Exploration licence 8718 'Mount Peake Creek' annual report on exploration for the year ended 28 August 1997

Abstract

Aberfoyle Resources Limited is currently exploring the gold potential of Exploration Licence 8718, 'Mount Peake Creek' with the Early Proterozoic sequences present on the licence seen as being potential host rocks. Mineralisation in the Granites-Tanami Province to the west is often associated with magnetic anomalies and as such Aberfoyle's exploration is directed towards the testing of such magnetic features. A Joint Venture was entered into between Aberfoyle and Western Mining Corporation (WMC) in April 1997, covering tenements immediately adjacent to EL 8718. Lengthy delays in finalising of Joint Venture terms and agreements along with thrther delays associated with transfer of past exploration data to Aberfoyle lead to a postponement of field exploration during the third year of tenure. An Aberfoyle geologist re-evaluated all data pertaining to EL 8718, including new data sourced from WMC. Subsequently a revised programme and budget were proposed which will involve comprehensive vacuum and RAB geochemical drilling of all remaining magnetic targets. Landsat Imaging - Landsat TM data was purchased for Mt Peake Creek and processed using ER Mapper software. From the Landsat image, a 'supervised classification' was performed with the aid of ground reconnaissance. Access Track Clearing - To enable rig access to the planned drill sites in the western portion of EL 8718, approximately 21.5km of new tracks were cleared by the station owners under the supervision of Aberfoyle staff. Ground Magnetic Traverses - A field crew completed and modeled seven ground magnetic traverses over proposed drill lines using two Scintrex magnetometres tracked by a differential OPS system. RAB Drilling - A total of 76 holes for 2185 metres was completed on EL 8718. RAB drilling was centred on seven lines which traversed magnetic features delineated by an airborne magnetic survey flown during the first year of tenure. Samples were submitted to Amdel Laboratories for gold and base metal assay. Rehabilitation - At the completion of drilling, each RAB hole was plugged using a plastic 'octoplug', filled with cuttings from around the collar and tamped firm. All rubbish was removed and each site left in a tidy condition.Work done by Aberfoyle in the 12 months to 28 August 1997 - As reported by Hughes and Thompson, 1996, it appears the most prospective areas to date exist along the western portion of the licence. Coincidently, Aberfoyle's Exploration Licence 8717 'Ingallan Creek' to the west shows prospective areas along the eastern margin. Investigations into this area resulted in Aberfoyle Resources entering into a Joint Venture in April 1997 with Western Mining Corporation (WMC) on Exploration Licences 7557, 7558, 7559, 8869, 8870 and 8874, collectively called the Ti Tree Project. This area falls immediately between Aberfoyle's EL 8718 and 8717, and as such Aberfoyle will manage these licences collectively. Lengthy delays in the finalising of Joint Venture terms and agreements along with fUrther delays associated with WMC passing infonnation on to Aberfoyle lead to a postponement of field exploration during the third year of tenure. Re-evaluation of all data pertaining to EL 8718 including new information acquired from WMC from exploration on adjacent tenements (geochemical sampling, airborne and ground geophysics and drilling)has lead to a revised progranmie and budget, which will involve comprehensive vacuum and RAB geochemical drilling of all remaining magnetic targets.