cazaly results drive up gda sp

21st January 2008
ASX Release


SIGNIFICANT IRON MINERALISATION DISCOVERED
- MT CAUDAN Iron Ore Project


• Mineralisation intersected in ALL holes drilled.
• Drilling completed over 900m within a 1.5km long target.
• Better results include;
51m @ 58.8% Fe, 34m @ 57.8% Fe, 12m @ 58.6% Fe, 25m @ 56.9% Fe

Following initial ground assessment and positive results from surface sampling the Company
planned and has recently completed a first pass reconnaissance drill program over the Mt
Caudan iron prospect at Parker Range. A total of 13 reverse circulation (RC) drillholes were
completed for 882m. Results have proven to be highly encouraging and include an outstanding
result of 51m @ 58.8% Fe from 11m.

The Company previously entered into an iron ore farm-in agreement with Gondwana Resources
Ltd (ASX:GDA), covering the Parker Range Project. Cazaly has the right to earn 80% of the iron
ore rights through the expenditure of $1million over three years. The Parker Range Project lies
approximately 15 kilometres south-east of Marvel Loch and approximately 60 kilometres by road
south of the Perth–Kalgoorlie railway. Potential exists for the delineation of a substantial
resource of iron ore.