Ninth annual report for EL 5418 (Rabbit Flat East), for the year ending 2-05-1998

Abstract

This report describes the exploration activities and results obtained from EL 5418 during the ninth year of tenure. Work focused on the Windy Hill area with both substantial RC and diamond drilling at the Minotaur deposit and the Chimaera mineralised prospect.

Exploration at Minotaur has not significantly increased the potential of the deposit, as first indicated by early Normandy NFM work. It has nevertheless demonstrated that increases to the currently defined resource can be made along strike and at depth.

The nearby Chimaera prospect has the potential to yield additional ounces to the Windy Hill project. A single costean intersected 3m @ 1.43 g/t, 5m @ 2.13 g/t, 5m @ 5.61 g/t and 3m @ 5.17 g/t. RC drilling also provided encouragement with returning 7m @ 5.35 g/t, 17m @ 2.77 g/t and 13m @ 3.07 g/t. However, limited diamond drilling failed to locate mineralisation at depth.

The prospectivity of the Cerberus prospect was downgraded after RC drilling and further costean excavations failed to identify any strike length extensions to previously defined mineralisation. On the other hand, at Four Corners some encouragement was gained from lag sampling over the western portion of the area. The prospectivity of the eastern area was downgraded after investigation of previous drill chips revealed lithologies other than those logged.