PROSPECT RESOURCES LIMITED — Interim / Quarterly Report 2013

Oct 29, 2012

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ASX Code: PSC

30 October 2012

September Quarterly Report

During the quarter the recapitalisation of the Company was completed and its shares were reinstated to trading on the ASX.

Exploration activity during the quarter was primarily on EL 66/56, which forms part of the Company’s Northampton Project. The Northampton area is well known for its structurally controlled copper, lead, zinc and silver mineralisation. Anomalous gold values have also been returned from regional sampling. The project area contains several small but historic mineral deposits, the mining of which has long since stopped.

The work completed this quarter has been designed to generate targets for future exploration. It consisted of a geological site visit to confirm the location of some historic drill holes, an ongoing digital data compilation exercise, and target generation.

The Company was able to meet its minimum expenditure obligations on E66/56 but was otherwise hampered by its recapitalisation process referred to above.

In addition to the above work, which was carried out by Jemda Pty Ltd Consulting Geologists, the Company engaged the same firm to review the entire tenement package and make recommendations on what tenements should be either reduced or dropped. The Company will review the recommendations during the December quarter and make decisions accordingly.

During the quarter, the Company withdrew its applications for tenements E66/80 and E66/81, with each tenement subject to four native title party claimant objections.

In addition to the above exploration, the Company has been reviewing additional projects to supplement its portfolio, with a particular emphasis on gold projects.

Prospect Resources Limited | ACN 124 354 329

Suite 6, 245 Churchill Ave. Subiaco WA 6008 | Phone: +61 8 9217 3300 | Fax: +61 8 9388 3006

Website: prospectresources.com.au | Email: info@prospectresources.com.au