Third annual report for EL 24468 Mt Goyder South period ended 15 December 2008

Abstract

During the third year of tenure, radiometric prospecting with hand held scintillometer was carried out; 33 rock chip samples were collected and an airborne EM survey (157 line km) was undertaken at 333m line spacing (infill survey as part of Geoscience Australia's Pine Creek EM Program). Rock chip results are included however it is not known if the airborne program has been fully completed. EM data are not expected until mid 2009. Best rock chip results were 2 g/t Ag in sample MB08100, 1190ppm Pb in sample MB08200 and 7120ppm Zn in sample MB08204. Assay results for 6 samples are still pending. Thirty rock chip samples were collected along Koolpin Formation strike ridges south of the Arnhem Highway. The Koolpin Formation consists of iron rich outcrops at surface and pyritic-graphitic siltstone at depth. Around the Mount Bundey area, the Koolpin Formation is regionally anomalous marker bed due to its radioactivity. Rock chip results show the Koolpin to be anomalous for silver, base metals, iron and uranium. Three other rock chip samples were taken in the northwest corner of the tenement around a prospect called Donkey Hill which was explored for gold previously by Newmont. Assay results are pending for these samples taken in the Wildman Siltstone. Radiometric prospecting shows the Koolpin to be anomalous without any spectacular results within EL 24468. The Koolpin Formation ridges were walked and prospected in the absence of new radiometric data for EL 24468. A TEMPEST EM survey (157 line km) is currently being flown at 333m line spacing as part of an infill survey in conjunction with Geoscience Australia's Pine Creek EM Program. RJU has received and payed an invoice for 30% of payment for the survey which was started in November / December 2008 but RJU is unsure how much of the survey has been completed. RJU is not expecting results until early-mid 2009. Any potential EM targets will be field checked and possibly followed up with drilling in the latter part of 2009 if warranted. Uranium mineralisation will be targeted at depth within the Koolpin Formation at the contact between graphitic and pyritic black shale and underlying carbonate-dolomite beds. This skarn type setting is a regional exploration target around Mount Bundey and the Pine Creek Orogen in general for uranium, gold and base metal mineralisation. It is hoped the EM data will highlight pods or zones of massive sulphide, skarn mineralisation or graphite zones hosting uranium.