Annual exploration report for the period 15 April 2014 to 23 March 2015 Arunta Project

Abstract

Due to Crossland Strategic Metals' (Crossland) recent success for REE mineralisation north and northeast of USI, the Crossland REE model of alluvial mineralisation was applied to EL 27542. USI's tenement showed promise and a stream sediment program was carried out, similar to the technique used by Crossland. The stream sediment samples were also analysed for gold. Significantly elevated REE and Au mineralisation was identified in several samples. Of the 37 samples, 40 percent returned over 2 percent TREO, with 22 percent returning over 4 percent TREO and 11 percent returned over 5 percent TREO, with a maximum of 14.4 percent TREO. A relatively high percentage of USI's REE's are the highly sought after HREE's. The results of the gold analysis identified several elevated Au samples with a high of 886ppb. Two main clusters of elevated Au values have been identified and they both represent potential gold targets. A series follow-up programs are recommended. They consist of stream sediment sampling, auger drilling, soil sampling and field mapping to further evaluate the REE and Au potential of USI's Arunta project.