Combined final report for EL 9518 'Jervois' (including information on MCS 13-28, MLS 10, MLS 16, MLS 17, MLS 23, MLS 51-57, MLS 61, MLS 62 and MLS 90), year ending 2 October 2006

Abstract

EL 9518 'Jervois' was granted to C. Savage on 1st October 1996 for a period of six years. Under compulsory partial surrender provisions, 50% of the tenement was relinquished on the 30th September 1998. The tenement was subsequently transferred to M. Ruane on the 19th July 1999, who applied for a deferment of relinquishment until 2nd October 2000, which was approved by the DPIFM. M. Ruane then entered into an option to acquire agreement with Britannia Gold NL. On 5th August 1999, M.I.M. Exploration Pty Ltd entered into a Joint Venture agreement with Britannia Gold NL, agreeing to act as manager and operator of the Jervois Project, which incorporates EL 9518 'Jervois.' M.I.M. Exploration withdrew from the joint venture in 2002. EL 9518 was transferred to Reward Minerals Limited which successfully raised $3 million through public subscription and listed on the ASX in April 2004. During this reporting year Reward Minerals completed a substantial drilling program focused on the known mineralisation within the smaller leases contained within EL 9518. In July 2006 Reward Minerals commenced an exploration drilling program focused on the Bellbird, Green Parrot, Rockface, Marshall and Reward prospects with a second program commenced in August, 2006. At the end of the second program (September 2006) a total of 38 RC holes had been drilled for a total of 3399m. The drilling occurred entirely within the smaller leases MCS 13-28, MLS 10, 16, 17, 23, 51-57, 61, 62, and 90. Strong copper mineralisation was encountered in several holes at the Bellbird prospect.