Bannerman Resources chief executive officer Len Jubber said: “This substantial increase in the mineral resource estimate continues to elevate the Etango deposit in the ranking of globally significant uranium deposits. The 5km long mineral resource at Etango occurs over a broad width and at shallow depth with approximately two thirds of the resource located within 200 metres from surface.”

“Bannerman is continuing with resource extension drilling and is also well advanced with a feasibility study into the viability of an open pit uranium mining operation at Etango. Results from the ongoing resource extension drilling will be released as they become available during the second half of 2009,” Jubber added.

The July 2009 Etango Project mineral resource estimate, at a cut-off grade of 100 parts per million (“ppm”) U3O8, represents a 26% increase in the contained uranium content compared with the previous February 2009 estimate. Indicated Resources have increased 18% from 89.2 million pounds (“Mlbs”) to 105.7Mlbs U3O8 and Inferred Resources have increased 40% from 37.4Mlbs to 52.4Mlbs U3O8. For the first time, part of the resource estimate is within the Measured category which currently totals 2.0Mlbs U3O8.

The updated mineral resource estimate has been prepared for Bannerman Resources in accordance with the Australian JORC Code guidelines and Canadian National Instrument 43-101 by Coffey Mining Pty Ltd, an independent geological consultant to Bannerman Resources.

For the first time, the Etango Project mineral resource estimate includes the Onkelo deposit which is located immediately along strike to the north of the Oshiveli deposit. The mineral resource estimate for Onkelo, reported above a lower cut-off grade of 100ppm U3O8, comprises Inferred Resources of 47.0 million tonnes (“Mt”) at 195ppm for 20.2Mlb of U3O8.

The mineral resource estimate for the Oshiveli deposit, reported above a lower cut-off grade of 100ppm U3O8, comprises Indicated Resources of 28.7Mt at 196ppm for 12.4Mlb of U3O8 plus Inferred Resources of 19.6Mt at 193ppm for 8.3Mlb of U3O8.

Bannerman Resources has now completed five resource estimates on approximate half-year intervals since commencing drilling activities at the Etango Project in late 2006. These estimates are depicted in the chart below (using a lower cut-off grade of 100ppm U3O8) and demonstrate the growth potential of the Etango Project?s resources.

Etango Project Resource Details

Introduction

Coffey Mining was requested by Bannerman Resources to undertake an updated mineral resource estimation study on the Etango Project in Namibia, southern Africa. The Anomaly A, Oshiveli and Onkelo uranium deposits are located within Bannerman Resources?s Etango Project area (in EPL 3345) which is 31km east of the major town of Swakopmund and 47km northeast of the port town of Walvis Bay. Two mineral resource models were constructed, the first for the Anomaly A and Oshiveli deposits and the second for the Onkelo deposit.

Neil Inwood from Coffey Mining visited the Etango Project site and surrounding areas in August 2007 and March 2008. Neil Inwood and Iain Macfarlane are the Competent Persons for the resource estimates and classification.

The resource estimation study included a review of the available drillhole database information, geological models, statistical and geostatistical constraints, grade estimation, and classification of the estimate in accordance to the criteria laid out in Canadian National Instrument 43-101.

Deposit Geology

Uranium occurrences in the Etango Project (Anomaly A, Oshiveli and Onkelo deposit areas) are located along the western flank of the Palmenhorst Dome. The Palmenhorst Dome consists of pre-Damara basement, with a core of red leucocratic gneiss (quartz, biotite, microcline and accessory plagioclase feldspar) that is commonly referred to as the “red granite gneiss”. This central gneiss is surrounded by migmatites and other basement rock types.

Uranium mineralisation at Etango is mainly located in the post-F3 alaskite granites. Minor uranium mineralisation is also found in the metasedimentary sequences close to the alaskite contacts. The major mineralised alaskite bodies are associated with the lower part of the Khan Formation and occur within 400m of the contact between the Etusis and Khan Formations.

The alaskites consist mainly of quartz and feldspar with minor, but variable, accessory mineral contents, including; ilmenite, biotite, apatite, topaz, garnet, tourmaline, uraninite, betafite, zircon and monazite. Quartz varies in colour from colourless through smoky to almost black (indicating the presence of higher grade uranium mineralisation).

The dominant primary uranium mineral is uraninite (UO2) but minor betafite (Ca,U)2(Ti,Nb,Ta)2O6(OH) is also present. The primary uranium mineralisation occurs as disseminations within rock fractures, at crystal interfaces, and as inclusion within other minerals. Secondary uranium minerals such as autunite Ca(UO2)2(PO4)2 10-12H2O and uranophane Ca(UO2)2(SiO3OH)2 5H2O occur as replacement of the primary minerals or as coatings along fractures. The uraninite is commonly associated with chloritised biotite in the alaskites within the lower Khan Formation and with ilmenite and magnetite within foliated alaskites.