Ann: Major Development Milestone Achieved at Lance Projects, page-2

Why wait...sing it from the rooftops!!!

MAJOR DEVELOPMENT MILESTONE ACHIEVED AT LANCE PROJECTS

Peninsula Energy Limited (Peninsula or the Company) is pleased to announce that a major project development milestone has been achieved at its Lance Projects in Wyoming USA. Peninsula’s wholly owned subsidiary, Strata Energy, Inc. (Strata) has submitted the wellfield data package for Mine Unit 1 (Wellfield Data Package) to the US Nuclear Regulatory Commission (NRC) and the Wyoming Department of Environmental Quality (WDEQ).

As part of its pre-operational license requirements, Strata is required to submit to the NRC and WDEQ the Wellfield Data Package for their respective review and approval prior to the commencement of production. Submission of the Wellfield Data Package follows the completion of installation of all Mine Unit 1 monitor wells, well pump tests and four rounds of baseline water sampling.

In making the submission to the NRC and the WDEQ, Strata has validated through testing that the hydrological aspects of the Mine Unit 1 orebody and its perimeter will function in a manner consistent with previous pump tests and modelling. This includes demonstrating that the ore zone aquifers are effectively isolated from the overlying and underlying aquifers.

Water quality information obtained from pre-production baseline water sampling will also be used to set upper control limits for all monitor wells during production and set restoration standards during future groundwater restoration and rehabilitation of depleted wellfields.