Adelaide, Jan 24, 2007 (ABN Newswire) - DRILLING EXPANDS TAILOR SHOOT TO NORTH

The Company is pleased to announce the intersection of further high grade gold mineralisation adjacent to BBUD080 which returned 14.3 metres grading 11.5 grams per tonne gold late last year at its 100% owned Burbanks Gold Project near Coolgardie in Western Australia. These new intersections confirm the along strike and down plunge continuation of the Tailor Shoot approximately 100 metres from the current known resource. Results comprise:

5.0 metres grading 14.0 grams per tonne gold
(including 1.4 metres grading 31.7 grams per tonne gold)

7.0 metres grading 8.3 grams per tonne gold
(including 4.3 metres grading 13.1 grams per tonne gold)

3.4 metres grading 12.1 grams per tonne gold
(including 0.4 metres grading 84.3 grams per tonne gold)

11.8 metres grading 6.0 grams per tonne gold
(including 2.3 metres grading 15.3 grams per tonne gold)

8.0 metres grading 6.9 grams per tonne gold
(including 1.0 metre grading 30.7 grams per tonne gold)

Extensional Diamond Drilling of Tailor Shoot

Recent underground diamond drilling has confirmed continuous zones of strong gold mineralisation associated with the along strike and down plunge continuation of the Tailor Shoot to the north of current known resources.

This latest drilling program was designed to follow up on BBUD080 which returned 14.30 metres grading 11.50 grams per tonne gold late in 2006 north along strike from Tailor Shoot. These new results are positioned at least 100 metres outside the existing Tailor Shoot underground mining reserve. Results are present in the table below.

The intersections further confirm the continuation of the plunge of the Tailor Shoot towards earlier exploratory drill holes undertaken from surface which intersected strong gold mineralisation. These include surface hole BBDD008 which previously intersected 7 metres grading 10.98 grams per tonne gold above high grade historical mine workings on the seven level 190 metres below the Lady Robinson pit floor. BBUD087 returned 11.80 metres grading 6.08 grams per tonne gold some 100 metres south of the BBDD008 intersection and 140 metres below the Lady Robinson pit floor.

Aggressive underground diamond drilling will continue testing the down plunge continuation of the Tailor Shoot well below the existing resource. Additional deeper holes are planned to test Tailor Shoot down to the old seven level, approximately 180 metres vertically below current stoping operations. Once this work has been completed an updated inferred and indicated resource is expected to be announced sometime in April.

Underground diamond drilling is also continuing to test the southern strike extension of the Wahloo Shoot.

These new intersections highlight the enormous potential at Burbanks for multiple shoot development within this large, predominantly untested system which has historically produced approximately 366,000 ounces of gold from the top 100 metres.