EMERALD RESOURCES NL — Interim / Quarterly Report 2015

Oct 29, 2015

30 October 2015

ASX Announcement

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QUARTERLY ACTIVITIES AND CASHFLOW REPORT 30 September 2015

T heBoardofEmeraldR esourcesNL( EMR or Company )ispleasedannouncetheQ uarterlyActivitiesR eport andAppendix5B Q uarterlyCashflow R eportfortheperiodended30S eptember2015.

Yourssincerely,

MORGAN HART Managing Director

EmeraldR esourcesNLACN 009795 046 1110HayS treet,W ES T P ER T H,W A,AU S T R ALIA,6005 P O Box1408W estP erthW A 6872 T :1300729543 F:1300729528 E:info@ emeraldresources.com.au

Quarterly Activities Report – September 2015

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Appalachian Gas - Magoffin County, Kentucky

(Emerald 5% OverridingR oyalty Interest)

O n 22 July2015,the Companyannouncedthatithadassignedthe variousoilandgasinterestslocatedin M agoffinCounty,Kentucky(Leases)toS loneEnergyLLC (S loneEnergy)fora nominalconsiderationinreturn forEM R retaininga 5% overridingroyaltyinterestinallgasproductionfrom theLeases(R oyaltyInterest).

T heR oyaltyInterestw illcontinueoveranynew oilandgasleaseacquiredbyS loneEnergyw herethatnew oilandgas lease is in respectofany partofan area thatw as the subjectofthe Leases thatmay be relinquished,surrenderedornotrenew ed.

Duringthe quarter,there w asno productrecoveredandsoldfrom the Leasesandthe royaltyreceivedfor theperiodw asnil.

New P rojects

Duringthequarter,EM R continuedto identifysuitableprojectsin theenergyandbroaderresourcessector andevaluate theircommercialvalue in the currentinvestmentclimate.Aspartofthisprocess,EM R has engagedhighlyexperiencedminingconsultantsw hohaveachieveda significantlevelofcommercialsuccess indevelopingglobalresourceprojectsandmaximisingshareholderreturns.

Corporate

Directors

M rS imonLeeAO -Chairman M rM organHart -M anagingDirector M rR ossS tanley -NonExecutiveDirector M rR ossW illiams -NonExecutiveDirector

Cash Position

At30S eptember2015 theGrouphad$17.89m cashonhand(30June2015:$17.93m).

Issued Capital

Issuedcapitalasat30S eptember2015 w as1,306,594,114 fullypaidordinaryshares.T heCompany’smarket capitalisationasat30S eptember2015 w asapproximately$26.13m (@ $0.02)(30June2015:$24.83m).

EmeraldR esourcesNLACN 009795 046

Quarterly Activities Report – September 2015

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Public Announcements

T heCompanymadethefollow ingannouncementssince1 July2015 tothedateofthisreport:

Date	Headline
23/10/2015	NoticeofAnnualGeneralM eeting/P roxyForm
16/10/2015	ChangeofDirector'sInterestNotice
01/10/2015	Appendix4G -CorporateGovernanceDisclosures
01/10/2015	AnnualR eport2015
21/09/2015	ChangeofDirector'sInterestNotice
15/09/2015	Changeinsubstantialholding
11/09/2015	ChangeofDirector'sInterestNotice
08/09/2015	ChangeofDirector'sInterestNotice
04/09/2015	ChangeofDirector'sInterestNotice
31/08/2015	ChangeofDirector'sInterestNotice
31/07/2015	Q uarterlyActivitiesandCashflow R eportJune2015
22/07/2015	EmeraldtoEarnR oyaltyInterestfrom O ilandGasLeases

Formoreinformationpleasecontact:

MORGAN HART Managing Director

EmeraldR esourcesNLACN 009795 046

Append ix5B M ining exploration entityquarterlyreport

Ru le 5 .3

Appe n dix 5B

Min in g e xplo ra tio n e n tity q ua rte rly re po rt

Introd uced 01/07/96 Orig in Append ix8 Am end ed 01/07/97, 01/07/98, 30/09/01, 01/06/10, 17/12/10

Nam e of entity

Nam e of entity
Em erald ResourcesNL
ABN 009795046	Q uarterend ed (“currentquarter”)
009795046	30Septem b er2015

Consolid ated state m entof cash flows

Cash flowsre late d to ope rating activitie s 1.1 Receiptsfrom prod uctsalesand relate d d eb tors 1.2 Paym entsfor (a) exploration & eva lua tion (b ) d evelopm e nt (c) prod uction (d ) ad m inistration 1.3 Divid end sreceived 1.4 Interesta nd oth eritem sof a sim ilarnature received 1.5 Interesta nd oth ercostsof finance paid 1.6 Incom e taxespaid 1.7 Oth er(provid e d etailsif m a terial) Ne tOpe rating Cash Flows	Currentquarter $A’000	Yearto d ate (3m onth s) $A’000
	- (80) - - (123) - 160 - - -	- (80) - - (123) - 160 - - -
	(43)	(43)
Cash flowsre late d to inve sting activitie s 1.8 Paym entforpurch asesof: (a) prospects (b ) equityinvestm ents (c) oth erfixed assets 1.9 Proceed sfrom sale of: (a) prospects (b ) equityinvestm ents (c) oth erfixed assets 1.10 Loansto oth erentities 1.11 Loansrepaid b yoth erentities 1.12 Oth er(provid e d etailsif m a terial) Ne tinve sting cash flows 1.13 Totaloperating a nd investing cash flows (carried forward)	- - - - - - - - -	- - - - - - - - -
	-	-
	(43)	(43)

+See ch apter19ford efined term s.

17/12/2010Append ix5B Pag e 1

Append ix5B M ining exploration entityquarterlyreport

1.13 Totaloperating a nd investing cash flows (b rough tforward)	(43)	(43)
Cash flowsre late d to financing activitie s 1.14 Proceed sfrom issuesof sh ares, options, etc. 1.15 Proceed sfrom sale of forfeited sh ares 1.16 Proceed sfrom b orrowing s 1.17 Repaym e ntof b orrowing s 1.18 Divid end spaid 1.19 Oth er(costsof sh are issue) Ne tfinancing cash flows	- - - - - -	- - - - - -
	-	-
Ne tincre ase (d e cre ase )in cash h e ld 1.20 Cash atb eg inning of quarte r/yearto d a te 1.21 Exch a ng e rate ad justm e ntsto item 1.20 1.22 Cash ate nd ofquarte r	(43) 17,928 -	(43) 17,928 -
	17,885	17,885

Paym entsto d irectorsof th e entityand associatesof th e d irectors Paym entsto related entitiesof th e entityand associatesof th e related entitie s

1.23 1.24	Ag g reg ate am ountof paym entsto th e partiesinclud e d in item 1.2 Ag g reg ate am ountof loa nsto th e partiesinclud e d in item 1.10	Currentquarter $A'000
		66
		-
1.25	Expla nation necessaryforan und erstand ing of th e transactions
	Th e am ounta b ove includ e spaym entsto d irectorsand to com pa niesassociated with th e d irectorsforth isquarter.

Non-cash financing and investing activities

• 2.1 Detailsof financing and investing transactionswh ich h ave h ad a m aterialeffecton consolid a ted assetsand liab ilitiesb utd id notinvolve ca sh flows N/A

• 2.2 Detailsof outlaysm ad e b yoth erentitiesto estab lish orincrease th eirsh are in projectsin wh ich th e re porting e ntityh asan interest N/A

+See ch apter19ford efined term s.

Append ix5B Pag e 2

17/12/2010

Append ix5B M ining exploration entityquarterlyreport

Financing facilitiesavailab le

Add notes as neces s ary for an u nders tanding ofthe p os ition.

	3.1 Loan facilities 3.2 Cred itstand b yarrang e m ents	Am ountavailab le $A’000	Am ountused $A’000
		Nil	Nil
		Nil	Nil

Estim ated cash outflowsfornextquarter

4.1 Exploration and evaluation 4.2 Developm ent 4.3 Prod uction 4.4 Ad m inistration	$A’000
	80
	-
	-
	120
Total	200

Re co n cilia tio n o fca sh

Re co n cilia tio n o fca sh
Reconciliation of cash a tth e end of th e quarter(as sh own in th e consolid a ted statem entof cash flows) to th e rela ted item sin th e a ccountsisasfollows.	Currentquarter $A’000	Previousquarter $A’000
5.1 Cash on h a nd and atb a nk 5.2 Depositsatca ll 5.3 Bankoverd raft 5.4 Oth er(provid e d etails)	165	208
	17,720	17,720
	-	-
	-	-
Total:cash ate nd of quarte r(item 1.22)	17,885	17,928

Ch ang e sin interestsin m ining tene m e nts

6.1 Interestsin m ining tenem entsrelinquish ed , red uced orla psed 6.2 Interestsin m ining tenem entsacquired or increased	Tenem ent reference	Nature of interest (note (2))	Interesta t b eg inning ofquarter	Interesta t end of quarter
	N/A
	N/A

+See ch apter19ford efined term s.

17/12/2010Append ix5B Pag e 3

Append ix5B M ining exploration entityquarterlyreport

Issue d and quoted securitiesatend of currentquarter

Des crip tion inclu des rate ofinteres t andany redem p tion or convers ion rights together w ithp rices and dates .

	Totalnum b er	Num b er quoted	Issue price per security(see note 3)(cents)	Am ountpaid up per security(see note 3) (cents)
7.1 Pre fe re nce +se curitie s (des crip tion) 7.2 Ch ang esd uring quarter (a) Increases th roug h issues (b ) Decreases th roug h returnsof capita l, b uy-b a cks, red em ptions	N/A
7.3 +O rd inary se curitie s 7.4 Ch ang esd uring quarter (a) Increases th roug h issues (b ) Decreases th roug h returnsof capita l,b uy-b a cks	1,306,594,114	1,306,594,114
	-	-
7.5 +Conve rtib le d e b tse curitie s (des crip tion) 7.6 Ch ang esd uring quarter (a) Increases th roug h issues (b ) Decreases th roug h securities m atured , converted	N/A
7.7 O ptions (des crip tion and convers ion factor) 7.8 Issued d uring quarter 7.9 Exercised d uring quarter 7.10 Expired d uring quarter	20,000,000	-	E ercis e Price $0.025	E p iry Date 21January2020
	-
	-
	-
7.11 De b e nture s (totals only)	N/A
7.12 U nse cure d note s (totals only)	N/A

+See ch apter19ford efined term s.

Append ix5B Pag e 4

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Append ix5B M ining exploration entityquarterlyreport

Co m plia n ce sta te m e n t

• 1 Th isstatem enth asb een prepared und eraccounting policieswh ich com plywith accounting stand ard sasd efined in th e CorporationsActoroth erstand ard s acceptab le to ASX (see note 5).

• 2 Th isstatem entd oesg ive a true and fairview of th e m attersd isclosed .

M ARKCLEM ENTS Com panySecretary

30O ctob er2015

N o te s

• 1 Th e quarterlyreportprovid esa b asisforinform ing th e m arketh ow th e entity’s activitiesh ave b een financed forth e pastquarterand th e effecton itscash position.An entitywanting to d isclose ad d itionalinform ation isencourag ed to d o so, in a note ornotesattach ed to th isreport.

• 2 Th e “Nature of interest”(item s6.1and 6.2)includ esoptionsin respectof interestsin m ining tenem entsacquired , exercised orlapsed d uring th e reporting period .If th e entityisinvolved in a jointventure ag reem entand th ere are cond itionspreced entwh ich willch ang e itspercentag e interestin a m ining tenem ent, itsh ould d isclose th e ch ang e of percentag e interestand cond itionspreced entin th e listrequired foritem s6.1and 6.2.

• 3 Issued and quoted securities Th e issue price and am ountpaid up isnot required in item s7.1and 7.3forfullypaid securities .

• 4 Th e d efinitionsin, and provisionsof, AASB6 :Ex p loration for andEvalu ation of M ineralRes ou rces and AASB1 0 :Statem ent ofCas h Flow s applyto th isreport.

• 5 Accounting Stand ard sASX willaccept, forexam ple, th e use of International FinancialReporting Stand ard sforforeig n entities.If th e stand ard sused d o not ad d ressa topic, th e Australian stand ard on th attopic (if any)m ustb e com plied with .

+See ch apter19ford efined term s.

17/12/2010Append ix5B Pag e 5