TESORO GOLD LTD — Net Asset Value 2009

Sep 13, 2009

TO: COMPANY ANNOUNCEMENTS OFFICE

COMPANY: AUSTRALIAN SECURITIES EXCHANGE LIMITED

FROM: VAN EYK THREE PILLARS LIMITED DATE: 14 SEPTEMBER 2009

NO. OF PAGES: 3

Net Tangible Assets (NTA)

	31 August 2009
	Cents
Gross Tangible Asset backing1	93
Deferred tax asset on realised tax losses	6
NTA after tax on realised income/gains and/or losses	99
Deferred tax asset / (liability) on unrealised positions	(1)
NTA after tax on unrealisedgains and/or losses	98

1. Gross Tangible Asset Backing:

3. includes investments at current market value less associated selling costs

4. is before Deferred Tax Asset on realised tax losses

5. is before any Deferred Tax on unrealised investment gains/losses

The Net Tangible Assets quoted above are based on unaudited financial accounts.

Peter Roberts Company Secretary

van Eyk Three Pillars Limited ABN 91 106 854 175 Level 7, 20 Hunter St, Sydney NSW 2000 GPO Box 5482, Sydney NSW 2001 P (02) 8236 7701 F (02) 9221 1194

www.vaneyk.com.au www.threepillars.vaneyk.com.au

– van Eyk Three Pillars Monthly Comment August 2009

Market / Portfolio

The S&P/ASX 300 Index gained 5.6% for the month of August. The month was lead by the finance sector with the A-REIT (+14.1%), Banks (+12.3%), and Finance (12.1%) subgroups all up strongly. On the downside, the Telecom (-7.1%), Utility (-3.8%) and Materials (-1.3%) subgroups were broadly lower. The Telecom group was dragged lower by the notable sale by the Future Fund to reduce its stake in Telstra by 34% through the sale of 684.4 million shares for $2.4B. Overall, trading was driven by a better than expected reporting season.

The FY09 reporting season, according to figures prepared by Merrill Lynch[1] , showed that corporate Australia experienced a 37% decline in profits on a 3% decline in revenues. While alarming in magnitude, the result was actually broadly ahead of consensus expectations as remarkable cost cutting drove better than expected margins in the second half. Of the scores of companies and management teams that we reviewed, there was a repeating chorus that February was the low point in activity followed by a notable turn around in May and June. This has translated into optimism for FY10 but few companies have provided specific guidance or tried to quantify that optimism. What we found most remarkable from this reporting season was the incredible balance sheet repair engineered by corporate Australia. Again, according to figures prepared by Merrill Lynch, From June 2008 to June 2009, net debt to equity for corporate Australia declined from 65% to 37%. While this estimate might not be entirely reflective of all of Australia, we concur that balance sheets have notably improved these past several months. In a way, Australian companies have just been given a “get out of jail card” as the pressures to leverage up balance sheets during the go-go years has quickly reversed to corporate conservatism, whether enforced voluntarily or not! Amazingly, investors made little noise stumping up around $40B for new equity in existing companies to retire debt and cover-up shortfalls from massive write-downs. The amount of capital raised is not of as much interest to us as is the ease these funds found their way into almost any company that simply had to ask for it. Looking at previous downturns, we would have expected more companies to have failed during this period but existing shareholders seemed unperturbed getting massively diluted or digging deep into their pockets to put even more money into these enterprises. It is this collective “forgive and forget” attitude that will likely be another memorable feature of this downturn.

Best stock contributors to the portfolio for August:

• Downer EDI +0.28 % • United Group +0.22 % • UXC +0.22 % • Centennial Coal +0.16 %

1 Rocks, Tim 2009, ‘Rocks on Stocks – Cost relief, capital restored and confidence for 2010’, Merrill Lynch Equity Strategy.

van Eyk Three Pillars Limited ABN 91 106 854 175 Level 7, 20 Hunter St, Sydney NSW 2000 GPO Box 5482, Sydney NSW 2001 P (02) 8236 7701 F (02) 9221 1194 www.vaneyk.com.au www.threepillars.vaneyk.com.au

Worst contributors:

• Tassal -0.48 %

• • Austal -0.40 % • Beach Petroleum -0.25 % • Prime Ag -0.22 %

In terms of other contributors to the months return, underweight positions in Telstra and BHP added value, as did not holding Wesfarmers and Bluescope Steel.

	**1 Month **	12 Month	Inception*
VTP	7.04%	-10.13%	10.26%
ASX 300	6.64%	-8.04%	10.26%

*Annualised from inception Jan 28 2004.

Outlook

Consensus has broadly turned bullish with expectations that the recovery has arrived. Stimulus charged economic indicators are sources of disquiet as post stimulus results are giving back some of their gains (for example, retail sales have recently been weak following the April stimulus payments); however, there is a general expectation that the worst is behind us. At this time, corporates and economists seem to be broadly in agreement that forward conditions will remain muted but not disastrous. While this might provide a basis for sentiment to continue to improve, we believe further upside will need to be supported by earnings growth as multiples have returned to their long term average. Volatility is expected to continue over a broad trading range leading to buying opportunities that should reward active stock selection.

Top Ten Holdings

Company	Weight
BHP Billiton	9.1%
National Australia Bank	6.6%
Westpac	5.4%
ANZ Bank	5.3%
Woolworths	3.5%
CSL	3.5%
Rio Tinto	3.2%
Commonwealth Bank	3.2%
Origin Energy	3.2%
Incitec Pivot	2.5%
	45.5%

van Eyk Three Pillars Limited ABN 91 106 854 175 Level 7, 20 Hunter St, Sydney NSW 2000 GPO Box 5482, Sydney NSW 2001 P (02) 8236 7701 F (02) 9221 1194

www.vaneyk.com.au www.threepillars.vaneyk.com.au