METALS AUSTRALIA LTD — Interim / Quarterly Report 2011

Jan 30, 2012

Appendix 5B Mining exploration entity quarterly report

Rul e 5.3

	38 ABN 008 982 4 C Minin 74 onsolida Ap g explor N Metal ted state pend ation ent ame of entity s Australia ment of c ix 5B ity quarte Ltd ash flow rly repo Quar (“curren 31 Dece s Rule rt ter ended t quarter”) mber 2011 5.3	38 ABN 008 982 4 C Minin 74 onsolida Ap g explor N Metal ted state pend ation ent ame of entity s Australia ment of c ix 5B ity quarte Ltd ash flow rly repo Quar (“curren 31 Dece s Rule rt ter ended t quarter”) mber 2011 5.3	38 ABN 008 982 4 C Minin 74 onsolida Ap g explor N Metal ted state pend ation ent ame of entity s Australia ment of c ix 5B ity quarte Ltd ash flow rly repo Quar (“curren 31 Dece s Rule rt ter ended t quarter”) mber 2011 5.3	38 ABN 008 982 4 C Minin 74 onsolida Ap g explor N Metal ted state pend ation ent ame of entity s Australia ment of c ix 5B ity quarte Ltd ash flow rly repo Quar (“curren 31 Dece s Rule rt ter ended t quarter”) mber 2011 5.3
1.1 1.2 1.3 1.4 1.5 1.6 1.7 Cash flow Receipts fro Payments fo Dividendsr Interest and Interest and Income taxe Other (prov Net operat s related to m product s r (a) explo (b) devel (c) produ (d) admin eceived other items other costs s paid ide details if ing cash flo operating ales and rela ration ande opment ction istration of a similar of finance pa material) ws activities ted debtors valuation nature receiv id R & D Gr ed ant		Cur qua $A’ rent rter 000	Y ( ear to date 6 months) $A’000
		(24 (18 1 3) 8) 9 -	(592) (308) 68 50
		(4 12)	(782)
1.8 1.9 1.10 1.11 1.12 1.13 Cash flow Payment fo Proceeds fro Loans to oth Loans repai Other (prov Net investi Total opera s related to r purchaseso m sale of: er entities d by other en ide details if ng cash flow ting and in investing f:(a) prospe (b) equity (c) otherf (a) prospe (b) equity (c) otherf tities material) s vesting cash activities cts investments ixed assets cts investments ixed assets flows(car ried forward )
		(41 2)	(782)
1.14 1.15 1.16 1.17 1.18 1.19 Cash flow Proceeds fro Proceeds fro Proceeds fro Repayment Dividendsp Other (prov Net financi s related to m issues of m sale of fo m borrowin of borrowing aid ide details if ng cash flow financing shares, optio rfeited share gs s material) s activities ns, etc. s
1.20 1.21 1.22 Net increas Cash at beg Exchange ra Cash at end e (decrease inning of qua te adjustme of quarter ) in cash he rter/year to nts to item 1. ld date 20		(4 1,28 12) 9	(782) 1,659
		8 77	877

• See chapter 19 for defined term s .

Appendix 5B Page 1

Appendix 5B Mining exploration entity quarterly report

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 1.25	Aggregate amount of payments to the parties included in item 1.2 Aggregate amount of loans to the parties included in item 1.10 Explanation necessaryfor an understandingof the transactions	Aggregate amount of payments to the parties included in item 1.2 Aggregate amount of loans to the parties included in item 1.10 Explanation necessaryfor an understandingof the transactions	Current quarter $A'000
			191
	Professional Services & Directors’ Fees Exploration ExpensesPaidThroughSubsidiary	$A’000 38 153

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

Financing facilities available

Add notes as necessary for an understanding of the position.

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 Total	3.1 Loan facilities 3.2 Credit standby arrangements	Amount available $A’000	Amount used $A’000
	4.1 Exploration and evaluation 4.2 Development 4.3 Production 4.4 Administration		$A’000
			250 100
	Total		350

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)	177 700	89 1,200
Total: cash at end ofquarter(item 1.22)	877	1,289

• See chapter 19 for defined terms.

Appendix 5B Page 2

Appendix 5B Mining exploration entity quarterly report

Changes in interests in mining tenements

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	Interest at end of quarter
			beginning
			ofquarter

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	683,273,765	683,273,765
7.5 +Convertible debt securities(description) 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 during quarter	163,665,000	-	Exercise Price 2 cents	Expiry Date 30 September 2013
7.11 Debentures (totals only)
7.12 Unsecured notes(totals only)

• See chapter 19 for defined terms.

Appendix 5B Page 3

Appendix 5B Mining exploration entity quarterly report

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:

Date: 31 January 2012

Print name: Norman Grafton

Company Secretary

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 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.

Appendix 5B Page 4