Annual report on EL 10320, April 2006 to April 2007

Abstract

Exploration Licence 10320 was granted to Agricola Gold Ltd in April, 2002. This was renewed to 8th December, 2008. 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. This report covers exploration activities conducted on the tenement from April 2006 to April 2007. Two prospects are described as follows:Bruce area 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. A further prospect is situated in a northerly direction from the earlier discovery of Bruce; and Scullin Prospect: This prospect is located approximately 1.5 kms 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.