Centrex Metals commenced reverse circulation exploration and resource definition drilling at the Wilgerup iron ore deposit on 6/9/2006, which was partly funded by the PACE Initiative as a Year 3 approved project, with funds allocated for 1000 m of RC drilling and 400 m of diamond drilling. By 7/2/2007, 128 RC drillholes totalling 12,307 m had been completed by the licensee, of which 12 holes totalling 1200 m were assigned to the PACE project. This resource definition drilling, initially done at 80 m x 20 m and then at selected 40 m x 20 m drill spacings, was deemed sufficient to support the estimation of an Indicated Resource. Four HQ3 diamond drillholes were completed in February and March 2007, for a total of 604 m, to provide samples for ore characterisation test work and, in the case of the potentially economic haematitic clay and haematitic carbonate subunits, which bound respectively the top and bottom of the massive haematite orebody horizon, to provide samples of these materials for carrying out ore beneficiation feasibility tests. The drill cores have been filleted for assaying, and when those assay results are received, 6 x composites of massive haematite, 3 x composites of haematitic clay and 3 x composites of haematitic carbonate will be collected for testing. Snowden Mining Industry Consultants has, on behalf of Centrex Metals, undertaken a Mineral Resource Estimate for the Wilgerup North iron ore deposit. At a mineable iron content cut-off of 55% Fe for the massive haematite unit, the Indicated Resource totals 8.0 Mt at an average grade of 59.8% Fe, 3.3% SiO2, 2.3% Al2O3 and 0.48% P. The Inferred Resource within this unit totals 1.1 Mt at a grade of 59.5% Fe, 3.1% SiO2, 2.2% Al2O3 and 0.66% P.