Annual Exploration Report for EL 24715 Mount Masson for the period 1 March 2011 to 29 February 2012

Abstract

The following report describes work completed on tenement EL 24715 by Territory Resources Ltd from 1 March 2011 to 29 February 2012. In 2006, by virtue of an agreement, Territory Resources Limited acquired rights to explore iron ore within the tenement from the current tenement holder Crocodile Gold Australia Pty Ltd. The activities on EL 24715 during the reporting year consisted of: Ground gravity geophysical surveying: this continued on from the 2010 ground gravity survey that stopped within EL 24715. The northern portion of EL 24715 was surveyed over the prospective Lower Wildman Formation sequence (and EL 24040); Detailed geological mapping and rock-chip sampling programs by an independent contract geologist and Territory Resources' exploration staff; and obtained satellite imagery form GeoImage, which included ortho-rectification and digital surface modeling for contouring.