Annual report for EL 25660 Hayes Dam, for the period 30 August 2007 to 29 August 2008

Abstract

Exploration Licence 25660 was granted to Alistair Wansbone Mackie Exploration on 31 July, 2007. The licence was transferred to WDR Base Metals Pty Ltd, a wholly owned subsidiary of Western Desert Resources Ltd, on 17 June 2008. The tenement covers ground prospective for uranium and base metals. There has been little exploration over the licence area previously. The Northern Territory Geological Survey briefly tested Copper mineralisation associated with basalt in the Bitter Springs Formation at Undoolya Gap over 40 years ago, and a cursory search for kimberlites in the 1980's yielded little success also. A regional stream sediment survey with helicopter support was completed during May 2008. The survey covered the entire tenement area and 40 samples were collected. Samples collected from each site contained the sieved stream sediment particles of less than 5 millimetres in diameter. Each sample was then split off-site and one portion was retained for BLEG analysis for gold and the other portion was sieved to -40# for multi-element analysis by ICP-Mass Spectrometry. All of the analyses were carried out by ALS Chemex. The results of the stream sediment survey show several locations with some weakly anomalous values for Cerium, Lanthium, and in one location also Lead and Thorium. These will require ground follow-up. The results at some locations show anomalous values for Lead, Zinc, Magnesium, Silver, and Arsenic as well as Manganese. Since Manganese is a scavenger of base metal elements further follow up ground checking would be required over these sample areas. There are also a few samples showing weakly anomalous values of Copper. The base metal shows are located within the Amadeus basin sediments in the south east of the area while the rare earths are scattered throughout the metamorphic rocks and granites of the Arunta Block.