LEGEND MINING LIMITED — Interim / Quarterly Report 2008

Sep 10, 2008

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A.C.N. 060 966 145

HALF-YEAR REPORT 30th JUNE 2008

CONTENTS

COMPANY DIRECTORY

Directors

	Page
Company Directory	1
Directors’ Report	2
Condensed Income Statement	4
Condensed Balance Sheet	5
Condensed Cash Flow Statement	6
Condensed Statement of Changes in Equity	7
Notes to the Financial Statements	8
Director’s Declaration	15
Declaration of Auditor Independence	16
Independent Auditor’s Review Report	17

Michael William Atkins (Chairman) Mark William Wilson (Managing Director) Dermot Michael Ryan (Non-executive Director)

Secretary

Tony Walsh

Registered Office

Level 2 640 Murray Street PO Box 626 WEST PERTH, WA 6005

Telephone: (08) 9212 0600 Facsimile: (08) 9212 0611

Bankers

National Australia Bank 1232 Hay Street WEST PERTH, WA 6005

Auditors

Stantons International Level 1, 1 Havelock Street WEST PERTH, WA 6005

Home Exchange

Web

www.legendmining.com.au

Email

legend@legendmining.com.au

ASX Codes

LEG – ordinary shares LEGO – options

Australian Securities Exchange Ltd 2 The Esplanade PERTH WA 6000

Share Registry

Advanced Share Registry Services 110 Stirling Highway NEDLANDS, WA 6009

Telephone: (08) 9389 8033 Facsimile: (08) 9389 7871

Lawyers

Pullinger Readhead Lucas Level 1, Fortescue House 50 Kings Park Road WEST PERTH, WA 6005

Legend Mining Limited Half-Year Report 2008

1

DIRECTORS’ REPORT

The Directors submit their report for the half-year ended 30 June 2008.

DIRECTORS

The names and details of the Company’s Directors in office during the financial period and until the date of this report are as below. Directors were in office for this entire period unless otherwise stated.

Michael Atkins (Chairman, Non Executive Director)

Mark Wilson (Managing Director)

Dermot Ryan (Non Executive Director)

NATURE OF OPERATIONS AND PRINCIPAL ACTIVITIES

The principal activities during the period of the entities within the consolidated entity were:-

• exploration for gold and base metal (zinc-copper-gold, nickel-copper, zinc-copper and coppergold) deposits.

RESULTS OF OPERATIONS

The loss of the consolidated entity for the half-year was ($219,793) (2007: loss $6,445,976) after income tax.

REVIEW OF OPERATIONS

This half year saw Legend’s projects being progressed in an orderly manner. In summary:

1. Legend is exploring the Pilbara and Gum Creek Projects. Drill programs, soil sampling and geophysical surveys are some of the techniques being employed to consistently develop new drill targets.

2. The Mt Gibson Joint Venture will see Oz Minerals Ltd (formerly Oxiana) inject up to $10 million to explore the asset, meaning Legend shareholders have no additional financial risk, but will still benefit from any discoveries with a minimum 25% holding in the JV.

The mining and processing operations at the Mt Gibson project remain on care and maintenance.

Legend Mining Limited Half-Year Report 2008

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AUDITOR INDEPENDENCE AND NON-AUDIT SERVICES

We have received the Declaration of Auditor Independence from Stantons International, the Company’s Auditor, this is available for review on page 16.

SIGNED in accordance with a Resolution of the Directors on behalf of the Board

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________ M Wilson Managing Director

Dated this 11[th] day of September 2008

Legend Mining Limited Half-Year Report 2008

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CONDENSED CONSOLIDATED INCOME STATEMENT FOR THE HALF-YEAR ENDED 30 JUNE 2008

Note Continuing Operations Sales revenues Cost of sales Gross profit/(loss) Rental revenue 3(a) Finance revenue 3(b) Other income 3(c) Deferred exploration expenditure written off 3(e) Other expenses 3(f) Corporate head office expenses Finance costs Net loss from continuing operations before income tax expense Income tax benefit/ (expense) Net loss attributable to members of the entity PROFIT/(LOSS) PER SHARE (cents per share) Basic profit/(loss) for the period 4 Diluted profit/(loss) for the period 4	CONSOLIDATED 2008 $ 2007 $ - - - -
	- -
	10,143 7,500 438,828 246,635 129,199 25,015 (55,562) (5,409,595) (75,534) (427,833) (640,190) (676,329) (26,677) (211,369)
	(219,793) (6,445,976) - -
	(219,793) (6,445,976)
	0.019 cents (0.69 cents) 0.019 cents (0.69 cents)

Legend Mining Limited Half-Year Report 2008

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CONDENSED CONSOLIDATED BALANCE SHEET AS AT 30 JUNE 2008

Notes ASSETS Current Assets Cash and cash equivalents 6 Trade & other receivables Prepayments Other financial assets Total Current Assets Non-current Assets Deferred tax asset Other financial assets 7 Property, plant & equipment 8 Deferred exploration costs 9 Total Non-current Assets TOTAL ASSETS LIABILITIES Current Liabilities Trade & other payables 10 Income tax payable Provisions Total Current Liabilities Non-current Liabilities Provisions Deferred tax liability Total Non-current Liabilities TOTAL LIABILITIES NET ASSETS EQUITY Equity attributable to equity holders of the parent Contributed Equity 11 Share option premium reserve Shares to be issued Equity revaluation reserve Accumulated losses TOTAL EQUITY	CONSOLIDATED As at 30 June 2008 $ As at 31 December 2007 $ 10,951,638 11,913,555 169,236 98,137 37,143 339,594 - 321,025
	11,158,017 12,672,311
	1,018,901 902,732 1,541,339 1,544,931 528,473 535,257 10,435,226 9,303,553
	13,523,939 12,286,473
	24,681,956 24,958,784
	221,303 224,016 95,723 376,597 62,346 104,592
	379,372 705,205
	1,563,676 1,472,840 2,512,196 2,311,121
	4,075,872 3,783,961
	4,455,244 4,489,166
	20,226,712 20,469,618
	36,545,069 36,385,772 3,241,607 3,192,481 6,400 - - 237,936 (19,566,364) (19,346,571)
	20,226,712 20,469,618

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Legend Mining Limited Half-Year Report 2008

CONDENSED CONSOLIDATED CASH FLOW STATEMENT FOR THE HALF-YEAR ENDED 30 JUNE 2008

CASH FLOWS FROM OPERATING ACTIVITIES Receipts from customers Payments to suppliers and employees Payment for exploration and evaluation Interest received Interest paid Net cash flows used in operating activities CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from sale of property, plant & equipment & scrap Purchase of property, plant & equipment Payment for Performance Bonds Net cash flows from/ (used in) investing activities CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from issue of ordinary shares Proceeds from shares to be issued Net cash flows from financing activities Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at the beginning of period Cash and cash equivalents at end of period	CONSOLIDATED 2008 $ 2007 $ 139,032 193,582 (310,173) (542,928) (1,187,235) (1,620,839) 423,069 245,327 (14,579) (211,369)
	(949,887) (1,936,227)
	10,000 - (78,440) (146,876) 3,592 -
	(64,848) (146,876)
	46,418 17,285 6,400 -
	52,818 17,285
	(961,917) (2,065,818) 11,913,555 8,924,983
	10,951,638 6,859,165

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Legend Mining Limited Half-Year Report 2008

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE HALF-YEAR ENDED 30 JUNE 2008

Consolidated At 1 January 2008 Profit for the period Issue of options Exercise of share options Cost of issue of share Capital Return of capital At 30 June 2008 At 1 January 2007 Loss for the period Issue of options Exercise of share option Cost of issue of share capital At 30 June 2007	Issued Capital Shares to be issued $ $ 36,385,772 - - - - - 46,418 6,400 195,968 - (83,089) -	Share Option Premium Reserve Equity Revaluation Reserve Accumulated Losses Total Equity $ $ $ 3,192,481 237,936 (19,346,571) 20,469,618 - - (219,793) (219,793) 49,126 - - 49,126 - - - 52,818 - - - 195,968 - (237,936) - (321,025)
	36,545,069 6,400	3,241,607 - (19,566,364) 20,226,712
	57,328,816 - - - - - 17,285 - - -	3,115,335 - (31,802,994) 28,641,157 - - (6,445,976) (6,445,976) 126,270 - - 126,270 - - - 17,285 - - - -
	57,346,101 -	3,241,605 - (38,248,970) 22,338,736

Legend Mining Limited Half-Year Report 2008

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 30 JUNE 2008

NOTE 1: CORPORATE INFORMATION

The financial report of Legend Mining Limited (the Company) for the half-year ended 30 June 2008 was authorised for issue in accordance with a resolution of the Directors on 11 September 2008.

Legend Mining Limited is a company incorporated in Australia whose shares are publicly traded on the Australian Securities exchange.

The nature of the operations and principal activities of the Group are described in the Directors’ Report.

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The half-year financial report does not include all notes of the type normally included within the annual financial report and therefore cannot be expected to provide as full an understanding of the financial performance, financial position and financing and investing activities of the consolidated entity as the full financial report.

The half-year financial report should be read in conjunction with the Annual Financial Report of Legend Mining Limited as for the year ended 31 December 2007.

It is also recommended that the half-year financial report be considered together with any public announcements made by Legend Mining Limited and its controlled entities during the half-year ended 30 June 2008 in accordance with the continuance disclosure obligations arising under the Corporations Act 2001.

(a) Basis of preparation

The half-year consolidated financial report is a general-purpose financial report, which has been prepared in accordance with the requirements of the Corporations Act 2001, applicable Australian Accounting Standards including AASB 134 Interim Financial Reporting and other mandatory professional reporting requirements. The half-year report has been prepared on a historical cost basis except for available-for-sale investments which have been measured at fair value.

The financial report is presented in Australian dollars and all values are expressed as whole dollars.

For the purpose of preparing the half-year financial report, the half-year has been treated as a discreet reporting period.

(b) Significant accounting policies

The half-year consolidated financial statements have been prepared using the same accounting policies as used in the annual financial statements for the year ended 31 December 2007.

(c) Basis of consolidation

The half-year consolidated financial statements comprise the financial statements of Legend Mining Limited and its subsidiaries as at 30 June 2008 (‘the Group’).

(d) Estimates

The preparation of the interim financial report requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates.

In preparing this consolidated interim financial report, the significant judgements made by management in applying the consolidated entity’s accounting policies and the key sources of estimation uncertainty were the same as those that applied to the consolidated financial report as at and for the year ended 31 December 2007.

Legend Mining Limited Half-Year Report 2008

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 30 JUNE 2008

NOTE 3: REVENUE AND EXPENSES Revenues and expenses from continuing operations a) Rental Revenue Rental revenue b) Finance Revenue Bank interest received and receivable c) Other Income Hire of camp facilities Field work completed by Legend geologists Payment for aeromagnetic data Refunds from DOIR Reimbursement of premises expenses d) Employee Benefits Expense Salaries & On costs Share Based Payments Other Employee Benefits e) Deferred Exploration Expenditure written off Write down of deferred exploration expenditure f) Other Expenses Depreciation Loss on sale of Plant & Equipment Provision for write-down in Plant & Equipment Other non-operating expenditure	CONSOLIDATED June 2008 $ June 2007 $ 10,143 7,500
	438,828 246,635
	- 55 40,038 14,800 - 5,000 89,161 - - 5,160
	129,199 25,015
	123,878 235,700 49,126 77,144 2,715 2,483
	175,719 315,327
	55,562 5,409,595
	75,025 102,410 509 - 315,075 - 10,348
	75,534 427,833

Legend Mining Limited Half-Year Report 2008

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 30 JUNE 2008

NOTE 4: LOSS PER SHARE (a) Reconciliation of earnings to net loss: Net Profit/(Loss) Profit/(Loss) used in the calculation of basic loss per share (b) Weighted average number of shares on issue during the financial period used in the calculation of basic loss per share Weighted average number of ordinary shares on issue used in the calculation of diluted loss per share	June 2008 $ June 2007 $ (219,793) (6,445,976) (210,793) (6,445,976)
	1,172,335,738 924,300,176 1,172,335,738 924,300,176

NOTE 5: SEGMENT INFORMATION

The Company operates in one business and geographical segment, being the mining and exploration for gold and base metals (nickel-copper-zinc) in Australia.

NOTE 6: CASH AND CASH EQUIVALENTS

NOTE 6: CASH AND CASH EQUIVALENTS Cash at bank and in hand Short tem deposits Total Cash and Cash Equivalents NOTE 7: OTHER FINANCIAL ASSETS Current Shares in Apex Minerals NL at market value Non-current Performance and other bonds (a)	Consolidated June 2008 $ December 2007 $ 312,733 442,865 10,638,905 11,470,690
	10,951,638 11,913,555
	Consolidated June 2008 December 2007 $ $ - 321,025
	1,541,339 1,544,931

(a) Terms and conditions relating to the above financial instruments

• Non-Current Rehabilitation/Performance bonds– bank deposits were held as security for rehabilitation and credit cards, as a security deposit for the premises rented and as security for joint venture assets. These bonds were held on 90 day term deposits at 7.80%, 182 day term deposit at 5.25% or on 7 months at 7.15%.

Legend Mining Limited Half-Year Report 2008

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 30 JUNE 2008

NOTE 8: PROPERTY, PLANT AND EQUIPMENT

Consolidated At 1 January 2008, net of accumulated depreciation Additions Disposals Depreciation expense At 30 June 2008, Net of accumulated depreciation At 1 January 2008 Cost Accumulated depreciation Net carrying amount At 30 June 2008 Cost Accumulated depreciation Net carrying amount Consolidated At 1 January 2007, net of accumulated depreciation Additions Disposals Depreciation expense At 31 December 2007, Net of accumulated depreciation At 1 January 2007 Cost Accumulated depreciation Net carrying amount At 31 December 2007 Cost Accumulated depreciation Net carrying amount	Buildings Plant and equipment Total 163,323 371,934 535,257 - 78,440 78,440 - (10,199) (10,199) (28,404) (46,621) (75,025)
	134,919 393,554 528,473
	284,040 1,110,537 1,394,577 (120,717) (738,603) (859,320)
	163,323 371,934 535,257
	284,040 755,795 1,039,835 (149,121) (362,241) (511,362)
	134,919 393,554 528,473
	321,921 1,463,930 1,785,851 - 202,737 202,737 (84,620) (1,182,912) (1,267,532) (73,978) (111,821) (185,799)
	163,323 371,934 535,257
	468,725 2,625,996 3,094,721 (146,804) (1,162,066) (1,308,870)
	321,921 1,463,930 1,785,851
	284,040 1,110,537 1,394,577 (120,717) (738,603) (859,320)
	163,323 371,934 535,257

Legend Mining Limited Half-Year Report 2008

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 30 JUNE 2008

NOTE 9: DEFERRED EXPLORATION COSTS

Deferred exploration and evaluation Deferred mining information (a) Deferred exploration and evaluation costs At 1 January, at cost. Expenditure incurred during the period Expenditure written off during the period (ii) At 30 June, at cost. (iii) (b) Deferred Mining Information At 1 January, at cost. At 30 June, at cost. (iii)	Consolidated June 2008 $ December 2007 $ 8,762,723 7,631,050 1,672,503 1,672,503
	10,435,226 9,303,553
	June 2008 $ June 2007 $ 7,631,050 19,473,189 1,187,235 1,620,839 (55,562) (5,409,595)
	8,762,723 15,684,433
	1,672,503 1,672,503
	1,672,503 1,672,503

Note :

• (i) As part of the continuing tenement rationalisation, Legend Mining Limited lodged new tenement applications over areas covered by Gidgee Resources Limited tenement application. Expenditure allocated to these Gidgee Resources Limited tenements was reassigned to the new tenement applications.

• (ii) Carrying values for certain tenements were reviewed and subject to the following conditions being met;

• (1) no substantive expenditure for further exploration in the specific areas has been budgeted for; (2) exploration for and evaluation of mineral resources in the specific area has not led to the discovery of commercially viable quantities of mineral resources;

• (3) it was decided to discontinue such activities in the specific areas;

• (iii) The future recoverability of capitalised exploration and evaluation expenditure is dependent on a number of factors, including whether the Group decides to exploit the related lease itself or, if not, whether it successfully recovers the related exploration and evaluation asset through sale.

NOTE 10: TRADE AND OTHER PAYABLES

Current – unsecured Trade payables Other payables & accruals	June 2008 $ December 2007 $ 163,720 192,447 57,583 31,569 221,303 224,016

Terms and conditions relating to the above financial instruments

• (i) Trade payables are non-interest bearing and normally settled on 30 day terms.

• (ii) Other payables are non-interest bearing and normally settled as they fall due.

Legend Mining Limited Half-Year Report 2008

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 30 JUNE 2008

NOTE 11: CONTRIBUTED EQUITY

Ordinary shares Issued and fully paid Issue costs Return of Capital Movement in ordinary shares on issue 2008 At 1 January 2008 Issued in period 2-Jan-08 Issued for cash on exercise of share options 5-Feb-08 Issued for cash on exercise of share options 19-Feb-08 Issued for cash on exercise of share options 16-Apr-08 Issued for cash on exercise of share options 15-May-08 Issued for cash on exercise of share options 17-June-08 Issued for cash on exercise of share options Reimbursements for options not converted Cash received from issue of share capital in period Deferred tax asset on capital raising costs Return of capital	Consolidated and Company Jun-08 $ Dec-07 $ 37,888,287 68,176,255 (1,343,218) (1,539,186) - (30,251,297)	Consolidated and Company Jun-08 $ Dec-07 $ 37,888,287 68,176,255 (1,343,218) (1,539,186) - (30,251,297)
	36,545,069	36,385,772
	Jun-08 1,159,911,684	$ 36,385,772
	1,511,666 760,804 12,924,000 1,343,554 303,333 3,324,909 - -	3,778 1,902 32,310 3,358 758 8,312 (4,000)
		46,418
		195,968 (83,089)
	1,180,079,950	36,545,069

Effective 1 July 1998, the Corporations legislation in place abolished the concept of authorised share capital and par value shares. Accordingly the Company does not have authorised capital nor par value in respect of its issued shares.

Fully paid ordinary shares carry one vote per share and carry the right to dividends.

NOTE 12: RELATED PARTY DISCLOSURES

(i) Wholly-owned group transactions

Loans made by Legend Mining Limited to wholly-owned subsidiaries are repayable on demand and are not interest bearing.

(ii) Other related party transactions

Transactions between related parties are on normal commercial terms and conditions no more favourable than those available to other parties unless otherwise stated.

(iii) Ultimate parent

Legend Mining Limited is the ultimate parent company.

(iv) Loans to related parties

Legend Mining Limited have advanced/ (received) the following loans to/(from) its subsidiary companies at the half-year ended 30 June 2008

Gibson Metals Pty Ltd Armada Mining Limited Gidgee Resources Limited	June-08 Dec-07 142,356 496,089 572,199 - - (287,666)

Legend Mining Limited Half-Year Report 2008

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 30 JUNE 2008

NOTE 13: COMMITMENTS

(a) Exploration expenditure commitments.

In order to maintain current rights of tenure to exploration tenements, the Company will be required to outlay approximately $642,200 in the following 12 months, (previous 12 months: $3,205,940) in respect of tenement lease rentals and to meet minimum expenditure requirements of the Department of Industry & Resources. These obligations are expected to be fulfilled in the normal course of operations and have not been provided for in the financial report.

This is the maximum commitment to exploration, to fully meet DOIR requirements. In practice, Legend has routinely applied for and been granted exemptions from meeting these requirements on a tenement by tenement basis. As a result the actual amount required to be expended on exploration is expected to be less than $642,200, while still holding all the tenements in good standing.

There has been no material change of any contingent liabilities during the half-year.

No matter or circumstances has arisen since the end of the half-year to the date of this report which has significantly effected, or may significantly effect, the operations of the consolidated entity the results of those operations or the state of affairs of the consolidated entity.

The consolidated entity’s activities in Australia are subject to the Native Titles Act and the Department of Environment. Uncertainty associated with Native Title issues may impact on the Company’s future plans.

There are no unresolved Native Title issues and the consolidated entity is not aware of any other matters that may impact upon its access to the land that comprises its project areas.

NOTE 14: EVENTS AFTER THE BALANCE SHEET DATE

A letter agreement has been signed with Extension Hill Pty Ltd (EHPL) on 11 June 2008 whereby EHPL is leasing the accommodation facilities at the Mt Gibson Project for three years at an annual rental of $500,000 per year. The commencement date of the lease is 4 August 2008. Legend is retaining exclusive use of some facilities to enable the conduct of the Oxiana joint venture exploration activities.

29,307,285 options exercisable at 0.25 cents have been converted into shares since 30 June 2008 representing an additional $73,268 in capital raising. In addition 1,196,704 options exercisable at 0.25 cents expired on the 31 July 2008.

NOTE 15: DIVIDENDS PAID AND PROPOSED

No dividends were paid or proposed this financial period.

There are no franking credits available for future reporting periods.

Legend Mining Limited Half-Year Report 2008

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DIRECTOR’S DECLARATION

In accordance with a resolution of the Directors of Legend Mining Limited, I state that:

In the opinion of the Directors:

• a) the financial statements and notes, of the consolidated entity, are in accordance with the Corporations Act 2001, including;

• i. Giving a true and fair view of the consolidated entity’s financial position as at 30 June 2008 and their performance for the year ended on that date; and

• ii. Comply with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001; and

• b) there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable.

On behalf of the Board.

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---

M. Wilson Managing Director

Dated this 11[th] day of September 2008

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Legend Mining Limited Half-Year Report 2008

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11 September 2008

Board of Directors Legend Mining Limited Level 2, 640 Murray Street WEST PERTH WA 6005

Dear Sirs

RE: LEGEND MINING LIMITED

In accordance with section 307C of the Corporations Act 2001, I am pleased to provide the following declaration of independence to the directors of Legend Mining Limited.

As Audit Director for the review of the financial statements of Legend Mining Limited for the six months ended 30 June 2008, I declare that to the best of my knowledge and belief, there have been no contraventions of:

• (i) the auditor independence requirements of the Corporations Act 2001 in relation to the review; and

• (ii) any applicable code of professional conduct in relation to the review.

Yours sincerely STANTONS INTERNATIONAL (Authorised Audit Company)

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John P Van Dieren Director

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INDEPENDENT AUDITOR’S REVIEW REPORT

TO THE MEMBERS OF LEGEND MINING LIMITED

Report on the Half-Year Financial Report

We have reviewed the accompanying half-year financial report of Legend Mining Limited, which comprises the condensed balance sheet as at 30 June 2008, and the condensed income statement, condensed statement of changes in equity and condensed cash flow statement for the half-year ended on that date, a statement of accounting policies, other selected explanatory notes and the directors’ declaration.

Directors’ Responsibility for the Half-Year Financial Report

The directors of the Company are responsible for the preparation and fair presentation of the halfyear financial report in accordance with Australian Accounting Standards (including the Australian Accounting Interpretations) and the Corporations Act 2001 . This responsibility includes designing, implementing and maintaining internal controls relevant to the preparation and fair presentation of the half-year financial report that is free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances.

Auditor’s Responsibility

Our responsibility is to express a conclusion on the half-year financial report based on our review. We conducted our review in accordance with Auditing Standard on Review Engagements ASRE 2410 Review of an Interim Financial Report Performed by the Independent Auditor of the Entity , in order to state whether, on the basis of the procedures described, we have become aware of any matter that makes us believe that the financial report is not in accordance with the Corporations Act 2001 including: giving a true and fair view of the entity’s financial position as at 30 June 2008 and its performance for the half year ended on that date; and complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001 . As the auditor of Legend Mining Limited, ASRE 2410 requires that we comply with the ethical requirements relevant to the audit of the annual financial report.

A review of a half-year financial report consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Australian Auditing Standards and consequently does not enable us to obtain assurance that we

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17

would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Independence

In conducting our review, we have complied with the independence requirements of the Corporations Act 2001 . We confirm that the independence declaration required by the Corporations Act 2001, has been provided to the directors of Legend Mining Limited on 11 September 2008.

Conclusion

Based on our review, which is not an audit, we have not become aware of any matter that makes us believe that the half-year financial report of Legend Mining Limited is not in accordance with the Corporations Act 2001 including:

• (a) giving a true and fair view of the entity’s financial position as at 30 June 2008 and of its performance for the half-year ended on that date; and

• (b) complying with Accounting Standard AASB 134 Interim Financial Reporting and Corporations Regulations 2001.

STANTONS INTERNATIONAL (Authorised Audit Company)

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John P Van Dieren Director

West Perth, Western Australia 11 September 2008

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