jigalong iron gravity survey

JIGALONG IRON POTENTIAL
TO BE TESTED WITH GRAVITY SURVEY
· A gravity survey aimed at identifying dense iron mineralisation within the
Jigalong Project is scheduled to commence later this month
Hannans Reward Ltd (“Hannans�) is scheduled to commence a 10 day ground-based reconnaissance
gravity survey later this month at the Jigalong Project, located east of Newman in the Pilbara region of
Western Australia. Gravity has proved to be an effective exploration tool for the identification of iron
mineralisation.
Please refer to the attached map which outlines the approximate area being covered by the gravity
survey.
The survey is designed to delineate the presence of dense iron mineralisation within the prospective
Marra Mamba formation which is interpreted to extend under cover into the Jigalong Project
tenements. This Marra Mamba formation is host to iron mineralisation in the Pilbara region and
outcrops immediately west of the Jigalong Project tenement boundary.
FerrAus Ltd (www.ferraus.com.au) an emerging developer of iron ore announced to ASX that it had
identified several iron targets from gravity surveys at their Davidson Creek Project. The Hannans’
survey plans to test the eastern strike continuation of these targets. The nearby Robertson Range Iron
Ore Project owned by FerrAus Ltd has a current resource of 30.6Mt @ 58.7% iron (please refer to
ASX release dated 29 October 2007).
It is envisaged that the results of the gravity survey will be available in January 2008 and will assist in
accurately locating potential iron mineralisation. Hannans plans to follow up any gravity targets with a
sufficient number of reverse circulation (RC) drill holes to test the targets. Subject to receiving
Traditional Owner and Government approvals, drilling will be scheduled for the next field season early
in the 4th Quarter.
By way of background the Jigalong Project is the subject of a Memorandum of Understanding
between Hannans Reward Ltd and Jigalong Community Inc dated 20 October 2003. A substantive
agreement covering the terms in the MOU has not yet been signed by either party. The principal terms
of the MOU are that it is an equal joint venture with both parties required to contribute to exploration
expenditure or be subject to dilution. The Jigalong Project tenements are registered in the name of
Errawarra Pty Ltd, currently a wholly owned subsidiary of Hannans Reward Ltd.