NEURIZER LTD — Interim / Quarterly Report 2012

Apr 29, 2012

Monday 30 April 2012

COMPANY ANNOUNCEMENTS OFFICE AUSTRALIAN SECURITIES EXCHANGE

ASX CODE MTN

QUARTERLY ACTIVITY REPORT 1 January 2012 – 31 March 2012

Marathon Resources Limited (ASX: “MTN”) presents its Activity Report for the Quarter ending 31 March 2012. Highlights of the past Quarter included:

• Completion of rehabilitation and related work for EL4355 in accordance with instructions from the SA Government

• Settlement of legal action against the South Australian Government in the Supreme Court of South Australia

• Review of potential future opportunities

Completion of rehabilitation and related work on EL4355 in accordance with instructions from the SA Government

Following the SA Government’s decision to ban exploration and mining in the Northern Flinders Ranges, the Government provided instructions in September 2011 to Marathon in relation to the company’s obligations under the terms and conditions of EL 4355 with particular emphasis on site rehabilitation and related activities. This work commenced in the reporting period, and was completed (subject to Government site inspection scheduled for May 2012).

Settlement of legal action against the South Australian Government

As reported to the ASX on 13 February this year, the South Australian Government agreed to pay Marathon $5 million in compensation as a goodwill payment in relation to the Government's proposed ban on mining at Arkaroola in the Northern Flinders Ranges of South Australia. As a consequence of the agreed payment, the Directors of Marathon have ceased Supreme Court litigation against the Government and the matter has been settled.

Review of potential future opportunities

Marathon is utilising the compensation funds to undertake due diligence on a number of potential new projects in Australia and overseas. Your Board and management have been robust in researching & investigating projects of interest, and have received a number of strategic opportunities from interested parties. Shareholders will be advised as soon as possible of the Company’s plans.

MEDIA CONTACT:

Peter Williams John Field Chairman Managing Director Marathon Resources Limited Field Public Relations (08) 8348 3500 (08) 8234 9555 (0418) 819 527

Appendix 5B Mining exploration entity quarterly report

Rule 5.3

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, 17/12/10.

Name of entity

	Marathon Resources Limited	Marathon Resources Limited	Marathon Resources Limited	Marathon Resources Limited
	ABN 31 107 531 822 Consolidated statement of cash flows
			31 March 2012
Cash flows related to operating activities 1.1 Receipts from product sales and related debtors 1.2 Payments for (a) (1)exploration & evaluation (2)camp infrastructure (b) development (c) production (d) administration (e) Supreme Court Action costs (re 1.7b) 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 (a)Other (Mt Gee Discontinuation costs) (b) Mt Gee SA Govt compensation Net Operating Cash Flows		Current quarter $A’000		Year to date (9months) $A’000
		- - (718) (370) 10 (273) 5,000		(449) (241) (2,101) (849) 85 (539) 5,000
		3,649		906
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 (carriedforward)		(10)		(90)
		(10)		(90)
		3,639		816

• See chapter 19 for defined terms.

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Appendix 5B Mining exploration entity quarterly report

1.13 Total operating and investing cash flows (brought forward)	3,639	3,639
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
	-	-
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 of quarter	3,639 3,521	816 6,344
	7,160	7,160

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	Aggregate amount of payments to the parties included in item 1.2 Aggregate amount of loans to the parties included in item 1.10	Current quarter $A'000
		120
		-
1.25	Explanation necessaryforanunderstanding ofthe transactions

Non-cash financing and investing activities

2.1 2.2	Details of financing and investing transactions which have had a material effect on consolidated assets andliabilities but didnotinvolve cash flows
	Nil
	Details of outlays made by other entities to establish or increase their share in projects in whichthereporting entityhas an interest
	Nil

• See chapter 19 for defined terms.

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Appendix 5B Mining exploration entity quarterly report

Financing facilities available

Add notes as necessary for an understanding of the position.

	3.1 Loan facilities 3.2 Credit standby arrangements	Amount available $A’000	Amount used $A’000
		Nil
		Nil

Estimated cash outflows for next quarter

• 4.1 Exploration and evaluation 4.2 Development 4.3 Production 4.4 Administration

Total

$A’000 - - - 750 750

Reconciliation of cash

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 $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)	33	31
	7,127	3,490
	-	-
	-	-
Total: cash at end of quarter(item 1.22)	7,160	3,521

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 beginning ofquarter	Interest at end of quarter
	EL 4355 Mt Gee	Licence not renewed by SA Government	100%	0%
		None acquired

Issued and quoted securities at end of current quarter

• See chapter 19 for defined terms.

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Appendix 5B Mining exploration entity quarterly report

Description includes rate of interest and any redemption or conversion rights together with prices and dates.

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	92,207,789	92,207,789
7.5 +Convertible debt securities (description) 7.6 Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted	N/A
7.7 Options (description and conversion factor) 7.8 Issued during quarter 7.9 Exercised during quarter 7.10 Expired during quarter	1,000,000 1,000,000 490,000 50,000 500,000 750,000 750,000	- - - - - - -	Exercise Price On Issue 0.80 1.10 0.34 0.75 0.876 1.25 1.75 After Rights Issue 0.777 1.077 0.317 0.727 0.853 1.227 1.727	Expiry date 02.09.2012 28.12.2014 15.10.2013 15.10.2013 01.11.2013 01.11.2014 01.11.2015
	-	-	-	-
	-	-	-	-
	-	-
7.11 Debentures (totals only)	-

• See chapter 19 for defined terms.

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Appendix 5B Mining exploration entity quarterly report

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 / ~~does not~~ * (delete one) give a true and fair view of the matters disclosed.

Sign here:

Date: 30 April 2012 (Company secretary)

Print name: Stuart Appleyard

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 6: Accounting for and Evaluation of Mineral Resources and AASB 107: 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 5

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