the long term., page-21

Guys, I think it is prudent given todays activities and subsequent disclosure of management buying to raise this post again. Obvious buying opportunities arose due to UMC management's predictable and typically cryptic announcements...

A close look at the announcement will yield a few clues to the potential now arising from the drilling results. A further 3000m to be assayed by December will also help confirm some of these suspicions.

The Railway prospect in particular was of great interest. UMC believes it is part of the Mt Newman Member of the Marra Mamba iron formation.

FMG's Cloud Break deposit is one example of a deposit hosted in the Marra Mamba iron formation and I've pasted a description of the deposit characteristics below:

"Each individual zone is between 800 metres and 2 kilometres wide, across strike, forming shallow, potentially low-cost mining opportunities in a series of
ore bodies dipping flatly to the south. Ore thicknesses vary but are up to 20 metres."

Sound familiar? Refer to The railway deposit exhibited an intersection of exactly 20m of 61.1% Fe to 55m depth, with another hole ending in 64.1% Fe at 52m depth from 43m. Now if holes UI34, 36, 37, 38 and UI32 are drilled to 50-60m depth and encounters mineralisation, and assays of the already drilled UI31 down to 70m encounter mineralisation, then we have a deposit ranging from 10 to 20m thickness with a width of between 600-1000m.

UI048 to the west also encountered 61.1% Fe. Now if this is continous with the main body... we are getting close to a potential tonnage.. The really exciting part is if holes 17 and 18 in Area B (see page 2) confirm that the ore body extends into area B under cover... we now have an ore body averaging say 15m thickness, extending around 500m width and with a strike length of 400m plus 1.3km at least on UMC tenements, not including whatever lengths run into Area B.

If this is a deposit typically encountered in the Mt Newman Member of the Marra Mamba formation it would be entirely possible for it to be of this size and geology. Let's put a conservative 300m in Area B... 2000m x 500m x 15m = 15m cubic meters, multiplied by 2.8 = 37.5m tonnes. If we take the upper end of the typical sizes of these deposits with widths up to 2km wide, and perhaps a strike length of 3km... now we are talking 252MT!

Then we look at the giant Marra Mamba formation that is the Southern Flank prospect.. that holding alone could host another deposit of similar or greater size.

So with confirmed high grade iron hits in a region where such deposits are well known and currently mined... What are the chances that we do not strike at least one significant deposit. Then ask yourself what if we have two, three even four of these. We already know Camp Hill is an extension of one such existing deposit.

Food for thought over the weekend!

Cheers,
UIO