Date of lodgement: 6-Dec-2007Title: Open Briefing�. Royal...

Date of lodgement: 6-Dec-2007

Title: Open Briefing�. Royal Resources. Record of interview:

We are in a uranium producing area and all that is required of us is to drill and locate the old uranium hosting paleo-channels that lie beneath the surface. This puts Royal well ahead of the race to be in production � and at the same time to be located in a country that has over 100 nuclear power stations and an increasing future demand. To again emphasise our commitment here � after eight months of commencing our activities in the USA we have started drilling on the Egnar project and we are
in advanced negotiations with landholders who have substantive uranium resources on their properties. This could not be said for the many uranium exploration companies here in Australia.

Our Pilbara projects are now at a point where we can start to move forward. We are expecting the last three project areas to be granted before the end of the year and we have just submitted our first Programme of Work to undertake broad spaced drilling on our Railway project area to the north-east of Newman. Once approvals are given we would expect to be drilling in February 2008. On our other project areas our surface rock chip sampling has identified
mineralised BIF and we will be looking to drill test these areas in 2008. The short answer is we are now progressing our work on these areas and we expect to be announcing to the market some encouraging results throughout 2008.

One of the main ore bodies being mined at present at Tallering Peak is the T3b open pit which is a high grade hematite resource with low contaminants. The main part of the ore body is approximately 60 metres wide and extends over a strike in excess of 800 metres. The current drilling at the Shine prospect has returned comparable results and we will know after the next round of drilling if we can start to make a valid comparison.

The Shine, Lister and Gap prospects are located some 3-4 kilometres from the Minjar gold mining operations (presently on care and maintenance) which in turn
is located 5 kms west of the world class Golden Grove base metals mine. Most of the infrastructure we need is close by and for an iron ore mining operation to be economically viable the proximity of infrastructure is of paramount importance. I do not want to jump the gun, but we have more positive here than negatives and that is a good situation to be in.

2008 should be a great year for Royal.