Mount Ringwood Project, Annual report for SEL 10012, 27 November 2003 to 28 November 2004

Abstract

SEL 10012 is located approximately 110 kilometres southeast of Darwin, on the Margaret River (14/2 I) 1:50,000 scale and the Mount Ringwood (14/3-IV) 1:50,000 scale map sheets. SEL 10012 covers the areas which originally comprised four active exploration licences held by Northern Gold NL ('Northern Gold') and its subsidiary companies. These exploration licences were EL 8573, EL 8780, EL 9122 and EL 8887. SEL 10012 was granted on 28 November 2003 for a period of four years, with the ability for two further time extensions thereafter. Northern Gold NL completed a program of infill soil sampling over SEL 10012 during the 2003/04 exploration season. The infill soil sampling program was conducted within the north-western block of the tenement targeting previously identified high grade soil and rock chip anomalies at the Cookies Corner and North Goodall prospects. At Cookies Corner, 108 samples were collected at 10 metre intervals along three 200m spaced lines testing the continuity of high grade ferruginous quartz vein stock-works. The focus of the close spaced soil sampling was to provide better resolution along an 800 metre Au anomaly to define possible mineralising structures to help better target future drilling programs. At North Goodall, 97 samples were collected at 10 metre intervals along two 400m spaced lines testing the continuity of a 750 metre soil and rock chip Au anomaly to the north of the Goodall Gold Mine. As with Cookies Corner, the close spaced soil sampling was to provide better resolution along the Au anomaly to define possible mineralising structures to help better target future drilling programs. A total of 205 B-horizon soil samples, including duplicates, were submitted to North Australian Laboratory in Pine Creek for Au analysis, using low level fire assay technique, FALL method. North Australian Laboratory also carried out As analysis by G300A/MA3. The peak results returned were: 367 ppb Au from Cookies Corner and 408 ppb Au from North Goodall. The infill soil sampling program successfully outlined high tenor gold results at both Cookies Corner and North Goodall. Further work is required to define the near-surface grade and continuity of these quartz stock-works and gold mineralised vein systems.