Annual report for EL 24837 Calvert Hills, 6 April 2007 to 5 April 2008

Abstract

EL 24837 is one of several tenements assessed by Crescent Gold Ltd during 2006 for chiefly the unconformity-related uranium deposits with also consideration of other styles including sandstone hosted roll front and palaeochannel types (and other commodities). The tenement currently forms part of a Joint Venture Heads of Agreement with Southern Gold Pty. Ltd. (and subsequently Southern Uranium Pty. Ltd.(SNU)) who are now operators. During Year 2 SNU assumed management of exploration on EL 24837. SNU determined that the optimum exploration strategy for such types of uranium deposits targeted is to survey with TEMPEST AEM in order to map the unconformity and reducing boundaries in three dimensions. Fugro Airborne Surveys Pty Limited ('Fugro') has been contracted to undertake the TEMPEST AEM survey over the entire tenement area at 500m N-S line spacing, and for total of 1900 line kilometres. The survey initially planned for September 2007 was delayed due to the contractor's unavailability and had been rescheduled to February 2008. Further delays were caused by bankruptcy of the Borroloola accommodation provider for the flight crew and then the onset of the monsoon. The survey has now been completed on the 30th March 2008. Processing and detailed interpretation was not completed by the end of the anniversary period, but is now underway.