Combined partial relinquishment report on EL 24178, EL 23934 and EL 24166 Tanami Granites Project, period ending 10 February 2010

Abstract

The Tanami-Granites Project, comprising EL 23934, EL 24166 and EL 24178 is located in the northern part of the Tanami Desert, approximately 600 kilometres to the northwest of Alice Springs. The Project area covers the Paleoproterozoic McFarlane Peak metamorphics to the north, the Paleoproterozoic Dead Bullock Formation and the Paleoproterozoic Coomarie Suite granites to the southwest and to the east. These formations are overlain by Mesoproterozoic Birrindudu Groups of the Proterozoic Birrindudu Basin. Locally (eastern portion of EL 23934 and EL 24166) Cambrian flood basalts (Antrim Plateau Volcanics) overlie Mesoproterozoic Gardiner Sandstones of the Birrindudu Basin.AFMECO Mining and Exploration became operator of the Tanami-Granites project on the 1 May 2007 following the formation of a Strategic Alliance Agreement between Northern Uranium, AREVA NC Australia and AFMECO Mining and Exploration on the 13 February 2007. In 2007, AFMECO Mining & Exploration completed airborne geophysical surveys including a helicopter-borne time-domain electromagnetic survey with a VTEM system, an airborne hyperspectral mapping survey (HyMap) and an airborne radiometric and magnetic survey. On-ground exploration work consisted of helicopter-borne geological reconnaissance during which rock chip samples were taken for geochemical analysis. In 2008, AFMECO Mining & Exploration conducted a helicopter-borne geological reconnaissance during which rock chip samples were taken for geochemical analysis. In 2009, no on ground exploration work was conducted. Airborne geophysical surveys were conducted to test for conductive features, radiometric anomalies and alteration patterns. Geochemical and PIMA (Portable Infrared Mineral Analyser) analyses have been undergone to evaluate the chemical and clay content of the samples. The relinquished areas correspond to areas where there are weak or there is an absence of conductive features from airborne geophysical surveys conducted in 2007. These relinquished areas are considered to be less prospective for unconformity type mineralisation.