November 2010 REVISED TECHNICAL REPORT Simberi Gold Project, Simberi Island, Papua New Guinea Submitted to: Allied Gold Limited 34 Douglas Street PO Box 2019 MILTON QLD 4064 Author Stephen Godfrey BSc(Hons)(UNE), DipEd(QU), MAusIMM, MAIG Associate, Principal Resource Geologist, REPORT Golder Associates Pty Ltd John Battista B.Eng.(Mining), MAusIMM, Associate, Principal Mining Engineer, Golder Associates Pty Ltd Phil Hearse BAppSc, MBA, FAusIMM, Managing Director, Battery Limits Pty Ltd TECHNICAL Report Number. 1097641039-005-R01 SIMBERI GOLD PROJECT REVISED TECHNICAL RE PORT AUTHOR COMPANY ADDRESS Stephen Godfrey Golder Associates Level 2, Pty Ltd 1 Havelock Street WEST PERTH WA 6872 John Battista Golder Associates Level 2, Pty Ltd 1 Havelock Street WEST PERTH WA 6872 Phil Hearse Battery Limits Pty 5/162, Ltd Colin Street West Perth WA 600 5 Author Section Responsibility Stephen Godfrey 1-17, 19.1, 20.1, 21, 22, 23, 24, 25.3, 25.6, 25.10, 25.11 John Battista 19.2, 21, 22, 23, 24, 25.1 Phil Hearse 18, 20.2, 21, 22, 23, 24, 25.2, 25.4, 25.5, 25.7 -9 SIMBERI GOLD PROJECT REVISED TECHNICAL REPORT Table of Contents 3.0 SUMMARY ................................................................................................................................................................. 1 3.1 Scope ........................................................................................................................................................... 1 3.2 Property Description ..................................................................................................................................... 1 3.3 Ownership .................................................................................................................................................... 1 3.4 Geology ........................................................................................................................................................ 1 3.5 Mineralisation................................................................................................................................................ 1 3.6 Exploration .................................................................................................................................................... 1 3.7 Resource ...................................................................................................................................................... 2 3.8 Reserves ...................................................................................................................................................... 4 3.9 Mining ........................................................................................................................................................... 5 3.10 Processing .................................................................................................................................................... 5 3.11 Author's Conclusions .................................................................................................................................... 6 3.11.1 Resources ............................................................................................................................................... 6 3.11.2 Reserves ................................................................................................................................................. 6 3.11.3 Processing .............................................................................................................................................. 6 3.12 Recommendations ........................................................................................................................................ 6 4.0 INTRODUCTION AND TERMS OF REFERENCE .................................................................................................... 7 5.0 RELIANCE ON OTHER EXPERTS ........................................................................................................................... 9 6.0 PROPERTY DESCRIPTION AND LOCATION .......................................................................................................... 9 6.1 Area and Location ......................................................................................................................................... 9 6.2 Title ............................................................................................................................................................. 10 6.3 Property Boundaries ................................................................................................................................... 13 6.4 Location of Mineralisation and Mine Workings............................................................................................ 14 6.5 Royalties and Encumbrances ..................................................................................................................... 14 6.6 Environmental Liabilities ............................................................................................................................. 15 6.6.1 Waste Dumps ....................................................................................................................................... 15 6.6.2 Open Pits .............................................................................................................................................. 15 6.6.3 Pipelines ............................................................................................................................................... 15 6.6.4 Access/Haul Roads ............................................................................................................................... 15 6.6.5 Process Plant ........................................................................................................................................ 15 6.6.6 Stormwater ............................................................................................................................................ 15 November 2010 Report No. 1097641039-005-R01 i SIMBERI GOLD PROJECT REVISED TECHNICAL REPORT 6.6.7 Deep Sea Tailings ................................................................................................................................. 16 6.7 Required Permits ........................................................................................................................................ 16 6.8 Surface Rights ............................................................................................................................................ 16 7.0 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY ..................... 17 7.1 Access ........................................................................................................................................................ 17 7.2 Physiography .............................................................................................................................................. 17 7.3 Climate ....................................................................................................................................................... 18 7.4 People and Infrastructure ........................................................................................................................... 18 8.0 HISTORY ................................................................................................................................................................. 19 9.0 GEOLOGICAL SETTING ......................................................................................................................................... 21 9.1 Regional Geology ....................................................................................................................................... 21 9.2 Prospect Geology ....................................................................................................................................... 22 9.3 Interpreted Geological History .................................................................................................................... 23 10.0 DEPOSIT TYPES ..................................................................................................................................................... 24 10.1 Simberi ....................................................................................................................................................... 24 10.1.1 Sorowar ................................................................................................................................................. 25 10.1.2 Samat .................................................................................................................................................... 28 10.1.3 Botlu ...................................................................................................................................................... 29 10.1.4 Pigiput ................................................................................................................................................... 30 10.1.5 Pigibo .................................................................................................................................................... 31 10.1.6 Pigicow .................................................................................................................................................