Ivernia’s 2006 exploration program focused on tenements in areas adjacent to the Magellan mine and in the surrounding regions. The objective was to rationalize the existing licenses and identify prospects to pursue new exploration or acquisition opportunities.

The 2006 drill program met with the Company’s objectives and yielded a mixture of results that are summarized below:

A total of 299 drill holes for 9,841 metres were completed with approximately 50% on mature prospects, 20% on near-mine areas and the remaining 30% on scout drilling. In addition, progress on regional exploration was advanced through native title work, geological mapping, and prospect generation utilizing available data. The targeted areas have coincidence of lead or zinc anomalism and prospective geology.

The Pizarro prospect returned the most encouraging results with intersections of shallow, high-grade mineralization. Additional drilling totaling 53 drill holes for 2,121 metres was carried out to follow up the previously identified north-east trending mineralized zone in the eastern half of the tenement and to cover some of the limited drilling areas to the west and north of the mineralization.

Regional drilling at the Yandil tenement led to a downgrade of the prospect after no significant results were returned.

Magellan’s future exploration programs will be focused on leveraging the results of the 2006 program by further defining resources and areas of mineralization in areas adjacent to the Magellan mine and existing tenements, expanding and exploring regional ground holdings and expanding the program to include suitable opportunities in Australia and overseas.