SEL 26397, EL 23117, EL 23118, EL 23513, EL 23514, EL 24285, EL 24286, EL 23993, EL 26404, EL 22307, EL 23931, EL 27340, EL 27342 Abner Project Combined annual report for the period 3 August 2010 to 2 August 2011

Abstract

Exploration activities completed during the reporting period included; 5 drill holes at the ABN21 kimberlite pipe, 1 drill hole at a geophysical target, Collection and processing of 3 x drill core samples, Processing of 12 samples collected during the previous reporting period, Collection and processing of 116 heavy mineral samples, Photogeological study, Ground gravity surveying and interpretation of data. Exploration for the coming year will focus on resolving the source of anomalous chromites and diamonds recovered in heavy mineral samples collected this year. A significant number of chromites have been recovered and the company is confident that additional kimberlites occur in the area. In addition, the Company will undertake aggressive exploration over large previously unsampled parts of the Abner Range, which must be considered prospective for kimberlites.