EL 23146 Litchfield 2, Litchfield Project NT Annual Report year ended 2 June 2004

Abstract

This first Annual Report summarises the work carried out on Exploration Licence 23146 (Litchfield 2), Litchfield Project, Northern Territory during the annual period ended 2 June 2004. Exploration work by BHPB is directed at exploration for magmatic Cu-Ni deposits (eg Voiseys Bay, Jinchuan) associated with post-tectonic, mafic-ultramafic intrusions into the Litchfield Province. The Litchfield Province is interpreted to be an extension of the Halls Creek Mobile Belt. Numerous small Cu-Ni prospects occur scattered along the Belt, with the best example being Sally Malay (Resource 3.74 Mt @ 2.2% Ni equivalent. Source: Open Briefing to ASX by Sally Malay Mining, January 2004). During the reporting period, BHPB completed an appraisal and compilation of open-file data. BHPB also entered advanced negotiations with a potential partner to progress the project. Those negotiations have not been concluded and BHPB is planning to sole fund further work on the Exploration Licence. Exploration work in the Litchfield Project area is aimed at discovering magmatic Cu-Ni mineralisation (e.g. Voiseys Bay, Jinchuan). EL 23146 is located in the Litchfield Province, the northern continuation of the Halls Creek Mobile Belt, a 1950-1820 Ma volcano-sedimentary package intruded by voluminous syn- and post-tectonic mafic-ultramafic and granitic bodies. Numerous small PCN prospects occur scattered along the Belt, with the best example being Sally Malay (Resource 3.74Mt @ 2.2% Ni equivalent. Source: Open Briefing to ASX by Sally Malay Mining, January 2004). The Litchfield Province contains a similar host sequence, although the amount of mafic intrusives is less. Nonetheless, the Wangi Basics (the mapped mafic suite of the Litchfield Province) range in composition from peridotites through to evolved end members such as diorites and quartz gabbros. In the northeast corner of the Port Keats 1:250,000 sheet, the basic bodies are strongly magnetic, which may imply early oxidation through significant crustal contamination. EL 23146 covers a number of N-S trending magnetic bodies occurring along a major N-S trending fault zone. There is no outcrop over the magnetic bodies, however, they are interpreted as dyke-like mafic feeders and considered to be prospective for Voiseys Bay and Jinchuan style copper-nickel mineralisation. The structural setting of this area is also considered highly prospective. Work completed by BHPB during the reporting period has included an appraisal and compilation of historical exploration work and desk-top studies of open-file data sets. No ground work has been completed. Land access negotiations with the Northern Land Council are ongoing.