STREAMPLAY STUDIO LIMITED — Interim / Quarterly Report 2004

Oct 28, 2004

Suite 34, 18 Stirling Highway, Nedlands WA 6009 PO Box 352, Nedlands WA 6909, Australia A.C.N. 004 766 376 Tel: (08) 9389 8611 Fax: (08) 9389 8612 itelford@gippslandLtd.com www.gippslanditd.com

OUARTERLY ACTIVITY REPORT

Period: July - September 2004 29 October 2004

HIGHLIGHTS

• ◆ Abu Dabbab 2Mtpa Bankable Feasibility Study
  • Completion first week November 2005
  • $\bullet$ World's second largest tantalum producer >650,000lb/yr Ta2O5
• ♦ Establishment of Abu Dabbab Free Trade Zone
  • • Zero import duty
  • • Zero sales tax
  • • Zero profit tax
• ♦ Additional Tantalum off-take agreements
• ◆ Wadi Allagi
  • Encouraging copper/nickel values
  • Initial exploration completed (gold, copper, nickel)

COMPLETION OF ABU DABBAB 2Mtpa BANKABLE FEASIBILITY STUDY

The Directors of Gippsland Limited "Gippsland" or "the Company") are most pleased to advise that the expanded Abu Dabbab Bankable Feasibility Study ("BFS") undertaken by the international engineering group Lycopodium Pty Ltd is due to be released during the first week of November 2005.

Based upon an annual mill feed-rate of 2 million tonnes per annum the Abu Dabbab project is scheduled to produce in excess of 650,000 pounds of tantalum pentoxide ("Ta2O5") per year which will firmly establish the operation as the world's second largest tantalum producer. The project will also produce 1,530 tonnes of tin metal per year.

ABU DABBAB FREE TRADE ZONE

Following discussions with the Egyptian General Authority for Investment and Free Zones ("GAFI") it has been determined that the 40Mt Abu Dabbab project will operate under the umbrella of a specially established Free Trade Zone ("FTZ") which will provide a number of significant long-term benefits to the project including but not limited to the following:

• 1. Zero import duty for plant & equipment plus Abu Dabbab project consumables;
• 1. Zero sales tax; and
• 1. Zero general and Company profit taxation.

The benefits provided by the FTZ will apply for the life of both the Abu Dabbab and Nuweibi deposits.

GAFI is Eqypt's "One Stop Shop" for investment, easing the way for investors worldwide to take advantage of Egyptian investment opportunities with emphasis being placed upon export oriented industries. GAFI is the primary governmental authority concerned with facilitating foreign investment and assisting with a range of services which are provided at no cost to the foreian investor.

The ability of Gippsland to reach this milestone agreement with GAFI to establish a project specific FTZ (the first of its kind) provides clear evidence that the Abu Dabbab project is enjoying a very high level of support from its joint venture partner Egyptian Geological Survey & Mining Authority, and the Eqyptian Government.

The 2Mtpa Abu Dabbab BFS completed by Lycopodium has taken into account the considerable benefits associated with the FTZ.

TANTALUM OFF-TAKE AGREEMENTS

The company has entered into tantalum off-take heads of agreement for a total of 420,000 pounds of Ta2O5 per year over a 4-year period. Negotiations are presently under way to enter into similar agreements for the balance of the $Ta_2O_5$ production.

ABU DABBAB PROJECT FINANCE

The Company is currently in negotiation with a number of leading banks in relation to project finance. While a number of finance options are being considered, it is anticipated that the Abu Dabbab project will enjoy a high debt-to-equity ratio in the order of 4:1.

WADI ALLAQI EXPLORATION

During June 2004, the Egyptian Government granted Gippsland the rights to explore eight gold areas and one copper-nickel area in the Wadi Allagi district located 160km southeast from Aswan in the south-western part of the Eastern Desert of Egypt. Wadi Allagi is considered to have been a significant source of the gold produced within Egypt during the Pharaonic period.

Within the Wadi Allagi district about 19 historical gold occurrences and deposits are known, most of which were superficially mined by the ancient Eqyptians and Romans. A small number of the deposits were mined by the British during the early 1900s. The historical mining was focused entirely on the near-surface high grade quartz veins and alluvial gold.

The nine (9) Wadi Allagi projects, each 16km2 in area, awarded to Gippsland are: Copper/Nickel - Abu Swayel and Gold - Umm Garayat, Koleit Umm Ourayyat, Nile Valley Block A, Nile Valley Block E, Seiga, Umm El Tuyer, Haimur and Umm Shashoba.

Copper/Nickel - Abu Swavel

During the quarter the Company's geologists completed a review of previous exploration data for the Company's Abu Swayel Copper-Nickel project. The previous exploration work comprises ten diamond drill holes and a shaft with a single cross-cut all of which test an area of ancient workings.

Copper at Abu Swayel was mined by the ancient Eqyptians from shallow open cut workings which can be traced over a length of 180m. An ancient furnace, slag and pottery remains are evidence that some on site processing of the copper ore was completed. In the early part of the 1900s the Nile Valley Company sank a shallow shaft with a cross-cut at the 22m level to test the vertical continuity of the mineralisation.

In the early 1960s the shaft was deepened to 69m and ten diamond drill holes were completed to test the down dip continuity of the mineralisation over a strike length of 200m. Of the 1,205m of drilling completed, only 21 samples ranging from 1-2m in length were assayed. Three of the holes returned significant Cu and Ni values.

Location	From $(m)$	To $(m)$	Interval (m)	Cu $(%)$	Ni (%)
DH01	21.00	23.60	2.6	1.16	0.24
DH 02	25.70	29.95	4.25	1.58	0.23
DH14	48.55	49.85	1.30	2.23	0.20
Shaft	30.00	40.00	10.00	1.87	1.53
Cross-cut	7.50	15.50	8.00	4.11	1.77

Abu Swayel - best Cu & Ni intersections

Except for geological mapping there has been no exploration outside of the immediate vicinity of the ancient workings since the early 1960s. The results of the previous exploration clearly show that mineralisation is present at grades and over widths that would be readily detected by geophysical methods such as electromagnetic ("EM") plus induced polarisation ("IP") techniques.

The Abu Swayel licence covers 16km2 of favourable stratigraphy along strike from the old workings which have not been tested for Cu-Ni mineralisation. Much of the area is covered by thin wadi sediments which can be readily explored by means of ground geophysical methods.

During September 2004, the company completed geological mapping and orientation aeochemical sampling in preparation for the proposed EM and IP exploration programmes.

Gold:

During the quarter all of the historical and previous exploration data was compiled into a GIS database and base plans prepared. Site inspections were carried out on all of the areas which revealed that old alluvial and colluvial gold workings were much more extensive than previously known. A number of previously unknown shafts and adits were located during the inspection which were mapped and sampled.

The mines at Wadi Allagi were historically small tonnage, high-grade mines easily exploited by the ancient miners. The recent field work has identified some prospects for large tonnage, lower-grade mineralisation which were ignored by the ancients. These prospects are at Haimur, Seiga, Umm El Tiur and Umm Shashoba where extensive zones of argillic alteration are associated with the old workings. Channel samples were collected from existing mine openings and the wadi banks to obtain samples for geochemical analysis. All of the samples were returned to Perth for analysis of gold, copper, nickel and platinoids.

Exploration programs for each project were prepared during the field inspection to ensure that drill access was possible with minimum site preparation and that the wadi sediments were not too thick to preclude regolith sampling methods.

Corporate:

On Monday 25 October 2004, the Company held its Annual General Meeting in Perth, Western Australia. All 5 Resolutions put to the Annual General Meeting were passed.

ruped

RJ (Jack) Telford Executive Chairman

For further information please contact:

Jack Telford Gippsland Limited Tel: +61 (0)418 911 928 jtelford@gippslandltd.com www.gippslandltd.com

Bill Sharp Hoodless Brennan & Partners Plc Tel: +44 (0)20 7610 8565 Fax: +44 (0)20 7538 1625 bill.sharp@hoodlessbrennan.com

Note: In accordance with Listing Rule 5.10 of the Australian Stock Exchange Limited, the geological information in this report that relates to mineral resources and ore reserves is based on information compiled by Gippsland Director Dr John M Chisholm, who is a Fellow of the Australasian Institute of Mining and Metallurgy, with over 25 years experience in the mining industry.