Corporate

Objectives for 2011

•    Establish stoping production in newly discovered Western Zone
•   Confirm potential of stockwork as ore source
•   Extend enhanced remote mining method to cover most production and improve safety
•    Improve gold production rate and reduce costs at Tasmania mine
•   Extend reserves at the Tasmania mine
•   Realise value for copper resources in Victoria and progress development studies

Highlights for 2010

Financial

•    Company reported a net loss of $1.1 million following a profit of $9.1 million in 2009

•    Strong cash flow of $7.6 million

•    All production was unhedged, with an average gold price for the year of A$1,236

Operational

•    Medically referred injury frequency rate fell to a historic low

•    Gold production of 57,758 ounces for the year

•    Record mill throughput of over 297,000 tonnes

•    A new lower cost mining method was successfully introduced

•    Stockwork resources were identified as a potential new source of low-cost bulk tonnes

Exploration

•    Reserves of 48,000 ounces added in the newly discovered Western Zone with stope production expected to commence in second half of 2011 financial year

•    Conceptual development study on Victorian copper resources shows encouraging results

•    Boundary of copper mineralisation extended at Thursdays Gossan resource

•    Encouraging metallurgical testwork completed on copper resources

•    Drilling confirms Stawell style gold targets at Langi Logan and Langi Logan South