Forte Energy NL
AIM : FTE

October 02, 2015 02:00 ET

Operational Update

                                                                                           Forte Energy NL
                                                                                           ACN 009 087 852
                                                                                                          
                                                                                               AIM Release
                                                                                            2 October 2015

Operational Update

Forte  Energy  NL ("Forte" or "the Company") (AIM: FTE), provides the following update for shareholders  on
its activities.

Slovakia

The Company advises that it has decided to terminate the partnership agreement entered into on 31 July 2014
with European Uranium Resources Ltd ("European Uranium"). As a result, Forte has voluntarily forfeited  its
50%  beneficial  interest in Ludovika Energy s.r.o and in Ludovika Mining s.r.o, the Slovak  entities  that
held the Kuriskova and Novoveska Huta uranium projects in Slovakia.

On  16 April 2015, the Ministry of Environment in Slovakia ("Ministry") announced its intention to deny the
application  by  Ludovika  Energy to extend the existing uranium licence over the Kuriskova  deposit  area.
Ludovika  Energy  then  made  a  new application over the same area to explore  for  Rare  Earth  Elements.
Subsequently  legal  action was filed against the Ministry in relation to its decision  not  to  grant  the
extension of the Uranium Permits.

Under  the  terms  of  terms of the Joint Venture agreement, Forte is required to fund  all  ongoing  costs
including  overheads to maintain its interests. Given the above circumstances, the Company  felt  that  the
majority of expenditure in the medium term would be for administrative costs and not for the advancement of
the project.

With the uncertainty over the new licence applications and the legal action filed against the Ministry, the
Company  has decided that it would be in the best interests of shareholders to cease funding the  Slovakian
operations  and  focus  on  other  opportunities. Forte has  provided  funding  to  date  of  approximately
CAD$450,000. Accordingly the Company has exceeded its minimum funding commitment of CAD$350,000 and has  no
outstanding financial obligations under the Joint Venture agreement.

West Africa

The Company advises that it is also taking this opportunity to review its uranium exploration operations in
West  Africa.  Forte  currently  holds a number of highly prospective  uranium  exploration  licences  with
significant JORC-compliant uranium resources in the Republics of Mauritania and Guinea. However due to  the
prolonged  downturn in the uranium market and limited funding options, Forte has not undertaken significant
exploration activities on these projects for some time.

Olympic Domain

The  Company  holds  a  75% interest in the highly prospective Olympic Domain Project in  South  Australia.
Following a review of existing data, focused on the Horse Well Target where an exceptional drill target has
been  identified, plans are being finalised for an initial work programme incorporating a low cost  gravity
survey followed by the completion of a single vertical core drill hole to test the gravity target at depth.
This drill hole is estimated to be approximately 800 metres deep.

To  date only one drill hole (HWD1) has been successfully completed into the Horse Well Target. This  drill
hole only tested the centre of the magnetic anomaly and importantly failed to test the margin and centre of
the gravity anomaly, the most likely position for a higher grade haematite rich core.

HWD1  drilled by Western Mining Corporation in 1982 intersected 235 metres of copper mineralized drill core
averaging  0.11% copper. This is an exceptional drilling result and could easily represent the  peripherals
to  a larger mineralised system associated with the untested gravity anomaly. The Horse Well Target remains
one  of  the  few high quality magnetic and gravity anomalies that remain to be drill tested in  the  world
class Olympic Dam copper/uranium province.

Corporate

The Company advises that its current and former directors have agreed, subject to shareholder approval,  to
convert  their  outstanding directors' fees of more than A$350,000, accrued over the  past  2  years,  into
options.  The  options are to be granted with a three year expiry and an exercise price of 0.05  pence  per
share. Full details will be included in the Notice of Meeting for the forthcoming Annual General Meeting.

New Opportunities

In  consultation  with  its  advisors and major stakeholders, the Company is currently  in  discussions  in
relation to significant new projects that may be acquired or vended into the Company with the potential  to
provide substantial value to shareholders.


The Company looks forward in the near term to advising shareholders of any developments.




For further information contact:

Mark Reilly, Managing Director
Forte Energy NL                          Tel: +61 (0) 8 9322 4071

Oliver Morse
RFC Ambrian Ltd                          Tel: +61 (0) 8 9480 2500
(AIM Nominated Adviser to the Company)


Forte Energy NL

Suite 3, Level 3
1292 Hay Street
West Perth WA 6005
Ph: +61 (0)8 9322 4071
Fax: +61 (0)8 9322 4073
Email: info@forteenergy.com.au
Web: www.forteenergy.com.au

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  • Forte Energy NL