  No horizontal minimum width is applied.  Inferred Mineral Resources are not included in the Ore Reserve.  The site is an existing open pit mine site with all infrastructure in place.
Metallurgical factors or assumptions	 The metallurgical process proposed and the appropriateness of that process to the style of mineralisation.  Whether the metallurgical process is well-tested technology or novel in nature.  The nature, amount and representativeness of metallurgical test work undertaken, the nature of the metallurgical domaining applied and the corresponding metallurgical recovery factors applied.  Any assumptions or allowances made for deleterious elements.  The existence of any bulk sample or pilot scale test work and the degree to which such samples are considered representative of the orebody as a whole.  For minerals that are defined by a specification, has the ore reserve estimation been based on the appropriate mineralogy to meet the specifications?	 The plant design flow sheet uses confirmed metallurgical processes for this style of ore. The technology is standard in the base metal industry and will process the varying ore types through a conventional three stage crushing and grinding circuit, followed by the flotation of the copper sulphide minerals to produce saleable copper concentrate.  Considerable feasibility study level metallurgical test work programs were completed in 2006-7. Further programs of confirmatory test work completed in 2011-12 included testing of composited geological domains.  Metallurgical recovery factors were determined for each recovered metal in each concentrate product stream. No saleable zinc or lead concentrate is produced from the Whim Creek ore. Overall recoveries are copper 91%, silver 30%, gold 45%.  The deleterious element content of each concentrate product was determined and profiled against typical concentrate specifications sourced from third party purchasers.  No bulk sample or pilot scale test work has been undertaken.
Environmental	 The status of studies of potential environmental impacts of the mining and processing operation. Details of waste rock characterisation and the consideration of potential sites, status of design options considered and, where applicable, the status of approvals for process residue storage and waste dumps should be reported.	 Previously operated open pit mine site, site rehabilitated. Further environmental studies by Venturex have refreshed and added to the volume of work during 2011-12.  Full waste rock characterization completed given the high PAF nature of the material. All PAF waste rock will be stored in the existing oxide copper open pit.  Ore will be processed offsite.  An amended Mining Proposal application to be submitted to the relevant State authorities for approval in year 5 of the Project.

Infrastructure	 The existence of appropriate infrastructure: availability of land for plant development, power, water, transportation (particularly for bulk commodities), labour, accommodation; or the ease with which the infrastructure can be provided, or accessed.	 The project site is an existing mine site currently on care and maintenance with all required infrastructure secured under tenure.  Site is adjacent to the main North West coastal highway, with close access to Port Hedland and Karratha.
Costs	 The derivation of, or assumptions made, regarding projected capital costs in the study.  The methodology used to estimate operating costs.  Allowances made for the content of deleterious elements.  The derivation of assumptions made of metal or commodity price(s), for the principal minerals and co- products.  The source of exchange rates used in the study.  Derivation of transportation charges.  The basis for forecasting or source of treatment and refining charges, penalties for failure to meet specification, etc.  The allowances made for royalties payable, both Government and private.	 Capital costs derived from formal tenders received from a range of third party suppliers.  Operating costs derived from first principles and formal tenders received from a range of third party suppliers.  Full allowance made for any deleterious elements in the concentrates based on information supplied by third party smelters.  Metal price and foreign exchange assumptions based on analysis of independent forecasts from a range of third party providers.  TC/RC forecasts based on analysis of independent forecasts from a range of third party providers and third party smelters.  Full allowance for all Government (5%) and private royalties payable.
Revenue factors	 The derivation of, or assumptions made regarding revenue factors including head grade, metal or commodity price(s) exchange rates, transportation and treatment charges, penalties, net smelter returns, etc.  The derivation of assumptions made of metal or commodity price(s), for the principal metals, minerals and co-products.	 All revenue factor assumptions are based on the inputs from the production plan, pricing received under formal tenders for land and seaborne transport costs, analysis of independent forecasts from a range of third party providers and third party smelters for TC/RC charges, penalty rates and payability factors.  Metal price and foreign exchange assumptions based on analysis of independent forecasts from a range of third party providers.
Market assessment	 The demand, supply and stock situation for the particular commodity, consumption trends and factors likely to affect supply and demand into the future.  A customer and competitor analysis along with the identification of likely market windows for the product.  Price and volume forecasts and the basis for these forecasts.  For industrial minerals the customer specification, testing and acceptance requirements prior to a supply contract.	 In-house and independent analysis of future copper and zinc markets undertaken for the period 2015 and beyond.  The small volume of copper concentrate produced will attract a ready market, supported by third party off take proposals. Concentrate to be blended with Sulphur Springs production.
Economic	 The inputs to the economic analysis to produce the net present value (NPV) in the study, the source and confidence of these economic inputs including estimated inflation, discount rate, etc.  NPV ranges and sensitivity to variations in the significant assumptions and inputs.	 Financial results – see ASX announcement 18 December 2012.  Economic inputs based on fixed real revenue/cost pricing from a December 2012 base.  Depreciation rates as per existing accounting standards.  Tax calculations based on existing eligible tax losses and current ATO guidelines  Base case discount rate of 8% real ungeared, sensitivity analysis completed to 12% real.  Full sensitive analysis (+/- 20%) completed on all inputs, prices and costs. Maximum sensitivity is to exchange rates and metal prices.
Social	 The status of agreements with key stakeholders and matters leading to social licence to operate.	 All environmental approval documentation is in place under existing site approvals.  Existing Mining Agreement is current with traditional owners.  Local Government approvals are in place and current.
Other	 To the extent relevant, the impact of the following on the project and/or on the estimation and classification of the Ore Reserves:  Any identified material naturally occurring risks.	 Major construction, supply, operational, consumables supply and site service contracts remain to be committed and finalised. Copper concentrate off-take is uncommitted.

	 The status of material legal agreements and marketing arrangements.  The status of governmental agreements and approvals critical to the viability of the project, such as mineral tenement status, and government and statutory approvals. There must be reasonable grounds to expect that all necessary Government approvals will be received within the timeframes anticipated in the Pre-Feasibility or Feasibility study. Highlight and discuss the materiality of any unresolved matter that is dependent on a third party on which extraction of the reserve is contingent.	 All tenements required for the operation of the Project are granted and in good standing.  Major State and Federal statutory approvals in place, variation to the existing Mining Proposal will be completed and submitted in year 5 of the Project.
Classification	 The basis for the classification of the Ore Reserves into varying confidence categories.  Whether the result appropriately reflects the Competent Person’s view of the deposit.  The proportion of Probable Ore Reserves that have been derived from Measured Mineral Resources (if any).	 The Ore Reserve is classified as a Probable Reserve based on the Measured and Indicated Mineral Resource Estimate.  The deposit’s geological model is well constrained. The ore reserve classification is considered appropriate given the nature of the deposit, the moderate grade variability, drilling density, structural complexity and mining history.  None of the Probable Ore Reserve derived from Measured Resources.
Audits or reviews	 The results of any audits or reviews of Ore Reserve estimates.	 No independent audit of the Ore Reserves as been undertaken.
Discussion of relative accuracy/ confidence	 Where appropriate a statement of the relative accuracy and confidence level in the Ore Reserve estimate using an approach or procedure deemed appropriate by the Competent Person. For example, the application of statistical or geostatistical procedures to quantify the relative accuracy of the reserve within stated confidence limits, or, if such an approach is not deemed appropriate, a qualitative discussion of the factors which could affect the relative accuracy and confidence of the estimate.  The statement should specify whether it relates to global or local estimates, and, if local, state the relevant tonnages, which should be relevant to technical and economic evaluation. Documentation should include assumptions made and the procedures used.  Accuracy and confidence discussions should extend to specific discussions of any applied Modifying Factors that may have a material impact on Ore Reserve viability, or for which there are remaining areas of uncertainty at the current study stage.  It is recognised that this may not be possible or appropriate in all circumstances. These statements of relative accuracy and confidence of the estimate should be compared with production data, where available.	 The Ore Reserve estimate is considered robust in light of similar results obtained by different estimation methods. No statistical analysis procedures have been applied.  The Ore Reserve report is a global assessment of the Whim Creek deposit based on the assumption that ore will be trucked to Sulphur Springs for processing.  The accuracy and confidence limits are based on the current mine design and cut-off grade analysis employed in the technical and economic evaluation. Material changes to the technical or economic assumptions used, including operating costs, TC/RC costs, transport charges, concentrate payability factors and metal prices may materially impact the accuracy of the estimate.  No production data for the sulphide mineralisation is available. Previous mining of the oxide copper mineralisation was conducted by Straits Resources in 2007- 2009. The reconciliation information is not considered applicable to ore reserve estimate given the different nature of the material mined.

SALT CREEK RESOURCE STATEMENT NOTES Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria	JORC Code Explanation	Commentary
Sampling techniques	 Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling.  Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.  Aspects of the determination of mineralisation that are Material to the Public Report.  In cases where ‘industry standard’ work has been done this would be relatively simple (e.g. ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information.	 The deposit is sampled with a combination of Reverse Circulation (RC) and diamond (DD) drill holes completed on 15-40 metre spacing across the deposit to a maximum vertical depth of depth of 375 metres. The RC drill holes are sampled via standard adjustable cyclone and riffle splitter from the recovered sample. Diamond drill core is sampled using standard cut half core.  Standard RC drilling since 2005 produced whole metre RC drill samples split at the rig using a cone splitter producing samples of approximately 3kgs. Previous diamond drilling completed to industry standard using predominantly NQ size core. Diamond core was orientated, aligned and cut on geologically determined intervals (0.25 to1.5 metres).  Samples were weighed, dried, crushed and pulverised (total prep) to produce a pulp sub-sample for analysis by four acid digest with an ICP/OES, ICP/MS or FA/AAS (Au) finish.
Drilling techniques	 Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is _oriented and if so, by what method, etc.). _	 Drilling techniques is diamond drilling (50%) using mostly NQ size with some HQ sizes using a variety of rig types. Surface drill core was generally orientated. RC drilling with a 5.5-inch face sampling hammer was used after 2005.
Drill sample recovery	 Method of recording and assessing core and chip sample recoveries and results assessed.  Measures taken to maximise sample recovery and ensure representative nature of the samples.  Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.	 Diamond drill core recovery was recorded by all operators as a percentage of measured recovered core versus drilled distance. Recoveries were generally high.  2010 RC samples were compared to standards to estimate sample recoveries which were consistently high. Any low recovery intervals were logged and entered into the database.  The cyclone and splitter are routinely inspected and cleaned during the drilling ensuring no excessive material build-up. Care is taken to ensure the split samples were of a consistent volume.
Logging	 Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.  Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.) photography.  The total length and percentage of the relevant intersections logged.	 Diamond drill core is all qualitatively logged with wet core photographs taken over the last 8 years. RC drill holes are all were qualitatively logged and RC chip tray samples collected and stored.  Logging is at an appropriate detailed quantitative standard to support future geological, resource, reserve estimations and subsequent feasibility studies.  All holes are logged in full.
Sub-sampling techniques and sample preparation	 If core, whether cut or sawn and whether quarter, half or all core taken.  If non-core, whether riffled, tube sampled, rotary split, etc. and whether sampled wet or dry.  For all sample types, the nature, quality and appropriateness of the sample preparation technique.	 Diamond core was sawn with a diamond saw and half core samples (quarter core in metallurgical holes) taken for assay.  1 metre RC samples are collected and split off the drill rig using a cone splitter. Approximately 90% of the samples were dry in nature.  The samplepreparation of the samples follows industrybestpractice in sample

	 Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples.  Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling.  Whether sample sizes are appropriate to the grain size of the material being sampled.	preparation involving weighing, oven drying, pulverisation of the entire sample (total prep) to a grind size of 85% passing 75 micron.  Samples with QAQC data were evaluated using QAQCR assay quality reporting software. QAQC data evaluation included field duplicates, lab standards, repeats and lab blank flushes. The QAQC has been independently audited with no apparent issues.  No field duplicates have been taken.  The sample sizes are considered appropriate given the relatively fine grained nature of the sulphide mineralisation which is not nuggetty in nature, the sampling methodology and the percent assay value ranges involved.
Quality of assay data and laboratory tests	 The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.  For geophysical tools, spectrometers, handheld XRF instruments, etc., the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.  Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision have been established.	 Various operators used analytical techniques involving a four acid digest multi- element suite with ICP/MS finish (30g FA/AAS for precious metals). The acids used are hydrofluoric, nitric, perchloric and hydrochloric acids, suitable for the dissolution of most silica based samples. The method approaches total dissolution of most minerals. Combustion furnace assayed total sulphur.  No geophysical tools are used to determine any element concentrations reported.  Duplicates were taken every 25m and post 2010, every RC metre drilled is checked by two 30sec measurements using a Niton handheld XRF.  An independent analysis of intra laboratory bias and precision was undertaken. No discernible bias was noted for samples used.
Verification of sampling and assaying	 The verification of significant intersections by either independent or alternative company personnel.  The use of twinned holes.  Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.  Discuss any adjustment to assay data.	 Prior to 2010, verification procedures were not documented.  Post 2010, significant intersections were viewed by the Exploration Manager and Managing Director. Significant intersections are also verified by portable XRF data collected in the field and cross-checked against the final assays when received.  A range of primary data collection methods were employed since 1968. Since 2010, data recording used a set of standard Excel templates on a data logger and uploaded to note book computer. The data is sent to Perth office for verification and compilation into an SQL database by the in-house database administrator. Full copies are stored offsite.  Full data base verification of all historical information was completed in 2009. DataShed™ was used for drill hole and sample data storage and validation.  The historical data (pre-2010) has been adjusted with all negative assays, representing below detection assays, were converted to positive assays of half the negative value.
Location of data points	 Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.  Specification of the grid system used.  Quality and adequacy of topographic control.	 All hole collar coordinates have been checked by Venturex using DGPS with all co-ordinates and RL data considered reliable.  Downhole surveys were performed on all holes by either single shot Eastman camera or reflex gyro readings at 30 metre down hole intervals.  The grid system used for the location of all drill holes is MGA_GDA94, Zone 50.  Topographic control is provided by combination of external survey control, photogrammetry analysis and DGPS reading.
Data spacing and distribution	 Data spacing for reporting of Exploration Results.  Whether the data spacing and distribution is sufficient to establish the degree of geological andgrade continuity appropriate for the Mineral Resource and Ore	 The nominal drill spacing is generally 30m x 40m.  The current spacing is adequate to assume geological and grade continuity of the mineralised domain.

	Reserve estimation procedure(s) and classifications applied.  Whether sample compositing has been applied.	 No compositing has been applied to the exploration results.
Orientation of data in relation to geological structure	 Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.  If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.	 The Salt Creek drilling is orientated predominantly to the northwest, near perpendicular to the mineralised trend. Given the stratigraphic nature of the mineralising system, no orientation based sampling bias has been identified in the data.
Sample security	 The measures taken to ensure sample security.	 Independent audits of the data in 2010 concluded that the sampling protocols were adequate.  Post 2009, the chain of custody was managed by Venturex. The samples are stored in a secure facility at Whim Creek, collected from site by Toll IPEC and delivered to the assay laboratory in Perth. Online tracking is utilised to track the progress of batches of samples.
Audits or reviews	 The results of any audits or reviews of sampling techniques and data.	 Independent audits of the sampling techniques and data were completed as previous and current feasibility studies in 2008 (Straits) and 2011 (Snowden). The studies were comprehensive and cover all industry standard issues. There does not appear to be any significant risk in accepting the data as valid.

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria	JORC Code Explanation	Commentary
Mineral tenement and land tenure status	 Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings.  The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.	 The Salt Creek deposit is located wholly within Mining Lease M47/323. Venturex Resources Limited has a 100% interest in the tenement.  The tenements are part of the granted Ngarluma Native Title Claim.  The tenement is subject to a third party royalty.  The tenement is a granted Mining Lease in good standing.
Exploration done by other parties	 Acknowledgment and appraisal of exploration by other parties.	 Previous exploration has been conducted at Whim Creek by Texas Gulf Australia and Straits Resources Limited since 1968.
Geology	 Deposit type, geological setting and style of mineralisation.	 The Salt Creek copper-zinc-lead-silver(-gold) deposit is comprised of two lenses hosted towards the top of a sequence of volcanoclastic siltstones overlain by basaltic andesite flows and tuffs. The deposit is closely associated with a thick underlying rhyolitic pile containing a well-developed coarse pyroclastic unit towards the top within the north – northeasterly trending Whim Creek belt in the western Pilbara Craton. The deposit is an example of an Archaean volcanogenic massive sulphide (VMS) style deposit.
Drill hole Information	 A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes:  easting and northing of the drill hole collar	 Too many holes (>150 holes) to practically summarise. Detailed drill hole data is periodically released with all relevant data appended.

	 elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar  dip and azimuth of the hole  down hole length and interception depth  hole length.  If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.
Data aggregation methods	 In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually Material and should be stated.  Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail.  The assumptions used for any reporting of metal equivalent values should be clearly stated.	 All reported assays have been length weighted.  No top cut has been applied.  For reporting exploration results, a nominal 0.25% copper and 2.0% zinc lower cut-off has been applied.  High-grade massive sulphide intervals internal to broader zones of sulphide mineralisation are reported as included intervals.
Relationship between mineralisation widths and intercept lengths	 These relationships are particularly important in the reporting of Exploration Results.  If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported.  If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g. ‘down hole length, true width not known’).	 Previous reports highlight down hole intercept and true widths.
Diagrams	 Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views.	 See long section in previous ASX Annual Reports (2010, 2011) and previous ASX releases.
Balanced reporting	 Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results.	 All results are reported.
Other substantive exploration data	 Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.	 NA - Exploration results not being released this time.
Further work	 The nature and scale of planned further work (e.g. tests for lateral extensions or depth extensions or large-scale step-out drilling).  Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.	 NA - Exploration results not being released this time.

Section 3 Estimation and Reporting of Mineral Resources

(Criteria listed in section 1, and where relevant in section 2 apply to this section.)

Criteria	JORC Code Explanation	Commentary
Database integrity	 Measures taken to ensure that data has not been corrupted by, for example, transcription or keying errors, between its initial collection and its use for Mineral Resource estimation purposes.  Data validation procedures used.	 Independent audits of the sampling techniques and data integrity were completed as part of previous and current feasibility studies in 2008 (Straits) and 2011 (Snowden). The studies were comprehensive and cover all industry standard issues. There does not appear to be any significant risk in accepting the data as valid.
Site visits	 Comment on any site visits undertaken by the Competent Person and the outcome of those visits.  If no site visits have been undertaken indicate why this is the case.	 Regular site visits have been undertaken by the Competent Persons for this Resource and Reserve Statement.
Geological interpretation	 Confidence in (or conversely, the uncertainty of) the geological interpretation of the mineral deposit.  Nature of the data used and of any assumptions made.  The effect, if any, of alternative interpretations on Mineral Resource estimation.  The use of geology in guiding and controlling Mineral Resource estimation.  The factors affecting continuity both of grade and geology.	 The interpretation of the deposit takes account of all surface and subsurface geological, geochemical, and structural information contained in the database to ensure the continuity and integrity of the interpretation.  No detailed alternative interpretations have been validated.  The stratiform nature of the mineralisation provides a high level of geological control in the interpretation.  Stringer mineralisation is constrained by geology and assay boundaries.
Dimensions	 The extent and variability of the Mineral Resource expressed as length (along strike or otherwise), plan width, and depth below surface to the upper and lower limits of the Mineral Resource.	 The Mineral Resource covers two separate massive sulphide lenses and underlying stringer mineralisation identified by drilling. The high grade stratabound zinc-lead and copper zones each measure ~120-150 metres (SW- NE) by 3-7 metres thick and dip to the southeast at 55 degrees to a vertical depth of approximately 350 metres.
Estimation and modelling techniques	 The nature and appropriateness of the estimation technique(s) applied and key assumptions, including treatment of extreme grade values, domaining, interpolation parameters and maximum distance of extrapolation from data points. If a computer assisted estimation method was chosen include a description of computer software and parameters used.  The availability of check estimates, previous estimates and/or mine production records and whether the Mineral Resource estimate takes appropriate account of such data.  The assumptions made regarding recovery of by-products.  Estimation of deleterious elements or other non-grade variables of economic significance (e.g. sulphur for acid mine drainage characterisation).  In the case of block model interpolation, the block size in relation to the average sample spacing and the search employed.  Any assumptions behind modelling of selective mining units.  Any assumptions about correlation between variables.  Description of how the geological interpretation was used to control the resource estimates.  Discussion of basis for using or not using grade cutting or capping.  The process of validation, the checking process used, the comparison of model data to drill hole data, and use of reconciliation data if available.	 The Salt Creek Mineral Resource Estimate takes into account previous estimates completed by Straits Resources (2006, 2008).  The estimation employed ordinary kriging techniques using Vulcan 8.0 software.  Polygonal interpretation of stratiform copper and zinc-lead domains was done on 20-metre sections. The copper wireframe used a ~2.0% cut-off, the zinc-lead wireframe uses a ~5% Zn cut-off. The cut-offs were determined using log probability plots.  Gaps between high-grade domains were modelled as low grade domains to be later incorporated as planned dilution during the mining process. Hard boundaries are used between massive sulphide domains.  Search ellipse parameters determined using variography. Parent cell measures 10 metres (X axis), 10 metres (Y) and 2 metres (Z) with sub-cells of 2 metres (X), 2 metres (Y), 0.5 metres (Z), appropriate given an average drill spacing of 30 metres. Minimum samples per estimate is 5, maximum samples per estimate is 20. Discretisation was set to 8(Y) X 8(X) X 2(Z).  No grades were cut.  Composite length was set at 1 metre (76% of samples) with the kriged estimate validated against original composite grades. Both the copper and zinc domains were validated visually in 20 metre slices.  The estimate also considered the distribution of deleterious elements(e.g.

		Sulphur, antimony, arsenic, bismuth, cadmium, mercury, iron etc.)
Moisture	 Whether the tonnages are estimated on a dry basis or with natural moisture, and the method of determination of the moisture content.	 Tonnages are estimated on a dry basis. Moisture content in ore is very low.
Cut-off parameters	 The basis of the adopted cut-off grade(s) or quality parameters applied.	 Wireframes used a 2.0% Cu cut-off and 5.0% Zn cut-off for high-grade domains. Cut off grades were determined geostatistically.  The Mineral Resource estimate is reported at 2.0% CuEq, this being an economic cut-off for a standalone underground mining operation.  Copper US$6,612/t; Zinc US$1,983/t; Lead US$1,983/t; Silver US$18/oz; Gold US$1,200/oz  CuEq = Cu% + Zn% x 0.28 + Pb% x 0.26 + Ag(ppm) x 0.008 + Au(ppm) x 0.513
Mining factors or assumptions	 Assumptions made regarding possible mining methods, minimum mining dimensions and internal (or, if applicable, external) mining dilution. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential mining methods, but the assumptions made regarding mining methods and parameters when estimating Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the mining assumptions made.	 Underground mining extraction assumed using decline access with standard long hole open stope mechanised mining practices. Ground support using conventional rock bolts and cable bolts with mined stopes backfilled with waste rock.
Metallurgical factors or assumptions	 The basis for assumptions or predictions regarding metallurgical amenability. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential metallurgical methods, but the assumptions regarding metallurgical treatment processes and parameters made when reporting Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the metallurgical assumptions made.	 Metallurgical amenability based on preliminary sighter metallurgical test work completed as part of historical Feasibility Study(s).  Recoveries used copper 92%, zinc 80%, lead 70%, silver 95% and gold 90% in separate copper, zinc and lead concentrates.
Environmental factors or assumptions	 Assumptions made regarding possible waste and process residue disposal options. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider the potential environmental impacts of the mining and processing operation. While at this stage the determination of potential environmental impacts, particularly for a greenfield project, may not always be well advanced, the status of early consideration of these potential environmental impacts should be reported. Where these aspects have not been considered this should be reported with an explanation of the environmental assumptions made.	 Surface disturbance is expected to be minimal given the flat saltbush dominated terrain.  All boxcut and underground waste rock will be returned underground as stope fill.  Processing of the ore is expected to occur offsite with tailings to be stored in a conventional surface tailings facility adjacent to the nominated treatment plant.  Water management will be via dedicated evaporation ponds.
Bulk density	 Whether assumed or determined. If assumed, the basis for the assumptions. If determined, the method used, whether wet or dry, the frequency of the measurements, the nature, size and representativeness of the samples.  The bulk density for bulk material must have been measured by methods that adequately account for void spaces (vugs, porosity, etc.), moisture and differences between rock and alteration zones within the deposit.  Discuss assumptions for bulk density estimates used in the evaluation process of the different materials.	 A high proportion of the assayed samples have bulk density measurements sufficient to support interpolation of density into resource models.  Assigned average specific gravity (SG) values were used in the resource estimation: 2.4 g/cm3for oxide, 2.78 g/cm3for fresh waste, 3.0 g/cm3for copper lenses, 3.2 g/cm3for the high grade zinc/lead in the western lenses and 4.1 g/cm3for the high grade zinc/lead in the eastern lenses.  Bulk density is determined by the water immersion technique on drill core.
Classification	 The basis for the classification of the Mineral Resources into varying confidence categories.	 Mineral Resource classification into Inferred, Indicated and Measured categories is based on a combination of average weighted distance from

	 Whether appropriate account has been taken of all relevant factors (i.e. relative confidence in tonnage/grade estimations, reliability of input data, confidence in continuity of geology and metal values, quality, quantity and distribution of the data).  Whether the result appropriately reflects the Competent Person’s view of the deposit.	sample points, variography, drill density and geological interpretation confidence.
Audits or reviews	 The results of any audits or reviews of Mineral Resource estimates.	 The Mineral Resource estimate was reviewed by Snowden (2011) with all recommendations incorporated into a revised estimate released in September 2012. (see Annual Report 2012)
Discussion of relative accuracy/ confidence	 Where appropriate a statement of the relative accuracy and confidence level in the Mineral Resource estimate using an approach or procedure deemed appropriate by the Competent Person. For example, the application of statistical or geostatistical procedures to quantify the relative accuracy of the resource within stated confidence limits, or, if such an approach is not deemed appropriate, a qualitative discussion of the factors that could affect the relative accuracy and confidence of the estimate.  The statement should specify whether it relates to global or local estimates, and, if local, state the relevant tonnages, which should be relevant to technical and economic evaluation. Documentation should include assumptions made and the procedures used.  These statements of relative accuracy and confidence of the estimate should be compared with production data, where available.	 The resource estimate is considered +/- 20% given the structural complexity and given similar results obtained by other parties and estimation methods.  The resource report is a global assessment of the Salt Creek deposit.  No production data is available.

EVELYN RESOURCE STATEMENT NOTES Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria	JORC Code Explanation	Commentary
Sampling techniques	 Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling.  Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.  Aspects of the determination of mineralisation that are Material to the Public Report.  In cases where ‘industry standard’ work has been done this would be relatively simple (e.g. ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information.	 The deposit is sampled with a combination of Reverse Circulation (RC) and diamond (DD) drill holes completed on 15-40 metre spacing across the deposit to a maximum vertical depth of depth of 180 metres. The RC drill holes are sampled via standard adjustable cyclone and riffle splitter from the recovered sample. Diamond drill core is sampled using standard cut half core.  Standard RC drilling produced whole metre RC drill samples split at the rig using a cone splitter producing samples of approximately 3kgs. Previous diamond drilling completed to industry standard using predominantly NQ size core. Diamond core was orientated, aligned and cut on geologically determined intervals (0.25 to1.5 metres).  Samples were weighed, dried, crushed and pulverised (total prep) to produce a pulp sub-sample for analysis by four acid digest with an ICP/OES, ICP/MS or FA/AAS (Au) finish.
Drilling techniques	 Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is _oriented and if so, by what method, etc.). _	 Drilling technique is diamond drilling (30%) using mostly NQ size with some HQ sizes using a variety of rig types. Surface drill core was generally orientated. RC drilling with a 5.5 inch face sampling hammer was used.
Drill sample recovery	 Method of recording and assessing core and chip sample recoveries and results assessed.  Measures taken to maximise sample recovery and ensure representative nature of the samples.  Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.	 Diamond drill core recoveries were recorded as a percentage of measured recovered core versus drilled distance. Recoveries were generally high.  RC samples are compared to standards to estimate sample recoveries which were consistently high. Any low recovery intervals were logged and entered into the database.  The cyclone and splitter are routinely inspected and cleaned during the drilling ensuring no excessive material build-up. Care is taken to ensure the split samples were of a consistent volume.
Logging	 Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.  Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.) photography.  The total length and percentage of the relevant intersections logged.	 Diamond drill core is all qualitatively logged with wet core photographs taken. RC drill holes are qualitatively logged and RC chip tray samples collected and stored.  Logging is at an appropriate detailed quantitative standard to support future geological, resource, reserve estimations and subsequent feasibility studies.  All holes are logged in full.
Sub-sampling techniques and sample preparation	 If core, whether cut or sawn and whether quarter, half or all core taken.  If non-core, whether riffled, tube sampled, rotary split, etc. and whether sampled wet or dry.  For all sample types, the nature, quality and appropriateness of the sample preparation technique.  Quality controlprocedures adopted for all sub-sampling stages to maximise	 Diamond core was sawn with a diamond saw and half core samples taken for assay.  1 metre RC samples are collected and split off the drill rig using a cone splitter. Approximately 98% of the samples were dry in nature.  The sample preparation of the samples follows industry best practice in sample preparation involvingweighing,oven drying, pulverisation of the entire sample

	representivity of samples.  Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling.  Whether sample sizes are appropriate to the grain size of the material being sampled.	(total prep) to a grind size of 85% passing 75 micron.  QAQC data evaluation included field duplicates, lab standards, repeats and lab blank flushes. No field duplicates have been taken.  The sample sizes are considered appropriate given the relatively fine grained nature of the sulphide mineralisation which is not nuggetty in nature, the sampling methodology and the percent assay value ranges involved.
Quality of assay data and laboratory tests	 The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.  For geophysical tools, spectrometers, handheld XRF instruments, etc., the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.  Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision have been established.	 Analytical techniques involve a four acid digest multi-element suite with ICP/MS finish (30g FA/AAS for precious metals). The acids used are hydrofluoric, nitric, perchloric and hydrochloric acids, suitable for the dissolution of most silica based samples. The method approaches total dissolution of most minerals. Combustion furnace assayed total sulphur.  No geophysical tools are used to determine any element concentrations reported.  Duplicates were taken every 25m and every RC metre drilled is checked by two 30sec measurements using a Niton handheld XRF.  An independent analysis of intra laboratory bias and precision was undertaken. No discernible bias was noted for samples used.
Verification of sampling and assaying	 The verification of significant intersections by either independent or alternative company personnel.  The use of twinned holes.  Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.  Discuss any adjustment to assay data.	 Significant intersections were viewed by the Exploration Manager and Managing Director. Significant intersections are also verified by portable XRF data collected in the field and cross-checked against the final assays when received.  Data recording uses a set of standard Excel templates on a data logger and uploaded to note book computer. The data is sent to Perth office for verification and compilation into an SQL database by the in-house database administrator. Full copies are stored offsite.  Full data base verification of all historical information was completed in 2009. DataShed™ was used for drill hole and sample data storage and validation.  The historical data has been adjusted with all negative assays, representing below detection assays, were converted to positive assays of half the negative value.
Location of data points	 Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.  Specification of the grid system used.  Quality and adequacy of topographic control.	 All hole collar coordinates have been checked by Venturex using DGPS with all co-ordinates and RL data considered reliable.  Downhole surveys were performed on all holes by either single shot Eastman camera or reflex gyro readings at 30 metre down hole intervals.  The grid system used for the location of all drill holes is MGA_GDA94, Zone 50.  Topographic control is provided by combination of external survey control and DGPS reading.
Data spacing and distribution	 Data spacing for reporting of Exploration Results.  Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied.  Whether sample compositing has been applied.	 The nominal drill spacing is generally 25m x 20m.  The current spacing is adequate to assume geological and grade continuity of the mineralised domain.  No compositing has been applied to the exploration results.
Orientation of data in relation to geological	 Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.  If the relationship between the drilling orientation and the orientation of key	 The Evelyn drilling is orientated predominantly to the east, near perpendicular to the mineralised trend. Given the stratigraphic nature of the mineralising system, no orientation based sampling bias has been identified in the data.

structure	mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.
Sample security	 The measures taken to ensure sample security.	 The chain of custody is managed by Venturex. The samples are transported to a secure facility at Whim Creek, collected from site by Toll IPEC and delivered to the assay laboratory in Perth. Online tracking is utilised to track the progress of batches of samples.
Audits or reviews	 The results of any audits or reviews of sampling techniques and data.	 Not independently audited.

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria	JORC Code Explanation	Commentary
Mineral tenement and land tenure status	 Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings.  The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.	 The Evelyn deposit is located wholly within Mining Lease M47/1455. Venturex Resources Limited has a 70-90% interest in the tenement.  The tenements are part of the granted Ngarluma Native Title Claim.  The tenement is subject to a third party royalty.  The tenement is a granted Mining Lease in good standing.
Exploration done by other parties	 Acknowledgment and appraisal of exploration by other parties.	 Previous exploration has been conducted at Whim Creek by Aquitaine, Homestake Australia and Ourwest Resources Limited since 1972.
Geology	 Deposit type, geological setting and style of mineralisation.	 The Evelyn copper-zinc-lead-silver(-gold) deposit is comprised of two conformable lenses hosted within a sequence of volcanoclastic turbiditic sediments closely associated with an underlying rhyolitic-basaltic pile. The deposit sits within an unassigned north trending belt on the eastern margin of the Mallina Basin in the western Pilbara Craton. The deposit is an example of an Archaean volcanogenic massive sulphide (VMS) style deposit in a moderate to high grade metamorphic terrain.
Drill hole Information	 A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes:  easting and northing of the drill hole collar  elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar  dip and azimuth of the hole  down hole length and interception depth  hole length.  If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.	 Too many holes (>150 holes) to practically summarise. Detailed drill hole data is periodically released with all relevant data appended.
Data	 In reporting Exploration Results, weighting averaging techniques, maximum	 All reported assays have been length weighted.

aggregation methods	and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually Material and should be stated.  Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail.  The assumptions used for any reporting of metal equivalent values should be clearly stated.	 No top cut has been applied.  For reporting exploration results, a nominal 0.25% copper and 2.0% zinc lower cut-off has been applied.  High-grade massive sulphide intervals internal to broader zones of sulphide mineralisation are reported as included intervals.
Relationship between mineralisation widths and intercept lengths	 These relationships are particularly important in the reporting of Exploration Results.  If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported.  If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g. ‘down hole length, true width not known’).	 Previous reports highlight down hole intercept and true widths.
Diagrams	 Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views.	 See long section in previous ASX Annual Reports (2010, 2011) and previous ASX releases.
Balanced reporting	 Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results.	 All results are reported.
Other substantive exploration data	 Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.	 NA - Exploration results not being released this time.
Further work	 The nature and scale of planned further work (e.g. tests for lateral extensions or depth extensions or large-scale step-out drilling).  Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.	 NA - Exploration results not being released this time, see previous ASX releases.

Section 3 Estimation and Reporting of Mineral Resources

(Criteria listed in section 1, and where relevant in section 2 apply to this section.)

Criteria	JORC Code Explanation	Commentary
Database integrity	 Measures taken to ensure that data has not been corrupted by, for example, transcription or keying errors, between its initial collection and its use for Mineral Resource estimation purposes.  Data validation procedures used.	 Internal audits of the sampling techniques and data integrity were completed as part of internal studies in 2009 and 2011. The studies were comprehensive and cover all industry standard issues. Basic data validation procedures were undertaken by Optiro Pty Ltd as part of the 2009 Resource estimation. There does not appear to be any significant risk in accepting the data as valid.

Site visits	 Comment on any site visits undertaken by the Competent Person and the outcome of those visits.  If no site visits have been undertaken indicate why this is the case.	 The Competent Persons for this Resource and Reserve Statement are full-time employees of Venturex and visit the site regularly.
Geological interpretation	 Confidence in (or conversely, the uncertainty of) the geological interpretation of the mineral deposit.  Nature of the data used and of any assumptions made.  The effect, if any, of alternative interpretations on Mineral Resource estimation.  The use of geology in guiding and controlling Mineral Resource estimation.  The factors affecting continuity both of grade and geology.	 The interpretation of the deposit takes full account of all surface and subsurface geological, geochemical, and structural information contained in the database to ensure the continuity and integrity of the interpretation.  No detailed alternative interpretations have been validated.  The stratiform nature of the mineralisation provides a reasonable level of geological control in the interpretation.  Structural complexity of the mineralisation impacts the constraints by geology and assay boundaries.
Dimensions	 The extent and variability of the Mineral Resource expressed as length (along strike or otherwise), plan width, and depth below surface to the upper and lower limits of the Mineral Resource.	 The Mineral Resource covers two separate massive sulphide lenses identified by drilling. The high grade stratabound copper-zinc-lead zones each measure ~120 metres (N-S) by 3-15 metres thick, dip to the west at 55 degrees and plunge to the northwest at 50 degrees to a vertical depth of approximately 180 metres.
Estimation and modeling techniques	 The nature and appropriateness of the estimation technique(s) applied and key assumptions, including treatment of extreme grade values, domaining, interpolation parameters and maximum distance of extrapolation from data points. If a computer assisted estimation method was chosen include a description of computer software and parameters used.  The availability of check estimates, previous estimates and/or mine production records and whether the Mineral Resource estimate takes appropriate account of such data.  The assumptions made regarding recovery of by-products.  Estimation of deleterious elements or other non-grade variables of economic significance (e.g. sulphur for acid mine drainage characterisation).  In the case of block model interpolation, the block size in relation to the average sample spacing and the search employed.  Any assumptions behind modelling of selective mining units.  Any assumptions about correlation between variables.  Description of how the geological interpretation was used to control the resource estimates.  Discussion of basis for using or not using grade cutting or capping.  The process of validation, the checking process used, the comparison of model data to drill hole data, and use of reconciliation data if available.	 The estimation employed ordinary kriging techniques using Vulcan 8.0 (Venturex) and Datamine (Optiro) software.  Polygonal interpretation of stratiform copper-zinc-lead domains was done on 20-metre sections.  Search ellipse parameters determined using variography. Parent cell measures 10 metres (X axis), 10 metres (Y) and 5 metres (Z) with sub-cells of 0.5 metres (X), 0.5 metres (Y), 0.5 metres (Z), appropriate given an average drill spacing of 30 metres. Minimum samples per estimate is 10, maximum samples per estimate is 20.  Copper grades above 20% Cu were cut to 20%, total of four samples cut.  Composite length was set at 1 metre (83% of samples) with the kriged estimate validated against original composite grades.  The resource model was validated against the input data by comparison of the average input composite and output block grades and visual comparison in section and plan views.
Moisture	 Whether the tonnages are estimated on a dry basis or with natural moisture, and the method of determination of the moisture content.	 Tonnages are estimated on a dry basis. Moisture content in ore is very low.
Cut-off parameters	 The basis of the adopted cut-off grade(s) or quality parameters applied.	 Cut off grades were determined geostatistically.  The Mineral Resource estimate is reported at 1.5% CuEq, this being an economic cut-off for a standalone open pit mining operation.  Copper US$6,900/t; Zinc US$2,200/t; Lead US$2,500/t; Silver US$18/oz; Gold US$1,100/oz; A$/US$ 0.90  CuEq = Cu% + Zn% x 0.269+ Pb% x 0..300 + Ag(ppm) x 0.007 + Au(ppm) x 0.433
Mining factors	 Assumptions made regarding possible mining methods, minimum mining	 Openpit miningextraction assumed usingstandard opening pit miningand

or assumptions	dimensions and internal (or, if applicable, external) mining dilution. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential mining methods, but the assumptions made regarding mining methods and parameters when estimating Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the mining assumptions made.	blasting practices.  Total material movement rate – 4.8Mtpa  Mining dilution 5% at zero grade, 95% ore recovery  Batter angles 50-65 degrees, berm width 3 metres  Ramp gradient 10%
Metallurgical factors or assumptions	 The basis for assumptions or predictions regarding metallurgical amenability. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential metallurgical methods, but the assumptions regarding metallurgical treatment processes and parameters made when reporting Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the metallurgical assumptions made.	 Metallurgical amenability based on preliminary sighter test work.  Recoveries used copper 80%, zinc 75%, lead 70%, silver 70% and gold 70% in separate copper, zinc and lead concentrates.
Environmental factors or assumptions	 Assumptions made regarding possible waste and process residue disposal options. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider the potential environmental impacts of the mining and processing operation. While at this stage the determination of potential environmental impacts, particularly for a greenfield project, may not always be well advanced, the status of early consideration of these potential environmental impacts should be reported. Where these aspects have not been considered this should be reported with an explanation of the environmental assumptions made.	 Surface disturbance is expected to be minimised given the undulating terrain.  All waste rock will be stored in designated dumps sites with all PAF material contained within the dump area.  Processing of the ore is expected to occur offsite with tailings to be stored in a conventional surface tailings facility adjacent to the nominated treatment plant.  Water management will be via dedicated evaporation ponds.  Ore haulage via existing gazetted roads.
Bulk density	 Whether assumed or determined. If assumed, the basis for the assumptions. If determined, the method used, whether wet or dry, the frequency of the measurements, the nature, size and representativeness of the samples.  The bulk density for bulk material must have been measured by methods that adequately account for void spaces (vugs, porosity, etc.), moisture and differences between rock and alteration zones within the deposit.  Discuss assumptions for bulk density estimates used in the evaluation process of the different materials.	 A proportion of the assayed samples have a bulk density measurements sufficient to support interpolation of density into resource models.  Assigned average specific gravity (SG) values were used in the resource estimation: 2.3 g/cm3for oxide waste, 3.0 g/cm3for oxide ore, 2.55 g/cm3for transition and fresh waste, 3.5 g/cm3for transition ore, 4.15 g/cm3for the high grade fresh ore.  Bulk density is determined on pulps by the pycnometer method and the water immersion technique on drill core.
Classification	 The basis for the classification of the Mineral Resources into varying confidence categories.  Whether appropriate account has been taken of all relevant factors (i.e. relative confidence in tonnage/grade estimations, reliability of input data, confidence in continuity of geology and metal values, quality, quantity and distribution of the data).  Whether the result appropriately reflects the Competent Person’s view of the deposit.	 Mineral Resource classification into Inferred, Indicated and Measured categories is based on the calculated kriging efficiencies and slope of regressions in the block model. The parameters reflect the quality of the estimates with regard to the data density and modelled variograms.
Audits or reviews	 The results of any audits or reviews of Mineral Resource estimates.	 The Mineral Resource estimate has not been audited.
Discussion of relative accuracy/	 Where appropriate a statement of the relative accuracy and confidence level in the Mineral Resource estimate using an approach or procedure deemed appropriate by the Competent Person. For example, the application of statistical orgeostatisticalprocedures toquantify the relative accuracy of the	 The resource estimate is considered +/- 25% given the structural complexity and variability of the deposit.  The resource report is a global assessment of the Evelyn deposit.

confidence	resource within stated confidence limits, or, if such an approach is not deemed appropriate, a qualitative discussion of the factors that could affect the relative accuracy and confidence of the estimate.  The statement should specify whether it relates to global or local estimates, and, if local, state the relevant tonnages, which should be relevant to technical and economic evaluation. Documentation should include assumptions made and the procedures used.  These statements of relative accuracy and confidence of the estimate should be compared with production data, where available.	 No production data is available.

KANGAROO CAVES RESOURCE STATEMENT NOTES

Note: These notes pertain to a Historical Mineral Resource Statement (JORC (2004) compliant) for Kangaroo Caves released by Sipa Resources Limited (see ASX announcement dated 22 October 2007)

Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria	JORC Code Explanation	Commentary
Sampling techniques	 Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling.  Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.  Aspects of the determination of mineralisation that are Material to the Public Report.  In cases where ‘industry standard’ work has been done this would be relatively simple (e.g. ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information.	 The deposit was sampled with a combination of Reverse Circulation (RC) and] diamond (DD) drill holes completed on a variable spacing across the deposit to a maximum vertical depth of depth of 400 metres. The RC drill holes were sampled via a standard adjustable cyclone and riffle splitter from the recovered sample. Diamond drill core was sampled using standard cut half core.  Standard RC drilling produced whole metre RC drill samples split at the rig using a cone splitter producing samples of approximately 3kgs. Diamond drilling completed to industry standard using predominantly NQ size core. Diamond core was orientated, aligned and cut on geologically determined intervals (0.25 to1.2 metres).  Samples were weighed, dried, crushed and pulverised (total prep) to produce a pulp sub-sample for analysis by four acid digest with an ICP/OES, ICP/MS or FA/AAS (Au) finish.
Drilling techniques	 Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc.).	 Drilling technique is predominantly diamond drilling since 1989 (over 75%) using mostly NQ size with some BQ, TT56 and HQ sizes using a variety of rig types. Surface drill core was generally orientated.  RC drilling with a 5.5 inch face sampling hammer was used after 2007.
Drill sample recovery	 Method of recording and assessing core and chip sample recoveries and results assessed.  Measures taken to maximise sample recovery and ensure representative nature of the samples.  Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.	 All operators recorded diamond drill core recovery as a percentage of measured recovered core versus drilled distance. Recoveries were generally high except for cavity zones in the oxide zone.  RC samples recoveries were consistently high. Any low recovery intervals were logged and entered into the database.  The cyclone and splitter were routinely inspected and cleaned during the drilling ensuring no excessive material build-up. Care was taken to ensure the split samples were of a consistent volume.
Logging	 Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.  Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.) photography.  The total length and percentage of the relevant intersections logged.	 Diamond drill holes are all qualitatively logged and photographed. RC drill holes were all qualitatively logged and RC chip tray samples collected and stored.  Logging by all operators was at an appropriate detailed quantitative standard to support future geological, resource, reserve estimations and subsequent feasibility studies.  All holes were logged in full.
Sub-sampling	 If core, whether cut or sawn and whetherquarter, half or all core taken.	 Diamond core was sawn with a diamond saw and half core samples(quarter

techniques and sample preparation	 If non-core, whether riffled, tube sampled, rotary split, etc. and whether sampled wet or dry.  For all sample types, the nature, quality and appropriateness of the sample preparation technique.  Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples.  Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling.  Whether sample sizes are appropriate to the grain size of the material being sampled.	core in metallurgical holes) taken for assay.  1 metre RC samples were collected and split off the drill rig using a cone splitter. Approximately 90% of the samples were dry in nature.  The sample preparation of the samples follows industry best practice in sample preparation involving weighing, oven drying, pulverisation of the entire sample (total prep) to a grind size of 85% passing 75 micron.  Venturex and previous operators had QAQC procedures involving the use of certified standards, blanks and duplicates. The QAQC has been independently audited with no apparent issues.  No field duplicates have been taken.  The sample sizes are considered appropriate given the relatively fine grained nature of the sulphide mineralisation which is not nuggetty in nature, the sampling methodology and the percent assay value ranges involved.
Quality of assay data and laboratory tests	 The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.  For geophysical tools, spectrometers, handheld XRF instruments, etc., the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.  Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision have been established.	 Various operators used analytical techniques involving a four acid digest multi- element suite with ICP/MS finish (30g FA/AAS for precious metals). The acids used are hydrofluoric, nitric, perchloric and hydrochloric acids, suitable for the dissolution of most silica based samples. The method approaches total dissolution of most minerals. Combustion furnace or Eltra “Leco” analyser assayed total sulphur.  No geophysical tools were used to determine any element concentrations reported.  RC duplicates were taken every 25m and post 2008; every RC metre drilled is checked by two 30sec measurements using a Niton handheld XRF.  An independent analysis of intra and inter laboratory bias and precision was undertaken in 2007 by CBH. No discernible bias was noted for samples used.
Verification of sampling and assaying	 The verification of significant intersections by either independent or alternative company personnel.  The use of twinned holes.  Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.  Discuss any adjustment to assay data.	 Prior to 2011, verification procedures were not documented.  Post 2011, significant intersections were checked by the Exploration Manager and Managing Director. Significant intersections are also verified/ by portable XRF data collected in the field and crosschecked against the final assays when received.  A range of primary data collection methods were employed since 1989. Since 2007, data recording used a set of standard Excel templates on a data logger and uploaded to note book computer. The data is sent to Perth office for verification and compilation into an SQL database by the in-house database administrator. Full copies are stored offsite.  Full data base verification of all historical information was completed in 2007 by CBH. All data is loaded and stored in DataShed database.  The historical data (pre-2007) has been adjusted with all negative assays, representing below detection assays, were converted to positive assays of half value.
Location of data points	 Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.  Specification of the grid system used.  Quality and adequacy of topographic control.	 Post 2007, all hole collar coordinates have been picked up by Sipa/CBH/Venturex employees using a DGPS with all co-ordinates and RL data considered reliable.  Downhole surveys were performed on all holes by either single shot Eastman camera or reflex gyro readings at 10-50 metre down hole intervals.  The grid system used for the location of all drill holes is MGA_GDA94, Zone 50.  Topographic control isprovided bycombination of external surveycontrol,

		photogrammetry analysis and DGPS reading.
Data spacing and distribution	 Data spacing for reporting of Exploration Results.  Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied.  Whether sample compositing has been applied.	 The nominal drill spacing is generally 40m x 40m where the rugged terrain permits access.  The current spacing is adequate to assume geological and grade continuity of the mineralised domain.  No compositing has been applied to the exploration results.
Orientation of data in relation to geological structure	 Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.  If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.	 The drilling is orientated mainly to the south west, near perpendicular to the mineralised trend. Limitations imposed by the rugged terrain dictates that some drilling is conducted vertically or to the north east at a low angle to the dip of the mineralised system.  Given the stratigraphic nature of the mineralising system, no orientation based sampling bias has been identified in the data at this point.
Sample security	 The measures taken to ensure sample security.	 Independent audits of the data in 2006 (Sipa/CBH) concluded that the sampling protocols were adequate.  Post 2012, the chain of custody is managed by Venturex. The samples are transported by Venturex personnel to Whim Creek, stored in a secure facility and collected from site by Toll IPEC and delivered to the assay laboratory in Perth. Online tracking is utilised to track the progress of batches of samples.
Audits or reviews	 The results of any audits or reviews of sampling techniques and data.	 Independent audits of the sampling techniques and data were completed as part of previous feasibility studies in 2007 (Golders and Associates). There does not appear to be any significant risk in accepting the data as valid.

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria	JORC Code Explanation	Commentary
Mineral tenement and land tenure status	 Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings.  The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.	 Kangaroo Caves is located wholly within Mining Lease M45/587 and Venturex Resources Limited has a 100% interest in the tenement.  The tenement is within the Njamal Native Title Claim (WC99/8).  The tenement is subject to two third party royalties.  The tenement is a granted Mining Lease, is in good standing and no known impediments exist.
Exploration done by other parties	 Acknowledgment and appraisal of exploration by other parties.	 Previous exploration has been conducted at Kangaroo Caves by Sipa Resources Limited in conjunction with Outokumpu and CBH Resources Limited since 1985 under various joint ventures.  A Mineral Resource estimate for the Kangaroo Caves deposit was released to the ASX by JV partners CBH Resources/Sipa Resources in September 2007.
Geology	 Deposit type, geological setting and style of mineralisation.	 The Kangaroo Caves zinc-copper deposit is hosted by the Kangaroo Caves Formation, a volcano-sedimentary sequence within the north – northeasterly trending tectonostratigraphic domain known as the Lalla Rookh – Western Shaw Corridor (LWSC) in the central east of the Archaean Pilbara Craton.  The deposit is a wellpreserved example of an Archaean volcanogenic massive

		sulphide (VMS) style deposit in a low-grade metamorphic terrain.
Drill hole Information	 A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes:  easting and northing of the drill hole collar  elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar  dip and azimuth of the hole  down hole length and interception depth  hole length.  If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.	 Too many holes (>50 holes) to practically summarise. Detailed drill hole data is periodically released with all relevant data appended (see ASX release 11 June 2013).
Data aggregation methods	 In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually Material and should be stated.  Where aggregate intercepts incorporate short lengths of high-grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail.  The assumptions used for any reporting of metal equivalent values should be clearly stated.	 All reported assays have been length weighted.  No top cut has been applied.  For reporting exploration results, a nominal 0.25% copper and 2.0% zinc lower cut-off has been applied.  High-grade massive sulphide intervals internal to broader zones of sulphide mineralisation are reported as included intervals.
Relationship between mineralisation widths and intercept lengths	 These relationships are particularly important in the reporting of Exploration Results.  If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported.  If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g. ‘down hole length, true width not known’).	 Previous reports highlight down hole intercept and true widths.
Diagrams	 Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views.	 See diagrams in previous ASX announcement 11 June 2013.
Balanced reporting	 Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results.	 All results are reported.
Other substantive exploration data	 Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.	 NA - Exploration results not being released this time.
Further work	 The nature and scale of planned further work (e.g. tests for lateral extensions or depth extensions or large-scale step-out drilling).  Diagrams clearly highlighting the areas of possible extensions, including the maingeological interpretations and future drilling areas, provided this	 NA - Exploration results not being released this time, see previous ASX release 11 June 2013.

information is not commercially sensitive.

Section 3 Estimation and Reporting of Mineral Resources

(Criteria listed in section 1, and where relevant in section 2 apply to this section.)

Criteria	JORC Code Explanation	Commentary
Database integrity	 Measures taken to ensure that data has not been corrupted by, for example, transcription or keying errors, between its initial collection and its use for Mineral Resource estimation purposes.  Data validation procedures used.	 Only basic data validation procedures were undertaken by Cube Consulting Pty Ltd on the database provided by Sipa as part of the 2007 Resource estimation. There does not appear to be any significant risk in accepting the data as valid.
Site visits	 Comment on any site visits undertaken by the Competent Person and the outcome of those visits.  If no site visits have been undertaken indicate why this is the case.	 Unknown
Geological interpretation	 Confidence in (or conversely, the uncertainty of) the geological interpretation of the mineral deposit.  Nature of the data used and of any assumptions made.  The effect, if any, of alternative interpretations on Mineral Resource estimation.  The use of geology in guiding and controlling Mineral Resource estimation.  The factors affecting continuity both of grade and geology.	 The interpretation of the deposit takes full account of all surface and subsurface geological, geochemical, and structural information contained in the database to ensure the continuity and integrity of the interpretation.  No detailed alternative interpretations have been validated.  The stratiform nature of the mineralisation provides a reasonable level of geological control in the interpretation.  Structural complexity of the mineralisation impacts the constraints of geology and assay boundaries.
Dimensions	 The extent and variability of the Mineral Resource expressed as length (along strike or otherwise), plan width, and depth below surface to the upper and lower limits of the Mineral Resource.	 The Mineral Resource covers two co-joined sulphide lenses identified by drilling. The mineralisation forms a gently plunging body (20-30 degrees to the northeast) with a strike length of approximately ~150 metres by 3-15 metres thick, to a vertical depth of approximately 450 metres.
Estimation and modelling techniques	 The nature and appropriateness of the estimation technique(s) applied and key assumptions, including treatment of extreme grade values, domaining, interpolation parameters and maximum distance of extrapolation from data points. If a computer assisted estimation method was chosen include a description of computer software and parameters used.  The availability of check estimates, previous estimates and/or mine production records and whether the Mineral Resource estimate takes appropriate account of such data.  The assumptions made regarding recovery of by-products.  Estimation of deleterious elements or other non-grade variables of economic significance (e.g. sulphur for acid mine drainage characterisation).  In the case of block model interpolation, the block size in relation to the average sample spacing and the search employed.  Any assumptions behind modelling of selective mining units.  Any assumptions about correlation between variables.  Description of how the geological interpretation was used to control the resource estimates.  _Discussion of basis for using or not using grade cutting or capping. _	 The estimation employed ordinary kriging techniques using Surpac software.  Interpretation of zinc, copper and SG domains was done using variography analysis. The copper and zinc wireframes used a ~0.3% copper and 0.5% Zinc cut-off respectively. The cut-offs were determined using log probability plots.  Search ellipse parameters determined using variography. Parent cell measures 40 metres (X axis), 40 metres (Y) and 5 metres (Z) with sub-cells of 5 metres (X), 5 metres (Y), 1.5 metres (Z), appropriate given an average drill spacing of 40 metres. Minimum samples per estimate is 10, maximum samples per estimate is 20.  No cutting of high grades was used.  Composite length was set at 2.5 metres uncut with the kriged estimate validated against original composite grades.  The resource model was validated against the input data by comparison of the average input composite and output block grades and visual comparison in section and plan views.

	 The process of validation, the checking process used, the comparison of model data to drill hole data, and use of reconciliation data if available.
Moisture	 Whether the tonnages are estimated on a dry basis or with natural moisture, and the method of determination of the moisture content.	 Tonnages are estimated on a dry basis. Moisture content in ore is very low.
Cut-off parameters	 The basis of the adopted cut-off grade(s) or quality parameters applied.	 Cut off grades were determined geostatistically.  The Mineral Resource estimate is reported at 1.0% Zn and 0.3% copper.
Mining factors or assumptions	 Assumptions made regarding possible mining methods, minimum mining dimensions and internal (or, if applicable, external) mining dilution. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential mining methods, but the assumptions made regarding mining methods and parameters when estimating Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the mining assumptions made.	 No assumptions reported.
Metallurgical factors or assumptions	 The basis for assumptions or predictions regarding metallurgical amenability. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential metallurgical methods, but the assumptions regarding metallurgical treatment processes and parameters made when reporting Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the metallurgical assumptions made.	 No assumptions reported.
Environmental factors or assumptions	 Assumptions made regarding possible waste and process residue disposal options. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider the potential environmental impacts of the mining and processing operation. While at this stage the determination of potential environmental impacts, particularly for a greenfield project, may not always be well advanced, the status of early consideration of these potential environmental impacts should be reported. Where these aspects have not been considered this should be reported with an explanation of the environmental assumptions made.	 No assumptions reported.
Bulk density	 Whether assumed or determined. If assumed, the basis for the assumptions. If determined, the method used, whether wet or dry, the frequency of the measurements, the nature, size and representativeness of the samples.  The bulk density for bulk material must have been measured by methods that adequately account for void spaces (vugs, porosity, etc.), moisture and differences between rock and alteration zones within the deposit.  Discuss assumptions for bulk density estimates used in the evaluation process of the different materials.	 A proportion of the assayed samples (9%) have bulk density measurements which are deemed sufficient to support interpolation of density into resource models.  Calculated average specific gravity (SG) values were used in the resource estimation: zinc 1 domain ore 2.98 g/cm3, zinc 2 domain ore 3.16 g/cm3and 3.07 g/cm3for the copper ore domain.  Bulk density is determined by the water immersion technique on drill core.
Classification	 The basis for the classification of the Mineral Resources into varying confidence categories.  Whether appropriate account has been taken of all relevant factors (i.e. relative confidence in tonnage/grade estimations, reliability of input data, confidence in continuity of geology and metal values, quality, quantity and _distribution of the data). _	 Mineral Resource classification into Inferred, Indicated and Measured categories is based on geological continuity and surface volume; data quality; drill spacing; modelling technique and estimation properties including search strategy, number of informing composites, average distance of composites from blocks and kriging quality parameters such as slope of regression.  The Indicated Resource is wheregeological confidence is high as defined by:

	 Whether the result appropriately reflects the Competent Person’s view of the deposit.	strong support from drilling and areas where the drilling is averaging less than 40m x 60m spacing. Estimation quality perspective and refined to include areas where the estimation quality is high (defined by the slope of regression of true to estimated blocks – greater than 0.75).  The Inferred Resource boundary was drawn outside the Indicated area and reflect mineralisation where there is limited drilling (typically less than 40m x 75m) and the estimation quality defined by the slope of regression is greater than 0.6.
Audits or reviews	 The results of any audits or reviews of Mineral Resource estimates.	 The Mineral Resource estimate has not been audited.
Discussion of relative accuracy/ confidence	 Where appropriate a statement of the relative accuracy and confidence level in the Mineral Resource estimate using an approach or procedure deemed appropriate by the Competent Person. For example, the application of statistical or geostatistical procedures to quantify the relative accuracy of the resource within stated confidence limits, or, if such an approach is not deemed appropriate, a qualitative discussion of the factors that could affect the relative accuracy and confidence of the estimate.  The statement should specify whether it relates to global or local estimates, and, if local, state the relevant tonnages, which should be relevant to technical and economic evaluation. Documentation should include assumptions made and the procedures used.  These statements of relative accuracy and confidence of the estimate should be compared with production data, where available.	 Not stated.  The mineral resource estimate is a global estimate of the Kangaroo Caves mineralisation.

BRAZILIAN EXPLORATION RESULTS NOTES

Section 1 Sampling and Data

(Criteria in this section apply to all succeeding sections.)

Criteria	JORC Code Explanation	Commentary
Sampling techniques	 Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling.  Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.  Aspects of the determination of mineralisation that are Material to the Public Report.  In cases where ‘industry standard’ work has been done this would be relatively simple (e.g. ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information.	 Surface rock chip samples are collected from in-situ material only. Samples collected are ~3 kg in weight.  Surface grab samples are collected from sub-crop material or shaft spoil from a nearby excavation, description relates to the actual material sampled. Samples collected are ~3 kg in weight.  Soil samples are collected the A-B soil horizon interface. Soil samples taken from other soil horizons are recorded with their specific location within the soil profile and depth. Whole soil samples are collected as ~2-3 kg samples, sieved soils samples are generally 250 gm.  Channel samples are collected as ~3 kg composite samples continuous for the interval sampled and are representative of all material in the interval. Geological descriptions are specific as to mineralisation, rock type, structure or alteration are used to domain the geology and / or sample.  Auger drilling penetrates the regolith to take a 20 - 30cm sample, the sample is composited to a 1 metre sample, and each sample is combined and homogenized in a contamination free container to a weight of ~3kg.  Diamond drilling completed to industry standard using predominantly HQ size core. Diamond core was orientated, aligned and cut on geologically determined intervals (0.25 to 2 metres).  Samples are weighed, dried, crushed and pulverised (total prep) to produce a pulp sub-sample for analysis by fire assay (30 gm charge) with AAS finish.
Drilling techniques	 Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc.).	 Drilling technique at Novo Canaã is diamond drilling using HQ triple tube, HQ and NQ sizes. Surface drill core was not orientated and the holes not surveyed.  Auger drilling utilised a power auger, sampling via a “clam” type bit with 90mm diameter. Maximum depth is 12 metres; sample return is not representative in wet or unconsolidated material.
Drill sample recovery	 Method of recording and assessing core and chip sample recoveries and results assessed.  Measures taken to maximise sample recovery and ensure representative nature of the samples.  Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.	 Diamond drill core recovery was recorded as a percentage of measured recovered core versus drilled distance. Recoveries were generally high except for the near surface oxide zone.  Core recoveries are monitored constantly during the drilling by the supervising geologist.
Logging	 Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.  Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.) photography.  The total length and percentage of the relevant intersections logged.	 Surface sample logging includes rock type, weathering, veining, mineralization and structural data.  Diamond drill core was qualitatively logged and photographed.  Logging was at an appropriate detailed quantitative standard to support future geological, resource, reserve estimations and subsequent feasibility studies.  All holes were logged in full.

Sub-sampling techniques and sample preparation	 If core, whether cut or sawn and whether quarter, half or all core taken.  If non-core, whether riffled, tube sampled, rotary split, etc. and whether sampled wet or dry.  For all sample types, the nature, quality and appropriateness of the sample preparation technique.  Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples.  Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling.  Whether sample sizes are appropriate to the grain size of the material being sampled.	 Diamond core was cut with a diamond saw to provide half core samples or quarter core sample.  ~3kg sample is collected for fine to coarse grained rock samples.  The sample preparation of rock and core samples follows industry best practice in sample preparation involving weighing, oven drying, crushing the entire sample with a 1kg sub-sample pulverized to 85% passing 75 microns.  The sample preparation of sieved soil samples includes drying, dis-aggregation, screening to 180microns to obtain a 100g sample and pulverizing to 85% passing 75 microns.  No field duplicates were taken.  Sample sizes are appropriate to minimize the inherent nugget effect.
Quality of assay data and laboratory tests	 The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.  For geophysical tools, spectrometers, handheld XRF instruments, etc., the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.  Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision have been established.	 Industry standard analytical techniques involving a total acid digest with 30g or 50g FA/AAS used routinely for gold analysis.  No geophysical tools were used to determine any element concentrations reported.  The laboratory used is ACME Laboratories in Brazil. Sample preparation is undertaken in Brazil with analysis undertaken in Santiago or Vancouver.  Laboratory quality control for every 35 client samples, 1 pulp duplicate, 1 (-10 mesh) reject duplicate (drill core only, to monitor the sub sampling fraction), 2 blanks to test the reagent background, 1 quartz wash blank sample for preparation monitoring, 2 certified reference material samples.  CMGM uses Geostats Pty Ltd reference standards for QA/QC testing of laboratories. Standards are inserted at a rate of 1 in 40.
Verification of sampling and assaying	 The verification of significant intersections by either independent or alternative company personnel.  The use of twinned holes.  Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.  Discuss any adjustment to assay data.	 The significant intercepts are verified by the supervising geologist, and the Exploration Manager, prior to being approved for release by the Managing Director.  Primary data is collected in paper hardcopy format using a set of standard Excel templates, then entered into a digital geological log spread sheet and sent to the Perth office. The digital logging data is then validated by an in- house database consultant and merged into the companies SQL database, any validation issues at this stage are communicated and rectified by the supervising geologist. Full copies are stored offsite.
Location of data points	 Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.  Specification of the grid system used.  Quality and adequacy of topographic control.	 Drill holes are located by handheld GPS to ensure accuracy to within 4 metres.  All trench, sample sites, mine workings and other topographic features are located by handheld GPS. New locations measured are confirmed by plotting and viewing in reference to other known locations.  The Grid system used for all data is WGS 84, UTM ZONE 21S.  Quality and adequacy of topographic control is suitable and adequately accurate for the exploration activities undertaken.
Data spacing and distribution	 Data spacing for reporting of Exploration Results.  Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied.  Whether sample compositing has been applied.	 The data spacing and distribution is suitable for exploration purposes. It is not sufficient to establish a Mineral Resource or Ore Reserve estimation.  Sample compositing is not undertaken.

Orientation of data in relation to geological structure	 Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.  If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.	 Drill holes were oriented near perpendicular to the regional trend. Scissor holes were utilised to confirm the regional foliation and geological contacts.  Future interpretation of drill holes may vary the orientation of mineralization. The extent of orientation based sampling bias in the data is unknown.
Sample security	 The measures taken to ensure sample security.	 The chain of custody is managed by CMGM.  All samples are taken directly from the field under supervision to a secured facility accessed only by senior staff. Samples are transported to Cuiabá for confirmation prior to shipping via ACME Laboratories.  Drill core is cut and sampled at the laboratory by CMGM staff with samples prepared in ACME Laboratories in Cuiabá prior to shipping to their assay laboratory.
Audits or reviews	 The results of any audits or reviews of sampling techniques and data.	 The data is subject to standard internal reviews and data validation by the supervising geologist and data base manager.  No independent audits of the sampling techniques and data have been completed.

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria	JORC Code Explanation	Commentary
General tenement and land tenure status	 Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings.  The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.	 Exploration drilling was undertaken on tenement 866719/2008, 100% owned by CMG Mineração Ltda., a subsidiary of Venturex Resources Limited.  No encumbrances are known.  An environmental license is current for the project, valid until 12/12/2014, LOPM 303636/2011.  Surface samples and auger data points were collected within tenements 850172/2010, 850079/2011, 850077/2011, 866718/2008 and 866820/2008, all 100% owned by CMG Mineração Ltda. Environmental licences are awaited to undertake ground disturbing activities with these tenements.  Serra Verde sampling is within replacement tenement applications. These applications are subject to an option agreement with João Batista da Silva Ferreira, contingent on the gazetting of the central ELA’s (850416-428, 850851 – 884) which includes cash payments over four years of BRL$925,000 (BRL$250,000 in Year 1, followed by equal instalments of BRL$225,000 in Years 2-4); payment on Mining Approval of BRL$2.0M and a NSR production royalty of 1.5%.
Exploration done by other parties	 Acknowledgment and appraisal of exploration by other parties.	 No exploration is known to have been undertaken within the Project area by other parties.

Geology	 Deposit type, geological setting and style of mineralisation.	 Gold deposits in the region are hosted within orogenic belts by a variety of metamorphic and magmatic rocks including orthogneisses, orogenic granitoids, and post orogenic granitoids. Younger mafic intrusives and felsic volcanics are less well known as host rocks.  Magmatic arc gold deposit styles, carbonatities, low sulphidation epithermal veins, and greisens deposits are likely within the geological setting.  The deposits styles expected in the Tapajós region and Alta Floresta region of Brazil range from high grade (+10 g/t Au), structurally controlled, vein systems to low grade (1-2 g/t Au) stockwork and sheeted vein systems.  Combinations of both mineralisation styles may exist within the same orebody.
Drill hole Information	 A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes: `o` easting and northing of the drill hole collar `o` elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar `o` dip and azimuth of the hole `o` down hole length and interception depth `o` hole length.  If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.	 See ASX announcement dated 25 October 2012
Data aggregation methods	 In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually Material and should be stated.  Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail.  The assumptions used for any reporting of metal equivalent values should be clearly stated.	 All reported assays have been length weighted.  No top cut has been applied.  For reporting exploration results, a nominal 0.10 g/t gold lower cut-off has been applied.  High-grade intervals internal to broader zones of mineralisation are reported as included intervals.
Relationship between mineralisation widths and intercept lengths	 These relationships are particularly important in the reporting of Exploration Results.  If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported.  If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g. ‘down hole length, true width not known’).	 Down hole lengths of mineralization are reported, the true width is not known.
Diagrams	 Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views.	 For plans of Nova Canaã drilling– see ASX announcement dated 25 October 2012  All surface sample locations and summary of results is shown on figures within the context of each Project.
Balanced reporting	 Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results.	 All results are reported.

Other substantive exploration data	 Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.	 Not applicable
Further work	 The nature and scale of planned further work (e.g. tests for lateral extensions or depth extensions or large-scale step-out drilling).  Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.	 Mineralisation intersected in diamond drilling at Nova Canaã is open in all directions, testing for vertical and lateral extensions with drilling and near surface exploration will be undertaken.

AI assistant

DEVELOP GLOBAL LIMITED Regulatory Filings 2013

64801_rns_2013-09-26_090ac782-2948-412f-9534-d536b3d2bb26.pdf

COMPANY RESOURCE AND ORE RESERVE STATEMENT 30 September 2013

MICHAEL MULRONEY Managing Director

About Venturex Resources Limited

Competency Statements

APPENDIX 1

SULPHUR SPRINGS RESOURCE AND RESERVE STATEMENT NOTES Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

Section 3 Estimation and Reporting of Mineral Resources

Section 4 Estimation and Reporting of Ore Reserves

MONS CUPRI RESOURCE AND RESERVE STATEMENT NOTES Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

Section 3 Estimation and Reporting of Mineral Resources

Section 4 Estimation and Reporting of Ore Reserves

WHIM CREEK RESOURCE AND RESERVE STATEMENT NOTES Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

Section 3 Estimation and Reporting of Mineral Resources

Section 4 Estimation and Reporting of Ore Reserves

SALT CREEK RESOURCE STATEMENT NOTES Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

Section 3 Estimation and Reporting of Mineral Resources

EVELYN RESOURCE STATEMENT NOTES Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

Section 3 Estimation and Reporting of Mineral Resources

KANGAROO CAVES RESOURCE STATEMENT NOTES

Note: These notes pertain to a Historical Mineral Resource Statement (JORC (2004) compliant) for Kangaroo Caves released by Sipa Resources Limited (see ASX announcement dated 22 October 2007)

Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

Section 3 Estimation and Reporting of Mineral Resources

BRAZILIAN EXPLORATION RESULTS NOTES

Section 1 Sampling and Data

Section 2 Reporting of Exploration Results

AI assistant

DEVELOP GLOBAL LIMITED — Regulatory Filings 2013

64801_rns_2013-09-26_090ac782-2948-412f-9534-d536b3d2bb26.pdf

COMPANY RESOURCE AND ORE RESERVE STATEMENT 30 September 2013

MICHAEL MULRONEY Managing Director

About Venturex Resources Limited

Competency Statements

APPENDIX 1

SULPHUR SPRINGS RESOURCE AND RESERVE STATEMENT NOTES Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

Section 3 Estimation and Reporting of Mineral Resources

Section 4 Estimation and Reporting of Ore Reserves

MONS CUPRI RESOURCE AND RESERVE STATEMENT NOTES Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

Section 3 Estimation and Reporting of Mineral Resources

Section 4 Estimation and Reporting of Ore Reserves

WHIM CREEK RESOURCE AND RESERVE STATEMENT NOTES Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

Section 3 Estimation and Reporting of Mineral Resources

Section 4 Estimation and Reporting of Ore Reserves

SALT CREEK RESOURCE STATEMENT NOTES Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

Section 3 Estimation and Reporting of Mineral Resources

EVELYN RESOURCE STATEMENT NOTES Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

Section 3 Estimation and Reporting of Mineral Resources

KANGAROO CAVES RESOURCE STATEMENT NOTES

Note: These notes pertain to a Historical Mineral Resource Statement (JORC (2004) compliant) for Kangaroo Caves released by Sipa Resources Limited (see ASX announcement dated 22 October 2007)

Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

Section 3 Estimation and Reporting of Mineral Resources

BRAZILIAN EXPLORATION RESULTS NOTES

Section 1 Sampling and Data

Section 2 Reporting of Exploration Results

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DEVELOP GLOBAL LIMITED Regulatory Filings 2013