FIRSTWAVE CLOUD TECHNOLOGY LIMITED — Interim / Quarterly Report 2013

Jan 30, 2013

ASX
ANNOUNCEMENT
-­‐
31
JANUARY
2013

**ASX

RELEASE**

Tellus
Resources
Ltd
is
an Australian-­‐based
mineral exploration
company.

On
16
May
2012
Tellus announced
it
had purchased
the
Chillagoe Gold
Project
from
Premier Mining
Pty
Ltd.

The
Chillagoe
Gold
Project includes
Exploration Permits
covering
a combined
area
of
~28,878 hectares
plus
Mining Leases
covering
a combined
area
of
approx. 480
hectares,
including
the Wandoo
&
Empire prospects.

In
addition
Tellus
has
a large
tenement
package
in regional
New
South
Wales prospective
for
Intrusive Related
Gold
Deposits (IRG).

A
key
part
of
the Company's
strategy
is
to actively
pursue
the acquisition
of,
and/or participation
in
additional advanced
resource projects.

Directors/Officers:

Anthony
Wehby Stephen
Woodham Richard
Willson Ben
Salmon Anne
Adaley

**Issued

Shares
and Options:**

**QUARTERLY

ACTIVITIES
REPORT DECEMBER
2012**

HIGHLIGHTS

• Identification
  of
  Simpsons,
  a
  new
  prospect
  within
  the
  Chillagoe Gold
  Project

• Continued
  assessment
  &
  evaluation
  of
  project
  opportunities

Introduction

During
the
December
quarter,
Tellus
focussed
on
reviewing
and
assessing
the regional
prospectivity
at
its
Chillagoe
Gold
Project
in
North
Queensland.

The
Company
continued
an
active
program
to
identify
and
evaluate
additional new
opportunities
throughout
the
quarter.

In
addition,
the
Company
has continued
to
investigate
ways
to
maximise
the
value
of
its
NSW
assets.

**CHILLAGOE

GOLD
PROJECT,
QLD
(TLU
100%)**

Review
and
evaluation
of
the
regional
prospectivity
outside
of
the
Empire
and Wandoo
Mining
Leases
continued
to
aid
in
planning
exploration
into
the
2013
dry season.

Additional
surface
geochemistry
not
previously
identified
was
discovered
from old
reports
from
a
prospect
called
Simpsons
with
EPM18398.
Simpsons
lies approximately
5.5km
south-­‐east
of
the
Wandoo
mining
leases
along
strike
of
the Palmerville
Fault
Zone.

EPM18398
was
granted
on
the
9[th] August
2012
for
five
years.
A
large
number
of surface
rockchips
were
collected
by
Houston
Oil
and
Minerals
Australia
(HOMA) in
1981.
The
sampling
was
conducted
around
old
fluorite
workings
referred
to
as Simpsons.
The
results
of
the
sampling
returned
strong
gold,
silver,
lead
and anomalous
in
zinc
and
copper
similar
to
the
base
metal
signatures
at
Red
Dome and
Mungana
about
12km
to
the
north-­‐east.

Rockchip
sampling
recorded
gold
up
to
31
g/t,
lead
to
16.1%
and
silver
to
297
g/t. Simpsons
is
in
close
proximity
to
the
Wandoo
Mining
Leases
and
Red
Dome
– Mungana.

The
high
grade
surface
samples
collected
at
Simpsons
highlights
the
broader prospectivity
of
the
Chillagoe
Project
outside
of
the
existing
Mining
Leases
and complements
the
significant
results
previously
achieved
at
Empire
and
Wandoo.

Simpsons
will
be
investigated
in
the
2013
field
season.

44,380,555
shares 11,000,000
unlisted options

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TELLUS
RESOURCES
LTD
-­‐
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Activities
and
Cashflow
Report
-­‐
December
2012

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Figure
1
–
Chillagoe
Project
Tenement
Locations.
EPM18397
and
EPM18398
granted
during
the September
quarter. The
solid
green
indicates
the
Red
Dome
Mungana
Mining
Leases

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RESOURCES
LTD
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Activities
and
Cashflow
Report
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December
2012

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----- Start of picture text -----

Simpsons
Simpsons
Rockchip
Sampling
Highlights
Sample Au
(g/t) Pb
(%) Ag (g/t)
90293 31 16.1 197
90294 0.41 10.8 297
90300 16.1 0.0 3
90361 1.3 5.4 205
90362 18.9 10.6 44
----- End of picture text -----

Figure
2
–
Compiled
Rockchip
Sampling Blue
points
are
rockchip
locations
from
previous
explorers

CORPORATE

During
the
quarter,
Mr
Ben
Salmon
RFD
QC
was
appointed
as
a
director
of
the
Company.
Mr Salmon
has
practised
in
many
areas
of
the
law
including
commercial
and
company
matters
and was
appointed
Queens
Counsel
in
1985.
He
represents
Asia
Pacific
Mining
Capital
Pte
Ltd,
a cornerstone
investor
of
Tellus.

**Finance

Summary**

• At
  31
  December
  2012
  the
  Company
  had
  available
  cash
  totalling
  $2.6M.

• Exploration
  and
  evaluation
  expenditure
  for
  the
  quarter
  was
  $46K.

• Total
  cash
  outflow
  for
  operating
  activities
  for
  the
  quarter
  is
  $360K
  of
  which
  32%
  or
  $115K of
  total
  operating
  activities
  expenditure
  was
  incurred
  on
  business
  development
  costs including
  identifying
  and
  evaluation
  of
  new
  projects.

**Shareholder

Information**

As
at
31
December
2012,
the
issued
capital
comprised
of
44,380,555
ordinary
fully
paid
shares (ASX
code:
TLU)
held
by
380
holders
with
the
top
20
shareholders
holding
58.8%
of
the
total issued
capital.

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RESOURCES
LTD
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and
Cashflow
Report
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December
2012

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OUTLOOK

During
the
March
quarter,
Tellus
will
further
investigate
regional
prospectivity
at
its
Chillagoe Gold
Project
which
will
include
the
newly
identified
Simpsons
prospect.

The
Company
continues
to
pursue
an
active
program
to
identify
and
evaluate
new opportunities
to
enhance
its
portfolio
of
assets
whilst
endeavouring
to
maximise
the
value
of its
NSW
assets.

For
further
information
on
this
announcement
or
Tellus
Resources
please
contact:

Stephen
Woodham Anne
Adaley Managing
Director Company
Secretary
&
Chief
Financial
Officer T:
0417
293
449 T:
02
9231
6231 E:
stephen.woodham@tellusresources.com.au E:
anne.adaley@tellusresources.com.au

**About

Tellus**

Tellus
Resources
Ltd
is
an
ASX-­‐listed
mineral
exploration
company
focused
on
generating
value
for
its
shareholders by
identifying
and
acquiring
properties
and
projects
that
have
significant
discovery
and
development
potential.

Tellus
has
acquired
a
large
tenement
package
in
northern
Queensland
and
regional
New
South
Wales
prospective for
Intrusive
Related
Gold
Deposits
(IRG).
The
strategic
objectives
of
the
Company
are
to
enhance
Shareholder wealth
through
implementing
exploration
programs
on
its
existing
projects
whilst
continuing
to
evaluate
additional exploration
and
value-­‐accretive
opportunities
within
Australia
and
internationally.

**Competent

Person’s
Statement**

The
information
in
this
report
that
relates
to
Exploration
Results
based
on
information
provided
by
Mr
D
Ward, Member
of
Australasian
Institute
of
Mining
and
Metallurgy
and
Senior
Exploration
Consultant
to
Tellus
Resources Ltd.
Mr
Ward
has
sufficient
experience
that
is
relevant
to
the
style
of
mineralisation
and
type
of
deposit
under consideration
and
to
the
activity
which
he
is
undertaking
to
qualify
as
a
Competent
Person
as
defined
in
the
2004 Edition
of
the
Australasian
Code
for
Reporting
of
Exploration
Results,
Mineral
Resources
and
Ore
Reserves.
Mr Ward,
consents
to
the
inclusion
in
the
report
of
the
matters
based
on
his
information
in
the
form
and
context
in which
it
appears.

Disclaimer

This
document
has
been
prepared
by
Tellus
Resources
Ltd
(“Tellus”)
and
may
contain
some
references
to
forecasts, estimates,
assumptions
and
other
forward
looking
statements.
These
forward-­‐looking
statements
reflect
the current
internal
projections,
expectations
or
beliefs
of
Tellus
based
on
information
currently
available
to
Tellus. Although
the
company
believes
that
its
expectations,
estimates
and
forecast
outcomes
are
based
on
reasonable assumptions,
it
can
give
no
assurance
that
they
will
be
achieved.
They
may
be
affected
by
a
variety
of
variables
and changes
in
underlying
assumptions
that
are
subject
to
risk
factors
associated
with
the
nature
of
the
business,
which could
cause
actual
results
to
differ
materially
from
those
expressed
herein.
Statements
concerning
reserves
and/or resources
may
also
be
deemed
to
be
forward
looking
statements
in
that
they
involve
elements
based
on
specific assumptions.

Tellus
Resources
Ltd
has
taken
all
reasonable
care
in
producing
the
text
and
images
contained
in
this
report
but
do not
warrant
that
the
information
contained
herein
is
accurate
or
up
to
date.
The
information
in
this
report
is
based on
publicly
available
information,
internal
data
and
information
from
other
sources.

It
is
not
intended
to
give investment
or
other
advice
to
any
party
or
individual(s)
and
the
information
is
not
a
substitute
for
detailed investigation
or
analysis.

Tellus
Resources
Ltd
will
not
be
responsible
for
any
loss
or
damage
(direct
or
indirect, consequential
or
otherwise)
resulting
from
the
use
of
information
provided
in
this
report.

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APPENDIX 5B

Mining exploration entity quarterly report

Introduced 01/07/96 Origin Appendix 8 Amended 01/07/97, 01/07/98, 30/09/01, 01/06/10, 17/12/10

Name of entity
Tellus Resources	Ltd
ABN 35 144 733 595 Consolidated statement of cash flows	Quarter ended (“current quarter”)
		31 December 2012
Cash flows related to operating activities 1.1 Receipts from product sales and related debtors 1.2 Payments for (a) exploration and evaluation (b) development (c) production (d) administration 1.3 Dividends received 1.4 Interest and other items of a similar nature received 1.5 Interest and other costs of finance paid 1.6 Income taxes paid 1.7 Other (provide details if material) Net operating cash flows		Current quarter $A’000	Year to date (6 months) $A’000
		- (46) - - (314) - 23 - - -	- (427) - - (580) - 51 - - -
		(337)	(956)
Cash flows related to investing activities 1.8 Payment for purchases of: (a) prospects (b) equity investments (c) other fixed assets 1.9 Proceeds from sale of: (a) prospects (b) equity investments (c) other fixed assets 1.10 Loans to other entities 1.11 Loans repaid by other entities 1.12 Other (provide details if material) Net investing cash flows		(20) - - - - - - - -	(20) - - - - - - - -
		(20)	(20)
1.15 Total operating and investing cash flows (carried forward)		(357)	(976)

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1.15 Total operating and investing cash flows (brought forward)	(357)	(976)
Cash flows related to financing activities 1.16 Proceeds from issues of shares, options, etc. 1.17 Proceeds from sale of forfeited shares 1.18 Proceeds from borrowings 1.19 Repayment of borrowings 1.20 Dividends paid 1.21 Other – Capital raising costs Net financing cash flows	- - - - - -	- - - - - -
	-	-
Net increase (decrease) in cash held 1.22 Cash at beginning of quarter/year to date 1.23 Exchange rate adjustments to item 1.20 1.24 Cash at end of quarter	(357) 3,010 -	(976) 3,629 -
	2,653	2,653

Payments to directors of the entity and associates of the directors Payments to related entities of the entity and associates of the related entities

1.25 1.26	Aggregate amount of payments to the parties included in item 1.2 Aggregate amount of loans to the parties included in item 1.10	Current quarter $A'000
		90
		-
1.27	Explanation necessary for an understanding of the transactions
	Directors fees /salary for the period: $90,000

Non-cash financing and investing activities

2.1 Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows Nil

• 2.2 Details of outlays made by other entities to establish or increase their share in projects in which the reporting entity has an interest Nil

Financing facilities available

Add notes as necessary for an understanding of the position.

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

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Estimated cash outflows for next quarter

• $A’000

• 4.1 Exploration and evaluation 54 4.2 Development - 4.3 Production - 4.4 Administration 284 Total 338

Reconciliation of cash

Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows.

• 5.1 Cash on hand and at bank

• 5.2 Deposits at call 5.3 Commercial Bills 5.4 Other: Term Deposit

Total: cash at end of quarter (item 1.22)

	Current quarter	Previous quarter
	$A’000	$A’000
	15	35
	2,598	2,935
	-	-
	40	40
	2,653	3,010

Changes in interests in mining tenements

• 6.1 Interests in mining tenements relinquished, reduced or lapsed

• 6.2 Interests in mining tenements acquired or increased

Tenement reference	Nature of interest	Interest at beginning of quarter	Interest at end of quarter
None
None

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Issued and quoted securities at end of current quarter

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

	Total number	Number quoted	Issue price per security see note 3)	Amount paid up per security (see note 3)
7.1 Preference+securities(description) 7.2 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy- backs, redemptions
7.3 +Ordinary securities 7.4 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy- back	44,380,555	34,683,000
7.5 Convertible debt securities(description) 7.6 Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted
7.7 Options Unlisted Unlisted Unlisted 7.8 Issued during quarter 7.9 Exercised during quarter 7.10 Expired during quarter 7.11Debentures (totals only) 7.12Performance Rights (totals only) 7.13Unsecured notes (totals only)	4,800,000 1,200,000 5,000,000	- - -	Exercise price 30 cents 30 cents 25 cents	Expiry date 31 Mar 2014 30 Apr 2014 25 Sep 2014
	1,050,000	-

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Compliance statement

• 1 This statement has been prepared under accounting policies which comply with accounting standards as defined in the Corporations Act or other standards acceptable to ASX (see note 5).

• 2 This statement does give a true and fair view of the matters disclosed.

Sign
here: Anne
Adaley Date:
31
January
2013

Company
Secretary

Notes

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

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

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

• 4 The definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report.

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

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RESOURCES
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2012