Final report on EL 9583 for the period 10 December 1996 to 2 December 2001

Abstract

EL 9583, originally consisting of 9 blocks, 29 square kilometres in area, was granted to Northern Gold N.L. on the 10th of December, 1996, for a period of 6 years. Due to compulsory relinquishment, EL 9583 was reduced to 5 blocks in October, 1998. A waiver of reduction was granted in January, 2000. EL 9583 was surrendered on the 2nd of December, 2001. During the life of the tenement, gold exploration activities were conducted by Northern Gold N.L. Northern Gold N.L. completed regional soil sampling, MMI geochemical soil sampling and RC drilling over EL 9583 during the 1996/97 year of tenure. Regional soil sampling was conducted over four, 400 metre spaced lines, 3,600 metres in length. Samples were collected at 25 metre intervals and composited to 100 metres. A total of 151 samples, including duplicates, were collected and submitted to Assaycorp, in Pine Creek, for Au, As, Cu, Zn, and Pb analysis. The soil sampling was successful in identifying a gold and base metal anomaly along the Mount Bundey Anticline. The assay results returned a peak gold response of 84 ppb, with corresponding values of 100 ppm As, 63 ppm Cu, 28 ppm Pb and 37 ppm Zn. MMI geochemical soil samples were collected at 25 metre intervals, along eight, 200 metre spaced lines. A total of 382 samples, including duplicates, were collected and submitted to Amdel Laboratories Ltd. for multielement analysis. The sampling was successful in reproducing the anomalous gold and basemetal trend, defining a coincident north northwest trending, elongate, gold anomaly, with a length of 800 metres and width of 100 metres. A maximum assay value of 14 ppb Au was returned. The MMI sampling also identified an 800 by 200 metre, elongate, north - south trending basemetal anomaly, with maximum coincident assay values of 5,800 ppb Zn, 1800 ppb Pb, 820 ppb Cu, and 580 ppb Ni. A program of scout RC drilling was completed over the MMI geochemical soil anomaly. A total 7 holes were drilled for 498 metres. All samples were submitted to Assaycorp for Au and As analysis. The drilling intersected narrow intervals of low grade, uneconomic gold mineralisation. During the 1997/98 year of tenure, Northern Gold N.L. completed a literature review and a regional soil sampling program over the licence. A comprehensive literature review, aimed at evaluating the uranium mineralisation potential within project areas held and managed by Northern Gold N.L., was completed at the Northern Territory Department of Mines and Energy. The review covered the known uranium deposits, depositional models within the Pine Creek Geosyncline, and previous exploration within the project areas, with the aim of farming out the ground to potential explorers. Regional soil sampling was completed over the southern blocks of EL 9583. The program consisted of six, 400 metre spaced lines, varying in length from 1,800 metres to 5,400 metres. Samples were collected at 25 metre intervals and composited to 100 metres. A total of 302 samples, including duplicates, were collected and submitted to Assaycorp, in Pine Creek, for analysis of Au, As, Cu, Zn, and Pb. The regional soil sampling results were generally disappointing. Northern Gold N.L. completed a regional soil sampling program over the northern blocks of EL 9583, during the 1998/99 field season. Samples were collected at 25 metre intervals and composited to 100 metres, along fourteen, 400 metre spaced lines. A total of 245, B-horizon, soil samples, including duplicates, were submitted to Assaycorp, in Pine Creek, for analysis of Au, As, Cu, Zn, and Pb. The results were generally disappointing, with peak responses of 6.8 ppb Au, 5.8 ppb Au and 5.6 ppb Au returned from within the northern-most block of the licence. During the 1999/2000 exploration season, Northern Gold N.L. contracted Arnhem Exploration Services to complete an infill soil sampling program over EL 9583. Samples were collected at 25 metre intervals and composited to 100 metres along three, 400 metre spaced lines. A total of 30, B-horizon, soil samples, including duplicates, were submitted to Assaycorp, in Pine Creek, for analysis of Au, Ag, As, Cu, Pb and Zn. The soil sampling program returned disappointing results. The peak value returned was 18 ppb Au