Report on EL 4759 Watts Creek 1986-1987 & activities to 30-11-1987

Abstract

This report is an evaluation of the work done by Dominion Mining Ltd on the 9 blocks of EL 4759 known as WATTS CREEK, during 1987. EL 4759 was granted 26th August 1986 to MINERAL RESOURCES CORPORATION PTY LTD with whom DOMINION entered into a farm-in agreement on 24th February 1987 whereby DOMINION Is the manager and may acquire up to 70% interest (alluvials excluded). Title has subsequently been transferred to Kable Resources Pty Ltd. Dominion has completed a program of photo-geological mapping. semi-detailed field mapping and sampling, minor gridding, RC drilling of 5 holes for 354m, and detailed mapping and sampling of pre-existing costeans. Gold mineralisation has been located hosted by quartz reefs and associated stockwork on an anticlinorium comprising Wildman Siltstone units in a Southern Stockwork Zone (SSZ). Following the anticlinorium northwest downplunge for a distance of 4 kms to the Koolpin Formation intruded by several sills of Zamu Dolerite, further areas with gold mineralisation in stockwork veining have been identified. Two of the drill holes in the SSZ intersected subeconomic mineralisation, namely: WC2 : 6m @ 2.07 g/t from 1m depth; and WC3 : 4m @ 2.10 g/t from 24m depth.

An economic resource could possibly be outlined with further drilling along this 4km strike zone. Old alluvial workings in several valleys draining front this anticlinorium ridge further indicate pretence of gold mineralisation over a lengthy strike zone.

Exploration Activity proposed by Dominion for 1988 focuses on better defining the stockwork zone, initially by further mapping, costeaning and sampling, to be followed by drilling of selected target areas. The potential for additional gold mineralisation to be located elsewhere within EL 4759 will be tested by following up geochemical anomalies from the 1987 program, and further mapping and sampling.