WME west australian metals ltd

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    11 October 2007
    Company Announcements Office
    Australian Stock Exchange Limited
    Level 4, Exchange Centre
    20 Bridge Street
    SYDNEY NSW 2000
    Dear Sir/Madam,
    HIGHLIGHTS
    WME identifies potential for a major new mineralised palaeochannel at
    Marenica
    • Results have been received for a Track Etch cup survey over two areas covering 62.4 sq km.
    • Results indicate a potential new palaeochannel 10 km in length prospective for uranium
    mineralisation east of the known mineralised areas.

    MARENICA URANIUM PROJECT - NAMIBIA
    West Australian Metals Ltd (WME) is pleased to announce the results of the radon gas (Track Etch cup)
    survey within the Marenica Uranium Project, Namibia The survey was conducted over two areas (Areas 1
    and 2) totalling 62.4 sq km within the tenement (Figures 1 and 2).
    The results of this survey show a significant area of elevated radon gas activity that defines a potentially
    new palaeochannel east of the known mineralised areas. The radon anomaly covers an area similar in size
    to the combined Mineralised Areas 1 to 4 (Figure 1) previously drilled (32,000metres) by Gold Fields of
    South Africa and on which an historic resource was estimated.
    The Track Etch cups used measure the amount of radon gas, a daughter product of uranium, present in the
    soil. A high level of radon gas activity is an indicator of buried uranium mineralisation - including buried
    mineralised palaeochannels. The placement of the Track Etch cups was completed using a hand auger to
    drill holes to a depth of around 0.5 metres on a 300m x 300m grid pattern. The cups were left in situ for
    around two months before being retrieved and sent to France for processing. A total of 89 cups were
    placed in Area 1 (over 5.3 sq km) and 497 cups over Area 2 (57.1 sq km).
    Area 1 was designed as a ‘control’ area to validate and compare the Track Etch results obtained from the
    survey. Area 1 is over known “blind” mineralisation that has been tested with wide spaced drilling by
    both Gold Fields and more recently by West Australian Metals, it also has an anomalous signature in the
    original Gold Fields radon gas survey conducted in the early 1970’s which used a technologically inferior
    detector method to the Track Etch technique used by WME. Results from Area 1 returned similar high
    radon gas signatures as those measured by the original Gold Fields survey and confirm the validity of the
    technique.
    Area 2 comprises an area of thick colluvial cover with limited exposure of the calcrete horizon. The
    results of this survey show significant areas of elevated radon gas activity that defines a potentially new
    palaeochannel (Figure 1). The survey has defined a northeast-southwest trending radon anomaly
    interpreted as a possible palaeochannel approximately 10 km in length and 2km in width. The anomaly
    covers an area similar in size to the combined Mineralised Areas 1 to 4 (Figure 1) previously drilled
    (32,000metres) by Gold Fields of South Africa and on which an historic resource was estimated. An
    overflow channel appears to link this palaeochannel with the main mineralised Marenica palaeochannel to
    the west.
    The Company is seeking a designated RC drill rig to commence testing Area 2, and the linking
    palaeochannel.
    A third area (Area 3), located west of Mineralised Area 4 has been covered with Track Etch cups
    following the same parameters as the previous two areas (Figure 2). This area covers a 7-8 km length of
    the main Marenica channel. Cups from this survey will be collected in November.
 
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