DGR GLOBAL LIMITED — Interim / Quarterly Report 2012

Oct 30, 2012

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D G R G L O B A L L I M I T E D A C T I V I T I E S R E P O R T | S E P T 2 0 1 2 k Quarterly Report

Quarter Highlights

DGR Global Ltd | ASX : DGR

• Navaho now has 51% interest in six (6) projects in the alliance area, with drill targets already identified at Carbonate Hills and Tierra Blanca .

• London based new opportunities group targeting bulk commodities in Africa and the Middle East.

• Advancement of new development projects in Australia, Africa and the Americas.

• Navaho announces formation of an energy subsidiary, Navgas Pty Ltd and securing of five PELAs covering

Armour Energy Ltd | ASX: AJQ – DGR 25%

• 50,000 km[2] prospective for shale gas in South Australia.

• Cow Lagoon 1 Well delivers first gas.

AusNiCo Ltd | ASX: ANW – DGR 41.5%

• Glyde 1 Lateral Well flows gas @ 3.33mmscf/d [1 ] and well suspended and cased for future production.

• Identification and review of opportunities for diversification and growth.

• Northern Australia drilling campaign finished for this dry season however drilling of Otway 1 Well with Lakes Oil in Victoria planned for next quarter.

• AusNiCo secures highly prospective Heazlewood River project area in Tasmania with historical high grade rock chip assays of gold, copper, lead and nickel sulphides.

Orbis Gold Ltd | ASX: OBS – DGR 20.7%

IronRidge Resources | 56.5% DGR owned

• Nabanga maiden mineral resource [2] of 660K oz @ 6.5g/t gold at and new high grade drill intersections confirm the extension of gold mineralisation below 200m depth.

• Initial field program commenced at Belinga Sud directly south of the Belinga iron ore deposits (CMEC/Gabonese Government).

• Multiple shallow dipping gold mineralised structures evident at the Bougou gold prospects with new assay results showing good intersections in the Natougou area.

• Early assay results highlight Indombo prospect presents an exploration target[3] of 600-800Mt grading 41-67% Fe.

• Initial field programme planned for Tchibanbga permit area (close to Mayumba Port).

• New large-scale gold targets defined by regional soil sampling over the Dynikongolo permit area.

Archer Resources Ltd | 67% DGR owned

SolGold plc | LSE: SOLG – DGR 10.9%

• Encouraging results continue from field work at Mt. Abbott and Calgoa Project areas.

• Newmont and SolG seeking divestment of the Guadalcanal Joint Venture.

• Drilling program commences at Caloola Prospect within the Bathurst Project area in early October.

• Substantial porphyry gold-copper system identified at the Cascabel joint venture project area in Ecuador.

Pinnacle Gold Pty Ltd | 94% DGR owned

• Significant areas at Cascabel of >1g/t gold and >1% Copper in rockchip samples with significantly higher grades in sheeted B veins.

• Eight (8) Exploration Licences granted in NSW over potential new gold and silver province.

• Fifty (50) kilometres of known historic gold workings with no recorded previous drilling.

• AUD4.14 Million raised in placements early October.

Navaho Gold Ltd | ASX: NVG – DGR 29%

• Landowner access agreements finalised on first areas and exploration started. Drill program planned Q4 2012.

• Alliance formed to explore for Carlin-style gold deposits over substantial ground position in New Mexico, USA. Significant potential for first mover advantage in a new gold province.

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1. Refer AJQ ASX Announcement 13/08/12 | 2. Refer OBS ASX Announcement 25/09/12 | 3. Refer page 5 of this report

D G R G lo ba l L im i te d Ac t i v it ie s Re port for Se pt emb er 20 1 2 Qu ar te r | P a ge 1

DGR Global Creates Resource Companies

During the quarter DGR Global continued to advance its objective to become a diversified global resource project generator and investment company.

DGR Global generates its own large scale resource exploration projects directly through the skills and experience of its accomplished team of explorationists. Most resource investment companies purchase their investment stakes at a high cost with restricted scope and low diversity and it is this important difference that gives DGR Global its strong competitive edge.

Many exploration companies tend to prematurely focus on the definition of a restricted resource and/or development without the scope for world class discoveries. In contrast, DGR Global’s philosophy is to secure provincial tenure positions, prospective for commodities with a high demand growth profile, which attract globally diverse capital funds. D’Aguilar Gold holds The company adopts a lateral and creative approach in the 35.2 million shares identification of both the commodity and exploration target. representing 15.6%

of Solomon Gold plc. DGR Global exploration projects tend to be very large, targeting new provinces with the potential to make worldclass discoveries. The exploration concepts are often novel. While increased metal prices and advances in technology

can turn former sub economic deposits into viable projects DGR Global Projects frequently emerge from detailed reassessment and reinterpretation of large databases with a new perspective. In the past, DGR Global Directors and Managers have applied new exploration models to extensive tenement areas which have contributed to the identification of new mineral provinces and the discovery of nationally significant resources.

DGR Global’s strategy to independently finance, manage and list its key assets on recognised stock exchanges is designed to deliver negotiability for its key assets, provide less dilutive funding of forward exploration programs and deliver expanded and focussed Project Management Teams independent of DGR Global.

DGR Global holds key equity positions in its subsidiary companies after listing. As shown in the DGR Global Group Corporate Structure (see Fig. 1) at 17 October DGR Global holds 25% ASX listed Armour Energy Ltd (ASX : AJQ) 10.9% AIM listed SolGold Plc (LSE: SOLG), 20.7% ASX listed Orbis Gold Ltd (ASX: OBS), 41.5% AusNiCo Ltd (ASX: ANW) and 29% Navaho Gold Ltd (ASX: NVG). Table 1 and the following Fig. 2 demonstrate how DGR Global continues to build value for shareholders.

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Fig. 1: DGR Global Corporate Structure as at 17 October 2012 re 5

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DGR Global Creates Resource Companies

Investment	Listed Code	Number of Shares	Number of Options / Warrants	Market Value#	Closing Share Price	Exchange
Lions Gate Metals Inc.1	TSX-V:LGM	300,000	150,000	72,000	0.24	0.9791
SolGold plc	LSE:AIM: SOLG	46,240,000	-	2,381,360	0.0515	1.538
Orbis Gold Ltd	ASX: OBS	45,000,000	-	19,350,000	0.43
Navaho Gold Ltd2	ASX: NVG	27,052,267	17,428,667	811,568	0.03
AusNiCo Ltd3	ASX: ANW	59,776,500	20,000,000	1,195,530	0.02
Armour Energy Ltd4	ASX: AJQ	75,050,000	18,837,500	17,867,300	0.22
Archer Resources Ltd5		40,000,000	7,500,000	4,000,000	0.1
IronRidge Resources Ltd6		50,400,000		2,520,000	0.05
Pinnacle PtyLtd		50,000,000		2,500,000	0.05
Total market value of DGR Global assets (excl cash) 50,697758
Total DGR Global shares on issue 324,202,760 0.06
Value attributable to each DGR share 0.16

Table 1: Current portfolio of assets held by DGR and market valuation of listed entities

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D’Aguilar Gold holds

# Market value represents the market quoted price for listed investments at 30 35.2 million shares September 2012 or the price at which the last round of financing was raised for unquoted investments.

representing 15.6%

1. The Lions Gate Metal Inc (“LGM”) warrants allows the Company to of Solomon Gold plc. take up one common share of LGM at a price of C$1.50 per share until 10 March 2013.

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1. The Navaho Gold Ltd (“NVG”) options allow the Company to take up one ordinary share in NVG at an exercise price of $0.20. The options are fully vested and expire on 31 December 2013.

2. AusNiCo Ltd (“ANW”) options allow the Company to take up one ordinary share in ANW at an exercise price of $0.30. The options are fully vested and expire on 19 November 2013.

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1. The Armour Energy Ltd (“Armour”) options allow the Company to take up one ordinary share in Armour at an exercise price of $0.50. The options are fully vested and expire on 31 August 2014. On 30 September 2012, Armour options (ASX:AJQO) closed at $0.08.

2. The Archer Resources Ltd (“Archer”) options allow the Company to take up one ordinary share in Archer at an exercise price of $0.20. The options are fully vested and expire on 31 December 2014.

3. As at last capital raising prior to the award of ATPs in Gabon

Fig. 2: DGR Global building value for shareholders through created assets.

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_ DGR Market Cap
_ Total Value of DGR Shareholding Assets
DGR market cap
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Iron, Titanium and Bauxite

IronRidge Resources Ltd (IRR), has been granted two Autorisation de Prospection (ATP) in Gabon: Belinga Sud and Tchibanga, providing IronRidge with an exciting new strategic direction in iron ore exploration.

Belinga Project (CMEC/Gabonese Govt) —860Mt @ 63%Fe[1 ]

Whilst global iron ore markets are experiencing volatility, Australia’s largest producers continue to invest in exploration and development on the expectation of prices stabilising at sustainable levels of approximately USD120 per tonne which is based on the global cost curve and supply demand balance.

The location of the two tenements and proximity to known Iron Ore deposits is shown in Fig. 3.

Gabon is located on the central west coast of Africa a region becoming increasingly recognised for iron ore prospectivity and host to numerous projects including Mbalam/Nabeba

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Fig 3: IronRidge Project Locations in Gabon
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[Fig 4: Magnetic image (analytic signal) over the Belinga Sud ATP ] area showing high responses of potential iron formations and extensions of prospective geology to the south.

(Sundance ASX: SDL), Mayoko Moussondji (Equatorial Resources ASX: EQX) and Kango North (Apollo Minerals ASX: AON). Belinga Sud is located in eastern Gabon and Tchibanga is located in the south west.

The 3,027km² Belinga Sud ATP is strategically located immediately south of the concession hosting the Belinga Iron Ore Deposits, which contain an estimated combined 860Mt @ 63% Fe[1] .

The Belinga Sud ATP contains a large tract of the greenstone belt that hosts the rich iron deposits less than 20km to the north. Within this area there are mapped iron formations and several documented iron occurrences. Geophysical data highlights strong magnetic anomalies in the area and in particular a significant southern extension where an outlying greenstone belt is considered to be highly prospective for additional iron formations over a strike length in excess of 35km. The Belinga Sud ATP is within 85km of the existing Trans-Gabonese rail route, currently used for bulk haulage from the southern town of Franceville to the Port at Owendo, 15km south of the capital, Libreville.

The initial reconnaissance program at Belinga Sud started in late June. The major objectives were to engage key stakeholders, audit local facilities, evaluate access to target areas and start preliminary mapping and sampling to confirm the extent of iron rich material. As shown in Fig. 4 the magnetic image (analytic signal) over the Belinga Sud exploration tenement shows high responses of possible iron formations and extension of prospective geology to the south of Belinga and has presented several target areas .

1. Mining Journal, ’BHP looks set to bag Belinga Iron Project’ (Feb 10,2012) Page 10.

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During the time available in the field limited sampling was undertaken at Massaha and Indombo with the Indombo Central area delivering very encouraging initial assays to 67% Fe. As shown in Fig. 4 Indombo Central presents a high grade target with a strike potential of 6 kms, and Indombo South a further 5 kms. Based on an observed width of 3-400 m and an assumed depth of 50 m (not drilled) the Indombo target has potential for 600-800Mt grading 41-67%Fe with significant DSO[1] .

Fig 5: IronRidge Exploration Tenements in Queensland

The 2,937km² Tchibanga ATP is situated within the western limb of the Neoproterozoic Nyanga syncline, and incorporates both a significant magnetic anomaly and two iron occurrences. Outside of the ‘traditional’ greenstone iron formations, this target is founded on a different exploration concept—that of iron-ore development in younger iron formations underlain by carbonates. Proof of concept is demonstrated by a number of iron occurrences at a similar stratigraphic level along the western limb of the syncline. The tenure is less than 10km from the coastline and the port of Mayumba, and as such even a modest resource would represent a project of significant value to IronRidge.

An initial reconnaissance program of the eastern section of the Tchibanga tenement is planned for the next quarter.

IronRidge continues to service its Queensland tenements (see Fig. 5 ) and has been reviewing earlier work on the Quaggy Prospect west of Mundubbera. Quaggy presents a strong magnetic feature that can be traced under the overlying laterite and alluvial cover. Soil cover (derived from the underlying gabbro) to the east is strongly anomalous in copper, nickel and cobalt with associated platinum group metals. As shown in Fig. 6 these sit over SAM conductors which are stronger to the west at the limit of the survey. The combination of geology, soil geochemistry and underlying conductors demonstrates a potential for a new nickel district similar to that recently discovered

by Sirius Resources NL (Nova Prospect) in West Australia. The IronRidge Glencoe Prospect (under application) to the north of Quaggy presents a stronger magnetic layered gabbro feature with known Cu, Ni and PGMs than at Quaggy.

Fig 6: Peak SAM conductors and soil geochemistry at Quaggy shown over magnetic image.

1. This Exploration Target is conceptual in nature and there has been insufficient exploration to define a Mineral Resource under the JORC code and it is uncertain if further exploration will result in the determination of a Mineral Resource.

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Porphyry Copper-Gold-Silver-Molybdenum

Archer is focussed on the discovery and development of porphyry copper gold silver molybdenum deposits in south east Qld and after an AUD2.0M seed raising is a 67% owned subsidiary of DGR Global. Archer has 7 key project areas in eastern Qld- Peenam, Mt Abbott, Gayndah and Calgoa (which already host encouraging drill intersections) and Great Blackall, Pinnacles and Anduramba. See Fig 7.

This quarter field work on Mt Abbott and Calgoa exploration tenements delivered further encouraging results indicating more extensive areas of mineralisation than previously recognised. The Calgoa EPM 18451 covers two large porphyry copper systems, Marodian and Mt. Suthers-Bullock Creek. Additionally, the EPM covers two large areas of gold only mineralisation associated with diorite porphyries – historically the Yorkeys and Colo D’Aguilar Gold holds goldfields. 35.2 million shares

Marodian is probably the largest untested copper representing 15.6% molybdenum gold porphyry system in the south west of Solomon Gold plc. Pacific. Within the 30 – 40 km² Cu Mo and Au zone (Fig. 8) there are widespread areas of breccia vein stockworks and disseminations of generally low grade but with locally richer patches that have supported small underground mines in the past. Historical surface geochemistry is incomplete, covering less than half the system and rarely tested for gold.

Porphyry copper deposits are normally tested with holes of 300m or deeper (due to the scale of the deposits) but no holes at Marodian are deeper than 100m and almost all are less than 60m. The deepest previous drilling (by the Qld Govt) tested the underground workings around the former Lug I Noor mine at the western extremity of the Marodian system. These holes gave variable results but verified the existence of high grade structures within widespread sub economic grades.

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Fig 7: Map Showing location of Archer Resources Tenements

Fig 8: Marodian Cu Mo Au system targets

DGR Global has also transferred two ELs in the Central Lachlan Fold Belt near Bathurst to Archer. These contain an exciting gold-silver Project at Caloola which already has an historic (non-JORC) gold occurrence of 235,000 tonnes @ 2.5g/t Au. The deepest historic drill hole CP10 stopped in mineralisation at 96m, later assaying 14m of 3.86g/t Au from 82 metres.

During the quarter access negotiations were finalised at Caloola, and drill pads cleared. A 4 hole RC drilling program at Caloola started in early October, with assay results expected to be received prior to Christmas.

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Gold, Silver and Copper

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Fig 10: Pinnacle Gold exploration tenements
on simplified geology
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DGR geoscientists have identified an underexplored area of NSW which exhibits great similarities to previous discoveries by former subsidiary Central Minerals Pty Ltd (now part of SolGold plc) at Rannes in Qld and the North Bowen project area held by associated company Navaho Gold Ltd (ASX: NVG) as shown in Fig. 9. All three areas (Central, Navaho and Pinnacle) flank the eastern side of the Bowen Sydney Basin, exhibit strong structure with aligned magnetic intrusives and feature calcareous and tuffaceous host rocks.

DGR Global subsidiary Pinnacle Gold has now secured a substantial exploration ground position west of the Peel Fault and north of Manilla, NSW. Eight Exploration Licence Applications covering more than 2,400km[2] as shown in Fig. 10 have been granted and field work has started on EL 7859.

Exploration activity on Pinnacle Gold tenements will initially focus on a 50km long structure dotted with historical gold workings extending south east from Barraba. Records of the historic 19[th] century workings in the area, eg. from Readings Reef to Tea Tree Creek, shown in Fig. 11 indicate high grades of visible gold in near surface work on multiple reefs. No previous drilling on these structures has been revealed in research to date, but a report from 1983 indicates good gold values in sheared wall rock associated with one reef. A short drilling program in the vicinity of the Shamrock Reef is planned during the next quarter.

Fig 9: Significant gold occurrences associated with Permo-Carboniferous Belts and the Bowen Basin .

Fig 11: Tea Tree Creek—Readings Reef Area EL7859

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A C T I V I T I E S R E P O R T F O R T H E S E P T E M B E R 2 0 1 2 Q U A R T E R

QUARTERLY REPORT

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Corporate Information

DIRECTORS

William Stubbs (Chairman) Nicholas Mather (Managing Director) Brian Moller Vincent Mascolo

ISSUED CAPITAL

At 30 September 2012, DGR Global Ltd had the following securities on issue:

• 324,202,760 ordinary shares

COMPANY SECRETARY

Karl Schlobohm

• 16 million (unlisted) 28 cent options expiring 29/11/13

EXPLORATION MANAGER

Neil Wilkins

D’Aguilar Gold holds GENERAL MANAGER 35.2 million shares Greg Runge representing 15.6% REGISTERED OFFICE AND HEAD OFFICE of Solomon Gold plc.

DGR Global Limited Level 27, 111 Eagle Street Brisbane QLD 4000 Phone:+ 61 (0)7 3303 0680 Fax:+ 61 (0)7 3303 0681 Website: www.dgrglobal.com.au

AUSTRALIAN STOCK EXCHANGE (“ASX”) ASX Code: DGR (Ordinary shares)

AUSTRALIAN BUSINESS NUMBER

ABN 67 052 354 837

• 11.875 million (unlisted) 28 cent options expiring 28/02/14

• 300,000 (unlisted) 28 cents options expiring 28/02/15

• 5 million (unlisted) 28 cent options expiring 24/04/15

SHAREHOLDING ENQUIRIES

Link Market Services Limited manages DGR Global Ltd’s share registry.

If you would like to monitor your shareholding online, you can do so by visiting Link Market Services website: www.linkmarketservices.com.au and follow the instructions.

INTERNET ADDRESS

All Company announcements, reports and presentations are posted on our website www.dgrglobal.com.au

If you would like to receive news releases by email, please send an email to info@dgrglobal.com.au with the subject “email alerts” or register your details on our website by clicking “Contact Us” and entering your details.

For issuer-sponsored shareholders, if you change address, or if you have any other queries regarding the details of your shareholding, please contact the Company’s share registry directly: Link Market Services Limited Locked Bag A14 SYDNEY Phone: 1300 554 474

Competent Persons Statement

The information in this report that relates to Exploration Results is based on information complied by Nicholas Mather B.Sc (Hons) Geol., who is a Member of the Australian Institute of Mining and Metallurgy. Mr Mather is employed by Samuel Holdings Pty Ltd which provides certain consultancy services including the provision of Mr Mather as the Managing Director of DGR Global Ltd and a Director of its subsidiaries and associates.

Mr Mather has sufficient experience which is relevant to the style of mineralisation and type of deposit being reported and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2005 Edition of the ‘Australian Code for Reporting of Exploration Results, Minerals Resources and Ore Reserves’ (the JORC Code). Mr Mather has consented in writing to the inclusion in this report of the matters based on the information in the form and context in which it appears.

Figure 5

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