Annual Report for EL 9452, 4 May 2007 to 3 May 2008

Abstract

This report describes exploration work undertaken on the Manyalluluk Project during the fourth year of tenure from 4th May 2007 to 3rd May 2008. The tenement was granted on 4th of May 2004 for an initial period of six years. Cameco Australia has applied for a partial relinquishment. Cameco wishes to relinquish 125 blocks and portions of blocks for an area of 396.8 km2 to be made effective on the anniversary date of May 3rd 2008, and retain the remaining 284 blocks for an area of 939.2 km2. There was no on-ground exploration activity conducted during the reported field season. Exploration consisted of a TEMPEST airborne electromagnetic survey over the eastern portion of the Manyalluluk Project covering the mapped Mamadawerre Sandstone. A total of 1,763 line-kilometres was flown at a flying height of 120 m in a west-east direction with lines 400 m apart in the northern portion and 200 m apart in the southern portion. The airborne electromagnetic TEMPEST survey has provided some insights into the subsurface stratigraphy due to increased conductivity of the volcanic members (particularly the Nungbalgarri Volcanic Member) but also the Mamadawerre Sandstone / basement unconformity and Hindrance Creek Sandstone. The survey has failed to identify any specific targets such inferred basement graphite and has not responded to the alteration at the MLR015 uranium occurrence. Further interpretative work is required of the TEMPEST data in conjunction with the geology to help in the understanding of the geologically complex area in the Diamond Creek region. Work planned and proposed for exploration on EL 9452 during 2008 may consist of: helicopter-supported outcrop sampling and reconnaissance, and up to ten reverse circulation drill holes. There will be a requirement for track construction to access the work areas, and for the establishment of a base camp near the work area.