2007 Annual report on exploration licence EL 10368 AuQuest Project period beginning 16 June 2006 and the period ending 15 June 2007

Abstract

Renison Consolidated Mines NL has been developing an exploration strategy in the Northern Territory since 1999. This strategy includes targeting dislocations that host economic gold mineralisation within regional structures that intersect known stratigraphical and structural features of the Pine Creek Geosyncline. EL10368 forms a part of a regional package of tenements (AuQuest Project) that have a northwest trend, covering what the Company has called the Noonamah-Corroboree trend. Processing of Northern Territory Government supplied 400m spaced aeromagnetic and radiometric data has significantly enhanced the detail of the underlying geology and the subsequent interpretation of the prospectivity of that area. Approximately $30m has been spent on ground at Tom's Gully and other tenements within the AuQuest Project, as part of the company's exploration strategy, over the previous 18-month period. The Feasibility Study on Tom's Gully Underground has been completed and underground development started in September 2005 with the processing plant undergoing upgrading and refurbishment. Following commissioning and 6 months of processing an offer to buy Tom's Gully Mine was made by GBS in March 2007 this deal was finally signed on 25th of May and is now pending share holder approval. Since the offer was made Renison has completed no work on any Northern Territory tenements. Partially due to the sale but also due to Renison's Project Geologist resigning after a long bout with severe allergies since moving to the NT.