Annual report for ERL 25896 Cadell Project, for the period 27 August 2007 to 26 August 2008

Abstract

Cadell Project is a uranium exploration project area located in Western Arnhem Land and operated by Cameco Australia Pty Ltd (Cameco). This report documents work in the first year of tenure for Exploration Retention Licence (ERL) 25896 which replaces EL3347, and was granted on 27th September 2007. In December 2006, Uranium Equities Limited entered into a joint venture arrangement with Cameco on the Cadell project. In July 2008, UEL declined to continue funding towards the project, and the Joint Venture has been dissolved. Cameco remains operator of the project. Exploration is focussed on the determination of the uranium mineralisation potential of the east-west trending Steven's fault which runs east-west through the tenement. An additional target was gold, platinum and palladium mineralisation in dolerite proximal to the Steven's fault. No on ground activities have been conducted during the reporting period. The expiry of EL 3347 was on 25th July 2007. It was not expected that grant of the ERL would occur during 2007, so no work was scheduled on the ERL for 2007. A drilling program has been planned and scheduled for 2008; however the drilling has not been conducted within the reporting period.