Group Annual Report for EL's 22850, 23208, 23659, 24344, 24436, 24437, 25194, 25844, 26608, 26610, 26616, 27124, 27127, 27339, 27378, 27813, 28322, 28323, 28324, 28325, 28327 and 28328 Bonanza Project from 31 December 2012 to 30 October 2013

Abstract

In 2013 ABM focused its exploration on extensional surface exploration work mainly near the Old Pirate and the Old Pirate trial mining and processing including open pit mapping. A total of 22 BLEG, 22 mag lag, 26 lag, 1128 vein / costean, 1292 rock-chip and 4338 soil samples were taken on five tenements. In 2012 ABM discovered the Golden Hind Deposit and within months of drilling the first hole ABM converted the project into a high-grade indicated resource estimation. Golden Hind has a footprint of less than 100m strike length of high-grade coarse gold in veins at surface and represents a potentially highly profitable open pit mining scenario. The small footprint falls between previous sampling lines and Golden Hind is along strike from other quartz veins which generally have low-grade gold or are barren. This taught ABM's exploration team that quartz veins can change in nature and transition from low-grade to high-grade over very short distances. As a result, the 2013 field season commenced with focusing on the mapping and sampling the many kilometres of strike length of other quartz veins in the area around the Old Pirate Deposit. The 2013 surface sampling consisted of: reconnaissance rock chip sampling in the wider area to the north and south of the Buccaneer and Old Pirate deposits; three systematic soil sampling programs to the north and to the south - east and west of the Old Pirate deposit; rock chip sampling several local focus points near the Old Pirate deposit; trial of a JV partner's proprietary mag lag technique at the Buccaneer and Old Pirate deposit