7 March 2007 The Manager Companies Australian Stock Exchange 20 Bridge Street Sydney NSW 2000 Dear Sir BONDS RANGE EL DRILLING UPDATE Bass Metals Ltd is pleased to advise that the first diamond drill hole testing a lead-zinc soil anomaly at the Iris River Prospect on the Bonds Range Exploration Licence intersected shallow base metal sulphide mineralisation over a 4.3 metre downhole interval, possibly representing a new Pb-Zn-Ag-Cu discovery. All assays are pending. BRD001 is the first drill hole in the area designed to follow-up on a coincident geochemical and geophysical anomaly over geology considered favourable for intrusive related lead-zinc-coppersilver mineralisation. The drill hole targets the outcropping margin of a quartz-feldspar porphyry intrusive in association with a major Pb-Zn soil anomaly which, at a 500 ppm Pb contour, extends for approximately 750 metres by 450 metres. This anomaly contains several higher grade, north-east trending zones contoured at 1,000ppm Pb which are the target of this drilling campaign. Details of the soil geochemical trends and drill hole positions are presented in Figure 1. The first drill hole intersected several shallow zones of strong alteration and Pb, Zn and Cu sulphide veining as presented in Figures 2 to 4, in particular: From (m) To (m) Drilled Interval (m) Comments 34.85 35.55 0.70 Strong chlorite altered quartz-feldspar porphyry with minor fracturing & veins. Veins 1 to 10mm wide with quartz, galena* and pyrite. 87.30 91.60 4.30 Strongly chlorite-altered quartz-feldspar porphyry with significant stockwork galena-sphalerite-chalcopyrite veining. Pyrite occurs as disseminated selvedges and minor veins. Visual estimate 5-10% galena, 2% sphalerite, 2% pyrite and 1% chalcopyrite over the zone. Individual veins are ~90% sulphide. *Galena, sphalerite and chalcopyrite are sulphide minerals containing Pb, Zn and Cu respectively. The stockwork mineralisation intersected explains the strong lead and zinc anomalism in the soil samples (+1000ppm Pb and +250ppm Zn). Whilst assay results are pending, the Directors consider that this intercept represents a very encouraging first test of a grass-roots base metals target. Subject to further drilling, it may emerge as a significant zone of lead-zinc-silver-copper mineralisation. Bass Metals is the first company to drill in the area of the Iris River Prospect. The Bonds Range Exploration Licence is held in joint venture with Adamus Resources Limited (BSM 60% and Adamus 40%). The Iris River Prospect is located approximately 15km north east of the Company’s Hellyer Project area and 100km south by sealed road from Burnie in Northwest Tasmania. There is reasonable four-wheel drive access on a 2km track running north from the sealed Cradle Mountain Link road. Suite 5/2 Richardson Street WEST PERTH WA 6005 PO Box 1330 WEST PERTH WA 6872 Telephone (08) 9322 8044 Facsimile (08) 9481 2846 www.bassmetals.com.au This is an exciting outcome for the first drill hole testing a new target. On receipt of this news – potentially representing a new discovery, the two drill hole programme was immediately extended to three holes. BRD002 is in progress. I look forward to providing further updates as information becomes available. Yours Sincerely Mike Rosenstreich Managing Director
BSM Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
