Partial relinquishment report for EL 10216 'Solitaire Project', from 27th September 2000 to 26th September 2004

Abstract

EL 10216 is part of the Solitaire Project. The tenement was granted to Tanami Exploration NL (TENL), a wholly owned subsidiary of Tanami Gold NL (TGNL) on 27 September 2000. A compulsory partial surrender was completed in 2004, whereby 229 blocks were relinquished and 60 blocks retained.

Exploration on the relinquished area is the subject of this report. Goldfields Australasia Pty Ltd (GFA) joint ventured into the Solitaire Project in 2000 and carried out extensive Aircore / RAB drilling, lag and rockchip sampling and aeromagnetic, radiometric and digital elevation surveys over EL 10216. In excess of 20,000 metres of drilling was completed, but no significant mineralisation was located and GFA withdrew from the joint venture in 2001. TENL reassessed this drilling, particularly several of the low-order gold anomalies. Aircore drilling tested the northwestern anomaly and the best result returned was 7 ppm Au in SLA054 from silcrete within the transported profile. Re-assaying and re-logging returned 1 m at 19 ppb Au from 26m, coinciding with 20% vein quartz and suggesting an indeterminate residual or transported origin. A total of 146 lag and 9 rockchip samples were collected from the relinquished area. There were no significant gold or multi-element assay results from either the lag or rockchip samples on the surrendered tenement area. A total of 499 RAB holes for 18167 metres and a total of 59 aircore holes for 2443 metres were drilled on the relinquished tenement portion. Samples were submitted to Amdel Laboratories Ltd (Amdel) in Alice Springs where they were prepared before being sent to their laboratory in Adelaide for analysis of Au, Cu and As. In addition to the three metre composite sampling, near surface BLEG and lag samples were collected from each of the widely spaced reconnaissance holes and from the 80 metre spaced infill holes at a spacing of about 500 metres. The samples were generally collected near the top of each hole beneath the aeolian sand cover. The lag represented +3mm material and the BLEG samples weighed approximately 2 kg of -40# material. The drill derived lag samples were processed in the same manner as the surface lags samples. The results from the drill programs were very disappointing with no significant intercepts returned.