DGR GLOBAL LIMITED — Capital/Financing Update 2004

Aug 12, 2004

Level 45, 2 Park St. Sydney NSW 2000 Tel: +61 2 9264 5515 Fax: +61 2 9283 2544

BUKA MINERALS LIMITED

ASX ANNOUNCEMENT, 13 AUGUST 2004

ACOUISITION OF AN INTEREST IN THE GYMPIE GOLD FIELD

The directors of Buka Minerals Limited (Buka) are pleased to announce that, subject to shareholder approval, Buka is to become a 12.9% shareholder in a new company, Gympie Eldorado Mining Pty Limited (GEM), formed to own the Gympie Eldorado mining and exploration leases and assets, located 170 kilometres north of Brisbane (Gympie Eldorado assets).

GEM is owned by Mizuho International plc (Mizuho) 74.2%, Investec Bank Australia Limited (Investec) 12.9% and interests associated with certain directors of Buka 12.9%. Buka will acquire those director-related interests should a related transaction be approved at the previously announced shareholders' meeting to be held on 14 September 2004 (i.e the transaction described in the Explanatory Memorandum for that meeting as the "Gympie Gold Transaction").

The assets are being acquired by GEM from Gympie Eldorado Gold Mines Pty Limited (Receivers and Managers Appointed, Liquidators Appointed), a subsidiary of Gympie Gold Limited (Receivers and Managers Appointed, Liquidators Appointed) (Gympie Gold).

The cash consideration which GEM will pay for the Gympie Eldorado assets is \$5.5 million. GEM may also assume certain existing liabilities associated with the Gympie Eldorado operation with a current book value of approximately \$3.9 million. The transaction agreements incorporate the transfer of a 19.9% shareholding held by Gympie Gold in D'Aquilar Gold Limited, which transfer is subject to ASX approval. If approval is not given, the purchase price will be reduced by \$0.5 million.

GEM's acquisition of the Gympie Eldorado assets is expected to take six to eight weeks to complete, pending consent to the transfer of mining and exploration tenements and environmental authorities by government agencies. At that time, receipt of the cash sale proceeds will allow Gympie Gold's Receivers to apply that amount in partial repayment of Gympie Gold's senior secured debt.

In seeking to maximise the long term potential in and value of the Gympie gold field, the new owners intend recommencing surface exploration to test the South Inglewood extension of the gold field, while maintaining current underground mining operations. GEM considers the Gympie gold field to be highly prospective and under-explored, as highlighted by successful exploration during 2003, prior to Gympie Gold entering receivership. GEM anticipates that the Gympie operations will return to a listed environment during 2005.

Key features of the Gympie gold field, taken from previously reported material, are:

• historic production of approximately 4 million ounces of gold;
• more than half of this production was from a 3 kilometre strike length of the $\bullet$ Inglewood structure, now known as the Monkland mine. Aside from relatively minor production from Gymple yeins, the remainder of the 10 kilometre interpreted strike length of the Inglewood structure is essentially unexplored. Recent work has suggested a further 20 kilometres of prospective strike length;
• exploration during late 2002 and 2003 identified the main gold bearing structure in $\blacksquare$ the 3 kilometre long South Inglewood prospect, with anomalous intercepts in all three types of mineralisation known on the gold field - the Inglewood structure, Gympie veins (including one drill intercept of 1.0 metres at 112.5 g/t Au) and vein stockworks;
• also in 2003, drilling returned ore grade intercepts (2.5 metres at 10.7 g/t Au, 2.4 $\blacksquare$ metres at 11.0 g/t Au) in the North Inglewood prospect in a stratigraphic unit not previously known to be gold bearing. A current underground drilling programme is aimed at the same unit in the South Inglewood prospect.

The GEM acquisition of the Gympie Eldorado assets highlights the potential benefits to Buka of its participation with Mizuho and Invested in Gympie Gold's senior secured debt, should Buka shareholders approve the Gympie Gold Transaction on 14 September 2004.

For further information contact:

John Richards, Managing Director Phone: +61 (0)2 9264 5515 Mobile: +61 (0)414 885 976 E-mail: jr@buka.com.au

ANNEXURE TO ASX ANNOUNCEMENT, 13 AUGUST 2004

BUKA'S ACQUISITION OF GYMPIE GOLD FIELD INTEREST

A General Meeting of Buka shareholders has been called for 14 September 2004.

At that meeting, shareholders will be asked to approve the acquisition by Buka of the rights and obligations of certain director-associated interests in connection with Gympie Gold's senior secured debt, as announced by Buka on 28 April 2004 (the Associate Transaction).

Under the Associate Transaction, Buka will acquire all of the rights and interests of those director-associated interests connected with Gympie Gold's senior secured debt at cost plus holding costs. The Associate Transaction is described in the papers which Buka shareholders will receive in connection with the 14 September 2004 meeting and which have been posted on the Company's website at www.buka.com.au.

Importantly, the Associate Transaction will now include the acquisition by Buka of the 12.9% shareholding in GEM of those director-associated interests. Taking into account part repayment of Gympie Gold senior secured debt with the proceeds of the sale to GEM of the Gympie Eldorado assets, Buka's overall cost of the Associate Transaction will change only marginally, by reason of Buka being required to reimburse the director associated interests the amount of any contribution they make to GEM's working capital requirements.

13 August 2004