Austpac Resources N.L. has carried out a review of the Zinc & Iron Recovery Process ("ZIRP") following the results of the two melt tests conducted by the CSIRO. The first melt test, which was reported earlier this year, demonstrated that a clean iron product with very few impurities could be produced. This product is ideal for making high purity pig iron for use in foundries. The second melt test, which was carried out recently, was to evaluate the quality of the zinc oxide product. The Company reported that the zinc oxide content in the product was 87%, which is well above the 60% that is required for a saleable product for zinc metal production. The tests carried out by the CSIRO have demonstrated that the ZIRP process is capable of processing two steel mill waste products, zinc contaminated furnace dust and spent pickle liquor, and transforming them into three separate saleable products; pig iron, HCl and zinc oxide. Nevertheless, the test work carried out by the Company late last year at its Newcastle plant demonstrated that there are still some areas in the process which need further refinement before committing to a commercial plant. In consultation with industry participants and the steelmakers who have carried out analysis of the process, it has been recommended that a pilot plant needs to be constructed that can run continuously for a period of 6 to 12 months before a commercial plant should be constructed.