ann: major resource%reserve upgrade paulson, page-2

Northern Star Resources (ASX: NST) is pleased to advise that Reserves and
Resources at its Paulsens Gold Mine in WA have risen 81 and 38 per cent
respectively.
The increase includes Reserves of 1.2Mt at 5.3gpt for 204,000oz2, up from
113,000oz. Total Resources for the Paulsens project now stand at 2.9Mt at
5.7gpt for 555,000oz1, including 206,000oz1 as Measured, 167,000oz1 as
Indicated and 182,000oz1 as Inferred.
In the past 2.5 years, Northern Star has delivered a 485 per cent increase in
Resources at the Paulsens Project from 129,000oz to 555,000oz1. This is after
allowing for mine depletion of 200,000oz.

Paulsens has a strong track record of converting Resources to its Mineral Inventory, meaning the Project now
comfortably has a mine life of more than five years.
Paulsens revised inventory does not include a series of outstanding drilling results recorded so far this year,
which have been as high as 1135gpt. These results, along with those from ongoing drilling, will be included in
a further upgrade expected later this year.
The Paulsens upgrade follows last month’s announcement by Northern Star that Resources at its Ashburton
Project in WA had grown by 66 per cent to 1.7Moz1. A maiden Sulphide Reserve for Ashburton is scheduled
for the second half of this year. This will underpin Northern Star’s plan to develop a stand-alone 100,000ozpa
operation there.
Northern Star now has a group Gold Resource base of 2.2Moz1.
Northern Star Managing Director Bill Beament said the latest increase in Reserves and Resources at Paulsens
meant the Company now met the full set of criteria required of modern-day gold miners.
“Northern Star just declared a 1c interim dividend, following the 2.5c final dividend of late last year, putting us
on a 4% fully-franked yield,” Mr Beament said. “Paulsens is generating substantial surplus cash with total
costs of A$850-A$950/oz and it now has a mine life of five years with every prospect of further increases in the
future.”
“Our plans to establish a second 100,000ozpa project at Ashburton are evolving rapidly and we have
significant exploration potential on the 200km stretch which divides the two projects.”
“This demonstrates we have dividend yield, strong cashflow, ample mine life, low costs, production growth and
significant exploration upside.”
The Resource upgrade includes a 156 per cent increase in the Upper Levels at Paulsens to 92,000oz1 (see
Figure 1). These areas have strong potential to boost the Company’s cashflow and production for the next five
to seven years. Some areas in the Upper Levels remain open along strike, offering further potential for
additional mineralisation which will further increase the Resources.

Drilling late last year delivered high-grade results from the Belvedere Prospect, 8km from the Paulsens
processing plant. Belvedere has similarities to the Paulsens orebody, where gold is also contained within a
plunging quartz vein system. Other geological similarities are high gold grades, quartz vein-sulphide host,
location near the Wyloo Dome fold hinge and proximity to key structures.
These high-grade results were incorporated into this Resource upgrade, delivering a 94 per cent increase to
35,000oz at 4.2gpt, which is also a 27 per cent improvement in Resource grade. This Resource has enabled
the Company to estimate a maiden Open-pit Ore Reserve of 13koz at 3.2gpt