RIO TINTO Nearology Jadar Project, page-13

A two-year staged exploration program, managed and operated by Serbian geologists, is proposed for the Serbian tenements. The first year of exploration on all five tenements is planned to include regional geological mapping, outcrop and soil sampling over each exploration area. Exploratory trenches are anticipated to be dug and auger drilling on appropriate grid spacings is planned to be carried out in the soils surrounding target areas to test outcrops at key locations identified during the first mapping and sampling phase. Appropriate petrographic investigations and laboratory assays will be undertaken on selected samples. All the geological mapping and sampling results will be compiled in digital and GIS databases and summarised for annual reports required by the Serbian mines department. The first year’s mapping and sampling will be continued into the second year focusing on the most prospective areas and will likely include appropriate geophysical surveys, initially ground magnetics, which, if successful, will be followed up by exploration diamond drilling. The spacing of drill hole collars are likely to be progressively tightened where results from the previous phase warrant further drilling. A proposed exploration budget is provided in Table 3. Note that the budgets for years subsequent to Year 1 include proposed drilling and the actual quantity of drilling required will depend on the success of the exploration effort in the previous year.