IONDRIVE LIMITED — AGM Information 2009

Sep 20, 2009

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Date: 21 September 2009

SNU – ADDRESSES BY CHAIRMAN AND MANAGING DIRECTOR TO GENERAL MEETING HELD ON MONDAY 21 SEPTEMBER 2009

Attached are the addresses to be delivered by the Chairman and the Managing Director to the General Meeting of shareholders of Southern Uranium Limited (ASX: SNU) commencing at 11 am today

For further information contact

John Anderson Managing Director

Ph 07 3870 0357 M. 0411 628 264 F 07 3876 0351

_Southern Uranium Limited is a uranium-focussed resources company with a strong platform of active exploration properties and drill targets in the highly prospective Gawler Craton and is developing uranium exploration projects elsewhere in Australia. The Company aims to grow into a major uranium explorer and developer by seeking uranium opportunities globally. _

The information in these documents that relates to Exploration Results is based on information compiled by John Anderson (BSc(Hons)Geol) who is a member of the Australasian Institute of Mining and Metallurgy and is bound by and follows the Institute’s codes and recommended practices. Mr Anderson is a full-time employee of Southern Uranium Limited. He has sufficient experience which is relevant to the styles of mineralisation and types of deposits under consideration and to the activities being undertaken to qualify as a Competent Person as defined in the 2004 Edition of the “Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr. Anderson consents to the inclusion in the report of the matters based on his information in the form and context in which it appears

Tel: +61 7 3870 0357 PO Box 343 Toowong, QLD 4066 ASX Code: SNU www.southernuranium.com.au info@southernuranium.com.au Page 1 of 5

Southern Uranium Limited ABN 90 115 338 979

MEETING OF MEMBERS OF SOUTHERN URANIUM LIMITED HELD ON MONDAY 21 SEPTEMBER 2009

CHAIRMAN’S ADDRESS

On Friday 11 September 2009, shareholders in your Company’s largest investor Southern Gold Limited (SAU) approved that Company’s plans to divest its 39.1% shareholding in Southern Uranium Limited (SNU) to concentrate on its own exploration.

Southern Gold will sell its shares by way of a pro rata non renounceable Entitlement Offer to all other SNU shareholders at 5.5 cents per share (the Offer). This will allow you as a Southern Uranium shareholder the opportunity to purchase additional shares in Southern Uranium at a substantial discount to the current market price.

The sale will be underwritten by Southern Uranium’s two other major shareholders Talbot Group Holdings Pty Ltd and CITIC Australia Pty Ltd. Neither of the underwriters will receive a fee for performing this service. Their commitment to acquiring their pro rata entitlement and to underwriting the remainder of the sale demonstrates the confidence these two major investors have in your company.

Southern Gold has structured the Offer so that all shareholders will also be able to apply for additional shares in excess of their entitlement. These applications will be allocated out of any shortfall in the take up of the shares offered to shareholders. Applications for additional shares will be fully addressed before the underwriters can purchase any shares beyond their own pro rata entitlement. In the event that Southern Gold receives applications in excess of the available shares, the applications will be scaled down.

The Underwriting Agreement is currently subject to two conditions precedent:

• Firstly that the shareholders of Southern Uranium approve the increase in the share holding of Talbot and CITIC to in excess of 20% of the Company. As a consequence of the purchase of their pro rata entitlements and their participation in the Underwriting Agreement, Talbot and CITIC will together own more than 20% of the capital of the Company. For this to occur, the Corporations’ Act requires that Talbot and CITIC obtain the approval of the other Southern Uranium shareholders to increase their voting power in the Company to more than 20% - hence today’s meeting.

• The second condition precedent requires that CITIC obtain FIRB approval to participate in the Underwriting Agreement. At this time we understand that this approval has not yet been forthcoming although we are advised that CITIC remain confident that the approval will be received.

Included with the Notice of Meeting sent to shareholders was an Explanatory Memorandum which was prepared to provide sufficient detail for shareholders to appropriately consider the resolution. The Explanatory Memorandum also included an independent report from Grant Thornton Corporate Finance Pty Ltd on the technical legal issues surrounding the resolution.

The Grant Thornton Report concluded that the proposed increase in the shareholding by Talbot and CITIC was not fair but reasonable to non-associated shareholders. The conclusion was based on:

• Grant Thornton’s valuation of the Company at 6.30 cents per share to 7.17 cents per share compared to the offer price of 5.5 cents per share AND

• their observation that if the non associated shareholders chose not to take up their entitlements, Talbot and CITIC could end up acquiring control of the Company at a considerable discount to the assessed value.

Tel: +61 7 3870 0357 PO Box 343 Toowong, QLD 4066 ASX Code: SNU www.southernuranium.com.au info@southernuranium.com.au Page 2 of 5

Southern Uranium Limited ABN 90 115 338 979

In forming their opinion Grant Thornton only considered the technical question of whether the increased holding by Talbot and CITIC in isolation is fair and reasonable to non-associated shareholders of SNU. The Report did NOT look at the merits of the Offer including;

• the ability for all shareholders to participate in the Offer

• The ability for shareholders to apply for shares in excess of their entitlement and

• The condition that all of the applications for shares by the non associated shareholders must be fully satisfied before Talbot and CITIC are able to acquire any of the shortfall.

In essence the Report notes that the value of Southern Uranium Shares is higher than the 5.5 cents being offered to all shareholders. Your Directors are of the view that far from being a disadvantage to shareholders the comparatively low price provides an ideal way for shareholders to increase their investment in the Company at a price that is well below the current market.

Your Directors recommend that you vote in favour of the resolution as in their view there are significant advantages to shareholders from the opportunity to obtain additional shares at less that the market price.

As a final point I am also pleased to note that each Director has advised that they will be applying for at least their pro rata entitlement of shares under the Offer.

Tel: +61 7 3870 0357 PO Box 343 Toowong, QLD 4066 ASX Code: SNU www.southernuranium.com.au info@southernuranium.com.au Page 3 of 5

Southern Uranium Limited ABN 90 115 338 979

MEETING OF MEMBERS OF SOUTHERN URANIUM LIMITED HELD ON MONDAY 21 SEPTEMBER 2009

MANAGING DIRECTOR’S ADDRESS

Ladies and Gentlemen,

It is a pleasure to be addressing you today.

With the market moving ahead of an anticipated upswing in the economy, it is a great time to be realigning our shareholding and to be launching into a drill campaign across Australia.

The timing of Southern Uranium’s exploration programs enabled us to develop a large portfolio of projects and targets by undertaking airborne and ground surveys at a time when drilling was difficult due to the shortage of drill rigs and crews.

We are focussing our exploration on the covered extensions to pedigree uranium and copper gold belts. The opportunity is to use our expertise in those areas to apply innovative exploration using state-of-the-art techniques. The aim is to make the next generation of metal discoveries that will outperform the plethora of known deposits that were dusted off during the boom but mostly have challenges of size or grade or metallurgy.

When the industry sentiment to preserve cash came in during the abrupt Global Financial Crisis, we were still in a good position as we had reached the stage of largely doing low cost office- based activities, interpreting our abundance of newly acquired data. Our cash position enabled us to take the opportunity of reduced competition to improve the exploration portfolio and do some initial drilling to prove targeting concepts and exploration tactics. We added ground to our priority projects through applications and joint ventures, while withdrawing from other less successful projects. Importantly we secured the right drill rigs, at the right price and to our schedule to do initial drill testing that confirmed our project priorities and targeting tactics.

Our focus is now on four key projects that are well prepared for drilling under the improving economic and operating conditions. These are East Eyre Peninsula and the new Northern Yorke Peninsula projects in South Australia; the Calvert Hills project seeking unconformity uranium in the Northern Territory and the Pandanus West project in north Queensland where we are aiming to drill historic uranium prospects.

Southern Uranium is exploring in South Australia for high reward variants of the iron oxide copper gold uranium deposits, loosely referred to by the industry as “IOCGU” or “Olympic Dam” style. The potential was initially demonstrated by the Prominent Hill and Carrapateena discoveries in 2001 and 2005. The expectation for even more discoveries was realised with the 2008 Hillside discovery by Rex Minerals importantly showing the potential for large IOCGU deposits in new geological settings. Southern Uranium is taking the smart opportunity to predict and compete for prime target positions in the Gawler Craton. Over half our exploration budget is allocated to the South Australian projects serviced by an exploration office and team based in Adelaide.

We believe our approach to the Eyre Peninsula is ground breaking, plus the swift securing of granted ground along the same regional trend as Hillside will see Southern Uranium emerge as a leader in exploration of those areas.

Our move to the drilling phase of exploration campaign has commenced. We have used collaborative government funding to drill and demonstrate a new geological framework at Calvert Hills with potential for Westmoreland style uranium targets under thin cover. We are aiming to drill historic prospects at Pandanus West before the Wet Season for potentially highgrade uranium targets of the Ben Lomond-style.

I am pleased to announce we have commenced shallow aircore drilling of soil geochemical targets on East Eyre Peninsula. Some targets remain inaccessible until the end of harvest later

Southern Uranium Limited Tel: +61 7 3870 0357 PO Box 343 Toowong, QLD 4066 ASX Code: SNU ABN 90 115 338 979 www.southernuranium.com.au info@southernuranium.com.au Page 4 of 5

in the year, however our team are keen to see a start to testing of our numerous uranium and/or copper gold silver targets.

Southern Uranium has revised its strategy to include base metals and precious metals along with uranium as our target commodities. The substantial copper gold and silver prospectivity of the South Australian projects offer an excellent launching pad for the expanded strategy. In particular, we look forward to advancing the newly granted Northern Yorke Peninsula project to drill testing of identified targets with potential for the discovery of high copper grades.

I take this opportunity to thank our staff for their efforts and the Board and Shareholders for their guidance and support in putting the Company in an excellent position to move forward.

Thank you all.

John Anderson Managing Director

Tel: +61 7 3870 0357 PO Box 343 Toowong, QLD 4066 ASX Code: SNU www.southernuranium.com.au info@southernuranium.com.au Page 5 of 5

Southern Uranium Limited ABN 90 115 338 979