INOVIQ LTD — Capital/Financing Update 2012

Feb 28, 2012

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EUROGOLD

L I M I T E D

(ACN 009 070 384)

29 February 2012

ASX "EUG"

COMPANY UPDATE

Eurogold is pleased to announce that it has today sold the balance of its holding in Tanami Gold NL (ASX:TAM) for a profit of approximately $450,000. As a consequence of this sale, Eurogold's cash position will be approximately $6.9 million.

On 6 February 2012 Eurogold announced that it had sub-underwritten two thirds of the renounceable rights issue to raise $15,000,000 by Dragon Mining Limited (ASX:DRA). Eurogold currently holds 19.99% of DRA. The DRA rights issue is currently due to close on 6 March 2012. As previously announced, Eurogold has committed to a funding facility with its major shareholder, the Allied Group of Hong Kong, to enable it to perform its underwriting commitments where the DRA rights issue shortfall exceeds Eurogold's cash position.

PETER GUNZBURG Executive Chairman