Boulder Steel Limited Significant progress was made during the March quarter on the Gladstone Steel Plant Project

Boulder completed its part of the pre feasibility study review in March 2011, which included a revision of the market study in order to identify potential off takers

Selected potential customers in Asia were visited in order to determine their interest in purchasing slabs and/or billets, the grades and size ranges required as well as shipment sizes and port details.

Significant interest was shown by several of the potential customers.

As a result, the market study has now been updated to incorporate the Information gathered during the meetings.

The company's Chinese project partners required a significant amount of information with respect to the project, including governance, taxation issues, raw materials, operations, utilities and logistics.

The data was compiled and forwarded ahead of schedule. Meetings were held in China during the last week of March to discuss all information provided to date, with particular emphasis on the updated market study and the financial model. At the conclusion of these meetings an action plan for the way forward was determined.

Work relating to the Bankable Feasibility Study is being escalated with the assistance of additional specialist contract staff. At this stage the main focus is to complete agreements relating to the build, own and operate auxiliary plants. This work is expected to be completed in the fourth quarter of 2011.

Work on the EIS and all auxiliary approvals is progressing well following the appointment of CQ Consulting Group in January 2011. The final lodgment of the EIS is scheduled for the third quarter 2011. Status of Current Activities: Task Status 1 Land Purchase, Negotiations of purchasing agreement with Government commenced.

Surveyors appointed and their initial draft boundary sketch approved by Boulder. Gladstone Port draft port services agreement provided by GPCL. Reviewed and Corporation awaiting next meeting.