SEL 9591 1999-2000 Annual report to 30 October 2000

Abstract

The report summarizes work undertaken during the reporting period, which included previous data review, rock chip sampling, regional and infill soil sampling, RAB drilling, RC drilling, diamond drilling and rehabilitation. Rock chip samples were collected from the Bons Rush, Ios, Ithaca and Kazi prospects. Disappointing results were obtained from the Ithaca and Kazi prospects, however results of 1.1ppm Au and 1.27 ppm Au were returned from the Ios and 3.78-ppm Au from the Bons Rush Prospect. The regional soil-sampling program over the North Burnside prospect was successful in outlining both north northeast and northwest trending soil anomalies with peak values 180-ppb Au, 94 ppb Au and 29 ppb Au. Infill soil sampling over Kazi was not successful in outlining a new anomaly, however in the north outlined a 500 m north extension to the Kazi Northwest soil anomaly with peak value 554.6 ppm Au. The results from the soil sampling over the Quest Far South prospect were successful in extension northeast trending soil anomaly and outlined anomalous gold-arsenic zones with the peak values 360ppb Au, 240 ppb Au and 190 ppb Au). RAB drilling over Big Red Blob prospect identified north to north northeast striking zones of gold and arsenic bedrock mineralisation hosted within dolerite with the peak results 9m at 0.93 g-t Au, and 3m at 1.32 g-t Au. Rab drilling at Bons Rush prospect identified north, northwest and northeast trending zones of gold bedrock mineralisation with peak intersection 25m at 1.95 g-t Au, 7m at 4.16 g-t Au and 3m at 19.25 g-t Au. RC drilling program conducted over Bons Rush delineated gold anomalism coincident with previously identified soil and RAB drilling anomalies. Diamond drilling was completed over the Bons Rush prospect to examine structural and geological features within the main zone of mineralisation. Based on geological interpretation of the diamond core, gold mineralisation at Bons Rush has been determined to be associated with quart-carbonate veins deeping shallowly to the northeast.