IGO LIMITED — Capital/Financing Update 2006

Nov 21, 2006

NEWS RELEASE

EXPLORATION ACTIVITIES COMMENCE AT THREE URANIUM PROJECTS IN WESTERN AUSTRALIA AND NORTHERN TERRITORY

Northern Uranium Limited ("Northern Uranium" ASX: NTU) has commenced its uranium exploration programs on three fronts, in areas of granted tenure in Western Australia and the Northern Territory.

The Company, which was formed from the combined uranium portfolios of its major shareholders, Polaris Metals NL ("Polaris") and Washington Resources Limited ("Washington"), listed last week after raising \$4 million in its initial public offering

Denison Range Project

At Denison Range, 140km southeast of Halls Creek in Western Australia (Northern Uranium earning 60% interest in a joint venture with Polaris Metals NL and Independence Group NL), the Company recently received positive results from its initial gravity survey completed in October, targeting iron-oxide copper-gold-uranium (Olympic Dam style) mineralisation.

The Olympic Dam style of mineralisation has a characteristic geophysical signature of gravity highs coinciding with magnetic anomalies. Preliminary imaging and modeling of the Denison Range gravity data indicate the presence of a subtle but discrete gravity anomaly approximately 800m in diameter, in close proximity to a circular regional aeromagnetic anomaly (attached figure).

Drilling targets can now be defined by further processing the gravity and aeromagnetic data and depth modeling

Kurundi Project

The Kurundi Project, located approximately 100km southeast of Tennant Creek in the Northern Territory, is also on granted tenements. Previous channel sampling in a shaft on the Munadgee prospect, at the western boundary of the project area, returned assays of 0.82% $U_3O_8$ over 1.2m. A highly prospective structural/geological trend extending to the southeast and along strike from the Munadgee prospect ("Munadgee structural corridor") is the principal target of airborne magnetic and radiometric surveys scheduled to commence in late November. The surveys are being conduced jointly with Washington, which has retained rights to minerals other than uranium.

Following the airborne surveys, geological mapping, ground radiometrics and geochemical surface sampling will define targets for drilling in the first half of 2007.

Gardiner Tanami Super Project

Approvals are being sought to commence an airborne EM survey targeting unconformitystyle uranium within the Gardiner Tanami Super Project. Interpretation of airborne EM together with previous exploration data will assist in defining drill targets for 2007.

Executive Chairman Mr Kevin Schultz said that the early commencement of exploration programs across three of the company's projects gives a clear indication of Northern Uranium's commitment to making a discovery in the shortest possible timeframe. "This will ensure we get maximum value from our exploration expenditure in these highly promising target areas," he said.

Options Entitlement Issue

Due to a number of questions from shareholders the board would like to remind investors as to the terms of the proposed non renounceable issue of options.

The Board has resolved that within six months of listing, the Company will, subject to compliance with the Corporations Act and ASX Listing Rules, undertake a nonrenounceable rights issue of options on the basis of one option for every two Shares held.

The options will be issued at an issue price of 1 cent (\$0.01) per option. These options will expire on 31 December 2009 and be exercisable at 25 cents (\$0.25) per option.

Investors should note that only shareholders registered on the share register of the company at the record date (being a date yet to be determined but which will be determined in accordance with the ASX Listing Rules) will be entitled to participate in the proposed non-renounceable rights issue.

Details of the terms and conditions of the proposed issue of options are set out in Section 10.3 of the Northern Uranium IPO Prospectus.

INVESTOR INFORMATION

Principal Office:

2^nd Floor, 123A Colin Street West Perth, WA 6005 PO Box 669 West Perth WA 6872 Tel: 08 94812344 Fax: 08 94813031 Email: info@northernuranium.com.au Web: www.northernuranium.com.au

Capital Structure:

Share Price (NTU): \$0.40c Issued Shares: 40m Market Cap: \$16m

Company Management:

Kevin Schultz - Executive Chairman Adrian Griffin - Non executive Director Bob Hair - Non executive Director Colin McCavana - Non executive Director Robin Wilson - General Manager

For and on behalf of NORTHERN URANIUM LIMITED

Kevin Schultz Executive Chairman

Competent Person Declaration

The information in this report accurately reflects information prepared by competent persons (as defined by the Australasian Code for Reporting of Mineral Resources and Ore Reserves). It is compiled by Mr K Schultz, an employee of the Company who is a Fellow of The Australasian Institute of Mining and Metallurgy with the requisite experience in the field of activity in which he is reporting.

NORTHERN URANIUM PROJECTS

DENISON RANGE PROJECT AEROMAGNETICS AND TENEMENT HOLDINGS