EL 10214 and EL 10215 Annual report for year ended 5 December 2005

Abstract

Arafura completed a preliminary rock chip and geochemical sampling program over selected parts of the Lucy Creek and Unca Prospects in EL 10215 in June 2005. No field works were undertaken in EL 10214 although anomalous airborne uranium signatures have been identified as potential areas of interest for future work programs. Samples from the southern parts of the Lucy Creek Prospect within EL 10215 were selected based on geological field observations and variations in hand-held scintillometer readings. The Lucy Creek Prospect continues northeast into a separate licence area (EL 24516 Lucy Creek), also held by Arafura. Preliminary assay data from the southern parts of the Lucy Creek Prospect are encouraging and returned the following assays: uranium to 480 ppm U (566 ppm U3O8); phosphorous to 12.8 percent P (29.3 percent P2O5); copper to 7040 ppm (as turquoise); zinc to 1150 ppm; lead to 121 ppm. Two previously mapped vanadium-rich magnetite occurrences in EL 10215 were accurately relocated. Representative samples were collected from across the length and breadth of the two separate outcrops and assayed to test the Fe-V potential of the Unca Prospect.