Quarterly Report - December 2007

Dear Sir/Madam

Please find attached Mining Exploration Entity Quarterly Report December 2007. At the end of the December Quarter Uranium Exploration Australia Limited (UXA) had a cash balance of $5.3 million.
UXA's cash balance has been further enhanced with the receipt of $3.45 million in January 2008, under the terms of the Farm-in Agreement executed in December 2007 with RIL Australia (RILA), a subsidiary of Reliance Industries Limited of India.

In early January the Farm-in and JV Agreement received Foreign Investment Review Board (FIRB) approval under the Foreign Acquisitions and Takeovers Act 1975 (Commonwealth of Australia), and South Australian ministerial consent pursuant to section 83 of the Mining Act 1971 (South Australia) for the SA exploration licences. Commonwealth approval and SA ministerial consent triggered cash payments from RILA to UXA of $1.15 million as payment for prior exploration data and $2.3 million earn-in to be applied towards UXA's share of future exploration expenditure.

In return, RILA received 49% undivided interest in four of UXA's exploration licences (ELs) in South Australia and will receive a 49% interest in four exploration licence applications (ELAs) in the Northern Territory (following grant to EL status).

In addition, RILA will also spend up to $9.45 million towards future exploration expenditures as its 49% ownership interest in the joint venture.

For further information, contact:


Patrick Mutz
Managing Director
URANIUM EXPLORATION AUSTRALIA LIMITED

Tel: +61 8 8363 7970
Email: info@uxa.com.au
Website: www.uxa.com.au
Media: Farrington +612 9332 4448

Appendix 5B

Mining exploration entity quarterly report

Consolidated statement of cash flows

Payments to directors of the entity and associates of the directors
Payments to related entities of the entity and associates of the related entities

Non-cash financing and investing activities

Financing facilities available
Add notes as necessary for an understanding of the position.

Estimated cash outflows for next quarter

Reconciliation of cash

Changes in interests in mining tenements

Issued and quoted securities at end of current quarter
Description includes rate of interest and any redemption or conversion rights together with prices and dates.

Compliance statement

1. This statement has been prepared under accounting policies, which comply with accounting standards as defined in the Corporations Act or other standards acceptable to ASX (see note 4).
   
   
2. This statement does /does not* (delete one) give a true and fair view of the matters disclosed.

Sign here: ............................................................ Date: ..30 JANUARY 2008............
(Director/Company Secretary)



Print name: .KEVIN LYNN.........................................

Notes

1. The quarterly report provides a basis for informing the market how the entity's activities have been financed for the past quarter and the effect on its cash position. An entity wanting to disclose additional information is encouraged to do so, in a note or notes attached to this report.
   
   
2. The "Nature of interest" (items 6.1 and 6.2) includes options in respect of interests in mining tenements acquired, exercised or lapsed during the reporting period. If the entity is involved in a joint venture agreement and there are conditions precedent which will change its percentage interest in a mining tenement, it should disclose the change of percentage interest and conditions precedent in the list required for items 6.1 and 6.2.
   
   
3. Issued and quoted securities. The issue price and amount paid up is not required in items 7.1 and 7.3 for fully paid securities.
   
   
4. The definitions in, and provisions of, AASB 1022: Accounting for Extractive Industries and AASB 1026: Statement of Cash Flows apply to this report.
   
   
5. Accounting Standards ASX will accept, for example, the use of International Accounting Standards for foreign entities. If the standards used do not address a topic, the Australian standard on that topic (if any) must be complied with.

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