ASX Code: SXG

Opening  a  new  chapter    at  Mt  Boppy  

Opening an exciting new chapter at Mt Boppy

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•  This presentation has been prepared by Southern Cross Goldfields Limited (“SXG” or the “Company”). It should not be considered as an offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or invitation with respect to those securities. No agreement to subscribe for securities in the Company will be entered into on the basis of this presentation. "

•  You should consider all the Company’s announcements and reports lodged with the ASX before making any investment decisions."

•  This presentation contains forecasts and forward looking information. These are not a guarantee of future performance and involve unknown risks and uncertainties. Actual results and developments will almost certainly differ materially from those expressed or implied. SXG has not audited nor investigated the accuracy or completeness of the information, statements and opinions contained in this presentation. Accordingly, to the maximum extent permitted by applicable laws, SXG makes no representation and can give no assurance, guarantee or warranty, express or implied, as to, and take no responsibility and assume no liability for, the authenticity, validity, accuracy, suitability or completeness of, or any errors in or omission, from any information, statement or opinion contained in this presentation."

•  You should not act or refrain from acting based on this presentation. This presentation does not purport to be all inclusive or to contain all information which its recipients may require in order to make an informed assessment of the Company’s prospects. You should conduct your own investigation and perform your own analysis in order to satisfy yourself as to the accuracy and completeness of the information, statements and opinions contained in this presentation before making any investment decision. "

Disclaimer

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•     Southern  Cross  has  successful  history  with  Mt  Boppy  and  is  commi:ed  to  the  region  

•     Mt  Boppy  redevelopment  plan  brings  significant  benefits  to  central  NSW  

•     Project  is  first  step  for  reborn  SXG,  with  new  cornerstone  investor,  TrailStone  Group,  backing  SXG  management  team.  

•     A$60M  development  funding  package  secured  and  A$6  million  capital  raise  in  progress.    

•     Poised  to  seize  market  opportuniMes,  drive  accelerated  growth    

Overview

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Growing Australian resource development company

ASX  code   SXG  

Shares  on  issue  

887M  

Last  price   A$0.01  

Market  cap   A$8.8M  

Top  20  shareholders  

56%  

%  Board  &  management  

~  30%  

Cash   A$2M  

•  Formed in 1986 as private company, renamed Polymetals Mining, by current director David Sproule •  Successfully developed numerous projects: Nimbus Silver, White Dam Gold, Hellyer Zinc, Mt Boppy Gold •  Merged with Southern Cross Goldfields in 2012 •  Two projects now primed for development

* Figures exclude current capital raising

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Mt Boppy - generating cash within 12 months

•  Historical production of 490 kozs

•  Previously operated by Polymetals, producing 68,000 ounces from 2002 - 2005

•  Production ceased due to low gold price. Plant put on care and maintenance

•  Production to recommence in 2015

•  Simple cutback to existing pit. Plant to be refurbished

•  Production of 64 kozs over 2 years

Mt Boppy major work

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East West Cross Section through Interpreted Mineralised Domains Plan view of expanded pit shell and site layout

Major economic spin-offs to be delivered

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•  Major economic spin-offs for the region:

- Development cost of ~A$26 million

- Cash operating costs of approximately A$35-40 million over two year project life

- Will employ up to 80 people at peak, on site in mining and processing roles

Potential exploration growth

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Regional processing facility

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Marda in WA – potential next project

Marda/Sandstone Gold Project – 100% Location 400km north east of Perth, WA

Marda Resource 495koz Au at 1.9 g/t, with significant exploration upside potential

Marda Reserve 175koz Au at 2.3 g/t

Production 167koz over initial four years Simple open cut operation with conventional CIL processing

Status Feasibility Study completed

Development Cost ~A$32M

Production Cost /oz

Cash cost ~ A$800/oz Total ~ A$1000/oz

Sandstone Assets 600ktpa CIL processing plant and 100 person camp to be relocated to Marda from Sandstone

Development time Commence development in 2016, first gold 2017. Capital redeployed from Mt Boppy

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Base case gold production

25 28

10

46

46 52

23

2015 2016 2017 2018 2019 2020

Mt Boppy Marda

Projections based on STATED RESERVES ONLY. Further potential exists in Resource development and conversion

Kozs

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•  TrailStone  Group  -­‐  a  US$500  million  fund,  seeded  by  US$26  billion  RiverStone  Capital  

•  TrailStone  to  take  up  to  A$2  million  equity  stake,  plus  warrants  and  will  provide  debt  of  A$60  million,  including  A$25  million  gold  loan.  

•  Provides  shareholders  with  major  leverage  to  growth  

New cornerstone investor provides funding

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•  Access  to  capital    will  provide  mulMple  strategic  opMons  

•  S&P/ASX  Small    Resources  Index  has  fallen  almost    70%  since  peak  in  Jan  2011  

•  Resource  and  Reserve  valuaMon  mulMples  have  fallen  sharply  over  the  past  five  years  

•  Excess  capacity  in  mining  services  sector  

•  Outlook  for  commodity  prices  remains  robust  in  medium  term.  

Poised to seize market opportunities

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•  SXG  will  assess  projects  where  it  can  add  value  through  quality  project  execuMon,  certainty  of  funding.    

•  Focus  on  precious  metals,  base  metals,  specialty  metals,  ex  bulks  

•  Preference  to  avoid  high  sovereign  risk  environments  

•  Preferred  projects  within  2-­‐3  years  of  producMon,  with  established  resource  and  reserve  

•  DiversificaMon  important  -­‐  pipeline  of  projects  at  different  stages:  development,  construcMon  or  producMon  

Rigorous and disciplined investment focus

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Be part of mid-market development leader

Valuation re-rating triggers: •  Funding package secured

•  Low risk transition to producer status within 1 year

•  Strategic capability to seize market opportunities

•  Shareholders leveraged to growth.

•     Southern  Cross  has  successful  history  with  Mt  Boppy  and  is  commi:ed  to  the  region  

•     Mt  Boppy  redevelopment  plan  brings  significant  benefits  to  central  NSW  

•     Project  is  first  step  for  reborn  SXG,  with  new  cornerstone  investor,  TrailStone  Group,  backing  SXG  management  team.  

•     A$60M  development  funding  package  secured  and  A$6  million  capital  raise  in  progress.    

•     Poised  to  seize  market  opportuniMes,  drive  accelerated  growth    

Competent Person’s Statement

•  The information in this presentation that relates to Mineral Resources at Canbelego is based on information compiled) by Mr Troy Lowien, SXG Senior Resource Geologist, who is a Member of the Australian Institute of Mining and Metallurgy (AIMM) and is a fulltime employee of SXG.

•  The information in this presentation that relates to Mt Boppy Ore Reserves is based on information compiled by Messrs Sean Buxton and Andrew Lawry, who are Members of AIMM. Both former employees, Mr Buxton was Polymetals Mining Limited (Polymetals) General Manager and Mr Lawry is former Polymetals COO.

•  Messrs Lowien, Buxton and Lawry, have sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activities which they undertook to qualify as a Competent Persons as defined in the 2004 Edition of the “Australasian Code for reporting of Exploration Results, Mineral Resources and Ore Reserves” (the JORC Code). Messrs Lowien, Buxton and Lawry and consent to the inclusion of matters based on their information in the form and context in which it appears in this announcement.

•  Information in this presentation relating to Mineral Resources and Exploration results in the Marda Project has been compiled by Richard Simmons, Exploration Manager, SXG who has sufficient experience which is relevant to the type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ . Mr Simmons is a Member of the AIMM and has consented in writing to the inclusion of this data. Mr Simmons has reviewed and approved the information contained in this report and has consented to the inclusion in this report of the matters compiled by him in the form and context in which they appear.

•  The information in this presentation that relates to Ore Reserves at Marda is based on information compiled by Mr Denis Grubic, who is a Member of AIMM. Mr Grubic is an independent consultant employed by Rock Team Pty Ltd.

•  Mr Grubic has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’.

•  The information is extracted from the announcement entitled “SXG set to open up new WA gold province with Marda Gold Development” created on 10th May 2012 and is available to view on www.scross.com.au. The company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement and, in the case of estimates of Mineral Resources or Ore Reserves, that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement continue to apply and have not materially changed. The company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original market announcement.

•  Information in this presentation relating to Mineral Resources in the Sandstone Project has been compiled by David Otterman of D.W. Otterman Exploration Consultant who is an independent consultant and has sufficient experience which is relevant to the type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’.

•  Mr Otterman is a Fellow of the AIMM, Chartered Professional (Geology), and has consented in writing to the inclusion of this data. Mr Otterman has consented to the inclusion in this presentation of the matters compiled by him in the form and context in which they appear.

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Has Southern Cross Goldfields Ltd

ASX:SXG www.scross.com.au

Brisbane Office Lvl 6, 344 Queen St Brisbane, QLD 4000

Ph: +617 3221 6022

Perth Office Lvl 1, 672 Murray St West Perth, WA 6005

Ph: +618 9215 7600