Daly River Project EL 22495 and EL 22498 Annual report for the period 6 September 2008 to 5 September 2009

Abstract

Failure to advance negotiations and the refusal to consent grant of EL 22066 in particular has meant that the extent of the intended airborne geophysical survey was minimized and to date aeromagnetic surveying has been carried out only over EL 22495. The airborne magnetic survey was completed over a large part of EL 22495 in January 2008 and ground inspection of an anomaly labelled DR500 was carried out in April 2008. A drilling program was formulated to test the magnetic anomaly. An application for an Authority Certificate was submitted to and received by the Aboriginal Areas Protection Authority (AAPA) on 22nd May 2008 and an Authority Certificate for Mineral Exploration Drilling in selected Areas within E22495 was issued on 18 March 2009. In August 2009 a ground magnetic survey was completed to properly locate anomaly DR500 on the ground. A report on the survey containing modelled magnetic bodies and depths to magnetic source is attached. In conjunction with the ground magnetic survey a soil geochemical survey utilizing Mobile Meta Ion (MMI) analysis was also carried out in an attempt to determine any geochemical signature from the blind magnetic anomaly. Methodology and results of the geochemical survey are included. Both magnetic and geochemical data is supplied in digital form on the CD accompanying this report. Drill pad and access clearing has been completed and drilling is scheduled to commence during the second week of October 2009. No work has been carried out on EL 22498.