PRODIGY GOLD NL — Capital/Financing Update 2009

Aug 11, 2009

TANAMI GOLD NL

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12 August 2009

The Manager Company Announcement Office ASX Limited Exchange Centre, Level 4, 20 Bridge Street SYDNEY NSW 2000

Dear Sir

FORMATION OF TANAMI GOLD NL AND ABM RESOURCES NL STRATEGIC EXPLORATION ALLIANCE

The directors of Tanami Gold NL ["Tanami"] are pleased to announce the Company has entered into an alliance with ABM Resources NL ["ABM"] to explore for gold, copper and other minerals in the highly prospective Tanami-Arunta province in the Northern Territory ("NT") of Australia. The alliance will involve Tanami transferring its NT tenements to ABM and will involve ABM initially spending a minimum of $10 million on the tenements over a two year period subject to access conditions.

In consideration for the transfer of Tanami’s NT tenements to ABM, the Company will receive:

• $1,500,000 cash.

• 265,000,000 fully paid ordinary shares in ABM resources at no consideration. Such shares will be subject of a 12 month voluntary escrow period.

• 150,000,000 unlisted options with an exercise price of 1.5 cents and an expiry date of 5 years. The exercise of the options is conditional upon ABM’s shares trading at or above a minimum VWAP of 3 cents over 20 consecutive ASX trading days.

• 150,000,000 unlisted options with an exercise price of 1.5 cents and an expiry date of 5 years. The exercise of the options is conditional upon ABM’s shares trading at or above a minimum VWAP of 3.5 cents over 20 consecutive ASX trading days.

• One seat on the ABM Board.

Tanami will be the single largest shareholder in the restructured ABM with an initial equity position of around 26%.

The aim of the transaction is to fast track exploration of the highly prospective and underexplored gold and copper region in the Tanami-Arunta province. ABM will be a pure exploration company that will be well funded and have a highly experienced geological team that will leverage off the work already completed by Tanami.

Following the transfer of the NT tenements to ABM, Tanami will retain a large ground holding of approximately 1,250 square kilometres in Western Australia ["WA"] surrounding the Company’s flagship Coyote Gold Mine. Identified within these tenements are around 30 walk up drill targets mostly within trucking distance of the Coyote treatment plant. The alliance will allow Tanami to focus its funding and resources on these targets with the aim of providing additional mill feed to the Coyote plant much sooner than if it had to spread funds and resources across both WA and the NT.

Level 4, 50 Colin Street, West Perth, Western Australia, 6005 � P.O. Box 1892, West Perth, Western Australia, 6872 Tel: +61 (8) 9212 5999 � Fax: +61 (8) 9212 5900 � Email: tanamigold@tanami.com.au � Website: www.tanami.com.au. � ABN: 51 000 617 176

Tanami Gold NL

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The NT tenement package to be transferred consists of granted exploration licences covering 2,210 square kilometres and exploration licence applications covering 21,334 square kilometres (refer Location Map below). Technical advisor of ABM is world renowned exploration geologist Dr Nick Archibald who will help guide ABM’s exploration programs and the Tanami-ABM link.

Tanami has established a strong working relationship with the Traditional Owners and the Central Land Council in carrying out its exploration programs over many years. The new Tanami-ABM exploration alliance is committed to continuing this relationship.

Graeme Sloan, Managing Director/CEO of Tanami said, "This alliance will allow Tanami to focus its funds and geological expertise on our WA tenements which contain many outstanding opportunities to add ounces to the Company’s gold inventory. This is a true value adding opportunity for Tanami shareholders. Not only do we get to drill test our WA targets sooner, we also get to test the NT tenements much sooner, maybe years sooner, than we would otherwise."

The Company also expects many other benefits to flow from the alliance, including the use of Dr Archibald’s experience and the sharing of some field services which should see exploration costs optimised.

LOCATION MAP TANAMI WA-NT TENEMENTS

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Yours faithfully Tanami Gold NL

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Graeme Sloan Managing Director/CEO