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SUMMARY Southern Gold (ASX Code: SAU) is an emerging gold

exploration company with projects in Kalgoorlie region of

WA, in Cambodia and South Australia. The flagship project

is the Bulong Gold Project, which comprises the Bulong

South tenements and the Bulong East tenements, the latter

of which SAU have recently added to the portfolio via an

earn-in agreement with Heron Resources.

SAU intend to commence preliminary studies of the Cannon

resource and development options after the achievement of

two key milestones:

i. Obtaining an upgraded resource estimate for the

Cannon Gold prospect (within Bulong Gold Project)

that entailed an increase in both tonnage (+20%)

and gold grade (+0.2 percentage points), and

ii. Confirmation of positive drilling results at the

Bulong south tenements from a number of drilling

campaigns.

To this end, the company has recently appointed a Project

Development Manager to oversee metallurgical testwork,

further geotechnical work and initial environmental

studies.

Cannon Resource Upgraded to 896,000t @ 3.3g/t gold

containing 94,500 oz gold

Following the upgrade to the Cannon Gold Resource the company’s near-term objective at Bulong South is to increase the current resource base by testing for further extensions to the Cannon Gold prospect, and/or discovering additional gold deposits in the nearby Bulong East tenements that are contiguous to the Bulong South tenements.

In particular, the Bulong East tenements are largely unexplored, with an SAU assessment finding that none of the 12 gold anomalies discovered were adequately tested in previous exploration campaigns. Numerous Processing Facility Options Within Proximity

The Cannon Resource is within economic-haulage distance of several gold processing facilities. Conceptually, there are up to five toll treating options, which include (but not limited to): i) Salt Creek Gold Processing Facility (Integra Mining), ii) Lakewood Gold

Processing Facility (Silver Lake Resources), iii) Kanowna Belle Gold Processing Facility (Barrick Corporation) and iv) Kalgoorlie Mining Company’s planned 700Ktpa gold processing facility and mill adjacent to its Bullant Mine site.

SOUTHERN GOLD LIMITED (SAU)

Progressing Development of Bulong Gold Project

SPECULATIVE

8 December 2011

Important Disclosure Investors should be aware that Southern Gold Ltd is a corporate client of Alpha and that Alpha will receive a consultancy fee from Southern Gold Ltd for compiling this research report

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Gold Tenements in Underexplored Region of Cambodia SAU has seven granted Exploration Licenses spread across five project areas, covering over 1500km2

in east Cambodia that are prospective for gold and base metals. The east/SE area of Cambodia is an underexplored region; in contrast, the northern part of Cambodia is emerging into a new gold province associated with an Intrusive Related Gold System (IRGS) where a trend of gold occurrences and artisanal mining centres follows a west/NW structurally controlled trend spanning Cambodia.

This includes OZ Mineral’s Okvau Project, which has an announced resource of 605,000 oz gold and is located 10 kilometres north of SAU’s Kratie South Project in east Cambodia. SAU consider that the mineralisation at Kratie South is similar to that at Okvau. In Cambodia, SAU are currently focused on the upcoming work programs, which will follow up the positive drilling results achieved in 2010, as well as target previously untested soil anomalies.

Strategic Partnership for Cambodia Projects

In May 2008, Japan Oil, Gas and Metals National Corporation (JOGMEC), a large Japanese organization who are actively exploring in Cambodia, committed to a US$4.5 million joint venture with SAU in order to accelerate exploration on three of the company’s Cambodian gold and base metal projects.

The terms of the JV agreement required JOGMEC to spend a total of US$4.5 million1 over three years to earn a 51% interest in the Phnum Khtong (Kratie North Project) and two adjoining blocks, Preak Khlong and O’Kthung (Kratie South Project). In 2011, JOGMEC elected not to continue earning an interest in the Kratie North Project, after

meeting its minimum commitment of US$0.5 million. The Kratie North Project has been subsequently returned to SAU, who now own it 100%.

Appointment of Highly Experienced Project Development Manager

In November 2011, SAU announced the appointment of Mr. Ian Blucher as the Project Development Manager, whose main role will be to:

i) Evaluate development and growth options at the Bulong Gold Project, ii) Oversee exploration of near resource and regional gold targets at the Bulong Gold Project

and iii) Oversee development of work plans for all of SAU’s Australian projects. Outside of the

planned work at the Bulong Project and in Cambodia, SAU are currently prioritising and assessing over 30 gold anomalies within the tenement package (2,960km2) covering the

Challenger joint venture with Kingsgate Consolidated Ltd. SAU aim to bring these targets to drill ready status for the 2011/2012 work program.

Mr Blucher, who will lead SAU’s Australian technical team, is an experienced geologist, having held senior mining and exploration positions with Normandy Poseidon Group, Great Central Mines NL, Giants Reef Mining and more recently, Jabiru Metals Ltd. He has a strong background in the

processes and procedures required to start-up mining activities, including scoping studies and feasibility studies.

Funding

The cash balance as at 30 September 2011 was $2.11 million, compared with $2.93 million at the end of June 2011. The cash burn rate for the current quarter is expected to be $0.9 million, two-

thirds of which will be spent on exploration activities. The balance sheet is debt free.

1 Including a minimum spend of US$1 million in the first year on the JV projects.

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Capital Structure

SAU has 242.2 million ordinary shares on issue and at the time of writing, SAU had a market

capitalisation of $10.9 million. In addition, there are 6.4 million unlisted options on issue2, which are currently all out-of-the-money. The exercise prices for these options range from 10.5 cents per share to 75 cents per share and expiry dates range from December 2011 to December 2015. As at 22 September 2011, SAU had 2,558 shareholders, with the top 20 shareholders accounting for ~27% of the total shares on issue. At present, there are no substantial shareholders on the register.

Table 1: SAU Capital Structure

Source: SAU Annual Report 2011

2 Directors hold 2.5 million of the total unlisted options

Expiry

Date

Total Ordinary Shares 242.4

Unlisted Options

- Exercise Price 31.5c 0.25 07-Dec-11

- Exercise Price 50c 1.00 07-Feb-12

- Exercise Price 35c 0.05 21-Oct-12

- Exercise Price 75c 0.50 28-Nov-12

- Exercise Price 20c 0.10 25-May-13

- Exercise Price 15c 0.60 30-Sep-13

- Exercise Price 15c 1.50 29-Jun-12

- Exercise Price 30c 0.15 30-Jun-14





Total Unlisted Options 6.40

Total Isssued Securities 248.8

Shares/Options on Issue Million

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1. BULONG GOLD PROJECT, WA

1.1 Overview The Bulong Project encompasses the Bulong South tenement package, which is a 84km2 tenement package, and the Bulong East tenement package, a group of tenements in which SAU has entered into a Heads of Agreement with Heron Resources in March 2011 to earn up to 80%3.

Figure 1: Location and Outline of Bulong Gold Project, including the Bulong East tenements.

Source: SAU

1.2 Recent Upgrade in Gold Resource and Grades at Cannon Gold Prospect

In June 2011, SAU obtained an upgraded resource estimate for Cannon Gold prospect, totalling 896Kt @ 3.3g/t gold containing 94,500 oz gold4. The revised resource represents a 20% increase in the tonnage, as well as an increase in the gold grade from 3.1g/t previously. A large portion of the deposit, 83%, is now in the Indicated category5.

3 SAU is required to meet staged expenditure commitments up to $1 million within 21 months (from March 2011)

4 Including 672Kt Indicated @ 3.6g/t containing 78,800 oz gold and 225Kt tonnes Inferred @ 2.2g/t containing 15,700 oz gold. 5 The majority of the resource was classified as Indicated on the basis of continuity of mineralisation and 20 metre x 20 metre drill spacing.

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The upgraded resource was obtained by Runge Ltd, who were appointed after SAU obtained the results of RC drilling in early 2011. The drilling program was undertaken to test the westerly down dip

extension of the high grade zone and to provide infill drilling data in order to assist with the revised resource estimate and to increase a greater percentage of the resource ounces into Indicated category. Drill holes used in the resource estimate included 48 RC holes totaling 897 metres and four diamond holes totaling 78 metres. Drill holes

within the resource area, which extends over a strike length of 305 metres, were drilled at spacings of 20 metres to 40 metres.

1.3 Drilling Activities and Results

1.3.1 Early 2011 Prior to obtaining the upgraded resource, SAU undertook a drilling program in April 2011 which reported significant gold intersections over 1-metre intervals, including 15.02g/t gold at the SW Cannon prospect and 10.68g/t gold at the Pinner prospect. These 1-metre intervals

occur within broader gold zones, with best intersections including 4 metres @ 5.22g/t gold, 5 metres @ 7.94g/t gold and 6 metres @ 3.02g/t gold. Of the 31 RC holes drilled, 20 holes intersected gold greater than or equal to 1g/t gold. Based on these results, SAU prioritised SW Cannon and Pinner as the 1st order targets, given i) high-grade gold intersections, ii) several

holes intersecting good gold grade and widths, iii) close proximity to the Cannon resource and iv) shallow mineralisation (less than 50-metre depths). Following SW Cannon and Pinner are Monument as the 2nd order target and Homerton as the 3rd order target. At Homerton, four RC drill traverses identified a broad mineralised gold system over a 100-metre

strike length. Several holes intersected two zones of gold mineralisation near surface and at depth.

1.3.2 Results from a Follow-up Drilling Program confirm High-

Grade Gold Mineralisation at Pinner

Follow-up RC drilling at the Pinner and Monument prospects commenced in August 2011 to test extensions along strike and down dip of earlier intersections. The assay results from this RC drilling program reinforce that the Cannon Trend represents an extensive gold

mineralised zone. At these targets, 22 RC holes were drilled (for a total of 2,382 metres), in order to test for proximal extensions to the Cannon Resource and additional resource-grade mineralisation. Of the 22 RC drill holes, 21 intersected gold mineralisation and of these, five holes intersected

zones of significant grades and four holes intersected wide, low-grade mineralisation. Significant intersections from the new RC drilling results at the Pinner prospect include i) 6 metres @ 9.32g/t gold from 70 metres (including 1 metre @ 52.9g/t gold from 73 metres) and ii) 3 metres @ 5.69g/t gold from 66 metres (including 1 metre @ 16.52g/t gold from 68

metres). Significant results at the Monument prospect include i) 32 metres @ 0.9g/t gold from 47 metres (including 6 metres @ 2.84g/t gold from 70 metres).

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The western side of the Pinner anomaly remains the most prospective part of this zone, with the gold mineralisation dipping to the west (similar to the dip direction of the Cannon resource). In addition, the

SE extension of the Pinner anomaly warrants further investigation, as its low-medium gold grade source (with mineralisation remaining open along strike) varies from the style of mineralisation at the Cannon deposit, which could be relevant from the viewpoint of developing the Cannon deposit.

While drilling at the Monument prospect intersected broad, low-grade zones, the continuity and shallow depths of the mineralisation at Monument warrants further investigation, especially given its proximity to the Cannon resource.

Figure 2: Outline of Key RC Drilling Targets

Source: ASX Announcement (SAU) 11 November 2011

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1.4 Development Options

At this stage development options available to SAU would be to utilise existing processing plants in the region, of which there are several options, each of which are proximal to the Bulong project area, as outlined in Figure 3.

Figure 3: Proximity of SAU Projects to Neighbouring Gold Mining companies with market capitilisation values greater than $400m.

Source: SAU

Alpha Securities have identified a number of potential treatment options that may be available in the region should SAU proceed with this option. These include (in order of proximity to the Cannon Resource):

Option 1: Salt Creek Processing Facility (Integra Mining)

The Salt Creek Processing Facility processes gold produced from Integra Mining’s high-grade open pit operations at the Randalls Gold Project, located 60 kilometres east of Kalgoorlie and commenced production in September 2010.

A recent upgrade of the Salt Creek Processing Facility was completed in early August 2011 ahead of schedule and below the budgeted cost (~$12 million). The mill capacity is currently 1Mtpa, with targeted annual production of 100,000 oz.

SAU AND GOLD MINERS

Basement Geology Legend

Granite

Sediments

Mafic rocks

Ultramafic rocks

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Option 2: Lakewood Gold Processing Facility (Silver Lake Resources)

Silver Lake Resources’ Lakewood Gold Processing Facility is located five kilometres SE of Kalgoorlie and 45 kilometres from the Daisy Milano mine. Silver Lake purchased the facility in November 2007 for $2.4 million and acquired the Daisy Milano mine in December 2007, when it was re-opened.

Since being acquired by Silver Lake, the Lakewood Processing Facility has undergone a major modification program, as well as a capacity upgrade. The facility is now capable of processing 400Ktpa of hardrock or up to 600Ktpa of blended (soft) rock. Silver Lake has committed to a progressive upgrade of the Lakewood Processing Facility to 1Mtpa, in a two-stage process6. The Stage 1

upgrade involves the company seeking approvals to upgrade the facility from its current capacity of 400Ktpa of hard rock and 600Ktpa of soft rock to around 700Ktpa by December 2011. The Stage 2 upgrade, which would take capacity from 700Ktpa to 1Mtpa, is expected to be completed by the September 2012 quarter.

Option 3: Kanowna Belle Gold Processing Facility (Barrick Corporation)

The Kanowna Belle Processing Plant runs both refractory ore, and free milling ore. The processing plant mill feed ore is a combination of Kanowna Belle’s underground mine and a few open pit and other underground operations such as Raleigh, Moonbeam, Moonlight and Crossroads. The Kanowna Belle Gold Mine is located 19 kilometres NE

of Kalgoorlie.

Option 4: Kalgoorlie Mining Company’s Future Gold Processing Facility

Kalgoorlie Mining Company (ASX: KMC) are proposing to build a 700Ktpa processing facility and mill adjacent to its Bullant Mine site, which it expects to be operational in 2012. The Bullant tenement

package, including the Bullant underground gold mine is located 20 kilometres south-west of Ora Banda and 65 Kilometres NW of Kalgoorlie. At present, KMC are utilising Barrick Corporation’s Kanowna Belle Gold Processing Facility, in contrast to stockpiling the ore until its own processing facility is operational. KMC aim to complete construction of a

crushing circuit, which will have a capacity of 220t per hour, within the first quarter of 2012. It is worth noting that once KMC’s processing facility is operational, this could create spare capacity at the Kanowna Belle Processing Plant upon KMC ceasing to processing its ore at the Kanowna Belle Processing Plant.

6 As a result of the upgrade to 1Mtpa, Silver Lake expect that it will produce 200,000 oz gold annually from its Mount Monger operations by 2014. Mount Monger has a JORC Resource of 4.73Mt @ 8.7g/t for 1.33m oz of gold.

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1.5 Bulong East Tenements

The Bulong East tenements are located approximately 30 kilometres east of Kalgoorlie and have recently been the focus of nickel laterite exploration. The key area of focus at the Bulong South Gold Project is the Cannon Gold prospect, with Heron Resources retaining all rights to nickel laterite.

With a view to identifying additional resources at the Bulong East tenements similar to that discovered at the Cannon prospect, SAU undertook an auger soil sampling program of the Bulong East tenements, with assay results identifying 12 gold-in-soil anomalies outlined using high gold values (>100ppb) and extensive anomalous zones (>200 metres in length), of which five are considered to be of

interest: Anomalies A, C, D, H and K, detailed in Table 2 and illustrated in Figure 4. An assessment of the previous exploration at the Bulong East tenements found that virtually none of the 12 gold anomalies were satisfactorily drill tested, with the majority of drilling to date of a shallow nature and tested for nickel laterite mineralisation, instead of

gold.

Table 2: Anomalies of Interest at Bulong East Tenements

Anomaly of Interest

Key Features

Planned/Current Activity

Anomaly A

• Located in the north of the Bulong East tenements and has several >100ppb Au high peaks within a >50ppb Au zone extending 700m x 100m wide.

• Main >100ppb Au target virtually untested

• Exploration model similar to Cannon Gold resource

• High prospectivity for larger gold mineralisation system (compared with Cannon)

• RC drilling program in Dec 2011 quarter planned to test exploration model.

Anomaly C

• Peak gold point of 90ppb and extending at least 200m in length

• RC and aircore drilling program planned to further test anomalous gold zone.

Anomaly D

• Located SW of Anomaly C, with peak gold value of 176ppb

• Narrower target zone to Anomaly C, but shallow working nearby – none of which have been drill tested.

• Infill auger sampling and follow-up drilling.

Anomaly H

• Located on the east side of the Bulong East tenement

• Gold-in-soli anomaly is ~200m x 200m

• Not previously drill tested

• Infill auger sampling to better define drill targets.

Anomaly K

• Consists of several closely-aligned anomalies with peak gold values >50ppb

• Anomalous corridor of >30ppb Au extends for over 1km, approximately 400m in width.

• Infill auger sampling to better define drill targets.

Source: SAU, Alpha Securities

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Figure 4: Location of 12 Anomalies Identified at Bulong East from Regional Geochemical Auger Sampling

Source: SAU September 2011 Quarterly Report

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2. CAMBODIAN GOLD PROJECTS

2.1 Overview

The first exploration program following the commencement of the JV with JOGMEC returned a substantial gold intersection of 32 metres @ 2.74g/t gold (including 4 metres @ 15.7g/t gold) from the Kratie North Project. These results were also supported by results from rock chip sampling, where numerous +1g/t gold (maximum of 15.6g/t gold) rock

chip samples were returned. The recent exploration focus has now shifted to two of the five project areas, the Kratie South Project and the Memot Project. SAU currently have a team of around 15 full-time staff on the ground in Cambodia. The team includes a General Manager of Operations (an Australian expat), three Geologists, three field assistants, as well as

administration and accounting staff. The Cambodian office is based in Phnom Penh (the Cambodian capital) and the geologists and the field crews set up field camps during the dry season at the relevant project areas, to conduct trenching and drilling programs (where SAU use drilling contractors that are based on site

during the work programs).

Figure 5: Location of SAU Projects and Tenements in Cambodia (Source: SAU)

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2.2 Kratie South Project

A drilling program commenced in 2010 to test previously-outlined geochemical targets and to infill drill test significant intercepts identified in 2009/2010, which included gold and base metal soil anomalies, rock chip samples with values up to 35g/t gold and drill results of 3 metres @ 14.6g/t gold with minor zinc/lead and copper mineralisation.

Results from the drilling program (completed in June 2011 quarter) showed significant high-grade gold intersections at the Gossan and Preak Khlong NW prospects7. Significant assays include 5 metres @ 8.25g/t gold (from 56 metres) at the Preak Khlong NW prospect and at the Gossan prospect, assays included 2 metres @ 13.5g/t gold (from

89 metres) and 2 metres @ 2.87g/t gold (from 55 metres).

Drilling results have confirmed that the Gossan prospect is characterised by consistently high-grade gold quartz veins (8-15g/t gold and up to 50g/t gold rock chip samples) with widths of 1.5-2.5

metres. To date, four high-grade gold quartz veins have been identified at Gossan at vertical depths of 50-75 metres over a total strike length of ~250 metres.

Figure 6: Outline of six projects at Kratie South project area identified for further testing in 2011/12 field season (Source: SAU)

7 In total, 23 diamond holes were drilled at three prospects (Gossan, Preak Khlong NW and O’Khtung) for a total

of 3,888 metres).

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2.3 Similarity in Mineralisation to Okvau SAU’s Kratie South Project is located ~10 kilometres south of OZ Mineral’s 100%-owned Okvau Project. Okvau has a resource of 8.1Mt @ 2.3g/t gold containing an initial Inferred resource of 605,000 oz gold8. SAU consider that the mineralisation at Kratie South is similar to that at Okvau.

Figure 7: Outline of target prospects at Kratie South and project location relative to Okvau

Source: SAU

2.4 Memot Project Following several significant drillhole gold intercepts from previous drilling campaigns at the Memot Project (especially at the Anchor prospect), SAU conducted a follow-up drilling program of 12 core drill holes at the Anchor and O Cham Ven prospects9.

Drilling at the Anchor prospect identified gold mineralisation in quartz veins and massive sulphide, while drilling at the O Cham Ven prospect tested gold/copper geochemical anomalies identified in the 2009/2010 drilling campaign. Initial drilling results at the O Cham Ven prospect are encouraging having intersected gold mineralisation and associated alteration zones, with further drilling required to delineate the full

extent of gold mineralisation.

8 At 0.5 Au ppm cut-off. The resource for a 1.0 Au ppm cut-off is 6.5Mt. The resource was announced in March

2010. 9 Seven holes were drilled at the Anchor prospect totalling 1,461 metres and five holes were drilled at the O

Cham Ven prospect totalling 722 metres.

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Further drilling is expected to commence in the upcoming field season (Cambodian dry season: November to April) at the O Cham Ven prospect and also at the Thmo Dom Rei prospect where soil sampling

has been completed. After several drilling campaigns at the Anchor prospect, it is unlikely that SAU will conduct any further work at this prospect this field season.

Figure 8: Sulphide alteration from visual logging at Memot-Anchor prospect

Source: SAU

2.5 Areas of Focus for Current Field Season 1. The Gossan prospect will be the focus of definition drilling in the

current field season, with the aim of outlining a high-grade, shallow gold zone.

2. Drill testing at several high-priority prospects within the Kratie

South Project, including Panther and Cougar. These prospects have similar characteristics to the Gossan prospect, including outcropping quartz vein hosted gold mineralisation (and high sulphide content).

3. Given the recent and future focus on the priority Kratie South and

Memot projects, limited work has been undertaken at the Phnum Romdul, Srae Pok and Phnum Khtong tenements (SAU: 100%), which are all prospective for IRGS10 and base metal mineralisation. At the Srae Pok target, where soil sampling yielded anomalous copper values of 352ppm over a 500-metre strike length, work

programs are planned, including stream sediment sampling, infill soil sampling and follow-up trenching and drilling. At Rombul, SAU plan to undertake field mapping in the current quarter, as well as verification of gold and base metal soil and stream sediment anomalies.

10 IRGS deposits rely on gold existing in the fluids associated with the magma and the inevitable discharge of these hydrothermal fluids into the wall-rocks surrounding the magma.

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3. BOARD OF DIRECTORS

DIRECTOR

BACKGROUND

Greg Boulton Non Exec Chairman Interest in SAU: ~1.72m ord shares; 0.5m unlisted options @ 15c, exp 30 Oct 2013

Mr Boulton has extensive commercial experience spanning over 25 years as CEO and Non Executive Director for numerous private and public companies, including seven years as the Managing Director of IPEC Transport. His expertise is in the areas of capital raisings, acquisitions and commercial negotiations. Mr Boulton, who is also the founder and current Chairman of Paragon Equity Ltd (a private equity firm based in Adelaide), is now a consultant on change management implementation, strategic planning, best practice programs and transport. He is on the board of a number of private and public companies, including Statewide Superannuation Fund and ASX-listed company K&S Corporation Ltd, where he is Deputy Chairman.

Nanette Anderson Managing Director Interest in SAU: 180,000 ord shares; 1.0m unlisted options @ 10.5c, exp 1 Dec 2015

Ms Anderson is a geologist with over 15 years experience in the exploration and development of gold, diamond and base metals projects throughout Australia and SE Asia. In addition to her experience as a Geologist, she has also had corporate experience, having successfully undertaken capital raisings, project acquisitions and joint venture negotiations. Ms Anderson is a Member of the AusIMM and the AICD.

Mick Billing Non Exec Director Interest in SAU: ~2.18m ord shares; 0.5m unlisted options @ 75c, exp 28 Nov 2012

Mr Billing is an accountant with over 30 years of experience in the mining industry, in company secretarial, senior commercial and Chief Financial Officer roles, including lengthy stints with Bougainville Copper Ltd and WMC Resources Ltd. He has had experience with Corporate Governance, capital raisings, project evaluation and feasibility studies in Australia and abroad; and currently consults to a number of companies in these fields.

David Turvey Non Exec Director Interest in SAU: ~0.73m ord shares; 0.5m unlisted options @ 10.5c, exp 1 Dec 2014

Mr Turvey is a geologist with over 27 years experience in mining in Australia and Asia, where he has driven business development and corporate merger & acquisition activities in precious metals, bulk commodities and industrial minerals. He has held key management roles and consultancies in minerals exploration, technical marketing, project development and commercial evaluation of mineral asset investments.

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DIRECTORY – ALPHA SECURITIES Corporate

George Karantzias

[email protected]

0401 670 620

Research Analyst

John Haddad

[email protected] 0407 219 222

Disclaimer This document has been prepared (in Australia) by Alpha Securities Pty Ltd ABN 94 073 633 664

(“Alpha”), who holds an Australian Financial Services License (License number 330757). Alpha has made every effort to ensure that the information and material contained in this report is accurate and correct and has been obtained from reliable sources. However, Alpha makes no representation and gives no warranties about the accuracy or completeness of the information and material, including any forward looking statements and forecasts made by Southern Gold Ltd to Alpha, and it should not be relied upon as a substitute for the exercise of independent judgment.

Except to the extent required by law, Alpha does not accept any liability, including negligence, for any loss or damage arising from the use of, or reliance on, the material contained in this report, or as a result of errors or omissions on the part of Alpha or by any of their respective officers, employees or agents. This report is for information purposes only and is not intended as an offer or solicitation with respect

to the sale or purchase of any securities. The securities recommended by Alpha carry no guarantee with respect to return of capital or the market value of those securities. There are general risks associated with any investment in securities. Investors should be aware that these risks might result in loss of income and capital invested. Neither Alpha nor any of its associates guarantees the repayment of capital. This report and any communication transmitted with it are confidential and are intended solely for the

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General Advice Warning

This report may contain general securities advice or recommendations, which, while believed to be accurate at the time of publication, are not appropriate for all persons or accounts. This report does not contain specific securities advice and does not take into account particular investment objectives, financial situation and needs of any particular person. You should carefully assess whether such information is appropriate in light of your individual circumstances before acting on it.

Disclosure Alpha, its Directors and associates declare that they may have a relevant interest in the securities mentioned herein. This position can change at any time. Alpha also receives fees for advisory services.

Alpha does and seeks to do business with companies covered in its research reports and

investors should be aware that Alpha received a consultancy fee from Southern Gold Ltd

for compiling this research report.

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