STRIKE RESOURCES LIMITED — Interim / Quarterly Report 2005

Sep 12, 2005

August 2005 Monthly Cash Flow Report

	Name of entity
	FAST SCOUT LIMITED and controlled entities
	ACN or ARBN		Month Ended
	088 488 724		31 August 2005
	Consolidated statement of cash flows	Consolidated
		Current Month	Year to Date
		August 2005	2 months
		$'000	$' 000
	Cash flows related to operating activities
1,1	Receipts from customers	3	5
1.2	Payments for
	(a) staff costs	(9)	(29)
	(b) advertising and marketing
	(c) research and development
	(d) leased assets
	(e) other working capital	(52)	(116)
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 (provide details if material)
	(a) Professional fees
	(b) Payments made pursuant to litigation cost orders		(120)
	Net operating cash flows	(58)	(260)

		Consolidated
		Current Month	Year to Date
		August 2005	2 months
		$'000	$' 000
1.8	Net operating cash flows (carried forward)	(58)	(260)
	Cash flows related to investing activities
1.9	Payment for acquisition of:
	(a)businesses (item 5)
	equity investments(b)
	intellectual property(c)
	physical non-current assets(d)
	other non-current assets(e)
1.10	Proceeds from disposal of:
	businesses (item 5)(a)
	equity investments(b)	82	209
	(c)intellectual property
	(d)physical non-current assets
	(e)other non-current assets
1.11	Loans to other entities
1.12	Loans repaid by other entities
1.13	Other (provide details if material)
	Proceeds from investor in intellectual property	30	30
	Proceeds from return of capital		7
	Net investing cash flows	112	246
1.14	Total operating and investing cash flows	54	(14)
	Cash flows related to financing activities
1.15	Proceeds from issues of shares, options, etc.
1.16	Proceeds from sale of forfeited shares
1.17	Proceeds from borrowings
1.18	Repayment of borrowings
1.19	Dividends paid
1.20	Other (provide details if material)
	Net financing cash flows
	Net increase (decrease) in cash held	54	(14)
1.21	Cash at beginning of month/year to date	12	80
1.22	Exchange rate adjustments to item 1.20
1.23	Cash at end of month	66	66

Payments to directors of the entity and associates of the directors Payments to related entities of the entity and associates of the related entities

		Current MonthAugust 2005$.000
1.24	Aggregate amount of payments to the parties included in item 1.2
1.25	Aggregate amount of loans to the parties included in item 1.11	m.

1.26 Explanation necessary for an understanding of the transactions

$8.790 PAYG instalments paid to the ATO in respect of previous months' salaries and fees paid by the Company to its Directors.

All Directors and the Company Secretary have agreed to suspend receipt of their remuneration payable to them from July 2005.

Non-cash financing and investing activities

Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities $21$ but did not involve cash flows

On 19 August 2005, the Company issued 20,965.814 new shares (at a price of 2 cents per share) to Data Base Systems Limited (DBS) and reduced a cash liability owed to DBS from $189,586 to $142,189, pursuant to shareholder approval on 22 July 2005 of a proposed termination and settlement of the Portal Classification Agreement (PCA) with DBS. The cash settlement sum of $142,189 remains outstanding at the date of this report (accruing interest at 7% per annum).

Details of outlays made by other entities to establish or increase their share in businesses in which the reporting $2.2$ entity has an interest

None.

Financing facilities available

Add notes as necessary for an understanding of the position. (See AASB 1026 paragraph 12.2).

		Amt available$000	Amount used$$^{\circ}000$
3.1	Loan facilities	A	-44
3.2	Credit standby arrangements	MC	$\overline{\phantom{a}}$

Disposals

(Item $1.10(a)$ )

Reconciliation of cashReconciliation of cash at the end of the month (as shownin the consolidated statement of cash flows) to therelated items in the accounts is as follows		Consolidated
		CurrentMonth$'000	PreviousMonth$$^{\circ}$ 000
4.1	Cash on hand and at bank	66	12
4.2	Deposits at call
4.3	Bank overdraft
4.4	Other (Bank Bills)
	Total: cash at end of month (item 1.22)	66

Acquisitions and disposals of business entities

• $5.1$ Name of entity
• $5.2$ Place of incorporation or registration
• 5.3 Consideration for acquisition or disposal
• $5.4$ Total net assets
• 5.5 Nature of business

$\mathbf{r}$ $\overline{a}$ $\overline{a}$ $\overline{a}$ $\overline{a}$

Compliance statement

• This statement has been prepared under accounting policies which comply with accounting standards as defined in the 1 Corporations Law (except to the extent that information is not required because of note 2) or other standards acceptable to ASX.
• $\overline{2}$ This statement does give a true and fair view of the matters disclosed.

12 September 2005

Acquisitions

(Item $1.9(a)$ )

Victor Ho Company Secretary

NOTES:

The Company currently holds the following share investments: $(1)$

			12-Sep-05
Company	No Shares	%	Last Closing Price	Market Value
Central Exchange Limited (CXL)	543.026	3.0%	$0.585	$317,670
Queste Communications Limited (QUE)	826.950	2.8%	$0,200	$165,390
Altera Capital Ltd (AEA)	20,002,860	32.3%	suspended
Sofcom Limited (SOF)	12.420.439	27.8%	suspended
Total				$483,060

Share investments are regarded as liquid assets to supplement the Company's cash reserves.

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

As a consequence of the termination of the cash expenditure commitments owed to DBS for classifications works under the PCA $(2)$ together with a suspension of directors and company secretarial fees, the Company believes that the existing cash and liquid assets of the Company and expected revenues from operating activities are sufficient to fund the existing operations and working capital requirements of the Company for the next six months.