Monday, 16 July, 2007

Compass Resources

Drilling has resumed at the Company's Rum Jungle region projects with 4 drill rigs
currently operating. At Browns East Prospect the initial drilling is planned to confirm continuity and extend the existing resource and also to investigate areas of uranium potential within it. Assay results have been received from 2 holes completed at this Prospect.

Both holes recorded wide zones of base metals containing significant intervals rich in copper, cobalt, silver and uranium. Hole 07BE01 encountered 43 metres at 1.97% Copper, 0.30% Cobalt, 0.20% Nickel, 43 g/t Silver. Apart from high grade copper intervals this zone encountered high grade cobalt with 6 metres at 0.51% Cobalt from 120 metres and 5 metres of 1.08% Cobalt from 137 metres. High silver and uranium zones included 6 metres from 142 metres averaging 8.26% Copper, 265 g/t Silver and 5.6 lbs/tonne U3O8 from 108 metres.

Hole 07BE04 intersected 46 metres averaging 2.50% Copper, 0.16% Cobalt, 0.15% Nickel, 67 g/t Silver. It also included a narrower zone of uranium mineralisation
with a peak 1 metre interval of 1.34% U3O8 (29.6 lbs/tonne). A zone of 3 metres assaying 7.19% Lead was also intersected in the hole.

These initial drill results demonstrate the presence of good grades of uranium between the historic Intermediate Copper mine and Whites uranium copper mine. They also show grades of copper cobalt and silver that are significantly higher than the average grade of the inferred resource previously published.