Combined annual report for EL 25089, EL 25090, EL 25091, EL 25092, EL 25093, EL 25094 and EL 25143 for the period 2 October 2009 to 1 October 2010

Abstract

The combined tenements currently comprising the Georgina Basin Project are EL 25089 to EL 25094, EL 25143 and EL 26933, and amount to nearly 6000 km2. As noted in previous reports, the project is located on the southern margin of the Georgina Basin where a succession of sedimentary rocks is prospective for MVT style Zn-Pb deposits. In the previous reporting period, the regional soil sampling project yielded indications of possible fluid flow activity in some faults, allowing the definition of areas in which further assessment of the metal ion distribution by detailed soil sampling and ionic leach geochemistry could be conducted in order refine future targeting. More than 4 000 samples have been collected from two such areas, each 100 km2 in extent. The chemistry from the Putta Putta area indicated low level anomalous Zn in several places, whilst the Tomahawk area analyses are still in progress. These areal anomalies may represent elevated Zn at depth and thus these areas require further work towards defining smaller targets. To this purpose, ground geophysics in the Putta Putta area tested the application of induced potential (IP) traverses as a suitable process for more widespread subsurface mapping of conductive units. The trial using 4 lines 5 km in length has provided some indications of the depth of oxidation and possible attitude and position of fault planes. However, the high cost of this application does not favour very widespread use and other ways of reducing the target size are needed. To refine the understanding of principal controls on mineralization, such as structure, lithology and stratigraphy, diamond drilling was planned to produce core for the exclusive purpose of determining the distribution of lithologies for the recognition of fault displacement and fold geometry. Progress was made in the drilling project in obtaining Sacred Site clearance certificates and marking out sites and tracks, no further work was possible because the high rainfall prevented access to drill sites. This work has therefore been deferred until next year.