GREENWING RESOURCES LTD - Capital/Financing Update 2006

BASS METALS ITD ABN 31 109 933 995

27July 2006

The Manager Companies Company Announcements Australian Stock Exchange 20 Bridge Street Sydney NSW 2000

Dear Sir

Re: QUE RIVER UPDATE; NEW HIGH GRADE Zn-Pb-Ag-Au TARGET.

Bass Metals Ltd will provide the following update on its Que River Mining Study at the forthcoming Exploration Forum being hosted by the Tasmanian Minerals Council and Mineral Resources Tasmania later this week.

Key Points

High grade, potentially open pitable remnant mineralisation identified at PQ South and characterised by historic drill intercepts such as:
← 13 metres 26% Zn, 13% Pb, 12 oz./t Ag & 8.1 g/t Au
√ 15.7 metres 20% Zn, 12% Pb, 10 oz./t Aq & 7.9 g/t Au
✓ 14.6 metres 12% Zn, 7% Pb, 5 oz./t Ag & 6.0 g/t Au

✓ 14.2 metres 19% Zn, 11% Pb, 10 oz./t Ag & 6.8 g/t Au Widths in metres are all true thickness.

At these grade ranges the value of this material on an insitu basis is greater than \$1,000/t at current metal prices.
Based on pillars and likely remnants the Company is targeting an open pitable $\bullet$ . resource at PQ South at grades consistent with those reported above.
The Bass Metals Mancala Mining Alliance is making excellent progress to formulate a mining plan with significant enhancements to the Scoping Study results announced previously.

Que River Mining Study Update - Resource Potential

The Que River Mining Study (QRMS) is focussed on the historic high grade Que River base metals mine. In recent announcements the Company has outlined two Mineral Resources reported in accordance with the JORC Code, for S-Lens and Nico Lens totalling approximately 500,000 tonnes. These Mineral Resources were used as the basis for a scoping level mining study which indicated a possible positive cash flow of up to \$9.0 million from an initial open pit mining phase. These results provided the impetus to form the mining alliance with Mancala and formulate a more detailed, optimal mining plan.

A further shallow potentially open pitable target has been identified at PQ South, refer location plan in figure 1.

The target is at the southern end of the Que River lens system at PQ south where the lens is estimated to be 9 to 16 metres wide and very high grade with a strong gold credit as indicated by the following intercepts quoted from historic diamond drill holes used by the previous operator, to estimate its ore reserves at PQ South.

True Thickness	Zn (%)	Pb(%)	Ag (oz./t)	Au $(g/t)$
(m)
13	26	13	12	8.1
13	16		9	8.2
10.5	19	10	10	7.6
	21	12	8	6.2
8.8
3.3	18	11	6	6.6
15.7	20	12	10	7.9
14.6	12		5
14.2	19	-41	10	6.8

The intercepts are presented in the long section projections (refer figure 2) and are from historic diamond drilling based on interval selection criteria comprising a minimum 3 metres horizontal width averaging greater than 5% Pb+Zn content.

The PQ south area was one of the first areas mined when Que River went into production in 1980. The target tonnage estimate is between 30,000 to 50,000 tonnes comprising the pillars left behind and other remnant ore positions indicated by drilling and which the historic mine plans represent as not being mined. The grade range for the target is consistent with the assays quoted above; from say 3 to 15% Zn. The Company understands from discussions with personnel involved in the original mine operations that the southern shallow stopes proved very problematical to mine and that several of the stopes were abandoned prematurely - this material is not included in the target tonnage estimate. The underground stability problems would not affect the proposed open pit enabling Bass Metals and Mancala to recover this abandoned material should it be encountered.

This is an exciting target well supported by sound drilling data. The Company is now estimating Mineral Resources to report compliant with the JORC Code and developing its mine plan. Until this work is completed these estimates should be regarded as conceptual in nature.

Commentary

The Alliance considers that there is good potential to build on the existing shallow 500,000 tonne JORC compliant resource base with further work on other potentially open pitable targets such as PQ South and QR32. The mining strategy is to commence small scale high value ore production as soon as possible and then, on an on going basis evaluate shallow lower grade and underground resources to create a medium scale 3 to 5 year mining operation with high (>40%) operating margins generating a "meaningful" cash flow for the alliance partners. Discussions are in progress with Zinifex Limited and Intec Limited on utilising their processing facilities at Rosebery and Hellyer respectively.

Yours sincerely

Mike Rosenstreich Managing Director

The information within this report that relates to exploration results is based on information compiled by Mr Mike Rosenstreich who is a full time employee of the Company and a member of The Australasian Institute of Mining and Metallurgy. Mr Rosenstreich has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity currently being undertaken 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 and consents to the inclusion of this information in the form and context in which it appears in this report.