EL 24471 First annual report August 2005 to August 2006

Abstract

EL 24471 was pegged to follow up the perceived potential for Tennant Creek style, Au, Cu, Bi mineralised magnetic ironstone bodies below the level of surface oxidation. Consequently aeromagnetic interpretation of available good quality, high resolution AMAG data delineated seven areas of interest. Ground magnetics was read over five of the areas namely A2, B4, D2, E2, E3 and F2. Ground gravity was read over four grids namely ex-Normandy Rugby (Anomalies C1, C2 and C3) E2, E3 and F3. Three RC drill holes were completed (810m) testing anomalies E2 and E3 (Explorer 42 AMAG anomaly). High water flows at the base of the Cenozoic between 18m - 30m impacted considerably on drilling progress, however E3RC03 (276m) intersected regular intervals of up to 28m of highly magnetic BIF commencing from below the level of surface oxidation at 131 metres downhole depth. No elevated Au, Cu or Bi values were recorded over the above intersections in stark contrast to a nearby corehole (DDH2) drilled in 1983 which intersected 80 metres of interbedded chloritised sediments and BIF (banded iron formation) averaging between 20 ppb and 180 ppb gold commencing from 340m to the bottom of a 420m diamond core hole? The BIF Hill prospect is an exposed Explorer 42 look-a-like. It was tested by Nobelex with three drill holes in the early 1970s intersecting sporadic elevated gold values (0.02 - 2.7g/t gold), within banded iron formation. The area was extensively rock chip sampled by Shell in 1984 returning gold values of similar tenor. Normandy Gold Pty Ltd moved into the area in 1996, flying a low level 75m line space AMAG survey subsequently drill testing 6 relatively deep magnetic targets of which only three RC drill holes were deemed to have reached their target zones mainly due to the previously mentioned highwater flows. Presently there are six walk-up untested drill targets having been previously read for ground magnetics and ground gravity showing good potential for Tennant Creek-style buried mineralised ironstones namely B4, Rugby anomalies, C1, C2 and C3, Soccer anomaly C4, and D2 anomaly. The following Explorer 300 series AMAG anomalies were read for ground magnetics several times in the 1970's and 1980's and require re-evaluation namely E301, E303, E306, E307, E315, E319 and E320. Surface lag sampling by Roebuck and Normandy have delineated several cluster gold-arsenic anomalies. Two preferred orientations are apparent NW and ENE indicating a possible structural control on surface geochemical anomalism. Clearly the above need to be followed up by fences of RAB drill holes to bedrock.