Annual technical report for EL 25162 Illogwa Project for the period ending 15 November 2008

Abstract

The Illogwa Project consists of two exploration licences, EL's 25161 and 25162. The Project is governed by the Eromanga Basin Agreement between Eromanga Uranium Limited (ERO) and Maximus Resources Limited (MXR). The principal target for exploration is sedimentary uranium in palaeochannels within the Mesozoic Eromanga Basin. No on-ground exploration has been undertaken by ERO on EL 25162 since grant. It had been planned to undertake a regional airborne EM survey at 1km line spacing over both EL 25161 and EL 25162 to define palaeochannels which may host uranium mineralisation. Follow-up drilling of specific areas would then ensue. However following a meeting with Traditional Landowners in 2007 a 5 year moratorium was placed on the grant of EL 25161. ERO has to date considered that it is both logistically and financially unviable to undertake this work on the smaller area of EL 25162 only. ERO to review the viability of treating EL 25162 as a stand-alone licence with a view to either: - Undertaking the proposed airborne EM survey and subsequent drilling or - Surrendering the title.