INSTRUCTIONS - Realview

Exploration is focused on identifyinghigh-grade resources to supplementexisting underground production atthe Company’s operations.Extensional DrillingBudgets have been structured to allowa greater emphasis on extensionalunderground drilling in addition to gradecontrol drilling in the immediate mineenvironments. At Gwalia, extensionalprograms will follow-up the positiveresults reported in the March 2009Quarter from the South West Branchwhich are not included in currentreserves (5.9m @ 11.5g/t from1051mbs, 4.9m @ 11.6g/t from1045mbs). Some reconnaissancedrilling of the Hangingwall Lode willalso be undertaken. The HangingwallLode – which was not targeted bythe Gwalia Deeps surface drillingprogram – was mined historically atgrades of ~7g/t and is open beneath980 metres below surface.At Marvel Loch, geological modellinghas identified a range of targets, somein newly defined lode positions (MainLode; Mazza Lode) and others basedon conceptual studies. Extensionaldrilling will be prioritised on thenew lode positions which are closeto existing underground mineinfrastructure and may offeradditional sources of productionadjacent to established reserves.Southern CrossAt Southern Cross, surface drillingestablished new high grade undergroundresources at Ruapehu, located 2kmfrom the Southern Cross township,and Jaccoletti, located 1.5km fromthe Marvel Loch Underground Mine.An open pit resource was establishedat Edwards Find, located 15km southeast from Marvel Loch.Sources of past production includingthe Cornishman, Frasers, Corinthianand Copperhead mines are yet to befully evaluated for depth extensions.The Frasers and Copperhead mineshave been sources of significant pastproduction in the belt, with in excessof 1.5M oz produced in aggregatefrom open cut and undergroundoperations. Full collation of historicalrecords will be conducted to establishJORC-compliant resources on theseprojects from existing drill data.The Nevoria resource remains in thefinal stages of evaluation to betterconstrain the structural controls onthe high-grade lodes and the gradedistribution through the orebody.Potential exists to extend the Nevoriaresource down plunge, with intersectionsopen at depth beneath the Silver Lodeincluding 16.8m @ 27.6g/t from 193mbsand 9.3m @ 49g/t from 138mbs(down-hole widths).The objective for Southern Crossexploration is to establish a minimumfive year mine life, with Marvel LochUnderground a cornerstone part of theplan supplemented by other sourcesof high-grade production.LeonoraAt Tower Hill, further drilling wasconducted to better define thehigh-grade lodes and gather additionalgeotechnical data to finalise miningstudies. In the broader Leonora District,a program was initiated to mapalteration signatures associated withgold mineralisation using a TerraSpecmineral analyser. This technology allowsrapid, low-cost evaluation of existingdrill spoils, highlighting targetsassociated with strong alterationgradients. Combined with structural,geophysical and geochemical studies,this program has prioritised a numberof targets for follow-up work closeto the Gwalia mill.At Leonora Operations, the explorationobjective is to complement the plannedmine life at Gwalia of more than nineyears with high-grade reserves additionalto those at Tower Hill.stbarbara.com.au – Annual Report 2009: 11