china to explore for our uranium, page-58

re: what`s the best play in u ? EXT
Overview: Extract is earning a 51% interest in the Husab uranium prospect in the central zone of the
Damara Orogen, Namibia. The JV is subject to Namibian Ministerial consent. The ground is well situated
with Rossing 10 kilometres to the northwest, a large scale low grade (alaskite) uranium mine, operated by
Rio Tinto since 1976. The calcrete-hosted Langer Heinrich uranium deposit (PDN), is 30 kilometres to the
west/southwest. EXT has applied for two additional licences in the Uis area (Namibia) in its own right
(100%). EXT has a 50% interest in the Burnakura underground gold mine (WA), where the first gold pour is
expected in September and cash flow is expected 4Q05.
Husab Project: The licence is granted and permitted. Recent airborne radiometrics suggests there are a
number of uranium bearing granite intrusions within the licence. The ground includes uraniferous alaskites
similar to Rossing, though no historic drilling. The licence lies within the Namib-Naukluft National Park,
where exploration and subsequent mining is permitted. The area was previously worked by the Ida copper
mine and a fluorite mine. EXT plans to undertake geochemical and ground radiometrics in September,
with the first phase of drilling expected by October, subject to rig availability. Anglo American, explored the
vicinity in the 1970's, and intercepted 5 metres at 0.25% U3O8 on a trend that crosses into the Husab
licence. Rock-chip sampling on trend at the Husab mine returned a highest assay of 0.29% U3
Following this trend into Husab will be a prime drilling target for EXT.
Burnakura Gold: NOA2 commissioning is expected in Aug/Sept. and production of 50k/oz is expected
over 15 months. Potential is good for reserve upside along a 7km strike and at depth. The current reserve
is to 160m depth. EXT indicates production costs should be around A$440/oz.
Investment Comment: Exploration of the Husab project in Namibia is to commence in August targeting
both Langer Heinrich and Rossing style mineralisation. The licence is well situated between pedigree
uranium projects, has not been well explored previously and has potential to host economic deposits.