LEGEND MINING LIMITED — Interim / Quarterly Report 2005

Apr 28, 2005

Appendix 5B

$Rule 5.3$

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

LEGEND MINING LIMITED

ABN		Quarter ended ("current quarter")
	22 060 966 145	31 March 2005
	Consolidated statement of cash flows
Cash flows related to operating activities		Current quarter \$A'000	Year to date $(03$ months) \$A'000
1.1	Receipts from product sales and related debtors	3,680	3,680
1.2	Payments for (a) exploration and evaluation (b) development (c) production	(1,226) (5,697)	(1,226) (5,697)
1.3 1.4 1.5 1.6	(d) administration Dividends received Interest and other items of a similar nature received Interest and other costs of finance paid Income taxes paid	(337) 75 (104)	(337) 75 (104)
1.7	Other (provide details if material) Net Operating Cash Flows	(3,609)	(3,609)
1.8	Cash flows related to investing activities Payment for purchases of: (a)prospects (b)equity investments (c) plant & equipment	(29)	(29)
1.9	$(d)$ mine ppty $&$ dvmt Proceeds from sale of: (a)prospects (b)equity investments (c)other fixed assets	24	24
1.10 1.11 1.12	Loans to other entities Loans repaid by other entities Other (provide details if material)
	Net investing cash flows	(5)	(5)
1.13	Total operating and investing cash flows (carried forward)	(3,614)	(3,614)

⁺ See chapter 19 for defined terms.

1.13	Total operating and investing cash flows (brought forward)	(3,614)	(3,614)
1.14	Cash flows related to financing activities Proceeds from issues of shares, options, etc.	4,967	4,967
1.15 1.16	Proceeds from sale of forfeited shares Proceeds from borrowings
1.17 1.18	Repayment of borrowings Dividends paid	(526)	(526)
1.19	Other - Rental $\&$ Interest - Capital raising costs	(2)	(2)
	Net financing cash flows	4,439	4,439
	Net increase (decrease) in cash held	825	825
1.20 1.21	Cash at beginning of quarter/year to date Exchange rate adjustments to item 1.20	3,070	3,070
1.22	Cash at end of quarter	3,895	3,895

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

		Current quarter \$A'000
1.23	Aggregate amount of payments to the parties included in item 1.2	101
1.24	Aggregate amount of loans to the parties included in item 1.10

$1.25$ Explanation necessary for an understanding of the transactions

Directors salary and consultancy fees

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

Capital raising expenses satisfied by the issue of shares (\$A'000): \$299

$2.2$ Details of outlays made by other entities to establish or increase their share in projects in which the reporting entity has an interest

N.A.

⁺ See chapter 19 for defined terms.

Financing facilities available
Add notes as necessary for an understanding of the position.

		Amount available \$A'000	Amount used \$A'000
-3.1	Loan facilities	÷
3.2	Credit standby arrangements	≖

Estimated cash outflows for next quarter

		\$A'000
4.1	Exploration and evaluation	1,500
$4.2^{\circ}$	Development	MA
	Total	1,500

Reconciliation 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 SA'000	Previous quarter SA'000
5.1	Cash on hand and at bank	3,878	3,053
5.2	Deposits at call	17	17
5.3	Bank overdraft
5.4	Other (provide details)
	Total: cash at end of quarter (item 1.22)	3,895	3,070

Changes in interests in mining tenements

		Tenement reference	Nature of interest (note (2))	Interest at beginning of quarter	Interest at end of quarter
6.1	Interests in mining tenements relinquished, reduced or lapsed
6.2	Interests in mining tenements acquired or increased	E53/1020	Granted	$0\%$	100%

⁺ See chapter 19 for defined terms.

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)	paid Amount 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	258,416,494	258,416,494		Fully paid
7.4	Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy- backs	87,783,166	87,783,166		Fully paid
$7.5\,$	+ Convertible debt securities (description)	1 Secured Convertible Note (\$5,000,000 face) value) 10% coupon rat expiring 10 November 2006
7.6	Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted
7.7	Options (description and conversion factor) LEG11 LEG0 LEG7 LEG8	1,350,000 36,174,207 1,250,000 1,500,000	36,174,207	Exercise price 22c $_{15c}$ 20c 30c	Expiry date 30.05.2006 30.04.2005 30.07.2007 30.07.2009
$7.8\,$	Issued during quarter	ù.	u.

⁺ See chapter 19 for defined terms.

7.9	Exercised during quarter	$\mathbf{u}$	w.	44
7.10	Expired during quarter		u.	÷
7.11	Debentures (totals only)		$\overline{\phantom{a}}$
7.12	Unsecured notes (totals only)

Compliance statement

• $\mathbf{I}$ 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).
• $\overline{2}$ This statement does /does not* (delete one) give a true and fair view of the matters disclosed.

Regnato

Sign here:

...................................... $(Company)$

Print name:

Andrew Chapman...................................

Notes

• $\mathbf{I}$ 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.
• $\overline{2}$ 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 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.
• The definitions in, and provisions of, AASB 1022: Accounting for Extractive 4 Industries and AASB 1026: Statement of Cash Flows apply to this report.

⁺ See chapter 19 for defined terms.

Accounting Standards ASX will accept, for example, the use of International $\bar{5}$ 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.

$\overline{\text{minim}} \hspace{2mm} \overline{\text{minim}} \hspace{2mm} \overline{\text{minim}} \hspace{2mm} \overline{\text{minim}} \hspace{2mm} \overline{\text{minim}} \hspace{2mm} \overline{\text{minim}}$

⁺ See chapter 19 for defined terms.