Pine Creek joint venture annual report.

Abstract

Geological reconnaissance in the south (Horseshoe Prospect) of EL1900 located two zones of sheeted stockwork and gossanous veins which were auriferous in nature. Soil sampling over Horseshoe prospect highlighted 3 major anomalies with a NE trend. The main soil anomaly peak (68ppb) lies over the stockwork gossan vein system north and south of Horseshoe Creek. It has a strike of 450m. Arsenic anomalism coincides with the gold anomalies. Tin is also anomalous in the Horseshoe area. Data contouring highlights the Horseshoe Creek as an alluvial source. The material being derived from the Horseshoe tin field in the west of the soil grid. Rock chip samples of the main stockwork zone returned 5m at 1.44g-t Au including 20m at 3.15g-t. The stockwork to the north of the main zone returned values to 4.70g-t. Mineralisation continues up to 200m southwest of the main zone in thin linear quartz breccia zones strike 010 degrees. 645m of RC percussion drilling undertaken in the initial phase of drilling encountered encouraging intercepts which are, however, isolated occurring predominantly in the greywacke horizons which have altered to silica sericite assemblages with quartz-pyrite arsenopyrite.