Ann: Investor Presentation, page-10

Taken from June/July issue of Australasian Drilling, the official journal of the Australian Drilling Industry Association Ltd & The New Zealand Drilling Federation INC

Total Expenditure:

The trend estimate for total mineral exploration expenditure fell 6.1 per cent (or -$25.9m) to $396.5m in the March quarter 2015. The largest contributor to the fall in the trend estimate this quarter was Western Australia (down 7.6 per cent or -$18.9m). The current quarter estimate is 19.8per cent lower than the March quarter 2014 estimate.

The seasonally adjusted estimate for mineral exploration expenditure fell 13.4 per cent (or -$59.0m) to $381.0m in the March quarter 2015. The largest contributors to the fall this quarter were Queensland (down 32.2 per cent or -$30.7m) and Western Australia (down 11.9 per cent or -$30.1m).

In original terms, mineral exploration expenditure fell 30.7 per cent (or -$141.0m) to $318.0m in the March quarter 2015. Exploration on areas of new deposits fell 39.7 per cent (or -$60.0m) and expenditure n areas of existing deposits fell 26.3 per cent (or -$81.0m).

In original terms, the largest decrease by minerals sought came from expenditure on iron ore (down 43.4 per cent or -$63.0m). The next largest decrease came from expenditure on coal (down 44.0 per cent or -$34.3m).

Metres Drilled:

The trend estimate for metres drilled fell 1.2 per cent in the March quarter 2015.

The current quarter estimate is 2.9 per cent lower than the March quarter 2014 Estimate.

The seasonally adjusted estimate for metres drilled fell 4.8 per cent in the March quarter 2015.

In original terms, metres drilled fell 29.0 per cent. Drilling in areas of new deposits fell 49.6 per cent and drilling in areas of existing deposits fell 20.1 per cent.