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For Personal Use Only Use Personal For 8 November 2012 ASX AND MEDIA RELEASE INDEPENDENT TECHNICAL REPORT GOLD, COPPER AND BASE METAL EXPLORATION ASSETS, KINGDOM OF SAUDI ARABIA As foreshadowed in the Company’s quarterly report released on ASX on 31 October, attached is the independent technical report delivered today to the Company. Yours faithfully, David Turvey Executive Director Further information David Turvey (Executive Director) on 08 8418 8568 or 0416 119 583 For personal use only Independent Technical Report - Saudi Arabia Projects Prepared by Coffey Mining Pty Ltd on behalf of: Lawson Gold Limited MINEWPER00928AA 1 November 2012 For personal use only Coffey Mining Pty Ltd ABN 52 065 481 209 1162 Hay Street, West Perth WA 6005, Australia coffey.com Coffey Mining Pty Ltd DOCUMENT INFORMATION Author(s): Paul Mazzoni Chief Geologist MSc (Geol), FAusIMM, CP (Man), MSEG B.Sc.(Hons) Geol., M.Sc. Geochem., Ph.D. Geol., MAIG Dr Marian Skwarnecki Senior Consultant Geochemistry BEng (Mining), MBA, GradDipAFI, MAusIMM John Hearne Mining Manager BSc (Met), MAusIMM Chris Witt Associate Consultant - Metallurgy Date: 1 November 2012 Project Number: MINEWPER00928AA Version / Status: Final F:\MINE\Projects\Lawson Gold\MINEWPER00928AA_Project Phoenix\Report\CMWPr_928AA_Lawson Path & File Name: Gold_ITR_Nov2012_Final.docx Print Date: Monday, 5 November 2012 Copies: Lawson Gold Limited (1) Lawson Exploration Corporation (1) Coffey Mining – Perth (1) Document Change Control Version Description (section(s) amended) Author(s) Date FINAL ALL PMM, MS 1/11/2012 Document Review and Sign Off This is a scanned signature held on file by Coffey This is a scanned signature held on file by Coffey Mining. The person and signatory consents to its Mining. The person and signatory consents to its use only for the purpose of this document. use only for the purpose of this document. Primary Author Peer Review Paul Mazzoni John Hearne This document has been prepared for the exclusive use of Lawson Gold Limited (“Client”) on the basis of instructions, information and data supplied by them. For personal use only Lawson Gold Limited: Saudi Arabia Projects – MINEWPER00928AA Independent Technical Report - Saudi Arabia Projects – 1 November 2012 Independent Technical Report 1 November 2012 The Directors Lawson Gold Limited Dear Sirs Coffey Mining Pty Ltd (“Coffey Mining”) has been commissioned by Lawson Gold Limited (“Lawson”) to provide an Independent Technical Report on mineral properties prospective for gold and base metals in the Kingdom of Saudi Arabia (“KSA”). The ITR has been prepared on information available up to and including 16th July 2012. Coffey Mining was also engaged by Grant Thornton Australia (‘Grant Thornton”) to produce an independent technical valuation of these projects and this valuation will be subject to a separate disclosure. The Project tenements comprise 14 Exploration Licenses and two Mining License Applications covering 2,149km². The legal status of the assets in which Lawson intends acquiring an interest, the various agreements covering those interests, and the exploration, mining and minerals processing legislation applicable in KSA have not been independently verified by Coffey. The present status of tenements, agreements and legislation described in this report is based on information provided by the Project vendors, Mawarid Energy and Mining Company (“MEMC”), formerly Petro Hunt Middle East Limited (“PHME”), and the report has been prepared on the assumption that exploration and potential development of the projects will prove to be lawfully allowable. Coffey Mining has based its review of the Projects on information provided by MEMC, along with technical reports prepared by government agencies, independent consultants, and other relevant published and unpublished data. Site visits were undertaken to the eight higher priority Projects by Coffey Mining between September 10th and 23rd, 2011. Coffey Mining has endeavoured, by making all reasonable enquiries, to confirm the authenticity and completeness of the technical data upon which the Independent Technical Review is based. Coffey Mining is an exploration, mining and resource consulting firm, which has been providing services and advice to the international mineral industry and financial institutions for over 50 years. The primary authors of this report are Mr Paul Mazzoni and Dr Marian Skwarnecki. Mr Mazzoni is a professional geologist with over 35 years experience in the exploration, development and mining of base and precious metal properties and industrial mineral properties internationally. Mr Mazzoni is the Chief Geologist at Coffey Mining, is a Fellow of the Australasian Institute of Mining and Metallurgy (FAusIMM), has Chartered Professional (CP) accreditation and is a Member of the Society of Economic Geologists (MSEG). Dr Skwarnecki is a professional geologist and geochemist with 22 years experience in exploration and evaluation of mineral properties in Australia and overseas. He is a Senior Consulting Geologist with Coffey and is a Member of the Australian Institute of Geoscientists (AIG). Each of the authors has the appropriate relevant qualifications, experience, competence and independence to be considered an “Expert” or “Specialist” under the definitions provided in the Valmin Code and as “Competent Persons” under the definition provided in the JORC Code. Neither Coffey Mining, nor the authors of this report have, or have had previously, any material interest in Lawson or the mineral properties or companies in which Lawson has, or is earning, an interest. Our relationship with Lawson is solely one of professional association between client and independent consultant. This report is prepared in return for professional fees based upon agreed commercial rates and the payment of these fees is in no way contingent on the results of this report. This report has been prepared in accordance with the Code and Guidelines for Assessment and Valuation of Mineral and Petroleum Assets and Securities for Independent Expert Reports (“The Valmin Code”), and the rules and guidelines issued by such bodies as the ASIC and Australian Securities Exchange (ASX), which pertain to Independent Expert Reports. The report is also consistent with the ‘Australasian Code for Reporting of Mineral Resources and Ore Reserves’ as prepared by the Joint Ore Reserves Committee of the Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Mineral Council of Australia (JORC). For and on behalf of Coffey Mining Pty Ltd For personal use only This is a scanned signature held on file by Coffey Mining. The person and signatory consents to its use only for the purpose of this document. Paul Mazzoni Chief Geologist Coffey Mining Pty Ltd ABN 52 065 481 209 MINEWPER00928AA 1162 Hay Street, West Perth WA 6005 Australia PO Box 1671, West Perth WA 6872 Australia T (+61) (8) 9324 8800 F (+61) (8) 9324 8877 www.coffey.com/mining Coffey Mining Pty Ltd Table of Contents EXECUTIVE SUMMARY .................................................................................................................................. i 1 Introduction ......................................................................................................................................... 1 1.1 Terms of Reference .........................................................................................................................1 1.2 Qualifications, Experience and Independence ................................................................................3 1.3 Principal Sources of Information ......................................................................................................4 1.4 Reliance on Other Experts ..............................................................................................................4 2 Country Background .......................................................................................................................... 5 2.1 Geography.......................................................................................................................................6 2.1.1 Topography ........................................................................................................................... 6 2.1.2 Climate .................................................................................................................................. 6 2.1.3 Population, Ethnicity, Languages and Religion ...................................................................... 7 2.1.4 History of KSA ....................................................................................................................... 7 2.2 Economy and Infrastructure ............................................................................................................8 2.3 Minerals Industry .............................................................................................................................8 2.3.1 Introduction ........................................................................................................................... 8 2.3.2 Economic Significance of the Minerals Industry .................................................................... 9 2.3.3 Industrial Minerals and Bulk Commodities ............................................................................. 9 2.3.4 Base Metals and Gold ......................................................................................................... 10 2.4 Mining Law ...................................................................................................................................
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