Kalahari Minerals plc – Rossing South Update

Kalahari Minerals plc, the AIM listed mining exploration and evaluation group with a portfolio of uranium, copper and base metal interests in Namibia, is pleased to provide an update released by Extract Resources Ltd (‘Extract’ or ‘the Company’), in which Kalahari’s subsidiary, Kalahari Uranium Limited, holds a 38.68% interest.

Kalahari Chairman Mark Hohnen said, “Rossing South continues to yield fantastic results and as Peter MacIntyre reiterated, these latest set of results reconfirm that Rossing South is the highest grade granite hosted uranium deposit in Namibia and that it continues to evolve into one of the largest uranium deposits in the world.” 

Extract Announcement:
Extract Resources today announced further broad, high grade chemical assay results from Rossing South and the renewal of EPL3138.

Highlights:

• Namibian Ministry of Mines and Energy confirms renewal of EPL3138 (which includes the Rossing South deposit).
• Rossing South Zone 2 drilling is progressing on schedule and continues to encounter zones of massive high grade alaskite-hosted uranium mineralisation.
• Rossing South Zone 1 drilling results further define and extend the known mineralisation.
• Seven drill rigs now operating on site (5 RC + 2 Diamond).
• Exploration drilling that will explore to the west of Zone 1 and south of Zone 2 has commenced.

Resource Definition Update
Six drill rigs are completing resource drilling at Rossing South. One RC rig is drilling holes at the south of Zone 1 to further define and extend mineralisation in this direction. Two diamond rigs are currently active at Zone 1, drilling resource extension holes. Portions of the drill core from these holes will be brought to Australia and used in the ongoing metallurgical testwork programme at ANSTO Minerals.

A further 3 RC rigs are drilling resource definition holes on a 100 x 100m pattern over Zone 2. Results from chemical assays and handheld spectrometer readings associated with this infill drilling confirm the presence of broad, high grade alaskite-hosted mineralisation in Zone 2. Drilling on Zone 2 is progressing on schedule and a resource estimate for the area will be announced in August 2009.

Exploration Update
An exploration RC drilling programme, initially aimed at finding western extensions to Zone 1, and then drilling east-west lines of holes starting 2.4km south of Zone 2, has commenced.

Final planning and permitting for a high resolution helimag survey of the Rossing South corridor is in progress. It is expected that the improved aeromagnetic imagery over the area will help in exploration target generation as well as helping to better define structures within the existing resource areas.

The stratigraphy hosting Rossing South can be traced under alluvial cover, south of Zone 2, for 9km. Geophysical imagery of the area shows favourable structural sites (dilation zones), into which there is a high probability that alaskite units have intruded.

EPL 3138 Licence Renewal
Rossing South is located wholly within EPL3138. The license for EPL3138 has been renewed by the Namibian Ministry of Mines and Energy (MME) for an additional period of two years.

About Extract
Extract Resources is an Australian-based uranium exploration company whose primary focus is in the African nation of Namibia. The Company’s principal asset is its 100% owned Husab Uranium Project which contains two known uranium deposit areas: Rossing South; and Ida Dome. Extensive exploration potential also exists for new uranium discoveries.

A full announcement with diagrams is available on www.extractresources.com