Annual report for EL 22923

Abstract

Deep Yellow Ltd (DYL) acquired EL 22923 from Tanami Exploration NL (TENL) in December 2006 after TENL downgraded the tenement's gold prospectivity. DYL assessed the area as having potential for unconformity-hosted uranium mineralisation. Work during the year has been limited to planning a drilling programme and negotiating access to conduct uranium exploration under an ILUA with the Central Land Council. EL 22923 is of interest because of its untested potential for drainage-related uranium mineralization. The ground is largely veneered by aeolian sand cover. DYL intends to drill 44 air core holes in September 2007 to be able to make an informed decision about the extent of prospective acreage. This tenement abuts outcropping granite terrain, which is a likely source of labile uranium. Calcrete host rocks are known to exist under the adjacent Burt sandplain, rendering the tenement as a whole a likely zone of secondary uranium enrichment. Locating both sand-veneered calcrete and deeper drainage channels will be the objective of DYL's scout drill program.