Extract Resources Limited T.EXT

NR, Exploratory drilling - expanded orebodies

[abner29]

Company announcement to ASX today 23 Feb 2011:

https://www.asx.com.au/asxpdf/20110223/pdf/41wz8h28qs4k8m.pdf

ASX/MEDIA RELEASE

CHEMICAL ASSAYS CONFIRM THE EMERGENCE OF NEW REGIONAL EXPLORATION TARGETS AT HUSAB URANIUM PROJECT

Highlights:

1. Continued RC exploration drilling has confirmed uranium mineralisation at several new targets within the Husab Uranium Project, including Middle Dome and Pizzaro Prospects.
2. Middle Dome is located approximately 6.5 kilometres south of Zone 2, and approximately 4.5 kilometres north of the Salem Prospect. Middle Dome appears to be located on the concealed northern extension of the Ida Dome.
3. The Pizzaro Prospect is located on EPL 3439 approximately 4.5 kilometres west of the Inca deposit (Deep Yellow Ltd). Uranium bearing alaskitic pegmatites appear to be intruding Khan Formation gneiss in this area.
4. Strike length of uranium mineralisation at Salem has now been extended to approximately 1 kilometre.

Middle Dome is located approximately 6.5 kilometres south of Zone 2, and is interpreted to represent the concealed northern extension of the Ida Dome. In this area the Damara stratigraphy typically dips at a low to moderate angle, so large areas of prospective stratigraphy remain covered by alluvium or overlying strata. The best intersection returned from exploration drilling, 20 metres @ 846 ppm U3O8 in RBE 367, was supported by further intersections 200 metres to the east in hole RBE 369. The intersection recorded in RBE 367 is the second highest grade-width intersection in the Husab exploration (non-resource) drilling database following RBO 162 on the Zone 2 discovery section.

The Salem Prospect is located some 4.5 kilometres to the south of Middle Dome, on the north east flank of the Ida Dome. Salem is a potentially large but comparatively low grade deposit in which the uranium bearing leucogranite sheets are observed to have intruded mainly older granites, rather than the usual Damara metasediments. Drilling completed

2

prior to the Christmas break has extended the strike length of the deposit to 1 kilometre, approximately double the size of the surface radiometric anomaly. Radon emanometry previously carried out in this area supports the concept of a large uranium target at Salem.

The Pizzaro Prospect is located in the western section of EPL 3439 some 4.5 kilometres west of the Inca deposit (Deep Yellow Ltd) and approximately 2 kilometres south of the C28 road. In this area uranium mineralisation is hosted within sheeted leucogranites intruding Khan Formation gneiss, a style of mineralisation typical of Ida Central and Garnet Valley within the Ida Dome area, approximately 18 kilometres to the north northeast (Figure 1). A second drill traverse has been completed at Pizzaro, some 1.6 kilometres to the west of the initial reconnaissance line. Hand held spectral assays have also recorded anomalous radioactivity on the second drill traverse, although confirmation by chemical assaying is awaited.