Group annual report EL 24453, EL 24463, EL 24533, EL 24451, EL 24804, EL 24807, EL 30002, EL 30004 and EL 30006 GR070 Ngalia Regional Project period ending 6 February 2016

Abstract

Exploration work undertaken on these licences for the period 7 February 2015 to 6 February 2016 included the following programs: 1) Desktop studies and compilation of historical data, 2) Interpretation of the December 2014 high resolution airborne magnetic and radiometric surveys over the four non-contiguous areas within EL 24453, EL 24463, EL 30002, EL 30004 and EL 24451, 3) Regional reconnaissance and geological mapping on EL 24453 and EL 30004, 4) Core re-logging and geological modelling of the Walbiri Deposit on EL 24463 and ELR 45 (excluded from this report), 5) Maiden JORC inferred resource estimate of the Walbiri Deposit using a 200ppm cut-off for 7,456 tonnes eU3O8 (16.44 Mlbs) with an average grade of 597 ppm eU3O8. Note: 4,157 tonnes eU3O8 are located on EL 24463, 6) CSIRO study on uranium occurrences characterisation within the Ngalia Basin, NT, 7) Continued radiation and environmental baseline studies (when possible), 8) Final rehabilitation at the A15E, Big West, Autobahn, Dingo's Rest and Camel Flat prospects. Rehabilitation is now complete, 9) Upkeep and maintenance of the Bigrlyi exploration camp (share related to regional exploration), 10) Review and partial relinquishment of EL 24451, EL 24533, EL 24463 and EL 24453 tenement areas. The highlight for the 2015-16 reporting period was the maiden resource estimate for the Walbiri Deposit of 7,456 tonnes eU3O8 (16.44 Mlbs) with an average grade of 597 ppm eU3O8 (Table 1). The Mineral Resources are based on historical exploration data and have been classified as 'Inferred' and reported in accordance with the JORC Code. Mineral Resource classification is based on confidence in the geological interpretation and drill spacing. Resource estimation was carried out by external consultants CSA Global. Note that 4,157 tonnes eU3O8 are located on EL 24463 with the remainder of the resource located on ELR 45 and EL 30145 including satellite deposits Hill One and Sundberg.