First Annual Report for EL 5304 Tennant Creek Project

Abstract

Lag sampling over a small portion of the exploration licence defined a broadgold/bismuth anomaly, the core of which was tested by six reverse-circulation drill holes. Two, near ore-grade intersections, were recorded from quartz and hematite impregnated shear zones within Carraman Formation sediments. Additional sampling and drilling are planned for next year. Conclusions and Recommendations Lag sampling over a small portion of the exploration licence has demonstrated the effectiveness of the technique as a geochemical reconnaissance tool in the Tennant Creek environment. A broad gold-bismuth anomaly up to 1 km long and 400 m wide has been defined over the International prospect. Six RC holes drilled near the centre of this anomaly returned two near ore-grade intersections at shallow depths, both associated with quartz and hematite stringers within sheared Carraman Formation sediments.

It is recommended that lag sampling at 200 m by 50 m spacing be extended to cover the whole of the exploration licence next year, with close spaced soil and/or lag sampling over the International prospect and any other anomalies defined. Additional drilling is also required to determine the geometry and possible continuity of mineralization intersected to date, and to test the strike extensions.