Ann: Quarterly Activities and Cashflow Report, page-2

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Payments to Related Parties and their Associates In accordance with ASX Listing Rule 5.3.5, payments to related parties of the Company and their associates during the quarter totaled $117,642. The Company advises that $90,000 of this relates to Director fees. Refer to the Remuneration Report in the Annual Report for further details on director remuneration. An amount of $150 was paid to Cyclone Metals Limited (a company of which Mr. Tony Sage is a director) for reimbursement of general corporate expenses attributable to FEL. An amount of $3,642 was paid to European Lithium Limited (a company of which Mr. Tony Sage is a director) for reimbursement of general corporate expenses attributable to FEL. An amount of $23,850 was paid to Okewood Pty Ltd (a company

of which Mr. Tony Sage is a director) for office rent expense ($21,850), and for Perth Glory Football Club business luncheon ($2,000). These amounts are included at Item 6.1 of the Appendix 5B.