NEURIZER LTD — Interim / Quarterly Report 2012

Jan 30, 2012

31[st] January 2012

COMPANY ANNOUNCEMENTS OFFICE AUSTRALIAN SECURITIES EXCHANGE

ASX CODE MTN

QUARTERLY ACTIVITY REPORT 1[st] October 2011 –31[st] December 2011

Marathon Resources Limited (ASX: “MTN”) presents its Activity Report for the Quarter ending 31[st] December 2011. Highlights of the past Quarter included:

• Receipt of instructions from the SA Government in relation to rehabilitation requirements for EL4355

• Commencement of legal action against the South Australian Government in the Supreme Court of South Australia on 11[th] November 2011

Instructions from the SA Government in relation to rehabilitation requirements for EL4355

In September 2011, Marathon received written instructions from the South Australian Minister for Mineral Resources Development regarding rehabilitation requirements that must be completed, in accordance with Exploration Licence Conditions, prior to the expiry in February 2012 of Marathon’s EL4355. Marathon expects that it will be in position to satisfy the rehabilitation requirements in accordance with the Exploration Licence Conditions.

Commencement of legal action against the South Australian Government

On 11[th] November 2011, the Board of Marathon Resources Ltd (ASX”“MTN”) commenced legal action against the South Australian Government in relation to the Government's proposed ban on mining at Arkaroola in the Northern Flinders Ranges.

The legal proceedings in the South Australian Supreme Court, seek:

• Declarations that the SA Government’s 29 July 2011 proclamation to exclude Arkaroola from the operation of the Mining Act was invalid on various grounds; and

• Orders requiring the Mining Registrar to register mineral claims lodged by Marathon in respect of EL 4355.

Marathon had hoped to resolve its claims against the Government prior to commencing legal action and continues to offer participation in meaningful discussions aimed at resolving the issues.

MEDIA CONTACT:

Peter Williams Chairman Marathon Resources Limited (08) 8348 3500

John Field Managing Director Field Public Relations (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 ABN Quarter ended (“current quarter”) 31 107 531 822 31 December 2011

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) (1)exploration & evaluation (2)camp infrastructure (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 (Mt Gee Discontinuation costs)) Net Operating Cash Flows	Current quarter $A’000	Year to date (6months) $A’000
	- (129) - (1,125) - 66 - - (180)	(449) (241) - (1.862) - 75 - - (266)
	(1,368)	(2,743)
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)	(51)	(80)
	(51)	(80)
	(1,419)	(2,823)

• 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)	(1,419)	(2,823)
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	(1,419) 4,940	(2,823) 6,344
	3,521	3,521

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
		125
		-
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	$A’000
	-
	-
	-
	600
Total	600

Reconciliation of cash

Reconciliation of cash	Reconciliation of cash
Reconciliation of cash at the end of the quarter (as		Current quarter	Previous quarter
shown	in the consolidated statement of cash	$A’000	$A’000
flows)	to the related items in the accounts is as
follows.
5.1	Cash on hand and at bank	31	55
5.2	Deposits at call	3,490	4,885
5.3	Bank overdraft	-	-
5.4	Other (provide details)	-	-
	Total: cash at end of quarter(item 1.22)	3,521	4,940

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
		No Changes
		None acquired

• See chapter 19 for defined terms.

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Appendix 5B Mining exploration entity quarterly report

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.

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	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
	-	-	-	-
	-	-	-	-

• See chapter 19 for defined terms.

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Appendix 5B Mining exploration entity quarterly report

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

Sign here: ............................................................ Date:31 January 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: Exploration 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.

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