Company Information for Kalahari Minerals Plc

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Company Statement

Kalahari is a dynamic emerging exploration company with a diverse portfolio of uranium, copper and base metal interests in Namibia.  Its key investment is its majority shareholding in ASX and TSX listed Extract Resources.  Extract’s main asset is the Husab Uranium Project, which is located within the uranium rich alaskite belt approximately 45km north-east of Namibia’s main port, Walvis Bay.  Consistently high assay results since January 2008 have identified Extract’s Rossing South Project as one of the most significant new uranium discoveries in recent years with an initial resource of 108 M lb U3O8 for Zone 1 announced in January 2009.  It is anticipated that the Zone 2 resource, expected to be announced in summer 2009, will be in the higher end of the estimated 105 M lb U3O8, which will further expand Extract’s quantified resource base.

Extract’s assets are located in a prolific uranium region, flanked by projects such as Rio Tinto’s Rossing Mine, Paladin Resources’ Langer Heinrich Mine, UraMin/Areva’s Trekkop-je Project, Deep Yellow’s Tubas Project, Forsys Minerals’ Valencia and Bannerman’s Goanikontes Deposits.

Kalahari’s portfolio also includes 100% interests in various copper and base metals projects, at which the Company is undertaking development and exploration programmes aimed at identifying the feasibility of commencing one or more mining operations.  Two of these, Dordabis and Witvlei, are prospective for sediment hosted copper mineralisation consistent with the world class Zambian Copper Belt, whilst a third project, Ubib, is believed to be prospective for gold mineralisation and is nearby the operating Navachab gold mine.  Kalahari is also aiming to take the prospective Namib Lead Zinc Project centred on the old Namib Lead Mine into production.
 

Current Operations

Uranium

The Company has exposure to the uranium market through its holding in Extract Resources.  Extract’s main asset is the Husab Uranium Project, strategically located within a 50km radius of several world class uranium deposits - a geographical region considered to be one of the most prolific uranium areas globally.

Extract instigated an extensive drilling programme in order to develop Husab’s two key areas, Rossing South and Ida Dome, and has consistently reported outstanding drill results.

Rossing South
Located approximately 1.5km from the boundary of the Extract’s licence area and 7km south of Rio Tinto’s Rossing Mine, Rossing South is the first new alaskite hosted uranium discovery in Namibia in many years, and is demonstrating excellent potential to host a significant uranium deposit beneath the sand cover. The Company believes that there is potential for the resource to exceed 300 M lb U3O8.  An initial resource definition of 108 M lb U3O8 for Zone 1 was announced in January 2009 and full scale feasibility work is now underway to determine optimum mining and processing options.  The Zone 2 initial resource is expected to be in the range of circa 105 M lb U3O8 and will be announced mid 2009.

Ida Dome
Having previously been drilled by Anglo American in the 1970s, Extract initiated its drilling campaign at the Ida Dome project in April 2006.  A maiden resource was announced in August 2008 for the Ida Dome Project of 25.1m lbs U3O8 within the Garnet Valley, New Camp and Ida Central zones.  These areas have not as yet been closed off and are expected to continue to grow along with future resource drilling on Holland’s Dome, which is also within the Ida Dome Project.  This preliminary resource exceeded the lower range of 24.7 M lbs U3O8 established as an exploration target and the upper range target of 41.2 M lb U3O8 for Ida Dome as a whole is expected to be exceeded following completion of the entire drill programme.


Copper Projects

Located within the heart of the prospective Kalahari Copper Belt, which was discovered in the 1960s, Kalahari wholly owns two project areas; the Dordabis project made up of Exclusive Prospecting Licences (EPL) 3257, 3279 and 3617 and the Witvlei project comprising EPLs 3258 and 3261, which combined, cover a total area of 1532 km². 

Kalahari is currently undertaking an exploration programme to define +250,000 tonnes of copper metal at Dordabis and Witvlei.

Dordabis Copper Project
Located 90km south of the Namibian capital, Windhoek, the Dordabis Copper Project contains four known copper deposits covering over 882km².  Kalahari has identified that coincident magnetic and gravity anomalies support the potential for IOCG mineralisation model similar to that found at the Olympic Dam and Ernest Henry deposits.  The drilling programmes completed in 2008 predominantly targeted the Koperberg, RK and Swartberg prospects.  Soil sampling is planned in 2009 to test the IOCG potential in the area.

Witvlei Copper Project
The Witvlei Copper Project covers five known copper deposits located over a region of 650km². Kalahari is currently firming up 250,000 tonnes of previously defined historic resources and is aiming to quantify a resource base that will support a viable and sustainable operation.  The drilling programme, which commenced in March 2007, predominantly targeted three deposits – Malachite Pan, Okasewa and Christiadore.

Ubib Copper/Gold Project
Kalahari owns 100% of the Ubib Copper/Gold Project which is located 15km south-west of Namibia’s longest producing gold mine, the four million ounce Navachab Gold Mine. A 1.4km of laterally continuous gold in soil anomaly has been identified within a ferruginous shear zone.  Best rock chip assay from the targeted drill area returned 10 g/t Au and 1.6 g/t Ag.

The drilling in the NE lies in close proximity to a major thrust and it may have potential for greater mineralised widths than have been intersected to date.  Evidence of chlorite/amphibolite/hematite/sulphide alteration within quartzites at this locality suggests a major hydrothermal system exists in the area.  Defining potential mineralisation associated with this alteration zone will form the focus of exploration going forward.

Namib Lead Zinc Project
Kalahari holds 100% of the Namib Lead Zinc Project, which is centred on the previously producing Namib Lead Mine, which was in operation from 1965-1992.  The underground mine remains semi-developed and preliminary metallurgical test work undertaken yielded favourable results indicating good separation of Lead (Pb) and Zinc (Zn) with high recoveries and grades.

Geographical Spread

Board of Directors and Key Management

Mark Hohnen	Executive Chairman
Mr. Neil MacLachlan	Non-executive Director
Glyn Tonge	Non-Executive Director
David de Jongh Weill	Non-executive Director
Janis Nugawela	Joint Company Secretary
Duncan Craib	Chief Financial Officer and Joint Company Secretary
Sadike Nepela	General Manager
Keith Webb	Regional Exploration Manager

Company Address 1b, 38 Jermyn Street London, SW1Y 6DN Telephone: +44 (0) 20 7292 9110 Facsimile: +44 (0) 20 3214 0079 Email: pmcintyre[at]kalahari-minerals.com Website: http://www.kalahari-minerals.com

Additional Address/Key Contact Financial Public Relations St Brides Media & Finance Ltd    Chaucer House 38 Bow Lane London EC4M 9AY UK Tel: +44 (0)20 7236 1177 Fax: +44 (0)20 7236 1188 Email: info@sbmf.co.uk

Capital 178,912,255 Ordinary Shares

Year End 31st December

Nominated Brokers Ambrian Partners Limited Old Change House 128 Queen Victoria Street London EC4V 4BJ UK Tel: +44 (0)20 7776 6400 Email: info@ambrian.com Mirabaud Securities LLP

Nominated Advisors Astaire Securities Plc 30 Old Broad Street London EC2N 1HT UK Tel: +44 (0)20 7448 4400 Fax: +44 (0)20 7448 4477

Major Shareholders

Rio Tinto International Holdings Australia Pty Ltd	28,267,310	14.36%
Niger Uranium, Ltd	27,680,000	14.06%
Emerging Metals Limited	17,600,000	8.94%
Coronet Resources Limited	16,000,000	8.13%
Blakeney Management Limited	15,840,000	8.05%
M&G Investment Management	10,700,000	5.43%
Goldman Sachs	9,244,850	4.70%
Eden Group	7,337,027	3.73%
New City Investment Managers	7,336,667	3.73%

Related News

05/02/09 - Rio Tinto Adopts Some Questionable Tactics In Its Efforts To Get Its Hands On The Rossing South Uranium Discovery
17/12/08 - Mark Hohnen of Kalahari Minerals Sees Real Value In His Stake In Extract Resources And Will Not Let It Go Cheaply
15/09/08 - Kalahari Minerals Escapes The Frying Pan, As Rossing South Tempts In Rio Tinto
18/06/08 - Kalahari Continues To Get More Credit For Its Uranium Investments Than For Its Own Projects
24/01/08 - Kalahari Minerals Has Much More Than Uranium Going For It

Most Recent Statement

02/07/09 - Rossing South Update - Resource and Grade increase at Rossing South Zone 1
02/07/09 - BRIEF-Kalahari Minerals says Rossing South zone 1 resource up 34 pct
15/06/09 - Change of Name of Nominated Adviser
04/06/09 - Extract Appointment of Namibian Management Team
27/05/09 - Requisition to Extract Resources
13/05/09 - Exercise of Options