red rock resources, page-8

Retail Star had been mak-ing significant progress since August 2007 when the transaction between RSL and Red Rock was completed. However, the relisting on the mining board of the ASX has been held up by the current poor market conditions.
Exploration has taken place in Malawi and also in Australia. At Machinga mapping & ground-based surveys (scintillometer and X-Ray Fluorescence (XRF) analyser) identified radio-metric anomalies. Within the 7 km long main anom-aly, RSL defined a 2000 metre long by 200-500 metres wide highly anoma-lous Niobium-Zirconium-
Tantalum-Thorium-Titanium-Uranium zone. We await rare earth results from the laboratory. Technology met-als and rare earths have been the focus of more interest within the industry recently and Machinga is looking similar to Globe’s Kanyika Project.
Exploration in Australia, which yielded initially prom-ising results, and on our other Malawian property at Chintheche have been put on hold for the time being.
In early 2008 the board of RSL decided to raise more funds in order to fund fur-ther exploration activities. Although the process started successfully, we hit
the period when the mar-ket began to fall steeply. RSL is therefore sus-pended between its former listing and its relisting as a mining company and the board expect this to con-tinue until the market con-ditions improve.
It is perhaps a benefit to be off the market in condi-tions like these. RSL still combines good assets with good management. It also has enough money, with limited support from Red Rock to survive this cur-rent crisis. Just as with Jupiter, we shall find a way to make our investment come good.