content_image/229940.jpg
<img src='content_image/229940.jpg'>

Explorer 108 is a large alteration system, mineralised throughout with broad (100m+) intervals grading 2 to 5% Zn + Pb, but importantly contains a number of high grade lenses up to 60m thick containing grades over 7% Zn + Pb. The most significant of these discovered to date occurs in the base of dolomite sequence directly above the contact with the underlying acid volcanic sequence. 

Westgold announced a maiden identified mineral resource estimate for Explorer 108 in 2008 as follows: 

8.7Mt @ 5.7% (Zn + Pb) using a 2.5% Zn+Pb lower cut-off; or 

4.0Mt @ 8.2% (Zn + Pb) using a 5.0% Zn + Pb lower cut-off 

During the year Westgold successfully completed the off market takeover of Aragon Resources Limited (“Aragon”). Metals X Limited participated in the takeover of Aragon by accepting Westgold’s offer to acquire the Company’s 8.70% interest in Aragon for shares in Westgold. The Company received 20,271,858 Westgold shares as consideration for its 8.70% interest in Aragon. The Aragon share sale resulted in a profit of $196,199 for Metals X. As a result of the takeover Metals X percentage holding in Westgold was decreased from 31.99% to approximately 24.5%. Metals X acquired an additional 10,457,150 Westgold shares subsequent to the takeover and currently holds 25.02% of Wesgold’s issued capital. 

## INDEPENDENCE GROUP NL 

Independence is an ASX listed (ASX:IGO) Australian diversified explorer, developer and producer. Operations include the Long Nickel mine and the high grade Jaguar VMS copper, zinc, and silver mine in Western Australia. Independence also owns 30% of the 3.9Moz Tropicana gold project currently being developed and holds various exploration projects within Australia including the Stockman Copper, Zinc and silver project and the Karlawinda gold project. 

During the year Independence successfully completed the off market takeover of Jabiru Metals Limited (“Jabiru”). Metals X Limited participated in the takeover of Jabiru by signing a pre-bid agreement with Independence to sell its 19.99% interest in Jabiru for cash and shares in Independence. The Company received $48,089,540 in cash and 6,558,571 Independence shares as consideration for its 19.99% interest in Jabiru. The Jabiru share sale has resulted in a profit of $55,268,640 for the Company. 

## MONGOLIAN RESOURCES CORPORATION LIMITED 

MRC is an Australian listed Mongolian resource company. MRC's main two gold projects include the high grade Kargana (Blue Eyes) Gold Project (85%) and the Sujigtei Gold Project (90%) which are located 7 kms apart within the North Khentei gold belt of Mongolia. The Blue Eyes deposit has been mined for over 80 years by artisanal miners and currently contains an existing operation which is advancing over three levels. Sujigtei was actively explored and developed on five levels over 150 vertical meters in the 1960’s by the East German Geological Department and has been worked in recent times by artisanal miners. 

