Batchelor Project EL 10144 'Mount Mabel', Annual Report for Period 12 March 1999 to 11 March 2000 1st Year of Tenure

Abstract

Mt Grace Resources NIL through its wholly owned subsidiary Savanna Mineral Resources Pty Ltd has been exploring the Batchelor District for magnesite for use in the manufacture of magnesium metal. A significant resource of good quality magnesite has been discovered on nearby EL. 9501. Currently the focus is on locating good quality dolomite or limestone for use as a flux in the proposed furnace process to manufacture magnesium metal. Only limited field reconnaissance has been undertaken in the first year of the licence but a thorough compilation of previous exploration has been completed. The potential for shallow carbonate appears to be limited to the central and northern parts of the EL. Reconnaissance drilling should be undertaken along three or four broadly spaced traverses where Coomalie Dolomite is interpreted to occur.