Eva Project MLN 585 Annual report for period ending 31 December 2010

Abstract

NuPower completed a drilling program on the Eva prospect within Mining Lease MLN 585 between mid October and December 2009. A total of 50 holes was drilled for 2837.7m, comprising 40 RC holes for 2328m and 10 core holes for 509.7m. During this program, detailed mapping of the prospect and rock ship sampling of benches were also completed. During this work radiation exposure and doses were carefully managed. Prior to the commencement of field operation EcOz Environmental Services conducted a baseline environmental assessment of the Mining Lease in June. Earlier in the year, in April, Gemell Mining Services carried out a review of the uranium mineralisation potential, based on the shallow percussion drilling of the property by BHP in 1959. In the lead up to the drilling, a reconnaissance survey was conducted in July and August 2009 where portable XRF soil data were collected and mapping and rock chip sampling were undertaken. As previously recommended (Buckle, 2009) further assay of RC and core material for potential gold - only intersections was carried out in late 2010. In conjunction with a site visit for environmental monitoring purposes further material was collected from storage on site and trucked to ALS in Mt Isa for preparation and assay. PQ cored hole EV044 was scanned by the NTGS HyLogger in Darwin and specific gravity measurements were carried out on selected samples of the core. The new assay data was merged with the results from 2009 and an independent consultant completed a resource estimation of the uranium and gold mineralisation in the deposit, as reported here. Further environmental monitoring, including stream sediment sampling in 2009 and 2010 before and during the works and post-rehabilitation is reported here.