The Geology and Uranium Mineralization of the Laguna Salada Project, Chubut Province, and exploration strategies for exploration of earlier-stage properties in Argentina Richard M. Spencer P. Geo, PhD Richard Cleath MSc March 23, 2010 NI 43-101 Technical Report: Laguna Salada Uranium Project & exploration strategies for other exploration concessions held by Mega Uranium Ltd. in Argentina. March 2010 Table of Contents 1 Summary .................................................................................................................. 9 1.1 Laguna Salada Project ...................................................................................... 9 1.2 Cerro Solo East Project ................................................................................... 10 1.3 Other Properties .............................................................................................. 11 2 Introduction ............................................................................................................ 12 3 Reliance on Other Experts ..................................................................................... 12 4 Property Description and Location.......................................................................... 13 4.1 Area of the Principal Properties ....................................................................... 13 4.2 Property Application Process .......................................................................... 13 4.2.1 Exploration Concessions (Cateos) ........................................................... 14 4.2.2 Mining Concessions (MDs) ...................................................................... 14 4.3 Maintenance of a Concession ......................................................................... 14 4.3.1 Exploration Concessions (Cateos) ........................................................... 14 4.3.2 Mining Concessions (MDs) ...................................................................... 14 4.4 Mineral Concessions Comprising Mega’s Principal Projects in Argentina ........ 15 4.4.1 Laguna Salada Project ............................................................................. 15 4.4.2 Cerro Solo East Project ............................................................................ 15 4.5 Location of Mineralized Zones Relative to the Properties ................................ 18 4.6 Royalties and Other Encumbrances ................................................................ 18 4.7 Other Required Permits & Environmental Liabilities ........................................ 20 4.8 Provincial Restrictions on Mining and Processing in Argentina........................ 21 4.8.1 Chubut Province ...................................................................................... 21 4.8.2 Mendoza Province ................................................................................... 21 4.8.3 Santa Cruz Province ................................................................................ 22 4.8.4 Salta Province .......................................................................................... 22 4.8.5 Catamarca Province ................................................................................. 22 4.8.6 San Luis Province .................................................................................... 23 5 Accessibility, Climate, Local Resources, Infrastructure and Physiography ............. 23 5.1 Topography, Elevation and Vegetation ............................................................ 23 5.2 Access ............................................................................................................ 24 5.3 Climate ............................................................................................................ 25 6 History .................................................................................................................... 25 6.1 Laguna Salada Project .................................................................................... 25 6.2 Cerro Solo East Project ................................................................................... 25 7 Geological Setting .................................................................................................. 26 7.1 Laguna Salada Project .................................................................................... 26 7.1.1 Regional Geology .................................................................................... 26 7.1.2 Geology of the Laguna Salada Project ..................................................... 28 7.2 Cerro Solo East Project ................................................................................... 29 7.2.1 Regional Geology .................................................................................... 29 7.2.2 Geology of the Cerro Solo East Project Area ........................................... 29 8 Deposit Types ........................................................................................................ 30 8.1 Surficial Uranium Deposits .............................................................................. 30 8.2 Sandstone-Hosted Uranium Deposits ............................................................. 31 9 Mineralization ......................................................................................................... 32 9.1 Laguna Salada Project .................................................................................... 32 2 NI 43-101 Technical Report: Laguna Salada Uranium Project & exploration strategies for other exploration concessions held by Mega Uranium Ltd. in Argentina. March 2010 9.1.1 Guanaco Area .......................................................................................... 32 9.1.2 Lago Seco Area ....................................................................................... 33 9.1.3 Buried Lake Area ..................................................................................... 34 9.2 Cerro Solo East Project ................................................................................... 34 10 Exploration ......................................................................................................... 34 10.1 Responsibility for Exploration .......................................................................... 34 10.2 Laguna Salada Project .................................................................................... 34 10.2.1 Guanaco Area .......................................................................................... 35 10.2.2 Lago Seco Area ....................................................................................... 36 10.2.3 Buried Lake Area ..................................................................................... 43 10.3 Cerro Solo East Project ................................................................................... 44 11 Drilling ................................................................................................................ 44 11.1 Laguna Salada Project .................................................................................... 44 11.2 Cerro Solo East Project ................................................................................... 44 12 Sampling Method and Approach ......................................................................... 48 12.1 Laguna Salada Project .................................................................................... 48 12.1.1 Area Sampled .......................................................................................... 48 12.1.2 Nature of the Mineralization ..................................................................... 48 12.1.3 Sampling Procedure ................................................................................. 51 12.1.4 Accuracy of Sampling and Potential for Sample Bias ............................... 53 12.1.5 Use of Reference Materials and Field Duplicate Samples ........................ 53 12.1.6 Density Measurements ............................................................................ 53 12.2 Cerro Solo East Project ................................................................................... 53 12.2.1 Nature of the Mineralization ..................................................................... 53 12.2.2 Sampling Procedure ................................................................................. 54 12.2.3 Accuracy of Sampling and Potential Bias ................................................. 54 13 Sample Preparation, Analysis and Security ........................................................ 55 13.1 Laguna Salada Project .................................................................................... 55 13.1.1 Responsibility for Sampling and Sample Security .................................... 55 13.1.2 Sample Preparation and Assay ................................................................ 55 13.1.3 Quality Assurance and Quality Control (“QAQC”) ..................................... 55 13.1.4 Adequacy of Sampling, Security and Analytical Procedures ..................... 59 13.2 Cerro Solo East Project ................................................................................... 59 13.2.1 Responsibility for Sampling and Sample Security .................................... 59 13.2.2 Sample Preparation and Assay ................................................................ 59 13.2.3 Quality Assurance and Quality Control ....................................................