DALLI

Persian reported that a total of 1220 metres in 8 trenches have been placed in the South Hill area and samples taken every 2 metres at the main hill and 4 metres away from the main hill. A total of 475 channel samples were collected from these trenches. The results of drilling, trench sampling and surface geological mapping, show that the gold and copper mineralisation is still open at north-northwest of South Hill.

Reported that four holes totalling 1,206 metres were drilled. One vertical hole, (DDH 06), drilled the centre of the South Hill to a depth of 401 metres to measure the depth extension of the higher grades found in the earlier drilling. Highlights include 56 m at 0.37% copper and 0.52 g/t gold over 56.0 m from 57.0 m in hole DDH 06. A detailed geological map covering 81 hectares on the North Hill and 100 hectares on the South Hill has been completed. A total of 16 trenches covering 1,513 metres have been completed and 819 samples taken. Results were awaited.

A second stage drilling program has been finalized. In total 8 holes have been drilled to a total depth of 2,494m, as well as 16 trenches covering 1,513m from which 2,030 samples were collected and sent for analysis. The indications are that the North Hill is predominantly a gold deposit while the South is a copper/gold porphyry. The first phase drilling on the North Hill produced marginally economic grades so it was decided to focus on the South Hill where the second stage drilling took place.