Other

While our immediate focus is on the development of our Jeanette and Evander projects, other longer-term South African greenfield projects are expected to contribute to the company’s further growth and development.

The Hilton project in the Free State brings together a number of properties adjacent to Jeanette. It comprises seven new order prospecting rights for gold, silver and uranium and could represent considerable potential if worked in conjunction with Jeanette. Though historic exploration results have indicated the existence of 36.4 million tons of ore containing 2.31 g/t of gold for the properties, we are not in a position to declare reserves or resources that are fully compliant with SAMREC or JORC code disclosure norms. Additional exploratory drilling, estimated to cost $0.4 million for the 2012 financial year, is in progress.

The South Rand project encompasses a number of prospecting rights divided into six prospect regions within the eastern part of the Witwatersrand Basin. New drilling is needed to define ore and geological structures. The project’s Balfour region lies adjacent to the Burnstone mine project being developed by Great Basin Gold.

The Yzerspruit project is being evaluated by geological consultants to determine whether it is worthwhile exploring VCR ore occurrences indicated by historic drilling. Similar considerations apply to prospecting rights in the Bothaville Gap area lying between the Klerksdorp and Free State gold fields.