Annual report for EL 23921 Mt Goyder, for the period 18 December 2006 to 17 December 2007

Abstract

This report details exploration activities conducted by Territory Iron Limited within the EL 23921 (Mt Goyder) area during Year 4 ending 17th December 2007. Exploration activities during the reporting year focussed on the iron ore, base metal and uranium potential of the Licence area and comprised; Thirteen RC drill holes (MBRC019-31) for 760m directed at iron ore mineralisation of magnetic Anomalies 1, 2 and 6; A base metal soil geochemical survey over a 1km2 area straddling holes MBRC005 & 7 drilled last year at Anomaly 6 which intersected anomalous copper over extensive intervals; Follow-up ground scintillometer traversing of anomalous uranium results from the 2006 airborne radiometric survey to confirm their significance and ground positions. Results achieved were: Iron ore Holes MBRC030 and 031 drilled on aeromagnetic Anomaly 6 returned strong magnetic mineralisation and visible pyrrhotite and pyrite. Assay results are not yet available. These holes were adjacent to MBRC006 drilled last year which returned 7m of 62.4% Fe. Base metals Anomalous copper values were intersected in holes MBRC030-31 at Anomaly 6. In MBRC030 an average 0.18% Cu over 15m was returned from 6m depth, and in MBRC031 an average 0.17% Cu over 18m was returned from 18m depth. Highest value was 0.32% Cu over 3m from 30m in MBRC031. Copper mineralisation is associated with elevated bismuth and molybdenum in silicified (hornfelsed?) siltstone intruded by syenite. No anomalous base metal values were intersected in holes MBRC026-29 on Anomaly 2. Anomalous (+70ppm) soil copper values were delineated over a 200m x 400m area in close proximity to central part of Anomaly 6. Peak value was 1130ppm from station 8577950mN / 789670mE. Copper is associated with elevated cobalt and molybdenum values. Uranium Thirteen of the 20 targets investigated by scintillometer traversing are considered to be not lithological related and are therefore worth further evaluation. During Year 5 proposed field exploration activities will focus on completing the assessment of iron ore potential of the aeromagnetic targets and in addition undertake a more comprehensive evaluation of the base metal potential of the tenement. This in detail will comprise: 2,000m RC (aeromagnetic targets); gridding and base metal geochemical sampling; 500m of RC drilling (base metals).