Ormonde’s extensive gold properties in western Spain have the potential to host significant gold resources as highlighted in a Geological Report prepared by independent consultants CSA Global (UK) Ltd (“CSA Global”), which outlines significant gold potential and recommends priority drilling targets on the main prospects identified to-date.

The Report indicates that Ormonde’s Salamanca permit area incorporates all the major features of classic intrusion related gold systems (“IRGS”). Such systems host a considerable number of large scale, lower grade gold deposits in various parts of the world, including Mokrsko in the Czech Republic (>3.2 Moz), Dublin Gulch, Yukon (3.9 Moz) and Fort Knox, Alaska (3.8 Moz).  The CSA report comments that:

• “The scale of the sheeted vein systems in the western part of the Salamanca block, covering a total area of some 10km2, suggests that a major (gold) mineralising system has been uncovered by Ormonde, only part of which has been tested to-date”.

• “Work to date at the Dora Prospect suggests the presence of a large gold system.  Limited drilling (2 holes), testing a broad geochemical anomaly, has revealed a new, large-scale sheeted vein system ...”.

• “A number of sheared quartz vein systems associated with exceptionally high gold grades have been identified by Ormonde in the eastern part of the Salamanca permit block.  Most of these targets are untested by drilling”.

• “Should follow-up exploration be successful, and considering the scale of comparative type known deposits, then Ormonde’s Salamanca permit block could prove to be a district with multi-million ounce gold potential”.

Location:
Salamanca and Zamora Provinces, Castilla y Leon Region, Western Spain, approximately 70 km west of the city of Salamanca and 350 km west-north west of Madrid.

Ownership:
Ormonde has earned a 90% interest in nine investigation permits in Salamanca Province, totalling approximately 360 sq kilometres through a joint venture with Siemcalsa (10%), a regional, partially state-funded company. These permits are held by Saloro S.L., a wholly-owned Ormonde subsidiary and by Siemcalsa.  Saloro also holds a 100% interest in two permits in the Zamora Province covering a total area of approximately 50 sq kilometers (containing the Pino de Oro Prospect).  All the permits are issued for an initial period of 3 years, renewable for further periods of 3 years upon submission of work programmes to the regional authority, the Junta de Castilla y Leon.

Ormonde considers the Salamanca-Zamora area to be one of the most prospective gold terrains in Spain and is targeting gold mineralisation associated with granites intruded into a variable sequence of meta-sediments.  The permits cover mineral prospects and occurrences with potential for high-grade vein-hosted and large, bulk tonnage low-grade deposits.

Drilling has been carried out on the most advanced targets in the Salamanca permit area, which has successfully intersected gold mineralisation.

Current Status: Initial drilling on targets defined by geological and geochemical field work.

The first drilling and trenching on a new prospect termed “Dora” on Ormonde’s Salamanca Gold Project in Western Spain has returned very encouraging wide gold intersections in a sheeted vein system.

• The Company identified its ground holdings in Salamanca as having potential to host large, granite-related gold systems and Dora has all the characteristics of such a system.  The first hole on Dora, drilled on a gold-in-soil geochemical anomaly some 800m long by 400m wide, returned gold over a 62 metre interval averaging 0.5 g/t (from 32 m depth), within a newly-defined sheeted vein system.  A second hole drilled down-dip of he first returned183m grading 0.2 g/t gold (from 38 m depth);

• A trench excavated across the part of the anomaly tested by this drillhole returned 25 metres grading 1.0 g/t gold within a broad zone of 57 metres averaging 0.7 g/t gold;

• Gold occurs as continuous mineralisation within wide zones of sheeted quartz veining of a broadly similar nature to the extensive systems hosting large, low-grade, granite-related gold deposits.

These thick gold intersections are deemed by the Company to be extremely encouraging; neither the trench nor the drillhole established the boundaries of the mineralised system and further drilling will be carried out to establish the extent and average grade of this system.  The style of sheeted quartz veining with an associated Ag-As-Bi-Sb geochemical signature and the considerable thickness of the gold mineralisation, are broadly similar to that seen in certain large tonnage gold deposits in other parts of the world (these include Dublin Gulch with a grade of 0.9 g/t gold – under evaluation; and Fort Knox with a grade of 0.8 g/t gold – in production, both in North America).

Current Status: Follow up drilling on multiple vein target defined by previous drilling.

Drilling has been carried out on the Pino de Oro gold prospect in the Zamora Province, where previous drilling by Spanish government agencies in the 1990s intersected high-grade gold mineralisation, with better intersections including 1.0m grading 65.8 g/t and 10.7m grading 3.7 g/t gold on the El Facho and La Solana structures.  Drilling by Ormonde in 2007 confirmed the previous government drilling with intersections including 1.0m grading 18.9 g/t, 1.0m grading 16.6 g/t and 3.0m grading 4.3 g/t gold.  The results of Ormonde's drilling programme were reported in August 2007 (see press release for details and table of results).  All drilling to-date has defined mineralisation over a strike length of 500 metres varying in width from 1m to 11m with grades ranging from 1.6g/t to 66g/t.  This is considered a very prospective target and this, coupled with some positive initial gold metallurgical testwork and presence of several other untested structures, will ensure that Pino de Oro will be the priority for Ormonde's gold exploration programmes.

Other Prospects Include:

Can: drilling by Ormonde on this sheeted vein system located within 3 kilometres of Dora intersected a regularly veined system greater than 50m wide; the widely spaced nature of individual veins resulted in a best interval of 0.5 g/t gold over 16.0m (from 22m depth; Hole SC-2).

Saturno: drilling in the 1980s of this quartz vein system returned a best interval of 10m grading 2.1 g/t gold (from 127m depth in hole SAT-1) including one metre grading 12.9 g/t gold.

Bollo: historic sampling of sulphide-bearing, vuggy quartz on dump material returned an average grade of 8.3 g/t gold from 30 samples, with a maximum value of 58.6 g/t gold.  This material was mined from a series of narrow quartz veins.  No drilling has been carried out.