Replies to post #7 on Eritrea Resource play (ERP)

[Tackler]

DRA ZARA GOLD PROJECT
The Zara Gold Project consists of 196 square kilometres of exploration permits in the North East African nation of Eritrea. The project tenements are located in the northern highlands of Eritrea on the Zara River and encompass several areas of artisanal gold workings. Chip and channel samples from surface materials and from within the workings have returned high-grade assay results. Of 171 samples taken, a total of 63 returned assays in excess of 1 g/t gold and of these, 20 returned assays in excess of 30 g/t gold, with a peak value of 1,185 g/t gold.

During the year Dragon reached agreement with Australian Stock Exchange listed Sub Sahara Resources, whereby Sub Sahara could earn up to 70% of Dragon’s 66.6% interest.