Crocodile Gold Inc.

Crocodile Gold Inc.

September 28, 2009 08:30 ET

Spectacular Uranium Intersections Up to 1 Metre of 20.3% U3O8 on Crocodile Gold, Northern Territory, Australia Properties

TORONTO, ONTARIO--(Marketwire - Sept. 28, 2009) - Crocodile Gold Inc. today announces uranium drill results previously announced by its joint venture partner, Thundelarra Exploration Ltd ("Thundelarra") on certain properties located 140 kilometres south of Darwin in the Northern Territory of Australia, and is termed the Thunderball uranium prospect by Thundelarra. The location of Thunderball can be viewed in Figure 1 below. Crocodile Gold has an agreement with Thundelarra, signed in September 2007, in which Thundelarra has the right to explore for uranium on certain Crocodile Gold tenements while Crocodile Gold retains all other metal rights including precious metals and base metals. Thundelarra has a 70% interest until development and must spend a minimum of AUS$500,000 per year for the first three years, and has the right to apply for a mining tenement on behalf of the joint venture. Crocodile Gold has a 30% free carried interest until development through the agreement with Thundelarra.

Highlights from the assays include 15 metres of 1.5% U3O8 including 1 metre of 20.3% U3O8 (448 lbs/t) in drill hole TPCRC019 which represents the best intersection received to date and, according to Thundelarra, is among the highest grade uranium intersections ever announced in Australia.

Thundelarra is also encouraged by an intense zone of mineralization intersected in drill hole TPCDD026 although assays are yet to be received. Assays were received from four reverse circulation drill holes completed in August at the Thunderball uranium prospect and can be viewed in Table 1 below.

Table 1: Thunderball Drill Results

Hole No Easting Northing Dip/Az From (m) To (m) Interval (m) U3O8 Zone
TPCRC019 772721 8501486 -85/129 139 154 15 1.5%
includes 139 140 1 20.3%
TPCRC020 772764 8501503 -85/134 11 26 15 128 ppm Upper
TPCRC021 772758 8501510 -85/314 39 57 18 109 ppm Upper
TPCRC022 772757 8501510 -75/314 56 66 10 541 ppm Upper

Mineralization at Thunderball appears to be shear hosted and consists of massive veins and disseminated uraninite (pitchblende). The mineralized zone plunges to the north at approximately 40 degrees and remains open down plunge. The drilling to date has characterized Thunderball as having broad widths of stronger mineralization with visible secondary uranium minerals overlain by anomalous but lower grade material near surface. At depth, high grade mineralization has been intersected displaying primary uranium minerals within a well developed shear zone. The drill results demonstrate this transition from shallow low grade uranium to high grade primary mineralization at 80 to 100 metres below surface. Mapping shows that the mineralization lies close to the core of a moderately north-northwest plunging anticline in the Mt Bonnie Formation metasediments.

The northern area of Thunderball has returned the best results from drilling and appears to have continuity and remains open at depth. Thundelarra plans to drill additional holes to further test the potential and extent of the uranium mineralization.

The drill results in this press release were announced by Thundelarra in a press release dated September 25, 2009. Additional information can also be found in Thundelarra press releases dated September 2, 2009, August 3, 2009 and July 21, 2009 and on the Thundelarra website at

To view Figure 1, the Thunderball Uranium Prospect Location Map, please visit the following link:

About Crocodile Gold

Crocodile Gold is a Canadian company that recently completed the acquisition of a number of past producing gold assets in the Northern Territory of Australia from GBS Gold. These assets are held through its 100% owned subsidiary Crocodile Gold Australia Pty Ltd. The assets comprise the Burnside Project, Tom's Gully Project and Maud Creek Project, in addition to others, covering an area of greater than 3,500 square kilometres and located approximately 90 to 285 kilometres south of the capital city, Darwin. The Burnside Project includes the Brocks Creek underground mine, the Chinese open pit mine and several additional deposits along the Cosmo/Chinese corridor, including the undeveloped Cosmo underground deposit. The Tom's Gully Project includes the Tom's Gully underground mine. Crocodile Gold also operates the 8,000 tpd Union Reefs mill and the 800 tpd Tom's Gully mill.

Proposed Reverse Take-over Transaction with Franc-Or Resources

Crocodile Gold and Franc-Or Resources ("Franc-Or"), a TSX-listed company (TSX:FOR), entered into a binding letter of intent on August 6, 2009 and signed a definitive business combination agreement on September 21, 2009 pursuant to which Franc-Or will acquire all of the issued and outstanding shares of Crocodile Gold through a proposed reverse take-over transaction. Prior to the completion of the transaction, Franc-Or will complete a consolidation of its issued and outstanding common shares on the basis of one new Franc-Or common share for each 6.3 existing Franc-Or common shares. The transaction is expected to be completed in early November 2009. The name of the new company will be changed to Crocodile Gold Corp.

Cautionary Note

Certain information set forth in this press release contains "forward-looking statements", and "forward-looking information under applicable securities laws. Except for statements of historical fact, certain information contained herein constitutes forward-looking statements which include management's assessment of Crocodile Gold's future plans and operations and are based on Crocodile Gold's current internal expectations, estimates, projections, assumptions and beliefs, which may prove to be incorrect. Some of the forward-looking statements may be identified by words such as "expects" "anticipates", "believes", "projects", "plans", and similar expressions. These statements are not guarantees of future performance and undue reliance should not be placed on them. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause Crocodile Gold's actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to: liabilities inherent in mine development and production; geological, mining and processing technical problems; Crocodile Gold's inability to obtain required mine licenses, mine permits and regulatory approvals required in connection with mining and mineral processing operations; competition for, among other things, capital, acquisitions of reserves, undeveloped lands and skilled personnel; incorrect assessments of the value of acquisitions; changes in commodity prices and exchange rates; currency and interest rate fluctuations; various events which could disrupt operations and/or the transportation of mineral products, including labour stoppages and severe weather conditions; the demand for and availability of rail, port and other transportation services; and management's ability to anticipate and manage the foregoing factors and risks. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Crocodile Gold undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking statements.

The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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