They were referred to as "cross-courses" by the early miners. The principal gold mineralisation is associated with a series of bedding parallel quartz veins and associated saddle reefs occurring along both limbs and across the axis of the Hill End Anticline. The veins occur in the upper part of the Chesleigh Group and lower portion of the Crudine Group almost exclusively within or at the contact of thin (<2m) siltstone bands with overlying sandy turbidite units.

The vein systems are exposed over a strike length of at least 26km from the north of the Bruinbun Granite to the Dun Ailuro Mine. In the main Hill End area up to 12 separate veins were recognised. The Reward deposit mineralised domain model contains eight (7) separate vein packages which are named according to interpreted vein intercepts assigned during logging of the holes.

The vein packages form a series of stacked domains which extend for around 670m in the north south direction, with each individual vein package up to 20m wide, averaging around 5-10m wide. The vein domains, from top to bottom are Frenchman's; Stevens; Paxton's; Star of Peace; Mica; Phillipson's and Amalgamated. Resource estimation was undertaken using Ordinary Kriging (OK) as the estimation methodology for, gold within the mineralised domains.

Surpac software was used for this estimation. Ordinary Kriging (OK) was selected as an appropriate estimation method based on the quantity and spacing of available data and style of deposit under review. A three-pass strategy was employed to generate the grade estimates.

The number of composites for a successful estimate was restricted to a minimum of 12 and a maximum of 24 for the first and second pass, reducing to 6 and 12 for the third pass. The search axes were aligned with the average orientation of the mineralised domains while search distances were derived from variographic analyses of the data sets. An analysis was conducted to determine the appropriate search neighbourhood for the selection of composites to be used for grade estimates.

In determining the search neighbourhood to be used, favorable consideration was given to the combination that: - · Ensured most cells were estimated; Restricted the influence of extreme high grades; Maximised slope of regression; and Minimised negative weights. Search ellipse orientations were determined based on variogram orientation, variogram model anisotropy and ranges, mineralisation geometry and data distribution. Search distances and maximum number of samples were chosen to ensure adequate smoothing while also taking into consideration the search distance.

A multiple search strategy in obtaining the estimates using the results of the search neighbourhood analysis. The same search parameters were used for each domain. A high-grade restriction was utilised to limit the influence of grades over 30g/t to 12m for the first pass and 24m for the second and third passes.

The estimates were completed using whole block discretisation of 2 points in the east-west dimension, 3 points in the north-south dimension, and 3 points in the vertical (dip) dimension for a total of 18 discretisation points per whole block estimate. Any sub-blocks within the 3-D limit of each whole block were assigned the whole block estimate. Domain control was used for both the input composite data and block selections (i.e. hard boundaries).

The exploration data used for the Reward estimate is robust and appropriate for resource estimation purposes, with the current data spacing sufficient to generate robust mineralisation interpretations. The geology of the project area has been studied in detail over numerous years, providing confidence in the interpretation of mineralisation style. Historical mining records give further confidence in the existence of economic mineralisation.

Prospects for eventual economic extraction are high as the deposit is partly developed, the gold is easily beneficiated using simple methods and there is an existing processing plant on site. The resource classification criteria were: Indicated - Blocks that were estimated in the first pass. The search ellipse distance of the first estimation pass approximates the overall range of the variogram model.

Most of these blocks occur immediately adjacent to development. The mineralogy of the Hill End gold mineralisation is relatively simple with most gold being of high fineness and hosted within quartz veins with low sulphide content. The gravity separation plant on site achieved a 95% recovery rate.

During 2009 a total of 12,591 tonnes of ore at a grade of 15.9g/t was processed producing 5,871 ounces of gold.