12 Monthly report Grove Hill Tenements

Abstract

Work undertaken since granting of the tenements has revealed four gold prospects worthy of further investigation. Three of these are hard rock prospects and the other is alluvial. The most promising of the hard rock prospects is in the Grove Hill West block, in the west of the pegged area, near the Fountain Head - Ban Ban Springs road. On the basis of existing information, the most likely geological interpretation is that of a shallow southeast - plunging anticline with associated gold mineralisation at the surface. As the plunge of the fold is slight and as the gold mineralisation is likely to be stratabound (and near the anticlinal axis), there is a good expectation of a large volume of gold mineralisation being at a depths suitable for open cut methods. Near-parallel quartz veins containing gold probably represent saddle-type reefs and are near-parallel because the fold has only a slight plunge. Mineralisation here could be similar to the Enterprise-type mineralisation at Pine Creek, but further work will be necessary to investigate this possibility. Other hard rock prospects have been delineated in the Southern and Eastern tenement blocks and these also warrant further investigation. As outcrop is very limited at the various hard rock prospects, deep trenching with sampling and geological mapping of the pits is essential to make further assessments and to plan further investigation. It is planned to execute such work during the next field season and depending upon results, a drilling programme will be commenced. A high level gold bearing gravel deposit has been investigated by auger drilling in the central block, indicating that at least one million cubic metres of material is present. In addition to gold, cassiterite is also present in the heavy mineral concentrate from this deposit. Neither the extent nor the depth of the gravel have yet been established, however the indicated size of the deposit justifies bulk sampling and treatment to establish grades on both gold and tin.