blue sky ahead, page-3

Broker comment :-

FIRST GLANCE | COMMENT
AUGUST 31, 2009
Extract Resources Limited (ASX: EXT; 9.50; TSX: EXT)
Getting Bigger! Extract Expands Rossing South with
Zone 3.
Outperform
Speculative Risk
Impact
Positive
First Impression
• On August 31, 2009, Extract announced the results of its latest drilling at its
Rössing South project in Namibia. The most important announcement, in
our view, is the definition of a new mineralized zone south of Zone 2,
dubbed Zone 3 (see map on next page).
• Encouraging Drill Results: Early results from Zone 3 indicate the presence
of yet another alaskite hosted uranium body. The results from one hole at
Zone 3 were reported: RRC414 contained 72m grading 676ppm U
3
O
8 including a 31m interval grading 589ppm and a 35m grading 866 ppm. Based
on the drill angle, we calculate this mineralized intercept is at a vertical depth
of ~255m (a relatively deep intercept).
• Could it be Even Bigger? In addition to Zone 3, Extract announced
promising results from a prospect called Salem located 10km south of
Rössing South. Extract reports that handheld spectrometer results are very
encouraging and the company has one RC rig active on that zone.
• Extract is also carrying out out an intensive resource definition drilling
program focused on both Zones 1 and 2. One of these rigs will test the
potential for a deep connector zone between Zone 1 and 2.
• We continue to believe the Rössing South deposit has excellent potential
to increase in size, perhaps even beyond 400 million pounds. Even with
its current resource of ~270 million pounds, we think Rössing South is
one of the most important undeveloped uranium projects in the world,
and the most important not held by a major uranium miner.