Partial relinquishment report for EL 22625 'Hale River', from 6 December 2001 to 5 december 2004

Abstract

EL 22625 'Hale River' forms part of the Winnecke Project, which is situated in Central Australia about 65 kilometres northeast of Alice Springs. Access is provided via the Stuart Highway and Ross Highway. EL 22625 was granted on 6 December 2001 to Tanami Gold Exploration (TENL), a wholly owned subsidiary of Tanami Gold NL (TGNL), a publicly listed company. After three years of tenure the tenement was reduced in size pursuant to the requirements of section 26 of the NT Mining Act. Exploration on the relinquished portion of EL 22625 is the subject of this report. The principal target on EL 22625 is the intersection of the retrograde Winnecke-Arltunga shearzone, which host numerous Au-only deposits, and the major Woolanga shearzone and associated splays. Numerous magnetic targets within the Woolanga shearzone and favourable host rocks provide secondary targets. The targets lie mainly under Tertiary sediments of the Hale River Basin and drilling was required to test the target bedrock. Exploration consisted of geological reconnaissance, geochemical sampling, geophysical reprocessing and Aircore drilling. Results returned for the lag sampling indicated no significant gold assays (max 1 ppb Au) and a max copper assay of 169 ppm. Rockchip sampling returned slightly better results with 3 ppb Au and 305 ppm Cu. The aircore drilling intersected no elevated gold values, only elevated copper up to 211 ppm.