GREENWING RESOURCES LTD — Interim / Quarterly Report 2010

Jul 29, 2010

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ABN 31 109 933 995
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30 July, 2010

The Manager Companies Company Announcements Australian Stock Exchange 20 Bridge St Sydney NSW 2000

Dear Sir

JUNE 2010 QUARTERLY REPORT OF ACTIVITIES & CASHFLOW

• Safety – no lost time injury (LTI) incidents; Que River Mine remains LTI free since start-up in September 2007.

• Hellyer Mine Project mine development and mill refurbishment on budget and schedule for first concentrate sales in December 2010.

• Que River Mine sold 13kt of ore at 15.6% zinc, 9% lead, 0.3% copper, 303 g/t silver & 4.3 g/t gold. Production up 43% and unit costs down 21%.

• Exploration: majority of drilling on new targets comprising 2,806 metres of diamond core for 7 drill holes testing 4 new targets.

• Closing quarterly cash position of $9.5 million and supported by undrawn $12 million project loan facility.

I am pleased to attach the June 2010 Quarterly operating and cash flow report for Bass Metals Ltd (ASX:BSM).

The Company’s core focus at present is the safe and scheduled commencement of the Hellyer Mine project (HMP) comprising the Fossey Mine development and refurbishment of the Hellyer Mill, in NW Tasmania. Base metal concentrate sales are planned to commence in December 2010 and will comprise annual sales of approximately 50kt of zinc concentrate, 23kt of lead concentrate and 5kt of copper-silver-gold concentrates from the Fossey deposit. The Fossey mine is the first planned mine development of the HMP and Bass plans to also develop operations around the former Que River and Hellyer mines.

In the June quarter the HMP development ramped up significantly with the decline now over 50% advanced toward the ore body and the mill refurbishment over 50% complete. The programme has faced several challenges such as difficult ground conditions in the decline and a late optimisation of the processing circuit. Despite these issues the project is on budget and on schedule to meet its current production forecasts.

The Que River mining activity under the “ore sales to MMG at Rosebery” mine plan is almost complete. The mine has been a terrific performer for Bass Metals, providing the cash flow for exploration and acquisitions despite the global financial crisis and metal price fluctuations. A particularly pleasing aspect is the zero LTI frequency rate over the project life and the Company congratulates the site team for such an outstanding achievement. Bass is now evaluating the Que River mineralisation for incorporation into the Hellyer Mine Project milling schedule.

16 Thelma Street WEST PERTH WA 6005 PO Box 1330 WEST PERTH WA 6872 Telephone (08) 9322 8044 Facsimile (08) 9481 2846 www.bassmetals.com.au

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The Company maintained an active exploration programme focussed largely on new targets prospective for large scale high-grade deposits such as Que River. Two diamond core drill rigs were employed to test 4 target areas; this style of drilling involves targeting geology –to understand the geological setting to vector into mineralisation, as well as targeting mineralisation. During the quarter the company did not make any new “discovery hits” but the drill results contributed to the body of knowledge; such as highlighting an extensive new target area between Hellyer and Que River with potential for discoveries from shallow depths and with little effective historical drill testing. Bass has a highly experienced and motivated “discovery” team who are building momentum toward a new discovery.

In summary, the quarter demonstrated solid progress, consistent with Bass Metals’ plan to increase its production profile and incrementally build up its exploration results to “home-in” on the next discovery. On behalf of the Board and employees I look forward to presenting the Company’s achievements and plans as well as reporting further news on production and exploration activities.

Yours sincerely

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Mike Rosenstreich Managing Director

Competent Person

The information within this report that relates to exploration results is based on information compiled by Mr Kim Denwer and Mr Mike Rosenstreich who are both full time employees of the Company. Mr Rosenstreich is a Member of The Australasian Institute of Mining and Metallurgy and Mr Denwer is a Member of the Australian Institute of Geoscientists. They both, individually have sufficient experience relevant to the styles of mineralisation and types of deposits under consideration and to the activities currently being undertaken to qualify as a Competent Person(s) as defined in the 2004 edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves and they consent to the inclusion of this information in the form and context in which it appears in this report.

Technical Detail

This Report aims to provide a high level summary of various technical aspects of the Company’s projects. For more details on the underlying technical parameters the reader is referred to the ASX Reports on the Bass Metals’ website, www.bassmetals.com.au .

16 Thelma Street WEST PERTH WA 6005 PO Box 1330 WEST PERTH WA 6872 Telephone (08) 9322 8044 Facsimile (08) 9481 2846 www.bassmetals.com.au

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JUNE 2010 QUARTERLY ACTIVITIES REPORT

1.0 SUSTAINABILTY

1.1 SAFETY

There were no lost time injuries (LTI) at any of the Company’s mining operations or exploration sites during the quarter, maintaining the Que River mine’s record of no LTI’s since the start of the project.

1.2 ENVIRONMENT

The Company has had no material environmental incidents during the quarter on any Bass managed tenements. However a warning was received from the EPA in regard to a noncompliance event related to the continuous monitoring of water quality from the Fossey Decline. The warning resulted from Bass’ notification to the EPA and the non-compliance was immediately rectified.

1.3 HUMAN RESOURCES

The Company currently has approximately 100 employees and contractors on site. It is recruiting for an experienced Plant Metallurgist, Loss Control Manager and Group Mining Engineer.

2. OPERATIONS

2.0 HELLYER MINE PROJECT

Bass Metals has commenced a $20 million capital expenditure programme to develop the Fossey deposit and refurbish the Hellyer Mill to mine and process 400kt of ore to produce 50kt of zinc concentrate, 30kt of lead concentrate and 4.5kt of copper-silver-gold concentrate per year.

2.1.1 Mine Development

At the end of the June quarter total underground development totalled 537 metres with the decline face position at 474 metres from the portal. The total planned length is 911 metres. Difficult ground conditions were encountered, requiring additional ground support over the first 350 metres which reduced the decline advance rate. Ground conditions have improved and the advance rate has increased since mid-June to be approximately 94 metres (1-2 weeks) behind schedule at the end of June.

The mine development remains on schedule as at the end of June, notwithstanding the current position described above, to meet the current production forecasts. Costs are broadly in-line with the planned expenditure schedule.

2.1.2 Hellyer Mill Refurbishment

Mill refurbishment activities are progressing well and were just over 50% complete at the end of June with costs consistent with the planned expenditure schedule.

2.1.3 Concentrate Sales & Marketing

Documentation of the committed off-take contract for the zinc and lead concentrates produced to Nyrstar was largely completed during the quarter. Negotiations for marketing the copper-

16 Thelma Street WEST PERTH WA 6005 PO Box 1330 WEST PERTH WA 6872 Telephone (08) 9322 8044 Facsimile (08) 9481 2846 www.bassmetals.com.au

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silver-gold concentrate progressed well with a preferred party selected and documentation in progress to finalise that arrangement.

These sales arrangements apply only to concentrates produced from the Fossey deposit and the company has retained the right to market any products derived from any other deposit or feed stock.

2.1.4 Capital Expenditure

Total capital expenditure and commitments to date for the Hellyer Project is $8.33 million vs. the budget estimate to the end of June 2010 of $8.44 million. The main variance item is ground support costs in the decline which have been approximately $200k over budget to date for the reasons discussed above in section 2.1.1.

2.2. QUE RIVER MINE

2.2.1 Mining Activities

The June quarter production performance improved significantly from the March quarter with mined and sold ore up 43% and 2% respectively as summarised in Table 2.1. All ore was sourced from the PQ North cutback which is now in its final stages.

Table 2.1: Mining Summary – June 2010 Quarter

	Tonnes (wmt)	Zn (%)	Pb (%)	Ag (g/t)	Au (g/t)	Cu (%)
Opening Stocks at QR	758	9.6	4.9	132	2.1	0.3
Ore mined*	13,497	15.4	8.9	310	4.4	0.3
Ore Delivered to MMG	12,923	15.6	9.0	308	4.3	0.3
Remaining Stocks at QR	1,331	10.4	6.4	232	4.2	0.3

* "Remaining Stocks" and "Mined" are estimates from grade control and therefore average grades may not balance.

2.2.2 Operating Performance

Revenues

Ore sales for the June quarter were up 27% to $4.2 million. Actual cash receipts after payment of treatment charges to MMG for the quarter were $4.1 million.

Costs

Unit costs for ore mined have decreased 21% due to a significant increase in tonnes mined compared to the previous quarter; however, overall operating costs have increased causing an 11% increase per tonne of ore sold as presented in Table 2.2.

Table 2.2: Unit Operating Costs

Unit Cost basis	Unit	June 10 Qtr	March 10 Qtr	Dec 09 Qtr	Sept 09 Qtr
Ore Sold	$/dmt	250	225	208	240
OreMined	$/wmt	237	300	180	313

The cost calculation is based on all operating costs, including mining, treatment, haulage, royalties, depreciation and amortisation of mine properties but excludes capitalised mine development for the quarter consistent with the Company’s accounting policies as detailed in the 30 June 2009 Annual Report. The difference between “sold” and “mined” unit cost reflects the closing inventory position and minor moisture content.

Operating Margin

To monitor and manage the financial performance of the project; i.e. the margin between cash costs and revenues, the Company also prepares management reports to determine the net realisable value (NRV) and operating margin of the ore mined.

The operating profit margin of the project has improved during the quarter due to higher grades, as presented in Table 2.3 below.

16 Thelma Street WEST PERTH WA 6005 PO Box 1330 WEST PERTH WA 6872 Telephone (08) 9322 8044 Facsimile (08) 9481 2846 www.bassmetals.com.au

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Table 2.3: Estimate of Operating Performance

			Actual	Actual
Unit Cost basis	Unit	June 10 Qtr	March 10 Qtr	Dec 09 Qtr	Sept 09 Qtr
Value oforemined	$/wmt	360	299	337	325
Totalcost oforemined	$/wmt	244	257	208	204
Operating profit	$/wmt	116	43	129	121
Operating profitmargin	%	32	14	38	37

2.2.4 Mining outlook

The Que River Mine is currently selling ore to MMG Limited’s Rosebery Concentrator located 42 km away. The current Ore Sales Agreement applies to the current mine plan for the PQ North cutback, which is planned to be completed in September, 2010.

3. SPECIAL PROJECTS

Two studies are in progress; the Hellyer Tailings Re-treatment Study is focussed on fully utilising the 1.5mtpa capacity Hellyer Mill and the Gold Recovery Study is exploring potential technologies to extract additional value through recovering refractory gold.

3.1. HELLYER TAILINGS RE-TREATMENT PROJECT

The bulk lead-zinc concentrate that Bass is planning to produce from reprocessing the tailings can only be treated by ISF type smelting operations and there are a limited number of these globally; mostly in China. The delay in completing the pre-feasibility study is largely because of the time required to obtain smelter terms that are reasonably indicative of the terms that could ultimately be secured. Discussions with several smelter groups are ongoing to enable completion of the study and potentially preliminary agreement on sales terms.

3.2. GOLD RECOVERY STUDY

Metallurgical consulting group, BatteryLimits and Como Engineers are well advanced in their assessment of whether several selected gold recovery processes might be viable to treat gold contained within mineralisation occurring on Bass’ regionally extensive tenements. Following the initial compilation and detailed review of all historic gold extraction testwork and studies completed over the past 20 years on the Hellyer tailings; preliminary process flow sheets and design criteria were prepared for 4 different process routes. Currently Como Engineers is completing capital and operating cost assessments for each process route. The combined technical and financial assessment outcomes will enable the Company to determine whether further work toward a definitive feasibility study on any one of these processes is warranted.

16 Thelma Street WEST PERTH WA 6005 PO Box 1330 WEST PERTH WA 6872 Telephone (08) 9322 8044 Facsimile (08) 9481 2846 www.bassmetals.com.au

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4. EXPLORATION

In the June quarter exploration focused on development and testing of targets prospective for major new base and precious metal discoveries. Diamond drill testing of targets was accelerated with 7 holes completed for 2,806 metres; comprising North Hellyer, Que River, Switchback, Ernie’s at D-Zone and at Mt Charter as located in Figure 4.1.

4.1 NEW TARGET GENERATION

The Hellyer-Mt Charter Corridor (HMCC) contains a major cluster of large scale-high grade volcanogenic massive sulphide (VMS) deposits and is regarded as highly prospective for further discoveries. A 600km flight line survey using a new generation high power airborne EM survey (VTEM) was flown over the HMCC covering approximately 50km[2] . Several subtle conductive anomalies are being followed up. Extensive diamond drilling, surface sampling, mapping and data analysis was undertaken on existing target areas and has highlighted new targets as described below.

4.1.2 D-Zone

The D Zone target has been extended and subdivided into a number of separate prospects named Ernie’s, Wrigley’s and D Zone (Figure 4.1, 4.2). Initial follow-up work by Bass Metals consisted of a 100m x 25m soil sampling programme with analysis by ICP for a suite of 45 elements. That work defined an 800 metre geochemical anomaly enclosing the D Zone (proper) and Ernie’s targets with a separate discrete coherent anomaly defining the Wrigley’s target.

At Ernie’s a 1.5 - 2.5 metre thick massive pyrite - barite lens of VMS style alteration was exposed in two trenches approximately 100 metres apart. Two diamond drill holes for a total of 371.4 metres were drilled from a pad due north of the discovery trench (HLD107 & 108- Figure 4.2). No significant mineralisation was intersected in either drill hole. It is interpreted that in this location the edge of the system is intersected and the main D-Zone anomaly to the SE is more prospective.

On a larger scale, the horizon hosting these targets remains poorly tested with many drill holes not intersecting the host horizon at all and the entire horizon has only been tested to shallow depths between Que River and Hellyer, including a 600 metre extent that has no drill testing at all as illustrated in Figure 4.3. Drilling is proposed to target this prospective horizon commencing in the September quarter.

4.1.3 North Hellyer

North Hellyer drilling was completed during the period. A total of 2,996 metres was completed in 5 diamond drill holes. Whilst the first drill hole into this target intersected 0.6 metres at 13.9% Zn, 8.7% Pb, 0.1% Cu, 132g/t Ag and 0.9g/t Au (HLD 999), no insitu extensions to this mineralisation were intersected in the subsequent 4 drill holes. Downhole EM still remains to be completed on the last 4 drill holes.

4.1.4 Mt Charter Area

Drill hole MCD037 targeted a subtle geophysical (UTEM) anomaly interpreted to occur within the silica-sericite-pyrite altered rocks of the Mt Charter alteration corridor. No significant mineralisation was intersected, and a pyritic breccia in the upper part of the hole is interpreted to be the source of the anomaly targeted by this hole.

16 Thelma Street WEST PERTH WA 6005 PO Box 1330 WEST PERTH WA 6872 Telephone (08) 9322 8044 Facsimile (08) 9481 2846 www.bassmetals.com.au

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4.1.5 Switch Back Target

Drill hole HED16, completed in the December quarter, 2010 intersected 2.35 metres of high grade massive base metal sulphide mineralisation (2.35 metres at 25.0% Zn, 8.7 % Pb, 192 g/t Ag and 4.9 g/t Au) within an overall 9.25 metre zone (9.25 metres at 8.5 % Zn, 3.3 % Pb, 69 g/t Ag and 1.6 g/t Au). A follow-up drill hole, HED017 was completed in May at a depth of 518.7 metres and also intersected 3 distinct horizons with sulphide clasts, but none of these zones yielded an economic intersection. Additional drilling to test the resource potential of the HED16 intersection is planned.

Figure 4.1 HMCC Location & Schematic Geology plan:

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16 Thelma Street WEST PERTH WA 6005 PO Box 1330 WEST PERTH WA 6872 Telephone (08) 9322 8044 Facsimile (08) 9481 2846 www.bassmetals.com.au

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Figure 4.2: D-Zone soil anomaly and schematic geology.

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Figure 4.3: Schematic long section from Que River to Hellyer looking west. Note significant areas with potential to host large scale deposits.

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4.1.6 Que River - Deep DHEM Anomaly

Drill hole QRD1314 was designed to test a deep geophysical anomaly (DHEM conductor) detected from a series of adjacent drill holes. The drill hole was completed at 653 metres and intersected strong alteration with 10 to 20% disseminated and vein pyrite and minor (approx 1%) chalcopyrite (copper) mineralisation from 561 to 565 metres. Whilst the geophysical response is not consistent with this weak style of mineralisation, the drill hole now limits the size potential of any target and no further work is planned on this anomaly.

16 Thelma Street WEST PERTH WA 6005 PO Box 1330 WEST PERTH WA 6872 Telephone (08) 9322 8044 Facsimile (08) 9481 2846 www.bassmetals.com.au

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4.3 REGIONAL EXPLORATION

Bass Metals updated tenement plan is presented in Figure 4.4. During the period the company relinquished its interest in the Tullah tenement and is currently waiting the granting of the new Lake Margaret and Sock Creek EL’s.

Venture Minerals has earned a 70% interest in the tin, tungsten and iron rights on the Heazlewood (EL 31/2003) and Whyte River (EL36/2003) licences. Bass Metals has elected to maintain its 30% stake by contributing to the next exploration programme. Drilling at the Rocky River South prospect indicated that the magnetite mineralisation became poddy and sulphidic at shallow depth and did not present a DSO target.

During the quarter Bass was successful in the tender for a new EL, Sock Creek (EL 20/2010) which occurs SW of its Hellyer-Que River tenements and covers extensions of the prospective Que-Hellyer volcanics. The EL will form part of the joint venture structure with Clancy Exploration (BSM 70% CLY 30%) .

5. CORPORATE ACTIVITIES

5.1 FINANCIAL POSITION

The Company’s closing cash position at the end of the June 2010 quarter was $9.47 million; an $8.1 million decrease from the end of the March 2010 quarter balance of $17.6 million.

The main components of the cash flow comprised:

Ore sales (provisional payments) Hedge settlements Hellyer Mine Project Que River Mine development & operating costs Exploration Hellyer Mining Lease – bank guarantee Corporate administration & other costs Project generation costs	$ millions
	$4.2 $0.1 ($5.9) ($2.8) ($1.1) ($1.0) ($0.8) ($0.1)

5.2 Hedging

There were no significant changes to the Company’s ongoing QP forward sales strategy during the quarter.

5.3 Financing

As at the end of June Bass had spent $6.2 million of the planned $21 million HMP development expenditure. Cash at the end of June was $9.5 million and with a credit approved offer of project finance for $12 million, as well as additional revenue from Que River ore sales indicates sufficient funding available for the HMP development. The Company plans to access the debt facility in August 2010, after having contributed $13 million of equity funding to the project. Drawdown of the debt facility is subject to a series of standard banking Conditions Precedent, which include a mandatory hedging programme. Bass is currently working through this prerequisite with its banker, which is challenging given the current environment of relatively low, metal prices.

16 Thelma Street WEST PERTH WA 6005 PO Box 1330 WEST PERTH WA 6872 Telephone (08) 9322 8044 Facsimile (08) 9481 2846 www.bassmetals.com.au

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The issue in this regard is to strike the right balance between securing project cash flows with Forward sales contracts and maintaining appropriate exposure to strengthening metal prices; while preserving credit and risk management fundamentals imposed by the company and its financier. The Company expects to resolve these issues prior to an anticipated drawing on the debt facility in August.

5.4 Capital Structure

During the quarter 4.18 million listed options exercisable at $0.40 expired on 30 April 2010 and 0.4 million unlisted employee options, with various exercise prices and terms lapsed.

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16 Thelma Street WEST PERTH WA 6005 PO Box 1330 WEST PERTH WA 6872 Telephone (08) 9322 8044 Facsimile (08) 9481 2846 www.bassmetals.com.au

Appendix 5B Mining exploration entity quarterly report

Rule 5.3

Appendix 5B

Mining exploration entity quarterly report

Introduced 1/7/96. Origin: Appendix 8. Amended 1/7/97, 1/7/98, 30/9/2001.

Name of entity
Bass Metals Ltd
ABN 31 109 933 995	Quarter ended (“current quarter”)
31 109 933 995	30 June 2010

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 and evaluation (b) development – Que River (c) development – Fossey (d) production (e) Hellyer Mill refurbishment (f) administration (g) project generation 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 1.7 Income taxes paid Other – Mining contractor net profit incentive Other – GST refund from ATO Other – Hellyer Mill maintenance and environmental management Other – Hellyer Mining Lease Bank Guarantee Net Operating Cash Flows	Current quarter $A’000	Year to date (12 months) $A’000
	4,166 (1,106) (1,133) (4,780) (1,647) (1,143) (838) (131) - 153 (10) - (550) 144 (269) (1,000)	19,574 (4,326) (3,958) (5,070) (6,403) (1,353) (2,894) (131) - 481 (43) - (1,742) (265) (1,492) (1,000)
	(8,144)	(8,622)
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 – Options purchased/settlements Net investing cash flows	- - (34) - - - - - 62	- - (235) - - - - - (635)
	28	(870)

• See chapter 19 for defined terms.

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1.13 Total operating and investing cash flows (carried forward)	(8,116)	(9,492)
		(9,492) 15,282 - - (150) - (712) 14,420 4,928 4,542 - 9,470
1.13 Total operating and investing cash flows (brought forward)	(8,116)	(9,492)
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 Costs of share issues Net financing cash flows	- - - - - -	15,282 - - (150) - (712)
	0	14,420
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 of quarter	(8,116) 17,586 -	4,928 4,542 -
	9,470	9,470

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

1.23 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
		66
1.25	Explanation necessaryfor an understandingof the transactions
	All transactions with directors and their related parties are on normal commercial terms

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

• 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

• See chapter 19 for defined terms.

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Appendix 5B Mining exploration entity quarterly report

Financing facilities available

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
	Nil	Nil
	Nil	Nil

Estimated cash outflows for next quarter

$A’000

Estimated cash outflows for next quarter
	$A’000
4.1 Exploration and evaluation 4.2 Development	871
	8,447
Total	9,318

Reconciliation of cash

Reconciliation of cash	Reconciliation of cash
Reconciliation of cash at the end of the quarter (as		Current quarter		Previous quarter
shown in the consolidated statement of cash flows) to		$A’000		$A’000
the related items in the accounts is as follows.
5.1	Cash on hand and at bank		68		66
5.2	Deposits at call		8,392		16,510
5.3	Bank overdraft
5.4	Other (provide details)
	- deposit as credit support for short dated forward sales		1,010		1,010
	Total: cash at end of quarter(item 1.22)		9,470		17,586

Changes in interests in mining tenements

6.1 Interests in mining tenements relinquished, reduced or lapsed	Tenement reference	Nature of interest (note (2)	Interest at beginning ofquarter	Interest at end of quarter

• See chapter 19 for defined terms.

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Appendix 5B Mining exploration entity quarterly report

6.2	Interests in mining
	tenements acquired or
	increased

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 (cents)	Amount paid up per security (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 7.4 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy- backs (c) Other – End of escrow period	170,505,386	170,505,386
7.5 +Convertible debt securities (description) 7.6 Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted
	-	-	-	-

• See chapter 19 for defined terms.

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7.7 Options (description and conversion factor) 7.8 Issued during quarter 7.9 Exercised during quarter 7.10 Expired during quarter – (Lapsed pursuant to terms and conditions of the options)	1,375,000 225,000 250,000 1,275,000 425,000 300,000 300,000 300,000 950,000 100,000 100,000	- ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐	Exercise price 27.5 cents 37.5 cents 37.5 cents 42.5 cents 51.0 cents 26.0 cents 28.5 cents 30.5 cents 30.0 cents 25.0 cents 35.0 cents	Expiry date 22.12.11 31.12.11 02.11.11 16.10.12 31.12.12 31.12.12 31.12.12 31.12.12 31.12.12 01.09.13 01.09.13
			Exercise price	Expiry date
	4,176,939 125,000 100,000 180,000	4,176,939 - - -	Exercise price 40.0 cents 37.5 cents 51.0 cents 42.5 cents	Expiry date 30.04.10 31.12.11 31.12.12 16.10.12
7.11 Debentures (totals only)
7.12 Unsecured notes(totals only)

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 4).

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

Sign here: Managing Director.................................... Date: 30 July 2010

Print name: Michael Rosenstreich

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

• See chapter 19 for defined terms.

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Appendix 5B Mining exploration entity quarterly report

• 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 1022: Accounting for Extractive Industries and AASB 1026: Statement of Cash Flows apply to this report.

• 5 Accounting Standards ASX will accept, for example, the use of International Accounting 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.

== == == == ==

• See chapter 19 for defined terms.

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