Padbury Mining Limited (ASX:PDY) entered into a binding scheme implementation agreement to acquire Aurium Resources Limited (ASX:AGU) for AUD 9.3 million on February 13, 2012. Under the terms of the agreement, holders of ordinary Aurium shares will receive three ordinary Padbury shares for each ordinary share they hold and holders of Aurium partly paid shares will receive one Padbury share for every 2.5 Aurium partly paid shares they hold. Each holder of Aurium listed options will receive one Padbury option with an exercise price of AUD 0.02 and an expiry date of June 30, 2014, for each Aurium listed option held. Under the terms, either party may terminate this agreement by written notice to the other party if the other party is in material breach of any provision of the agreement or a court or government agency has taken any action permanently restraining or otherwise prohibiting the transaction or has refused to do anything necessary to permit the transaction, and the action or refusal has become final and cannot be appealed. On termination, the agreement will become void and have no effect, without any liability or obligation on the part of Aurium or Padbury.

Under the merger agreement, Terry Quinn will be appointed Executive Chairman of Padbury, Gary Stokes will remain Managing Director and William Han will remain a Non-executive Director. Upon completion, after the consideration has been paid each Director of Aurium will resign. The transaction is subject to approval from regulatory board, Aurium shareholders, court approval and approval from Aurium listed option holders. The transaction is also subject to an independent expert opinion confirming that the agreement is in the best interests of Aurium shareholders and the Directors of Aurium do not change or withdraw their recommendation to Aurium shareholders to vote in favor of the agreement. The transaction has been unanimously approved by the Directors of Aurium and the Directors recommend that shareholders and listed option holders vote in favor of the transaction.

As of June 6, 2012, Aurium and Padbury have extended the end date to July 31, 2012. As of July 6, 2012, Aurium and Padbury have extended the end date to September 30, 2012. As of July 31, 2012, the Padbury Board agreed that the consideration for the Aurium Party Paid Shares will be increased from 1 fully paid Padbury share for every 2.5 Aurium Partly paid shares to 1 fully paid Padbury share for every 1.75 partly paid Aurium partly paid shares. The consideration was changed to AUD 5.7 million. As of August 30, 2012, transaction is approved by the Supreme Court of Western Australia. As on August 31, 2012, the end date is extended from September 30, 2012 to October 31, 2012. As on September 30, 2012, the transaction has been approved by the shareholders of Aurium Resources. As on October 12, 2012, the Supreme Court of Western Australia approved the transaction. Gadens Lawyers and Freehills acted as legal advisor for Aurium Resources Limited and Padbury Mining Limited respectively. Tamatha Smith of Smart Corporate Communications acted as public relations advisor for the transaction. Pitcher Partners Securities Pty Ltd. acted as independent expert for Aurium for a fee of AUD 90,000. Computershare Investor Services Pty Ltd. acted as registrar to Aurium. GDA Corporate Pty Ltd. acted as tax advisor for Aurium.

Padbury Mining Limited (ASX:PDY) completed the acquisition of Aurium Resources Limited (ASX:AGU) on October 15, 2012. As of October 15, 2012, Aurium's securities will be suspended from trading at the close of trading on ASX. Aurium Resources Limited was removed from the Official List of ASX Limited as from October 29, 2012. The new Padbury shares and options will be dispatched on October 29, 2012 and will begin trading on the ASX on a normal settlement basis on October 30, 2012.