Partial relinquishment report on EL 27219 for period ending 3 November 2010

Abstract

During the first year of EL 27219, Tri-Star spent considerable time in investigating and re-analysing the seismic data, water bore and other geological and geophysical data over EL 27119 and the surrounding tenures in the Project Area. The data was highly promising and has therefore caused Tri-Star to revise and improve the original drilling program for the Project Area, to incorporate an ironstone deposit. The ironstone formation, located in between the De Souza and Crown Point Formation, is believed to be temporarily contemporaneous with the deeper Permian Purni coals to the Northeast, which are also of great interest to Tri-Star. Office-based studies, however, have determined that it is likely that the coal seams do not extend as far west as EL 27219 and therefore, Tri-Star has voluntarily relinquished approximately 93 per cent (%) of EL 27219.