Annual report on EL 10320 April 2004 to April 2005

Abstract

Exploration Licence 10320 was granted to Agricola Gold Ltd in April, 2002. The licence consists of two graticular blocks and lies wholly within the 1:50 000 Margaret River Tenement Map, with an approximate area of 6.687 square kilometres. The tenement area is underlain throughout by the Lower Proterozoic Burrell Creek Formation, and consists of a greywacke to mudstone suite representing a series of cyclic turbidity events throughout the Finnis River Group depositional history. The Bruce Prospect consists of a tight south-plunging anticline associated with a 8-10m wide shear zone that is located to the west of the fold axis. The mineralised shear is westerly dipping with an alteration assemblance of haematite, sericite chlorite and silica. Current tests show that the mineralisation is amicable to heap leach recovery. Sufficient exploration work has been completed to indicate a resource of over 14,000 T with grades up to 9 or 10 g/t. Scullin Prospect is located approximately 1.5 km to the south of the Bruce Prospect. It is approximately 250 m in length and is possible the same shear which hosts the Bruce Prospect, although several faults are noticed between the prospects. Drill holes by the previous owner have recovered economic gold grade up to 6.56 g/t. Some four days of further surface examination was performed by a geologist and field staff. This group agreed that a bulk sample of surface and near surface material is the only economic way to determine the prospect.