Fourth annual report for EL 24835, period ended 15 August 2010

Abstract

Diamond drill hole PCRD001 was drilled on the southern border of EL 24835 into a radiometric anomaly called the Windgap Uranium prospect located 23km north of the Warrego mine site. The hole was drilled to 475.5m and stayed entirely in granite. No mineralisation was encountered. Two ground gravity surveys were completed in the tenement area by Atlas Geophysics during May 2010. 627 gravity stations were collected on a 50m grid. Both survey areas were chosen for ground follow-up which involved orientated lag sampling and collection of rock chips. 80 LAG samples were taken and 5 rock chip samples collected. An area in the south of EL 24835 (EL 24835 South) was also chosen for an orientated lag sampling program. At this location, 31 lag samples were collected as well as three rock chips. Better results include; EL 24835 GRID1 - Co 9.5ppm, Zn 20ppm, Cu 85ppm, As 60ppm and EL 24835 South - Au 29ppb, Sb 23.5ppm, Zn 20ppm, Pb 46ppm, Cu 60ppm, Bi 1.8ppm, As 65ppm. Also included is a rock chip sample with Sn 2400ppm and Pb 200ppm which was taken in the EL 24835 South area. Expenditure for the year was $274,942.64 against a covenant of $80,000.