Annual report for the period ending 12 December 2004, EL 10097 Mistake Creek Area, NT

Abstract

This annual report describes the work carried out in EL's 10097, Mistake Creek during the period ending 12 December 2004. Exploration work consisted of; Admiralty Resources NL in discussions negotiating a Joint Venture Agreement with Kajeena Mining Ltd; review of the mineral potential of the area by Pacific Consulting Services; and construction of a GIS-based evaluation project. Stream sediment sampling in EL10097 by previous explorers has highlighted several areas with moderate-level anomalous copper, zinc and lead. Previous diamond exploration to the west of the areas has resulted in the recovery of indicator minerals and diamonds. No metal mineral occurrences are known within the areas of EL10097. Major faults occur within the tenement areas, but none of these have associated Zn or Pb occurrences along them as an indication of large base-metal deposits in the tenements. Interpretation of magnetic data together with geological evaluation indicates that the tenement has concealed folded units of moderate to strong magnetic intensity. These units maybe Lower Proterozoic iron formations prospective for gold. The prospectivity of EL10097 is considered low for large base metal deposits however, a search for diamonds is considered warranted.