DANFENG

Further drill results from the South West Zone were released and include 11.30 m @ 0.46% Cu, 5.30 m @ 1.36% Cu5.40 m @ 1.04% Cu and 3.60 m @ 2.18% Cu.

The discovery of a new high grade copper and molybdenum zone in the Southwest of the Licence Area (“the South West Zone”) was announced. Significant copper results include 21.4m @ 1.02% Cu, 1.6m @ 2.35% Cu, 2.5m @ 1.96% Cu, 1.66m @ 1.22% Cu, 11m @ 0.83% Cu and 7.2m @ 0.90% Cu. Molybdenite is dominantly found in the massive form, and thus the most accurate way to verify and report molybdenum values is being evaluated. In addition, the first drill hole to test the North East Zone (where significant mineralisation was encountered by previous Chinese drilling in the 1970’s) has intersected 109 m of pervasive molybdenite mineralisation in granite porphyry, extending from 25 m to 134 m depth. Assays are pending. In the coming weeks, drilling will begin testing the Eastern Zone to test the validity of previous Chinese drilling that formed the basis of the historical resource at Danfeng.

Both the Business Licence and the new Exploration Licence required to progress the development of the project were received. In addition, the JV Company has awarded the Xi’an Nuclear Industry Geological Survey Institute (“Shaanxi Nuclear Institute”) a contract to provide technical support to the Danfeng Project. Finally, a full independent review was underway by a leading Independent Geological Consultancy.