PATERSON RESOURCES LTD — Interim / Quarterly Report 2012

Jan 30, 2013

21"st"January"2013,

Company"Announcements"Office Australian"Securities"Exchange 20"Bridge"Street SYDNEY"NSW"2000

Quarterly)Report)for)quarter)ended 31)st December) 2012.

CORPORATE:

The)Annual)General)Meeting)was)held)on)November)28th 2012.

The) Annual) General) Meeting) of) shareholders) was) held) on) 28th November) 2012.) ) At) this) meeting,)the)shareholders)of)the)Company)approved):

1. The)Remuneration)Report)and)the)reLelection)of)Mr)John)Karajas))were)approved. Mr) Karajas) ) has) subsequently) resigned) from) the) Board) and) Mt) John) Wyatt) has) been) appointed)his)replacement.

2. United)Orogen)is)holding)a)general)meeting)and)an)explanatory)memorandum)is)available) ŽŶƚŚĞŽŵƉĂŶLJ͛ƐǁĞďƐŝƚĞĂŶĚŽŶƚŚĞ ASX.

3.)Tenement)Surrenders):

E70/4173)and)E70/4174),)Tambellup)and)Tambellup)East)were) relinquished)on)November)1) 2012.

E39/1528) and) E39/1594,) Victoria) Desert) and) Victoria) Desert) North) were) surrendered) on) December)6th 2012.

E80/4243)Mt.)Leeming)and)E80/4372)Cape)Londenderry)were)surrendered)on)December)27th 2012.

E80/4434)Vansittart)and)E80/4435)Lawley,were)surrendered)on)December)27th 2012. E8/4439)Frederick)Hills)was)surrendered)on)December)27th 2012.

Mineral)Exploration:

Further)evaluation)of)exploration)strategies)was)carried)out)for)tenements held)by)UOG)Pty) Ltd.

Mt.)LeemingLBauxiteLE80/4243)and)E80/4439.)(100%).

("Surrendered"27/12/2012).

The" Mt" Leeming" project" is" an" opportunity" for" bauxite" with" a" significant" level" of" earlier" exploration"activity"and"scoping"data."Historical"resource"estimates"have"been"completed"prior" to"the"introduction"of"the"JORC"code. Drilling"and"pitting"carried"out"during"earlier"exploration" programmes"identified"significant"thicknesses"of"bauxite in" the Carson"Volcanics"on" tenement" E80/4243.The"Bauxite"prospectivity"of"the"project"area"is"considered"to"be"significant"and"more" detailed"exploration"and"sampling"is"planned.

Tenements Acquired from Orange Hills Ltd

Cape)LondenderryLGold)E80/4372.(100%).

("Surrendered"27/12/2012).

The"Cape"Londonderry"project"covers"rock"sequences"which"are"prospective"for"both"gold"and" alumina"and"pisolitic"iron."Reconnaissance"exploration"by"earlier"explorers"has"identified"gold" and"volcanicXhosted"base"metals" mineralization.

LawleyLGold,Base)Metals)E80/4435.)(100%).

("Surrendered"27/12/2012).

The" geological" setting" is" prospective" for" both" gold" and" diamonds. Although" relatively" unexplored," work" by" others" has" identified" a" number" of anomalous" gold" values" ranging" up" to" 5600ppb," together" with" at" least" one" diamond" occurrence." Areas" that" have" outcropping" (and" faulted)"Hart"Dolerite"will" be" the" subject" of" detailed"mapping"and" sampling"in" the" search" for" hydrothermal"alteration"and"vein"type"base"metal"mineralization.

VansittartLGold,Base)Metals)E80/4434.(100%).

("Surrendered"27/12/2012).

The"Vansittart"Prospect"is"believed"to"be"prospective"for"gold"hosted"by"King"Leopold"Sandstone" and"possibly"base"metals"in"the"Hart"Dolerite,"where"hydrothermal"veins"elsewhere"in"that"rock" sequence" reportedly" contain" identified," polymetallic (gold," silver" and" base" metal)" mineralization.Exploration" by" others" report" on" the" presence" of" microdiamond" occurrences," within"the"postulated"gold"mineralized"corridor"that"extends"northeastXsouthwest,"along"a"line" between"E80/4372"and"E80/4434.

Tambellup)Project)(100%)

("Surrendered"27/12/2012).

The two" licenses were" relinquished" on"November" 1st 2012.UOG" Pty" Ltd" decided" to" relinquish" the" tenements" after" assessment" of" their" prospectivity.They" were" not" considered" to" be" propective"enough"for"further"exploration"work.

Redmond)Project)(100%)

(E70/4073; Granted"April"2"2012).

New"Government"aeromagnetic"imagery" released recently has"also"been"used" to"plan" further" exploration"and"sampling.The"new"imagery"shows"moderately"strong"magnetic"anomalies"to" the"south"of"the"HayXRedmond"road.

Victoria)Desert)Project)(100%).

(Victoria"Desert"E39/1528,"Victoria"Desert"North"E39/1594)". ("Surrendered"27/12/2012).

The" Project" area" is" situated" 250km" ENE" of" Kalgoorlie" and" covers" an" area" of" approximately" 185km²"and"is"prospective"for"gold,"base"metals"and"uranium."The"area"is"covered"by"undulating" WNW" trending" sparsely"vegetated" static" sand"dunes"with"an"average" height"of" 10X15"metres." This"continuous"sand"cover"obscures" the"bedrock"mineralization"and" the"suitability"of"surface" sampling"techniques"is"often"brought"into"question."

Previous explorers" have" found" at" least" six" gold" anomalies" and" two" areas" with" uranium" anomalies."There is"potential"for"sedimentary"hosted"gold,"base metals"and"uranium"deposits."It has"been"possible"to"define"lineaments"in"lake"sediments,"as they"are"of"a"different"colour"due" to"the"influx"of"oxidized"brines.

The" Victoria" Desert" North" project" is" underlain" by" narrow" belts" of" north" west" trending" greenstone" of" the" Narnoo" Greenstone" Belt" within" granites" interpreted" from" aeromagnetic" surveys."Mafic"and"ultramafic"lithologies"are"present"in"a"structural"setting"of"north"and"north" west" trending"brittle deformed" faults".The"area"is" therefore"prospective" for"gold, base"metals and"uranium."During"this"quarter UOG"continued"further"desktop"studies"for"target"generation" and"planning""for"a"new""geochemical"sampling"programme"was"completed.

Horseshoe) South)Project)(100%)

(Horseshoe"South"E52/2569)

hK'͛Ɛ ĞdžƉůŽƌĂƚŝŽŶ has" included" a" heliborne geophysical" survey" which" indicated" no" deep" conductors"are"present"in"this"area"negating"the"possibility"of"a"deep"sulphide"deposit."This"area" is"being"targeted" for"north"west"striking"structurally"controlled"gold"mineralization due" to" the" vicinity"of"known"deposits"in"the"area"however"field"checking"and"a"data"review"of"previous"soil" geochemistry,"mapping"and"drilling"carried"out"by"Dominion"Mining"in"this"area"did"not"produce" encouraging"results."Additional"work"will"be"required"in"the"north"west"area"of"the"tenement"to" determine"the"prospectivity"of"the"project"area.

Gunnedo)Project)(100%)

(E69/2825)

The" tenement" is" located" within" the" Eucla" Basin" approximately" 450km" east" of" Kalgoorlie" and" covers"an"area"of"132km²."Previous"exploration"is"very"limited"which"includes"aeromagnetic"and" gravity"surveys"and" two"partly"government" funded" (50%)"diamond"holes"drilled" to"a"depth"of" 400m"each."The"explorers"were"targeting"possible"nickel"sulphide"mineralization within"a"north" easterly"trending"zone"of"magnetic"anomalies"coincident"with"gravity high."No"significant"nickel" mineralization was"intersected."Other"major"explorers"working"in" the"vicinity"of" the"Gunnedo" project"have"relinquished"their"holdings"and"are"now"concentrating"their"efforts"120km"further" east"along"the"major"Mundrabella"fault."

Examination"by"our"geologists"has"not revealed lithologies"that"may"host"significant"thicknesses" of" base" metals" or" gold mineralization." Radiometric measurements" on" the" core" were" not" significant."UOG"is"""reviewing"this"information.

EP 448)Canning)Basin)Oil)and)Gas).

United"Orogen"Pty"Ltd"informed"Key"Petroleum"its""intention"to"withdraw"from"the"EP448"Joint" Venture.on"7th January"2013"the"Joint"Venture"Operating"Committee"at"a"meeting"approved"of" the"withdrawal.

Parmesh) Vakil

The information within this report as it relates to exploration results and mineral resources was compiled by the Mr. Parmesh Vakil. Mr.Vakil is a Member of the Australasian Institute of Mining and Metallurgy. Mr. Vakil has sufficient experience which is relevant to the style of mineralization and the type of deposit under consideration to qualify as a &RPSHWHQW3HUVRQDVGHILQHGLQWKH(GLWLRQRIWKH³$XVWUDODVLDQ&RGHIRU5HSRUWLQJRI([SORUDWLRQ5HVXOWV 0LQHUDO5HVRXUFHVDQG2UH5HVHUYHVWKH-25&&RGH´0U9DNil consents to the inclusion in the report of the matters based on information in the form and context which it appears.