TENNANT CREEK

Tennant Creek was explored for uranium from 1979 to 1982. Subsequent drilling encountered groundwater with some of the highest uranium contents yet recorded in geological literature. Further exploration work was carried out between 1986 and 1989.

In general, results to date indicate that the high uranium levels located in the groundwaters was leached from uranium-bearing minerals located locally within a heamatite ridge, brecciated granite (see photos).

The Company has completed additional low level detailed aeromagnetic surveys during 2007 and early 2008.

Construction of drill access tracks and 2,500 metres of RC drilling were carried out on some targets in January 2008 (see accompanying plan). Detailed low level aeromagnetics and radiometrics were also undertaken by UTS Geophysics. A major ground gravity survey was completed by FUGRO Geophysics.

In 2008, the exploration program will include geological ground reconnaissance as well as deeper drilling on established targets as per the attached plans. Substantial shallow air core and RAB drilling is also expected to continue. This work will be focused in two areas, the first in the Western part of the project area centred around the heamatite-granite I.O.C.G.U. target, and the second area is in the Eastern part of the project Marathon gravity anomaly situated 1km North of the Northern Star mine.