BCD IER Report 31.8.18 - O'Brien Palmer

INDEPENDENT EXPERT’S REPORT BCD RESOURCES NL (Subject to Deed of Company Arrangement) 31 August 2018

BDO Corporate Finance (East Coast) Pty Ltd ABN 70 050 038 170 AFS Licence No. 247 420 is a member of a national association of independent entities which are all members of BDO Australia Ltd ABN 77 050 110 275, an Australian company limited by guarantee. BDO Corporate Finance (East Coast) Pty Ltd and BDO Australia Ltd are members of BDO International Ltd, a UK company limited by guarantee, and form part of the international BDO network of independent member firms. Liability is limited by a scheme approved under Professional Standards Legislation, other than for the acts or omissions of financial services licensees.

Tel: +61 2 9251 4100 Fax: +61 2 9240 9821 www.bdo.com.au

Level 11, 1 Margaret St SYDNEY NSW 2000 Australia

This Financial Services Guide is issued in relation to an independent expert’s report (“Report” or” IER”) prepared by BDO Corporate Finance (East Coast) Pty Ltd (ABN 70 050 038 170) (“BDOCF”) at the request of the Mr Christopher Palmer and Mr Liam Bailey (“Deed Administrators”) of BCD Resources NL (Subject to Deed of Company Arrangement) (“BCD”).

Engagement

The IER is intended to accompany the Explanatory Statement that is to be provided by the Deed Administrators of BCD to assist: • The Supreme Court of New South Wales (“Court”) in an

application by the Administrators pursuant to Section 444GA of the Corporations Act 2001 (cth) (“Act”) (“S44GA Application”) to implement a Deed of Company Arrangement dated 11 January 2018 (“DOCA”) in respect of BCD.

• Australian Securities and Investments Commission (“ASIC”) for relief from Section 606 of the Act (“S606”). ASIC may grant relief under S655A of the Act.

• The existing ordinary shareholders of BCD (“Shareholders”), to provide them with a valuation of BCD and inform Shareholders of the restructure, so they can make an informed decision in relation to the S444GA Application.

Financial Services Guide

BDOCF holds an Australian Financial Services Licence (License No: 247420) (“Licence”). As a result of our IER being provided to you BDOCF is required to issue to you, as a retail client, a Financial Services Guide (“FSG”). The FSG includes information on the use of general financial product advice and is issued so as to comply with our obligations as holder of an Australian Financial Services Licence.

Financial services BDOCF is licensed to provide

The Licence authorises BDOCF to provide reports for the purposes of acting for and on behalf of clients in relation to proposed or actual mergers, acquisitions, takeovers, corporate restructures or share issues, to carry on a financial services business to provide general financial product advice for securities and certain derivatives (limited to old law securities, options contracts and warrants) to retail and wholesale clients.

BDOCF provides financial product advice by virtue of an engagement to issue the IER in connection with the acquisition of securities by another person.

Our IER includes a description of the circumstances of our engagement and identifies the party who has engaged us. You have not engaged us directly but will be provided with a copy of our IER (as a retail client) because of your connection with the matters on which our IER has been issued.

Our IER is provided on our own behalf as an Australian Financial Services Licensee authorised to provide the financial product advice contained in the IER.

General financial product advice

Our IER provides general financial product advice only, and does not provide personal financial product advice, because it has been prepared without taking into account your particular personal circumstances or objectives (either financial or otherwise), your financial position or your needs.

Some individuals may place a different emphasis on various aspects of potential investments.

An individual’s decision in relation to the DOCA described in the Explanatory Statement may be influenced by their particular circumstances and, therefore, individuals should seek independent advice.

Benefits that BDOCF may receive

BDOCF will receive a fee based on the time spent in the preparation of the IER in the amount of approximately $30,000 (plus GST and disbursements). BDOCF will not receive any fee contingent upon the outcome of the DOCA, and accordingly, does not have any pecuniary or other interests that could reasonably be regarded as being capable of affecting its ability to give an unbiased opinion in relation to the DOCA.

Remuneration or other benefits received by our employees

All our employees receive a salary. Employees may be eligible for bonuses based on overall productivity and contribution to the operation of BDOCF or related entities but any bonuses are not directly connected with any assignment and in particular are not directly related to the engagement for which our IER was provided.

Referrals

BDOCF does not pay commissions or provide any other benefits to any parties or person for referring customers to us in connection with the reports that BDOCF is licensed to provide.

Associations and relationships

BDOCF is the licensed corporate finance arm of BDO East Coast Partnership, Chartered Accountants and Business Advisers. The directors of BDOCF may also be partners in BDO East Coast Partnership, Chartered Accountants and Business Advisers.

BDO East Coast Partnership is comprised of a number of related entities that provide audit, accounting, tax and financial advisory services to a wide range of clients.

BDOCF’s contact details are as set out on our letterhead.

BDOCF is unaware of any matter or circumstance that would preclude it from preparing the IER on the grounds of independence under regulatory or professional requirements. In particular, BDOCF has had regard to the provisions of applicable pronouncements and other guidance statements relating to professional independence issued by Australian professional accounting bodies and the ASIC.

Complaints resolution

As the holder of an Australian Financial Services Licence, we are required to have a system for handling complaints from persons to whom we provide financial product advice. All complaints must be in writing, addressed to The Complaints Officer, BDO Corporate Finance (East Coast) Pty Ltd, Level 11, 1 Margaret Street, Sydney NSW 2000.

On receipt of a written complaint we will record the complaint, acknowledge receipt of the complaint and seek to resolve the complaint as soon as practical. If we cannot reach a satisfactory resolution, you can raise your concerns with the Financial Ombudsman Service Limited (“FOS”). FOS is an independent body established to provide advice and assistance in helping resolve complaints relating to the financial services industry. BDOCF is a member of FOS. FOS may be contacted directly via the details set out below.

Financial Ombudsman Service Limited GPO Box 3, Melbourne VIC 3001 Toll free: 1300 78 08 08 Email: [email protected]

BDO Corporate Finance (East Coast) Pty Ltd ABN 70 050 038 170 AFS Licence No. 247 420 is a member of a national association of independent entities which are all members of BDO Australia Ltd ABN 77 050 110 275, an Australian company limited by guarantee. BDO Corporate Finance (East Coast) Pty Ltd and BDO Australia Ltd are members of BDO International Ltd, a UK company limited by guarantee, and form part of the international BDO network of independent member firms. Liability is limited by a scheme approved under Professional Standards Legislation, other than for the acts or omissions of financial services licensees.

Tel: +61 2 9251 4100 Fax: +61 2 9240 9821 www.bdo.com.au

Level 11, 1 Margaret St SYDNEY NSW 2000 Australia

Christopher Palmer & Liam Bailey

BCD Resources NL (Administrators Appointed) ACN 057 793 834

C/ O’Brien Palmer

Level 9

66 Clarence Street

SYDNEY NSW 2000

31 August 2018

Dear Deed Administrators

INDEPENDENT EXPERT’S REPORT

1. INTRODUCTION

BDO Corporate Finance (East Coast) Pty Ltd (ABN 70 050 038 170) (“BDOCF”, “we”, “us” or “our”) has been

engaged by Mr Christopher Palmer and Mr Liam Bailey (“Deed Administrators”) the administrators of BCD

Resources NL (subject to Deed of Company Arrangement) (“BCD” or “the Company”) to prepare an independent

expert’s report (“Report” or “IER”) in relation to BCD for:

• The Supreme Court of New South Wales (“Court”) in an application by the Deed Administrators pursuant to

Section 444GA of the Corporations Act 2001 (cth) (“Act”) (“S444GA Application”) to implement a Deed of

Company Arrangement dated 11 January 2018 (“DOCA”) in respect of BCD.

• Australian Securities and Investments Commission (“ASIC”) for relief from Section 606 of the Act (“S606”).

ASIC may grant relief under S655A of the Act.

• The existing ordinary shareholders of BCD (“Shareholders”), to provide them with a valuation of BCD and to

inform Shareholders of the restructure, so they can make an informed decision in relation to the S444GA

Application.

2. THE DEED OF COMPANY ARRANGEMENT

2.1. Purpose and objects of the DOCA

The purposes and objects of the DOCA are to provide for the business, property and affairs of the Company to be

administered in a way that:

• Facilitates the sale of all issued shares in the Company to Moina Gold Pty Limited (“Moina Gold”) pursuant to

Section 444GA(1) of the Act and a share sale agreement dated 9 February 2018 (“Share Sale Agreement”);

• Has the sum of $2,000,000 paid to the Secured Creditor, MKS Precious Metals (Australia) Pty Limited (“MKS”)

upon completion of the Share Sale Agreement in return for a release of its security interests over the

company’s assets;

• Resolves fully and finally all Claims of Admitted Creditors in accordance with the DOCA; and

• Returns the control and stewardship of the Company to the directors and officers of the Company, pending

completion of the Share Sale Agreement.

2.2. Payments by Moina Gold

Subject to satisfaction of the Conditions Precedent of the Share Sale Agreement, Moina Gold shall pay the

Contribution Amount to the Deed Administrators as follows:

• The sum of $20,000 (the receipt of which has been acknowledged by the Deed Administrators);

• On exchange of the Share Sale Agreement, the sum of $150,000;

• Within 30 days of the Court’s Order, the sum of $330,000;

BDO Corporate Finance (East Coast) Pty Ltd iv

• On completion of the Share Sale Agreement which shall occur on or before 29 June 2018, the sum of

$1,500,000.

2.3. Conditions Precedent

The DOCA is subject to and conditional upon satisfaction of the following conditions:

• The Share Sale Agreement being exchanged within 14 days from the date of the DOCA;

• An application by the Deed Administrators to the Court for approval of the transfer of the Shares and making

of the Court Order on or before the 29 June 2018;

• Moina Gold making the payments referred to in Section 2.2 above;

• On or before completion of the Share Sale Agreement:

o The Secured Creditors releasing or waiving, any entitlement under any security over the Company’s

assets: in the case of MKS it will be sufficient compliance with this condition if any release is made

conditional on its subsequent receipt of the sum of $2,000,000 pursuant to clause 8.1(a) of the DOCA, or

such lesser sum as it may agree to accept; and

o The Company ensuring that in relation to the processing plant at Beaconsfield, Tasmania that all relevant

permits, authorities and licences and mining lease ML1767P/M, are current; and

o The Company ensuring that between the date of the DOCA and 29 June 2018 the plant and equipment and

other assets of the Company remain vested in the Company and have not been sold, transferred or

otherwise disposed of;

• Completion of the Share Sale Agreement on or before the 29 June 2018.

2.4. Deed of Variation.

The share sale agreement was varied on 29 June 2018 to amend the completion date to 31 August 2018.

3. SCOPE OF THE IER

The implementation of the DOCA is conditional, among other things, upon ASIC granting relief from S606 under

S655A and the Court approving the S444GA Application to the transfer of all BCD shares to Moina Gold.

The Court will only approve S444GA Application if it is satisfied that the transfers of shares under the DOCA will

not “unfairly prejudice the interests of members of the company”.

BDOCF has been engaged by the Deed Administrators, to prepare an IER with our opinion as to the value of the

equity in BCD.

Our IER will be used for the S444GA Application in relation to the DOCA to:

• Assist the Court in determining whether the proposed transfer of BCD shares to Moina Gold will unfairly

prejudice Shareholders for the purpose of the S444GA Application;

• Apply to ASIC for technical relief, under S655A, from the takeover provisions under S606 of the Act; and

• Provide information to Shareholders.

Accordingly, our IER has been prepared in accordance with ASIC’s Regulatory Guide (“RG”) 111 Content of experts

reports (“RG 111”) and RG 112 Independence of experts (“RG 112”).

This IER should be considered in conjunction with, and not independently of, the information set out in the

Explanatory Statement prepared by the Deed Administrators and to be sent to Shareholders prior to the Court

hearing expected to occur before 29 June 2018.

4. APPROACH

In preparing our IER, we have considered the requirements of:

• ASIC Regulatory Guide 111 Content of expert reports;

• ASIC Regulatory Guide 112 Independence of experts; and

BDO Corporate Finance (East Coast) Pty Ltd v

• Schedule 7 of the Uniform Civil Procedure Rules 2005 – Expert Witness Code of Conduct. We have read the

code and agree to be bound by it.

RG 111 establishes guidelines in respect of independent expert reports under the Corporations Act. This regulatory

guide provides guidance as to what matters an independent expert should consider to assist shareholders to make

informed decisions about transactions.

5. SUMMARY OF OPINION

We have valued BCD using primary and secondary valuation methodologies.

The Primary valuation methodology is based on BCD’s audited balance sheet as at 30 June 2014 and applicable pro

forma adjustments (Section 4). BCD’s net assets under this methodology are negative $3.74 million and we

therefore conclude that the value of a BCD share is nil.

The Secondary valuation methodology is based on BCD’s unaudited balance sheet as at 13 November 2017 namely

management accounts (Section 5). BCD’s net assets under this methodology are negative $1.26 million. We note

that the value of Plant and Equipment and Exploration, Evaluation and Development assets recoded in BCD’s 13

November 2017 unaudited accounts exceeds the values determined by Grays and Pitt & Sherry in their respective

valuation reports. Based on the above we conclude that the value of BCD shares is nil.

The management accounts have not been reviewed or audited. We discussed the activities of BCD post 30 June

2014, and the current state of the business, with Management of BCD (Mr Carroll and Ms Greenwood) and the Deed

Administrators (Mr Palmer and Mr Welden-Iley).

Post 30 June 2014, a number of business and restructuring activities were pursued, however each of these opportunities were either abandoned or failed. Funds were also spent on the repair, maintenance and refurbishment of equipment. Management have advised that post 30 June 2014, BCD has effectively been run on a care and maintenance basis only. The refurbished equipment is included in the valuation performed by Grays. This expenditure resulted in an increase of debt between 30 June 2014 and 13 November 2017, and a deterioration of BCD’s net asset position. Although the management accounts have not been reviewed or audited, we consider analysis of the management

accounts to be useful as they provide a more recent financial perspective of BCD as compared to the 30 June 2014

audited financial statements.

The Primary and Secondary valuation methodologies both result in a nil value. Therefore, we conclude that the

value of BCD’s shares is nil.

5.1. Valuation Engagement

This is a Valuation Engagement as defined by APES 225. We note that the latest audited financial statements are

as at 30 June 2014. Management accounts were prepared up to 13 November 2017, however detailed explanations

of some transactions have not been provided by management of BCD (“Management”).

The nature of the company’s records does not amount to a limitation or restriction on scope because a

hypothetical seller and a hypothetical buyer do not have any better information available to them. The unaudited

nature of the records is a characteristic of the company being valued and, therefore, is something that will be

reflected in the estimate of value.

Given the historical performance of BCD, the nature of the assets held, and the levels of debt financing of the

entity, it is unlikely that the shares in BCD have a value greater then nil. This conclusion is based on the

assumption that all material assets held by BCD have been identified by the Deed Administrators and Management.

6. OTHER MATTERS

6.1. Shareholders’ individual circumstances

Our analysis has been undertaken, and our conclusions are expressed at an aggregate level. Accordingly, BDOCF

has not considered the effect of the DOCA on the particular circumstances of individual Shareholders. Some

individual Shareholders may place a different emphasis on various aspects of the DOCA from that adopted in this

IER. Accordingly, individual Shareholders may reach different conclusions as to whether or not the DOCA is in their

best interests according to their individual circumstances.

BDO Corporate Finance (East Coast) Pty Ltd vi

6.2. General requirements in relation to the IER

In preparing the IER, ASIC requires the independent expert when deciding on the form of analysis for a report, to

bear in mind that the main purpose of the report is to adequately deal with the concerns that could reasonably be

anticipated by those persons affected by the DOCA. In preparing the IER we considered ASIC regulatory guides and

commercial practice.

The IER also includes the following information and disclosures:

• Particulars of any relationship, pecuniary or otherwise, whether existing presently or at any time within the

past, between BDO East Coast Partnership or BDOCF and any of the parties to the DOCA;

• The nature of any fee or pecuniary interest or benefit, whether direct or indirect, that we have received or

will or may receive for or in connection with the preparation of the IER;

• We have been appointed as independent expert for the purposes of providing an IER in relation to the DOCA

for the Deed Administrators;

• That we have relied on information provided by Management and the Deed Administrators. We have not

carried out any form of audit or independent verification of the information; and

• That we have received representations from the Management and the Deed Administrators in relation to the

completeness and accuracy of the information provided to us for the purpose of our IER.

6.3. Current Market Conditions

Our opinion is based on economic, market and other conditions prevailing at the date of this IER. Such conditions

can change significantly over relatively short periods of time.

Changes in those conditions may result in any valuation or other opinion becoming quickly outdated and in need of

revision. We reserve the right to revise any valuation or other opinion, in the light of material information existing

at 5 June 2018 (“Valuation Date”) that subsequently becomes known to us.

6.4. Glossary

Capitalised terms used in this IER have the meanings set out in the glossary. A glossary of terms used throughout

this IER is set out in Appendix 1.

6.5. Sources of Information

Appendix 2 to the IER sets out details of information referred to and relied upon by us during the course of

preparing this IER and forming our opinion.

The statements and opinions contained in this IER are given in good faith and are based upon our consideration and

assessment of information provided by BCD and the Deed Administrators.

Under the terms of our engagement, the Deed Administrators agreed to indemnify the partners, directors and staff

(as appropriate) of BDO East Coast Partnership and BDOCF and their associated entities, against any claim,

liability, loss or expense, costs or damage, arising out of reliance on any information or documentation provided

by the Deed Administrators and BCD which is false or misleading or omits any material particulars, or arising from

failure to supply relevant information.

6.6. Limitations

This IER is to be provided to the Court, ASIC and the Shareholders for the purposes set out at Section 1 above.

This IER should not be used for any other purpose and we do not accept any responsibility for its use outside this

purpose. Except in accordance with the stated purpose, no extract, quote or copy of our IER, in whole or in part,

should be reproduced without our written consent, as to the form and context in which it may appear.

We have consented to the inclusion of the IER within the Explanatory Statement. Apart from this IER, we are not

responsible for the contents of the Explanatory Statement nor any other document associated with the DOCA. We

acknowledge that this IER may be lodged with regulatory authorities.

BDO Corporate Finance (East Coast) Pty Ltd vii

6.7. Financial Service Guide

BDOCF holds an Australian Financial Services Licence which authorises us to provide reports for the purposes of

acting for and on behalf of clients in relation to proposed or actual mergers, acquisitions, takeovers, corporate

restructures or share issues. A financial services guide is attached to this IER.

Yours faithfully BDO CORPORATE FINANCE (EAST COAST) PTY LTD

David McCourt Director

BDO Corporate Finance (East Coast) Pty Ltd viii

TABLE OF CONTENTS

1. PURPOSE, SCOPE AND LIMITATIONS ...................................................................................... 2

Purpose .............................................................................................................. 2

The Deed of Company Arrangement ............................................................................. 2

Scope ................................................................................................................. 3

General requirements in relation to the IER ................................................................... 4

Special value ........................................................................................................ 4

Reliance on Information ........................................................................................... 4

Limitations .......................................................................................................... 5

Current market conditions ........................................................................................ 5

Sources of information ............................................................................................ 5

Assumptions ......................................................................................................... 6

2. OVERVIEW OF BCD .......................................................................................................... 6

Background .......................................................................................................... 6

Corporate Structure ................................................................................................ 7

Capital Structure ................................................................................................... 7

3. VALUATION METHODOLOGY ............................................................................................... 8

Overview of Methodology ......................................................................................... 8

Valuation Engagement ............................................................................................. 8

Other Valuation Considerations .................................................................................. 8

4. PRIMARY VALUATION – BCD AUDITED 30 JUNE 2014 BALANCE SHEET WITH PRO FORMA ADJUSTMENTS ........ 8

30 June 2014 Balance Sheet with Pro Forma Adjustments ................................................... 9

Pro Forma Adjustments ........................................................................................... 9

Working Capital .................................................................................................... 10

Tax Losses .......................................................................................................... 10

Assets Identified ................................................................................................... 10

Conclusion .......................................................................................................... 10

5. SECONDARY VALUATION – BCD UNAUDITED MANAGEMENT ACCOUNTS TO 13 NOVEMBER 2017 ................. 10

Comparison of Audited Statements to Management Accounts .............................................. 11

Events not Captured in the Management Accounts ........................................................... 12

Movements in Management Accounts ........................................................................... 12

Tax Losses .......................................................................................................... 13

Comparison to the Report as to Affairs (RATA) prepared by the Director ................................. 13

Conclusion .......................................................................................................... 14

6. CONCLUSION AS TO VALUE OF BCD SHARES ............................................................................ 14

Valuation Engagement ............................................................................................ 14

Other matters ...................................................................................................... 15

7. QUALIFICATIONS, DECLARATIONS AND CONSENTS ..................................................................... 15

Qualifications ...................................................................................................... 15

Independence ...................................................................................................... 15

Disclaimer .......................................................................................................... 15

BDO Corporate Finance (East Coast) Pty Ltd 2

1. PURPOSE, SCOPE AND LIMITATIONS

Purpose

BDO Corporate Finance (East Coast) Pty Ltd (ABN 70 050 038 170) (“BDOCF”, “we”, “us” or “our”) has been

engaged by Mr Christopher Palmer and Mr Liam Bailey (“Deed Administrators”) the deed administrators of BCD

Resources NL (subject to Deed of Company Arrangement) (“BCD” or “the Company”) to prepare an independent

expert’s report (“Report” or “IER”) in relation to BCD for:

• The Supreme Court of New South Wales (“Court”) in an application by the Deed Administrators pursuant to

Section 444GA of the Corporations Act 2001 (cth) (“Act”) (“S444GA Application”) to implement a Deed of

Company Arrangement dated 11 January 2018 (“DOCA”) in respect of BCD.

• Australian Securities and Investments Commission (“ASIC”) for relief from Section 606 of the Act (“S606”).

ASIC may grant relief under S655A of the Act.

• The existing ordinary shareholders of BCD (“Shareholders”), to provide them with a valuation of BCD and

inform Shareholders of the restructure, so they can make an informed decision in relation to the S444GA

Application.

This report should not be used for any other purpose and BDOCF does not accept any responsibility for use outside

this purpose. Except in accordance with the stated purpose, no extract, quote or copy of our report, in whole or

in part, should be reproduced without the written consent of BDOCF, as to the form and context in which it may

appear.

The Deed of Company Arrangement

1.2.1. Purpose and objects of this Deed

The purposes and objects of this Deed are to provide for the business, property and affairs of BCD to be

administered in a way that:

• Facilitates the sale of all issued shares in the Company to Moina Gold Pty Limited (“Moina Gold”) pursuant to

Section 444GA(1) of the Act;

• Has the sum of $2,000,000 paid to the Secured Creditor, MKS Precious Metals (Australia) Pty Ltd (“MKS”) upon

completion of the Share Sale Agreement in return for a release of its security interests over the company’s

assets;

• Resolves fully and finally all Claims of Admitted Creditors in accordance with the DOCA; and

• Returns the control and stewardship of the company to the directors and officers of the company, pending

completion of the Share Sale Agreement.

1.2.2. Payments by Moina Gold

Subject to satisfaction of the Conditions Precedent, Moina Gold shall pay the Contribution Amount to the Deed

Administrators as follows:

• The sum of $20,000 (the receipt of which has been acknowledged by the Deed Administrators);

• On exchange of the Share Sale Agreement, the sum of $150,000;

• Within 30 days of the Court’s Order, the sum of $330,000;

• On completion of the Share Sale Agreement which shall occur on or before 29 June 2018, the sum of

$1,500,000.

1.2.3. Conditions Precedent

The DOCA is subject to and conditional upon satisfaction of the following conditions:

• The Share Sale Agreement being exchanged within 14 days from the date of the DOCA;

• An application by the Deed Administrators to the Court for approval of the transfer of the Shares and making

of the Court Order on or before the 29 June 2018;

• Moina Gold making the payments referred to in Section 2.2.


• On or before completion of the Share Sale Agreement:

o The Secured Creditors releasing or waiving, any entitlement under any security over the Company’s

assets: in the case of MKS it will be sufficient compliance with this condition if any release is made

conditional on its subsequent receipt of the sum of $2,000,000 pursuant to clause 8.1(a) of the DOCA, or

such lesser sum as it may agree to accept; and

o The Company ensuring that in relation to the processing plant at Beaconsfield, Tasmania that all relevant

permits, authorities and licences and mining lease ML1767P/M, are current;

o The Company ensuring that between the date of the DOCA and 29 June 2018 the plant and equipment and

other assets of the Company remain vested in the Company and have not been sold, transferred or

otherwise disposed of; and

o Completion of the Share Sale Agreement on or before 29 June 2018.

1.2.4. Deed of Variation

The Share Sale Agreement was varied on 29 June 2018 to amend the completion date to 31 August 2018.

Scope

The implementation of the DOCA is conditional, among other things, upon ASIC granting relief from S606 under

S655A and the Court approving the S444GA Application to the transfer of the BCD shares to Moina Gold.

The Court will only approve the S444GA Application if it is satisfied that the transfers of shares under the DOCA

will not “unfairly prejudice the interests of members of the company”.

BDO has been engaged by the Deed Administrators, to prepare an IER with our opinion as to the value of the equity

in BCD.

Our IER will be used for the S444GA Application in relation to the DOCA to:

• Assist the Court in determining whether the proposed transfer of BCD shares to Moina Gold will unfairly

prejudice Shareholders for the purpose of the S444GA Application;

• Apply to ASIC for technical relief, under S655A, from the takeover provisions under S606 of the Act;

• Send to Shareholders.

Accordingly, our IER has been prepared in accordance with ASIC’s Regulatory Guide (“RG”) 111 Content of experts

reports (“RG 111”) and RG 112 Independence of experts (“RG 112”).

This IER should be considered in conjunction with, and not independently of, the information set out in the

Explanatory Statement prepared by the Deed Administrators and sent to Shareholders prior to the Court hearing

expected to occur either before 31 August 2018 or in September 2018.

In preparing our IER, we have considered the requirements of:

• RG 111 Content of expert reports;

• RG 112 Independence of experts; and

• Schedule 7 of the Uniform Civil Procedure Rules 2005 – Expert Witness Code of Conduct. We have read the

code and agree to be bound by it.

The scope of the procedures we undertook in forming our opinion on the value of BCD Shares has been limited to

those procedures we believe are required in order to form our opinion. Our procedures did not include verification

work nor constitute an audit or assurance engagement in accordance with Australian Auditing and Assurance

Standards.

Our assessment involved determining the fair market value of various securities, assets and liabilities. For the

purposes of our opinion, the term “fair market value” is defined as the price that would be negotiated in an open

and unrestricted market between a knowledgeable, willing, but not anxious purchaser and a knowledgeable,

willing, but not anxious vendor, acting at arm’s length.


General requirements in relation to the IER

In preparing the IER, ASIC requires the independent expert, when deciding on the form of analysis for a report, to

bear in mind that the main purpose of the report is to adequately deal with the concerns that could reasonably be

anticipated of those persons affected by the DOCA. In preparing the IER we considered the necessary legal

requirements and guidance of the Corporations Act, ASIC regulatory guides and commercial practice.

The IER also includes the following information and disclosures:

• Particulars of any relationship, pecuniary or otherwise, whether existing presently or at any time within the

last two years, between BDO East Coast Partnership or BDOCF and any of the parties to the DOCA.

• The nature of any fee or pecuniary interest or benefit, whether direct or indirect, that we have received or

will or may receive for or in connection with the preparation of the IER.

• We have been appointed as independent expert for the purposes of providing an IER for the Explanatory

Statement.

• That we have relied on information provided by the Deed Administrators and Management and that we have

not carried out any form of audit or independent verification of the information provided.

Special value

We have not considered special value in forming our opinion. Special value is the amount that a potential acquirer

may be prepared to pay for a business in excess of the fair market value. This premium represents the value

unique to a potential acquirer of potential economies of scale, reduction in competition, other synergies and cost

savings arising from the acquisition under consideration not available to likely purchasers generally. Special value

is not normally considered in the assessment of fair market value as it relates to the individual circumstances of

special purchasers.

Reliance on Information

This report is based upon financial and other information provided by the Deed Administrators and Management.

In relation to:

a. identification of material assets:

We have considered the section 439A report of PricewaterhouseCoopers dated 5 August 2015; Mineral Asset

Valuation Reports dated 24 May 2018; section 439A report of O'Brien Palmer dated 8 December 2017; and the

report of Grays attached to this Report. In addition, we have discussed these reports, so far as they relate to

material assets, with Mr Clive Carroll and Ms Richelle Greenwood respectively the Non-Executive Chairman of

the Board and the Chief Financial Officer and Chief Operating Officer and with Mr Chris Palmer (one of the

deed administrators) and his manager, Mr Jordan Welden-Iley.

b. primary valuation and provision for rehabilitation:

The 2014 audited accounts provide a description of the Environmental Regulation (page 16) to which the

Company is subject; the significant accounting policy noted at 2(o) concerning rehabilitation, restoration and

environmental costs; and the rehabilitation provision of note 4(a) quantified in 2014 at $2,718,000. From our

discussions with Mr Carroll and Ms Greenwood, in our opinion the provision of $2,718,000 was reasonable in

2014 and no material changes have been identified since this date. We note that this rehabilitation is a

liability of the Beaconsfield Mine Joint Venture, and there are five parties to the joint venture (all wholly

owned by BCD). We note that the plant and equipment is also held by the Beaconsfield Mine Joint Venture,

and the value of the plant and equipment exceeds the value of the rehabilitation liability. Therefore, it is not

possible for BCD to improve its net asset position by placing any of the joint venture parties into

administration.

c. management information:

The secondary valuation has regard to management accounts to 13 November 2017. These were investigated

and analysed by us and discussed with Ms Greenwood and Mr Jordan Welden-Iley. The Company was under

constant liquidity strains and in January 2015 receivers and managers were appointed and in April 2015

administrators were also appointed.


BDOCF has considered and relied upon this information. BDOCF believes the information provided to be reliable,

complete and not misleading, and has no reason to believe that any material facts have been withheld. The

information provided was evaluated through analysis, inquiry and review for the purpose of forming an opinion as

to the value of BCD Shares.

BDOCF does not warrant that its inquiries have identified or verified all of the matters which an audit, extensive

examination or “due diligence” investigation might disclose. In any event, an opinion as to whether a corporate

transaction is fair and reasonable is in the nature of an overall opinion rather than an audit or detailed

investigation.

It is understood that the accounting information provided to BDOCF was prepared in accordance with generally

accepted accounting principles and except where noted, prepared in a manner consistent with the method of

accounting used by BCD, in previous accounting periods.

Where BDOCF has relied on the views and judgement of the Deed Administrators and Management the information

was also evaluated through analysis, inquiry and review to the extent practical. However, such information is

often not capable of direct external verification or validation. In the context of this Report, the views not capable

of direct external verification or validation related principally to matters such as the likely future actions of

Management and/or the likely future behaviour of competitors.

Limitations

We acknowledge that this IER may be lodged with regulatory and statutory bodies and a copy of this IER may be

included in the Explanatory Statement to be sent to the Shareholders. The Deed Administrators acknowledge that

our IER has been prepared solely for the purposes noted in Section 1 and accordingly we disclaim any responsibility

from reliance on the IER in regard to its use for any other purpose. Except in accordance with the stated purposes,

no extract, quote or copy of the IER, in whole or in part, should be reproduced without our prior written consent,

including as to the form and context in which it may appear.

It was not our role to undertake, and we have not undertaken any commercial, technical, financial, legal, taxation

or other due diligence, or other similar investigative activities in respect of BCD. We understand that the Director

has been advised by legal, accounting, tax and other appropriate advisors in relation to such matters as necessary.

We provide no warranty or guarantee as to the existence, extent, adequacy, effectiveness and/or completeness of

any due diligence or other similar investigative activities by the Director or their advisors.

We note that the IER does not deal with the individual investment circumstances of Shareholders and no opinion

has been provided in relation to same. Some individual Shareholders may place a different emphasis on various

aspects of the DOCA from that adopted in our IER. Accordingly, individuals may reach different conclusions as to

the value of a BCD Share.

Apart from the IER, we are not responsible for the contents of the Explanatory Statement or any other document.

We have provided consent for inclusion of the IER in the Explanatory Statement

Current market conditions

Our opinion is based on economic, market and other conditions prevailing at the date of this report. Such

conditions can change significantly over relatively short periods of time. Accordingly, changes in those conditions

may result in any valuation opinions becoming quickly outdated and in need of revision. BDOCF reserves the right

to revise any valuation, or other opinion, in the light of material information existing at the Valuation Date that

subsequently becomes known to BDOCF.

Sources of information

Appendix 2 to this report sets out details of information referred to and relied upon by BDOCF during the course

of preparing this report and forming our opinion.

Deed Administrators and BCD have agreed to indemnify BDOCF, and BDO East Coast Partnership, and their

partners, directors, employees, officers and agents (as applicable) against any claim arising out of misstatements

or omissions in any material supplied by the Deed Administrators and BCD, its subsidiaries, directors or employees,

on which BDOCF has relied.

Appendix 2 to the IER sets out details of information referred to and relied upon by us during the course of

preparing this IER and forming our opinion.


The statements and opinions contained in this IER are given in good faith and are based upon our consideration and

assessment of information provided by the Deed Administrators and BCD.

Assumptions

In forming BDOCF’s opinion, the following has been assumed:

• all relevant parties have complied, and will continue to comply, with all applicable laws and regulations and

existing contracts and there are no alleged or actual material breaches of the same or disputes (including, but

not limited to, legal proceedings), other than as publicly disclosed and that there has been no formal or

informal indication that any relevant party wishes to terminate or materially renegotiate any aspect of any

existing contract, agreement or material understanding, other than as publicly disclosed;

• that matters relating to title and ownership of assets (both tangible and intangible) are in good standing, and

will remain so, and that there are no material legal proceedings, or disputes, other than as publicly disclosed;

and

• information in relation to the DOCA provided to Shareholders or any statutory authority by the parties as part

of the Explanatory Statement is complete, accurate and fairly presented in all material respects.

2. OVERVIEW OF BCD

Background

The Company operated as a metals producer through a processing facility in Beaconsfield, Tasmania. The Company

was in a joint venture with Malachite Resources Ltd, to mine and process gold from the Lorena mine in

Queensland.

From 15 January 2015, a trading halt was placed on the Company by the Australian Securities Exchange (“ASX”) at

the request of the Company. On 19 January 2015, the securities of the Company were suspended from quotation,

also at the request of the Company. The suspension from quotation has remained in place.

On 21 January 2015, MKS appointed Mr Chris Palmer and his then partner, Mr Bryan Collis, Joint and Several

Receivers and Managers of the Company (“Receivers and Managers”).

On 10 April 2015, MKS appointed Mr Greg Hall and Mr Will Honner of PricewaterhouseCoopers as Joint

Administrators of the Company. In consultation with the Receivers and Managers, the former Administrators took

some control of the assets of the Company, investigated its affairs, and recommended that a DOCA be approved by

creditors. On or about 3 September 2015, the DOCA was signed.

On 30 October 2015, Messrs Palmer and Collis retired as Joint Receivers and Managers.

In or about March 2016, the joint venture with Malachite Resources Ltd terminated.

The Director advises that:

• In December 2015 and whilst subject to a DOCA, the Company executed a Heads of Agreement followed by a

Merger Implementation Agreement (“MIA”) with Keen Pacific Limited (“KPL”), to acquire KPL’s wholly owned

subsidiary IVY Resources Ltd comprising the Hellyer Tailings and Processing Plant assets in Tasmania;

• Implementation of the MIA meant the two companies were to combine their respective assets, to enable the

prompt recommencement of processing and recovery of tailings material at Hellyer to produce a suite of base

metal and precious metal concentrate products. The revamped Hellyer Project was to also produce significant

quantities of a saleable Pyrite by-product for export;

• Completion of the MIA was expected to be finalised during the first quarter of 2016 subject to the necessary

ASX, regulatory and shareholder approvals. However the MIA was terminated by KPL in June 2016. The MIA did

not reach its required milestones in the time period and KPL terminated the agreement. During the period

December 2015 to June 2016, KPL contributed to the operating expenditure of the Company as a condition of

the MIA;

• On the termination of the MIA, the Company entered a care and maintenance period for its existing assets at

Beaconsfield, relying heavily on the sale of assets and sundry income to fund activities. All employees of the

Company were offered redundancies to minimise costs.

On or about 23 September 2016, PricewaterhouseCoopers announced that the DOCA was fully effectuated.


The DOCA with Moina Gold was executed on 11 January 2018 and the subsequent Share Sales Agreement executed

on 9 February 2018.

Corporate Structure

Set out below is an outline of the corporate structure of BCD.

The Director has identified the following reasons for BCD’s insolvency:

• Poor performance of the Stormont Joint Venture, which terminated in late 2014;

• Lack of suitably qualified and experienced full time personnel working on and at the Lorena mine;

• Increase in time and cost to develop the Lorena mine;

• Sub-standard management of contractors and their scope of works at the Lorena mine, causing significant cost

blow outs;

• Mismatch between works performed at the Lorena mine site and reporting to head office and board of actual

costs versus budget;

• Failure on part of joint venture partner (“Malachite Resources Limited”) to co-operate to conclude the joint

venture financing package on offer; and

• Sub-standard communication and controls between management and their functionality.

Capital Structure

The table below indicates the number of shareholders, by the size of holdings, as at 27 August 2014. The

information was taken from the 2014 annual report.

Distribution of Equity Shares

Number of Holders Number of Shares

1 - 1,000 578 152,386

1,001 – 5,000 244 552,555

5,001 – 10,000 171 1,397,675

10,000 – 100,000 527 14,736,805

100,001 and over 125 100,017,407

Total 1,645 116,856,828

Number of Shareholders holding less than a marketable parcel of shares

1,137 3,723,646

Source: Financial statements for the year ended 30 June 2014


3. VALUATION METHODOLOGY

As at the date of this report, BCD does not operate any business and is in care and maintenance mode.

As a result, earning based valuation methodologies such as Discounted Cash Flows and Future Maintainable

Earnings valuation approaches are not applicable.

BCD is also suspended from trade on the ASX and market based valuation methodologies cannot be used.

We have therefore adopted the Net Tangible Asset (“NTA”) valuation approach to value the BCD shares.

Details of generally accepted valuation methodology are set out at Appendix D.

Overview of Methodology

Under the NTA methodology the fair market value of BCD’s shares is determined based on the aggregated value of

BCD’s assets and liabilities.

We have been provided with audited financial statements up to 30 June 2014.

We have been provided with management accounts up to 13 November 2017.

It is our opinion that the audited financial statements as at 30 June 2014 are the most reliable source of

information as they have been audited by an independent party.

However, the management accounts provide a more recent view of the company’s financial position, up to 13

November 2017. We note that these management accounts have not been reviewed by an independent party.

We have adopted two approaches to the NTA valuation:

1. Consideration of BCD’s balance sheet as at 30 June 2014 with pro forma adjustments (“Primary

Methodology”);

2. Consideration of BCD’s balance sheet as at 13 November 2017 using management accounts (“Secondary

Methodology”).

Valuation Engagement



of some transactions have not been provided by Management.








Other Valuation Considerations

Future events

The business of BCD assumed in this valuation, is that which exists at the current date. Other growth potential,

which may result from new activities, business initiatives, acquisitions and the like (which cannot be estimated), is

not within the scope of our valuation analysis.

4. PRIMARY VALUATION – BCD AUDITED 30 JUNE 2014 BALANCE SHEET WITH PRO FORMA ADJUSTMENTS

The NTA valuation under this methodology is based on the balance sheet as at 30 June 2014.

The balance sheet has been amended to reflect known material movements since 30 June 2014 (“Pro Forma

Adjustments”).

Set out below is the 30 June 2014 balance sheet, the Pro Forma Adjustments and the resultant pro forma balance

sheet. Details of the pro forma balance sheet are set out in the table below.


30 June 2014 Balance Sheet with Pro Forma Adjustments

($000) Audited Note Adjustment Pro Forma

Assets

Current Assets

Cash 651 651

Trade & Other Receivables 1,100 1,100

Prepayments 129 129

Inventories 1,652 a (1,652) -

Total Current Assets 3,532 (1,652) 1,880

Non Current Assets

Cash 111 111

Property, Plant & Equipment 5,377 a 431 5,808

Exploration, Evaluation and Development 635 b (635) -

Other 497 497

Total Non Current Assets 6,620 (204) 6,416

Total Assets 10,152 (1,856) 8,296

Liabilities -

Current Liabilities -

Trade & Other Payables 2,040 2,040

Interest Bearing Loans & Borrowings 86 c (86) -

Provisions – Employee 279 279

Provisions – Rehabilitation 860 860

Total Current Liabilities 3,265 (86) 3,179

Non Current Liabilities -

Interest Bearing Loans & Borrowings 1,000 c 5,478 6,478

Provisions – Employee - -

Provisions – Rehabilitation 1,858 1,858

Total Non Current Liabilities 2,858 5,478 8,336

Total Liabilities 6,123 5,392 11,515

Net Assets 4,029 (7,248) (3,219)

Pro Forma Adjustments

a. Grays Asset Services (“Grays”) were instructed by Messrs Christopher Palmer and Liam Bailey in their capacity

as Administrators of BCD to conduct an inspection and valuation of all the plant and equipment (including

inventory) located at the Beaconsfield Mineral Processing Plant.

The Grays report (attached at Appendix 4) values the plant and equipment (including inventory) at $5.8

million. This valuation is market value based on existing use.

We have eliminated the book value of the plant, equipment and inventory from the pro forma balance sheet,

and adopted the market value as set out in the Grays Report.

b. Pitt & Sherry have provided a mineral asset valuation report dated 24 May 2018 outlining the condition of the

Beaconsfield mine (Appendix 5). This report was prepared in accordance with the VALMIN Code. In their

opinion the mine and surrounding tenements owned by BCD have nil value.

We have adopted a value of nil for the Exploration, Evaluation and Development assets in our pro forma

balance sheet.

c. BCD had $6.478 million of debt financing at 13 November 2017. As at 30 June 2014 debt financing totalled

$1.086 million. Management advise that the additional $5.392 million was used to finance expenditure relating

to:

• Lorena Gold Project JV in Cloncurry in North Queensland.

• Refurbishment of the BCD processing plant at Beaconsfield.

• The proposed acquisition (by reverse takeover) of the Hellyer Polymetallic Project in Tasmania.


The outstanding loans as at 13 November 2017 are detailed below.

Loans at 13-Nov-17 ($)

MKS 4,077,448

KPL 621,352

Eclectic 1,778,774

6,477,574

We note that the above balances are after the repayment of $0.525 million to MKS as a result of funds

received from an asset sale of plant and equipment at the Lorena Joint Venture site.

Working Capital

We have considered the working capital position (excluding inventory) at 30 June 2014 compared to 13 November

2017 as set out below. Working capital had deteriorated since 30 June 2014. We have not adjusted the working

capital balances. Any adjustment would further reduce BCD’s net asset position.

Working Capital Analysis 30-Jun-14 Pro Forma 13-Nov-17 Cash 651 651 32

Trade & Other Receivables 1,100 1,100 443

Prepayments 129 129 -

Trade & Other Payables (2,040) (2,040) (1,296) Net Working Capital (160) (160) (821)

Tax Losses

Tax losses are not recorded in the audited financial statements. In our opinion, it would be difficult for

shareholders to utilise the tax losses as any recapitalisation of the entity would most likely result in the same

business test and the change in ownership test not being met. Therefore we value losses at nil.

Assets Identified

Management have advised that BCD does not hold any material assets other than those disclosed in the balance

sheet, the Grays report, and the Pitt & Sherry valuation report.

Conclusion

Based on BCD’s 30 June 2014 audited balance sheet and the pro forma adjustments, the net assets of BCD are

negative $3.22 million. We therefore conclude that the value of BCD shares is nil.

5. SECONDARY VALUATION – BCD UNAUDITED MANAGEMENT ACCOUNTS TO 13 NOVEMBER 2017

The secondary valuation methodology uses the management accounts, which are available up 13 November 2017,

but have not been audited or reviewed by an independent party.

The management accounts have not been audited. We discussed the activities of BCD post 30 June 2014, and the

current state of the business, with Management of BCD (Mr Carroll and Ms Greenwood) and the Deed

Administrators (Mr Palmer an Mr Welden-Iley).

Post 30 June 2014, a number of business and restructuring activities were pursued, however each of these

opportunities were either abandoned or failed. Funds were also spent on the repair, maintenance and

refurbishment of equipment. Management have advised that post 30 June 2014, BCD has effectively been run on a

care and maintenance basis only. The refurbished equipment is included in the valuation performed by Grays. This

expenditure resulted in an increase of debt between 30 June 2014 and 13 November 2017, and a deterioration of

BCD’s net asset position.

Although the management accounts have not been reviewed or audited, we consider analysis of the management

accounts to be useful as they provide a more recent financial perspective of BCD as compared to the 30 June 2014

audited financial statements.

As a result, we consider this to be a valuation cross check.

This methodology has three main components:


1. Compare the management accounts at 30 June 2014 to the audited financial statements at the same date.

2. Adjust for events not captured in the management accounts.

3. Analyse movements on an annual basis and for the period to 13 November 2017.

Jun-14 Jun-14 Jun-15 Jun-16 Jun-17 Nov-17

Audited Mgmt Mgmt Mgmt Mgmt Mgmt

Assets

Current Assets

Cash 651 762 590 137 129 32

Trade & Other Receivables 1,100 2,238 463 348 443 443

Prepayments 129 129 - 30 72 -

Inventories 1,652 1,158 687 686 686 686

Total Current Assets 3,532 4,287 1,740 1,201 1,330 1,161

Non Current Assets

Cash 111 - -

Property, Plant & Equipment 5,377 3,940 9,691 6,780 6,574 6,512

Exploration, Evaluation and Development

635 635 1,367 307 307 307

Other 497 52,221 273 260 269 269

Total Non Current Assets 6,620 56,796 11,331 7,347 7,150 7,088

Total Assets 10,152 61,083 13,071 8,548 8,480 8,249

Liabilities

Current Liabilities

Trade & Other Payables 2,040 3,073 1,262 1,885 1,434 1,296

Interest Bearing Loans & Borrowings 86 86 - - - -

Provisions - Employee 279 279 259 236 - -

Provisions - Rehabilitation 860 - - - - -

Total Current Liabilities 3,265 3,438 1,521 2,121 1,434 1,296

Non Current Liabilities

Interest Bearing Loans & Borrowings 1,000 1,000 4,921 6,679 7,003 7,003

Provisions - Employee -

Provisions - Rehabilitation 1,858 1,318 1,308 1,307 1,307 1,307

Other - - - - 9 -

Total Non Current Liabilities 2,858 2,318 6,229 7,986 8,319 8,310

Total Liabilities 6,123 5,756 7,750 10,107 9,753 9,606

Net Assets 4,029 55,327 5,321 (1,559) (1,273) (1,357)

Adjustment for Rehabilitation Provision

Per Management Accounts 1,318 1,308 1,307 1,307 1,307

Per Audited Financials (2,718) (2,718) (2,718) (2,718) (2,718)

Adjustment for the Lorena Payment to MKS 525

Reversal of Hedge Liability 978

BCO Loan (49,042) Adjusted Net Assets 4,029 4,885 3,911 (2,970) (2,684) (1,265)

Movement in Adjusted Net Assets (974) (6,881) (132) 1,419

Comparison of Audited Statements to Management Accounts

We have compared BCD’s audited balance sheet at 30 June 2014 to BCD’s management accounts at the same date.

We have identified two material variances between the audited balance sheet and the management accounts:

a. Rehabilitation Provision - The rehabilitation provision per the audited balance sheet totalled $2.7 million. Per

the management accounts, the provision was $1.3 million. Management advise that the provision recorded in

the management accounts only represents part of the overall provision, and not the liability of all parties to

the joint venture.


As the audited statements have been reviewed by an independent party, we have adopted the audited value

of $2.7 million in our analysis for all the periods between 30 June 2014 and 13 November 2017.

This liability relates to assets that remain in BCD’s ownership. The provision for rehabilitation is a liability of

the Beaconsfield Mine Joint Venture, and there are five parties to the joint venture (all wholly owned by

BCD). We note that the plant and equipment is also held by the Beaconsfield Mine Joint Venture, and the

value of the plant and equipment exceeds the value of the rehabilitation liability. Therefore, it is not possible

for BCD to improve its net asset position by placing any of the joint venture parties into administration or

liquidation.

b. BCO Loan - The management accounts record a loan receivable from BCD Resources (Operations) NL (“BCO”)

of $49.0 million. This loan was not recorded in the audited statements and, was eliminated from the

management accounts in the December 2014 management accounts.

On 30 September 2013 BCD sent a letter of demand to BCO and its subsidiaries for outstanding debts together

with a request for the resignation of BCO in its capacity as manager of the Beaconsfield Mine Joint Venture.

On 1 October 2013 BCO and its subsidiaries were placed into Administration and, following the second meeting

of Creditors, a Deed of Company Arrangement was executed on 25 November 2013.

On 27 May 2014 a hearing in the Supreme Court of Victoria, was held in the matter of BCO’s (Subject to a

Deed of Company Arrangement) application for leave to transfer all shares not already owned by BCD to BCD

under section 444GA of the Corporations Act 2001 as per the Deed of Company Arrangement. A decision to

grant the leave sought was handed down on 28 May 2014. The final share transfer was executed on 19 June

2014. The loan was not recovered.

As a result we have eliminated this loan balance from the management accounts.

Events not Captured in the Management Accounts

5.2.1. Part Repayment of MKS Loan

BCD received a payment of $0.525 million in relation to the Lorena Joint Venture. These funds were used to partly

repay the loan to MKS. The receipt of the funds by BCD, and the repayment of the MKS Loan were not recorded in

the management accounts. We have made an adjustment to reflect the reduction in BCD’s liabilities of $0.525

million as a result of the repayment. MKS and BCD confirm that no further payments have been made.

5.2.2. Reversal of Hedge Liability

BCD entered into a number of hedge contracts with MKS between December 2014 and June 2016.

As a result of adverse market movements, BCD incurred a liability to MKS of $0.98 million.

There is uncertainty as to whether this liability survived the first DOCA. Due to this uncertainty we have excluded

this loan from our analysis.

However, we have seen an unexecuted Marketing and Sales Facilities Agreement between MKS, BCD and MAR,

which if executed would have secured the hedge contracts and in that event, the liability would have to be

included in our analysis.

Movements in Management Accounts

Net assets declined by approximately $1.0 million in the year ended 30 June 2015, and a further $6.9 million in the

year ended 30 June 2016. Net asset movements were positive between 30 June 2016 and 13 November 2017 as a

result of the Lorena cash receipt and the part repayment of the MKS loan and the reversal of the hedge liability.

The reduction in net assets between 30 June 2014 and 13 November 2017 is correlated with the cumulative

increase in debt as set out in the table below.

(‘000) 30 Jun-15 30 Jun-16 30 Jun-17 13 Nov-17 Movement in net assets (974) (6,881) (132) 1,419 Increase in debt 3,835 1,758 324 (525) Cumulative movement in net assets (974) (7,855) (7,569) (6,150) Cumulative movement in debt 3,835 5,593 5,917 5,392 We note that there is a delay between the debt being raised in the 12 months to June 2015 and the reduction in

the net asset position declining in June 2016.


Management have advised that the increase in debt was used to finance expenditure relating to:

• Lorena Gold Project JV in Cloncurry in North Queensland.

• Refurbishment of the BCD processing plant at Beaconsfield and ongoing care and maintenance.

• The proposed acquisition (by reversed takeover) of the Hellyer Polymetallic Project in Tasmania.

Management have identified payments totalling $3.77 million between July 2014 and December 2015 for plant and

equipment in relation to the Lorena Project. This amount is net of invoices that were not paid as a result of a

DOCA. As the plant and equipment was capitalised on the balance sheet, there was no reduction in net assets as a

result of the expenditure of the $3.77 million prior to June 2016. In year ended 30 June 2016, Malachite Resources

Limited abandoned the Lorena Project. As a result, the plant and equipment’s value declined. The plant and

equipment value recorded at 30 June 2016 is based on a third party valuation. This valuation resulted in a

significant decrease in net assets at June 2016.

Tax Losses

Tax losses are not recorded in the management accounts. In our opinion, it would be difficult for shareholders to

utilise the tax losses as any recapitalisation of the entity would most likely result in the change in business test

and the change in ownership test not being met. Therefore we value losses at nil.

Comparison to the Report as to Affairs (RATA) prepared by the Director

In a Report to Creditors dated 8 December 2017, the Director of BCD provided the following Report as to Affairs

(RATA).

('000) Director's

RATA ERV - Low ($)

Director's RATA ERV -

High ($)

Adjusted Management Accountts

Variance to RATA Note

Assets

Cash at Bank 39 39

32

(7)

Sundry Debtors 100 100

443

343

Interest in Land 130 130

307

177

Stock, Plant and Equipment 1,500 2,500

7,198

4,698 A

Tax Losses

-

-

Other Assets

269

269 B

Listed Shell

-

-

1,769 2,769

8,249

5,480

Liabilities

Secured Parties 4,302 4,302 4,077 (225) C

Priority Claims – Employees - -

- -

Unsecured Creditors 2,488 2,488

2,718 231 D

Contingent Claim 1,300 1,300

2,718 1,418 E

6,790 6,790

6,796 6

Estimated Deficiency (Excluding Contingent Claims)

(5,021) (4,021)

1,453

5,474

Estimated Deficiency (Including Contingent Claims)

(6,321) (5,321)

(1,265)

4,056

The material variances between the RATA and the adjusted management accounts are as follows:

A. Stock, Plant and Equipment

The Director estimated a value of between $1.5 million and $2.5 million for Stock, Plant and Equipment.

The management accounts recorded a value of $7.2 million. Grays were engaged to value the Stock, Plant and Equipment.

Their report (Appendix 5) concluded that the value of Stock, Plant and Equipment was $5.8 million. We note that recording

a higher value of Stock, Plant and Equipment in the adjusted management accounts is a beneficial approach for

shareholders.

B. Other Assets


Other assets per the management accounts are primarily bonds receivable. Management confirm that they are an asset of

BCD.

C. Second Loan Payable to MKS

The Director discloses a loan payable to MKS of $4.3 million compared to the adjusted management accounts balance of

$4.1 million. Management advised that the variances in the balances is due to additional costs of BCD that have been

funded by MKS. We have adopted the lower balance as it is a beneficial treatment for BCD shareholders.

D. Unsecured Creditors

The Director estimated unsecured creditors to be $2.5 million. The balance per the management accounts is after adjusting

for the hedge liability is $2.7 million.

The following liabilities were not recorded in the RATA:

$million

Trade Credits 0.16

GST 0.13

Payroll Liabilities 0.02

0.31

Management confirm that all the above balances remain outstanding and payable.

E. Contingent Claim

The contingent claim is the liability to remediate the mining site. The Director estimated the liability for remediation to be

$1.3 million. This estimate was based on the unadjusted management accounts.

We have adjusted the management accounts to reflect the balance of the remediation provision as recorded in the 30 June

2014 audited financial statements ($2.7 million). Please refer to Section 5.1 (a) for details regarding this balance.

Conclusion

Based on the 13 November 2017 balance sheet the adjusted net assets of BCD are negative $1.26 million. We note

that the value of the Plant and Equipment and Exploration, Evaluation and Developed assets per the management

accounts exceed the values determined by Grays and Pitt & Sherry in their respective valuation reports. If the

assets were to be revalued based on the Grays and Pitt and Sherry Reports, the net asset deficit would be larger.

Based on the above analysis we conclude that the value of BCD shares is nil.

6. CONCLUSION AS TO VALUE OF BCD SHARES

We have valued BCD using a primary and secondary valuation methodologies.

The Primary methodology is based on BCD’s 30 June 2014 audited balance sheet and applicable pro forma

adjustments (Section 4). BCD’s net assets under this methodology are negative $3.22 million. We therefore

conclude that the value of a BCD share is nil.

The Secondary methodology is based on BCD’s 13 November 2017 unaudited balance sheet (Section 5). Under this

methodology BCD’s net assets are negative $1.26 million. We note that the value of Plant and Equipment and

Exploration, Evaluation and Development asset recoded in the management account exceeds the values

determined by Grays and Pitt & Sherry in their respective valuation reports. Based on the above we conclude that

the value of BCD shares is nil.

The Primary and Secondary Methodologies both result in nil values. We therefore conclude that the value of BCD’s

shares is nil.

Valuation Engagement



of some transactions have not been provided by Management of BCD.









Other matters

6.2.1. Shareholder’s individual circumstances

Our analysis has been undertaken, and our conclusions are expressed at an aggregate level. Accordingly, BDOCF

has not considered the effect of the DOCA on the particular circumstances of individual Shareholders. Some

individual Shareholders may place a different emphasis on various aspects of the DOCA from that adopted in this

IER. Accordingly, individual Shareholders may reach different conclusions as to the value of BCD Shares.

7. QUALIFICATIONS, DECLARATIONS AND CONSENTS

Qualifications

BDOCF is the licensed corporate advisory arm of BDO East Coast Practice, Chartered Accountants and Business

Advisers. BDOCF provides advice in relation to all aspects of valuations and has extensive experience in the

valuation of corporate entities and provision of expert’s reports.

Mr David McCourt, BBus, CA, is a director of BDOCF and a CA certified Business Valuations Specialist. Mr McCourt is

also a partner of BDO East Coast Partnership. Mr McCourt has been responsible for the preparation of this IER.

Mr McCourt has over 19 years experience in a number of specialist corporate advisory activities including company

valuations, financial modelling, preparation and review of business feasibility studies, accounting, advising on

mergers and acquisitions and advising on independent expert reports. Accordingly, Mr McCourt is considered to

have the appropriate experience and professional qualifications to provide the advice offered.

Independence

BDOCF is not aware of any matter or circumstance that would preclude it from preparing this IER on the grounds of

independence either under regulatory or professional requirements. In particular, we have had regard to the

provisions of applicable pronouncements and other guidance statements relating to professional independence

issued by Australian professional accounting bodies and ASIC.

BDOCF prepared an Independent Valuation Report in relation to BCD dated 10 April 2018. This report was

addressed to MKS and was prepared for the same purpose as this IER.

BDOCF considers itself to be independent in terms of RG 112 independence of experts, issued by ASIC. BDOCF was

not involved in advising on, negotiating, setting, or otherwise acting in any capacity for the Company in relation to

the DOCA. Further, BDOCF has not held and, at the date of this IER, does not hold any shareholding in, or other

relationship with BCD that could be regarded as capable of affecting its ability to provide an unbiased opinion in

relation to the DOCA.

BDOCF will receive a fee of up to $30,000 plus Goods and Services Tax for the preparation of this IER. BDOCF will

not receive any fee contingent upon the outcome of the DOCA, and accordingly, does not have any pecuniary or

other interests that could reasonably be regarded as being capable of affecting its ability to give an unbiased

opinion in relation to the DOCA.

A draft of this IER was provided to the Deed Administrators and their advisors for review of factual accuracy.

Certain changes were made to the IER as a result of the circulation of the draft IER. However, no changes were

made to the methodology, conclusions, or recommendations made to the Shareholders as a result of issuing the

draft IER.

Disclaimer

This IER has been prepared at the request of the Deed Administrators and was not prepared for any purpose other

than that stated in this IER. This IER has been prepared for the sole benefit of the Deed Administrators and

Shareholders. Accordingly, this IER and the information contained herein may not be relied upon by anyone other

than the Director and Shareholders without the written consent of BDOCF. BDOCF accepts no responsibility to any

person other than the Director and Shareholders in relation to this IER.


The statements and opinions contained in this IER are given in good faith and are based upon BDOCF’s

consideration and assessment of information provided by the Deed Administrators and Management of all the

entities.


APPENDIX 1: GLOSSARY

Term Definition

APES 225 Accounting Professional & Ethical Standards Board Limited issued professional standard APES 225 on valuation services

ASIC Australian Securities & Investments Commission

ASX Australian Securities Exchange

Act Corporations Act 2001

Act Section 444GA of the Corporations Act 2001 (cth)

BCD or the company BCD Resources NL (subject to Deed of Company Arrangement)

BDOCF, we, us or our BDO Corporate Finance (East Coast) Pty Ltd (ABN 70 050 038 170)

Court The Supreme Court of New South Wales

Deed Administrators Mr Christopher Palmer and Mr Liam Bailey

DCF Discounted cash flow method

DOCA Deed of Company Arrangement

EBIT Earnings Before Interest and Tax

EBITDA Earnings Before Interest, Tax, Depreciation and Amortisation

FME Capitalisation of future maintainable earnings

FOS Financial Ombudsman Service Limited

FSG Financial Service Guide

FYxx Financial year ended/ending 30 June 20xx

GST Goods and Services Tax

Licence Australian Financial Services Licence No: 247420

Management Management of BCD

MKS MKS Precious Metals (Australia) Pty Limited

Moina Gold Moina Gold Pty Limited

QMP Quoted market price basis

RATA Report as to Affairs

Receivers and Managers Mr Christopher Palmer and his then partner, Mr Bryan Collis, Joint and Several Receivers and Managers of the Company

Report or IER Independent expert’s report

RG ASIC’s Regulatory Guide

RG 111 ASIC Regulatory Guide 111 Content of expert reports

RG 112 ASIC Regulatory Guide 112 Independence of experts

S444GA Application Application by the Administrators pursuant to Section 444GA of the Corporations Act 2001 (cth)

S606 Section 606 of the Act

Share Sale Agreement Share Sale Agreement dated 9 February 2018

Shareholders Existing ordinary shareholders of BCD

Valuation Date 5 June 2018


APPENDIX 2: SOURCES OF INFORMATION

In preparing this IER, we had access to and relied upon the following principal sources of information:

• Audited financial statements for the year ended 30 June 2014

• Management accounts for the periods ended 30 June 2014, 2015, 2016, 2017 and November 2017

• O’Brien Palmer Administrators report to creditors dated 8 December 2017

• Grays Asset Services valuation of Plant and Equipment dated 21 March 2018

• Pitt & Sherry Mineral Asset Valuation of ML1767

• Discussions with Management

• Discussions with the Deed Administrators

• S&P Capital IQ

• Publicly available information

• Deed of Company Arrangement dated 11 January 2018


APPENDIX 3: VALUATION METHODS - BUSINESSES AND ASSETS

In conducting our assessment of the fair market value of the Company’s securities, the following commonly used

business valuation methods have been considered:

Discounted Cash Flow Method

The discounted cash flow (DCF) method is based on the premise that the value of a business or any asset is

represented by the present value of its future cash flows. It requires two essential elements:

• the forecast of future cash flows of the business asset for a number of years (usually five to 10 years); and

• the discount rate that reflects the riskiness of those cash flows used to discount the forecast cash flows back

to net present value (NPV).

DCF is appropriate where:

• the businesses’ earnings are capable of being forecast for a reasonable period (preferably 5 to 10 years) with

reasonable accuracy;

• earnings or cash flows are expected to fluctuate significantly from year to year;

• the business or asset has a finite life;

• the business is in a 'start up' or in early stages of development;

• the business has irregular capital expenditure requirements;

• the business involves infrastructure projects with major capital expenditure requirements; or

• the business is currently making losses but is expected to recover.

Capitalisation of Future Maintainable Earnings Method

This method involves the capitalisation of normalised earnings by an appropriate multiple. Normalised earnings are

the assessed sustainable profits that can be derived by the vendor’s business and exclude any one off profits or

losses. An appropriate earnings multiple is assessed by reference to market evidence as to the earnings multiples

of comparable companies.

This method is suitable for the valuation of businesses with indefinite trading lives and where earnings are

relatively stable or a reliable trend in earnings is evident.

Net Asset Value Methods

Asset based valuations involve the determination of the fair market value of a business based on the net realisable

value of the assets used in the business.

Valuation of net realisable assets involves:

• separating the business or entity into components which can be readily sold, such as individual business

securities or collection of individual items of plant and equipment and other net assets; and

• ascribing a value to each based on the net amount that could be obtained for this asset if sold.

The net realisable value of the assets can be determined on the basis of:

• orderly realisation (NRV): this method estimates fair market value by determining the net assets of the

underlying business including an allowance for the reasonable costs of carrying out the sale of assets, taxation

charges and the time value of money assuming the business is wound up in an orderly manner. This is not a

valuation on the basis of a forced sale where the assets might be sold at values materially different from their

fair market value;

• liquidation: this is a valuation on the basis of a forced sale where the assets might be sold at values

materially different from their fair market value; or

• continuing operations (NAV): this is a valuation of the net assets on the basis that the operations of the

business will continue. It estimates the market value of the net assets but does not take into account any

realisation costs. This method is often considered appropriate for the valuation of an investment or property

holding entity. Adjustments may need to be made to the book value of assets and liabilities to reflect their

value based on the continuation of operations.


The net realisable value of a trading entity’s assets will generally provide the lowest possible value for the

business. The difference between the value of the entity’s identifiable net assets (including identifiable

intangibles) and the value obtained by capitalising earnings is attributable to goodwill.

The net realisable value of assets is relevant where an entity is making sustained losses or profits but at a level

less than the required rate of return, where it is close to liquidation, where it is a holding entity, or where all its

assets are liquid. It is also relevant to businesses which are being segmented and divested and to value assets that

are surplus to the core operating business. The net realisable assets methodology is also used as a check for the

value derived using other methods.

These approaches ignore the possibility that the entity’s value could exceed the realisable value of its assets.

Quoted Market Prices

The price that an entity’s share trades on an exchange can be an appropriate basis for valuation where:

• the share trades in an efficient market place where ‘willing’ buyers and sellers readily trade the entity’s

share; and

• the market for the entity’s share is active and liquid.


APPENDIX 4: PITT & SHERRY MINERAL ASSET VALUATION OF ML1767

pitt&sherry ref: HB18073H001 valmin rep 31P Rev01.docx/PH/lc

Table of Contents

Executive Summary ....................................................................................................................................... i

1. Valmin Practitioner .............................................................................................................................. 11.1 Independence ........................................................................................................................... 11.2 Public Report ............................................................................................................................ 11.3 Other Matters (not covered elsewhere) .................................................................................... 11.4 Commissioning of the Report .................................................................................................... 2

2. Reasonableness ................................................................................................................................... 23. Tasmania Mine Mineral Resource and Ore Reserve .............................................................................. 24. Implications of Decommissioning and the Underground Mine ............................................................. 5

List of figuresFigure 1. Blockage in the Hart Shaft (haulage compartment looking north) at ~50m below surface illustratingsignificant displacement on the conveyance guides (red) and backfill line (yellow)........................................ 3Figure 2. The flood level ~355m below surface in the Hart Shaft corresponds with ~344m below surface inthe Fresh Air Shaft, some 80m above the shallowest modern production at 430mL6 (b)................................ 4Figure 3. Longitudinal projection of the Hart Shaft and ventilation shafts at the Tasmania Mine illustrating thewater level in May 2017. ............................................................................................................................... 4

List of tablesTable 1. Identified Mineral Resource, BCD Resources NL, Annual Report 2012. ............................................ 2Table 2.Capital costs associated with opening the underground mine. .......................................................... 6

Prepared by: ................................................................. Date: 24 May 2018Peter Hills

Reviewed by: ................................................................. Date: 24 May 2018Nicky Pollington

Authorised by: ................................................................. Date: 24 May 2018Nicky Pollington

Revision History

Rev No. Description Prepared by Reviewed by Authorised by Date

00 Valmin Report P Hills N Pollington N Pollington 23/05/18

01 Valmin Report P Hills N Pollington N Pollington 24/05/18

© 2018 pitt&sherryThis document is and shall remain the property of pitt&sherry. The document may only be used for the purposes forwhich it was commissioned and in accordance with the Terms of Engagement for the commission. Unauthorised use ofthis document in any form is prohibited.

pitt&sherry ref: HB18073H001 valmin rep 31P Rev01.docx/PH/lc i

Executive Summarypitt&sherry has been commissioned by Mr David McCourt, Partner, Advisory, BDO Corporate Finance (EastCoast) Pty Limited to provide a valuation of the mineral assets of BCD Resources at the Tasmania Mine,Beaconsfield within Mining Lease ML1767.

The valuation was completed by Mr Peter Hills acting as a Specialist in respect of the VALMIN Code (2015).

The key findings of this valuation are that:

As at the date of this report there is no Mineral Resource or Ore Reserve remaining on Mining LeaseML1767.

The BCD Resources Annual Report for 2012 reported the Ore Reserve for the Tasmania Mine as zerofollowing closure of the mine in June 2012.

The BCD Resources Annual Report for 2012 reported an Indicated Mineral Resource of 67,000 t @12.6 g/t Au (27,000 oz).

Since the date of the BCD Resources Annual Report for 2012, the following actions and events havecombined to extinguish that Mineral Resource:

All saleable infrastructure from the underground mine has been recovered and sold

The primary access to the underground mine, the Hart Shaft, has failed and subsequently it has beenbackfilled

The winding gear from the second means of egress at the Fresh Air Shaft has been removed and sold,and

The underground mine has flooded to within 350m of the surface effectively submerging andremnant mineralisation by at least 80m.

As the total endowment of the previously reported Mineral Resource does not of itself justify thereinstatement of infrastructure necessary to realise that endowment, it is assessed that mineralisationcontained therein does not pass the critical requirement of the JORC Code (2012) for "reasonableprospects of eventual economic extraction".

Closure planning in the lead-up to mine closure in 2012 determined that a gold price of $2,300, 20 percent higher than any historical gold price up to that point, would be necessary to keep the mine open.With the mine closed and much of the necessary infrastructure dispersed on in a state of unserviceability,the necessary gold price would be considerably higher.

In consequence of all Mineral Resources and Ore Reserves at the Tasmania Mine being either depleted orextinguished, any remaining mineralisation in the Tasmania Mine is assessed as having no current value.

pitt&sherry ref: HB18073H001 valmin rep 31P Rev01.docx/PH/lc 1

1. Valmin PractitionerThe Practitioner preparing this report, Peter Bernard Hills, is acting in the role of a Specialist. Mr Hills hasover 20 years' relevant industry experience relating to underground gold mines with in excess of 16 years asan employee at the Tasmania Mine in a senior management role. Mr Hills is a current Fellow of theAustralasian Institute of Mining and Metallurgy and a Chartered Professional within that organisation.

1.1 IndependenceThe Practitioner, Mr Hills, is a full-time employee of Pitt & Sherry (Operations) Pty Ltd and has no present orcontingent interest in the Mineral Asset at the Tasmania Mine, Beaconsfield. Nor does Mr Hills have anycurrent association with BCD Resources or its associated companies.

1.1.1 DisclosureMr Hills was employed at the Tasmania Mine, Beaconsfield from April 1996 until July 2012 by BCD Resourcesand its associated and precedent entities. During that period Mr Hills held various titles, but essentially thatof Technical Services Manager which was his title at the time of severance. During the period of hisemployment, Mr Hills fulfilled the role of Competent Person in respect of the completion and publication ofMineral Resource and Ore Reserve statements in compliance with JORC (1996, 1999, 2004)1,2,3. With theclosure of the mine in 2012, Mr Hills left the employ of BCD Resources with full severance entitlements andhas had no further involvement with the company since that time, prior to the current commission.

Mr Hills has published twenty papers as author or co-author about various technical aspects of the TasmaniaMine, mainly relating to geology, geomechanics of mining engineering. Six of those have been publishedsince the termination of Mr Hills employment at the mine and a further paper is currently in preparation.Whereas these papers serve to confirm Mr Hills knowledge of the Tasmania Mine, they in no way representany ongoing pecuniary interest in BCD Resources or the mine more generally.

1.2 Public ReportThis report is a Public Report which provides a valuation of the Mineral Assets at the Tasmania Mine,Beaconsfield associated with Mining Lease ML1767. It is not an assessment of the value of any other assetowned by BCD Resources and/or its associated or precedent entities and currently situated in the generalvicinity of the Tasmania Mine at Beaconsfield or elsewhere. It is not a valuation of securities.

1.3 Other Matters (not covered elsewhere)The effective date of this report shall be taken as 24 May 2018

Any reference to currency in this report is to Australian Dollars

The only assets being valued by this report are the gold mineralisation assets at the Tasmania Gold Mine,Beaconsfield, Tasmania

Documents relied upon in the preparation of this report are references as footnotes. In addition, theauthor corresponded by email and/or telephone with Mr Clive Carroll, CEO, MKS Precious Metals Pty Ltd,Ms Richelle Greenwood, Company Secretary, BCD Resources NL, Mr Troy Lowien, Former ResourceConsultant, Coffey Mining and Mr Peter Thompson, Former CEO, BCD Resources NL.

1 JORC, 1999. Australasian Code for Reporting of Identified Mineral Resources and Ore Reserves (The JORC Code) July 1996. Available from: http://www.jorc.org. (TheJoint Ore Reserves Committee of The Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia).2 JORC, 1999. Australasian Code for Reporting of Mineral Resources and Ore Reserves (The JORC Code) September 1999. Available from: http://www.jorc.org. (Report ofthe Joint Ore Reserves Committee of The Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia).3 JORC, 2004. Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (The JORC Code) 2004 Edition. Available from:http://www.jorc.org. (The Joint Ore Reserves Committee of The Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Councilof Australia).

http://www.jorc.org./




1.4 Commissioning of the ReportThe Author of this Valuation Report was commissioned to do so by email from Mr Clive Carroll, CEO, PreciousMetals (Australia) Pty Ltd, dated 10 May 2018 at 4:13pm having been requested to do so by Mr DavidMcCourt, Partner, Advisory, BDO Corporate Finance (East Coast) Pty Limited. Mr McCourt confirmed theseinstructions by email to the Author dated 24 May 2018 at 1:05pm and as such, BDO Corporate Finance (EastCoast) Pty Limited is confirmed as the Commissioning Entity.

2. Reasonableness1. This valuation is an impartial assessment of the value of mineral assets remaining in the Tasmania Mine.

2. It is considered to be a reasonable assessment on the basis that the endowment of the latest MineralResource estimate does not justify the cost of works considered necessary to realise it. As such, theMineral Resource is extinguished

3. This report is based on the personal involvement of the author in studies which led to the closure of themine in 2012 and knowledge of the history of the underground mine subsequently. It is a technicalassessment based on over 20 years of operational experience in underground mines. In no way is itintended to be a valuation of securities

4. The author does not disclaim the Technical Assessment.

3. Tasmania Mine Mineral Resource and Ore ReserveThe final ore was hoisted from the underground workings of the Tasmania Mine on 24 June 2012. The BCDResources NL Annual Report for 2013 states that "processing of all underground ore and gold recovery fromthe Tasmania Mine was successfully completed in June 2012. During July and August [2012] clean-up of allgold circuits and tanks in the processing facility resulted in production of 3,626 oz of gold". There is no MineralResource and Ore Reserve statement for the Tasmania Mine included in that report nor subsequently.

The BCD Resources NL Annual Report for 2012 states that "for the Tasmania Mine [Ore] Reserves are reportedas zero" and it includes a Mineral Resource Statement4 for the Tasmania Mine as follows (Table 1).Table 1. Identified Mineral Resource, BCD Resources NL, Annual Report 2012.

Tonnes Gold Grade (g/t) Contained OuncesIndicated Resource5 67,000 12.6 27,000

The report states that "these resources are the Crown Pillar blocks which were uneconomic at the gold priceat the time of mine closure ($A1,550/oz) but may in future, with a significant increase in gold price, becomeeconomic. At the time of the Mineral Resource Statement there was still underground access to theTasmania Mine. Subsequently:

All salvageable equipment of saleable value was removed from the underground mine

Surface mounted winding equipment which provided secondary access/egress to the underground minewas removed from the Fresh Air Shaft

The main winder on the Hart Shaft which provided primary access/egress to the underground mine wasdecommissioned and disabled

4 The Mineral Resource Statement was made subject to JORC (2004) prior to the effective date of JORC (2012) on 20 December 2012.5 The BCD Resources NL Annual Report 2012 attributes the Mineral Resource for the Tasmania Mine to Mr Troy Lowien MAusIMM as the CompetentPerson. The report does not state that Mr Lowien consented to his work being reported. However, Mr Lowien did concede that he completed theMineral Resource estimates reported in BCD Resources Annual Report 2010 and he provided a copy of his report to author of this Valuation.


The Hart Shaft was capped with a concrete plug and all surface assets in the mine yard including thewinder, winder House, shaft head gear and associated infrastructure were transferred to the ownershipof the West Tamar Council to be incorporated within the Beaconsfield Mine and Heritage Centre

In August 2016, following extensive rain in Northern Tasmania over the preceding three months, failurein the Hart Shaft led to it becoming blocked approximately 50m below the surface (Figure 1). Extensivedamage to the shaft furniture at the location of the blockage is clearly evident and is symptomatic ofsignificant, if local, displacement. Extensive subsidence of the surface apron led to significantdisplacement of the Hart Shaft headgear from vertical. In order that complete collapse of the headgearcould be prevented and the surface subsidence be stabilised, the decision was taken to backfill the HartShaft in its entirety. This was achieved through 2017.

Figure 1. Blockage in the Hart Shaft (haulage compartment looking north) at ~50m below surface illustrating significantdisplacement on the conveyance guides (red) and backfill line (yellow).

During the course of backfilling the Hart Shaft, video camera surveys confirmed that the Tasmania Minewas flooded to a level of 355m below the surface in the Hart Shaft in May 2017 and 344m below surfacein the Fresh Air Shaft (Figure 2). Due to the effect of surface topography, these depths are equivalentwith respect to the Australian Height Datum (AHD) as illustrated in Figure 3. As a consequence, theentire Mineral Resource reported in 2012 is currently submerged by at least 80m.


Figure 2. The flood level ~355m below surface in the Hart Shaft corresponds with ~344m below surface in the Fresh Air Shaft, some80m above the shallowest modern production at 430mL6 (b).

Figure 3. Longitudinal projection of the Hart Shaft and ventilation shafts at the Tasmania Mine illustrating the water level in May2017.

As a consequence of the above it is assessed that the Mineral Resource reported in 2012 would no longersatisfy the requirement of an Indicated Mineral Resource as defined by JORC (2004, 2012), in particular thatthere is no prospect of it satisfying the expectation of "reasonable prospects for eventual economicextraction". Furthermore, it is assessed that the Mineral Resource and Ore Reserve at the Tasmania Mine,Beaconsfield, is now zero.


4. Implications of Decommissioning and the Underground MineIn November 2011 a public announcement was made by Mr Peter Thompson, CEO, BCD Resources NL, to theeffect that the Tasmania Mine would cease production at the depletion of Ore Reserves above 1210mL6 inJune 2012 (Thompson, 2011)7. A decommissioning and rehabilitation plan was prepared for the EnvironmentDivision of the Tasmanian Department of Primary Industries, Water and Environment in accordance withrelevant legislation in April 2012 (King, Hills & Richardson, 2012)8.

That report identified a number of factors that led to the closure of the underground mine and would impactits future reopening both positively and negatively. These are summarised as follows:

It was a conclusion of the reviews that a "Care and Maintenance" closure was not economically viableand that the status of any remaining mineralisation and future infrastructure requirements, precludefuture redevelopment of the existing mine. In effect, this statement extinguished the Mineral Resourcebelow 1210mL which the BCD Resources NL Annual Report 2011 stated as being retained pending thecompletion of studies as to how that resource could be extracted economically

As at September 2011, a further lift could physically be taken to extract up to 20,000 oz of gold between1210mL (the ultimate bottom of the mine) and 1245mL but it could not be achieved without a productionhiatus of up to 12 months, and that it could not be mined profitably at any gold price that couldreasonably have been forecast

A gold price of $2,300 per ounce (more than 20% above the historical record price) was required forongoing operation, and as such it was not possible to arrive at a JORC (2004) compliant Ore Reserve.

In November 2011 it was announced that the Tasmania Mine would close after extracting all remainingore to 1210mL and that the milestone would be reached in June 2012

Based on measured inflow rates and allowing for the expectation of some tailings being pumped into theabandoned workings, it was anticipated that it would take 5-7 years for the mine to flood to 700mL, afurther 7-12 years to flood to 455mL and then 23 years to flood to the surface as it had after mine closurein 1914. However, the water level was recorded at 355m below surface (344m in the Fresh Air Shaft) inMay 2017

On the basis of diamond drilling completed below 1210mL prior to 2011, it was estimated that no morethan 45,000 oz of gold could be extracted from known mineralisation for a realisable value of $70M. Thisfigure was not claimed to be a JORC Compliant Mineral Resource or Ore Reserve but rather, a figure fromwhich to determine viability

It was observed that upon closure and a cessation of maintenance, the Hart Shaft would quicklydeteriorate to the point of being derelict (although the events that transpired in 2016 were notanticipated). It was noted that the Hart Shaft and associated infrastructure was obsolete and could notbe brought back into service in the future

In the absence of the Hart Shaft it was identified that a new Decline from the surface connecting with theexisting Decline in the footwall of the orebody at 430mL was a realistic alternative if the mine was to befound to be viable at some point in the future. The cost of such a Decline was estimated at $30M in 2011

With the loss of the Hart Shaft it was observed that new dewatering infrastructure would be required atan estimated cost of $15M with a further $10M for electrical reticulation

6 The qualifier mL used in this report defines the level designation for the various levels in the Tasmania Mine relative to the surfaceat the Hart Shaft. Consequently, 1210mL is notionally 1210m below surface. This notation is used to distinguish the mine levels fromlocations where there is no level (e.g. the shaft blockage is reported as being ~50m below the surface which does not refer to a minelevel, but simply a depth below the surface). Level designations are approximate, being rounded to the nearest 5m.7 Thompson, P, 2011. Future of the Tasmania Mine, BCD Resources NL – Media Release, 30 November 2011.8 King, S, Hills, P and Richardson, P, 2012. Tasmania Mine Decommissioning and Rehabilitation Plan. Report prepared for theEnvironment Division, Department of Primary Industries, Parks, Water and Environment, BCD Resources (Operations) NL, 114p.


It was estimated that $6.1M would be required to provide new ventilation shafts and associatedinfrastructure to allow mining to proceed to a depth of 1,400m and to provide the possibility of miningdeeper in the future (with additional expenditure)

While it was anticipated that the remaining 6.6km of Decline to 1210mL would remain sound, it wasanticipated that it would require to be re-supported at a further cost of $10M

Finally, it was noted that the costs outline was not an exhaustive analysis, an estimated expenditure of$5M was necessary to drill out a resource if the work was performed underground. It was noted that longsurface holes could be an alternative but that it would be unlikely that sufficient closely spaced holescould be completed at comparable cost.

The costs outlined above are summarised in Table 2. They do not include any consideration for infrastructureabove ground including, the processing plant, tailings storage facilities, offices and workshops, servicesinfrastructure and the necessary environmental permitting to allow work to proceed. Nor does it include anyoperating or sustaining capital costs.

Table 2.Capital costs associated with opening the underground mine.

Activity Cost

Resource Drilling Program $5MDecline to 430mL $30MDewatering $15MElectrical Reticulation $10MVentilation Upgrade $6.1MRe-support Existing decline $10MTotal $76,000,000

Should an attempt be made to re-access the Tasmania Mine in the future, it was recognised that the FreshAir and Return Air shafts were sound excavations and likely to remain so for decades to come. Consequently,the establishment of infrastructure to dewater the workings and permit concurrent establishment of accessfor personnel and equipment was assessed as being relatively straightforward. The long lead-time requiredfor the most recent period of production and the technical challenges associated with it would not occur.None-the-less, on the basis of the assessment of the costs associated with reopening the underground mineagainst the lack of an identified Mineral Resource, the value of the mineral asset is currently assessed to bezero.

transport | community | mining | industrial | food & beverage | energy

E: [email protected]: www.pittsh.com.au

incorporated asPitt & Sherry (Operations) Pty LtdABN 67 140 184 309

BrisbaneLevel 10241 Adelaide StreetPO Box 5243Brisbane City QLD 4000T: (07) 3058 7499

DevonportLevel 135 Oldaker StreetPO Box 836Devonport TAS 7310T: (03) 6451 5599

HobartLevel 1, Surrey House199 Macquarie StreetGPO Box 94Hobart TAS 7001T: (03) 6210 1400F: (03) 6223 1299

NewcastleLevel 181 Hunter StreetNewcastle NSW 2300T: (02) 4910 3600

SydneySuite 902, Level 9,North Tower1-5 Railway StreetChatswood NSW 2067PO Box 5487West Chatswood NSW 1515T: (02) 9468 9300

LauncestonLevel 4113 Cimitiere StreetPO Box 1409Launceston TAS 7250T: (03) 6323 1900F: (03) 6334 4651

MelbourneLevel 1, HWT Tower40 City RoadSouthbank VIC 3006PO Box 259South Melbourne VIC 3205T: (03) 9682 5290F: (03) 9682 5292

ContactPeter Hills0419 83 [email protected]

BCD ML1767 Valuation

mailto:[email protected]

http://www.pittsh.com.au/

mailto:[email protected]


APPENDIX 5: GRAYS ASSET SERVICES VALUATION OF PLANT AND EQUIPMENT DATED 21 MARCH 2018

VALUATIONof

Plant & Equipment

In the matter of

BCD RESOURCES NL

(ADMINISTRATORS APPOINTED)

At the premises

1 Rifle Range Road, Beaconsfield TAS 7270

Inspected on

29-30 NOVEMBER 2017

Date Of Valuation

8 DECEMBER 2017

On the basis of

MARKET VALUE FOR EXISTING USE

ESTIMATED AUCTION REALISATION

Under Instructions FromMr. Liam Bailey

O'Brien Palmer

Level 14, 9 Hunter Street

Sydney NSW 2000

Our Ref: 5NSW_BCD Resources NL_O'BrienPalmer_V12554

Private and Confidential

376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170

A division of Grays (NSW) Pty Ltd

ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

Purpose of Valuation

This report has been prepared under instructions from Messrs Chris Palmer and Liam Bailey of (O'Brien

Palmer Insolvency and Business Recovery in order to assist the Administrators in carrying out their duties as

per the Corporations Law.

("THE COMPANY")

Subject to the matters set out in the letter and the enclosed Valuation and Report, the assessed values of the

assets detailed in this report are as follows:


Instructions & Information Provided

Grays Asset Services has been instructed by Messrs Chris Palmer and Liam Bailey in their capacity as

Administrators of BCD Resources NL(Administrators Appointed) to conduct an inspection and valuation of all

the Plant and Equipment located at Beaconsfield Mineral Process Plant located at No. 1 Beaconsfield Road,

Tasmania. We draw your attention to the definitions of these methodologies in Annexure A.

We note that in 2015 Grays were engaged to undertake an inspection and valuation of the above Plant and

Equipment for O'Brien Palmer .

Our Ref: 5NSW_BCD Resources NL_O'BrienPalmer_V12554

21 March 2018

Mr. Liam Bailey

O'Brien Palmer


$5,807,670

$862,820

Level 14, 9 Hunter Street

Sydney NSW 2000

Dear Liam,

BCD RESOURCES NL (ADMINISTRATORS APPOINTED)

1 RIFLE RANGE ROAD, BEACONSFIELD TAS 7270

We thank you for your instructions to value the Company’s assets. Our detailed report and valuation follows.

5NSW_BCDResources NL_O'BrienPalmer_V12554 Page 2

376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

Goods and Services Tax (“GST”) & Currency

Scope of Work

As per the email instruction dated 27 November 2017, Grays Asset Services will undertake an onsite

inspection of BCD Resources NL (Administrators Appointed) Plant and Equipment assets located at (No. 1

Rifle Range Road, Beaconsfield Tasmania. Grays valuer will inspect, verify identification, photograph and

capture relevant information to then apply an estimated opinion of value. The data collected and ascribed

value will be presented in a formal valuation report.

Premise Of Value

It is our belief that the requested bases of value are appropriate for the given Scope Of Work and desired

outcome.

At the time of our inspection and valuation Grays Asset Services representatives had not been provided an

updated stock listing as the Plant was in care and maintenance.

Unless otherwise stated, all items detailed in this report have been valued on a GST EXCLUSIVE basis.

The Beaconsfield Mineral Process plant has been under care and maintenance for approximately 4 years

since the closure of the nearby Tasmania underground gold mine. The equipment located on this site is

typical of a Mineral Processing plant comprising ROM Bins, Primary and Secondary Crushers, Conveyors, a

Ball Mill, Transformers, Switch rooms, Processing Tanks, Pumps, Services and Administration Buildings.

Mining process equipment operates in very harsh conditions and it is not ideal for its mechanical moving parts

to be idle for long periods. Components such as pumps, electric motors and conveyor roller bearings are

known to require refurbishment after a care and maintenance program. From our observations we cannot

determine the operational condition of each individual asset and for the purpose of this valuation we assumed

that each asset is in average operational condition unless otherwise stated.

Stock

Nature of Business & General State of the Company’s Assets

Critical spares, stock and consumables - Grays Asset Services have completed a valuation of this mine in

2015. At that time the critical spares, stock and consumables were assessed based on inventory manifest

data provided by the client. The care and maintenance manager has advised that the inventory level has not

changed since the previous valuation. In assessing the critical spares, stock and consumables we have

utilised the 2015 valuation data and made applicable adjustments due to further age.

For the stock, spares and consumables, we have relied on the previous valuation values and have applied a

percentage for economical life and stock that may have been used since the previous valuation was

undertaken.


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

a)

b)

We have not considered this approach to value for this valuation.

In assessing the value of the assets we have considered the assets Highest and Best Use along with the

three industry accepted approaches to value, these being the Income Approach, Cost Approach and Market

Approach which are described below.

Income Approach – (Cash Flow Analysis Method)

The income approach seeks to determine the current (present) value of anticipated future

economic benefits associated with the assets. The net cash flows are projected over the

appropriate period and discounted back to a net present value using an appropriate discount rate

that reflects the cost of capital, risk and required return. The income approach values by default

both tangible and intangible assets therefore in many instances the income approach is not

considered an appropriate approach when seeking only to determine the value of underlying

tangible assets.

Cost Approach – (Depreciated Replacement Cost Method)

This approach is an acceptable method of valuation used to determine both “Market Value” and /

or “Market Value for Existing Use”. In arriving at DRC firstly the gross current replacement cost is

established from information sourced from suppliers, publications and historical information. This

cost is then depreciated by factors providing for age, condition, estimated remaining useful life,

physical, functional and economic obsolescence.

Effective Date of Valuation

The values detailed herein are current as at the stated Date of Valuation only. Changes in foreign exchange

rates, economic conditions or market forces may have the effect of significantly and unexpectedly changing

the values which have been assessed, over a relatively short period of time (which may require the valuation

to be revised). No liability is accepted by Grays Asset Services in respect of any loss or damage which may

arise from any change in values caused by such circumstances.

Highest and Best Use

The highest and best use of an asset is defined as "The most probable and legal use of a personal property

which is physically possible, appropriately supported and financially feasible and results in the highest

achievable value in the appropriate marketplace. The appropriate marketplace must be consistent with the

concept of value". We have considered the subject assets from their highest and best use perspective unless

otherwise stated.

Information with respect to cash flow of individual tangible assets was not made available and we

therefore have not considered this approach to value for this valuation.

Without limiting the generality of the above provision, no responsibility or liability is accepted by Grays Asset

Services in circumstances where this Valuation or any part of it is relied upon after the expiry of three months

from the date of this report.

Date of Valuation – 8 December 2017

Valuation Approach


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

c)

Extraordinary Assumptions / Hypothetical Conditions

It should be noted that in many instances there have been very little or no publicly available auction sale

results or current market sales evidence to assist with our valuation of the specialised items of plant.

Accordingly, we have had to use a large degree of professional judgement which we have gained from other

similar valuations of similar facilities in arriving at our Estimated Auction Realisation Values for some of these

items.

We have considered this approach to value as it is deemed the most appropriate.

We have assumed that the assets in care and maintenance are in a reasonable average operational

condition. Assets not sighted and valued from the desktop have been assessed based on the assumption that

condition is in line with those assets formally inspected.

There are no Hypothetical Conditions applicable to this report.

Recommended Sale Method

The subject assets are a combination of readily sourced mechanical and fabricated components that have

been designed and commissioned to meet the requirements of the mine. The assets could be described as

specialised due to there specific design, capacity and installation. The various singular components could be

separated and used in other applications however, this would not reflect the assets highest and best use.

Where we have been able to obtain asset particulars (such as Make, Model, Serial No. and the Year Of

Manufacture), we have recorded these against the listed assets. Where this was not possible, we have then

made assumptions based on the surrounding equipment with similar age and condition in consultation with

various Company staff members. Reasons for the inability to record some asset details include missing

Manufacturer’s plates and access difficulties.

Published sales evidence of exact comparables could not be found. We note that in many cases mining

related assets are sold as a pool of assets where individual costs cannot be determined or, are sold privately

between mining entities and the sales information is not made public. In estimating our opinion of value we

have considered historic sales of similar assets that could be sourced and also used a degree of industry

knowledge accumulated over many years of valuation and sales of mining process related assets.

In the event that the business cannot be sold or restructured, we would recommend that the items be left in-

situ and sold by way of online public auction at www.graysonline.com in order to maximise exposure and

return.

Market Approach – (Sales Analysis Method)

This method is most commonly used to determine both the “Estimated Online Auction Realisable

Value” and / or current “Market Value” of an asset by way of reference to prices paid for similar or

equivalent assets either sold on the open market, or at a properly promoted Auction Sale. In order

to forecast the most probable “Value” for each asset, adjustments to the historical sales

transactions may need to be made in order to reflect the condition, location and any other factor

which may influence the value of the assets being appraised as compared to the historical

transaction.


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

▪

▪

▪

▪

▪

▪

▪

▪

▪

Pecuniary Interest and Fee

Leased and Third Party Assets

The valuation is based on the assumption that the assets are, or are capable of being utilised as

assets of a profitable undertaking at the date of the valuation. No allowances have been or could

be allowed for future market or economic changes.

Goodwill and all other forms of intellectual property including software;

Licensed application software; and

Items categorised as building fixtures. In undertaking our work we have only listed and valued

separable items of plant and equipment. Items typically categorised as building fixtures include:

fixed walls and partitioning, signage, lighting, carpet, doors, cabling and wiring.

In accordance with our standard practice, items thought to be subject to Operating Leases, Rental

Agreements or property of third parties have been listed for inventory purposes only, and not valued.

The following have not been included within the scope of our work:

Our Estimated Auction Realisation values do not take into account cost of removal of the items or

any make-good requirements. We recommend that you consult us on a case by case basis if the

assets must be relocated prior to realisation.

The values ascribed for Market Value for Existing Use and Estimated Auction Realisation relate

only to the total value of assets and not to the individual values of the items.

Items stored off site that we were not made aware of;

Grays Asset Services and its personnel have no present or prospective financial or personal interest in the

assets that are the subject of this report and no financial or personal interest with respect to the parties or

business entities involved. The engagement of this valuation assignment and the applicable fee are not

contingent upon developing or reporting predetermined results.

We emphasise that the Estimated Auction Realisation values assume that all subject items are

included in an on site auction.

General Qualifications

Operating Lease / Rental and Third Party Items

Unless otherwise stated, the assets have been valued on the assumption that they are wholly owned and free

of all encumbrances. Specifically we have not attempted to identify any of the assets in this report on the

national PPSR register. We recommend that you make enquiries to determine whether in fact this is the case.

Please note that the categorisation of the assets in this report should not be taken as a representation of legal

ownership. Again, we recommend that you make your own enquiries in this regard.

Our valuation is prepared on the basis that a full disclosure of all information and facts which may

affect the valuation has been made to us. Grays Asset Services does not accept any liability or

responsibility whatsoever for this Valuation unless full disclosure has been made. Accordingly, in

all cases we recommend that you should conduct your own investigation and analysis.

Excluded Items

In addition to the above, please note the following:


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

▪

▪

▪

▪

▪

▪

▪

a)

b)

Any reference to physical condition of assets as detailed in this report is based on a cursory visual

inspection undertaken by the valuer. Unless otherwise stated no mechanical or technical tests

have been carried out or relied upon. Values are attributed to assets in this report on the

assumption that they are fully operational, free of defects of any nature and comply with all relevant

statutory rules and regulations.

The letter and the enclosed valuation have been prepared solely for the purpose of information and

analysis by you, for your use as recipient only. Therefore, without any prior written consent, the

enclosed valuation or report may not be reproduced, transmitted, included in any document circular

or statement or otherwise made available to any person.

The original signed and certified copy of this report should be considered as the only reliable

source of information. Soft or electronically transmitted copies may be subject to manipulation

outside the control of Grays Asset Services.

Please note that the categorisation of the assets in this report should not be taken as a

representation of legal ownership. Again, we recommend that you make your own enquiries in this

regard.

Rob Martin

NSW Manager - Banking, Insolvency & Finance

(ASA, Candidate Senior Appraiser MT&S)

____________________________________

Rod Wilson

Valuations State Manager NSW

(AAPI, Certified Practising Valuer, P&M; ASA Accredited Senior Appraiser, M&TS)

____________________________________

Neither the valuer nor Grays Asset Services purports to be a technical expert on any asset

included in this report and our expertise is confined to the valuation practice.

Yours faithfully,

GRAYS (NSW) PTY LTD

Should you require any further assistance in relation to this matter, please do not hesitate to contact the

Valuer, Rod Wilson on 0417 422 821.

The valuation is given in good faith and has been prepared from sources believed to be reliable at

the time. However, subject to qualifications gained in legislation (if any):

No warranty whatsoever is given in relation to the valuation; and

We and every person involved in the preparation of the valuation, expressly disclaim all

liability for any loss or damage (including economic and consequential loss) suffered by

any person acting or relying on the valuation, not withstanding any act or omission,

representation, negligence, default or lack of care by any person.

Grays Asset Services reserves the right to recall any copies of this report to amend any omission

or error.


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

Market Value

for Existing

Use

$

Estimated

Auction

Realisation

$

SECTION 1

Plant & Equipment $4,505,285 $573,135

SECTION 2

Stores & Workshop Equipment $52,320 $24,910

SECTION 3

Relocatable Buildings $253,050 $72,550

SECTION 4

Metallurgical Laboratory $72,765 $26,295

SECTION 5

Administration Offices $32,500 $9,430

SECTION 6

Stores and Laydown Area $730,500 $68,500

SECTION 7

Yard $161,250 $88,000

SECTION 8

Middle Arm (Not Sighted) - -

GRAND TOTAL $5,807,670 $862,820

Valuation Summary


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset

NumberLocation Qty Type D.O.M Make Model VIN / S/No Description MVEU EAR

1 1-1Processing

Line 1 Rom Bin - - - -

60T live storage capacity, 4m (w) x 4m (l) x 6m (deep), welded carbon steel fabrication, bolted

basally 360 liners 16mm fitted with inclined static grizzly 450mm square aperture, complete with

access stairs and steel bolted frame structure to all crushing circuit, drive on bridge, concrete

Ramp 4m x 17m, Vehicle Detector, electrics, stop/go lights, structure to crushing area

180,000 10,000

1 1-2Processing

Line 1

Portable Water Black

Poly Tank (LCS-PPC-

126-127)

- Global - - 2400 high x 250 dia. with float transmitter, 2 pumps ajax centrifugal mega M40-200-06, powered

by 7.5kW motors, associated pipework, flowmeters on concrete pad1,800 450

1 1-3Processing

Line 1 Fire Hydrant Cabinet - - - -

With 2-way hose connection, hose and 2 nozzles, 2 lay flat hoses, extinguisher quell powder

type, flood lights to stockpile area, 2 posts with 4 lights (CCTV camera valued with system), 2

cabinets

2,000 350

1 1-4Processing

Line 1

Primary Crusher

Grizzly Feeder

(10-FDV-001)

- NordbergVibratory

B-10-42-2V-

Capacity 80-500t/h, 4.2m x 1000mm hydraulic variable speed drive 37kW motor (LCS-FDV001)

Type: BLX10HCF (1998), Serial No: 50010124, steel feed and discharge chute, driven by Flutec,

Type: 225/--/-/K-126, Serial No: 01144506, Built: 1998

28,000 7,500

1 1-5Processing

Line 1

Primary Single

Toggle Jaw Crusher

(10-CRJ-001)

1998 Nordberg C-80R 2719

Size 800 x 610mm, capacity 75t/h, powered by 75kW Motor, width of gap 800mm, depth of feed

opening 530mm on concrete foundation 4.6m x 7m x 350mm, on 2 column supports 2.9m high

with water spray system

63,000 18,500

1 1-6Processing

Line 1

Crusher Discharge

Rubber Trough

Belt Conveyor

(10-CVB-001)

- - - -

Inclined, bolted modular steel frame, 73m between centres x 750mm belt with capacity 236t/h,

lump size 120mm, belt speed 1.58m/s, powered by Teco 22kW drive motor, bunglers gearbox

and fluid coupling and transfer station chute, CGI weather canopy Catwalk, Lighting and "Index"

Cross belt magnet (Chinese branded) 1200mm (w) x 2000mm (l)

80,000 22,000

1 1-7Processing

Line 1

Primary Screen

Rubber Trough

Feed Belt Conveyor

(10-CVB-002)

- - - -

Inclined bolted modular steel frame, 60m between centres x 750mm, 4 ply belt width, capacity

236t/h, lump size 120mm, belt speed 1.63m/s, powered by Teco 22kW drive motor with Benzlers

gearbox and fluid drive coupling, CGI weather canopy, catwalk, lighting and belt plough, under

belt metal detector, detect electronic Type: HFE Single Head, Serial No: 1693(1998), under belt

metal detector, Detect Type: HFE-03F, Serial No: 2098 (2006)

70,000 15,000

1 1-8Processing

Line 1

Primary Vibrating

Screen

(10-SCV-002)

1998 Nordberg CVB2050-2 50270190Inclined 2 deck, 4m x 2m aperture (1) 28mm, (2) 12 x 75mm, powered by 22kW motor with

infeed and discharge chutes28,000 11,000

1 1-9Processing

Line 1

Crusher's Monorail

Hoist (10-CNM-001)- Hitachi - -

5T remote control with power crawler trolley on 25m approx. girder rail with crane support

structure7,500 1,350

1 1-10Processing

Line 1

Infeed Secondary

Rotary Crusher

Feeder Holding Bin

- - - -Mild steel construction, 2500mmW x 2500mmL x 4000mmH complete with steel framed

supports, cone outfeed and internal wear plates7,000 1,100

1 1-11Processing

Line 1

Secondary Rotary

Crusher Feeder

(10-FDV-002)

-Transfield Syntron

Electromechanical RVF08.20 B99RV8245

Vibratory feeder, 960rpm, size 800x2000mm, 8.2mm stroke with twin Teco invicta vibratory

motors in and outfeed chute1,600 650

1 1-12Processing

Line 1

Secondary Crusher

(10-CRC-002/A)2005 Nordberg HP200 30300779

Gyratory cone, powered by 150kW drive motor, relocatable operator’s site office James Hardie

Serial No: P-0299-1-T9022, size 2600mm x 2000mm and feed hopper bin 130,000 45,000

1 1-13Processing

Line 1

Crusher Station Dust

Collector

(10-GRB-001)

- DCE VokesDLMV-

45/15KII-AD-

Filtration area 45m³, capacity 6000m³ per hr, on support structure with flanged galvanised

ducting throughout4,000 400

1 1-14Processing

Line 1

Suspended Tramp

Iron Magnet

(10-MGP-001)

- Eriez 6324-SP630 98L27593 Style SC-1600, continuous belt type, on transfer trolley with overhead monorails 4,000 1,500

1 1-15Processing

Line 1

Conveyor Service

Hoist (10-CNM-09)- Hitachi - - 1T electric chain, 22.5m lift power girder crawl trolley with monorail approx. 5m long 900 250

1 1-16Processing

Line 1

Primary Screen Hoist

(10-CNM-002)- Hitachi - - 2T electric chain, 20m lift power girder crawl trolley on 4m monorail 1,350 450

1 1-17Processing

Line 1

Transportable

Building- - - - White sandwich panel approx. 3000 X 2000mm 1,500 500


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


1 1-18Processing

Line 1

Fine Ore Bin

(10-BNS-003)- - - -

400T live storage capacity, approx. 8m dia. x approx. 10m high sealed top welded frame,

Miltonic's multi ranger plus digital bin level indicator LT-BNS-003 complete with screen feed

chute, top mounted screen, conveyor, hoists, support structure, electric power and lighting,

access stairways on concrete foundation with conveyor tunnel 3.8m high

60,000 4,500

1 1-19Processing

Line 1

Fine Ore Bin Dust

Collector

(10-GPB-002)

- DCE Vokes DLMV-60/15 9136-1 Insert filter Type Model: K15-AD, 60m³ Filter Area, 11kW Motor 5,500 750

1 1-20Processing

Line 1

Mill Feed Rubber

Trough Inclined Belt

Conveyor

(20-CVB-003)

- - - -

Approx. length 61.5m x 750mm modular bolted steel frame structure, with CGI weather canopy,

catwalk, lights, belt tensioner, Benzler gearbox and fluid drive 7.5kW motor, capacity 10-

40T/hour, conveyor belt weigh station (20-WTB-002) Schanck Intercont Plus Model: BMP7-5,

Serial No: 4249801 (1999)

70,000 15,000

1 1-21Processing

Line 1

Emergency Stock

Feed Hopper Bin- - - -

approx. 5m x 3.5m, V Bottom Outfeed, Basally Lined Bolted Steel Support Structure, Bolted to

Main Frame of Conveyor (20-CVB-003)4,000 450

1 1-22Processing

Line 1

End of Belt Sampler

(20-SAV-03)Consep Hands 1350 - Linear sampler pneumatic/electric operated 4,500 450

1 1-23Processing

Line 1

Ball Mill

(20-MLB-001-A)- Nordberg

3.2m x

5.15m EGL30009

Job No. 3091, rubber lined, Nihard feed spout, ball charge weight at 40% 80-2T, mill speed @

75% 18-2rpm powered by Teco Induction 750kW stepped motor 1484rpm, 3300V, Serial No:

D92201-1 (1999), reduction gearbox, inching drive fender 22kW, auto bearing pinion lubrication

system, Teco motor starter, Merlin Gerin SM6 monitoring and control switch panels, ball

charging kibble and chute 1T capacity, mill feed and discharge chute, operator’s platform,

foundations, new runner liners

240,000 60,000

1 1-24Processing

Line 1

Cyclone Feed Pumps

(20-PPC-001/002)- Warman 6/4 D/AHE -

Split cased rubber lined pump powered by Toshiba 37kW and Warman 4/3 AH split cased

rubber lined pump powered by Pope 37kw variable speed drive motors complete with surge

tank, knife valves, Weha auto ball valve

6,500 2,250

1 1-25Processing

Line 1

Gravity Circuit Feed

Pumps

(20-PPC-003/004)

- Warman 6/4-AH-D-AM -

Split cased rubber lined, powered by CMG 22kW and Warman 6/4AH split cased rubber lined

pump powered by Pope 18.5kW fixed speed motor, complete with knife valves, Techtaylor 2-way

valve and feed line discharge

6,000 1,500

1 1-26Processing

Line 1

Mill Area Sump

Pump (20-PPS-005)- Galigher 025SRA102 - CMG 22kW motor, 6m head 1,200 450

1 1-27Processing

Line 1 Monorail Gantry Hoist - - - - SWL 5T with Kone electric chain hoist on galvanised structure and 8mL girder rail 7,000 1,000

1 1-28Processing

Line 1

Hydro Cyclone

Cluster

(20-CYS-001)

- Warman Cavex CV x 10 SY201676

2 cluster inlet dia. 73mm spigot 64mm dia. complete with launder box and discharge hose

including top mounted Smith Krebs Model: GMAX20-G116280A, Serial No: G116280A

horizontal cyclone

12,000 1,500

1 1-29Processing

Line 1 Concentrator - Knelson Concept 30 KC-CD30MS

CD30R02075094121

73With associated fittings 65,000 10,000

1 1-30Processing

Line 1

Unit Flotation Cell (20-

FTA-01)-

Outokumpu Super

FlowSK-80 224131

Flash flotation cell 2760mm (H) x 2100 dia. powered by Weg 11kW with dosing controller timer

Honeywell display, Tyco pneumatic knife valve discharge hose65,000 10,000

1 1-31Processing

Line 1

Mill Area Hoist

(20-CNM-003)- Hitachi - - 2T chain type, 2 speed, power girder trolley with monorail approx. 7m long 1,350 450

1 1-32Processing

Line 1 Mill Control Room - Relocatable Building

James

Hardie -

Sandwich panel construction approx. 6m x 3m window type air-conditioned, contents includes

workstation bench 2,200 900

1 1-33Processing

Line

Contingency for

Sundry Items to Mill

Control Room

- - - -Comprising: 3 x office chairs, Kelvinator bar refrigerator, Zip water dispenser, first aid kit, hot

water urn, whiteboards, 2 pin boards, waste bin, Whirlpool microwave oven, fire extinguisher 250 80

1 1-34Processing

Line 1

Closed Circuit TV

Monitoring System- - - -

For mill and crushing area comprising numerous Pelco and Molynx cameras, 1 Hewlett Packard

monitor, 2 Samsung colour TV monitors, dedicated micros Eco 4 and videoart Model: VT-2050S

controller, camera selector

4,250 450

1 1-35Processing

Line 1

Walkie Talkie

Transceivers- - - - Motorola and GME with chargers, 4 fixed base stations (Radio system to mill site) 2,500 650


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


1 1-36Processing

Line 1

Process Control

System- - - -

Comprising: Citect operator interface software with Microsoft Windows Operating System,( Not

Verified) PLC input/output throughout plant,1 x computer system with core 2 processor,

Viewsonic CRT monitor,2 x Samsung flat screen monitors, Brother HL2142 printer

24,000 -

1 1-37Processing

Line 1

Mill Electrical

Transformer

(20-TX-002)

1995 - - -Asset 3000 KVA, 22000 H.Volts, 3300 Low Volts, (1995) oil cooled complete with enclosed

switchroom and controls, cabling to mill, Built: 199525,000 6,000

1 1-38Processing

Line 1

High Voltage Incomer

Switchroom- - - - Comprising: 3 Schneider high voltage switches RM6 with 2 Cepan 1,000 protection equipment 18,000 1,500

1 1-39Processing

Line 1

Wet Drum Magnet

(20-SPM-001)

(Not Sighted)

- Eriez HMDA - 1.55kW drive motor on stand 1,600 450

1 1-40Processing

Line 1

Primary Gravity

Concentrator

(20-GCJ-001)

- Gekko Ipj-1500 50Inline pressure Jig design pressure 20kpa, temperature 60, moveable screen, variable speed

drive 1.8kW motor with mobile service platform12,000 2,000

1 1-41Processing

Line 1

Scavenger

Concentrator

(20-GCK-003)

- Consep Knelson KC-CD20MSCD-20B-

9811503625052

Automated capacity 25T/hour, concentrate 9kg/cycle, fixed speed drive 5.5kW with accessories,

pneumatic knife valves, ICS computer control16,000 3,500

1 1-42Processing

Line 1 Circular Separator - Sweco ZS245 32316 1380 Rpm, 600mm dia. complete with steel supports and top mounted diverter chute 400 100

1 1-43Processing

Line 1

Primary and

Scavenger

Concentrator Hoist

(60-CNM-012)

- Hitachi - - 1T remote control with power crawler trolley on 7ml girder rail and supports 1,350 450

1 1-44Processing

Line 7

Safety Shower and

Eye Wash- Pratt - - Stainless steel 3,850 950

1 1-45Processing

Line 1

Tailings Thickener

E-CAT

(30-THH-002)

- Eimco Cell Ultra High -

Rate capacity 1.8 to 2.9T/hour, 4m dia. x 6m high air jet blast, Foxboro I/A series ph/ORP

transmitter, ciba alcotech TC micro processor control, top access platform, Serial No: 99301

(4/99), bottom outlet 2 knife valves and flow rate meter

22,000 4,500

1 1-46Processing

Line 1

Flotation Trash

Screen

(30-SCV-006)

- Schenck - -Inclined vibrating single deck, capacity 67m³/hour, screen area 1m², 2400 x 900mm twin invicta

motors, water spray bar6,500 1,100

1 1-47Processing

Line 1

Nutrient Overhead

Hoist (70-CNM-006)- Hitachi - - 1.5T electric chain motorised girder trolley, 6m monorail 1,350 450

1 1-48Processing

Line 1

Xanthate Overhead

Hoist (70-CNM-005)- Hitachi - - 1.5T electric chain motorised girder trolley, 6m monorail 1,350 450

1 1-49Processing

Line 1

Flotation Area

Overhead Hoist

(30-CNM-010)

- Hitachi - - Hitachi 1.25T electric chain motorised girder trolley, 6m monorail 1,350 450

1 1-50Processing

Line 1

Nutrient Bag Splitting

Cabinet

(70-BSX-001)

- - - -2000mm x 1750mm x 2000mm (high), 1T bag capacity, stainless steel fabricated Perspex twin

opening doors and outfeed under mounted chute1,200 100

1 1-51Processing

Line 1

Nutrient Mixing Tank

HDPE

(70-TKR-032)

- - - - 1.8m high x 2100 dia with top mounted electric agitator vertical shaft sealed top 1,200 250

1 1-52Processing

Line 1

Nutrient Storage

Tank HDPE

(70-TKR-033)

- - - -7.5m³ capacity, 2.2m dia x 2.2m high, complete with 2 dresser dosing pumps mono (70-ppd-

78/79) on concrete base1,600 450

1 1-53Processing

Line 2

Concentrate

Thickener Underflow

Pumps

(30-PPP-013/014)

- Bredal 65 Peristaltic - 1.5kw motors with hose and couplings (mounted under thickener (30-tht-001) 4,000 750


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


1 1-54Processing

Line 2 Filter Presses - - - - Manual screw type 400 200

1 1-55Processing

Line 2

Tailings Pumps

(30-PPC-023/024)- Warman 3/2 CC-AH -

Split case centrifugal powered by 37kw motors with knife gate valves, couplings and common

surge tank4,000 2,200

1 1-56Processing

Line 2

Concentrate/Tailings

Thickener Sump

Pumps

(30-PPS-08/020)

- Galigher - - 1.5 SAA 2100/36, 2.2kW motors, 11m head 1,200 350

1 1-57Processing

Line 1

Cleaner Flotation

Area Hoist

(30-CNM-011)

- Hitachi - - Electric chain 1.25T with power girder trolley, hand pendant control, monorail approx. 18m 2,200 650

1 1-58Processing

Line 2

Unit Cell Flotation

Concentrate Primary

(30-SAV-006/003)

- IS Analyser - - Samplers each with thermo gamma-metrics radiation gauge sampler 32,000 3,500

1 1-59Processing

Line 1

Dry Powder

Flocculent Mixing

System Comprising

(70-FO-001)

- - - -

15.5kg per day capacity, comprising 2 stainless steel 1500x2000 dia, 1500x1500 tanks, 1

agitator top mounted stainless steel bag feed hopper live bottom feeder, access platform,

Grundfos model: cr3 stainless steel transfer pump, mono pump, control cubicle, 4 x mono

flocculent pumps and weather canopy

8,000 1,500

1 1-60Processing

Line 1

Alkaline-Acid

Reagent Sump

Pumps

(70-PPS-106)

- Galigher - - 1.5 SAA 2100 x 36, 2.2kw motor, 10m head 800 175

1 1-61Processing

Line 3

Cooling Towers

Single Fan

(40-CZC-

001/002/003)

-Superchill SULZER-

EWK 1260/06

Forced

Draught

Evaporative,

-

Fibreglass/pvc construction , cooling capacity 138.3 cu/m/h, water temp at 36, cooling water flow

137m³/h with 11kw drive motor mounted on common elevated concrete tank, approx. 17m x 3m

with steel inspection platform 17m, 2 access ladders to 2 overhead platforms

- -

1 1-62Processing

Line 3

Cooling Water

Pumps

(40-PPC-

027/028/029)

- AjaxMega M125-

400-

Centrifugal split case each powered by teco 37kw motor with gate valve, steel pipe manifold and

pipe work throughout system- -

1 1-63Processing

Line 4 Small Dosing Pumps - - - - For tower cleaning, organism control, water treatment - -

1 1-64Processing

Line 1

Micro Filtration

System- Shelco

BFS-ZC-316-

2BSP,- Comprising 2 vertical stainless steel filter cartridges,10 micron and 50 micron capacity 20,000 2,250

1 1-65Processing

Line 3

Bacterial Oxidation

Area Sump Pumps

(40-PPS-32/33/34)

- Galigher - - Vertical shaft, 13m head, powered by 5kw motor 3,600 1,100

1 1-66Processing

Line 5

Safety Shower and

Eye Wash- Pratt - - Stainless steel 2,750 650

1 1-67Processing

Line 2

Bacterial Oxidation

Concentrate Stock

Tank

(40-AGA-002, TKH-

002, TKH-143 and 40-

AGA-143)

- - - -

Welded mild steel epoxy lined, 6m dia x 6.6m high and 8m dia. x 8mh, fitted with Mixtec lighten

agitators, axial flow, Miltonic's multi range plus digital level indicator, consep sampler top

walkway and stairs

- -

1 1-68Processing

Line 4

Bacterial Oxidation

Tanks and Agitators

(40-AGA and TKR-

004/005/006/007,

ALL-

004/005/006/007)

- - - -

Constructed SAF2205 stainless steel 7.93m dia x 8.8m high, live capacity 373m³, fitted with

Mixtec agitator Model: 4070 type agitation and air dispersion dia 3.9m, rubber lined, airlift feed

hype constructed, aeration rate 4241 Nm 3/h with 110kW motor and sew-santaslo gearbox top

mesh access walkway

- -


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


1 1-69Processing

Line 1

Bank of 8 Spiral

Classifiers

(040-PPC-140 - PPC-

141 - PPC-144)

- Twin Start L67D -With distributor, spiral concentrate mids and spiral tails pumps in stainless steel frame and

discharge tank- -

1 1-70Processing

Line 1

Spiral Tails Pump

(040-PPC-140)- Warman 4/3 AH - With approx. 11kw motor - -

1 1-71Processing

Line 2

Bacterial Oxidation

Tanks and Agitators

(40-AGA and TKR-

008/009, ALL-

008/009)

- - - -

Constructed SAF2205 stainless steel 7.93m dia. x 8.8m high, live capacity 373m³, fitted with

Mixtec agitator Model: 4060 type agitation and air dispersion dia. 3270mm, rubber lined, airlift

feed hype constructed, aeration rate 2267 nm 3/h, with 75kW motor and sew-santaslo gearbox

top mesh access walkway

- -

1 1-72Processing

Line 6

Sparge Rings

(40-SKL-

004/005/006/007/008

/009)

- - - -Fitted internally to bacterial oxidation tanks, each 316 litre stainless steel, aeration rate 4241 Nm

3/h, pipe dia 150mm - -

1 1-73Processing

Line 1

Bacterial Oxidation

Feed Tank and

Agitator

- - - -

(40-tkr and aga-003), stainless steel 316 litre tank, 1.5m dia x 2.2m high, sealed top fitted with

Mixtec agitator Model: 1060, axial flow 500mm dia rubber lined with .55kw motor, access

stairway and platform

- -

1 1-74Processing

Line 2

Bacterial Feed

Sampler

(40-SAV-10-006-008)

Vesin Cutter 2.12mm - .37kW motor - -

1 1-75Processing

Line 6

Heat Exchange

Modules

(40-HXT-

004/005/006/007/008

/009)

- - - - Stainless steel type coil 5 off 8 x 3, installed in bacterial oxidation tanks - -

1 1-76Processing

Line 1

Radiation Ronan

Density Gauge to

Plant

(PPC-017 - BNS-

022)

- - - - CS-137 source - -

1 1-77Processing

Line 1 Carbon Leach Pump - Warman TC SY-87171 Size: 4/4 - -

1 1-78Processing

Line 2

Sump Pumps

Mounted on Tanks- - - - - - -

1 1-79Processing

Line 1 Dewatering Screen - Minco Tech Curved - - 1mW x 1.4ml, with infeed manifold, undermounted hopper 1mw x 1mL x 1mH - -

1 1-80Processing

Line 2

Slurry Pumps No. 1

and No. 2 (30-PPC-

014/018)

- Warman 4/3AH - Powered by 22kw motor with connecting pipework - -

1 1-81Processing

Line 1

Hopper Mild Steel

Infeed- - - - 1.2m dia. x 4mH - -

1 1-82Processing

Line 1

Steel Support

Structure 10m2- - - - Complete with access stairs and mesh floor - -

1 1-83Processing

Line 2 Warman - - - - Size 8/6 tailings leach pumps, driven by 132kw motors - -

1 1-84Processing

Line 1 Grundfos - - - - Multi stage pump, Model: CRN-10 - -

1 1-85Processing

Line 1

Champion Air

Receiver- - - - 400mm dia x 1.4mH - -


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


1 1-86Processing

Line 1

Control Panel and

Keystone Knife

Values

- - - - - 400,000 22,000

1 1-87Processing

Line 2

Sample Filter

Presses

(40-FLP-001/002)

- - 13L - Stainless steel, 13L capacity 450 225

1 1-88Processing

Line 3

Low Pressure

Blowers and After-

coolers

(40-CPB-

003/004/005 and

HXT-010/011/012)

- CAPS Lamson 1278-4-4-0-0-

0-0-0-ADO1-

Type multi stage centrifugal, capacity 11,000 nm 3/h, air pressure 85kpa, powered by 355kw

motor with flak enclosed gearbox, complete with blower ducting to plant, intake vents housed in

steel bolted frame structure, approx. 10m x 6m with roof mounted after-coolers, water cooled

capacity 11,000 nm 3/h, water flow 280l/min (Please note 1 unit requires maintenance)

70,000 20,000

1 1-89Processing

Line 2

Bacterial Oxidation

Feed Pumps (40-

PPP-025/026)

- Warman 1 1/2 AH - Powered by 1.5kW motor 1,600 600

1 1-90Processing

Line 1

Bacterial Oxidation

Residue

(45-TKP-010 and

AGA-010)

- - - - Repulp tank mild steel rubber lined 1.1m dia x 1.8m high 180 40

1 1-91Processing

Line 1

Leach Feed Pumps

(45-PPP-043/042)- - - -

Bredel 40 type peristaltic hose, capacity 1.5/2.5m³/h, each with 2.2kW motor, hose pipe and

fittings800 175

1 1-92Processing

Line 1

Residue Thickener

Underflow Pump

(45-PPP-044)

- Bredel 40 - Type peristaltic hose, capacity 1.5/2.5m³/h, each with 2.2kw motor, hose pipe and fittings 800 150

1 1-93Processing

Line 2

Residue Thickeners

(45-THH-003) - Eimco High-rate -

Capacity 1.31tph, welded stainless steel construction, each 1800 dia x 6m approx. high, V

bottom outlet, air blast fittings, displacement level transmitter, zelliveger analytics tx pro 2

readout monitor

40,000 7,500

1 1-94Processing

Line 1

Sand Filter Surge

Tank- - - - Welded carbon steel 2.4m dia. x 2.9m high 1,600 225

1 1-95Processing

Line 1

Residue Filter Tank

and Agitator Tank (45-

TKH-AGA)

- - - -Welded steel approx. 3m dia x 5m high with 2 gate valves, access ladder and platform, agitator

top mounted, approx. 5kw4,800 1,125

1 1-96Processing

Line 2

Residue Filter Feed

Pumps

(45-PPP-050/037)

- Verdiflex 65 - Plus 1 x bredel 40 type hose peristaltic, on concrete plinth 4,000 1,500

1 1-97Processing

Line 1

Residue Thickener

Underflow Pump

(45-PPP-035)

- Grundfos CRN-64 - Multi stage 2,800 750

1 1-98Processing

Line 1

Residue Area Sump

Pump (45-PPS-045)- Galigher - - Vertical rubber lined 15m head, capacity 10m³/h, 4kW 1,600 375

1 1-99Processing

Line 2

Safety Showers

(45-SWS-009-010)- Pratt - - Stainless steel with eye wash 1,080 270

1 1-100Processing

Line 1

Residue Belt Filter

(45-FLZ-005, PPC-

038/039/040, PPV-

041, VSR-

001/002/003 and 45-

PPV-041)

-Delkor Horizontal

Continuous16B/05-20V -

Size 15m², capacity 1.5tph, length 13m x 1650 width, stainless steel structure, powered by 5.5kw

motor in elevated enclosure, with nash vacuum pump, size CL1003SS, with 45kw motor, filter

pump and 2 bedel 40 filter wash pumps, 3 vacuum filter receivers

80,000 18,000

1 1-101Processing

Line 1

Filter Acid Water

Wash Tank

(70-TKR-049 and

PPc-108)

- - - -PVC size 1200x900 dia. fitted with heating element and acid wash water pump, ajax with approx.

5kw motor450 225


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


1 1-102Neutralisation

Area 2

Safety Showers and

Eye Wash

(47-SWS-011/012)

- Pratt - - Stainless steel 1,000 250


Area 1

Relocatable Site

Office- James Hardie - -

Sandwich panel approx. 3m x 3m, fitted with air conditioner, exhaust fan, stainless steel bench

and sink, whiteboard, desk and chair, cabinet, computer hp p4, BenQ monitor, ups and scout pro

scale

1,000 350


Area 4

Neutralisation Tanks

(47-TKR, AGA-

012/013/014/015,

LAU-

008/009/010/011,

SKL-

012/013/014/015)

- - - -

Welded stainless steel size 3.7m dia. x 4.3m high, each fitted with agitator Mixtec model: 1087,

axial flow 1480mm dia, rubber lined, with 4kW motors, single tailings hopper, 4 tank launders, 4

tank spargers, aeration rate 10 Nm 3/h, complete with overall steel mesh walkway, side rail and

access stairs

40,000 3,000


Area 2

Neutralisation

Tailings Pumps

(47-PPC-047/048)

- Warman 3/2 C-AH - Split case rubber lined, each with 4kw motor, knife valves and common surge tank 4,000 1,500


Area 1

Neutralisation Area

Sump Pump

(47-PPS-046)

- Galigher - - Vertical rubber lined 7m head, capacity 10m³/h with 4kW motor 1,600 350

1 1-107Leaching

Area 6

Leach Tanks and

Agitators

(50-TKR-

016/017/018/019/020

/021 / AGA-

016/017/018/019/020

/021)

- - - -

Welded carbon steel tanks, 3.2m dia. x 3.7m high, each fitted with agitator Mixtec Model: 1072,

axial flow 1120mm dia. 78rpm, each with 3kw motor, launders fitted to each tank, plant no lau-

012-013-014-015-016-017 gate valves, common mesh walkway

48,000 4,500

1 1-108Leaching

Area 1

Repulp Tank 2

(50-TKP-022/ AGA-

022)

- - - -Carbon steel, rubber lined, capacity 5m³, fitted with agitator Mixtec Model: 1067 axial flow

300mm dia. 2.2kW800 375

1 1-109Leaching

Area 1

Plate Filter (Process

Clarifier Feed) (60-

FLF-010)

- Jord Engineers - - 28 chamber 500 x 500, manual hydraulic screw adjustment on stand – complete with feed pump 8,000 2,250

1 1-110Leaching

Area 1

Pregnant Solution

Tank and Agitator (50-

TKH-023 / AGA-023)

- - - - carbon steel 2.2m dia x 3.8m high agitator Mixtec Model: 1072 axial flow 600mm dia. 75kW 900 300

1 1-111Leaching

Area 2

Detoxification Surge

Tanks

(50-TKH-024-028

- - - - Grey poly, each 3m dia x 3.5m high, with mono pump (ppc031) 8,000 1,500

1 1-112Leaching

Area 1 Pressure Filter - Labtech - - Stainless steel, 12 litre capacity, screw type 200 110

1 1-113Leaching

Area 1

Leach Samplers

(50-SAV-021-010)- Consep 1850 - Moving inlet crosscut sampler, with pneumatic controls, 75kw motor 800 150

1 1-114Leaching

Area 1

Safety Shower and

Eye Wash

(50-SWS-013)

- Pratt - - Stainless steel 550 135

1 1-115Leaching

Area 1

Leach Belt Filter

(50-FLX-006 / PPV-

054)

-Delkor Horizontal

Continuous16B/05-20V -

Size 18m², variable speed 5.5kw drive, belt length 15m x width 1700mm, mild steel structure,

mounted in elevated enclosure with nash vacuum pump type liquid ring, capacity 200m³/h, with

45kW motor, bedel 40 hose peristaltic pumps powered by 3kw motor, 3 vacuum receivers

95,000 26,000

1 1-116Leaching

Area 2

Leach Area Filter

Sump Pumps

(50-PPS-060/059)

- Galigher - Vertical 1.5 SAA 2100/48, 4m head, 2.2kw with fittings 2,400 750


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


1 1-117Leaching

Area 2

Leach Tailings

Pumps

(50-PPC-057/058)

- Warman 2/1½ B-AH - Centrifugal split case, 11m head, 2.2kW variable speed with fittings 1,200 750

1 1-118Reagents

Area 1

Sulphuric Acid

Storage Tank

(70-TKH-046)

- - - -

Welded stainless steel 3m high x 2.5m dia. with fittings and access ladder complete with ajax

centrifugal unload pump, nutrient mix pump, Wilden Model: M4 diaphragm PVC chemical sump

pump

2,800 300

1 1-119Reagents

Area 1

Hydrochloric Acid

Storage Tank- - - -

PVC, approx. 5000L capacity complete with an Iwaki centrifugal pump, two dosing pumps and

bund wall enclosure 3ml x 2mW x 500mmH3,600 150

1 1-120Reagents

Area 1 Safety Shower - - - - Stainless steel 450 135

1 1-121Reagents

Area 2

Limestone Pumps

(70-PPC-075/076)- Warman 3/2 C-AH - Centrifugal 17m head split case, each with 11kW motors, knife valve and fittings 4,000 1,100

1 1-122Reagents

Area 1

Limestone Mixing

Tank and Agitator (70-

TKR-031, AGA-031)

- - - -Welded steel, rubber lined, capacity 10m³, 2.3m dia x 2.9m high, agitator Mixtec model: 1072,

axial flow 850mm dia. 1.1kW motor4,000 350

1 1-123Reagents

Area 1

Limestone Silo

Tylden

(70-BNS-020 / AT-

001)

- - - -

FDR-010 / GRB-005, mild welded steel, 100T capacity, 9.6m high x 4.1m dia, volume 137m³, on

elevated stand with v bottom outlet fitted with vibratory activator, 1.8m dia. with invicta .84kW

motor, lime feeder rotary valve .55kW, dust collector enviromatic EV15

32,000 13,000

1 1-124Reagents

Area 1

Bulk Bag Lime

Splitting Cabinet

(70-TKH-039)

- - - -

AGA-039 / BSX-002 / XM-012, welded steel 2m x 2m x 2m, V bottom outlet with chute, 2

Perspex hinged doors, 1 ton bulk bag capacity over lime mixing tank, welded steel 2.2m dia x

1.8m high, with agitator Mixtec model: 1067 axial flow, 500mm dia., 1.1kw drive, with platform

and weather canopy, bag lifting frame

6,500 1,500

1 1-125Reagents

Area 1

Lime Bag Hoist

(70-CNM-007)- Hitachi - -

1.5T chain with power girder trolley, hand pendant control, 2 x 3.2kw motor on monorail approx.

5m long1,800 450

1 1-126Reagents

Area 2

Lime Slurry Pumps

(70-PPC-090/091)- Warman 1/1½ B-AH - Centrifugal split case rubber lined, 22m head, each with 4kw motor and fittings 1,600 600

1 1-127Reagents

Area 1

Lime Dosing Leach

Belt Pump

(70-PPC-062)

- Verderflex - - - 1,200 175

1 1-128Reagents

Area 1 Detox Tank - - - - PVC tank approx. 2m x 2m dia. on steel frame base 400 45

1 1-129Reagents

Area 1

Cyanide Bag

Breaking Cabinet (70-

BSX-003)

- - - -

AGA-042 / TKR-042 / XM-011, welded steel 2m x 2m x 2m with hinged Perspex doors, 1 ton bag

capacity over mixing tank 2.2m high x 1.8m dia welded steel with agitator mixtec, Model: 1060

axial flow 600mm dia. 55kw motor, bag lifting frame

8,000 -

1 1-130Reagents

Area 1

Cyanide Storage

Tank (70-TKH-043)- - - - Welded steel 2.2m dia. x 2.2m high 900 -

1 1-131Reagents

Area 2

Cyanide Pumps

(70-PPC-100/101)- Iwaki - - Centrifugal 15m head, with .55kW motors and fittings 480 -

1 1-132Reagents

Area 1

Online Cyanide

Monitoring System-

Syantific

Instruments- -

With 2 x monitors, Model: OOM5000, complete with accessories

(Located: top of tkh-143)24,000 6,000

1 1-133Reagents

Area 1

Cyanide Bag Hoist

(70-CNM-004)- Hitachi - - 1.5T electric chain with power 2 x 3.2kW motors, girder trolley, 5m monorail 1,800 500

1 1-134Reagents

Area 1

Lime/Cyanide Area

Sump Pump

(70-PPS-082)

- Galigher - - 1.5 SAA 2100/36 vertical rubber lined 3m head, 2.2kW 1,200 375

1 1-135Reagents

Area 2

Welded Steel

Holding Tanks- - - -

Approx. 4m high x 4.5m high x 2.75m dia. for cyanide settling and pregnant liquor, one tank with

top mounted agitator (50-AGA-142), and 3 mono pumps (LCS-PPH-055/141/056) with access

platforms and ladder

11,000 1,800

1 1-136Reagents

Area 1

Hydrogen Peroxide

Horizontal Storage

Vessel

- - - -In container cradle, with associated equipment, safety shower, 4ml x 2m dia. with concrete bund

wall enclosure 7ml x 4mw x 500mmh9,000 2,250


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


1 1-137 Tailings Dam 1Tailings Dam Pump

Set Comprising- De-Cant - - Water pump, submersible (080-PPC-133a) Flygt, powered by 20kW motor - -

1 1-138 Tailings Dam 1Priming Pump

(080-PPC-133B)- Grundfos

NGB80X50X

200A-E-A-B00E Powered by 22kW motor - -

1 1-139 Tailings Dam 1 Winch - Pacific CWG-30375 32053 900kg capacity on stand - -

1 1-140 Tailings Dam 1 Control Panel - - - - Trolley and concrete plinth including dolly tracks 6,500 1,800

1 1-141 Tailings Dam 1Tailings Dam Pump

Submersible- - - - (no details) powered by 20kw motor with Powertek Australia, power distribution board 3,200 1,100

1 1-142 Tailings Dam 1

Contingency for

Black Poly Pipelines

And Electrical Power

Cable to Tailing Dam

Area

- - - - Electrical power cable to tailing dam area 16,000 1,500

1 1-143Items Near

Tailings Dam2 Electric Motors - WEG HGF-315D - 300kW / 415 volt capacity, on steel mounting 4,000 2,250

1 1-144Items Near

Tailings Dam2

Ritz Pumps

"Pump Power"- - 4915A-03AP - Driven by Weg 200kw / 415 volt electric motors, on steel mounting 16,000 4,500

1 1-145Items Near

Tailings Dam2

Submersible Water

Pumps- - - - - 7,000 3,750

1 1-146Items Near

Tailings Dam9 Pallets Of Various - - - -

Valves, fittings, pipe connections, hoses, knives, clamps, tops, fire extinguishers and small items

not listed3,200 1,350

1 1-147Items Near

Tailings Dam1

Steel Wire Cage -

Open One Side- - - - 1.2ml x 1.2mW x 1.0mH 250 180

1 1-148Items Near

Tailings Dam1 Box Container - - - - 6" flat hose, angus wellmaster 2,200 1,350

1 1-149Items Near

Tailings Dam1

Hydraulic Rock

Breaker - - - - No details 4,500 1,500

1 1-150Items Near

Tailings Dam1

Roll Of Rubber

Conveyor Belt- - - - 1000mmW 2,700 1,500

1 1-151Items Near

Tailings Dam1 Generator Skid Only - - - - Orange metal fabricated 1,800 900

1 1-152Items Near

Tailings Dam1

Confined Space

Training Unit- - - -

Mild steel construction, 10ml x 2mw x 2.2mH, with 3 access doors, access stairs to top and hand

rails1,800 650

1 1-153 Services 2

Process Water

Pumps

(80-PPC-117/118)

- Ajax - -Centrifugal split case 400mm, impeller capacity 160m³/h, 60m head, each powered by teco

55kW motor with pipe and gate valve4,800 2,250

1 1-154 Services 1Raw Water Pumps

(80-PPC-119)- Ajax Mega 65/200 - Split case, capacity 50m³/h, 42m head, each powered by 22kW motor with pipe and gate valve 1,600 225

1 1-155 Services 1

Fire Water Pump

Jacking

(80-PPC-121/122)

- Ajax - -

Size 65/26 centrifugal split case, 30kW electric motor, battery backup, with second ajax 65/26

pump powered by diesel 4 cylinder engine, fuel tank, Grundfos multi stage, Model: crn-5, all

mounted on skid base with gate valves, pipework, ajax 1667 and 1668 control panels

8,000 2,250

1 1-156 Services 1Raw Water Pump

(080-PPC-061)- Ajax - - Split case powered by 15kW motor with pipe and gate 1,200 375

1 1-157 Services 1Emergency Safety

Shower Pump- Ajax - -

32-20 with diesel engine hype, header tank, ajax 1667/20A control panel, pipe and electric

installation throughout6,400 1,100

1 1-158 Services 1

Process Water

Pumps

(80-PPC-123/124)

- Grundfos CR10-18 - Multi stage, powered by 7.5kW motor with pipework 1,200 300

1 1-159 Services 1Process Water Tank

(80-TKH-050)- - - -

Carbon welded steel, 14.5m dia x 4.5m high, capacity 760m³, fitted with discharge valve,

overflow pipe, access ladder, level indicator, pipework and associated fittings64,000 3,000

1 1-160 Services 1Raw Water Header

Tank (80-TKH-051)- - - -

Carbon welded steel, 7.5m dia x 5m high, capacity 200m³, fitted with discharge valve, overflow

pipe, access ladder, level indicator, pipework and associated fittings 48,000 2,250


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


1 1-161 Services 1

Freshwater Pump -

Submersible

(80-PPC-134)

- Flygt - - With 20kW motor mounted on 3 floats including electrical control boards 3,600 1,100

1 1-162 Services 1

Relocatable Building

(Main MCC Control

Room)

- - - -

White sandwich panel construction approx. 23m x 6m , on elevated foundations, flat panel roof

with 2 Fujitsu split system air conditioners, 2 access stairways, with fire suppression CO2

installation

50,000 9,000

1 1-163 Services 1

Contents Of MCC Mill

Plant Electrical

Control Panels

(01-MCC-001)

- Klockner Moeller Modan 6000 13189

Comprising cubicles for PLC flotation, tailing, thickener, concentrator, blowers, mill, pumps,

conveyors, crushers, screens, filters, water pumps, nutrients, reagents, leaching, bacterial

oxidation, cooling towers, comprises 220 drives 37VVVF units, 1 x vacon CMG drivers, 1 x

vacuum CMG, 2 x Microdrive elite units, 1 x Baldor dynamic brake unit, 1 x Extravert x709

including electric cable through plant and grid power line from entry roadway

360,000 34,000

1 1-164 Services 1Sundry Contents to

Main MCC Room- - - -

Comprising 1 x computer system with flat screen monitor, 2 x UPS, 1 x steel cabinet, 2 x bench,

desk and 2 x chairs, shelving960 300

1 1-165 Services 1

Telephone System

(Located In MCC

Room )

- - - -

Comprising 1 x communication rack 1/2 height mounted on metal frame base complete with

actel telephone system (omni PCX) with 6 x assorted card, 1 x PABX converter switch 1 x Eaton

UPS unit with 2 x Eaton battery units

4,500 1,000

1 1-166 Services 1

Contingency For Fire

Services To Mine

Surface Area

- - - - Including various type extinguishers and hose reels (in dates not verified) 40,000 2,250

1 1-167 Services 1Transformer 3000

KVA (01-TX-001)1997 Schneider 3MVA - 22000/433V (1997) with compound fence 12,000 3,000

1 1-168 Services 1

Packaged Air

Compressor

(80-CPS-013/014)

1998 Ingersoll Rand/CapsSSR-

EP60/56-

45kW high pressure, with IR intellisys digital monitoring/controller each mounted on steel

platform 2000 x 2000 (platforms are welded together), set on concrete pad 5000 x 5000 with

open side canopy over, complete with accumulator vessel, isolation switches and with (80-vsr-

004/5) 2 plant air receivers set on common base complete with poly airlines to plant,

Compressor No: 14 - 70,000H approx.

3,250 750

1 1-169 Services 1 Compressor Canopy - - - -6.0m x 4.0m x 3.0m column height, 4 supports with zincalume roofing, set on concrete pad

complete with outside lights1,200 100

1 1-170 Gold Room 1Contingency for Gold

Room Office - - - -

Comprising 1 x stationery cabinet approx. 900x 500 x 1800mm, 2 x bookcase grey melamine, 1 x

office desk, grey melamine, chair, whiteboard, Qty sundry hand tools,1 x vacuum cleaner1,000 350

1 1-171 Gold Room 1

Diatomaceous Earth

(De) Tank HDPE

(60-TKH-025)

- - - -1050mm dia. x 1200mm high x 1m³ capacity, fitted with centre-mount agitator (60-AGA-025) and

with gear motor transfer pump and with self-priming centrifugal feed pump GR 10 series950 325

1 1-172 Gold Room 1Lead Nitrate Mixing

Tank (60-TKH-029)- - - -

HDPE 450mm dia. x 140mm high complete with Iwaki dosing pump, fractional hp motor (60-

PPC-073) and starter300 50

1 1-173 Gold Room 1

Zinc Dust Mixing

Tank / Chamber

(60-BNH-015 / 60-

FDS-006)

- Acromet 1100-A -Zinc feed hopper with lid, live screw feeder, benzlers BS50 gear drive, feeding into mixing tank

open top 3 compartment with ball float valve900 100

1 1-174 Gold Room 1 Electric Chain Hoist - Hitachi - - With monorail 900 350

1 1-175 Gold Room 1

De-Gassing Vessel

(Oxygen)

(60-VSV-008)

- Jord Engineers - J7613500mm dia. design pressure, full vac design temp 40deg.C, test pressure 150 KPA hazard level

E5,750 900

1 1-176 Gold Room 1

Gold Table Feed

Screen

(60-SCV-007)

- Lockers / Sweco 243444 31586Vibro-energy separator, Model: S, stainless steel fabrication on stand complete with feeder and 2

gold table feed hoppers, 450kg, with associated valves and connections950 50

1 1-177 Gold Room 1Gravity Table

(80-SCT-004)- Gemini Mk 2 250 110 Capacity 115kg/hr (1999), with cover 9,500 2,500


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


1 1-178 Gold Room 1

Gravity Tailing Return

Sump Pump (60-PPS-

068)

- Galigher1.5 SAA

2100/36- 2.2kw vertical spindle, 1.0m head, with starter panel 1,600 350

1 1-179 Gold Room 1

Gold Recovery Area

Sump Pump

(60-PPS-069)

- Galigher1.5 SAA

2100/36- Vertical spindle, 7.0m head with starter panel 1,600 350

1 1-180 Gold Room 1

Plate Filter (Zinc

Precipitate Filter)

(60-FLF-011)

- - - - 10 chamber 500 x 500, complete with (60-pph-065) feed pump helical rotor 1.1kw variable speed 6,400 1,000

1 1-181 Gold Room 1 Flux Table - - - - 2.5m x 900mm angle steel fabrication with lower shelf and end well, Qty hand tools 225 45

1 1-182 Gold Room 2 Calcining Ovens -Tetlow and Furnace

Industries Electric FCF - 10.5kW with temptron digital controller and timer 5,600 1,500

1 1-183 Gold Room 1Tilting Furnace

(60-FCS-001)- - - -

Crucible, LP gas fired, operating temperature 1200deg.C, complete with crucible and with

hydraulic tilt (60-CFP-012) exhaust fan, axial flow duct, mounted 350mm dia, 450 L/S, stainless

stack and with stainless steel secondary fume extraction system (60-fug-00) fume hood, relined

6,500 2,000

1 1-184 Gold Room 1 Trolley - - - - Grid insert to top 90 25

1 1-185 Gold Room 1

Safety Shower and

Eye Wash

(60-SWS-014)

- Pratt - - - 550 135

1 1-186 Gold Room 1Strong Room Door

(60-XM-001)- Chubb - SZA00790 Double combination lock, sargent and greenleaf (only door) 4,500 -

1 1-187 Gold Room 1

Gold Room Safe (60-

XM-002)

(Not Sighted)

- Chubb - -Combination lock

(Not sighted said to be located safe room locked at time of inspection)2,250 550

1 1-188 Gold Room 1

Table (Bullion

Scales) (60-SM-003)

(Not Sighted)

- - - -Steel fabrication

(Not sighted said to be located safe room locked at time of inspection)130 45

1 1-189 Gold Room 1

Precision Scales (60-

SLS-002)

(Not Sighted)

- Metler Toledo SG32001 -Capacity 32,100g x 0.1g

(Not sighted said to be located safe room locked at time of inspection)240 135

1 1-190 Gold Room 1 Table - - - - Steel fabrication 160 45

1 1-191 Gold Room 1 Slag/Waste Bin -East West

Engineering- - East West Engineering, welded steel 90 20

1 1-192 Gold Room 1

Qty Heat Resistant

Clothing ( Not

Sighted)

- - - - Full-face masks, furnace tools 225 100

1 1-193 Gold Room 10 CCTV Cameras - Relco - - Relco (valued complete with main system) - -

1 1-194 Gold Room 1Security Tag Entry

System- - - - To gold room, concept with associated fittings and connections 675 50

1 1-195 Gold Room 1Gold Recovery Area

Hoist (60-CNM-012)- - - - 1T chain block, 9m monorail 650 100

1 1-196 Gold Room 1

Sump Pump (Back

Fill Cyclone Area) (30-

PPS-128)

- Galigher 1.5 SAA

2100 x 36G1704 With pump starter panel 1,600 375

1 1-197 Gold Room 1Gravity Return Hoist

1T Capacity- - - - Manual chain hoist on 3m rail 1,350 450

1 1-198 Gold Room 1Furnace Hoist - 1 Ton

Capacity- - - - Manual chain hoist on 3m rail 1,800 450

1 1-199

Yard and

Surrounding

Areas

1 Shipping Container - - - CBHU33124022G1 20ft grey (used for storing sodium cyanide solid) 1,800 1,200


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


1 1-200

Yard and

Surrounding

Areas

1 Picking Ladder - Ladderwise - - Aluminium 1,100 600

1 1-201

Yard and

Surrounding

Areas

1 Gantry Frame - - - - Fabricated mild steel approx. 3000 x 2400mm with running rail 2,500 800

1 1-202

Yard and

Surrounding

Areas

1Underground Stock

Cage- - - - Mild steel fabricated with fork tyne access approx. 1200 x 1200mm 550 150

1 1-203

Yard and

Surrounding

Areas

3 Scrap Bins - - - - Mild steel fabricated with fork tyne access (1 x damaged) 400 240

1 1-204

Yard and

Surrounding

Areas

1 Fuel Storage Tank - - - - Mild steel fabricated approx. 3000 x 1800mm mounted on metal base 1,500 900

1 1-205

Yard and

Surrounding

Areas

1 Lifting Jib - East West TJ50 5014 Galvanised 1,200 650

1 1-206

Yard and

Surrounding

Areas

3

Under ground

Flammable Liquids

Cabinet

- - - - - 3,000 1,800

1 1-207

Yard and

Surrounding

Areas

1 Gas Bottle Cage - - - - Mild steel frame 3 sided with loading ramp 750 300

1 1-208

Yard and

Surrounding

Areas

1 "A" Frame Rack - - - - Mild steel fabricated multi tier, approx. 5m 1,200 200

1 1-209

Yard and

Surrounding

Areas

1 Air Compressor - - - -4 cylinder (not in use)

(Formerly located in Metallurgical Laboratory)450 350

1 1-210

Yard and

Surrounding

Areas

1Shipping Container

(8ft) - - - - No. 3, 8ft, red 1,350 800

1 1-211

Yard and

Surrounding

Areas

Contents Of Shipping

Container And

Confined Space Unit

- - - -Comprising breathing apparatus units, gauges bottles, flat lay hose, winching style

cage/stretcher, fold up stretcher, oxy viva unit, confined space signs etc. 1,500 500

1 1-212

Yard and

Surrounding

Areas

1Confined Space

Storage Unit- - - - Stainless steel , with fold up door 500 350

1 1-213

Yard and

Surrounding

Areas

1Contingency For Lay-

Down Sundry Items - - - -

Comprising assorted submersible pumps, hosing, steel pipes pumps, steel plates, walkways etc

(Used/salvage equipment)20,000 450

1 1-214

Yard and

Surrounding

Areas

1 Twin Floodlights - GEC Civic Floods - - 150 watt, galvanised pole-mounted, set on concrete pad above lay down 3500x3500 900 450

1 1-215

Yard and

Surrounding

Areas

1

Cable and Pipe

Bridge (to Cyanide

Area)

- - - - L-shape configuration, bolted steel components, set on concrete piers 6,300 900


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


1 1-216 Infrastructure 1

Contingency For

Treatment Plant

Infrastructure

- - - -

Including structural steelwork, concrete foundations, floors and bund walls, steel plate work

chutes and guards, protection paint, pipe installations, various electric cable, steel stairways,

walkways, handrails, gold room security, project design and management, drainage to areas

including grinding, flotation, reagents, bioleach, solid-liquid, neutralisation, leaching, gold room,

cyanide, sewerage treatment, CIL tailings water, process air

1,400,000 38,000

2 2-1Safety and

Stores Office 1

Contingency For

Sundry Items - - - -

Comprising safety lock out devices, personal isolation locks, safety pipe identification tags, 2

desks, 5 chairs, 4 filing cabinets, 2 bookcases, whiteboard, Hewlett Packard Compaq computer,

Ricoh Aficio 220 copier, Canon MP270 printer

2,700 900

2 2-2Safety and

Stores Office 1

Contingency For

Power Tools- - - - Comprising saber saws, Hitli hammer drill etc. 450 200

2 2-3Safety and

Stores Office 1 Pressure Washer - Briggs and Straton 2700 PSI - Complete with associated hoses etc. 550 300

2 2-4Maintenance

Stores 10

Bays Of Pallet

Racking- - - - Comprising blue uprights, orange load beams assorted configuration 3,500 1,500

2 2-5Maintained

Store8

Bays Of Stock

Shelving- - - -

Each bay comprising fabricated tubular galvanised frames with 5 tier complete with particle

board shelves some complete with part bin ends, each bay approx. 4000 x 1200mm 2,000 800

2 2-6Maintained

Store5 Parts Cabinets - - - - Each metal 2 door, grey approx. 900 x 500 x 1800mm 900 450

2 2-7Maintained

Store1 Ladder - JPS - - Aluminium approx. 7ft 125 50

2 2-8Maintained

Store1 Ladder - - - - Aluminium approx. 3ft 55 30

2 2-9Maintained

Store1 "A" Frame Rack - - - - Fabricated steel storage rack approx. 3m bolted to min structure of building 450 100

2 2-10Maintained

Store1

Contingency For


Comprising fabricated dispatch bench, 1 x Hewlett Packard desktop computer with core i2

processor with flat screen monitor, 1 x Hewlett Packard printer 1100 series, 1 x filing cabinet, 1 x

office chair, 1 x manual strapping machine , 1 x manual shrink wrapper

500 200

2 2-11Workshop

office 1

Contingency For

Contents Of Office - - - -

Comprising 3 x assorted office desks, 3 x assorted book cases, 1 x metal stock shelf, 1 x

stationery cabinet 2 door, 2 x office chairs, 1 x communications rack with switch, 2 x

whiteboards, 1 x Hewlett Packard core i2 computer system and BenQ flat screen monitor

600 250

2 2-12 Workshop 1Double Ended

Grinder- Abbott & Ashby - - 250mm on pedestal 90 45

2 2-13 Workshop 1Double Ended

Grinder- JES TDS200E - With linishing arm, on pedestal 65 35

2 2-14 Workshop 1Oxy and Acetenyl Set

Including- - - - Comprising gauges, hose, torch and twin bottle trolley 180 125

2 2-15 Workshop 1 Pedestal Drill 2004 Hafco Metal Master GHD-38A 42616 18 speed geared head and tooling 1,600 1,000

2 2-16 Workshop 1 Retractable Air Hose - AK - - Mounted to wall 110 70

2 2-17 Workshop 1Industrial Pedestal

Grinder- Hafco Metal Master BG12 - Hafco Metalmaster, Model: BG12 300 150

2 2-18 Workshop 1 Arc Welder - CigTransmig

400- - 270 180

2 2-19 Workshop 1Metal Cut Off Drop

Saw- Flexovit F16 15032 Complete with infeed and out feed bench 360 270

2 2-20 Workshop 1 Manual Pipe Bender - Plumbers Mate - - Hydraulic with dies 225 150

2 2-21 Workshop 1Welding Cage with

Fork Tynes - - - - Complete with oxy and acetenyl houses gauges, cutting torch 350 100

2 2-22 Workshop 1Fume Exhaust

System- - - - With flexible fact 1,800 500

2 2-23 Workshop 1 Arc Welder - Transmig 300 - Transmatic, 16 wire feeder 900 550


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


2 2-24 Workshop 1Quickie Gas Straight

Line Cutter- - - - Single head 800 350

2 2-25 Workshop 1 Jet Broach Drill - Altra Ace - With magnetic stand 450 300

2 2-26 Workshop 4 Parts Washer - Karchers HD/16C - 2 incomplete 200 135

2 2-27 Workshop 1Portable Caddy

Welder- Transarc 16 - - 200 80

2 2-28 Workshop 1 Mig Welder - WIA215

Weldmatic - On trolley 650 400

2 2-29 Workshop 1 Caddy Welder - Invertec V145-S - Invertec V145-S 225 150

2 2-30 Workshop 1 Electrofusion Unit - Frimat Basic eco - In fragile travel case 4,000 1,700

2 2-31 Workshop 1 Scissor Lift Platform - JBS - - Trolley 450 150

2 2-32 Workshop 1Fabricated Welders

Table- - - - On trestles, 2400mm x 1800mm x 25mm, plate steel with dawn 150mm off set vice 650 450

2 2-33 Workshop 1Fabricated Steel

Work Table- - - - 1800mm x 1800mm x 11mm, plate steel tip with 2 x dawn 150mm offset vices 550 450

2 2-34 Workshop 2 Fibre Glass Ladders - Bailey - - Comprising 1 x 12ft x 13ft , 1 x 7ft x 8ft 700 380

2 2-35 Workshop 4 Aluminium Ladders - Bailey - - Comprising 2 x 5ft, 1 x 3ft , 1 x platform ladder 540 360

2 2-36 Workshop 1Contingency For Air

And Power Tools- - - -

Comprising assorted power tools: comprising angle grinders, drop saws, saber saws ,assorted

Enerpac lifting units impact wrenches, cordless drills, Lukin level 20x etc say2,500 1,500

2 2-37 Workshop 1Contingency For

Lifting Items - - - - Comprising approx. 20 assorted chain blocks, lifting straps, lifting chains, plate grabs etc say 2,000 1,000

2 2-38 Workshop 2 Garage Trolley Jack - - - - 2500kg SWL 200 120

2 2-39 Workshop 1 Mobile Engine Hoist - - Armstrong - 830 SWL max capacity, manual hydraulic 300 125

2 2-40 Workshop 1 Jump Starter - DurstBJC Rhino

4000- - 350 150

2 2-41 Workshop 1Portable Diesel

Power Generator- Crommelins - A3825 Powered by Robin petrol motor 2,250 800

2 2-42 Workshop 1Hydraulic Workshop

Press- Simplex - - 25T SWL, manual hydraulic and power team electric power source 900 450

2 2-43 Workshop 1Pipe Threading

Machine- Rigid 300 - On mobile trolley 900 450

2 2-44 Workshop 1Flammable Liquids

Cabinet- Safe T-Store - - 2 door 160L capacity 450 270

2 2-45 Workshop 7Workshop Cabinets/

Benches - - - - With 2 door base approx. 2000 x 1000mm complete with small storage cabinet single door top 1,750 1,125

2 2-46 Workshop 1Fabricated Storage

Racks- - - - Galvanised structure multi tier approx. 5000 x 1200mm 450 360

2 2-47 Workshop 1 Storage Cabinet - - - - 2 door heavy metal approx. 1200 x 600x 2000mm 300 150

2 2-48 Workshop 4 Storage Cabinet - - - - Single door assorted heavy duty approx. 700 x 600 x 2000mm 800 400

2 2-49 Workshop 2Fabricated Storage

Racks- - - - Galvanised structure multi tier approx. 2000 700 x 1800mm 400 250

2 2-50 Workshop 1 Airless Sprayer - Annesta AL5433C - On mobile trolley 1,500 600

2 2-51 Workshop 1 Portable Diesel Tank - Alemlube - - Red PVC structure 400L capacity complete with fuel bowser (skid mounted) 675 350

2 2-52 Workshop 1Domestic Lawn

Mower - Victa Corvette 450 - - 150 80

2 2-53 Workshop 1 Ride On Lawn Mower - Murray Select - 12.5 HP, 40" deck, 5 speed 900 550

2 2-54 Workshop 1 Jump Starter - Projecta 200A - - 250 100

2 2-55Workshop

(Outside )1 Pressure Washer - Kranzle 595 Therm - Mounted on mild steel fabricated frame with fork tynes 3,500 1,500


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


2 2-56Workshop

(Outside )1 Parts Washer - Hare and Forbes - - - 50 20

2 2-57Oil Storage

Building 2

Bays Of Pallet

Racking- - - - Comprising 3 x blue uprights, 8 x blue load beams each bay approx. 2600 x 820 x 3000mm 700 250

2 2-58Oil Storage

Building 4

Pneumatic Drum

Pumps- Alemite - - - 1,600 700

2 2-59Oil Storage

Building 1 Manual Drum Pump - Alemite - - 100 50

2 2-60Oil Storage

Building 3 Spill Pallets - - - - Black PVC each 2 x drum capacity 450 240

2 2-61Oil Storage

Building 1

Pair Of Ratchet

Stands- - - - Red 200 50

2 2-62Oil Storage

Building 1 Spill Kit Bin - - - - Otto bin style, yellow 300 100

2 2-63

Oil Storage

Building

(Out side)

2 Spill Pallets - - - - Orange PVC each 2 x drum capacity 300 160

2 2-64

Oil Storage

Building

(Out side)

1Emergency Eyewash

Station- Speakman - - Plumbed-in 600 150

3 3-1

Workshop

Building

(05-BLG-002)

1Workshop/Stores

Warehouse - - - -

Approx. 27m x 22m, portal bolted steel frame, colorbond clad with pitched roof, 2 vehicle entry

doors, 8 mercury vapor lights, power outlets, concrete floor and side aprons55,000 16,000

3 3-2

Workshop

Building 1Relocatable Site

Office (Stores/Safety)- - - - Colour bond construction, ranch board interior approx. 9.6m x 3m, window style air-conditioned 2,700 1,300

3 3-3

Workshop

Building 1Relocatable Site

Office, (Maintenance)- - - - Colour bond construction approx. 12m x 3m, 3 internal offices, window style air-conditioned 3,600 2,200

3 3-4 Oil Stooge

Building 1 Warehouse Building - - - - Approx. 6m x 7m, portal bolted steel frame, colorbond clad, pitched roof with roller door to front 7,200 1,800

3 3-5Metallurgical

Laboratory1 Warehouse Building - - - -

9m x 6m modular galvanised frame, colorbond clad pitched roof, sliding door and personnel

entry door, 8 fluorescent lights, insulated concrete floors, fitted with laminated cabinets4,500 900

3 3-6Assay

Laboratory 1 Warehouse Building - - - -

Comprises annexe section approx. 15m x 6m, portable frame, clad to 2 sides with side annex,

electric light and power, common concrete brick wall to one side6,300 1,200

3 3-7 Lab Office 1 Relocatable Building - - - -Comprising colour bond external walls ranch wall interior fitted with sink and benches approx. 6m

x 3m, widow style air conditioned, 2 rooms2,250 500

3 3-8Change

Rooms 1

Modular Style

Relocatable ((05-BLG-

005)

- - - -

Comprising 2 modules each 12m x 3m, colour bond external walls, ranch board interior

Modular 1: comprising 1 x 5 person shower cubicle, 2 x Rheem 315L hot water system, lighting

entry door

Modular 2: comprising 2 x stainless steel hand basins lighting, entry door

2 hand basins, complete with fabricated walk-through

18,000 9,000

3 3-9Change

Rooms 1

Contents of Change

Rooms - - - - Comprising approx. 60 steel lockers assorted configuration, bench seats etc 1,800 600

3 3-10Men's

Ablution Block1

Transportable

Ablution Building - - - -

Comprising beige metal colour bond external walls approx. 5.0m x 3.0m with 3 x toilet systems, 3

x stainless steel basins, 1 x urinal, 1 x hot water system skid mounted base5,400 2,200

3 3-11Mill Mangers

Office 1

Relocatable Office

Building 05-BLG-001)- James Hardie 8068 & 8069

Comprising 2 x 12 x 6m modules with window style air conditioners, 5 x internal offices access

stairway, (joined side by side)10,000 4,500


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


3 3-12Mill Mangers

Office 1

Contingency For

Office Furniture - - - -

Comprising 6 x assorted office desks, 2 x office chairs, 2 x visitors chairs, 7 x filing cabinets 4

drawer, 11 x assorted bookcases, 1 x stationery cabinets, 2 x vertical plan cabinets, 2 x

whiteboards 1 x credenza, 1 x bar refrigerator, 5 x beige metal stock shelves each approx. 900 x

500 x 2000mm

2,100 700

3 3-13Mill Mangers

Office 1 Rifle Safe - CMI R7 - Sportsman gun cabinet 1,200 650

3 3-14Mill Mangers

Office 1

Contingency for IT

Equipment- - - -

Comprising 1 x Compaq desktop computer, 1 x Hewlett Packard desktop with core2 processor

and flat screen monitor, Brother multi function centre Model: J6710DW, 1 x Ricoh Aficio

photocopier Model: 270, 1 x fax machine Ricoh Model: 1130L, 1 x contingency for it equipment

not in use comprising hard drives, monitors, printers, televisions switches etc

5,200 700

3 3-15Mill Mangers

Office 1

Closed Circuit

Television Security

System

- - - -Comprising approx. 15 cameras, monitor, cabling, fittings, time lapse DVR recorder unit and

connections 9,000 650

3 3-16 Lunch Room 1 Relocatable Building - - - -Approx. 14m x 3m, air-conditioned, open plan with cabinet, stainless steel sink, covered

barbeque area with deck9,000 2,000

3 3-17 Lunch Room 1Contingency for

Sundry items - - - -

Comprising hot water urn, 1 x refrigerators, 5 x lunch tables, 15 x stackable chairs, Nelson

insectocutor, water dispenser, Roband food warmer, 2 x microwave oven, 1 x Roband contact

sandwich maker, 1 x barbeque

800 250

3 3-18First Aid

Room1 Relocatable Building - - - -

Beige colour bond exterior, ranch board interior approx. 6m x 3m fitted with toilet urinal, shower,

2 sinks, hot water system4,500 1,500

3 3-19First Aid

Room-

Contingency for


1 x stationery cabinet, 1 x medical examination bed, bar refrigerator, 1 x Maggy lamp on

adjustable arm, 1 x Oxy Viva, 1 x cyanide antidote kit, 2 x first aid kits, 1 x blood pressure

monitor, 1 x Drier Oxy resuscitation unit

1,000 500

3 3-20Security

Office1 Relocatable Building - - - -

Colorbond exterior, ranch board interior approx. 6m x 3m, glass panel windows to 3 walls, lights,

power, side annex 2.5m x 6m split system air conditioner 5,000 2,000

3 3-21Security

Office1

Contingency for


Comprising with 2 x desks, 3 x chairs, 4 x lockers, Hewlett Packard P4 computer with flat screen

monitor, Brother printer, Garret handheld metal detector, 2-way radio base station, 1 x bar

refrigerator, 1 x Alcoholise breathalyser unit

2,000 600

3 3-22Security

Office1 Fire Fighter System - - NFP2 - - - -

3 3-23Administration

Office1 Relocatable Building - - - -

Beige colorbond exterior approx. 18m x 8m, comprising 8 interconnecting modules, 6 offices,

boardroom, kitchen, reception/entry, 8 split system air-conditioners45,000 20,000

3 3-24 Site Office 1 Relocatable Building - - - -Colourbond exterior approx. 3m x 2.2m with air-conditioner, stainless steel bench and sink, hot

water heater, wall heater, cabinet, table2,000 500

3 3-25Sodium

Cyanide Shed1 Storage Shed - - - -

Open sided 15.0m x 5.0m x 4.4m column height (at front) fitted with cyclone mesh fencing and 3

sets of double gates, set on concrete pad4,500 100

3 3-26Compound

Fencing1

Security Fence to

Backfill Mill and

Tailings Dam Area

- - - -Cyclone chain wire approx. 2500m x 3m high with manual and automated access gates at

various points45,000 2,200

4 4-1Metallurgical

Laboratory1 Spectrophotometer -

Agilent

Technologies55 A - Atomic absorption spectrometer, complete with UPS 20,000 9,000

4 4-2Metallurgical

Laboratory1 Spectrophotometer - Varian

Spectra AA-

50B- Atomic absorption with associated equipment, accessories 6,400 2,200

4 4-3Metallurgical

Laboratory1 Ultrasonic Bath - Unisonic - Bench type 135 70

4 4-4Metallurgical

Laboratory1 Colour Meter - Brinkman PC910 - - 350 80

4 4-5Metallurgical

Laboratory1 Draughtsman's Chair - - - - Charcoal fabric, swivel base on castors, gas lift 50 20

4 4-6Metallurgical

Laboratory1 Computer System - Hewlett Packard - - With core2 duo processor complete with BenQ flat screen monitor 200 90


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


4 4-7Metallurgical

Laboratory1 Printer - Hewlett Packard - - - 50 10

4 4-8Metallurgical

Laboratory1

Safety

Shower/Eyewash

Station

- - - - Stainless steel 900 200

4 4-9Metallurgical

Laboratory1

Chemical Spill

Treatment Kit- BDH - - Wall mounted 45 20

4 4-10Metallurgical

Laboratory1

Fume Extraction

Cabinet-

Conditioner

International - -

(2 units with common centre wall removed), Model: Safe-tee, white fiberglass cabinet, bench

model with associated extraction equipment, controls and connections3,600 750

4 4-11Metallurgical

Laboratory1 Laboratory Hotplate - - - - Stainless steel plate top with associated controller 180 45

4 4-12Metallurgical

Laboratory1

Flammable Liquids

Cabinet- - - - Black metal, 2 door (counter height size) 250 100

4 4-13Metallurgical

Laboratory1

Vibratory Laboratory

Hotplate- IEC - - Top load 225 90

4 4-14Metallurgical

Laboratory1 Laboratory Oven - Labec - E683 Electric 3000 watts 550 300

4 4-15Metallurgical

Laboratory1

Laboratory Furnace

50 Place Cupel- - - -

Gas fired refractory brick lined, internal dimensions approx. 600 x 300 x 250mm D mould,

complete with exhaust canopy and associated equipment and Qty furnace tools and Qty small

crucibles

2,800 900

4 4-16Metallurgical

Laboratory1

Laboratory Furnace

25 Place Fusion

Furnace

- - - -

Gas fired refractory brick lined, internal dimensions approx. 6100 x 6100 x 500mm deep, twin

exhaust vent, pneumatic door lifter, exhaust canopy with associated equipment and Qty of

furnace tools also includes 6 x Essa crucible mould stands, each 5-hole, 2 x steel crucible

trolleys, 6 x crucible racks

6,000 1,800

4 4-17Metallurgical

Laboratory1 Precision Balance - Metler Toledo SB32001 - Delta range, capacity 32100g x 5g 650 300

4 4-18Metallurgical

Laboratory1 Ring Mill Grinder - Labtechnics LMI/P 850262 In fiberglass cabinet with 3 x bowls and bowl lifting mechanism 2,000 900

4 4-19Metallurgical

Laboratory1

Laboratory Jaw

Crusher- Jaques 84ST 604476 On stand complete with dust extraction system all associated controls and connections 2,250 750

4 4-20Metallurgical

Laboratory1

Dust Collection

Cabinet/Bag-House- - - -

Make and Model: N/A, pulsematic operation, complete with galvanised ductwork from

labtechnics grinders and crusher all associated fittings, controls and connections3,600 700

4 4-21Metallurgical

Laboratory1 Sample Splitter - - - -

Carousel-type,12 compartment carousel on mobile base with feed hopper and associated

controls1,100 650

4 4-22Metallurgical

Laboratory1 Laboratory Oven - Qualtex - - Electric, Model: N/A (condition unknown) 550 100

4 4-23Metallurgical

Laboratory1 Testing Sieve Shaker -

CE Tyler

Ro-TapB 9422 In sound enclosure cabinet complete with Qty test sieves 1,100 600

4 4-24Metallurgical

Laboratory1

Flammable Storage

Cabinet- Pratt - - 250L capacity 700 450

4 4-25Metallurgical

Laboratory1 Tray Storage Rack - - - - 3 bay galvanised overall dimensions approx. 2400mm high x 3000 x 900 deep 400 100

4 4-26Metallurgical

Laboratory1 Sulphur Determinator - Leco S200 -

With inbuilt furnace and associated accessories complete with Dell P4 mini tower computer, flat

screen display12,000 3,500

4 4-27Metallurgical

Laboratory1 Analytical Balance - AND HM-120 - Capacity 120g x 0.1mg, in cabinet 800 350

4 4-28Metallurgical

Laboratory1 Heating Cabinet - - - - 2 tier, with 8 IR lamps (2x4) 225 70

4 4-29Metallurgical

Laboratory1

Laboratory Flotation

Machine- Essa - - Variable speed 550 150

4 4-30Metallurgical

Laboratory2 Work Benches - - - - Steel 700 360

4 4-31Metallurgical

Laboratory1 Drum Tumbler - - - - Powered 3 roller, in enclosed cabinet 300 150


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset


4 4-32Metallurgical

Laboratory1 Laboratory Stirrer - Kika RW20 - - 45 20

4 4-33Metallurgical

Laboratory1 Top Loading Scales - Mettler Toledo PB303 - Delta range 310g 270 70

4 4-34Metallurgical

Laboratory2 Filter Press - - - -

1 x Essa and 1 Amdel PF1000, stainless steel 270mm dia. x 300mm on stand, air tilt manual

clamp900 300

4 4-35Metallurgical

Laboratory1 Office Table - - - - Grey laminate 40 10

4 4-36Metallurgical

Laboratory- - - - - - - 900 350

4 4-37Metallurgical

Laboratory1

Contingency For

Laboratory Sundries- - - -

Comprising sieves, pulp density scales, single bowl sink, 2 sample splitters, dosing pumps,

glassware, 2 hot plates, buckets and containers, waste bin 125 50

4 4-38Metallurgical

Laboratory1 Microscope - Nikon SMZ645 - TX 150 80

4 4-39Metallurgical

Laboratory2 Steel Benches - - - - Metal frame 350 100

4 4-40Metallurgical

Laboratory1 Brick Saw - Debicon - - - 375 150

4 4-41Metallurgical

Laboratory1 Platform Trolley - - - - Hydraulic fitted with roller top 950 360

5 5-1Administration

Office1

Contingency for

Reception Area

Furniture

- - - -Comprising 2 x 2 seater black leatherette upholstered lounges, magazine table with glass top,

side table with glass top, bookcase, 2 x 2 door stationary cabinets and contents, wall mural1,500 600

5 5-2Administration

Office1

Contingency for Art

Work- - - -

Comprising 3 x framed limited editions by C Miller, Tacky Jern 10/14, Golden Power Led Neck

Stint 10/14, Chestnut Lead and 2 black ducks 1/13, 6 x framed personal photo prints2,500 850

5 5-3Administration

Office1 Meeting Room - - - -

Comprising 1 x blonde melamine woodgrain oval shaped table, 9 x black stackable chairs, 1 x 2

door credenza,1 x framed print "Beaconsfield Mine", 1 x Epson electro board overhead projector

and screen, 1 x Mitsubishi overhead projector, 1 x Hewlett Packard laptop, 1 x Hewlett Packard

Compaq desktop

2,000 800

5 5-4Administration

Office1

Contingency for

Office furniture to

Reception Office

- - - -

Comprising 4 x 4 drawer filing cabinets, 1 x whiteboard 900mm x 900mm, 1 x archive file

cabinet, 3 x 1800mm bookcases, office, 1 x workstation with 3 drawer return, 1 x Brother HL-

2150N printer, 1 x Hewlett Packard computer with colour monitor, 2 x office armchair

850 300

5 5-5Administration

Office1

Contingency for

Office No. 1 - - - -

Comprising workstation L-shaped 2400mm x 1800mm with 3 drawer mobile file, 2 x bookcases

approx. 1800mm, 1 x 4 drawer filing cabinet, 1 x framed with print "Beaconsfield Mine", 1 x

Hewlett Packard P4 desktop computer with LG F, 1 x visitor chair

750 280

5 5-6Administration

Office1

Contingency for

Office No. 2- - - -

Comprising office desk with return, 2 x 3 drawer pedestal, 1 x bookcase approx. 1800mm, 1 x 4

drawer filing cabinet, 1 x Dell flat screen monitor, 1 x meeting circular table, 2 x visitor chair, 1 x

timber framed print, 1 x Brother printer

1,550 500

5 5-7Administration

Office1

Contingency for

Office No. 3- - - -

Office desk, 1 x 3 drawer pedestal, 1 x office armchair, 1 x visitor chair, 2 x bookcases approx.

1800mm, 1 x Hewlett Packard laptop 6730B with BenQ flat screen \ monitor, whiteboard 900mm

x 900mm, 3 x filing cabinets 4 drawer

1,500 450

5 5-8Administration

Office1

Contingency for

Office No. 4- - - -

Comprising 1 x workstation L-shaped 2100mm x 1800mm, 3 x 3 drawer pedestal, 5 x 4 drawer

filing cabinets, 3 x bookcases each approx. 1800mm, 1 x office armchair, 2 x typist chairs, 1 x

Brother printer, 1 x fellows P-40 shredder, magnolite, cork board

1,500 450

5 5-9Administration

Office1

Contingency for

Office No. 5- - - -

Comprising 1 x office desk L-shaped with 3 drawer pedestals, 2 x bookcases each approx.

1800mm, 1 x 4 drawer filing cabinet, Hewlett Packard NX8420 laptop with LG flat screen

monitor, 1 x whiteboard 900mm x 900mm, 1 x framed period photo, 1 x office armchair, 1 x

visitors chair

2,600 1,000


376 Newbridge Road

Moorebank NSW 2170

Locked Bag 1004

Moorebank NSW 2170


ABN 35 003 688 284

ACN 003 688 284

T 02 9105 8000

SectionAsset



Office1

Contingency for

Office No. 6- - - -

Comprising 1 x workstation L-shaped 2400mm x 1800mm with 3 drawer mobile pedestal, 1 x

office typist chair, 1 x visitors chairs, 1 x whiteboard 1200mm x 900mm, 1 x 4 drawer filing

cabinet, 1 x Brother HL-2270DW printer, Hewlett Packard laptop computer with Dell flat screen

monitor, 2 x bookcases each approx. 1800mm, 1 x stationery cabinet 2 door approx. 900 x 500 x

1800mm, 2 x WTW PH31110 set 3

5,250 1,500


Office1

Contingency For

Computer Server

(Located in Locked

up area)

- - - -

Comprising 1 x Hewlett Packard ProLiant ML350 G6 with Hewlett Packard Ultrium 1700 tape

drive (main server), 1 x Hewlett Packard ProLiant ML350G6 (pronto), 1 x Hewlett Packard

Compaq G3 server (pronto), 1 x Hewlett Packard server with storage works Ultrium 460, 1 x

Sentry 1710 back-up storage case, 1 x Samsung SyncMaster 2033 flat screen monitor, 1 x

Hewlett Packard procure switch 2650, 1 x Dell flat screen monitor, 2 x Eaton 9130 UPS, 1 x

switchman USB combo, 1 x table

5,750 1,500


Office1

Contingency for

Items in Kitchen - - - -

Comprising 1 x Ibico Pouch Master PQ laminator, 1 x Ricoh Aficio MP-C4500 (rented), 1 x Pitney

Bowes franking machine (rented), 1 x 3 piece kitchen table chairs, 1 x Homemaker microwave

oven, 1 x Heifer 150L, 1 x framed print, 1 x stationery cabinet 2 door grey metal, 1 x Ibico

multibind 220

6,750 1,200

6 6-1Stores and

Laydown Area 1

Critical Spares

Major Processing

Equipment

Comprising

- - - -

Comprising 1 x ball mill girth gear, 1 x ball mill electrical motor 750kW/3300 volts, 1 x ball mill

pinion and gearbox, 1 x bac-ox agitator drive, 1 x agitator shaft and blades, 1 x conveyor

gearbox, 1 x leach belt conveyor gearbox, 1 x rubber conveyor belt

725,000 65,000

6 6-2Stores

Warehouse1

Contingency For

Consumables and

Spares Comprising

- - - -

Washing liquids, oils and lubricants, seals, housing, bearings, belts, cables, safety equipment,

rollers and idlers, scraper tips, tape, conduit, nuts, screws, tie downs, electrical parts and spares,

filters, industrial gas, grinding wheels, laboratory spares, lighting, electric motors, gearboxes,

flanges, ball valves, pump parts, pump liners, refractories, screening material, steel tubes and

round bar, fans and small hand tools

(As per costing provided at 16th February 2015)

5,500 3,500

7 7-1 Yard 1 Light Vehicle 2005 Mazda Bravo Bravo MM0UNY0W2003885

9

Manual Transmission

Registration No: FF-1203

Odometer Reading: 137,454km

4WD steel tray body utility with drop sides, engine diesel

6,250 4,000

7 7-2 Yard 1 Forklift (SV23) 1996 Toyota FG25 16721

Registration No: DN-3349

Hours Showing: 8,198

Capacity 2500kg, container mast, side shift, LPG operation, lift height, 4300mm

22,000 15,000

7 7-3 Yard - Yard Crane - Warman MK4 2010680

Registration No: RV-1977

Hours Showing: 866

Articulated hydraulic 8T with wire rope winch, mounted on chamberlain industrial MK 4 tractor,

with John Deere diesel engine, enclosed cabin

55,000 25,000

7 7-4 Yard 1

Rough Terrain

Forklift Telehandler

(SV11)

2006 Merlo P40-17-KS B608123Machine Hours: 9,795, SWL 4000kg, hydraulic boom, complete with 1 x work basket, 1 x fork lift

tynes, 1 x general purpose bucket 50,000 35,000

7 7-5 Yard - Wheel Loader 2007 Hyundai HL740-TM7 F0210449

Registration No: C37CZ

Hours Showing: 9,350

Air-conditioned cabin, complete with general purpose bucket approx. 2800mm

28,000 9,000

8 8-1Third Party

Premises 1 River Pump 2011 Sykes XH-150PE 1025302-2

Driven by Caterpillar

Model: C13

Serial No: LGK22233

415 HP, 6 cylinder motor with radiator, mild steel fuel tank 4,500L capacity all mounted in double

20ft shipping container

Middle Arm (Not Sighted)

- -

TOTAL 5,807,670 862,820


Annexure A


As requested this valuation has been prepared on the basis of MARKET VALUE FOR EXISTING USE which may be defined as:

MARKET VALUE FOR EXISTING USE is synonymous with Market Value Continued Use and/or Current Going Concern Value. Market

Value for Existing Use is defined as the estimated amount at which property might be expected to exchange by a willing buyer and a

willing seller, neither being under compulsion, and each having reasonable knowledge of the relevant facts, with equity to both.

Continued use assumes that the buyer and seller contemplate retention of the facilities at their present location for continuation of the

current operations. This opinion of market value is not intended to represent the amount that might be realised from a piecemeal

disposition of the property in the marketplace or from some other use of the property. These values are expressed in current dollars.

The original signed and certified copy of this report should be considered as the only reliable source of information. Soft or

electronically transmitted copies may be subject to manipulation outside the control of Grays Asset Services.


As requested this valuation has been prepared on the basis of ESTIMATED AUCTION REALISATION which may be defined as:

"The gross amount realisable at a properly promoted, conducted and attended public auction sale held by this Company under forced

sale conditions, and under present day economic trends”.

This takes into consideration such inflationary or depreciable conditions as physical location, difficulty of removal, adaptability or

specialisation, marketability, physical condition, overall appearance and total psychological appeal. It further takes into consideration

the ability to draw interested buyers.

Each item in this valuation has been individually assessed with regard to a total package auction sale, and the values shown are not

intended for the piecemeal selling of specific items by private treaty.

Should any of the major items appraised be withdrawn from sale, the overall attraction may not be as great and could adversely affect

the return on the balance of the sale. Furthermore, should the items be relocated elsewhere for sale e.g. Auction Rooms, it could

realise a lesser figure than shown. In the event of either situation occurring then a re-evaluation would be necessary.”

The original signed and certified copy of this report should be considered as the only reliable source of information. Soft or

electronically transmitted copies may be subject to manipulation outside the control of Grays Asset Services.

Grays Asset Services


Asset No. 1-1 Asset No. 1-2

Rom BinPortable Water Black Poly Tank

(LCS-PPC-126-127)


Fire Hydrant CabinetPrimary Crusher Grizzly Feeder

(10-FDV-001)

Asset No. 1-5 Asset No. 1-6Primary Single Toggle Jaw Crusher

(10-CRJ-001)

Crusher Discharge Rubber Trough Belt Conveyor

(10-CVB-001)

Photographs


Photographs

Asset No. 1-6 Asset No. 1-7Crusher Discharge Rubber Trough Belt

Conveyor (10-CVB-001)

Primary Screen Rubber Trough Feed Belt

Conveyor (10-CVB-002)

Asset No. 1-8 Asset No. 1-11Primary Vibrating Screen

(10-SCV-002)

Secondary Rotary Crusher Feeder

(10-FDV-002)


Secondary Crusher (10-CRC-002/A) Crusher Station Dust Collector

(10-GRB-001)


Photographs

Asset No. 1-14 Asset No. 1-15Suspended Tramp Iron Magnet

(10-MGP-001)Conveyor Service Hoist (10-CNM-09)


Primary Screen Hoist (10-CNM-002) Transportable Building


Fine Ore Bin (10-BNS-003)Mill Feed Rubber Trough Inclined

Belt Conveyor (20-CVB-003)


Photographs


Ball Mill (20-MLB-001-A) Cyclone Feed Pumps (20-PPC-001/002)

Asset No. 1-25 Asset No. 1-26Gravity Circuit Feed Pumps

(20-PPC-003/004)Mill Area Sump Pump (20-PPS-005)

Asset No. 1-23

Ball Mill (20-MLB-001-A)


Photographs

Asset No. 1-28 Asset No. 1-29Hydro Cyclone Cluster

(20-CYS-001)Concentrator


Unit Flotation Cell (20-FTA-01) Mill Area Hoist (20-CNM-003)


Mill Control RoomContingency for Sundry Items

to Mill Control Room


Photographs


Mill Electrical Transformer (20-TX-002) High Voltage Incomer Switchroom

Asset No. 1-40 Asset No. 1-41Primary Gravity Concentrator

(20-GCJ-001)

Scavenger Concentrator

(20-GCK-003)


Circular Separator Tailings Thickener E-CAT (30-THH-002)


Photographs


Tailings Thickener E-CAT (30-THH-002) Nutrient Overhead Hoist (70-CNM-006)


Xanthate Overhead Hoist

(70-CNM-005)

Flotation Area Overhead Hoist

(30-CNM-010)

Asset No. 1-50 Asset No. 1-51Nutrient Bag Splitting Cabinet

(70-BSX-001)

Nutrient Mixing Tank HDPE

(70-TKR-032)


Photographs


Filter Presses Tailings Pumps (30-PPC-023/024)


Tailings Pumps (30-PPC-023/024)

Cleaner Flotation Area Hoist

(30-CNM-011)

Asset No. 1-58

Unit Cell Flotation Concentrate Primary

(30-SAV-006/003)


Photographs

Asset No. 1-61 Asset No. 1-64Cooling Towers Single Fan

(40-CZC-001/002/003)Micro Filtration System


Bacterial Oxidation Concentrate Stock Tank

(40-AGA-002, TKH-002, TKH-143 and 40-AGA-143)

Bank of 8 Spiral Classifiers

(040-PPC-140 - PPC-141 - PPC-144)


Dewatering ScreenSlurry Pumps No. 1 and No. 2

(30-PPC-014/018)


Photographs


Champion Air ReceiverLow Pressure Blowers and After-Coolers

(40-CPB-003/004/005 and HXT-010/011/012)

Asset No. 1-111 Asset No. 1-162 Detoxification Surge Tanks

(50-TKH-024-028)


(Main MCC Control Room)

Asset No. 1-163

Contents Of MCC Mill Plant Electrical Control Panels (01-MCC-001)


Photographs

Asset No. 1-165 Asset No. 1-167 Telephone System

(Located In MCC Room) Transformer 3000 KVA (01-TX-001)

Asset No. 1-168 Asset No. 1-169Packaged Air Compressor

(80-CPS-013/014)Compressor Canopy


Lead Nitrate Mixing Tank

(60-TKH-029)

Zinc Dust Mixing Tank / Chamber

(60-BNH-015 / 60-FDS-006)


Photographs

Asset No. 1-175 Asset No. 1-177 De-Gassing Vessel

(Oxygen) (60-VSV-008) Gravity Table (80-SCT-004)


Plate Filter (Zinc Precipitate Filter) (60-FLF-011) Calcining Ovens


Tilting Furnace (60-FCS-001) Shipping Container


Photographs


Gantry Frame Underground Flammable Liquids Cabinet


Gas Bottle Cage "A" Frame Rack


Shipping Container (8ft)

Contents Of Shipping Container

and Confined Space Unit


Photographs


Confined Space Storage Unit Contingency for Lay-Down Sundry Items


Contingency For Sundry Items Contingency For Power Tools

Asset No. 1-213

Contingency for Lay-Down Sundry Items


Photographs


Pressure Washer Bays Of Pallet Racking


Bays Of Stock Shelving Parts Cabinets


"A" Frame Rack Double Ended Grinder


Photographs


Double Ended Grinder Oxy and Acctetlyn Set Including


Pedestal Drill Industrial Pedestal Grinder


Arc Welder Metal Cut Off Drop Saw


Photographs


Welding Cage with Fork Tynes Fume Exhaust System


Arc Welder Quickie Gas Straight Line Cutter


Jet Broach Drill Portable Caddy Welder


Photographs


Mig Welder Caddy Welder


Electrofusion Unit Scissor Lift Platform


Fabricated Welders Table Fabricated Steel Work Table


Photographs


Fibre Glass Ladders Aluminium Ladders


Contingency For Air And Power Tools Contingency For Lifting Items


Mobile Engine Hoist Jump Starter


Photographs


Portable Diesel Power Generator Hydraulic Workshop Press


Pipe Threading Machine Flammable Liquids Cabinet


Workshop Cabinets/ Benches Storage Cabinet


Photographs


Airless Sprayer Portable Diesel Tank


Domestic Lawn Mower Ride On Lawn Mower


Jump Starter Pressure Washer


Photographs


Parts Washer Pneumatic Drum Pumps


Manual Drum Pump Workshop/Stores Warehouse


Workshop/Stores Warehouse Warehouse Building


Photographs



Modular Style Relocatable

(05-BLG-005)

Asset No. 3-5

Warehouse Building

Asset No. 3-8

Modular Style Relocatable (05-BLG-005)


Photographs


Modular Style Relocatable (05-BLG-005) Transportable Ablution Building


Transportable Ablution Building Relocatable Office Building

(05-BLG-001)

Asset No. 3-8

Modular Style Relocatable (05-BLG-005)


Photographs


Contingency For Office Furniture Relocatable Building


Relocatable Building Contingency for Sundry Items


Asset No. 3-18


Photographs


Relocatable Building Relocatable Building


Relocatable Building Spectrophotometer


Spectrophotometer Ultrasonic Bath


Photographs


Colour Meter Safety Shower/Eyewash Station


Chemical Spill Treatment Kit Fume Extraction Cabinet


Laboratory Hotplate Flammable Liquids Cabinet


Photographs


Vibratory Laboratory Hotplate Laboratory Furnace 50 Place Cupel


Laboratory Furnace

25 Place Fusion FurnaceRing Mill Grinder


Laboratory Jaw Crusher Dust Collection Cabinet/Bag-House


Photographs


Sample Splitter Laboratory Oven


Testing Sieve Shaker Flammable Storage Cabinet


Tray Storage Rack Heating Cabinet


Photographs


Laboratory Flotation Machine Drum Tumbler


Filter Press Contingency For Laboratory Sundries


Steel Benches Contingency for Reception Area Furniture


Photographs


Contingency For Consumables and Spares Light Vehicle

Asset No. 5-4

Contingency for Office Furniture to Reception Office

Asset No. 5-10

Contingency for Office No. 6


Photographs


Forklift (SV23) Yard Crane


Yard Crane Rough Terrain Forklift Telehandler (SV11)

Asset No. 7-4

Rough Terrain Forklift Telehandler (SV11)


Photographs


Rough Terrain Forklift Telehandler (SV11) Wheel Loader

Asset No. 7-5

Wheel Loader


BCD IER Report 31.8.18 - O'Brien Palmer

Documents

Transcript of BCD IER Report 31.8.18 - O'Brien Palmer