Annual report MLN 624, 31 December 2005 to 31 December 2006 Borroloola Project

Abstract

This report covers work done on MLN 624 as part of the Borroloola Project, during the period 31 December 2005 to 31 December 2006. MLN 624 covers a small part of the project area, while the remainder is covered by EL 10121 (also held by Sandfire Resources). For coherency, in this report all work is discussed in relation to the entire project. The work comprised re-analysis of some drill-hole samples and an Induced Polarisation (IP) Survey. Some drill samples from BRCD1 returned anomalous gold values after their initial assay. An attempt to replicate this result by reanalysing these samples did not return anomalous values. The IP Survey conducted during this reporting period was designed to infill the previous IP Survey conducted in 2004. During two weeks of July 2006, seven lines over one kilometre long were surveyed, some of which overlapped 2004 survey lines. Processing and interpretation of the 2006 survey data, and reprocessing of the 2004 data, has been completed. Some of the chargeability anomalies from the previous survey have been replicated, including the target located on MLN 624 and drilled during 2004. No new targets were identified within MLN 624. A single drill-hole was planned to test the previously drilled target on MLN 624 at a greater depth. This hole was not drilled due to prior commitments of the contracted drilling company. Targets located on EL10121 were drilled and are reported separately.