Snake Well Joint Venture Document date: Thu 05 Jun 2003...

Snake Well Joint Venture

Document date: Thu 05 Jun 2003 Published: Thu 05 Jun 2003 10:15:43
Document No: 238508 Document part: A
Market Flag: Y
Classification: Progress Report
GIRALIA RESOURCES NL 2003-06-05 ASX-SIGNAL-G

HOMEX - Perth

+++++++++++++++++++++++++
* coarse gold indicated by Screen Fire Assays, intersected grades
enhanced

* follow up drilling planned for mid June 2003

The Directors of Giralia Resources NL are pleased to report that
Screen Fire Assaying has enhanced intersected grades and indicated
the likely presence of significant coarse particulate gold in drill
samples from the Mixy lode at the Snake Well Joint Venture in Western
Australia. Mount Isa Mines Ltd ("MIM") can earn a 60% interest in the
Snake Well project through expenditure of $3 million over the next 5
years.

Gold mineralised 4 metre composite samples from drilling completed
last month at Snake Well were riffle split in 1 metre intervals and
analysed by both 50 gram aqua regia digest AAS determination, and
500 gram Screen Fire Assays. There is significant variation between
results from the two analytical methods, with Screen Fire Assay
grades averaging almost 50% higher than aqua regia digest analyses. A
large proportion of the gold in mineralised intercepts reported to
the coarse (+75 micron) fraction, indicating the presence of
significant particulate gold.

INTERSECTION G/T AU
HOLE NO FROM TO
(METRES)(METRES) AQUA REGIA-AAS SCREEN FIRE ASSAY %
UPGRADE

Mixy RCRW045 69 83 14m @ 0.93 14m @ 1.57 69%
Mixy RCRW046 68 80 12m @ 2.09 12m @ 3.07 47%
Mixy RCRW047 64 80 16m @ 1.53 16m @ 1.92 25%

* intersections calculated using a 0.5 grams per tonne gold (g/t Au)
lower cut-off grade, with up to 3 metres of included internal
dilution

These 3 holes, along with previous intersections of 14 metres @ 9.95
g/t Au and 13 metres @ 5.08 g/t Au, define a 150 metre long, steeply
dipping mineralised zone at Mixy, open along strike and at depth.

Follow up drilling to test strike extensions is planned for mid June
2003. Drilling will also better define extensive near surface
laterite mineralisation at Snake Well to allow preliminary resource
estimation.

R M Joyce
DIRECTOR

The information in the above announcement was compiled by R M Joyce,
who is a Member of the AusIMM, with not less than 5 years
experience in the relevant fields, and who consents to the report
appearing in the form and context in which it appears.