Batches 6-8, Results from 2nd Drill programme

15 July 2014

                             Sula Iron & Gold plc

                          ("Sula" or the "Company")

          Batches 6-8, Results from 2nd Drill programme at Ferensola

Sula Iron & Gold plc ("Sula" or the "Company"), the exploration and
development company focused on iron ore in Sierra Leone, is pleased to provide
an update on assay results received on its 2nd drill programmes at its 100%
owned Ferensola project ("the Project").

Highlights

-   Significant results from batch six, seven and eight samples include:

         BHDD140, 28m @ 58.19% Fe, 8-36m

         BHDD141, 10m @ 56.27% Fe, 20-30m

         BHDD143, 12m @ 56.53% Fe, 10-22m

         BHDD144, 12.5m @ 55.82% Fe, 10-22.5m

         BHDD145, 8m @ 60.15% Fe, 24-32m

         BHDD150, 20.8m @ 57.23% Fe, 38-58.8m

         BHDD152, 18m @ 57.28% Fe, 20-38m

         BHDD153, 12m @ 56.32% Fe, 22-34m

         BHDD154, 6m @ 55.90% Fe, 30-36m and

         BHDD154, 22m @ 56.50% Fe, 56-78m

-   All results from phase 1 oxide ("DSO") targeted drilling, which commenced in early April
    2014, have now been received with the phase 2 oxide infill drilling now complete with assays pending

-   Drilling programme targeting the depth extent of the fresh magnetite Banded Iron
    Formation ("BIF") has now been completed with assays pending

To view a full version of the announcement, including figures and maps, please
visit the Company's website at: www.sulaironandgold.com.

Sula CEO Nick Warrell said, "Results from the drilling at Ferensola
continue to support the presence of a well-defined iron oxide cap (DSO) at
Ferensola. In particular we are very pleased to see significant thicknesses
such as that in hole BHDD140 where 28m of +58% Fe was recorded. With both the
magnetite and DSO drill programmes now completed we are looking forward to
receiving the final results and commencing the mineral resource estimates on
the two mineralised zones."

Sula commenced a 2nd resource drilling campaign, split into two phases, at
Ferensola during 2014 after a successful reconnaissance drill programme was
undertaken in May-July 2013. The results reported here are from 19 drill holes
received from batches six, seven and eight comprising 1,591.9m of drilling
conducted between 17 May 2014 and 06 June 2014. Drilling on this 2nd drill
programme targeting oxide material has now been completed with further results
expected over the next 2 months.

The Company has focused drilling on investigating shallow, high grade iron
mineralisation contained in the oxide and transitional saprolitic zones
overlying the primary magnetite BIF. A summary of the mineralised
intersections from batch 6, 7 and 8 are shown in Table 1.

In addition, drilling has now been completed testing the potential depth
extent of the fresh magnetite BIF interpreted below the defined oxide package.
The primary magnetite BIF mineralisation continues to remain open at depth. A
total of 3 drillholes have been completed totaling 1,461.8m with the main
purpose of estimating an Inferred Mineral Resource for the BIF material, when
used in conjunction with the results from the 2013 drilling campaign.

The Ferensola Project

The Ferensola project appears to be a typical weathered BIF with an underlying
fresh magnetite BIF. The project consists of elevated iron grades at surface
grading down to a fresh and competent magnetite BIF.

The phase 1 drilling, for which all results have now been received, was
undertaken on a regular grid of 400m x 50m intervals. Each hole was drilled
vertically and represented the true vertical thickness of the oxide units. In
addition, as announced on 9 July 2014, the Company has now completed an
additional phase 2 infill programme based on generating 200m x 50m intervals.
Results that have been received indicate a strike extent of 2.8km, which
currently remains open at either end.

Results received from the 19 holes (1,591.90m) received in batches six, seven
and eight, have been positive with multiple intercepts in excess of 55% Fe
defining a potential DSO domain and additional high grade laterite and
saprolitic material within the oxide zone. Results have been tabulated in
table 1 for drill holes which have intercepted the mineralised unit.

Metallurgical testing has commenced on material associated with the
underlying fresh magnetite-BIF to confirm that a saleable concentrate can be
generated through standard magnetic separation techniques. In addition,
samples have also been selected for basic metallurgical test work from the low
grade oxide zones to confirm that a saleable concentrate can be generated. SRK
has selected the samples which are being analysed at SGS Minerals Services UK
Limited, Truro UK.

Table 1 -- Mineralised Intersections*

Drillhole  Logged   From   To                    Values
          Material
                                 Sum of  Average Average  Average Average
                                INTERVAL  of Fe  of Al2O3 of SiO2  of P
 BHDD139     DUR      0    12      12     43.15   20.21    3.25    0.11
             OX      12   70.1    58.1    36.35    6.33    34.73   0.06
 BHDD140     DUR      0   11.8    11.8    44.11   20.09    1.14    0.08
             OX     11.8   84     72.2    34.82   11.32    30.05   0.06
          Including   8    36      28     58.19    6.82    2.67    0.07
 BHDD141     DUR      0   11.5    11.5    38.65   24.74    3.05    0.07
             OX     11.5   64     52.5    41.15    8.97    23.81   0.07
          Including  20    30      10     56.27    5.13    7.37    0.04
 BHDD142     DUR      0   9.95    9.95    43.07   20.33    2.81    0.05
             OX      9.9   124   114.1    26.74   16.66    34.52   0.10
 BHDD143     DUR      0    8.2    8.2     39.72   24.64    1.13    0.07
             OX      8.2   56     47.8    45.02   13.50    11.57   0.07
          Including  10    22      12     56.53    8.61    1.33    0.08
 BHDD144     DUR      0    7.7    7.7     50.69   13.92    1.54    0.05
             OX      7.7   62     54.3    37.11   17.20    18.71   0.07
          Including  10   22.5    12.5    55.82    7.69    3.79    0.10
 BHDD145     DUR      0   13.1    13.1    45.59   13.95    8.98    0.06
             OX     13.1   42     28.9    42.89   13.53    14.50   0.09
          Including  24    32      8      60.15    4.29    3.80    0.06
 BHDD146     DUR      0   19.5    19.5    37.47   26.19    2.28    0.16
             OX     19.5   100    80.5    30.20   18.37    26.28   0.09
 BHDD148     DUR      0   17.3    17.3    49.20   14.80    2.17    0.07
             OX     17.3   42     24.7    26.40   23.11    24.36   0.09
 BHDD150     DUR      0   15.6    15.6    31.10   33.23    1.62    0.11
             OX     15.6  114.6    99     41.79    9.69    21.10   0.08
          Including  38   58.8    20.8    57.23    6.09    2.44    0.07
 BHDD151     DUR      0   10.5    10.5    37.68   22.13    8.80    0.04
             OX     10.5  70.5     60     41.14    8.12    24.81   0.06
 BHDD152     DUR      0   12.5    12.5    29.00   30.50    9.42    0.05
             OX     12.5   42     29.5    51.11    7.16    12.58   0.10
          Including  20    38      18     57.28    3.79    8.95    0.06
 BHDD153     DUR      0   7.51    7.51    38.18   26.68    1.85    0.06
             OX     7.51   58    50.49    45.90    9.96    15.70   0.07
          Including  22    34      12     56.32    6.25    6.30    0.04
 BHDD154     DUR      0   13.63  13.63    32.15   31.56    1.46    0.09
             OX     13.63  106   92.37    42.52   12.37    16.01   0.08
          Including  30    36      6      55.90    9.59    0.89    0.09
             And     56    78      22     56.50    5.00    4.01    0.54
 BHDD155     DUR      0    21      21     40.64   20.74    5.78    0.06
             OX      21    69      48     20.67   18.06    42.01   0.08
 BHDD156     DUR      0   12.7    12.7    35.43   26.51    5.17    0.06
             OX     12.7   72     59.3    36.27   11.11    27.63   0.07
 BHDD157     DUR      0    12      12     34.62   29.48    1.29    0.08
             OX      12    101     89     24.15   19.06    34.90   0.08
 BHDD158     DUR      0   10.5    10.5    41.92   17.00    9.43    0.08
             OX     10.5  67.5     57     32.32    9.66    33.95   0.11
*results are reported as an average for down-hole lithological intervals, high
grade intervals are length weighted with a lower cut-off grade of 55% Fe and a
maximum internal waste of 5m. Datum WGS84, Zone 29N, some minor errors occur
due to rounding.

Enquires:

Sula Iron & Gold plc [phone]

Nick Warrell / Matt Wood

www.sulaironandgold.com

Cairn Financial Advisers LLP [phone]

James Caithie / Avi Robinson

Daniel Stewart & Company Plc [phone]

Martin Lampshire / David Hart

Yellow Jersey PR [phone]

Dominic Barretto / Kelsey Traynor

Qualified Person

The information in this press release that relates to the current drilling
programme is based on information compiled by Mr Colin Rawbone, who is a
Chartered Professional Member of the Australasian Institute of Mining and
Metallurgy ("AusIMM"). Mr Rawbone is a full time employee of SRK and has
sufficient experience which is relevant to the style of mineralisation and
type of deposit under consideration and to the activity which he is
undertaking to qualify as a Competent Person as defined in the 2012 Edition of
the 'Australasian Code for Reporting of Exploration Results, Mineral Resources
and Ore Reserves'. Mr Colin Rawbone has reviewed this press release and
consents to the inclusion in the press release of the matters based on his
information in the form and context in which this appears.

In addition to the above, this press release has been compiled under the
direction of Mr Howard Baker, who is a Chartered Professional Fellow of the
Australasian Institute of Mining and Metallurgy ("AusIMM"). Mr Baker is a full
time employee of SRK Consulting (UK) Ltd and has sufficient experience which
is relevant to the style of mineralisation and type of deposit under
consideration and to the activity which he is undertaking to qualify as a
Competent Person as defined in the 2012 Edition of the 'Australasian Code for
Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr
Baker has reviewed this press release and consents to the inclusion in the
press release of the matters based on his information in the form and context
in which this appears.

Forward-looking Statements

This announcement includes certain forward-looking statements. All statements,
other than statements of historical fact, included herein are forward-looking
statements that involve various known and unknown risks and uncertainties as
well as other factors. Such forward looking statements are subject to a number
of risks and uncertainties that may cause actual results or events to differ
materially from current expectations, including delays in obtaining or failure
to obtain required regulatory approvals. There can be no assurance that such
statements will prove to be accurate and actual results and future events
could differ materially from those anticipated in such statements.

Notes:

Sula Iron & Gold plc is a multi-commodity exploration company focused on West
Africa. The Company's main objective is to explore and advance its Ferensola
Projects, in Northern Sierra Leone, that are highly prospective for iron and
gold. Sula is currently focused on delineating a maiden JORC compliant iron
ore resource estimate and evaluating the gold prospectivity. The 153 sq. km
licence area is contiguous to African Minerals' operational Tonkolili Iron
Mine, which has a JORC compliant resource of 12.8 billion tonnes iron
mineralisation.

Exploration work at the project has confirmed the presence of BIF at surface,
which has a known strike length of 3.1km. The BIF is proven to extend NE from
the Tonkolili licence and into Sula's licence area. A 2,000m scout drilling
programme conducted over a 2.2km section of BIF, confirmed the licence area's
prospectivity for high grade iron mineralisation.

Significant Greenstone Belt-style gold mineralisation has also been identified
at various prospects within the licence area. Five target areas for hard rock
gold mineralisation have been identified based on the location of historic
drill intercepts, the source areas for alluvial gold deposits, and the
position of major structures as defined by airborne magnetic data and drainage
orientation.

The information in this release that relates to Exploration Results has been
reviewed by Mr Andrew Dacey, Non-Executive Technical Director of Sula Iron &
Gold plc. Mr Dacey is a Fellow of the Institute of Materials Minerals and
Mining, a Registered Professional Geologist with the Australian Institute of
Geoscientists and a Competent Person as defined in the Australasian Code for
Reporting of exploration results and Mineral Resources and Ore Reserves.

APPENDIX A. JORC CODE, 2012 Edition, Table 1 (Section 1 and 2)

Section 1 Sampling Techniques and Data
Criteria         JORC Code explanation    Commentary
Sampling         - Nature and quality of  Diamond core samples collected
techniques       sampling (eg cut         by Sula staff were of half HQ
                 channels, random chips,  core, with the sample cut so as
                 or specific specialised  to equally divide structures.
                 industry standard        Sample lengths ranged from 0.5
                 measurement tools        m to 2 m. Sample intervals were
                 appropriate to the       not matched to geological
                 minerals under           boundaries.
                 investigation, such as
                 down hole gamma sondes,
                 or handheld XRF
                 instruments, etc). These
                 examples should not be
                 taken as limiting the
                 broad meaning of
                 sampling.
                 - Include reference to   Sula used a minimum sample size
                 measures taken to ensure of 0.25 kg per core sample
                 sample representivity    dispatched. They routinely
                 and the appropriate      submitted blanks, duplicate and
                 calibration of any       certified reference material.
                 measurement tools or
                 systems used.
                 - Aspects of the         Diamond core samples were HQ
                 determination of         diameter, and were cut in half
                 mineralisation that are  using a core saw, dividing
                 Material to the Public   geological structures equally
                 Report.                  where possible. Some samples
                                          demonstrated a significant
                                          variance when compared to
                                          duplicate samples, but this
                                          affect was observed to be
                                          minor, with most samples
                                          showing good repeatability.
 
                                          Sample preparation techniques
                                          were deemed to be of
                                          international best practice.
                 - In cases where         All sampling preparation has
                 `industry standard' work been undertaken by an
                 has been done this would accredited laboratory;
                 be relatively simple (eg preparation of samples has been
                 `reverse circulation     undertaken through ALS Monrovia
                 drilling was used to     and XRF analysis has been
                 obtain 1 m samples from  undertaken by ALS based in
                 which 3 kg was           Ireland.
                 pulverised to produce a
                 30 g charge for fire
                 assay'). In other cases
                 more explanation may be
                 required, such as where
                 there is coarse gold
                 that has inherent
                 sampling problems.
                 Unusual commodities or
                 mineralisation types (eg
                 submarine nodules) may
                 warrant disclosure of
                 detailed information.
Drilling         - Drill type (eg core,   Drill method was diamond
techniques       reverse circulation,     drilling of dominantly HQ core
                 open-hole hammer, rotary during the drill programmes
                 air blast, auger,        undertaken, using standard
                 Bangka, sonic, etc) and  tubes. A CS1000 man portable
                 details (eg core         drill rig operated by a
                 diameter, triple or      reputable company acting under
                 standard tube, depth of  industry best practices.
                 diamond tails,
                 face-sampling bit or     Core on vertical holes
                 other type, whether core targeting oxide material has
                 is oriented and if so,   not been orientated.
                 by what method, etc).
Drill sample     - Method of recording    Drill core recovery was
recovery         and assessing core and   recorded for every hole through
                 chip sample recoveries   routine monitoring of drill rod
                 and results assessed.    depth and recovered core.
                                          Recoveries for each hole were
                                          graphically plotted and show
                                          total recovery better than 85%.
                                          Where recovery has been
                                          recorded these intervals are
                                          identified and flagged for
                                          re-drilling as required.
                 - Measures taken to      Supervision of the diamond
                 maximise sample recovery drilling by Sula geologists
                 and ensure               ensured sample recovery was
                 representative nature of good, and that samples were
                 the samples.             representative without
                                          contamination issues. Where
                                          poor recovery has been
                                          encountered contractual
                                          agreements with the drill
                                          company incur penalties and
                                          re-drill policies.
                 - Whether a relationship No studies are known to have
                 exists between sample    been completed on sample bias.
                 recovery and grade and
                 whether sample bias may
                 have occurred due to
                 preferential loss/gain
                 of fine/coarse material.
Logging          - Whether core and chip  Geological logging for diamond
                 samples have been        core includes a descriptive log
                 geologically and         with some quantitative logging
                 geotechnically logged to of mineralogy and alteration,
                 a level of detail to     in addition to plotting of
                 support appropriate      assays and the geology as a
                 Mineral Resource         graphic log.
                 estimation, mining
                 studies and              No geotechnical logging has
                 metallurgical studies.   been undertaken on oxide
                                          material due to core
                                          fragmentation and lack of
                                          orientation.
                 - Whether logging is     Logging is qualitative, with
                 qualitative or           the exception of some
                 quantitative in nature.  quantitative logging of
                 Core (or costean,        mineralogical and alteration
                 channel, etc)            content.
                 photography.
                                          Core photography is undertaken
                                          for both half and whole core on
                                          a box by box basis.
                 - The total length and   100% of diamond core samples
                 percentage of the        can be correlated to graphic
                 relevant intersections   logs of the diamond drill hole.
                 logged.
Sub-sampling     - If core, whether cut   Drill core samples were half HQ
techniques and   or sawn and whether      core, where the core was cut to
sample           quarter, half or all     equally divide significant
preparation      core taken.              structures in the rock. Half
                                          core is dispatched for
                                          analytical process's
                 - If non-core, whether   All sampling relates to drill
                 riffled, tube sampled,   core
                 rotary split, etc and
                 whether sampled wet or
                 dry.
                 - For all sample types,  Diamond core samples have been
                 the nature, quality and  analysed by XRF for a full
                 appropriateness of the   suite of analytes including but
                 sample preparation       not limited to Fe_%, Al2O3_%,
                 technique.               SiO2_% and P_%. In addition to
                                          this analysis the LOI was also
                                          recorded.
                 - Quality control        For diamond drill core
                 procedures adopted for   sampling, standards, duplicates
                 all sub-sampling stages  and blanks were interleaved
                 to maximise              randomly with the routine
                 representivity of        samples, every 20th sample;
                 samples.                 targeting a frequency of 5%
                 - Measures taken to      Field duplicates are submitted
                 ensure that the sampling as 1 in 20 insertion rate,
                 is representative of the where duplicates are selected
                 in situ material         the remaining half core is
                 collected, including for split to produce a field based
                 instance results for     quarter core sample for
                 field                    comparative studies.
                 duplicate/second-half
                 sampling.
                 - Whether sample sizes   Diamond core samples were half
                 are appropriate to the   HQ core, which is a large
                 grain size of the        diameter core for exploration
                 material being sampled.  drilling.
Quality of       - The nature, quality    SRK deem the accredited
assay data and   and appropriateness of   laboratory and the requested
laboratory       the assaying and         analysis to be suitable and
tests            laboratory procedures    sufficient for this type and
                 used and whether the     style of mineralisation deposit
                 technique is considered
                 partial or total.
                 - For geophysical tools, No geophysical tools or other
                 spectrometers, handheld  unusual analysis methods were
                 XRF instruments, etc,    employed.
                 the parameters used in
                 determining the analysis
                 including instrument
                 make and model, reading
                 times, calibrations
                 factors applied and
                 their derivation, etc.
                 - Nature of quality      For diamond drill core
                 control procedures       sampling, standards, duplicates
                 adopted (eg standards,   and blanks were interleaved
                 blanks, duplicates,      randomly with the routine
                 external laboratory      samples, every 20th sample;
                 checks) and whether      targeting a frequency of 5%.
                 acceptable levels of
                 accuracy (ie lack of     Samples are reviewed on a batch
                 bias) and precision have by batch basis to identify any
                 been established.        bias with in the analytical
                                          process.
Verification of  - The verification of    Mr Colin Rawbone of SRK has
sampling and     significant              independently verified the
assaying         intersections by either  intersections derived from
                 independent or           lithological and grade logging.
                 alternative company
                 personnel.
                 - The use of twinned     No twinned holes have been used
                 holes.                   to verify sampling and
                                          assaying.
                 - Documentation of       Data has been compiled from
                 primary data, data entry good quality paper plans and
                 procedures, data         digitally compiled at a later
                 verification, data       date.
                 storage (physical and
                 electronic) protocols.   The data has been assimilated
                                          into the Company's Microsoft
                                          Excel database, after
                                          compilation and validation in
 
                                          Mapinfo Software.
                 - Discuss any adjustment No adjustment to assay data has
                 to assay data.           been undertaken
Location of      - Accuracy and quality   All drill collars are
data points      of surveys used to       positioned with handheld GPS to
                 locate drill holes       an accuracy of within 5m.
                 (collar and down-hole
                 surveys), trenches, mine Down hole surveys are not
                 workings and other       utilised on shallow vertical
                 locations used in        drill holes but where required
                 Mineral Resource         has been undertaken using the
                 estimation.              REFLEX tools
                 - Specification of the   WGS 84 UTM Zone 29 North
                 grid system used.
                 - Quality and adequacy   Current topographic surveys has
                 of topographic control.  been limited to SRTM data. An
                                          aerial survey to meter scale
                                          accuracy has recently been
                                          undertaken - results pending
Data spacing     - Data spacing for       Diamond drill core samples are
and              reporting of Exploration collected over contiguous
distribution     Results.                 intervals of alteration as per
                                          logging. There are lengths of
                                          diamond core not sampled. Some
                                          sampled intervals were
                                          reâ€sampled as composites, or
                                          as single duplicate samples.
 
                                          Drilling has taken place on
                                          400m spaced drill fences at 50m
                                          intervals
                 - Whether the data       No Mineral Resource or Ore
                 spacing and distribution Reserve calculations have been
                 is sufficient to
                 establish the degree of  reported on the deposit at this
                 geological and grade     stage.
                 continuity appropriate
                 for the Mineral Resource
                 and Ore Reserve
                 estimation procedure(s)
                 and classifications
                 applied.
                 - Whether sample         Sample compositing was
                 compositing has been     performed for reporting of
                 applied.                 diamond drill core results,
                                          based on a weighted average as
                                          a function of sample length
                                          versus grade.
Orientation of   - Whether the            Drilling has been best
data in relation orientation of sampling  orientated to allow a
to geological    achieves unbiased        perpendicular intercept of the
structure        sampling of possible     surface oxide zone to be
                 structures and the       achieved.
                 extent to which this is
                 known, considering the
                 deposit type.
                 - If the relationship    Based on current information no
                 between the drilling     bias has been introduced based
                 orientation and the      on the orientation of drilling
                 orientation of key       and relationship with key
                 mineralised structures   structures.
                 is considered to have
                 introduced a sampling
                 bias, this should be
                 assessed and reported if
                 material.
Sample           - The measures taken to  Sula geologists maintain a full
security         ensure sample security.  chain of custody of samples as
                                          they leave site and are
                                          transported to the process
                                          laboratory. Upon sample return
                                          sufficient checks and balances
                                          are undertaken to ensure
                                          samples have not been tampered
                                          with.
Audits or        - The results of any     All logging and sampling
reviews          audits or reviews of     techniques have been audited
                 sampling techniques and  during an independent site
                 data.                    visit undertaken by Mr Colin
                                          Rawbone of SRK

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

                  JORC Code explanation  Commentary
Mineral tenement  - Type, reference      EL54/2011 issued by the
and land tenure   name/number, location  Government of Sierra Leone 23rd
status            and ownership          August 2011 to Blue Horizon (SL
                  including agreements   Ltd). Blue Horizon (SL Ltd) is
                  or material issues     a 100% owned subsidiary of Sula
                  with third parties     Iron & Gold Plc. Full due
                  such as joint          diligence on the license was
                  ventures,              carried out by Sula's SL
                  partnerships,          lawyers and UK lawyers prior to
                  overriding royalties,  IPO in October 2012. There are
                  native title           no joint ventures in place save
                  interests, historical  an MOU with the Town Chief and
                  sites, wilderness or   his Elders of Dalakuru Town
                  national park and      regarding the buildings in
                  environmental          Dalakuru base camp. There are
                  settings.              no historical sites, wilderness
                                         or national park and
                                         environmental settings within
                                         our demarcated license area.
                  - The security of the  As above
                  tenure held at the
                  time of reporting
                  along with any known
                  impediments to
                  obtaining a licence to
                  operate in the area.
Exploration done  - Acknowledgment and   Exploration carried out by Mano
by other parties  appraisal of           River during the 1990s. Almost
                  exploration by other   impossible to appraise the
                  parties.               exploration as little or no
                                         records of the exploration were
                                         submitted to the Ministry of
                                         Mineral Resources.
Geology           - Deposit type,        The Ferensola project appears
                  geological setting and to be a typical weathered BIF
                  style of               with an underlying fresh
                  mineralisation.        magnetite BIF.
Drill hole        - A summary of all     All tabulated exploration
Information       information material   collars are included in the
                  to the understanding   release in appendix B.
                  of the exploration
                  results including a    Table depicts all intercepts
                  tabulation of the      where drill holes have
                  following information  intercepted mineralisation.
                  for all Material drill Intercept lengths from diamond
                  holes:                 drilling are presented as down
                                         hole lengths, not true lengths,
                  o easting and northing and this is stated in the
                  of the drill hole      release.
                  collar
 
                  o elevation or RL
                  (Reduced Level -
                  elevation above sea
                  level in metres) of
                  the drill hole collar
 
                  o dip and azimuth of
                  the hole
 
                  o down hole length and
                  interception depth
 
                  o hole length.
                  - If the exclusion of  Intercepts have been omitted
                  this information is    from this report where drill
                  justified on the basis holes have not intercepted the
                  that the information   interpreted mineralisation.
                  is not Material and    Drill collars for each of these
                  this exclusion does    holes however have been
                  not detract from the   recorded in Appendix B
                  understanding of the
                  report, the Competent
                  Person should clearly
                  explain why this is
                  the case.
Data aggregation  - In reporting         Weighting is calculated as a
methods           Exploration Results,   function of each sample length
                  weighting averaging    multiplied by each grade, with
                  techniques, maximum    the summed product divided by
                  and/or minimum grade   the total sample length, to
                  truncations (eg        present composited intervals. A
                  cutting of high        high grade portion of these
                  grades) and cut-off    intercepts has been highlighted
                  grades are usually     using a 55% Fe Cut-off grade
                  Material and should be where intervals were greater
                  stated.                than 5m.
                  - Where aggregate      Where intercepts are reported
                  intercepts incorporate as longer lengths of lower
                  short lengths of high  grade, it is clearly stated
                  grade results and      that the higher incepts within
                  longer lengths of low  are part of the lower grade
                  grade results, the     intercept, not in addition to
                  procedure used for     the low grade intercept.
                  such aggregation
                  should be stated and
                  some typical examples
                  of such aggregations
                  should be shown in
                  detail.
                  - The assumptions used No metal equivalents are used
                  for any reporting of   for the exploration results at
                  metal equivalent       Ferensola Prospect.
                  values should be
                  clearly stated.
Relationship      - These relationships  Diamond drill sample intercepts
between           are particularly       are reported as down hole
mineralisation    important in the       widths.
widths and        reporting of
intercept lengths Exploration Results.
                  - If the geometry of   Mineralisation is considered to
                  the mineralisation     be steeply dipping (approx. 70°
                  with respect to the    NW) with a dominant strike
                  drill hole angle is    NE-SW. However oxidation of
                  known, its nature      this material is deemed to have
                  should be reported.    affected a horizon of material
                                         concordant with topography.
                                         Therefore the vertical holes
                                         currently drilled in targeting
                                         this material are deemed
                                         suitable to intercept the
                                         primary target as close to 90°
                                         as possible.
                  - If it is not known   This is clearly stated in the
                  and only the down hole release.
                  lengths are reported,
                  there should be a
                  clear statement to
                  this effect (eg `down
                  hole length, true
                  width not known').
Diagrams          - Appropriate maps and Diagrams are provided that show
                  sections (with scales) all surface samples and the
                  and tabulations of     diamond drill hole traces in
                  intercepts should be   plan view, plus a cross section
                  included for any       is provided with the intercept
                  significant discovery  locations and known geology.
                  being reported These
                  should include, but
                  not be limited to a
                  plan view of drill
                  hole collar locations
                  and appropriate
                  sectional views.
Balanced          - Where comprehensive  Exploration results are
reporting         reporting of all       presented in the Table 1,
                  Exploration Results is regardless of grade where
                  not practicable,       mineralised material has been
                  representative         intercepted. Grade has been
                  reporting of both low  split by lithology based on
                  and high grades and/or logging undertaken by the Sula
                  widths should be       geologists.
                  practiced to avoid
                  misleading reporting
                  of Exploration
                  Results.
Other substantive - Other exploration    Discussion of the Ferensola
exploration data  data, if meaningful    Prospect geology is included in
                  and material, should   the release.
                  be reported including
                  (but not limited to):  In situ density measurements
                  geological             are carried out using
                  observations;          Archimedean principles for
                  geophysical survey     consolidated fresh core and are
                  results; geochemical   undertaken on a lithological
                  survey results; bulk   basis.
                  samples - size and
                  method of treatment;   To date no economic or
                  metallurgical test     extractive measures such as
                  results; bulk density, bulk samples, metallurgical
                  groundwater,           testing, bulk density,
                  geotechnical and rock  groundwater, geotechnical or
                  characteristics;       rock samples have been
                  potential deleterious  undertaken.
                  or contaminating
                  substances.
Further work      - The nature and scale Drill testing is identified as
                  of planned further     future planned work. At present
                  work (eg tests for     the infill drilling to a 200m x
                  lateral extensions or  50m spacing has been commenced
                  depth extensions or    to increase confidence in the
                  large-scale step-out   initial interpretations of
                  drilling).             geometry and grade
                                         distribution. In addition
                                         1,500m of deep drilling has
                                         been planned to develop the
                                         fresh magnetite BIF interpreted
                                         below the primary oxide
                                         material.
                  - Diagrams clearly     Possible extensions are
                  highlighting the areas indicated on the plan and cross
                  of possible            section provided in the
                  extensions, including  release.
                  the main geological
                  interpretations and
                  future drilling areas,
                  provided this
                  information is not
                  commercially
                  sensitive.
APPENDIX B. - Ferensola Completed Drill Collars

XCOLLAR YCOLLAR ZCOLLAR  BHID     DH
216834  1013727   795   BHDD001 187.5
216768  1013806   797   BHDD002 302.2
216546  1013462   763   BHDD003 240.25
216478  1013533   776   BHDD004 269.65
216010  1012883   750   BHDD005 157.4
215946  1012957   765   BHDD006  245
215681  1012631   768   BHDD007 131.7
215589  1012757   808   BHDD008 293.15
216997  1013856   803   BHDD009 161.1
215928  1012978   758   BHDD101   72
215962  1012938   763   BHDD102  70.5
215598  1012733   799   BHDD103  64.5
215994  1012895   722   BHDD104  66.5
215633  1012688   769   BHDD105   67
216028  1012860   733   BHDD106  62.5
215669  1012654   782   BHDD107   63
216057  1012821   723   BHDD108   66
215696  1012626   732   BHDD109  65.5
216088  1012782   675   BHDD110  67.5
215727  1012579   737   BHDD111  61.5
215348  1012322   670   BHDD112  49.5
216210  1013192   703   BHDD113   46
215379  1012289   695   BHDD114  43.5
216501  1013515   776   BHDD115   66
216537  1013479   765   BHDD116   81
215429  1012257   683   BHDD117   48
215283  1012401   744   BHDD118  54.5
216258  1013173   683   BHDD119   56
216563  1013442   755   BHDD120   77
215306  1012369   733   BHDD121  69.2
216599  1013399   729   BHDD122   70
216291  1013148   705   BHDD123  72.5
216814  1013759   794   BHDD124   75
216622  1013373   717   BHDD125   63
216317  1013109   710   BHDD126  64.5
216846  1013725   788   BHDD127   69
217119  1013970   788   BHDD128  100
216876  1013685   770   BHDD129  70.5
217427  1014213   663   BHDD130   78
217091  1014007   781   BHDD131  129
216909  1013648   751   BHDD132  56.5
217399  1014248   654   BHDD133   63
217788  1014753   594   BHDD134  25.5
217065  1014043   772   BHDD135 127.5
217347  1014270   656   BHDD136  58.5
218089  1014591   634   BHDD137  79.5
217143  1013952   783   BHDD138 100.5
215838  1012832   779   BHDD139  71.5
218080  1014633   633   BHDD140   84
215881  1012798   769   BHDD141  73.5
217031  1014085   754   BHDD142  131
218080  1014633   633   BHDD143  67.5
218104  1014586   635   BHDD144   69
215902  1012757   732   BHDD145  60.5
217176  1014230   711   BHDD146 100.5
216109  1013104   709   BHDD147   54
215926  1012729   739   BHDD148  86.8
216648  1013922   736   BHDD149 500.3
217208  1014192   716   BHDD150 114.6
216133  1013067   729   BHDD151  70.5
216178  1013048   702   BHDD152   72
215492  1012518   732   BHDD153  76.5
216963  1013895   797   BHDD154 106.5
216186  1013005   650   BHDD155  91.5
215477  1012547   757   BHDD156   72
216929  1013926   788   BHDD157  123
216354  1013350   741   BHDD158  67.5
215537  1012468   692   BHDD159  64.5
216676  1013612   783   BHDD160  76.6
216378  1013323   732   BHDD161   78
215564  1012435   715   BHDD162  98.8
216697  1013583   774   BHDD163   72
216409  1013293   719   BHDD164   75
215971  1012923   721   BHDD165  63.5
216725  1013556   760   BHDD166   75
216427  1013241   704   BHDD167  108
216137  1013324   732   BHDD168 437.5
216745  1013531   746   BHDD169 80.15
215853  1012822   777   BHDD170  73.5
216525  1013497   772   BHDD171   80
215707  1012606   759   BHDD172  73.5
217312  1014110   700   BHDD173   50
216583  1013425   745   BHDD174  73.5
217278  1014153   700   BHDD175   69
215497  1012855   781   BHDD176  524