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The Texas Silver Project comprises an approximate 275 square kilometre portfolio of mining, resource and exploration assets located near the town of Texas, approximately three hours south-west of Brisbane in south-east Queensland.

The Project includes the Twin Hills Mine (currently on Care & Maintenance), the Silver Spur Project and the Mt Gunyan Project. Alcyone is currently undertaking a review of all geological data and it is anticipated that a resource model will be announced to the market in the first quarter of 2010.

The Company’s current aim within the broader project area is to evaluate the potential to recommence mining at the Twin Hills Mine, as well as undertaking exploration work to establish additional feed for any future heap leach operation.

The project area contains various styles of mineralisation with the two best understood being:

• silver (+/-gold) epithermal/mesothermal deposits (such as Twin Hills and Mt Gunyan), which are amenable to heap leach treatment; and

• zinc-lead-silver (+/- copper and gold) lithological and structurally controlled massive sulphide deposits (such as Silver Spur) suitable for extraction by more traditional method.