Combined annual report for EL 26018, EL 26019, EL 26020 and EL 26021, 5 December 2008 to 4 December 2009

Abstract

This report presents details of work completed by Mantle Mining Corporation (Mantle) on EL 26018, EL 26019, EL 26020 and EL 26021 during the second year of tenure 5 December 2008 to 4 December 2009. These tenements comprise Mantle's Barkly Project, which covers portions of the Georgina Basin on the Barkly Tableland that are considered to be prospective for phosphate mineralisation. Potential also exists for the discovery of deposits of base metals, uranium and potash in these areas. No field work was undertaken on the Barkly Project between December 2008 and August 2009 as Mantle undertook steps to conserve resources and confirm funding as a consequence of the Global Financial Crisis. Notwithstanding this slow start to the exploration season, Mantle has defined and completed a program of reverse circulation drilling that includes a broad spaced pattern of drillholes within each of the EL's. Field reconnaissance using published topographical maps and GPS was undertaken to locate the proposed drillhole locations on the ground and confirm logistical arrangements for the drilling program. This work successfully identified accessible routes to be used throughout the project area. A program of Reverse Circulation (R/C) drilling was undertaken during the period 13 November and 8 December 2009. Thirty six (36) drillholes were completed for a total of 1965 metres. All drill samples were analysed on-site using a hand-held Field Portable X-ray Fluorescence (FPXRF) instrument for a total 1956 sample analyses and 112 Quality Assurance (QA) checks. A total of 1418 1 metre split drill samples were collected and submitted for laboratory testing. The field FPXRF data provided initial indications of significant phosphate mineralisation within EL 26020 and EL 26021 (drillholes BTRC019-36), however these values were not reproduced in the laboratory data received after the end of the reporting period. Compilation and analysis of the drilling data is in progress at the time of compilation of this report. Initial review of the geochemical data indicate that follow-up field work, including drill testing, within the project area is warranted.