Annual exploration report EL 24967, for period ending 30 July 2011, Hayward Creek

Abstract

EL 24967 is roughly 60 kilometres North of Tennant Creek, lying east of the Stuart Highway. A first pass 41 hole RAB program was completed for 1,200m and 362 samples. Drilling is at very early stages with broad spaced holes (approximately one kilometre apart on 2 to 7km spaced drill lines). RAB 'Bottom of hole' assays (which have been analysed for the entire REE suite) have returned highly anomalous rare earth values of up to 4,292ppm TREO (0.43% TREO) from 23m. The remainder of the samples have been assayed for REE indicator elements Ce, La and Y returning results of up to 1,500ppm. Results so far indicate a good REE distribution with over 30% consisting of medium and heavy REE's. Multi element geochemistry show other geochemical anomalies in Phosphate, Copper (250ppm), and Tungsten (550ppm) but at this stage only the phosphate anomaly is interpreted to be significant. Best phosphate intersects include 11m @ 0.42% P2O5 from 40m including 5m @ 0.62% P2O5 from hole TCRAB-003) to the north east of the tenement.