Relinquishment report for EL 23726, for the period 1 August 2003 to 31 July 2009, 801 Project

Abstract

EL 23726 was granted to Conarco Minerals Pty Ltd on 1st August 2003. It originally comprised 500 blocks covering 1589 sq km located on Dalmore Downs pastoral lease, 260km east of Tennant Creek in the Northern Territory of Australia. In late 2002, Conarco discovered strongly anomalous lead (750ppm Pb) and arsenic (150ppm As) in weathered Cambrian sediments at a location named '801' while carrying out a regional reconnaissance geochemical survey. Literature search by Conarco also discovered drill holes previously drilled in the area containing anomalous lead values up to 370ppm Pb. Follow-up work by Conarco defined a broad area within EL 23726 containing anomalous lead geochemistry with coincident magnetic response defined from interpretation of the NTGS Barkly airborne geophysical survey. Additional magnetic modelling also revealed several magnetic targets for kimberlite bodies. The targets range in depths from 100m to 200m. In February 2004, Conarco Minerals Pty Ltd and AKD Limited entered into a Farm-in Agreement on EL 23726 pursuant to which AKD assumed responsibility for undertaking certain exploration activities. In June 2005, AKD was formally appointed Operator of EL 23726. During 2005 AKD applied to the AAPA for permission to drill in three areas on Dalmore Downs. An Authority Certificate was issued on 10 November 2005. AKD subsequently changed its name to Indo Mines Limited and withdrew from the agreement with Conarco in May 2006 without doing the proposed exploration programme ion EL 23726. In March, 2007, Conarco signed a Memorandum of Agreement to enter into a Joint venture with Hancock Prospecting Pty Ltd in Perth (HPPL), WA to carry out exploration on all Conarco tenements including EL 23726. No further exploration has been carried out within the area of the blocks relinquished.