Annual Report Hopeful Star Mineral Leases MLC 624 and MLC 632 for the period 1 January 2012 to 31 December 2012

Abstract

The Hopeful Star Project consists of two Minerals Leases within the Tennant Creek goldfields on which there are historical 'Hopeful Star' and Hopeful Star Extended' workings with an estimated total past production of about 2638 tonnes at a head grade of more than 9g/t gold. No production has occurred during the current reporting period. In 2011, a compilation of historical exploration and the current high gold price led to the conclusion that drilling is warranted to investigate the potential of the lease to host an open pit-able gold resource. Drilling was planned and a 4235 station ground magnetic survey was undertaken to refine it. However, An AAPA clearance survey was then undertaken which identified an exclusion zone around the majority of the leases, centred on the old workings. No drilling has therefore been undertaken and it is uncertain whether access will be granted.