Annual Technical Report Pine Creek Property EL 28016 Reporting Period 25 November 2010 to 24 November 2011

Abstract

EL 28016 forms part of St George Mining's Blue Thunder Gold Project which is a contiguous area comprised of EL 27732, EL 28016, EL 28017, EL 28232, EL 28332, EL 28463 and EL 28465. All tenements are held in the name of Blue Thunder Resources Pty Ltd, a wholly owned subsidiary of St George Mining, other than for EL 27732. On the first of March 2009, St George Mining entered into an option to acquire 80% of EL 27732 in the Pine Creek, Northern Territory. EL 27732 is currently held by James Stewart (50%) and Geotech International (50%). St George Mining is the manager of the Project. St George Mining has acquired EL 28016 with the aim of assessing if there are extensions of the known gold system on the tenement to the north. Exploration objectives for 2011 were to compile and review relevant current and historical information for the property to assist in further exploration targeting, through developing a predictive and diagnostic exploration model. The predictive exploration model would then be used to screen the wider tenement holding and identify the more prospective areas of the Pine Creek property. The Blue Thunder Project, which includes EL 28016, covers an extensive strike-length where the prospective Koolpin Formation is shifted in a vertical orientation along the Fenton Shear. The mineralised shear is most prominent on EL 27732 where previous drilling has identified gold mineralisation. The shear continues southward onto EL 28016 for at least an additional 15 km before the magnetic response becomes more defuse suggesting deeper cover. Investigation of the magnetic and other data for EL 28016 has established a priority area of interest. There is a focus point immediately south of the southern boundary of EL 27732 and the northern boundary of EL 28106 where there is a pronounced magnetic response over 5 km before the shear appears to 'horse-tail' and continue to the south. The area was selected on the basis that these noticeable NW trending magnetic trends represent hydrothermal magnetite and pyrrhotite alteration along regional shear zones. Pyrrhotite has a noted mineral association with the gold mineralisation discovered to the north. Deflections in the NW trending magnetic lineaments to a more northerly orientation appear to indicate late stage dextral movements on the NE-SW cross structures. These are potentially preferentially dilated sites and the placement of the planned MMI soil geochemical survey in 2012 will focus on these intersection sites.