ION VIDEO LTD — Interim / Quarterly Report 2014

Jan 28, 2015

QUARTERLY REPORT DECEMBER 2013 PAGE 1

OPERATIONAL SUMMARY

The Company is continuing its work in gaining a further understanding of the geology of the Copper ridge deposit and the implications of the positive exploration results gathered to date, however as previously reported additional short term exploration will not involve any major programs so as to conserve the funds raised under the placement completed on 23 October 2014 ($850,000).

The Company has also now surrendered all the Western Australian exploration projects so as to reduce cash outgoings associated with rents and rates and in addition, eliminate the commitment to exploration expenditure required to maintain those exploration tenements.

The Company had 90,500,000 shares on issue with 16,300,000 options at the end of the quarter. The Company has sufficient capital to go forward at a time of market uncertainty.

The Directors continue to source and review other projects outside of the mineral exploration industry that have the potential to grow shareholder wealth in the medium to long term. Together with the recently appointed consultant, Mr Brad Rosser, your directors have reviewed a number of businesses seeking ASX exposure and securities listing. During the December quarter the businesses reviewed did not warrant additional due diligence.

The Directors will continue to review investment proposals.

Copper Ridge Project – Utah USA. (100% Firestrike Resources Limited)

The Copper Ridge Project near Salt Lake City in Utah USA comprises 184 claims which the Company holds in its own right.

Since the Company’s ownership of the project, 3 phases of surface sampling has been conducted and a first phase sub surface narrow diamond core drilling completed at three of the 7 prospects identified from the initial surface sample results.

The exploration activity has confirmed that the ridge is sporadically mineralised along its entire 7 kilometre length and up to 1 kilometre back from the range front. Additional areas between the main prospects are yet to be explored.

The results particularly from the Mealey and the Harrison support previous exploration data which suggests early explorers may have drilled as deep as 200 feet and intersected three lateral mineralised zones. Drilling by Firestrike has averaged just 22 feet in depth. The drilling also confirms the presence of copper at the historical Harrison heap leach mine site with preliminary leach test results indicating the copper present there is readily leachable.

The tenor of grade thus far identified in the sampling and the initial drilling is considered to be similar to the successfully producing Lisbon valley Copper mine some 80 miles to the south of Copper Ridge.

Initial analytical results also indicate strong silver–copper association is present and very strong silver results at Xaz with very high grade silver present. In addition lead and zinc are present throughout all three prosects in varying concentrations suggesting discrete metal zoning may be present thought out.

To the south of the main copper mineralisation, the Company also holds historical uranium mine workings which are yet to be further explored.

QUARTERLY REPORT DECEMBER 2014 PAGE 2

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Project location and prospects location maps

QUARTERLY REPORT DECEMBER 2014 PAGE 3

SCHEDULE OF TENEMENTS

Held as at 31 December 2014

Project name	Tenement ID	Number of tenements or claims	Ownership
Copper Ridge Utah USA	From CR#001 to CR#184 inclusive	184	100% Firestrike Resources Limited

Disposed of during the quarter

Project name	Tenement ID	Number of tenements or claims	Ownership
Grants Creek, Western Australia	From PL 80/1576 to PL 80/1580 inclusive, PL 80/1582,PL 80/1760	7	100% Firestrike Resources Limited
Angelo, Western Australia	EL 80/2707	1	100% Firestrike Resources Limited
Nabberu, Western Australia	EL 69/3225	1	100% Firestrike Resources Limited

Acquired during the quarter

Nil

.

QUARTERLY REPORT DECEMBER 2014 PAGE 4

Appendix 5B

Mining exploration entity quarterly report

Introduced 1/7/96. Origin: Appendix 8. Amended 1/7/97, 1/7/98, 30/9/2001, 01/06/10.

Firestrike Resources Limited

ABN Quarter ended (“current quarter”) 84 149 796 332 31 December 2014

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 - tenement rehabilitation bond (refundable) Net Operating Cash Flows	Current quarter $A’000	Year to date (6 months) $A’000
	- (21) - - (81) - - - - -	- (105) - - (198) - - - - -
	(102)	(303)
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 1.13 Total operating and investing cash flows (carried forward)	- - - - - - - - -	- - - - - - - - -
	-	-
	(102)	(303)

QUARTERLY REPORT DECEMBER 2014 PAGE 5

1.13 Total operating and investing cash flows (brought forward)	(102)	(303)
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 Other – Capital Raising costs Net financing cash flows	850 - - - - (26)	850 - - - - (28)
	824	822
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	722 124 -	519 327 -
	846	846

Payments to directors of the entity and associates of the directors

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

1.2 Aggregate amount of payments to the parties included in item 1.2 1.24 Aggregate amount of loans to the parties included in item 1.10	1.2 Aggregate amount of payments to the parties included in item 1.2 1.24 Aggregate amount of loans to the parties included in item 1.10	Current quarter $A'000
		49
		-
1.25 on-cas 2.1 2.2	Explanation necessary for an understanding of the transactions
	Consulting fees and salaries
	h financing and investing activities Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows
	Not Applicable
	Details of outlays made by other entities to establish or increase their share in projects in which the reportingentityhas an interest
	Not Applicable

Non-cash financing and investing activities

QUARTERLY REPORT DECEMBER 2014 PAGE 6

Financing facilities available

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

Estimated cash outflows for next quarter

4.1 Exploration and evaluation 4.2 Development 4.3 Production 4.4 Administration	$A’000
	25
	-
	-
	75
Total	100

Reconciliation of cash

econciliation 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.	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 (provide details)	846	124
	-	-
	-	-
	-	-
Total: cash at end of quarter(item 1.22)	846	124

Changes in interests in mining tenements

QUARTERLY REPORT DECEMBER 2014 PAGE 7

6.1 Interests in mining tenements relinquished, reduced or lapsed 6.2 Interests in mining tenements acquired or increased	Tenement reference	Nature of interest (note (2))	Interest at beginning of quarter	Interest at end of quarter
	EL 80/2707 EL 69/3225 PL 80/1576 - PL 80/1580 PL 80/1582 PL 80/1760	100% ownership 100% ownership 100% ownership 100% ownership 100% ownership	100% 100% 100% 100% 100%	Nil Nil Nil Nil Nil

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) (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 7.4 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy-backs	90,499,985	90,499,985
	42,500,000	42,500,000
7.5 +Convertible debt securities (description)

QUARTERLY REPORT DECEMBER 2014 PAGE 8

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/Cancelled during quarter	16,300,000	16,300,000	Exercise price $0.04	Expiry date 31 December 2016
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.

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Sign here: ............................................................ Date: 29/01/2015 Print name: Paul Lloyd

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

QUARTERLY REPORT DECEMBER 2014 PAGE 9

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.

QUARTERLY REPORT DECEMBER 2014 PAGE 10