SUREFIRE RESOURCES NL — Interim / Quarterly Report 2010

Jan 26, 2011

QUARTERLY ACTIVITIES REPORT – DECEMBER 2010.

Western Australia – E57/420 (Unaly Hill)

BRD detailed the market released results of the RC drilling programme at its 100% owned and highly prospective magnetite/vanadium deposit at Unaly Hill near Sandstone, undertaken during that period.

The magnetite-vanadium-titanium mineralization at Unaly Hill is associated with a pronounced aeromagnetic anomaly which can be traced for about 11 kms in BRD’s exploration licence. This anomaly extends for at least 2 kms south along the strike zone into the neighbouring tenement held by Meteoric Resources NL ( ASX:MEI ), with whom, BRD hold a Farmin and Joint Venture Agreement.

BRD’s Unaly Hill drilling programme comprised 13 Reverse Circulation holes form a total of 2,066 metres . Drilling was designed primarily to test both the continuity and grade of magnetite and vanadium mineralisation present within a major north-south trending magnetic survey. The anomaly was detected from the interpretation and 3D modeling of detailed airborne magnetics.

To date, this major anomaly has been traced over a strike length of some 14 kms, of which, at least 11 kms fall within Black Ridges E57/420. Some 7.5 kms of this anomaly still remains to be tested.

Given the encouraging results of that drilling programme, BRD have undertaken extensive desk top studies on options available to the company, and held discussions with a number of parties to assist in developing a forward plan.

Four Corners Well – E57/760

In addition to the Unaly Hill evaluation, the results of the exploratory drilling holes undertaken on the E57/760 tenement owned by Meteoric Resources NL were most encouraging.

The agreement with MEI sets out terms under which BRD could earn up to 60% interest in E57/760 by spending $1,000,000 on exploration over a three year period and if required, an additional 10% by spending a further $500,000 within a further year. The first stage of the option with MEI encompassed spending $100,000 within 6 months of signing the agreement, as a preliminary investigation, prior to committing to a Joint Venture.

MEI have been advised by BRD that the initial funding for exploratory investigation was completed within the combined Unaly Hill / Four Corners Well programme and results are being scrutinized with all assays of that programme.

Subsequent to the end of the reporting period, has exercised their option to enter into the Joint Venture with MEI and the initial three year term, by joint agreement, has been extended to six years.

Overseas Opportunities

Whilst the primary interest for BRD is the ongoing evaluation of the E57/420 and E57/760 tenements, the company continues to receive offers to consider opportunities overseas. Although not actively seeking new ventures externally, the company is aware that it is incumbent on the directors to ensure that all possibilities are given due consideration once presented and should the right venture be reviewed, will be reported back to the market.

Corporate

During the quarter, the Company completed a Placement to sophisticated investors of 137,000,000 shares at an issue price of $0.0074 cents per share to raise $1,013,800 before costs of the issue. 100,000,000 of the shares were issued pursuant to the approval granted by shareholders at the General Meeting of the Company held on 23[rd] August 2010.

The other 37,000,000 shares were issued under the 15% capacity available to the Company in accordance with ASX Listing Rule 7.1 and were subsequently ratified at the AGM held on 22[nd] November 2010.

The funds raised from the issue will be applied to ongoing exploration and evaluation programmes, evaluation and acquisition of new opportunities, corporate and administrative activities and working capital and the costs of the issue.

101,150,000 listed options exercisable at 3 cents each were not exercised by the due date of 30 November 2010 and therefore lapsed. 1,700,000 unlisted options exercisable at 4 cents each were not exercised by the due date of 31 December 2010 and therefore lapsed.

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GORDON S. HATCH Managing Director