GOLDEN CROSS RESOURCES LTD — AGM Information 2012

Nov 14, 2012

Golden Cross Resources ASX:GCR

Managing Director's Report to Annual General Meeting 15 November 2012

Disclaimer

Material in this presentation contains certain forecasts and forward-looking information, including information about possible or assumed future performance, exploration results, resources or potential growth of Golden Cross Resources Ltd (GCR), industry growth or other trend projections.

Such forecasts and information are not a guarantee of future performance and involve unknown risks and uncertainties, as well as other factors, many of which are beyond the control of Golden Cross Resources Ltd. Actual results and developments may differ materially from those expressed or implied by these forward-looking statements, depending on a variety of factors.

Nothing in this material should be construed as the solicitation of an offer to buy or sell GCR securities. 15th November 2012

Corporate Directory

Board of Directors

Steve Gemell Chairman

Company Secretary Simon Lennon

Kim Stanton-Cook Managing Director Li Xiaoming Non Executive Director Jingmin Qian Non Executive Director Suzanne Qiu Non Executive Director David Timms Non Executive Director Li Yan Alternate Director for Mr Li

Exploration Manager Bret Ferris

Issued Share Capital

Golden Cross Resources Ltd (GCR) has 1,362 million ordinary shares listed on the ASX with a market capitalisation of \$8 million. GCR has \$2.6 million in cash and \$1.8 million in tradeable securities.

Registered Office

Golden Cross Resources Ltd 22 Edgeworth David Avenue Hornsby NSW 2077 Phone: (61 2) 9472 3500 Fax: (61 2) 9482 8488

Golden Cross Resources has four full-time employees, three part-time employees and retains geological, mining and metallurgical consultants as required.

Copper Hill, within the Molong Project

• Total Geological Resource: 215 million tonnes at 0.3% copper and 0.24 g/t gold
• Constrained Resource: 155 million tonnes at 0.33% copper and 0.27 g/t gold
• Containing 493,000 tonnes of copper and 1.33 million ounces of gold
• Copper and gold recoveries of 83% and 70% have been achieved to produce a copper concentrate containing 24% copper and 24g/t gold.
• GCR is examining the economics of a range of throughput options from 5 to 15 Mtpa
• Future Extensions: More tonnes and higher grades are required to improve the economics at currently bankable copper and gold prices.
• More Exploration – Drilling: Target zones beside and along strike of Copper Hill will be revisited. Drilling programs, requiring over 5000 metres of RC and core drilling.

Cargo

• 280,000 ounces of gold in a near-surface Inferred Resource of 10 million tonnes at 0.84g/t gold using a 0.5g/t gold cut-off grade.
• A six-hole core drilling program has just been completed at Cargo. More drilling and metallurgical test-work required. It is proposed to complete a further ten RC holes totalling 1500 metres at Cargo.

Burra Copper Project

• The Burra Copper Mine Project lies 40km east of Cobar with drill-indicated potential for deep- seated Cobar-style mineral systems. The Burra Mine and Block 51 mineralised zones have coincident magnetic anomalies and copper-in-soil geochemical anomalies.
• A third untested magnetic anomaly lies further to the southeast. A significant VTEM anomaly has been defined beneath the Burra Mine. A deep drilling program of six holes for 2000 metres (RC collars then core) is under consideration.

Gawler Craton IOCG Exploration - South Australia

• Golden Cross holds tenements within the Gawler Craton in South Australia. The Gawler Craton is host to world-class iron-oxide- copper-gold (IOCG) deposits such as Olympic Dam, Prominent Hill and Carrapateena.
• Drill-ready magnetic and gravity anomalies have been targeted and will be drilled subject to rig availability and access approvals. A total of six holes for 2500 metres will provide first-pass testing of the highest priority anomalous zones.

Other Projects

• GCR is continuing its exploration efforts in a range of mineralised provinces across Australia searching primarily for copper and gold.
• As well as other base metal projects, the company also holds Eromanga Basin coal tenement applications (2,250 km2)

and

• substantial phosphate resources near Mt. Isa with a 20% free-carried interest through to production.

Molong Project - Copper Hill

Molong Project - Copper Hill

• GCR's flagship copper-gold project contains a resource of 493,200 tonnes of copper and 1.33 million ounces of gold within an economically constrained optimised open pit shell.
• The 100%-owned Copper Hill project is near Molong in central New South Wales, about four hours drive from Sydney via Orange.
• Copper Hill is a low-grade porphyry copper-gold deposit, extractable by open pit mining. It has excellent infrastructure and its development is supported by the Molong community. It remains the Company's most advanced project, with a constrained mineral resource, using a 0.2% copper cut-off grade, of 153 million tonnes at 0.32 percent copper and 0.27 grams per tonne gold.
• Copper Hill remains open both at depth and along strike and has several partly tested anomalies requiring additional drill testing.

Efforts in 2010 to maximise the returns from Copper Hill with 8Mtpa throughputs and a complex coppergold-sulphur-iron recovery process could not clear the +\$700 million capital cost hurdle.

A more achievable 2 million tonnes per annum (Mtpa) expandable mining and milling strategy has also been studied.

The independent Scoping Study provided a cost estimate of \$92 million for the crush-grind-flotation plant required. Additional studies, into higher mining rates, mill throughputs and cost savings, are also being carried out to determine the optimum project size that could support Copper Hill's eventual development.

Development Strategy

Work on the Copper Hill Definitive Feasibility Study (2Mtpa Option) has been deferred following disappointing results from economic studies. Giving regard to total capital cost estimates in excess of \$150 million (including the \$92 million mill & plant cost estimate) and the limited copper and gold production profiles at the 2Mtpa mill feed rate, larger throughput rates are now being examined.

Copper and gold recoveries of 83% and 70% respectively, have been achieved in recent locked-cycle tests to produce a copper concentrate containing 24% copper and 24g/t gold.

GCR will examine higher throughput rates in the economic studies underway. A larger mine and plant may be more effective from an economic viewpoint, and, coupled with improved recoveries, could provide a way forward for Copper Hill.

Projected capital costs will be higher but should be offset by reductions in operating costs and increased total metal production.

Exploration Potential away from Copper Hill

• Follow-up drilling at the Power Induced Polarisation (IP) copper-gold soil anomaly east of Copper Hill, and testing IP and geochemical anomalies extending along strike to the southeast at Hayshed and Vale Head.
• Soil geochemical surveys have revealed anomalous gold and copper values at a number of locations away from Copper Hill. While these areas have had some drilling in the past, the last few years' focus of drilling efforts at Copper Hill, to enlarge and improve the resource, meant that no work has been undertaken on these anomalies in the past four years.

Anomalous target zones outside the Copper Hill resource include the area east of Buckley's Hill (Copper Hill North) and the IP and copper-gold soil anomalies at Power – Hayshed – Vale Head.

Cargo Gold Project

GCR's 100% owned Cargo project is its flagship gold project and lies 12 km west of the Cadia-Ridgeway gold copper mining operation. Cargo is a large, concentrically zoned hydrothermal mineralised porphyry with radial, quartz-sulphide goldbearing alteration systems.

Early 2012 core drilling intersected, in three holes: 67m @ 1.15 g/t Au, 63m @ 1.15 g/t Au and 55m @ 1.27 g/t Au.

Near-surface gold Inferred Resource estimate of 10.4 million tonnes at 0.84 g/t containing 283,000 ounces of gold using a 0.5 g/t Au cut-off grade.

(ASX announcement May 21, 2012)

Cargo Resources

• Inferred Resource estimates at Spur-Dalcoath of 10.4 million tonnes at 0.84g/t gold for 283,000 ounces of gold using a 0.5g/t gold cut-off grade.
• At a higher cut-off grade of 0.8g/t gold, the Inferred Resource is estimated at

4 million tonnes at 1.19g/t gold containing 154,000 ounces of gold

Cargo Current Drilling

• 86m @ 1.56 g/t gold at the Spur-Dalcoath Lode System

including

12m @ 2.73 g/t gold from 108m & 6.5m @ 9.40 g/t gold from 137.5m

• Further holes* completed at Essex Lode System following up previous RC drilling intersections of 9 metres at 5.63g/t gold, 6 metres at 9.53g/t gold, 2 metres at 24.16g/t gold and 14 metres at 4.12g/t gold.

*Assays are awaited.

Burra Copper Project

The Burra Project has good potential for the discovery of Cobar-style deposits, with copper and lead-zinc mineralisation with gold/silver credits intersected in most drill holes.

There are sufficient ore grade intercepts at the two key prospects to remain optimistic that economic lenses exist at depth.

Burra Copper Project

The Gilgunnia area hosts nearby deposits such as Hera, the newly discovered extensions to the Nymagee Copper Mine, new mineralised zones at Mineral Hill and the plans to re-open the Mount Boppy Gold mine have generated considerable interest in this region. GCR has a dominant land position here in its own right and with its joint venture partner, MMG Limited in the Gilgunnia Range joint venture. Fugro has also flown HELITEM for MMG over the Gilgunnia Range joint venture areas.

South Australia – Gawler Craton IOCG Exploration

Golden Cross holds five tenements covering 3,150 km2 within the northern Gawler Craton in South Australia. The tenements lie within several structural domains lying north of the highly prospective Olympic Domain, which hosts the world-class iron-oxidecopper-gold (IOCG) deposits of Olympic Dam and Carrapateena. To the north west, within the G2 structural corridor, the Mount Woods Inlier contains the Prominent Hill mine and two of GCR's exploration licences, Warriner Creek and Codna Hill. Beyond this lie the Coober Pedy and Mabel Creek Rises, home to the remainder of GCR's Gawler Craton tenements at Coober Pedy.

Oolgelima Hill Project

Drilling Planned for early 2013

• Six holes planned, total 2,500 metres • A discovery hole would be a company maker • Native title land clearances in progress • Woomera Prohibited Area access underway • Drilling company selection under review • GCR awarded PACE funding from SA government for drilling

GCR's entry into coal exploration

Applications were made for EPC's in the Clarence-Moreton, Bowen, Surat & Galilee Basins in 2008 and 2010

The former Labor Government imposed restrictions on coal exploration with:

• Requirements for SSE's • Exclusion zones around towns & villages • Restrictions on activities on "strategic cropping land"

The coal 'boom' meant coal consultants were fully stretched and had no interest in taking on small (<\$0.5 million) jobs

GCR was unable to complete its work programs and sold its EPC's and EPCA's in 2012

GCR elects to stay in coal

Coal is a sensible, rational energy source for the planet

International demand for steaming coal is projected to grow

Coal-fired power stations are the lowest cost, fastest to build and simplest means of providing electricity to developing countries

Applying for ground in the coal-bearing Eromanga Basin requires a trade-off; it's remote, it has limited infrastructure but it's not saddled with the restrictions and community opposition gaining ground in southeastern Queensland

Substantial resources of steaming coal, 700 million to +1 billion tonnes are being defined in the Blackall - Cheepie region of the Eromanga Basin

Great Artesian & Eromanga Basin

In December 2011, Golden Cross lodged three EPC applications over sections of the Eromanga Basin west of Charleville and south of Blackall that were considered prospective for commercial coal deposits.

• Baykool South (EPC 2896) • Baykool Central (EPC 2897) and • Baykool North (EPC 2898)

They cover a total area of 2,250 km2

There are no competing applications for these areas.

While some significant coal seams have been reported in the Hooray Sandstone and Mackunda Formation, it is the Winton Formation that is of most economic significance, containing coal seams formed in a paralic to non-marine environment.

The Winton Formation is the youngest Cretaceous unit preserved in the Eromanga Basin and has been subjected to extensive erosion. This unit is typically 400m to 700m thick (maximum 1.2km), and typically contains low-to-medium ash, low sulphur, sub-bituminous thermal coals.

Baykool Infrastructure Schematic showing rail, ports and coal-fired power station locations

The planned, purpose-built rail and port infrastructure for the Alpha, Kevin's Corner and other export coal projects in the adjacent Galilee Basin will help open up the eastern Eromanga Basin

GCR in 2013

• The next year will prove challenging for GCR as it will for all micro-cap mineral explorers
• GCR will start 2013 with just over \$2 million in cash and \$1.8 million in investment shares
• Our drill targets are high quality and any one hole could be a company maker. Shareholders must remember, the odds are long and there are no guarantees
• We will continue to progress Copper Hill and hope to begin early studies to establish a mining operation at Cargo
• Thank you for your continued support