Annual report for EL 23726 801 Project for the period ending 31 July 2009

Abstract

The five core holes drilled in the 801 Prospect were in effect 'wildcat' exploratory holes whose purpose was to investigate magnetic anomalies, a geochemical anomaly and some geological concepts. The holes are very widely spaced. Holes DDH001, 2 and 3 are clustered within 1km of each other, 25 km southeast of Hole DDH004. Hole DDH004 is 26 km southeast of DDH001. Holes DDH001, 2 and 3 have all tested a coincident geochemical (lead), magnetic and gravity anomaly. Some lead analyses of similar tenor to Conarco's 2002 surface sampling were obtained from carbonates in DDH003 but no evidence of any mineralisation was observed. No possible source of the magnetic anomaly was identified in any of these holes and that source is probably at a considerable greater depth than tested by these holes.