Finders Resources Ltd
Quarterly Report for the Period Ended September 30th 2009
Highlights
Wetar Copper Project
* Demonstration project optimization underway with SX-EW plant
performance assisted by the successful commissioning of an acid
neutralisation plant
* Improved irrigation and aeration piping trials commenced on
Heap 3 and Heap 4
* Copper leach recovery rates from Heap 3 and 4 confirm model
results
* Definitive Feasibility Study functionally complete and
confirms the validity of the project
* Proven and Probable Ore Reserves (according to the JORC code)
8.18 Mt at 2.5%Cu
(see Pic. 1)
Ojolali Gold-Silver Project
* Results from extensive surface trenching show potential for
significant expansion of the Jambi oxide gold resource
* New major target area of high grade Au-Ag bearing quartz
veins defined at Way Neki, with channel samples up to 2m at 50 g/t
Au.
* A programme of 5,000m of RC and 1500m of diamond drilling is
planned to test these targets.
(see Pic. 2)
Corporate
* The Company raised $20 million (before issue expenses)
through a share placement of 60,606,061 shares at $0.33 per share
* A further $1.25 million was raised through the issue of
3,836,361 shares under a share purchase plan to eligible
shareholders at $0.33 per share (16.5 pence per depositary interest
listed on AIM).
* Following the capital raisings, the Company has repaid a
US$5.0 million loan and accrued interest from Meridian
International Capital Limited.
(see Pic. 3)
Wetar Copper Project
(FND ~94% and earning through expenditure)
Background Information on the Wetar Copper Project
The Wetar Copper Project comprises two high grade deposits, Kali
Kuning and Lerokis, which are located within 3km from the coast and
suitable for open pit mining with a low waste:ore ratio. Finders
commenced work on the project in 2005 and 7,300m of drilling has been
completed to supplement historical data. JORC resource estimates
have been undertaken by Hellman & Schofield.
Table 1: JORC Resource Estimate
Kali Kuning Tonnes (M) Cu % Cont. Cu (KT)
Measured 5.2 2.6 133
Indicated 0.9 2.5 22
Inferred 0.1 1.8 2
Lerokis Tonnes (M) Cu % Cont. Cu (KT)
Measured 2.1 2.4 51
Indicated 0.5 2.1 10
Inferred 0.1 2.3 2
Total 8.8 2.4 218
Resources on a 100% project basis, Subject to rounding errors
In addition there is a third deposit Meron, located 2 km from Kali
Kuning. This prospect has a potential size of 1mt @ 2.3% Cu
(Non-JORC compliant) based on historical drilling results from the
previous gold mining operation. Meron is not included in the current
Definitive Feasibility Study ('DFS') due to its lack of technical
definition, however, engineering plans do recognize the potential for
later additional leach ore from Meron and additional leaching space
is available in the DFS.
Copper mineral species at Kali Kuning and Lerokis are dominated by
chalcocite and covellite, which are readily amenable to bacterial
assisted leaching, and chalcopyrite which leaches faster at higher
temperatures. A two year laboratory test program indicated copper
recoveries of up to 80%.
As part of a definitive feasibility study, a demonstration SX-EW
plant with 5 tonnes per day copper cathode capacity has been
operational since February 2009 and is permitted to process 100,000
tonnes of ore from the Kali Kuning deposit. The test heaps are at
heights similar to commercial operations worldwide and the SX-EW
technology being used is industry standard.
The Company is targeting commercial production of 23,000 tonnes per
year cathode commencing with an expansion of the existing development
plant in 2010 and the relocation of the Whim Creek SX-EW plant (which
Finders has an option to purchase) in 2010/11. This full-scale
development plan is subject to schedules for engineering design work,
final permitting and project funding. Pending final results of the
DFS, the project is expected to have operating costs around the 50th
percentile of all current global copper production costs.
SX-EW technology is currently responsible for approximately 22% of
the world's copper production.
The project is at the same location as an old gold mine which
operated between 1989-1997 and benefits from having existing
infrastructure in place, particularly a wharf, camp and roads.
Demonstration Plant Progress Report
Activities during the quarter have focused on improving leach and
plant performance. Since commencement of copper cathode production
from the demonstration plant in February 2009, there have been two
periods of reduced output caused by electrical issues, generator
failures and then a circuit board failure in the rectifier (Figure
1). These issues have been resolved by relocating the generators and
improving cooling around the rectifier resulting in 97.3%
availability.
Copper extraction efficiency in the SX plant has been affected by
steadily increasing levels of acid generated by the heaps. Higher
acid levels were temporarily offset by the introduction of higher
copper grade PLS from Heap 4 (Day 180 in Figure 1). However, the
successful commissioning of the acid neutralisation plant in
September has seen a reduction in acid levels and this trend is
expected to continue.
Fig .1 Schematic of key operating parameters (see attached)
Since February 2009, the plant has averaged around 4.1 tonnes cathode
per day (against a nameplate capacity of 5 tpd) with the bulk of
below budget plant production accounted for by the power and acid
issues which have now been successfully remedied (Table 2).
Table 2: Operating Parameters
Leach Performance* Heap 1 Heap 2 Heap 3 Heap 4
Grade (Cu %) 2.8 3.6 4.9 5.0
Recovered Copper (total) - 206 373 456 232
Tonnes
Approx. % Copper Recovery to 37% 45% 49% 14%
date
Approx. Number of weeks 33 33 27 9
under Irrigation
Electrowinning + Actual Target Variance
Copper Produced - Tonnes 864 1082 -20%
Copper Shipped - Tonnes 810 1050 -23%
*As of 17 October 2009. All subject to final mass balances and
weight reconciliations
+ All figures project to date (30 Sept 2009), based on 5tpd
nameplate capacity
Copper leach recovery rates in Heap 3 and Heap 4 are performing very
much as predicted by models developed by the Feasibility Study
metallurgical consultants (Figure 2).
Figure 2: Copper recovery curves
(note: sharp depressions in curves are the result of phased
irrigation) (see attached)
Given the proven results during the test phase, methods to improve
irrigation efficiency are being assessed by using wobblers to give a
more even spread of irrigation and reduce potential channelling
effects within the heaps.
Heap 3 : dripper irrigation (see Heap 3 : wobbler irrigation (see
attached Pic 4) attached Pic 5)
Lower than expected recovery rates in Heap 1 are due to aeration
supply issues. Irrigation of Heap 1 was therefore stopped, and it is
currently being re-stacked with improved piping.
Figure 3: Acid neutralisation plant (see attached)
Definitive Feasibility Study (DFS)
The DFS by the lead consultant, Ausenco, is functionally complete and
confirms the validity of the project.
The progress of the DFS has relied on information generated from the
demonstration plant. Additional test work was undertaken to confirm
and add acid neutralisation methodology into the DFS. This was
undertaken at HRL's laboratories in Brisbane utilising abundant
supplies of limestone from Wetar Island in close proximity to the
project. This test work has been successful and neutralisation
capacity added into the DFS. The length of time to undertake this
work has been a major contributor to delays.
The DFS is undergoing peer review with Ausenco and Finders. Details
will be released after a review by the Company's Board of Directors
in the first week of November 2009.
The basic development philosophy is as previously advised and
encompasses three stages, each of which are subject to permitting and
finance:
* Stage 1 comprising an expansion of the demonstration plant
to up to 5,000 tonne per year - with the whole of this stage being
contained within the environmental footprint of the previous gold
mining operation;
* Stage 2 comprising the relocation and commissioning of the
Whim Creek SX-EW plant to add a further 18,500 tonnes per year
cathode capacity to the project; and
* Stage 3 comprising haulage of ore from the Lerokis deposit
to the leach pads at Kali Kuning to maintain ~23,000tpa copper
cathode production from both SX-EW plants.
Post completion of the DFS, Finders will undertake further work to
make the study fully bankable. In particular, the following areas
have been indentified to enable further optimization of mine
scheduling and associated capital costs:
* Review of earthworks and heap leach pad designs;
* Additional geotechnical drilling on the eastern pit wall
at Kali Kuning to optimise the materials balance for waste dumps
which provide the foundations for the heap leach pads;
* Tender of earthworks contracts to Indonesian-based
contractors.
Pending final publication of the DFS, the Company envisages that
capital costs per tonne of annual production will be low compared to
other copper projects and that operating costs will be close to the
global average for all copper producers.
Wetar Copper Ore Reserves
Finders is pleased to report the following ore reserves,
independently assessed by Australian Mine Design & Development Pty
Ltd (AMDAD) and in accordance with the JORC Code (Table 3):
Table 3: Wetar copper reserves
Category Tonnes Grade % Contained Contained
(m) Cu Copper (kt) Copper
Attributable to
Finders (94%)
(kt)
Kali Kuning
Pit Proved 4.91 2.5 123 116
Probable 0.85 2.2 19 18
Sub-Total 5.76 2.5 142 133
Lerokis Pit Proved 2.05 2.4 49 46
Probable 0.37 2.3 9 8
Sub-Total 2.42 2.4 58 55
Combined Proved 6.96 2.5 172 162
Probable 1.22 2.2 28 26
Total 8.18 2.5 205 193
100% project basis. The tonnes and grades are stated to a number of
significant digits reflecting the confidence of the estimate. Since
each number and total is rounded individually the columns and rows in
the above table may not show exact sums or weighted averages of the
reported tonnes and grades.
These Reserves were estimated using a cut-off of 0.5% copper for two
pits at Kali Kuning and Lerokis with an overall waste to ore ratio of
0.98. The results represent a 94% and 97%% conversion of Measured and
Indicated Resources to Reserves at Kali Kuning and Lerokis
respectively, and form the basis for the production schedules used in
the DFS.
Ojolali Project
Finders Resources Limited ~72% with option to increase to 100%
Background Information
Finders believe that the Ojolali project has strong potential to
generate short-term cash flow by open pit CIL/CIP development of the
gold resource at the Jambi Oxide gold deposit (Table 4.)
Table 4. Jambi Resource Estimates
Cut Indicated Inferred Total Contained Attrib.
off FND
Au Mt Au Ag Mt Au Ag Mt Au Ag Au koz (72%) Au
g/t g/t g/t g/t g/t g/t g/t koz
0.5 2.98 1.1 8.3 1.1 0.9 5.7 4.08 1.05 7.6 138 99
1.0 1.13 1.74 8.5 0.3 1.6 6.7 1.43 1.71 8.1 79 57
Finders has previously announced Inferred Resources at the Tambang
Prospect (7.9 Mt @ 167g/t Ag and 0.7 g/t Au at a 1 g/t Au equivalent
cut-off using drilling data from a previous explorer). Previous
regional exploration by Finders, using both soil geochemistry and
ground geophysics has located numerous targets with outstanding
potential for the discovery of additional resources.
Finder's current exploration strategy at Ojolali is to increase the
oxide gold resource to +300,000 Oz Au, to provide the basis for a low
cost 30-50,000 Oz gold per year open pit mine based on the Jambi
oxide resource, and to use the cash flow from this plant to fund
exploration for additional resources and progressive expansion of the
project.
(see attached Map 1)
Ojolali Field Work
Work during the quarter consisted of systematic mapping and channel
sampling of newly hand dug trenches, local miner pits and accessible
road cuts and outcrops focused on the North Jambi, West Jambi,
Tambang and Way Neki areas, with a total of 982 m of channel samples
in 1, 2 and 4m sample widths.
Channel samples were taken from confirmed bedrock, with an average
sample weight of approximately 4kg. Samples are dried, prepared and
assayed by Intertek Jakarta. To date results have been received from
north and west Jambi, Tambang and Way Neki areas.
At Jambi, the exploration target is northern and western extensions
of the current bulk low grade oxide gold resource, associated with
wide zones of intense clay-sericite alteration (figure 4). Recently
received assays from channel samples located outside the previously
defined resource envelope confirm geological mapping with:-
* wide zones of low grade gold mineralization, with up to 42m at
0.63 g/t Au (using a 0.5 g/t Au cut off) and 20m at 1.1 g/t Au
* significant high grade results, including 4m at 8.74 g/t Au, 4m
at 3.3 g/t Au, 6m at 1.96 g/t Au and 10m at 1.88 g/t Au
These results extend the Jambi mineralized zone at least 200m north
and 180m to the west of previous resource drilling, and the zone
remains open to the north where hand trenching is locally precluded
by areas of residual silica boulders.
At Tambang work has focused both on surface trenching and channel
sampling to evaluate the potential for a significant zone of
supergene enriched silver values in the zone of partial oxidation of
the Tambang vein system. Silver has been clearly leached from
surface outcrops, and the zone of partial oxidation extends for
depths of +50m as evidenced by sparse prior drilling in this zone.
Results of this work are encouraging with channel sample ranging up
to 3m at 2.9 g/t Au, 15m at 0.64 g/t Au, 127 g/t Ag, and 18m at 0.8
g/t Au, 121 g/t Ag (figure 5). It is planned to undertake an initial
test of this concept with 200m spaced lines of close spaced RC
drilling.
At Way Neki mapping and trenching has identified a rhombic pattern of
relatively well defined quartz veins, with relatively narrow
alteration selvages, hosted by massive basement basaltic host rocks
(figure 6). These occur in an zone which extends at least 900m by
800m, and may connect with the previously drilled Batu Kuning
prospect to the north.
The target at Way Neki is high grade quartz vein hosted gold-silver
mineralization similar to that being developed by Kingsrose minerals
at the Way Linngo prospect about 60 km south of Ojolali. Highlights
of channel sampling results received to date include the following
high grade intercepts:
* 2m @ 50 g/t Au, * 1m @ 11.9 g/t Au * 2m @ 38 g/t Au,
* 2m @ 8 g/t Au, * 2m @ 11.7 g/t Au, * 1m @ 23 g/t Au,
* 1m @ 6.25 g/t Au, * 1.1m @ 11.1 g/t * 1m @ 12.4 g/t Au
Au,
* 1m @ 6.25 g/t Au, 303
g/t Ag.
An initial drill program to test each of the prospect areas is being
designed with an estimated requirement of ~5000m of reverse
circulation and 1,500m of man-portable diamond drilling. In addition,
the trench sampling programme continues, with work currently focused
on the C1, Kencur and Belida areas, with the strong expectation that
this work will generate additional drill targets.
Figure 4: Recent assay results from extensions to the Jambi Oxide
gold deposit (see attached)
Figure 5: Recent assay results from the silver oxide target at
Tambang (see attached)
Figure 6: Way Neki prospect trench and assay map (see attached)
Corporate
Capital Structure
During the quarter, the Company raised $20 million (before issue
expenses) through a share placement of 60,606,061 shares at $0.33 per
share and a further $1.25 million through the issue of 3,836,361
shares under a share purchase plan to eligible shareholders at $0.33
per share (16.5 pence per depositary interest listed on AIM). The
share placement was made in two tranches as follows -
a) 16,600,000 shares were issued on 7 August 2009, raising $5.5
million; and
b) 44,006,061 shares were issued following shareholders'
approval at an extraordinary general meeting ("EGM") held on 14
September 2009, raising $14.5 million.
The placement was strongly supported by existing investors, including
Acorn Capital Limited and Resource Capital Funds, and new investors
including Taurus Funds Management Pty Limited and Straits Resources
Limited. Each of Acorn Capital, Resource Capital Funds and Taurus
Funds Management currently hold a 10% interest in the Company.
At the EGM, shareholders also approved the issue of 1,000,000 options
expiring 14 September 2014 and exercisable at $0.37 per share,
subject to defined vesting criteria, to the Finance Director, Mr
Michael Stirzaker. In addition, 250,000 incentive options were
issued pursuant to the Company's Employee Share Option Plan.
The capital structure at 30 September 2009 is set out in Table 5.
Table 5. Current Capital Structure
Type of
Security Number on Issue
Fully Paid
Ordinary Shares
("Shares")
Shares on issue
at 30 June 2009 115,548,673
Placement of
Shares 60,606,061
Share purchase plan 3,836,361
Issued in payment of convertible
note interest 168,638
Shares on Issue
at 30 Sep 2009 180,159,733
Unlisted
Options Exercise Price Expiry Date
A$0.6875 June 13, 2010 500,000
A$0.30 April 16, 2012 500,000
A$0.30 April 16, 2014 500,000
A$0.30 May 8, 2014 2,000,000
A$0.37 June 23, 2014 250,000
A$0.37 June 28, 2014 625,000
A$0.37 June 29, 2014 500,000
A$0.37 Aug 29, 2014 250,000
A$0.37 Sep 14, 2014 1,000,000
Unlisted
Options on
issue at 30 Sep
2009 6,125,000
12% Convertible Conversion
Note Face Value Price Maturity Date
US$1,500,000
(A$2,323,972) A$0.36 19 January 2012
Borrowings
Following the capital raisings referred to above, the Company has
repaid a US$5.0 million loan and accrued interest from Meridian
International Capital Limited. The loan was due to mature on 31
December 2009 and was repaid early.
At 30 September 2009, the group's remaining interest-bearing debt
totals US$1.7 million, comprising the US$1.5 million convertible note
maturing 19 January 2012 and US$0.2 million owing pursuant to the
forward sale and purchase of copper cathode.
Cash
As at 30 September 2009, Finders had $11.2 million in cash.
The mining exploration entity quarterly report (Appendix 5B) is
appended.
Chris Farmer
Managing Director
Further details for all projects including location maps, tenement
schedules and technical descriptions may be found on the Finders
website at www.findersresources.com
For further information please contact
Finders Resources Ltd:
Russell Non-Executive Chairman +61 2 9211 8299
Fountain
Chris Farmer Managing Director info@findersresources.com
Financial PR:
Doug Macdonald Capital Group (in +61 424 255 959
Australia)
Nick Elwes College Hill (in the UK) +44 20 7457 2020
RFC Corporate Finance Ltd - Nomad:
Rob Adamson Managing Director +61 2 9250 0000
Stuart Laing Executive Director +61 8 9480 2500
FinnCap - Finders' Broker for the AIM market:
Mathew Robinson Corporate Finance Director +44 20 7600 1658
Joe Lunn Analyst +44 20 7600 1658
Competent Person Statements
The information in this report that relates mineral resource
estimation is based on work completed by Dr Phillip Hellman who is a
full time employee of Hellman and Schofield Pty Ltd and a member of
the Australasian Institute of Mining and Metallurgy. Dr Hellman has
sufficient experience which is relevant to the style of
mineralisation and type of deposit under consideration and to the
activity which he is undertaking to qualify as a Competent Person as
defined in the 2004 Edition of the 'Australasian Code for Reporting
of Exploration Results, Mineral Resources and Ore Reserves' and as a
Qualified Person as defined in the AIM Rules. Dr Hellman consents to
the inclusion in the report of the matters based on his information
in the form and context in which it appears. Estimates for Kali
Kuning are based on a data set from which some diamond drill holes
have been excluded due to poor recovery of copper mineralisation as
evidenced by neighbouring RC holes.
Geological information in this announcement and comments relating to
exploration potential and the project in general is based on
information compiled by Dr Russell Fountain, who also accepts
responsibility for the data on which the resource is based. Dr
Fountain is a Director of Finders and a Fellow of the Australasian
Institute of Geoscientists. Dr Fountain has sufficient experience
that is relevant to the styles of mineralisation and types of
deposits under consideration and to the activity that he is
undertaking to qualify as Competent Person as defined in the JORC
Code. He consents to the inclusion in this announcement of the
matters based on his information in the form and context in which
they appear.
The information in this report that relates mineral reserve
estimation is based on work completed by Mr John Wyche who is a full
time employee of Australian Mine Design and Development Pty Ltd and a
member of the Australasian Institute of Mining and Metallurgy. Mr
Wyche has sufficient experience which is relevant to the style of
mineralisation and type of deposit under consideration and to the
activity which he is undertaking to qualify as a Competent Person as
defined in the 2004 Edition of the 'Australasian Code for Reporting
of Exploration Results, Mineral Resources and Ore Reserves'. Mr Wyche
consents to the inclusion in the report of the matters based on his
information in the form and context in which it appears.
All assaying of drill core samples was undertaken by the ITS
laboratory in Jakarta. ITS is one of the world's largest product and
commodity testing, inspection and certification organizations. The
Jakarta laboratory is ISO 17025 accredited and employs a Laboratory
Information Management System (LIMS) for sample tracking, quality
control and reporting.
Disclaimer
This announcement may or may not contain certain "forward-looking
statements". All statements, other than statements of historical
fact, which address activities, events or developments that Finders
believes, expects or anticipates will or may occur in the future, are
forward-looking statements. Forward-looking statements are often, but
not always, identified by the use of words such as "seek",
"anticipate", "believe", "plan", "estimate", "targeting", "expect",
and "intend" and statements that an event or result "may", "will",
"can", "should", "could", or "might" occur or be achieved and other
similar expressions. These forward-looking statements reflect the
current internal projections, expectations or beliefs of Finders
based on information currently available to Finders. Statements in
this document that are forward-looking and involve numerous risks and
uncertainties that could cause actual results to differ materially
from expected results are based on the Company's current beliefs and
assumptions regarding a large number of factors affecting its
business. Actual results may differ materially from expected results.
There can be no assurance that (i) the Company has correctly measured
or identified all of the factors affecting its business or the extent
of their likely impact, (ii) the publicly available information with
respect to these factors on which the Company's analysis is based is
complete or accurate, (iii) the Company's analysis is correct or (iv)
the Company's strategy, which is based in part on this analysis, will
be successful. Finders expressly disclaims any obligation to update
or revise any such forward-ooking statements.
Appendix 5B
Mining exploration entity quarterly report
Name of entity
FINDERS RESOURCES LIMITED
ABN Quarter ended ("current quarter")
82 108 547 413 30 SEPTEMBER 2009
Consolidated statement of cash flows
Year to
Current date
Cash flows related to operating activities quarter (3
$A'000 months)
$A'000
1.1 Receipts from product sales and related debtors 2,203 2,203
Payments for (a) exploration and evaluation (1,221) (1,221)
1.2 (b) development (80) (80)
(c) production (3,184) (3,184)
(d) administration (1,124) (1,124)
1.3 Dividends received
1.4 Interest and other items of a similar nature 3 3
received
1.5 Interest and other costs of finance paid (139) (139)
1.6 Taxes and value added tax paid (225) (225)
1.7 Other (provide details if material)
Net Operating Cash Flows (3,767) (3,767)
Cash flows related to investing activities
Payment for purchases of: (a) prospects
1.8 (b) equity investments (168) (168)
(c) other fixed assets
Proceeds from sale of: (a) prospects
1.9 (b) equity investments - -
(c) other fixed assets
1.10 Loans to other entities
1.11 Loans repaid by other entities
1.12 Other (provide details if material) 73 73
Net investing cash flows (95) (95)
1.13 Total operating and investing cash flows (carried (3,862) (3,862)
forward)
1.13 Total operating and investing (3,862) (3,862)
cash flows (brought forward)
Cash flows related to financing
activities
1.14 Proceeds from issues of shares, 20,648 20,648
options, etc.
1.15 Proceeds from sale of forfeited
shares
1.16 Proceeds from borrowings 622 622
1.17 Repayment of borrowings (7,862) (7,862)
1.18 Dividends paid
1.19 Other (provide details if
material)
Net financing cash flows 13,408 13,408
Net increase (decrease) in cash 9,546 9,546
held
1.20 Cash at beginning of quarter/year 1,706 1,706
to date
1.21 Exchange rate adjustments to item (6) (6)
1.20
1.22 Cash at end of quarter 11,246 11,246
Payments to directors of the entity and associates of the directors
Payments to related entities of the entity and associates of the
related entities
Current quarter
$A'000
Aggregate amount of payments
1.23 to the parties included in 302
item 1.2
Aggregate amount of loans to
1.24 the parties included in item -
1.10
1.25 Explanation necessary for an understanding of
the transactions
Payments for salaries, directors fees and
consulting fees.
Non-cash financing and investing activities
2.1 Details of financing and investing transactions which have had a
material effect on consolidated assets and liabilities but did
not involve cash flows
2.2 Details of outlays made by other entities to establish or
increase their share in projects in which the reporting entity
has an interest
NONE
Financing facilities available
Add notes as necessary for an understanding of the position.
Amount available Amount used
$A'000 $A'000
3.1 Convertible note facility (USD 2,324 2,324
1,500,000) 2,272 220
Copper Forward Sale and Purchase
Facility
(USD 2,000,000)
3.2 Credit standby arrangements NIL NIL
Estimated cash outflows for next quarter
$A'000
500
4.1 Exploration and evaluation
4.2 Development 300
Total 800
Reconciliation of cash
Reconciliation of cash at the end of the quarter (as Current Previous
shown in the consolidated statement of cash flows) quarter quarter
to the related items in the accounts is as follows. $A'000 $A'000
5.1 Cash on hand and at bank 11,246 1,706
5.2 Deposits at call - -
5.3 Bank overdraft - -
5.4 Other (provide details) - -
Total: cash at end of quarter (item 1.22) 11,246 1,706
Changes in interests in mining tenements
Tenement Nature of Interest at Interest
reference interest beginning at end of
(note (2)) of quarter quarter
6.1 Interests in mining
tenements
relinquished, reduced NIL
or lapsed
6.2 Interests in mining NIL
tenements acquired or
increased
Issued and quoted securities at end of current quarter
Description includes rate of interest and any redemption or
conversion rights together with prices and dates.
Total number Number Issue price Amount paid
quoted per up per
security security
(see note (see note
3) 3)
7.1 Preference
+securities N/A
(description)
7.2 Changes during
quarter
(a) Increases
through issues
(b) Decreases N/A
through returns
of capital,
buy-backs,
redemptions
7.3 +Ordinary 180,159,733 180,159,733
securities
7.4 Changes during
quarter
(a) Increases
through issues
- 168,638 168,638 33cents 33cents
Conversion of 60,606,061 60,606,061 33cents 33cents
interest 2,921,209 2,921,209 33cents 33cents
payable under
convertible 915,152 915,152 16.5pence 16.5pence
note
- Share NIL NIL
placement
- Share
purchase plan
-
Depositary
Interest
purchase plan
(b) Decreases
through returns
of capital,
buy-backs
7.5 +Convertible
debt securities 6,455,477 NIL 36cents 36cents
(description)
7.6 Changes during
quarter
(a) Increases
through issues
(b) Decreases NIL
through
securities
matured,
converted
7.7 Options Exercise Expiry date
(description 500,000 NIL price 13.06.2010
and conversion 500,000 NIL 68.75cents 16.04.2012
factor) 500,000 NIL 30cents 16.04.2014
2,000,000 NIL 30cents 08.05.2014
250,000 NIL 30cents 23.06.2014
625,000 NIL 37cents 28.06.2014
500,000 NIL 37cents 29.06.2014
250,000 NIL 37cents 31.08.2014
1,000,000 NIL 37cents 14.09.2014
37cents
7.8 Issued during 250,000 NIL 37cents 31.08.2014
quarter 1,000,000 NIL 37cents 14.09.2014
7.9 Exercised NIL NIL
during quarter
7.10 Expired during NIL NIL
quarter
7.11 Debentures
(totals only)
7.12 Unsecured notes
(totals only)
Compliance statement
1 This statement has been prepared under accounting
policies which comply with accounting standards as defined in the
Corporations Act or other standards acceptable to ASX (see note 4).
2 This statement does /does not* (delete one) give a
true and fair view of the matters disclosed.
Print name: ....Christopher Ben
Farmer........................... 30 October 2009
(Director)
Notes
1 The quarterly report provides a basis for informing
the market how the entity's activities have been financed for the
past quarter and the effect on its cash position. An entity wanting
to disclose additional information is encouraged to do so, in a note
or notes attached to this report.
2 The "Nature of interest" (items 6.1 and 6.2) includes
options in respect of interests in mining tenements acquired,
exercised or lapsed during the reporting period. If the entity is
involved in a joint venture agreement and there are conditions
precedent which will change its percentage interest in a mining
tenement, it should disclose the change of percentage interest and
conditions precedent in the list required for items 6.1 and 6.2.
3 Issued and quoted securities The issue price and
amount paid up is not required in items 7.1 and 7.3 for fully paid
securities.
4 The definitions in, and provisions of, AASB 1022:
Accounting for Extractive Industries and AASB 1026: Statement of Cash
Flows apply to this report.
5 Accounting Standards ASX will accept, for example, the
use of International Accounting Standards for foreign entities. If
the standards used do not address a topic, the Australian standard on
that topic (if any) must be complied with.
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