Combined Annual Report for the Western Project Area GR056/09 16 May 2011 to 15 May 2012

Abstract

Exploration Licences (ELs) and Mineral Authorities (MAs)in the WPA, were acquired by Giants Reef Exploration Pty Ltd (Giants Reef) and Santexco Pty Ltd to search for Tennant Creek style iron oxide copper-gold deposits. Giants Reef Exploration Pty Ltd (Giants Reef) and Santexco Pty Ltd are wholly owned subsidiaries of Emmerson Resources Ltd. This combined report records the exploration work completed on these ELs during the WPA Combined Reporting period from 16 May 2011 to the 15 May 2012. Exploration activities were limited within the WPA during the reporting period, due to Emmerson's focus at the 'Proof of Concept' drilling in the Northern Project Area (NPA). The main focus in the WPA was at the NAV7 prospect and HeliTEM survey focused within EL 28603. Exploration activities conducted consisted of; Exploration RC drilling - 3 Holes, totalling 717m; and Completion of a HeliTEM survey over the White Devil Area, which include EL 28603. This data has yet to be assessed, interpreted or modelled in great detail, due to the focus on 'Proof of Concept' drilling in the NPA, but an initial first pass analysis identified a coincident anomaly with the Historical NAV7 area, hence the above RC drilling. Emmerson will be analysing, interpreting and modelling the HeliTEM data from