Finders updates Wetar copper project

The following is an edited excerpt from Australian mining firm Finders Resources Limited?s quarterly report ended 30 Sept. 2009 on Wetar project released on Friday.

Wetar Copper Project, North Maluku
Finders Resources Limited ~93%

Definitive Feasibility Study (DFS)
The DFS by the lead consultant, Ausenco, is functionally complete and confirms the validity of the project.

The progress of the DFS has relied on information generated from the demonstration plant. Additional test work was undertaken to confirm and add acid neutralisation methodology into the DFS. This was undertaken at HRL?s laboratories in Brisbane utilising abundant supplies of limestone from Wetar Island in close proximity to the project. This test work has been successful and neutralisation capacity added into the DFS. The length of time to undertake this work has been a major contributor to delays.

The DFS is undergoing peer review with Ausenco and Finders. Details will be released after a review by the Company?s Board of Directors in the first week of November 2009.

The basic development philosophy is as previously advised and encompasses three stages, each of which are subject to permitting and finance:

? Stage 1 comprising an expansion of the demonstration plant to up to 5,000 tonne per year with the whole of this stage being contained within the environmental footprint of the previous gold mining operation;

? Stage 2 comprising the relocation and commissioning of the Whim Creek SX-EW plant to add a further 18,500 tonnes per year cathode capacity to the project; and

? Stage 3 comprising haulage of ore from the Lerokis deposit to the leach pads at Kali Kuning to maintain ~23,000tpa copper cathode production from both SX-EW plants.

Post completion of the DFS, Finders will undertake further work to make the study fully bankable. In particular, the following areas have been identified to enable further optimization of mine scheduling and associated capital costs:

? Review of earthworks and heap leach pad designs;

? Additional geotechnical drilling on the eastern pit wall at Kali Kuning to optimise the materials balance for waste dumps which provide the foundations for the heap leach pads;

? Tender of earthworks contracts to Indonesian-based contractors.

Pending final publication of the DFS, the Company envisages that capital costs per tonne of annual production will be low compared to other copper projects and that operating costs will be close to the global average for all copper producers.

Wetar Copper Ore Reserves
Finders is pleased to report the following ore reserves, independently assessed by Australian Mine Design & Development Pty Ltd (AMDAD) and in accordance with the JORC Code:

Wetar Copper Reserves
?	Category	Tonnes (m)	Grade % Cu	Contained Copper (kt)	Contained Copper Attributable to Finders (94%) (Kt)
Kali Kuning Pit	Proved	4.91	2.5	123	116
	Probable	0.85	2.2	19	18
	Sub-Total	5.76	2.5	142	133
	?	?	?	?	?
Lerokis Pit	Proved	2.05	2.4	49	46
	Probable	0.37	2.3	9	8
	Sub-Total	2.42	2.4	58	55
	?	?	?	?	?
Combined	Proved	6.96	2.5	172	162
	Probable	1.22	2.2	28	26
	Total	8.18	2.5	205	193

100% project basis. The tonnes and grades are stated to a number of significant digits reflecting the confidence of the estimate. Since each number and total is rounded individually the columns and rows in the above table may not show exact sums or weighted averages of the reported tonnes and grades.

These Reserves were estimated using a cut-off of 0.5% copper for two pits at Kali Kuning and Lerokis with an overall waste to ore ratio of 0.98. The results represent a 94% and 97%% conversion of Measured and Indicated Resources to Reserves at Kali Kuning and Lerokis respectively, and form the basis for the production schedules used in the DFS. (end of edited excerpt)