Quarterly Activities and Cashflow Report - March 2013

SXG accelerates growth strategy with landmark gold merger, completion of Sandstone acquisition and regional exploration success

Southern Cross Goldfields and Polymetals Mining Limited entered into an agreement to combine the two companies to create a significant diversified Australian gold company.




Acquisition of Sandstone Gold Project from Troy Resources (ASX: TRY) completed, resulting in a substantial increase in SXGs gold resource inventory and giving it ownership of a fully permitted gold treatment facility providing a fast-track pathway to production.

Auger geochemical sampling identifies two new gold targets at Marda.

The "Thresher" and "White Pointer" targets are 800m and 1,200m long respectively, and both are untested by previous drilling.

A RAB drilling program is now planned to further define these targets.

Due diligence on the Marda Gold Project for the short-listed project financiers was completed by the independent technical expert.

Financing options are now being addressed with the short-listed parties.

Cash at the end of the March Quarter was $3.4M.

Quarterly Activities and Cashflow Report for March 2013