Ngakuru Diatomite Project (EP 40275) - Progress Report for 12 Month Period to 28/5/99

Studies to date have shown that the Ngakuru diatomite deposit can be classified in global terms as a very accessible, medium sized quality, largely uniform deposit composed of approximately 40% by weight diatoms with pumicite and clay as the main impurities. Seven exploratory drill holes have been made and the total resource is tentatively placed in the region of 10 million tonnes. Further work is planned which will concentrate on the mechanics of upgrading the diatomite and defining the suitability & economics of using this upgraded product for a range of uses.