Annual and surrender report on EL 26697 for year ending 20 November 2010

Abstract

Palace Resources Ltd (Palace) applied for EL 26697 on the basis of encouraging detailed airborne geophysics on its EL 25207 nearby which indicated the potential for unconformity/veinlike type uranium in the district. EL 26697 was granted on 21 November 2008. The Global Financial Crisis impacted heavily on Palace's financial resources and effective ground exploration on EL 26697 didn't take place until June 2010. Even then, unseasonal heavy autumn rains in the Tanami had severely restricted vehicular access into the area, due to softness of ground and thick, tall vegetation. EL 26697 could however be accessed from a formed road and the field inspection was carried out on foot. Geological mapping and ground radiometrics found no prospective lithologies or radiometric anomalies. Any unconformity between the lower and middle Proterozoic was clearly absent or well concealed below Mid-Proterozoic sandstone or Cambrian volcanics. The results from the reconnaissance inspection were not sufficiently encouraging to warrant the level of expenditure required for subsurface exploration, so when the anniversary arrived for 50% relinquishment, it was decided to surrender EL 26697 outright.