GENESIS RESOURCES LIMITED — Interim / Quarterly Report 2015

Jan 28, 2016

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GENESIS RESOURCES LIMITED  Level 1  61 Spring Street  Melbourne  VIC 3000

T +61 3 9286 7500  F +61 3 9662 1472  www.genesisresourcesltd.com.au  ABN 22 114 787 469

Quarterly Activities Report – December 2015

HIGHLIGHTS

Plavica Au-Ag-Cu Project

• The extensional drilling program continued at Plavica during the quarter ended 31 December 2015 ( Quarter ). A total of 11 core holes were drilled for a total of 1,837.7m, focussing on follow up drilling at Maricanski Rid. The highlights were new gold intersections drilled 100m to the east and west of the high grade mineralisation reported last Quarter (24m @ 6.39 g/t Au from 0m). Results included:

• MRDD010: 69.6m @ 1.01 g/t Au from 4.4m

• MRDD015: 18m @ 3.73 g/t Au from 32m

• In addition, hole MRDD014, collared behind the high grade mineralisation from last quarter, was terminated early due to broken ground and vuggy silica but the entire hole returned high grade results:

• MRDD014: 38.8m @ 5.71 g/t Au from 0m to End of Hole (EOH).

EXPLORATION & DEVELOPMENT PROGRESS DURING THE QUARTER

REPUBLIC OF MACEDONIA

PLAVICA HIGH SULPHIDATION EPITHERMAL GOLD-COPPER-SILVER PROJECT (Figures 1 & 2)

Following the granting of the 30 year Exploitation Licence at Plavica in May 2015, drilling has focussed in 2015 on extending and better understanding the previously known mineralisation at both the Plavica and Maricanski Rid prospects. Eleven holes were drilled during the Quarter for 1,837.7m of HQ drill core. Of these 11 holes (MRDD010 to MRDD018 and PNDD070 to PNDD071), results have been returned for all but the two Plavica holes (PNDD070 to 071). In addition, results have also been returned for five holes drilled last Quarter on the Plavica prospect that had not been previously reported. These holes are PNDD065 to PNDD069. All the afore-mentioned drill hole locations are shown in Table 1 and Figure 2.

Results from the follow up extensional drilling at Maricanski Rid are encouraging and include:

MRDD010: 69.6m @ 1.01 g/t Au from 4.4m MRDD012: 44m @ 0.83 g/t Au from 19m MRDD013: 31m @ 0.85 g/t Au from 58m MRDD014: 38.8m @ 5.71 g/t Au from 0m to End of Hole (EOH). MRDD015: 18m @ 3.73 g/t Au from 32m MRDD018: 31m @ 0.76 g/t Au from 132m

Genesis Resources Limited | Quarterly Activities Report | October 2015 – December 2015

Page 1

All intersections listed above are in oxide material. Hole MRDD014 was terminated early due to poor drilling conditions in vuggy silica and will be re-drilled as it ended in high grade.

Results from 5 holes drilled over the central part of the Plavica prospect in the September Quarter returned encouraging results including:

PNDD065: 27m @ 0.91 % Cu, 0.25 g/t Au & 26 ppm Ag from 211m PNDD067: 5m @ 2.72 % Cu, 1.05 g/t Au & 48 ppm Ag from 184m

Drill collar details are shown in Table 1 and their locations are shown in Figure 2. Composites from results received this Quarter are shown in Tables 2, 3 and 4. Two sections through Maricanski Rid are shown in Figures 3 and 4.

Drilling has been suspended at Plavica and Maricanski Rid due to the onset of winter. Genesis aims to resume drilling and then complete a JORC compliant Resource in early 2016. Genesis then expects to complete a feasibility study before October 2017, and has agreed to commit up to US $7.5m for these activities.

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Figure 1 (above) Location of the Plavica Gold-Copper-Silver Project, Republic of Macedonia.

Genesis Resources Limited | Quarterly Activities Report | October 2015 – December 2015

Page 2

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Figure 2 Location of Holes drilled or assays reported, QTR 4 2015, Plavica Gold-Copper-Silver Project. Gauss Kruger Co-ordinate System.

Hole ID	Final Depth (m)	East(GK)	North(GK)	Dip	Azm	RL	Type
MRDD010	103.1	7597375	4656312	-60	360	1175	DD
MRDD011	179	7597375	4656304	-50	180	1176	DD
MRDD012	145.3	7597289	4656198	-50	360	1170	DD
MRDD013	137.5	7597387	4656215	-50	180	1197	DD
MRDD014	38.8	7597490	4656237	-55	180	1219	DD
MRDD015	176.9	7597592	4656250	-55	180	1202	DD
MRDD016	187.2	7597669	4656272	-45	180	1200	DD
MRDD017	185.05	7597744	4656346	-50	360	1204	DD
MRDD018	203.75	7597744	4656350	-50	180	1204	DD
PNDD070	271.5	7597953	4656774	-50	360	1270	DD
PNDD071	209.6	7597959	4656817	-50	360	1280	DD

Table 1 Details of Holes drilled, QTR 4 2015, Plavica Gold-Copper-Silver Project. Gauss Kruger Co-ordinate System. NB Collars have not yet been surveyed.

Genesis Resources Limited | Quarterly Activities Report | October 2015 – December 2015

Page 3

Hole ID	From	To	Interval	Auppm	CU %	Ag ppm
PNDD065	47	52	5	0.62	0.00	9.40
PNDD065	111	114	3	0.54	0.21	7.00
PNDD065	213	217	4	0.78	2.61	118.75
PNDD066	120	123	3	0.44	0.53	1.00
PNDD067	168	171	3	1.26	1.03	38.67
PNDD067	186	190	4	1.31	3.24	58.75
PNDD067	205	212	7	0.43	0.16	12.57
PNDD069	165	171	6	0.43	0.10	4.00

Table 2 (above): Significant Core Drilling Gold Results received, QTR 4 2015, Plavica Prospect Area. Compositing done with a 0.4 g/t Au cut-off, minimum 3m interval, maximum 3m internal waste. Core samples are all orientated standard HQ size core split in two using a core saw. Half the core was sampled at 1m intervals and the other half retained for reference purposes. All core was logged and photographed prior to sampling. Samples were sent to SGS Laboratories in Ankara, Turkey. Samples were assayed for gold by 30g Fire Assay and other elements by ICP. Standards, Blanks and Duplicates were also submitted for Laboratory Quality Assurance / Quality Control (QAQC). Intercept widths are not necessarily true widths.

Hole ID PNDD065 PNDD065 PNDD065 PNDD066 PNDD066 PNDD067 PNDD067 PNDD067 PNDD069	From	To	Interval	CU %	Auppm	Ag ppm
	120	123	3	0.98	0.40	9.00
	187	194	7	0.63	0.20	8.29
	211	238	27	0.91	0.25	26.33
	110	116	6	1.54	0.21	1.33
	120	126	6	0.42	0.41	4.67
	89	92	3	0.34	0.16	26.67
	165	170	5	0.83	0.76	23.20
	184	189	5	2.72	1.05	48.00
	73	78	5	0.53	0.02	3.60

Table 3 (above): Significant Core Drilling Copper Results received, QTR 3 2015, Plavica Prospect Area. Compositing done with a 0.3 % Cu cut-off, minimum 3m interval, maximum 3m internal waste. Intercept widths are not necessarily true widths.

Genesis Resources Limited | Quarterly Activities Report | October 2015 – December 2015

Page 4

Hole ID	From	To	Interval	Auppm	CU %	Ag ppm
MRDD010	4.4	74	69.6	1.01	0.01	4.35
MRDD011	3	14	11	0.50	0.03	3.73
MRDD011	35	40	5	0.44	0.02	1.80
MRDD011	43	50	7	0.41	0.01	2.00
MRDD011	55	58	3	0.50	0.00	2.33
MRDD011	61	64	3	0.47	0.00	1.33
MRDD011	74	77	3	0.66	0.01	2.33
MRDD011	87	90	3	0.52	0.00	1.00
MRDD011	94	109	15	0.44	0.00	1.20
MRDD012	8	12	4	0.60	0.02	3.25
MRDD012	19	63	44	0.83	0.01	2.18
MRDD012	67	80	13	0.63	0.00	1.23
MRDD012	85	98	13	0.44	0.00	1.00
MRDD012	132	139	7	0.64	0.01	1.00
MRDD013	25	36	11	0.66	0.00	2.00
MRDD013	40	48	8	1.00	0.00	3.00
MRDD013	58	89	31	0.85	0.01	3.81
MRDD013	94	105	11	0.51	0.01	1.73
MRDD013	114	117	3	0.57	0.03	1.00
MRDD014	0	38.8	38.8	5.71	0.01	22.86
MRDD015	3	7	4	0.77	0.00	2.75
MRDD015	32	50	18	3.73	0.02	11.22
MRDD015	108	114	6	1.06	0.02	9.33
MRDD015	143	147	4	0.79	0.02	3.00
MRDD016	3	10	7	1.31	0.01	4.29
MRDD016	144	149	5	0.80	0.04	5.80
MRDD017	132	135	3	4.17	0.02	6.33
MRDD017	148	151	3	0.58	0.03	9.33
MRDD017	179	185.05	6.05	0.58	0.01	5.41
MRDD018	81	99	18	0.61	0.01	2.50
MRDD018	119	126	7	0.69	0.06	1.14
MRDD018	132	163	31	0.76	0.03	2.16
MRDD018	196	203.75	7.75	1.13	0.01	9.48

Table 4 (above): Significant Core Drilling Gold Results received, QTR 3 2015, Maricanski Rid Prospect Area. Compositing done with a 0.4 g/t Au cut-off, minimum 3m interval, maximum 3m internal waste. Core samples are all orientated standard HQ size core split in two using a core saw. Half the core was sampled at 1m intervals and the other half retained for reference purposes. All core was logged and photographed prior to sampling. Samples were sent to SGS Laboratories in Ankara, Turkey. Samples were assayed for gold by 30g Fire Assay and other elements by ICP. Standards, Blanks and Duplicates were also submitted for Laboratory Quality Assurance / Quality Control (QAQC). Intercept widths are not necessarily true widths.

Genesis Resources Limited | Quarterly Activities Report | October 2015 – December 2015

Page 5

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Figure 3 Maricanski Rid Section 7597500E Gauss Kruger, looking East. Section shows MRDD014 plus previous Genesis holes PNRC068 and PNRC069, MRDD006 and previous Rio Tinto hole PLV004 .

Genesis Resources Limited | Quarterly Activities Report | October 2015 – December 2015

Page 6

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Figure 4 Maricanski Rid Section 7597600E Gauss Kruger, looking East. Section shows MRDD015 plus previous Genesis holes PNRC070 and PNRC071 and MRDD007 .

Genesis Resources Limited | Quarterly Activities Report | October 2015 – December 2015

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Figure 5 Location of Australian Projects.

AUSTRALIA

ARLTUNGA PROJECT: Copper, Gold, (GES 100%)

The Arltunga Gold Project consists of Exploration Licence EL25238 covering 95.2 sq km, is located approximately 110 km northeast of Alice Springs (Figure 5) in the vicinity of the Arltunga Goldfield. Thirty three historical gold mines and prospects are known in the licence area.

The Licence Renewal was approved on 6 February 2015 for a term of 2 years and will expire on 7 November 2016. All 31 sub-blocks were retained.

A full review of all available data is currently underway, with the aim of defining targets for Reverse Circulation drilling in Q2 2016.

The 9[th] Annual Technical Report was lodged on 9 November 2015 and accepted as satisfactory by the DME on the 19 November 2015.

No field work was carried out during the current Quarter.

ALICE SPRINGS PROJECT: Copper, Gold, Iron (GES 100%)

The Alice Springs Project consists of Exploration Licence EL24817 covering 372.59 sq km, is located approximately 110155 km northeast from Alice Springs in the Northern Territory (Figure 5) .

A Licence Renewal Application was lodged on 1 April 2014. It was approved on 13 October 2014 for a further term of 2 years and will expire on 17 April 2016. All 118 sub-blocks were retained.

No field work was carried out. In addition a full review of all available data is underway to define targets for RC drill testing

during Q2 2016.

Genesis Resources Limited | Quarterly Activities Report | October 2015 – December 2015

Page 8

GLADSTONE-MOUNT MILLER PROJECT: Manganese (GES 100%)

The Gladstone-Mount Miller Project consists of Exploration Licence (EPM15771) covering 63.93 sq km and Mining Lease Application (MLA80166) covering 32.24 Ha and is located approximately 15 km by road from the port of Gladstone on the east coast of central Queensland (Figure 5) .

The largest mine on the tenements controlled by Genesis was at Mount Miller. The mine opened in 1895 and operated intermittently until 1916 and then from 1958 to 1960. A total of 21,785 tonnes of ore was mined with a grade which ranged from 71% to 75% MnO2.

The Licence Renewal was approved on 7 May 2013 for a term of 5 years and will expire on 18 June 2017. All 21 subblocks were retained.

The 8[th] Annual Technical Report was lodged on 15 July 2015.

No field work was carried out. A review of all available data is underway to confirm if more drilling is necessary at the Mt Miller mine and if other prospect areas on the tenement require drill testing during Q2 2016.

PIONEER PROJECT: Gold (GES 100%)

The Pioneer Project consists of one granted Exploration Permit Mineral (EPM15619) covering 6.23 sq km approximately 70 km by road from Bundaberg via the Bruce Highway in Queensland (Figure 5) .

The project lies within the Gaeta Goldfield and has undergone previous exploration for gold, uranium and base metals, with numerous historical gold workings located throughout the area. Historical mining was primarily focused on the Pioneer Reef which was the largest producer, but mining activities also included several other reefs including Gympie, Lord Nelson, West Yorkshire and Happy Jack.

A Licence Renewal Application was lodged on 14 April 2014 requesting another two year period. The Application for renewal was approved on 15 May 2014 and the licence now expires on 2 August 2016.

As per the conditions of the exploration permit Genesis were required to relinquish 2 sub blocks from EPM 15619. Pursuant to section 793 of the Mineral Resources Act 1989 (MRA ), the relinquishment was accepted by the Department of Natural Resources and Mines Queensland on 22 August 2013. The tenement area has been reduced from 12.67 sq km to 6.23 sq km.

No field work was carried out. A review of all available data is underway to compile all geological mapping and define targets for drill testing during Q2 2016.

McARTHUR RIVER PROJECT: Manganese (GES 100%)

The McArthur River project consists of Exploration Licence EL24814 covering 380.88 sq km and is located approximately 850 km south east of Darwin in the Northern Territory and 450 km north-west of Mount Isa in Queensland (Figure 5) .

The project area contains the Masterton No2 manganese occurrence.

The Licence Renewal was approved on 13 October 2014 for a term of 2 years and will expire on 17 April 2016. All 116 sub-blocks were retained.

The Mining Management Plan Update was lodged on the 21 October 2015, it was accepted by DME on 30 October 2015.

No field work was carried out. A full review of all data available is underway to guide further exploration on the tenement.

LAURA RIVER Au-Pt PROJECT: (EMP15242) (GES:100%)

The Laura River project consists of Exploration Licence EPM15242 covering 165.35 sq km is centered on the Cape York Peninsular township of Laura, 210km north-west of Cairns and 88km west of Cooktown in North Queensland (Figure 5) .

Genesis Resources Limited | Quarterly Activities Report | October 2015 – December 2015

Page 9

The area is prospective for gold. Several historical alluvial workings are found in the vicinity of the Laura River and tributaries.

The Licence Renewal was approved on 11 March 2015 for a term of 2 years and will expire on 23 August 2016. All 50 sub-blocks were retained.

The 8[th] Annual Technical Report was lodged on the 24 August 2015.

No field work was carried out.

FENN GAP Mn-Fe PROJECT: (EMP24839) (GES:100%)

The Fenn Gap project consists of one Exploration Licence EL24839 which covers a total area of 26.93 sq km, is located approximately 25 km south west of Alice Springs in the Northern Territory (Figure 5) . The project is 25 km from major infrastructure such as the Stuart Highway and Alice to Adelaide Railway.

A Licence Renewal Application requesting another two year period was approved on 23 December 2014. The new expiry date is 5 May 2016.

Genesis was issued with a Partial Cancellation Notice (Loss of Block Penalty) for Fenn Gap on 23 June 2014, requesting the relinquishment of 13 sub blocks. EL24839 now comprises of 14 sub blocks covering 26.93 sq km.

A Mining Management Plan Update was lodged on 7 September 2015. This was approved on 16 September 2015.

No field work was carried out. A full review of existing data has been completed. A further, more detailed review of drilling data is underway to determine if drilling has adequately tested the known manganese mineralisation.

TENEMENTS AS AT 31 DECEMBER 2015

	PROJECT TENEMENT NUMBER COMMODITY	PROJECT TENEMENT NUMBER COMMODITY	COMPANY’S BENEFICIAL INTEREST CURRENT AREA (KM2) CURRENT HOLDER COUNTRY/ STATE
		EL24817 Copper-Iron- Gold	100% 372.59 Genesis NT
	Alice Springs
	Arltunga	EL25238 Gold-PGE	100% 95.2 Genesis NT
		EL24839 Iron-Manganese	100% 26.93 Genesis NT
	Fenn Gap
	Laura River	EMP15242 Gold-PGE	100% 165.35 Genesis QLD
	Pioneer	EPM15619 Gold EL24814 Manganese- Base Metals EPM15771 Manganese	100% 6.23 Genesis QLD
	McArthur River		100% 380.88 Genesis NT
	Gladstone		100% 63.93 Genesis QLD
	Mt Miller	MLA80166 Manganese	100% 32.24 Ha Genesis QLD
	Plavica & Crn Vrv	19-6648/1 Gold-Silver- Copper
			62% 16.85 Silgen Resources Macedonia

All tenements noted above are Exploration Licences except Plavica in Macedonia which is an Exploitation Licence.

Genesis Resources Limited | Quarterly Activities Report | October 2015 – December 2015

Page 10

CORPORATE UPDATES

Events during the Quarter

2015 Annual General Meeting

On 26 November 2015, Genesis held its 2015 Annual General Meeting. All resolutions proposed by the Company to shareholders were unanimously carried on a show of hands, except for Resolutions 3 and 4, which dealt with the reelection as Directors of Messrs John Zee and Kin Po Yu respectively and which were not carried.

Board changes

On 9 October 2015, Mr Zilong Dai resigned as Director and Chief Executive Officer of the Company.

On 26 November 2015, following the results of the 2015 Annual General Meeting:

• Messrs John Zee and Kin Po Yu ceased to be Directors of Genesis;

• Ms Alyn Tai was appointed to the role of Non-Executive Director of Genesis; and

• Mr Eddie Pang was appointed to the role of acting Chairman of Genesis.

Events subsequent

None.

Securities on issue as at 31 December 2015:

CLASS OF SECURITIES	NO. OF SECURITIES ON ISSUE
Fully paid ordinary shares 300,743,205
Board and Management as at 31 December 2015 Mr Eddie Pang Managing Director Mr Deric Wee Non-Executive Director Ms Alyn Tai Non-Executive Director Ms Sophie Karzis Company Secretary Ms Patricia Wong Chief Financial Officer Mr James Patterson Exploration Manager

COMPETENT PERSON

The information in this report that relates to Exploration Targets, Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by James Patterson, a Competent Person who is a Member of the Australian Institute of Geoscientists. James Patterson is a full-time employee of Genesis. James Patterson has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken 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’. James Patterson consents to the inclusion in the report of the matters based on his information in the form and context of which it appears.

-ENDS

Genesis Resources Limited | Quarterly Activities Report | October 2015 – December 2015

Page 11

About Genesis Resources Limited

Genesis Resources Limited is an Australian company with a portfolio of quality gold, iron, manganese, uranium and base metal (copper-zinc-silver) in the highly prospective Proterozoic and Phanerozoic metallogenic provinces of northern and central Australia.

Genesis has signed a Joint Venture over an advanced copper-gold project (Plavica) within the Former Yugoslav Republic of Macedonia. The Plavica Project lies within Carpathian Volcanic Arc, a major epithermal province running through Eastern Europe, which is highly prospective for gold, copper and silver mineralisation.

Genesis’ projects are close to established infrastructure including railways, shipping ports, highways, power stations and populated areas.

The Company’s objective is to provide rapid capital growth through mineral discoveries and development of economic deposits in Australia and overseas.

For more information please visit the Company’s website at: www.genesisresourcesltd.com.au

Genesis Resources Limited | Quarterly Activities Report | October 2015 – December 2015

Page 12

Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly report

Rule 5.5

Appendix 5B

Mining exploration entity and oil and gas 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, 01/05/2013

Name of entity

Name of entity
GENESIS RESOURCES LIMITED
ABN 22 114 787 469	Quarter ended (“current quarter”)
22 114 787 469	31 December 2015

Consolidated statement of cash flows

Cash flows related to operating activities 1.1 Receipts from product sales and related debtors 1.2 Payments for (a) exploration & 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
	(558) - - (495) - - 5 (7) -	(1,482) - - (993) - - 7 (11) -
	(1,055)	(2,479)
Cash flows related to investing activities 1.8 Payment for purchases of: (a) prospects (b) equity investments (c) other fixed assets (d) other non current assets 1.9 Proceeds from sale of: (a) prospects (b) equity investments (c) other fixed assets (d) other non current 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 1.13 Total operating and investing cash flows (carriedforward)	- - - - - - - - - - -	- (5) (7) - - - - - - - -
	-	(12)
	(1,055)	(2,491)

• See chapter 19 for defined terms.

01/05/2013 Appendix 5B Page 1

Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

1.13 Total operating and investing cash flows (broughtforward)	(1,055)	(2,491)
Cash flows related to financing activities 1.14 Proceeds from issues of shares, options, etc. 1.15 Proceeds from sale of forfeited shares 1.16 Proceeds from borrowings 1.17 Repayment of borrowings 1.18 Dividends paid 1.19 Unallocated shares application fund 1.20 Transaction costs Net financing cash flows	- - 1,000 - - - -	- - 1,000 (442) - - -
	1,000	558
Net increase (decrease) in cash held 1.20 Cash at beginning of quarter/year to date 1.21 Exchange rate adjustments to item 1.20 1.22 Cash at end ofquarter	(55) 135 (18)	(1,933) 2,035 (40)
	62	62

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

1.23 1.24	1.23 1.24	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
			-
			-
1.25 Explanation necessaryforanunderstanding ofthe transactions None Non-cash financing and investing activities 2.1 Details of financing and investing transactions which have had a material effect on consolidated assets andliabilities but didnotinvolve cash flows None 2.2 Details of outlays made by other entities to establish or increase their share in projects in whichthereporting entityhas an interest None		Explanation necessaryforanunderstanding ofthe transactions
		None
	None
	Details of outlays made by other entities to establish or increase their share in projects in whichthereporting entityhas an interest
	None

• See chapter 19 for defined terms.

Appendix 5B Page 2

01/05/2013

Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly report

Financing facilities available

Add notes as necessary for an understanding of the position.

		Amount available	Amount used
		$A’000	$A’000
3.1	Loan facilities (refer to (i) and (iii) below)	7,000	2,600
3.2	Credit standby arrangements
		-	-

• (i) In September 2013, the Company entered into a loan agreement with an unrelated Malaysian based financing company pursuant to which the financing company made available a loan facility to the Company, with a $3 million facility limit ( First Loan Facility ). In April 2014, the parties reached an agreement to increase the First Loan Facility limit from $3 million to $7 million on the same terms and conditions provided for in the existing loan agreement. Total funds of $4.4 million remain available for draw down by Genesis under the First Loan Facility.

Estimated cash outflows for next quarter

4.1 Exploration and evaluation 4.2 Development 4.3 Production 4.4 Administration	$A’000
	620
	-
	-
	277
Total	897

• (ii) Whilst the Company expects that its estimated cash flows will exceed its cash currently at hand, the Company has access to the loan facilities as detailed above.

Reconciliation of cash

Reconciliation of cash
Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to therelateditemsinthe accountsis asfollows.	Current quarter $A’000	Previous quarter $A’000
5.1 Cash on hand and at bank 5.2 Deposits at call 5.3 Bank overdraft 5.4 Other (Term deposit – bank guarantee)	62	135
	-	-
	-	-
	98	98
Total: cash at end ofquarter(item 1.22)	160	233

• See chapter 19 for defined terms.

01/05/2013 Appendix 5B Page 3

Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

Changes in interests in mining tenements and petroleum tenements

6.1 Interests in mining tenements and petroleum tenements relinquished, reduced or lapsed 6.2 Interests in mining tenements and petroleum tenements acquired or increased	Tenement reference and location	Nature of interest (note (2)	Interest at beginning of quarter	Interest at end of quarter
	-	-	-	-
	-	-	-	-

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.

dates.
	Total number	Number quoted	Issue price per security (see note 3) (cents)	Amount paid up per security (see note 3) (cents)
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	300,743,205	300,743,205	Fully paid	Fully paid

• See chapter 19 for defined terms.

Appendix 5B Page 4

01/05/2013

Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly report

7.4 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy- backs	-	-	-	-
7.5 +Convertible debt securities (description) 7.6 Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted	-	-	-	-
	-	-	-	-
7.7 Options (description and conversion factor) 7.8 Issued during quarter 7.9 Exercised during quarter 7.10 Expired during quarter	-	-	-	-
	-	-	-	-
	-	-	-	-
	-	-	-	-
7.11 Debentures (totals only)	-	-
7.12 Unsecured notes(totals only)	-	-

• See chapter 19 for defined terms.

01/05/2013 Appendix 5B Page 5

Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

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.

Alyn Tai

Non-Executive Director

29 January 2016

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 and petroleum 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 or petroleum 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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• See chapter 19 for defined terms.

Appendix 5B Page 6

01/05/2013