Fifth annual report for EL 23791 Mount Bundey period ended 20 January 2009

Abstract

Rum Jungle Uranium Ltd signed a uranium joint venture agreement with Territory Resources Ltd in May 2008 over EL's 23791, 23921 and 24468 in the Mary River area and commenced exploration in the second half of 2008. Territory had explored the tenement for iron ore for the first four years of tenure. During the fifth year of tenure in the dry season of 2008, six rock chip samples were collected, 31 RAB holes (652m) and 16 RC holes (1128m) were drilled. Low grade polymetallic radioactive skarn mineralisation was intersected in seven of the 15 RC holes on the western fringe of Mount Goyder. Mineralisation contains uranium, copper and rare earth oxide with anomalous cobalt, vanadium, silver, iron and sulphur. 52 line km of airborne EM surveying at 333m line spacing was flown by Geoscience Australia (Rum Jungle paying for infill) in October and November. Rum Jungle has not yet received any data. No RAB assays have yet been returned and assays for only one RC hole have been received. Best rock chip result was from the Billabong area, 1km north west of Mount Goyder in MG08001 returned 59ppb Au, 1150ppm Bi, 1140ppm Cu and 39.1% Fe. The only RC assays received to date have been for MGRC003 (Anomaly 2) which includes 1m @ 1.7% REO and 1m @ 349ppm U3O8.