Initial 25 m lb U3O8 Uranium Resource for Ida Dome



    SOUTH PERTH, Western Australia, Aug. 6 /CNW/ - Extract Resources ("the
Company"), (TSX:EXT;ASX:EXT), a Uranium exploration company with projects in
Namibia, Africa, is pleased to announce a maiden resource on the Ida Dome
Project of 25.1 m lbs U308, within the Garnet Valley, New Camp and Ida Central
zones. These areas have not yet been closed off, and will continue to grow
along with the resource drilling currently occurring on Holland's Dome, also
within the Ida Dome complex. Specifically, this maiden resource includes the
results from 28,852 metres of the drilling completed thus far on the Ida Dome
Project, being 48% of the planned 60,000 metre program.
    A summary of the resources defined to date is as follows:

    IDA DOME PROJECT - GARNET VALLEY + NEW CAMP + IDA CENTRAL MAIDEN RE

SOURCE ESTIMATE ------------------------------------------------------------------------- Lower Indicated Inferred Cut -------------------------------------------------------------- Tonnes Contained Tonnes Contained Above U(3)O(8) U(3)O(8) Above U(3)O8 U(3)O(8) Cutoff (Mt) (ppm) (M lb) Cutoff (Mt) (ppm) (M lb) ------------------------------------------------------------------------- Garnet Valley ------------------------------------------------------------------------- 100 0.6 246 0.31 43.5 224 21.39 200 0.5 259 0.26 25.6 263 14.77 ------------------------------------------------------------------------- New Camp ------------------------------------------------------------------------- 100 4 156 1.4 200 0.4 234 0.2 ------------------------------------------------------------------------- Ida Central ------------------------------------------------------------------------- 100 5.2 170 1.96 200 1.1 238 0.6 ------------------------------------------------------------------------- Total ------------------------------------------------------------------------- 100 0.6 246 0.31 52.7 213 24.8 200 0.5 259 0.26 27 261 15.6 ------------------------------------------------------------------------- Managing Director of Extract Resources, Peter McIntyre, said that the early results for Ida Dome are towards the upper end of target expectations. "It is extremely pleasing to announce our maiden resource for Ida Dome; it is a solid start for our resource base, and will grow substantially from ongoing work at Ida Dome and from Rossing South to the north. While the Rossing South discovery has recently shifted much of the focus, the Ida Dome Project is still shaping up as a significant project in its own right." He said that "the results are also validating the assumptions incorporated in the October 2007 Scoping Study for Ida Dome, which includes the higher-grade Holland's Dome area currently being drilled." DETAILS This preliminary resource statement exceeds the lower range established as an exploration target (24.7 m lbs U3O8 - ASX release 19 October 2007), and the upper range target for Ida Dome as a whole (41.2 m lbs U3O8) is also expected to be exceeded following completion of the 60,000 metre drill program which commenced in June 2007. The above resource applies to 28,852 metres (48%) of the 60,000 metre programme. To see Figure 1, please visit: http://files.newswire.ca/476/Figure1.pdf GARNET VALLEY AND NEW CAMP The drillhole database in the immediate vicinity of the Garnet Valley and New Camp deposits consists of 114 RC and 40 diamond drill holes for 27,127m. The majority of the drilling (122 drillholes) was completed by Extract during 2007 and 2008, with the remaining drillholes having being sunk by a subsidiary of Anglo American Corporation of South Africa in the 1980's. The drillholes were drilled at angles between -45degrees and -60degrees. The Extract drillholes were mostly drilled east-west (local grid). A combination of chemical assaying (20,995 samples) and factored radiometric data (1,714 1m composites) was used for the estimation. At Garnet Valley, five drillholes still remained to be sampled and drilling was ongoing to define the extents of this mineralised system. A density value of 2.65t/m(3) was used for the mineralised zones. This value was chosen after analysis of 42 density samples. To establish appropriate grade continuity, the mineralisation models for both deposits were based on a nominal 75 ppm U(3)O8 mineralisation halo. The mineralisation constraints were generated based on sectional interpretation (see Figures 3 and 5) and three dimensional analyses of the available drilling data. The main lithological contacts (e.g. alaskite and sediments) were considered during modelling at Garnet Valley (the lithology being mainly alaskite at New Camp) and were used to guide the modelling of the mineralisation outlines (see Figures 2 and 4). The data captured within the mineralisation model was composited to a regular thickness (3m for Garnet Valley and 2m for New Camp) downhole composite length. The composite data consisted of predominantly chemical assay data with some factored radiometric data used where assay results were not yet available. Based on the composite data, a statistical and geostatistical investigation was carried out to derive appropriate estimation parameters such as high-grade cuts, variogram model parameters and search ranges. High-grade cuts were applied to the 3m and 2m composites prior to grade estimation and ranged from 160 to 950 ppm U3O8. A three dimensional block model was constructed for the purposes of grade estimation. A parent block size of 40m N by 20m E by 10m RL was selected as the appropriate block size for both deposits based on the current average data spacing and the geostatistical investigations completed. A rotated block model (at 0600) was created to take into consideration the altitude of the domains at New Camp. The modelled zones are well defined by the existing drilling. Ordinary Kriging was chosen as the appropriate method for estimating grade. To see Figure 2, please visit: http://files.newswire.ca/476/Figure2.pdf To see Figure 3 and 4, please visit: http://files.newswire.ca/476/Figures3-4.pdf To see Figure 5, please visit: http://files.newswire.ca/476/Figure5.pdf IDA CENTRAL The drillhole database in the immediate vicinity of the deposit consists of 36 diamond drill holes for 10,058m. The majority of the drilling was undertaken during 2006, before the commencement of the 60,000 metre resource definition programme that commenced in June 2007. The drillholes were drilled at angles between -45degrees and -80degrees, typically to the west. The resulting drilling pattern ranged from 80m by 80m, to 80m by 120m, to 160m by 80m. To establish appropriate grade continuity, the mineralisation was based on a nominal 75 ppm U(3)O8 mineralisation halo. The mineralisation constraints were generated based on sectional interpretation and three dimensional analyses of the available drilling data. The main lithological contacts (e.g. alaskite and sediments) were considered during modelling at Ida Dome and were used to guide the modelling of the mineralisation outlines. The Ida Dome deposit (Figure 6) was modelled as 9 distinct domains (3m to 53m wide) with a trend to grid north (north-east UTM). Individual domains can extend for up to 450m. Figure 7 shows a typical sectional interpretation. The data captured within the mineralisation model was composited to a 3m downhole composite length. A statistical and geostatistical investigation was performed on the 3m composites to derive appropriate estimation parameters such as high-grade cuts, variogram model parameters and search ranges. The composite data consisted of predominantly chemical assay data with some factored radiometric data used where assay results were not yet available. High-grade cuts were applied to the 3m composites prior to grade estimation. A high grade cut of 800 ppm U(3)O8 was applied to the zones within the classified resource. A three dimensional block model was constructed for the purposes of grade estimation. A parent block size of 40m N by 10m E by 20m RL was selected as the appropriate block size based on the current average data spacing and the geostatistical investigations completed. The modelled zones were well defined by the existing drilling. Ordinary Kriging was chosen as the appropriate method for estimating grade. To see Figure 6, please visit: http://files.newswire.ca/476/Figure6.pdf To see Figure 7, please visit: http://files.newswire.ca/476/Figure7.pdf RE

SOURCE Resource estimation and categorisation of the grade estimate was undertaken on the basis of the criteria laid out in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code) and the Canadian National Instrument 43-101 ("CNI43-101"). An Inferred Resource was defined for the bulk of the mineralisation using the criteria determined during the validation of the grade estimates, with detailed consideration of the CNI43-101 categorisation guidelines. A small amount at Garnet Valley had sufficient supporting data to allow it be considered an Indicated Resource. Blocks were classified as Inferred based upon a combination of geological-grade continuity and within a nominal 80m by 40m to 80m by 80m drillhole spacing. To be classified as Indicated, the geological-grade continuity had to be better defined within a nominal 40m by 40m drillhole spacing. An insitu bulk density value of 2.65t/m(3) was used when reporting the resource. The reported resource for the Garnet Valley, New Camp and Ida Central deposits reported above 100 ppm and 200 ppm U(3)O8 cut-offs are summarised below. ------------------------------------------------------------------------- Lower Indicated Inferred Cut -------------------------------------------------------------- Tonnes Contained Tonnes Contained Above U(3)O(8) U(3)O(8) Above U(3)O8 U(3)O(8) Cutoff (Mt) (ppm) (M lb) Cutoff (Mt) (ppm) (M lb) ------------------------------------------------------------------------- Garnet Valley ------------------------------------------------------------------------- 100 0.6 246 0.31 43.5 224 21.39 200 0.5 259 0.26 25.6 263 14.77 ------------------------------------------------------------------------- New Camp ------------------------------------------------------------------------- 100 4 156 1.4 200 0.4 234 0.2 ------------------------------------------------------------------------- Ida Central ------------------------------------------------------------------------- 100 5.2 170 1.96 200 1.1 238 0.6 ------------------------------------------------------------------------- Total ------------------------------------------------------------------------- 100 0.6 246 0.31 52.7 213 24.8 200 0.5 259 0.26 27 261 15.6 ------------------------------------------------------------------------- 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 three known uranium targets: Ida Dome; Hildenhof; and Rossing South. Rossing South represents the Company's first new discovery in this area with enormous potential. Extract is listed on the ASX and the TSX under the ticker symbol "EXT". For more information on Extract visit www.extractresources.com The information in this report that relates to Exploration Results for the Husab Project is based on information compiled by Mr Martin Spivey, who is a Member of The Australasian Institute of Mining and Metallurgy and Mr Andrew Penkethman who is a Member of the Australian Institute of Geoscientists. Mr Spivey and Mr Penkethman are both full time employees of the Company. Mr Spivey and Mr Penkethman have sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which they are undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Spivey and Mr Penkethman consent to the inclusion in this report of the matters based on their information in the form and context in which it appears. The information in this report that relates to Mineral Resources at the Ida Dome prospects is based on information compiled by Mr Neil Inwood, who is a Member of The Australasian Institute of Mining and Metallurgy and a full time employee of Coffey Mining Ltd. Mr Inwood has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Inwood consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.

For further information:

For further information: Peter McIntyre, Managing Director; Richard
Henning, Investor Relations, rhenning@extractresources.com

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