Promontorio

• Detailed geological mapping and surface sampling continued on the Promontorio group of tenements with new vein systems identified.
• At the Creston Colorado prospect, the epithermal vein system has been defined over a one kilometre strike length with individual veins up to 20 metres thick. Drill targets identified with drilling planned for the March 2010 Quarter.
• A second epithermal gold-silver vein system identified at the Sehue prospect, located two kilometres east of Creston Colorado, returning grades up to 3.6g/t gold & 26g/t silver. Further exploration to define drill targets will be undertaken next Quarter.
• Several new mineralised structures identified around the Promontorio deposit. Drill testing of these targets is planned for the March 2010 Quarter.

La Tortuga Joint Venture

• Six hole (2,245m) diamond drilling program completed and assays received.
• Porphyry copper and skarn copper-zinc mineralisation intersected.
• Best intercept of 26.9m @ 0.5% copper, 0.4% zinc & 12g/t silver returned from a depth of 130.0m, within an overall interval of 159.6m @ 0.2% copper and 0.2% zinc from surface.
• Encouraging results to be followed up by further evaluation of the geology and geochemistry to assist with vectoring in to higher grade areas of the porphyry system.
• Sole-funding by JOGMEC of US$3.0 million exploration expenditure over 3 years will earn it a 51% interest in the La Tortuga and Los Nidos properties (both currently 100%-owned by Azure).

Corporate

• Successfully completed a $1.0 million capital raising.
• Review of project portfolio underway, specifically targeting proposals which would allow Azure to apply greater exploration resources to a number of prospects.