December 31, 2008 During the year exploration concentrated on two areas located immediately north east and to the north west of Ceduna, testing zones using a combination of geological concepts, remote sensing and drilling.
Encouraging exploration results were received that led to the discovery of a new prospect named Mojave. This
prospect extends 8 kilometres along strike and up to 3.5 kilometres wide. The heavy mineral (“HM”) assemblage
contains 13 per cent zircon, 30 per cent leucoxene and 2 per cent ilmenite. Exploration in 2009 will focus on
following up HM anomalies discovered along the Oolabinna traverse as well as testing new areas which have
had limited exploration to date.