STRIKE RESOURCES LIMITED — Capital/Financing Update 2006

Feb 9, 2006

Friday, 10 February 2006

MARKET ANNOUNCEMENT

Pre-Reinstatement Disclosure - Updated Pro-forma Balance Sheet

The Company refers to its market announcement of 6 February 2006 advising of the completion of its $1.5 million Prospectus capital raising and advises of the following updated Prospectus Pro-Forma Balance Sheet based on actual funds raised under the Prospectus dated 23 December 2005.

		Audited30/6/2005	Unaudited31/10/2005	Pro-FormaPost-Prospectus
	Notes	$	$	$
CURRENT ASSETS
Cash assets	2	54,197	185,299	1,724,341
Other financial assets	3		455,086	455,086
Receivables		169,459	20,888	20,888
TOTAL CURRENT ASSETS		223,656	661,273	2,200,315
NON CURRENT ASSETS
Receivables		500	500	500
Property, plant and equipment		47,309	47,309	47,309
Other financial assets		376,750
Investments accounted for using equity method	4	147,425	5,739	5,739
Internet technologies
Prepaid classification works
Other development works
Intangibles
Exploration, Evaluation and Development Expenditure	5		37,340	1,015,111
TOTAL NON CURRENT ASSETS		571,984	90,888	1,068,659
TOTAL ASSETS		795,640	752,161	3,268,974
CURRENT LIABILITIES
Payables		544,869	387,357	387,357
Provisions		21,732	21,732	21,732
TOTAL CURRENT LIABILITIES		566,601	409,089	409,089
TOTAL LIABILITIES		566,601	409,089	409,089
NET ASSETS		229,039	343,072	2,859,885
EQUITY
Contributed equity	6	16,414,372	17,059,688	19,826,501
Accumulated losses		(16, 185, 333)	(16,716,616)	(16,966,616)
TOTAL EQUITY		229,039	343,072	2,859,885

The Pro-Porma Balance Sheet is to be read in conjunction with the following notes and comments.

www.strikeresources.com.au

STRIKE RESOURCES LIMITED (formerly Fast Scout Limited) Level 14, 221 St Georges Terrace, Perth WA 6000 T | (08) 9214 9700 F | (08) 9322 1515

A.B.N. 94 088 488 724

$\overline{1}$ Assumed Transactions

The pro-forma position incorporates the assumed financial effects of the following transactions:

Transactions	No. Shares	Total Value	Comments
Issue under $971,000 SharePlacement (post Share)Conversion)	3,236,667	$935,800	9,710,000 Shares issued at 10 cents per share (pre ShareConversion) and reconstructed to 3,236,667 Shares under theShare Conversion: Amount raised is net of $35,200 feespayable to brokers in respect of services provided to theCompany in relation to the completion of the $971,000 SharePlacement.
Issue under UOG Agreement(post Share Conversion) /Acquisition costs under UOGAgreement	116.667	$28,000	350,000 Shares issued pre Share Conversion andreconstructed to 116,667 Shares under the Share Conversion:pre Share Conversion value based on the Company's pre-Share Conversion closing bid price of 8 cents per share on 21December 2005 (on the eve of the AGM prior to the Companybeing suspended from ASX); the value is posted to Exploration,Evaluation and Development Expenditure
Issue under Prospectus ShareOffer (with Full Subscriptions)	7,500,000	$1,359,680	Gross proceed from Issue of $1,500,000 less expenses of theIssue of $140,320 (refer Section 12.2 of the Prospectus)
Issue under Hume Agreement/ Acquisition costs underHume Agreement	1,666,667	$333,333	Shares issued post Share Conversion; value based onProspectus Share Offer issue price of 20 cents per Share; thevalue is posted to Exploration, Evaluation and DevelopmentExpenditure
Issue of Hume Options	N/A	$10,000	Cash consideration received by the Company from Hume; NoHume Options assumed to be exercised
Acquisition costs underKalimantan Coal Agreement	N/A	$616,438	The Kalimantan Coal Agreement is described in Section 13.4 ofthe Prospectus; The cost is based on the Company effectinginitial payments of US$50,000 (in respect of KP1 and KP2) andaggregate subsequent payments of US$400,000 (in respect ofonly one of KP 1, KP2 or KP3); the exchange rate is assumedto $A$1 = US$0.73$ ; the value is posted to Exploration,Evaluation and Development Expenditure
Fees payable to Sinarco forintroduction of theKalimantan Coal Project		$150,000	Cash component of introduction fee payable to Sinarco; refer toSection 13.6 of the Prospectus
Issue to Sinarco forintroduction of the KalimantanCoal Project	500,000	$100,000	Shares issued post Share Conversion; value based onProspectus Share Offer issue price of 20 cents per Share; thevalue is expensed

$\overline{2}$ Cash

------	Pro-Forma5
Cash assets as at 31 October 2005 (unaudited)	185,299
Adjustments arising in the preparation of thepro-forma cash balance are summarised as follows:
Net proceeds from the issue under the $971,000 Share Placement	935,800
Net proceeds from the issue under the Prospectus Share Offer	1,359,680
Consideration received from Hume in relation to the issue of the Hume Options	10,000
Acquisition costs under Kalimantan Coal Agreement	(616, 438)
Fees payable to Sinarco for introduction of the Kalimantan Coal Project	(150,000)
Pro-forma cash assets	1,724,341

$\overline{3}$ Other Financial Assets

	Consolidated31 October 2005
Investments comprise:Shares and options in listed corporations - at costLess: Provision for diminution	575.182(120,096)
	455,086
Market value of shares in listed companies as at 31 October 2005:	455.086

Shares and options in listed corporations comprise:

Change and dealers is noted corporations contenious			31-Oct-05
Company	No Shares	%	Last Bid Price	Market Value
Orion Equities Limited (OEQ)	505.026 2.83%		$0.590	$297.965
Queste Communications Limited (QUE)	826.950 2.91%		$0.190	$157,121
Total				$455,086

$\overline{\mathbf{4}}$ Investments Accounted For Using Equity Method

Investments accounted for using equity method comprise investments in ASX listed (but suspended) securities:

			31-Oct-05
Company	No Shares	%	LastBid Price	MarketValue	CarryingValue
Altera Capital Limited (AEA)	20.002.860	32.3%	suspended	N/A	$\sim$
Sofcom Limited (SOF)	12.420.439	27.8%	suspended	N/A	5.739

The Company is the largest shareholder in AEA and SOF both of which are ASX listed companies, currently suspended avaiting a potential recapitalisation and re-admission to ASX. The Company is in discussions with a number of parties regarding a sale of its interest in these companies. The Company's nil valuation for its shareholding in not reflect any potential "control premium" upon a possible sale of such shareholdings.

5Exploration, Evaluation and Development Expenditure
	Pro-Forma- $
Exploration, Evaluation and Development Expenditure as at 31 October 2005 (unaudited)	37,340
Adjustments arising in the preparation of the pro-formaExploration, Evaluation and Development Expenditure are summarised as follows:
Issue under UOG Agreement / Acquisition costs under UOG Agreement	28,000
Issue under Hume Agreement / Acquisition costs under Hume Agreement	333,333
Acquisition costs under Kalimantan Coal Agreement	616,438
Pro-forma Exploration, Evaluation and Development Expenditure	1,015,111

Contributed Equity $6\phantom{1}$

	Pre ShareConversionIssue Price(cents)	Post ShareConversionIssue Price	No. Shares	Pro-Forma
		(cents)		$
As at 30 June 2005			81,593,281	16,414,372
19 August 2005 - Issue to DBS pursuant to settlementand termination of portal classification agreementapproved by Shareholders on 22 July 2005	$\mathbf{2}$		20,965,814	419,316
18 October 2005 - Issue under $229,000 SharePlacement	10 1		2,290,000	226,000
As at 23 December 2005			104,849,095	17,059,688
Pro-forma adjustments:
Issue under the $971,000 Share Placement	10 1		9,710,000	935,800
Issue under UOG Agreement / Acquisition costs underUOG Agreement	8		350,000	28,000
Pre Share Conversion			114,909,095	18,023,488
Post Share Conversion (3 January 2006)			38,303,032	18,023,488
Issue under Hume Agreement / Acquisition costsunder Hume Agreement		20	1,666,667	333,333
Consideration received from Hume in relation to theissue of the Hume Options		N/A	N/A	10,000
Issue to Sinarco for introduction of the Kalimantan CoalProject		20	500,000	100,000
Sub-total prior to Prospectus Share Offer			40,469,699	18,466,821
Pro-Forma - Issue under Prospectus Share Offer (withFull Subscriptions)		20	7,500,000	1,359,680
Sub-total post Prospectus Share Offer			47,969,699	19,826,501

$\overline{7}$ Miscellaneous Matters

• All defined terms are to such terms defined in the Fast Scout Limited Prospectus dated 23 December 2005; $(a)$
• The UOG Agreement settled on 23 December 2005 after receiving shareholder approval at the AGM held on 22 $(b)$ December 2005;
• The $971,000 Share Placement was completed on 23 December 2005 after receiving shareholder approval at the $(c)$ AGM;
• $(d)$ The Prospectus shares (7,500,000) were allotted and issued on 9 February 2006;
• The Hume Agreement was completed on 9 February 2006 after the completion of the Prospectus capital raising; $(e)$
• Hume subscribed for the Hume Options on 9 February 2006 after the completion of the Hume Agreement $(f)$

Further information:

Victor Ho Company Secretary T | (08) 9214 9700 E | vho@strikeresources.com.au