WIDE ZONES OF URANIUM MINERALIZATION INTERSECTED IN INITIAL DRILLING AT W.A. URANIUM PROJECT

35m @ 503ppm U3O8 including 5m @ 1,069ppm U3O8
7.8m @ 588ppm U3O8 including 1m @ 1,873ppm U3O8

Assay results in excess of 1,800 parts per million (ppm) uranium oxide (U3O8) have been identified in the first diamond drilling program on the Yarlarweelor uranium project in Western Australia by owner, FYI Resources Limited (ASX code: “FYI”)

Directors of FYI are pleased to announce the results today, from the first two of an initial four hole diamond core drilling program undertaken at Yarlarweelor, 125 km north of Meekatharra.

The four holes have now been completed, with three holes drilled at the Kangaroo Ridge prospect and one at the Doris prospect.

Assay results released today are from the first two holes, KRD10-01 and KRD10-02, both drilled at Kangaroo Ridge. These holes intersected wide zones of uranium mineralization associated with biotite rich shear zones in granite, confirming the presence of significant uranium mineralization at Yarlarweelor, first identified in the area more than 30 years ago.

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53 Canning Highway, VICTORIA PARK, WA 6100 Postal: PO Box 375, WEST PERTH, WA 6872 Tel: +61 8 9361 3100 Fax: +61 8 9361 3184 Website: www.fyiresources.com.au ACN 061 289 218

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Yarlarweelor Drill Assays

Hole ID	Northing	Easting	Az	Dip	Final Depth	From	Interval	U3O8	U3O8
					(m)	(m)	(m)	(ppm)

KANGAROO	RIDGE

KRD10-01	7179320	628793	80	-65	59.8	47.8	7.8		588
					includes	53.8	1.0	1,873

KRD10-02	7179314	628754	130	-60	200.5	125.1	35.0		503
					includes	127.1	5.0	1,069
						142.1	2.0	1,228
						149.1	4.0	1,010

KRD10-03	7179314	628753	135	-70	233.4	ASSAYS PENDING

DORIS

DD10-04	7175347	627332	296	-60	158.6	ASSAYS PENDING

Intersections are an arithmetic average calculated using a lower cut-off of 100ppm U3O8. No high cut has been applied.

Maximum internal dilution is 3m @ <100ppm U3O8.

Uranium assays were done on 1 metre quarter core samples by sodium peroxide fusion/ICP-MS. Coordinates : GDA94 zone 50

53 Canning Highway, VICTORIA PARK, WA 6100 Postal: PO Box 375, WEST PERTH, WA 6872

Tel: +61 8 9361 3100 Fax: +61 8 9361 3184 Website: www.fyiresources.com.au

ACN 061 289 218

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Due to access problems hole KRD10-02 was drilled oblique to the strike of the mineralized shear and the true width of mineralization is estimated to be 9 metres. The true width of mineralization in KRD10-01 is estimated to be 4 metres. These two intersections are approximately 50m apart with the mineralization currently open along strike and at depth.

The mineralization at Kangaroo Ridge consists of uraninite with minor pyrite, pyrrhotite and magnetite in schist composed of biotite, quartz, carbonate and chlorite. This schist is related to shear zones developed within the Archaean Despair Granite. Results from a previous detailed airborne radiometric survey and geological mapping indicates shear zones with a combined strike length in excess of 25 kilometres exist within the Company’s tenements and may be prospective for uranium mineralization.

A program of field checking and sampling of radiometric anomalies at Yarlarweelor is now being undertaken to rank areas for future drilling.

The style of mineralization at Yarlarweelor is different from the majority of Australian uranium occurrences but the widths and grades of mineralization are comparable to those in operating mines and advanced projects in Africa.

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Portion of KRD10-02 intersection of uraninite bearing biotite quartz carbonate schist.

53 Canning Highway, VICTORIA PARK, WA 6100 Postal: PO Box 375, WEST PERTH, WA 6872 Tel: +61 8 9361 3100 Fax: +61 8 9361 3184 Website: www.fyiresources.com.au ACN 061 289 218

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