Development Projects
Wonarah Rock Phosphate

Overview

Minemakers' key asset is the 100% owned Wonarah Rock Phosphate project. This is Australia's largest undeveloped rock phosphate project. Indicated and Inferred resource estimates for the entire volume of the modelled phosphatic units total 1,105Mt @ 18% P₂O₅, a significant increase from the previous model estimates of 632Mt @ 17% P₂O₅.

The Company is currently focusing on a Direct Shipping Ore ("DSO") mining operation to be in production in 2010.

Of all known deposits in the Georgina Basin, Minemakers enjoys the best infrastructure position in that it lies immediately adjacent to the all-weather public Barkly Highway and is situated less than 300km from the north-south (Darwin-Adelaide) standard gauge railway with spare capacity. This would also allow Wonarah product to be transported relatively cheaply to the export Port of Darwin which has recently announced increasing capacity.

The Northern Territory Government announced in July 2008 a $100M three year expansion of the Port of Darwin facility for mineral exports. Minemakers and Darwin Port Corporation have signed a Heads of Agreement covering the shipment of Wonarah rock phosphate product through the Darwin port’s shiploading facility.

Minemakers' Wonarah project also benefits from significant Traditional Owner, Central Land Council and Northern Territory Government support. The Company's project has been granted Government Major Project Status, the only rock phosphate development with this status in Australia.

Wonarah is likely to be a significant source of local jobs and regional growth opportunities and will generate a large and ongoing royalty stream to both Government and Aboriginal interests. Minemakers views the adoption of Major Project Status by the Northern Territory Government as recognition of the potential near and long term benefits of the project.

A major project milestone was attained on Monday 23 November 2009, when the Wonarah Environmental Impact Statement went on public exhibition and was lodged with the Northern Territory Government for consideration.

Price Outlook and Impact

Longer term price implications include:

• Increasing demand for general food production.
• A strong increase in planting of biofuel crops and the need for additional fertilizer.
• Solid long term phosphate demand prospects.
• Demand driven by global population growth.

History

Discovered in 1967, previous explorers discovered very extensive rock phosphate mineralisation. Rio Tinto did sufficient drilling in the Main Zone of mineralisation to allow an initial JORC Compliant Inferred Resource estimate of 72Mt at 23% P₂O₅.

Mineralisation is controlled by palaeohighs and some 12-16kms southwest of the Main Zone, outcropping mineralisation was discovered at the Arruwurra deposit.

Mineralisation is hosted by lowermost sedimentary units of the Georgina Basin which also hosts the producing mine at Phosphate Hill to the east in the Mt Isa district. The same units host other known rock phosphate deposits and targets.

Following a four month drilling programme which commenced in April 2008 of both the Main Zone and Arruwurra deposits, Minemakers announced a JORC compliant 461Mt Inferred Resource, which is Australia's largest JORC compliant rock phosphate resource.

Reserves and Resources

The Main Zone Deposit currently consists of a JORC compliant 969Mt at 19% P₂O₅ and the Arruwurra Deposit 136Mt at 17% P₂O₅. Drilling has not closed off mineralisation at either deposit. There is ~35 - 45m of cover over the phosphate beds in the Main Zone, with ~20 - 30m cover in the Arruwurra deposit. The extensive RC and diamond drilling campaign has continued through the second quarter of 2009.

The latest results give the Company every confidence with its project development. Initial metallurgical and chemical test work has been positive and focuses Minemakers on an early Direct Shipping Ore ("DSO") mining operation with construction of a more costly beneficiation operation at a later date.

The DSO bulk sampling programme commenced in October 2009. Sample product, requested by potential long-term offtake customers is planned to be shipped from Darwin in December 2009 and from a second stage of excavation, if required, in early 2010.

Future