Kenya Fluorspar

The Company has embarked on an exploration drilling program end March 2009.

The program will be split into two phases i.e. phase 1 being to model the ore reserves established in the current active mining sites and then phase 2 which will entail the exploration part. The services of a Zimbabwean based company, Titan Drilling , was acquired and they commenced drilling with their RC rigs and at the end of May a total of approximately 7 000 meters were drilled.

Phase 1 is expected to yield 20,000 meters with an anticipated completion date of end August 2009. The Company has acquired its own Diamond Drill and drilling commenced mid April.

The Mining Consultancy Company, Scott Wilson Roscoe Postle Associates Inc based in Toronto, Canada has been contracted to do the ore reserve modeling and competent persons report.