Partial relinquishment report for EL 25735 Old Mount Peake Project

Abstract

EL25735 was granted to Jarra Resources Ltd on behalf of Aurium Resources Ltd (AGU) on 22 October 2007. Aurium Resources Limited is the operator of the licence. A subsequent reduction of tenure occurred in December 2009 from 316 to 153 blocks. Exploration activities completed to date indicate that the relinquished areas of Old Mount Peake tenement are not prospective and do not currently meet the companies required exploration target size. Upon acquisition of the project a desktop literature and data review was undertaken. This review showed the mineral field had yielded substantial quantities of copper and gold (5.5 million Ozs Au and 475,000 tonnes of copper). The review also revealed previous exploration strategies utilized only surficial methods of soil and rock chip sampling. The completion of the desktop review lead to the commissioning of a 4,000 line km Electromagnetic and Radiometric survey of the Old Mount Peake Project area. Analysis and Interpretation of this survey identified 18 targets for follow up exploration, which were confirmed by a ground truthing exercise undertaken during a subsequent field visit. During this field visit, one anomaly was confirmed to be 3 kilometers wide with uranium bearing rocks discovered over a 100m by 50m width within the anomaly. Outcrop rock chip samples were taken, with assays returning 197 and 258 ppm U3O8. The most prospective anomalies identified from the interpretation of geophysical surveys remain within the area being retained by the company. The relinquished ground does not contain any surficial deposits and is predominantly devoid of physical signatures of palaeo-drainage.