First annual report for EL 25528 Mount Bundey period ended 5 July 2008

Abstract

EL25528 is located 100 km by road southeast of Darwin, along the Arnhem Highway near Mount Bundey. During the first year of tenure ground radiometric prospecting of seven airborne radiometric anomalies was undertaken and one rock chip sample was collected. The flying of 108 line km of airborne geophysical surveys (magnetics and radiometrics) at 200m line spacing was also completed as part of a larger survey of adjoining tenements. EL25528 was granted to Wasabi Energy Ltd on July 5 2007. On May 31 2007, Rum Jungle Uranium Ltd purchased EL's 25528 (Mount Bundey), 24939 (Woolner) and 24917 (Ross River) from Wasabi via the allocation of shares and share options. RJU is exploring the tenement for uranium, base metals and iron ore. During the first year of tenure, fieldwork involved walking to seven radiometric anomalies and checking them with a scintillometer. One sample (MB08013) was taken of hematitic ironstone near anomaly number 93. Most anomalies occurred in lateritic gravel areas with only slightly elevated levels of radioactivity. It is proposed to drill air holes on selected tracks and fence lines in the next year of tenure to further check these anomalies and the sub cropping geology. A contract has been signed with Geoscience Australia to fly airborne EM at 333m line spacing over the entire tenement during their broader PCO airborne survey commencing in September 2008.