The Bullabulling Gold Project : Phase Two

Phase Two Drilling – Completing the new JORC and exploring further along the 6km Bullabulling mineralised trend.

The Phase One drilling programme totalling approximately 35,000 metres of mostly QAQC confirmation drilling was completed in May.

Work on Phase Two started at Bullabulling on 14 May 2011 using three drill rigs.

There are two clear objectives for the new Phase Two drilling programme.  The main objective for Phase Two is to establish sufficient gold reserves for at least a ten-year mine life at Bullabulling.

To achieve this, the initial Phase Two drill programme will comprise 70,000 metres of new infill drilling focused primarily on converting a substantial portion of the current 1.9m Inferred Resources into Indicated status.

The second key objective of Phase Two is to commence more detailed exploration drilling beyond the current 2.2km zone where most of the previous drilling work has concentrated.  The aim is to confirm through drilling the true extent (both the length and the depth) of the Bullabulling gold trend.

The 20,000 metres of exploration drilling will target Gryphon, Kraken, Minotaur and Edwards pits on the southern extension of the Bullabulling trend.

By the end of July, over 24,000m of new drilling had been completed, and early results outside of the 2.2km zone show the same promise as the rest of Bullabulling. Of course, much more work needs to be done to confirm this promise.

We have already received approval from the Western Australian government for a Programme of Works that allows for up to 194,000m of drilling over the next 12 months.

Drill highlights table as at 25 July 2011