Riedel Resources Ltd : Quarterly Activities Report

Suite 1, 45 Ord Street

West Perth Western Australia 6005

Tel: [phone]

Fax: [phone]

PO Box 1559, West Perth Western Australia 6872 www.riedelresources.com.au ABN: 91 143 042 022

ASX: RIE, RIEO

6 February 2014

QUARTERLY ACTIVITIES REPORT FOR THE PERIOD ENDED 31 DECEMBER 2013 - CLARIFICATION Riedel Resources Limited (ASX: RIE) advise that the information provided in the Quarterly Activities Report for the period ended 31 December 2013 lodged on

29 January 2014 was prepared and first disclosed under JORC Code 2004. It has not been updated since to comply with the JORC Code 2012 on the basis that the information has not materially changed since it was last reported.
Attached is the Quarterly Activities Report for the period ended 31 December
2013 with the revised Competent Person's Statement.

Sue Symmons Company Secretary

ASX ANNOUNCEMENT

29 January 2014

Quarterly Activities Report for the

Period Ended 31 December 2013

Riedel Resources Limited (ASX: RIE, "Riedel" or "the Company")
is pleased to present its 2013 December Quarter Activities Report:

COMPANY DIRECTORS

Mr Ian Tchacos

Non-Executive Chairman

Mr Jeffrey Moore

Managing Director

Mr Ed Turner

Technical Director

Mr Andrew Childs

Non-Executive Director

COMPANY SECRETARY

Ms Sue Symmons

Charteris Creek HIGHLIGHTS CONTACT DETAILS Principal & Registered Office Suite 1

45 Ord Street

West Perth

Western Australia 6005

Postal Address

PO Box 1559

 Fortescue Metals Group through its wholly-owned subsidiary

FMG Resources Pty Ltd has entered into a Farm In and Joint
Venture Agreement worth up to $1M over Exploration Licence
45/2763.

Burkina Faso

 Consistent with its aim to streamline the Company's activities and concentrate only on the highest ranked and financeable projects, Riedel has elected to not complete the acquisition of all five Burkina Faso projects.

Corporate

 Cost reduction strategies implemented across the Company's business structure and capital raising initiatives including project divestments remain ongoing.

Cash at 31 December 2013 - $0.21.

West Perth

Western Australia 6872

Website

www.riedelresources.com.au

Email

[e-mail]

Phone

[phone]

Facsimile

[phone]

ABN: 91 143 042 022

ASX CODE: RIE

Riedel's assets include a portfolio of gold, copper and nickel projects and significant land holdings in prospective Archaean- and Proterozoic-age terranes of Western Australia. In January 2014, Riedel elected to not complete the acquisition of five Permits in Burkina Faso and the Company intends to withdraw from West Africa (see Figure 1 for location of projects).
The Company has a mixture of advanced and early stage prospects, including:
 Marymia (copper, gold, nickel and base metals);

 Cheritons Find (gold - 1Inferred Resources of 1.4Mt @ 2.4g/t Au for 108,000 oz);

 Millrose (gold - 2Inferred Resources of 4.0Mt @ 2.4g/t Au for 309,000 oz).

Furthermore, the Western Australian Projects are augmented with a number of additional prospects, including existing joint ventures, royalty agreements and free carried interests.

Figure 1: Western Australia and Burkina Faso (West Africa) Project locations

1 Sons of Gwalia - 29 November 2000. This information was previously prepared and disclosed on the basis of compliance with the JORC Code - 2004 Edition. The Inferred Mineral Resources have not been subsequently updated to satisfy compliance with the JORC Code - 2012 Edition as the information has not materially changed since it was last reported.

2 Phil Jones (Al Maynard & Assoc) - 2010. This information was previously prepared and disclosed on the basis of compliance with the JORC Code - 2004 Edition. The Inferred Mineral Resources have not been subsequently updated to satisfy compliance with the JORC Code - 2012 Edition as the information has not materially changed since it was last reported.

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WESTERN AUSTRALIA

CHARTERIS CREEK PROJECT

On 16 January 2014 Riedel announced that Fortescue Metals Group (ASX: FMG, "Fortescue") through its wholly-owned subsidiary FMG Resources Pty Ltd has entered into a Farm In and Joint Venture Agreement worth up to $1M over Exploration Licence 45/2763 (see Figure 1 for location of project).

Farm In And Joint Venture Agreement Details Fortescue can earn a 51% interest in the Tenement by spending $200,000 on exploration within the Exploration Area within 3 years of the date of signing the Agreement ("Initial Earning Period").

If Fortescue satisfies the expenditure conditions during the Initial Earning Period a Joint
Venture with Riedel will be formed.

Fortescue can earn an additional 14% interest (for total interest of 65%) in the Tenement by spending a further $400,000 on exploration (for total expenditure of $600,000) within the Joint Venture Area within 3 years of forming the Joint Venture ("Additional Earning Period").

At any time during the Additional Earning Period, after Fortescue has spent no less than
$100,000 on exploration within the Joint Venture Area, Fortescue can elect not to earn any further interest in the Tenement.

Fortescue can earn an additional 15% interest (for total interest of 80%) in the Tenement by spending a further $400,000 on exploration (for total expenditure of $1,000,000) within the Joint Venture Area within the Additional Earning Period.

If all milestones are met by Fortescue within the Initial and Additional Earning Periods,

Fortescue will have earned an interest of 80% in the Tenement by the expenditure of $1,000,000 on exploration within the Joint Venture Area.

After Fortescue has satisfied its earning obligations, Fortescue and Riedel will contribute to Joint Venture expenditure in proportion to their interest in the Joint Venture, alternatively standard dilution conditions will apply to non-contributing parties.
If a Joint Venturer's Joint Venture interest reduces to less than 10%, the interest is converted to a 2% Net Smelter Royalty ("NSR") for a period of 5 years from the Royalty Commencement Date and a 0.6% NSR thereafter.

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Geological Setting

The Company's 100%-owned tenement is 131km2 in area and is located approximately 45km north of Nullagine and 50km south-east of Marble Bar in the Pilbara Region of Western Australia.
The Charteris Creek Project has very favourable geology for the discovery of mineral deposits, as highlighted by the presence of numerous gold, copper, base metals, iron ore and specialty metals discoveries and deposits proximal to the exploration licence (see Figure 2).
Despite the strong similarities between the geological/structural setting at Charteris Creek to that which hosts nearby mineral deposits, only limited exploration has been previously carried out within the tenement.

Figure 2: Charteris Creek Project - Geological Map highlighting known mineral occurrences and deposits

Mineral deposit and mineralisation types that the Company has identified as exploration targets in the tenement include:

─ Copper-lead-zinc and copper-molybdenum mineralisation associated with a granodiorite intrusion has been identified in the south-east part of the exploration licence. This mineralisation forms part of a larger cluster of base metal and specialty- metal occurrences related to stockwork mineralisation in the Gobbos Granodiorite.

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─ Laconia Resources' Lennons Find VHMS deposit (3 Indicated and Inferred Mineral Resources of 1.85M tonnes @ 5.1% Zn, 1.4% Pb, 0.2% Cu and 82g/t Ag) is located approximately one kilometre to the north of E45/2763. Reconnaissance work by Riedel confirms that the prospective Warrawoona Group host rocks extend into E45/2763.

─ The McPhee Creek Iron Ore deposit (4Indicated and Inferred Mineral Resources of 251 million tonnes @ 56.1% Fe) is located approximately 8km along strike to the south of E45/2763 in rocks belonging to the Gorge Creek Group. Regional mapping indicates that the prospective Gorge Creek Group extends further north into E45/2763.

─ In 1968 5Conwest Australia reported significant copper intercepts from drilling in porphyry rocks, including 50 feet @ 1.34% Cu from 40 feet in drillhole OS4 and 20 feet @ 1.38% Cu from 130 feet in drillhole OS3. The drilling was carried out several kilometres to the south of E45/2763 in geology analogous to the granitic porphyry within Riedel's exploration licence.
─ In 1987 6Concord Mining NL completed exploration within the Bridget, Otways and Gobbos Prospects, located several kilometres to the south and south east of E45/2763. Concord collected 130 stream sediment samples with 20 samples being considered anomalous. Assay results up to 1.5g/t Au at the Otways prospect, 6.92g/t Au east of Gobbos, and 1150 ppm Cu at Gobbos were reported. Encouraging sample results from costean 1 at Otways included 21m @ 3.89% Cu and 2.22g/t Au.

─ Numerous small but very high grade gold deposits are located adjacent to the north- western boundary of the tenement in Warrawoona Group rocks and several structures that control, or are associated with these gold deposits, extend into E45/2763.

OTHER WESTERN AUSTRALIAN PROJECTS

There were no field activities within the Western Australian projects during the Quarter.
Subject to the Company securing adequate funding, future exploration programmes within the Marymia Project contemplate a project-wide aerial electromagnetic geophysical survey (VTEM) to test for conductive nickel and copper sulphide deposits and drilling of the best gold targets with RAB and RC/diamond core.
Riedel also continues to look at mechanisms to commercialise the Millrose and Cheritons Find Projects, either via divestment or by exploiting the resources using toll treatment and/or other treatment options.

3 Laconia Resources Limited website - January 2014

4 Atlas Iron Limited website - DSO Resources and Reserves - January 2014

5 Western Australian Mineral Exploration Index (WAMEX) Report No. a1696

6 Western Australian Mineral Exploration Index (WAMEX) Report No. a24511

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WEST AFRICA

BURKINA FASO PROJECTS

In January 2014 (subsequent to the end of the Quarter), Riedel elected to not complete the acquisition of five Permits in Burkina Faso and the Company intends to withdraw from West Africa.
To complete the acquisition of the five Burkina Faso projects the Company had the right (but not the obligation) to make project vendor payments of US$370,000 by 31 December 2013. The decision to not proceed further with the purchase of the West African projects is consistent with the Company's policy of identifying and adopting prudent cash management measures to most-efficiently constrain near-term expenditure.

CORPORATE

The Company held Cash Reserves at 31 December 2013 of $0.21M.
Capital raising initiatives, including project divestment, continue to be explored by the Company with the aim of restoring shareholder value whilst best preserving the Company's favourable capital structure.

TENEMENT SCHEDULE

Following is the schedule of Riedel Resources mining tenements as at 31 December 2013.

Area of Interest	Tenement reference	Nature of interest	Interest
Western Australia
Charteris Creek	E45/2763	Direct	100%
Bronzewing South	E36/623	Indirect	80%
Bronzewing South	M36/670	Indirect	80%
Delaney Well	E36/734	Direct	100%
West Yandal	M36/615	Royalty	0%
Marymia	E52/2394	Direct	100%
Marymia	E52/2395	Direct	100%
Milrose	E53/1304	Direct	100%
Milrose	E53/1305	Direct	100%
Porphyry	M31/157	Royalty	0%
Dulcie	P77/3727	Direct	20%
Dulcie	P77/3728	Direct	20%
Dulcie	P77/3729	Direct	20%
Cheritons Find	E77/1793	Direct	100%

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TENEMENT SCHEDULE (continued)

Area of Interest	Tenement reference	Nature of interest	Interest
Burkina Faso Tagou Gonsin Galgouli South Moaga Keri	11-369 09-229 09-114 08-143 09-163	Staged Payments Staged Payments Staged Payments Staged Payments Staged Payments	100% 100% 100% 100% 100%

For further information please contact:

Ed Turner Jeffrey Moore

Executive Director Executive Director

Riedel Resources Limited Riedel Resources Limited

Tel: [phone] Tel: [phone]

Email: [e-mail]: [e-mail]

About Riedel Resources Limited

Riedel Resources Limited listed on ASX on 31 January 2011 and is an Australian-based exploration company established to explore for and develop mineral deposits.

Further information can be found at the Company's website www.riedelresources.com.au

Competent Person's Statement

The information in this report that relates to Exploration Results and Mineral Resources is based on information compiled by Mr Ed Turner, who is a Member of The Australian Institute of Geoscientists. Mr Turner is a full time employee of Riedel Resources Limited. Mr Turner has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activities undertaken to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Turner consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.

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