Positive results from a further 11 drill holes at the Agata nickel laterite project in the Philippines are considered by Mindoro Resources to form a sound basis for fast-tracking the project.

The underlying saprolite horizon averages 1.13% nickel over an average thickness of 7.01 metres. Mineralization thicknesses exceed expectations and tonnage of material greater than 1% nickel is expected to be nearly double the original target projection for these two sections.

Five coring drill rigs are operating on the Agata project with the objective of defining a NI 43-101 compliant resource adequate, initially, for three to five years of production at a rate of 500,000 to 700,000 wet metric tonnes per annum of direct shipping-grade material for the very high demand ferro-nickel markets of China, India and Korea.

Mindoro has a target production date of the first half of 2008. Haul road designs have been completed and the Environmental Compliance Certificate is in progress.

The nickel laterite prospect is on the Agata Project, Surigao Gold District, northern Mindanao, Philippines. There are several nickel laterite mines in production in the Surigao District, providing direct shipping-grade ore to markets and processing plants in China, Japan, Korea and Australia.