Combined annual report for EL 23684, EL 25605 and EL 25607 Western Creek Project, 10 August 2007 to 9 August 2008

Abstract

The Western Creek project (EL 23684, EL 25605 and EL 25607) is located 78 km south west of Larrimah. The area is relatively unknown geologically and is believed to lie in the middle of the Palaeozoic Daly Basin, overlain by shallow Cretaceous sediments, and younger surficial deposits. Only surficial deposits are mapped in the area. During the initial phase of exploration, work consisted of: Literature research of previous exploration, geological survey and geophysical survey over the EL and surrounding district. Data compilation. Acquisition and interpretation of departmental geological and airborne geophysical data sets. Planning for upcoming field program. Field geological reconnaissance and collection of rock samples. Analysis by low level scans for 63 elements including precious metals and platinoids. Interpretation of results. Planning and budgeting. In addition, visits to other stakeholders in the area for introduction purposes were completed, and the Sacred Sites register was searched. In year 2, a visit to the area was made in company with the Company's diamond expert consultant to inspect possible sample sites identified from studies of imagery and airborne geophysics. It was decided that it would be necessary to do shallow drilling of drainage channels to collect suitable material for heavy mineral analysis. Additional rock chip samples were collected and these returned anomalous metal values consistent with those previously obtained. The results of rock samples are broadly anomalous for a range of metals associated with a wide range of mineralisation types. Further work is warranted to characterise the target and locate a centre to the widespread elevated values. Shallow sampling of drainage channels, and more extensive rock geochemistry was planned for Year 3, but completed in Year 4. During Year 4 of the licence shallow drilling of alluvial channels was completed with a large volume of sample collected for heavy mineral analysis and geochemistry in July and December 2006.In addition to shallow auger drilling a ground magnetometer survey was undertaken to test several magnetic anomalies. Further reconnaissance and rock chip sampling of outcrops. Following the encouraging results during the 2006-2007 field season additional tenements (EL 25605 and EL 25607) were applied for and granted. During the reported period, a further 103 auger holes were drilled, but the rig's power was inadequate to test certain critical areas. Further drilling will be completed in the next term with a more powerful rig.