STRATEGY

North Queensland’s strategy is to focus on growing gold production

• Pajingo, at a production rate of 3000 ozs (NQM share) per month and cash cost of $650/oz realising $1150/oz, generates $1.5M net cash flow per month
• There are many under explored targets at Pajingo and many projects for consideration and evaluation around Charters Towers
• Pajingo exploration now underway will provide additions to the resource base and delineate new targets for drilling.
• Dotswood evaluation, will determine whether to exercise the option to purchase by September 2009
• The aggregation, exploration and development of copper, tin and gold tenements around Herberton continues but at slower pace.
• A solid foundation for growth is in place

What are we looking for in new projects for NQM?

• A minimum 100Koz pa production
• Minimum 10 year life
• Low cost production

• Brownfields project – proven
• Quick to production
• Low risk – in all senses
• Low capex